NELSON FREEZING COMPANY, LIMITED.

Colonist, Volume III, Issue 12723, 15 December 1909, Page 3 (Supplement)

NELSON FREEZING COMPANY, LIMITED.

(Prom "The Colonist," Nov. 2-1.)

The annual meeting of the abovenamed company was held last even-ing--in the Chamber of Commerce room, there being a large attendance of shareholders, every portion of the Nelson district being represented. Air George Alacmalion presided. An apology was received from Air Rutherford, of Kohatu, for his absence, also congratulatory upon the success of tho company. The report and the a/udited statement of accounts were taken as read, having been previously circulated. The Directors reported as follows : That in accordance with the instruc terms given at the last general meeting they proceeded with the erection of the works, and were enabled to commence freezing operations by the middle of February. They were successful in obtaining the services of Air J- A. Mitchell, late of the Christchurch Aleat Company, Limited, as manager of the company. Owing to the short time at their disposal'thc works were by no means completed when operations commenced. This, together with the fact that 1111111I'sr of shareholders had been holding their stock awaiting the opening of the works, made the business somewhat difficult te handle, but your Directors and manager sui mounted tlise difficulties, and as a result cf little more than three months' work 12,739 carcases of lamb and 7660 carcases of mutton wore frozen fr.r export. They deeply regret that owing to tho unprecedented state of the London market lower pries have been ruling than for many yeais past. They have reason to believe, however, that this has come about by a coinb:nation of causes that fchey trust are not likely to occur again, but that prices for the coming season will come back to normal. The sales returns have not conic to hand in ti ne to !>■:> incorporated in the ateoipits. but yondirectors have been advised hy tlw* Lmi don agents that the quality and grading has given that market every satisfaction and that they w'Jl be able to secure for the company's brand in the future prices that will take rank wiv'h the best qualities in New Zealand. The shareholders and the provinince are to be congratulated upoci having secured a thoroughly up-to-date freezing works . and at a comparatively low price. Your Directors regret that doubtless owing to the financial stringency shareholders have been unable to keep faith with the Company so far as the payments of calls are concerned. The question of finance has caused them a good deal of anxiety, but tliev aire glad to be able to report that all that is required in order to place thrCompany iv a fairly easy financial po. s.i'.iiofii is that shareholders should pay up as quickly as possible all their arrears of calls. Owing to the short time at the disposal of the Directors for making the necersary arrangements of getting the works ready for operations, it was found impossible to get the fellmongoring department, under way this season. They have now. however, completed all arrangements or the coming season, so that tlr's most important pa-rt of tlie Company s business will lie in full operat'on. Arrangements are now well forward for the conning pea son. Your manager has been through most of the country detracts and reports that the outlook for stock to keep the works well employed is exceptionally good.

The st„t 'incut of accounts showed the gi-o's profits to end of September hrt to be £1251 19s, and the net profit at £106 9s. The landed property i.s valmcl at £912 |O s Gd, and the buildings and nvehinery at £19,657 13s Id. Salaries amounted to £'311 ].?s 4d, and insurance to £77 ss. The preliminary expenses amounted t,i £416 19s 4d." Rcceiwd on account of -chares £13,130 lOs, un-

paid calls £2497. The auditor's report was read. The chairman, in moving the adoption of the report and balance sheet, said the shareholders had little cr »:o idea of the many difficulties the directors had to overcome in getting the vrarks established, and the buildings and plant sufficiently advanced to start operations when they did, abt.ut the middle, of February, 'lite woiks were by no manner of means complete then, but a 'tart was made at slaughtering in order to relieve the pressure of fat steck . The manure department was got going within ten days of the works being opened. The ft lla zzngeiy department was not pushed on, as the supply of water then at caiiimaud was insufficient. Sauce then ample supply of water hid bfcon obttri'/'d, ami the plant was installed dining the sbek

season

Clieuts who freeze on their own account now have the s.k i n s fellmongerrd at the works, ami the wool shipped to Loudon, thereby -reaping the frill advantage to be gained. The unprecedented tightness of the moneymarket upset the directors' calculations, and they found it extremely difficult to meet the obligations in respect to the erection of the buildings and plant. They got over the difficulty by floating £5000 in debentures. He drew the attention of the sharehnUlers to the fact that the csl'r in arrears, ait.d the amount rucalle.l. 'amounted to over £3000. He also call.-" 1 ■attention to the fact that intercs/ is br-iing charged on all oiitste.nding calls, in accordance with the articles of association. He urged the necessity of rhareholdcrs paying up nil :'.;•- Tears. He staled that it was the intention at first only to freeze carcases on owners' account, but it was semi realised that there were a great nviny small lets, which the ownerswished to sell, and would not freeze on tlieir own account, and these were bought at a perfectly safe margin. He referred to the meat arriving at Home during the biggest slump that has ever taken place in the frozen meat trade, consequently the meat from Nelson vvs not scJd, but was he'd in store. He stated the account sales are not yet to hand, but the London agents -have advised that th holding policy h-as well repaid t^e company. He f-avJ it was parttcularlv gratifying to know that the Nelson m.ititon and lamb had been so w*>l] ro-ca.-ved.Jn London . In finite of its being a new brand, and the market being overstocked, the agents had succeeded in establishing the brand, and creating a' demand for "the meat, the oualitv giving great f a tjsf action. Tie hoped by. tlie <?"d of tho coming reason' tliev would be able to report t.hr>t the me.it would b" deemed not only bettor th.?n auythinir outside of Canterbury,- but equal to Canterbury's

best. The matter of quality, he urged, was in the hands of the shareholders. It was possible for them to make a name for the district, by only orceding from the best stock available. He congratulated the shareholders on having an up-to-date works, and on the result of the first year's operations. Ho had great pleasure iv moving the adoption of tne report and balance sheet. Air Kaye, of Chrisfchurch, said as a shareholder he had much pleasure in seconding the motion. He oon.fidercd the directors had shown enterprise, pluck, and intelligence in surmounting all difficulties, ' and tho company was very fortunate c:;i the first year to show something of a profit, for experience showed tho contrary in the history of companies Ho urged the shareholders to keep tho quality going, which was of vital importance. He considered the main cause of the slump in the Home market was the tightness in the money market. When there was no money in the market the prices of thing's go down. AVhen the people r.t Homo were short of money they bt.mdit loss meat, which they consider a luxury. He referred to tho competition of Argenfcii!,?, and the latest- move of a syndicate in that country to have a steamer laden with moat arriving at London every Alonday morning. He said he would like to see better organisation among the freezing companies, and would be sorry to see anything like Government control as regards the industry. He urged on the shareholders to loyally support the directors, and to see to it that they got hold of the right description of stock. He hoped the company would be successful, and be able to dxiare a dividend next year. Air Shirtliif wanted to know if there had been any loss on the carcases purchased by the company? . 'Hie chairman said they could* not tell yet, as they had not received the account sales. He felt confident, if there was a loss, it would not be moro than. £3-50.

Air King thought tlie' shareholders should pay attention, to producing a uniform carcase.

Air Clorrigan congratulated the shareholders on the success achieved. He ventured to predict, if the share" holders paid due regard to their flocks, that inside of five years the Nelson brand of moat would beat that of Canterbury. It would be their own fault if it did not.

In answer to Air Saxon, the chairman said the company's accnt at Home, Air Gilbert Anderson, had nothing to do with the Christchurch Aleat Company now. The price obtained by the company for the sheep skins was deemed very satisfactory. In reply to Air Shirtliff, the chairman explained how it was tenders wore not invited for the manager's house.

Air Shirtliff considered as regards such work every shareholder should be given a chance.

The report and balance sheet were unanimously adopted. The chairman asked any shareholder who ha.:l a ballot paper for voting for directors to hand same in to the secretary.

Dr Hudson and Alessrs Glasgow and Corrigan were chosen as scrutineers to count the ballot papers. Air Bamford and Air Rowley were both nominated for the position of auditor, at a remuneration of 25 guineas. On a show of hands, Air Bamford was declared elected, he receiving °D votes to Air Rowley's 18.

Mr Corrigan strongly urged that the company in future should not purchase any of the ireait, and Air Shirtliif endorsed that opinion. The chairman said the directors had agreed not to buy, and to freeze on the owners' account only. They were not going to speculate, the shareholders could rest assured of that.

Air King urged the shareholders to take up more shares, and get aid as <}i-i'l*-kl_\- as i>os.-.&;!>1<-- of tho £0000 i,x -dobe 11 til IOS.

Air Kayo said then- could hardly say the Nelson brand was established in the London market. He deemed it wise to leave it in the hands of the directors to deal with the meat and it would be unwise to place limitations, which migiiT prove injurious to the interests of tho company.

Air George Dnih-.-m considered it a favourable time to see if more shares would not he taken up by the public. Air Kaye mo\e.;l, Air Phillips seconded, and Air Corrigan supported, that a hearty vote of thanks be accorded Air Saxon and his family for generously giving the company free of charge a supply of water for the works.

The motion was carried by acclamation,

Air Saxon said the' water had been, given for the benefit of the freezing works. If the company was satisfied, so were the Saxons (applause). On the motion of Air Kaye, seconded by Air Sinclair, a hearty vote of thanks was accorded the directors,the .secretary (Air Hampson), and the manager (Air Mitchell). Air Corrigan asked if the directors intended to make any provision tortile cool storage of fruit, poultry, and The chairman said the matter would be considered at the first meeting of the directors. He believed a portion of the freezing chamber could be utilised for such a purpose. Air Phillips asked if the matter of freezing li.->t>f had been considered? The chairman said the cattle could be killed at the abattoirs, and afterwards frozen at tlie works. Air Piiillins r,aid he thought ho would try having a score or two frozen, as an experiment. If it paid him, he would increase the quantity. The chairman said that cattle could of December the works would he ready to receive sheep for freezing. He thanked them for the vote they had passed. The directors expected some adverse criticism. No doubt rc.ne lev'tike.-; had been made, but they ha.-.l dciiu their best under great d'!P('ii.lt.i('?. They were working in the viterCrts of the whole of the shf.reholdurs. (Applause.) On the motion of Air Shirtliff, seconded by the chairman, a hearty vote of thanks was accorded to Air Corrigan, to whose exertions and advocacy it was stated the scheme was taken up to establish the freezing works. Tlie motion was carried by acclamation. Air Corrigan said what he had done h-td br-on done for the benefit of the district, of which he was a resident, so he was a bit selfish. A vote of thanks to the chair, termcinated the meeting.