WOOLLEN MILLS' YEAR

New Zealand Herald, Volume LXXVI, Issue 23504, 15 November 1939, Page 7

WOOLLEN MILLS' YEAR

MOSGIEL OUTPUT EXPANDS HIGHER PRODUCTION COSTS HOPES FOR THE FUTURE [BY TELEGRAPH —OWN CORRESPONDENT] DUXEDIN, Tuesday Increased production which resulted in greater profits in spite of further restrictions and rising costs was . revealed by the chairman of directors, Mr. J. S. Hi si op, at the annual meeting of shareholders of the Mosgicl Woollen Factory Company, Limited. Mr. Hi si op also referred to the effect of war conditions on the business of the company, but expressed the hope that in spite of all difficulties operations for the next year would be favourable to shareholders.

"What effect the present conditions will have on our business is hard to say," Mr. Hislop said, "but I hope that in spite of further restrictions and everincreasing costs of production our operations for 1930-1910 may be favourable to shareholders. This year, owing to increased production, we have been able to show a profit in excess of that of 1938. 7 , his would have been larger but for high costs and restrictions. It is the intention of the directors to erect new machinery which will increase the mill output mid so offset shorter working hours and higher cost of production. Some of this plant is already ordered, but the date of its arrival is, of course, uncertain." Mr. A. H. Fisher, who seconded the adoption of- tho report, said he l'elt sure that no matter how black the outlook for the future might be, the company would surmount all its difficulties. It was very hard for any company to make progress to-day, he added, because taxation absorbed about 50 per cent of the jirofits. When peace was restored lie hoped more consideration would be extended to- private enterprise, which was the backbone of the country.

DUNLOP-PERDRIAU NEW INTEREST ACQUIRED BRADFORD COTTON MILLS Arrangements have been completed for the sale of the land and buildings of the Barnet Glass Rubber Company, limited, in Melbourne, to Bradford Cotton Mills, Limited, of Sydney. This announcement was made by Mr. W. A. Watt, chairman of the Dunlop-Per-driau Rubber Company, Limited, and acting-chairman of Barnet Glass, who said the buildings would house newplant which Bradford Cotton proposed to instal under a projected plan of expansion. Mr. Watt also announced that under an agreement to be entered into between Dunlop, Barnct Glass and Bradford Cotton, the first two companies would acquire a substantial interest in the old and new capital of Bradford Cotton. "The arrangements will be to the advantage of all concerned," lie added.

Bradford Cotton recently increased its capital to £-100,000, and in August acquired tho business of Austral Silk and Cotton Mills, Limited, of Melbourne. A policy of expansion embracing the manufacture of 4,000,000 square yards of canvas and duck cloths a year has been embarked upon by the directors.

Dunlop-Perdriau, which already owns all the ordinary capital in Barnct Glass, in July this year took over the distributing side of that company's organisation. Jn September, 19.37. all manufacturing activities were transferred to tliig Dunlop factories at Montague, Victoria, and Drummond, New South Wales.

WOOLWORTHS (N.Z.) LTD.

TAX OVER 10/- IN THE POUND

The full accounts of Woolworths (N.Z.), Limited, for tho year ended October 2, show that the not profit of £116,866 was struck after setting aside £150.500 for taxation in the year under review and a further provision of £IB,OOO is made to meet additional taxation on the previous year's profit duo to recent increases in the rate. During the year the rate of taxation was increased to slightly more than 10s in the pound. The directors state that the affairs of tho company progressed favourably and all branches arc operating satisfactorily. A transfer of £11,2-19 is made to general reserve, making the total to the credit of general reserve and reserve account £124.130. The sum of £1.500 is appropriated to tho staff provident fund.

BROKEN lIILL SHARES MELBOURNE MARKET REPORTS A sharp rise in Broken Hill Proprietary shares in the Australian markets last week lead tho Argus, Melbourne, to comment on rumours in the market that a further new issue was likely to be made by tho company, probably to finance tho projected establishment of a tin-plating industry at Whyalla, South Australia. The report added that, in tho meantime, it was understood that negotiations were proceeding between the company and the Federal Government as to possiblo assistance to be granted, but no decision has yet been arrived at. The shares previously roso sharply in August, following the announcement of a capitalisation of £4,459,790 of reserves, which will result in a bonus issue of about 64 new shares for every 100 held.

FIJI'S TRADE RETURNS INCREASE IN EXPORTS ■ t [ritojr or it own coitiuosroNDHN'r] The total trade of Fiji for the nine months ended September 30, 1939, was valued at £3,204.963, which was £393 in excess of the corresponding period of 1938. Imports for the period showed a decline of £60.771, and exports an increase of £61,160. This was entirely due to the increased value of gold bullion exported, the value rising from £51.5,527 last year to £632,755 ior the current period. In exports sugar shows a decrease in quantity of 4117 tons, but values increased from £995,116 to £1,064,805. Copra is down 8931 tons in quantity, but the value'decreased from £221,317 to £121,460. Bananas decreased from £50.822 to £17,352. The exports are still much below the average. Imports totalled £1,247,127, as against £1,307,898 last year. The total value of exports was £1,957,836, compared with £1,896,676 in 1938.