Show Utah has some 2000 dairy farmers who produce market milk for Utah's 757000 consumers (including grade all the milk Safeway sells) Since milk is essential to health particularly the health of children and since there is no substitute for it — Utah’s A milk industry is important And just as important is the price you pay for milk Utah’s Milk Study Committee was created during the first "milk price truce" requested by Governor Lee to find a way to protect farmers and you They have not succeeded — as evidenced by conclusions presented June 17 ' FOR EXAMPLE: The committee concluded that milk sold in stores in paper cartons should be "pegged” at a quart but that milk sold in glass bottles ’'should be sold at a price per quart substantially less than that sold in paper cartons” — in other words the glass bottle distributors were left free to lower the price of milk as they see fit Safeway believes that distributors should be free to give you the lowest possible price on milk But the committee has left the price free in one instance and fixed it in another This is discrimination and will cost you money The evidence before the committee does not justify the committee’s actions Safeway presented facts to the committee showing the low cost of packaging milk in paper (technically "fiber”) cartons Safeway presented its full cost and profit figures to the committee and requested similarfigu res (rom other bottlers and retailers This request was be made available and public for comparison not granted £ With no comparative cost figures on "fiber” versus glass available in Utah Safeway gave the committee data from official audits made by the Bureau of Milk Control Department of Agriculture State of California THESE p That’s why it is Safeway’s policy (a policy Safeway has never to pay top market prices for milk— plus a bonus for quality Safeway believes that this is in the public interest — because when the price farmers get for milk is protected bottlers and retailers cannot pass the costs of competitive pricing back to the farmer violated) Committee-witnesses Safeway presented witnesses to the Milk Study who testified—from experience— that where the price wars do not occur paid farmers for millets protected-pric- For when bottlers and retailers cannot pass the costs of competitive pricing back to the farmers and the price you pay for milk is not fixed bottlers and retailers can compete for your business by Increasing efficiency and passing the savings in costs on to you Thus the dairy industry is kept strong and healthy and you get milk at the lowest possible price However —the Milk Study Committee made no recommendation to protect the price dairy farmers get for milk In fifteen plants audited by an Area Auditor five other areas the 'cost of milk in glass exceeded the cost in fiber cartons in nine of the plants and in the remaining plants the difference in cost was NEGLIGIBLE 2 protect dairy farmers ? i Safeway believes that to insure a good steady supply of milk dairy farmers must have fair prices and those fair prices must be constant SHOW: FIGURES each of six milk plants audited by the Supervising Auditor of the Bureau in the San Francisco bay area the cost of milk in glass exceeded the cost in fiber cartons 1 What In SAFEWAY works daily with thousands of Utahns and for in Despite such evidence the committee has sought to "fix” the a quart and to price of milk in paper cartons at permit a free market at prices "substantially less" than the figure lor milk sold in glass bottles 885 Safeway Utah employees received and salaries in 1954 171 Utahns own Safeway 16863 purchased the stock shares of following $354187637 Utah in wages Stores in Safeway products in 1954 store Why? The committee has blandly admitted its action is designed to protect the glass bottle distributorv from the"c6m petition of paper cartons Presumably to take the "sting" out of its decision the committee pointed out that milk sold in glass for only 2 of total volume in Utah This Safeway believes makes the decision even more unjustified extra way This means that 98 of Utah's consumers may bate to pay for milk to protect a small group of middlemen Is this a for you to get milk at the lowest possible price? Will This Fixing of the Price You Protect Utah's Dairy Farmers Pay — Or for Milk Safeway does not believe it will This unjustified fixing of price of milk— presumably to protect special interests smacks of what has happened in other states where price fixing bureaucracies have been authorized by law the And if the price of store milk alone is fixed at only cost the people of Utah $450000 a y ear That $450000 could by a lot of additional milk from Utah’s dairy farmers per quart too high it can ! TOTALS You? WHY SAFEWAY S 131 38405 S IS PUBLISHING 7864157 THIS $21002562 STATEMENT Safeway was born in neighboring Idaho We have a big g stake in Utah and a citizen's concern for Utah's believe we have a responsibility to the public our ' suppliers and stockholders to publish the record of our testimony to the Milk Study Committee We Watch for these reports in this newspaper i |