The Montgomery advertiser., 1905-01-08
WILL tXltND NOES
ACTION OF vIRGIN1A-CAROLINA
 CHEMICAL COMPANY.
Generous Response to Request of Creditors Who Desire to Hold Their Cotton in Hope of
 Better Price.

Virgfnia-Carolina Chemical company.
 office of the President. s. T .Mor-
 gan. President; s. W. Travers.
 Treasurer; s. D. Crenshaw; Secre-
 tary; B. T. orgain, Auditor
 Richmond. Va. Jan. 5th, 1905. To the Division Sales Managers. vir-
 ginia-C Carolina Chemical Company.
 Gentlemen :--The Treasurer of this company Is having so many requests to extend the notes of some of our cus- toners and patrons, who have not fin1 ished paying their bills and who de- sire to hold their cotton--stating that they believe they will get more for the cotton later on, that this company has concluded to issue a general letter on the subject. as follows:
 Any farmer or merchants who may be owing your division money and who has cotton which he desires to hold, you are at liberty 10 extend his note for him for six months from January 1st., with interest at the rate of six per cent per annumA provided he will deposit sufficient cotton to pay the note in any reliable warehouse, and will turn over to you warehouse receipt for same You are authorized to pay the insurance on said cotton and make no charge against your cus- toner for this item.
 We do not pretend to offer advice t. our customers to hold cotton, but we do intend to offer them every facili- ty and accommodation In our power to hold their cotton. if in their good judgment it is best. Whatever in- ures to the benefit of the agricultural classes in the South Is to our benefit: our interest Is identical with theirs We are more closely and intimately connected with the cotton growers of the South than any dozen other con- cerns combined. They are our custo- mers in the purchase of fertilizers and we are their customers in the purchase of cotton seed. We both sell and buy of them and deal in every cotton growing country from Texas to vir- ginia. Therefore, anything that will improve the agricultural conditions or help the farmers must necessarily benefit us. and if holding their cotton will be a benefit to them. 1t Is our desire to aid them in this as far as we can.
 Other farm products. aside from cotton. appear to us be selling at verS full values. and we believe 1t woulG be wise in the farmers to sell any of their other surplus farm products which would materially aid them in holding their cotton.
 We also are of the opinion that the acreage last year devoted to cotton was too large, and that 1t never could have been cultivated in a normal sea. son. The good weather during tn, spring enabled the farmers to culti- vate every acre they planted: conses quently the tremendous big crop of this year. As ordinarily 1t would be impossible to cultivate such al enormous acreage, we believe 1t would be wise in them this year to material 1y decrease the acreage. If it was decreased 10 per cent 1t would mean reduction of more than a million bales next year. even If the crop yield ed as much per acre as 1t does this year.
 It strikes us that what the farmer wants Is to make his cotton at lowest possible cost The profit derived from growing cotton is not so mitch the price of cotton as the cost at which the crop has been grown. Mules and horses are high. much higher than a year ago; the price of farm labor is high and scarce Therefore, every acre cultivated means a large expen- allure. It costs more to cultivate an acre of land growing a quarter of a bale of cotton than one growing a bale. In the latter instance the plan 5OOhS dp duu BHdUeS tn0 IdnO and consequently the grass does not grow so rapidly or luxuriantly.
 The cheapest item that can be used in the production of cotton is commer- cial fertilizers. used liberally. With a liberal application of fertilizers the farmers can grow a bale of cotton where he has heretofore grown a halp bale. and do 1t with the same cost of mules and labor. and the additlona. qua9tity of seed will more than pa, for the extra amount of fertilizers used. Therefore. encourage your GUS toners to reduce their acreage and to Increase the amount of commercial fertilizers per acre. believing as we do. that this Is the way and only way to raise cheap cotton.
 The South must continue to produce around eleven million bales of cotton. or they will find in a year or two the balance of the world competing with them in growing this staple and our foreign market largely supplied from sources that now produce but a limi, ted quantity.
 Wishing you happy and prosper ous New Year. and also for our GUS toners and patrons.
 remain, yours truly.
 5. T. Morgan. President