EXTRA.
THE HONGKONG - TELEGRAPH.
HONGKONG-AND-SHANGHAI BANK.
TODAY'S" ANNUAL MEETING..
SATURDAY, FEBRUARY 18 1922.
qranticipated have been smply of the world, and the year has been provided for out of the year's ; an unprofitable one for most mer- qamtags
chants engaged in it. Very large We bare - again to record losses have been realised on the appreciation of. the expensive import goods ordered in isalons and loyal service of the 1919, but it is gratifying to know staff from the Chief Manager that these have been in a large downward, which service, in view measure liquidated, especially in
our
BRIGHTEN WORLD CONDITIONS FORESHADOWED. of the difficult year we have North China, and that new and
China's Political and Financial Chaos,
|
The Silver Market.
passed through, specially merits profitable business has been con- your recognition, and I am sure siderably in, evidence in recent you will heartily approve of our months. Hongkong, although sat- action in. awarding them moderate bonus of 15% on their in the liquidation of old stocks, isfactory progress has been made The ordinary yearly general | stantial grounds for hope that we salaries,
has not been quite so fortunatel meeting of the shareholders of the may have seen the last of these
Our very important-- markel- Hongkong and Shanghai Bank-annoying calls on our exfpinge,
The silver-market, during the Kwongsi-has been, in a disturbed ing Corporation was held in the
Bank's Valtiable. Property, yeachas not been fres from sub-condition during most of the year. City Hall at noon to-day. Mr. G. T. Edkios presided and there Turning to the balanon.abest, stantial fluctuations. The price and is still sudering extensively the you will observe there has been 10.7/3 and at the end of the year in a lesser degree our neighbour. at the beginning-of 1931 was from brigandage and piracy, as is were also present Hon. Mr. E. V. D. Parr, a considerable increase in the 34.5/8, baving been down to 31-Kwangtung. The Authorities of Hon. Mr. A. O. Lang, Messrs.item of Bank property. My
statistics: avaliable, absorbed on
Reverting to North Chins, the coton industry continues to make rapid strides. It is estimated that over 2 million spindles and 9,500 looms are in operation, and it is will barself supply a great pro certain that as time goes on Ctrina
portion of her requirements for the coarser grades of cloth.
are convinced that the policy of Kratulated on having thus arrang-particularly from the fighting and F.providing ample accommodationed their currency and on having foods in the Yangtze Valley last for the future requirements of our carried out the large operation of summer: there has been no par- business is a sound one. At the buying Oz. 24, 1/2 millons of silver ticular development in it calling same time, thanks to the par with so little disturbance to the for remark. I will refer to politi phases made by the Bank in the market. Undoubtedly, however, cal conditions later on. earlier years of its history, it is factor which, kept the market.
this extra damand, was the main In Japan, as elsewhere, over- now possessed of property of im- mense value in the principal ports steady during the summer and
of Asia.
Meanwhile we propose to allot
autumn months.
seas Tade figures for 1921 show a very considerable falling off as compared with those of 1920. New business in imports has been hampered by the still considerable unsold stocks of high-priced im
many years. The immediate parts carried over from 1919 and
G. M. Dodwell, W. L. Pattenden, predecessor in this chair: fors-and-up to 43.3/8 in the interval. these two provinces have our best J. A. Plommer, D. G. M. Bernard, shadowed this increase. Since Coins, as far as we can make wishes for success in their efforts A. G. Stephen (Chief hangor), have been completed and occupied balance 0263 millions compared H. P. White (Directors); Hou, Mr we mat last year, new offices out from the somewhat unreliable to restore palace and order. Mr. A. H. Barlow (Local at Canton, Manila, Bangkok with Ox.98.12 millions in 1930. Manager), Mr. V. M. Greyburne Dairen and Sungei Patant, while In the Budget speech of the (Chief Accountant), Sir Ellis Harbin Office and additions to Kadoorie, Sir Paul Chater, Rev. Head Office are on the point of Governor General of Indo China, it was disclosed that that Gor. Seven dwelling- Fader Robert Hóa. Mr. B. B. oscpletion Pollook: Dr. Sanders, Mesars houses for the staff at Singapore 1/2 millions during the year in erament had purchased Oz. 24. Lan Chung-wan, Cheong Man and Penang were also completed. the different markets of the hing. Fucg Kong-un. A. W. Smith, Bullding operations are now in J. E. Taggart, A. D. Gee, A. V. progress at Shanghai, Cakontta World for the purpose of enabling
As regards the export trade of Apcar, H. H. H. Nemazes, R. & Stugapore, Johore and Colombit to resume apecie payments. Dastur, Mok Kon-sang, Mok Although the total cost will be French neighbours are to be con- from the world conditions, and which has since been done. Our] China, it has suffered generally Mun-gro, Tsoi Kang-po, Ho Kum- rather formidable, your Directors tong, Ho Fook, Lau Cheung shin, Chan Bia-ki, Mrs. M. Lafrentz, Mrs. Leanox-Potter, Miss E. Addin, G. H. Potts, J. M. de Castro Baato, R. M. Dyer, M. Manok, P. Tester, Lo Cheung-ip. H. W. Bird. A. S. Ellis, Chow Ngan-ting, O. I. Ellis, A. M. Bowes-Smith C. A. de Rozs, Ho Wing, J.F. Grose, A.P. 8amy,
The Indian Government" has Lo Hai Hing, F. Smythe, C.E.H
silver reserves of about 74 crores Beavis, R. Hancock, F. Baving- $1 million from the year's prout of rupees, and should therefore ton, A. Denison, G. Grimble, to writing down Property A/C. be out of the market for G. W. Barton, L Dunbar, Chan We carry forward to next year Shu-ming, A. B. Stewart, J. Bell- #3,331,778.59 compared with
future of silver depends on the 1920, although appreciable pro- Irving, T. W. Hill, C. A. Hooper, $3,291,491.69 & year. #go. D. J. Lewis, Fong Land, H. EL With regard to the other requirements of China and of the gress in their liquidation has been
Tadian basar-both very nn-made during the year. Dowbiggie, G. M. Dalgety, U. B. figures, the rate of exchange at
certain factors.
On the export side, raw silk Donnett, R. Brock, W. E. van Eps, which the sterling equivalents of The United States Goverment and silk gooda have found "D. Cooper, Ho Leang, J. McAr-Jour silver assets and abilities,
thur, S. M. Churo, M. Northcote, and vice versa, is calculated, is of the Fitman Act. Up to the but Japanese exports to
is steadily carrying out the terms | good markets in, the United States, T. E. Pearce. E. J. Chapman, W. 27, against 3/2 at the end of 1920, middle of last December their countries show a heavy decline, L-Leask G. B. Layton, S. Hso comparisons with previous
purchases of domestic-silver | due-to-various causes of which- Dutton, D. V. Steavenson, E.-M. years are not altogether easy. Raymond, P. V. Botelho, P. K. The outstanding features are moanted to Oz 84,800,000 out high manufacturing costs are not Kwok, T. S. Forrest, W. E. L. decrentes
of the total of Oz. 208,000,000 re- the least, and unless same can be io Bills Payable,
very considerably reduced, the Shenton, G. P. Lammert, C. G. Acceptance Ala Constituents and quired by that Act. If they con Adama, G. C. Moron, J. R. King Bills Receivable, and an increase tinue to progress at this rate, prospects of an early improve hore, E. M. French, E. H. Wood, in Sterling investments which it will take about two years ment in the export trade of the
from now to complete the country are not very bright. F.R.J. Adams. H. Hancock. E. increase, apart from new invest-
After that operation.
the In the Straits the disastrous L. Sim, J. E. Joseph and F.C.ments account the sterling Hall (shareholders).
Reserve, is mainly in short_date will come on the market on the docts, tin and rubber, has had domestic production of the U. S. slump in their two principal pro British Government Treasury same terms as silver produced effects that are only to notorious, Bille These fuctuations are eloquent of the great falling of elsewhere. There should then be but the Government and the mer- of overseas trade, which statistics overabundance of the metal, chants are handling the situation
and it is very likely the Govern courageously, and we have from all parts of the world indicate is 35 to 50 per cent.ments, including our own, which doubt whatever but that these two below the figures of 1920. The have abandoned their old silver industries will soon adjust them- figures of our Bills of Exchange Currencies for unsightly sub-selves to the new conditions, I am glad to announce that the in band and rediscounted faith stitutes, will regret their action.. new issue of 40,000 shares was fully reflect this. We may have readily subscribed and the premis fo wait some months before we
Trade and the money markets Of the political and financial on them. viz. £3,000,000 and can fully employ that part of our all over the world are still in conditions in China during 1921, $530.281.71, were brought into the resources which is temporarily state of disorganisation, but there I am afraid it can only be said Recoasts during the closing held in Treasury Bill, but Bre encouraging signs that that they have grown steadily months of the year. I think the I think WE bave good a more rational mood is beginning worse. The reckless and Improvi- decision to issue these shares at reason to expect that the to prevail among workers, and the dent policy of, the past is now £10 has been smply justifled by gredos Improvement in trade British Government last bearing its inevitable frita; and, the result. The statement shows will soon enable us to find a bet- appears to be, contemplating for the first tme, with an empty a net profit for the year of ter use of these resources-than taking drastic steps towards | treasury and an exhausted credit $10,821,295.42 compared with Treasury Bills.
economies in administration. Wo the Peking Government has been
The Chief Manager having read the notice convening the meeting. The Chairman said:-Ladles and Gentlemen, The report and statement of accounts having been in your hands for some time, I will follow the usual procedure and take them as read.
:
World Markets.
at
From Rad to Worse.
other
10
ex-
$8,841.166.30 for 1920. In June On the other hand, local busi-should therefore, within a reason-anxble to meet the service. of we made an interim distribution ness in the East has been pro-able time, reach a healthier publicly issued foreign loans con- of £3 per share and, subject to perous; local Companies general condition of affairs than prevailed cluded in recent years, without the your approval, we propose to dis-ly have done well. Our sliver during the years immediately safeguards, in respect to security tribute a final dividend of £3 and deposits bare increased consider following the Great War. The which were wisely regarded as in- * bonus of £2 per share on the ably, as bave our Bills Discount Loadon money market is now dispensable in the past. The total old shares, and a corresponding ed, Loans & Credits, and there about normal à great nomber debt of China, internal and ex- dividend and bonus on the new has been a good demand for of home and Colonial loans have ternal, taking the 21 at an shares, viz. £2.5- and 15. I am currency locally involving a con- recently been successfully change of $7.50, is estimated to be, sure you approve of the policy we siderable increase in our note fosted there. In the months of not less than $1,800,000,000 of propose to continue, viz. the issue."
November and December alone, which $364,000,000 is for the strengthening of the Silver Be-
The Bank's Profits. £80 millions sterling of new most part entirely unsecured. Of serve, and we have allotted to
Issues were placed. It looks cer-this latter Sgure, 18,000,000 that Reserve $1,369,718.29 from Net profits are $1,980,129.12 intain that all Government restric the year's profits and $630,281.71 excess of those of year ago. tions will soon be removed, and presents foreign debt, and $145,000,- from the premium on the new Apart from the earnings of the that. London will be free to all 000 debts to native. banks and in- sberse, making the Silver Reserve new capital, three factors have borrowers and will resume its dividuals, arrears of pay due to $23,500.000
belped towards this favourable place Is the unquestioned government departments and the Gill-edged securities in which result; one I have, slready chief financial contre of the like. The salt revenue surplas part of our reserves are invested, mentioned, viz. the fact that no warld. In this connection available, after providing for the have shown considerable appre-inroads on the profits have been, it is gratifying to record an ap-loans directly secured on the salt ciation during the year. The necessary for writing down our preciation of the pound sterling revenue, has been pledged for some market value of our gold invest-securities; another is the activity compared with gold of nearly 19 of these obligations to the extent mente now showe a handsome in local trade in the per cent during 1921 It may be of $74,000,000, a sum representing at Burplus over the value at which East; the third and
most appropriate to mention here that least 18 months of the average sare.
re-
they stand in our books. Important is that the full when Chins again appears in the No provision for depreciation effect of the slump in trade foreign markets as large boz-plas available in urinal times. has therefore been necessary was not felt fill the second half rower, which must be sooner or which, in the present disorganised this occasion. Ours of the year. During the first balf later, it is absolutely sure that state of the country, is almost the profile have suffered, In we were still deriving benefit London will be able to absorb as sole source which the Feking Gov. common with those of every from the enormous trade of 1920. large a share of Chinese dance ernment can look to for its current British Jolat Stock Baar, for, We have had to coptend with and on as favourable terms: as administrative expenses. The coun- some years past from the depre- "constantly varying world ex-can be obtained sisewhere. try is still being forced, by the ex- ciation of these gilt-edged securi- changes, but our operations have China's External Trade. actions of political and military ties, which are necesstry in our been fortunate and otherwise the
The external trade of China and rivalries, to continue the struggle of
business, but I think that in view "euroing power of the Backrests
of the considerable margins we on very solid foundations, All All other Eastern countries has maintaining, or attempting to main- now have in hand, there are sub- losses that have been ascertained suffered in common with the rest) tain, a standing army exceeding in