Issue of Cumulative and Participating Preference Shares An extraordinary meeting of shareholders in the Shanghai-Malay Rubber Estates, Ld. was Held on Wednesday at the offices of the secretary (Messrs, Beck & Swann), Peking Road. Mr. G. Grayrigge presided, supported. by Messrs, R Truman and L. E. Canning (directors), and Mr, R. N. Swann, and the attendance represented 20,477 shares, In proposing the special resolution before the meeting the Chairman said:—Gentlemen,—This meeting has been called by virtue of an undertaking given by thei board to a meeting of shareholders held on July 16, 1916, that no further issue of preference shares would be made without first consulting the shareholders. As you are aware from the annual accounts to} December 31, 1921, the company's bank account in Shanghai shows a considerable overdraft. I am pleased to state that, thanks to remittances recently received from the Straits, the figure is approximately the same as at the above-mentioned date, even after including interest which you! will doubtless realize is a considerable amount on such a large overdraft. The overdraft is at present guaranteed by Mr. E. S. Ka-dearie and others, and it is chiefly due to these guarantees that the company has been placed in a position! to weather the storm that has to a great extent demoralized the rubber industry for some time past. However, the board has-come to the conclusion that, although stringent economy is stil] necessary in order that companies may make a recovery, the bad days are over and the time has arrived when the house should be put in order in readiness for the more prosperous days that seem ahead of the company. is "board has strongly urged the adoption of a policy of restriction for a considerable period, and in spite of threats and entreaties from the manufacturers, who surely have had good innings at our expense, it is hoped that the policy recently adopted by the industry will be maintained in such a way as to assure a fair return for our product.
The accounts for 1922 we expect wilt show a profit of approximately Tls. 10,000 which, added to the sum of approximately Tls. 9,900 brought forward from 1921 accounts, will will make it possible to pay a large portion of the preference share interest, which ig now Tls. 40,000 overdue, as scon as cash becomes available Your directors propose, therefore, should you adopt the resolution shortly to be put to the meeting, to offer at par the remainder of the unissued cumulative and participating preference shares to the shareholders in the proportion
Text read from the printed page and cleaned; old type leaves the occasional error.