12 BULLETIN 690, U. S. DEPARTMENT OP AGRICULTURE. 



During the season of surplus production, beginning about April 1 

 and ending September 1, that portion of the market receipts which 

 did not pass into immediate consumption was usually put into public 

 cold storage either by the receiA^er or by other buyers of butter for stor- 

 age purposes. The rates for storage A^aried according to the length of 

 time that the butter was held. Ordinarily, storage rates were figured 

 at three-fourths of a cent per pound for a storage period of six 

 months. As a temperature of zero degrees F. or below was main- 

 tained in the storage rooms, the butter usually deteriorated but little 

 ill quality. Butter stored in warehouses was usually insured for 

 approximately 80 per cent of its A'alue at a charge of from 60 cents 

 to $1.50 per $100, depending upon the character of construction of 

 the storage. The warehouse receipt and the insurance certificates 

 AA'ere used as collateral in obtaining loans on butter in storage. The 

 usual rate of interest on these loans AA^as 6 per cent. The largest 

 quantities were placed in storage during May, June, and July, and 

 the AAdthdrawal from storage was lieaAdest from September 1 to 

 April 1. Approximately TO per cent of all butter stored was re- 

 ceiA'^ed into storage during the months of May, June, and July. Ap- 

 proximately 74 per cent was taken from storage from September 1 

 to April 1. . 



The business of the wholesale receiver is, in general, organized 

 about as follows : A general manager superAdses the entire business 

 and giA^es particular attention to securing the supplies of butter, 

 often personally superA^sing the soliciting of shipments from cream- 

 eries. The cashier has general supervision of the clerical force and 

 bookkeepers. The " floor man " in the receiving room is an expert 

 judge of butter quality and oversees the grading and taking out of 

 the orders. The sales force keeps in close touch with the general 

 manager, floor man, and the credit department. The credit depart- 

 ment usually consists of a credit clerk who is responsible to the 

 cashier and the general manager. 



Many wholesale receivers function also as jobbers. Jobbers may 

 operate as wholesale receivers or they may obtain their supply of 

 butter from Avholesalers. The retail stores are supplied by jobbers 

 Avho take orders and deliver the quantity and quality of butter in 

 such size and style of packages as the retailers' trade requires. In 

 addition, the jobbers also supply such trade as restaurants and ho- 

 tels, dining cars and boat service, and out-of-town retailers and 

 jobbers. 



The marketing of creamery butter from producer to consumer is 

 not- dependent upon any one system of wholesale or retail distribu- 

 tion. (See fig. 4.) Local creameries, cream stations, and centraliz- 

 ing creameries may act as agents of the producer or they may be cash 



