The record-union., 1894-11-05
TIE WINEMAKERS' new MOVEMENT.
Leading Producers Form Combina-
tion at Last.
Articles of Incorporation Filed-A Call
Issued for a Big Meeting OF
Winemakers.

The California Winemakers' Corpora
tion filed and sent certified copy of their
articles of incorporation to the Secretary
of State. When this legal formality had
been accomplished, says the San Fran
cisco Chronicle, the local men interested
in the project drew long breath of re-
lief, as they realized that at last definite
action had been taken by which the pro-
ducers of wine in California would be
able to secure profitable return for the
time and money which they had given to
develop one of the most important indus
cries OF the State.
The prominent wine producers quietly
got together and secured such an over
whelming majority of the wine manu-
facturers throughout the State that when
they arrived at satisfactory understand
ing they felt satisfied that the rest of the
wine producers in the State would join
with them in the project. The idea Is to
act in conjunction with the wine dealers
In bettering the quality of California
wines and in securing profitable price
for the wines. The purpose OF the new
corporation is to encourage every Wine
maker to turn out an excellent product
and to assure them good price.
The meetings held at the Office of
Charles Webb Howard on Monday and
Tuesday were remarkably we'll attended.
Those present were as follows: ID. Hen
shaw Ward, a. Sbarboro, Crellen Broth
ors of Pleasanton, r. L. Pierce Of Santa
Clara, j. w. Dowdell, 4. G. Terry of
Clayton, Contra Costa County; p. G.
Rossi, a. Malpas, Herman Bendel, l.. p.
Drexler, l.. Bargelotti of Santa Clara, 5.
Ever of Napa, Alfred Bannister. B. w.
Paxton of Healdsburg, II. w. Crabb,
John c. Reed, William Wehner of Santa
Clara, K. V. Lemme of st. Helena, j. c.
Heald, John Il. Doyle, B. III. Upham of
Martinez. w. Is. Rankin of Santa Clara,
Louis Eeusier, ID. NJ. Delmas, G. +. Mon
tealegre, Professor Hussmann, John III.
Wheeler and Daniel Titus, the attorney.
All of these wine producers bound
themselves together TO prevent any fall
ure OF their plans by an agreement which
constitutes the basis of the corporation.
These articles are as follows:
WHEREAS, The several parties hereto
have been and now are engaged in pro-
ducing and manufacturing wines and
brandies in the State of California and in
dealing in the products of the grape there
in, and that by reason of competition in.
said business, and from other causes, un-
sound wines have been offered for sale
and sold as pure and sound California
wines, thereby injuring in the COM
merciallwerld the standard of California
believe that, by intelligent cooperation
on the part of the wine producers Of the
State of California. better quality of
wine can be produced, and the standard
of California wine elevated and advanced,
and better prices obtained therefor, and a
valuable and important industry prom
ised, and to secure the above and forego-
ing objects, II is now therefore agreed by
and between the parties hereto:
|. That they will at once form and
organize corporation under the laws of
the State of California, TO be called the
California Winemakers' Corporation,
with capital stock of Sl0,000.000, divided
iuto 100000 shares of Sl00 each, and with
Board OF Directors consisting of nine
persons. The said corporation to have
power totransact a general merchandise
and commission business, especially in
wines, grapes and the products of the
grape; 10 buy and sell real estate as may
be deemed necessary or expedient to
further the business interests of the cor
poration or the members thereof; to bor-
row and loan money on real estate and
merchandise, especially OH wine, grapes
and the products Of the grapes; to lease
and build warehouses; TO buy and sell
water rights, franchises and vineyards; to
build, own, charter and run vessels, and
make any and all arrangements Tor the
transportation of wines and Drandies,
both by sea and land, and to manufacture,
furnish and provide cooperage and viii
cultural supplies to its shareholders; to
deal in real estate, and TO transact any
and ali other business connected there
with or incidental thereto.
2 After tue formation of said corpora
ton, each OF the parties thereto shall
transfer to the said corporation all his
stock of wines and brandies, except such
part and portion OF his 1892 and older
wines and brandies as he may require for
his individual trade, to be sold only by
said corporation for his account, for a
period of five years, it being the intent
aud purpose OF said parties that all wines
and brandies manufactured by them, and
purchased by the parties hereto, except
AS above, shall be sold and disposed OF
only through or by means of said COR
poration, to the end that each of the par
ties hereto may receive for his wines and
brandies, sold by the said corporation
aforesaid, the value thereof.
3. Each member OF said corporation
shall sell to it one-tenth of the wine
which he transfers to said corporation,
and one-tenth of his annual product here
after for the period of five years, and
shall receive in payment therefor. at par,
shares of fully paid-up capital stock of
said corporation at the minimum price
which said corporation may fix for said
wines.
4. 1t is agreed that at the end of each
month the said corporation shall prepare
a statement and schedule, which shall
show all the wines and brandies which
have been sold during the said current
month. The statement shall show grades
qualities aud classiications, as well as
quantities, and the prices obtained for
each subdivision.
5. a fixed price shall be established,
from time to time, by the board OF direct
ors of said corporation, for wine of ordi-
nary standard. For fine wines, the own
oh in a1A
the nXed price, further sum or amount
equivalent to the difference between the
price established for ordinary wines and
the price received for said fine wines.
6. The net proceeds of nine-tenths of
said monthly sales shall be divided
among the members OF said corporation
who have contributed the same to said
corporation in proportion to the amount
OF wines or brandies of each grade and
quality transferred by each member to
the said corporation, the price thus being
the average price received during the
month for each grade and quality. The
remaining one-tenth shall constitute the
amount actually sold 10 and paid for by
said corporation, as per clause III. of
this indenture, and shall be used by the
said corporation for the purposes and
uses herein referred to.
Z. The said corporation, when organ
lied. is intended TO be means by which
co-operation between the members there-
Of can he secured in the sale and DISPOSE
ton of the products of the grape: and to
that end and to secure that purpose the
said corporation may make such advances
to its members from time to time upon
tneif production as may be required, and
as NAV be reasonable with reference to
the value thereof; but IN no case shall the
said corporation make advances TO the
members thereof, except on securities
lx- trof1 eff