DAIRY FINANCE.

Thames Star, Volume LXIV, Issue 17925, 28 June 1930, Page 5

DAIRY FINANCE.

ASSISTING THE FARMER.

Corporation Annual Meeting.

.« EXCELLENT YEAR REPORTED. RAPID GROWTH MADE. A large gathering of shareholders attended the third annual general meeting of the Finance Corporation of New Zealand, Limited, which was at the office of the company, Hamilton, on Thursday evening, the chairman", Mr C. L. Mac Diarmid, presiding. •In moving the adoption of the directors' report, balance-sheet and annual accounts, the chairman emphasised the very rapid growth of the company., . The company had been started as a general finance company, but was now restricting its lending powers practically entirely to assisting the farming community. Lower butter-fat prices were making it essential to" produce more pounds of butter-fat per acre and this could only be brought about by the operation of farm finance companies assisting the farmers in buying additional sheds, • buildings and cows to enable more families to live on a given area of land. Whereas in the old days the average farm holding was probably 300 acres, today it was coming down to 100 acres and less, and this, cutting up ■■»£ the areas into smaller farms required much re-financing. ',.'■■■' \

Throughout I its operations the company was maintaining the policy of making the first consideration the assisting of the farmer in every possible way., The policy was working admirably, as was evidenced by the fact that no bad debts had been made to date and that the farmer clients were a happy and contented body of men. The chairman further mentioned the very satisfactory position in-which the company found itself with £25,000 paid upon its shares. The reserves now totalled £2000.' The company was issuing 50,000 preference shares in the open market with all' possible haste,, as the.present financial stringency was reflecting very badly oh the farming community and the company wished to stand behind the farmers with every pound of available capital. Preference shares in the company were, taken up rapidly and it is net anticipated that these would be available for any length of timeAfter the adoption of the annual report, accounts and balance-sheet, a dividend of 8 per cent, was declared, the balance, after payment of directors' fees, being carried forward from the profit and loss appropriation account. Messrs P. H. Saxton and W. M. Gahn retired, from the board of directors by rotation, and were unanimously. Mr C. W. Armstrong was reappointed auditor for the coming year.

At the conclusion of the meeting, the meeting of directors unanimously re-elected Mr C L. Mac Diarmid chairman for the ensuing year.