The Goderich Signal-Star, 1983-03-16, Page 11y Shelley Mee e
FnMa are businesses and
in. order to thrive and
flours, they must .carry' on
like . other professional
businesses. That :was thoe
advice given by Bank
Montreal (BOM) officials
and a financial consultant to
nearly, 100 people attending
the, Huron Farm Survival
Association in Blyth
onMarch arch i ,, -
Farmers from throughout
the county, along with Farm
Survival activists in other
areas came to Blyth to
discuss problems of farm
financing with bank officials
from Toronto. The
discussion was heated at
times, farmers voiced their
financial opinions and op-
positions, bank officials
answered.
Ernie Morel, senior vice
president of the western
Ontario division at the BOM
stressed that banks are not
retreating from agriculture.
"We intend to stay in the
agricultural sector in a big
way," he said.
Mr. Morel noted that a
nationwide survey has
shown that 90 per cent of
farmers are still managing
successful operations and
small commercial
businesses are actually
facing more financial dif-
ficulties and bankruptcies.
However Allen Wilford,
director of the Canadian
Farmers Survival
Association asked Mr.
Morell, "Are small
businesses going under
because the farmers are in
trouble?"
Cletus Dalton, a
Kingsbridge area farmer
said that it seems that banks
are retreating. He said,°"It
seems the banks are
beginning to realize that
there is no money in far-
ming snot due to poor
business practices on the
vival me
farmer's behall but to the
low rate of return and losses
in the agriculture business."
Reading from a letter he
• had written to The Lucknow
Sentinel Mr. Dalton con-
tinued, "The banks have
seen fanners use all of their
equity In holding up a Sinking
-ship, waiting for things to
turn around and get back to a
profit situation. Well this
takes time. Hopefully we're
through the. worst. We've
seed 25 per cent interest and
the harm: that has been done.
But now we need time, not
government subsidies to use
some oft these better
economic times to get
ourselves back in the blad`k."
One farmer commented
that three years ago people
borrowed money at 8 per
cent then paid as high as 25
per cent. He said that most
would not have initially
borrowed the money had:,
they known interest rates
would take such a drastic
jump.
Mr. Morel said that the
banks don't set the interest
rates. He noted that the BOM
is now offering a fixed
operating line of credit.
Farmers now have the op-
tion of accepting a fixed or
floating rate.
"The floating interest rate
is a gamble, no matter how
you look at it," he said,
noting that other farmers
have criticized the bank for
putting them on a fixed rate.
A comment, from the
audience ways, "We'll accept
this fixed rate and by some
fluke the rates wilL go down
and we'll be suckered into
high rates
again borrowers beware.
They'll only give you
something to get something
back."
Mr. Morel said the BOM
has lent Canadian farmers in
excess of $1 billion. He noted
that the bank has written off
Bank announces
new farm support
The Royal Bank has an-
nounced a new farm•support
program, aimed to help
financially troubled farmers
remain on their land and
continue farming.
Referred to as short-term
solutions, The Royal Bank
said that the programs'wili .
assist a number of producers
over these particularly
difficult times. For example,
the bank will consider the
partial •deferral of interest
payments for those farmers
who are extremely hard
pressed by adjusting the
amount of interest currently
being paid down to a level
that the operation can af-
ford. .
a_ SPhAellt. 1: mou ?t of
fain ,ers.:and be , dt, We're
not proud of the fa, Thee
bank loses money talk« Thereality Of it tt;some
farmer �will 60 out of
busines,.,,! that •Mr; Morel.
said, is apart of the free eni-
terpraseJsystem.
We dont like to play the
role of deciding who and
should go out of business and
who should survive," he
added.
' One farmer noted; "•It
appears to me that the banks
are running the farming
industry. If in the future
credits are demanded as in
the past,' the whole system
will collapse."
Many attending the
meeting were concerned
about the millions of dollars
that banks have been lending
financial troubled countries.
"How- much . are you
prepared to write off for the
farmers in Ontario," Mr.
Morel was asked.
He replied, saying that
loans to foreign countries
have minimual losses. The
countries must continue to
exist, they rely heavilyon
imports and need support
from western banks. He said
that these countries have the
right to defer interest
payments, "but in 1983 and
1984 western banks won't be
so willing to lend."
Mr. Wilford added, "No
matter how good their
(financially distressed
countries) intentions are, if
they dont have the money
they can't pay."
Mr. Morel said the BOM
had backed farmers by
supporting the Ontario Farm
Adjustment Assistance
Program (OFAAP).
Where a producer's total
indebtedness exceeds ,the
value of his farm, the
producer will turn his farm,
over to the bank. The bank
may in turn rent the farm
back to the producer. He
would also be given the first
right- of .refusal..._to re=......
purchase the farm at a pre-
determined price if his
financial condition permits,
within a few years time.
The Canadian Farm
Survival Association (CFSA)
immediately opposed the
new program and Allen
Wilford, CFSA director
stressed, "We will not accept
the bank ownership of far-
mland." -060
NEWBORN NEWS
ANSTETT
David and Nancy Anstett are
pleased to announce the
birth of their daughter,
Danielle Marie, on Sunday,
March 13, 1983 at Clinton
Public Hospital. A little °
sister for Nicole. A new
granddaughter for John and
Laura Anstett and Joe. and
Mary O'Keefe. Special
thanks to Dr. Stieed and
nurses on 2nd floor for their
excellent care.
KIRKCONNELL
Don and Dawn are happy to
announce the birth of their
(laughter, Lindsey Nicole,
weighing & lbs. 5 oz., at Ed=
monton General Hospital,
Edmonton, Alberta, on- Fri-
day, March 11, 1983. Proud
grandparents are Bob. and
Margaret Polloway of
Calgary, Alberta and Gloria
and Harold Kirkconnell of
R.R.2, Goderich. Eleventh
great grandchild for Mrs.
Gladys Good of Goderich
. and first great grandchild
f r Andrew Kirkconnell of
/prussels.
MARSHALL
Eric and Bernice Moore are
happy to announce the safe
arrival f their first grand-
' child, erbert Ainsley Jor-
dan„arshall IVth, at
Wo's College Hospital,
Tor to on Friday, March 4;
1 . Proud parents are Herb
and Sherry Marshall (nee
Moore), Toronto. Jordan is
the fourth great grandchild
of Mrs. Bessie Moore, 301
Waterloo Apts., Goderich.
REDMOND
Mike and Karen are pleased
to announce the safe arrival
of Matthew John Michael,
born March 7, 1983 at 11:24
p.m. at Alexandra Marine
and General Hospital,
Goderich, weighing 7 lbs. 3
oz. Eighteenth grandchild
for Mr. and Mrs. John L.
Redmond, St. Catharines
and first grandchild for Mr.
and Mrs. Grant MacPhee,
Benmiller.
MAP io__; available to
farmers who. have u fain.
income of 4104$1400.11i .an
equity 10 between andd 60 per:
cent and Interest and
principal payment last year
amounting tont leas 20 per - •
cent of their total expenses,
The .:government budgeted
860 million for the program
$10 million•was used.
.Mr. Morel said that, of uffs
applications, the ROM
handled .787. Of the total
amount, •3.,5109 were approved
and the BOM share BOK share was 741.
• One farmer commented.
that, the government never:'
intended an handing out the
entire $60 million for OFAAP'
in one year.
Mr. Wilford asked for a
show of 4 hands, which
discovered that less than a
half dozen had applied for
OFAAP assistance. Many
more felt they -could have
used it and several said they
were discouraged at' the
local bank level.
Tom Shoebottom, auc-
tioneer at the Feb. 9
Gowanstown penny auction, .
questioned the. BOM public
image, asking, "How are
bank managers evaluated?
Are they checked to be sure
that they are reliable? Do
you back harrassment and
managers calling four times
a day to. say they'll be t"king
away equipment."
Calling it "immoral
behavior,” he said that Mr.
Morel should "be held
personally, responsible for
managers' actions:"
"If you think this group is
made up of radicals and
'militants," he added, "we'll
show you just how militant
and radical we can be my
good man."
(.BREAKFAST: Special
$2.50
Super
•LUNCH $2.65 & 4.00
Super Deal Special . Different Every Day
• SUPER DINNER SPECIAL (from 5 p.m.)
Charcoal Broiled T -Bone Steak Dinner $6•25
For coffee break, light snack or a big meal....it's the
GODERICH for a value deal)
GODERICH
RESTAURANT -STEAK HOUSE & TAVERN
42 West St.. Goderich 524-9291 Open 6 a.m. to 1 a.m./
jii
a1
74 seetteaf
Vox
Tuesday, March 22nd
9:00 a.m.
• Material
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• Butterick
Patterns
Feiiuring
. PFAFF
PFAFF Sewing Machines
S'aiK:149
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Hour,: Mem. - tint. -9:00-6:00p.m.
F.ns.us For
MIAMI n.eMM°I.
MM,ee w,
Many
In -Store
SPECIALS
:�aGI
Steve Doney of Goderich gives the crown and anchor wheel a spin during the Goderich Arts
Foundation Monte Carlo night which washeld on Saturday, March 12. The Arts Foundation
sponsored the entertainment in order to raise money for the Livery Theatre.( photo by
T.Marr)
iver
D'.
!AY, IVACO IPA.X
The Goderich Arts
Foundation is getting ready
to furnish The Livery, They
have set their campaigngoal
at 300 chairs. The plan is to
ask members of the public to
donate $50 per chair. The
donations will then be
snatched by Wintario
through an arrangement
with the Ministry of
Citizenship and Culture.
Donors' names will be
listed on a plaque which will
be placed in the lobby of The
Livery. Donors who wish to
remain anonymous may do
so. Tax receipts will be given
for the full amount given.
Anyone who wants to
donate to the chair fund
should do so soon. The Arts
Foundation is trying to meet
a deadline for matching
funds from Wintario. If you
sunt to hely. now is the time.
•
•
• Donations or pledges male
before March 31 will be.
matched. -
Local merchants who are
waling to accept donations,
are: Baechler's Kitchens
and Interiors; Reg Bell
Optometrist, Campbell's
Cameras, David E. White
Clothiers, Denomme's
Flowers. and Heads Up
Hairstyling. For more in-
formation, donors should see
the advertisement in today's
paper.
The Livery has been
taking shape. People who
have looked in are very
enthusiastic about con-
struction which has gone on
already. The dream is
becoming a reality! Help
your Arts Foundation to
serve you. Give to The Chair
Fund.
FREE
ESTIMATE
on your needs
Call:
Don McCauley
524-4226
Alcan
Building
Products
Ful., ed Desk,
,1illlli,,,
ALCAN.
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STORM DOORS
AND WINDOWS
ALSO ALUMINUM SIDING,
SOFFIT, FASCIA AND
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TRILLIUM
HOMES & RENOVATIONS
157 RICH ST.. GODERICH
��, one
Q► of -a -kind,.
demonstrators
Layaways not.
11
1
We're open
daily
9 am -6 pm
Closed
Sundays ,.•-
Neilson Chocolate
500 gm
1 Kg
3 Kg
Make
Your Own
Easter
Candy
$' 79
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"Molds available"
is - *sunny *Egg *Chlck•n
Merklns Coating in 13 different
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HWY. 84 Between Hansell
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Fuji F1 U
Maxell UDXL�
Box of 10
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PD Magnetics
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TURNTABLES!
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MARCH.,14-19
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STORE HOURS
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SAT. 10-5:30 p.m.
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RICHMOND
673-1600
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RICHMOND
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