Played Big Role In

Jubilee Of W. R. Carpenter & Co. Ltd.

50-Year-Old Company Has Played Big Role In Pacific Development

By a Staff Writer

On September 9, 1914, a company called simply W. R.

Carpenter and Co. Ltd. came officially into existence with an issued capital of £l,OOO. On its first balancing day seven months later, it showed a profit of £1,594/2/11.

)N September 9, 1964, exactly 50 years later, W. R. Carpenter foldings Ltd., controlling assets orth more than £2O million, includ g the original company, announced profit for the financial year ended me 30, 1964, of £2,054,371. Not ifittingly, it was called “our golden bilee profit”.

Few facets of Islands life have sen untouched by Carpenter in rests and actions during its half ntury of existence.

Carpenter money has helped in the welopment of copra plantations, ipping lines, trading stores, cocoa tates, a brewery, civil aviation; and ming up is a £1 million tea enter ise in New Guinea.

The firm was founded by Mr. W.

Carpenter (later Sir Walter) who, a young man, showed that he •ssessed uncanny business acumen.

He became head bookkeeper for irns Philp when only 18, had anded a business on Thursday and before he was 21, and was er in Fiji for six years directing : affairs of Robbie Kaad and Co. • Burns Philp.

On His Own Early in 1914, Mr. Carpenter :ided to leave Fiji for Sydney to up on his own, sending ahead of n Mr. T. E. Page, who was his :rchandise manager in Robbie ad and Co.

Page opened an office at 24 Bond eet, Sydney, in the name of “W.

Carpenter”.

When the firm was incorporated on Member 9, 1914, Mr. Carpenter s the principal shareholder with a per cent, interest. Holding 25 ' cent, each were P. A. Morris, n chairman and managing director Morris Hedstrom Ltd., and J. (later Sir Maynard) Hedstrom. rhus an early link between

Carpenters and Morris Hedstroms was established, which is still seen in the cable address, “CAMOHE”, which was then registered.

The first directors of the young firm were Messrs. Carpenter and Morris. A present-day director, Mr.

B. B. Perriman, joined the firm on June 1, 1914, as a general office assistant and shorthand-typist.

Carpenters built up their early strength on copra and as agents in Australia for Morris Hedstrom Ltd.

They were the biggest dealers in Aus tralia in Fiji bananas, a trade which now, regrettably for Fiji, does not exist.

Holdings Increased

The founder of the firm increased his holdings in 1918 when he bought the interests of P, A. Morris, who retired.

Another Carpenter, H. 8., a brother of the founder, came into the firm on June 1, 1918, as a director. He was principally interested in in surance, and had little to do with the commercial or island trading activities.

At the end of 1918, Mr. W. R.

Carpenter’s elder son, Randolph Bolton, then only 18, joined the firm, starting at the bottom.

But there was little doubt that he was a financial genius, set in the same mould as his father.

There was a big increase in the company’s capital structure in 1918, when paid-up capital was lifted to £25,000. In 1921 the nominal capital was £lOO,OOO.

About 1921, during the big influenza epidemic, Mr. Carpenter be came seriously ill, and made a deal to amalgamate with Morris Hed strom’s. But on his recovery the arrangement was cancelled.

The arrangement lasted about seven months, which meant there was a slight break in the continuity of

the Carpenter interests in W. R.

Carpenter and Co. Ltd., but a link remained as Mr. Carpenter was on the Morris Hedstrom board.

When Carpenters resumed on their own, they bought out the interests of Sir Maynard Hedstrom, and the board was reconstructed. It com prised Messrs. W. R., H. B. and R. B. Carpenter.

Becomes Public The firm was still a private com pany then, but in 1923 it became public with the issue of 20,000 cumulative preference shares, placed by Mr. D, J. Brownhill.

As a public company it has always paid a dividend, despite the depression of the late 20’s and early 30’s, and heavy losses in the Gilberts, Solomons and New Guinea after the Japanese invasion of the early 40’s.

On January 5, 1926, W. R. Car penter and Co. Ltd. came to a work ing arrangement with the stock and station agents, Dalgety and Co. Ltd., who had taken up a large parcel of Carpenter shares.

Under that arrangement the Dalgety superintendent had a seat on the Carpenter board. There are still traces of that association today, even though Carpenters later bought the shares back.

The late Sir Henry Braddon, a Dalgety superintendent, remained on the Carpenter board after he retired from Dalgety’s. Mr. W. S. Bennett, who was also a Dalgety superinten dent and joined the Carpenter board.

(Continued on p. 108)

Sir Walter Carpenter

is still on the Carpenter board. He retired from Dalgetys many years ago.

In 1929, another Carpenter, J.A., who was then the New Zealand manager of Burns Philp, joined the firm as managing director. He held that post till he retired in 1936 when Mr. W. R. Carpenter took it over.

In this year also, Mr. W. R.

Carpenter was knighted and his elder son R. 8., was appointed assistant managing director. The second son, C.H., had also joined the board by then.

When war broke out in 1939, Sir Walter Carpenter, who was overseas, was unable to get back to Aus tralia. So he stopped in Canada and while there he developed the vege table oil industry for that country.

Later, he was able to make a trip or two to Australia.

Although Carpenters suffered severe losses during the war, a policy of diversification carried out through the 30’s enabled them to build up great internal strength.

Insurance Company

One of their activities of that period was to set up an insurance company, Southern Pacific, which operates in Australia, New Zealand and the Pacific. Sir Walter was first chairman of this company, which is a public company.

While Sir Walter was living in Canada, Mr. R. B. Carpenter acted as chairman and managing director— his sons and the remainder of the board refusing to allow him to relinquish the position of chairman, which he retained till his death in 1954.

However, he insisted that he retire as substantive managing director, and Mr. R. B. Carpenter was then con firmed in the post.

At the same time, Mr. C. H. Car penter was appointed managing director, and today the brothers are joint managing directors.

Mr. R. B. Carpenter became chairman on his father’s death, and Mr. C. H. Carpenter was appointed deputy chairman.

W. R. Carpenter and Co. Ltd. made the biggest takeover in South Pacific commerical history in 1956 when they acquired Morris Hedstrom Ltd., which trades in Fiji, Tonga and Samoa.

W. R. Carpenter Holdings Ltd. came into existence in September, 1957, when it was registered in Canberra, with the principal object of acquiring all the issued capital of

£1,305,321, comprising 5,221,28 5/- stock units in W. R. Carpente and Co. Ltd, The authorised capital was £ million in 5/- shares, of whic 9,995,982 were issued to the vendc shareholders on the basis of two fc each stock unit. That transactio took capital to £2,611,517. £lO Million Subsequent transactions, includir a l-for-4 issue at a premium, ar a l-for-4 bonus issue, have broug] paid capital today to £6,250,00 The nominal capital is £lO million Apart from extensive interests the Pacific, the firm has substanti holdings in many leading Australu firms.

It is one of the biggest shareholde in Ansett Transport Industries, probably the second biggest shar holder of Burns Philp stock, ai has a big interest in Woolworths.

But Carpenters were interested commercial aviation long befo their association with Ansett.

They started an airline in P-N in 1932 with two Fox Moths, ai later this enterprise became separate company under the nar of Mandated Airlines.

In the first half of 1938, Carpei ers started the first air mail servi between P-NG and Australia, usi DHB6B aircraft.

This service was amalgamated wi Qantas at the start of World War but the Chifley Government boug out the Qantas shares later, so t Carpenter commercial aviation act ities were again confined to t Territory.

Big Holding

In 1959 Ansett-AN A bouj Mandated Airlines, and it v through that deal that Carpenti acquired their big Ansett holding.

Another deal in 1959 s: Carpenters go into the neon fie They formed Neon Holdings Lt which took over Consolidated Ne< In 1961, with the acquisition Claude Neon Industries Li Carpenters extended their intere in this field.

The firm’s latest venture is in 1 tea industry. With its record achievement over half a centi there is little doubt that it will p off handsomely.

The present members of the boj are Messrs. R. B. Carpenter, C. H.

Carpenter, W. S. Bennett, B.

Perriman, W. G. Johnson (chairrr and managing director of W.

Carpenter and Co. (Fiji) Ltd C. D. Brownhill, H. E. Snell (eh; man of Morris Hedstrom Ltd G. C. Remington and W. A. Ince.