xxvi  Financial  Statement  of  Park  Royal,  Limited. 
other  purposes  in  addition  to  the  Royal  Agi-icultural  Society’s  Show.  Negotia- 
tions have  been  practically  concluded  with  a prominent  football  club  for  the 
use  of  the  large  ring  for  football  purposes  during  the  winter  months.  The 
chief  source  of  revenue  to  the  Company  will,  however,  at  any  rate  for  the 
present,  be  the  rent  payable  by  the  Royal  Agricultural  Society  for  the  user  of 
the  ground  for  the  purj^ses  of  its  Annual  Exhibition  of  Live  Stock,  Implements) 
and  Produce.  The  amount  of  such  rent  for  the  now  current  Show  year,  which 
commenced  on  October  1 last,  has  yet  to  be  settled  with  the  Society  ; but  the 
Company  has  in  hand  the  unexhausted  balance  of  15H.  11s.  9<f.  from  the  rent 
of  the  round  figure  of  1,200Z.  paid  by  the  Society  to  the  Site  Committee  in 
respect  of  the  first  Show  year  ended  September  30,  1903,  together  with  500f. 
paid  on  account  in  January,  1904,  by  the  Society  to  this  Comj)any  to  enable  it 
to  pay  vai-ious  accounts  for  interest  on  borrowed  money,  rates,  taxes,  &c., 
chargeable  against  such  rent  for  the  current  year. 
7.  It  is  obviously  necessary,  in  order  that  the  Company  may  be  in  a 
position  to  undertake  the  further  works  required  for  the  development  of  the 
yard,  and  to  arrange  for  the  sub-letting  of  the  gi'ound,  that  it  should  be  in 
possession  of  an  adequate  j)lant  for  the  purpose.  It  has  already  been  agreerl 
in  principle  that  the  whole  of  the  plant  belonging  to  the  Royal  Agricultural 
Society,  now  valued  at  3,559Z.  3.s>.  2d.,  and  the.  timber  purchased  in  1903,  now 
standing  in  the  Society’s  books  at  4,640/.  4.?.  8rf.  (8,199/.  Is.  10^/.  in  all),  shall 
be  tiansferred  to  this  Company,  and  that  arrangements  should  be  made  for  the 
erection  of  the  buildings,  shedding,  &c.,  required  for  the  Society’s  Show  of  1904 
by  this  Com])any  acting  as  contractors,  payment  by  the  Society  to  be  ba.sed  as 
regards  the  Company’s  existing  buildings  and  materials  on  their  estimated  life, 
and  as  regards  labour  on  the  ascertained  cost,  plus  a percentage  to  be  agreed 
upon  to  cover  the  salaries  of  Mr.  Burgess  and  assistants,  and  other  expenses. 
8.  The  full  realisation  of  this  arrangement  must,  however,  depend  upon 
the  raising  by  the  Company  of  further  capital  to  enable  it,  amongst  other 
things,  to  pay  cash  for  the  plant  and  timber  at  their  estimated  value  when 
transferred.  It  is  projiosed  to  issue  the  further  capital  required  for  the 
development  of  the  Company’s  jiroperty  in  the  form  of  debenture  stock, 
bearing  interest  at  .5  per  cent.,  and  the  Directors  will  be  glad  to  receive 
promises  of  subscriptions  to  this  stock  when  they  are  ready  to  allot  it. 
9.  For  the  moment,  therefore,  the  plant  now  on  the  show-ground 
which  is  in  the  form  of  Pavilions,  Offices,  Western  Entrances,  timber  and 
miscellaneous  j)lant  required  for  the  working  of  the  annual  Show,  remain  in 
possession  of  the  Royal  Agricultural  Society.  But  as  it  is  essential  for  the 
general  working  of  this  Company  that  certain  descriptions  of  plant  (horses, 
harness,  stable  and  other  fittings,  carts,  tools,  railway  sleepers,  &c.)  should 
be  immediately  under  the  control  of  the  Comjiany,  it  has  been  arranged  that 
these  shall  be  taken  over  by  the  Company  at  once  at  the  amount  (877/.  4,<!.  10(7.) 
at  which  they  appear  in  the  Valuation  already  made,  and  shall  be  paid  for  by 
the  Company  out  of  the  surplus  of  the  Permanent  Show  Fund  referred  to  in 
paragraph  5. 
Signed  on  behalf  of  the  Directors : 
DERBY, 
Chairman. 
January  23,  1904. 
