MESSRS REYNOLDS & CO-S TERMS.

Te Aroha News, Volume XII, Issue 1755, 31 July 1895, Page 2

MESSRS REYNOLDS & CO-S TERMS.

In a letter to the Waikato Times Messrs • Reynolds and Co refers to the terms at present offered to suppliers by saying It was my intention not to enter into any newspaper controversy in connection with . the milk supply to the WalkjatO;creame}.ies, bat seeing your leader in Saturday’s issue misinterprets the figures handed yon a few days since I think it Only light to make a .short -statement of facts. The figures - above referred to were merely banded in to Sho w the turnorec and not with a view to making up a profit and loss account, as t’ e Auckland, London, and vavious other charges were not included. Without these it was impossible for you to make a true : statement, and what yon have endeavoured to prove is absolutely incorrect and very far from aetual results. By your showir g future profits are to be 22a 4£d per cwt-, leaving 17s for all charges from the time of receiving milk to the return of account sales, when in point of fact the costs i are-just double the sum. I must here . point out that had you asked for these further particulars for the purpose of making a statement in figures you could have «r had them willingly. In the interest of all concerned it was thought advisable not to publish the loss sustained by Messrs Reynolds and Co. on the past .season’s trading, but as your atti-.de may probably mislead a large number of the suppliers,;i.;tvfiff Atatci tht actual loss; which 'unfortunately amounts to over £4,500. The sum is over and above ffhe refund of 4d per gallon made by the ' suppliers a few months since. If any supplier wishes to have this statement , confirmed, I will ask him, to write to Messrs Cook and Gray, accountants, Auckland, who act as auditors for the company. In. connection with this it migh t be mentioned that not one penny has been lost in bad debts in England, for the past two years. J The only legitimate method of working this industry is to pay for the same article as what is offered for sale in England, viz., butter fat, and the only guide for prices, the London market arranged on the sliding scale. In the price offered there is only a fair margin left for profit, and I am satisfied if given a fair trial the suppliers will be better served than if paid on the milk basis. In conclusion, 4 will say" that only two dividends have been paid to shareholders since the formation of the company six years ago.