POWER BOARD DEBTS.
RE-ARRANGEMENT OF FINANCE. REDEMPTION LOAN PROPOSED. SAVING OF £22,000. At a meeting of the Central Electric Power Board to-day a report was submitted by the chairman (Mr Thomas Hinton) and the treasurer (Mr H. J. Beechs) dealing with a proposal to effect a considerable saving to the board. Loans to the amount of £44,000 are held In Melbourne, these maturing In 25 and 33 years respectively, but the debenture-holders have agreed to accept payment now In Melbourne at par. It Is proposed that a redemption loan of £37,100 be raised In New Zealand. the term being 26 years and the rate of interest 5} per cent. The balance required to pay off the loans would be found from the profit on exchange, amounting to £6900. Application has been made to the Local Government Loans Board for its sanction to the raising of the loan, and arrangements have been finalised for the financing of the proposal by hypothecation of the debentures pending the sale of same. The saving that will be effected over the term of the proposed loan will amount to approximately £22,000. 4 this being made up of the exchange profit and a lower rate of Interest over a shorter term. The chairman and treasurer were complimented by the board on their action in the matter.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/WT19310812.2.44
Bibliographic details
Waikato Times, Volume 110, Issue 18405, 12 August 1931, Page 7
Word Count
220POWER BOARD DEBTS. Waikato Times, Volume 110, Issue 18405, 12 August 1931, Page 7
Using This Item
Stuff Ltd is the copyright owner for the Waikato Times. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.
Log in