23 FEBRUARY
THE NEW ZEALAND GAZETTE
533

(b) Profits and losses on sale of investments—As the majority of redeemable quoted investments are normally held to or near to maturity, no provision is considered necessary for any differences between the book values and the market values of such individual stocks quoted below book values at the balance date, neither have any transfers been made from reserves or out of the current year's profit to write them down apart from the amortisation of the premium on stocks bought above par referred to in (a).

Realised profits and losses on sales of New Zealand Government and local authority securities are taken to profit and loss account in equal instalments over 5 years commencing with the year of sale.

(c) Taxation—Tax effect accounting procedures have been applied under the liability method on timing differences for which the tax liabilities are expected to crystallise within the foreseeable future.

(d) Provisions for losses and doubtful debts—

Provision for losses:

1983
$

1982
$

Balance at beginning of year
11,600
7,889

Losses written off
5,730
10,702

Charge to profit and loss account
17,606
14,413

Balance at end of year
$23,476
$11,600

General provision for doubtful debts:

Balance at beginning of year
148,090
135,100

Charge to profit and loss account
(3,247)
12,990

Balance at end of year
$144,843
$148,090

2. Market Value of New Zealand Government and Local Authority Securities

As at 30 September 1983
$59,886,960

As at 30 September 1982
$48,683,332

3. A contingent liability exists for subsidies on home lay-by deposit accounts which at 30 September 1983 total $30,579.

4. Depositors accounts are shown after adjustment for provision for losses.

5. Reserve:

Revenue Reserve

1983
$

1982
$

Balance at 1 October 1982
7,269,042
3,800,000

Transfer from profit and loss appropriation account
2,372,595
3,469,042

Balance at 30 September 1982
$9,641,637
$7,269,042

6. Auditors Remuneration:

1983
$

1982
$

For audit of accounts
7,750
5,500

For other

Total
$7,750
$5,500

7. Other Main Group Companies:

(i) ANZ Banking Group (New Zealand) Ltd.

(ii) ANZ Pensions (New Zealand) Ltd.

(iii) ANZ Properties (New Zealand) Ltd.

(iv) Endeavour Investments (New Zealand) Ltd.

UDC Group Holdings Limited—subsidiary of Endeavour Investments (New Zealand) Ltd.

UDC Finance Ltd.

UDC Mercantile Securities Ltd.

UDC Properties Ltd.

UDC Developments Ltd.

UDC Nominees Ltd.

United Dominions Corp. Ltd.

Lambton Investments Co. Ltd.

Commercial Developments Ltd.

Mercantile Discounts Ltd.

Credit for Industry (N.Z.) Ltd.

Financial Services Ltd.

The Traders’ Finance Corp. Ltd.

United Finance Corp. Ltd.

Mercantile Securities (Hong Kong) Ltd.

Quebracho Investments N.V.

Leverage Lease Nominees Ltd.

AUDITORS REPORT

TO THE MEMBERS OF A.N.Z. SAVINGS BANK (NEW ZEALAND) LTD.

We have examined the accompanying balance sheet and profit and loss account and have obtained all the information and explanations we have required.

We are of the opinion that proper accounting records have been kept by the company, that the balance sheet and profit and loss account give the information required by the Companies Act 1955, in the manner so required and that they give, on a historical cost basis, a true and fair view of the state of affairs as at 30 September 1983 and of the results of its business for the year ended on that date.

PEAT, MARWICK, MITCHELI. & CO.
Wellington, New Zealand. 8 November 1983.

NATIONAL BANK OF NEW ZEALAND SAVINGS BANK LTD. ANNUAL ACCOUNTS YEAR ENDED 31 OCTOBER 1983

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 OCTOBER 1983

Note
1983
$

1982
$

Interest income
19,723,991
23,827,518

Interest expenses
12,257,213
15,360,338

Net interest income
7,466,778
8,467,180

Other operating income
188,421
212,877

7,655,199
8,680,057

Management and operating costs
4,533,022
5,441,908

Profit before taxation
3,122,177
3,238,149

Taxation
3
1,404,980
1,457,167

Profit after taxation and attributable to the shareholders of National Bank of New Zealand Savings Bank Ltd.
1,717,197
1,780,982

Dividend proposed
500,000
750,000

Profit retained
$1,217,197
$1,030,982

BALANCE SHEET AT 31 OCTOBER 1983

Liabilities

Note
1983
$

1982
$

Depositors’ balances
128,838,915
167,721,241

Balances due to The National Bank of New Zealand Ltd.
3,786,031
4,713,007

Other liabilities including accrued interest
1,067,338
464,204

Current taxation
1,645,100
1,743,621

Deferred taxation
500,000
750,000

135,837,384
181,008,610

Share Capital and Reserves

Authorised and issued capital 1,000,000 ordinary shares of $2 each paid up to 40 cents
400,000
400,000

Reserves
2
6,853,581
5,636,384

7,253,581
6,036,384

$143,090,965
$187,044,994

Assets

Deposits with The National Bank of New Zealand Ltd.
3,840,254
2,500,000

New Zealand Government Stock
4
65,347,155
86,014,130

3 ¾ percent New Zealand Government Special Stock, at cost
2,720,000
3,980,000

Local authority securities, at cost
4
2,093,985
3,696,816

Advances and other accounts
69,089,571
90,854,048

$143,090,965
$187,044,994

The notes on page 534 form part of these accounts.

S. T. RUSSELL, Chairman.

C. M. GORDON, Secretary.