The advocate., 1891-12-30

/
expense Of advertising and commercial
travellers, this saving alone, accruing in
directly as profit to the union company,
would roll up rapidly into an enormous
fund. There will be q double safeguard
against possible dishonesty OF local man.
ayers. First, they win be required TO de-
pOsit in satisfactory bank in the state all,
or at least $1,000 Of the bonds they hold,
and also to give bond Of $1,000 for the
faithful performance Of their duties. This
bond win cover burglary as we'll, but in the
event Of the local manager being found not
to be at fault. by "a committee consisting OF
the state agent and representative from
the head Office, he shall be released from all
loss in the matter. The bOndsmen will
naturally keep an eye on their client. The
entering in the individual pass book of pur-
Chases for the purpose Of furnishing the
data for q 2 per cent dividend to the mem
bers will be an additional check. Then the
state agents will also be interested in hav-
ing the sales as large as possible, in order
to increase their commissions.
In addition TO the 2 per cent rebate guar
anteed TO the farmers, it is proposed to di-
vide the surplus earnings, after dividend
on the common stock not exceeding 8 per
cent, as follows: An equal share to each 81
of capital stock or debenturs bonds, and
$40 of purchases, 1t being conceded that
one dollar of capital risked equals $40
worth Of purchases by individuals in the
distribution Of the surplus earnings.
CAPITALIZATION.
The capital is to be $4,000, 600, with power
TO increase the amount of debenture bonds
from time to time, as the business may re-
quire. The bonds to be divided as follows:
10000 lst debenture bonds, par value
$50, guaranteed Interest at 8 per
cent t.................. ............ .$l,OOO,OOO
10000 I'd debenture bonds, par value
$50, guaranteed interest at per
cent ..s...s....ss..so... OUV,OOU
1900 shares common stock, par value
$1,000 ...".,...,........s.''.. I'oOO'OOO
Total .....................". 900, 900
MANAGEMENT OF THE COMPANY.
The management Of the company is to be
in the hands of board of directors, fve in
number; the president, vice president,
treasurer and two members TO be elected
annually.
Each state is to have one agent and each
county one or more stores with managers in
charge. The agents and managers shall be
directly under the control of the board of
directors. The company reserves the right
to suspend manager for incompetency,
inability or dishonesty. In case of suspen-
sion, the company will, at their option, either
pay the manager cash the par value less any
amount due the company from the manager
of the debenture bonds, or shall return an
equivalent in goods from the stock con-
tanned In his share. In either case, the de-
benture bonds are to be surrendered TO the
company. The local manager to remit in
full each week total cash received TO head
Office. Farmers who desire to be carried
through the season, by presenting suitable
notes Of $4,000 each TO the local manager,
and securing the local managers endorse
ment Of the same, che said notes will be
discounted to limited extent by the COM
psny al per cent. There shall also be an
advisory board of managers, to consist of
the state agents. They shall meet once a
year, or oftener, If necessary, at the head
office Of the company. Their duties shall
be to consult with the board OF directors as
may be required. Removals of the state
agents may be made by the direcOrs for in
competency, inability or dishonesty. Any
vacancies in the position of state agent
shall be Glled By appointment by the board