Shares and MINING

Observer, Volume XXVII, Issue 41, 29 June 1907, Page 20

Shares and MINING

By Obadiah.

THE London money market is exhibiting all the signs that indicate the approaching termina-.. tion of a quarter. Money is accumulating in the Bails: of England in anticipation of the quarterly dividends. The market rate of discount is now within Is 3d of the bank rate, and this explains the stringency that is being experienced and which may be viewed as temporary. If the £ressure is maintained, as seems kely, the open market rate will this week exceed the bank rate, and there is just the possibility that the latter may be advanced.

Imperial Consols are still on the decline and at £83 5s are lower than they have been for some time. All colonial stocks are firm and any changes recorded are favourable.

For the year 1906 the directors of the Liverpool and London and Globe Insurance Company report a net loss in the fire department of £1,992,653, of which £Plf ,500 is attributable to the disa&ter at San Francisco, and the account after providing for expenses shows a deficit of £355,385. The profk and loss account of the united underwriting, nevertheless, shows a credit balance of £745,175, with the addition of the interest earned on the funds other than those of the 'ife department, and the dividend is maintained at 36s on each of £2 of stock. It is an interesting fact that of the company's investments, aggregating £7,000,000, only £79,613 is in British Government securities.

The report of the Sun Insurance office for the year 1906 states that the premiums received, less reinsurances, amounted to £1.471,614, being an increase of £152,284 as compared with those of the preceding year. The losses pa ; : and outstanding amounted to £1,056,395, being at the rate of 7 .. V 8 per cent, on the premiums received The expenses of management totalled £523,690, being at the rate of 35.59 per cent. The income from investments amounted to £99,336. After providing for the usual reserve of 40 per cent of the premiums to coyer liabilities under current policies, there is a debit balance of £70,048. The losses sustained ov^ing to the earthquake at San Fra,' Cisco amounted approximately to £b 60,000, and the operations for the year showed a balance at credit of profit and loss account of £160,253. The dividend paid is 10s per share, and £40,253 is carried forward.

The cable advices rqgaiding the balance sheet of the National Bank of New Zealand for the year ended 31st March last disclose very satisfactory results. The dividend of 12 per cent, paid in 1906 is maintained, but this year the amount is paid on a larger capital. The reserve fund has been increased by £25,000 and now stands at £3?C,00O, being only £50,000 less than the paid up capital. In addition to these allocations, £15,000 has been written off bank premises, £3,500 has been presented to the . officers' pension fund, and the staff has been granted a bonua. The sum cairied forward is £10,318. The National Bank has shared to the full extent in the prevailing colonial pj osperity and within the limits of its resources has done a great deal better than most other banks.

The net profits earned by the Bank of New Zealand since the State came to the assistance of the institution in 1894 make a very interesting table. In 1895 there was a small loss, but since then there has been a

succession of profitable years, and latterly the profits have been expanding at a rapid rate. The tabl« mentioned is as under : —

Profit*. To 31st March. £ 1896 35,709 1897 39,391 1898 85,033 1899 93,920 1900 145,020 1901 210,665 1902 209,501 1903 210,590 1904 212,803 1905 268,930 1906 290,330 1907 310,880 £2,112,772 • ■ •

The Devonport l«*ry Company, which stands out conspicuously as a sound and excellently-managed concern working on moderate capital, offers another very grrtifying balance aiieet to shareholders. The net profit for the year, after allowing for depreciation and insurance charges, was £4152 which is sufficient to pay the usual 10 per cent, dividend and leave a tidy balance. The loss of the steamer Awarua was provided for fr< m the company's own insurance <nnd ; which now stands at £2900. Tht- company's shares are well held. Buyers at the present time offer 34s 6d

The Stock Exchange continues to be quiet, and parti<jula^ .y so in mining stocks.

Bank of New ZeaU id shares rose quickly after the annual meeting, to £10' 18s, but since the payment of the dividend of 3s 4d they have gradually dropped, unlil they are now worth about £10 J2s 6d.

National Banks have sold up to £5 10s 6d, with buyers still offering £5 10s.

Several parcels of S( uth British shares have been done at £C 9s, and buyers are offering £5 8s 6d.

Taupiri Coals are a shade better, sales having been made at 20s, with buyers at 19s 9d.

D.S.C.'s have reco fied somewhat during the week, having been done as high as 6s lOd, which was a rise of Is 6d on the price a fortnight ago. There was certainly room for improvement. ■ * •

Portland Cement shares have been unloaded to some extent at prices ranging from 30s 6d down to 29s 6d. The demand is, however, good and buyers still offer 295.

Cable advices from London give the prices of Waihi shares at buyers £8 5s and sellers £8 7s 6d. The local market has absorbed a considerable parcel of Home shares at prices down to £8 13s and there are now steady buyers at £8 14s.

Waiotahi shares have fallen half-a-crown since Monday, notwithstanding the announcement of the monthly dividend, and the best buying price now is 19s 6d. The fall is due to the opinion of the- manager that the rich gold in the eighth stope is already exhausted. There is a feeling abroad also that the stoppage of the big battery is not solely due to the Thames Harbour Board.

Satisfactory to lear i from the Grand Junction mine at Waihi that

Mr West, of picture fame, always on the look-out for novelty, has . added yet another attraction to his show. This time it is a series of splendid pictures depicting Russia. With regard to the show, the cry is still they come, the audiences being large and at times overflowing. ■ . * •

Mr Tom Pollard, the well-known theatrical manager, has during the East few days been laid up at his ome in Christchurch with a severe attack of rheumatism.

• • « Mr James E. Moore, brother of Miss Maggie Moore, is' revisiting New Zealand, after an absence of twenty years, as • treasurer of the Rickards' Vaudeville Company, at present showing in Dunedin before crowded houses. The company is the strongest and most expensive sent to Maoriland by Mr Rickards for many years. • • •

Walter Howard, author oi "The Midnight Wedding," which has been so successful in Australia, has written a new play for Messrs Meynell and GWinn, who have secured Mr Harcourt Beatty as leading man.