THE WAUPACA REPUBLICAN POST

December 16, 1909

 

CREAMER IN HANDS OF ASSIGNEE

 

Creditors of the Kizer & Derleth Company Agree Upon Fred Hess of This City

 

           

            As was noted last week the committee appointed by the farmer creditors of the Waupaca creamery were in daily conference with other creditors and with business men and farmers who names were proposed in an effort to have the matter left to a receiver or assignee and bring about an equitable settlement in the most economical manner possible.

            An examination of the books of the company showed that the extensive commission business at Milwaukee had been conducted at heavy loss.  However, the books were so voluminous that the true condition of the business has been difficult to ascertain beyond the fact that after handling $104,000 worth of eggs and butter through the Milwaukee commission house, the company has found itself unable to pay the October and November dividends to the farmers and discharge other obligation aggregating thousands of dollars.

            Realizing the difficulty of handling the matters of the company which had been conducting creameries at Kelley and Hatley in Marathon county in addition to those at Spring Hill, Lind Center, Maple Grove and this city, it was with reluctance that Fred Hess finally consented to assume the task of getting a line on the affairs of the company and upon legal advice the idea of a receiver was abandoned and on Friday, Dec. 10, the Kizer & Derleth Co. made a voluntary assignment to Mr. Hess for the benefit of the creditors.  Mr. Hess has given bond for the faithful performance of his trust in the sum of $15,000, signed by the following sureties:  A. G Nelson, J. E. Cristy, N. Cohen, C. A. Sanders, John C. Hart and Frank L. Penney.    The bond has been approved and filed with the Clerk of the Circuit Court and Mr. Hess has entered upon the performance of his duties and the proceedings will be carried on under the direction of the Circuit Court.

            Mr. Hess arranged with the committee to open up the Waupaca Creamery Tuesday morning, and it is now in operation.  He left Monday afternoon for Kelley to consult the farmers in that creamery and is now arranging with the other creameries of the company to open the same for operation as soon as possible.  It is his purpose to place the creameries in such a condition that they may be doing business and then make the best disposition of each creamery that is possible.

            Within the next ten days the Kizer & Deleth Co., will file with the Clerk of Court of this county a verified list of all its creditors with the amount it is owing each creditor; and will also file with the clerk an inventory of all its property.

            Each creditor will be given an opportunity to file a proof of claim within the next three months.

            The law requires Mr. Hess to preserve the property of the company, and to sell the same within the next six months so that the proceeds may be paid to the creditors of the company; all sales of real estate must be approved by the Circuit Court.

            The list of sureties of Mr. Hess is the best evidence of the confidence reposed in him for his ability and reliability – two essential qualifications for the successful business manager of an affair of the proportions of the present one.

            There can be no reason for expressing fear for the safety of funds derived from the sale of butter that may hereafter be manufactured and as to the amount to be recovered on the old obligations it will rest with the farmers to determine.  If they by their patronage make the creameries valuable, they can be disposed of to better advantage and the creditors derive a larger percentage on their claims.  If the patronage is withheld the creameries will be practically valueless.  We have here another evidence of the oft repeated claim that upon the farmer depends the success or failure of other lines of business.  The most sanguine of the creditors admit that the outlook is poor for ever realizing a full percentage on the claims, though it is conceded that it would be impossible to find a man who would give the business more careful attention than will Mr. Hess.