The annual meeting of the Shanghai Seremban Rubber Estates, Ld., was held on Tuesday at the otices of the general managers, No. 10 Canton Road. Dr. R. S. Ivy presided, supported by Messrs. A. kK. Craddock, F. Sallou, M. Speechman, C. J. L. Stewart (directors), F. Scarborough (sccretary) and an attendance representing 64,800 shares.
In his speech, the Chairman said:
In common with most companies operating in the Straits, I regret to say we have a [ess on the year's: working of Tls. 7,634.15, but, in view of the extremely low prices obtainable for rubber during the year under review, we may be grateful that a worse position is not revealed. We commenced 1922 with an overdraft at our bankers of Tls. 8,679.77, and we owed to sundry creditors Ts, 3,809.48, against which we have cash and stocks amounting to Tls. 8,406.78, or in other words an actual adverse position of Tls. 4,082.47. This is not a very large sum and the position would quickly turn in our favour with rubber even at 30 cents. The bank overdraft is secured by a mortgage on the property.
Here or ReasonasLe Prices.
It is difficult, if not impossible, to prophesy the trend of prices, but one could argue and hope that 25 cents must be somewhere near rock-bottom and that at this level there is more room for a reasonable rise than a further fall.
We have sold forward two tons per month January to June at 41 cents per lb., which will help to average up a little on to-day's low price for the balance of our crop.
During 1921 every possible economy that could be safely instituted was put into operation on the estate with the gratifying result that the cost of production was only half that of the previous year, and moreover we are told that these drastic economies have not in any way interfered with the efficiency of the estate,.thus showing that adversity has forced all concerned to put forth greater effort and to adopt new methods which might never have been thought of had times continued prosperous.
The accounts as presented leave very little for me to comment upon. No new capital expenditure was incurred, the buildings, factory, and other assets have all been written. down to nominal figures, leaving no need to provide for any further depreciation for the year under review.
The amount brought forward from last account was Tls. 3,543.26 and after deducting this figure from the loss of Tls. 7,634.15 on 1921, the loss on the year's working is reduced to a deficit of Ts. 4,090.89.
There were no questions, and the formal resolutions were adopted.
Text read from the printed page and cleaned; old type leaves the occasional error.