Tui Dairy Company’s Annual Meeting

Manawatu Times, Volume 65, Issue 180, 1 August 1940, Page 2

Tui Dairy Company’s Annual Meeting

UNSATISFACTORY POSITION REGARDING NEW SUPPLIERS

Tho annual meeting of the Tui Cooperative Dairy Co., Ltd., Glen Oi'oua, was held in Palmerston North yesterday, the chairman of directors (Mr. J. Boyce) presiding over a representative meeting of shareholders. The annual report and balance-sheet read by tho secretary (Mr. A. E. Hansford") stated that in the annual report presented to the shareholders for tho i year 1935-39 the season average payout was shown as 15d, but when all cheese was realised the payout was increased to 18.45 d for tho year. At June 30, 1940, there were 1161 crates of various grades unsold, and theso have been valued at the guaranteed price for the respective grades. During tho season the average monthly advance for first grade butterfat equalled 15d. The directors recommended a further payment of 3id on all butterfat supplied for the season, which will make an average payment of 18id for such butterfat. This will absorb the sum of £3353 18s 4d, and will leave tho sum of £313 15s 2d to be disposed of as the meeting may decide. There was one vacancy to bo filled on the directorate caused by tho retiring by rotation of Mr. W. C. vScott, who offered himself for re-election. Chairman’s Report. In moving the adoption <of the report and balance-sheet, tho chairman briefly reviewed the operations of tho company during the past season. A comparison of this year’s balance sheet with last year reveals that:—(l) Tho paid-up capital of the company remains at the samo figure as last year, namely, £54 2s. (2) Sundry creditors, including amount duo to suppliers, provision for accrued interest and directors’ fees, total £656 6s Bd. This was an increaso of £54 11s lOd, and was due to the larger amount provided for storage, the purchase of a 1 cheese press costing £45 and some of next season’s requisites coming to hand earlier. (3) No provision has been made in this year’s accounts for depreciation. The reserve now equals 87 per cent, of the present book value of the buildings and plant. (4) The Bank of New Zealand showed a considerable inI crease on last year due to having 1161 crates of cheese unsold as at June 30 I this year, compared with 595 crates at I the same dato last year. (5) The shares reserve has been increased by £lO 4s 3d, being rebates received from the National Dairy Association on purchases during the year. (6) Tho appropriation account shows a credit of £3727 13s 6d, and after making the proposed payment will leave a balance of £343 15s 2d to be disposed of as tho meeting may decide. Turning to the assets side it was noted:—(l) Tho plant has increased by £36 ss, representing the purchase of new plant during the season. (2) Floating assets: Tho stock of manufacturing requisites shows a considerable increaso I on last year duo to next season’s supplies coming to hand early on account of the war.

j Production for the year, continued ; Mr. Boyce, was 264 tons, 15cwt., 141bs. | This is an increaso of 20 tons, 9cwt., Iqr., 181bs., on last year. Working costs at 3.647 d show a slight increase, which i is due to the increased cost of requisites I and would havo been greater but for tho increaso in production and the economical running of tho factory by Mr. Lawlor. The following figures, showing tho cost to f.o.b. (not including depreciation) of manufacturing a cwt. of cheese, should provo of interest: —Season 1933-34, 10s 4d per cwt.; 1934-35, 10s per cwt.; 1935-36, 10s Dd per cwt.; 193637, 12s 8d per cwt.; 1937-38, 13s 6d por cwt.; 1935-39, 13s 2d per cwt.; f 939-40, 13s 4d per cwt. During the season cheese was manufactured for 104 months and including , tho proposed payout the company will pay an average over the whole season of ISid on all butterfat supplied.

“You will have all heard,” said Mr. Boyce, “that tho British Government has asked for the production of at least 15,000 tons inoro cheese, and under tho proposed zoning wo expect to substantially increase our output, but wo must all make an effort to meet this request by producing as much as possible. This will, of course, tend to counteract the increasing costs of production to our mutual benefit.”

The thanks of the shareholders were duo to tho manager (Mr. Lawlor) and his staff, and the secretary (Mr. Hansford) for the manner in ■which they had looked after the interests of tho company. Mr. Boyce expressed his thanks to the members of the directorate for their hearty co-operation and support during the year.

After bonuses to the secretary and manager tho meeting decided that the balance in tho appropriation account be carried forward to tho depreciation rc-

Tho retiring director (Mr. W. C. Scott) was re-elected, as also was the auditor (Mr. R. Davis).

Tho meeting expressed concern in connection with the recent suggestion of the Government regarding additional suppliers for cheese factories. In view of the fact that a number of oxtra suppliers wero duo to supply tho factory additional plant had been secured to copo with the additional volume of output, but no pressure had been brought to bear on farmers at present supplying butter factories, and. the position at tho moment was most unsatisfactory in view of the imminent commencement of the new season. At tho subsequent meeting of directors Mr. Boyce was re-elected chairman.