126 CIRCULAR 10 0, U. S. DEPARTMENT OF AGRICULTURE 



a cooperative marketing association, without capital stock, under the provi- 

 sions of the cooperative marketing act of the State of North Carolina. 



The name of this association shall be Tobacco Growers' Cooperative 

 Association. 



The purposes for which the association is formed are : 



a. To promote, foster, and encourage the business of marketing tobacco 

 cooperatively; to minimize speculation and waste in the production and mark- 

 eting of tobacco and tobacco products ; to stabilize tobacco markets ; to handle 

 cooperatively and collectively the problems of tobacco growers ; 



&. To engage in any activity in connection with the grading, handling, 

 processing, drying, storing, shipping, warehousing, manufacturing, and market- 

 ing of tobacco or tobacco products of the association and of its members ; and 

 in the financing of any of said operations; 



c. To purchase and sell any tobacco or tobacco products of its members; 

 and to purchase and sell to its members machinery, equipment, or supplies 

 used in any of the above-mentioned activities, either by the association or by 

 the members thereof ; 



d. To borrow money and to make advances to the members of the associa- 

 tion; and to incur indebtedness without limitation; 



e. To lend money to the members of the association, in connection with any 

 of the said activities, upon any adequate security; and to accept as collateral 

 for any such loans, warehouse receipts, mortgages, or any other kind of 

 property or security permitted by law ; 



f. To sell, issue, discount or borrow money upon any commercial paper or 

 negotiable instruments, or promissory notes, or warehouse receipts, or mort- 

 gages, or bonds, or any other kind of property or security owned by or under 

 the control of the association ; 



g. To act as the agent, representative, or broker of its members in any of the 

 above activities ; 



h. To purchase, or otherwise acquire, and to hold, own, exercise all rights of 

 ownership over, sell, transfer, or pledge, or guarantee the redemption or retire- 

 ment of and the payment of dividends or interest on shares of the capital stock, 

 or bonds, or securities of any corporation or association engaged in the process- 

 ing, or drying, or grading, or storing, or shipping, or handling, or manufacturing, 

 or marketing of any tobacco or tobacco products, in furtherance of any of the 

 above-mentioned activities ; 



i. To buy, hold, lease, construct, contract for the use of and exercise all 

 privileges of ownership over such real or personal property as may be necessary 

 or convenient for the conduct and operation of any of the business of the 

 association. 



j. To acquire, own, develop any interest in patents, trade-marks or copyrights, 

 connected with the handling, or manufacturing, or marketing of the tobacco or 

 tobacco products of the association or its members ; 



k. And to do each and everything necessary, suitable, or proper, in the judg- 

 ment of the directors of this association, anywhere, throughout the world, for 

 the accomplishment of any of the purposes or attainment of any one or more of 

 the objects herein enumerated, or which shall at any time appear conducive to 

 or expedient for the interest or benefit of the association and the members 

 thereof, and to contract accordingly; 



I. Tobacco Growers' Cooperative Association shall make no profits for itself 

 from any of its activities; but all of its operations shall be for the mutual 

 benefit of its members only and shall be cooperative in character. 



The operations and activities of this association shall be limited to activities 

 arising out of the processing, drying, grading, shipping, storing, warehousing, 

 handling, manufacturing, and marketing of the tobacco or tobacco products of 

 the association and of its members only and to the financing of any of the said 

 operations. 



The association shall not be permitted to buy or sell tobacco except from and 

 for its members only and on a standard cooperative basis. It shall not buy or 

 handle any tobacco whatsoever from nonmembers ; or be permitted to go in the 

 open market to buy tobacco or any tobacco products whatsoever ; 



m. The association . is expressly forbidden to do anything with the intent 

 or effect of lessening the production or use or consumption of tobacco ; but 

 this association shall do everything within its power to prevent speculation in 

 handling of tobacco and tobacco products and to secure for its members a fair 

 price for their tobacco, or tobacco products, in the markets of the world ; and 

 do everything reasonable within its powers to stabilize to a fair level down- 



