794 



THE AGRICULTURAL JOURNAL. 



of the incoming directors with any increased 

 expenditure. 



The Chairman then moved the adoption of 

 the report, and this was seconded by Mr. P. 

 D. Simmons, but some discussion followed. 



Mr. Alexander asked if the £4,980 4s. 2d., 

 put down as the value of tlie plant, included 

 the new machinery, and whether the £510 8s. 

 written off for depreciation, included anything 

 for depreciation off the value of the new ma- 

 chinery. 



The Chairman replied that the new plant 

 was included in the £4,980 4s. 2d., but that 

 nothing had been written off for depreciation, 

 as it had not been used. Twenty per cent, had 

 been written off the old machinery. 



Mr. Alexander said he noticed also that in 

 their can account only 3 per cent, had been 

 written off, and he thought that insufficient. 

 He further asked whether it would not be more 

 satisfactory if the total amount of milk and 

 butter purchased and that sold were put one 

 against 'the other. Why he asked was, he 

 understood that a' large amount had been paid 

 for a contract at Mowick. Was that so? 



The Chairman I'eplied that a certain sum 

 was paid for the contract. 

 Mr. Alexander: Was it £1,000? 

 The Chairman: No, it was not. 

 Mr. Alexander: Where does that appear on 

 the balance sheet? ' 

 The Chairman: It does not appear. 

 Mr. Hyslop asked if the amount was includ- 

 ed in the £1,132 133. 2d., working expenses. 



The Chairman replied that he was pleased 

 Mr. Hyslop had put that question. It enabled 

 him to explain that £700 had gone to the 

 N.G.R. and another £400 in stores, gas and 

 other things constantly required. 



Mr. Hyslop then asked what the directors 

 intended to do with the surplus profit this 

 year. The articles of association said that the 

 dividend paid to shareholders must not ex- 

 ceed 7 per cent., and after that had been paid 

 the money was 'to be divided among the sup- 

 pliers. 



The Chairman answered that the articles of 

 association said the suplus should be distri- 

 buted at the discretion of the company. The 

 reason for not distributing the money now 

 was a proposed development. ' The company 

 was started with insufficient capital, and the 

 directors had to formally guarantee an over- 

 draft at the bank of, £3,000. 



Mr. Hyslop said he could see by the state- 

 ment before them that they were not able to 

 pay a bonus for the past year, but at some 

 future time they might be able to do so. Was 

 the money to be ear-marked in any way, so 

 that when things were better the money could 

 be divided among the j)coi)le it really beionged 

 to? 



The Chairman remarked that the directors 

 had had no intention of dealing with the 

 money in that way. Though the money was not 



now actually in the pockets of the suppliers, 

 it was benettting the company, which enabled 

 them to sell their produce. 



Another item in the accounts was then men- 

 tioned by Mr. Hyslop— "bone dust account, 

 £8 lis. 5d.— which stood on the credit side. 



The Chairman told the meeting how it had 

 -ome about. Some of their customers, when 

 manure was difficu^u to obtain, had come to 

 them, and asked whether they would buy bone 

 dust for them, thinking that the Creamery 

 would have means of getting it cheaper. There- 

 fore, the company acted as a sort of agents, 

 and' they had made a small profit. He was un- 

 able to "say if the new directors would continue 

 the agency. 



With regard to the proposed buildings in 

 Maritzburg, had the directors, Mr. Hyslop 

 asked, anv idea of the amount they would cost? 



The Chairman replied that there was no fixed 

 idea. The scheme was a rough and crude one, 

 but he might say that if the buildings the di- 

 rectors had in view succeeded they would coet 

 a lot of money. 



Mr. Hyslop remarked that if they were going 

 to put up buildings proportionate to the value 

 of the land, it seemed to him that it was a 

 question for the meeting as to where the money 

 was to come from. 



The Chairman said they had still a reserve 

 of £3,000 to call up. If the shareholders 

 wished it, they would call an extraordinai-y 

 meeting when the new board had been elected. 

 The sife, he might tell them., was on property 

 owned by the late Mr. Runciman, near the 

 Public Library. There was to be a roadway 

 through from Scott's Theatre to Longmarket- 

 street, and the site was near the Victoria Olub, 

 and the place where the new Post Offices would 

 be, and he thought a good building should be 

 put up. 



Mr. Richards thought the directors might 

 ake the meeting into their eonfidence, and, the 

 other directors not objecting, went on to ex- 

 plain the scheme. There was a feeling, he said,, 

 that thev started three years ago in too small 

 a way. *They had to be continually going to 

 the shareholders for more money. If they were 

 to go on, they must open up in a style that 

 would not necessitate their always coming to 

 the shareholders for money. To a very large 

 extent thev now depended on the military for 

 their business. That might soon go, and they 

 must look round for other openings. They 

 had a splendid opportunity. With a turn- 

 over of 500 gallons per day, they could afford 

 to invest £25,000 to £30,000. In Maritzburg 

 they had a splendid stand— one of the best, he 

 thought, that could be obtained for their busi- 

 ness." It was near the Club, the new Post 

 Offices, and within 500 yards of the Houses of 

 Parliaiment. The first idea was to erect a 

 dairy, with cold storage below. But their ex- 

 perience in Durban had taught them that they 

 must have refreshment rooms as well. With 

 these they would want lavatories and ladies' 

 waiting rooms. Then, bearing in mind the cold 



