DAIRY COMPANIES AMALGAMATE

Hokitika Guardian, 16 June 1931, Page 8

DAIRY COMPANIES AMALGAMATE

TEMUKA AND WAIMATE. “There is no other way out of it, was the remark passed by one of the biggest shareholders in the Temuka Co-operative Dairy Company wlien the subject of amalgamation with the Wmjnnte Company was brought under his notice. He further stated tliat up to the time this new scheme was mooted his shares had virtually been lying idle! in fact, from an investment standpoint they were not worth anything. The position now is that the representative of the English firm of Lovell and Christmas has guaranteed the shareholders a return of 6 per cent on their capital invested. This means that the two companies. - working together, will result in stabilisation nad create a better feeling of confidence in the Temuka suppliers, who, for the past season at least, have been sorely disappointed at the low prices tilling. Neighbouring companies in the Temuka district have for some time been paying a slightly higher rate for butterfat and, as a natural consequence, some of the regular customers of the Temuka Company have been transferring tlieii supplies to other companies operating in the district. Under the new arrangement the Temuka Company will he brought into line with the other competitors and a feeling of satisfaction will he engendered for the good of all concerned.