In speaking last year of the franchise for the supply of water to the area west of the International Settlement, I ventured to hope that before this meeting complete agreement would have been reached. I regret to say my hope has no' been realized, As T told you last year the intention Was to form a new company to take over this company's plant and mains In the area, however, conditions are such at the present time that it has become impracticable to raise the capital necessary to float a company on the terms and conditions of the franchise as now offered. In view, however, of the setous situation that 5 now ruling in the western district which is preventing the natural de velopment of that area, due to our inability of supplying fresh consum-behoves us to explore every innd in the endeavour 10 alleviate unfortunate state of affairs; again T have to reiterate the that when T next address you, means. will have been found to circumvent the present position.
Apart from our not seeing eye to eye on the subject of laying mains Jour relations with the officials of the City Government continue to be most friendly, og T am pleased to say are those with our fellow public utility undertakings.
Friendly Ca-operation with special pleasure acknowledge the friendly eo-operation of the directors and officials of the Chapel Electricity & Waterworks Ca, Ltd, which has done much to smooth over some difficulties which arose in connection with the work= ing of the agreement for the supply from our mains in the northern are It is with much regret that I have to refer to the untimely death of our Deputy Engineer-in-Chief and Manager, Mr. Stringer, and on behalf of the board T wish to express ur condolences to his widow. Again T wish to express the appreciation ut the board to our Engineer-in-Chief & Manager, "Mr. Pearson and the staff for the very satisfactory manner in which they have carried om their duties and to Mr. Lock who has so ably filled the position of Secretary vacated by Mr. Walter.
The only change in the composition of the board has been the re-innation of Mr, Bell when he retired from the arduous position of Chairman of the Shanghai Municipal Council and the appointment of Mr. Lambe in his stead. It is suitable here to record our appreciation of the good services and advice tendered by Mr. Bell and to welcome Mr. Lambe in his place.
In view of the increasing number of shareholders leaving Shanghai would like to draw attention to the requirements of the Companies Act as to registration of shares on the ing shares registered on the Branch Register must be resident in China.
follows therefore that on losing the residential qualification it is necessary for such shareholders to transfer their holdings to the princ!- pal register in London.
The Resolutions There being no questions, the following' resolutions were passed. unanimously:—'That the directors' report and accounts for the year 1094 be and they are hereby:
Text read from the printed page and cleaned; old type leaves the occasional error.