Page 4 Advertisements Column 2

Oamaru Mail, Volume II, Issue 377, 9 July 1877, Page 4

PROSPECTUS these works, Massrs. Guthrie and. Larnach have been compelled to run the machinery overtime, on an average of two nights per week since the opening of the new Factories. The -whole of the extensive Factories and Stores (specially designed by David Ross, Ksq , architect, of this city) are substantially built of brick and cement, on solid Milestone and concrete foundations (all timbers being of the best and most durable descriptions:, covering an area, including the tinibe- yards, of several acres of valuable land in the chief streets of- the city. The whole of the splendid modern machinery was design d and planned by an eminent engineering firm in Glasgow, under .Mr. Guthrie's imm diate supervision while in Britain, and after a ve- y careful inspection of the principal woodware factories in America. Britain, and on the Continent. Each machine has been (irmly placed on a solid bed of compete, where necessary, to prevent the possibility of vibration, and to avoid wear and tear. The contract for the purchase of machinery was cut red into when materials and labour in Scotland were at their lowest. The important advantages to shareholders in a Joint Company of entering into possession of a large manufacturing ami importing business in lull operation on a fixed .late, with a thoroughly tiained staff o! oiheors and men and a large mercantile connectira without having to wait for the erection of buddings, importation of plant, stock, etc., or being subjected to any of the ri ks mikl delays incidental to the starting of anew business, and with ail preliminary expenses paid, should be at once apparent to investors. The following special advantages are worthy of notice : Ist. The whole of the machinery in the Factories is driven l>y one pair of powerful engines, worked by two men—an engineer and fireman—whose wages may fairly be said to constitute the whole expense in connection | with the motive power, as the oidy fuel re qu red to keep up steam is the sawdust and shavings drawn from the diiferent factor'et as soon as made, by means of pneumatic lube , and deposited in a large brick safe, ready Tor consumption a'ongside the boilers. By tins means all rubbi h is utilised and made a sour, e of profit, and the cost oi labour reduced to a minimum, 12nd. The four Factories being worked under one roof, a great saving is con-e queutly effected, not only in the motive power, but also in the management, as the whole can be superintended and controlled by one manager. 3rd. 'J he Tub and Bucket Factory, now in full operation, has a monopoly of the supply of these indispensable articles, there being no other tub and bucket factory in the Australian Colonies. A large return maj therefore be looked for to the credit of thb branch of the business. 4th. Tlio whole of the Factories, especially the Furniture Factory, being worked in connection with the general timber business, is carried on most profitably, not only from the fact of the iir.-t cost of the timber being procured at the cheapest possible rate, but also that large quantities of .short cuttings of limber, which would otherwise either be sold as job lots at a low price, or sent to the fur nace to be consumed as fuel, are utilised. The Union Sash and Door Company in Auckland is of a similar character to the New Zealand Woodware Factories, only being much less extensive. It is, however, a fab criterion to base ca'cula'ions upon, as to what may be expected from the New Zealand Woodware Factories. The Compam referred to has only been in active operation for a little over four years, and has paid annn.'il dividends of 20 per cent., beside earr\ ing large amounts to reserve fund; so that, in addition to the very handsome yearly dividends, the original L;"> shares of the Company are now quoted at L 7 10s., and a new is.--Ui; allotted to shai eliolders, on which L"2 10s. has been paid up solely out ol reserve fund, are quoted at J. 3 10s., making the present total market value of the original shares Lll, or a premium of 1:20 per cent. In connection with this, it is a fact that the profits shown to have been made in JMessts. Guthrie and Larnach's business for the same period considerably exceed that made by the Union Company in proportion to the capital invested ; so that the promoters have good reasons for believing that rot onlywi.l large dividends be paid regulirb by the < 'ompaiiy, but that its stock will at once become a much-sought after and favorable investment M-. Guthrie has consented to be fully identified with tne business for a number oi year-; as .Managing Director. Air. Guthrie's practical skill and long experience in the trad -i are well known ; the high position to which the firm has attained under his management indicates the measure of prosperity which ma} - reasonably be expected in the future; and as a proof of Air. Guthrie's and his partner's faith in the future prospects of the concern, they are willing to hold one-fifth each, or equal to two-fifths of the entire capital on their own private accoui.t, purchased in fudy paid-up shares. And as a further proof of their confidence in the future prospects of the Company, they have decided to guarantee that the Company's net profits for the first three years shall not be less than ten per cent, jier annuni on the actual capital for the time being employed in the business, or equal to a sum of about to be paid to the shareholders within three years. 'I hey expect and believe that the profits will considerably exceed this rate, but investors will by this means know the rate of their minimum profits. By way of further securing the observance of the guarantee, the firm have agreed to deposit with tin Directors of the Company scii,> of the Company during the tirst year of the value of LSO 000, during the second year of L 40,00(), and during the third year of L'2o UfiO, and to execute a legal charge upon the same in favor of the Company. .unending shareholders may therefore rest assured that no more legitimate or lemunerat:ve outlet for capital, or one presenting better or'more extensive future jJfospects, has ever been ottered in New Zealand. The reasons which hc.ve induced Messrs. Guthrie and Larnach to take this step are—--Ist. That their term of partnership ex- j pires by efiiuxioii of time in the couise of a.! lew months, when it is the intention of one j of the pasuiers to retire from active business, j