held as an investment since the time of the issue of the Loans of 1873 and 1875. While writing off this amount, as shewn in the Profit and Loss Account, the Directors, from the assurances they continue to receive from Chili and from the acknowledged good faith of that Government, are sanguine that these securities will, to a great extent, recover their value.
The causes above mentioned not only render it impossible for the Directors to declare any further dividend for the year, but necessitate the appropriation of nearly the whole of the Reserve Fund, together with a surplus value on the Bank Premises, which has hitherto been regarded as a set-off against temporary fluctuations in the Securities. Provision, however, being now made for depreciation in the manner above explained, the surplus in question, £85,400, affirmed by valuation at the close of the year, has been brought into the Adjusting Account of Profit and Loss.
The Directors have the painful duty to report the death, on the 27th October last, of their colleague, Mr. Lestock Robert Reid, who had sat at their Board for twenty-four years; they have also to announce the recent resignation of Mr. Henry J. Jourdain, a step which they regret became necessary in consequence of the condition of his health. To supply the vacancy caused by the death of Mr. Reid, the Directors appointed Mr. John Young, formerly of Madras, à gentleman possessing lengthened and varied experience of Indian business, to be a member of their Board. They have not appointed a successor to Mr. Jourdain, and in connection with this subject, as they consider it would be much to the advantage of the Corporation that the number of Directors should be increased to ten, they propose shortly to call a Special Meeting of the Shareholders with a view to the election of three gentlemen from their number to supply these places at their Board.
The Directors retiring by rotation are Mr. Walkinshaw, Major-General Burn, and Mr. Arbuthnot, who offer themselves for re-election.
The Meeting will also have to appoint two gentlemen as Auditors for the present year.
In presenting this report, the Directors desire to express their deep regret that the results of the year's operations have proved so unsatisfactory. Having however so fully provided for bad and doubtful debts, as well as for the depreciation in their Securities, they trust that with an improvement in trade and an advance in the rates of exchange, the future may bring a renewal of prosperity to the Corporation.
GEORGE ARBUTHNOT,
THREADNEEDLE Street,
29th March, 1879.
£20.493.827 2 5
:
LIABILITIES.
For the Year ending 31st December, 1878.
Bills of Exchange in circulation not bearing Interest
To Promissory Notes in circulation not bearing Interest
.. Balances due to other Banks ..
.. Cash deposited not bearing interest
.. Cash deposited bearing Interest
.. Reserved Surplus Fund..
Dividends remaining unpaid
To Capital paid up..
..
**
..
..
..
•
..
..
..
3
E s. d.
776,321 4 10
By Coin and Bullion..
.. 6,218,765 11 9
..
87,944 10 O
3,609,360 13 6 ..8.284.939 2 II
..
..
..
..
Total due to the Public.. 18,977.331 3 0
.. £1,500,000 o
•
13.672 4
5
..
2,823 15 0
..
Due to Shareholders.. 1,516,495 19 5
..
ASSETS.
..
..
.. Balances due from other Banka..
་་
.. Promissory Notes or Bills of other Banks
Government Securities-
English and Indian ..
..
Foreign and Colonial..
..
..
.. Landed or other Property of the Corporation
s. d.
2.140.731 2 to
688.584 17 9
..
..
1.569.331 15 5
46.374 12 10
2,875,690 13 5
.. Debts secured by Landed or other Property.
238,613 10
..
1,807,945 5 5
་ ་
373,962 6 3
370,087 14 9
Corporation not included under the foregoing heads, and .. Notes and Bills discounted, or other Debts due to the exclusive of Debts abandoned as bad
..
.. 15.066,141 2 7
Chairman.
ACCOUNT.
By Balance undivided at 31st December, 1877 ..
.. Amount earned during the year
.. Transfer from Reserved Fund..
PROFIT
£20.493.827 2 5
AND
£
LOSS
3. d.
75,000
£243,857 16 3
To amount paid as Interim Dividend for the half-year ending 30th June, 1878....
..
.. Provision for bad and doubtful Debts..
Paper and additional provision for
.. Depreciation on Indian Government
Adjustment of Current Balances in the East
....
.. Depreciation on Foreign and Colonial Securities
..
..
Less Surplus value of Premises
185.567 3 0
•
91.030 3 4
$20.455 2 7
..
85.400 0 0
435.055 2 7
£510.055 2
7
+
:
£ 3.
5.758 12 1
192,968 14 11
311.327 15 7
:
£$10.955 2 7
མ་
Directors
GEORGE ARBUTHNOT, WM. J. W. BAYNES,
W. WALKINSHAW,
Examined and found correct :-
J. R. ROBERTSON,}
S. RAWSON,
Auditors.
50
PUBLIC RECORD.OFFICE
6
Reference :-
TILLHC.O.537 33
PUBLIC RECORD OFFICE, LONDON ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO
P. CAMPBELL, Chief Manager.
J. MACNAB, Chief Accountant.
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