NORTHERN STEAMSHIP CO.

New Zealand Herald, Volume LII, Issue 15927, 26 May 1915, Page 5

NORTHERN STEAMSHIP CO.

PAST YEAR'S OPERATIONS.

EFFECTS OF THE WAR.

USUAL DIVIDEND DECLARED.

The annual meeting of the shareholders of the Northern Steamship Company, Limited, was held in/he company's office, , Quay Street, yesterday, when there \va • a good attend nice. .Mr. J. 'H. Upton, chairman of directors, presided. ■ The directors' report for the year ended , March 31 last stated that the net profr on working account for the year, after making provision for insurance, depreciation, and boiler and repairs account, was £11,193 Os 7d; the transfer few amounted to £10 10s: balance brought, forward on April 1, 1914, after deducting the dividend, was £1312 0s 2d, making a total to the credit of the profit and loss account of £12,515 10s 9d. The following appropriation of this was recommended — jo payment of a dividend at the rate of 7 per cent, per annum, half of which was paid to shareholders on November 20. 1914, £11,298 17s; leaving a balance to be carried to the credit of the profit end loss account of £1216 13s 9d. The Chairman, in moving the adoption of the report and balance-sheet, said :— "In presenting yon with a report, of our operations during the past year you will not, I am sure, be surprised when 1 say that the result is not quite so favourable as shareholders have been accustomed to expect, but is, in our opinion, fully as good as we could reasonably ©pect in face of the disastrous war in which the Empire is now engaged. In the early stages of the conflict, as yon know, 1» general feeling of suspense* existed, and we soon experienced a serious diminution both in passenger and freight departments, and while confidence has since been somewhat restored, we have not yet returned to the conditions prevailing before the outbreak of hostilities.

Palling off of Gum Trade. 'The almost total collapse of the gum business thiew many men out of employment, and reduced our gum-carry trad a almost to zero. As the market for a good deal of this product was on the Continent, of Europe, w.i carrot Ink or 8 iy material improvement in th« deraana- until peace has been restored. We hare b""l to pay much higher pn'iw> 'or supnlie )r our vessels, more espeti?',',,' in the vi waging department. Farmers arv to be ..r.gratii2ated on the enhanced prices tl *y have been receiving for stock and pro It. o, but as large buyer of meat, butte:, (oui .and other articles 'A food, while on/ purchases at enhanced prices b've in a small degree contributed towards the prosperity of tlm producer, it his had tJic- .pposik < lect on this company. " Under these circumstances we kve not found ourselves able to make qaite the normal provision for depreciation and insurance. We have accordingly for this trying year appropriated a acmewhat smaller sum than usual to these accounts. The company's position is in no way prejudiced, and we propose the usual dividend. Our vessels , are all in good order, a large sum' having been spent in overhauls and renewals. Additions to the Fleet.

"You will notice that our liabilities are higher than in our last balance-sheet, which in due to several additions to our fleet. The Arapawa was purchased in Jul last year for our West Coast trade, , and has proved a very useful and service- ! able vessel. We have also add?d the two light draught auxiliary vessels to which reference was made at the last annual meeting. Wo hoped to have had delivery of these vessels by October last, but while the local contractor for the hulls fulfilled bis engagement as to time the machinery was delayed owing to the war. One of them, the Te Teko, was not completed until the end .of December, while the machinery for the other, the Paroto, only arrived at' the end of last month. Had they been ready for sea by the date originally fixed we should have found them very useful during the exceptionally dry summer, as the Opotiki arid Whakatane bars have been unusually shallow, and tho working of those ports has been both difficult and expensive. ' ~.-." ' '" "We have .ileo a vessel for-the Waipti trade under construction at Port Chalmers by Messrs. J. McGregor and Co., which will be finished in October. A new boiler has been placed; in the Orewa, and tho Rimu 'and Weka . have*- extensively altered and improved, so that they are now doing good service in their respective trades. The total expenditure on new ships and improvements to vessels has beetf £24,602. The necessary repairs -to -the fleet have been paid out of income as usual. We do not anticipate a, recurrence of such heavy expenditure during the coming year, for when. the vessels at present under construction have been co npleted no further additions will be necessary for some time. Had .business continued in its ordinary course it > was, our ; intention to have proceeded . with' Oho .•■ erection of a slipway, on the section of land we have Pleased from-the Auckland Harbour Board, but it has been considered advisable" not to take any action in the matter until -the war is over, when it is hoped conditions will be more:favourable for carrying out the work., |a

'- Casualties and Insurance. "'V „ "Several minor casualties have occurred during th< period under v review. The Clansman, and k Wakatere each collided with small sailing craft, while the Toniwlia and Waimane .fouled each other when passing in tho Hauraki Gulf. The total cost of damage and repairs in each case has been charged to tho insurance- account. I may remark that this insurance account is not our only provision against■ loss. While we rely on our own fund for risks on all vessels up to A' value of £10,0 CO, we, in addition to thai, ittnurc outside for any excess over £10,000 in the value of any vessel. "Claims arising under the Workers' Com pensation Act and the Shipping ant! Seamen Act have 'been charged to insurance account No. 2, which, while lower than at last balancing period, is considered ample to meet the risks for which it was established. A seaman was drowned by falling overboard from one of our vessels, but no accidents of any kind have occurred to passengers. Harmonious Eolations With Employees..

"The company's relations with its employees, I am pleased tc say, continue? - to be satisfactory, and vrr hope the harmonious feeling now existing will remain undisturbed. An agreeticn* for three years, as to wages and conditions of employment, has been made with the marine engineers. It is with deep regret that I have to allude to the death, after a short illness, of Captain Edward Stephenson, one of our most experienced masters, who had been in the service oi the company since its formation, and always had its interest and welfare at heart. •' I think I have now referred to all the subjects that call for remark in connection with last -year's trade. It is, of course, impossible to indicate our prospects for the coming year, hut wo shall endeavour, by adjusting our business to existing conditions, to conserve tie interests of the shareholders in every possible way so as to ensure a satisfactory result.. I have now much pleasure in proposing the adoption of tho report and balance-sheet, and if approved the dividend will be payable to-r<iorrow. ' The motion for the adoption of the report was seconded by Mr. C. V. Houghton, and was carried unanimously. . .

Re-election of Directors. : The retiring directors, Messrs. J. Brown, C. Rhodes, and M. A. Clark, were reelected on the motion of Mr. •G. Win- / stone, seconded by Mr. D. A. Cray. ilia -. -..... retiring auditors, Messrs. G. O'Halloran *■ and W. Wallace. Bruce, were re-elected,. -si A vote of thanks was carried unani- ■-$$ mously to tho directors, who. thanked the . ~" shareholders for their renewed confidence. The meeting concluded-* with a vote of • > thanks to tho' manager and : staff ashore and afloat, which the manage. Acknowledged, ~. c' . i/j.xi A ■.■•'• :;■ V'- '■"■•.v:;' : '%vr!;-. -■';.. .;■," : .."; ; ' : ; ;^:! i¥f§i