of Colony's Prospects

Morris Hedstrom's Financial Year

Shareholders Get Special Bonus —Interesting Review of Colony's Prospects

IN the financial year ended March 31, 1946, Morris Hedstrom, Ltd., the big Pacific trading firm, with head quarters in Suva, made a net profit of £86,910, which is a few hundred more than the previous year’s profit. The shareholders get their usual 10 per cent., plus a special “Victory” bonus of 5 per cent. —paid out of a War Risk Reserve of £140,000. This was accumulated in the black years but as Fiji just escaped actual war operations—it was never re quired.

The subscribed capital of the company is £739,613, and, including £lOO,OOO now transferred from the War Risk account referred to, the reserves employed in the business are over £500,000. The company’s usual trade operations have been severely curtailed by war and post-war conditions, so that it has the better part of £1,000,000 lying in investments and bank deposits.

In the course of his address to the shareholders, at the annual meeting in Suva in June, the managing director and chairman of the Board, Sir Maynard Hedstrom made the following interesting observations: — Scholarship Help “rpHE Morris Hedstrom, Ltd., University X Scholarship Fund is filling the pur pose for which it was created: we have at present two scholars at Auckland University College, we expect to send a third early next year, and thereafter to maintain the number at three.

The need for improvement in facilities for the secondary education of Fijians is increasingly evident.

Building Programme “T AST year I referred to our building Xj programme. In October, 1945, we secured the services of Mr. F. H.

Beckett, ANZIA, FRSA.

The first building designed by him is under construction in Suva, a reinforced concrete building to be equipped as a modern motor repair shop to take the place of the wooden building which was destroyed by fire in 1941.

“Shortly we hope to commence build ing a reinforced concrete store at Siga toka to replace the present old wooden structure.

“Mr, Beckett is engaged in preparing plans for reinforced concrete store and offices on our freehold at Apia, Western Samoa.

Trading Outlook “T>ROSPECTS for the current year are ± reasonably good, although in some places there will be a falling off in trade.

“Copra prices are likely to continue at a satisfactory level during this year and next, and there is a possibility that they will be increased to something like a parity with prices now being paid by the British Government for Ceylon copra.

“Sugar crops this year will be light, but prospects for next year are good and the fact that quite recently an agreement was signed between the Colonial Sugar Refining Co., Ltd., and representatives of labour gives hope of peaceful working conditions.

“The gold industry appears to have a future, although development has been, and still is, hampered by the difficulty of obtaining necessary machinery.

“Developments in air transport are being watched with interest and the es tablishment of an international airport

near Nausori (about 14 miles from Suva) is under serious consideration by the Gov ernments concerned.”

Retirement SIR MAYNARD HEDSTROM announced that he would, on March 31, 1947, retire from the position of managing director, which would be taken over by Mr. H. E. Snell. Sir Maynard will retain the post of chairman of directors.

An account of the remarkable career and achievements of Sir Maynard Hed strom is published elsewhere in this issue.