The Sun.
London, England, 1867-08-15 00:00:00

place, it is the necessary result of a very large and
daily increase of competition. New offices are
springing up almost every day, and these new offices
very naturally take their share of the new business;
and I may add that the directors of this company
are very unwilling to incur the heavy charge neces-
sary to maintain a large increase of new business.
(Hear.) There is, gentlemen, another cause to which
I attribute the falling off in the new premiums, and
which I attribute it in a larger degree than I do to the
competition to which I have just alluded, and that
is to the locally obscure position which this office has
occupied ever since we lost sour original house.
(Hear.) It is during the two years that we have been
tenants instead of holding a house of our own that
this falling off in our new premiums has taken place.
Now, that matter will very soon be removed. lam
happy to say that we have procured a most eligible
site, upon most moderate terms, in a very first-class
position. And not only have we obtained the site,
hut, as many of you who have passed along Pall-
mall may have noticed, the house is, I may cay,
completed, and at a very early period the business
of this company will again be transacted under its
own roof. (Hear.) It is perhaps only just that I
should say that the acquisition of this site, which I
consider most admirably suited to the interests of
the company, we entirely owe to the indefatigable
zeal and industry displayed by my friend Mr. Sam-
brooke in searching it out. (Hear.) He never
rested till he found a suitable place for us. This
was not the only site he set before us. He made re-
peated inquiries, and set a great many before us,
and at last this one upon which you see the house
now erected. I repeat that that house was not only
erected on a most excellent site, but that the site was
purchased upon the most excellent and advanta-
geous terms to the company. (A Shareholder—ls
it freehold ?) It is a freehold site. I may mention
also that a great deal of the business which we take
over when we amalgamate, as we have done on some
occasions, with other companies is new business ; and
this in some degree compensates for the diminution in
the amount of the new premiums to which I have
alluded ; because, of course, the business which is
transferred would appear as old business, and would
none of it appear as new premiums. I may also
observe that the competition to which I previously
alluded is in a great measure neutralised, and, I
may say, more than neutralised, by these amalgama-
tions, because the company which may join us, and
which was previously opposed to us in taking away
a certain class of business, is not only removed from
competition, but become part and parcel of our-
selves, and the whole of their interest, which was
previously opposed to us, becomes identical with
our own ; and that, of course, will again in some
degree remove the inconveniences which we at pre-
sent undergo from competition. (Hear, hear.) I
may also say that there is another slight compen-
sation, or perhaps I should say it is not a slight one :
and it is this, the directors recently felt that the
time had arrived when they could with safety retain
on a single life a larger sum than hitherto. The
limit until very lately was £B,OOO ; but the direc-
tors, having regard to the financial position of the
company, thought they might with safety retain
£lO,OOO upon a single life, and that, of course
l, saves
a large amount of reassurance. Now, gentemen,
with reference exclusively to the quinquennial
period, I may say that in that there is no drawback.
It is one, I think, of unqualified and absolute suc-
cess. (Hear.) I know no drawback of any kind to
which I can call your attention in the financial posi-
tion of the quinquennial period. I may merely men-
tion this, that 20 years ago, only four quinquen-
niumssince, the income of this company was £60,000
a year ; it is now in round numbers half a million.
(Hear.) I think, therefore,we may say that the stride
we have made in that time is quite remarkable, and
I can most confidently say that that increase of
business has been made with great safety and
caution. We have never taken one single step in the
dark ; but we have most prudently cmsidered
whether it was not to our advantage to take it, and
whether we could not deal with it with perfect
safety. (Hear.) With reference to your position,
gentlemen, as proprietors, I think you will be of
opinion that the amount of the reserve fund which
we consider it safe to set apart for immediate divi-
sion amongst you as a bonus is very considerable,
and will be a very pleasant addition to the dividends
which annually you are accustomed to receive upon
your shares. (Cheers.) It only remains for me now
to allude to one other matter, which is one of un-
qualified regret, and that is that during the past year
we have lost two of our directors. One—Mr. Lloyd
—was a gentleman who had occupied a seat at this
board for many years before I had the honour of
being a member of it. I can speak of him from my
own experience and also from the experience of all
the directors present, and I say that in him we lost
a most able and untiring director, and one who
brought great. business habits to bear on the affairs
of the company. We much regret his loss. The
other director, Mr. Wilcoxon, had only very re-
cently joined this board when he was taken from
us. He joined this company in consequence of the
amalgamation with us of a company of which he had
been the chairman. I have also to express the regret
of the board that we should have lost his services,
which no doubt would have been valuable if he
had been spared to us. But, gentlemen, we are at
all events fortunate in still retaining the services of
his colleague, Mr. De la Rue, of whom, though we
never like to praise a man in his presence, I can say
most truly that he is an able, indefatigable, and
valuable addition to our board. (Hear, hear.)
Now, gentlemen, without further preface, I beg to
move the adoption of the report. I feel confi-
dent that the past and present of the company
are only significant of our future progress. I know
that before very many minutes are over I shall have
left this chair, and my place will be taken by another;
but I can most confidently predict that under the
leadership of my gallant friend, Colonel Wetherall,
the Eagle will continue in its course of progress, and
that the future of this company will be worthy of
its past. (Cheers.) Gentlemen, I beg to move the
adoption of the report.
Mr. THOMAS BARKER seconded the motion.
The CHAIRMAN—I mentioned just now, gentle-
men, that I should be happy to answer any questions
which any proprietor may think fit to put to me;
and if any proprietor wishes to put any questions I
would remind you that now is the time to do it.
Mr. CHARLES DOANE —With respect to the bonus
to the proprietors, if I recollect rightly, on the last
occasion it was 15s.—(The Chairman--16s.)—and
now it seems we are going to have an increase of
nearly 50 per cent., which I think is very satisfac-
tory. There is one item I should like explained, and
that is the amount of funded securities. Last year,
if I recollect aright, you increased these investments,
and I thought it was a very proper action on the
part of the board. Perhaps, sir, you will have the
goodness to state whether the amount now invested
in funded securities is the amount now standing on
the books of the company, or on a certain date. On
a former occasion I made some inquiry also with
respect to the sum, amounting to a million or more,
on mortgages ; and I asked whether the auditors
really efficiently examined all the documents per-
taining thereto. I then received an aFsurance from
the chair, and a still more explicit statement from
the auditors, that they were very careful in the
discharge of their duties; and I am glad to find in the
report that the board bear record to the efficient
manner in which the auditors have performed their
duties, because in these days, when confidence is very
much shaken in public companies, that is of the
greatest
to
the
mortgages,possiblenirportance. (ll,!ar, hear.) Then,
a s
I dare say the legal advisers of
the company do their duty thoroughly. We know
the registration of titles in this country is the ex-
ception and not the rule, and we are obliged to trust
very greatly to the care and ability of our legal ad-
visers, whom I have not the pleasure of knowing,
but I dare say they are attentive to the interests of
the company. (Hear, hear.) In expressing my
sentiments on the report, I cannot do better than
say that it shows the position of the company is an
sbsolute success; and I personally congratulate the
board on the admirable manner iu which they have
conducted our affairs. (Hear, hear.)
The CHAIRMAN—With reference to the first ques-
tion of the honourable proprietor as to the amount
of our, funded debt, I may observe that it is one
necessarily of a shifting character, bat it is one cer-
.

tainly of very great importance, and curiously
enough, one to which our attention will be directed
at the meeting which we are going to hold presently,
when you gentlemen have retired. This is a proper
matter for the honourable proprietor to have noticed,
and one to which the attention of the board is con-
stantly directed. With reference to the second
question, as to mortgages and other securities, the
directors—not satisfied with the very admirable and
excellent attention of the auditors—at uncertai❑
periods, and not at certain periods, investigate by a
small body of themselves these securities of the
company; and very recently I myself, with the as-
sistance of the deputy chairman and another director
(Mr. Sambrooke), went very carefully through the
securities, and I have great pleasure in informing
you that that investigation was most thoroughly
satisfactory. (Hear, hear.)
Mr. BARKER—Do you contemplate having an office
in the City, or to confine it to the West-end ?
The CHAIRMAN—We propose, at all events for
the present, to confine our office exclusively to the
West-end. A very large amount of our business,
perhaps the larger amount, is now at the West end;
and so many large offices now have branches there
that we anticipate that, whilst the office at
the West-end will be a great advantage to our
western business proper, it will be no detriment to
the class of business which may more properly be
called the City or eastern business.
Mr. BARKER.--it won't weaken your City inte-
rest, will it? The Royal Exchange have an office
in both places.
The CHAIRMAN—On the contrary, we anticipate
that, whilst it will strengthen our western interest,
it will in no way weaken our City or eastern inte-
rest. (Hear, hear.)
A PROPRIETOR—An hon. proprietor just now

talked about the bonus on the shares being an in.
crease of 50 per cent., but I think that increase is
only half a crown—is it not so ?
Dr. Guv—No, it is 7s. 6d.—three half crowns.
(Hear, bear.)
Mr. HEDGES—What may be the entire bonus we
may expect ?
The CHAIRMAN—It will be in fact 235. 6d. per
share, independent of dividend, which is, as usual,
a fixed dividend of 5 per cent.
Mr. NOBLE—I have been a shareholder of this
company, or rather of the old Palladium Company,
from its commencement, and at the last meeting I
took the liberty of expressing my opinions as to the
amalgamations which have taken place. I beg leave
to say again that I think we may go on amalgamat-
ing till at last we may meet with some unfortunate
mishap ; and I would therefore impress upon the
board the desirableness of abstaining from further
amalgamations. Let us be content and happy with
our present excellent position. The result of the
business is much beyond my expectation, consider-
ing the extraordinary circumstances in which we
have been placed, and the financial difficulties of the
past year.
The Citxtn3tAN—With reference to your remarks
as to amalgamations, I may state that the board
have no amalgamation whatever in contempla-
tion ; and also that when they do enter into these
matters they do not take any final step until they
have given the subject mature thought and delibera-
tion. (Mr. Noble--I have no doubt of it.) Per-
haps the hon. proprietor, therefore, will be willing
to leave that matter, as all others, to the discretion
of the board. (Hear, hear.)
Mr. NOBLE—I have no hesitation in cluing that
—none at all.
The report was then put and carried unanimously,
The CHAIRMAN—The next matter to bring before
you, gentlemen, is the reappointment, if it be your
will, of Mr. Henry Rose as an auditor of this com-
pany. He retires by rotation, but is eligible fur re-
election. It is not necessary for me to detain you
by stating, what you must all know, that he is a
most able, zealous, and efficient auditor. He is
rather your officer than ours, but I can only say, on
the part of the board, that we entertain a very high
opinion of him, and highly value his services. Is
it your pleasure that he be re-elected ?
This having been agreed to, and on the motion
of the chairman a very cordial vote of thanks hav-
ing been given by the proprietors to the officers and
staff of the company, the meeting adjourne'l.

EXPLOSION A 7 STO TV 3/ A RKET GUN,

COT7ON WORKS.

Yestmlay afternoon an explosion took place in
the building used for the purpose of drying gun-
cotton at the works of Messrs. Thomas Prentice

and Co. The building was a two-storeyed one, the

bottom being built of clay lumps, the upper part of
wood, with a lining, and the space filled up with

Sawdust packing.

The roof was of slate.

building was situated near the bank of the river, on
the railway side, at almost the furthermost part of

he works.

The custom has been to place the

manufactured cotton in this building moist, and
subject it for a time to heat varying from 90
to 120 degrees. This heat was imparted by

means of pipes from an adjacent shed, in
which were a series of stacks of horizontal pipes,
generating heat from steam conveyed to them by a

pipe across the river.

About three o'clock a loud

dull report was heard, and people whose attention

was drawn to the noise saw a sheet of flame shoot

up into the air like a gigantic rocket. This was
quickly followed by another rather sharper report,
not so loud, and the building was levelled with the
ground and in a blaze. This instantly spread to
another drying shed in which was a quantity of the
sheets of paper used in cartridges hung up for dry-
ing. The roof of this shed was quickly sent up, and
came down in some thousands of pieces (it was in
this building that the explosion took place two years
since). The flames went thence over the large tanks
containing cotton in process of manufacture. Somn
of the covers were burnt, but the cotton wal only
blackened in places. Beyond these the flames
reached an old tree, which was set on fire, but went
no further towards the main part of the factory.

The trees on the railway side were burnt and
scorched, and some cattle belonging to Mr. Arnold
Suttle were badly burned; one poor animal was
killA on the spot, and all the others more or less
blackened about the head and back. Fortunately
on
fo
tp.
beer sroi
In w c
riaysb
when
no any of h
the
explosion
rtlose buildings
tilodoikn gon that side
of place.
.A boy
who was standing about thirty yards off, amongst
the tanks, was either knocked or fell down and
hurt his arm, and this was the only casualty. A
large number of the workpeopls arc women, who
were desperately frightened and scampered off
in all directions to get away from the works,
and some few fainted. Plenty of assistance
quickly arrived from the town, including all
the medical gentlemen, Messrs. Spencer, Freeman,
Sheridan, and Harper being the first to arrive,
but happily there was no need for their ser-
vices. As soon as the people had been got
away attention was turned to the remains of the
buildings, which were still blazing away. Plenty
of water and buckets being in readiness, lines of
men were formed, and the tire got under almost be-
fore the arrival of the fire-engine, half an hour after
which every spark was extinguished. This ex-
plosion, which was the worst that could happen at
the works, clearly demonstrates in a very pleasing,
manner the excellence of the arrangements for pre-
venting loss of life or damage done to the factory
from explosions. Although a great quantity of the
cotton exploded, glass windows within twenty yards
of the principal building remained intact without a
flaw of any kind ; had only half the quantity of
gunpowder been fired, there would not have been a
whole window in Stowmarket. Every part of the
factory being in a manner isolated from the other,
the damage done will cause no stoppage of the
works, and a fortnight will repair all the damage.
Two men named Canham and Broom, who had sole
charge of the building, were in it a few minutes be-
fore, and had just crossed the bridge when the blow-
up took place. The occurrence is no doubt to be
attributed to over-heating. The sun made the roof
very hot, and the pipes forcing in more hot air, the
temperature was raised to 170 deg., at which gun.
cotton explodes. All the Messrs. Prentice were
from home at the time, and Mr. Trotmau, the ex-
cellent manager of the works, is away in consequence
of ill-health. Amongst those most active in render-
ing agaititauco were Mem, W, Liowitt, Sutton,