( i ) 



CEYLON 



PROVINCIAL 

 CO.. LTD. 



ESTATES 



DIRECTORS.— Messrs T S Cirigson F L demerits, .1 Patersn. 



The Directors hare pleasure in submitting their Report 

 for the year ended 31st December, 1905, together with a 

 Statement of Accounts covering the same period, duly 

 audited. Crop on Brownlow considerably exceeded the 

 estimate, but the Glassaugh yield did not quite come up to 

 expectations. The combined output, however, compares 

 favourably witli that of last year, 469.168 lb. having been 

 secured as against 456,014 lb. in 1904, the estimate in both 

 cases being the same, viz: 475/00 lb. The not average 

 price realised for the whole crop is 43'01 cts. per lb. and 

 though this is about 1 cent per lb. less than the teas fet- 

 ched last season, it is mainly accounted for by the depres- 

 sed state of the local market towards the latter end of the 

 year, and, to a certain extent also, by the larger yield 

 obtained from Brownlow. The average for 1904 was 4472 

 cents per lb. The cost of production works out at 25'19 

 cents per lb, as compared with 24 '21 cents in the previous 

 year, while the amounts spent on manuring operations 

 were 2"23 cents and 1'89 cents per lb. of tea in 1 905 and 1904 

 respectively. The gross earnings for the year as shewn in 

 the Revenue and Expenditure account amount to R86,"51'80, 

 which sum has been transferred to Profit and Loss Ac- 

 count, and the latter closes with a credit balance of 

 R48.O5.V02 after provision has been made for interest pay- 

 ments, Mortgage redemption, Depreciation, &e. Out of 

 this available surplus the Directors propose the payment 

 of a final dividend of 7 percent, making to per cent, for the 

 year, the balance remaining, after providing for Direc- 

 tors' remuneration, to be carried forward to season 1900. 

 The payment of a 7 per cent, dividend will absorb R46.620. 

 The estimates for the new season are based on very much 

 the same lines as last year, and point to a crop of 460,000 

 lb of made tea from the two Estates to cost about 26'50 

 cents including three cents for cultivation works. In the 

 case of Glassaugh, however, the Directors have it in con- 

 templation to extend the manuring programme as may be 

 necessary and practicable. The following is a definition 

 of the properties as at 1st January, 1906:— 



Glassaugh. Brownlow. 

 Tea in full bearing . . 479 acres 503 acres 



Tea in partial bearing .. 13 2 „ . 



Tea not in bearing .. — ,, 7 ,, 



Total in Tea 



Fuel Tre* 



Forest 



Grass 



Scrub and Waste 



492 

 14 



13 



519 acres 585 acres. 

 By order of the Directors, George STEUART & Co.. 

 Agents and Secretaries, Colombo, 2nd Feb. 1906. 



KNAVESMIRE ESTATES CO., LTD. 



Directors.— Messrs. S Payne-Gallwey, John Paterson, 

 F L Clements and T S Grigson. 



The Directors have the pleasure to submit their re- 

 port with Statement of accounts for the year ended 

 31st December, 1905. The crop secured during the twelve 

 months (including bought leaf amounted to 314,779 lb. 

 of made tea, and though this is short of the estimate 

 of 330.000 lb., it is nevertheless a very fair return— being 

 equal to an average yield of just over 600 lb. per acre 

 from the 516 acres of tea in full and partial bearing. 

 The cost of production is practical!} identical 

 with that of last year, viz., 20'22 cents per lb., while 

 the amounts spent on manure were 2'77 and 2'6S in 

 1904 and 1905 respectively. In the matter of price a 

 considerable crop has to be recorded, the nett p.iice 

 per lb. realised being 31'26 cents as against 35'65 cents 

 in 19C4. when the whole crop was under contract. The 

 gross earnings for the year as shewn in the revenue 

 and expenditure account amount to R34.S5PS2, which 

 sum iias been transferred to profit and loss account, 

 and the latter closes with a credit balance of R29,890'78 

 after setting aside a sum of R6,744'68 for extensions, 

 and providing for Superintendent's Commission, Depre- 

 ciation, &c. Out of the above surplus the Directors 

 recommend the payment of a dividend of 6 per cent 

 which will absorb R24,900'00. and that the balance after 

 providing for Directors' remuneration be carried for- 

 ward to 1906 as against contemplated rubber expen- 

 diture. The Company's property on 31st December, 1905, 

 (insisted of : — 



Tea in bearing - - 516 acres. 



Rubber Clearing 1904 - - 25 „ 



Do 1905 - - 70 ,. 



Forest - ■ ' - SO- tfi'J&l' 



Buildings, &c. - - 5 „ 



690 acres. 



The crop estimate for 1906 is 320,000 II). of made tea 

 to cost 21'50 cents per 11). delivered in Colombo, in- 

 cluding an allowance of 2i. cents for purchase and applica- 

 tion of manure. 



Rlf&BER.— Your Directors are still desirous of extend- 

 ing this cultivation, and with this object in view have 

 applied for and are gradually acquiring small blocks of 

 suitable land. There have been a good many failures 

 amongst the Rubber in the finest fields of tea where 

 the tea shade is too dense, and the total failure of 

 the North-East monsoon has been unfavourable to the 

 establishment of plants in the clearings lately opened. 

 A census of the larger trees shows that 57 i trees should 

 be tappable during 1906. By order of the Directors, George 

 Steiakt & Co., Agents and Secretaries. Colombo, 3rd 

 Feb.. 1906. 



KALFTARA CO., LTD. 



Directors :— Messrs G H Alston, R S Templer, F W Bois. 

 Kstate Inspector : — Mr F L Clements. Estate Superin- 

 tendent :— Mr L C S Marshall. 



ACREAGE. 



Tea in bearing 

 Coconuts, Grass, &c. 

 Rubber 



Forest 



687 acres. 

 11 „ 

 177 „ 



875 acres. 

 292 „ 



Total . . 1,167 acres. 

 The Directors herewith submit to the Shareholders the 

 Accounts of the Company for the past year. The Crops 

 secured amounted to 365,275 lb. of Tea and l,397Hb. of 

 Rubber, which realised net average prices of 27'98 cents 

 per lb. and R3'81 per lb. respectively. The tea crop shows 

 an increase over 1904 of 39,0061b., but unfortunately owing 

 to the very low market which prevailed during the year, 

 the net average price compared very unfavourably with 

 that obtained in 1904, during which year Green Tea was 

 manufactured, the demand for which in 1905 practically 

 ceased. As the amount standing at credit of Depreciation 

 Account is now equivalent to about 56 per cent, of the cost 

 of Buildings and Machinery, the Directors do not think it 

 necessary to make any farther provision for Depreciation. 

 After paying the 7 per cent, dividend on the Preference 

 Shares, there remains at credit of Profit and Loss Accoont 

 the sum of R18,404'88, equivalent to 4'60 percent, on the 

 Capital of the Company, to which falls to be added the 

 balance of R4,772'41 brought forward from the pre- 

 vious season, making a total of R23,177'29 avail- 

 able for distribution. In view of the extension of 

 Rubber ■ cultivation which is now being carried out, ths 

 Directors have decided to transfer the sum of R10.000, to 

 the Extension Fund Account ; they recommend the pay- 

 ment of a Dividend of 3 percent, for the year which will 

 absorb R12,000, and that the balance of Rl,177'29 be carried 

 forward to the current year's Working Account On 

 Capital account during the past year the following has 

 been spent : — 



Purchase of Land Ac 62. 1. 22 R 4,S71'62 



Extension and Upkeep of Rubber clearing 5,267'S9 

 Additions to buildings 1,725'74 



11,865-25 



In accordance with the Resolution passed at the last 

 General Meeting an issue of 45, 7 per cent. Cumulative 

 Preference Shares was made to the Shareholders, a > 

 authorised at the Extraordinary General Meeting held 

 on the 28th of August, 1897. 



THE PRESENT POSITION 

 in cultivation is approximately as follows, according to 

 the census lately taken on the estates : — 



Trees. 



Planted through Tea, in ravines and 

 along roads, previous to 1902 '4,802 

 do in 190;: .. 24,892 



do in 1903 . . 810 



do in 1904 .. 33,775 



do in 1905 .. 8,510 



Planted in clearings 102-1904 .. 32,746 



do in :905 .. 10,168 



Total Trees . . 125,703 

 Of the first mentioned 1,135 trees were tapped dur- 

 ing 19(15 and yielded an average of about 1} lb. per 

 tree ; in 19a6 about 2.980 trees will be tapped 

 and are expected to yield 3.000 lb. of Rubber. A 

 commencement lias been made in opening 109 acres 

 during this year in this product. 'Die Crops for the cur- 

 rent season are estimated at 350,500 lb. of tea and 3,000 lb. 

 isif rubber on an estimated expenditure of R96,004"8S, while 

 on Capital Account expenditure is estimated at R19,93S"25 

 for opening 109 acres of rubber, — upkeep of rubber acreage 

 not yet in bearing, and the building of two ets of per' 

 manent lines.— By order of the Directors, Whittall & 

 Co., Agents andSecretaries. Colombo, 8th February, 1906. 



