Finance Stocks and Mining

Free Lance, Volume XVI, Issue 867, 16 February 1917, Page 8

Finance Stocks and Mining

rp HE figures of the Bank of England •:'-■' arc inflated by the war loan operations. There is an abnormal growth in the "other"' which now stand at £226,470,000, as against £166,777,(300'in the j previous week, an increase of nearly £60,000,000, while' the public or Government deposits total £42,262,000, as compared with £46,764,000 in the previous week, a decrease, of about £4,500,000. Thero is an increase, in the metal reserve of £226,000. The proportion of reserve to liabilities is down to 13.33 per cent. This, however, does not represent the true position, for- the Bank's own investments in Government securities . total £212,397,000, and there are .other securities amounting to; £38,580,000. . « V '■- ; ' ° -'- s • : We have not yet been permitted to know the amount subscribed for the British war Joan, but it is obviously very large, and the s übmaTine frightfulness has helped 1 to stimulate subscriptions, a phenomenon that the. Huns will never understand. In. the meanwhile the Chancellor of the Exchequer has asked for a credit of £550,000,000, which will provide for expenditure to the end of the financial year. This is undoubtedly a very heavy vote, but only £200,000,000 is needed for war purposes. The balance may- be required for advances to Allies or for other special purposes. The total ..expenditure with this vote will amount to: £1,950,000,000, or £350,000,000 more than was estimated in a previous Budget. The money must and will be found. ■ ■.■.-.-.: ■ -« # . # ■ ' ■. ■■* The authorities are making a very systematic; canvass for subscriptions, and are holding a series of "War Day Itf>ans," and the help of the multitude is thus sought. There/will be an avalanche of small subscriptions to the loan as the people can afford, with the high wages they are now getting, to subscribe many millions sterling. For one of the earlier British loans about £20,000,000 was obtained through the Post Office and a great deal: more can be done in this respect. .#'•■■." , « ■ »■ • \ ■ '• The Australian loan of £18,000,000 has been over-subscribed, the " excess subscription amounting to £160,000, and towards the total there were four subscriptions'of a million each. The loan is to be'kept open for a further period; so that a further considerable

sum may be expected. Canada is also raising £100,000,000,. and is certain to obtain all the money needed. The Canadians have the New York moneymarket near enough to draw upon- it, and there,is considerable financial relationship between Canada ana the United. States. .#■'.'■■*•; '* . * So far as nien, money, and munitions axe concerned, the Allies are_ well pro- - and the pending spring campaign should afford the Huns a very severe lesson. The only momentary inconvenience" is the submarine peril, but this is only momentary;,- still its eco- . nomie aspect is serious. The loss of' tonnage will be severely felt everywhere, and while in some countries there will b'e extremely high prices for commodities owing to -artificial scarcity, in others there will- be ah excess of goods, which should result in low priees. The business of the Empire just now is" to make the fullest use of all the . available tonnage and this cannot be done unless loading and unloading operations are carried out expeditiously. The Empire must not be asked, to tolerate, dictation from iiresponsible and ignorant labour leaders. • V » »'■'«•■ The balance-sheet of the Wellington Gas. Company for the year, ended December 31, 1916, has been circulated. - The profit and loss account, after payment of the dividend on preference shares, and interim dividend on the ordinary shares, and after provision of the sum of £3000 towards depreciation of plant, shows a balance of £32,149 8s sd. From this it is proposed to declare a dividend that will absorb £11,789, leaving £20,360 8s 5d to be carried 'forward, as compared with £21,814 2s 8d at-the end of the previous year.' The total dividend on the ordinary shares for the year is 10 per cent. .Jf. O » ■ .» ■ There has been a substantial increase in the quantity of gas sold by the Com-pany-in 1916, and, consequently, notwithstanding the large-increase during the past year in the cost of labour and materials the profits were large, admitting of the 10 per cent, dividend. Owing to the impossibility of . obtaining pipes except at prohibitive prices, the amount of main-laying has been restricted as much as possible, and only 143 chains were laid during 1916, rais- " 'ing.'the total mileage to 135 miles.. During the year 524 services were laid and 748. cookers and 230 bath heaters were ' fixed by the Company. ■■ * * * " # The balance-sheet of the New Zealand Insurance Company, for the year ended November 30, 1916, shows that the net premium income amounted to £854,790 0s 3d; interest and rents produced £56,102 2s 2d, and there was brought forward from the previous year £37,200 17s Bd, making a total of £948,093 0s Id. The losses amounted to £548,582 Is 2d; commission, salaries, and general expenses to £201,588 0s 7d, and taxes, etc., £44,342 5s sd, leaving

,he credit balance at. £153,580 12s lid. Che dividend for. the year at the rate:. >f 6s 6d per share absorbs /£52j500; the ■< nim of £60,000 has been added to the -eserve fund, leaving £41,080 12* lid -. bo be carried forward. Tllo assets of the New Zealand Insuring Company include mortgages £208.102 7s od, shares £385 0s 9d, freehold office premises and other property £406,178 14s lOd, Government securities and debentures £657,971 16s Bd, fixed deposits £75,661 16s 6d, accrued interest and rents £15,176 17s 9d, branch .and agency balances £113.391 13s 7d, remittances in transitu £22,250, cash in bank and in hand £94.968 10s 4d; total," £1.594,386 7s lOd. The liabilities are: Capital £450.000, reserve' fund £350,000, reserve for unexpired risks £370,000, investment fluctuation. account £25,797 5s Id, appropriation for itnadjusted losses £210,051, sundry creditors and unearned premiums £117,457 19s lOd. balance £71,080 12s lid; total, £1,594,386 7s lOd. The Com-, pany's investments in the percent. British war loan, Treasury bills,_ and Exchequer x bonds amount, to £153,800 6s Bd, and in New Zealand war bonds £50,000 * * * * During the twelve months ended December 31, 1916, the. Southland Frozeii Meat and Produce Export/Company earned a net profit of £23,003 lis lid, and there was brought forward • from the previous year £9039 7s 7d, making .a total of £32,042 19s.6d,.and this has been allocated as follows': —To dividend of 5 per cent, and bonus of 5 per cent., £6828 6s; to add to "fire, insurance reserve, £5000.; to dividend equalisation reserve, £3000; to reserve for accident insurance, £2000; to transfer to building fund. £5000, leaving £10,214 13s 6d to be carried forward. The assets of the Company include land, buildings, machinery, etc., £117.567 8s sd; stocks and 5t0re5."£22,712 2s 8d; sundry debtors, mortgages, and investments, £47, 209 9s 7d; London agents' balances and consignments unrealised, £16,762 4s 6d; Bank of New Zealand, £16,332 4s. 4d; and. oash in hand, £50 7s Bd. making a total of £220,633 17s 2d. \ * '*'.:. • '*•■ * Eat cattle continue in good, demand, and prices remain steady. At Westfield, fat steers ranged in price from £12; 15s to £22, cows and heifers £8 10s" to £16, hulls £10 10s to £19 ss. AtPalmerston North, light fat cows made £9 17s; at Carterton, fat cows realised £11 to £12 ss; and at Levin, lightweight heifers £9 ss. At -Addington, the prices were: Prime steers £15 to £21, ordinary steers £10 10s to £14 15s, extra prime heifers to £18 ss, prime heifers £11 to £14 j extra prime cows to £16 7s 6d, prime cows £11 15s to £15 7s 6d. ordinary cows £8 12s 6d to £11 10s. At Burhside, there was a very small yarding of cattle, and prices exhibited, an advance of about £1 head. .--*..' *• a At Masterton, fat wethers made 365, and fat ewes 35 s 2d. and at Levin fat ewes sold at 34s lOd. , At Westfield the demand was better, and full rates were realised. Extra heavy prime wethers 39s to 40s 9d, heavy prime wethers 37s to 38s 9d, medium to heavy wethers 35s to 36s 9d, light and unfinished 30s to 34s 9d, beat heavy prime ewes 34s 6d to 37s 9d, good ewes 31s 6d to 345, other ewes 21s to 30s, extra prime woolly hoggets 54s- 6d. The prices ruling at Addington were: Prime wethers 33s 6d to 41s 6d, lighter 25s 10d to 335, prime ewes 32s to 38s, medium 27s to 31s 6d, lighter 23s to 26s 6d. The quality of the sheep yarded, at Burnside was only medium, competition was keen, and prime quality advanced Is per head. ■a 1 * «■ aAt Westfield, best heavy lambs 28s 6d to 31s, aDd a small lot of extra prime made 375, good lambs 25s 9d *to 28s, light and unfinished 21s 6d to 255, small 15s 9d to 20s. At Addington, bestlambs reahsed 27s to 335,- medium 23s to 26s 6d, unfinished 21s to 22s 6d. At Burnside, owing to the absence of competition from freezing buyers' prices were easier than those ruling lately. « » # • Choice baconers at Westfield, made from £3 12s to £4 6s, others £3 to £3 10s, large porkers £2 10s to £2 18a. small £118s to £2 Bs. slips 25s to 365. weaners 8s to 245. At Addington, choppers made £3 10s to £6 12s 6d, extra heavy baconers £5 to £5 10s, heavybaeoners £3 15s to £4 10s, heavy porkers 58 s to 675, light porkers 48s to 545. - . o•- * » . Investment shares are in strong demand, but business is not very brisk owing to holders not being anxious to quit. Bank of New Zealand (old), buyers £11 Is; National- Bank, buyers £4 18s; Union Bank, buyers £ol 10s; Standard Insurance, buyers 395; Huddart Parker (ordinary), buyers 24s 3d; Waipa Coal, buyers 18s: WestportStockton, buyers 6s 7d; Leyland O'Brien Timber, buyers 23s 6d. w * . ■ # * In mining shares there has been an enquiry for Talismans at Bs, and Waihi at 345" 6d, sellers asking 35s 3d.

Apropos of the war vote of £100,000,000 passed by Canada last week, it "is interesting to note the part our big. sister Dominion is playing in the cans© of the Empire. Last year she was helping to the extent of nearly a. million and a-quarter sterling- a„ week, .or £60,000;000 for the twelve . months. .* That is the amount of her:-, wax expenditure for 1916, However,- Canada can well hear this amount, big as it is for an undeveloped country, v Her , total trade for 1916 totalled £300,000,-; 000. The"" exports amounted to something like £200.000,000, and the ;; imports half that amount, leaving a, _ trade balance in favour of the Dominion of something better than £100,000;000. - * *'.'.'.'■• '.•.".""•■''■'■ In men, Canada has raised close oh 400.000. including those*: in training, arid 6000 men in" the uSTavy. Soon.the> , total will have reached: : the number promised the .Motherland -by Canada's Premier. ; Each month Canada has exported upward of £6,000,- • 000 worth of manufactured articles, including machinery and other accesso- ' - ri es. for the conduct, of the war. . Exports of agricultural products, aggregate much the same total, month; by month... Practically all of outside of that used for domestic purposes, • has gone into British, hands and - will help, feed the.people s as: well as. the; men: in the trenches. .; v ■ , _: : .:: .X -•> "-,-.*- ■-.''■ ■'•■-■ •■■ .'- .: s y-.'»; - '"■■'-:'"* : Briefly summed up, ; Canada has help- >.;■ ed : the Mother Country to, a ; wonderful extent during the last two arid a-hal£ years, but it was only in -1916 that the full scope of her assistance was attained. This aid is of a purely voluntary nature and is given ungrudgingly. Patriotism is keen<sin Canada, as the story of the battle-fields sufficiently at-_ tests. ■,:.-. ■'■." •-.- .'""•'■ .'." ■'-,"-.

59