152
THE HONGKONG HOTEL COMPANY LIMITED.
The report of the Board of Directors to be presented at the ordinary meeting of share- holders, to be held at the Company's Hotel, at noon, on Saturday, the 27th August, is as follows *-
Gentlemen, The directors now beg to submit their report for the half-year ended the 30th June, 1904.
ACCOUNTS.
The profit on working account amounted to 895,077.67, as compared with $132.016.17 for the corresponding period of 1903, being a decreaso of $36,938.50.
The profit and loss account, including the sum of $3,161.60 brought forward from 31st Decem- ber, 1903, shows a oredit balance of $88,876.14. which your directors propose to apportion as follows :-
To pay a cent....
THE HONGKONG WEEKLY PRESS AND
Less written off, as recom.
mended in last report..
1,000.0
Sundry debtors
Hongkong and Shanghai Banking Corpor ation (unclaimed dividends account) Cash in hand
7,000.00 23,946.76
5,394.01 268.41
$1,222,828.23
PROFIT AND LOSS ACCOUNT For the six months endi g 3 th June, 1904.
$
Dr. To had debts and refunds To Crown rent
To rates
To fire insurance
To debentures interest
on
$50, 00 at 3 per cent To less re urned on debent res
held by the company
To interest account
$15,000.
5, 93.77
To directors and ruditora fees To balance, to be appropriated as follows:
To pay a dividend of 10 per
cent..
$60,000,00
dividend of 10 per
S6ULOGEOG
To write off from value of furniture
and fixtures
7,207.49
To transfer to repairs and renewals
account.
To transfer to repairs and re-
newals account To write off from value of fur-
niture and fixtures To carry forward to new ac-
count
10,0:0,
7,2 7.49
11.068.65
10,000,00 To carry forward to new account 11,668,67
$88,876.14
Cr.
ELECTRIC LIGHT.
The installation was completed last February, and has given satisfaction.
DIRECTORS.
Mr. W. H. Potts retires by rotation, but offers himself for re-election. Mr. W. Parfitt has been granted twelve months' leave of absence.
AUDIT.
The accounts have been audited by Messrs. H. U. Jeffries and A. R. Lowe, who offer themselves for re-election.
The accounts are as follows :—
BALANCE-SHEET.
By balance from Mist December.
9:3 Less dividend at 10 $ C.
per cent.
$00.000.0c Less transfer to re-
pairs and renewals account
Les- written off fur- niture and fixtures account
Less writte. off stear launch ..
1o,000.00
10,000.00
By rent of shops and office, old
building
30th June, 1904.
LIABILITIES.
$ $34,161.60
1.000.00
$1,606
87, 9.00
By rent of shops and office, new
building
2,630.00
$
C.
Пly dividend on shares in public companies By scrip and transfer fees
By had debts recovered
By profit on hotel working account for the six months ending 34th Jane, 1904
Capital-
12,0 0 shares at $50 each (fully paid-up) 603,000.00 1,000 mortgage debentures (6 per cent.),
authorised issue, at $500 each
Less 373 do. held by the
company
Reserve fund, as per last account
undry creditors
Unclaimed dividends
pecial reserve fund against installation of electric light, as per last account Hongkong and Shanghai Banking Cor-
poration (current account) Repairs and renewals account, balance
as per statement
Profit and loss account, balance as per
statement......
C
231.12
502.41 3,17.64 2,238.8
9.2 6.21 1,596.3 3.200.00
88,876.14
$18,671 72
S c.
crop
you
[August 27, 1904. The CHAIRMAN then said-Gentlemen,-~~ From the report that I have just read and which has been in your hands for some time
will see that your directors have the pleasure to record another satisfactory half year's working. Be- sides providing for the usual dividend of 30/- per share we are able to recommend adding 5 lacs to Silver Reserve Fund, and writing 2 lacs off Bank Premises account; this leaves $1.492,554.31 to be carried forward to next half- year, or about $75,000 in excess of the amount | carried forward last time. Looking at the balance sheet there, is nothing which calls for special comment apart from the ordinary fluctuations to be expected in dealing with anch large totals, but as customary I will briefly compare some of the items with the figures in last report. Current accounts and F. Deposits in Gold show a slight falling off, while in Silver accounts there is a small increase. Bills Pay- able are down (in round figures) $5,000,000. As usnal our note circulation is lower than in the December half
but it year, is $1.775.194 over the corresponding period last year. On the other side cash is $4,000,000 higher. and Bullion in hand and in transit is less by. $3,300,000. Sterling Reserve Fund Securities remain unchanged. but Consols Colonial and other Securities are reduced $2,000,000, while our holdings of Indian Government Rupee paper are practically the same. Bills discounted, Loans and Credits stand at 887.146.299.84 against $89.900,177.72. and Bills Receivable at $99,852,943.49 against $101,142,859.03. I am glad to say that our Branches all round have been able to show profitable results for the period under review In China, where we are more immediately interested, we are passing through a time of depression in trade generally. There has been a falling off in imports owing to the war. especially as regards staples; this applies more particularly to the Northern markets. but 3.161.60 according to recent advices a considerable business has been done there in cotton goods for spring delivery, which points to returning con- fidence on the part of the native dealers, The 9,920.0 Silk
both in the north and south has been a 480.50 comparatively small one, and the quality in some districts has not been quite up to the mark. This is doubtless due in larze measure to unfavour- able weather, but it is be hoped that the Chiness will become more and more alive to the import- ance not only of maintaining but also of taking steps to improve the quality and increase the export of this valuable product, which is such a powerful factor in the foreign trade and finances of their country. As you are aware we took part in bringing out a new Japanese Govern- ment Loan for £10,000,000 last May. The Loan was issued in London and New York simultaneously and proved a great success. I may also here remark, though it does not come into the accounts now before you, that on behalf of the British and Chinese Corporation, we brought out last month a first issue of £2,250,000 part of a Loan for £3,250,000 by the Imperial Chinese Railways--Shanghai-Nanking Line- bearing interest at 5 per cent. per annum and carrying 20 per cent. surplus profits sharing certificates. The Loan was fully underwritten, and though the public were rather lukewarm in their support I am sure general satisfaction will be felt at this long-talked-of undertaking be- ing at last fairly launched (applause). I trust it will be followed up by other similar enterprises and lead to their receiving wider and more general support both at home and in China. Let us hope the next will be the Canton-Kowloon Line (applause). Again it is unfortunately necessary for me to refer to politics; when we last met, just after the outbreak of the present war. I assured you that the management was fully alive to the gravity of the situation. Since then the outlook can hardly be said to have greatly improved, indeed more than once it has assumed an aspect threatening further serious complications. This has naturally given cause for some anxiety, not that the Bank runs any special risk, but the fact must be obvious that whatever is calculated adversely to affect general trade must also in the long run affect adversely the prospect of all financial institutions depending upon it. Happily the most threatening of these storm clouds have blown over, but the uncer- tainty still prevailing as to the binding force of those rules of International Law which regulates theoretically the treatment of neutral ships
29.00 2.95
95,077.67
$I+8,671.72
REPAIRS AND RENEWALS ACCOUNT For the six months ending 30th June. 19 4. Dr.
To payments on account of repairs and renewals during the half-year ending 3 th June, 1904
-$500,000.00
186,500.00
313,500.00 110,000,00
26,334 35 5,394.00
20,000.00
66,898.59
To balance...
1,824.75 88,876.14 Cr.
By balance as per last account
$1,222,828.23
$ C.
ASSETS.
Value of land and buildings, as per last account:
Marine lot No. 5 and remaining
sportion of marine lot No. 3 $372,015.60 Remaining portion of Marine
368.108.29
Lot No. 7.........
Praya reclamation-cost of
land
$ 21,291.77
New building on reclamation,
payments on account 194, 415.94
Cost of three Chinese houses on sections
BCD of inland lot No. 80
Value of furniture and fix-
tures, as per last accounts 76,883.37 Less written off, as recom-
mended in last report
By transfer from profit and loss account.
as recommeniled In last report
$
C.
8.946.53 1,824.75
$19,771.28
C.
771.28
10,000.00
$10,771.28
EDWARD OSBORNE,
Secretary.
744,153 80 ! HONGKONG AND SHANGHAI
BANKING CORPORATION,
215,707.71
33,900.0
67.207.49 45,834.26
10,000.00
$ 66,883.37
Since added
324.12
Installation of electric light,
payments on account....
Btock of linen, crockery and glassware,
&c., as per inventory
40.002.95
Stock of wines, provisions, household sundries and stationery, as per inven- tories...
Shares in public companies, as per last
account...
Fire insurance attaching to half-year
ending 31st December, 1904
Licenses attaching to half-year ending
31st December, 1904
Value of steam launch, as
per last account...
$ 8,000.00
33,762.09 6,286,31
2.353.27
1,312.18
HALF-YEARLY MEETING.
The seventy-eighth ordinary half-yearly meet- ing of the Hongkong and Shanghai Banking Corporation was held at the City Hall on the 20th inst.
Mr. A. J. Raymond presided. There were also present:-Messrs. H. E. Tomkins, Hon. W. J. Gresson. E. Goetz, A. Haupt, H. Schubart, E. Shellim. Hon. R. Shewan, N. A. Siebs. E. S. Whealler (directors). J. R. M. Smith. (chief manager), Hon. G. Stewart,
N. Mody. E. F. H.
Bond, D. D. Gazder, J. C. Peter, W. A. Cruickshank, C. W. May, G. Medhurst, J. A. Jupp. C, G. Gonsalves, G. H. Potts, G. Murray Bain, J. R. Michael. J. V. Chinoy, A. R. Lowe, T. F. Hough, E. Kelly, E. S. Kadoorie, A. G. Wood, J. J. Leiria, J. Foreman, W. H. Gaskell, W. Lysaught, L. Berindoague, M. H. Michael and others.
The Chief Manager read the notice convening the meeting, and the CHAIRMAN read the report for 1904.