STATE FINANCES

New Zealand Herald, Volume LXXVII, Issue 23810, 11 November 1940, Page 3

STATE FINANCES

HALF-YEAR'S RESULTS REVENUE £212,000 LOWER Details of revenue and expenditure in the ordinary revenue account of the Consolidated Fund for the six months ended September 30 aro contained in a .supplement to tho 'CJa/.etto issued in "Wellington, The main totals were given by the .Minister of Finance, tho Hon. W\ Nash, in :i statement made 011 October 25, The items of revenue, compared with those for the corresponding half of last financial year, aro: 1040 10:i0 Variation ■C t £ Customs .. 4,571,000 5,450,000 -888,000 Beer duty . 711,000 510,000 -(-171,000 Sales tax . 1,647,000 1,800,000 -153,000 ]"'ilr»-hire tax 41,000 45,000 -1,000 Gold duly 53,000 52,000 +I,OOO Highways 3,300,000 1,752,000 -302,000 Stamps, etc. 782,000 1,480,000 -701,000 Land jax . 47,000 00,000 -22,000 Income tax 3,003,000 1,052,000 4-1,411,000 Miscellaneous 2,000 1,000 +I,OOO Taxation . 12,27(1,(100 12,850,000 -580,000 Interest .. 1,107,000 050,000 +238,000 Other receipts 1,110,000 080,000 +130,000 Total revenue 14,580,000 14,803,000 -212,000 The expenditure for the six months is compared with that for tho same period last year in the following tables:— PERM A NENT AT PR Ol> 111 ATI ONS 1040 1030 Variation £ £ £ Debt service 4,513,000 3,550,000 +003,000 Highways . 1,21)4,000 1,754,000 -400,000 Exchange 7(1(1,000 71)2,000 -2H.000 Other .. 100,000 834,000 -734,000 Totals . 6,073;000 0,030,000 -257,000 ANNUAL APPROPRIATIONS Social services . . 4,471,000 4,208,000 +200,000 Other services , . 4.000.0(H) 4,052,000 -892,000 Totals . 8,534,000 0,100,000 -020,000 Grand Totals 15,207,000 10,000,000 -883,000 QUOTATION ANOMALY SHARES EX DIVIDEND TRADING IN THE DARK Comment upon an unsatisfactory position which has arisen on the Stock Exchange in connection with the quotation of shares of some important companies on an "ox dividend" basis was made recently in Sydney by the Sunday Sun. At tho present time, for example, shares of Tooths and Colonial Sugar are being dealt in "ex dividend," although buyers and sellers are in the dark as to the amount of the dividend that will be paid, states the Sun. The companies may or may not maintain their distributions at the last declared rates. In tho circumstances, tho placing of a market value on the shares is purely a matter of guesswork. formerly this position could not arise, as shares were quoted "ex dividend" on the date of payment. Under amended Stock Exchange' rules, introduced some time ago, however, shares are now quoted, "ex dividend" on the business day next after the closing of the transfer books. This means that where a company closes its books before announcing the amount of tho dividend to be paid—as is the practice of many important companies—an unwarranted element of speculation is introduced into dealings between the closing of the books and the disclosing of the rate. Tho Stock Exchange, it would seem, should either insist that listed companies should announce the rato of dividend by the time tho transfer books close, or revert to the old system of quoting shares "ex dividend" 011 date of payment of tho dividend. Tho Stock Exchanges in New Zealand adopted the same rule as that applying 111 Australia relating to the quotation of shares "ex dividend." Colonial Sugar shares were quoted "ex dividend" on October 24, while Tooths have been 011 an "ex dividend" basis since the beginning of the current month. So far no announcement has been made in New Zealand concerning either company's dividend. LOAN AND MERCANTILE ORDINARY DIVIDEND RAISED (Received November 10, 10 p.m.) LONDON, Nov. 0 The Now Zealand Loan and Mercantile Agency Company, Limited, is paying a dividend of 3 per cent on ordinary stock for the year ended June 30. This is the highest since 1929-30 and compares with 2 per cent a year ago. STARCH FROM POTATOES CANTERBURY VENTURE A factory for the extraction of starch from potatoes \vill be opened at Barrhill, on tho bank of the Hakaia River, within the next few weeks, according to Mr. T. C. Melmchlan, chairman of the Mid-Canterbury farmers' Potato Pool. Some delay occurred in establishing the factory because of negotiations for Government assistance. A subsidy of £6 a ton on manufactured starch, equal to about £1 a ton 011 potatoes, is being given by the Government. "When tlie venture had been promoted about three months ago, 5000 tons of potatoes had been offered in Mid-Can-terbury. .Members of the pool were asked to hold their potatoes until the factory began operations. LONDON COMMODITY PRICES (Received November 10. 10 p.m.) LONDON, Nov. 9 Friday's closing prices in the commodity markets were: —Rubber, Para, 12d per lb.; plantation and smoked, lljcl; cotton, spot, 8.23 d. No turpentine quotations aro available. Tho market is nominal. SILVER AND TIN PRICES LONDON. Nov. s Silver is quoted at 23 o-16d a standard ounce and 23 3-16(1 a fine ounce, against 23 7-lfid and 2o o-lGd an ounce respectively on the previous day. Tho tin market is (inner. Spot: Buyers, £260 a ton; sellers, £260 10s. Forward: Buyers, £261 15s; sellers, £262. CANTERBURY PRODUCE [by Ti:r,i:oHAimi—imihss association] CTIR.ISTCIIUUCIT, Saturday Tho grain and produce markets are still very quiet, with few alterations in prices. Onions continue lo rise as stocks are depleted, the quotation to farmers now being £l6 on the trucks, sacks extra. The potato market is virtually finished. EGG PRICES UNCHANGED The Egg Marketing Committee advises that there is no change in the price of hen eggs, standard grade being Is 6icl a dozen, with, usual differentials for other sizes. The price for large size duck eggs is fs 3Jd, with usual differentials.