The first annual general meeting of the shareholders in the Yangtazepoo Cotton Mill Ca., Ld., was held the 2nd instant at the offices of the General Managers, Messrs. Jardine, Matheson & Ao., Ld., Mr. John Johnstone presiding. There were also present Messrs. C. G. 8. Mackie, Woo Ling-shu and Pan Ching-poo consulting committee and Mesars. J. J. Dunne, G. P. Forster, Zee Quan-yuen, Wong Wai-kee, Kerfoot, R. 8. Piercy, J. Harrop and the secretary, Mr. A. Brooke Smith.. In all 121,625 shares were represented.
The- secretary having read the notice convening the meeting and UN os the auditors' report, the chaixtido' your approval, I propose to' take the report and accounts, which' have been in your hands for some days, as read, accounts cover a working' period of 14 months, it having been' sound convenient to our books on December 31, and in future the financial year of the company will commence on January 1.
Your consulting committee ture to hope that you will consider the result satisfactory.
At one ordinary shareholders, but August onwards trade generally was, of such a nature that we were compelled to accept prices for our yarn that showed serious losses, and I regret that we cannot do more than, liquidate our liability. to the preference shareholders, which absorbs Ts. 40,833.33.
T trust you will approve the proposed appropriation of the balance, at credit of profit and loss account. From the report it will be seen that preliminary expenses are provided for and this item will not appear in future years.
The depreciation set aside for machinery is on the basis of 6 per cent. per annum, which your general No, 1 mill buildings, which are of brick, are being written down 5 per cent., but it has not been thought necessary to depreciate the -buildings of Nos. 9 and 3 mills, as they are of concrete and have only been in operation for a few months, The land required for the Nos. 9 and 3 mills and the weaving shed was purchased from my firm with certain buildings. Some of these, valued at Tls. 29,728, were demolish ed, and the auditors rightly require this amount to be written off in the course of a few years. Subject to your approval, Tle, 10,000 is being provided this year for this purpose, Tls. 1,499.50 from working account and Tls. 8,500.60 from premium on shares.
There are other small items for depreciation, but I do not think they: call for any special comment.
Of the 95,000 ordinary shares offered to the public only 5,719 shares were originally applied for, but subsequently further applications were received for the balance, and large number of shares was issued at a premium of 5 and 10 per cent. with the result that the company made a profit of Tls. 8,500.50.
A first and final call of Tls. 3 per. share on the 25,000 ordinary shorea 1 have just alluded to was made payable on December 31—at that J. date Tls. 67,983 had been received, and I am pleased to say that the. present outstanding is only Tls. 600. I take this opportunity of reminding shareholders who have not yet paid the call, that interest at the rate of per cent. per annum is being
Text read from the printed page and cleaned; old type leaves the occasional error.