UNINFORMED CRITICISM.
About this time the editor of the Co-operative News seems to have been criticising the Society’s balance-sheet, for a discussion took place in committee on the subject, and it was duly minuted that “the remarks of the editor with regard to the balance-sheet were wrong; that it had been the same with the quarter previous, and he considered the editor should make himself better acquainted with the circumstances of the business before commenting on it.” At this period the Federation had been caught on a rising market with a very small stock of flour on hand. The master bakers of the city had a meeting, but two of them refused to raise the price of bread, having evidently large stocks in hand. Flour was eight shillings a sack dearer than when the price of bread had been fixed. It was decided to maintain the price of bread in a line with Glasgow prices; but it was agreed that if a general rise took place in the various districts the members of committee should notify the manager so that he could act accordingly.
At the meeting of the committee which was held on 17th January 1874 the overdrawing by the Ironworks of their account with the Wholesale Society was referred to. It was stated that the amount overdrawn was £9,000. A lengthy conversation took place as to the advisability of having a more thorough check upon the transactions of the Bakery manager so as to prevent the possibility of a like occurrence; but, after the matter had been discussed in all its bearings and various plans had been suggested, no definite decision was arrived at, except that the finance committee were instructed to make a regular inspection of the books and use every means to ascertain the real position of the Society. The delegates to the Wholesale meeting had also reported that it had been agreed by that society to charge 5 per cent. on overdue accounts after a certain date. This was going to hit the Baking Society heavily, and the committee expressed the opinion that they should not be liable as they were only receiving half bonus. There is no reason given, however, why they should be receiving only half bonus, as they had become members of the Wholesale Society quite a long time previously. Bridge of Weir and Kilbarchan societies were admitted members of the Federation, but the admission of Milngavie Society was held over for a further period. It was decided in February 1874 to recommend the delegates to the quarterly meeting to amend the rule relating to the representation of societies on the committee, as it was thought that with the increase in the number of the societies who were members of the Federation the committee was becoming unwieldy because of its size. From the beginning each society which joined the Federation had been entitled to be represented on the committee. There were now twenty societies in the Federation, and, although the average attendance at a committee meeting was about fourteen, the more the membership of the Federation was added to the larger the committee would become. After having been considered by the societies for a year, the recommendation of the committee was agreed to, and the membership of the committee was fixed at twelve—president, secretary, treasurer, and nine representatives of societies.
The trade of the Federation had fallen off somewhat during the fifth year, owing to the fact that several of the societies had been asked to withdraw and that the trade of one or two others was declining. The turnover was 7,514 sacks, as compared with 7,955 for the preceding year, thus showing a decline of 441 sacks. The average price of bread had been slightly higher, however, for the cash value of the goods sold was £22,153, an increase of £131. The average dividend paid had been 5½d.—4d., 6d., 6d., and 6d. respectively for the four quarters—and the reserve fund had been more than doubled during the year, while depreciations to the amount of £719 had been made. The capital of the society was still very small in proportion to the turnover, however, being only £2,300. The societies themselves were mostly small; they had not very much capital to spare for investment, and those of them which were members of the U.C.B.S. had to divide that between that Federation and the S.C.W.S. Added to this was the fact that several of the societies which were members of the Federation were in a position which was gradually becoming more hopeless, with the result that not only were they unable to invest in the Federation, but they were barely able to pay for the bread they bought.