1 68 THE MARKETING OF WHOLE MILK 



ness. The corporation . . . to be delivered to the inves- 

 tors by the trustees will provide in its by-laws that each 

 year from the receipts of each member patron a deduction 

 of not more than 5 per cent shall be made to pay off those 

 who invested years before. 



"Thus a man whose contribution the first year 

 amounted to $100 would get 10 shares of that year's issue. 

 Five years later there would be deducted enough to take 

 up those shares and new ones would be issued to those 

 from whom the deduction was then made. In this way 

 one-fifth of the whole amount of stock outstanding will 

 be retired each year and new stock issued to the pro- 

 ducers who furnish the money to retire the old. 1 



One of the most successful organizations for collective 

 bargaining is the Dairymen's Cooperative Sales Company, 

 organized in the spring of 1918 to sell the milk of the pro- 

 ducers in the Pittsburg district. It should be said, how- 

 ever, that its success is due not so much to the form of 

 the organization nor to its method of operation as to the 

 attitude with which the problems of selling milk have 

 been approached. This attitude is to be explained largely 

 by the fact that the association had had on its board of 

 directors men who saw clearly the real problems to be 

 met and who were willing to face them frankly. There 

 is also the further fact that the association early had the 

 advangage of having at many of its meetings with the 

 dealers a man in whom all three interested parties, pro- 

 ducers, dealers, and consumers had confidence. 



The following quotation from a Pittsburg farm paper, 

 referring to a milk price conference, gives a good idea of 

 how the problem has been approached and of how the 

 plan works: 



1 The New England Dairyman, Sept., 1919, p. 2. 



