OHAI RAILWAY BOARD

Southland Times, Issue 21996, 21 April 1933, Page 3

OHAI RAILWAY BOARD

MONTHLY MEETING OF BOARD. IMPROVED FINANCIAL POSITION. (From Our Correspondent.) The monthly meeting of the Ohai Railway Board was held at Wairio on Wednesday, when the following members were present: Messrs G. S. Edie (chairman), D. D. Macdonald, E. Davis, L. S. Edmond, W. Crawford, and W. Excell. The general and traffic managers were also in attendance. General Manager’s Report. The general manager (Mr A. W. Rodger) submitted the following report:— The accounts for the year ending March 31, have been closed and the audit completed. The following is an abridged comparison of the operating results of the year just ended with

Net Decrease for 1932-1933—£3,053. The surplus of income in excess of expenditure for the years dealt with above is as follows:— 1931-32 1932-33 Decrease Income in Excess of Expenditure £5174 £1399 £3775

It is perhaps unnecessary to state that the major cause of the decrease in revenue was due to the strike at the principal mines which lasted for 28 working weeks. It is right, however, to point out that, in view of the experience immediately preceding the strike, approximately 10 per cent, of the decrease in coal haulage might be attributed to the general depression in trade and the unusually fine weather conditions which have prevailed throughout the year. Turning to the balance-sheets, the effective liabilities of the board as at March 31, 1932, were as follows:—

A net decrease in liabilities of £2595 in addition to which £792 had been expended on capital account during the period so that despite a drop in revenue of some £l6OO in excess of the previous year’s net surplus, the accounts show that the board’s financial position has improved to the extent of £3387 during the past 12 months.

The alteration in the board’s financial arrangements brought about by the enactment of the Ohai Railway Board Act 1932, presented a fitting opportunity for adjustment of the board’s books and balance-sheets by “writing off” the irrecoverable balance of the cost of the Moretown line (£19,578 5/4) and the preliminary expenses (£4557.14/11) incurred in promoting the Ohai Railway District and its undertaking. At the same time the interest which was earned on the investment of the sinking funds relative to the £30,000 and £20,000 loans which were repaid during the year- has now been carried to the credit of income and expenditure. The balance-sheet, therefore, now shows on the credit side only the available assets of the board taken, in at cost price, and on the other side its actual liabilities and reserves. Excluding such reserves there is shown a surplus of assets over liabilities of £147,069 3/3. Tlie report was adopted. Traffic Manager’s Report.

The traffic manager (Mr R. Donnelly) presented the following report: Since the last meeting of the board the surfacing gang has been employed most of the time on the main line between Reeds and Tinkers. A heavy downpour of rain occurred about a fortnight ago and was responsible for five small slips in a cutting of No. 3 section near the viaduct. The water tables have been cleared at the slips and the remainder of the material will be removed after more pressing work has been attended to. A start was made on Tuesday to lengthen the board’s loop at Reeds so as to allow for siding accommodation there to the Star Coal Company. The company desired the board to supply material and laboui’ to construct a coal and dross road and connect these with the board's extended loop. The material required, with the exception of fish plates and bolts, is in stock and the job will be proceeded wjth at once. The report was adopted.

that of 1931-1932:— INCOME. 1931-1932 Tonnage Rev- Toi enue Coal railage 175,821 £19,716 117 Goods, Fares, 1932-1933 mage Revenue ,655 £13,194 £540 £129 etc. Rents £853 £124 175,821 £20,693 117 .655 £13,863 Decreases—Tonnage, 58,166; revenue, £6830. EXPENDITURE. 1931-1932 1932-1933 Hire of Trucks £2267 £1418 Interest 3386 2229 Running Expenses 2263 1869 Resleepering 1042 220 Salaries and Wages 3933 3834 Depreciation 1813 1618 Members Expenses. Insurance. Audit. Offlee Expenses, Rates, etc. 74G 761 Unauthorized 46 75 Legal Expenses 14 334 Travelling Expenses 8 61 Election Expenses —— 26 Commision of Enquiry — 18 £15,518 £12,463

£ a Debenture Loan 30,000 Antecedent Liability Loan 20,000 £50,000 Less Sinking Funds 23,931 26,069 Creditors for Accrued Interest 988 Bank Overdraft 6,465 33.522 Less: Sundry Debtors 704 Payments in advance 44 748 £32,774 On the same basis, the liabilities as at March 31, 1933, were as ; under:— Capital Expenditure Redemption Loan £31,000 Bank Overdraft 87 £31,087 Less: Sundry Debtors 1 373 Payments in Advance 35 — 908 £30,179