Profit Distribution By Building Society

Northern Advocate, 20 February 1943, Page 4

Profit Distribution By Building Society

With a long record of success during the past 18 years which have been marked by the advancement of more than 206 loans involving over £152,000, the Whangarei Terminating Building Society plans to make a distribution of profits at a meeting to be held on Monday evening. Tc enable this to be done the directors have framed a resolution that holders of shares in the “A” groups whose subscriptions have been paid for a period of at least 16 years, providing that no notice of withdrawal has been given, may receive from time to time a progress payment of profits accrued in the group. The resolution, which has been approved by both the directors and the auditor, will be placed before the shareholders for their approval or rejection.

It appears, however, that the proposal of the directors, who feel that the time has arrived for a portion of the accumulation of money in No 1 Group to be distributed, will meet with the approval of shareholders. With that approval a fair but safe proportion of profits will be distributed on a share basis, the accumulated profit of the shares at the last annual meeting being £lB/10/4 each.

Commenting on the proposal today the chairman of directors (Mr R. G. Hosking) said that it was believed it would be a liberal gesture to shareholders in No. 1 Group, which had given great benefit to shareholders, to the community and to business interests, to make a distribution of a portion of the profits, and it was thought that they might feel inclined, in view of past benefits and future prospects, to invest the money in shares in the new No. 3 B Group which was rapidly being subscribed. Those shareholders who had not yet received loan benefit in the No. 1 Group probably would welcome the opportunity given by the distribution of profits to invest in the new group. No other institution existed whereby people were able to obtain money free of interest for a payment on four shares for* £BOO of £1 per week over a period of 15 years, the terms of the new group.