COMPANY MEETINGS
PATALING RUBBER ESTATES
DIVIDEND OF 12 PER CENT.
MR. H. ERIC MILLER'S ADDRESS
THE twentieth ordinary general meeting of the Pataling Rubber Estates, Limited, was held on Friday, May loth, at 19 Fenchurch Street, London, E.C.
Mr. H. Eric Miller (the chairman) said in the course of his speech: The periodical reports made on our properties by the visiting agents all indicate that the estates are in their usual sound agricultural condition and that the special cultivation programme to which I have made reference on more than one occasion at our annual meetings is thoroughly justifying itself. That special cultivation is being continued, but your board does not feel that by itself it is sufficient to keep Pataling in the front rank of rubber-producing companies. Approximately 18 per cent, of our rubber is now 30 or more years old. This rubber is still an economic proposition under present conditions, but it is definitely past its prime, and by comparison with modern high-yielding trees is inevitably losing competitive value. Even Katumba Estate, which, apart from last year's new clearing, was planted in 1927-28 with budgrafts, from the best material available at the time, is already outmoded. Even so, last year Katumba—which has not yet reached its full productive capacity—yielded 1,041 lbs. per acre actually tapped. It has therefore been decided gradually to replant the whole of Bukit Blimbing Estate over a period of years and the replanting of some of the older areas on our other estates is under consideration.
It is proposed to raise the reserve for cultivation and replacement to £30,000 and to pay a final dividend of 8 per cent., making 12 per cent, for the year. As to the outlook for the current year, it seems certain that the present rate of release will have to be reduced, but even so we shall no doubt account for a larger crop. We have pro- tected the position by entering into forward sales for delivery during 1940 of 1,592,640 lb. at an average price of over told. per lb., London terms. Costs. I trust, will not be unduly increased. The company is in a sound position and we look forward to presenting a good account a year hence.
The report was adopted.
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