STRATFORD DAIRY COMPANY.

Stratford Evening Post, Volume XXXV, Issue 75, 26 February 1918, Page 5

STRATFORD DAIRY COMPANY.

MEETING OF SHAREHOLDERS, PROPOSED NEW ARTICLES OF ASSOCIATION. An extraordinary general meeting of members of the Stratford Farmers* Co-operative Association was held in the Town Hall this uwcauw;. Mr t>. Dingle, chairman of directors, occupied the chajr. He said 7.bat the company's present Articles of Association had been *n ixisience for about twenty years, and in that timt> <-< uduions had greatly changed and

the Companies' Art had been amended in several respects. The new Articles might appear to be drastic, but it was thought necessary to have the Articles as set out to keep the shareholders together. As to the increase of capital, the company were committed to certain heavy expenditure, which finally might mount to £3O- - It was no use raising the (say) £IO,OOO required this year and then having to raise more money at some future time. He was rather disappointed at the small attendance. Seeing that the Articles of Association passed that day might govern the company for another twenty years, shareholders should have turned up and taken a hand in framing them. As there were about 250 shareholders in the company there should • have been a larger attendance. An apology for absence was received from Mr P. Ranford (director).

The chairman moved that the capital of the company be increased to £50,000 by the creation of new capital to the amount of £37,000.—Seconded bv Mr Rawles and carried.

The meeting then proceeded to discuss the new Articles of Association.

There was some argument on Article 3.—" No person shall be permitted or entitled to supply, milk regularly to the company who is not a member of the company." Along with this clause was considered Article 45

''Notwithstanding the provisions of Article 3 hereof, the Directors shall have power if they deem it expedient so to do to receive milk from any person or persons not being members of the company upon such terms and subject to .such conditions as they shall think fit.

Mr Truby King explained that it was thought necessary to have both Articles. In all the Articles adopted recently by the bigger factories there were such Articles.

The chairman explained that the old Articles gave the power contained in Article 4.5. The Article was adopted. At Article 4 Mr Kawles proposed ;tn amendment providing that where ;■ shareholders bold only cheese shares ""* they shall, on the company reverting to butter, take up butter shares. The chairman said he thought it would be a great, mistake to pass the . amendment. Mr B. McK. Morison also spoke

against the amendment. Mr Ranford thought that a man who came into the company and had the benefit of a dunk plant should b« prepared to pay extra t in view of the advantage it gave in making butter or cheese, whichever was higher in price.

The argument of the supporters of the amendment (Messrs Rawles, Lehrnann, Frnser and others) was that the Article as it stood created a hardship those who held cheese shares getting the same benefits as the holders of butter shares.

The. amendment was lost by a big majority and the Article was then

passed

At Article 6 Mr Lehmann protested against tbe provision of power to the chairman oi directors to allot shares to bring a shareholder's holding of shares up to the amount called for by his supply of milk. He moved that the power be deleted. The chairman said he thought the Article quite fair. The power had been included in the old Articles. The power enabled the directors to insist on every supplier contributing towards the cost of new buildings and plant and the working of the com.; pany.

Mr R. McK. Morison said the company should have power to compel men to lake up shares: but he objected to power being given to the chairman of directors to sign applications for shares in place of the shareholder.

Mr F. Bailey said he saw nothing wrong in'the Articles, so long as there was no possibility of a man being loaded with more shares than he was justly called upon to take up. The amendment was lost and the Article was then passed. 'Left Sitting.)