Farmers reap bumper crop of solicitations.

• Author: Murray, Arthur O.
• Position: TAR HEEL TATTLER - Brief Article

The story sounds familiar: Farmers find mailboxes stuffed with notices from banks and other financial institutions. But for about 70,000 tobacco growers and allotment holders, the letters aren't duns. They're from businesses wanting a piece of the $3.8 billion that Tar Heel farmers will start getting this month as part of the federal allotment buyout.

Banks, financial planners and others want to help invest the money. For a cut, of course. Allotment owners will get $7 a pound, and growers--who use their own or lease allotments--will get $3 a pound. Allotments limited the supply of tobacco to keep prices stable.

Vance County grower Ronald Stainback, 63, owned a 385,000-pound allotment last year and leased enough more to grow 500,000 pounds. His total payout will be about $4.2 million. He gets at least five offers a day. "I've had phone calls and mail. I don't even know them from Adam. They'll write you a letter and introduce themselves."

Stainback also runs a warehouse where farmers who grow tobacco under contract to manufacturers bring their...