UNION BANK

Waikato Times, Volume 110, Issue 18406, 13 August 1931, Page 2

UNION BANK

THE ANNUAL REPORT. The general reduction in the monetary value of commerce in all its branches is reflected in the accounts of the Union Bank of Australia for the year ended February 28. a copy of which has arrived by mail from London. They confirm the telegraphed summary of the directors’ report, which was published on July 11, disclosing a reduction in the net profits to £283.019. and reduction of the year’s dividend to 7 per cent. The gross profits were £ 1.239,552, a reduction of £247,498, against which was a reduction of £4862 in expenses, to £956.533. Salaries and allowances in Australia and New Zealand increased by £11.300, but general expenses, including taxation, declined by £18.791 to £294.963. Directors' fees and income tax paid on them increased by £659 to £12.518: salaries and expenses of the London office declined by £3739 to £55,967; but British innonm tax increased by £5708 to £65,095.

The balance-sheet, shows a total of £11.199.555. which is £2,561.115

less 'han last year, and £4,767,910 less than in 1929. On the one hand, deposits have shrunk by £1,400,104 Io £33,184,413 and bills payable by £934.961 to £1.451,091; on the other hand remittances in transit have declined by £1.521.530 to £2,043,524 and advances by £1,964,547 to £30.930.304.

Total liabilities to the public are £35,179,555, which is £2.394.123 less than a year ago, while liquid assets

have declined by only £594,934 to £12,886,724. They represent about 7s 4d in. the pound of liabilities, as against last year's ratio of 7s 2d. Cash items have Increased by £872,799 to £8.435,603, while investments are £53.797 more at £2.407,597. These increases are offset by the decline in remittances in transit.

As was reported by cable, £1,500,000 has been transferred from the general reserve to a “ special reserve against depreciation in Australian and New Zealand currencies.’’ The reserve fund now stands at £3,350,000.