SUPPLIERS DRIFTING AWAY.

Auckland Star, Volume LVIII, Issue 226, 24 September 1927, Page 11

SUPPLIERS DRIFTING AWAY.

CHEESE COMPANY TO CLOSE. (By Telegraph.—Own Correspondent.! OPOTIKI, this day. At a special meeting of suppliers of the Cheddar Valley Dairy Company, held to-day, to consider the question of supply and keeping the factory going, Mr. F. J. Savage, chairman, presided. The chairman explained that some suppliers had made up their minds to go to Opotiki, and in consequence the directors had called suppliers together to see what should be done. Mr. Savage pointed out that it was no good trying tof carry on if suppliers continue to drift away, and unless assured of a reasonable supply of butterfat it would not be advisable to carry on. He also stated that the factory cannot be run on a more economical policy then has been in force. No directors could do more than the present directors have done in comparison with other factories. The difference in payout was too great. Suppliers could not afford to take less than what other factories paid. After a long discussion, during which the speakers showed that they were quite satisfied with the management the chairman moved that the directors take the necessary steps to go into voluntary liquidation. This was seconded by Mr. L. Mac Donald, and carried unanimously. A meeting of shareholders will be called at an early date to consider liquidation.