^«:^. IMAGE EVALUATION TEST TARGET (MT-3) 1.0 I.I 128 1^ |50 — ij£ ^ 112.2 !!f 1^ IIIIIIO L25 III !.4 lim III 1.6 =1 Hiotographic Sciences Corporation 33 WEST MAIN STREET WEBSTER, N.Y. 14580 (716)872-4303 '^ %^ 4^ CIHM/ICMH Microfiche Series. CIHIVI/ICMH Collection de microfiches. Canadian Institute for Historical Microreproductions / Institut Canadian de microreproductions historiques Technical and Bibliographic Notas/Notas tachniquas at bibiiographiquaa Tha toti Tha Inatituta has attamptad to obtain tha bast originai copy avaiiabia for filming. Faaturaa of this copy which may ba bibliographicaily uniqua, which may altar any of tha imagas in tha raproduction, or which may significantly changa tha usual mathod of filming, ara chackad balow. □ Colourad covers/ Couvartura da coulaur I I Covars damagad/ Couvartura andommagte □ Covars rastorad and/or iaminatad/ Couvartura rastaurAa at/ou paliicuiAa 0Covar titia missing/ La titra da couvartura manqua □ Colourad maps/ Cartes giographiquas an couiaur n D D Colourad inic (i.a. other than blue or black)/ Encre de couieur (i.e. autre que bleue ou noire) □ Coloured plates and/or illustrations/ Planches et/ou illustrations en couieur Bound with other material/ ReliA avac d'autres documents D Tight binfling may cause shadows or distortion along interior margin/ La re liure serrie peut causer de I'ombre ou de la distortion la long de la marge intArieure Blank leaves added during restoration may appear within the text. Whenever possible, these have been omitted from filming/ II se peut que certaines pages blanches ajouttes iors d'une restauration apparaissant dans la taxte, mais, iorsqua cela ttait possible, ces pages n'ont pas 6t6 fiimias. Additional comments:/ Commentaires suppiimentairas; L'Institut a microfilm^ la meilleur exemplaira qu'il lui a At* possible de se procurer. Les details da cat exemplaira qui sent paut-Atre uniques du point de vue bibiioyraphiqua. qui pauvent modifier une image reproduite. ou qui peuvent exiger une modification dans la mAthode nor mala da filmage sont indiquAs ci-dessous. r~n Coloured pages/ D D Pages de couieur Pages damaged/ Pages endommagAes Pages restored and/oi Pages restaurAas at/ou pailiculAes Pages discoloured, stained or foxe< Pages dAcoiorAes, tachetAes ou piquAes Pages detached/ Pages dAtachAes Showthrough/ Transparence Quality of prir Quality inAgala de I'impression Includes supplementary materii Comprend du material supplAmentaira I — I Pages damaged/ nn Pages restored and/or laminated/ r~~] Pages discoloured, stained or foxed/ I I Pages detached/ r~^ Showthrough/ [7] Quality of print varies/ I I Includes supplementary material/ The posi of tl film Grit beg the slot oth4 firsi sior oril The shal TIN whi Mai diff( anti bag righ raqi met Only edition available/ Seule Edition disponible Pages wholly or partially obscured by errata slips, tissues, etc., have been refilmed to ensure the best possible image/ Les pages totaiement ou partieliement obscurcies par un fauillet d'errata, une pelure, etc.. ont M fiimAes A nouveau de fapon d obtenir la meilleure image possible. This item is filmed at the reduction ratio checked below/ Ce document est film* au taux da reduction indiquA ci-dessous. 10X 14X 18X 22X 26X 30X / 12X 16X aox MX 28X 32X \r\ Th* copy film«d h«r« hat b—n r«produc«d thank* to tha ganarosity of: ThomM FMiwr Rwrt Book Library, University of Toronto Library L'axamplaira film* fut raproduit grica A la gAnArositi da: ThomM Fishar Rira Book Library, Univarsity of Toronto Library Tha imaga* appaaring hara ara tha baat quality poaaibia conaidaring tha condition and lagibillty of tha original copy and in kaaping with tha filming contract apacificationa. Laa imagaa suivantea ont itA reproduitea avec la plua grand aoin. compte tanu da la condition et da la nattat* da l'axamplaira filma, et an conformity avac la* conditions du contrat da filmaga. Original copia* in printad papar covar* ara filmad baginning with tha front covar and anding on tha laat paga with a printad or iiluatratad impraa- aion, or tha back covar whan appropriata. All othar original copiaa ara filmad baginning on tha firat paga with a printad or iiluatratad impraa- aion, and anding on tha laat paga with a printad or iiluatratad imps'aaaion. La* axamplaires originaux dont la couverture en papiar a*t imprimie sont film6a en commenpant par la premier plat et en terminant soit par la darniira page qui comporte une empreinte d'impra**ion ou d'illustration. soit par le aecond plat, aalon la ca*. Toua lea autre* exemplairea originaux aont film** en commanpant par la pramiAra paga qui comporte une empreinte d'imprasaion ou d'illustration et en terminant par la darniire page qui comporte une telle empreinte. Tha laat recorded frame on aach microfiche ahall contain tha aymbol — ^> (meaning "CON- TINUED"), or tha aymbol y (meaning "END"), whichever applies. Un da* symbol** suivants apparaitra sur la darniAre image de cheque microfiche, selon le cas: le symbole — ^- signifie "A SUIVRE", le symbole y signifie "FIN". Mapa, plate*, chart*, etc., may be filmad at diffarant reduction ratio*. Thoaa too large to ba entirely included in one axpoaura ara filmad baginning in tha upper left hand corner, left to right and top to bottom, aa many frame* a* required. Tha following diagram* illuatrata tha method: Le* carta*, planches, tableaux, etc.. peuvent Atre filmA* i de* taux de reduction diffArents. Lor*que le document e*t trop grand pour §tre reproduit en un soul clichA, il est filmA A partir de I'angle supArieur gauche, de gauche d droite, et de haut en bas, en prenant le nombre d'imagas nAcessaire. Las diagrammes suivants illustrant la mAthode. 1 2 3 1 2 3 4 5 6 THE NORTH BRITISH '%,^1^t^-f\^UtyC^^-^y^ il# ^aitatlitttt )(ttv*»(ttw«t 4»^i«P''*«a» 'f imifiitl. REP OET BY MH. QliNM AND MH. WILSON OF THEIR VISIT TO CANADA, S9TH AUGUST— 7th NOVEMBEE, 187'8, GLASGOW: PHINTED BY JAMES MAONAB, 106 WEST NILE ST, Glasgow, 18th November, 1878. To tlie Directors of THE NOBTH BBinSH OAKADIAK DTTESTMENT OOMFAHT (Limited). Gentlemen, In accordance with the resolution arrived at by you on 2nd July last — that we should, during the autumn of the present year, visit Canada, with the view of reporting on the general state of the Company's business there, as that should appear from personal investigation — ^we left Glasgow on 29th August, and arrived at Toronto on 10th September. On our arrival we met with our Advising Board and General Managers, to whom an extract of your minute of 27th August, containing a definition of the objects of our visit, had been sent. These gentlemen expressed themselves as much pleased that you had seen fit to send a Deputation, and placed themselves and the Books, and every information they possessed, very fully and frankly at our disposal. During our visit we had frequent opportunities of meeting the Members of the Board and General Managers, and we feel bound to bear witness to the care and attention which they bestowed upon the Company's business. We attended several Board Meetings when applications for Loans came before them in oi-dinary course, and were particularly struck with the scrutinizing way in which every application for a Loan was examined, the advantages and disadvantages of the district from ivliich it c;unc JiscussctI, and the character of the Agent ond Applicant considered. In the present ^fcmbers of our Advising Board we have a happy combination of prudence and zeal, and we feel certain that the gentlemen who represent us have but one aim — viz., to make the Company in all respects, if possible, the first of its kind in the Dominion — aiming rather, in order to secure that end, at a sound and secure buRiness, than at a merely extensive one. We shall now deal separately with the various points to which our attention was by your instructions specially directed. I-MANAGEMENT OF OFFICE, BOOKS, &c. Our first week in Toronto was spent in the Company's 0£Sce, and during that time we made a thorough investigation into the system on which the Books are kept, and had ample opportunity of noticing how the office is managed. The result of our examination was that we have no fault to find and no im* provements to suggest. We found that, while suitable enough for the beginning, the Company's Offices were not in all respects suitable for the business according to its present dimensions. After several con- ferences with our Advising Board, we expressed to them our opinion that they should look out for other and better Offices. This they are to do. II. -PROPERTIES MORTGAGED TO THE COMPANY. We spent fully three weeks travelling through the Province of Ontario, where, with comparatively few exceptions, the Company's funds are all invested, inspecting Property held by the Company oil mortgage. During that period we -travelled a distance of aSOO miles, and saw 421 Securities, held by the Company, with a total value of 1,563,000 Dollars, equal to je321,000, on which me Bums advanced amounted in whole to 810,000 Dollars, or £166,000. At the time of our visit our total securi- ties numbered about 850, and the sums invested amounted to fully £280,000. When preparing for the inspection we made a selection of securities in nearly every district, taking those Loans which appeared to have the smallest margin, and the result of our in- vestigation has been entir'^ly satisfactory. Along with this Eeport we shall lay before you Books which the General Managers in Toronto prepared for us, in which you will find particulars of the securities we examined, and our special remarks thereon. We should add, perhaps, that with only one or two exceptions, we saw all the securities purchased from the City of Toronto Building Society, and that in the City of Toronto we saw every security held by the Company, whether purchased from that Society or taken by this Company in seo'mty of loans made by ourselves. ni.— PAYMENTS OF INTEREST, &c. In Canada, as in all new countries, borrowers on security of real estate, and especially such of them as are in country districts, are not so punctual with their payments of interest as lenders at home arc accustomed to. This arises from various causes, which our Advising Board, being on the spot, can understand, and such want of punctuality is not regarded as at all a sign that a security is bad. The question of arrears received our careful attention, and after conferring fully with our Advising Board we are satisfied that the amount of payments in arrear due to the Company is under the average amount which according to the experience of the older Companies, might be expected to be met with in a business of the extent of our Company's. The Advising Board And General Managers are dealing vrith all cases of arrears in the best manner for the Company's interest, and we are of opinion that the matter may be left with every confidence in their hands. We are asnnrcd by the Advising Board, and by our own observa- tion, that the chance of any loss on any of the Loans on which we have arrears is very remote. Arrears will continue to be reported to you as hitherto. IV.-GENEBAL MANAGERS' SALARY AND OFHCE EXPENSES. These matters formed the subject of a special conference with the Advising Board, and the recommendations of that Board, which we feel constrained to endorse, are contained in a copy of their minute of 18th October, which we present to you herewith. In conclusion, we may say that we think our visit to Canada at this time singularly fortunate. With a commercial crisis at home, so many classes of securities depressed, and confidence in com- mercial and monetary circles so much weakened, it is a matter for congratulation that we are able to say to you, as we do without hesitation, that the business of this Company is conducted on safe and sound principles, that its Investments in Canada have been and are being made carefully and judiciously, and that our Debentures offer to the public an Investment which yields more than the average return with perfect security. We are, Gentlemen, Your obedient Servants, SAMUEL GUNX, Dlmlor, AKCII. C. WILSON, Sareta,% 1