JOSEPH NATHAN AND CO.

Otago Daily Times, Issue 19196, 12 June 1924, Page 5

JOSEPH NATHAN AND CO.

MEETING OF SHAREHOLDERS. SUBSTANTIAL ECONOMIES. (Fbom Odb Own Cokbespondbot.) j - LONDON, April 2*. ’ Presiding at (be twenty-fourth ordinary general meeting of Joseph Nathan and Co., ( yesterday, at Glaxo House, Mr L. J, Nathaa , j said it was a matter for regret that they were not meeting under more, favourable conditions. Nevertheless, he was hopefuL.. as to the future. These hopes were based on the fact that the company was passing., through these hazardous, anxious, and wot-*, i , rying times with added financial strength* : He thought it would be agreed that th<« a balance sheet showed a sounder position than last year, and reflected the board’s 1 endeavour to bring the company into -aL.,; financially strong position to meet any con* ditions that might arise in the uncertain future, A reduction of some £IBO,OOO had becn< made in stocks. He reminded the share* holders of last year’s speech, in' whiohi 1 they were informed that the directors were devoting their attention to adjusting their’’ | manufacturing agreements to the new con- 1 ditions ruling in their consumption markete. When the board came to review the new conditions ruling on receipt, of the revised manufacturing agreements they came to tbo conclusion that a hold policy of stock re* ’ duction would ultimately mean not only an improved financial and trading position, but an increased profit-earning capacity for their chief department. The directors bad substituted substantial economies, based ■ upon existing conditions of trade, without jeopardising the efficiency of the organisation, so as to enable them to take advantage of any improved trading conditions that might arise while they had in band certain new development allied to their existing business, and these new additions should prove beneficial and profitable to the company. In the course of a lengthy discussion* Mr H. W. Snow criticised the accounts' as being insufficient in detail, and moved an amendment to the resolution to tho effect that a small committee _ of _ shareholders should be appointed to inquire info the way the company was being run, and : also as to what steps were being taken tab make the company profit-earning. REPLY TO QUESTIONS. The Chairman, in reply to questions, said that with regard to the nature of the business he could tell them that they were ■ manufacturing glaxo, dried milk, butter, cheese, casein; they wore conducting a large business and a retail distributing businessl in New Zealand, and in_ this country they were acting as brokers in the distribution of butter and cheese, and as commis- : sion agents tn buying drapery and soft : goods for houses in Now Zealand. They had also a large business here in milk products, full cream, and separating milk, and of casein. In addition, of course, ; there was the glaxo business. They were acting in New Zealand ns distributing agent? for English manufacturers, and ft was neccs?ary to have travellers all over the country working the wholesale and retail trade. They were agents for some leading manufacturers. That, roughly, was the nature of the business which the company undertook. Referring to depreciation, the Chairmail' ' said that no certain assets as much as 20 per cent, had been allowed, on others TO per cent., and bn others 5 per cent., and on some solid assets, such as freehold buildings, 2i per cent. So far a? their intorekl ’ in other companies were concerned, they” were interested in certain co-operative trading companies, but the main holding of shares represented businesses or department*' which had been turned into companies to avoid double taxation, and were tbeir own subsidiaries. DISTRIBUTION OP GLAXO. ■ Mr Alec. Nathan said it was not a Cajefi.i (hat the distribution of glaxo bad btoa taken from the wholesale houses and pa# i into tho hands of chemists and grocers, jjiere was no friction whatever in tho-:. distribution of glaxo in England to-day. Speaking of the turnover of glaxo, he said ' ' he wag quite prepared to disclose tl-A figures if ho bad the permission of th«i directors to do so, but he thought, in view* of Uie competition which existed, it wouldho unwise to make those figures public 1 ht the present time. It would onlv be giving l valuable information to their competitors; ' A shareholder appealed to Mr Snow to withdraw his amendment. It. was, be said, 1 in difficult time? such as those they had 1 ’ been passing through (hat the shareholder* ; V snoukl give the directors tbeir sympathy. (o himself was a large shareholder, and ’ had a great many friends heavily interested - in the company. He had seen the dime.' tors a few da vs ago, and had heard tlieir • explanations of the difficulties they had’had to encounter. He then ventured to tell' them that anything he could do to help ' them he would be very glad to do, and : he thought that was the soirit they ought to adopt in these difficult times. Tho ' amendment w»s put to the meeting 'and 1 declared lost, and the original resolution* for the adoption of the report, was then put- and carried. Mr iv. C. C. Potter then proposed tbs > ; re-election of Messrs Alec. Nathan, A. San- ' dercock, and S. Jacob as directors of tho company. Mr Robert Barlow seconded tho motion, which was unanimously approved. On the motion of Colonel Rose, seconded ■- bv Mr Snow, (he auditors, Messrs Jackson,; Pixiev, and Co. (London), and Mr Reginald Davies (New Zealand) were reappointed. Mr Binnie, in returning (hanks on behalf of his firm.'congratulated tho directors and the shareholders on having a very much healthier balance sheet than at tie 1 same date last year. He considered the accounts were as full as required. In his view, the company had a bright and prosperous future. Dr Mends-Gibson, in moving a vote ofi (hanks to the chairman, spoke of the highly satisfactory results which he had obtained by the use of glaxo while medical officer, of health for a large district. The vote having been accorded, the proceedings terminated.