HONG KONG BANK REPORT.
Despite the political chaos in China and the present state of affairs in Shanghai, the annual report of the Hong Kong and Shanghai Banking Corporation once more testifies to the sound management of that concern. Owing to the lower rate of exchange, some of the items in the balance sheet show a shrinkage when converted into sterling, but in dollars it was a case of an extension all along the line. The position in that respect may be clearly seen from the fact that while the £8 dividend and bonus cost more in currency owing to depre- ciation in the dollar-the amount required to pay it being 12,457,000 dollars against 10,899,000 dollars-the net profit increased by 1,700,000 dollars. Consequently, the silver reserve was increased substantially and the balance carried forward was also greater.
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