The Annual Meeting of the Shanghhal Kedah Plantations, Ltd., was held fon Dee. 17 at 20 Canton Road. Mr. W. B. 0. Middleton presided, "supported by Messrs E. E. Parsons and J.-H, Liddell, Directors. Holders of 163,011 shares were represented at the meeting.
'The chairman in his speech so Before proceeding with the business of the Meeting, would like to {ake this opportunity of recording the Directors' regret at the death of Mr. A. D, Bell The total area of 2.230% acres for the Paya Kamunting and Riverside Estates remains the same as reported to you last year. There are changes, however, in the position of the various argas in Paya Kamunting and Fou will note that we start the year with a producing area of 1,078 acres, four acres non-producing and 84 acres leted replanted in 1037, giving 2 total planted area of 1,168 Seres. Riverside remains the same as last year with 8 total area of 742 acres.
I am pleased to report to you, and perhaps a little unexpectedly, our application on behalf of Paya Kamunting for inclusion in the experimental planting schemes under the direction of the Rubber Research Institute has been granted. Felling of the 60 acres required for this has been completed.
The replanting of the 64 acres was Jcompleted in September and the condition of the whole of this re-Dlanted patch can be considered ax The general condition of the trees on this Estate Is satisfactory; the trees are in most parts healthy, carry good crowns of foliage and have a satisfactory rate of bark renewal. With Riverside where sell conditions are not so favourable in certain areas as on Paya Kamunting and where trees now show signs of age, partijeularly in the slow rate of bark renewal, the general condition of the Estate can be considered as fairly satisfactory. These areas, 1 may tell you, are in our programme. for Teplanting.
The Directors wish t6 take this opportunity of recording their apredation of the excellent work done by Mr, McAuley, the Estate Manager, and estate staff, and our thanks are also due to Mr. H.C. Pinching, our Visiting Agent and technical adviser, and the Straits Agents for their good care of our properties throughout the year.
T will now turn to the accounts, You will see that the output for the year from both Estates was 606,800 bs. us against 540,808 ths. in 1026. The actual cost of this production and including replanting expenditure, 70d, per Ib, and Tam sure you will appreciate" this low figure of cost The prot for the year"amounted $245,214.70 and with the sum of $18,111.12 carried forward from last Year makes a total of $263,325.91. Deducting three interim dividends of 10 cents, 15 cents and 15 cents respectively paid during the" year, amounting to $120,000.00, there remains a balance of $143,52591 to the credit of Profit and Loss Account.
Before 1 discuss the recommendations of your Directors as to the distribution and apportionment of this Dalance, 1 wish to point out certain features of the balance sheet The whole amount of $22,06730 expended fon replanting during the year has boon made a direct charge and comes out of revenue, $15,000.00 has been transferred from Exchenge Adjust Jment account to General Reserve recount, making this now stand $165,000.00, There remains in Exchange Adjustment account the sum of $0290.05 which should. be ample cover any possible fulure fuctuntons in exchange.
Your Directors put before you the recommendations to pay a final divid-lend of 25 cents per share, absorbing $75,000.00, place $25,000.00 to Reptanting and Cultivation Reserve, $10,000.00 Building Reserve, write off $13,- }217.39 from Buildings and Machinery. /$45835 from Plant and Machinery, donate $500.00 to the British Forces: Recreation Centres Fund and catty forward $19,140.97.
"You are aware that last your we allocated a reserve of $25,000.00 to Roplanting and Cultivation and our proposal to add a further $25,000.00 to this reserve is, I am sure, a sound one, The estimates for the new year fallow for an expenditure of about St.$0,000.00 for replanting and oxperimental "planting, Further, the replanting programme we have in view will extend for another three years, writing off $13,217.39 (rom Buildings and Furniture and making Building Reserve of $10,000.00, your Directors are influenced by the view that we should do so now when we can spare the money and also by the fact that we have to face further expenditure. on, Dulldings end smoke feteee fin amt oder tha dutiag the financial ear under attention to the
review we have distributed to Sfnrehotders practically 80 per cent ofthe nes ea ings of the Company.
1 will not. venture to predict the suture, but it is an undlbpated fact that withthe present reduction in Who quota, costs of Production will be Algher and these can only be covered fy' commensurate increase in the Price of rubber Following te discussion the following resolutions. wore. passed:—~
Text read from the printed page and cleaned; old type leaves the occasional error.