Republican farmer., 1920-07-23
BEDDING

milk producers experienced a pleas ing surprise when they received within the last few days checks mak- ing payment of a one per cent. divi- dend on the -companys, common stock. It was the first, and stockhold- CTS hope that the tangible evidence of profits thereby afforded may con tinue and enlarge. Dividend decIar- ations are usually accompanied with explanatory statements as to wheth- CT the rate is on the basis of annual, semi-annual or quarterly earnings, but in this instance no such details were forthcoming. As the com pany's reorganization nominalIy dates from about July 1, 1919, the natural supposition is that the dividend should be reckoned as annual" which is very much better than noth- ing, although far short of the six per cent. that was predicted. by the interests who undertook and carried through the company's financial re- mobilization as an alternative from the complete smash that was i'm pending. These interests had the lead ing direction of the First National Bank of Bridgeport, the bank being creditor to theIamount of about S25,000 for loans. Other obliga- t1ons represented by promisory notes and liens made total Of about $751; 900. There was owing to the farm CTS who had supplied milk to the company arrears of about the same amount and these latter creditors were given the option of accepting common stock to the full figures of their dues or cash payments of B per cent. Most of them accepted the stock proposition with considerable misgivings as to whether they had chosen wisely. The recent dividend declaration is not wholly convincing on this point, although encouraging when there is taken into account the Iact that the new management had many handicaps to overcome before starting the company on the way to solvency and something better-in short, the difference between a deficit and a margin in the opposite direc- tion.
 Starting a dozen years ago on prac- hcally cooperative lines with insufh- cient capital furnished by dairymen dissatisfied with the conditions under which they had been selling milk to individuals and firms in Bridgeport the company was financially wabb1y from the start and last year reached a stage where its quickly realizable assets had become reduced to about 25 per cent. of it's liabilities. Hence the reorganization with the co-oper- atfve element virtually eliminated. One result is earnings sufficient to pay the per cent. dividend on the $75 900 of preferred stock and a margin war ranting a modest dis'burseme on the common stock. Another is a scale of prices a strictly competitive basis that has had the effect of causing many of the company's former pur- veyorS to find another market for their product or altogether quit the business. As regards this locality the business, which has been the main agricultural industry, is on an uncer- tain footing. Production is decreas- ing with a prospect of further decrease unless circumstances change for the producers advantage and of this there seems to be no good assurance unless it comes from the powdered milk phase of the industry Bedding students of the situation are of the opinion that the dried or powdered form is destined to virtually supplant the forms now in vogue commercially by reason of superior merits in a san- itary sense besides greater conven- fence and lower cost of handing after the first costs of processing. For this reason the dairymen hereaIbouts feel a lively interest in the enterprise for making powdered milk now develop ing in Bethel. The project was start ed by outside promoters more than year since, but soon fattened out supposedly for lack of financial Sup port. Lately it has been revived and advanced to the stage where a factory for reducing the milk is we'll forward toward completion in Bethel. The milk prices fix ed by the original pro- moters were better than those them given by city dealers and the terms were further made attractive by Py~N the factory.
 A string of at least a dozen motor cycles each machine carrying two men passed through the Ridge section last Sunday with a tremendous rac- ket. The riders were engaged in a game of hare and hounds, dropped pieces of paper marking the route laid out by the leaders.
 Richard Rider of West Bedding will shortly remove with his family to Saybrook Junction where he has railway postal clerk and makes the change of residence for greater con- venience.
 Lillian, the 15 year old daughter of MT. and Mrs. Henry Duncan, was talk en to the -Danbury hospital last week, to undergo an operation for ap- pendicitis which was performed on Thursday. The case was a serious one, gangrene having set in. How ever, the patient is now doing we'll
 Oak Cottage, the large residence building formerly comprised in the Todd holdings and later owned by W. B. Claflin, is reported to have been sold to New York parties. It Is now occupied by the family of B. P. San ford.
 The apparent cessation of hostilities noted last week in the Gay-Murphy trespass and assault affair evidently continues, there having been no fur ther public moves in the game Friends of MT. Gay are inclined to think he will heed their advice not to press the appeal taken by him from the justice court fine.
 Through the Sanford real estate agency R. R. Walbridge has leased house in Southport near the harbor road as a winter residence and will occupy it in the fall when he quits his summer place in Pleasant Valley.
 George French, living in one of L.