NEW ZEALAND INSURANCE COMPANY.

New Zealand Herald, Volume XXIV, Issue 7844, 13 January 1887, Page 6

NEW ZEALAND INSURANCE COMPANY.

':'■"; •...'■•.'/■■'.': '" . ♦ " The general meeting of shareholders in the New Zealand Insurance Company was held yesterday, in the Board room of the Company, the Hon. James Williamson, M. L.C., (Chairman) presiding. The minutes of last meeting were read and confirmed. The General Manager (Mr. G. P. Pierce) then read the following report and balance sheet :— , Report and balance-sheet presented at the general mooting of shareholders, held at the Company's Office, Now ZeaUnd Insurance Buildings, Auckland, on Wednesday, January 12,1887. The director! have pleasure In placing before the shareholders the statement of accounts and balance•heet for the year ending November 30, 1888. Alter settlement of all claims and makine provision for all ascertained lone*, carryiner 10,000 to Investment fluctuation account, and (610,000 to reserve fund, and paying an Interim dividend of Si per ahtre In July Let, there remain* a balance of £18,031 5s 10il, from which yiur directors declare a farther dividend of 8s per share, lest ing £3931 Sa lod to be carried forward to nest year. The dividend will be payable at the head office to-morrow, cad at branches and agencies on receipt of advice. Two directors, Messrs. J. MeCoah Clark and Samuel Browning, retire by rotation, in accordance with clause 68 of the Articles of Association, and, being eligible, offer themselves for re-election accordingly. The retiring auditor*, Meter*. Eraser and Laurie, offer themselves for reelection. For the Board of Directors, James Willi* hi son*, Chairman. Statement or Accounts tor this Khar khdino SOth Novembbk, 1886. PROMT AND LOSS. sit. £ g. d. £ *> d. Dividend for the half-yew ' ended 30th November, 1885.. .. .. 16,000 0 0 Interim dividend for the half - year ended Slat May, 1888 ... .. 16,000 0 0 M>ooo 0 0 ~ 80,000 0 0 Commissions, salaries, and other expenses 9.033 9 9 Government taxes and payments to Fire and Murine Associations .. •• 3,780 12 6 Depredation in currency on Indian de- . poiits and balances .. •■ 1,888 11 3 Fire and Marine losses, and appropria- e ton for unpaid losses - ..183,893 111 Reserve fund lv,ooo O 0 Investment fluctuation account .. 10.OCO 0 0 Balance ~ 18,931 6 10 ■ < • £267,027 1 2 on. & e. d. Balance at 30tu November, 1885 .. 22,866 16 6 Fire and marine premiums, lets returns and re insurances .. .. - 217,342 17 4 Interest and rents 26,618 BJ> £267,027 1 2 BA&ASOK SHEW. Da. £ e. d. £ i. d. Capital .. „ 200,000 0 0 Reserve Fund .. 135,000 0 0-He-iuiurance Fund -. 100,000 0 0 I 235,000 0 0 Investment fluctuation account .. 17,179 7 6 Appropriation for unpaid losses .. 23,5(9 0 0 Deposits and other liabilities .. 35,2*0 10 0 Balance .. ~ .. «. 11,931 6 10 £520,860 3 4 en. & m. d. £ «. d. Investments— Mortgage* and shares 201,633 8 3 { Company's freehold ' ' olfioe premise* and other real estate ... 227,652 19 0 United States bonds.. 10,600 0 0 Debentures .. .. 21.236 10 A Loans at call, short periods, and fixed bank deposits .. 23.49116 11 484,418 0 6 Accrued Interest and rents.. ~ 1,564 19 10 Hill* receivable 998 1 5 Sundry debtor* .. .. ... 3,883 9 3 Brinoh and agency balances .. £6,591 2 6 Cash in bank and in hand .. •• 12.899 9 10 £629,860 3 4 The auditors have examined the books and account* of the company for the year ended 80th November, 1886, and have to report that th > balancesheet now presented to the shurrholdtn Is a fail and fair balance-sheet, and exhibits a true and corroct statement of the affntrs of the company. Gkoro- FIUSBR) Anditon W. 8. UVUI / An(Uwn ' Auckland, January 11, 1887. The Chairman then moved the adoption of the report and balance sheet, and said : I am glad to be able to compliment the shareholders on the satisfactory result of oar operations during the past year, notwithstanding the keen competition and the widespread depression of trade and manufactures. The directors continue to adhere to the determination which has guided them throughout their career, to maintain, as far as practicable, the quality of their business, preferring a small and select one to showing a large amount of premium income. The uni favourable nature of trade during the last two or three years shows that this has been I the wisest course to pursue. Fires during the past year have been very numerous, and the general depressiou has slightly affected our premium income in New Zealand, as well u ia the other countries in which we are doing business,' We hare fortunately hud no serious marine casualty to swell our loss list, the heaviest individual marine lots having been £3000 by the Lytteltoa, at Tinura, and the heaviest tire loss. £1900. It is to be hoped that ere long trade will revive ; and, with returning prosperity, we may hope to have a revival of insurance profits. Our invested funds still yield as a fair amount of interest, and greatly assist our capacity for paying steady dividends. I take advantage of this opportunity of expressing the directors' appreciation of the services of our ssaaagers and agents, who hare done much towards maintaining the present position and prosperity of the company. I now have the pleasing duty of again moving, " That the report and statement of aooounts whioh have just been read be received and adopted," Mr. J. L. Wilson seconded the adoption of the report. . . . Mr. H. Grekn said there was an item in the accounts which he hud not seen before for depreciation in currency on Indian deposits and balances. Had it been previously shown in some other form ? The Manager said he did not think it had been shown as a specific line in the balanoesheet before, but in consequence of their very large connection in India it was thought desirable to make it a special line. The item was incurred in consequence of the variations in the Indian Exchange whioh were now taking place, affecting the exchange value of the rupee. Mr. Boardman said he thought the whole balance would have been better carried forward, rather than £20,000 put to the reserve and investment funds. In case of % bad year they might havo to draw on that investment reserve fund, and he should prefer to have a large balance generally brought forward rather than a small balance. It was only a matter of accounts. He also thought the time bad come when there was a good year that a small bonus might be given to the shareholders, especially as so large an amount of the dividend was paid out of interest and so little taken from the business profits of the company, and there was such a large reserve fund upon which no interest was paid. He thought that, in addition to the 15 per cent, on the paid-up capital, they might have a bonus of 2 percent, paid to the shareholders. The Chairman said the directors /els that insurance companies generally were paesing through a very trying time, and their object had boon from the commencement to make this one of the stable institutions of the colony. It was true that the 15 per cent, was upon the paid-up capital of the company, but looking at it in another light they were getting 7i per cent, on the whole funds of the company. For his own part he was an advocate of building up reserve funds and paying a dividend well within their means, and he thought the shareholders would be satisfied with the action of the directors. The report and balance-sheet were then unanimously adopted. v , . (,-.-■' DIRECTORS. . ■; On the motion of Mr. Thomas Pjjacook, M.H.R., seconded by Mr. J. H. Upton, Messrs. J. MoCosh Clark and Samuel Browning were re-elected directors. . . AUDITORS. On the motion of Mr. H. Grejsn, seconded by Mr. D. Ross, Messrs. Frazer and Laurie were re-appointed auditors. VOTE OF THANKS. Mr. A. Bull moved, " That the thanks of the shareholders be given to the directors, officers, and agents of the company." He thought in these times it would be a matter of satisfaction to the shareholders that they should be in receipt of a dividend on the original capital of the company of 15 per cent. Whether they reckoned the dividend on the paid up capital or what they had in hand, it was a very satisfactory dividend. There was no doubt that the company had an advantage in being one of the earliest companies in* the field, and had been able to consolidate its business. It was only by the exercise ot great care and caution that the company had been able to escape the calamities whioh had fallen upon many other companies. He was sure they would agree with him that their thanks were due to the officers of the company for the manner in which they had trantasted its affairs. Mr. Cminq seconded the resolution, whioh was unanimously carried. The Chairman, in responding, said, as one of the directors, he was at all times very much gratified at receiving that vote of thanks from the shareholders. He could assure them that it would be his endeavour. Had be could also speak for the other

direotors, to promote the interests of the company to the best of their ability. He thanked them for the vote. Mr. G. P. PiKKOB, general manager, returned sincere thanks on behalf of the officials. He had lately had an opportunity of seeing the working of the business in Australia, and had there interviewed their principal managers. He assured the shareholders that more zealous officers he never came across, and they seemed to have tho intereita of the company deeply at heart, and did all they could to promote them. Bβ again expressed his thanks for the vote. The meeting then terminated.