Minutes of the American Turpentine Farmers Association held Mar. 05, 1942 in Valdosta, Georgia

SPECIAL MEETING OF THE BOARD OF DIRECTORS
OF THE AMERICAN TURPENTINE FARMERS
ASSOCIATION COOPERATIVE HELD IN THE OFFICES
OF THE ASSOCIATION IN VALDOSTA, GEORGIA, AT
TEN A. M. MARCH 5, 1942.
In response to President Langdale's letter of February 25, 1942, calling
a special meeting of the Board of Directors, the following Directors assembled
in the Offices of the fee tion at ten A. M. March 5th, 1942. ,
R. M. Reynolds
J. E. Dyal
We H. sactard
J. T. Miller.
L. W. Brannan, Jr.
the te Ghidie, ir.
H. Langdale
Those absent were:
R. M. Newton
W. L. Rhodes
The meeting was called to order by the President and the Secretary read the
minutes of the last meeting held October 28, 1941, which were approved by the
Directors as read. |
Each Director was furnished with a statement of the financial condition of
the Association which.was read and explained by Judge Langdale. It was pointed
out the Association had slowed up on advertising recently in order to keep withn
its reduced income. The Scand was also advised the Advertising Committee had
ceed to cooperate with the Lead Industries Association Better Paint Campaign
in order to carry the 4H Club educational work into all the Southeastern States.
At this point President Langdale introduced Jesse James to the Directors. Mr.
James explained his work among the school boys and girls whereby gum turpentine
was stressed as the best paint thinner. The Directors were very interested in
a ecm, Mr. Miller insisting Florida must be included in the 4H Club activities. ~
The Advertising Committee's action in agreeing to contribute $7,500.00 as a minimum
and $10,000.00 as a maximum in cooperation with the Heiter Products, Better Paint
Campaign in the Southeastern States was approved by the Directors.
Mr. J. Lundie Smith, Jr., General Counsel for the Association, next explained
that due to the conflict between the Association's voting system and the Georgia
_Laws governing cooperatives there had been some criticism in Washington to the

extent that some thought our charter should be changed. However, Mr. Smith pointed

nee

out the fact that the Capper-Volstead Act, a ehtonet law governing cooperatives
provides for Commodity Credit Corporation making loans to Associations with
charters similar to that of the American Turpentine Farmers Association Cooperative
and since the two acts are not in conformity with each other it was saeuaneed che
Association take steps to have the Georgia Act clarified or modified. At this
point, Mr. Reynolds offered a resolution, which was seconded by Mr. Dyal and
passed by the Board and is set out at the end of these minutes marked Exhibit "AN

After that, Mr. Smith advised the Board of Thomas Sealy's complaint regarding
the Association's use of the pine tree on its turpentine cans. It was agreed nothing
could be done at this time, but the penccintionts Licensees would have to be
protected in their use of the Association label.

While the Board waited for the arrival of Mr. Kayton, Chairman of the Resear h
Committee, Judge Langdale told of his work in Washington, meeting with various
government bureau heads regarding price fixing, naval stores labor deferment,
priorities, tire rationing, etc. The use of the CCC loan,unless parity could be
obtained, was discussed and urged by President Langdale.

When Mr. Kayton arrived from Savannah, he, Dr. Hasselstrom, Chemist of the
G. & A. Laboratories, Inc., and Mr. W. L. Hopkins, President of National Rosin Oil
& Size Company , who is also interested in the G. & i: Laboratories, Inc., were
i ntnodaoet the Directors. Mr. Kayton then spoke to the Board, telling of the
activities in connection with the turpentine research at the G. & A. Laboratories
and read a letter from Dr. Hasselstrom to him regarding the work being carried on
by him outlining the needs of Bie G. & A. iutenasarie in order to obtain the best
results. Dr. Hasselstrom's letter is set out in full at the end of the minutes
labeled Exhibit "B".

At this point, Dr. Hasselstrom displayed samples brought from the laboratory,
explaining them and his work. :

After that the meeting Siounitnd at 1 P.M... for lunch and incon at 2330
P. M. for the afternoon naaaton.

Mr. W. I. Hopkins explained the rosin oil people had been supporting the
laboratory for 15 years and up until 3 years ago got very little results. He
stated the rosin oil people were pleased with the results obtained from the work
of the laboratory and recommended increased donations by the Association. Mr.
Kayton also explained the Association was not getting full benefit from the employ-
ment of Dr. Hasselstrom and the Laboratory equipment and expressed the hope the

Directors would increase the funds set aside for research work. After that he,

Dr. Hasselstrom and Mr. Hopkins departed.

While discussing Research, President Langdale said he wanted to consider
advertising at the same time. The Advertising Committee was present as well
as Mr. Eastman, who spoke about the advertising work and urged an increase in
the Association dues. After much discussion, a resolution offered by Mr. Dyal
and seconded by Mr. Leonard, was passed by the Board. The resolution reads as
fot cows:

RESOLVED That it is the unanimous views of the Directors present at this
meeting that, not only should the national advertising program and the research
program of this Association be continued, but that both programs be materially
increased; that consideration be given to increasing the total dues to 75 per
unit and that the entire increase be used solely for advertising and research, -
the dues to be prorated as follows:

For advertising - - - - - 564 (This is an increase of 21#)

For research - - - - - - - 10 (This is an increase of 3-3/4)

For administration

expenses - ----- 8-3/4 (No increase)
15 Total Dues

RESOLVED FURTHER That this suggestion be placed before the members of the
Association for full consideration at the next annual meeting, to be held April
15,1942.

Quotas for the naval stores industry was dtpenseed and the President was
asked to have the General Counsel, with the help of others in the industry, prepa e
a bill to have the proper legislation passed in order to regulate the production
of naval stores to avoid the making of large surpluses at one time ee having
shortages occurring at other times.

There being no further business the meeting adjourned.

Approved:

TPRES ane

A RESOLUTION OF THE BOARD OF DIRECTORS
of
AMERICAN TURPENTINE FARMERS ASSOCIATION COOPERATIVE
(SPECIAL MEETING, MARCH 5, 1942)

WHEREAS it has come to the attention of this Board that the

Cooperative Marketing Act ineffect in the State of Georgia (Ga. Code

Ann. Section 65-201 and following) provides, in part, as follows:

"No member or stockholder shall be entitled to more than
one vote" (Ga. Code Ann. Section 65-206);

and
WHEREAS it has also come to the attention of this Board that
the so-called "Capper-Volstead Act" passed by the National Congress
(7 U. S.C. A. Section 291) provides, in part, as follows:
"That no member of the Association is allowed more than

one vote because of the amount of stock or membership
capital he may own therein";

and

WHEREAS this Board has, on several previous occasions, given
consideration to the question of recommending to the membership the
amendment of the Association's Articles of Incorporation in order that
such Articles might be in entire conformity with both of the enactments
herein above referred to; and
WHEREAS it is obvious that the two enactments above quoted from
are not in conformity with each other; and
WHEREAS it is the sense of this Board that the enactment of the

Georgia Legislature above referred to should, if possible, be clarified

and/or modified so aa to be in conformity with the said "Capper-Volstead

Act", it being the further sense of this Board that the Georgia Act

should be in complete harmony with enactments of the National Congress

on the same question:
NOW THEREFORE, THE PREMISES CONSIDERED, IT IS HEREBY RESOLVED by
the Board of Directors of the American Turpentine Farmers Association

Cooperative in special session assembled on this the 5th day of March,

1942 <---
That the President be, and he is hereby, authorized and directed

with the assistance of such committee or committees as may be appointed
by him in his discretion for that purpose, to take such steps as may be
necessary or reasonably possible to obtain such a clarification or
modification of the Georgia Cooperative Marketing Act as will render
the said act in entire conformity with the "Capper-Volstead Act"; and
RESOLVED FURTHER, that it is the sense of this Board that there
now exists an international crisis of such moment that it is the
patriotic duty of this Association and all of its members to devote
their unified efforts to the obtaining of maximum production; that
every other interest and concern should and must be subordinated to
that end; and that any change in, or effort to change, the fundamental
organization of the Association during the continuance of such crisis

would surely be unwise and might be hazardous.

9

Meeting of the Advertising Committee

eid Seow, 156e

rpesem:

H. Langdale, Chairman

=

* A. L. Brogden

William Oettmeier

A.V. Kennedy

Immediately after the Directors meeting adjourned, the Advertising

President

Committee met and discussed advertising for the next few months.

Langdale advised there was approximately $15,000.00 to cover advertising during

March, April and May.
Mr. Eastman met with the committee and presented a proposed ad in colors

for the Saturday Evening Post which would cost approximately $9500.00 for a

full page issue.After consideration the Committee voted to approve the expenditure.

There being no other business the Committee adjourned.

CA ALL.

- SHCRETARY

APPROVED:

] ~ PRESIDEM..

i

MINUTES OF DIRECTORS MEETING
AMERICAN TURPENTINE FARMERS ASSOCIATION COOPERATIVE
APRIL 14, 1942.

In accordance with President Langdale's call of April 4, 1942, and as is
the custom the Board of Directors assembled in the offices of the Association at
3:30 P. M. on April 14th, the day before the regular Annual Meeting of the members
of the Association. All gies were present who were as follows:

R. M. Newton

W. H. Leonard

J. HE. Dyal

Je T. Miller

H. Langdale

R. M. Reynolds

L. W. Brannan, Jr.
J. L. Gillis, Jr.
W. L. Rhodes

After the meeting was called to order by President Langdale the Secretary read
the minutes of the Directors Meeting held March 5th which were approved by the
Directors.

The question of an increase in dues was discussed at which time Judge Langdale
explained Commodity Credit Corporation's opposition to the increase and it was the
consensus of opinion of the Board that it was not an opportune time to advocate
raising the dues rate. Upon a motion by Mr. J. E. Dyal and seconded by Mr. W. Le
Rhodes, it was voted to withdraw the motion passed at the previous meeting to
present to the membership a proposal $0 increase the dues from 50 to 75.

Next, McDowell Company's annual audit was discussed after each director was
given a copy of the report. The income and expenses of the Association were
reviewed and Judge Langdale explained some of the items of expense,all of which
the directors approved.

On account of the sharp decline recently in market prices it was decided the
way to help the situation was to urge all producers to place their production of
naval stores in the loan pool and leave it there until January 1, 1943, so parity
could be obtained for naval stores. Mr. J. Lundie Smith, Jr., General Counsel
for the Association, was requested to draw a resolution covering the matter so that
it could be presented to the member ship at the annual meeting the next day. A copy

of the resolution is found at the end of these minutes marked Exhibit 'A",

President Langdale next presented a resolution to the directors which Mr. H. L.

Kayton had asked that the Board consider. It dealt with a request to be made to
the Department of Agriculture to insure metal rosin drums for the industry. A copy
of the resolution, which was passed by the Board, is to be found at the end of the
minutes marked Exhibit "B".

The question of Warehousemen's initial storage charges was discussed after a

letter from Mr. Milton S. Briggs on the subject was read. It was the unanimous

opinion of the Board the rates should be decreased. Mr. A. L. Brogden was invited

to come into the meeting at that point and was asked to get the initial storage
fee on rosin set at 8 per package and for turpentine 25 per cask.

Woodyard & Son's letter of April 8, 1942, was read to the directors and after
a little discussion it was decided this producer should be reinstated.

There being no further business the Board adjourned.

Gt tecreccau-

SECRETARY

APPROWED:

Dik te

| VSPRESTDENT 7

_!

aiitiadedamain eee

Exhibit "a"

: WHEREAS, it is the sense of the American Turpentine Farmers
Association that mounting costs of production have rendered it impossible
for the producer to receive even a subsistence return from the sale
of his products, if such products are disposed of at either the market
or loan prices presently obtaining; and

WHERGAS, it is the further sense of this Association that no
priccs lower than parity prices will permit the gum turpentine producer
O- cotitinue in business; and

WHEREAS, it has become evident to the membership that only through
the concerted action of all the members can such prices be secured;

NOW, THEREFORE, BE IT RESOLVED by this Association in regular
Session assembled that each and every member hereof eligible to
participate in the 1942 Loan Program do pledge himself as follows:

1. That unless and until he is offered for his products (whether

crude gum, turpentine, or rosin) prices equal to or higher than
the then existing parity prices for such products, he will not
sell the same, but will tender them to the Association for an

advance under the 1942 Commodity Credit Corporation Loan; and

ee That he will not thereafter, prior to January 1, 1943,

redeem or withdraw such stocks so tendered and pledged other

then for sale at prices equal to or higher than the then
existing parity prices; and ;

3. That by such reasonable and legitimate means as may be at

his disposal he will endeavor to persuade every other member

of this Association to do likewise.

a a
Exhibit "B"

y
Neen eer aneemonascermmatte

RESOLUTION

WHEREAS the U. S. Department of Agriculture, because
of defense requirements, urged an increase in the 1942 crop of
naval stores, and,

WHEREAS the wooden rosin barrel formerly used has
proven to be wasteful and inefficient, and because of its condem-
nation by the Commodity Credit Corporation, manufacture of said
package has ceased entirely and many of its former manufacturers
have now disposed of their machinery, have dismantled their plants,
thus making the wooden barrel no longer obtainable, and,

WHEREAS the steel rosin barrel has been in common use
by the naval stores industry during the past three years and has
completely displaced the wooden barrel, and has proven efficient
in conserving its contents without deterioration or waste and has
been approved by the Commodity Credit Corporation, which specifies
such packages as a condition to its naval stores loan, and,

WHEREAS due to the lightness of the steel package a
comparatively small tonnage of material will be required to pack-
age the entire gum naval stores crop of rosin, and,

WHEREAS the use of the steel barrel eliminates a con-
siderable tonnage of steel which in the making of wooden barrels
was required for hoops, rivets, and nails, besides which the use
of the steel package produces a considerable quantity of reclaim-
able steel which can be reworked and used in other defense needs,

THEREFORE, because of the necessity of having avail-

' able a suitable barrel for packaging gum rosin, and because of the
. difficulty, if not impossibility, of reviving the manufacture of

wooden barrels, the Board of Directors of the American Turpentine
Farmers Association Cooperative, in meeting assembled, urges the
Department of Agriculture through its proper Bureau to approve for
the gum naval stores industry an allocation of material suitable for
manufacture into steel barrels sufficient to package the 1942 crop
of gum rosin.

MINUTES OF THE SIXTH ANNUAL MEETING oF.
MEMBERS OF A. T. F. A. C. HELD IN
VALDOSTA, GEORGIA, WEDNESDAY, APRIL 15, 1942.

The regular annual meeting of the members of the American Turpentine Farmers
Association Cooperative was held on Wednesday, April 15, 1942, at the Ritz Theater
in Valdosta, Georgia. President Langdale called the meeting to order at 10:30 A. M.
and Rev. E. S. Moore opened the meeting with prayer.

Supt. Gamble Cleveland of the Valdosta Schools made the address of welcome in a
very attractive manner so that the meeting started off with good fellowship among the
group. In reply to Mr. Cleveland, producer-member C. C. Chappell expressed the
visitors pleasure at being the guests of Valdosta for their Annual Convention.

Following Mr. Chappell, President Langdale introduced a large number of visitors
and asked the following to serve on the ballot committee in counting the ballots
for 1942 - 1943 Directors:

. y Kennedy

A. M. Culbreth
T. D. Mitchell
E. H. Williams

These gentlemen, with the assistance of the Association's Secretary, proceeded
to open and tabulate the ballots, while President Langdale made his annual report
to the members on the affairs of the Association. At the end of this record a copy
of the President's speech will be found labeled Exhibit "A".

Next on the program, Mr. Edwin D. White, Assistant Chief of the Agricultural
Pe cstncet Agency, made a talk on conservation and adjustment in connection with
winning the war and its being essential to avoid mistakes after the war. A copy of
his speech is found at the end of these minutes marked Exhibit "B".

Other speakers were H. L. Kayton, Chairman of the Research Committee, whose
report is to be found at the end of the minutes marked Exhibit "C", Roy I. Kimmell,
Assistant Chief of the Bureau of Agricultural Economics, E. J. Holcomb, Secretary of
the Interbureau Coordinating Committee on Naval Stores, Bureau of Agricultural
Economics, Joseph Kircher, Regional U. S.Forester of Atlanta, E. Gerry Eastman, Advertis-
ing Agent of Atlanta, Georgia, and Dr. C. C. Giddens, of Valdosta, Georgia.

After the addresses had been made the meeting was thrown open into an open forum
at which time the distressing market prices were discussed. A resolution, copy of
which is to be found at the end of the minutes, marked Exhibit "D", was made and
passed. with an amendment offer by Mr. Thos. J. Aycock.

Mr. V. G. Philips offered a motion, which was also passed, that more funds be

provided for research,

Just before adjournment, Mr. E. H. Williams, Chairman of the ballot committee,
announced the result of the balloting which showed the following directors had been
re-elected for the coming year:

R. M. Newton

W. H. Leonard

Je Be Dyal

J. T. Miller

H. Langdale
R. M. Reynolds
L. W. Brannan, Jr.
de Le. Gillis, Jr.
W. L. Rhodes
There being no other business the meeting adjourned to Ocean Pond to enjoy the

Annual Barbecue.

CRETARY

APPROVED

PRESIDENT

ig eet nboe sk i hot

wan

Pideapenebie cS

Editors note:
dale*made such a straight from the
shoulder report that the editors
felt that those who were not pres-
ent missed a lot. And for those
who heard it, it would be well to
study it herewith.

In his annual report at the con-
vention, President Harley Langdale

President. Lang-

expressed the opinion that he be- ,

lieved this years production would
amount to 325,000 units.

Our failing to attain the 450,000

unit goal, he said, will be attribut-

able to one thing and only one thing:
the labor situation.

President Langdale, however, urg-
ed his listeners to do their best to at-
tain the goal. In his report he also
touched on the Associations affairs,
advertising, research and co-sponsor-
ship of 4-H Club paint demonstra-
tion teams.

In regard to the loan program he
said: To begin, at least, with a note
of good cheer, I want to say that, in
my opinion, the Loan Program work-
ed out by your. Associations Com-

mittee, in collaboration with officials :

of the Commodity Credit Corpora-
tion, is far and away the best pro-
gram yet offered us. Loan prices, of
course, have been increased; but,
with market consistently higher and
until quite recently, apparently sta-
ble, I am-afraid that a number of us
were inclined to regard the Loan
Program as being of quite secondary
importance. I*wish you were right.
I am afraid you are not.

But the real features of the Loan
Program are not increased loan val-
ues. This years program permits
the redemption of pledged stocks by
the producer at any time up until
April 1,.1943. That means that the
producer need no longer withhold
his production in the hopefrequent-
ly forlornthat market prices will
rise. It permits him to make im-
mediate disposition of his production
with the knowledge that any subse-
quent increases may be taken ad-
vantage of.

Program

This years program also assures
us that stocks held by Commodity
Credit Corporation will not be mar-
keted at less than parity prices. With
a substantial portion of existing in-
ventories in the hands of Commodity,
that will ultimately provide a very
firm foundation for market prices.

And, lastly and not quite so cheer-
fully, those loan prices, which some
of us may have looked at a little dis-
paragingly, are a very healthy and
very comforting floor for prices. They
mean, in short, that that is the worst
that can happen to.us. It isnt often,

in these times, that the worst is as

good as that!

To move on to other things, this
years Conservation Program marks
a rather radical departure.
vious years, the emphasis has been
upon curtailment of production. This
year, quite the other way around,
every effort has been made to in-
erease production to meet the coun-
trys war needs.

Whether this countrys all-out
war effort demands, or could absorb,
450,000 units is beyond both my
function and my ability to say. I do
know that responsible officials in
Washington have said they were
needed. In the face of such an ap-
peal to our patriotism, the Associa-
tion could do no less than attempt to
deliver. With that end in view, your
Committee and the Forest Service
have worked out a Conservation
Program, with the details of which
you are already familiar. This pro-
gram provides for benefit payments
to participants at. the rate of one
and three-quarters cents for work-
ing faces.
be made with respect to faces not
worked. This year it is the pro-
ducer in the woods and not the one
in the front poe rocker who gets
paid!

Try To Attain Goal

That is the Program, worked out
in response to the countrys demand.
I do not intend to inject a sour note
when I say that I do not think that
this 450,000 unit goal will be attain-
ed. I am very much afraid that we
will fall far short of it. About 325,-
000 seems to me the most we can
reasonably hope for. Our failing to
attain it will be attributable to one
thing and only one: the labor situa-
tion.

Of that, I shall have a little more
to say later. Again let me say that,
in view of the fact that our Govern-
ment has urged us to increase pro-
duction, it is up to us to try, whether
we think conditions warrant it or not.
Soldiers are not allowed, you know,
to question the wisdom of an order.
Neither, it seems to me, are we. The
Government says Produce! Lets
do it, or Bust & plow line trying!

Now, to shift again to other fields,
there are two closely-related activi-
ties of the Association which I think
are harbingers of brighter days. One
of these is our Advertising Program;
the other, affiliated with it, is our
co-sponsorship of 4-H Club Paint
Teams.

4-H Paint Teams
These teams, as I think you know,
have for their purpose the instruc-
tion of the youth of the nation in the

In. pre- |

There are no payments. to-

saad

nently worth while.
Balance Sheet

The Associations balance sheet,
copies of which you have, reflects
sound financial condition. The AT-
FA Journal has become a newsy
and personalized paper which is do-
ing a good job of bringing the. As-
sociation into the daily lives of us all.
The Association has collaborated with
Commodity Credit in reducing large

loan stocks on hand, and expending

Lease-Lend deliveries. The Associa-
tion has given its best efforts to prob-
lems of individual producers which
are being constantly submitted to us
for solution.

Now for one glance at the future,
in conclusion. I could sum it up
with I dont know, and sit down.
I want to add a little more than
that: I have already mentioned the
labor situation.-Far be it from my

importance of good paint Ss

ing the elementary aed that there
can be no good painting ee good
ingredients.

These teams have been organized
and are active already in eleven
states. Five more states will be added
this summer. These teams, composed
of boys and girls from the nations
farms, are giving exhibitions of good
painting practice before audiences
which by now are numbered in the
thousands. In the paint kit of every
member of every team in every state
is a can of gum spirits of turpentine.

The importance of this work is es
two-fold: The lessons these young :
people learn about the virtues of gum
spirits of turpentine will be carried
with them for life, and literally pas-- E
sed on to their children. Secondly,
their parents and the audiences be-
fore whom they make their exceed-
ingly impressive demonstration will -
inevitably receive impressions that =
no other form of promotional work
can quite supply. This work will not
produce immediate and -sensational
results. Do not expect it to. But over

the long pull, it will prove to be,
I believe, one of the soundest and
most productive investments we

could make.

_ Advertising

TI am not going into much detail
about the advertising program itself.
Much has already been said and writ-
ten of it in other places.

I do want to say this: A few
short years ago, as all of you know,
gum turpentine was not available
anywhere in convenient containers.
If a man wanted to buy a tank car
or a drum, he could get it. But
thousands of painters and thousands
of housewives wanted it, but not in
tank cars or drums. They couldn't
get it. Over against that picture of
not very long ago, I want you to
consider that onejust oneof our
licensees, during the month of Febru-
ary alone, shipped thirty-seven car
loads of canned gum turpentine. If
there is anybody here now who does-
nt believe in advertising, Id like to
know what it would take to convince a4
him!

Research is a long drawn out form
of endeavor. It means weary days,
months and even years in the lab-
oratory. Anyone who counsels its
abandonment because sensational re-
sults are not immediately forthcom-
ing is shortsighted, indeed. One of
the tragedies of our industry, in :
years past, has been its entirely hu- ;
man inclination to grab at today, ;
and let tomorrow go hang! I be- ;
lieve, if this Association had done j
no more than change that manner of
it would have been emi-

EON Petes She aS OW: seo ee RNS

CMB Rs ik Oe ass

jis

Lata ki itd asi a

thoughts or intentions to inject any
element of class versus class into
this meeting. I do want to say that
I have felt very keenly about the
fact that this so-called All-out war
seems to mean all out for some of
us and all coming in for the rest of
us.

When our sons and our neighbors
sons are dying on Bataan Peninsula
for want of airplanes, it seems to me
no time for a union to tell a man,
willing and able to work, that he
must pay one hundred dollarsfive
hundred dollarsfor the privilege of
making those boys some planes.

When the social gains of one hun-
dred and sixty-six years since the
Declaration of Independence are at
stake, it seems to me no time to
quibble about the so-called social
gains supposed to be wrapped up in
the inglorious Wage Hour Bill.

}
4
When your sons, and my sons,
and our neighbors sons are on twen- 4
ty-four hours alerts in the jungles of
Australia or the destroyers of the- j
North Atlantic Patrol at twenty-one i
dollars a month, it seems to me no
time to debate whether John L.
Lewis C. I. O. members shall get |
two dollars an hour or a mere dollar
ninty-five.
You may not agree with me. But
if you do, I hope that you and every
other loyal American citizen will join
me in pouring into Washington, by
mail, telephone, telegraph or however,
such a flood of indignation that every
labor intimidated Congressman and
Senator will shiver down to the bot-
tom of their union made boots. May- 3
be I cant carry a rifle myself, but
Im going to do my everlasting, day-
in and-day-out best for the boys that
are carrying them!

Exhibit "B"

Release on Delivery April 15, 194

@

THE NAVAL STORES PROGRAM AND THE WAR

(Address of E. D. White, Assistant Chief of the Agricultural Adjustment Agency,
before the American Turpentine Farmers Association
at Valdosta, Georgia, April 15, 1942)

I consider it a cherished opportunity to be invited to speak to the member-
ship of the American Turpentine Farmers Association, since the war has made the
production of naval stores such an important industry, I brought up the subject
of war as guickly as possible in these remarks because war is the main business
of this Nation cday, and the sooner we all realize it, the sooner we will have
the Japs and Nazis totally beaten and completely subdued.

Persons who have recently come back home from Europe, the Fhilippines,
or Hawaii tell us we aren't awake yet to what this war really is. Ninety per~
cent of us, maybe more, outside the armed forces, don't realize that we are
fighting for our lives. Too few of us have the feel of the war. Too few of
us look on it as a fight to the finish for our freedon.

It seems to me that one of the reasons why some of us aren't awake to our
danger is that we don't have the conviction that we perscnally are contributing
to victory. We need to learn that this is our war and that what we do is im-
portant -- because, believe me, it is important

Let me give you an exemple of something we tend to dismiss as a little
thing -- I have reference to food waste. We send cur ships to convoy needed
Lend-Lease food such as milk, to England. Milk is a vital food these days.

Yet every day in America more milk soaks through floors and slides down drains
than is sunk in the Atlantic. Seemingly a little thing, isn't it? But it does
indicate how important the war job of 30 million housewives is, just from the
standpoint of eliminating waste.

<< Now to your industry. You gum farmers have an important part in this
war, too. You have been asked to increase this years production of turpentine
and rosin more than 50 percent. In September 1941 the goal was set at
400,000 units. After Pearl Harbor it was raised to 450,000 units -- an
increase over 1941 production of 58 percent -= this is a much larger percentage
increase than has ever occurred in any one year in the history of the industry.
This shows the size of the job to be done. ~ :

2

We haven't very accurate figures as to just how much of our naval stores
production goes directly into war materials such as munitions. We do know,
however, that Lend-Lease requirements are very likely to exceed last summer's
estimates. And we lmow that turpentine and rosin are going to be needed in
big quantities in the mamifacture of paints, paper, soap, varnish, printing
ink, adhesives, plastics, drugs and chemicals. Too, naval stores are going to
have to substitute for many raw materials cut off from us by the war. For ex-
ample, Japan has a monopoly on natural camphor. All the natural camphor in the
world comes from the Nipponese island of Formosa. The world market used to
take from 8 to 10 thousand tons of natural and refined camphor a year from
Jepan. This year most of the worid must turn to synthetic camphor made from
turpentine. Fortunately, the synthetic product is both serviceable and cheap,
and our potential resources of turpentine are large. :

The war in the Philippines has cut off a large part of our supply of
coconut and other oils used in making soaps and other products. Chemists
heave found that soybean and peanut oil are good substitutes for coconut oil,
but since these two are urgently needed in such a wide variety of other
products, rosin must again take its place in the manufacture of soapo In
past years rosin could be used only in the yellow laundry soaps, but recent
developments fave shown that it can be used in a wider range of soaps of con~
siderably hig! 2r quality.

You can readily see the important part gum naval stores producers have
in this war. We are depending on you to get the job done. We believe you
wills Should we fail in our efforts to reach our production goal, our soun~
try and our allies are going to suffer.

You have a proud tradition to uphold. Since Colonial days when the first
tar and pitch from North Carolina long-leaf pine helped keep England's wooden
ships afloat, the United States has been the worlds largest producer of
naval stores. In recent years the "Turpentine Belt" stretching 1,000 miles
from the Carolinas to Texas has turned out about 60 percent of the total
world production of turpentine and rosin.

We produce six times as much of these two products as any other country.
The State of Georgia alone far outstrips any foreign nation. The question
now is, how are we going to achieve the increased production in 1942.

We can be thankful for two things: the naval stores conservation and
loan programs; and the cooperation that exists among you producers. it is a
heartening thing to find a group of farmers working together in a coopere~
tive endeavor. It is especially heartening to find cooperation growing
among you gum farmers because your big problem is how to get upwards of
15,000 producers organized into one unit for production and marketing.
Single-handed or in little groups, farmers are helpless, but banded together,
they can do things. You have proved that pretty conclusively in the last
few years.

The naval stoves conservation program was originally set up and became
operative in 195e under the Soil Conservation and Domestic Allotment Act.
The main purpose of the program was to permit producers voluntarily to adopt
approved practices in turpentine farming and to bring production into balance
with consumption. Under the original Marketing Agreement which was in effect
for the crops of 1934 and 1935, it was possible to control the production of
both gum and wood naval stores. Because wood naval stores do not come from
living trees but from forest stumps, they are not classed under existing
legislation as an agricultural commodity. Nevertheless, the Marketing Agree-
ment which was operated under the Marketing Agreement Act allowed wood naval
stores to be controlled. The latter, you see, provided that products competing
a

a G =

with agricultural commodities were subject to regulation.

Since 1936, however, there has been no way to regulate the production
of the wood group. As a result, while the gum producers decreased their pro-
duction, the wood producers increased theirs. In 1952-33, the gum producers
turned out 87 percent of the total turpentine output of the United States.
In 1940=41, they turned out less than 61 percent. In 1952-33 the gum group
turned out 81 percent of the total rosin output. In 1940-41, they produced
less than 54 percent. Here is the case of a relatively new industry that is
now producing 40 percent of our turpentine and nearly 50 percent of our rosin.
This industry is concentrated in the hands of a few companies who are in
position effectively to carry on research, maintain direct contact with con-

~sumers, and develop special types of processing to increase sales.

If this situation teaches anything, it teaches that no truly effective
and satisfactory program can be worked out without taking in both the gum
and the wood groups.

From what have just said, someone might get the impression that the
naval stores conservation program has not benefited cooperating gum farmers.
That, of course, is not true. There have been 4 lot of improvements brought
about through the programs and your cooperative. In 1934-35 in the area of
heaviest production, nearly one=third of all the trees being worked for naval
stores were less than 9 inches in diameter. Today as a resuit of the con-
servation programs, the mumber of working trees under 9 inches is negligible.
Mainly because of this change, the production per crop has increased more
than 20 percent.

Moreover, in the last few years large central distillation plants have
been developed which replace some of the old fire stills and which enable
you gum naval stores producers to duplicate some of the advantages of the
large wood naval stores companies == advantages such as a better product,
more standardized grades of rosin, better packing and a more direct outlet to
the consumer. The administration has in every way possible encouraged this
trend.

Furthermore, the mmber of producers cooperating with the program has
increased tremendously during the last several years. In 1936 only 921 pro=
dacers were in the program; in 1937 less than 700. But in 1941 over 4,500
work sheets were filed by gum naval stores producers turning out more than
$0 percent of the total gum naval stores production. We have every reason
to believe that the 1942 figures will be even larger.

In the last 6 years this program has cost in payments and administra=
tion abort 64 million dollars. But it has been money well spent, It has
been a profitable investment not only for producers but for the public.

It's an investment we are cashing in on now, a time when it is vitally needed.
If there had been no Naval Stores Program, you can rest assured there
probably would not be mech hope of our reaching the 1942 war goals on
turpentine and rosino
a es

Under the 1942 program, everything possible is being done to help you
meet your goals. In February of this year the program was amended to permit
producers to work all eligible fe:es up to the limit of their farms. There
will be no payments for discontimuing faces. Larger payments are provided
for working faces. Moreover, liberal payments are being offered to encourage
small selected groups of producers to apply a chemical stimlant to turpentine
faces. This lest is still largely an experiment, but it demonstrates the
attitade of the Department of Agriculture toward all progressive production
efforts.

Under the 1942 Naval Stores conservation program, producers can afford
to make an all-out effort in 1942 without fear of producing a burdensome
surplus and causing ruinously low prices. This has been eliminated through
price stabilization measures, Prices of products which producers have been
asked to incrsase will be supported. The Commodity Credit Corporation will
make liberal loans through your Cooperative to preducers who comply with
the 1942 program.

Now let us turn to our general farm program. This program has been
helpful in the past, is much needed now and in the years of war and of poste-
war reconstruction ahead, it is going to serve a useful purpose to all America
and to the world. I know of some persons, however, who can't see why we need
a program when we're asking for all-out production. They have the idea that
anything a farmer grows must be useful and that you just can't have too mach
of it, That's a terribly silly assumption, but it's surprising how many
sensible persons believe it. These same persons would think the Government
had gone crazy if it had asked industry simply to step up production of
what they were already producing =< or if the Government had just said, "be
sure you produce more in 42 than you ever have before."

I too would say the government was crazy if it did that. But, of course,
4t didn't. Instead, it made automobile manufacturers step making cars and
start going all-out on planes and tanks. It made radio plants get busy on
war orders. It made electrical appliance manufacturers stop produsing gadgets.
Everybody understands that and thinks it's reasonable and right.

But it appears that when the farmer is asked to direct his production
along useful lines, some people just cant understand it. They fail to
reslize there is too much of some things and too little of others. Take
wheat for instance. This year farmers were asked to curtail wheat production,
We had a 2-year supply on hand, our storage facilities were crowded, and we
needed to use al] available land, labor, equipment and transportation for
vital win-the-war cods. Why should we continue to produce more wheat? We
Shouldn't. We are not. We are producing more of the foods vitally needed.
Isn't that soumd? Isn't it sensible?

Now you farmers have had the experience. You know it is. And you know,
too, that when this war is over, the farm program is the only protection
you'll have against a repetition of the agricultural depression that
began in the early 1920's and lasted until late in the 1950%s.
= 5 =

Without a program you gum farmers would soon be right back where you were in
1933. We've got to remember that the present price and demand situation is
temporary. We've got to remember that now is the time at least to think
about a post-war program, because if we wait until after the war it may be
too lates

Before I conclude my remarks, let me say a little about the place of
conservation and adjustment in the farm program.

From 1921 to the beginning of 1933 farmers went bankrupt right and left.
By 1933 surpluses were piled high and prices had dropped to ruinous levels.
Agriculture was never so depressed in the entire history of the United States
as it was in 1932 and early 1933. Surplus removal and price support were
immediately necessary. Out of that need came the adjustment phase of the
farm program -= in other words, that part of the program which helps farmers
produce the right amounts of the right products.

In 1935 the Soil Conservation Service was set up in the Department of
Agriculture and in 1936 Triple-A went into conservation in a big way. During
the period of these programs, pasture, fallow and rested land has been expanded
37z million acres. Enough terracing has been carried out to reach more than
twice around the earth. By 1940 the acreage of soil-depleting crops had been
adjusted downward by some 30 million acres. Thousands of farmers have been
shown how to apply good farming practices, how to reduce soil wastage and
how at the same time to increase their yields.

All of you know that farmers in 1942 are striving to produce more needed
food and fiber. In fact more than any nation in all time has ever produced
ina single year. Our production goals call for one-third more output than
the average of 1917-18, the year we entered the first World Wer. I can say
with the utmost certainty that without the farm program, without adjustment
and conservation, our 1942 goals could never be reached. In fact, a goal
drive for most of the important agricultural products would probably never
have been attempted.

But I want to add that even with the program we won't reach the goals
unless we apply adjustment and productive conservation to the very limit. For
example, we can't afford to exceed the wheat goal. We do not need to exceed
certain other goals. Our supplies of land, labor and equipment are too Limited.
Transportation is severely taxed. That's where adjustment comes ino

Too, we have less soil fertility now than in the first World War. We
are also faced with serious labor and equipment shortages. We have to get
the most out of every acre, now and in the future. That's where conservation
comes in. Conservation, contrary to popular belief, isn't a matter only of
soil-saving. It's also the most effective way to boost output here and nows
Terracing, wind erosion measures, strip cropping, sodding, and other practices
are all well known soilesavers. But these and other conservation measures
also increase production per acre and per animal. Development of pastures
and meadows for instance, is another way of furthering conservation and at
the same time increasing production. Cows fed on good alfalfa produce milk
containing 5 times as much vitamin A as cows fed on poor grade timothy.

oe 6 &

Some crops planted on the contour outyield the same kind of crops planted!
up and down the slope. Strip-cropping often will save both time and power in
plowing, seeding and hich eel

This year critical areas may develop as a result of stepping up soybean
and psanut production. Unless conservation practices are carried out from
the very beginning in such areas, prodnetson will eventually pk The land
may be badly damaged.

Briefly stated, conservation Si raene increases both quantity and the
quality of farm products; it provides a means, perhaps the only means, whereby
we can reach the wartime goals; and lastly, it protects the fertility of the
soil aud in this way will help us to reach future goals if this should turn
out to be a leng war. j

Without conservation and adjustment, a five year war might involve us in
serious food difficulties; a 10 year war might be extremely serious. With
conservation and adjustment however, we can be fairly confident of our
ability to continue to produce food for freedom abundantly, even in a very.
long war. We cannot realize too clearly that conservation and adjustment is
as much a weapon of total war as the Army or the Navy. We cannot effectively
fight a long war without productive land and directed production any more
than we can without productive factories making the right things in the right
amounts o

The Secretary of Agriculture has repeated many times, Food will win the
war and write the peace. Back of that statement are two pictures == one,
@ picture of tremendous supplies of food for ourselves and our Allies: of
prodigious production because our workers are well-nourished, energetic, and
healthy: of an alert strong Army and Navy o The other is a picture of
gradually exhausted food piles throughout the Axis nations; of insufficient
production as malnutrition takes its toll; of unrest on the Axis home front,
low morale in the armed forces, sabotage and finally rebellion in the ccoupied
lands.

This war is primarily a battle of production == of feo: production as
well as arms production. If the United Nations outeproduce the Axis == and
do it in time -- we shall win. We must produce. We will produce.

j

Bxhibit "co"
18

SAVANNAH WEEKLY NAVAL STORES REVIEW AND JOURNAL OF TRADE

MORE MONEY NEEDED FOR NAVAL STORES
RESEARCH TO SPEED UP VITALLY NEEDED WORK

H. L. Kayton Reports On Re-
search Activities

New Markets Will Be Neces-
sary Following the Present
Emergency

(Address delivered by Mr. Herbert
L. Kayton, Chairman of the Research
Committee, at A.T.F.A. Annual Meet-
ing.)

To the layman, the ordinary person
who has little knowledge of chemistry
and its intricacies, the matter of re-
search is one which he thinks of in
a rather confused state of mind.
Chemical formulas as a rule are so
much Greek or Latin to a turpentine
operator, whose life is spent in riding
the woods and coaxing crude gum
from reluctant pines. It has been the
custom of our people to convert the
crude gum into rosin and turpentine,
concentrate these at a convenient
shipping point and let the world come
to us for its supply of these raw ma-
terials, from which are manufactured
soaps, sizes, paints, varnishes, and
various other articles moving into the
ordinary channels of trade. However,
times have changed and other ma-
terials with similar properties offer
keen competition, are offered at
moderate prices, and force us to now
merchandise our goods or lose the
markets which we have heretofore
enjoyed. Your Advertising Commit-
tee can testify as to the need for a
selling campaign. In order to sell we
must first know ourselves what we
have, the properties of our products,
and what they had best be used for.
Turpentine and rosin in their com-
mercial forms are combinations of
chemical elements and when broken
down and separated into their com-
ponent parts can be used in a wide
variety of ways. Why dump a gallon
of turpentine into a bucket of paint
in order to thin it when maybe only
50% of this turpentine has value as
a thinner and drier? Why waste the
other 50% of this turpentine when
possibly it has great pinene value and
may be worth more than the first half
gallon? Your Association a few years
ago wisely decided upon entering the
research field and employed a research
laboratory with a directing chemist in
charge. This move was suggested and
furthered by the late Dr. Charles H.
Herty who located and recommended
your present research director, Dr.
Torsten Hasselstrom. Time and
money has been profitably spent in
this work and most amazing dis-
eoveries have been made. Great pro-
gress has followed in the development
of terpenes which embrace a wide
field of increasing promise. Some of
the developments of our laboratory

have found their way into commercial
use, although we, ourselves, have been
unable to exploit them; especially has
there been a steady increasing de-
mand for terpene hydrate, which can
be easily made from turpentine. The
demand for terpineol likewise shows
a steady increase. Your laboratory
has been exploring the possibilities of
the chlorination of turpentine and has
developed some most interesting possi-
bilities and this field is unusually
promising and many valuable market-
able chemicals are assured if this ex-
ploration can be followed through.

~The inability to secure natural cam-

phor, available only from Japanese
sources, has caused an increased use

of turpentine for the production of '

synthetic camphor, which is needed |
for the manufacture of certain ex- |

plosives. War conditions are un-
doubtedly responsible for much of the
present demand for turpentine. A
study of the atomic composition of
the molecules of gum or turpentine
assure us that synthetic rubber can
be easily produced, and at a cost
which would be below that of the
other synthetic rubbers now being
manufactured. A substitute for
natural rubber is at this time one of
our most urgent needs. Unfortunate-
ly, our research work is moving slowly
because of the lack of adequate
financing. The funds received from
the Association compare unfavorably
with the sums being spent by compet-
inf industries in the race for new and
improved products and control of con-
suming markets. Like the efforts of
the neutral allies we gum turpentine
people have been too little and too
late.

We have a good laboratory, a semi-
commercial plant for testing labora-
tory findings, a capable resourceful
director but an inadequate staff of
assistant chemists, hence our activi-
ties are circumscribed and many im-
portant leads are being delayed and
neglected. A few more thousand
dollars a year spent in laboratory
work may mean profit instead of loss
to the turpentine operators of future
years, for when the present emer-
gency is behind us we will have to
look for markets other than those
which we now enjoy. Turpentine has
too great an inherent value to allow
it to sell as a raw material, and at
low price levels, while wood and sul-
phate turpentine are being converted
into valuable chemicals enjoying
profitable market returns. We would
match the foresight now being shown
by the manufacturers of these com-
petitive articles.

Your directors realize the value of
research and would willingly make
larger appropriations for this purpose
if. funds were available. They are
limited by the amount received from

|
|
4

dues paid by members of the Associa-
tion. A small increase in the assess-
ment for dues would enable the
laboratory to employ additional chem-
ists and speed up the work so vitally
necessary to insure you of remunera-
tive returns after the present emer-
gency is behind us. Unless something
of this kind is done I fear we shall
see a return to the situation which
existed throughout the 80s when tur-
pentine sold in competition with
mineral spirits and other low priced
thinners and did not yield a sufficient
return to pay for the cost of pro-
duction.
Exhibit "D"

WHEREAS, it is the sense of the American Turpentine Farmers
Association that mounting costs of production have rendered it impossible
for the producer to receive even a subsistence return from the sale
of his products, if such products are disposed of at either the market
ai or loan prices presently obtaining; and
WHEREAS, it is the further sense of this Association that no
prices lower than parity prices will permit the gum turpentine producer
to continue in business; and

WHEREAS, it has become evident to the membership that only through
. the concerted action of all the members can such prices be secured;

NOW, THEREFORE, BE IT RESOLVED by this Association in regular :
session assembled that each and every member hereof eligible to
participate in the 1942 Loan Program do pledge himself as follows:

1. That unless and until he is offered for his products (whether |

crude gum, turpentine, or rosin) prices equal to or higher than

the then existing parity prices for such products, he will not
sell the same, but will tender them to the Association for an '
advance under the 1942 Commodity Credit Corporation Loan; and

2. That he will not thereafter, prior to January 1, 1943,

redeem or withdraw such stocks so tendered and pledged other

than for sale at prices equal to or higher than the then
existing parity prices; and

3. That by such reasonable and legitimate means as may be at

his disposal he will endeavor to persuade every other member

of this Association to do likewise.

BE IT FURTHER RESOLVED that th officers of this Association, through
its legislative committee, be, and they are hereby, directed to make an

immediate request of the Commodity Credit Corporation that the present

loan of 85% of parity be increased to 100% thereof, in order that turpentine

farmers may continue their efforts to comply with the Government's request

for maximum production,

MINUTES OF THE ORGANIZATION MEETING OF
DIRECTORS HELD APRIL 15, 1942.

At 5 P. M. on April 15, 1942, after the Annual Picnic at Ocean Pond,
the newly elected Directors of the Association met to organize for the coming
year; their term being for one year from May 1, 1942.

The Directors present were:

Je T. Miller

R. M. Newton

L. W. Brannan, Jr.

dee Glllie, ols

R. M. Reynolds

W. H. Leonard

Je B. Dyal

H. Langdale
Absent:

W. Le. Rhodes

Upon a motion by Mr. J. T. Miller, H. Langdale was nominated as President
for the coming year. L. W. Brannan, Jr. seconded the motion which was carried
unanimously.

Mr. J. EB. Dyal nominated R. M. Newton as Vice-President and Mr. R. M. Reynolds
seconded, The motion was also carried unanimously.

Mr. R. M. Newton nominated E. R. Sherman as Secretary & Treasurer, while
Mr. J. E. Dyal seconded and Mr. Sherman was elected.

Upon motion by Mr. W. H. Leonard, seconded by Mr. R. M. Newton, Mrs. Ora
B. Hemmingway was elected Assistant Secretary & Treasurer.

President Langdale read the salary list of Association employees and it
was agreed no change in salaries should be made.

The Board of Directors allocated the sum of $125 a month bo be paid to
President Langdale toward defraying various expenses incurred by him on the
Association's behalf above and beyond travel and other ordinary expenses.

Next the situation at the Municipal Docks and Terminals was discussed
and upon motion by Mr. Brannan and seconded by J. E. Dyal it was voted to
approve this Warehouseman under the 1942 Loan Program and advise Commodity

Credit Corporation of the Association's action.

Mr. A. L. Brogden next appeared before the directors and after explanation
of increased cost of labor and supplies stated he thought the initial storage
on rosin should not be set below last year's figure of 9 per drum. Also if
turpentine tankage charge was reduced to 25 per cask the wirihoutones would
have to collect their usual ee charge. The Directors agreed to accept

this and Mr. J. Lundie Smith, Jr., General Counsel for the Association,

prepared a letter, which it was agreed would be required of all Warehousemen
before final approval of their yards would be made. A specimen of the letter
will be found at the end of the minutes marked Exhibit "A".

There being no other business to come before the Board it was voted to

adjourn.

SECRETARY

APPROVED:

Bxhibit "at

Program, and in consideration of your so designating it, the
covenanta and agrees tat, notwit uiing amr stipwlation at wariance here-
with contained in the Garehouse Agreement (A. Teleke Form 2-1942) already or
wr intial orgs arr Wk be mW a ow Ast ay te
taenty-five (25) esute per fifty (90) gallons of gun turpentine pledged unier
said ons Frogrumy and, further, shat outage or rudelivery charges, to be
nade against the holder of applicable wurchouse receipte with respect to the
redalivery of such gue turpentine will net be in excess of the Serehousemans
publictuni taricte i> Taek sees, net in effect.

Upon the same consideretion, it ia further agrend tat the onenine
sporated in and fors a part af the tarehouse

ont (UTPA Fora 21962) already or hereafter to be executed ty the

undersigned as fully and to the sane extent 2a theugh they mre therein set
out in detail.

bated: ; __ a.

Te

Ped

|

ats

MINUTES OF A SPECIAL MEETING OF
THE BOARD OF DIRECTORS HELD AT THE
ASSOCIATION'S OFFICES JUNE 30, 1942.

In response to a call by President Langdale, the Board of Directors
met in special session in the offices of the Association in Valdosta,
Georgia, on June. 30th, 1942, at 10:30 o'clock A. M. The following were
present: Mr. J.-E. Dyal, Mr. J. I. Gillis, Jr., Mr. W. H. Leonard, Mr.

J. T. Miller and President H. Tangdale, presiding. Absent: Mr. L. W.

: Brannan,Jr., Mr. R. M. Newton, Mr. R. M. Reynolds and Mr. W. L. Rhodes.

The minutes of the organization meeting of the newly elected board,
held in Valdosta on April 15, 1942, were read and approved.

President Langdale presented a Balance Sheet showing the condition
of the Association's finances at May 31, 1942, and outlined briefly the
Association's activities in the advertising field. Mr. E. F. Greneker,
AT-FA Journal Editor, was called before the Board to present cost figures
submitted by several Film Companies, for the production of a motion picture
portrayal of the gum naval stores industry. After a general discussion of
the advantages and npubiens of such a project, a motion was offered by Mr.
Miller and seconded by Mr. Gillis that the matter be investigated and taken
under further consideration at a later meeting. The motion was put and
carried.

The President thereupon informed the Board that Mr. E. R. Sherman had
tendered his resignation as Secretary and Treasurer of the Association,
said resignation to become effective July 1, 1942. A motion was then
offered by Mr. Gillis, and seconded by Mr. Dyal, that Mr. Sherman's
resignation be accepted, with appreciation for his services to the
Association. The motion was put and earried.

A motion was thereupon offered that Mr. J. Lundie Smith, Jr., be
elected Secretary of the Association and be also retained in his then
present position as General Counsel of the Association, at a salary of
$400.00. The motion was duly seconded, put and carried.

A motion was then offered tht Mrs. Ora B. Hemmingway be elected
Treasurer, also continuing in her then present capacity as Assistant

Secretary, at a salary of $155.00. This motion was duly seconded, put

and carried.

- There then followed a brief outline by President Langdale of the
procedure of the Commodity Credit Corporation "stockpile" Purchase Program,

and a general discussion of the various phases of the program. 2

There being no further business the Board adjourned.

MINUTES OF A SPECIAL MEETING OF
THE BOARD OF DIRECTORS HELD AT THE
ASSOCIATION'S OFFICES AUGUST 25,1942.

Pursuant to a call by President Langdale, a special meeting of
the Board of Directors was held in the offices of the Association at
ten o'clock A. M. on August 25, 1942.

Present were the following Directors: President Langdale, Mr.
J. L. Gillis,Jr., Mr. J. T. Miller, Mr. W. H. Leonard, and Mr. R. M.
Reynolds.

President Langdale presided. Reading of the minutes of the
previous meeting was dispensed with.

President Langdale announced as the primary purpose of the
meeting consideration of an affiliation agreement ietnde this
Association and Gum Turpentine Farmers Cooperative Association of

Vidalia, Georgia. President Langdale explained the nature of the

proposed affiliation agreement, which would result in that Association's

becoming a member of this Association upon a special status authorized

under the Charter. <A general discussion of the details of the Agreement

was entered into and thereafter a resolution was offered by Mr. Gillis
who moved its adoption. This motion was seconded by Mr. Miller. The
resolution was unanimously adopted. The text of the resolution follows:

"Be it resolved by the Board of Directors of American Turpentine
Farmers Association Cooperative in special session assembled on this
the 25th day of August, 1942, that the President of this Asmciation
be and he is hereby authorized and depisind to execute on behalf of
this Association that certain agreement, under date of August 26th,
1942, between this Association and Gum Turpentine Farmers Cooperative
Association; :

RESOLVED FURTHER that H is likewise autha ized and directed to
accept on behalf of. this Association the Membership Application Agree-
ment and the Producer's Marketing Agreement referred to in the first
mentioned agreement; and

RESOLVED FURTHER that the President of this Association be and
he is hereby authorized and directed to negotiate with officials of

Commodity Credit Corporation for the purpee of obtaining an amendment

to the Ioan Agreement in effect between that Corporation and this
Association so that such Loan Agreement, as amended, shall not be
at variance with the purposes and provisions of the several agreements
hereinabove referred to; and upon completion of such negotiation, to
execute on behalf of this Association the amendment so agreed upon.
RESOLVED FURTHER that the Secretary and General Counsel of the
Association be and he is hereby authorized and directed to assist the yy
President in such negotiations and in preparation of such proposed
amendment and, in his capacity as Secretary, to attest, as may be
required, any or all of the instruments heveinahove referred to."
Thereafter President Langdale announced that the presence of
a committee from this Association was requested in Washington for a
conference (at ten o'clock A. M. on Tuesday, September 1) to discuss
the 1943 Naval Stores Conservation Program. President Langdale appointed
on the committee to go to Washington Mr. R. M. Newton, Mr. L. W. Brannan,
Mr. W. H. Rhodes, ur. %, Le Gillie,dr., Mr. J. T. Miller, Mr. R. M.
Reynolds, and Mr. J. BE. Dyal. It was also suggested by edidaae
Langdale and concurred in by the Directors present, that an invitation
to attend be extended to Mr. W. C. Rice of the Gum Turpentine Farmers
Cooperative Association.

There being no further business the Board thereupon adjourned,

APPROVED: |

Ti

x i
ms ce ~
ty TE,

| Be it resolved by the Board of Directors of American
Turpentine Farmers Association Cooperative in apecial session
assenbled on thia the 25th day of August, 1942, thet the Fresident.
of this Association be and he is hereby authorized and directed to
execute on hehalf of this Association that certain agreement, under
date of August 26th, 1942, between this Association and Gum Turpentine
Parmers Cooperative Association; 7

RESOLVED FURTHER that he Is likewise authorized and directed
to accept on behalf of this Association the Membership Application
ub and the Producer's Marketing Agreement referred to in the
firet mentioned agreement; and 3

RESOLVED FURTHER that the President of this Association be
and he is hereby authorized and directed to negotiate with officials

ament to the Loan Agreement in effect between that Corporation and
this Association so that such Loan Agreement, as amended, shall not be
at variance with the purposes and provisions of the several agreements
hereinabove referred to; and upon completion of such negotiation, to
execute on hehalf of tiis Association the amendment so agreed upon.
RESOLVED FURTHER that the Secretary and General Counsel of

| the Association be and he is hereby authorized and directed to assist

the President in such negotiations and in preparation of such proposed
amendment and, in his capacity as Secretary, to attest, as may be
required, any or all of the instruments hereinabove referred to.

SERTIFIED the above to be a true ind exact copy of a resolution of the
Board of Directors of American Turpentine Parmwers Anaceiation Cooperative 7
adopted as recited therein, e.
This 25th dey of August, 1942,

ys

FRETS

SSOCIAPION, Party of the Second Part, both of the parties hereto | __
being cooperative marketing asscctations orcanized
the laws of the State of Getecin ts that regard,

WITNESS SET ur |
POR AND Il CONSIDERATION of the mutual covenants and under= |
takings hereinafter enteveil into and assumed by the parties, the
parties hereto agree as follows:
(2) The Party of the First Part hae obtained from Coumoedity

naval atures tendered to it by eligible producers, the terns "el! -
naval stores" and sligible producer" being specifically defined in
on instruzent designated Producerts Marketing Agreement (ATFA Porm l-
1942) a copy of which ls hereto attached as an exhibit and by this
reference incorporated herein For all pw pogea, the sald advances
belvg restricted to producers who are, msong other things, mexbers in
good standing of the Party of the First Part,
(2) the Party of the Second Part,.as an incorporated cooperative
association is engaged, generally, in the business of receiving crude
gum or eleoresin from its producer<wembers, processing the same inte

: nded tO, goomead bys oe 2 esas 29d ama obec , bers
inapplicable to the Party of the Second Parts

sh (e) of the charter obtained
ing 1t (in part) "to effilia:

(8) The Party of the Second Part aclmowledges receipt of a
copy of the By-Laws of the Party of the First Part and agrees to be
bound by the same except as may be herein otherwise stipulated and
agreed.

(9) Anything in any of the instruments or By-Laws hereinabove
referred to to the contrary notwithstanding, it is mutually agreed:
(a) The Party of the Second Part, as a corporate entity, is
not a cooperator in the Conservation Program promulgated by
the United States Forest Service of the Department of Agri-
culture; and any reference to the eligibility of gum naval
stores tendered to the Party of the First Part by the Party
of the Second Part shall, by interpretation, be modified to
mean that such naval stores were produced (1) by a member
in good standing of the Party of the Second Part, which
meniber (2) produced such naval stores in the calendar year
1942, and (3) that such member was, at the time of pro-
duction and tender, a cooperator in the 1942 Naval Stores
Conservation Program of the United States Department of
Agriculture, as determined by such Department, Membership
in the Party of the First Part, by the producer actually
producing such naval stores so tendered by the Party of the
Second Part, shall not be a condition precedent to the
eligibility of such naval stores, PROVIDED all other elements
of eligibility as prescribed in the said Producer's Marketing
Agreement, as modified hersin, are present,

(b) Each and every other term, condition, stipulation and
requirement of the said Membership Application Agresxent,
Producer's Marketing Agreement, and By~Laws not herein
specificaliy modified or abrogated shall apply with full force
and effect to the Party of the Second Part; and wherever

in any of the instruments or documents referred to, the term

| existing comaitmenta between itself and Commodity Credit Corporation

_\Wnder the terms of any end all of the instrumm ts hereinabove referred

"producer", "Itember", Applicant or word of similar import
used or intended to designate a member of the Party of the
First Part shall occur, such term(s) shall be construed to
ebrace and include the Party of the Second Part.
(10) : It ie uutually agresd that wherever, im any of the
instruments herein referred to, reference shall be made to dues to be

of gama naval stores produced by such members, the term produced ag
applied to the Party of the Second Part herein shell mean and intend
those quantities of gua naval stores proceased or marketed by the
Party of the Second Part which, under the terms of this agreement and
the several instruments herein referred to, were or could have been
tendered to the Party of the First Part for loan advances,

(11) . fhe Party of the First Part undertakes and agress that

it will use its best offices to obtain any necessary modification of

which are at variance with or do not presently permit the obligations ,
herein assumed by the Party of the First Part, This Agreement is, to
that extent, subject to the approval of Conwodity Credit Corporation,
(22) The Party ef the Second Part specifically warranta and
agrees thet any and all gum naval stores tendered by it the Party
of the First Part for loan advanees shall be in all respects eligible

to, except to such extent as the saxe may be modified hereby,
aud the Producer's Marketing Agre
in effect wntil December Sl, 1942, and from year te year thereafter;
and in all instances whorein 1t is provided that the rights and
obligations of the Parties hereto shall be determined by reference to

paid to the Party of the First Part by its members based upon quantities

powent herein referred to shall continue

1
4
|

ee 4 or eee)

the Producer's Marketing Agreement or the By-Lews of the Party of the
Pirst Part, it is meant and intended that, for thet purpose, reference
shall be ind to the Producer's Marketing Agreement and the By-Laws in

effect at the time with respect to which determination is to be made.

DED, HOWEVER, the Party of the Second Part may terminate all (but
not less than all) of said 4greements upon Thirty (50) days' notice
in writing to the Party of the First Part of its intention so to do,
(14). Pursuant to resolutdons, regularly adopted by their
respective Beards of Directors, copies of whic, duly certified by
their respective Secretaries, are hereto attached, the Parties hereto,
acting by and through their thereunto duly subhorized officers, have
caused these presents to be executed and their respective corporate
seals to be hereunto affixed, all in duplicate, as of the day and
year first above written,

ATTESTs

GUM TURPENTINE PARMERS COOPERATIVE ASSOCIATION (SEAL)

By.

a

is ia iM Eton OND i

(ERS ASSOCIATION COOPERATIVE (SEAL)

the 85th day of August, igae, thet the President of the cooper
| aseociation be and he is hereby authorized and directed to execute

ESOLYED by the Board of Directors of Gun Turpentine
operative Association in apecial session assembled on this

sociation and American Turpentine Farmers Association Cooperatives
and as well to execute the Membership Application Agreement and the
of this cooperative association ig similarly authorized and directed
to attest the seid instruments im his offielal capacity. :

ERTIPIED, a true copy, this 25th day of August, 1942.

ous _-- Farmers Cooperative Ansociatios

MINUTES OF A SPECIAL MEETING OF THE BOARD
OF DIRECTORS IN THE ASSOCIATION'S OFFICES
OCTOBER 8, 1942

Pursuant to a call by President Langdale, a special
meeting of the Board of Directors was scheduled to be held
in the offices of the Association at 10:00 A. M. on October
8, 1942.

However, at the nasties trove were present only President
Langdale, Mr. J. T. Miller and Mr. W. H. Leonard. Since there
was not a quorum present an official meeting could not be held,
but various matters important to the Association were discussed
by the Directors present.

President Langdale submitted a financial statement of the
Association's affairs, and thereafter there was a general dis-
cussion of various items included therein,

A similar discussion was held of President Langdale's
proposal to enlarge the Association's program of affiliation
with Lead Industries, Inc. by extending the work heretofore
Sorta ted with 4-H Clubs to future farmers groups and to close
cooperation with departments of vocational education in agri-

cultural areas in all States in which the program was being

carried on. President Langdale reported enthusiastic response

by educational authorities, and stated that the Lead Industries
had asked the Association to increase its allotment for this
work in an amount not to exceed $10,000. This amount was to

be spent on providing kits at a cost of $20. each, the Associa-
tion to furnish one such kit for every two supplied by that
industry. This suggestion received the hearty endorsement of
the other Directors present.

Thereafter the amount of the Association's expenditures
in connection with its research activities were discussed. It
was the consensus of the Directors present that these expendi-
tures should be carefully examined and full determination made

of the accomplishments realized from the Association's research

activities.

At the suggestion of the Directors present, Judge Langdale

appointed a special committee to meet with the Reasearch Committee

in Savannah at 10:00 A. M. on October 21 at the Savannah
Hotel for a thorough review of research of research
activities; and the committee was instructed to re-
port back to the Board of Directors with definite
recommendations regarding future expenditures and the
further continuance of the Association's research
activities. The committee so appointed consisted of

J. Lundie Smith, Jr., Mr. W. H. Leonard, Mr. J. HE. Dyal,
and Mr. A. V. Kennedy.

Thereafter a general discussion of the recently
established gum market at Lake City was had and the
necessity for establishing similar facilities in other
localities was considered. It was the consensus of the
Directors present that while no such facilities in addi-
tion to the Lake City Market should be established during
the current year, other markets should be established where
needed and feasible next year; and, if possible, stills
should be constructed in areas where the need for distilla-
tion facilities was critical.

There being no further business the meeting adjourned.

Approved:

T. Mituer, Palatka, Fla.

. H. LEONARD, Blountstown, Fla. : Ao ANG

M. Reynoxps, Bainbridge, Ga. VALDOSTA, GEORGIA Assisting Soovetiry
i W. BRANNAN, Jr., Foley, Ala.
-:

meee AMERICAN TURPENTINE FARMERS ASSOCIATION COOPERATIVE

THE VOICE OF THE GUM TURPENTINE FARMERS
OF THE NATION =.

DIRECTORS: a OFFICERS:
H. Lanapate, Valdosta, Ga. 108 WEST HILL AVENUE Pe aL
R. M. Newton, Wiggins, Miss. i BUM. Newron,
W. L. Ruopss, Estill, S.C. Visi President
J. E. Dyat, Baxley, Ga. J. Lunptie Situ, Jr.
J. L. Giuuis, Jr., Soperton, Ga. Secretary and

General Counsel
Ora B. HEMMINGWayY,

November 24, 1942

Board of Directors

American Turpentine Farmers
Association Cooperative

Valdosta, Georgia

Gentlemen:

President Langdale called a special meeting of
the Board of Directors of this Association for 10:00 o'clock
A. M.; on October 8, 1942, to discuss various matters of im-
portance to the Association then pending. Unfortunately,
only Mr. Miller and Mr. Leonard (in addition to Judge Langdale)
were able to attend that meeting with the result that no measures
requiring the action of the Board could, in the absence of a
quorum, be adopted.

However, various matters were informally discussed
by the Directors present. Among the questions so discussed
was that of the Association's research activities. The Associa-
tion's contract with G. & A. Laboratories was produced and
reviewed and the fact of this contract's having expired on Sep-
tember 30, 1940 was noted. The various reports of the Labora-
tories, dealing with accomplishments and prospects were discussed.
It was noted that the contract was entered into on October tity
1937 and, although the said contract had expired, it was observed
that the Association had been proceeding under the terms of the
said contract for a period of almost exactly five years. It
was similarly noted that the Association is currently contributing
at the rate of $15,000.00 per year to the activities of the
Laboratories.

At the close of the discussion, President Langdale

-- appointed a special committee to consist of Mr. Leonard and Mr.

Dyal from the Board and Mr. A. V. Kennedy of Waycross, with the
Association's Secretary and General Counsel to act as Secretary,
(2)
Board of Directors; 11/24/42

to meet with the Association's standing research committee at

the Savannah Hotel in Savann Georgia, at 10:00 o'clock A. M,
on Wednesday, October ai. This special committee was instructed
to review with the Standing committee the Laboratories! accom-
plishments, to examine into its Prospects, and to report back to
this Board, such report to embody the special committee's recom-=-
mendations as to the continuance, abandonment, or modification

Under date of October 9 the chairman of the Special
committe: notified Mr. H, L. Kayton, chairman of the standing
committee, of Judge Langdale's action and requested the chairman
te, call a meeting of the research committee to meet at the time
and place specified, Copies of the letter to Mr, Kayton were
sent to the several members of the Standing committee. Similarly,
those appointed on the Special committee were notified formally
of their appointment,

Pursuant to these calls a meeting was held at the
Savannah Hotel in Savannah, Georgia, on Wednesday, October el.
There were present, from the special committee, Mr. Leonard, Mr,
Kennedy, and the Association's Secretary and General Counsel.
There were present from the standing committee Mr. Chappel, Mr,
McCarthy, and Mr. Rue. The Laboratory itself was represented
by Doctor Hasselstrom, Director of Research, Mr, Hopkins, Presi-
dent of G. & A, Laboratories, Mr. Boyd, Secretary and Treasurer,
and Mr. Brannan of the Laboratories Technical Service,

for the period from October 1, 1937 to October Bly 1042, & eopy

An extended discussion, covering a period of apprpoxi-
mately two hours and a half, was had, in which the activities of
the Laboratories were reviewed and its prospects examined, There-
after, those representatives of the Laboratories withdrew, and
the special and standing committees held an additional and extended
discussion, While it is believed that those members of the
standing committee present agreed in principle with the conclusions
of the special committee, it will be the burpose of this repors | to
express the opinion of the special committee only. Since the
matter is one of extreme importance, it ig Suggested that the
is

ee *

4 ;

(3)
Board of Directors: _ 11/24/42

matters. herein referred to should be matters for general dis-
cussion between the members of the special committee and the
Board of Directors;. accordingly, this report will seek to set
out only in bare outline the consensus of the committee, leaving
the details of these findings and recommendations, as well as the
committee's reasons for making them, to that occasion upon which
such a discussion may be had.

In such bare outline therefore, the consensus of
your special committee is as follows:

(a) An appreciable amount of the Laboratories' research
activities duplicate and "overlap" similar activities conducted.
by governmental and private facilities. This has been occasioned

by the fact that officials of the Laboratories have assumed it to
be the Association's primary policy and purpose to obtain patents
on discoveries made by the Laboratories in the hope of securing
royalties from licenses. The Laboratory has consequently been
unwilling to discuss its own activities with other research agencies
and acquaint those agencies with its accomplishments and plans. As
a result, the Laboratory has done a great deal of work that has
already been done and at least one instance was pointed out where
it was continuing its research on a material which was even then
being placed on the commercial market by a private concern. It

is the opinion of this committee that the primary purpose of the
Association's research activities is to increase the uses and
therefore the consumption of gum spirits of turpentine, with little
or no concern about who makes the discoveries or markets the newly
discovered products. If the Association's research activities
are continued, it is believed that G. & A. Laboratories should be
clearly apprised of this policy.

(b) While your special committee was without technical or
chemical counsel, it was unable to discover any specific, com-
mercially practical development made by the Laboratories in the
five-year course of this Association's participation in its activi-
ties. In this regard, however, your committee suggests its

own incompetency to judge of the matters being set out in the
Laboratories' report hereto attached and further suggests that it
be submitted for examination and comment to unbiased and competent
chemical counsel.

(c) -_ Your committee subscribes heartily to the principle
of research. We believe that the future salvation of the gum

(4)
Board of Directors: ga /easae

naval stores industry depends in large measure upon the discovery
of additional channels into which turpentine and rosin may move.

Your committee seriously doubts, however, the feasi-
bility of this work's being carried on by this Association. In
that regard, the committee invites the Board's attention to the
fact that the day when individual inventors, handicapped by lack
of funds, equipment, and trained assistants, can make commercially
worthwhile discoveries has largely passed. It is true that even
today occasionally some inventor will strike upon a new idea of
great importance. In by far the greater majority of cases,
however, present day advances are made by staffs of scientists
employed in well-equipped and exceedingly expensive laboratories.
Such laboratories are at work on naval stores problems. With a
possible budget of only $15,000.00 a year, your committee feels
that this Association would be foolish to compete with such
laboratories (if any spirit of competition exists) and would
likewise be almost futile in adding this comparatively pitiful
amount to the millions which can be and are being spent by com-
mercial enterprises. :

This figure of $15,000.00, while "pitiful" as conm-
pared with the sums those enterprises are able to spend, repre-.
sents a very substantial part of the Association's necessarily
limited income.

(a) In view of the above conclusions reached by it, your
committee recommends that the present arrangement with G. & A.
Laboratories be terminated, after reasonable notice to the parties
at interest. It would seem that thirty to sixty days' notice

of such intention to terminate should be adequate.

(e) Without intending any criticism of any individual
your committee recommends that no research procedure be hereafter
adopted which does not permit (from geographical reasons or
otherwise) fairly close supervision by officials of the Asso-
ciation. Your committee is similarly of the opinion that for

any future research activities of the Association to be directly
affiliated with a private enterprise would be unwholesome. Such
activities should be carried on in full cooperation with both
governmental and private enterprise to the extent of exchanging
ideas and avoiding duplication of work; but such cooperation should
not extend to community of ownership nor should such activities be
directed to the development of materials or equipment in which any
one business enterprise has a special interest.
ee

Oo

(5)

Board of Directors: 11/24/42

el) Your committee members discussed among themselves
the possibility of suggesting to this Board some feasible and
valuable research activity to which this Association, with its
limited budget, might lend itself. This discussion centered
largely around the idea of establishing fellowships in various
southern universities with a view to sending forth into industry
promising young scientists with a definite interest and a reason-
ably good background in gum naval stores. However, no definite
policy in that regard was adopted suitable for incorporation into

a recommendation. In any event, it was the consensus that the

present war makes the establishment of fellowships at this time
unwise.

Respectfully submitted,

ary and
Chairman

>

S:d
Enel.
MINUTES OF A SPECIAL MEETING OF HE
BOARD OF DIRECTORS IN THE ASSOCIATION'S
ee OFFICES DECEMBER 17, 1942.

Pursuant to a call by President Langdale, a special meeting of the Board
o-= = of Directors was held in the offices of the Association at ten O'Clock A. M.
on December 17, 1942,

There were present President Langdale, Mr. Reynolds, Mr. Miller, Mr.
Dyal, and Mr. Gillis, |

President Langdale submitted to the Directors a financial statement
reflecting the financial condition of the Association.

President Langdale then submitted to the Directors a report of the
special committee previously appointed by him to meet with the Association's
Research Committee and with the officials of the G. & A. Laboratories in
Savannah. A general discussion of this report and of the Association's
research activities ensued. A motion was then made by Mr. Reynolds that the
Association's affiliation with the G. & A. laboratories and its contributions
to the activities of that organization be terminated effective January 1, 1943;
provided, however, the President be empowered, within his discretion to expend
such reasonable sums as he thought proper to prevent any injustices or
inequities growing out of the shortness of the notice period to the Laboratories.
This motion was seconded by Mr. Miller and was duly carried.

At the invitation of President Langdale, Mr. Jesse James and Mr. M. E.
Coleman appeared before the Board and outlined accomplishments of the past
and plans for the future under the Association's affiliation with Lead Industries,
Inc. and others in teaching the virtues of gun turpentine as a paint thinner
through the medium of 4-H Clubs and Vocational Educational teachers,

The Board held a general discussion on the advisability of the Association's
supporting the production of a movie showing the turpentine industry with special
reference to the work being done through 4-H Clubs. No definite action was taken,

The Board thereafter entered upon a general discussion of Section 13 of

. the Producer's Marketing Agreement involving the requirement that certain naval
stores not offered for loan or purchase under the Commodity Credit Corporation
Programs be offered for sale on the Savannah Cotton & Naval Stores Exchange. Mr.
Reynolds thereupon offered a motion that Section 13, or the corresponding Section

in the 1943 Agreement, be so drawn as to require only those quantities of naval