DAIRY CATTLE 



489 



shipping and marketing. The price lor 

 making butter varies from 2 to 4 cents 

 per pound, and for cheese from 1% to 

 2 cents. 



The Albany Creamery Association, a 

 stock company, operating in the Willa- 

 mette Valley, Oregon, deal with their 

 patrons on the following plan : From the 

 gross receipts for the month there is de- 

 ducted, "first, the general operating ex- 

 penses of the creamery; second, 1 cent 

 for each pound of butter fat delivered to 

 be set aside as a sinking fund; third, an 

 amount equal to the twelfth part of the 

 annual interest on the paid-up stock at 

 the rate of 8 per cent per annum. The 

 amount remaining after these deduc- 



not available, in which case, they can 

 give interest bearing notes for their 

 shares and these can be deposited in a 

 bank and the money secured on them. 

 Or the patrons after forming an associa- 

 tion can borrow the money on their joint 

 note, each member becoming personally 

 responsible for the entire amount bor- 

 rowed. 



It is desirable to have ready money in 

 buying building material and equip- 

 ment in order to secure the best prices. 

 The indebtedness on the building is paid 

 off by the establishment of a sinking 

 fund into which about 1 cent for each 

 pound of butter fat delivered to the 

 creamery or 5 cents for each 100 pounds 



m ' .** 



BjjPit 



Fig. 315 — MODERN CO-OPERATIVE CREAMERY IN NEW YORK STATE 



tions are made is divided pro rata 

 among the patrons, according to the 

 number of pounds of butter fat each 

 has delivered to his milk. 



Forming a creamery company — In 

 the formation of a co-operative cream- 

 ery, it is desirable that the patrons own 

 all or the larger portion of stock, and 

 that they enter into an agreement to de- 

 liver to the factory the milk from a cer- 

 tain number of cows throughout the 

 year. 



If the patrons have sufficent money 

 to pay for the shares of stock outright 

 the establishment of a factory is a sim- 

 ple matter. More often ready money is 



of milk is placed. This amount is so 

 small that it is hardly noticed by the pa- 

 trons; yet it is sufficient, where 10,000 

 pounds of milk is received daily, entirely 

 to pay for the factory in three or four 

 years. When the factory has been paid 

 for, this fund may be used to pay annual 

 dividends to shareholders by way of in- 

 terest on their investment. 



Organizing a co-operative association 

 — After the neighborhood has been can- 

 vassed and the milk from at least 350 

 cows assured, the patrons should be 

 called together for the purpose of form- 

 ing themselves into a legal corporation. 



