An_ extraordinary general meeting of shareholders in the above-named Compan he d_at the Company's office, No. Kiangse Road, on Thursday, 20th March, 1902, for the purpose considering a resolution empowering the Directors to issue debentures to an extent not exceeding Tls. 200,000. The Chairman, Mr. W. V. Drummond, presided, and there were resent: Messrs Win. D. Little, J. H. MeMichael (Directors), J. M. Young, J. P. Roberts, J. Buchanan, H. J. Craig, W. Buyers, E. F. Fuller and Leonard Kerr, (Secretary), representing 946 shares.
The meeting havi The Chairman sai there is a quorum pre: Secretary to read the notice convenit meeting an also the substance of the private circular which was issued recently to you.
Phe Secretary accordingly read the notice and the following extract from the circular referred to The object of the proposed issue is to provide the necessary capital for the development of the Klompang Estate and the equipment of the factory. Referene> to the Inst published annual report and balance sheet will show that the expenditure on plant, buildings, and land on the Klompang Estate to 31st August 1901 amounted to. "Tls. 138,000 between 31st August and the end of the year there was spent a further 10,500 and the Manager estimates that it will cost a further 16,500 to bring a sufficiently large area into cultivation to keep the factory fully supplied.
The total expenditure on the Klompang Estate may thus he taken to be. 165,000 against which new Capital was raised in April 1900 to the extent of. Tls. 100,000 by the issue of 2,000 new shares at Tls.
each, and it is pr-po-ed to p vide for the balance out of the Debenture issue now recommended.
The profits on working account during the las" tive years hav- aggreg ted Tls. 339,483.38. The last published balance sheet showed assets, which have be-n carefully depreciated, valued at Tls. 536,000 (after allowing for current debts), an amount of Tls. 43,325 being invested in debentures in Shanghai.
It is intended that the new issue be first offered to holders of the existing debentures to the extent of their holdings, and that the balance be offered to public tender.
The Chairman:—Gentlemen, with refer rence to th" proposal which the Board will bring before you to-day there is really very little that it is necessary for me to say in addition to the facts which have been given to you arcady in the circular which has has been issued to you privately, the substance of which has just beer read to you by the Secretary. When the time had arrived for sending home the order for the machinery for the new Klompang Estate the Company had attained a very strong financial position and the final result of a long series of enquiries both at home and on the spot, the Estate itself, had clearly shown that it would be w ser} to obtain a much larger and more elaborate plant of machinery for the Klompan Estate than wa: intended, a plant in fact capable of turning out the same class sugar as is now turned out on the other, the Gula Estate. The superior plant was therefore ordered by the Board and is now erected and at work on the - state. Inaddition to the extra cost of the machinery thus entailed there was about the sime time a rise in the price of labour, and the total result is that it has cost us to bring under cultivation about 1,609 acres of Tand at Klompang and to place there a first-class phut of machinery about is, 165,00 altogether. As we raised only Tls. 190,000 of new capital we still require about 000 on that: account, and the Tls. 35,000 remaining will be very useful as additi- nal working it ed capital expenditure excellent results, for mount of sit produced on the silised_are both decidedly better than estimates, Weth reference to the seourty "which we offer I think T need hardly more than that it is half will be in cash Shanghai and as for the balance it is not necessary to say more than that the Company's property now exceeds in value half a million taels. I not think there is any other point which I need mention t" you in commending the proposal which [Will now make, but if there are any questions which you would like to ask will endeavour to answer them before putting to you the formal resolution. questions ey remarks, be and they are swe Debentures to an extent not exceeding Tls. 200,000 Shinghai Sycee, such Debentures to be for amounts of Tls. 1,000, Tls. 500, or Tls. 100, bearing interest at the rate of seven per cent per annum, payable on 30th April and Sist October in each year. That the Debentures shall be redeemable in not less than five nor more than 10 years from 39th Apsil, 1902. That the Debentures shall be applied in the first instance tothe repayment of the existing Debenture issue of TIs, 100,000, and shall then secured together with the interest thereon by the whole property of the Company and be a first charge thereon.
Mr. W. D. Little seconded and the motion was carried unanimously. re here to-day, this is sometimes, sare, a somewhat cut period froma weather point of view in you ma ko to have one wor reference to the Company's working for the present season. By our latest advices it is satisfactory and we have every reason to hope for a good year (applause). That is all the business, gentlemen. 1 thank you for your attendance.
The meeting then dissolved.
Text read from the printed page and cleaned; old type leaves the occasional error.