CHRISTCHURCH MEAT COMPANY.

Timaru Herald, Volume XCIV, Issue 14341, 13 January 1911, Page 7

CHRISTCHURCH MEAT COMPANY.

ANNUAL MEETING. •the twenty-third annual meeting of the Cbxbrtchurch Meat Company, Ltd., was held at Christohurch on Wednesday, Mr F. do C. Malet, chairman <A the 'Board of Directors, presiding. The report of the directors included the following statements, referring to. the vear ended 31st October:— The quantity of stock slaughtereo. during the season at the various factories of the company reached the total of 1.614.79 G. This constitutes a •record since the inceptij.n of tho company, and is an increase of 301,291 over last year's figures. The whole of the debenture issue has now been redeemed. During the vear considerable improvements and renewals at the various factories have been effected. , Special provision is also being made for a substantial increase to the storage capacity at both Islington and Burnside. The work in connection with these alterations is well forward, and will be available for this season's operations. Extensive improvements at Smithfield to the fellmongery and to the tallow and manuro departments have also jnst been completed, which it is expected will materially the working efficiency of these departments. Provision for these outlays and other minor improvements is mlGIe in the accounts. The profit and loss account .. for. the year was as follows: — Dr.—To general expenses (including rents, insurance, had debts written off, «tc), £24,675 12s 2d; rates and taxes, £9,218 4s 2d; -interest and exchange, £9,727 16s 3d; provision for renewals end. replacements to buildings and plant now in progress £23,559 17s; balance at credit of profit and loss account, £69,673 11» lid; total, £126,755 Is 6d.

Cr.—By balance brought forward from last year after payment of dividend./ and appropriations authorised, £7,415 Ss sd; freezing, sales and manufactures, less depreciation and expenditure on renewals and replacements, £119,331 8s Id; transfer fees, £8 10s; total, £126,755 Is 6d. By balance brought down, £69,-573 lis lid—Less interim dividend to SOth April, 1910, £6,765 17a 9d—£52,807 14s

The directors proposed to deal with this laststated sum a3 follows: —To add to reserve (making this account £75,000), £16,000; to add to general assurance reserve (making this account £30,000), £15,000; to pay a dividend of 4" per cent, for the half-year ended 31st October, 1910 (making 8 per cent, for the year), £6,765 17s 9d; to pay a bonus of 2 per cent, on the paid-up capital, £3,332 18s lOd; leaving an amount to carry forward of £12,653 17s 7d; total, £52,807 14s 2d. This recom. meiidatian was adopted. The paid op capital of the Company » £173,186 10s, and reserves of undivided profits were £90,000, to which £30,000 is now to be added, making the total investment £293,186 10s. The value of the land, buildings, machinery,

g" lant. cottages, otc, at Islington, mithliold, l'icton, Burnsido, Oarnaru, and shops and offices at Chiistchurch, is stilted in the accounts at £297,722 17s lOd; so that, as the Chairman pointed out, tho shareholders now own the, works. Mr Malet also pointed out that the various "reserves," wore thus locked up in the premises, and it was desirable to have a gold reservo with which, to face possible less favourable timo3 than have hitherto been en ; joyed. "As indicated in the report (said the chairman), the past season's business is much tho largest that the company has vet experienced sineo its Siception. The 'number of stock slaughtered shows the grand total of 1,614,790 head ns having passed through the five works of the company, an increase of no less than 301,291 on the previous season' 3 figures. This must be taken, as partieularly gratifying, and is a sure index of the confidence which tie company enjoys at tho hands of the producers in the South Island. " On the whole; the markets for our main product, lamb, have been.verysatisfactory, a good level of values having been maintained - throughout the season. In view of the unsatisfactory prices ruling.during the previous yoar, this return to a more normal level ui values is particularly gratifying, and producers and ail . others interested nave no reason to ho dissatisfied with :(;he course of the trade during 1910. " Wool again realised good values r throughout tho whole of the year, and 'tlie~va¥ious~6tuer 'nroducts of the company have met with good markets. The values ruling for our extensive shipments of tallow and oleo for a certain period during the past year were phenomenally high, and the successful rer suit of some of our shipments of these lines contributed in no small measure to the profitable result of' the year's working." Professor Brown, who seconded the adoption of the report and balancesheet, referred to certain clouds on the horizon. "It needs' no weather prophet (he said) ijo indicate two of the worst clouds upon our horizon, viz:, the constant demands on the one hand for higher wages and the inevitable tendency for prices and rates to be reduced on the other. With the pressure from these two quarters our directorate is between the devil and the deep sea. I leave it.to ycu to assign the honours of this metaphor as to which is the devil and which the deep sea. We know this, at any rate, that no one'has so keen an eye upon the future of this industry as our directors have. Were all demands acceded to we should soon see both Company and industry vanish into thin air. We have no means of raising our prices in London. These are in the hands of our old friends, supply and demand, which are out of the range of the

omnipotence of New Zealand legislation and New Zealand politics—out of the range of both Trade Unions and everyone else." Another cloud was oomgstition from Southern Argentina/ atagonia.—"Down there there are sweet, native grasses, there are good rains, and all the conditions present there which help to make our own Canterbury land excellent. I have heard squatters there say that they can raise lambs which would surpass our Canterbury stock but they are handicapped because of the system of railways in the north. They have only one freezing works there—at Punta Arenas. In the nest few years, however, we will feel their competition, because they are even now starting to build freezing works and harbours in the south." Professor Brown could not hold out any hope of relief by the widening of the market in Europe, be--causej he explained, the Mediterranean peoples who want meat want it cheap rather than good, and the low prices of Argentine meat would keepout New Zealand produce.;; Finally. Mr Brown referred to the war cloud,- : and recommended the building up of a strong insurance reserve in view of a contingency of that disastrous nature. . A resolution was moved and l carried recommending , the- directors .to conserve surplus assets "so as to provide for depreciation, and create funds, to work the business and eventually-form gold reserves."-