The-Hong-Kong-Weekly-Press-1909-08-30 — Page 19

August 30 1909.]

COMPANY MEETING.

HONGKONG AND SHANGHAI BANKING CORPORATION.

HALF-YEARLY MEETING.

The ordinary half yearly meeting of share holders in the above Corporation was held at the City Hall on Aug. 21st, under the chairmanship of the Hon. Mr. W. J. Gresson. Others present were:-Messrs. E. G. Barrett, J. W. Bandow, H. E. Tomkins, R. Shewan, C. R. Lenzmann, W. Helms, C. S. Gubbay, H. A. W. Slade, E. Shellim, H. A. Siebs (directors), J. R. M. Smith (chief manager), Hon. Mr. Murray Stewart, and Messrs. W. Dunbar, L. Berindoague, W. E. Clarke, J. M. E. Machado, Ho Fook, W. H. Purcell, A Findlay Smith, A. H. Ough, W. H. Wickham, Ho Kom Tong, T. F. Hough, P. C. Potts, W. H. Potts, J. W. C. Bonnar, H. N. Mody, J. Barton, R. Mitchell, H. Percy Smith, T. 1. Rose, J. Cox Edwards, N. H. M. Namazee, F. Paget Hett, S. G. Michael, R. H. Crofton, N. J. Stabb, A. F. Warrack, T. M. Knott, F. G. Carroll, H. C. Joass. W. Taylor, P. do-C. Morris, A Forbes, W. C Turner, A.

Bryer, Lan Pan Chin, Chin Tong, and Wong Leung Him

The Chief Manager having read the notice convening the meeting,

The CHAIRMAN said-Gentlemen,—In laying before you the statement of accounts for the past-half year, I am unable to report any marked improvement in the demand for money for trade requirements; ease has been the prevailing tone of the money markets throughout, and it has been a matter of some difficulty to find profitable and suitable employment for all the funds at our disposal. Under these somewhat adverse banking conditions, your Directors feel assured that the result attained will be received with general satisfaction. Your Directors recom- usual dividend of mend payment of the £2 per share, and the carrying forward to the current half-year of an amount similar to that brought in from last account. In addition to this we propose placing $7 lacs to the Silver. Reserve Fund, and in thus adhering to old traditions, by continuing to strengthen our position, I am confident we may look for your support and approval. (Applause.) It is not my intention to detain you on this occasion with a long statement. It is the usual custom for banks only to hold meetings annually, and, though our Deed of Settlement calls for a meeting of shareholders twice a year, I think the one held in August should be mainly con- fined to passing the accounts, leaving a review of trade and business generally to be made at our meeting in February, when fuller data are available. However, before turning to the statement of Assets and Liabilities, you will perhaps allow me to refer briefly to the subject. We are still waiting for the long expected turn of the tide. It cannot be said that trade in the Far Fast is yet in a flourishing condition, but there is promise of improvement in some directions, and I see no cause for taking a pessimistic view. in the contrary news from India of the climatic conditions, upon which particularly in that country so much depends, is favourable; silk crops in both China and Japan are reported to be well up to, if not above, the average; and new life has been in- fused into the Straits Settlements by the suc cess attending the cultivation of rubber, a product which bids fair to become a valuable and I hope, a permanent addition to the exports of that region. These factors must all have a beneficial effect on the import trade, which has been in a more or less depressed state for a long time past, and, needless to say, any improvement will be welcomed by all who are interested in Eastern commerce. Coming now to the state- ment of accounts, you will notice that our Note Circulation shows, as usual at this season, a considerable reduction from the higher total which always rules just before the Chinese New Year, while the amount of dollars deposited with the Government, as security, remains un- altered. Silver deposits and current accounts are some $17 millions over the figures which appeared in the balance sheet last June, and nearly $5 millions higher than on 31st Decem- ber, which is largely attributable to money being temporarily placed in the Bank, pending renewed activity in trade. Bills payable are

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CHINA OVERLAND TRADE REPORT.

191

$15 lacs lower than in December, but a similar The CHAIRMAN said-Gentlemen,-The re- amount higher than in June. Fixed deposits in port and accounts having been in your hands gold are practically unchanged, but gold current for some time, with your permission, I will accounts show a decrease of some £2,800,000, follow the usual custom and take them as read. being about the amount mentioned at our last Your Directors regret the unsatisfactory result meeting as proceeds of the loans temporarily of the six months working, the profit earned held by our London Office This is reflected on being less than for any period since the latter the other side of the account by an almost half of 1889. This unfortunate result may be equal reduction in Bills Receivable, as compared attributed to the keen competition now ex- with the total on 31st December. At that date perienced, and the consequent narrowing of the amount stood at a much higher figure than margins of profits, also to the prevailing depres- The total tonnage of any previous occasion, which was chiefly dussion in the shipping trade. to the large amount of homeward remittances carried by our London Office instead of redis counted. Cash and Bullion in hand and in an increase of $21 transit, together,show millions; Bills Discounted, Loans, and Credits stand at $113 millions, as against $120 millions on 31st December and $109 millions on 30th June. Indian Government Rupee Paper, and Consols. Colonial, and other Investments, are lower than last half-year, but some $3,000,000 over the figures of a year ago. The only other matter that I have to refer to is the opening own office in. Canton. It has been of our apparent, for some time, that railway and other business interests there called for further local banking facilities, and you will see from

the report that a Branch Office of the Bank was established on the 6th of last month. I have no doubt that, in time, it will prove a valuable If any addition to our list of Agencies. shareholder wishes to ask any questions, I shall be pleased to answer them.

There being no questions,

The CHAIRMAN said-Eefore moving the adoption of the Report and Accounts, there is a subject to which I think you would like me to refer, though it is not one that

now before us.

You affects the accounts have no doubt noticed the announcement that on behalf of the Bank your Directors have agreed to subscribe $50,000 to the proposed Hongkong University conditionally upon the full amount required for the Endowment Fund being Without desiring to enter forthcoming.

to the desirability into the controversy as of a University at all, I would point out that the proposition has been most favour

received by the Chinese, including ably the highest officials not only in Canton but also in Peking, as is demonstrated by the way they have come forward with subscriptions, and if you will reflect on the position held by the Bank in China and its intimate financial relations with the Chinese Imperial Government for so many years, I am sure you will recognise that we have acted in the best interests of the Bank and will approve of our action accordingly. (Applause.) I now move that the report and accounts as presented be adopted.

of merchant ships and men-of-war docked the period under review shows during a falling off of some 165,000 tons as against the previous half-year. The net profits for the six months ended 30th June 1909, to $76,609.93, as compared with amount $261,981.53 for the previous half-year and $274,577.68 for the corresponding period of 1908. Including the balance of 8387,078.77 brought forward from last

account, and deduct- ing Directors' and Auditors' fees, we have for appropriation the sum of available $420,162.36, out of which your Directors propose, subject to your approval, to pay a dividend for the half-year of 3 per cent., or $1.50 per share, absorbing $75,000.CO, and carry

forward the balance, 8345,162.36 to new account. Certain instalments having been received on account of work in progress, the item "sundry creditors" is higher by some $90,000.00 than in the last account, while" sundry debtors" is less by some $95,000.00. The value of material on hand shows a further reduction of about $66,000.00.

whole of The

the Company's buildings, docks and plant have been kept up in a state of thorough working order, and the addition of a few up-to-date machine tools at Kowloon Dock will increase the efficiency of the establishment. It has been necessary to relay the permanent way throughout the yard at Kowloon, sub- stituting heavier rails for those previously in use, which experience proved to be too light; the cost, $7,853, has been paid for out of revenue. Reorganization. Since we last met we have received Mr. Dyar's report and after careful consideration of his recommendations, some progress has been made which, your Directors trust, will in the future result in the more economical working of the Company, and, at the same time, by greater efficiency and the adoption of more modern methods in our system of book- keeping and allocation of departmental charges, enable us with greater accuracy to arrive st the actual cost of production of all articles turned out at our works, and thus place us in a better position to compete for all work that may be offering. Mr. Mitchell, a very old servant of the Company, tendered his resigna- tion, which was accepted, and he left the Colony Mr. DUNBAR said I have much pleasure in in April last. Your late Secretary, Mr. Rose, seconding the adoption of the report and had an agreement running on until November, accounts. The balance sheet reflects great 1911: this has, by mutual consent, been cancell- credit on the management of the Bank, fored, by a payment to Mr. Rose, with which we during these dull times it can be no easy task, trust, he is satisfied, and that you, gentlemen, and I am sure shareholders must feel highly will approve of our action in this matter. pleased at the disposition made of profits and To replace the gentleman just referred to, we have engaged as Chief Manager Mr. Robert will cordially approve of the donation to the

Morton Dyer for a period of three years, proposed university.

with our option of renewing for a further two Mr. Dyer will select and engage, on years. terms agreed upon by your Directors, & Secret- The CHAIRMAN-That is all the business, ary who is thoroughly conversant with the book- gentlemen. Thank you for your attendance.keeping, time-keeping and costing of a ship- In the Dividend warrants will be ready on Monday. building or engineering business.

accounts before you under this heading you will observe that there has been an expen- diture of $37,777.34. This includes Mr. Dyer's salary and expenses for coming out and of the Company, reporting on the affairs the payment to Mr. Rose referred to, and Mr. Mitchell's passage money to England. Now, gentlemen, you may well feel anxious to know in what way you are to benefit by this expendi-

On the motion of Mr. A. H. OuGH, seconded by Mr. W. H. WICKHAM, the election of Mr. J. W. Bandow as a director was confirmed.

HONGKONG AND WHAMPOA DOCK COMPANY.

ture.

The ordinary half-yearly meeting of share holders in the above Company was held on Aug. 23rd in the offices at Queen's Building. The Hon. Mr. W. J. Gresson presided, and there were also present:ir Paul Chater, Messrs. H. P. White, D. W. Craddock, W. Helms, J. W.

It is proposed to move the Head Office over to Kowloon, retain ing on this side in less Bandow, E. G. Barrett, S. Silverstone, H. A. Fiebs (directors), W. Wilson (Acting General costly promises one senior and one junior clerk, It is consider- with the compradore and staff Manager, G. A. Caldwell (Acting Secretary),

ed that a great deal of the work hitherto H. W. Slade, J. W. C. Bonnar, R. Mitchell, A. V. Apcar, J. P. Braga, H. Percy Smith, done in the Hongkong office is superfluous, and. that by the amalgamation a con- W. E. Clarke; J. Cox Edwards, H. G. White, A. Ough, D. Macdonald, E. C. Wilks, T. I.siderable saving will be effected. There are also Rose, W. f. Wickham, J. A. Chinoy, Choa Leep Chee, Ho Fook, K. Sayce, Ho Iu, Cheung Pai Kai, N. M. J. Nemazee, and Chan Sai Ki, The Acting Secretary having read the notice convening the meeting,

several changes contemplated in the manage- ment of the various docks, all tending towards economy, and we have in view a reduction in expenditure of from £5,000, to £5,500 per annum. The only further known payment is