(7.) The remuneration of the auditor or auditors shall be fixed by the general meeting appointing such auditor or auditors, and shall be paid by the company.

Application of Companies Acts.

12. The following modifications shall be made in the application of the Companies Acts, 1862, 1867, and 1877, for the purposes of this Act; that is to say,

(1.) As to a reserve liability company formed in pursuance of this Act

(a.) In the memorandum of association the requirements of this Act with respect to the name of the company shall be complied with, but the word "limited" shall not be added as the last word in the name of the company, and the declaration as to the liability of the members shall be to the effect that such liability is limited by reserve, with the addition of the amount of such reserve liability.

(b.) The certificate of incorporation shall state that the company is incorporated as a reserve liability company.

(2.) As to an unlimited company registered as a reserve liability company, in pursuance of this Act-

(a.) Where the shares in the company have not been numbered prior to registration, the company shall, and they are hereby authorised to, distinguish each share by its appropriate number.

(b.) The requirements of this Act with respect to the name of the company shall be complied with, but the word "limited" shall not be added as the last word in the name of the

company.

(c.) A copy of the resolution declaring the amount of the reserve liability shall be delivered to the registrar with the other documents required.

(d.) The certificate of incorporation shall state that the company is incorporated as a reserve liability company.

(e.) The resolution declaring the amount of the reserve liability shall be deemed to be a condition of the company in the same manner as if it were contained in a registered memorandum of association.

(3.) As to reserve liability companies whether formed or registered as such in pursuance of this Act

(a.) Where any new shares are issued by a reserve liability company the same amount of reserve liability shall attach to those shares in proportion to their nominal amount as attaches to the existing shares of the company.

(b.) A reserve liability company shall not be authorised to reduce its capital, or to convert its shares into stock, or to consolidate or sub-divide its shares.

(c.) A reserve liability company shall not be authorised to issue share warrants under the Companies Act, 1867.

(4.) As to registration anew

On the registration, in pursuance of this Act, as a reserve liability company or as a limited company of a company which has been already registered as an unlimited company, the registrar shall make provision for closing the former registration of the company, and may dispense with the delivery to him of copies of any documents with copies of which he was furnished on the occasion of the original registration of the company; but, save as aforesaid, the registration of such a company shall take place in the same manner and have the same effect as if it were the first registration of that company under the Companies Acts, 1862 to 1879, and as if the provisions of the Acts under which the company was registered and regulated as an unlimited company had been contained in different Acts of Parliament from those under which the company is registered as a reserve liability company or as a limited company.

Forms and Definitions.

13. The forms set forth in the schedule hereto, or forms as near thereto as circumstances admit, shall be used in all matters to which such forms refer, but such forms may be altered or added to by the same authority and in the same manner by and in which the forms contained in the second schedule to the Companies Act, 1862, may be altered or added to.

Any alterations of or additions to forms made in pursuance of this section shall be laid before Parliament within three weeks after they are made, if Parliament be then sitting, and if Parliament be not then sitting, within three weeks after the beginning of the then next session of Parliament.

14. In this Act

The expression "joint stock company means a company consisting of seven or more members having a permanent paidup or nominal capital of fixed amount, divided into shares also of fixed amount, and formed on the principle of having for its members the holders of shares in such capital, and no other persons:

The expression "bank of issue" means any joint stock banking company lawfully issuing its own notes:

The expression "unlimited company" means a company the liability of whose members is unlimited :

The expression "limited company" means a company limited by

shares :

The expression"part of the United Kingdom" means, according to circumstances. England, Scotland, or Ireland.

SCHEDULE.

FORM A.

MEMORANDUM OF ASSOCIATION OF A RESERVE LIABILITY COMPANY FORMED UNDER THE COMPANIES ACTS, 1862 To 1879.

1. The name of the company is the East Anglian Reserve Liability Banking Company [or the East Anglian Banking Company Limited by Reserve].

2. The registered office of the company will be situated in England.

3. The objects for which the company is established are the carrying on the business of banking, and the doing all things incidental to carrying on such business.

4. The liability of the members is limited by reserve, and the amount of reserve liability attaching to each share is a sum equal to the nominal amount of each share.

5. The capital of the company is two hundred thousand pounds, divided into one thousand shares of two hundred pounds each.

We, the several persons whose names and addresses are subscribed, are desirous of being formed into a company, in pursuance of this memorandum of association, and we respectively agree to take the number of shares in the capital of the company set opposite our respective names.

Dated the 22nd day of November, 1880.
Witness to the above signatures—

(«) This item applies only to banks of issue.

THE COAL AND IRON TRADES.

THIS magazine has lately reviewed the condition of many trades and commercial markets in which in recent years violent fluctuations in prices-fluctuations from prosperity to distresshave been disclosed; but in none have those transitions been so rapid as in the iron and coal trades. That the two are most intimately connected will be admitted from the fact that in the production of iron a far larger tonnage of coal has to be consumed, and that our ironmasters are the very largest customers which the colliery owners possess; but the connection is carried closer from the circumstance that every great coalfield is also an iron manufacturing district, so that the coal owners and their men are often in daily intercourse with the producers of iron, and though much coal is sold for household purposes, for steam-shipping, and to gas companies, in no sense is there the same general community of interests.

We have

said that every large coal-field is also an iron manufacturing district, and the Cleveland, South Yorkshire, Staffordshire, South Wales, Scotch, and Belgian coal-fields are illustrations of this, it being an axiom that it is cheaper to bring the iron to the coal than the coal to the iron.

But these trades have of late years been passing through periods of change both in themselves and in relation to one another, which will in time exercise a marked effect, apart altogether from the condition of trade. In the first place, we are never again likely to experience the effects of a coal famine. In 1871, there were in the United Kingdom some 3,100 collieries yielding 117,352,000 tons of coal, while in 1875, there were 4,501 collieries open, and the output had increased to 131,867,000 tons. Their capacity of output, however, was greatly larger than this, had sufficient demand for the fuel existed, and a large number of pits are now idle altogether, but would again come into operation were trade to revive sufficiently. Hence the iron trade may count upon a generally full supply of cheap fuel. Ten years ago some 345,000 men were employed in our coal-pits, now the number, though not so large as in 1873-5, is about 490,000, an increase of 42 per cent. With regard to the iron trade, improved appliances have latterly materially lessened the consumption of coal and coke, and the abrupt transition from iron to steel bids fair to effect a vast saving both in labour and fuel, and to transfer a portion of the expense into other channels. In past years it required on the average the burning of over seven tons of coal to place one ton of finished