The period under review witnessed an unprecedented activity in the spusning industry due to very favourable conditions prevailing in the country. The bumper crop of Chinese cotton kept the prices within reasonable limits while the demand for yarns considerably increased due to ihe enhanced purchasing power of the rural population as a result of abundant crops of agricultural produce. The stabilization of the currency and the continued expansion of transport facilities had the effect of improving the general outlook and infusing confidence in the economic development of the country. A continuation of thes" favourable conditions was looked forward to, when the prospects were rudely shaken by the grave events we are now witnessing in the country.
As you will realize, the prospects for the current financial year are not encouraging at all Cur mills are closed since the hostilities suddenly started here, but have fortunately suffered no damage. Although the theatre of warfare has now been removed away from Shanghai, it is still uncertain as to when it will be possible to resume operations, For several months the trade and industry of this great port have been almost completely paralysed, and an early resumption of normal activity is desirable. Let us hope the worst is already over and that it will not be long before peace is again restored.
Gentlemen, this is all that I have to say, but before proposing the adoption of the Report and Accounts, I shall be pleased to answer, to the best of my ability, any questions concerning the affairs of the mills that you may wish to ask."
There being no questions, the following resolutions were proposed and passed unanimous That the Report of the Directors and the Audited Accounts as standing on June 30, 1937, presented to the Shareholders, be adopted, and that the allocation of the balance of Profit and Loss Account, as recommended by the Directors, be passed. Proposed by Mr. B. D/ Tata and seconded by Mr. S. D. Zau.
That the appointment of Mr. E. S. K. Ho-Tung as a Director be confirmed Proposed by Mr. B. D. Tata and second; S. D. Zau.
Pei be re-elected A Proposed ts Mr, S. D. Tata and seconded by Mr. E.
Text read from the printed page and cleaned; old type leaves the occasional error.