B—ls

Profit and Loss Account and Dividend The profits, after providing for expenses of management, and for all bad and doubtful debts, and other contingencies, and after making £ s. d. provision for the annual donation to the Provident Fund, are .. 399,980 11 3 To which has to be added : Balance brought forward from last year .. 430,976 16 3 830,957 7 6 From which has been paid : £ s. d. Dividend on preference A shares .. .. 46,250 0 0 Interim dividend on C long-term mortgage shares 6,503 18 1 Interim dividend on D long-term mortgage shares 16,259 15 3 Interim dividend on preference B shares . . 21,875 0 0 Interim dividend on ordinarv shares .. .. 131,250 0 0 222,138 13 4 Leaving available for distribution .. .. .. £608,818 14 2 This the Directors propose should be disposed of as follows : —- Dividend on C long-term mortgage shares at 6 per cent, per £ s. d. £ s. d. £ s. d. annum .. .. 7,031 5 0 *Reduced by Id. for every 13Jd. or part thereof .. 527 6 11 6,503 18 1 Dividend on D long-term mortgage shares at per cent, per annum .. .. 17,578 2 6 *Reduced by Id. for every or part thereof .. 1,318 7 3 16,259 15 3 Dividend on preference B shares (making £43,750 for the year) .. 21,875 0 0 Dividend at rate of 3|- per cent, on ordinary shares (making £262,500 for the year, equal to 7 per cent.) .. .. .. 131,250 0 0 Leaving balance to be carried forward .. 432, 930 0 10 £608,818 14 2 Such dividends to be paid in New Zealand currency. The gross profit for the year, less provision for contingencies, &c., amounted to .. £2,473,798, an increase of £237,321 Expenses amounted to .. .. £2,073,818, an increase of £267,137 Leaving net profit as above .. .. £399,980 a decrease of £29,816 The gross profit shows a satisfactory increase which is accounted for by a higher average level of advances, the continuing increase in the number of customers' accounts, and the increased volume and turnover of the Bank's business generally. Investment income shows a reduction due to repayment on maturity of Government and local-body loans.

*Reduction on account of New Zealand social security charge in pursuance of section 9, Finance •Act (No. 2), 1941.

3