The Hood River news., April 09, 1913, Image 1

THE HOOD RIVER NEWS
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VOLUME 9, NUMBER 15
HOOD RIVER, OREGON. WEDNESDAY, APRIL 9 1913
SUBSCRIPTION, $1.50 A YEAR
UNION VOTES TO CONSOLIDATE
Proposition to Lease Plant to Central Selling Agency
Carries by a Vote of Eight to OneNecessary Two
thirds Vote of
Organization
Old Board of
Report to Date
Northwest District, It Is Believed
tion Auspiciously Launched With Strong Support
By a vote of 3198 to 408 stockholder!
of the Hood River Apple Growers' Un
ion, at the annual meeting held Satur
day, voted in favor of leasing the asso
ciation'! property to the proposed Hood
Hiver central Belling agency. There
were represented at the meeting 3606
shares of stock. The total number of
shares is 4700 and a two-thirds vote
was necessary in order to carry the
proposition.
Inasmuch as the proposition carried
practically unanimously eight to one
the new organization will be launch
ed with the almost solid backing of
the growers of the valley. This is
conceded to be the first requisite for
success and the new organization will
therefore be inaugurated under the
most auspicious conditions.
What opposition there was at ll. e
meeting came from half a dozen grow-
ers who had worked actively against
It and who had succeeded In securing
a number of votes and proxies. The
gathering listened attentively to ob
jections raised by Mr. Mason, but
showed plainly that they were in full
sympathy with the movement and that
they placed the fullest confidence Ir.
the committee which has been work
ing out the details of the new organi
zation for the past several months
This committee Included representa
ttves of all four shipping organization
of the valley.
Directors' Report Submitted
With President Dlckerson In the
chair, the meeting was opened with
the usual preliminaries. The direct
ors first submitted their report for the
year. This opened with the financial
statement. The directors then review
ed the work of the year in brief man
ner. They reported that they have
been successful in securing from the
railroad a 15-year lease on the prop
erty where the Union warehouses are
located. Heretofore It has been pos
sible to secure only a one-year lease.
The extension of the lease substant
ially strengthens the Union, especially
In a financial way.
The disorganized and disrupted con
dition In which the directors received
the Union a year ago was recalled and
some of the difficult problems with
which they were confronted were
pointed out. One of the greatest was
the selection of a manager. In this
connection the directors took occasion
to praise in the highest terms the
management of Mr. Sleg, through
whose untiring efforts the Union has
been able to maintain its high stand
ard of service as a shipping organiza
tion. An expression of thanks was al
so tendered C. W. Hooker, who filled
the breach during the strawberry sea
son before Mr. Slog arrived.
During the year the directors have
secured a copywrlght on the Union's
blue label brand, which has thereby
been protected from Infringement.
Referenco was made to the exten
sion of the Union's work in handling
supplies and supplying them to grow
ers upon a co-operative basis. With
out Increasing the operating expenses,
the Union has thereby been enabled
to substantially Increase the volume
of business and at the same time cater
to' the needs of the stockholders by
GRADING AVERAGES
FORYEAR GIVEN
At the meeting Saturday the aver
age grades for the different varieties
shipped by the Union during the past:
season were given as follows:
Ex. Fan. Fan. Ch.
Delicious .69 .259 .051
Arkansas Black .67 .188 .1.18
Wlnesap .67 .122 .054
Newtown .59.1 .155 .120
Spltzenberg .573 .228 .142
Ortley .487 .17 .22
Jonathan .468 .420 .11
Red Cheek Tlppln .341 .429 .23
Entire Stock Issue Is Secured and
of Larger Corporation Is Assured-
Directors Is Unanimously Re-elected
Shows Best Prices Received by Any
selling these supplies on a small mar
gin of -profit.
Although the apple crop has been
marketed this year under the most
unfavorable conditions, returns receiv
ed so far show that stockholders of
the Union will fare better In this re
spect than probably any other dis
trict in the Northwest In addition to
this numerous letters and telegrams
received from large commission
houses show that the Union marketed
a quality and pack which will mean
much in coming seasons. The grading
rules have been strictly enforced and
the result, as noted by the consignees,
has been most gratifying.
It has been the policy of the direct
ors to more fully protect the Union's
warehouses from fire by Insurance
than heretofore. This was warranted
by Wenatchee's disastrous fire. The
danger is also increased on account
of the proximity of the buildings to
the railroad.
It was shown that it is a mistake
to guarantee dividends upon the or
ganization's Block inasmuch as pay
ment of these dividends means a drain
upon the resources of the organization-
Mr. Sleg Submits Report
Mr.Sieg, manager of the Union, next
submitted his report for the year. On
account of the interest which attaches
to this report, which contains much
sound advice for growers and shippers,
the News prints it In full under an
other heading. At the conclusion of
the report Mr. Sleg gave some inter
esting figures showing the wide distri
bution of the 1912 crop. These follow
this article under another head. He
also read a schedule of prices received
for fruit upon which returns have al
ready been made. Reference to these
is also to be found under a separate
head.
Mr. Sieg's report was an encourag
ing one for the growers and was heart
ily applauded.
Noon having arrived, adjournment
was taken until one o'clock. At that
time roll was called. This took about
an hour. When it was determined that
sufficient amount of stock was rep
resented Mr. Sutton, secretary of the
Union, read the resolution to be first
considered. It gave to the directors of
the Union authority to lease the plant
and all appurtenances to the proposed
central selling agency for the period
of 10 years upon a specified rental
basis. The Union would then hold 65
per cent of the stock of the new organ
ization and the Davidson Fruit Com
pany 35 per cent.
It took some time to make all under
stand how the directors of the new
company would be elected. It was
Btated that It had been found that It
would not be possible under the law
to enter into an agreement whereby
t'he Union would have six directors
and the Davidson Fruit Company
three. At each annual meeting of the
stockholders of the Union they would
recommend So their directors the
names of nine men to be chosen as
RAILROAD EXTENDS
ROAD FROM DEE
Work was started last week on an
extension of the Mt. Hood Railroad
from Dee two miles south In the di
rection of iost Lake. The contract
was let to Casciato & Raglone of Tort-
land. With the three-quarter-mile spur
already constructed In that dl -jctitn,
the branch will be nearly three mil s
In length. It wiH extend aloni( the
Middle Fork but will later strike the
West Fork and follow It toward I Lost
Iako. This is the first section of the
road which the company intend to
ultimately construct to Lost Lsk.?. The
Kccles Interests own large timber
tracts in that section and will eUnd
the road as their logging opeMllons
are extended. It Is intended that this
first section will bo finished before
the end of the present season.
New Organ iza
directors of the larger organization
It would be "the intention to select
names which will be satisfactory to
Mr. Davidson so that he will feel that
his interests will be properly cared
for. At the subsequent meeting of
the stockholders of the larger organi
zation the board of directors would
be elected In compliance with the rec
ommendations made at the meeting of
the Union stockholders. As the Union
will hold 65 per cent of the stock the
balance of power will always rest
with them.
The Growers Will Control
Mr. Mason, who was opposed to the
proposed method of consolidation, ob
jected on the ground that it would be
a double-delegated method of represen
tation and that the people ought to
be able to "Invoke the recall or refer
endum" if they saw fit.
H. F. Davidson replied to this by
stating that the growers of the valley
would be able to invoke the "referen
dum," as Mr. Mason expressed it, at
any time that the administration of
the new organization did not please
them. This they could do by refus
ing to sign up their crops and it is
provided that at any time 65 per cent
of the total crop of the valley is not
signed up the new corporation might
be dissolved.
Mr. Sieg gave a short talk. He was
followed by C. W. Hooker, a director
of the Union. Mr. Mason then gave
some of his objections and outlined
his proposed scheme, which was that
ill of thee oncerns would be bougnt
outright and merged..
Questions were asked and points
were argued for about an hour, when
the question was called for and the
vote taken with the result stated
above. The announcement was greet
ed with prolonged cheering.
I ne by-laws of the Union were
amended so that no one stockholder
can hold more than 25 shares. The
object of this is to prevent any one
person securing too great control.
George I. Sargent voiced the senti
ments of all present when he spoke
of the faithful work done by the board
of directors. These men, he declared,
have sacrificed much time and have
spared no efforts In managing the as
sociation in behalf of the stockholders.
Sargent said he thought' there should
be some substantial expression of opln
ton. The hour was growing late and
somebody made the motion that the
confidence of the growers in the board
be expressed by unanimously re-elect
ing them. This was done. It was
stated that three members of the
board will not be able fo serve again.
These three are Albert Sutton, Dr.
Stanton Allen and F. G. Hutchinson.
The board was directed to fill the va
cancies and this was done by the ap
pointment of A. W. Stone of the Up
per Valley, Frank Fenwick of Oak
Grove and Arthur Lewis of Lewis &
Brown of Tine Grove.
PERCENTAGE OF
VARIETIES GIVEN
That 43 per cent of the Hood River
crop is made up of varieties, each of
which constitutes loss than one per
cent of the total crop, was shown by
report from the Union given out
Saturday.
This report showed that Newtowns
consrituted 32.9 per cent and Spltzen-
bergs 24.1 per cent of the total ship
ments made through the Union. The
percentages of other varieties we're as
follows: Hen Davis .89, Baldwin .74,
Jonathans .69, Ulack Twig .37, Orttley
27, King .21, Gravenstelns .2, Arkan
sas Blacks .09, Red Cheek Pippin .08,
Wagner .08, Stark .07, Gano .06, Win
ter Banana, Swanr and Greening .05,
Hydes King. Wlnesap and Russett .04
and Northern Spy 03.
Besides these there were more than
100 other varieties shipped, but In too
small quantities to count.
TO REFER COUNTY
SALARY MEASURE
Petitions were printed last week and
put into circulation Invoking the refer
endum on the Hood River county sal
ary bill passed by the recent legisla
ture. The prime movers In getting
out the petitions were Heights citi
zens. As less than 100 signatures, or
only five per cent of the legal voters
of the county, are needed there is
little doubt that the referendum will
be successfully invoked. The effect
of this will be that the new law will
be ineffective and the county officials
can draw only their old salaries.
Provision was made while the leg
islature was in session that in case
the referendum was invoked on any
of the measures a special election
would be called on November 3 of the
present year. A special county elec
tion would therefore be called at that
time and the salary bill would be sub
mitted to the people.
FIELD MEET WILL
BE HELD APRIL 26
At a meeting Saturday arrange
ments were made for the inuer-schol-
astic field meet to be held at Columbia
Park Saturday afternoon, April 26. All
schools In the valley, with the excep
tion of the Hood River High School,
are eligible to enter teams. A team
made up of the winners will meet
the Hood River High School at the
park in a meet to be held the follow
ing Saturday.
There will be two classes. Class A
will include all boys over 14 years old,
while Class B will Include those 14
years old and under.
The prize will be a loving cup to be
purchased by the assessments levied
upon the competing schools. This cup
will become the permanent possession
of the school winning two meets. First,
second and third places will count five,
three and one. The list of events, sub
ject to change, Is as follows: 50-yard
dash, 100-yard dash, 220-yard dash,
440-yard run and quarteMnile run,
shot put, hammer throw, standing
broad jump, running broad jump, run
nlng high Jump, 220-yard low hurdles,
pole vault and half-mile relay race
with four relays.
Six schools have already entered
teams as follows: Pine Grove, Frank
ton, Barrett. Odell, Oak Grove and
Parkdale. Others desiring to enter
may correspond with the secretary
Miss Delia Rush of Odell J.E. Srubbs
of Frankton is chairman and Professor
Tonkin of Barrett is treasurer. En
tries must be all in before Saturday,
April 19, and the pro rata assessment
for the loving cup must also be re
ceived before the same date.
RICES RECEIVED
BEST INNORTHWEST
At the meeting Saturday Manager
Sieg of the Union read a list of prices
received for apples the past seeason
based on the percentage which have
already been sold. These figures were
an agreeable surprise to the growers.
No matter what the balance of the
crop may bring it is already assured
that the returns will cover expenses
nd bring a fair profit in addition.
The average for extra fancy apples so
far is about $1.30 a box. The direct
ors of the Union do not care to publish
the list at rhis time for the reason
that returns are not all in and a wrong
Impression might be created In the
minds of the growers. However, it Is
assured that Hood River growers will
receive the best prices of any dis
trict in the Northwest, according to
the statement of those familiar with
market quotations.
Returns on the pear crop are all In
and show the following prices-net to
the growers: D'AnJou $1.87, Bartletts
$1, Buerre Easter $1.12, Winter Nellls
$1.48, Flemish Beauty $ 83, Clapp's Fa
vorite $ 86, Buerre Rose $1.29 and Fall
Butter $.98.
The Union handled this year 302,-
000 boxes of apples and 8600 boxes of
pears. The apples were distributed
mong 45 cities, covering 30 states and
90 consignees. They were also ship
ped to 13 foreign countries. Including
both Eastern and Western Europe.
This was the widest export distribu
tion ever made by the Union. Pears
w-ent to seven cities In five statvs.
ARE MARRIED AT THE DALLES
Edward C. Mahany and Miss Elinor
. Case of this city were married at
lotel Dalles in The Dalles Wednes
day afternoon by Justice of the Peace
A. Douthlt.
MAYOR BLANGHAR
SELLS HIS HOME
A deal was closed the last of the
week whereby Mayor Blanchar sold
his property on Columbia street, where
he has made his home to E. J. Middle
swart, a rancher at Mosler. The deal
was made through W.J. Baker & Co.,
consideration $3500. Besides the
house, the property includes two 50x
100 lots. It Is attractively located.
Mr. Middleswart and family expect to
move there within the next few weeks.
air. tiiancnar is planning to build a
home on his site located at the cor
ner of Ninth and Oak streets. In the
meantime he will rent a place. Mr.
Middleswart lived in Hood River about
15 years ago, having purchased the
N. C. Evans ranch. He later sold this
and bought the Husbands place at
Mosler, where he has since resided.
Mr. Middleswart has sold 77 acres
of his place at Mosler to C. C. Isom
who recently arrived from Montana.
DEALS AMOUNTING
TO S18M00 CLOSED
Roberts & Simms, real estate deal
ers, report a very active realty busi
ness during the month of March and
if the deals already closed are indica
tive of anything it would look as
though 1913 would prove a very active
year in real estate.
Among the more Important sales
consummated by this firm were Mar
tin H. Maher to E. E. Marshall of
Portland a 20-acre improved tract in
the Pine Grove district. This tract
is mostly in two-year-old orchard, con
sideration being $11,000! Mr. Maher
will shortly move to his ranch at
Springwater, Oregon, which he recent
ly purchased from L. S. McConnell for
a consideration of $17,000.
Frank Menefee of Portland has pur
chased 10 acres of bearing orchard in
the Pine Grove district from S. T
Rlcketts for the sum of $15,000 on
which he plans to make a summer
home. Mr. Rlcketts accepted as part
payment for this tract 80 acres of
unimproved property In the Mosler dis
trict at a valuation of $6,400.
Another important deal was that of
the B. R. Tucker estate consisting of
58 acres at Tucker's Bridge to John R.
Putnam of the Upper Valley. This is
one of the most famous bearing orch
ard properties In the valley and Mr.
Putnam is to be congratulated upon
having secured it. The exact consid
eratlon in this deal Is not made public
but Is reported to be in the neighbor
hod of $30,000.
C. T. Roberts has purchased of E. E.
Richards an apartment house in East
Portland for a consideration of $9,500,
F.E. Strang of The Dalles has pur
chased the old Dumas 50-acre hay
ranch in the Mt. Hood district for the
sum of $15,000 and will probably en
gage in the dairy and poultry business
on the property, for which pursuits it
is ideally suited.
N. C. Evans also purchased for
$30,000 from the Two State Invest
ment Company, a business building on
Union Avenue In East Portland. Mr.
Evans during the early part of March
sold his ranch one mile south of town
to Mrs. L. N. Russell of San Diego
Cal., for $35,000.
During the month the firm also sold
to L. E. Dorn, seven and one-half acres
of 5-year-old orchard on Brookside
Drive for $8,000.
YAKIMA GROWERS
JOIN DISTRIBUTORS
A mass meeting of the fruit growers
of the Yakima Valley, principally front
Benton and Yakima counties, Thurs
day adopted a resolution indorsing the
plans of the Northwest Distributors'
Association and pledged their tonnage.
A resolution was produced by J. E.
Shannon, an executive of the Yakima
Valley Fruit Growers' Association-,
making that organization, with its 22
locals In that valley, the Yakima sub
ordinate organization of the distribu
tors..
This was adopfed without dissent al
though fewer votes were cast than for
the previous motion. A few minutes
later, W. M. Nelson, president of the
Yakima County Horticultural Union,
which is almost as big an organization
as the association, declared that he
did not see where his organization was
included. He was told by N. C. Rich
ards that the members of the union
might sell through the distributors in
dependent of the association or that
they might Join the association.
Vote for the library.
Comprehensive Report
for Year Given by Sieg
Manager of the Union Reviews Conditions Direct
ors Are Commended New Harkets Are Opened
and Reputation for High-grade'Pack Is Maintain
ed 'Comparative rierits of Varieties Discussed.
At the annual meeting of the Union
Saturday Manager Sieg submitted his
annual report as follows:
To the Officers and Members of the
Hood River Apple Growers' Union.
Gentlemen:
The report of your manager is not
submitted with any conscious pride
of past but with strong optimism for
the future, provided the rules of trade
are to be observed. It is submitted
with much diffidence Inasmuch as he
landed here a stranger to your con
ditions and needs and in the face of
one of the most trying seasons that
ever confronted the apple industry.
With conditions of finals still some
what in doubt, I believe the compari
sons will not be odious, and with a
chance to correct the evils of past
seasons, a better season must certain
ly be in sight.
You have the greatest asset in the
West in the name of Hood River. It
is up to you to capitalize this asset
so as to make it bear dividends for
the future.
Being new among you, it should not
be my place to find fault with either
conditions or people, but the condi
tion I found on my arrival last July
really beggars description. Instead of
coming to an organization that 1
thought had been founded on a rock
as strong as Gibraltar, I found practi
cally a condition of civil war. The
benefits of the past had been eradi
cated by doubt and suspicion and it
was necessary U attempt to rebuild
on the fabric of an old association
that had not only lost its original
prestige abroad but had been torn
apart as well by Internal dissensions
at home. The heartaches of my po
sition can be better imagined than de
scribed. I did not know who was
for or against me. I can say frankly
that had I ever an intimation of the
conditions that existed, no offer could
have induced me to come to Hood
River. The treatment I received on
my arrival I appreciate to its full,
but with the conditions that existed
I would a thousand times rather have
taken my place quietly in your com
munity with the hopes that the follow
ing April rather than the preceding
July would have warranted me In ac
cepting your hospitality and your fel
lowship. Directors Are Commended
Your organization was particular
ly fortunate in its present board of
directors. Never have I seen a body
of representative men work more con
sistently; a body of men who freely
merged their identity into the whole,
operating without a selfish purpose
and with the single Idea of advancing
the Interests of the Union. These men
serving without pay or hope of re
ward, spent weeks of valuable time
among you begging for your contracts,
assumed expenses out of their own
pockets, absorbed time that was nec
essary to them as it was to you in
pleading with you to give to your asso
ciation that undoubted right of co
operation that most certainly belong
ed to it.
Your success for the future depends
on your electing to office men of the
same character and ability as those
It has been my privilege and pleasure
to work with during the past season.
Marketing Conditions Reviewed
Marketing conditions for 1912 have
no parallel in apple history. A won
derful crop of excellent quality of
fruit in all apple producing districts
kept distribution to a narrow radius.
The immense crop in Colorado elimin
ated Tt-xas as well as the South and
Middle West. The crop to the north
of us absorbed the trade of northern
markets and British Columbia, and
with these valuable trade centers lost
we were obliged to look largely ro the
Fast and to export. It was essentially
not a buying season. While we sold a
liberal quantity of cars, we were oblig
ed as well as all others to consign In
order to place our fruit in distribu
tion. Keeling this condition, we made
liberal efforts to sell all we could
prior to the holidays, but despite our
most earnest efforts we were obliged
to carry over some quantities In each
market.
The auction methods that dominated
all the main markets were both sulcld-
al and misleading. Hundreds of cars
that were bought cheap through auc
tion were put back Into storage In-
stead of going Into consumption and
when the apple report of February 1
was issued showing 5,350,000 boxes
and 3,500,000 barrels of visible supply
were still on hand, it caused conster
nation. Spring Market Weak
Never in my 25 years' experience
have I seen the time but when the
spring markets, commencing say Jan
uary 20, would start to advance and at
least to a point sufficient to absorb
the storage charges, but this year it
went contray to all precedents, show
ing constant declines for our fruit,
but the additional charges detract as
well from net results. Some associa
ations reported sales based in all in
stances on calculations up to Decem
ber 15, during which period the mar
ket was in its best shape and with
less expense to be added to fruit, and
it was these misleading statements
that are now causing disruption and
consternation in many districts of the
Northwest.
Our season of 1912 In itself started
wrong. Unusual conditions of weath
er are bound to promote unusual con
ditions of fruit. Everything that could
arise to knock down the apple indus
try seemed to think It the opportune
time to work. Our warehouse, unfor
tunately, was not completed to the
point that would allow us to take ad
vantage of it to its full capacity and
the constant warm, muggy weather
forced us to load and ship a good many
cars of fruit East that, under more
normal conditions, might have been
held at home.
For the season of 1913 your ware
(Continued on last page)
NAME COMMITTEE
TO CONFER ON RATES
A well-attended meeting of citizens
was held at the Commercial Club Fri
day afternoon to discuss the proposed
increase in local electric rates. A
couple of hours were spent in discuss
ing the matter and deciding upon
what action shoulb be taken. It was
decided that it lay within the province
of the club to take an active part in
the matter with a view to securing
the best possible rates. In case this
cannot be done, there was some talk
of the possibility of constructing a
municipal plant. It was declared that
this was entirely feasible and that it
could be constructed at a comparative
ly small cost as compared to the
capital Invested by the two
local companies. The matter of reas
onable rates was discussed and a con
clusion was reached as to the approxi
mate scale of rates that would be
expecred. A resolution was passed
calling for the appointment of a com
mittee of five to take up the matter,
confer with the two companies and
come to an understanding upon as
many points as possible before the
hearing a week from Monday,
ECONOMY SHOWN IN
REPORT OF UNION
In the financial report of the Union
submitted Saturday It was shown that
the total operating expenses for the
year were $",000. In 1910, the next
preceding large crop year, the total
operating expenses were $30,000, but
an analysis of the figures shows that
the expenses last year were propor
tionately $2,000 less than In 1910.
In connection with the expenses last
year it is pointed out that there
was the added expense of double stor
age facilities, Interest on bonds, add
ed insurance, additional taxes and a
dividend of seven per cent paid on the
full capitalization. Thes Items bring
the Increased expense during the year
to close to $9,000, showing the de
creased proportionate expense of $2,
two under the most unfavorable mar
ket conditions.
It was the consensus of opinion at
the meeting Saturday that the direct
ors are entitled to credit for using all
possible economy and that their re-
election by acclamation was a J'ihM-
fled compliment.
Library election tomorrow.