The Freezing Company’s Meeting.

Southland Times, Issue 10967, 19 February 1907, Page 4

The Freezing Company’s Meeting.

ITo thu Editor.) Sir,—Alter my having established Mr lluxtou’s inconsistency by quoting w onls from his own mouth, he makes a \ci> wvak wrig-giu in reply. But what is to the point, is that he admits he said the money invested in A shares vvrilttofi to £3 was toot lost. Lot mu quote him. He now says '' When 1 said that LV»-' money was not lost and that ii a dm idcud was paid it should bo paid to all alike, allowing that 1 said sot a second chance to eonvort had not been given io A shareholders." What on earth basilic conversion of the shares to do with the matter V -Such a condition is not in the V>nd. When Hie company was reconstructed tho conditions were that the A. shares holders should write oil £-2 per share anti that the unissued shares, to be called B shares, “shall be preferential, having attached to thorn the right to a 'dividend not exceeding 3 per cent, per annum before any dividend is paid on any other shares, and also the first right to be paid in full out of the assets of Uncompa'ny (in case of company being wound up) before any other shares are paid.’’ A shareholders had the privilege (if converting on certain terms but it vva* uol obligatory, and they cannot be penalised for inaction. Even supposing dividends at 3 per cent, or i'n excess oi that figure, be paid to A and B Shareholders alike, the rights of tho B preference shares are still preserved inasmuch as their first mortgage on the assets is still intact and if profits should become so reduced that they will not go round the whole of the eapital at a pel cent. Ihe A shareholders must, again go short. Mr Buxton says, “ I a.m quitwilling t.o extend the utmost sympathy lo the A shareholders. What the A shareholders want is not sympathy but. their rights, and 1 am pleased to think there is such a sense oi fair dealing among the directors that now the profits are such as to justify it they will no longer lend themselves to using shareholders money without returning a fair rale, of interest.—l am, •A” SHAUKHOUIKK.