The Glasgow courier. [volume] (Glasgow, Mont.) 1913-current, 1921-06-10
FINANCING THE
WOOL GROWERS

sued a circular to member banks in
which he states it has been possible
to handle the wool situation with
out the necessity for calling in the
subscriptions to capital stock, and this
is to advise all banks interested that
the Wool Acceptance company is now
being organized, under the title of
Montana Wool Acceptance company,
without capital stock, and within a few
days will receive it's charter from the
State.
"This change of plan is made posi-
BILE by the arrangements which have
now been perfected in Minneapolis,
st. Paul and Chicago to handle ac-
%ceptances drawn by the wool growers
in favor of their local bank, secured
by Bill of Lading Ito be followed by
Warehouse Receipt. There being no
necessity or requirement for addition
al endorsement, the Acceptance COM
panw is being Incorporated without
capital stock, as a cooperative, nom
profit making corporation, and it's
province will consist solely in seeing
that the wool is examined at shipping
time, is free from liens, is properly
consigned land in acting as the agency
through which papers and tr%ansac-
tions between the local bank and the
ceptances are to be for Ninety Days,
with agreement for ninety days re-
newal.
"The procedure in obtaining ad-
vances is made as simple as possible:
When the grower is ready to ship he
will give the Acceptance company,
through his local bank, reasonable no
tice of data of shipment. Where ne
cessary, the Acceptance company will
have its agent present at shipping
time to inspect the wool and assist
in properly billing it. Report of con-
dition of wool will be sent to Accept
ance company, and the local bank will
be advised of the amount of advance
which may be obtained, whereupon the
grower will draw a draft on the Mon
tana Wool Acceptance company for
such amount through the local bank,
who will thereupon endorse and for
ward the draft with Bill of Lading
attached to the Acceptance company,
who will attend to forwarding the
papers. Upon receipt by the eastern
bank the amount Of the draft will be
deposited to the credit of the local
bank.
"Forms of drafts, ectera, are in
course of preparation, and will be sent
on application to all banks interested.
"The Acceptance Company will
name as its Wool Committee, C. H.
Williams of Deer Lodge, f. j.. Bow
man of Anaconda and Dillon, and S.
Mckennan of Helena, to whom the
wool grower, the banks and the Ac-
ceptance Company will delegate full
power to direct when and at what
price the wool shall be sold; this be-
ing for the protection of both the
wool grower and the banks. This
Committee has been selected with the
concurrence and approval of the Mon
tana Wool Growers Association.
1.-The amount of the advance will
depend upon the grade and condition
of the wool, but will not exceed ten
cents per pound and in most cases
will be up to that amount; while the
amount of the advance is seemingly
low, 1t is placed atthis low figure pur-
posely and is not intended to meet
the competition of any speculative
interests, as it is believed that the
benefits of having the wool stored in
responsible warehouses;, handled
through an Agency which does not
speculate in wool, and having it fl
nanced through local banking insti-
tutions, will more than overcome n
seeming advantage which might ap-
pear to accrue to the grower or his
bank through larger advances per
pound from other sources.
The Montana Wool Acceptance Com
pany will make no charges for it's ser
vices; cannot under its charter make
amy profits; and offers it's services
Tor the purpose of stabilizing this in
dustry; it respectfully asks of the
n the grower their full sup
port. 1t at least offers to the wool
grower a channel through which his
wool may be handled and reasonably
financed, so that he need not be forced
to dispose of his product at a nominal
and inadequate price.
"All subscription heretofore re-
ceived are being returned to the banks
making them, as it is now found I'M
necessary to use them. Full details,
with forms, will be ready for distribu-
ton within the next few days, and
may be had on APPLICATION to H. H.
Secretary Montana Wool
Association, Penwell Block.
Helena, Montana.