The ordinary half-yearly meeting of shareholders of the U. 8. N. Ca. was held at the offices of the Company on Monday. Present: Messrs. R. Francis, in the chair, 'A. A. Hayes, Samuel Brown, and J, Ringer, directors, and R. W. Little, J. B. Tootal, J. P. Bisset, S. Daly, W. Mitchell, A. Warrick, J, Macqueen, J. M. Taylor, R. Mackenzie, J. M. Canny, Will Tod, R. E. Wainewright, A. Thurburn, 0: Brandt, L.A. Stoddard, Chun-wa-chang, A-Chang, Tuk-cheh, Chin-chaw, Kwan-wei-loong, and Yuen-tsung, representing 1437 shares.
The Cuarnaraw having read the advertisement of meeting, proposed, seconded by Mr. Toorar—
That the Report be taken as read.
Phe Cuareatay then said he had very few remarks to make on-this-occasion, for the Report itself gave the shareholders all the information that was necessary. The first resolution to be put before the meeting would be as to the passing of the Report and Accounts.
Mr. Brown begged to propose, Mr. Sropparp seconding—That the Report as now presented be adopted, and the Accounts be passed, and that the action of the Directors as therein detailed be approved and confirmed, Mr. Top would like to ask, before the resolution was passed, why the loss upon the Rona was represented as an asset. He found the difference between the actual Joss and the amount insured for so represented.
The Cuarnatan.—It cannot be said to be loss till the present legal proceedings are terminated, Mr. Top,—ALt present it is a loss.
The Cuaray.—It is 90, and it may ultimately become so absolutely, but pending the result we prefer to leave it open.
To would like further to ask when thor there was any use in keeping open the debt of Messrs. Glover, Dow & Ca.
unable to decide how far that mi The Cuarnray said here ogum logs, and as the present was a hall-yearly meeting, the Directors wished to keep the matter open till the end of the financial year. He was glad to be able to state that, as ho had just learnt, a dividend was expected very soon from the estate referred to.
Mr. Lirme observed that the balance stated on working account was Tls. 60,256.76; was there likely to be any return to contributors from this The Cuarnatan said there would be.
Mr. Lrrrxe asked how much it was likely to amount to.
The Cmarman.—Five or six thousand taels at the outside. In order to pay a dividend at the rate of 12 per cent. it had been found necessary to fall back upon the balance of the previous half-year, as they would see from the accounts." In answer to a former question regarding the apparent loss on the Rona, he might state it she was insured for much less than her actual value, and the claim against the Ava was for the full and not the insured value, and consequently if that claim should succeed on appeal there would be a balance recovered to meet the difference.
Mr. Tootal observed that arrangements had been made for the sale of the Company's steamers and other properties, Was there any intention to disclose now the nature of the transfer and the amount paid to the Company, or did the Directors propose to weis till the annual meeting.
The Cuarnan said there was no objection to give any shareholder information on the matter, if he called at the offices of the Agents.
Mr. Lrrris—But we are all shareholders here present.
The Cuarmuan said that was a public meeting, and anything that took place there became the property of the public, Which the directors aid not think was such a matter for the interest of the shareholders, but the directors were prepared to go into the fullest explanations with them private Me. Levis May T askiif, in making up the assets, the properties have been taken at probable selling price or at a fancy valuation The Cxarnman—We cannot say exactly, but I believe that the assets will come out pretty nearly on the valuation set down, Mr. Top—Are we to understand from the Report that the sale of the Company's property is actually concluded? I do not know whether the Deed of Settlement gives the Directors such power or not.
The Camacax—The Deed of Settlement gives the Directors power to sell any items of the Company's property, though not the not done.
Company itself, and the latter they had
Mr. Top—asked if it was understood then the Company was to provided itself with new steamers.
The Cuarnman said they had sold the Company'sfsteamers, and they could buy others if the shareholders desired that this should be done. It would be question for the shareholders whether they had better do that or wind up the Company.
'Mr. Haves said he had perhaps caleulated' more carefully than most of the shareholders their present and prospective position. They had received from the new Company a proposition in the form of an offer, to be bargained upon, and in considering it they had two things to bear in mind—first what was the actual market value of the Company's property, and second how it would probably come out if anything affected that value. Any of the shareholders, had they been placed in the position of the Directors, and seen the future, as it loomed before them, through the insight they possessed, would he was sure have been ready to consider a favourable offer, and the Directors were very much gratified at having obtained a certain sum for the assets of the Company. There were two elements of uncertainty still in the Report, one being the business of the Company to the end of the year, and the other the amount receivable from the Aca. That claim was open onthe80th September. Although, asit had turned out, it would have been better to have left the question alone, the Directors found themselves obliged, by advice of their counsel in Hongkong, to take action, because if they did not they would have had to face claims from uninsured shippers of cargo, passengers, &c. Their counsel had held the opinion that the worst that could happen was that both steamers would be found equally to blame, and if it turned out s0, it meant a gain of $75,000 to the U.S.N. Ca. 'The amount in' the suit on behalf of the Rona was $175,000, and for the Ava, $25,000, and if both had to pay, the Rona would receive $75,000. The Directors not only expected that they would gain their case, but they were obliged to {ike action to' avoid responsibilig' did not know any person who had been of opinion that such a verdict would have deen arrived at as was. On the 30th Sept. the Aca's claim stood as a judgment against the Rona, but since it had been taxed, it had been reduced about one-half. The Directors had carefully calculated the value of the Company's property, and considered that the price it was sold for not only gave the full market value but that, looking to the business of the year, it should bring the shares out at over present market rates. The alternative perhaps the shareholders had not considered so fully as the Directors had done. The Company had never been adequate to its work, from the smallness of its fleet. Ithad been very successful last year because the Glengyle had been employed on the coast in a season of unparallelled prosperity; but, when they came to confine the boats to the river, with the bad season and competition for business to which they were exposed, the inadequacy of their resources Was painfully apparent, even with the fixed tariff at which they had hitherto been running.
Mr. Tooran.—And if the Directors increase the fleet that fixed tariff finishes.
Mr. Lirme thought the shareholders were working in the dark in approving the sale of the Company's property without knowing the sum. If it were nota matter for the public, the shareholders might have been privately informed.
the Cuarmsn offered to submit the desired information now, privately, to the ite Bisse enquired wh was to be made with debenture-holders, it. Bisset enquired what arrangement If the steamers were to be sold, what security was offered for repayment of the bonds. of the debenture-holders would be glad The Cuaman believed the majority receive their money back.
Mr. Bisser—Suppose they decline to do that, they would have a claim for interest at 10 per cent, during the unexpired balance of the period of five years, The Cnarsan remarked that they would be glad to take repayment, when the Company had disposed of the security.
Mr. Top had also intended to bring uj this question, If the security were par with, he supposed the debenture-holdert would havea claim against the purchase mono}
The Cuaimaay said it would be a matter of arrangement with the debenture-holders, ind it was scarcely for the shareholders to interpose difficulties, The Company must imply make the best arrangement with the debenture-holders that they could, He put the. resolution again, and declared it passed unanimously. Ho had now to propose—That a bonus of 5 per cent be returned to contributors for the six months ending Sept, Both 1872, Mr. Rrvcee seconded, and the resolution was passed unanimously.
Mr. Rusoze next proposed, Mr, Hayzs seconding—That Mr. R. F. Eastlack be appointed auditor in the place of Mr. Pryer Passed unanimously.
'Mr. Brsser said the sale of the steamers being virtually confirmed by the meeting, as he understood it was by' th the resolution on the Report, he supposed. the next thing to be considered was what was to be done with the Company in future, Was it to be carried on, or was it to be wound up?
The Caamwan.—That is in the hands of the shareholders, Mr. Brsser thought that in face.of the strong opposition coming on the River and the steamers having been sold to this position, the only thing remaining for ie Company was to wind up, and he should therefore propose—That the Directors be requested to take such steps as may be necessary to wind up this Company as soon as possible after the Slst March proximo, Mr. Ruvorr seconded.
in the end of Mardh. He presumed. that Company's property was to be receives uaerstood that payment, for a large proportion would immediately be divided among the shareholders.
pended on the carrying out of the resolu-The aman said that of course de tion just proposed, If it were passed, the accoimnts would be closed as zoon as possi Tu reply to a remark regarding the affair of the Ava, Mr. Haves said there was now nothing to be paid out on that account; there might be something to come in. 2 The resolution was then passed unan!- monaly,
Text read from the printed page and cleaned; old type leaves the occasional error.