Losses in Consequence of A.OB.C. Failure If it had not been for the failure of the American-Oriental Banking Corp., and its affiliated concerns, the mes Appliance Ca, Lid. would have shown a profit of over $20,000, but as it was the company showed a loss over $80,000 on the year's working. Tels was mentioned by the chairman and. managing director, Mr. P. Widdup, at the sixth annual meeting of shareholders held on Monday at the offices of the company, 150 Nanking Road. The other directors present were Mr. G. E. Marden and Mfr. M. Reader Harris, and Miss B. G. Coyle, secretary, while 49,789 shares were [represented by the attendance.
In his speech, the chairman said:—You will see from the accounts before you that we have suffered a Jess on the year's workings $80,184.58 (as against a loss of $150,- 126380 for the previous year). Your directors' recommendation as to Its disposal will be put to you later as a resolution.
Your Hongkong branch reports are Included in these figures.
"As mentioned in your directors' circular latter of February 10, a re-'Sdjustment "of "capital sirueture is desirable and this matier is now under consideration.
Speaking of your liabilities, these are substantially the same as last year and call for no special comment. The amounts appearing as due to sundry creditors and credit. balances have, with the exception of approx! mately. $10,000 since. been liquidated.
Speaking of your assets, the goodwill figure remains at $120,000. Plant, furniture and fixtures, repair. shan {ools and equipment accounts do not all for any special comment. Stocks Ihave been cut down by approximately '$40.000 Ggured at a $2.80 to one rate. of exchange, which is appreciably below the current level of approximately $3.0 to $1.
Of the amount of $92,262.83 shown under sundry debtors and debt. balances approximately $70,000 has! since been fecelved. A reserve for bad and doubtful debts of $10,825.61 being carried forward, which is considered adequate. Cash at banks fand on hand is considerable, amountting to $126,147.35.
You will notice under the heading of "American-Oriental Banking Corp." that we have written off $100,453.34 and carried forward $10,000, which sum we hope to receive from the Hiquidator of the American-Oriental Bank as and when further dividends are paid. it had not been for the loss we sustained in the failure of the American-Oriental Banking Corp, we Would have shown a neif profit of '$20268.76 for the year's workings, Including Hongkong. "Speaking of the profit and loss account, this does not. call for special comment.
There being no questions, the fol-lewing resolutions were passed:— the divectorepropesed by Mr. P. Wiadup and seconded by Mr. t30 at a foe of $0081, per, annum econ fo he year proposed by tr, "C. C." Chow and. Seconded by Mr. 3, Reader Harris,
Text read from the printed page and cleaned; old type leaves the occasional error.