Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1922-01-19
ERNDON F NDS
BELIEF CATTLE
PRICE IS STABLE
Head of Agricultural Loan
Agency Told Prices Will
Not Drop and Should
Advance Soon.

J. B. Herndon, chairman of the
New Mexico agricultural loan
agency, encountered on his recent
trip to Salt Lake City belief that
cattle prices would stay up to their
present level in the future and
that they were likely to get better.
Mr.. Herndon returned Tuesday
night after attending a meeting of
loan agency officials at Salt Lake
and visiting the livestock show at
Denver, where many commission
men were consulted as to the. cat
tie market.
1.-THE war finance corporation
sent messages to the chairmen and
secretaries of the loan agencies In
New Mexico, Texas. Colorado,
Wyoming, Montana, Idaho and
Utah to meet at Salt Lake City
last Friday and Saturday for the
purpose OF meeting Robert M.
Merritt, Of San Francisco" said
Mr., Herndon. Mr.. Merritt is as
sistant to the board Of directors of
the war finance board at washing
ton, All the states We're repre-
scented, j. B. Heron, Jr., secretary
of our agency, and myself appear
ing for New Mexico.
I'VE had a number Of informal
discussions as we'll as formal
meetings. We all went over our
troubles and our plans. The main
idea stressed at the gathering was
that small loan companies should
not be organized to take advantage
of the loan plan because these
companies did not have enough
capital to finance their borrowers
for expense money during the life
of the Ioan and the small firms
We're also creating rivalry in some
states. The government does not
look with favor on the small COM
panies and is expecting a capital
stock Of 100000 or more so as to
make the endorsement of the firm
mean something.
1--WE also endeavored to get a
uniform loaning value on cattle
and sheep, giving due consideration
to the grade Of stock which each
state is raising. The values in
Montana are slightly higher than
the other states, but the remaining
ones were nearly the same" ,
Mr.. lIerndou was able to report
that Mr.. Merritt was much pleased
with the outline of work in New
Mexico including that of the cat
tie loan companies. Mr.. Herndon
/ found that a loan company in an
other state had eleven employees
and only had 100000 10 loans
accepted wniie the local company
working with four employees, had
more than 100000 in loans ac-
| cepted.
Some Of us were IN Denver for
the stock show" said Mr.. Hern-
don. 1--WE made an effort to see
how the livestock industry was
holding up. We found feeling
| that the war finance corporation
| had been largely responsible for
putting the price of cattle up IS
a head. There was well-defined
/ opinion that the price would stay
up, with the possibility that 1t
would get better. ....
1.-THE government. 1t was felt
| is protecting the industry. because
| in granting big loans it has ena-
bled big firms to keep from rushing
cattle onto the market and driving
down the price, and it has also
enabled the banks to get rid o.
the large loans and take care o.
the small borrower"
Mr.. Herndon expressed the faitf
that the meeting would help thu
loan companies of the state to ge
better action upon their applica
tons when the agency passed then
on to Washington.