February 21, 1939
Th~ Editor
The Valley Settler
Ft liner, Alaska
In aecordance wi th di rec t .1 ons
contained in a notion approved
by the membership o+' the
Association at its annual meet
ing January 25, 1939, the terms
of an offer by the Alaska Rural
Rc.iuviiit-tion Corporation to
sell the Trading Po3t to the
Matirnuoka Volley Farmers Co
operating Association are pub
lished herewith for the con
sideration of all persons
interested.
In a presentation made to the
Board, of Birectors of the Co
operating Association Nonaay,
February 20, 1939, the Corpora
tion offered to sell to the
Association the land on which
the Trading Post building is
situated plus additional space
for the sum of one hundred
dollars; the building for the
price of nine thousand five
hundred dollars, an amount less
than the actual replacement
cost of a similar building to
day; the equipment for the sum
of four thousand five hundred
dollars, which price represents
as nearly as can be determined
the original cost less thirty
per-cent depreciation.
The total amount for which the
Trading Post building and
equipment v;as offered is four
teen thousand one hundred
dollars. No down payment was
asked as it is proposed to pay
this jndebtness at the rate of
$167.38 per month for eight
years. These payments include
interest at three per-cent on
th unpaid balance.
Thu merchandise inventory at
December 31st, priced at landed
cost which includes freight,
amounted to #32,843,02. It is
estimated that the inventory of
rood marketable merchandise at
March 1st would be approximately
•$30,000.00, this cannot be de
termined exactly until March 1st;
however, on this assumption the
merchandise inventory was offer
ed at cost on a five-year pur
chase plan providing for an
initial payment of ten thousand
doliars and monthly payments of
four hundred dollars per month
for five years.
The off; r to sell included further
provisions that the Cooperating
Association pay on the tenth of
each month the cost of all new
merchandise supplied to the
Trading Post through the facili-'.
ties of the Corporation (this
provision was made in view of
the impossibility of completing
purchase arrangements directly).
The offer to sell also included
a provision that the Marketing
Association pay for all elec
tricity and steam used ar regular
ly established rates.
Further provisions in the offer
to sell were charges at actual
cost for services rendered by
the Corporation during the tem
porary period of organizing the
Cooperation Association purchas
ing and accounting functions and
other services as may be re
quired to formally establish the
business operations of the
Marketing Association.
Analysis by anyone should show
that the plan providing for