The Birmingham age-herald., 1908-03-11

the actual stock situation and the pros pect of "boll weevil ravages" next sea- son.
 The boil weevil scare has been shelVed for some time and all we now hear is: The farmers will increase their acre age and we shall have bigger crop than ever in -l90S." If the gamblers had the cotton they would be soaring the farmer into fits by phophesies that if he planted cotton this season he would only be feed ing his arch enemy, the dreaded weevil The holders of cotton today have a natural corner in the great staple-the first since the Civil War interfered with production. They need money to plant new crop and finance their obligations but they have security as stable as a gov ernment bond or national currency in their imperishable cotton.
 It is up to the banks to lend the pro- ducers of the country what little they need, on the best of security, or by. refus- ing to do so, plainly show that their only consideration is for the spinner, the for elgner and the gambler in futures. Memphis banks have shown the pos abilities and their loyalty to home in terests. The Guide believes that other bankers will see the wisdom and advis- ability of following the example. The matter of storage, insurance, in- terest, etc. is merely a nominal censid- the holding grower would receive
 The money thus borrowed from the banks would be used to pay for sup plies, merchandise and liqudate oblga- tons of the cotton grower and the funds would return to the vaults from whence they came within few weeks.
 Forty million dollars would be placed in active circulation and the commercial &C., tlvity consequent would be greater in n nth ion, of the country. Prosperity would come to merchants in many lines of business as well as to all manufacturers of and dealers in agricultural implements, etc., etc.
 With 100000 bales securely held from the assaults of the bears" the Wall street stock speculators and Chicago grain gamblers would eagerly grab all the cotton futures the wise men of the exchanges" could margin, for if there is one thing more than another these worthies enjoy it Is to tweak the noses of the cotton princes" who grow mil lions of bales of the weeyilless kind paper) on the paved streets of New York each year.
 Let the southern holder sit tight on his million bales of actual cotton and the gamblers would run the market for him for once, instead of dividing all his sub- stance among themselves.
 There is only one menace to the success of such an undertaking, and that is short loans, and they must positively be re- fused. The mills of the world have on hand and are secured in supply to last from four to six weeks. If money is bor- rowed on 60 and 90 days paper without positive contract for renewal for 90 days more, if desired-an agreement that Will hold in court of law--the specula- tors and banks will actually secure all cotton on which such loans are based at cents, for the speoulator-that great and benefcent auxiliary of the farmer would see that the price was properly un- dermined at the time the avalanche of cotton was thrown on the market to pro- tect the lender. It is an old trick
 Don't get between the millstones, broth CT farmers, and then set the machinery in motion yourselves.
 Every banker In the south knows today that In view of the low ebb of cotton stocks lending cents pound on cotton is the safest loan he can make. Every banker willing to lend on cotton should be better satisfied to get six months in- terest than three months at the same rate.
 It may not take six months, or four, or 60 days, to convince the actual buyer that it is necessary for him to secure his supply for the balance of the season and
 
 ding margins of short sellers
 But this is not d time to take single chance. For once be as canny and cautious as the money lender invariably Is. No man should mortgage his cot ton without the certainty that he can have the use of the money for six months if he chooses. Better for him to pay six months interest on his loan if he uses the money only 60 days-if he gets b cents for his cotton in that time: much better than to need money for 30 days or GO days more and not be able to get it.
 Make no mistake about 1t; the spinners Will need every pound of the 2,J00,000 bales of actual cotton now on earth" They can not spin cotton futures if they were offered at a cent pound. Anybody who tells you no is wilfully seeking to mis- lead you for his own purposes Hold your cotton if you live on bark and the roots of trees.
 Farmers can help each other in many ways and our advice is to non- union as well as union farmers:
 Borrow $40 bale, or all you can get on just as few bales as must be jeopard- ized to provide for your bare wants and on long time. Don't take it all to the lender and borrow s10 or $20 a bale. Save the storage and other expenses, but http IL WGii tu, dll lIldl you OWL.
 If you don't absolutely need money. don't borrow cent, and keep your cot ton at home or in union warehouse
 If you have both money and cotton hold the latter and lend some less fortunate neighbor what he needs on long time at a low rate if the banks will not accommo- date him. Your profit on the advance in price of your holdings will more than pay you.
 Aid each other once for the common good and when you finally obtain the price you seek pay what you owe, keep out of debt and finance your own crop. Be your own boss foreyermore and DO longer any mans ''peon." You may never have such a chance again.
 Another thing, cotton raising southern CTS, when you sell give first preference to southern mills Keep all the spindles 'in the cotton belt' humming, nor let them want for stock if they will meet you fairly Your kinfolks and neighbors are employed in these mills and you will be putting bread in their mouths. Help them to keep in operation by every concession you can afford, and strain point in their favor.
 Now is the time for the bankers of the south to show the cotton grower just how much they think of him and make money at the same time.