of the Directors, for presentation to the shareholders at the second ordinary general meeting to be held at the Central Hotel, Bund, on Thursday, 29th April, 1897, at 4.30
Phe Directors have to submit to the shareholders the first. report and accounts for the ght month, ended 28th February, 1897. of the Central Hotel business on the Ist July Although the company assumed possession
last, much unavoidable delay occurred in starting the Stores, owing to the tenants of Nos. 2& 4, Nanking Road being unable to vacate, when notices to quit were served.
Premises being so difficult to obtain in the, Nanking Road, the Directors were compelled (against the interest of the company) to
tenants, Messra.' Llewellyn & Ca.," had Jeniency, expecially as, their senior uninterruptedly "occupied No, 2, Nanking Road since 1853, and it was not until January, 1897, that this old firm was able to remove, and hand the keys over. Messrs. Brewer & Ca, {also old tenants) were fortunately able quit No. 4, Nanking Road, somewhat, ear but these premises were found to need alter tions, ete., and had to be closed while the company's' architects (Messrs, Morrison Gratton) effected the necessary repairs; these being comploted on the 11th of January, the company's new Outfitting Stock was shown there, but on 4th February (when No 2 Nanking Road was available for occupation), it was considered advisable to again close No, 4, temporarily, to admit of new rooms being built thereover in order to meet the growing demand for further hotel accommodation; these delays necessarily proved expensive, and the reverse balance shown in the Working Accovot arises principally from these initial difficulties at the outact of the Company's career, as the staff charges were going on all the time, the period of trading these houses being less than a month each, when the accounts had to be closed and pre. patel for the General Meeting, "Owing tothe nef term of occupancy, and these incon-Yenient, yet necessary shifting, in order to join intepular buildings together. to. make them suitable for both Hotel and Stores, imniediate profits could not reasonably be ex-
Store expenses are not separately apportioned, ted, und for similar reasons the Hotel and bt fom the lobo Mare forward they will be rendered under distinct headings. "It is expected that the whole of the block will be connected and available for Hotel apartments and Stores, by the Ist of May next.
Hotel Accounts,—The Hotel income—excluding Bar and Buffet returns—which only aniounted to $55 on the day when the business was taken over, advancedto $95on31st October, and rose to$120 on the 28th of February, 1897, {including the extra rooms added during those months) and when the remaining rooms are ready for use, the yield will be correspondingly higher; at the sane time every effort has been made to increase the popularity of the Hotel by rendering it more attractive and convenient, which has considerably increased the outgoings, but these, however, will not be continuous. Meanwhile the Board has determined to limit any future expenditure to actual requirements. The Working Account shows a debit, balance of $7,889.84, which includes one third of the preliminary' of formation the other portion being carried forward.
Capital.—On final and other calls—$10,090 were outstanding when the accounts were closed, about $8,000 of this has since been Directors.—Mr. M.A. Sopher retires in accordance with "Article 106, which specifies that one Director shall retire in rotation Jearly, and although eligible, Mr. Sopher does not seck re-election. It. is proposed that the Board shall consist of five Directors in future and nominations for the three vacancies should be filed at the Company's office not later than the 22nd inst.
Alteration of Rules.—Many of the Shareholders having expressed opinions in favour of the Stores being thrown open to the Public {so that any person could purchase goods for cash at the same tariff as Members) the Directors decided from the 31st of March last, to relax the Rulesto that extent..A notice: able increase of business has since resulted, which it is anticipated will continue, now that the undertaking has developed into a going concern.
Auditor.—The Accounts have been audited by Mr. Wilmer Harris, who retires, but offers himself for re-election.
J. H. P, Parken, Chairman. Shanghai, 20th April, 1897.
Text read from the printed page and cleaned; old type leaves the occasional error.