THE COLONIAL BANK OF NEW ZEALAND.

New Zealand Herald, Volume XXI, Issue 6928, 31 January 1884, Page 5

THE COLONIAL BANK OF NEW ZEALAND.

HALF-YEARLY MEETING. [BY TELEOKAPH. —PRESS ASSOCIATION.] Doskdi.n-, Wednesday. The half-yearly meeting of the proprietors of the Colonial Bank of New Zealand was held this afternoon. Mr. E. B. Cargill, Chairman of Directors, occupied the chair, and about fifty shareholders were present. The Chairman said that the report was very short, and he did not know that there was much in it which called for discussion. On referring to the balance-sheet, it would be seen that, on the whole, the figures it contained would permit of a vary satisfactory comparison with the previous one. It would be noticed amODgst the items on thecredit side that there was a sum of £61,911 invested in Government securities, consols, and colonial debentures. This was intended to meet any emergeney that might arise, and he might mention that since these figures had been made up the amount had been increased to £100,000. It would be noted that there was a very considerable increase in the amount of deposits bearing interest. The deposits had increased since last June to the amount of £321,000, aud since last year to £127,000, but of that amount there was a large proportion -of deposits having interest, displacing to a large extent deposits previously held without payment of interest. This was one of those things which told very adversely upon the profits to be made out of banking. It was quite clear that the receiving of large sums at 6 per cent., and lending them at 7 per cent., did not provide that amount of profit which they would like to see. The amount of the decrease in deposits without interest during the half year was £70,000. Of course they were compelled to do the same as other banks, but they could not but regret that competition for deposits should be carried out to an extent which prevented business being done apparently with sufficient profit. The amount available for distribution hardly came up to the amount of last year. The general account business of the bank was very good, and he thought the position of the bank was strengthening. Of course bud times had led to a good many failures, but nothing had occurred of a distressing character. He trusted they were entering upon better times. It appeared to him that the main interests of the company were pretty prosperous. Our farmers notwithstanding the recent depreciation in the value of the crops of last harvest were on the whole doing very well, particularly in the southern part of the province, and the wool interest, so far as he could judge, was fairly prosperous. Great relief had been obtained by the outlet afforded for the disposal of our surplus meat by the > refrigeratinc process, and although the shipments for the present had received a check, he believed it would only be temporary. There had been a feeling of alarm created lately in banking circles by the large amount of sovereigns which had been sent out to the colonies from London, but it appeared that for the one million which had been sent out one million aud a half had beeu sent away from the colony, and he did not see why there should ba any uneasiness in the matter. He concluded by moving the adoption of the report and balance-sheet. Mr. James Smith seconded the motion. Although the hopes entertained at the last meeting had scarcely been realised, yet when they considered that they had passed through a time of very great depression, they had reason to congratulate themselves upon the position of the bank as shown by the balance-sheet. The motion was carried unanimously, the report recommending a dividend at the rate of 7 per cent. The Hon. G. Maclean was elected to the directorate, in the place of the Hon. W. Reynolds.