The Hartford herald. [volume] (Hartford, Ky.) 1875-1926, 1921-06-15

age price for all his deliveries OF
tobacco Of that grade. Thus, all
members of the association will re.
ceive equal prices for tobacco of like
grades.
Substantial advances made to grow.
ers as tobacco IL delivered to the
association a
Az soon as q members tobacco Il
graded he will be given a receipt
showing the amount Of each grade
of tobacco he has delivered to the
association, and a loan will be OBJ
tanned for him equal to the loan
value of his deliveries. This loan
will constitute the first payment up
on his crop.
Money paid over to growers as soon
as sales are made
AS the tobacco is sold. returns
from the first sales will be used to
repay the loan. After that, money
as it is received from sales will be
divided among the growers accord
ing to the amount Of tobacco of the
different grades which each member
has delivered to the association.
Growers will form a subsidiary
warehousing corporation
The growers through their asso-
citation will organize a warehousing
corporation for the receiving, grad
ing, drying and storing Of tobacco
awaiting sale. This corporation
will lease or purchase such ware
houses and other facilities as are
necessary to meet the needs Of the
association in every community or
locality.
Preferred stock sold to anybody
The financing of the warehouse
corporation will be provided by the
issue of preferred stock which will
be offered for sale to the investing
public. In addition the association
may use this stock as payment to
owners of warehouses for their
plants and facilities. The preferred
stock will have no vote but will be
a guanteed cumulative interest at
s per cent.
Warehouses purchased upon easy
terms
The preferred stock will be sold
in five classes, one class to be re-
deemed or repurchased at the end of
each year for a period of five years.
Each year a sufficient amount will
be deducted or set aside from the
returns on sales to buy back one
class of the preferred stock. As
each class is redeemed each grower
will be given common stock equal
70 the amount of such deductions as
are made from his deliveries Of to-
Dacco for the buying back of this
stock.
Only growers can vote
The common stock will have all |
he voting power; consequently, the
control Of the affairs of the sub
'idiary warehousing corporation will
De entirely in the hands of the |
members of the marketing associa-
ion.
Amount Of preferred stock issue
limited
The contract provides that the |
of preferred stock thus is
ued for the purchase of local and |
district warehouses for handling
md storing tobacco shall not ex-
ICED two-fifths of a cent per pound
lpon the tobacco handled each year.
Only growers can belong
No one not an actual grower Of
obaccO can be member of the or
,anization. AS soon as a member
leases to be grower, his member
hip in the organization will be au-
suspended.
Affairs in control Of growers
The Burley tobacco producing
'rea will be divided into twenty
wo districts. At special meeting
he growers from the counties max
ng up each district will elect dele
rates who will choose the director
o represent them on the mana ging
'oard. Every director must be
nember-grower from the DISTRICT
which he represents and will be sub
ect to the will of the members
'lecting him.
All growers will have equal repres-
entatiOn
All districts shall include as
nearly as can be made possible, the
anne estimated production. but mol
county can be divided between two
districts. II in any year. the men,
'ership gains Of particular districts