The sixth ordinary general meeting of the proprietors of this company was held at the offices, Nanking Road, on Saturday morning. Me. F. W. Such presided and there were also present: Messrs. J. D. Clark Director), G.R Corner, E. Neon, E.J-8, Colgan (secretary), J. H. Osborne, Captain Tisdall, R. W. Mustard, H. R. Everall, W. W. Clifford, S. Bowness, E, Tuck, J. M. Guedes,' S. B. Remedios, H. C. Manning, J. G. Quick, and G. Osborne, representing 1,872 shares. The report and accounts have already been published in extense in these columns.
The secretary read the notice convening the meeting.
The Chairman said—You have heard the notice convening the meeting read and as the report and accounts have been in your hands for some days with your permission we will take themas read. I regret to say that Mr. Hayward is unable to attend here to-day owing to illness. I don't think it is of a very serious nature and I hope to see him back again very soon. Before asking you to vote on the first resolution would like to make a few remarks. It is very gratifying to your directors to be able to tell you that the business is increasing daily and monthly, not in one line but in' every line. We' have not thought that the various departments show, for obvious reasons, but the store' has increased in popularity, and our oustomers have increased' in proportion to the way Shanghai has increased in population. Turning to the accounts you will see that although the gross profit made during the year ending February, 1898, is three thousand dollars better than that made during the year ending February 1897, the net profit is some eleven thousand dollars worse than in that period, and this we account form this way. In the first place our rent has practically been doubled, we [have been at the expense of hiring other premises in which to store our goods and carry on some of the branches of our business during the re-building of our factory. That will account for the diffi erence. Then-you will also notice that the item for interest is much larger than in the'year before. Ina business like ours, accounted for by the credit. system prevails so considerably in this city and_also by the smallness of our capital, Now we propose to make this item this year considerably less than in the past by the issue of the remainder of the shares which we have a right to issue. We propose to issue these 750 shares to-shareholders on a date that we shall specify, and I will tell you in a short time how the: shares will have to be allotted. The only other resolution that we shall ask you to is the transfer from the depreciation und of five thousand dollars to the factory building account. The factory buildin; account now stands at thirty-two thousand dollars and if you pass this transfer the factory building account will then stand in our books at twenty-seven thousand dollars which isa very low valuation for that new and very sound building. Idon's trunk Ihave anything else to suy_but before proposing the first resolution I will be leased to answer any questions that may There were no questions put.
The Chairman—I don't think'any ques~ tions need be asked and we are gratified that this is the case, as it shows you have some confidence in the people running your
seconded by Mr. Clark business. Te la proposed by myself and.
That the Report and Accounts be adopted and passed.
Carried.
TheChairmanmoved, Mr, Clarkseconded, and it was carried That the recommendation of the directors. as to the disposal of the profits of the Company be adopted.
Carried.
TheChairman moved, Mr. Clarkseconded;. and it was carried That the $5,000 standing inthe books as. Depreciation Account be transferred to the credit of the now Factory Building Account.
The Chairman—I have omitted something gentlemen, and that is in reference to the proposed issue of new shares." There are 750 shares to be issued, which in round figures makes one share available for every holder of eight shares. We propose to issue these shares at $30 per share, which is $10 per share below the market price and $10 abore the face value of the shares. When these shares are issued we propose to pay $20—which is $15,000—to the credit of Capital Account and $10 to the credit of the Reserve Fund. We do not propose to allot to any holder of less than eight shares a proportion of a share because it would be too complicated and we have a great many shareholders who are the holders of one, tivo, and three shares, and the premium at which we are about to allot these shares would only give a profit to the holder of a single share of one dollar and twenty cents. But as we intend to put all the gain on: the sale of these shares to reserve fund, the smaller shareholder will. participate inasmuch as the assets of -his
Text read from the printed page and cleaned; old type leaves the occasional error.