Shanghai Electric Constraction Company The 24th annual meeting of the Shanghai Blestrie Construction Ca., Ltd, was held on May 28 at Basildon House, Moorgate, London, Mr. J. 8, Haskell (the chairman), said:—The accounts which we submit to you to-day show a satis factory financial position inasmuch as we have been able to increase the reserve for renewals to £98,000 and the general reserve to £62,000. During recent years additions to renewals account have been very substantially in excess of expendi~ ture under that head, and we hope that this will continue to be the cate for several years to come so that provision is accumulated for the large outlay which will become necessary when the second general renewal of the rails falls due, The greater part of the addition to the general reserve account has sheen made out of profits, and we fare fortunate this time in having 'a special credit in the form of a profit on. the sale of a plot of land in Whashing Road, formerly used as a permanent way depdt, w we have been able to replace with a larger area at no great outlay.
Since the date of the accounts the rate of interest which the company. was receiving from its bankers on deposit account has fallen with si cessive reductions of the Bank Rate, and at the present time we hold 5,000 5 per cent. War Loan. We have also a reserve of £7,000 made up of guarantee premiums received from the Singapore Traction Co.s which constitutes a surplus except in the improbable event of a liability arising under the guarantee. The Singapore Company is making: steady progress and redeeming its debentures out of profits by the operation of a sinking fund, bit, for the time being, we regard the guarantee reserve as an item (Continued on Page 502.)
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