AUCKLAND AGRICULTURAL AND MERCANTILE COMPANY.

New Zealand Herald, Volume XXI, Issue 7003, 28 April 1884, Page 1 (Supplement)

AUCKLAND AGRICULTURAL AND MERCANTILE COMPANY.

The annual meeting of the shareholders in this company was held on March 31, Mr. G. W. Owen, Chairman of the Directors, presiding. The annual report was read. From, the' report w« take the following :—The company •has now been existence two years. The results of the past year's business have not been very satisfactory. This can only have been causad by the abnormal state of trade of the province during the last year. It is not difficult to trace the causes' that have acted so disastrously to the merchants of this oity. The farming interest, especially in the Waikato, suffered severely. The loss of their potato crop last year and the low prices of grain prevented their having the return they might naturally expect. The storekeepers relied on the farmers for their trade, and for the settle* i ment of accounts that would naturally grow between harvests. The mining district of To Aroha has not realised the expectations' that were formed abont it. The result was aloss to the merchants who gave much credit in that locality. The loss of the company in that district was mostly comprised in Mr. Carr's failure. The returns from the Thames and Coromandel have also fallen off. Several stores in these districts have been compelled to snapend payment. One that was considered the soundest had to seek extended time for payment, on account of Bevere losses. Trade in Taranaki almost collapsed, the tame might be said of our northern districts. The company many months ago bad to restriot credit where creditors wanted renewals. As some of those who were pressed sought relief in the Bankruptcy Court, the directors preferred and endeavoured to lessen accounts gradually rather than make certain loss by pressing payment through the Law Courts. Another cause was the excessive stock in importers' hands, and the desire to dispose of those stocks gave rise to undue competition and small profits. The grain trade of the past year was hot profitable. The company's loss on grain was ocoasioned by having to pay storage. Trade exi penses have been high through having such a large stock of bulky goods. As to shipping, muoh of the profit was drawn from the timber trade. As Melbourne and Sydney have been glutted, and the south of few Zealand suffering from bad harvests and low prices of produoe, that source of profit was cut off. Indications of better prices for timber enable the directors to look forward to this year with greater confidence. A profitable trade is being opened with Queensland. Owing to the present position of the Stanley, Lapwing, and Yol&nde, the profits j of the present voyages of these vessels 1 are not included in the balance-sheet. A sum of £600 may be fairly estimated on this account towards the next year. The directors have not added the increased value of the company's property, and after writing off £1482 5s 6d of bad debts, there was an apparent profit of £486 8s sd. But as there are still a number of unsatisfactory accounts, the loss upon which cannot yet be fully defined, it is necessary to make provision for them. The directors, therefore, regret that they cannot recommend a dividend to be paid. But as trade is assuming a more healthy tone; they look forward to the future year's transactions and feel assurred 'they will be able to meet the shareholders' with a sub stantial profit to compensate for the past year. J Balanoe SKT.KT. Inabilities: To capital, £100,000, less uncalled £76,228 '2s 6d—£23,771 17s 6d ; mortgagee £4050; bill* payable, £17,021 4» 84; other liabilities (open). £17,149 13s fid; profit and loss, £486 83 sd: Total, £63 379 is. Asskts: By stock on hand, £19,978 12s lid; properties (shipping), £22,674 18t 8d; bills receivable, £20914s 8d ; book debts. £17.93715s 8d; cash on hand, £96 12s Id: Total, £63,379 4s. On the motion of Mr. D. H. McKenzib, the annual balance sheet and accounts ware adopted. - The retiring directors, Messrs. D. H. McKenzie, James McGowan, and E, Y. Cox were re-elected.