Arizona Republic from Phoenix, Arizona on May 27, 1984 · Page 77
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Arizona Republic from Phoenix, Arizona · Page 77

Phoenix, Arizona
Issue Date:
Sunday, May 27, 1984
Page 77
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RLL EDITIONS Sunday, May 7, 1981 The Arizona Republle E3 Wine-futures exchange organized in California Knight-Ridder When a cotton rancher needs cash, a quick way to generate it is to Bell a futures contract through a commodities exchange. In return for cash up front, the farmer agrees to deliver the cotton on a certain date in the future. . Futures contracts are a crucial source of working capital for producers of many commodities. Unfortunately for grape growers and Wineries, however, there never has been an organized futures market in their products until now. Former commodities traders Norman Wellman and William Pollack have started the Wine Futures Exchange Inc. of Los Angeles with the hope of bringing together California vintners and investors. Trading in wine futures has been going on in Europe for decades. Typically, negotiators buy futures contracts for wine produced in locales such as the Bordeaux region of France and then sell them to investors, who freely trade them on "exchanges. The most sought-after, wines are the ones for which futures contracts are written. This is a particularly tough time for the California wine industry,-which is experiencing rough competition from low-priced imported wines. Shipments out of California have been relatively flat, causing losses at many wineries and forcing some owners to put their facilities up for sale. One thing that might ease the burden on wineries is a futures exchange, where they could turn some of their inventory into cash. After all, a winery sitting on a great cabernet sauvignon has to wait at least five years before realizing any revenues from it So far, however, the Wine Futures Exchange is starting modestly and working with only two wineries: Franciscan Vineyards of Rutherford in Napa Valley and Zaca Mesa Winery of Los Olivos, which is near Santa Barbara. The exchange has options on 3,000 cases of Franciscan cabernet and 1,500 cases of Zaca Mesa cabernet that it is trying to resell to investors. The exchange has a retailer's license to buy and sell wines and is operating a small retail store in Santa Monica to stay within legal requirements. It is looking for wines it can buy at rates only 25 percent to 40 percent of the eventual retail price. Pollack said the reason for the low prices is that the exchange wants to offer high returns to its investors. As an illustration, Pollack said the exchange would offer a winery something less than $3.90 a bottle for a wine that's expected to retail in two years for $10. Once the exchange settles on a wine, it negotiates an option to buy it from the winery. Its sales people then try to line up investors. Once investors become involved, they put up between 60 and 90 percent of the purchase price as a down payment They aren't considered the legal owners of the wine because that would bar them under California law from reselling it Only registered merchants can sell wine in the state. When the wine is released, the investor has a choice of taking full or partial delivery, continuing to hold the wine the exchange charges $2 per case per year for storage or of reselling it. Because an investor must buy a minimum of 50 cases, it's expected that most will hold or resell their wine. To date, the exchange has attracted about 100 investors, Pollack said. IBM, PC'S AND HARD DISK SYSTEMS IN STOCK fiirthe most Snpersonaicomputiig 4330 N. 7th A vmm. Phi. 179-41 10 c p u "Phoenix's First Computer Sippfy storo" Cospvfcjf rreeicts ViSbAvJ Store Office Mkt. Or. Warehouse PHOENIX TEMPE 248-0063 941-09351 FOR SALE PRESTIGIOUS LOCATION 8.4 ACRES (All or Part) Pima & Shea Blvd. KE Corner. Scottsdale, A2 Zoned: Office or Industrial 6eorp J. Chaste and Assoc (602) 279-7733 ATTENTION SELLERS We will buy YOUR HOME today at full market value if you can give us f avoroble terms. Valley Wide Realty 8348 N. 7th Street 266-0020 FuQ Service Real Estate Company FORD SCHOOLS, INC. PRINCIPLES OF REAL ESTATE (For Salesperson License) June 4 8:30 AJJ. June 18 6:30 P.U. 'BROKER LICENSING (LAW) Juno 7 8:30 A. M. , Call 249-3221 4225 W. Clendale SUMMER SAVINGS COUPON "BEST VALUE IN ( J THE DESERT" wKv&bcvdt, 'rffc' Includes Breakfast and complimentary cocktails. '502 W. Camelback For Reservations Call 264-9290 CASH FLOW4 Riviera Finance Factoring Program Converts Your Sales To Immediate Cash. Use Only What You Need. No Recourse No Credit Risk To You For Additional Information Just Cad RIVIERA FINANCE (602) 266-1144 I OFFICES: StS- FACTORS RTVCERA FINANCE; COMPARE FEATURES, VALUE AND SERVICE OFFICE TYPEWRITERS SILVER REED EX-66 Heavy duty office electronic with 8k memory and display '1195 SILVER REEO EX-50 Heavy duty WilTW VFWUUIIIV Willi many automatic features 650 SILVER REED EX-42 Compact electronic built for fight office use. $295 CALL FOR A DEMONSTRATION NORTHWEST TYPEWRITER PARADISE BUSINESS MACK. 4935 W. GLENDALE 102 10 N. 32nd STREET 939-3355 , 867-8947 OQ days same as cash or lease t ip tt ruin t u Razor Continued from El plans to compete with industry giants, such as Gillette and Schick. ; Gaitan and Gant estimate they have spent about $100,000 of their own money getting the operation rolling. They hope sales of The Handle at a suggested retail of $2.95 each will take off. They hope most people will decide The Handle is an idea whose time has come, although they also expect many to be sold because of their novelty. But that's OK, they say, because they're convinced that people who try the razor will go for it immediately. - Asked why the five Arizona Republic reporters initially had trouble shaving with The Handle, Cant acknowledged that some people find it difficult to use at first, mostly because they don't hold the device as shown on the back of the package. Others, including a Republic photographer who used one of the devices while in the Gant offices,' immediately became converts, vowing to throw away their T-razors. Gant and Gaitan hope to convert even more people to The Handle and already have manufactured 50,000 of the razor handles, with 10,000 of them packaged and ready for distribution. The first shipments of Handles are expected to hit Basha's supermarkets in about a week, with Gant and Gaitan hoping to branch out to other stores rapidly. Each Handle comes with two double-edged cartridges attached just as most T-razors come with a free cartridge and most blade, cartridges will slip onto the handle. Gant Inc. also will sell its own brand of blades and is considering adding a shaving cream to the line. The Handle also is more convenient for women, they say, and the company has plans to focus on that market by packaging handles with color-coordinated blade cartridges. "It's either going to catch on like wuaiire. . . . uaiian saia. "Or we're going to be a nonprofit organization," Gant added. AYiS v s V MONEY MARKET CHECKING . For Full Information Call . S 892-7500 Member FDIC Hi ft mihU: W-MA 'Mti (D Complete package includes Kaypro II with monitor. Smith-Corona TP-1 Daisy Wheel Printer and $2000 free software! New Kaypro 4 and Kaypro 10 in stock. We re an Authorized Kaypro Dealer offering the lowest prices and best value Kaypro Packages in town? JXljmmtiiMililiLiiO'i' 'fll'il " imn 1 1 r" J f Member FDIC s3926 IF PURCHASE!) SEPARATELY PIR MONTH 36 MONTHS 1W"WF. S LIMITED TIME OFFER HOURS: M-F 9:00-5:00 MICROCOMPUTERS, INC. 939 SOUTH 48TH STREET. SUITE 215. TEMPE 968-1100 OUTSIDE PHX 80O55&1249 4 Real Estate IQUAl OPPORTUNITY 1 I rn 34 Homes for Farmers Home Administration SATURDAY, JUNE 9th, 1984 at 10:00 A.M. . This auction is NOT a mortgage sale, but a sale of Government Owned property for which good title has been obtained. FmHA makes no warranties concern-ing the properties, and all properties are being sold "as is". These properties contain a dwelling unit which FmHA has deemed to be inadequate for residential occupancy. These are 2 & 3 bedroom homes with 1 to 1 baths and range in size from 650 sq.ft. to 1475 sq.ft. Excellent opportunity for the "Buy-Fix Up" kind of buyer and also the smart investor. TERMS & CONDITIONS OF SALE: 10 Deposit on Day of Sale (Cash, Cashier's Check or Bank Letter) Balance within 30 days after sale date Buyers will receive a Quit Claim Deed upon Closing SALE WILL BE CONDUCTED AT RAMADA INN HOTEL - CASA GRANDE. AZ (55 mSes South of Phosnh en btterttott 10 et th Swnland Gin id. silt) For descriptive brochure giving locations, etc call LATHAM REALTY ROBERT R. BOONE CO. & AUCTION CO. AM AUCTIONEERS, MOULTON, ALABAMA or PHOENIX, AZ (205) 974-8182 (602) 841-1596 OPEN FOR INSPECTION Sunday. Jww J, 10 JUA. to 5 MA. b&sirirlbaittiinnis (BIT WC3p5toEs2. fr jl- r?Vi ff . Win a trip to the 1984 Summer Games. w co ureecQrwnere it all began Imagine! A trip for 2 to Athens. Greece and a Greek Islands cruise. Or a trip for 2 to the 1984 Summer Games in Los Angeies. ur a Konica" Mr Autofocus camera. Or a Levi's warm-up suit Plus geta FREE "Great Performer T-shirt with purchase of a 10-pack of great-performing Datalife flexible disks. Hurry in today HUGHES - CALIHAN Compushare Corporation 4625 E. Cactus Phoenix. AZ Home Brew Computer 15227 N. Cave Creek Road Phoenix, AZ Apollo Computer 16845 N. 29th Avenue. 2 Phoenix, AZ Sun Office Supply 331 W. McDowell Road Phoenix. AZ AK Data Systems 13829 N. 19th Avenue Phoenix, AZ Software Center 1930 S. Dobson Rd. Mesa, AZ 11 Simutek Computer Prod. 4897 E. Speedway Blvd. Tucson, AZ Electronic City 801 E. Broadway Tucson. AZ Inc. Computer Corner 101 W. Fry Blvd. Sierra Vista, AZ Digital Dell 2632 W. Baseline Mesa, AZ Central Office Supply 2501 N. Central Ave. Phoenix, AZ Aztec Micro Computers 7828 N. 19th Avenue Phoenix, AZ Customs II Computer 1550 Joseph Place Sierra Vista. AZ Eclectic Computers 1700 S. Highway 92 Sierra Vista. AZ Programs Unlimited 4916 N. Central Phoenix, AZ Soft Wars 13651 N. 32nd Street Phoenix, AZ Compushare 1 1 10 W. Southern. Suite 26 Mesa. AZ

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