The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
4
>.y.,A
-
GENERAL CONTENTS
K '
/
page
Wartime Censorship;..r1340
The St. Lawrence and Unity.:;;... 1337
AHEAD OF THE NEWS
Y'YY/1 i' 'Regular
•
agitation In Washington has reached such a pitch that the
country, if there were not definite signs that it is growing indignant],
The
laughterYYYY;;YY/d'
hold fte sides in
Feature*Y/y £
Financial Situation....... ,1337
From Washington Ahead of the "
:
V
>•:
News' Y-t.
.'YA
.
.v.V.CWv:;
.V..
•
On The Foreign Front.......
1337
1337
1354
Moody's Bond Prices and Yields.
//For several weeks the New Dealers carried on an intense camt iWP^lAbgut' Bante:||id;TTit8-t Cos. 1360
paign against Jesse Jones as being responsible for the failure of th£
Government to set up synthetic rubber production in 1940.
It was J;f YY YYState..of - Traders .Y..
General Review,.
;....... -1339
pinching, u» "banker"^
pmeinng, his
uomivci,,.y«.
►
'
"V
'
'
'
Commodity Prices—Domestic Index 1349
that was .responsible for j-headed by. the protege of thejnj 'Caridadings^ik ;v.; r. r.
1352
this, the campaign went. It has famous Prendergast machine, Sen+ Weekly Engineering Construction.. 1351
1351
rather fully developed that theiator Truman of Missouri;;-With a Paperboard Industry Statistics
1354
.:
President ' himself
was
the one ] story that made sensational headt Weekly- Lumber Movement.
.1353
Fertilizer Price Index.. f..~
the
country), Weekly Coal-aftd' Coke Output./;; -.1351
who checked the synthetic rubber lines i throughout
his penny
penny
.
ins
,
.
mind,
■
-
-
-
.
-
#
.
Standard Oil of New Jersey;;was
production and in the light of the
situation at the time, undoubtedly revealed as the culprit. Through
its
agreement; with a Germah
.rightly; so. But this is beside the
point, which is that regardless of firm, it had been engaged in/the
who was responsible, the Govern¬ nefarious-business of exchanging
its patents on; synthetic .rubber;
ment did not want to go in for
.
in
production
rubber
synthetic
it would let the German firm have
Y/Y/Y". ':Y.. Y-'/Y/Y/Y-the agitation against
Jones, Thurman - Arnold became
1940.
All during
..
and
more
excited.
more
He liter¬
ally itched with the "revelation"
he had in hand. He kept passing
out the/word to the newspaper¬
not
to
a limb on
that he had
real story and would spring
men
off
go
on
its
patents but it wouldn't, let^the
' j
U. S. Government have them.
"Near
treasonable,"
that paragon of
way
was,;,
the
Prendergas't
virtue,: Senator Truman, - indig¬
nantly described the attitude of
^ y Y'. i.
Standard Oil.; ■;;/
.Manifestly, "there is something
with this picture. - On the
.
the Jesse Jones' story,
wrong
the
one
it
r'"i
soon.
time
The
when Thurman
came
so-called
mittee,
hand, it is contended that the
because
of
Jesse
\ ^Y/Y/Y Y/'Y/,: Government;
appeared before the Truman Com¬
it
because
Jones,
not interested i in the
was
manufacture' of/synthetic
is
(Continued
>
on
Copy
/'Six t)ays Tho^i Shalt Labor"'. >..; 1338
Annual Report'of Southern Ry. Co. 1338
C
would undoubtedly-have to
a
Editorial*
Y v.YY*
FROM
Section 2
-
Price 60 Cents
Y., Thursday, April 2, 1942
New; York,' N.
r>y
:
Number 4060
155
-Volume
In 2 Sections
THURSDAY
Final Edition
rubber
Page 1359)
<
Consumers' .Coal Holdings, Mar. 1 1354
•
Debits
..-/.>;. .v,;Y\Vt.
Petroleum and Its Products.
Bank
...
•
Y
•
•
•
t
>..
.
1353
.
.1356
1355
Weekly Steel Review .
Y1349
Feb! Bookings 'and Shipments .
Moody's Commodity; Index. . ,, .
1354
Weekly Electric Power Output..... 1356
January and February Statistics. 1349
February Motor Truck Volume..... 1352
December Gas Company Revenues. 1352
Crop Acreage Forecast:.". >. I'.....,.. 1346
January Crude Oil Production..;.. 1347
Survey of-Sales-Finance Companies 1348
February Building Permits.-,.:..
1350
;
'
If our excessively articulate apostles of unity do not
promptly develop more gumption we may very well and very
quickly have a problem, or a series of problems, on our
hands quite possibly approximating what appear to be their
worst fears. More gumption, moreover,./must be employed
not only in sermonizing but in the daily behavior of many
of our official sermonizers. It is, of course, very difficult
to estimate the extent of the danger presented by enemy
or
enemy-inspired espionage and sabotage within our
borders—now commonly known as "fifth columns" to which
the President has recently added a "sixth column"—but the
dispassionate observer can scarcely doubt that the hazards
inherent in the unwisdom'of much.of our "counter-prop¬
aganda"-and of the intrigue that appears to continue un¬
abated in official and political circles are as great, to say
the
least.
/
An
v
■
.
.
incredible
almost
intolerance
and
tendency to
condemn and, if possible, to dispose of all those who dis¬
agree with one's own views'about almost anything by fast¬
February Department Store Sales
(National Survey)-;,-/•***.■,.*... 1350
ening opprobrious labels upon them have always been in¬
February Cement, Statistics........, 1351
firmities of the American people in times of stress. There
January Gasoline Production...... 1354
have always been political demagogues and some other
.;
Miscellaneous
leaders whose intentions are of a higher order than their
Says Jesse Jones Obstructed Syn¬
thetic Rubber Production
acumen, ready to take advantage of this weakness.
1348
It is
Says Textile Industry Must Expand 1345 doubtful if in all our
history these mean arts have been more
Russo-Jap Fishing Pact,..,
1345
Saiys Labor's Demands Endanger
Y!" sedulously and more systematically cultivated in high places
Country^,, . . .„,.. ....,v..,,. 1345 than is the case today.
Danger of the first order of mag¬
Credit Rules for Used Car Sales.... 1345
nitude ahyays lurks in such a situation, and it seems to us
FDR Wains Of Sixth Column
1345
that it is^articularly ominous at present. 'When to this is
Urges, Opposition, to St. Lawrence
.
a
*,
.
■
.....
Project
On The Foreign Front
.,.....,.....
China
Pays Loan With Wood Oil..
Differentials
Cotton
Small
were
and
irregular;
noted this week
don-stock
^market,
while other
European markets also were quiet.
Events in the Far East gave the
British center little cause for op¬
timism.
Publication
the
after-
of
the
pro¬
Indian ' independence
posals ; for
French
changes
the Lon¬
on
were
sion
of
^
successful
issues
several
French
reported
sessions,
rentes.
higher levels than the
markets had anticipated, and this
also occasioned a little buying.- A
hopefully good deal of currency hoarding is
noted at the start of the week, said in Swiss; reports;.to be in
but it soon appeared that the In¬ progress everywhere in Europe*.
war
China
were
recent advices as to
dian leaders would not be content.
There
security trends
cautious
veloped
The
•
.
\. y
Stock
London
Y;>
y?Y./
half
because
of
last
week, partly
the
are
no
in Axis markets.
Battle of the Atlantic
have" stepped
submarines
Axis
the merchant
shipping of the United Nations,
and it is now evident that a seri¬
their attacks
up
in
some
stocks,
such
as
the Burma oil shares. * The gilt--
edged
list, remained
this
firm
the
on
in
oceans
overwhelming
tonnages. March was a bad month
for our/ ships, and those of our
ap-.. associates in this war against the
Axis ; aggressors.
South
The
current
/ week, .while fresh declines
peared
in; Burma
African
gold mining and
home
ous
trial
oil,
rail
issues
stocks.
were
vari¬
Indus¬
.
month
toll
little changed.
also reveal a heavy
sinkings, but the tidings
(Continued on page 1357)
i
of
Housing
To
Aid
Contributions
1941
.
so
useful that
reference/'
we
have
correspondence, we find a subscriber
whose file of bound copies dates back to 1887—another to
1906—and still another to 1880*
Can there be any doubt in
Running through
our
mind about the value of binding your copies of_ the
Financial Chronicle, of having at your finger tips a complete
record of all important financial developments?
The new
Financial Chronicle was designed for binding.
With the larger
your
page
size, bound volumes will be thinner,;
will
will be easier to handle.
open
flat and
England
we
want
you
to
a
get
suggestion—passed along to you because
full value from your subscription to the-
Financial Chronicle. ."
;. Y
.
,
Y
"
•
>
-
>
>
situation
a
ensconced in
now
created which the American
is
can
not afford to ignore or neglect.
;
YY (Continued on page 1340)
;
.
;
%
,
.
-
The St. Lawrence And Unit'
1349
Announces
„
;
Cigarette Price Ceiling Continued..
1351
War Production
YY,;:,
This is in
:
1352
Drive.
Restricts Honey Use.,
-
1339
.
FDR
Orders Loans
Business
National
Small'"
to
Bank
1360
1338
Changes.....
1360
ABA -Executive" Council Meeting.
Southeast Savings Loan Conference 1360
Strikes Increased in February.:, ;■.. 1353
FDIC
•
Insured
Banks'
Deposits
Loans,
of
Compulsory Saving....... 1355
Pan-American Day Observance..... 1355
Advocates
FDR Confers With Beaverbrook....
1355
accepting and following* the:*,]
am
William L. Batt, Director of the
War
Production
Board,
and
of
Materials DiviJ. A. Krug,:
Mr.
chief of the power branch of the Materials Division.
;
Y.
•
••
'•
'•
:Y It is their opinion that at least the
;
f
/
V
•'
v
Y".'.*'!?
The
when
power part
project
and
will require about four years for construction
will provide a large and highly efficient
of electric power.
■
, ..YY- /"•>••
,YY
* /
/
,
finished
.
It appears
that it will be possible to organize the construe-'*
tion program In such a way that during the first two years a
minimum of critical materials would be required.
Thus, most
Sugar Substitutes' Ineffective,.,.,;; 1356
of the requirements
Treasury
Opposes
Naval
Contracts
for hydroelectric
Profit Limit
,;Y...
Favors High Income, Excess
Taxes
............
FDR
on
1358
Profits
.<........
1358
.,,.....iMi,;,,,
...
be in
„.
war
1342
man
1342
Nelson AoDroves 6Y Profit Limit.. 1342
France Objects to Capital Gains Tax 1342
American Railroads Outlook Secure 1343
Price
Articles
Ceilings on
"Scarce"
..................
Favors
Liberalized
Individual Tax
Deductions
on
Returns...
New WPB Finance
Bureau..
Company ^Officials Visit NYSE
Reserve Banks Cut Rediscount Rate
Plan For
With
WPB
Defense
Regional
Overtime
1343
1343
February Farm Cash Income
Offices/
Limit.
Philadelphia "Ledger" Bankrupt...Upholds NLRB On Closed Shop
Fertilizer Anti-Trust Action Ended
War Bill Contains 6% Profit
Y
a
the drain on our supply of critical materials
low during the next two years, and if at the
of that period the
\var
is still
would still
as the
we
on,
position to make such changes in the
program
require.—Donald M. Nelson to Assembly¬
Frank J. Caffery in Albany. " Y
situation might
this
If
letter
development
it is
for steel plate and all of the requirements»
machinery would not come until 1944.
as
certainly
To
us
a
was
intended
it, reads
much
more;
like
a
St.
Lawrence
of
war,
somewhat lukewarm de¬
proposals for proceeding at
despite our war effort.
fense
the
to- support
aid to the prosecution of the present
most extraordinary document.
an
once
with the project
1344,
1344
1354
1340
Payment
Bonds......
very
conclusion
1342
Government Buys $800,000,000 Farm
Products
?
..............
OPA
way
would be
Signs War Damage Insurance
1941.. U
this
In
1358
Approves Deferment of Anti-
The truth of the matter is,
that
this
that not
is
a
even
1340
1341
1341
1359
1359
situation to
as
Mr. Nelson
may
understand,
highly controversial question—so controversial
the President has in normal times been able to
make headway
1340
;
Y
of the project
should be authorized and constructed with all possible speed. /
1353
1353
the
ir'*V\V-v.
source
......,...... -.,
Railroad Material Purchases in 1941
,
In regard to that project, I
:
.,......,.............
...
advice of Mr.
sion
Signs Second War Powers Bill 1338
FDR
■
..;
}•.
'■ ■' ' : Y
■ ,./ '•
" •
1
reply to your letter inquiring about the worth oft
project.
Yl
the St. Lawrence
1352
Picketing Restriction by States.
Upheld
/. . . . .Y ,Y...... •
WPB
.-
This is merely
people
Y/:' Y/Y
1350
Dividend
Defer
Y'Y;V"
nique of the coterie of political managers
Washington,
1350
r.. v.. v,.
,
New Oil Reserves in
.
agement, which have always been par excellence the tech¬
■
of
Eank
Bill
"The Financial Chronicle has been
behind-the-
"clever"
1349
Trust Actions
had the copies bound and kept for
the
of
1349
Sugar -Production. V.\.....
Illinois Employment Gains..%..;..
FDR
Y
effects
the
intrigue, the "smart" but rather obvious stage man¬
1348
RFC Loans for Coal Production.,..
Jamaica
'
/One Reader Says-../
inevitable
added
scenes
-; "v
•:...;.
may
.
1348
Strengthen Internal
.......-.;...... 1348
Sugar- Rationing Dates.."....;......
on
"Warship Week";
fund
ous situation will have to be faced
surpassed
expectations.
But
the
increasingly
serious'; until the vastly productive yards
of the United States place shipfc
situation in Burma caused de¬
clines
v
5;
;
Exchange
well maintained during the
latter
-
thereupon- de¬
kept business -to a
and
minimum.
was
tone
Occasion
Rockefeller Foundation
,
A
1347
1348
Economy
revenues
at
were
1345
1347
:
Temporary Ceiling on Newsprint...
conver¬
of
Government
1345
Irrigated
Problem
markets
the
on
..............
Defense .Workers
firm in almost all recent
following
......
Bonds.1345
Issues
Typewriter Rationing Date.,...,.,, 1347
Dominican Republic Bond Extens. 1347
Loan
European Stock Markets
USHA......
Emmerich-Heads
Panama
with it—and to take advantage of the existing
force action, is to promote the division
against which the President himself
ously pleaded.
has
so
,
among
us
often, and vigor¬
.
THE COMMERCIAL & FINANCIAL CHRONICLE
1338
Second War Powers Bill
Editorial-
Annual
Signed By President
of
the
for
powers
The
.
completion
paction
came
agreed
changes
on
Feb.
major
1 House,
I which
legislative
March
on
Senate
the
of
the
the
chief of
all
by
made
the
28
when
19
to
Elimination of
were:
com¬
pensation benefits to civilian de¬
fense
workers for injuries;
and
limiting Federal Reserve Bank
purchases of Government bojnds
direct from the Treasury to £5,-
.
,
The Senate had pre¬
passed
the
legislation
000,000,000.
.
•
The annual
calendar
year,
the company's
'
'
.441
:
W.r.
'.
"i
11
',»*■
t-:
.5
»■■
'•.
The Ten Commandments
among
!*•
..
.
According to Ernest E. ^Nevertheless,; a good many seem , to have, forgotten theclause from the Fourth which is at least an
Norris, President of the company, a railroad's activity is
appropriate
illustrated most readily by the number of tons of revenue reference from which to commence consideration of the
For it is not to be
freight moved and by the number of passengers " trans^ 440-hour week.."
forgotten, however
clear it; has become that
ttfe main present effect of thatported; its efficiency by the relative costs of its operations.!
nominal restriction is to
Applying these criteria to 1941, the year showed substan-1
command an arbitrary increase
in" hourly rates of
tial increase in activity.
wages after attainment of the statutory 'Freight volume increased 31.18%!
able
in
history.
—
.
and
passenger volume 48.97% over 19404."
stitutes the bulk of the railroad's business,
•
maximum, that its original purpose was to establish five
days as the only lawful and customary work-week.
No¬
Freight ■ con1
and vin •1941
where has this truth as to the real
origin and purpose of
the limitation to 40 hours labor
per week, that is to say, to
five days of eight hours
Southern
Railway Co. broke its freight records for all time,
handling 10,558,709,260 ton miles of revenue freight;": or
Jan* 28.
1
'
17.02% more than its previous high record of 1926, and
The bill imposes penalties ror
received
therefrom gross Revenuesi"of * $116,520,375/ or
violation
of
priority
orders,
broadens
power
to
requisition 3.32 % more than in 1926.
Southern transported the year's
y property,,
gives
the
Interstate business with increased
operating 4 efficiency and "at a
V Commerce
Commission
broad
transportation cost in 1941 of 31,090 out of each dollar of
controls over motor carriers and
contains numerous other- emerg- gross revenue, the lowest in the ;company's history,; com¬
ency-* provisions.
For additional parable to 33.870 in 1940 or 133.360 in 1926, the latter year,
] details see these columns of having recorded the previous low for this ratio/ Heavier
March 12, page 1048.
car and train
loading, longer rubs, lower coal consumption
As
finally passed, said Assoand the lowest recorded
percentages of casualties -and: oi
ciated Press accounts from Washington March
19,
the omnibus loss %and damage to lading all contributed to this result
measure included these provisions:
The company's operating ratio,
including all operating ex<
4"
Free postage for all persons
penses,
except taxes and/equipment and joint > facility
in the armed -services.
•rents, was relatively low, being 63.280 out of each dollar,
Exemption of part-time em¬
as
compared to 68.810 in 1940 and 69.380 in 1926:4 These
ployees—such as air raid warviously
,
\M
may not rank very-high
the;-authorities recognized by the New Deal/ al¬
report of the Southern Railway Co. for the though they , are perhaps not quite as aggressively repudi¬
ated as the
leading decisions of Chief Justice Marshall.
1941, can be considered the most/jfavpr/
44
•
prose-
.cution of trie war, was signed by
President Roosevelt on March 28.
Report of Southern
ji...
1.
.
'444.
'
the/Government many
additional
Editorial-
•
^IVrt $
up. r
Executive
the
granting
branch
J.'
■
The Second War Powers Bill of
,1942,
,'y V< '■'if,-*
.
■
the
each, been better expressed, with:
reasons
■
*
has become
for
doing away with the restriction
dangerous and detrimental, than in
now
jn the, Hutchinson (Kansas)*: New s,\from which
4%/"The theory
of the 40-hour week
enough work to
go
around and
was
that there
what there
so
we
quote:
longer
no
had to
was
that it
editorial
an
was
be doled
>
:
required
war
as
soon
as
'
'
•
•
•
it needs
them.'!; '
implements
444
.
-,
Equally concise and clear is the analysis by the editor
of the News of the causes ofthe reluctance
displayed by the
official leadership: when
radically changed conditions ren¬
4
der-continuance
of
the
ridiculous.
44 "Because
no
hampering restriction
He writes:
and draft board
dens
members
•
-—from the Hatch Act's
prohibi¬
tions
against political activities
by Government employees.
Some
part-time workers,
in-
eluding
«
"dollar-a-year"
other
dealing with
and
tracts
be
and
procurement
men,
con¬
would
-subject to the Act's ban.
Authority for the Government
II to: examine books and accounts
results
the
were
adequately maintained, notwithstanding the
owned in 1941 approximately 31%
34% fewer freight cars than in 1926.
that the average number of
employees was some 35% less
than in 1926,-and that labor rates increased as between the
..
,
two
Government
rectly
the
to
System,
up
any
Federal
di-
Reserve
time.
to $5,000,000,000 at
At present Fed-
•
one
eral
Reserve
maintenance
market;
*.
•
,j v
i
j;;
j
•:
be
'
on
'
-
* -
,
1
1
.
Some
15,000
at
of
rate
a
year.
'
1
have made
Pearl
Harbor,
$3,000,000 a
about
*
'
,
•
power
over
carriers
water
car¬
motor
and
riers to the Interstate Commerce
Commission.
would
similar
be
exercised
over
so
chines
as
railroads.:
of
Extension
thority
The authority
to that now
v
priorities h
that
tools
well
and
au¬
ma¬
materials
as
could be allocated.
v
A
new
pen¬
alty section would permit a fine
of $10,000 and a year in prison
yd-
for violations of
•
priority orders.
4 Authority to requisition
ma¬
chinery and tools now in use
for civilian production or parttime
production.
war
I.
%44\..,
National Banks
The
following information is
ai from the office of the Comptroller
4 of ; the Currency, TreasuryDe¬
partment:
V
t-Mar.
4
BRANCHES AUTHORIZED
-
21—The
Trust
Co.
Syracuse, Syracuse,
Location of branch;
Regional
Market,
N.
Y.
N.
Central New
2100
Park
'
cuse,
-
Merchants National Bank &
of
St.,
Y.
York
Syra-
.
Mar. -26—National
Bank
of
Detroit,
De¬
troit, Mich.
Location
of
branch;
20500
Van
Ave., Detroit, Mich.
A
Dyke
one
likes to work longer than he has to, it will:
('some
facts., The
months')
40-hour
for
week
the
was
public
a
to
wake
pleasant
up
dream.
the
to
-
Like
most dreams it
ran opposite to life.
It was such a pleasant dream,
however, that those who planned it that way won't wake up from
it until they are forced to."
,
Congress, of
will have to apply the force.
It was
Congress which wrought the original evil, although it did
course
,
attributable, Mr. Norris says, to many factors,
among them: (1) The improvement in the art of railroad¬
ing, especially in the development of labor-saving ^devices
and
techniques; (2) the productive capacity of the
com¬
;
Special war-time
■'>
the
-
-
persons
such offers since
.
That
the open
*
-
Authority to the Treasury to
accept special gifts and services.
€
I
-4
purchases of such
must
present
long
so
pany's present motive power and the increased capacity of
its new freight/cars
acquired within the last five years';
LS
"
I
(3) the continued program of long life tie renewal, due to
Authority - to
coin
5-cent
which the property was better maintained in 1941; (4) the
pieces of mixed silver and cop¬
per in order that nickel ordilong term program of trestle filling; (5) the continued pro-,
narily used may be diverted to
gram of abandonment of unprofitable branch line mileage
war production.
and the retirement of large numbers of obsolete side* tracks
Simplified naturalization proand unused structures;- (6) the improvement in
efficiency
cedure for all aliens serving in
of personnel and the
high morale of the whole organiza¬
the armed forces,
providing
they entered v this
country tion; /(7) comparatively ideal weather conditions from a
legally.
railroading standpoint." v
4;;: 44:
securities
'
securities
that
under extreme executive pressure and without
as of December 31st in each year, by
any en¬
46% for maintenance of way, 37% for thusiasm of its own,, and consequently there remains no
of equipment,
and 29%. for transportation other authority competent completely to reverse the un¬
toward situation which now retards the war effort of the
/
American people.
The Wage and Hour/ Act, which em¬
property was thus ?, operated at a relatively
periods, that is,
lower cost is
sell
take
.4
approximately
employment.
war
,
/
thus handled' and
fact that the
company
fewer locomotives and
Authority for the Treasury to
,
was
property
contractors including
sub-contractors.
of all
,
attained, the business-
than
worse
.
-
V
of
;
„
Due to these factors,land to ;the extraordinary4war
activity which produced this .large volume of traffic, th0
company was able in 1941 to carry down into net railway
operating income > the • largest proportionate amount ofgross revenues in its history, leaving available
for^.other
corporate necessities 23.430 out of each dollar of operating
money it took
in^after providing for operating expenses,
v
taxes and
bodies the 40-hour week
25, 1938.
But
none
requirement,
of its restrictions
was
as
became effective until four months (120
enacted
on
June
to hours of labor
days) subsequently
and, in order to mitigate their consequences it was provided
that the limitation for the first
year should be fixed at 44
hours.
For the second year
Oct. 24,
duced to
of its operation that is, from/
1939, to Oct. 23, 1940, the statutory week was. re¬
one of 42 hours
duration, and it was therefore not
until almost the end of
the year 1940, after
industry had
quickening consequences of the rearmament pro¬
gram/and after Germany/had overcome all of: Western
Europe, that the eventual restriction to 40 hours became
felt
the
effective.
the
Doubtless, instances
penalty of
can
be discovered in which
50% increase in the hourly rate of wages /
balanced the scale against the increased productivity of one
or two hours additional
employment of the available men
and machines, but the/ordinary rand characteristic result
was
quite the contrary.
Instead of meaning fewer hours of
employment, the common effect was to mean more pay per
hour.
Industry was more and more being converted to the
exclusive production of war materials, with the United States
footing the bills by its borrowings and its taxation, and the
amounts of the bills being primarily controlled
by costs
of production, whatever they happened to be in
any situa¬
tion.-Penalty wages for time in excess of 40 hours" per
week, under such circumstances, tended consequently to
a
equipment arid joint facility rents. Net income
charges amounted to $19,369,894, an increase over
1940 of $12,017,822, and the largest amount earned
by the
property since the depression. .The largest portion of such become of but the least interest to the
employers, as they
income went into
payment of debt and reduction of fixed would be met out of
operating costs planned to be compen¬
charges-, capital expenditures and increased inventoryAs sated
through the contracts and would not diminish in any
a matter of fact these
earnings were-entirely absorbed and
why the potential gains possibly to be left after income
a
dip made into the unspent balances of the two prior years' taxes and
expropriations of real or so-called excess profits.
earnings to pay the items just referred to; viz: Cash ex¬ Nor were the increases in Governmental
expenditures for
pended in debt retirements,. $16,817,000; capital expendi¬
war materials likely to seem of much greater interest
to :
tures, $8,570,926; increased inventory $2,249,000,4a total
the men with splendid reputations for superior achievements
of $27,636,926. '
4.44
4 ?444444:44^
-v/ 4:444
in the
organization of production whose patriotic services
4>; At the threshold of the depression years; ill 1930,'the we're early obtained in behalf of the war effort.: Those .>
company's-fixed charges amounted to $18,030,689, plus $4- reputations will hereafter be enhanced or impaired
by the
028,200 for the principal of maturing equipment obligations. volume and
promptness in which such materials are made \
In other words, after providing for all operating
expenses, available for consumption in warfare, not at all
by effective
|axes, joint facility and per diem rents, the treasury, for the
year 1930, was also required to find and pay $22,058,889.
further substantial reduction in fixed charges due to the
Corresponding figures for the year 1941, due to the program
4
;:■"4
of debt retirement, show fixed charges reduced to $16,299,- payment of debt in 1941."
,]:;4;
;,
That a railroad system after having sustained enormous
717 and maturing equipment trust installments to $3,602,000,
losses during the depression years, as the Southern
Railway
an
aggregate of $19,901,717, a reduction in such annual obli¬
did, should come back in the brief space of a few years and'
gations, notwithstanding the depression years, of $2,157,172 better its pre-depression records attests to its well
managed
a
year, and states Mr. Norris, "the year 1942 will show a and superb administration.
• v
■
4- -4
- after
.
.
Volume
.
\
•
155
•
..
;
THE COMMERCIAL &
Number 4060
-
•
.
• ■
<
■
(
•course
Dealer
New
no
of
leaders.-in
production.^: And- pf
pecuniary economies in unit costs :,of
:
1339
FINANCIAL CHRONICLE
,
orthodox pretentions can cori-
descend to admission of any interest in mere economies in
production,expenditures. Immediately, his interest lies in
the Congressional and Gubernatorial elections of next No¬
vember, ominously looming not much more; than seven
months in the future, and when he looks beyond that in¬
escapable event it is towards his domination of the prin¬
ciples of the "changed world" which Mrs. Roosevelt, only
last Friday, told students of Wellesley College the people
of America are now fighting for.*
They are revolted by
almost everything in the; established: industrial order;: and
in their language, to trouble oneself oyer mere exaggerated
If
»
Congress forthwith to destroy that satisfaction and utterly
to remove that final vestige of encouragement.
To that
beyond -which nature cannot ;-be defied.
be forfeit if they fail and often they: are
sacrificed by errors, like want of alertness at Pearl Harbor,
for which they have no shadow of responsibility, v
exhaustion
,
Their lives may
Some
.
\
day, some of. these youths whose lives Rave been
will return, whole in body or
risked in the national service
perhaps maimed sand suffering, to resume, it is at least to
be hoped, lives of tranquillity and peace within the country
in the service of which they will have adventured so nobly
and sacrificed so much/: Throughout whatever periods of
existence in the land of their birth and of their affection
has 'then been left to them, they must share with the
masses
of their
countrymen
the burden of. supporting
dictators'
,ter,"
says
to
ac-
task
the
slogan, "guns not butGuaranty Trust Co. of
in
York
New
of "The
This
the
issue
current
Guaranty Survey."
periodical
states:
"To
or¬
ganized business this contribution
involves the
drastic curtailment
or
suspension of many
complete
It involves the closest
activities.
regimentation
the
that
govern¬
is
capable of instituting on
notice.
It involves labor
ment
short
shortages, disturbances to estab¬
lished industrial relations, plant
facilities
an
on
entails
It
enormous
diffcult
nance.
fixed
means
scale. It
problems of fi¬
rising costs and
critical
and
prices,
of
expansion
and
conversions
trans¬
portation difficulties.
For many
concerns
not
capable of quick
conversion to war production it
means total and probably perma¬
nent
disappearance.
For
the
others, it means all the effort and
rush associated with good indus¬
•
with little or no
trial activity, but
prospect of increased economic
gain for the sake of which such
activity is ordinarily undertaken."
The survey further states: "It
field of labor that
stopped far short
of the lengths to which both our
enemies and our principal allies,
is chiefly in the
this country has
The State Of Trade
J
^-Business, activity continues to rule at high levels, with many
lines producing at or near capacity.
Authoritative sources state ihat
the number-of workers in business and industry has increased 11%
since the-national defense, program was
while
total
the
employment has
farm
36% "
from the like
%
jumped nearly 11%;
inaugurated in June, 1940,
dropped 25% in the same
weekly earnings have increased
At the same time average
and average hours worked^
period.
1941
week, despite
industries generally rain and snow in the Northwest.
The rapid development - in
sea¬
are holding
to their recent high
levels of production^ The amount sonal buying almost equaled last
of electric power "output .distrib¬ year's pre-Easter peak, according
to this authority.
• /
uted
by f the: electric light and
power - .industry . for
the ; week I The stage apparently is set for
The heavy
Not only have we re¬
following the Brit¬
have gone.
frained
from
in providing for the
conscription of labor for war in-r
dustries; but we have refused to >
ish example
place
tions
to
legal restrictions . on
to remove existing limita¬
working hours, or even
any
wages,
on
deprive labor in war industries
to strike."
of the right
.
f
ended March
at
21, was 3,357,032,000
month
another
least
of
rush
kilowatt- hours,;
the
with
Institute.
Electric
On Picketing issues
§
last
the
two
result
that ..trade
has
March 30 by a decision
on
5-to-4
of
upheld
a
States
within
said
advices
from it
industry
the
of
area
Texas
a
restricted picketing to
law which
which
Supreme
States
United
The
Court
proportions
the
weeks of March,
swelled trade to rush
in
Rights Upheld
r
.
the Edison
States
■
buying,
according to
store
executives.;
Considerable
discussion
concerning
shortages
consumer^
virtually the same
or as in/the previous: week and an
increase of 12.5% over output in
the "comparable week in 1941,f ac¬
cording to the weekly report by
liquidating the indebtedness brought about by this war of
unequalled exigency and magnitude. If that national debt
only reaches do $200,000,000,000/which is less than;most
reasoning minds anticipate, and if the rate of interes^can
be held to no more than 2%, which all men of sound judg¬
is
States
months
perience the full meaning of the
.
of
United
.'many years, the people are to ex-1
indispensable end, Congress; ought to move promptly and
drastically.
It should say, in effect, to the racketeers who
have traded boldly upon the cupidities of munitions work¬
ers
and v upon .their not -abnormal blindness to interests
larger and more lasting than their current weekly receipts,
that they shall no longer artificially enhance the costs ol
Warfare-as a.. means to the perpetuation of their selfish
control over the* organizations of workmen which, they
costs incurred in the appeasement ofVthe leaders of labor
have/too long and too dangerously dominated.
It should
unions, racketeers * or merely / self-deluded { prophets - of
force all the New Dealers to recognize that they can no
narrow
selfishness, is just "to stumble over questions of
longer safely attempt
safety and in¬
silly dollars."
>. „
»
tV:'/ terest in efficient and to barter the public of the war for
economical conduct
Others, however, have deep reasons for profound in*
votes>possibly to be obtained by the improvident appease¬
terest.
Soon more than 4,000,000 men will be within the
ment of professional leaders, of labor unions or even by
conscripted or enlisted military forces of the United States,
pandering to the most deluded and the least patriotic
subject to the strict discipline of life in the. Army and in
among their followers.
Cheap and vulgar trafficking with
the Navy.
As to thd1 vast majority of them, pay will begin dire national
necessity has gone very much too far and h&s
at $21.00 a month, although if legislation now pending in
persisted very much too long. Barefaced plunder remains
Congress is /adopted, it may be increased, after sufficient barefaced
plunder even when it continues with the open
length of service, to $42.00 a month, supplemented under connivance of some of the elected and appointed servants,
certain conditions, by a 20% ; bonus for service in foreign
so-called; of the public.
countries or upon; distant oceans.
These defenders ol
' *"We cannot dight this war unless we know we are fighting for
American liberties and soil, whether; voluntary or invpluh",
6 changed world," was the doctrine she; proclaimed.
tary, have no 40-hour week, not even when they are under¬
going preliminary training. They can be allowed no cbn?
ventional
holidays, their obligations r for! duty extend
throughout the entire, 24 hours and frequently 'have no
limitation but the whim of the enemy and the extremity
.
.which its enemies achieved in as
!.life; it,affords the utmost of satisfaction and perhaps the last
relic of encouragement still - left to them.
It is up to
-
the
the Administration," To
of jcomplish 4 in
within
Congress and
all the adversaries of the American and democratic way
labor dispute arises
Press
Associated
operations ' will show a probably reached a peak for this Washington on March 30 which
time of year.-:
w
slight ' decline
this ; week—the
added: r
„
,
' •
•
It is pointed out, however, that
ment must seriously doubt, the annual interest charge alone first recession since the week of
Justice Frankfurter spoke for
much of the
expansion in vine
Jan.-26,^ according to the Ameri¬
will exceed the whole cost pf operating the Federal
v
the majority in ruling that two ;
can; Iron and Steel Institute.
An dollar volume of sales is due to
lishment, including the service of the Federal debt, wnile estimated output of 1,678,200 tons the substantial rise in price. Con¬ t labor unions had no right to
Calvin Coolidge and Herbert Hoover were the .Presidents: is- expected-, with the industry sequently, the Federal Reserve ■i picket a Houston cafe in order
to present to the public conten¬
department store sales index may
Reference has been made to soldiers and sailors first, for operating at 9.8% of capacity.
tions
: that
the
owner
had
reach a new peak this month, but
/ In the preceding Week opera¬
the contrast between their situation and that of men very
granted a contract for construc¬
tions-were at 99%
and output will involve a lowef volume -of
much like them who receive tthe vastly disproportionate
tion a mile distant to a person
actual goods sold than during the
^totaled 1,681,600 tons. A month
asserted to be unfair to
the
same period of last year.
wages of the munitions factories, with penalty excess pay¬ ago J-the- industry
operated at
unions. "Justice
Frankfurter
Fear pf shortages is bound to
ments after 40 hours per week, with abundant holidays, 87.2%, while the rate was 99.2%
said the picketing constituted a
persist among consumers for some
With relative exemption from danger ; and | complete; ex¬ in the similar wdek one year ago.
violation of the Texas anti-trust
time.
This fear lacks foundation
; .,The
Association of American
law.
since stores have been stocking
emption from all severities of discipline, many
Railroads
reported that 796,640
excused from conscription :only because they enjoy these cars
"Recognition of peaceful pick¬
of -revenue
freight
were heavily and now have large in¬
ventories on hand.
Consequently
eting as an exercise of free
loaded
during the week ended
privileges, is so extreme and so palpable.
should
speech,"
Mr.
Franfurter
as¬
| consumers resume * pur¬
March 21. -This was a decrease
ever, there should be considered the great masses of the
chasing on a normal scale stores
serted, "does not imply that the
of 2,716
American people, including the parents and wives
con¬ with the cars or 0.3% compared can continue to meet the demand.
States, must be without power to
preceding week; an in¬
Industrial activity is expected
confine the sphere of communi¬
scripts who may never return, who are mostly
crease i of
26,656
cars
or
3.5%
cation to that directly related
and voiceless under such impositions.
These, with the ex- compared with a year ago, and an to accelerate markedly during
April as large numbers of new / to the dispute.
soldiers and the ex-sailors will have t6 bear the, accumu¬ increase of 176,265 or 28.4% com¬
war plants go into operation, and
"Restriction of picketing to
pared with 1940.
;
:
;
lating Federal debt.
They will pass most of it on to
conversion is pressed in the auto¬
the area of the industry within
; Engineering
construction vol¬
mobile Jwid electrical manufactur¬
which
a
labor
posterity, but meanwhile they will have to pay
dispute arises
ume
for the week totaled $177,leaves open to the disputants
the interest and some of the principal—or the huge mass 115,000, topping the correspond¬ ing induces. The adjusted Fed¬
Steel
estab¬
.of them
.Equally, how-^
of
inarticulate
•
their
most of
of that debt will
hamper or defeat the necessary
financing
essential enterprises. Who - will
assert that these potential1 victims of improvidence,- all
these innocent sufferers from the excessive costsof the ma¬
terials for warfare, do not deserve/ consideration?
Who
will contend that they are not, all 6f them, irretrievably
damaged when, without their complicity or consent, a
single unnecessary dollar is added to the vast and un¬
avoidable costs of the present deplorable conflict? • Pres¬
ently, the 40-hour week, the abundant holidays, the union
imposed limitations upon effort, the multifold subterfuges
of
their
legitimate and
.
through which nominal wages are enhanced and nominal
services curtailed, are the chief causes of the extravagant
cost of the war effort of the United States.
Knowledge of
these intolerable conditions cannot be confined to this
country.
That the costs of production
in the United States are enormously
known,
many,
Axis
if not better known, to
Japan, and Italy,
nations,
as
among
of all war materials
excessive is as well
the war-leaders of Ger¬
and the smaller fry among the
even the better qualified of. the
ing volume of a week ago as re¬
recently by "Engineering
ported
This
Js the tenth
weekly
construction
News-Record."
consecutive
volume -to
000:mark,
"
Private
the $100,000,-
surpass
,,; ■
-..
,7.
•
construction
;
••
-
f
"
exceeded
eral
Reserve Board index of in¬
last month
dustrial activity which
reached
an
estimated 178% of the
1935-1939 average, should pass
180
the
mark, observers state.
The heavy
industry lines within
the Federal Reserve
Board index
expanded production about 20%
during the first two months of our
is
up
47% compared with the
participation in the war. This ex¬
preceding week. Public construc¬
tion
volume
increased by 46% pansion was achieved in the face
of the changeover in the automo¬
over, the same period last year,
bile industry.
As the changeover
but is 40%
lower than a week
proceeds in automobiles, it will
ago., 7 1 v
have an important effect on pro¬
The current week's construction
the
1941
week's total by 6%,
and
brings 1942, volume to $1,993,088,000, a gain of 36% over the $1,461,248,000 reported for the
thirteen week period last year.
,
>
The
pre^Easter
carried
retail.
totals to
a
new
buying
sales
last
surge
week
peak since Christ¬
mas-time, according to tfie Dun
& Bradstreet, Inc., trade review.
Retail sales were up.. 16 to
22%
duction
It is
as
a
whole.
is
likely
to
maintain its
April. Air¬
production, now running at
present rate through
craft
a
little more than
40,000 military
should expand
automobile plants
step up output of aircraft engines,
informed quarters hold.
v
v
aircraft
a
markedly
deny
To
munication.
to
the
year,
as
_
.
to draw
line is to write into the Consti¬
States
the
power
in¬
picketing—
tution the notion that every
stance
of
anywhere
peaceful
and
cumstances—is
under any cir¬
necessarily
a
phase of the controversy which
provoked the picketing."
Justices Black, Douglas,
Mur¬
phy and Reed dissented on the
ground
that
picketing
restriction of the
by
Texas
violated "
constitutional guaranties of free
pointed out that steel pro¬
duction
other traditional modes of com¬
speech. Justice Black contended
that the
picketers
public
information which the
sought
was
to
give
information
the
which
they "were privileged to impart
and the
receive.
public was entitled to
f
1340
\
THE COMMERCIAL & FINANCIAL
CHRONICLE
Editorial-
Gut Rediscount Rate
:
Thursday,- April 2,-1942
\r
THE FINANCIAL SITUATION
The .rediscount rate of the Fed¬
I
eral
Reserve
and
Dallas
of. Atlanta
Banks
has
been
lowered
i";
to
(Continued From First, Page)
/' : Let first the obvious truth be stated that the welfare
and the
safety of this nation now imperatively requires the
best/that a united
people can give, but let it be as bluntly
,
March ,21.
Both
a 1
% rate since
The recent reduc¬
1%,. effective
After
nearly four months of warfare, packed with ac¬
grim and heroic for the land, sea and air forces
of the United States,
nothing resembling a sensible policy
has been adopted on the
reasonably prompt disclosure of
these banks had
August, 1937.
tion
in
the
rediscount
rate
tion both
was
started
by the Chicago bank and
followed
by the Richmond, St.
Louis
and
Philadelphia
banks.
The Minneapolis Federal Reserve
There
asserted that the
cause of
unity of effort and purpose is not
by demanding complete uniformity of opinion
upon
served
the
pain of<being termed "fifth columnists,V "sixth column¬
widespread and-persistent public
policy, but the demand so far has been ists," "tools of Hitler," or other designations of a like order,
•Bank
announced
on
March
27, restrained. It is tempered by the realization that the benefit or of being labeled "stupid" or the like. Neither
does it help
that effective March 28 its redis¬
for an Administration which
of every doubt must be
given our military authorities, lest
loudly and often proclaims it¬
count rate would also be reduced
self to be a
non-partisan Administration
from \ Vi% to 1%.
Since the New popular pressure occasion the premature disclosure of infor¬
representing all the
York and Boston Reserve banks mation which the enemy
people to act as if it were a "labor Government" as it would
might find useful.
"•, / ' s*. * '•«;
have had a 1% rate in effect for
be'called in Britain.
We refer, be it noted,
strictly and specifically to" news
Certainly nothing is to be gained by
several years, this latest action
a continuation of
of military actions in which our forces are
the "smeartactics which have been
from
engaged/; Criti¬
raises
to
nine
the
number
of
banks with a
1%
Francisco
cism of the
carry
>.
v
The action of the
Chicago bank
reported in these columns of
March 12, page 1039, while the
change at Richmond, St. Louis and
Philadelphia was noted in our
issue of March 26, page 1264. v
was
Defers Plan To
present voluntary
system
of de¬
quoted
as
declaring:
"If
;
workers
•l!
bonds,
couldn't expect them to buy
you
voluntarily."
many ihore
This
.
take
had
plan
been
suggested
the House
in
testimony before
Ways
and
Means / Committee,
which is now holding hearings on
a
tax bill.
new
13 WPB
Regional Offices
:> A further step toward decen¬
tralization
of
War
Production
Board
activities
March 26
of
13
the
with
taken
was'
the
on
establishment
regional offices
throughout
country, according to
an
an¬
nouncement made
by J. S. KnowlDirector of Industry Opera¬
son,
tions of the WPB.
The cities in which regional of¬
fices will be located are Atlanta,
.
.
-
.
military operations make
What
was
up an evil mixture.
assumed at the time to be a
>
the
guiding principle
by the Office of
Facts and Figures in
Washington. This "Statement of
Governmental Wartime Information
Policy" asserted that
for
war
"under
news
no
was
laid
down
circumstances
March 17,
does
the
Government
withhold
from publication on the
ground that the news is bad
depressing." Any withholding of news is done, it was
added, "for reasons of military security." The statement of
March 17 appeared to be in
response to the mounting public
or
criticism and unrest, and the
that reasonably
assumption seemed warranted
prompt and full disclosure of war news
would follow.
i
Such has
not
,
been
the
„
•
Anyone who scans the
official reports of war
developments with great care must
be struck by the continued
delays in disclosure. Nor is this
confined to "bad" news,
although there is certainly a ten¬
dency to make unfavorable items public only as an incidental
to glowing reports of victorious action.
/' Action of which
the enemy
necessarily: had full and bitter knowledge has
in
some
case.
/
instances been withheld from official confirmation
Washington for lengthy periods. If such delays are really
reasonable, in military opinion, then the reasons might well
be indicated
along with the information.
•
United
radio
that
there
States
and
at
were
who
cocktail
did
a
great
their
parties.
many
in the
work
If
it
President's
column"
conference
press
columnists"
because it would have
poison.
The
7;
■
,
"sixth
in
newspapers, over the
not for them, he
added,
were
the fifth column would not be
successful
vehicle with which to distribute its
*
*
no
*
remarks
about
the
"sixth
made in response to a
request for comment on a
speech by Colonel Richard C. Patterson,
Jr., New York State Chair¬
man
of the Defense
Savings Staff and former Assistant Secretary
of Commerce, who said that "the sixth
columnist takes on the task
of spreading propaganda in
every city/ town and village.1'
were
Patterson's Four D ivisions
7
Colonel
Patterson
divided
four main
the
"sixth
columnists"
into
these
categories: i 7 7 <
"Gossipers, who, in a very important and confidential manner,"
tell startling news about the armed forces or
Government opera¬
tion of the war, thus
repeating "some rumor without real foundation
that
in
-
many
cases
was
planted in their minds purposely by
fifth columnist."
enemy
some
:
"Skeptics" who spread the propaganda of fear, as though the
war is already lost and our efforts
to combat the enemy are futile.
"Fault-finders," who, from their clubs, cafes or country stores,
"criticize—and perhaps even sneer—at the deeds and
decisions of
--'
the
President ;of
the
United
executives."
v
in
said
■
,
,
He
news
made
you
their overtime in defense
.
*
Treasury
fense bond sales. He is
so
-
until about
nection with abandonment of the
first
.
Pay For
has
postponed
July consideration of
a
proposal to require employers
to pay overtime wages in defense
bonds. Secretary Morgenthau re¬
cently revealed this decision, ex¬
plaining that the plan came so
close to "enforced buying" that it
could be considered only in con¬
the
war
our
.
Overtime With Bonds
The
a
.
a
7;;7,
is
a
effort and of the conduct of home affairs
characteristic of New Deal political
manage¬
authorities in Washington is another matter. Although ment.;,. The cause is likewise poorly served by mere sensa¬
the politicians are
finding the criticisms irksome,; and tend tionalism, to which some members of Congress and some
now to call all critics
Nazis,'there can be no real question sections of the Administration itself—and in candor we must
of the need for continued
open and frank discussion.
Only add, -some sections of the press-r-appear to have become
•
'
'
by such means can deficiencies be corrected and the incom¬ addicted. ^
V
1 '
*
petent called to account.- Full and pitiless publicity is espe¬ 7- .7. 7^,:.';.
,
Recent Events
* \7
cially necessary where attempts are made to draw the cloak
In light of these
generalizations let us turn quite With¬
of censorship over
out heat or
bungling mediocrity, /.v.
passion to certain recent events arid discussions.
The military services themselves would seem to be in In a
dispatch dated March 24 appearing in the New York
duty bound to avoid censorship practices and news dis¬ "Times" of March
25, W. H. Lawrence had this to say about
closure delays which permit the
suspicion of political ex¬ the President's press conference of the 24th: 7
;
President; Roosevelt deplored
pediency.v Such practices and delays have occurred with
today the existence of a "sixth
alarming frequency, however, and they have contributed column," which, he said, was made up of Americans who wittingly
or
unwittingly spread the rumors and doubts devised
enormously to the general sense of frustration and disap¬
by fifth
columnists.
;7
'
'
;
*
pointment observable everywhere. Political scheming and
by
and San
still
banks
11/2 % rate. ■*£
demand for such
Only the
rate.
Cleveland, Kansas City
news.
war
other
or
1
high
7.,
Government
r
"The
laziness
burden
'let-George-do-it' crowd," whose members, "either from
or
an inferiority
complex, want to put their share of the
the
on
shoulders
they refuse to make
When
A few instances will suffice to illustrate the
States
*
the
of
others.
While
sacrifices to
any
President endorsed
insure
shouting for victory,
that victory."
Mr.
Patterson's
course,
that they
views
"sixth
on
tendency. columnists," a reporter asked him to
amplify his statement,, and
March 25, that naval the Chief Executive replied that it would not be
Boston, Chicago, Cleveland, De¬
polite since it
blows had been struck at
enemy outposts on Wake Island, would include a lot of people at the press conference.
troit, Dallas, Denver, Kansas City,
New York, Philadelphia, Minne¬ Feb. 24 and at Marcus Island, March 4.
A good deal of
But if the President was too
polite to speak more fully,
apolis, San Francisco and Seattle. damage was done and our own
losses, .fortunately, were his Office of Facts and
As to the action taken Mr. KnowlFigures quickly filled the void. A
inconsiderable. The Japanese naturally were aware of these
son said:
few days later this strange
organization published a sort of
blows, and they permitted all the world to know of the
Our plan is to place as much
treatise upon Hitlerian
propaganda methods and listed the
action at Wake Island
only four days after it occurred, by doctrines the German Government would
authority as possible for War
like to have us
Production Board operations in means of general radio broadcasts.
The delay in our own believe. The
implication appears to be plain enough that
these
new
regional
offices. announcement
certainly seems to require explanation, cin distributors of such ideas can set themselves
Other field offices
■.
ing
in
120
now
cities
will
operat-
become
branch offices and these will be
administered by the regional di¬
rectors.
v
This will lead to more effec¬
tive coordination of the service
provided to the public through
these branches.
offering
now
/
priorities
on
All of them
advisory
and
are
service
contract
dis¬
tribution, and their scope will
be enlarged as the regional*
plan
progresses.
«
Determination of policies and
programs will rest with the di¬
visions of the WPB in
ton.
But
expected
actually be
directed in the field, in accord¬
with
ance
the
overall
WPB
Mr.
is
Knowlson
believed
will
for
save
will
be
come
to
regional
it
set-up
much, time and
expense
business
answers
this
also said that
able
mei^ "because
to
get
more
of
they
the
nearby and not have to
Washington."
/
down
More grave and
glaring is the manner in which
closure was permitted of certain naval losses in the
.
East.
At the end of
blows
account
on
columnists"—assuming, of
dis¬ columnists." Here is
Far "Herald Tribune"
of
March 18 of
heavy aerial
around New Guinea, which
the
sinking or damaging of some 23 enemy ves¬
the
disclosure was made that
demolished the submarine Sea Lion
our
at
own
forces
Cavite,
and
Our
armed
3.
The
"new order" is
the
4.
We
5.
Our West
our
own
on.
disclosure of the loss of the Sea Lion
made, the Japanese thus
were
aware
Surabaya fell to the Japanese
March 8, and ten days
thu$ were permitted to elapse
before disclosure of the loss of the Stewart was made. It
inevitable.
in
such
grave
'
danger there is
77
.
no
-7
The
British
are
of
the
war
point
•
decadent, and "sold
cost
7.
The
8.
Civilian
Stalin
sacrifices
is
getting
Europe.
10.
of
77''-777'^ :7'/7
..
7
.
Coast is
Our
waging
wilt
will
be
us a bill of goods."
bankrupt the nation.
more
than
we
can
bear.
too strong, and Bolshevism
-'7.• 7"7v;/:7777v- t •.7
will
sweep
,
leaders
are
incompetent,
our
Government
incapable
war.
II.
Aid
12.
Our
to
our
real
was
of the circumstances
weak.
are
in the Pacific.
6.
over
communique that the Sea Lion was
December, and it is a matter of record that
our/Cavite base fell into the hands of the enemy on Jan. 2.
Before
fighting
forces'
lost
are
9.
It is noted in the
doctrines, taken from the
29, prepared, apparently, from
Democracy is dying.
2.
drydock.
demolished in
March
original by Bert Andrews:
I.
'
in
"sixth
as
not "fifth
are
list of the
a
had
destroyer Stewart at Surabaya, in order to prevent these
vessels from
falling into the hands of the enemy. Such
demolition, quite understandable, was occasioned by inability
to move the
vessels, which were "under extensive overhaul,"
and in
the
against the Japanese
resulted in
sels,
an
for two and one-half months.
policy."
on
view of all the circumstances.
Washing¬
time goes on, it is
that "more and more
as
WPB activities will
Washington disclosed officially,
many to stamp out
allies must
stop.
peril
is the Japanese,
the yellow peril.
(Continued
on page
and
we
must
join
1341)
Ger¬
-V/7
on
is
specifically stated that
in these
no
demolitions, and the
personnel casualties occurred
excuse that the next of kin
had to be informed first will not hold.
There may be reasons for
ing such military
news
extraordinary delays in mak¬
public, but it cannot be argued in
any of these cases that
and abetted by prompt
the enemy would have been aided
disclosure, for the enemy possessed
the information. There may be reasons for
coating the small
bitter pills of necessitous ship demolitions with
large coat¬
ings of victorious action elsewhere, but they are not readily
apparent. Such handling of the war news cannot in any
event be regarded as appropriate,
—
:
...
We .must, bring all our .troops - and weapons, back to the
and defend only ourowri shores.-1v-—
The Chinese and the British will , make a separate peace
;
r
THE COMMERCIAL &
Number 4060
Volume'155-
:
United States,
]" 14.
'with' Japan
and Germany.
• •
'
American
15.
;
,
<
democracy
will be lost during
-r-:- -i •>*•
the . war. * ' :
•
i;:*; \*'' A-Ban"- on I Criticism?
f •,
-H
War Fund Bill Passed
-.
blunder is.bqing made in the
effort,/whether] fy lly; conscious or not,- to: find in any'criti¬
cism of the Administration evidence of either susceptibility
good deal of-which: had best be left;'
propaganda has this to say////'-':/?1*'-**
As to the past, a
buried; the essay on
:.f
1341
FINANCIAL CHRONICLE
..Another unfortunate
to, fifth column
the- latter.-
persuasion
Most
simple stupidity—more often
or
Presidents
,
.
have been intolerant in one
With 6% Prefil Limit
In
passing the $18,300,000,000
supplemental national de¬
fense bill on March 28, the House
incorporated in the measure an
amendment limiting war profits
sixth
degree or another of criticism. ■• The present incumbent
years before'Pearl Harbor, Hitler propaganda in
this country attempted to paralyze our thinking—to give the im¬ certainly has been no exception.
He has from the very on contracts paid for from the ap¬
The profit
pression that the war was none of our business; that no one would first found names to call all those who disagreed with him propriation to 6%.
dare to attack us;'that our two Oceans would protect us; that, any¬
—'/economic royalists," "crusty .conservatives," and many limitation was adopted by the
House without debate by a vote
way,'Hitler had no interest in the Western Hemisphere; that if
more.
He should be on his guard v. against carrying this
we
would only^fehiain from doing anything Hitler • didn't Tike,
of 70 to 8.
Sponsored by Repre¬
Hitler would let us ilone; that any one who warned us that Hitler technique over into the present situation and labeling his sentative Case (Rep., S. D.), the
meant what he said was a warmonger; that any one who urgedi critics in even less complimentary fashion.
amendment
would
prevent any
Nothing could
us
to gain time for our own defense by helping those who were be more
resented, and quite properly so,, than the appear¬ part of the funds in the bill from
already opposing Hitler was trying to lead us into War.:
being spent as a "final payment"
ance of charging every one who has the temerity to criti¬
on
The President in his remarks to the press had the grace
any contract for construction
cize with something closely, approaching treason. ] By so or
supplies until the contractor
to be uncertain whether "sixth i columnists" were behind
doing he -can do more to bring the American people, or cer¬ had filed with the procuring
the demand for changes in the labor laws, but certainly did
tainly large numbers of them, around to the conviction that agency a certificate of cost and
not exclude the possibility of it; These are, of course, but a
an agreement for renegotiation of
"American democracy will be lost during the war" than
the contract and reimbursement
few of the more recent outgivings-of our professional "uni¬
all the suasions of fifth columnists, imaginary or real.
Yet of profits in excess of 6%.
fiers." They are singled out because they are quite recent,
he himself, to say nothing of-many of his supporters,: are
Inasmuch as Treasury and high
and because in them the campaign seems to reach a sort of
coming dangerously close to doing precisely that.
Mr. defense officials have voiced their
crescendo.
"" /v"
V'
'
•
;
1
opposition to placing a flat limita¬
Patterson, whose address has already been cited, lists criti¬
:J.;;-':-Now what is the thoughtful man to think of all this? cism of the President or his acts along with other behavior tion on profits, preferring instead
higher income and excess profits
Well, in the first place he will not fail to observe the large which would be saved from being treason only by want of taxes, it is likely that the Senate
element of ordinary balderdash.
to which the measure was sent,
There may somewhere,1 "intent." These are all highly dangerous trends.
will make some major change or
spmetime have been a suggestion by some one that we try
The President doubtless wants "national unity."
He eliminate
this
provision
al¬
to find some way to become an ally of Hitler and "stamp
doubtless feels that he must have it. He can have it, or together. <
•
V '
•
out the yellow peril." There are some 130,000,000 people in
Representative Case's amend¬
something as nearly approaching it as any President has
this country, and some one of them may have been told and
ment follows:
i
ever had, but hi must really deserve it.
To deserve it he
No
part of any appropria¬
may have believed that v/e should content ourselves with must reconsider these
things both as they have to do with
tion contained in this Act shall
the defense of our coasts. There may be some timid soul
his own utterances and those of his associates.
But he
be available to pay that portion
in the land who believes that our west coast is in such
of a contract for construction of
must do more; than that.
He must bring his own actions
danger that we had better give up at once, and have it done and those
any character and/or procure¬
of] his; associates more in accord with what is
ment of material and supplies
with. f To try to give the American people the impression
appropriate for a truly national government.
He must
for either the military or naval
that such nonsense as this is being widely or dangerously
do. more than attempt by artful dodges to disassociate him¬
establishments,
designated
as
preached in this country, and that the press arid the radio self from such fiascos as the OCD—and more than "pacify"
"final
payment"-to any|Conare disseminating such foolishness is to.offer an affront to
tractor who fails to file with
critics by Ishiffiiig
to other organizations and the
the procuring agency a certifi¬
the intelligence of the citizenry of this country.
Rumors,, like, i He must .see to it that such things do not happen.
cate of costs and ah agreement
wild and silly rumorsr have been afloat and doubtless still
He must show a much greater willingness, not to say
for
renegotiation of contract
are afloat about a number of aspects of our military oper-,
and reimbursement of profits in
determination, to have suchf organizations as the NYA, the
ations.
excess of 6%.
Probably there always will be, certainly if better; CCC and
®
many more of the early New Deal agencies go
The bill carries a total of $18,dissemination of * information is not somehow * provided.
by the board and thus remove the grounds for suspicion 302,000,000, of which $145,000,000
There is, however, so far as the man in the street is able to
that either he or. his associates are consciously arid unalter¬ is in contract authorizations. Most
observe, no really serious, situation1; in this}regard despite*
ably determined to carry straight through the war all, or very of the funds ($17,376,000,000) is
the fact that the public often has to obtain its information
to provide the Army with 31,070
nearly all, of his semi-political machinery of this sort even
new warplanes
and other equip¬
from other governments, and even from the enemy.
though the reasons assigned for its creation admittedly no ment and supplies needed for a 3,Over-Reaching
"
longer exist." He must evince a much greater awareness 600,000-man army. The Navy re¬
of the seriousness of a continuation of greatly swollen and ceives approximately $821,000,000
v :
But the really serious hazard in all -this - propaganda
several
For
,
■
...
.
-
with the] certainly how - needless non-defense expenditures. He can
Administration regarding all of its foreign policies during: not aJford such disingenuousness as that he has displayed
in connection with farm subsidies.
He must studiously
the past half dozen years,; and thevinsistence upon calling*
avoid such inconsistencies fas that involved in insistence
all those whose opinions were carefully arrived, at in the;
.first placeand are.not So amenable to the argument1 or the' by] his .subordinates and others really under his control, if
!is the. insidious demand that every, one now agree
.
President and his
of the
invective
supporters the ugliest
element of the
American people who were more than doubtful of the wis•dom of what the President was doing in- foreign affairs—
ever
since his well-publicized "quarantine'■-.address and!
even before that.
Many of them are unable to understand
how subsequent events have proved Ihem wrong;
Many,
a" very great many, supported his ; foreign policies on; thestrength of his assurances that they would not lead to war.
It would be utterly foolish as well as most unwise to charge
all these individuals and groups with lack of care-in arriv¬
ing at their conclusions to say nothing of ulterior motives.!
Yet they are now almost daily', by implication at least, being!
roundly abused—or at least those who have not publicly,
repented, in sack cloth and ashes and accepted the Presi¬
♦of
names.
There has all along been a large
dent's views
as
beyond
c^vil.r Could this fail when carried*
not
as
indeed
by'himself, that such "controversial questions"
the labor laws be avoided at this time to
save
the
coun¬
-us
the extremes
the
troversial issues of them all.
V
" He
may
have had
no
;
connected
agencies
effort
war
about
get
$105,000,000.
It. was reported that this meas¬
ure brings to $160,889,000,000 the
total of appropriations and com¬
mitments
which i Congress
has
made for national defense since
July 1, 1940.
\
1
—
\
,<
Phila.
The
Ledger
Bankrupt
Philadelphia "Evening Pub¬
Ledger" has been adjudged a
a recent decree en¬
tered by three judges of the Fed¬
eral District Court at Philadel¬
lic
part in the recent airing of the
large, apparently grossly excessive, profits made by one
small concern on war orders or the highly misleading pub¬
licity1 given to pre-war patent agreements between a large
American oil producer and the so-called German dye trust.
The wholly warped; and, in truth,:1 rather silly attitude
taken by at least a number of newspapers ordinarily very
friendly to the Administration and the - New Deal may
not- have been "inspired."
All of this may have been a
"co-incident,"* but it is to be observed that experienced
in evidence to breed division amongj reporters
now
other
with
at precisely the
time that he; and his associates lose no opportunity to raise
and to push with the utmost vigor some of the most con¬
try from the ill effects of controversy
an<J commentators in Washington informed the
precisely the time when we need, concerted effort! country without delay that the net. result was, among
•to win the war?
^
... , 1
i other things, to start Congress off ii$|a hurried and ill-conAnd can there be any logical, or any other kind of,' sidered:campaign to "limit" profits on war contracts with¬
out the slightest regard for the intricacies of the questions
•necessity for such a-complete uniformity of opinion to md
involved or the relationship between profits earned and
sure full cooperation in the prosecution of the war?-Even;
The man who may still have suspicions that the British "have* existing and prospective tax laws—and for the time being
at least to relieve pressure for action on labor matters.1
•.sold us a bill of goods," who still 'is troubled in his own'
to
and
at.
^
bankrupt by
Bachman,
David
phia.
bank¬
ruptcy referee, has been directed
by the Court to dispose of the as¬
of
sets
the
defunct
newspaper's
"Ledger" suspended
publication on Jan. 6.
•
John
d: Martin, former pub¬
plant.
: The
lisher
of
the
"Ledger,"
filed
a
bankruptcy petition in
on March 20, listing
voluntary
Federal Court
liabilities
at $3,502,920
and assets
immediately was
adjudged, a bankrupt and the
Court assigned a referee to con¬
at
$14,858.
duct
He
further proceedings in case.
Incident to the bankruptcy pro¬
ceedings against the "Ledger" on
the Philadelphia
quirer" of March 14 said:
■March- 13,
An
associated
"In¬
:
development
yesterday was withdrawal by
!. ]
Now the President personally may not have had any¬
the Evening Bulletin Co. of an
about the spread of the in-i thing to do \yith any of these things, but it is difficult for
offer-'it had made March 2 to"
Tluence of Mr. Stalin, and who may believe that Japan is; many* of us to believe that some one somewhere trained in ; pay $10,000 for the assets of the
his political technique has not been "pulling strings." The
Ledger Syndicate, because, it
more
dangerous to this .country than Germany—even suchj
was explained, it would not be
•a man can well understand, and must understand, that, we; concatenation of events is too typical of procedures regu-;
acquire
rights to all
are
Neither ;able to features thethe purchase
now, rightly or wrongly, locked in battle, with both; larly adopted in Washington for a long time past.
! of the
if
are most of us able to believe'that the President can not
were made,
•Germany and Japan and must1 fight as we have never fought;
mind, about the survival
of democracy in this country, who,
•
is
more
than
a
little
.
uneasy
—
v
„
there is no -other] in large measure put an end to these "smear" tactics,, this
-salvation.Would it not be much better for'us all to meet, behind-the-scenes intrigue, andthis dubious showman¬
•before: to
save
our
hides—-that,' indeed,
:
ground and forget, pastvdifferences, .in. ship. v«He must exercise that power. * This is a time £or<
-Order to get along .with the task in hand?-Is there-not* straightforward dealing.
Without it we can not hope for
.serious hazard in undertaking to force the American1 people the best results in our war efforts, the*sort of results which
are a
product of a united effort wholly concentrated upon
•together op other ground] where] bitter battles have been
ihe one objective uppermost in all minds.
•
fought -very recently? -■, ...
-;•].wr
/♦
on
this
;
;
•>..
' ;-'J'
>
i
{ .»
t
:Jv.
■< '*v» ♦
n
•
tn.
-...
■. • 7 v •»•
l
);ti 7
■> *
I liO
J'i
MIUii
t
t 4 ''
JjJli.UMJ
,
» V. t,
z
I 5 i
S.
District .Court
Judges
Guy K. Bard, J. Cullen Ganey
and
common
i
.U.
Harry E, Kalodner disposed
ofJooth the bankruptcy and syn¬
dicate matters,.
The-.
-
"Bulletin's"
proposal^ to
•purchase the /'Ledger"
in
our
was
noted
March 12 issue, page 1051,
THE COMMERCIAL & FINANCIAL CHRONICLE
1342
shortly, after
.
t* ~
President
.
Signs Bill Increasing RFC Power
And Providing For War Damage Insurance
Action
has
•
same
for
and
the
Senate
,
the
Under
RFC
March
on
——
,0*7 Donald Nelson, Chairman of the War
Production Board, testifyand Mr.
ing before the House Naval Affairs Committee on March 24 on
the
final form
bill HR 6790 proposing to
modify or abolish certain labor latos and
•; in which the War. Damage
Cor-^j Standards, mentioned as one of. the
important provisions of the bill
poration "will
administer.;;, its
that which would limit
profits derived from filling war contracts to
7 functions.
It is probable."that!
the staff of the corporation will 6%; of the cost of performing such contracts.
Incidentally it may
be kept as smallf. as 7possible, be.noted,the House on March 2S<$>',vi;7'111
7 ;;y'
V.1'1'.'.1'
in passing an
and that insurance
$18,000,000,000-war that corporate reports filed with
to
the1
of
amount
shall
exceed
not
When
Senate
funds
the
the
Provides
$1,000,000,000."
passed the
thorized
to
it provided free
However,
the House on March 2, in passing
the bill, rejecting all proposals to
provide free insurance and the
conferees on the legislation agreed
to
the House version, after ad¬
ding an amendment making the
insurance
prerhiums- uniform
throughout the country. > Previous
reference to Congressional action
was reported in these columns of
March 5, page 965.
In explaining to the House on
March 18, during consideration of
the conference report,
the pro-;
which
the
reasonable
taken
air
make
loss
available
is
damage
or
and
to
enemy
any'
action
by the military, naval
of
Corporation,
the United
States
the
the Securities and
a7 provi¬
profits for con¬
war
under
In his,
measure
to
mission
6%.
■■
testimony before the House
officials,
saying
Committee, Mr. Nelson said, "that
dence
two
profits
the
attempt
to keep';: war
obtaining exces¬
profits I am thoroughly in
construction Finance Corporation,
accord."
"And," he added, "it is
by an additional-- $2,500,000,000,!
funds
for;
bracket
sented
personal belief that 6% profit
in the average case.7
..-.77 7///:;
the
He went
to
House
location
covered
bill
with
of
respect
property
to
be
to
that
77 whether
.you
not
or
tell
can
Objections
contractor's
a
■
The
(including bridges be¬
Petroleum
on
on
increase
net
Committee
pre¬
lists
whose
of
in¬
to
the
capital
gains
tax in France were indicated
by
the former technical adviser to tne
French Finance
petroleum
Reserves announced
the
high-
He
Objections In France
To Capita! Gains Tax
to say:
Ministry,
Andle
lstel, before the House Ways and
Means
Committee
.
the
the
limitations
on
;ln:. the first place, I do not
believe
ii.
; 77'
profit
6790. would reach the de¬
sired end."
7,71
Totaled 2 Billion Bbls.
that
HR
v
the
of
"However," he said, "I do not be¬
New Oil Reserves ln '41
stitute's Committee
evasion
profit, taxes."
comes, it is said,
had increased
last year up to as*much as
700%,
industry found ^ profit is unreasonably simply
1,968,9-33,000 barrels of; new oii:
by determining its percentage
during 1941, or 564,781,000 barrels:
in terms of the cost of
performmore than the 1,404,182,000 barrels
ing the contract.
That leaves
■;» be later than July 1, 1942, on
of crude oil produced during the
which such protection will be
entirely
out
of
consideration
available.
The
such important matters as reprovisions of year, the American Petroleum In¬
.
they were evi¬
things—"inordinate
corporation executives
is'.plenty
lieve
The
and
contractors from
in
resisting enemy attack).
The Secretary of Commerce
is required to determine and
publish a date, which is not to
of
sive
my
largely for advancing
plant expansions.
Exchange Com¬
had shown marked
in¬
in salaries and bonuses of
creases
with
,
or
>in
included
limiting
tracts
last December with a!
$100,000,000 fund.
The
legislation also increases
the borrowing power of -the Re-,
personal,
result from
(including
forces
Damage
sion
7
war
of
real
may
attack
March 20.
on
M.
in
Washington
Istel, stated ac¬
cording to advices to the New
on
capital
investment,
York "Journal of Commerce" from
turnover, the time required to
its Washington
fill the contract, and the finanbureau, that the
^urn
March 25;,
raised* total
capital gains tax wnicn was im¬
reserves
of, ;'" cic(l structure of the
contracting
posed in France after the German
of. Jan. 1, 1942, to
firm.
From
every
angle,
it
Total re¬ :seems to me that this kind of occupation, had the effect of in¬
tained
in
substance, and the 19,589,296,000 barrels.
creasing
House limitation on coverage of serves on Jan. .1, 1941, were .19,limitation makes use of a
security prices ratner
very
than checking the rise as had been
1 •/faulty yardstick.
property in transit is to apply 024,515,000 barrels.
planned. In its further advices as
after the date so determined by ,Most of the new oil was added 77
In the second place, I believe
the Secretary of Commerce.
through upward revisions^ of re¬
that this limitation would force to what M.' Istel had to say the
"Journal of Commerce" aavices
serves
in fields found prior: to
many contractors into insisting
Under the conference agree¬
said: /
7 •
1941, however...; Further develop-, 4 'upon .cost-plus-fixed-fee
con-ment,.provisions of the House
The Ways and Means Com¬
ment of older fields revealed a net
; tracts.
Suppose a contractor
v
amendment, relating to committee was told France imposed
addition of 1,538,989,000 barrels of
loses money on one job—as he
:: pensation without
requiring a
the capital gains tax to check
crude oil which had not been'in¬
may;- through no fault of' his
.contract
of
insurance
or
the
the rise in security prices which
cluded in previous estimates for .1 own.; He
naturally expects to
payment of a premium or other
followed a wave of inflation
those fields because of incomplete
7/recoup his losses on the followcharge, are made applicable in
after the German occupation of
i.7ing job, so that he may show a
the case of loss of or damage to development,
the
The
committee's
estimate
in¬
country but had just the
profit on his transactions as a
property between Dec. 6, 1941,
the
tween
Canada
which
are
to
be
charged, Representative Steagall
said, according to the "Congres¬
premiums
United
and
States
Mexico)
and
are
re¬
known
underground
petroleum
as
-
*
.
,
Record":
The bill passed by
to
'
cover,
property,
,
$15,000.
vision with reference to insurance
sional
that
agreement
appropriation
help administer
bill.^",T£'!
set up
was
/;,■ <;/:.
of the
War
The
to the
Com--
protection which the War Dam¬
age
Corporation is to be au¬
supplied
Feb. 3,
on
will be asked to
.' terms
-
measure
insurance up to
of
conference
The
aggregate
so
according
House,
York-' "Journal
merce,"- explained that: /
Commerce, with the approval of
the
=
•
companies!
expected," and he added that the
were
unanimous. (The
conferees, in their report
New
and
be
House
Corp.; it is stipulated that "such
funds shall be supplied only upon
the request of the Secretary of
President
could
as
conferees
to
supply funds to the War Damage
the
Roosevelt
.
the
continue
to
■
—
reasonable
as
were
18.
legislation
new
directed
is
bills'^
two
by both the House
adopted
was
March 125 ;the
reported'the* fdlloiVr
President
the
between
ences
paper
Nelson Approves 6% Profit Oir War Contracts But
Doubts Proposed Bill WoiiliReach Desired Aim.?
of
Jones will decide tfye
financing of the War Damage Corporation^, and
President Roosevelt signed the measure on March 27.
The bill was
passed by the Senate on Feb. 3, and in changed form was passed by
the House on March 2.
The conference report adjusting the differ¬
viding
date
start .of. the
ibieffee
ing from its Washington bureau;
been
completed by Congress on the bill extending
authority of the Reconstruction Finance Corporation and pro¬
the
Under
.
the
is to continue
'war
Thursday, April 2, 1942
the House
.
provided
system of insurance
a
•
by contract and assessment, and
that provision was retained by
/'
the conferees.
7
vision for free insurance except
There is
no
pro-
pending the time when the plan
that
/
will
the bill
be
established
be
can
under
put into effect,
-
:
which will be not later than the
of
end
;
the
.
fiscal
year,
at
or
and
v
such earlier date
as
may
be
an-
the
*
nounced
by
the
corporation.
As I stated, that is the plan
provided in the House bill. y//
.
In the Senate
ator
sideratioh
of
the
have
inserted
in
the
national
War
Oof
"Record"
the
/;
agreement
that,
in
interest
Damage
view of
involved,
Corporation
7^ shall from time to time estab¬
lish uniform rates for each type
re¬
port, obtained unanimous consent
to
determined by
so
provides
the
f
•r
con-,
conference
date
The 7 conference
also
-
March 18 Sen¬
on
Maloney, in moving the
the
Secretary of Commerce.
•
property
:?vwhich such
the
following letter addressed, to
by Secretary of Commerce
'Jones in explanation of the con¬
templated procedure under the
;
him
r
respect
protection is made
the
a
War
The
Secretary of Commerce
Washington, March 17, 1942.F
Hon.
Francis
oil-producing
areas;
United
Dear
our
States
Govt Buys $800 Million
Worth Of Farm Products
basis for such .rates,
Damage
Senator-
charged by
Corporation
of the
)•'
,
Maloney:' In
consideration of rates to be
against
v
-
Senate.
War
the
Damage
protection
for
attack,
enemy
ample:
-
we
resulting
from
national
responsibility,
the
war
are
insurance such
-
}
be
no
.
.
The
War
'
is
rates
-
Corpora¬
either
in¬
reinsure
sions of the Lend-Lease Act. They;
also included supplies for the Red
Cross,
damage resulting from
*
low-income
or
'
follows:
States forces
Ten to 15 cents per $100 cov-
United
resisting such at-
/'• tacks.<
.
'
-•
/
".
and
for farms, dwellings and
commercial
properties
up
to
$10,000; from 15 cents to 20 cents
per $100 coverage on such risks
/
Premium rates
form for each
between
$10,000
and
and
rates
graduated
amounts
.
all
I doubt the advisability of
[making these suggestions a part
of the
7
legislation, but this letter
could be put
part of the
•
committee
matter of
•
in the record
discussions.
If
as
prefers making it
legislation, there
a
the
•
•
can,
course, be no objection.
My thought about this is that
the War Damage Corporation,
•-
.
fix
rates
for
such
Sincerely
■
-
as
JESSE
possible to
Senator
above
M^lone^
stated
that
thought that the suggested rates
4/".'///I/, 7;;-"'
purchases
'
more
:
"j.«
"
•»
••
-,v
•
..
«
out
that
this
limitation
eial advisor said;7
>
7// But
experience
proved,
he
said, that the tax merely had the
effect of making people reluc¬
tant to
realize their profits be¬
they would be subject to
the tax, with the result that the
/ supply of securities was dimin-
would
probably increase the cost of
cause
war
production
to
the
Government,
"since the 6% would tend to be¬
ished
-
the maximum and the minr
for; imum"
profit
half
than
made
during
the
year.
These animal proteins
have been basic on the list of
essential
commodities
for
Bend-
of
•
on
war
rise.
orders.;
4
said
March
on
seek
to "write
prpved
turn
bill
on
proposal,
made
a
war
21
that
into
6,%
a
prices
continued
to
"
Later, he said, the tax
to 20%
was re¬
and subsequently
10%.
dropped
to
would
German
occupation
House-ap-
M. Istel
he
maximum
contracts.
•
and
/
duced
Mr/ Walsh said
Prior
to
of
the
France,
said/there had been no
capital gains tax in France be¬
re¬
Under his
cause
or
control
Lease
profits
it
was
reliable
as
believed to be
of
source
a
un¬
income.
on
Commission.
>
«.'-/'
Dried
4
and
canned
•
from
rates
and
the
prior to 'July :l
in " the
meantime
of Pearl Harbor
date
fruits
/
and; from its counsel, Edmund Toland,
s 7 who is said to have reported that
rising
miscellaneous
sample survey of 15 companies
products,, and non-food sup-i handling naval- contracts revealed
that salaries and bonuses of their
plies were included in the year's
-
Such
.
nomic
sale
:
of
period of
and
to
in-
securities
7-
-
.
defeats
eco-
and
'
7^
;
aggravates
/ 7
.
sound/
economic policy,
said, because it stim-
booms
depressions.
•
in
and
the witness
ulatesr
a
exaggeration of
swings
financial
.
*
an
in
prices
falling markets.
•
in
1941
Most of the non-food
ranged < from
premium items, such as cotton, tobacco, and 22% to 1,131% above the 1934
rates are fixed, the present
naval stores,- were made available total.,^7,7 /'•••
•,;> •.-.a-'.
policy of providing free insurance by the Commodity Credit Corpo4 v;vRepresentative » Gore /(Dem/.
put into effect by Mr: Jones ration for Lend-Lease operations." Tenn..) j also told the Committee'
the
•
food
buying.
stock
crease
a:
executives
selling
prevent
product
and until the time the
the1
conferees
represented
all
The War Damagd Corporation vegetables, ' cereal
is directed to establish its pre- canned fish, many
next,
to
as
"the
ucts
purchases
•
with
money
paid
by
/ " France to Germany as war tribJ war, production.
The ordinary
:ute, the former technical ad/.'small shop will, of course, han-visor
ta the French
Finance
die a relatively' small
contract;
Ministry said.
*76% profit on a contract costing
In order to check this
rise,
/.but $40,000 would not provide
which
the Vichy 7 Government
.' /the
shop owner with much, in7 thought might be interpreted as
./ centive to getU into \i. !'•
war produc.'■
an indication that the
capitalists
7 tion.
:/ /;•
/'.7.7 7;,^,
were h prospering
while;
the
5 .Under-Secretary of War Robert ; masses were in
misery, a 33 V:i %
Patterson told the House group
//•tax von capital gains'was im¬
on.March 19 that,a 6% limitation
posed/the former French finanpn
profits 7 on • war , contracts
business to
*
'
:*-•
Secretary of Commerce.
1
/"■ .v:
'
gain control of French indus¬
tries/through
stocks
.
—mium
yours,
JONES,
-7
.
war
orders would be
shipment, with. the.- United
7' The French objection to capital ;
States agreeing to furni^i 25% of kept separate from other income
of the United States.
gains taxes, M. Istel said, was
that'in times of prosperity the
Specific authority is provided the protein requirements of Great received by a business firm, the
latter : being "subject to regular
for 7 insuring * bridges - between Britain.
More than" 1,000,000,000
budget could be balanced with¬
taxation. „.He stated that he would
out such revenue while in times
theneighboring .countries of pounds of meat products, largely
Mexico and Canada, and for in- pork and lard and valued at over try to write this into the bill ex¬
of
depression revenues
from
such a tax would fall to the
suring property in transit' be¬ $237,000,000, were included in the tending/the Navy's authority to
negotiate contracts without com¬
tween the United
States
and total.
Eggs and dairy productsvanishing point.
r
:/
petitive bidding.. ;.. ;.////■ /.;*;
any of its possessions which is cheese, evaporated and dried .milk
7
In addition, M. Istel said, it 7
not ^ subject
was believed that the effect of
to
marine''war- —ran .• to
1-,750,000,000 • pounds / .The House Naval Committee on
a capital gains tax would be to
risk insurance provided by the costing $282,000,000, .7,;> 7V•/'•,/' « :"j March 25 also received testimony
Maritime
v-
protection. /
H.
i
and
'
■
;
tary of Commerce, should have
much latitude
addition, this clause would
//seriously, increase the difficulty
come
7
resulted from
people
.
with the approval of the Secre¬
as
later fall
may
families
said to have
/
a
/ -of
;
places that
•;* under the domination
-j
r
extends to all territories and to
such
have $25,000.
to
v
Senator Walsh, Chairman of the
further said:
"Meat, dairy and poultry prod-; Senate Naval Affairs Committee,
of
Authority of the corporation
$25,000;
on
type of property
programs,
distribution to
/j l
prices /
security
Ration and from German efforts
The Department
( 7
to be uni¬
wherever located. ■■>/4/7/7
'
"
are
territorial
domestic
school lunches,
■
erage
for
for
in
making
stock
|; purchases as a hedge against in-
would "completely upset the War
pounds, these com-;
efforts
to
bring
modities were bought largely as Department's
about
general subcontracting to
supplies available for shipment to
small ; business."
He also pointed
the United Nations under provi-;
property
against enemy action damage or
sure
'
as
4
Damage
rise
French
7
7,500,000,000
proposed
was
tion"^ authorized to
of geographical
v/>7/
Our thought as to appropriate
location.
*r
in
because
rates
*
discrimination
as
in the Senate bill.
a
there
'
should
".
No provision is made for free
.7
are
opinion that, since losses
i|777/ 0
'
7-
In
The
was
.;//7-/7/r';/;:
//of converting small
.-
Maloney,
contract.
gists and petroleum engineers in.
all important
-
measure:
>>
committees of experienced geolo-:
Corporation V. More than
$800,000,000 worth of,
shall estimate the average risk
farm commodities were bought by
of loss on all property of. such
the Agricultural MarketingJAd-,
type in the United States/..
O ministration
during the first year
The "Journal of Commerce" on of
the
Department oP AgriCul-;
March 18 also stated that the bill ture.'s i
expanded v, purchased proas sent
to the President; largely
gram, March 15, 1941 to March 15,
followed the lines of the bill as
1942, the Department announced,
approved by the House; for ex¬ on March 30. - Totaling more than
-
opposite eifect, M. Istel said,
whole. 7 There is no provision
proved fields, and recoverable by: 5/here .for, recouping
losses,, .and
present production; methods. ~ ; /r hence in self-defense the con-"
Basic data for the report were/' tractor would be very apt to indeveloped by a, number. ofi 'sub£ :" sist .upon a • cost-plus-fixed-fee
to
available, and that, in order to
festSblish
::
with
cludes only reserves in known and
-;
:
5THE COMMERCIAL & FINANCIAL CHRONICLE;
Voltime 155 X. Number 4060
Inherent
StrengtbOfAnleHc^BailrdaiEs^M^II ^/'pturppses;//,,!;^.;.
,
Presages Opiimistic Lofig-Ra52ge Future
transportation
i t
get .the cars-ahd
loppmotives and materials we
need—and we have the .assur-
Factors on which he- based his optimism "regarding the Ibrig- |
rangfe future of the American railroads" were effectively presented i..
beforO the Bond Club of New York on March 25 by ErriestTE- I, /
Norris, President of the Southern Railway System. In unfolding j
his picture of the ability of the railroads to meet whatever 'diffi¬ ^
culties may be ahead, Mr. Norris said: //////:;B////////1//3S
; /
There's no peace in store for *
f
those of us who railroad.
We
depended, to a '? larger: degree,
r;
•have no vision of green pas¬
upon the active cooperation of
■.
'
tures;
J
foresee now is a tough
we can
;; struggle ahead.
fears
no
Yet
have
we
the fate
about
of
our
who
those
promise of easy times
in the future.
All i
no
services.
/
[
mists; by preparing and organ-v
izing for the worst. •>/'/• tt
;
industry. / If private enterprise I';;/; Encouraged
-
continues to be
,
; activity, you can bet your bot/•" torn
that
dollar
we'll
roading—24 hours
a
day, Winter
the
Summer—till
and
*
cows
the
by
public's
the essential
na-
!
ances
r
of
-
Government
that;
what
In
is
described
we
ducing level for varying lengths
of time, the nation's manufac¬
are
quite familiar with
com-
bafprice inflation affecting lines
turers
willtomorrow's rail; traffic
Of goods made scarce by war, Act¬
should be handled as smoothly
ing, Price. Administrator John E.
and efficiently as today's trafHamm on
our
regulations, and, to a lesser:
degree, so ate wholesalers and
March 23 set maximum
fic is moving.
t
Far off
prices
the horizon of the
on
that
railroad
of
ture
services; and
i
charge
can
We
f
set out 20 years ago
!
to give this
come
.
;
I
cause
that
believe
we
/;//
have
/New
/
household
•/•:r'.
■•■
in this
have
country to¬
»
We know that
f: cleaners and attachments;
will have
we
face intense competition, the
|./. like of which we have never
known
r.:,;
'
America that
-day the greatest and the best
railway transportation plant in
all the world.
'
\
/
]
war
that
possess a
phonographs; and
which
;
New typewriters.
we are
;
•
.
;
;
We' have
efficiency
.
attained
and
levels
<
of
!
.
establishment
;.'
By
n
of of-
'
ficers
and
employees ever to
in. this or; any other
railroad
through years of depression and
years of
peak-load traffic.
We
the
have
admiration
the
of
respect
and
*
people who-- today,
than
more
more
'
ever
before, recognize the na¬
tion's/need—in peacetime and
Vin wartime—for "adequate, effi*
transportation.
We have their gratitude, too, for
the job we have done in this
national emergency.;
/;<' We have the inherent strength
1
•
«
..
which
carried
lean
-
then
and
made
it
possible
that
recently
to
*
prompted
House
the
because of the demand of
know that not one, or
dustries
do.
"
for
the
metals
are
.
l>
their manufacture.
railroads' abil¬ [
capacity
from
This
growing scarcity has* resulted in
sharp price increases at wholesale
before
our
rev-
to
our
national
life
the
Com¬
/:
I
'
;?
times.. This is the reasoning that
j
finally
have
we
now
a
.
between
for
profiteering
and
stimulates inflation.
We have
the duty of preventing these
cause
of
the:
same
not be
compelled to sub-
—
.
:
Is 40% Above Year Ago
Cash income from farm market¬
said
.
,
elements
-
the
^Bureau,
but
income
materially as"
prices of truck crops declined
sharply and marketings of wheat,'
cotton, and corn decreased more';
from crops declined
•
/'
saying by
created slightly from Jan. to Feb.,'
/had to scratch before and we
/ and the needs of national de-
are
After allowing for the usual sea-1
sonal changes, income from live-'
stock and livestock products in-[
f z makes
than
usual.
Returns
from
all
groups of
products, however,
sharply higher than a year eai
and income from farm
in the
good." He continued: - i f of post-war readjustment.
c^ase of the regulations for
vacuum
/>/ Today, the railroads are turn^
cleaners and new type¬
v;
As difficult as these problems
writers, place a ceiling over man¬
ing in a 100% plus job of livworld no better job is , being
| . may be; (and it would be fool- ufacturers' prices for the first
done today than by the Ameri¬ / ing up to their pledge made in
ish: to ■ minimize them), I still
time, the OPA explained, further
/; November, 1940, "to meet to the
can railroads."
r
full the demands of commerce [/ feel that they will be solved be- stating;
/
And
degree of cooperation
we
prices at retail simply because
supplies are short.
t
totaled
than
>
in
$808,000,000,
Feb.
1941.
marketings
47 % /more*
Government
payments in Feb. totaled
$/9,000,-;
000, compared with $111,0(/0,000 in
Jan. and $82,000,000 in
F^b. 1941.
!
The Bureau's summary further
.
:
What
today's orders is that the public
;•
.
5
actions,
coincide
to
Feb. Farm Cash Income
holds
on
timed
•
always a v.
k: painless operation, but we have I
!;
previous
ings and Government payments in
Feb. totaled $887,000,000 compared
with $1,098,000,000 in Jan. and
$632,000,000 in Feb. of last year,/
that the public should be glad the Bureau of
Agricultural Econo¬
to get a
new
refrigerator or mics, U. S. Department of Agricul¬
f. washer or vacuum cleaner or ture, reports in its March* issue of
■•radio
at
any .price
in these "The; Farm
Income
Situation".
"heed transportation services.
rh:.'penses f in^ line with
f enues. fl That is not
not
mit to unreasonable and inflated
i
,
!> 31 We/ know that we will have
f to scratch hard to keep our ex-
does
our
shall
•
used in
that
typewriter.
were
levels.
in¬
war
that
contain
v
completely suspended
.
Interstate and Foreign
Commerce to say: "In all the
mittee
^.
of
the
about
and
.
Uncle Sam's urgent call
the kind of performance
/Chairman
can
this savage war is
answer
with
hearts full of hope, be-
we
or
home in
eduction Board that cut produc¬
tion sharply, we feel that OPA
effectively prevented an early
price
runaway
at
producing
these im¬
ff twin evils and are acting acover.' /. V.* •if can' do it again, f Furthermore, ; cordingly. f Enforced / scarcity
/
In his concluding remarks Mr,
we' have today a golden oppor- j,;will not be permitted to .dictate
Norris stated that "coming dowii
f tunity to Clear our decks for the C the price of any article subject
;
to OPA control, now or in the
specifically to the possibilities of
storm oh the horizon.
And as
today and tomorrow—and of the f.j we take advantage of this op- ,f future. ^
'
In addition to setting maximum
day after tomorrow, when peace Iportunity now, we are protectreturns to a tired world—I find
prices at retail, the orders also
i/ving thp Investment in our propthat my long-range optimism still i
erties against the certain shock apply at the wholesale level, and,
tion
through the
the depression
of
years
;
us
'
■
I
a
their
spectacular performances dur¬
ing the past three years. And;it
will
learn
a great
deal > more
.about railroads and their rela¬
ity
railroad
cient
our
cause
fought through ten years of de¬ | V ride pur trains, farmers to ship
their products, and industries to
pression.
It has learned still I
American
the
of
-
country; men and women who
have
proventheir
ability
■
of all
It
a
not
with the orders of the War Pro-
and retail and
in thousands
of
trade secret—which,
like all trade secrets, becomes
; / // We know that we must- bear complaints from the buying public
an open secret in times of stress.
\ ■ a heavy load of taxation. But of profiteering, according to Act¬
/; For
Mr.
instance, f the
public if we will fare no worse in that ing Administrator Hamm.
learned something about railr
| / regard than every other indus- Hamm also said:
Inasmuch as there has been
;
road progress when the: boom | ; try,
every .; other
commercial
no
increase in manufacturers'
traffic of the late twenties was i:
activity; every other individual,
handled so smoothly. It learned i
So, whatever our tax bill may ;
prices, it is obvious that wholemore
about the sturdiness and I
sale and retail prices are being
be, we will carry on as long as I
pushed up simply on the theory
vitality of the railroads as they j •; there are people with money to
*
corps
i and
r
curtailed
amazing progress of the If all, of thesfe other forms of
carriage can do the mass transrailroads during the i
i ; portation job that the railroads
20 years has been some¬
thing of
few years ago.
v
We have the best trained and
efficient
^ 5^:
heads high
The
past
■
'
most
'
our
American
operation of this plant that sur¬
pass our wildest dreams of ohly
the
y; ^
.J.
■
a
Will meet it with,
"
i
in the
economy
Production
living."
does
leqst one of the household
appliances involved in today's
regulations, nor a commercial
ranges;
/ f
New domestic washing and
ironing machines; /
^ f ; /
;
New radio receiving sets and
jf; now helping to create. But that
product of science and re-
new
v
the
at
/
heating;'and
-i
'
t; and facilities, of
domestic
cooking stoves and
?
before; competition in
! the air, over the highways and ]
j On'the water;, competition made
if possible by the very implements
M
Ne'w
of
would be hard to find
knowledge is more of a chal- portant articles " of ; consumers5
placed their old equipment with h
lenge than a threat.
And we durable goods has been drastically
new, and greeted warmly every
j/
invoking
no>v
standard
can
mechanical
;
'
We
are
'
j/What it takes to ride out the If refrigerators; ,ff f.;.:
•f,.,|„;f • -f
New
If inevitable post-war storm.
3
;
household t ; vacuum
of World War I, the railroads j/r to,
•
retailers.
some
retailers
for seven major household appli¬
ances and for new
typewriters as
coramodi-j
under price control at- the pro¬
the
as
broadest action yet taken to
100
over
day after tomorrow, when greed
powers granted to OPA in the
and//aggression.j and brutality Well,
f:-f; ;/ffv, /■ f//;'- ' * r j/-. Emergency Price Control Act of
/
1942 to set a price ceiling at the
have.been wiped from the face !
Effective, March 30, the latest
1;/ of the earth, we can see more OPA regulations brought under p retail level over a group of artii ^ clouds gathering.
cles that has been associated
Yet my op- Federal price control at the retail i
: very closely with-the "Ameri¬
J / timism still holds good —- be- level: Pff
:■/
acutely conscious of the lessons
|: nation a hew and a better transhome."
portation machine. / Step ' by
,->/■ I am not voicing here a per- |
step they organized new co¬
sonal hope, colored by selfish :
ir
operative machinery, increased
; interest. I am voicing a convic¬
their efficiency and economy;
tion; a conviction based on these I
streamlined their methods,5 re*
£ facts: / /'■/..
j.
;
■,;,
Since -well
B ties : and manufactured articles
(including several of the prod¬
ucts named today) have been
v
rail- I
be
of
awareness
form of human
a
transportation
buy
1 They
learned to be
optimists by acting like pessi-
; somewhere
Sets Price Ceiliifig r
On "Scarce" Articles
not for storage
cap
V
>
.'fet OPA
iV
r-
1343
.
Four of the OPA regulations said:
*
'
•
;
prompt / my long-range
fense." So far not a single ship—those applying to new typevh, optimism — the essential nature
t
Income from crops in Feb. of
per in the United States (in7
f
writers,/ domestic washing and I
B of railroad services; the inher$260,000,000 was 50%
higher;
eluding Uncle Sam and all his
/
than a year earlier.
ent strength
of the industry. j.4 ironing machines, radio, receivReturns;
family
of
departments /and
ing sets and phonographs, and j from nearly all crops were high-;
B proven in feast and in famine;
alphabetical agencies ;— War,
er,
but the greatest increases
j the efficiency with which the j domestic heating and - cooking
Navy, WPB, Lend-Lease and all
stoves and ranges—are 60-day L ::in returns were from soybeans,
> ; best railway plant in the world f
the rest) has been told that he
j
"temporary orders" and/ peg
!; is oper ated ; the tested resource| rice, potatoes, dry edible beans,;
cannot have all the rail service
prices at the level of March 19. [; and
pV fulness of men ands managetruck
crops/
Income
he asks for, when and where it
;
The
two
"permanent regula- f from
meat
animals
declined
ment; the respect of a grateful
may be needed.
' ■
! i;V nation for a
/; tions," those applying to house- i ; slightly less than usual from:
job well done; and
Tomorrow,
the
outlook
is
hold vacuum cleaners and atJan. to Feb. as the sharp drop
if the habit of cooperation beclouded somewhat by two queStachments
and
household / in
marketings of hogs was about
i; tween those who run and those
\ tions.
One is our chances /for
mechanical
refrigerators, / use / offset by heavier than usual
r ;: who use the railroads.
' getting the new cars and loco¬
;
for the ceiling prices the manu- ■;
marketings of cattle.
Market-/
motives
we
have
already I
i
facturers'
recommended retail
Please - don't
think : for ' a
|' ings of dairy products increased,
ordered, plus the repair arid
price lists and "freeze" the price
seasonally and prices declined
if minute that I am" painting a j
maintenance materials we must
; /margins of wholesale. distribut¬
much less than usual so that in¬
rosy picture here—just because ers to the levels of Oct. 1-15.
have to continue the dizzy pace [
come in Feb. was slightly highf. you may own, or may represent
at which we are now railroad¬
1941.
/ er than in Jan.
Returns from
;
the owners of, many a railroad
ing.
The other is the extent to
security.
The going
will
be /;■ Sales of typewriters are subject /; poultry and eggs made about
which our traffic volume: Will
to allocation and rationing orders
the usual seasonal decline from
be
•
sharply
increased / {by p tough* otmorrow and the day
of the War Production Board tand
Jan. to Feb., and returns from
stepped-up war production and ;f after tomorrow; tougher than it
.*.
7
ff has ever been before.
Maybe the Office of Price Administra¬
; by the diversion of more and
also
has
"frozen" I/ all livestock and livestock proall we'll have left is "a glove tion. > WPB
z more
tonnage from the water
B and; a/prayer" but we'll keep wholesale refrigerator sales and i v ducts of $548,000,000 were 45% ;
/
and highway carriers/ But eveii
l /right on pitching, till the game's limited their sales by retailers,
f- higher than in Feb. of last year.
t these clouds have silvef liriings:
oyer, iff And. we'll
win—if we !
Commenting further on the 1/
For the first 2 months of 1942
j
On the brighter side of "this
B haveta 'team behind
us./Pffff' new regulations, Acting .Admin¬ / cash income from farm marketappraisal we find:
v y
/
f How
about you - on second istrator Hamm said: / -1
A sharp decrease in commer y
ings and Government payments
Today's ^action makes price
/ cial demands for
You r
transportation f base;; or; in the outfield?
/
amounted to $1,985,000,000 comthis game— |/ control a matter of direct and
--the conversion of the automb* t.f have /money on
which
■
.
:
V
railroads and between the railroads and
shippers that exceeds
anything
in
ever
before
recorded
industrial
history.
What's
more, we have the machinery/, toperpetuate this .cooperation
i
until it becomes
These
i
.
* - on
which
I
a
the
are
fixed habit.
major
base
my
•
.?
factors
optimism
"•
.
•
.
; regarding the long-range future
5 of the American railroads,
f in his address
Mr.
Norris; ob¬
served
that
"two
tremendously
important things came out of the
railroads' experience with Gov¬
ernment / operation
during
the
World
first
War.
One
was
a
general awareness of the essen¬
tial part that the railroads play
in
our
national/ life."
"People
everywhere," he said, "realized
fully (for the first time, in many
cases) that all industry, all agri¬
culture
geared
which
and
to
all
mass
commerce/ is
transportation—
railroad transporta¬
other
valuable
by¬
means
tion. " The
product of
experiment with
operation consisted
our
Government
of the lessons that that costly ex¬
periment
taught
railroad
menj
,
j
.
:
carice
t
I
to say:
-
They learned the real sigmfiof
the
wheels
under
;
•r
plenty .of it. How about doing p" personal interest to millions of
is one example;/ :
/
Americans, for the first time.
something. to
help
win
the ;
spreading of the entire trafUntil now, OPA has regulated
fid volume throughout the year ;f game? foff'-. f '/ ■;
I at retail only the prices of au^
—which will enable the -rail"One- of.
our
troubles, .you
tomobiles,' tires, and gasoline;,
roads to handle' it \with their
know, is too many coaches and
bile industry
-'r
A
learned that the railroads could
*
^
not
"double in
riers and
brass"—as
operation of the railroad plant
20%
.
of
capa-"
more
.
reserve
rv
■'/
and: the latter in only 19 States.
not
enough^.players.
It* would
city normally idle except for
put joy in many a railroad
six or eight weeks, in the Fall;
/man's heart, to see the owners
and^. V ;■'
v < :'■■■$*. /'•■ ffof Railroad securities out on the
The determination of both the f field ? when : the
opposition's
or
.
car-
storage warehouses.
They learned that the efficient
as
■
;*
-
;v
■
-
.,
v.
#;
pared with $1,386,000,000 in the
■
same
period
from
farm
of
1941.
marketings
railrpads
and. the
Government
-
heavy hitters fcohie to bat. .I
for. the
I leave that—as a
you;
as
*
a
hoper-with
companion hope, to
that which I hold for the future
of
our
American railroads.
.
first
Income
totaled
47% /more
$1,795,000,000,
year.
.
.
;
/
,
-
;
*:
.
freight cars; wheels put there to
make movement possible'. They
on
.
:
■
Mr. Norris went
■
.
.
•
themselves." B
/•
.
.
2
months
of
than
last
Government payments in
Jan. and Feb. totaled $190,000,000
.
this
year
$169,000,000
compared
a year
earlier.
with
/v
1344
THE COMMERCIAL & FINANCIAL
CHRONICLE
r;: (before
application of statutory
j (pereentagfes); of -ih^Vidt^KMhd
Liberalizing Deductions For Family Expenses
Urged In Computing Individual Income Tax
1
.
.
*
taxable fiduciaries
tax:? fettfrns -rds£ f
i
family
•;
,1.
Medical
expenses—A .de-^should be allowed for
extraordinary medical
expenses
that
specified I
in
are
income.
of
excess
percentage
of
the
The
a
family's
amount
capital
gains
substantially
low that levied
■
of
net
on
other
on
the- estimated total! net
j
be-
-gains
!
sources
income, in his opinion, would |
give taxpayers
i
tax-rate
a
a
for
the
-
1937,
or
tax
-
"
and" wives'
together (/governments to., finance
them-;
purposes,4 would have /(/selves at anything like the
or
forcing
a
larger
;
income into the high
■
/
;; ent/cost would be impaired by
enactment
of the proposal. Lo-1
(/ cal taxes would be raised, they1 "
said;; to meet^ higher interest (
2surtax brackets.
The views
[:
pres-
effect
"amount of
capital
belowvthe-
were:
sponding:
;
strong incen-
-
average;*; Im both 1939 and 1940
v
of
law."; > .A,; mandatory joint ,,re; ;
ln .general, they, agreed that
turn, by lumping the income of /;..the ability
of(Siate(and. local.
.
•
(husbands
in the stock price
'
i
allowed
};( moderate rise
-
(.(>Imposition
applic*
wife
,
•
duction
pr^yi^ipn
i,(;A; scpre;;of; witnesses," tepre-j
to ^al!-income Mf Lhusbahd
—Renting- most of the States; many
who/are living to^
large municipalities,* and Yale
$661,400,4, ,:(gethe!( should! be enacteadntd
and
■
expenses
(,(j^(.(.:(,(,,(.:;R(;;(
Thursday, April 2, 1542
return-
5>able
filing income
000 in 1937 to $817,000,000-in
in computing J
! -'1938. ('(' >••••• ■ 1
individual income taxes was proposed before the House
/(((t:(-v-yy/Rry
Ways and
Means Committee on March 30
That this increase was
by Randolph Paul, Tax Adviser to
tempos
rary is shown by a decline -in
Secretary Morgenthau, who stated that "in view of the increases in
ttax rates which the
present situation necessitated" the following •..( estimated total net capital gains
(--from .1938 -to 1939;
^changes would be desirable:
despite ">a
A liberalization of deductions for
<
joint
.
~
the Boland bill of
on
PresTdent': ;bcnram "of ,' the
(New
rates:(''-R'/•; (;": [ '
:York Stock Excnange were incu¬ /(.((On behalf (of the Conference
( ;
lcated jjf our dvlafch zd. issue; page (. of Mayors and the
City of New
<12251' Objections to the
(/•York, ; 'William
C.
corre-
ambuhtsim1935,1936,
.
Treasury's
Chanler,
v
It is important to note that
jpropbsai'^lor^ihahdatory (j onit^; tax' v(President of the National Insti- ( (
capital gains. There are many ( despite the temporary increases ire turns by husbands ana wives
tute of Municipal Law
Officers
specified maximum amount.
I. Vways' in which this can be done, t: in - the volume df ^ net /Ccipifai jwere submitted to the House Com¬ ((and New York
City Corporation ; (
2. Credit for dependent chilh he said, mentioning retention of { gains for 1938 it was^not suffi- mittee on March 25 in statement
Counsel, declared:
y •(/
/
\ dren—The credit for dependent
corporate
earnings instead of I
cient to overcome - the revenue jcontained in a brief by Margaret (y :, "The Treasury would have (
children should be revised to al| • paying them out in dividends. ( effect of lowering the rate.* The Culkin Banning, writer, presented ( you believe that, the Supreme ((
:
under
such
deduction should, I
limited to some |
a
•
however,
be
;
tive to convert other income to
-
.
.
.
.
-
low
accredit
for-children
'
be-
The consequent increase in the I.
value of the corporation's assets i
.
;( tween the
:
are
ages of 18 and 21 who i
in: attendance at school.
( V
3.
Additional
(wife
[
where
the
works
outside
additional household expenses !.
:<"■ usually are incurred which are
|
not present where the wife us !
j
•
of
realized from joy
Mary H. i>onion, New .York ((Court has torn out of the
jrepreseiitative ( oil thed'eaef atioii j: stitution all limitations /
"declined
of
$58,000,000 in 1937. to $53,-
capital stock, >: 000,000 in 1938/1
and this increased value can be
(The "Wall Street
the I
home, I
the
value
revenue
capitaltransactions
from
would tend to be reflected" in
income—where
earns
.( wife
credit
estimated
its
dicated
realized as a capital gain by
selling the stock, he said. • > »
Mr. Paul claimed
that
the
Paul's
ized
that'-other
arguments
toilows:
( Business
i
and (Professional
j Wompn's rciubs; (The
JournaP'Mn- Mressi reportea this
points
were(
-
[( the
Associated
r
power of the Federal
/ernment to interfere
Con-
/
.
upon
:
Gov-///;,
with
:
the
as. ioiiows: ::
( |( sovereign rights of the State.((:((/.'
|1 (r^The suggested plan for a joint /• ( Mr. y Qhanler((warned / that(,.(
(''income returnvby nusbanas ana ((adoption of the.proposal would ((
in' Mr.
summar¬
[' mean ultimately the bankruptcyi
j/wives would yield additional
Great ^Britain 4pd Ganadn
Treasury proposal would elimi* U
j^dyettuiej*fto' doubt,'.and tax peo- I!: of every city of the country. He (
nate as effectively as the Boland I (do not completely
( said
tnat
exempt cap- I -«pie wno -(could and ( should: an
theyield /of /local (;
:
the maintenance of the home.
| measure any prolongation of de- ;(atal gains and: losses from taxa* i -some cases
bonded debts is predicated
/ in ;v(
perhaps.4pay more
". For this
reason, it is suggested t clines in security prices due to {-f tion; their procedure,
cannot be 1taxes," the brief
j
said,4'rbut those (.New -Yprk, as (nearly (eypryr.(£;
i
that an additional credit be
pro- i
recommended for. this
taxation, - since both proposals
ends
can
"country, I
surely be:> achieved [(where,.on the yield of.the real v(
vided as follows: There should !
2. * The' taxationsegregate capital losses and pro- t :
of ^capital
1 be allowed as a credit
[({WithouRvtamperihgrrwith^ the (yestate, tax, and added: (R
against
!
| ^ide; r for;( gains: .at ai,10%>; rate' cannot be
j ( (''ReM estate-in New York and<-ViV
'( the tax t upon the- family; an
justified when'hther:incOmeis
|y;jn practicallyevety other; city((:/ [
'
as
>•<
..,
.
V able
to
devote her
full
time
•
to !
.
-
-
?
r
amount
equal
to
10%
--Such
however,.... should
.
c
of
the I Av
He said the Treasury proposal I
to be taxed at rates
up to 90%.
"by ;preventing
losses
from j"' * •
Shdrirtei3En.
not differ from
being offset against other in- !
ordinary income
$100. A similar credit should be b come, would remove the
incen^ : ."in any respect entitling them to
allowed where a person occupy¬ j
tive to loss realization; by pro- !
receive favored
treatment.;-;(((
ing the status of head of< tne 1 ; viding a five-year carryover of j
A.
wife's -earnings.
-
not
credit, I
•
family, ( such ((asiv
works.
;(■
-
v,
«-
,
widow,
a
..
by
Committee
ance
:.
.
.
•
members
to
j-
band:";(
( vOthers who
gains
of
reluct-
after
losses since
could; be
((earlier losses.
offset
,
| Vs quire speeiaF^treatmeht because [(ih'come
the
they
later
:
accrue
but
years
are
over
a'
period
taxed in
a
oi
at a
the
Treasury
believed
that S
j (the committee three
Under the Treas-
{proposal, • therefore,:
{V capital gains tax could not
ury
Epstein; .New York Solicitor Gen- Rv
weeks ago
fense( J( Edward
the
Treasurer
"we
don't
want
to
I
the Moor
open
to
the
New
Commerce"
York
from its
bureau:
.
hut
mat
cerned
the
Treasury
his
Washington
" *(
/
con¬
/:(
v
,
>/.•
|
; Mr. Paul who had previously
|
{(.on March 12) presented to tne
{Committee
'
(
of
The taxation of capital gains
extraordinary (: and losses affects revenue both
only/ with
medical expenses.
was
"Journal
views
on
the
Bo-
the
the
31
Street
from
Journal"
of
its
Washington
bureau, challenged the contention
of
New
YorK
Stock
Excnange
President Erml Schram and other
witnesses heard
last week tnat
by tne committee
a
low capital gains
revenue
be
less
proposed
.Pon-(((
,y
that controversy over
:,./
levies may so de-:
lay
new
final
enactment of the new
that Federal revenues for
the next fiscal year will fall far
tax bill
gain be subject to
a
I -.constitutional provisions of
flat
rate of
i'
30%.";
:
(
The Treasury recommends 18 I
months as the
dividing line be¬
tween short and
under
long-term gains [
some
states
which
community property
As
of
have
system.
representative of
married
taxpayers
a
the
-
•
group
in
tne
3
5
<
short of the $9,000,000,000 increase
asked by President Roosevelt in
January. We quote-from Washington Associated Press aid vices
(
<
March 28, which added:
•
(
~
With -the
at the option of the taxpayer, ( as an attempt;by tne Feuerai /•Means
that the actual amount of
long- j - Government to set aside the
term
Treasury believes, first, that the
yield from capital gains
will
of
the:
House
Committee
or,
direct
losses
Education
a
long-term
capital gains under the; present ( nusoana and wife • as separate
law
and
for
the: Treasury (i-and thus taxable separately. % •'
recommendation that long-term ;
Representative
Sumners
of
gains be cut in half before be¬ ( " Texas: called the joint-return
i
ing included in taxable income
unconstitutional, describing it \
and losses will be greatly in¬
creased; they take little account,
if any, of its indirect effects on
the yields of other taxes.
The
and
over
higher than it would have j / Orleans - attorney,-... denounced
been if the gain had been taxed ( the joint return as "grossly disas it accrued over the
years," he | criminatory and unfair": to tne
said. "This is the reason for the I v nine community property States
j whose laws treat the income of
special treatment of
was
"Wall
of
American Municipal
former
may : accrue I
Association,;//(/
ditionai revenue. :
and Carl H.
period of time,: but are
Chatters, executives
In advices to; the (New York director of
the Municipal Finance v
included in a.:single year's ;in("Times'(from V/asningion, Marcn Officers
come
for tax
Association//
' V
(
purposes.;; "The
2b, it was stated:
/
concentration of the capita! gain
.»y Congressional leaders conceded (
j -( - Charles E. Dunbar Jr.; a New on March 28
into the year of sale makes
{ that
tax
Bill
March
Board
,
indirectly by
(H. R. 6358), reference (.
raising or lowering the yields
made in our Marcn
j; of other taxes, particularly cor$9
issue, page 1151—again ex¬ t
(porate
and
personal
income
pressed his opposition to cne pro¬
taxes.
((, ((-y/ -(v; (
posal in. the Dill for a flat iU%
The proponents of H. R. 6358
lax
rat/e
on
capital gains—Mr. k
(Boland Bill) claim that taxes
Paul, it was noted in actvices to
paid directly on capital gains
Jand
to which
<•
-
'
-
-
.
( hearings
up through the middle
April,-Senator George said
( it was unlikely that the Senate
-
f
,
Ways and
scheduling
k
of
( Finance Committee, which he
( heads, could begin consideration
(- of thet
revenue
measure
'
until
because gains on assets held for I
State
of / Wasmngton,
former ; June.:
,-■ > ;((•(//((,{r(:.
((one year, or less, raise no ac¬ i .United
States;..'District Judge yThree
months
ury proposal; second, that H. R.
more ;
thap
crual
problem and-hence are
j; - George Donworth - argued that t; might be required, he said, be- / ■
6358 will lead to a significant
clearly short-term while gains j the: proposal was "wnolly unloss
in
revenue
from
other
/(fore the bill could be passed by"
on
assets held for
transactions and would help snift
exactly* two ; just,
unfair; and
unconstituthe Senate, the
taxes.
differences of
a
years, or more, raise an accrual j
part of the war financing load
tional." He cited decisions of /(the/ two houses composed and
The yield from capital gains
from the Government to private
problem and hence are clearly i (the
United ; States
the measure sent to the
Supreme
Presi-,
depends
on
many
uncertain
long-term 'gains, Mr. Paul ex¬
capital.
From the same advices
Court that income taxes can be
;dent for his signature.
factors: The level of the market,
we quote: '
plained.'
assessed only against the owner
j
anticipations of future prices
He Mso said that the present
On
capital gains, Mr. Paul
I: .of the income and that quesand
future taxes, the cost or
declared that a flat 10% tax rate
( alternative flat rate Of' 15% "on NionsMf-Owhership. are /purely New WPB Finance Bureau
basis of the assets in the de¬
would
be
"indefensible
when
long-term gains was enacted in ; State questions.
Organization of a Bureau of
!((/:/'•(•((/-;
mands of holders, distribution of
1938
when surtax-rates were
simultaneously we are proposU On;: March 27/ the: Committee Finance.;in-.the War.; Production:
much lower than they now are
ing that other sources of income !'•; assets by income brackets, and
heard Treasury proposals to tax Board to .assist contractors and
to
which
individuals
< be
taxed at rates
and that, he thought, the tax
as
high as f( extent
the income of existing and future subcontractors in solving financial
holding assets with gains also
on capital gains should increase
•i 90%."
■'<
r
"
'
*:•
State; and .local (securities de¬ problems in connection with war/ • f
Enactment of the Boland Bill, ( hold assets with losses.
along with the tax on other in¬ scribed
today as "a subtle at¬ orders was announced on March
■:Mr. Paul said, would result in a (/
come. "If an alternative
Further, the immediate and
rate of tempt" to extend the boundaries 28 by J. S.
Knowlson, Director of (
'loss
in
revenue
and
15% was appropriate in 1938,.:it of
would
long run effect of any change
Federal power under the pre¬ the Division of-Industry Opera¬
in the method of taxation may
facilitate tax avoidance.
is far too low today," he said..
tions.
( text-of obtaining war revenues.
://(■(
differ. Even if lowering the tax ;
(( He argued that those who
/ In
advocating a joint return Stating this, special
The Burelu will take
Washington
over thefavored
the
Boland
which would apply tor-all.;, in¬
measure |\
op capital
gains increased the
(advices to the New York "Times" functions and: personnel of the
take little account, if any, of the
volume of gains taken for a
come
of husbands-and
wives 'March 27 added in
part:
; financial
rsection of the contract
short period—which might hap¬
indirect effects of capital gains
living together, the Treasury r( Although the Treasury pro- distribution branch of the WPB.
and losses levies on the yields
has changed, its original posi¬
pen if the tax change were not
) .. posal had been advanced as a production division. Bradley Nash,of other taxes.
( expected to be permanent—any
tion.
Previously, the Depart¬
who has been head
of this finan¬
( means of "voiding special tax
such immediate increase in yield
Mr.
Paul
also averred that
ment had. contended that some
((privileges'* and ^"reaching the cial section since June, 1941,-will
even
if
lowering the tax on (■ would be at the expense of fu¬
exemption should be made for
be chief of the new
rich
man"
who
has ' "taken
unit.
•«;/ , '
ture yield,
earned
capital gains increased the volv
:
income
in ; instances
y(.
( refuge" In tax-exempt securi- ( The Bureau will make no
> ume of gains taken for a short
where both, husbands and wives
loans
Such a temporary increase in
i (ties, y mostof
the < witnesses nor will it disburse
work.
period, "which might happen if
any funds to
the volume of gains occurred as
,v.\; {, agreed: that it <wou}d produce contractors, it was pointed
;
the tax change were not ex¬
Mr. Paul; told the committee
out,:
/- a result of the imposition of a
:<
only a small amount of added but will furnish financial
pected to be permanent," any
the Treasury has given careful
advice
low flat rate maximum tax on
(revenue but would add greatly and assistance,.to companies en¬
such immediate increase in
consideration to the. joint re¬
yield
long-term
gains
under
the
gaged in war production or
would be at the expense of fu¬
turn issues and has ."reached the
to the cost .of / State and local
de-(:(
Revenue Act of 1938.
The esti¬
sirous of
ture yield.
obtaining war contracts
*
conclusion j that. a
mated total net capital gains
mandatory I (government.. • / /.,/. -r:/(.,'■ -.s,
or
subcontracts. " ;
v, - :
tax,
an
sucn as the
10% levy provided
the pending Boland
H. R. 6*358 than under the Treas¬
Bill, would
increase the revenue yield from
this source by stimulating capital
.
-
'
"
.
,
*
•
•
<
.
,
»>
-
(
-
.
-■
.
-
<
<
tiac, Mien.; Mayor Charles E. Lee
of Decatur,
111.^President, of the
the
directly and indirectly.
It affects revenue directly through
taxes paid on capital gains. It
affects
/(
Larson," State>/
of
Florid^; Charles G.
Oakman,/ Controller .(/of Detroit;' IV
Louis. H; Shimmell,
representing
-
for the ordinary medical expenses
that go along with every laniiiy,"
/,/
Princeton; Henry :-./.
erai;Austin .J. •; Tobin, .speaking
for Jhe Conference on State
De-
year.
:
Likewiserironirthe ^M paper
(((that tne present-permission for
(("Wan Streetlourhal":);We ouote; I
medical expenses up to 5% of net
-tiharyiediMoiipleS'fp tile separate
conincome are normal medical >ex¬
|
On' the* latter^
I (;re^ha couid hot he jtistiiied ih
j
tribute to the prolongation of a
told '?the( comniittee
that." the
penses with anything above, up to [ -decline in security prices.".
5 ;
[.( time of war and termed it/ an
major reason for differentiating
$2,500 over-all top, deductible as
i(/example/ of ^special favoritism."
j;t In submitting his views, Mr. j v between long-term capital gains
extraordinary
expenses.
It, is Paul hau the
j - ;He said mandatory j oint returns
following to say, as i
and short-terrri capital gains-is
added that he
j would yield $300,000,000 in ademphasized that indicated in the account
March 3U
that
n,r
i
DHyFred BvFair-
of Economics at:
higner date than1 if
{('she Were 'single!" *"
single
were
child,;. Professor, of Economics (at
jyale.; JDr. Harley Liltz, .Professor
•
against
.opposed the Treas,
plan
ury
Longrterm.eapitaLgainstei
remove
repurchase
realization
'
.
i
;
losses, it would
I
According > to
the >? Associated
Press Mr. Paul said during ques¬
tioning
j ••-a:.;Y:w.omati-(s'eparaieM property | -in America is paying,every. cent(;/.}
j; Yights/frpm those oft Mer hus- ( of taxes,/it/ can ; bear."/(;
-
exceed K
<
,
•
Volume 155
•
f
,
Selfish Demands Of Labor For Wages,
Increase
Coiton I Textile^ Industry/Must
1345
FINANCIAL CHRONICLE
THE COMMERCIAL &
V-
Number 4060 V:'a.
■
Asked To
Hours
Demands
number of ma^
l^f lUse of Machines To Meet New
Hit
By Babson As Periling Our Existence
Oppose
;
The
Industry
and
Commerce
•
Association of New York,
argument against the stand of labor in insisting on peace¬ March
hours and wages, Roger W. Babson of Babson Park, Mass., de¬
'.—
•rln
....
St. Lawrence Project
k
Inc.,
on
an
25 urged support of the
expansion in the average
,
time
resolution recently.'introduced ~inQhine .hours.: worked throughout the year will enable the. cotton clares
fhat "our most dangerous foe today is not Hitler: It is not the New York State Assembly by
textile industry to meet ''the present apparently limitless demand,'ijapan.-;'It ris our own-refusal to give1 up our selfish privileges for Assemblyman Frank J. Caffery, in'
according, to,. W. Ray Bell, President of The Association of Cotton.
the duration of the war." "From the evidence at hand, I regret to
opposition
to > authorization
of
Textile Merchants of New York, in the Association's 11th annual:
say," Mr. Babson states, "that laboriseems to be one of the offenders." funds for the construction of theX
survey,; made public March 26.
New high record figures for 1941:. Mr.;; Babson,; whose: views werew>
Lawrence
Waterway 'and'
confined to the duration of the St.
;in practically every major statis-^—^—■'#' :■ "
'■ 1—■■■■
:
expressed in the March 14 issue
a directive of both,
tical category are shown in the""p price - as
i t war.-;
-..k. 4 Power 'Project as provided forr
P /production 4 and - distribution. of the "Christian Science Monitor"
S.
". After .the .-.war
is over - the in [the two Rivers and Harbors!
/survey, together with a diminish¬
XX Fortunately, ceiling price sched4 of Boston, pointed out that "I have
Bills
now
< pending
before the
i' former provisions would autoing but stilladequate/supply of
4 ules X are
on Xa
sliding ;scale, always been on the side of-those
House of Representatives. A,-/;-'''.
essential cotton textiles for civil¬
Who; have been working, to raise it matically-:become- effective
geared to changes- in the-i price1
In letters addressed to mem-,
ian use.
It 4s indicated that cotthe ..workers' standards of living." | again,' Such' action would carry
of raw cottony pkP
i
out the expressed wishes of the; bers
of
the
State Legislature,".
f-10,583,000
"I have ,always believed in collec¬
XX;; Since
June,/ 1941,; the- last
Thomas
Jefferson
Miley,; * the;
bales more than doubled the low
i
President.,
:J.f. •
' ■'<
month of free marketing, there tive bargaining "rs.k* (
Association's Secretary, said the;
figures at the beginning of the 4
has been a decline of 1.5 cents
Making " the
statement ft hat
diversion of some 90,000,000 man:
decadexwhile the output of woven
per pound in mill margins, ac¬ "Democratic
capitalism must be Names Used"Car Guides
hours per year [from necessary
cloth nearly doubled, and spin¬
companying the. rise of 3.9 cents dynamic,'kMr. -Babson- added: - 7
war work would be "a tragic dis¬
ning activity increased 75% dep per pound in cloth prices and a
k",
Under Credit
: spite
sipation of sorely needed man',
dismantlement during the
: It
cannot stand still if it is
gain of 5.4 cents per pound .in
the instalment i credit power; when our war program*
decade of one-fourth of the equip¬
k to succeed against the inroads j X Under,
X raw cotton prices.
Meanwhile,
calls for maximum production in;
ment in place at its beginning.
'.. of other systems that are abroad jregulations as they were xecently
amended effective April .1,' the
wage costs, the chief element in
1943." x Mr. Miley declared that;
In his survey Mr. Bell points out
[kin J the world today. ; Further-;
PmillX margins," :have .. steadily
Icredit value of a used automobile, according to the best authorities^
that even on top of all-time rec¬
more, I realize that the hardrisen
to
new
heights for. all
the energy power sought to be se-:
ord levels attained in the year
| & won -.-advantages
which
the, jinstead of being based solely on
y
Only another major
•
1
..
*
;
'"
j
Rules
i
,
,
.
.
-
fX;ti:meXXPpXXkp; &
preceding, 1941 showed 31 % in¬ P
With ■'/ customary- ; supply
crease
; in
consumption Xof raw
sources
already heavily- taxed
cotton, 24% increase in mill op¬
to fill the increased military.
erations as measured by spinning
•'
demands, it is hardly premature
activity, and the largest year-toto look for additional shifts of
year gain ever recorded in woven
product on the part of mills
cloth production. ;
/
normally operating in other' di¬
It is added that the all-time high
visions.
This growing diversion
record production of [11,898,362,from fabrics attractive to civil-,
000 square yards of cloth in 1941
ian distributors to basic needs
•represented an increase of 2,300,; of
the war program will not
000,000 over 1940, and 3,500,000,"necessarily diminish: the flow
•000 square yards, or a gain of
of goods through regular trade
42.5% over the pre-war five-year
channels, except to limit quanaverage; 1935-1939.
tities of some articles for purely
:
v civilian consumption.
It is also
p "Following the pattern of pre-;
vious
experience,'V the survey
expected that essential civilian
;
j not be thrown away. I say this
-
much
concerned and
as
friend
a
of all
former As-
-
tMives; 1 The
X
'■
•
.
"
ably
,
Reserve.
System.
The
per and steel would be diverted'
from war requirements for the
armed' forces in order to. con¬
struct this project.
Every par-,
The
Board's
now
encompasses, us:
If
XX the United Nations are defeated,
; X the
status /of. the. 'American
! k working man and woman will
designated by appropriate
be degraded to
p
that of slave
.
reduced and substitumade necessary, there is
be
to grant labor the 40-hour week.
p
pf
tide
announcement,
arid; Industry,
energy
should be concentrated upon to
States the
provide the arms, amfnunition,
ships required by the Army and
Navy, to meet the powerful and:
designated
certain
aggressive foes with whom we-
editions of the N. A. D.
A. Used
.
which
-
..
'
•
Federal
k of all the values we hold dear jissued -March 23, further said: •
[4 is at stake in the global war
:For use for this purpose in any
.
•
1947;
or
stated.in one of
as
:1-; [It is also evident that a very j
|the used-cars guides designated
large amount of vital war, ma-,
:by the Board of Governors of the
t
terials such as aluminum, cop-
continued existence I
•
Vincrease in running time
adds:
survey
•
value
,
1
ratings, will be supplied through. k labor.. This is what some Congressmen seem to forget when
unprece¬ 4 normal" trade agencies: ." Al- ;
dented
records i of cotton con¬ U though the number of available iy they insist that, .in. this grave
sumption and mill activity," the k constructions will unquestion- ; emergency,ewe must continue
these
for
retail
not be available for use
Board has now determined;which
grim fact confronts us, used-car guides are to be desig¬
nated initially for the purpose of
however, that we as a people
are today fighting for our very :thls rulei
,•
;
^
-
*
responsible
purchase price or j2) the , average
project would;,
until 1946;
The letter continued: X 1
this
under
cured
The
-
•
uses,
good
a
p sistant to ; the Secretary of
:: Labor during World War I. '
-
l)
.as
i
-
states, "more intensive operation
of existing equipment was chiefly
the purchase price, must be based
the lower, of either (1) the
workers in this country have jon
£ achieved - over the years must
; -
-
j
part -of theUnited
:
Board
has
are
Car Guide, the Market Record,
and
the
Red "Book
or
Blue
;
at war;
'
While the Congress is
ing
Bpok; Certain other guides have
also been designated fori use in
r
particular sections of the:United
States; these arte Market An¬
alysis Report (published at Bos-.
k'ton),1 American* Auto Appraisal
k (published at Detroit), WisconX sin'; Automobile
Valuation
U Guide, Nebraska Used Car Sur-
new
and
for revenue
additional
for
means
.
'•
search- ;
and
while ■
proposals are being considered'
additional and burden-!
taxes!upon the people, the;
to levy
some
proposal to expand huge sums
X tions
of money on projects such as:
k According to Mr. Babson,X'when
divergent p no reason to doubt that produc¬ we cease to think and act as labor
.the St. Lawrence Waterway and
tion will be ample to provide
methods, but basically it rep¬
union leaders, or as farm union
Power Project would be an in¬
for all essential requirements.
resents
a
major 'extension of
leaders,: or as corporation officials
defensible use of public money
round-the-clock operations on
and begin to act as our embat¬
that is sorely needed to defray
j X; vey, [Kelley - Blue Book (pub;.P- a 40-hour three-shift basis plus
tled - forefathers
did at Bunker X lished at Los Angeles), The Ofthe cost of the war.
X X- :
Rus*o-Jap Fishing Pact ; Hill and Valley Forge, we shall !•- ficial Guide (published at Los
X- considerable overtime work.
Early activity for the current : The Soviet-Japanese "fisheries .begin to win this war." He went j
Angeles), and Northwest Used
Car Values (published at Seatyear has started at even higher agreement has been extended for on to say: %
f [V- • - r
^ ; *
H. Emmerich Heads USHA
levels. ; Cotton consumption re¬ one year," it was announced in;
j tie). Detailed information as to
The Senate on March 23 con¬
ported for January and Febru- Moscow on March 21. The pact j :;y Even apart from primary pawhich of these regional publica■k triotie reasons, labor must real- ]
firmed the nomination of Herbert
; ary showed a net gain over last had expired on Dec: 31; 1941, In
XkizekthatX by; insisting on the k tions, and which editions of the Emmerich of Illinois to be Ad¬
national publications, have been
X*: year of 246,000 bales of purely reporting this, Associated, Press
X retention of its favored peacemill consumption for the first Moscow advices said;:v; ,v p Pf"
ministrator of- the United States
j designated for use in any. par-:
p time hours and wages status, it
two- full 'months of war effort,
ticular territory, may be ob- Housing Authority, which
vkAprotdcok to /this^effect-vvas
is a1
p'is bringing down upon all of
The total was 1;840,000 bales. >
signed at Kuibyshev by Audrey
j - tainted from any Federal Re- branch of the new National Hous-'
p us the full fury of inflation.J. Vishinsky, VicerCommissar of
ing Agency. Mr. Emmerich," who
It is stated that spinning activ¬
| serve Bank or Branch/, :;
i
X Leon-Henderson is absolutely
: Foreign Affairs, and -Lieut-Gen.
has been Executive Secretary of
ity also showed betterment of
A dealer is not required to
; X right in his stand against wage ;
Yoshitsugu Tatekawa, retiring
the War Production Board, was
more
than -15% over the .1941
j.v increases,
higher farm prices,- i use any particular automobile named
by President Roosevelt on1
/. period.
The statement continued .Japanese Ambassador to Rus¬ ;--and other- attempts to-hasten
appraisal guide, but, for J pursia.
"
~rr
/
.t % . X /W
March 17 to succeed Leon Key-;
vin part: ?
• • ■•
••
> ; '
I
poses of complying, with ReguThe
announcement of the jkthe inflationary spiral. "The re- X lation W, may use quotations serling, who has been acting head
Whether thistfresh / peak of
! - tention of the
40-hour week is
of the USHA since Nathan Straus'
agreement said there had .been
activity can be maintained or
ikonly an oblique insistence on ] ifrom any of the foregoing pub"an exchange of notes" on 4he
resigned. * Mr. Straus' resignation1
increased throughout the year
f further ••wage- advantages;
It j - lications that are designated for was noted in our issue of Feb. 26,
question.'
;
k •
-r
will depend in large measure
j
use in his territory. The maxiUnder the terms of the exten¬ j ::marks the point at which overpage 847. ,r ,
<
^ *
'
upon the success of individual
mum credit : value of a used
,time pay starts.
I know work- ;
sion of the compact (covering
i
John B. Blandford, Jr., Director
automobile on Or after April;!:
plants in overcoming limitaj, fishing in Soyiei; territorial yyat- pers are perfectly willing any - will be 66% % of whichever is of the National Housing Agency,
Xdions of labor supply and equipk time, in; war or peace, to work
ers off the Siberian coast), the
the lower of (1) the cash pur- recommended the appointment of;
! ment, especially where there is'
j
.48 or even 54 hours a week. It 1
Japanese agreed that their fish¬
the "ap¬ Mr. Emmerich. X Mr. Blandford
X a lack of balance in the ma¬
IX is.,solely a question of wages - chase price, or- (2)
ing companies ; wouid not bid
praisal guide value"
(as de- said that Mr. Keyserling would
chinery for preparatory processk / - : j termined from any designated become general counsel of the
during auctioning at five of the | : that is involved. X >
ing/k::pXXXXX;;:X XX[Pip ■X:
twelve fishing grounds on which- |
When wage increases are ab- ]- guide). An exception is made NHAk- ■ Pk, ;.:P.X PX. PPPX;'- P
Army and Navy requirements
the rent period expired last De- jksolutely necessary, they should
for
cars' of 1934 . and' older
k
J The
effected
was
:
by
•
i
-
-
•
•
'
i
-
•
-
.
.
'
.
.
.
.
.,
-
•
-
:
:
,
-
were
fully satisfied.
Commercial orders during the
1941
in
.
.
priority needs.
■
As
i
XX
in
demand,
7
•
; ;
period of high
advancing costs,.and
every
supply,X, inventory ac-
j limited
cumulation
was
greatly
en-
of distribution, especially those nearest the consumer. . The pychology of replenishing inventories
/spread beyond the trades to the
couraged in all avenues
,
y
.
..
ultimate
The
subject to apportion-
j ment, delay, and even cancel¬
lation, if they interfered with
'
1X be paid in the form of defense
stamps and bonds.
There are
agreed to
pay 20%; more on all payments [• two good- reasons for this:. (1),
It would help sop up the, surplus
made
by their" fishing'[ com|> purchasing' power that would
panies. -XfXXpP
cember.
■;
had to wait
first half of the year
their turn,
,
who,
consumer
on
•
„
,
,
models,
Japanese also
for
which the maxi-
mum
credit value will be
66%%
purchase price, as at
present, without the require-ment relating to the "appraisal
infla■XXguide value." . / X j'
;
(2) It would' provide a
ciated Press advices from Moscow k tion.
The revised regulations were
I X grateful cushion for the workhad the following .to say
given in our issue of March 19,
ers. later on against'the dislocaAn
authoritative British
f
"•k :
tions of the early post-war Un- pagekl53.spokesman said today that the
-employment-period, when such
renewal of the Russian-Japan--bonds,
converted y into i.cash,
| ese fisheries agreement was en¬
Warns Of Sixth Column
•Would come in very handy.. In
tirely a routine matter which is
f: fact,
I believe more of present ji President Roosevelt On March
unlikely to have any great sigwages should be paid in defense 24 said that there was at work in
nificance in the field of inter¬
X* stamps'. - y." *• k ;k;k!;:X;r;k::xk:-XXkX this country a "sixth column" who
national relations,
•; v r ?'• 4 -/:
;
:
>XLabor is making a fundamen- wittingly or unwittingly is carry¬
Another informant * said - the
action could not be construed as ; t tal X mistake if' it insists that ing out what has been devised by
peace - time
prerequisites^ are the "fifth column." The President
any real rapprochement by the
> •
permanently endangered if they said such activity was to be found
Soviet Union and Japan. ;
. ; c-
4
Under
t
date of March 21
Asso¬
/-'otherwise go to
speed
:,
up
.
1
•
-
•
'
"
--
•
■
various
occasions,
XX heavily to
X
and
.
;
provide against po-
shortages,
further
General
-
.
.
He
price.
for price
apply to the
rises in
now
•
V. major
<
rics.
portion of primary fabInitiated
last
July in
•'
fashion, they 'have
served to eliminate
normal market function of
the
his return here in Januthat there were basic differences between the two "na¬
tions that could be settled only
ary,
piecemeal
gradually
<
:
by force.
v3 k.'k1 kkk ?:v;
temporarily waived as part in the newspapers, radio and at
total:, war .effort.
I be- cocktail parties and in conversa¬
lieve that some • sort pf legisla- tion./ Calling this sixth column
-are
X of
r
upon
•
'
•
•'.
recalled the statement "of
Stafford
Cripps, s former
British Ambassador to Moscow,
Sir
formulas
determination
'
up
depreciation
quality of goods available,
tential
in
.
stocked
.
l
c
the
Panama Issues Bonds
"
•X of the cash
In order to secure funds
;
development of the agricultural
program,;, the
Government ; of
Panama on March 1 made ■avail¬
able to the
public $500,000 worth
6% inversion and
of non-taxable
bonds,
Savings
;
according
ports to the U. S.
to
re¬
Department of
available by the
latter on March 16. Interest will
be paid quarterly on the bonds,
Commerce, made
which
tions
were
of
issued in denomina-?
$10, $50, $100, $500
and
$1,000 and are redeemable in 20
years from a fund created by a
levy on the national income. The
Department also states:
X :
[
~'
■
Due
to
the
large
amount of
savings held by the banks, authorities believe the bonds will*
X-
the
work- work to the attention of the pub¬
have a ready sale among all
contained in lic, Mr. Roosevelt explained that "•
"classes of people, particularly
17 Federal" laws should be en- if it were not for them the fifth
in view of the attractive interacted.
Such a repeal can—by column would not have a vehicle
X est rate.
the " legislative
act
itself—be to distribute its poison. --k-k;rk
tion
r
X week
suspending
.
limitations
"
.
v.-
;
for the
>*'
i.
1346
THE COMMERCIAL & FINANCIAL
CHRONICLE
v
>
/,
_—»
going past Jthig- .ifeual
Planting Intentions^as of Marchl||f942
at
The
Crop Reporting Board of the Agricultural Marketing Service
made the following report
public on March 24 on the-indicated
acreages of certain crops in 1942, based upon reports from farmers
the
power
as
may
Quitting tipe
of
reserve
increasingly
the
port for the United States, on the
acreages
of
certain
crops in 1942, based upon reports
farmers in all parts of the
county to the Department on or
1
usually
matoes /and
regarding. their
onions
1942
less
than
To¬
and
based
are
other
on
on
past
for
not yet
material changes in
hand.
on
relationships; .between such
any
acreages ./ actually their total.,v
; ,,/
i;
These increases in/acreage
planted.' /
///r.
The purpose of this report is to be partially offset by a substan¬
pects
reports//and, /
large
are
be¬
of
Prices and price
also
are
favorable
to
limit
the
Corn'; Belt
the
States,
in
Eastern
prospective ladding to it the intended
spring
wheat seedings gives a total, of
;54,100,000 acreage seeded for the Z
1942 crop.:; This does not allow
consin^/with'vlllinois, ^Indiana and
Michigan each ^showing am in¬
fi¬
program
,
increase
For
acreage.
war
expected to take up that acre-:
Adjusting the winter wheat
seeded acreage as
published last /
December downward
by about a
half-million acres to allow for
failure to seed
up
to intended acreage in these three States and
age.
increases^ over/ lastyear
-rdnge
from 2% in Ohio to 6% in Wis¬
pros¬
nancially most farmers are in bet¬
ter position than usual to do what
they know should * *be done. * A#
of
lowing for increased mechaniza¬
„
tended
corn
feed
and
crops needed in the
are
allotments and
acreage
little spring wheat
very
wheat to offset the
heavy reduc-/
tion in winter,
wheat, since other/
greater feed needs for 1942 have
encouraged larger plantings, but
large increases in soy beans have
years.
light and
reserves
favor¬
are
*
acreage/ Normally,
grown in this area, and there
ap¬
pears to
be
no
shift to spring;
Dakota, inten¬
indicate farmers
increased
of subsoil moisture
has /been
and livestock have been
there
vegetables do
indicate
back
there is,
ing barley pver corn to meet 1942
feed needs. In Iowa and Minnesota
and the Eastern Corn Belt
States,
appear
and early cabbage will ,be
shown herein for grown on much larger acreages
interpretations of reports than last year, but current reports
growers
of lack
there
<
hold
to
In South
corn.
tions
war
Prospects for water for irrigation
favorable, range conditions
are
good, winter losses of crops
/ for,, canning,
peas
tendency
cause
than
grown.
acreages
are
from
been
the
as
to
progresses^'
weather ' conditions
have been favorable and there is
year,
would be somewhat smaller
have
acreage plans for the 1942 season.
-/"The
last
over
with, these increases
the acreage of each of these crops
but,,even
from
about,; March
7%
tobacco
and
indicated
serious
Missouri, Nebraska farmers
shifting from grain sorghums
are
*
following re-*
wheat
and'
arise.\y
culture
makes
.
man
While the"/ problems of labor,
equipment and supplies are per¬
plexing and are likely to become
-
jnd
>
usual
in all parts of the
country to the Departinent on or about March 1
regarding their acreage plans for the 1942 season.
>/v.'V•../•/•
The Crop Reporting Board of the U. S/ Department of Agri¬
,,
Ao4^vexcessivety;
^Thursday, April- 2^4942
Missouri^ : howeyerK:4;wet
less :.wet Soil'icohditiort
pribi/ td/plant* weather
pfevented'conipietib'h/bE
'ing small grains are
encouraging seeding some of the intended
to meet such emergencies a larger corn
acreage in Kansas winter
night,v but 4h
than
Y/'V ■ ''' Y,'
for such volunteer wheat
as
may
crease of 5%. ;'•/://>//:vbe/,harvested as a result of the
In the North Atlantic States ex¬ recent
in mak¬ tial decrease/ in / the .acreage
ruling-of the Agricultural
pected .plantings show an increase Adjustment Administration
ing such'further changes .in their wheat because of tbe large.supply
affect-,
tion of the farms, recent increases of 3% over last
; /
year. ;* The South
acreage■■■;, plans as. may* .appear de¬ on hand > and the'"lower< wheat
ing volunteer wheats The amount
in efficiency, the upward trend of Atlantic States
show a decrease of such
sirable., The, .acreages
actually acreage allotments set by
the
acreage may not be fully
planted in 1942 may turn out to Agricultural Adjustment Admin¬ crop yields- and the record num¬ of 2% compared with last year, known until shortly before har¬
bers of producing
be larger
livestock/ the with Georgia, the> leading * corn vest. "V.
The acreage seeded to
or
smaller than the istration.
•/?»«;./.,,,Cv. "W /.
{' /[',. Yy-'-y
of
agricultural State of this group, indicating, a
indicated acreages here shown, by spring wheat is expected to show national output
/ :If thfe. Abandonment .of : spring /
products seems likely to move up ;drdp/ of ?7% .^w;The .ilndicatedt porn
h
reason j of.
reductionJ-of 9%. / Taking as into new
/weather;/conditions,
wheat » is about the /same as. the" /
high figures this year acreage decrease is mostly a re¬
/ price changes, labor supply, finan- winter wheat to be left for har¬
average of the 10 years, T930 to •
/ cial conditions, the agricultural vest a little less than the acreage if weather conditions permit. «y." sult of an expected shift to pea¬ 1939, excluding the two: abnormal//
nuts, n The South Central States
conservation program and the ef¬ estimated last December and add¬
'"On
the
whole;- the* 'acreag
years, 1934 and; 1936,. the acreage
fect
of this
report itself upon ing the acreages of other Crops which farmers were planning in vindicate an increase of almost of
spring wheat for, harvest this /
farmers' actions^
now' indicated, the total, f6f these early March appear well fitted to 2 ^% witli Texa^,/Oklahoma and
*//t
assist growers generally
.
* * *
1
* *'
*
*
•1
-
.j
S
*
*
1
*
*
*
*
.
«,
x
1'
—
, -
*,i
*
*
■*
-
.
u :v-
f.v
&.»*.'J
I
/Z'Z
Y',
,
"
-'
y
■! Indicated
1930-39
VCrop—'■*1
Corn,:, all
;i-V
■
All spring wheat
•
21,762 A
3,418 >
••<;/ Durum-.
"'v
Other spring
.
.18,344
Barley
.
■
-
1
Y
Bice
All sorghums *«
x. 'Potatoes
Sweetpotatoes
.
-
j
I
3,365
< —:
v
1c Of 1941
91.3
Z
2,201
•
fe
,
•"
i
v
?
"i?
119.9
c'i
y
94.0
/
2,304
!,446
2,412
14,085
100.7
*
102.2
.
759
1,350
b
84.8
120.7
^:
if weather /conditions
in¬
be .about
acres.
.If
winter
wheat
indicated
as
expected shift to oil crops in Ala¬
the
is
in
/12,918,000,
Z.Ul
abondonment / of
about the same
the
Board's
De¬
cember,* >1941,
report/ the total
Mississippi. / While Wheat
planting dates
acreage for harvest ip 1942
or
if a review of present plans most Western States indicate ] a
would be approximately
49,200,indicate that changes are needed. smaller acreage than / last year, 000 /
acres. / The
acreage
of all'
In fact, changes in plans for po¬ the prospective increase in Colo¬
wheat harvested in J941 was
55,*tatoes and peanuts have probably rado is enough to offset the de¬
831,000 acres," and the 10-year'
already occurred, in some ; areas crease/ in * other States, and this
(1930-39) average is 55,884,000
where
the
farmer^: had : not section as a whole is expected to
acres/;;////:/.;/:,/';;/
been t informed T regarding / the plant about 4% more than last
102.6 -
115.7
4,037
T1.454
17,070
,
.
bama
terfere with usual
92.5
13,086
..,40,377"
18,208
3,367
1.257
18,169
;
pected
104.8
15,287
2,793
'
1,676
1,942
.
,
i
as
91,348
15,080
-
•
r:.,: 882
»
Tobacco
Thousands
...
39,363
>:
1942
•
14,144
;
,12,157;
—.
Beans, dry edible—.!
——
*Soybeans- w.k--————-
943
Y/Y 1942
..
87,164
16,741
2,597
i
12,713
2,40.6.
rk
>
Flaxseed
•
...
/39496
Oats.,
•.
.
Thousands
i
101,081
'
~-
■
•
D
1941
'
Thousands
>r,
—
3S(
V
would
year
- needs -as
they •- ap¬ Kentucky; showing / sizable, in¬
offset /the
peared at that time.
Some devia¬ creases /to
drop/in
tion from these plans is to be ex¬ planted acreage caused by /the
prospective
Planted Acreages—
Y!v.YY YY
Average
:
li
107.1
needs
new
104.7
.
and
incentives
-be¬
and
>
Oats/,///•*,"/' / ;
year.//;.
Abandonment* of corn/Bcreage 4 Prospective plantings of oats iri:
reports - were mailed.
•Cowpeas1
i-L.—
; 2,647
103.1
3,780
1942»are indicated to be
3,898
In
40,377,000:
general, /seedings /of .early has varied from .1 %' in "1929' to
•feanuts
——i
1,951
2,498
166.1
iJ:
4,150
planted
crops
• are
tTame hay
^
56,102 I
likely; to 7.5% in each of the years 1934 acres, a -2.6% increase over the
102.7
?
59,232
60,831;
:
Y 833 ■:
795
Sugar beets
be rather close to present pros¬ and 1936 over* the period/1929 to 39,363,000 acres planted in 1941,;
983
123.6
and ; 3.0% ./above ; the !fGrown alone lor. all purposes;
partly duplicated in hay acreage. -1 tAcreage pective plantings as estimated by 1941, * inclusive, v The
average
10-year
harvested. '. />;/ >>/.;
the Board.1
hVyy
Areas harvested "will '(1930-39) average is 3.03%.•; The plantings of 39,196,000 acres dur¬
ing the 10-year period from 1930
loss of acreage amounted to 1.2%
ective Plantings Report--/ crops, excluding
vegetables, would depend more on weather condi
to
/:
1939.4///Z4//'/>/////./M/0^'"
// >: y./>.March,; 1942 y. y//- ^ ;b_e about 310,000,000 acres, which tions. Plantings of late crops and ill 1941. v
/"//;/'v^'J/;
the acreage of hay cut will also
There will be unusually large would be about 10,000,000 acres
'Assuniin^^^an ,;abandohmehi/Of | / Compared with last year, in- /; '• 'V,
be affected by changes in
prices corn acreage in 1942 about equal icreased plantings; are indicated
■
shifts between. crops-and a .3 to more than the area in these crops
to the 10-year average excluding for all groups of States, though :
If about the same and by labor, conditions; '. '■% , 4% increase "over last year in the last year.
,
;
;
5,467
9,996
.
fore
140.9
their
:
-
—
.—-
,
■
—
.
-
■
Reporting Board of farmers' "intentions to plant."
Judging from
the reports received from 77,000
farmers, outstandingly large
acre¬
ages will be
planted to crops that
vegetable
which v are- how
urgently
be crushed for the
can
oils,/
needed.
that
Thus, the indications
the
planted
acreage
are
to* soy
beans for all purposes will be in¬
creased 41% to 14,000,000 acres,
that
be
the
4,000,000
creased
*
of peanuts will
66% to more than
acreage
increased
acres
20%
to
and
flaxseed
4,000,000
To provide for the record
bers
of
livestock
in¬
acres.
num¬
of wild hay is cut and the
of cotton is increased; td
acreage
total crop acreage according to the
annual March survey by the Crop
acreage
the
goal that has been set/ the
increase
in
all
crops
would
be
12,000,000' acres, or nearly 4 %,
and the total would be the
largest
crop acreage grown since 1933.
The tendency to increase
plant¬
ings this year appears to be quite
general except in two groups' of
States.
One is where wheat is
important and the decrease in
wheat nearly equals increases in
other
The
crops.
other
showing only nominal
region
increases
is in the /Northeast
/and includes
of the area north of the
most
Potomac River.
In this
area
ac¬
and
the severe drought years of 1934 the increase is very slight in the
Corn
West*. North Central:
and ' 1936
or
group,'and /* /
about
1.9%;:/the
prospective
acreage//- of probable
/acreage / for ; harvest ;only^0.6% for the North Central://:"/.
qorn
to I: be planted in .;1942 is
would be about 89,612;000 "acres. States/as a whole, which have ///■"
estimated at 91,348,000
acres, an An
roughly three-fourths of the oats /*
acreage this size would be 4%
increase of almost 5% over,: the
s.;/.
larger than that harvested in 1941 acreage in this country. //Oats
87,164,000 acres planted in1941, and a
larger acreage than "was plantings in the Corn Belt this
but almost 10% below the
10-year harvested in
year; as now estimated will total
any of the past three
(1930-39) average of 101,081,000
-30,045,000\'acres^r:^////L/»4//~'//^
The
.
An increase
acres.
in
r
acre¬
years,: and -the
is
intended acreage
largest since 1938// Pros¬
the
pective
increases
the United
are
States
South Atlantic and
general
in
except for the
a
few Western
seem
to
be
ample
fo,r
under / ordinary
weather conditions,
/y''yy
i ;
age or at least reduce the acreage
of crops
which require the most
While there is little doubt
that the increased acreage can be
labor.
portant producing areas at the be¬
ginning of the present season.; On
Jan. 1, stocks on farms were the
largest
record for that date.:
on
Other large changes from last
planted, farmers seem to expect
Prospective
year, that are now in prospect are
an
increasing scarcity of work¬ North Centfal
a
increase
in
the
acreage
planted to sugar beets to
■record
total
and
a
16%
a
near
ers
as
There
the
season
seems
to
be
progresses.
a
are
realization
than
increase
expected
last
plantings
or
to
in
the
Corn Belt States
be
7.5%
larger
Increases
are
largest in the Western Corn Belt
-
year.
-
that the boys who can
keep the
oyer last year's large acreage of tractors tuned to maximum
power States
where, except for South
Smaller, but important in- on the farms have what
it takes
Dakota, the increases in expected
creases of 5 and 3% are
indicated to run the tanks.
When they go, plantings over 1941
range from
>4for dry beans and
15,287,000
acres
less
mates in 1919.
acreage
each./ Potatoes and
acreages
sweet
of
pota¬
toes show increases of 1% and 2%
piost farmers can carry on after
a fashion with the
help of their
girls and r teen-age boys Jbr -
by
themselves
y
•-
-Vy/'-,'
keeping
the
; y
tractor
"r
7% ,in
Iowa: to
15%
in
Missouri
The
to
appears
a
de¬
16,741,000
spring wheat
be
restricted
by the fact that the full intended
acreage - of *• winter / wheat Z was
seeded
last
where
both
decrease
wheat
in
most/areas
are/grown, by
the
1941 in
compared with
allotments
the, farm
program,
competition
other
fall ;
under
acreage
goal
of
and
feed
crops
by
grains
for
of
use
the
and
the
acreage.
According to March intentions,
acreage of both Durum and
other spring wheat will be smaller
than last year.
The greater de¬
cline is in Durum, with prospective
acreage at 2,201,000, a 15% drop
from last year's 2,597,000
the
lowest
since
1934.
acres,
The
indicated 13,086,000 acres of other
spring is 7.5% under last year's
14,144,000 seeded acres, and the
lowest
in the record begin¬
*1926.
There is a rela¬
last
year;
<
Western
13.3%
In
States,/!,843,000
more
than.in
20%
in
Kansas,
while
Ne¬
-
greater
decline
in
Durum
than in other spring wheat acre¬
in States that grow both. ■ >
In spite of somewhat adverse
age
conditions
fbr
winter
seeding last fall/ it now
appears that in most of the States
the intended
,
aeres,
1941.
three
only
Minnesota
States, Illinois
Iowa, are plant¬
and
ings expected to be less than in
1941.
In
were
increased
oats
area,
yields
year and
acreages of flaxseed
beans
soy
.
this
relatively low last
or
urged this year. ///
'Factors tending to increase oats
are
are
the need .for feed
for the increased numbers of live¬
acreage
stock and the relatively low labor
requirements to product the crop.
Other
in
v-l
incentives
are/ the
high
the last two years
/
t >
some
States, especially in Ohio
Indiana, the development of
improved varieties, and the need
and
for
small
a
than
grain
wheat
clovers
for
and
nurse crop
new
grasses.
'
other
'
/
seedings of
Further-'
:
supply of moisture is relatively good for an early crop like
more,
/■/'•
oats, - although planting has been v/
retarded
ern
somewhat in the south¬
Corn Belt.
■
•
4;/
-
'•/-: ■/;/ ./.-/-/ Barley
Total
planting
of
/;/;//:v//// :?;/S/:
winter
spring barley for harvest
will
amount
in
and
1942
to
18,208,000 acres,
according to indicated intentions.
/:
-
-
If present plans are
realized, this
year's planted acreage will/be the
largest of record, will be 21%
acreage was finally larger than last year, and
43%
minimizing the occasion above the; 10-year 1930-39 aver¬
braska and' Minnesota indicate: a to add: to
spring wheat acreage I age. /All sections of the country
9% increase. Decreases in winter from that cause.
In Illinois, Iowa are
sharing in the increase, with
and
//,//,;
year
ning/in
tively
acres, .1.7 %•, above
v
;
000 acres, up 11.5%; in the South
Central States 4,793,000
acres, an
increase
of
9.3%/ and in the
yields secured
the
and
^Indicated oats acreage in the
North Atlantic States is
1,979,000
,
wheat
cowpeas which
of
seeded in 1941.; This is 30%
than the
10-year (1930-39)
-
record
which is
acres*
of 8.7% from the
crease
weather
give
•
spring wheat to be seeded in 1942
is
rrice.
would
1
The >* prospectiver i acreage
England States, y/y/y average of 21,762,000 acres and the
lowest
since
the
beginning of
An increase of 10% iri the corn
seeded spring wheat acreage esti¬
^
would
'f
and New
industrial
poultry on tive
employment
is acreage allotments for the com¬
hand farmers are also planning pulling workers from
the farms, mercial corn area
allowed by the
to increase the total acreage in
limiting the operations of part- Agricultural
Adjustment Adminis¬
feed crops. The indicated changes time farmers and
causing; some tration is an important factor in
from last year's plantings include consolidation of
holdings, particu¬ the expected increase of planted
a 5% increase in corn to
91,000,000 larly in areas within commuting acres. The commercial
corn area
acres, a 3% increase in oats, a 21% distance of the factories.
Similar includes all of the
important corn
increase in barley, 3% more land conditions
probably prevail close counties.
Greater livestock pro¬
in tame hay, and 6% less land to
booming industrial areas in duction in 1942 and to some ex¬
used for sorghums.
If these plans other States and farmers in
many tent, an anticipated larger demand
are carried
out, the total acreage States expressed some uncertainty for corn for
industrial uses, par¬
to be planted to feed grains will of
plans because of the labor situ¬ ticularly
in f surplus
producing
be increased 6%,
which about ation.
areas,
is encouraging a larger
balances the 7% increase" during
Although farmers who are able acreage this season, but prospec¬
1941 in grain consuming
livestock, to
tive increases in corn
acreage are
expand their operations seem
including poultry, and the similar
to be preparing to
put much idle expected to be restricted to some
increase expected in 1942.
There
land and unneeded
degree by a shifting of acreage to
pasture into
would be also a record
acreage of
oil crops.;'
////:' ■
■ ';/;■■/
tame hay and forage. If the usual crops, there are others who are
short of help and will be com¬
Supplies of corn are at:'near
acreage of wild hay is cut, the
pelled to reduce their crop acre¬ record levels in most of the im¬
-total
hay
and
forage
acreage
/requirements
'*■'//':///:
Wheat
years;1
corn
age over the previous year is indi¬
cated for the: first *time in .six
;
XV->
seeded,
*
.
.
1
Volume* 155
Number 4060
THE
COMMERCIAL & FINANCIAL
CHRONICLE
Total domestic demand.
Daily average-..."
v::.
STOCKS ;
Crude petroleum:
definable in
.V Heavy
Natural
in California—.;.
gasoline-——
Refined products—
-
iyyyy
■
.
♦
Total
1 i f AVV11 £?
rj
———,I~
-
196
—•
'11,585
538
7,650
—1-
Illinois--
Indiana.:
Kansas
■
,
,<
,
394
8,682
388
1,811
Total Lousiana
Michigan—
Mississippi
Montana—
'
Npbraska
.
Slw Mexico:-,-.-^-^
'
City.™
-•—
of State
Total Oklahoma
Rest
Pennsylvania—
■*
9,651
i
?
State"""-"———~110,670
49.139
Virginia--^::.-——1-LI..
■"
' "7
Lance
12,798
.
298.8
9,261*
7,174
6,616
11,940
385.1
10,998 ; .12,571
90.0
2,7024 ,. . 87.2 ;
1,882 V. ; 2,351
: 10.0
" 319;;-: 10.3.474 v V. 732
344.2.- 10,480 i: *338.1 H 9,420
8.721
400.8
i.5«w
:
>,,302
~
,A..,.
,.9:8.7.^.^6^
,.680
Creek-.
Salt Creek:
1,527
311.3
2 792
: 309
Wyoming: i
.
3,223
13,257
48,4
428.8
12 424 r
-
2,645
101.4
327.9
408.2
1,501
Panhlndle """""---I
•
„
308
78.9 ..,
,
,
468
-
13,293
—-
Tecjuli Coast
WestTexas""""RbdMsk
'
'
.
7,064
12,653
;f?owiTexa£::::~—~
3,478
8.9
..
.
.
t 2,446
3,143
—~
Fnqf Texas
1,759'
2,185
683j
159
21.9
3.7
277-
Oklahoma:
Rest of
52.2
80.3
1,697
10,770
•
.3,601 A; 116.2
453,
14.6
.
—-
Seminole
391
12.5
58.4
350.4
1,618
2,489
679
1,115
'•
Rest of State
We&t
11.1
279.5
10,863
Rodessa
Oklahoma
19,590
373.7'
17.4
246.8
\
"
Gulf Coast
•
189
12,332
578
7,957
.
344
—
Louisiana:
York
14,660
8,664
Kentucky
1940
t
.
2,662
6.3
19,487
California
Colorado—
1941
>
1,193
'
474.5
628.6
14,710
Rest of State—.—
Total
37.8
84.0
2,603
;127
1,075
32.3
1,171
*
Wilmington
v
'■ "I
1,003
—-.—i™.
Long Beach-
New
2,304
V'f1'-Kyfr/^'y'i'k'tVi t■$■■'!' i-'i''i'V'J'A '■
Kettleman Hills—-—.—-
,
"
72.6
2,251
—
;v.;
'
PRINCIPAL FIELDS;.
• • "3
1941
Jan.,
Jan.,
December,
Daily av.
January, 1942
Daily av.
Total
f
:
;
•/.
•
[Thousands of Barrels)
j:
Arkansas
521,2^7
i, 1942.
"
'
'137;''-; '*•
PETROLEUM BY STATES AND
PRODUCTION OP CRUDE
'
557,953
t
tlncrease.
tPublication suspended,
♦Pinal figures.
240,605
13,385
4,476
262,791
.
.
§New basis as of Jan.
§555,543
553,291
t
'
Total, all Oils——1—
Days' supply-™:
263,251
11,839
5,490
277,373
246,884
10.179
4,275
§294,205
253,531"
10,543 ~
4,802
284,415
*
"426
—
1A42:
Rest of Stafce^iij.
2,548
Total Wyoming.
Other——__1—
;v
.;
'>-To"tai United States—-128,262 -
4,137.5
128,293
and Utah (1).
'••5^Includes Missouri 14), Tennessee (1),
-4,138.5
.. .
110,647
^
,
113,056
1348
Survey Of Sales Finance Companies-^Other
fied
that
Volume
A decrease
the amount of
of
78%, from December, 1941, to January, 1942, in
automotive financing for both the number of cars
new
and for the dollar volume of
paper acquired was announced March
by J. C. Capt, Director of the Census.
nanced
down 31% for the
was
of used
same
for
24%.
1
-
,
•
.
-
,
.
trends, the data
are
related,
far
as
as
sample./
!
,
.
;
To show trend from
.
r
-
.
to
'
!
.
Furthermore, since the
for
sales
y:*&,Dollars/:'/.%
,j
$55,109,971,;,,^-.
consumers"'goods-^"/^1
''
Jan. 31, 1942
59 '
,/2
.i
goodS__'/_/l.i-V- 12,611,589
equipment;!
I,
,>
,<
flnancings_i^.^Al!x._J—$174;714,074
based on-reports
from^-companies
and for papen acquired. / Not
the
number
of
companies
100
^
*
k out
all- companies
data
hold
each
class
in
of
any
paper.
'i
to pay more than
the prescribed
as
well as fix the
maximum,
.4-
^
'•
i-«
'
tr%.
i-v\
r>rAvii r*
WPB, said Mr. Jones
stood
ri
was
have" the
to
President
1
4-
materials for
raw
vi
4-1\
,
the
.
■.
under¬
support
Roosevelt
in
initiative, have been attempting
/
National
rejecting
testimony,
Management
lished
in
NDAC
United iFress Washington advices
was
made
~
base
-
**
in
not
/
a/,,
/
price ceiling
failure of this
mean
was
pointed
continue
cost
studies
out,
the
on
under
countries.
1940,
be-
basis
of
in both
way
*
,
,
China Aid To Be Reserve
/
For Notes & Bond
Backing
the
(reported issue of Dec. 28, page
"commission 3825).
Subsequently,
the
OPM
purely adr and its divisions were abolished
visory-^began its study of the in
January,1942 and replaced by
-synthetic rubber situation Hin the War Production Board
(re¬
June, 1940,/ Mr/- Batt told the ferred kto in these
/ columns
of
-committee, At the time, he ex- Feb.
5, page" 562);
plained various private companies proposed to /engage f in
/
production of the material,City Defense Housing
NDAC
rjijjg
a
whose powers
reach
temporary
does
will
subdivision
a
to
estab¬
was.
December,
saici:'
any
(noted
weeks
dian combined
price action.
The
effort, it
"Chronicle" of June 1, 1940, page
3439); When the Office of Pro¬
duction
the
Defense
several
joint price ceiling, which would
be the first United
States-Cana-
causajjegotiations with Canada
adjunct to the revived Council
of.
of
.
for
,
an
at which/United States
manufacturers may sell.
'///
The OPA and the
Canadian /
Government, on this country's
..
I In expressing the
were
Chinese Gov¬
ernment's gratitude for the
$500,i;
000,000 financial aid extended
by
the United
States, Dr. H. H. Kung,
Minister of Finance, said on
Mar.
25
that it demonstrated faith
"in
China's ability to fulfill its
part
in the sacred union of
all the free
•
peoples
against
/ Cities
tyranny."
The
"Their proposals added
crowded
with
defense
up^to
generous terms ] of the -; Chinese108,000 tons of synthetic rubber workers face the challenge of pro¬
but
>
supplementary; report-to the monthly report
January, 1942, while those for retail automotive as of the end of
American
agreement,
he
said,
ducing ."really low-cost homes," "show
clearly the spirit of close
/ rehabilitating existing
sub¬ collaboration
rounded it off into 100,tons,"-Mr. Batt explained.
we
/ 000
a
-'-He
then
was
NDCA
a
of
standard
mem-
structures
into
and mutual aid
decent exists
and
the
prove
that
determina¬
->ber.z-'••/"•/v/w:///• • living/units, or of over-building tion of the anti-Axis
month for, January to November,
1941, were Calculated from
powers
a
manner
/ • He said the synthetic rubber in
which may cause
the data in the "Automobile
act promptly and
Financing" report previously published -/effectively
plan* was embodied in/a letter serious difficulties after the war, insure
■by the Bureau of the Census.
<
*1
the
/ .the
to
by Ca-
who
buyers
item
one
cancels
increase
announced
producers
re*
furnish
./•/more than 75% of this country's
supply, because
OPA
ceiling
orders forbid American
r
Included
are
the •/ OPA's
announced
nadian
reporting comparable figures for outstand¬
whose
an
,
$53 recently
/
$1,813,202,659
,
to
ported:';;/;".////.
]/,
The ceiling in effect
11,620,292
/
,
regard
.
action,- the/Associated Press,
<
292,206.108 ',-
802,647
With
/
295,978,585
9,814,841/
•
ton at that time. V
/
a
Dollars
31./;H $1,203,582,833
y
3,183,893
1938, having been increased $7.50
i
'./,' Outstanding-/
balances / "
of total >•',
103,005,974
balances
director of
period for the index of outstanding
1939, and since schedules, could not be matched
December, 1939, and January, 1942, the index of the
outstanding
balances as of Jan. 31,
1942, was obtained by calculating the
per¬
centage decrease of the outstanding
balances, as shown by the
matched schedules, and
by linking this percentage to the index
pre¬
viously derived for December, 1941.
The indexes for
outstanding
balances as of Dec. 31, for
1939, 1940, and 1941, were calculated from
on
f
paper
trator, had overruled such a proposal since he considered the
program
larger than necessary. Mr. Batt,<5>
for
the data sent in
of
recommended in September,
k
1940, the building up Of the" Nation's synthetic rubber
production to
100,000 tons annually, but that Jesse H.
Jones, Federal Loan Adminis¬
balances is Dec. 31,
;■/
'••>'"
•
/./'jj/!!/Volume
William L. Batt, War Production
Board official, told the Senate
Defense Investigating Committee
on March 24 that the defunct Na¬
tional Defense Advisory Commission
had
company must be available for both months;"
Thus schedules
sent in for January were matched
with the automobile finance sched¬
ules Jor December to obtain the
current trends of automobile financ¬
ing.
newsprint - in the United States
has" been/ iii! effect ■ since "J
ahuary/-
//price
*
,
higher than the $50 per
ton./Thy /»
present^'price" of $50 a ton' op /''
Outstanding
Synthetic Rubber Expansion Held Unnecessary
By Jesse Jones In 1940, Says Ball of WPB
and
another, schedules from
-..Vu
-
consumers'
possible, to comparable the
program.
"
Reporting "on
.
month
one
one
Diversi¬
.
data for previous
years by means of index numbers.
Any use of
these indexes to calculate
current volumes* for all sales finance
com¬
panies must be qualified by assumption as to the
representativeness
of the
,
Balances
acquired during
,V- ■■.•*.//-■,/January, 1942
wholesale—other
''/'*Data
The purpose of this
survey of the sales finance
companies is to
show the current trends month
by month of their outstanding bal¬
ances and of their,
volume of paper acquired.
The dollar volumes
reported may not be used to indicate the total
amount of financing
by all'of the sales finance companies. While the
purpose is to show
current
;>ilan, 31, 1943/•,
v.:;
automotive^
retail—other
Total
ing
companies
financing of wholesale.
•
/!- ;V ; .
.
and
!:>//.;;•.-.'•);
Consequently
varies. /,;/
/This monthly report replaces the
one for ''Automobile
Fihahcing"
'which has been published
by the Bureau of the Census.-; The data
from 346 sales finance
companies is published as reported without
seasonal or other adjustments.!
Forty-five States and the District of
Columbia are
represented, and all /types of sales finance
engaged in automotive and diversified
retail sales have been included.
>
and
"
'
•
Acquired
Industrial, commercial and farm
31, 1941, and to 139
The index for Jan. 31,
1942, was 10 points lower,
Jan..31, 1942i
however, than for Dec. 31, 1941.-
Paper
wholesale
Total
"Automotive
on
AUTOMOTIVE-AND^DiyiltSIFlEDsFINANCING,^!].
During January, 1912/
of
■/"""'' t-;'v */.//■:/;'
Total
7%, but the outstanding
wholesale
that reported .in the table
iriblUfiidiFifi the latter'table" 6f the; data 'from
icohipanies
•','" / ' •-•'•'•' '
- v;. V;,
;•
'/,■/■
breakdown,
a
-,/•!'/•,/.//' ./'"!/'/■
Total
Outstanding bal¬
,
-
provide
Class of paper—
/
Total retail ;automotive
automotive paper was up 12%.
These data
clearly reflect the trends in automotive financing
resulting from the
restrictions on the sale of new cars and on the
granting of credit for
installment sales financing.
It should be noted, however, that the
volume of paper acquired
during January includes the financing of a
number of new cars sold
during earlier period's.'•••'•///'.'•
•
"/
Outstanding balances for retail automotive
financing rose from
an index of 100 on Jan.
31, 1940, to 134 on Jan.
on
••
fi¬
cars
a,.-,,'
;v'} 'J
24,
period; while the dollar volume
car
balances
•
.
The number of used
paper acquired was down only
ances for retail automotive
paper; was down
Ay.
could not
Fields Entered As Automobile Loans Decline
:
'
-tThls amount Is less
than
Financing'.', due .to (the]
to
.
,
months
of January,
1940, and of January and
/ December of 1941, were derived from data
published in the "Autoimobile Financing" report, with the 1939
monthly average as the base.
The index for
(decrease
in
January, 1942,
the
volume
the Federal Home Loan Bank Ad¬
to
President
"
f
"the.plants could not be
-- in
less/" than /: 12;
testifying on March 24. Mr!
dustry," -said
.
,
'
.
-/
i
,,,
-
■,,'
r;
■•/ ;
w
,
-
Period—
«•
.
.
volume
100
100
95
V
average_____
1940—January
'1941—January
_
.
dollar
These
December
100
100
89
429
110
-
77
/
88
88
i
tData
:
In
; A
in
158
AUTOMOTIVE
;
FINANCING
£
J
]
/
_
k
~
-
'
*
V
V
/Used/trucks, buses, tractor-trailer^""
Total
r
>
*Data
f r
/
based
on
reports .Irorp
//
one, item
any
/
,
.
100
:
'
„
•
•
/
5
73.
•
4
100
,
9,816,225*
88
/;/
12
,
breakdown of
-
data
are
/'•
;
■'.)
SALES FINANCE
*
'
v-/*//.;.',
*
•,
/
Class of paper—
Retail—other
Furniture
diversified
consumers'
goods:
•he
in
>
,
,—_________
$314,694
Radio; television sets, pianos and other
musical, instruments^ - -'
421,128
(gas and electric)—1,282,686
Other household appliances
//-' 759,954
/'. V
Residential building .repair and
modernization—2,354,446
;
/ Miscellaneous retail ——./
fr 1,044,203
Total retail—other
-
'
Refrigerators
goods—'__'_w
goods
,/■; Industrial, commercial,
and
farm
•
3,210,600 *
equipment__^^_
i
{
:
8
.i—t6,177,111
Total wholesale—other consumers'
3
4
13
-
consumers'
/
upon an
//
;/;•
V ;
^"unduly
financing;
% 'of total
-•?■)•>••*
*,
'822,613
'
23
\
61
10
81 *'•
8
that
thought
mistic"
a
•
r.^:f
•
Total
diversified
«Data
1
<
based
•*,
retail
each
class bf ,paper.
in
any
one
financing
reports, from
'
Consequently the
goods.
Not all sales
number of
companies
item varies.
^
A
finance companies hold
whose
,
,
data
■
are
Included
to
The] /
loan/]
*
war;
facilitate
*
econ/
peace
proponents
imagine.
would
of
the
Such
make
tribution to the
'
war
no
a
con-
effort and
would benefit
a
war./ That
as
to
"some
we
est
Mr.
k: was
Batt
a:
'
V
y
'W '■
; -.jS..'1-.
method
of
Chinese
measure
China.
In
/new
.
.
will
place
internal
foreign
where
a
stantial
exists,
large amount of sub¬
but
when
housing
may cause a serious
uation/in
be
neglected
war
sit¬
,
bond
issues
and, at
the
difference of opinion beand the. War
k: Production Board over
no
on
a
Z-k.
,
.
The
same; tim&
liquidation
ot kkk
kN
agreement
concerning fir,
nancial aid to China was
reported
in these columns March
26, page
1260. ?
-
,]
^^v;/;;//////////;/-]¥//
"communities
industries are closed
many
Rockefeller Foundation
down,
Spent $9,313,964 In
./'tween" Mr, Jones
I
we
currency
encourage the
hoarded goods.
the
abandonment. of
centralized/locations, or built
too pessi-
there
I
di-
tend to stimulate the
volume of
saving
(cities,
speeding
synthetic
that
note
our
currency
throughout
the second
//j
..
testified
for
reserve
This
rectly strengthen confidence in
producing addi-
-
wasteful'/ to-/embark
"untried field'* !on* such
large scale.
mean
than harm property values.
•>•
3.' Too
much' new
housing
built
on
the
rims
of
their
it would
not
basis/(to be
,f known as Allied Victory Loan".
existing structures, and utilities
/Bonds), which, by providing an
-^streets,
water, ] electricity,,
attractive saving,
medium, will
sewers, etc.—will protect rather
developed but
were
and: that
does
solid
issue.
Temporary Ceiling
1941
/ During 1941 the
appropriations;'^ 1/ '
of
the
Rockefeller .Foundation/
^
On
Newsprint Fixed By OPA
amounted to
$9,313,964,
according// /]. H
The Office of Price Administra¬ to the
annual review issued
March
>
ment of synthetic rubber, now tion issued on March 26 a 60-day 23
by Raymond B. Fosdick,, PresiV/,
/and that Mr. Jones had advo¬ price • ceiling
keeping domestic dent. The income of the
Fdunda'-/ 1
prices of newsprint at the
cated even a larger
present tion from investments
goal/than
during the / /
i
the 600,000-ton production levei of $50 a ton. ; Acting Price year was
$8,734,992,4 Mr/Fosdick '/ ]' !
/sought by WPB for 1943./This Administrator John E. Hamm said reported;, adding - that this
was;/
the
ceiling will go into effect on supplemented
program, he
added,/was!;now
by a transfer of! //
going ahead expeditiously and April 1 and on or before its ex¬ $600,000 from the
principal fund/ ? J ; !
piration date, May. 30; a perma¬
had made ."excellent"
The ! appropriations
progress
.were
dis^^'/:: /:•' 4
nent; price, regulation will be is¬ tributed for
/ in the last 30
the most part in*
days.;/.'/.;/'],:k'kk sued./ Meanwhile, a
six/kk" /
/
study of costs major fields,
The National Defense
roughly as follows:'
^
Advisory. of production will be made to de¬
i
Public health;
Commission,"" it is pertinentkto termine
$2,450,000; medicaid /
whether or not the
per- sciences,
state,- was set up in May,?1940,<~ as
$2,120,000; * na tur a 1%*!/"''/
:?manent?/ regulation ' should
be sciences,
$1,271,000; social scienca/ ^'- v
'
develop-
.
'
•
$10,210,324
100
*
sales, finance-companies
providing a breakdown of
consumers'
to
appear
-
financing of other
not
,
■
-
on
their
the
as
measure
-
'
and
of*
use
re-establishment of a free for- k
eign exchange market; would /
kktionall hbu^ii^/anci^
committee
a
industries
rubber should be
COMPANIES'
...
'/,/••
'
-
Volume of Paper Acquired During January, 1*)42 ♦ :/r":"v
'
"
'' ^
*"-l
»• Volume of paper
acquired
: •'■/ ,/v
.•>/■;/ ■
'/
■. ;•
■
Dollars
'
/
the basis of statements from
various
believed
.
included
be
/'Z/Rehabiiitationisthecheap-
were! specii-!
these / elaborate
we
..willingness to participate... -;
j
.k/ Mr. Jones, the witness/ said,
finance i companies
providing a
financing. '■?* Not all sales finance
companies hold
number of companies whose
varies./•'■•'/;;
possible
assistance.
objective of the
strengthen China's
to
omy
$6,000- housing in most cities—
!/ it means $3,000 and $4,000 hous-
money
study of .the rubber, supply gnd
on
•
tThese amounts are less than
those "reported in the table
on
"Automotive and
Diversified Financing" due to the
inclusion in the latter table
of the data from sades
finance companies that could not
provide a breakdown."
'
"
;
*
,
18 7
:
uation can-be summarized.
//the
unwilling v*to
k of the National Defense Advis¬
ory Commission which made a
of total
"
f$84,888,863
75,072.638
,
were
Mr. Batt headed
—
2,242,847,
___'
,
~
39,843,646
S
sales
tbeir retail and wholesale
automotive
each class of paper;,
consequently the
;
,5,589.
wholesale
automotive_^_„
/
Newxars (passenger &
commercial),
Used cars (passenger &
commerc'l)
,
83
and
mittee, "like
lating ./with
projects."
/
J
104,813
■
.
•
for
workers, they will not achive
their purpose.] Briefly, the sit-'
in8«
,
-.
'
,
best
/the restoration of
,
must
the
-
in the construction program.
,
.
i
24
"speculate" with public
*
.
and
/j
financial
economy
believed in 1940 that The Neth¬ .//is produced now by private in! dustry should have a use
East Indies would, not
after
fall
/
-
Volume of Paper Acquired During January, 1942 *
''
/
"
—Number of cars—
-Volume
Class of paper— ,/,
; / /.//•/
<
Number
% of total .7
Dollars" ■/ v %
Total retail automotive
—J
125,3041
too
'
h$54,766,462
'
■///■■■. New 'passenger cars_J/-!
12,641 •
,;: 10
/
9,666,816 7
New trucks,
buses, 'tractor-trailersj;-''2,261
'
•••2*";"'.3.013,143 7'"
Used passenger
1
what he
on
facts.
workers
is
erlands
-
companies providing the breakdown
the two
preceding columns and also reports from
companies who could not
supply
breakdown between new and used cars/
'
-
(
March
-
from
reports
the
defense
/y
.
primary
He
needed
are
>
.
T
Census.
based ;on
be
units
,
only the speculareporting/this, :/,//!. There always has been a •/tors.../;* /;'
k/://::/• ;-*/'///:
added:
'
;/ lack of
low-cost housing for
/
We intend that the new
loan,/; ,*
low-income workers. / All that
/ !
Many persons, Mr. Batt said,
/ in the first place, will provide
ington
151
92
this
.produced, but if they do not
k-meet the needs of low-income
V
,
column
to
:/
ciated Press accounts from Wash¬
';
189
14
this
to
as
Asso¬
..•'■17 :v/"61
--84;
• '• ■'
45 ' *
47
/:• 82 /
1942, based oh reports for that month
from 222 companies who
1941.
Data for 1939, 1940 and
1941 derived from'the,
previously published by the Bureau of the
*Data for January,
sources
East Indies" and acted
100
93 ;,V
130
.had also jeported for December,
report "Automobile Financing"
.
dollar
<100
80
\
'"high
might happen to the Dutch
believed
volume volume
116-
64
,1942—January '.
dollar
number
86
_____
from
.
Index of
volume
100
what
financ-
—
117V-.-/'-/130-■//'115
,
mation
----Totalf—* ing
;
/// Index of index of
Index of
number
" "V/T
wholesale
financing
Index of
>/
/
r
—
dollar
number
93
-
.
.
•1939—Monthly.
Acquired ♦
100]
,
Used cars—..
•
Index of
Index of
......
.
.
New cars—
/•'
*
—
•v-r
Retail
(——
<
'■/•»
Paper
[1939 Monthly Average
Fahey.
k,
k/-'
1'
.
,
Mr.
added:///,!/
"
.
.
v
/;
,
,
intention/to
make
/ "The War Production
Board has
were
,,,.
s
March
authorized construction of
200,000
to "more/housing units by private in¬
Figures of' automobile
,1941,
declared?1 on
.
His statement continued:
It is our. firm
out that
obtained by linking the
percentage i-/reproduced
paper acquired as shown
Tn
by matched
December, 1941.
*
Batt said he had no criticism
financing for the month of December,> make of Mr, Jones' decision "in
published in the Feb. 26, 1942, issue of the
"Chronicle,"* any way, shape or form,"/observe
page 857.
*
~
".
*
ing that the Commerce Secretary
■:/';//
:/;//;■ sales finance companies././, /
" ■; was
receiving at the time infor¬
Index of Trends in Volume of Automotive
i
ministration,
cause.-
to
of the common*
success
John H. Fahey,!Commissioner of
was
of
schedules to the index for
,
Roosevelt
/by E. R. Stettinius, Jr., ,on Sept.
r 12, 1940, in which it was
pointed
written
-Indexes for the
<
—
$1,227,0.00,
Production Of Electric Energy In The United
Stales For Jan. And Feb., 1942—Goal Used
Wholesale Price lndex in Mar. 21 Week
$1,020,000
Ghiiia, $154,-
humanities,
.
;arid the program in
Further Advance In Labor Bureau's
.
.000., ;Of the money spent during
.the'
United
*f,or i work . in
year,,■ 74 %; was
the
26% for
Mr. Fos-
and
States
Statistics, U. S. Department of Labor, an¬
commodities in primary mar¬
dick also stated in part:,:^!;,;^;^,'^ kets
edged fractionally higher during the week ended March 21,
.The war, of course, has radilargely because of advances in quotations for grains and livestock.
cally affected the activities of The Bureau's comprehensive index of nearly 900 price series rose
the Foundation abroad. In June,
0.1% to the highest point since the Autumn of 1928. At 97.2% of the
f.1940, ;v: the
Foundation's > Paris 1926 level the index shows a gain of 0.7% over the corresponding
:
office was closed, and the Lisweek of February and is 19% above a year ago.
t
The Bureau's announcement further said:,;;;:
( bon office was closed in July,
,>•
"
•' ;.v\
work in other countries,
The
The Bureau of Labor
nounced
March 26 that prices for
on
of
The
,
now
are
no
dation
representatives
Continent
of
Europe,
.
office
*
is
Foun-
the
on
but, an
maintained; in
being
London.
;
office
v
the
of
from
moved
Foundation
/Shanghai
;;
to Ma¬
of Manila the head of the office,
C Dr. M. C. Balfour, was in Kunv
ming. Unfortunately, his asso¬
ciate, Dr. Charles N. Leach, and
personnel of the
Peiping Union Medical College,
who were on their way to the
the
*
United
*
States, 'were in Manila
fell. The Peiping
Medical > College
was
when the city
'
Union
authori¬
closed by the Japanese
in 1942, and the lead-
ties early
»
1
>«<
tinued to drop.
Set Sugar Registration^
V';J
Middle
East
;
Atlantic
8.0
+
9.1
Mountain
—„
+
6.8
of
the ..Office
7,
May
Administration
Price
announces.
The
of.sugar stocks as of
April 28, preparatory to sales un¬
der rationing,- was announced by
John E. Hamm, Acting Price Ad¬
ministrator, while the dates for
the national registration were set
by Frank Bane, OPA field direc¬
tor. Wholesalers, retailers and in¬
dustrial users of sugar will regis¬
ter
on
April 28 and 29.* ;; The
nation-wide registration .will be
/held- in ;the public schools with
the teachers:,; supervising what is
described as the largest task of. its
"freezing"
:
.
kind
It has not
undertaken.
ever
yet been decided how much;sugar
;
will be rationed to each consumer
but
it is likely s to be either one-
half
Atlantic
with
week.
a
of
the
announced at a
of
Secretary
Commerce
H, Jones announced
that
on
Jesse
March
Reconstruction
the
institutions, to assist retail coal
•dealersv to;;buildv> up. thieir .f.coal
stocks immediately.
The purpose
>
it
is
said, is to avoi£>a .-possible
shortage next Fall dnd Winter as
•
a
.
result of transportation difficul-
ties.^:^,;;
...
The RFC will charge 4% for its
:
loans
or
Banks
tions
.6%
its participation in loans.
are
on
other lending
and
institu¬
not to charge more than
the amount of the loan car-,
ried by them.
.
Jamaica Sugar
The
Looks Good
industry more than
Jamaica continues
improvement under war condi¬
tions, according to the *' Depart¬
ment of Commerce at Washington
•
any-
sugar
in
other
•made public March 26.'
The
vices state: :
•;:V:
^
Total
•.
.
,
tv:
41
crop
;,
v
a
Government
will
purchase at
a
price of approximately £13.155
unlimited
quantities
under "post-war conditions. ; v '•*
produce
95.5
95.8
?
3-22
3-14
PRODUCTION
1942
Hides and leather
OF
[In Thousands
116.6
products
:
lighting materials—
Middle
West North
Miscellaneous commodities—
Raw materials.-—i—
January
703,684
662,979
'948,295
839,367
661,297
3,003,771
2,685,015
3,715,743
3,346,312
245,008
South Atlantic
101.9
72.3
+ 0.8
+ 1.2
+42.6
232,335
3,395,431
2,969,009
3,640,439
3,201,344
94.8
75.8
—0.3
+
0.7
+26.3
103.3
+ 0.2
+
0.4
2.3
+
22.6
+
6.0
201,853
567,684
—
-
675,976
Central
South
East
847,947
803,144
'1,999,112
1,756,201
;
350,089
930,358
v
o
78.2
72.5
0
103.7
103.6
97.8
109:9
.
0
v
+ 0.2
+ 0.6
+21.4
V? 99-5
*97.1
96.9
80.0
0
.1044
104.1
90.9
0
89.2
89.1
77.5
+ 0.3
+
97.1
97:2
75.6
' 83.6
97.4
;
..
+
0
+14.5
0.7
+15.7
+ 0.2
+ 0.4
917,773
706,669. 3
639*706
771,434
700,355
576,144
149,907
121,690
776,393
A 697,834
1,571,272
1,420,427
146,662
127,784
1,717,934
1,548,211
4,575,946
4,401,388
10,771,709
9,409,153
15,347,655
13,810,541
electric
energy
total—
Production
steam
,
60,649
64,765
626,486
States
United
+11.0
0.2
109.7
97.1
104.1
395,025
of
;
:
electric railways,
by
electrified
Failroads, and publicly owned ' non-central stations, not in¬
+29.1
Semimanufactured articles.
92.2
92.1
92.0
;
91.9
+ 0.1
+
0.3
97.9
97.9
97.7
/;
97.1
84.5
0
+
0.8
+15.9
95.9
95.9
95.3
83.7
',0
+
0.6
follows:
as
was
+10.3
Manufactured products—:.:
cluded above
+14.6
All commodities other than
95.9
products and foods———_—
95.3
;
————
Other
1.2
Lumber
Mixed
—
Leather
Other,
+12.0
Brick
fertilizers.
and vegetables.
Petroleum
products
.—
and
' I
—~•' 0.7
Bituminous coal
—
■
DAILY
OF
PRODUCTION
0.1
January-
158,887
underwear^—0.1
February—
168,636
products
/
0.1
—,——
0.1
paint materials.:0.1
Total
158,661
150,455
304,274
374,018
April
May
360,504
—
279,802
0.6
1—
Dairy, products —
*.:
——
0.2
0.1
147,914
319,814
June
—
145,123
338,158
151,609
334,190
136,754
363,708
143,031
365,046
—
August
—
September.
orders and the shipment of completed
orders for fabricated structural steel during January and February
of the current year, mostly for the war effort, were smaller than
the bookings and shipments during the same two months of 1941,
according to reports received by the American Institute of Steel
of
new
were
the
largest for any month since last June and were larger than
monthly average during 1941. ; ?
. •
The new business booked during the first two mopths of
the
Construction.,
amounted
the
same
The
for
bookings
February,
however,
1942
400,205 tons in comparison with 454,794 tons booked
two months of 1941.
The shipments of fabricated struc¬
to
two months of 1942 totaled 312,612 tons
shipments amounting to 325,944 tons during
tural steel during the first
comparison
in
the
same
with
two months of -1941.!
to 706,668
•—Contracts Closed—
1942 .A
•Computed by dividing the monthly production by the number of
——:
January :
T-
•
February
March";
April
■
-180.302
<;i80.302
220,205
<
•—.
pared with the preceding month which had three more days.
The consumption of fuel oil during February, 1942, totaled 1,-
with 1,867,101 barrels during January,
528,784 barrels as compared
decrease of 18.1%. During the same interval the con¬
sumption of gas decreased to 14,718,437 MCF in February from 15,915,221 MCF in January, representing a decrease of 7.5%.
Publication of data on coal stocks and days' supply , of coal,
1942,
or
a
CONSUMPTION
OF
FUEL
ELECTRIC
BY
\
June
September
October
—
—
,
———
—-
„
A
-
December
'-*••
...
v
-
.';/•/
L_—.
East
173,559
153,732
North
North
—
Central-—
Central-
161.354
East
;
•
<
•
West South
Mountain
246,910
200,509
189,251
Electric
roads,
t:
' '"
Totals
3,594
461,549
3,359,064
184,463
2,575
374,570
3,323,335
168,818
462,236
2,187,491
404,746
347,339
*160,167
641,751
466,635
269.967
26,775
6.945
853,319
34,043
79,344
74,273
39,094
63,141
27,835
9,524,376
748,636
738,241
8,863,763
630,351
5,185,946
1,863,127
1,525,070
15,8^6,829
14,616,111
°
Subtotal United
204,085
ft.
r;
266,114
46,426
*844,100
310,219
39,319
89,309
203,026
158,782
:
February
302,784
Central—
—^
214,756
-158,658
.
r
191,905
475,211
115,513
42,854
118,627
400,140
cu.
January
1,920,785
Central—
South
1942
February
January
1,594,906
South Atlantic
'
—
-
November
j.:
i._
164,590
Thousands of
1942
February
323.685
Atlantic
189,751
:J.
—
PLANTS IN
1,739,069
England
Middle
170,161
/.-.••
—4—
August'
New
218,018
;■179,884
v, ••:
Oil—Barrels
1942
158.880
;
has been restricted.
PUBLIC UTILITY POWER
ELECTRIC ENERGY
Coal—Short tons
January
Division—
-.,281,235
.
OF
Natural Gas
.; 206,072
...
5,372,284 tons
was
1942, which is a decrease of 769,844 tons from the
January consumption, and an increase of 757,583 tons or 16.4%
over
the consumption for February, 1941.
Of this total 5,160,300
tons were bituminous coal and 211,984 tons were anthracite.
This
is a decrease of 12,7% in the consumption of bituminous coal and
a
decrease of 7.4% in the consumption of anthracite when com¬
February,
1941
'
—
Production of Electric Energy
consumption by electric power plants
Coal
in
West
..
—
May
July
•
equivalent week
<
of Fuel for
PRODUCTION
Shipments
.
>
days in the month in question.
1942
1941
>
485,799
500,462
508,077
515,276
521,369
533,255
—
378,061
Consumption
+ 14.0
483,281
372,446
.
\;
-
—
371,623
148,923
previously included in these reports,
-a
available for future fabrication amounted
at Feb. 28, 1942.
? ;
Tonnage
tons
143,653
155,194
October
February Fabricated Structural Stee! Bookings
largest Since: June —Shipments Again Decline
;;;
304,422
July
Change
+ 15.1
462,935
464,036
457,857
450,844
467,728
-
529,140
313,581
153,435
171,042
March
532,905
■
1942/1941
1941
1942
1941
1942
1941
December—
bookings
273,584.
Percent
1942
November-
Both
February
298,082
ENERGY *
ELECTRIC
Fuel
Water-Power
Month
tile
and
Other foods
|
278,752
19,549
0.2
0.1
0.1
—
1.9
-1942-
January
February
254,035
January
[In Thousands of Kilowatt-Hours]
-
leather
Paint'and
Total
v
1942
February
19,330
AVERAGE
Decreases
Fruits
total
States
United
n
——-—
-
u
Hosiery
I—-.0.2
—
0.5
building materials
Shoes
——i——.i—_ ; 1,0
Hides and skirls..—0.6
Other farm products..
——; 0.3
Cotton goods —:
_
—0.2
+
\
4.8
—
—
By Fuels
1942
INDEXES FROM
14,j1942, TO MAR. 21, 1942
Grains
+ 0.1
85.1
94.8
95.1-
95.2
CHANGES IN SUBGROUP
MAR.
Livestock and poultry
Thousands*of Kilowatt-Hours]
January
Increases
Cattle feed—
[In
By Water Power
products.———————.
All commodities other than farm
,
:
farm
States
railpubliclynon-central
5,938,314
•
.<
-
S
:
railways,
and
128,658
217,738
"f.-,: 184.043
182,593
owned
v'1-''- '146,379
176,126
stations
2,296,954
2,251,089
,
203,814
186,338
3,974
Total United States— " 6,142,128
5,372,284
1,867,101
-
-■
>
i 601,291
J,594,584^251,590
7.9
r + 0.1;+
78.2
78.5
89.4
February
+12.9
+
—0.4
93.7
78.5
95.1
89.7
January
504,611
535,333
Pacific
116.1
171,971
404,528
Mountain;
116.4
97.6
:v
-1842-
February
176,388
Central
1941
+19.1
95.8
110.2
STATES
Total
711,972
Central
East
+9.1+0.7
103.7
110,4:
Building materials——
_—
Chemicals and allied products— :»;;97.1:'
104.1/
Housefurnishing goods——
UNITED
244,611
Atlantic
81.6
"
78.2/
THE
IN
-1942—
February
January
England
96.5
95.9
103.7
Metals and metal products—
USE
By Fuels
1942-
Division—
101.5
116.4
'
;: 95.9
PUBLIC
.
West South Central—
Textile products--
net increase
in service on
a
of Kilowatt-Hours]
By Water Power
North
1942
ENERGY FOR
ELECTRIC
3-22
2-21
1941
This is
reported
the previous monthly report was issued.
"
with a 1939-40 pro¬
duction of >111,240 short tons,
Estimated
production "for the
long ton.
A warning has
been given, however, that Jamaica may not be permitted to
>
102.3
-——:
Foods
compared
per
v.
103.1
2-21
1942
96.9.
4,401,-
31, 1942.
Occasionally changes are made in plants which are
promptly so that the figures shown for any one month
do not necessarily mean that .all the changes were made during
that month but that they were reported to the Commission since
ad:\.+; Following is the complete tabulation of bookings and shipments,
>
showing estimated total tonnage for the entire industry, as reported
production of the 1940to the Institute: • -.
<,
was 175,390 short tons
V'
current Season is placed at 187,200
tons, which the Imperial
;
1942-
97.1
+12.9
...
hot reported
:j T-
•
products——-———
Fuel and
3-7 "
3-14
1942
total
States
Jan.
New
97.2
24
Finance
.Corporation would make loans,
either exclsively or in participa¬
tion with banks and other lending
,
.v'
f !■>*.; •.*?'• ,,'•••
.
registration
meeting in
RFC Loans To Coal Men
.
••
Parnt
PERCENTAGE
Chicago on March 21 of State and
•regional rationing representatives.
:
V'
•
details
The
were.
3-21
1942
v
+24.3
United
+ 27.8
8.7
+17.3
Pacific
A
28, 1942, totaled 44,412,166 kilowatts.
174,570 kilowatts over that previously
of
March 21, 1942, from
Commodity Groups-
'
production of 144,710,887,000 kilowatt-hours for the twelve¬
period ending Feb. 28, 1941, representing an increase of
16.6% over the previous period.
Reports were received during March, 1942, indicating that the
capacity of generating plants in service in the United States on
Percentage changes to
three-quarters of a pound
or
';/?'■ *•; If
(1926=100)
All Commodities—.
+
7.2
+
West South Central—
——
month
groups
,
+
388,000 kilowatt-hours, or 31.9% of the total output for public use.
Total production for public use for the twelve-month period end¬
ing Feb. 28, 1942, was 168,756,779,000 kilowatt-hours as compared
of commodities for the past three weeks, for Feb. 21, 1942,
1941, and the percentage changes from a week ago, a
month ago, and a year ago; (2) percentage changes in subgroup
indexes from March 14 to March 21,1942/
will
sumers
Central
South
The production by water power in February amounted to
lumber.
April 27
prohibited after midnight
Feb., 1941
Region—
East
—34.3
————
Central.
West North Central
South
Over
Over
Feb., 1941
;
North
'..Aa:.Av, ■:% Change
A" Feb., 1942,
>;
Feb., 1942,
'
,
-'V
and March 22j
be
V/'^
"A Change
Region—
shingles,
register and receive
their ration cards May 4 through
will
sugar
plants
1942, COMPARED WITH
1941
Feb.
for about one week and home con¬
of
by hydroelectric
PRODUCTION—FEBRUARY,
.
New England
yellow pine boards and certain types of spruce and white pine
Prices were lower for- most types of yellow pine lumber
and for turpentine and rosin.
The following tables show (1) index numbers for the principal
sales
Retail
'
'
/
a
brick, linseed oil and for maple flooring, red cedar
for
production
FEBRUARY,
materials resulted from higher prices
The increase in building
-
use
decrease of
a
'
for
interned.
below compares
HYDROELECTRIC
;
•
.
,
This is
during February, 1942, with production for February, 1941.
^ Minor increases were reported in prices for shoes, luggage and
goatskins. Gasoline quotations in the Mid-continent area con¬
ing members ;of the-staff were
;
j
kilowatt-hours.
January, 1942.,
The table
-
except hogs, together
with higher quotations for most grains and for cotton and tobacco
brought average prices for farm products in primary markets to
the highest level since October, 1929. .Quotations were lower for
barley, rye, and hogs. In the past month, farm product prices have
risen 1.2% and are nearly 43% higher than at this time last year,
f ;A sharp decline for bananas together with lower prices for
oranges, eggs, flour and for potatoes, cheese and pork in the Chi¬
cago market accounted for the slight decrease in average prices for
foods.;? Higher prices were reported for butter, corn cereals, rice,
apples, lemons, sweet potatoes, onions, canned corn and beans, for
cured beef, mutton and for peanut butter.
Notwithstanding the
-decline, food prices in primary markets are 0.7% higher than
for the corresponding week of February.
Average prices for
cattle feed advanced 4.8% during the week.
nila. At the time of the capture
some'of
month of
group
Marked increases in prices for livestock,
a:
was
for the farm products
index
during the week
/.
the Far Eastern
1940
Late in
The
This represents
February, 1941.
0.7% when compared with the average daily production during the
advanced 0.8%; mis¬
cellaneous commodities, .0.3%; and hides and leather products and
building materials, 0.2%.; With lower quotations for fruits and
vegetables and for pork, food prices declined 0.3% on the average
•
during the month
use
daily production of electric energy for public
average
for February was 529,140,000
1
There
increase of 14.9% when compared with
an
.
1941.
production of electric energy for public
February, 1942, totaled 13,810,541,000 kilowatt-hours according to
reports filed with the Federal Power Commission.
-
v.-
1349
CHRONICLE
THE COMMERCIAL & FINANCIAL
Number 4060
Volume 155
/«_
3,714
88,392
102,326
1,528,784 15,915,221 14,718,437
WViaWrtV*! Wfc»tf>M«*>wHT%afriWfc<WWtWftrt*^!»WMWilB»aMW t
1350
THE COMMERCIAL & FINANCIAL
"
•
/
Above Same Period Of 1941
Iky •&/?•
•
*f|w
'*>-v* ujf-
-f.
tj.
ties
V
•
N
\
;
<
,
4
4
««!¥**>>«•
CONSTRUCTION" FOR
T
.*"
?
.
•
BILDING
.
■
i—^^
-
No. of '.
Permit/.
'"Cities Re-Valuation
/
Gebgraphlo
Division
.
New
I porting
:,
2,480
England
68.7
6,23.7,535
+ 108.0
549
17,377,322
+
+
••
....
'
«
•
,
40.6
-
pacific
24,547,914
-4»-
-
Illinois '.'in- •$ }n.
while %§&
in
creased -^less: thahf', Oyl
total
r+1*48.3
3,721
-4,
83.9 +-•+■
+
+
-of
payments
wage
<rose 1.5 %%<
mid-January
1,043
+
9,983
'
49.9
77.8*.;
+ 185.5
+ 498.0
2,897
56.4?
+
29.0
.:+
5.4
79.1
27.5
+ 180.2
i
2,696
7,482
16.6
+
.56.7
10.1
^
38.5
+
66.4
.+' 32.4
.
.
manufacturing; wholesale" and re-;
trade; service? coal mining,/?,;.
tail
and
-
Total Building\Con8truction
•r
?
on-reports from more than 6,000
representative. ?establishments / in
+ 268.1
+
—
481
•
+
+
;
//?
Murphy, Director of the Illi-' ?
X
_
10.6
*
and
nois Department of Labor;
| This
estimate of employment and
payroll-trends in the State is based
7.8
" +
5.0
39.4
^ 41.4
65.7
36.0'
^.+ 103.2,1'
4,546
+
2.9
+
B.
—
7,446,690.; +21.8
1,454,631
1.6-
—
9,725.550 .,+289.9
147
137
251
1
i—
-Employment'
•„
ISSUED
between
■"'34,450
V-1,601:
*
10.8
—-
—
31,283.0781; +114.9
Central-..-- * 94
West South Central—
Mountain
/
<4.8
3,318.755
270
27.9
+
',+ .77.8
'
West North Central—
South
M>
16,473,728
South Atlantic -—291
East
-
597
Nortb Central-..'
East
Feb., 1942
"$117,865,203
*144
Middle Atlantic
largely responsible for the gains.
However, - the number
? ;cf dwelling units provided-in privately-financed housing during the
if - current month was greater than in either the preceding month or
February, 1941?' Secretary Perkins further stated: /
Thursday, April12,1942
Change from New Dwell
% Change from
February,:/ according to a stateJan.;
Feb.,
int units
Jan.,, "Feb., ment
issued March 25 by Francis
*'1942; 1941' • Feb./1942 1942 4-^.1941;
-
All divisions
were1
-
.
_
WHICH "PERMITS WERE
BY GEOGRAPHIC DIVISION^
FEBRUARY', 1942
IN- 2,480 CITIES,
.
/'*■ v;\;';
ings," she said. :"There was a decline of 7% in expenditures for addifions, alterations,' and repairs to existing structures. Increased Fed,-.
era! expenditures for housing projects and for additional plant facili¬
?
•
No. of
struction
"'
*.
New Residential Buildings
An increase'of 36% in the total dollar volume of building con¬
over the
corresponding monttv of 1941' featured - February,
.1942, building construction repprts, .Secretary;Qf ,Labbr Frances Pef.r
kins reported on March 28. "This increase was brought about by a
gain of 28% ih indicated expenditures for new residential buildings
and of 61% in the permit valuations of new non-residential build¬
v.;
'
I
.
YvYw+V
A
SUMMARY "OF
wV
-
„
nrtiljr^Ar
■it**
\u .v
$186,000, for 52 .unitsf .Pittsburg,, Calif, $283,006; for;86
.units, and
Seattle; Wash;, $1 ;935,000 "fork 600 tmitS? %
v hYf* ? 4;
u «•
'?
"**?£'
'
"
>
February Building Permit Valuations
CHRONICLE
.
building construction
indus¬
v,New Non-Residential Bldgs. (Includ. Alterations & Repairs) Popula-1 tries. < Reporting-; establisRments ?/
"January and February, 1942', even larger gains were
T-'k;y"Permit V % Change from'; : Permit ^ '% Change from/ tion-' ^ employedv
approximately:>"b- n e - i <
i Valuation
Geographic
i. Jan., ?%Feb.,./..Valuation
? ?<registered.
Jan.,Feb.,-.Z^ (Census
Total construction showed' an'increase Of 52%, while
third of the: total
^Division----nUmber/of per"? •
; ;{- Feb:, 1942 t 1942 : - 1941
Feb., 1942'^ 1942 $ 194l,nvcof 1940)
?
indicated expenditures for new residential buildings, and new norij sons eihployed'ih these
•r-iw V.-T'"
industries/; •( '
■;<?-■;'***"V? '(i*:-'X: * $
i ■/;S.> ;*'•?"?'.>• $>■<•? &\
???'%;>"*•
residential buildings.increased 69% and 59%y;respectively.
The All divlalona
The announcement added: 'v;
—»118,42«,73t:^+ 58.9 +v 80.8 258,191,906- .+ 51.6 +- 36.4 64,887,365
; ?v
,?/'/ Rvalue of additions, ^Iterations; and repairs declined by. 15%,
New.England;.—jiiU. 9,730.226,-;+ 15.5 ,+ 83.4 ,18,292,598 t 28.7 + 29.0 5,621:354
'
Between
.
-
,
a
Middle Atlantic
/
-
«*
,
.
12,988,808
+
East
North Central-*!
19,758,591
—
West-North Cent raL-
T During the first two months of 1942, permits " Were issued Tin
•:? /reporting cities for buildings valued- at $403,511,000, an. increase of
,X?T ?7%, as compared with the corresponding period of 1941v~ Permit
658,260
—
23,692,029
+'.
South Atlanta
East South
valuations for new residential buildings during the first two months
of the current year, amounted,to $179,039,006, a loss of .1%, as compared with the first two months of the preceding year.- Over this
same period new non-residential buildings .showed: a
gain of 18%
t
'■
The Bureau'sTtabulationa of '.permit" valuations / include
...
■
:
-
-
;~V
1
^
residential
—A"
JNew 4ion^residential
Additions,
ons,
11
All
construction
6:6%
—
_
r
Class of coiistrtictioa TT t?
Mew -. residential. ——L—V—l—
-
Mew nonrresidential
?./
+34.7%
+80.8%
-,
*
';
-
-
v
.
■"
vV-!
v
-
+36.4%: ts..;
year^ ago?for the
for Jeading cities:
-
""^-^'.?+40.4%^;,y;.
: All citips
+68.7%'
+58.9%;
\
(
-
'
-
-
r-15.4%.
'
1
-
PAU 'constrflctioh
+
-
+62.6%
+55.6%+
•
'
..
+
—1-9,1%.
51.6%*
+
Board,
'
,
1 '(Boston)-
No<
8
-
(St.
,
? C|iMu^;-of;.;cen9tniettdA4v-Mew-residential
-v
—
:
^
—
—
•;.Mew t -non*residential
Additions, alterations, and repairs---*
All
+
—
18.4%
+
0.5%
+
L—U—1-*:
+.
—^4—
-
During • 1941 production, of War. V:
?^mateHals
'
.
^
were
Principal centers of-various types of building construction for
which permits were issued or contractors were
awar^d.. in Feb¬
ruary, 1942, except those awarded by the -War and Navy-Departr
ments, the U. S. Maritime Commission, and the Defense Plant Cor¬
..
poration which have been excluded because of their confidential
nature, were: New York City—-Borough of Brooklyn, multi-family
dwellings to cost $2,122,000, Borough oij Manhattan, multi-family
? dwellings to cost $1,789,000, Borough of Queens, factories to cost
$772,000, and the Borough of Richmond, multi-family dwellings to
% cost $1,000,000; Schenectady, N. Y., factories to cost $656,000; Chi¬
cago,111., one-family dwellings to cost $1,074,000; Springfield, III.;
a
hospital to cost $1,289,000; Dearborn,. Mich., factories to cost
$2,435,000; Detroit, Mich., one-family dwellings to cost $3,306,000;
Cleveland, Ohio, one-family dwellings to cost $830,000; Green Bay,
Wis., an electric plant to cost $2,210,000; Washington, D. C., multi1 i family dwellings to cost
$670,000, public buildings to cost $1,523,000,
and hotels to cost
$820,000; Charleston, S. C., a hospital to cost
$600,000; Memphis, Tenn., one-family dwellings to cost $721,000;
Houston, Texas, one-family dwellings to cost $1,007,000; Los Ange?
les, Calif., one-family dwellings to cost $2,864,000, and multifamily dwellings to cost $4,940,000; San Diego, Calif, one-family
dwellings to cost $628,000, and schools to cost $768,500; San Fran¬
cisco, Calif., one-family dwellings to cost $1,023,000, and Seattle,
Wash., one-family dwellings to cost $659,000.
•
-
.
:
_——
i—i—.
i
+41
+30
...
-
4
Contracts
wefe
awarded
during February for the following
publicly financed housing projects containing the indicated numdwelling units: Bristol, Conn., $530,000 for 200 units; Middletown, Conn., $692,000 for 198 units; Boston, Mass.^ $1,820,000 for
446 units; Woonsocket, R.
I., $1,159,000 for 300 units; Niagara Falls,
ber of
"
:
N.
Y., $750,000 for 151 units; Chester, Pa., $1,483,000 for 350 units;
?- Duquesne, Pa., $780,000 for 182 units; Erie, Pa., $783,000 for 224
units; Pittsburgh, Pa., $2,253,000 for 660 units; Hamilton, Ohio,
V $540,000 for 141 units; Washington, D.
C., $4,879,000 for 1,028 units;
? Lakeland, Fla., $163,000 for 60 units; Sebring, Fla., $557,000 for 193
?
units;; Baltimore Counfy^ Md. j(D.isf' No., !2)r $1,469,000 for 304
;
,
units;■ Arlington County, Va., $8,250,000 for> 3,550 units; Newport
News,. Va.,-$6,532,0p0 for 2,050 units; Norfolk, Va;,
$876,0Q0 for 230
units"j;rMobile, Ala.; $5,561,000 for' 1,260 units; - Louisville,
i
'
"!'r
-
'
881,000 for 652c units;: North Little Rock,
Ky.,. $1,^
Ark., $265,000
:a
f+24'.'-'
+35
;
.,
-
....
.
;+29
.-.-+31
..»**'+ 26!
The
Portland,
Boston,
+
Maine
34
'
«,,.
+ 30
P%ymenf >andJ;payrolls.
pi
r
+
+28S Sioux
.,+39^
+49
+ 28
+ 23
+43
Detroit.
Mich.
2 Mos.;
1942
;
:+40.
+
>
?
+ 39
+, 17
city,-Iowa—:—.+11
+ 33,
,
22
1942,
.+ 34
+28.
»/: +16
+28
%
+ 45
/
9
+ 14
;
+32
+42
+
Flint, Mich.
"Grand Rapids, Mich.,
38 Lansing, Mich.
+36
+12
+
48
+12
+ 43
+ 27
+21
+31
+ 40
+ 36
+18
+41
+ 29
St. Louis District
+28
+52
+ 40
Fort Smith, Ark.-—
Little Rock,
Ark—,
+38
+57
+ 47
Quincy, 111.
52 Evansville, Ind
25 Louisville. Ky.
27 St. Louis, Mo.,—,—
30 Springfield, Mo.
33 Memphis, Tenn. —.
Minneapolis District
N. J—^
Reading,
York,
+ 41
+26
+24
+ 45
+19
+ 47
+ 32
+ 42
+59
+
+22
+46
+ 34
+18
' + 31
+
+28
+ 24
+43,
+ 34
+
+48
::
+ 36
52
+ 45
+
+ 30
r+ 61
'
Topeka,
Kans.
+ 12
+42
+49
+44
+ 22
b
+ 15
+46
Omaha,
Oklahoma
Wheeling,
W.
Richmond
Washington,
Baltimore,
/ +50
+ 14
Va.___
+56
+ 17
—-
+54
D.
+ 34
Md.
/•
+ 37
+ 44
Fort
v
+ 13
+ 50
+ 45
+ 45
+ 32
V + 63
+ 39
+ 32
+ 19
+ 11
+
,
Tex.
+ 25
i
+
+18
+ 44
6
■■■
+ 41
Houston,
+ 16
San
Lynchburg, Va.
Norfolk, Va.
Richmond, Va.
+39.
.+.30
Phoenix,
—: +A3
+56
r+49
+21 '
+ 37
+ 32
Bakersfield,. Calif.
"
Fresno, Calif.
--%,
Long Beach, Calif.—'
Los Angeles, Calif.— •
+15
-<26
+ 17
+27
+45
+ 50
-
+27
Oakland
+41 %
+41
+34
+32
Charleston, W.
Huntington,
Atlanta
+ 22
—-
Va.^fl.
W.
Va.-.
District
#
V.v:
Montgomery, Ala.
Macon,
+ 39
+ 42
+ 16
+ 41
—-
i
+ 32
+ 29
.
+57
o
+ 50
35
....«
r +
+ 10
—8
f 23?
'•
+23
-
Fla.'—.L.
Ga.
•
Sfir;,ilv>V
Fla.
Miami,
■
:
Birmingham, Ala.
Jacksonville,
Tampa, Fla.
Atlanta,
V
p
+ 24
<■
<-
r + 24
f-/.O? r?2,4
«■
+17
+ 24
,+:n
p
+38
,
Baton
New
Rouge, La.^v
^-J20
Orleans,-"La—W/j+1'7Y^r + 31.
Jackson, Miss. -—+23
Chattanooga, Tenn—r
*
Peoria;
-
available.
- r
-
,
Berkeley-
#
*
Revised.
+ 60
1
«
+ 46 '
•
•
+21
+22
^-
Spokane, -Wash.
Tacoma, Wash. -—1—
.'■+26
+ 48
+24'
ciated Press advices from
London
+41. stated:
+44
,.n-+16 V
+26
.+ 49
-
.
+18 ;
+26 :
+ 34.
•
..
+59 r -+ 54
-
Wa«h- -i-u<. ;+. 8 *
.
:v+ 34
+34
.
■
; +32
+ 21
+14
March 18, Asso-;
%;
•
%>- :v
of the
nounced to the general
?
/'
meeting
dividend of 6%., less tax.
'4
This is
<
■
same+as^ior^: the aasU nine>£±2
/yeafs;^'1^''^?/*?)'
'*
The. -bank's. statement: issued^ r
? today, reported*-an increase? of? >
-./
-rmore*than^l%000,000 in priyate %
% depositsTor-the week and Gov-'??
■*
ernment securities-improved al- ;"most.49,900^09. ^*
-+
•
/•
Montagu/ Norman,.: Governor?'"??
Bank; of England, an-
/;
+43
+15—+. 28 •' + 22
-+-33-. + 35
4
+33
+20
Walla Walla. Wash.—.- .+ 3L
Yakima,
.
;
,
-
: + 25
England Div.
//.Under date of
Boise & Nampa,-Idftho 4'-'-r
<- • -+ 45 J
, f.
^—+ 38- ..-+38"+ 38
Wash..
/
accounted for
+48
Santa Rosa, Calif.^i--:+3+ -^4-35.
Stockton, " CallL_=^i—-+'32-.---+ 27"^ + 29;
Vallejo & Napa, Calif.
+65 ' : +71'-.
+68
Seattle,
.
favorable weather than is
case at this season
Bank Of
+18
+26
—
+ 18
was
'
Salt Lake City, Utah '- +32
+43- ' + 37
Belllnghant,
Wash.—^-•+ 30 -.--+ 41+35
Everett, Wash.
-+ 34
-'--+ 33 ". + 34
■
contra-seasonal
activity.' A large
of the year was also
responsible.
+-42
+42
.
Calif..
:
r + 32
+33-
-more
+ 21
+ 37
:+ 36
+28
District-1
111,,——+14
111.
-"♦Not
•
+47
Tenn.—__^ / + 10
Jose,
in
+ 28
+
% + 37
Sacramento, Calif
San
Diego, Calif.
San Francisco," Califs
San
mines,
District
Ariz.
8e
34
r+37
7
+ 20
Coal'
? usually the
Portland,- Ore.
"
^.-+19
Port Wayne, Ind-.--i'_.+37
—
•
"1
Chicago
Chicago,
+47
*
+
Tex
Francisco
+ 24
+52
+24'
Tenn—w,
4
;•
Tex.
Antonio,
San
de- ? ?
byi<
military-construction, although
+ 12
+44
but
part of this increased construetion work
+ 27
;+'• 5 ;
+ 30
+ 37 r+103
'
reported
increases
;
+ 31
+19
r+33
+ 19
Tex.
'
of '
stores
employment and payrolls. Building construction and contracting
firms
+ 33
+ 43
Winston-Salem, N. C.
Charleston, S. C._—.
+ 65
•
%
———
Worth,
3
,
—
.
employment
wage / payments.
+ 25
8'i
amount
Retail
.public: utilities, and service es¬
tablishments reported decreased
+ 40
+ 43
:
+ 23
District
+ 25
+ 30
+
Mo...
City, Okla.
'+ 40
the
out.
partment stores reported higher
>
+ 22
1
+ 19
Shreveport, La,
r+55
+33
and
paid
reduced
+ 39
rr*-
Nebr
Dallas
Dallas,
C.
wages
A
+ 11
—
?
Tulsa, Okla.
District
< employees
+ 19
+ 20
Joplin, Mo.
St. Joseph,
+44
.
Kans.
non-manufacturing in-
wholesale
establish¬
ments increased the number of
/
Kan. City., Kan. & Mo..
+ 18
In the
//idustries,
+ 31
+ 11*
Kans.
Wichita,
+ 30
+30
+38
:
Hutchinson,
+62
+60
+ 31
Pa.
+10
+24
f Kdnsas City District
Denver, Colo.
'
+ 28
Pa.
+25
+ 25
(Figures by cities not available for
1
publication)
+ 31
——,
+19
+'42
District
Youngstown, Ohio
Pittsburgh,
,
+ 43
.
+ 31
Pa. ———,
+
+46
4- 38
Pa
+
+40
+ 25
—
:
Cincinnati, Ohio——,
Cleveland, Ohio
Columbus, Ohio
i-,
Toledo, Ohio* ——.
Erie,
+.47
.
+'28
Ohio
—
+51
'Pa._j__
Cleveland
Akron,
Milwaukee, .Wis.
+ 56
Pa.——_—
Wllkes-Batre,
+ 29.
+ 36
Poughkeepsle, N. Y._.
+
9
Rochester, N. Y.__
; + 19
Syracuse, N. Y.
+21
Philadelphia District
Philadelphia,
+37
.
+30
Lancaster, Pa.—
Februar^ 1942/^ihdexes
The. employment index is lower
than during the last five months
of 1941, but the
payroll index
is at., the highest, level ever
•//recorded.
'
*
*. % /.
+ 26
—
Elmira, N. Y———
Niagara Falls, N. Y.~
New York City
x".
employment and payrolls for*,
//Illinois " manufacturing
indus//; tries were 137.7 and
192.4, re- /'."
spectively (1935-39 equals 100).
?+. 1
~
——
Binghamton, N.Y
Buffalo, N. Y._
Trenton,
of
I
? r
.
York District
Bridgeport, Conn.—.
Newark, N. J
Albany, N. Y
Jan.
'
+ 27-.
; These %,
,
The
1942
7
+
?>
? v
groups were the metals and mar/!
t'Ago
:? Feb.
Indianapolis,. IndL-#»
43 i Des Moines, .Iowa—».,
'
< chinery^ transportation equip?"
%/>!nerit,;woqdJ leather, chemicals, i
turing groups.
+27
iridi?
in
mamifactu^ingi ?gfoppp:*r*
?reported/increases ip both emr+v %
+ 30
Year
1942
•
+ 56
Mass
Mass.
Providence, R. I
New
1942
.increase of
f+were fairly general, as
eight/of
/
,
1942
Conn.;— / + 21
^combined v? reports<fof ?i
an
5 the
1
23 •+!'
+ 38
.
sub* >
stantial part of current
-produc- /
tion is for war
/purposes?
' /
a
manufacturing: industries
+19- -;'
+32
REPORT BY CITIES
v
that-
,.t
1..;
K+,28--.
-
indicate-
40' **-*■
+20"
+80.
: ■?, i
.^.._..+37-+:
„
+ to.
"
Springfield,
i
V
89;-:: y/'mT +31
+ 22
District
?
cated
.,-'+38'
;+is v
.
for 92 -units;
Knoxville,
Galveston, Texas, $683,000 for 206 units; Lubbock, Texas, $379,000 Nashville,
for 130, units;; Pasadena, Texas, $444,000 for' 150 ' units;/ Antipch,!
Calif., $133,000 for..36. units; Bakersfield, Calif,,
$132,000 for 50
units; Los Angeles,-Calif4 $2,752,000 for. 802 units;
Martinez, Calif.;
%
no
com-
?
'-1
-
MM*
:r+28-
+ 23
:
.»«
+,47.--'-
..
Percentage Change, from. Corresponding Period
Feb. "
Jan./ 2 Mos.
-'" /
r
1
*:
to'<?
"
-
Department store sales Index for February, 1942 (1923-25 average-r=: 100), adjusted
420, unadjusted. .100! January adjusted ,138, unadjusted '108.
Boston
time
available- which*
+contracts
.
+ 49
-..1,
+13 :
(Dallas)
12 (San- Francisco)——
New Haven,
-Although- at this
-are
•
'•■+45^«-
<+ 21
-
No.
issued
waS^ ih^addttion
pletely show the -shift that has
occurred during the- last - two
months,- reports on the percent*•
8.5%
in the 2,480 reporting cities :in February, 1942, will provide 34,450
dwelling, imits, or 84% more than the ;18,Y34 dwelling xuiits ireported in the previous month and 36% more than the number pro¬
vided in February, 1941,.
Dwelling units in publicly financed housin^ projects included in these totals numbered 14,383 in.Februafy,
1942, 3,945 In January, 1942, and. 6,035 in February, 1941.
;
1
%
ties;
-data
a
+ 12,6%
?TT Kfew housekeeping dwellings for which, permits
'
regular "" prdduction, / whereas
J %!
System an¬
?/ war production/ in<-■ 1942-' is - al- ?<1?
;:
-
t
ttmfe-W
•
The following
;
*
.
'
"
*
*
+ 32
.
•
;u.;a :totaL—
^construction
^ >r
SbaSdhai':^bhi-f
p^iilrtg.ipctHeXshift
%
--
.
^
'+22:-
No; II
18.6%
6.6%
Louis).
;
^
'
+ 29
s
9L(Mlnneapolls)
NO- 40 (Kansas:City)'—J
+"8.2"%"'
1.3%
/f
+sa.
.
Noi
-
y
*+18
-
'-i——
—.
,
-payrolls < is %approxi.. i
f;;parispns?however," are/bf'r ela-% ?%
:?;• tively^?lit;tle^6^ortafice.'J when":;?-.;/
the entire pattern of
industrial? ?:
-/ productionvisr uhdergbingi:; such
J?
fundamental changes as are oc-4',
% Change from corresponding,period a-yeK. agfr
Feb.; 1942
■Jan+4942
2 Mos., 1942
Federal Reserve District-—
%*
(Cleveland)
5 (Richmond)--—
N0.8 ^(Atlanta)
7 (Chicago)
No.
Change from first 2 months of 194l to
r.;\ ;;^^hist2mbnthsdf 1942/'?? All citieaU
ExcludingNi T. pity
,
^
■
r
,Report by. Federal Reserve. Districts
v;
No.
r
,
-h'n > P*
6,053,127'
*+'•+-'''
*
>•
y
.
Ko$ -:3+(Philadelphla)::
47.6%-
?; Compansons. in permit valuations in cities reporting for the; first
.
.
in
,
Nh+?2^Newv+Ydric)
)two months of .1941 and.
19^2. are shown ..in the following, table:. '
+,r,r- '//T;
•+
show the percentage changes from
Nov-
:
fa; ^
1
r
~mately/seasptial.+
whole country;; for+ Federal Reserve. Districts+and| "V; age • of man-hoursdevoted /'to ?
'
I
v.: '* ? Government contracts +md sub-
Excluding N. Y.-City
-
■
-;■■■-
•
v
.
•
Additions, alterations; and repairs—-—
t
'V •)*.
,
'
DEPARTMENT STORE SALES IN FEBRUARY, 1942
,
Change from Jan,, 1942 to Feb., 1942 *+
,U V
.-i''
91.4
—
69,616,854- +184.5
; "*■'
gain
-2,261,521'
+116.2
T, 2,186,423V—.;30.1
98.9
5,895il91
3,696,405i
;i,476,558
March 24 that the dollar volume of
on
tables, issued by the
'A
+ 58.3%
^ o.2%
*
*
t?
.
.
"
+. ^38.3 W: 64.7
14,418,032
ceived from each of the 12 Federal Reserve Districts,
citie»7^ --.-ExcludingNrXyCify
+27.9%
-
-
alterations, and repairs-!i_!-l_i_]
•
All
—
:?ary increase in/employment: is / /
:?less,;!han,.:seasonaf/while% the/p-'v
87i5-'4,919,701
February department!
was 22% larger than in the
corresponding period a year ago., This compares with an increasei
of 38% for January and a gain of 30% for the first two months of 1942:
over the same period of 1941.
These figures are based on reports re-:
Change from Feb;, 1941, to Feb., 1942
Class .of construction
15,510,816;
+- 34.0
-f
store sales for the country as a whole
v\;<.
•
88.6 '+ U4.6 !
79.0
—
^^Th^'.^urrpnr;j%thuai^+^
19,452,692";
16.9
T}ie Board ; oF Governors of the Federal /Reserve
nounced
:/?■;?/
the 2,480 reporting .cities be¬
tween February, 1942,* January; 1942, and February?
1941, are sum-
tnarized' below: "
52.6 -+-■ 15.1
+
+'384.1 ^ 57,517,4.95'-+ 62.7++: 131.6'
+177.6
14,589,989 +214;7 +286.5
^Decrease less than. 1/10 01
'979,000; for January, 1942,* $69,265,000, and for, February, 1641,!
i
34,764,692
February Department Store Sales 22% Above /
Year Ago, Federal Reserve Board Reports
.
-
.<-*?•;
35.8
+
233,686
24.4
41,398,247-;.' '^5,5+^338,5 s
and State. Governments in addition to
Jprivate and-municipal construction. ^ .For. February,-!942, Federal;
and State' construction: in the 2,480 reporting cities' totaled$142,- i
;ft.??: ??; -v?^/
f??/?Changes ih'perrhif Valuations in
—/
—
+187.4
5,925,489
;
tracts awarded by Federal
;,*i•■>.-'
4,041,395
Central..?»
West South Central-
Mountain
.
■•Tv.-
39.1
24.T +120.2,? 41,650,757
64.5 v-i 57.5 ^ 5,175,066
"
:
'
*'
Volume 1:55
i
THE COMMERCIAL & FINANCIAL CHRONICLE
Number-4060
*
'7 The Office of Price Administra¬
issued
tion
on
the
in
of the cost factors
which
industry
cigarette
effect,
led it to continue in
as
"fair
equitable" the established
ceiling prices set on Dec. 30. The
and.
prices
schedule "froze" wholesale
cigarettes at the Dec. 26 level
for
week. ; When compared with the output in the corresponding
week of 1941, however, there was an increase of 2,000 tons, or 0.2%.
The calendar year 1942 to date shows a decrease of less than 0.1%
when compared with the corresponding period of 1941. .7
ing
the
cigarette industry will continue to
make very substantial profits.''
spite of recent cost increases,
,
77" The. estimated production of byproduct coke for the week ended
March 21, 1942, was 3.200 tons more than the output for the preceding
week.
Coke production from beehive ovens showed an increase of
The OPA ceiling over manufac¬
in order to
turers' prices was set
cancel
from $6.53 to
increase
an
,
,
$6.53 per thousand. The OPA
investigation concluded that "in
of
/
4
<
We give herewith latest figures received by us from the National * '
Division, U. S. Department of the Interior,
in its latest coal report states that the total production of soft-coal, Paperboard Association, Chicago, 111., in relation to activity in the
in the week ended March 21 is estimated at .10,880,000 net tons. paperboard industry.
/
7
\
'■V; The members of this Association represent 83% of the total in¬
Compared with the output in the preceding week, this shows a
decrease of 170,000 tons, or 1.5%.
Production in the corresponding dustry, and its program includes a statement each week from each
member of the orders and production, and also a figure which indi-»
week of 1941 amounted to 11,272,000 tons.
-v;.,r '■•/./;./,,■/.,7../
-The U/S. Bureau of Mines reported that production of Penn¬ cates the activity of the mill based on the time operated.
These
sylvania anthracite for the week ended March 21 was estimated at figures are advanced to equal 100 %, so that they represent the total
' r' •
.
. *
:?■ ^ '/;7"7,"-//;
1,107,000 tons, a decrease of 68,000 tons (about 6%) from the preced¬ industry.
The Bituminous Coal
March 23 the de¬
tails of its study
Weekly Statistics Of Paperboard Industry
Weekly Goal And Coke Production Statistics
y
1351
' '
16,100 tons for the same period.
$7.10 per thousand cigarettes, less
customary /.discounts, announced
>"
'»"/t
-•>
•
ESTIMATED
• -
STATES PRODUCTION OF
UNITED
-
.
I-'/.*'./;'... $■--•/
■
..
..
SOFT
,,
''
its; - Lucky /; Strike £ brand. Price
Administrator; Leon < Henderson
"
T'
"
'
January
Tons
Tons
V
Cumulativo-
Current
.
-
.'• '
608,521
/
•-/-, .;-,7;
629,863
673,446
,
571,050
June
>,/
656,437
•7
-
/•'
,,
r :5 608,995
"
14
z./ (.'■
.(:'*.
88
;.
\
so
.>•
;
Y
'
•
576,529
/ 7 630.524
0
8«-
j.
.
737,420^
•
642,879
:
;
■•/
/ }■'., 509,231
807,440
649,031
>•,/'•:.:
83-
488,993
659,722
21 •'•} •
v;
82
V/.
/ /'
'
81
447,525
'•
509,231
•
August
75
f
t
337,022
r
634,684
July
'
726,460
/'
/
261,650-
602,323
857,732-
202,417
548,579
•
••
W' 652,128 77;
April
~
Percent of Activity
'
:
-~r-~L
.Febr u ar y:
March.
■'
7':
-.
Orders
Remaining
'Tons '
Received
J:,/
,1941—Month of—7
.
Week Ended
January 1 to datetMar. 21 Mar. 14
Mar. 22 §Mar. 21 Mar. 22 Mar. 20 -
r!'
;
I
77
'i,
'7'-
*
vnfnied
'
■
May
TONS
IN NET
COAL,
U' WITH COMPARABLE DATA. ON PRODUCTION OF CRUDE PETROLEUM
•
by the American Tobacco Co. on
PRODUCTION, MILL ACTIVITY
Production
Orders
Period
•
.
{
.
STATISTICAL REPORTS—ORDERS,
94
57 U•578,402
,
94
/■■:.■;
.
October
831,991
839,272
,568,264
7 99
1941
1942>
1941;.
1937.,, November
'"*'98
554,417' "■
"640,188
649,021
COO'S omitted
i --t ■ - —
December
i
93 z
:•: V • 743,6?7
.-760,7757 V v -530,459./
11,272' -124,884/ £19,749 >118,139
•yz/uvvK.
'v
•,
19^2—Month of—;
Daily average
y Jl,813
1,842
,1,879 7 1,8371,735 7/1,766
in raising
the retail - level. * He,
January
1 Crude petroleum—
1;
•
7 v';. -- ;
>'
77'' - "
■ ;
,
673,122 T'
668,230 ,7 7 528,698,7 ; 102
^
therefore, set the ceiling and or¬ Coal equiv. of weekly outputr-L
.7—™
Lt ■7 640,269 : '
' 5,913 .; 5,631
5,896' / 73,883
67,124
59,204 February
665,689
493,947"
•v/101
'W
7.J'
-I/
'/♦Includes for purposes of historical comparison and statistical convenience the
1941—Week Ended— "
dered the inquiry into cost fac->
production of lignite. tTotal barrels produced during the week converted into equiva¬
80 /''
7 133,031 •:,-' :/'v 591,414
84
7
147,086
torsMThe decision not to allow a lent coal assuming 6,000,000 B.t.u. per barrel of oil and 13,100 B.t.u. per pound of Sept, 6_^,
: 589,770 -;
:
Sept. 1 3_._™.T'-__»_:
>164,057 '
:
166,781
.1.
'98 i
/ 84 " >
price rise was reported in these coal. Note that most :of the supply of petroleum products is not directly competitive Sept.' 20^™7L-w_-.™7__•'•
84
■■■'•
166,797
;/•;• 99
376,263 "
583,716
columns of March 12, page 1034.- ;with} coal./.(Minerals Yearbook, 1939,; page 702.). iSubject to revisioa.v; ^Subject, to Sept: • 27_:—
: ' ' 155,473 "7\ ; 163,'9i 5*:"" 7 "578,402-■
98
""'Z/85 "
manufacturers
Would follow this laction resulting
felt / that
-
other
yy•"■'•'y,..;;:"."'1942
^Bituminous
1942
—:—r-—=
Totarl;-including• mine-fuek.-=ki-iV-v 10,880- V-ll-,050'
-
.
coal-\-
»
.
; -T.- «•
}
•
;
,
...
.
.
.
,
'
.
_
,
,
.
.
.
•
The 7 following ^regarding the
reported in' Washing-
t r
current adjustment.;
.:
.
v
scrutinized cost
-profits of -the major com-
study,' which
V and
>^p;taiesJoll<^:^
T
t
{
«-
.
Oct.
Mar.21
11
18_1
Calendar year to date^
Oct.
25-7,1.
Marl 22
Nov.
Mar; 22"
' "Mar. 21 "■
1 Qi1
Mar. 14
■
TO 49
'
anthracite—
Penn.
coke—
»/
12,129,000 16,035,000
1,050,000 12,127,000
138,000 .'1,690,0001,446,000
132,700
1,438,000
X
13,416,900
'
/ V;
i- ing manufacturers —^American operations. (Excludes 'colliery fuel. /^Comparable data not available; /
/ESTIMATED WEEKLY PRODUCTION OF COAL, BY STATES
Tobacco Co., Liggett & Myers,
■-.* /
[In Thousands of Net Tons] /
/P.Loriliard/Philip Mortis and
/-■ R. J. Reynolds—rose from 17% 7-7 (The current weekly-estimates are based on railroad carloadings and river ship¬
ments and are subject to revision on receipt of monthly tonnage reports from district
.of-the- average -book' -value of and State sources or of final annual returns from "the operators.) "
UMarch
/ Week Ended'
7'
their invested capital in the pre- /•,
Mar. 13
Mar. 15 1 Mar. 16
Mar. 7
Mar. 14
avge.
f war " years 1936-39 to over 21%
1923
1940
1941
1942
1942
1937 zState—
/
/"
568,161
•"•.
as
-j
•
99
576,923
97
>: 570,430
/.
//
88
.:•«•,
99
550,383 ~
- / •
■
: '•'"/ «6
100
568,264
^
160,889
-169jll'l/.'
7 ;
i8U85,f
20__
—-
•
/:
y
.
87
•
9Q—-
J
/-V87-
/"■: 101./
554,417'
166,080.
/. .Z
163,226
.
.'
;
•
149,674
-116,130
r
164,875
•
149,021
Dec.
Dec.
U
./: p
'
165,397
145,098
■
85
•<
99
98/-
■'< 87
1
truck from authorized
coal shipped by
and
and dredge coal,
washery
t
1,165,700
1,168,900
••
100"
V
•
22
Dec.
-
'
>
•
'■■/:•
--574,991
159,860
,
156,394"' '
•15L.™
Nov.
575,627...
'
,,-•165,420
370,597
Nov:
•
.
165,795
165,279 77 7 168,146
■
"•
582,287- /
•
164,374
.
.
■•*••:
167,440
Nov.
148,800 ?:
total
♦Includes
-
1,105,000 12,765,000 12,767,000 17,279,000
1,116,000
<; 158,337,.,
Nov.
1QOQ
1Q41
*•••
;
Dec.
By-product coke
States
Maw 23
,
;
totair.y-
States
United
1942
1,175,000
,
fuel
(Commercial production
Beehive
1942
1,107,000
1,052,000
-
♦Total incl. colliery
/i76,619' 7. .168,256
:'
Oct..
Oct.
COKE
(In. Net Tons)"-'""'
Week Ended-
United
V-''■*-1. Average fnet: income/(be-(
fore income taxes)* bf five-lead-
,7,
t
PENNSYLVANIA ANTHRACITExAND
.
t-
^ Some conclusions of the OPA
t
^
,
Ztoi*y>advices-to /the; "WalL Street
Journal" of/March- 24:
•»%;
v
^
;isTlMATE!d PRODUCTION 'op
'
survey; was
«
-102
v/? 88
•'
lot
■
.523,119
' /
-z
87
.v..
101
535,556
-
•124,258//
-
V
x
553,389
166,948
•
567,373
Z
••
'
/ 88
1942—Week Ended—
Jan.
3_7—7/_™-,/.—
.
7:714^,419'7/Z /
140,263
162,493
10
Jan.
(-.530,549
'•'•■;^88 : |
•.
:
.,527,514
166,095
.-101
.
'
^
'
•
,Alaska_—
of the
.Illinois—
cations are that, because
?
y
i
and
enlargement ? of
the : .armed
forces, this rate of increase like**
increase in national income
'
Jy/wftlcoiitini^
-
:7
-Vvmargin averaged 55 to 60 cents
~
per
•:
-•
-;
cigarettes.
./
:pro<fudng and selling standard
*z price:^
^
f 16% per thousand above the
;
Iowa.
and
study on costs, the OPA report
■7 said that all major, companies
about three
year's supply
tobacco, and . tjhieZ .average
price of the three preceding
crops will govern tobacco costs
7; of
j.
;
for. the next year.
V
^
.Tobacco costs in .
part of 1941 or.prior
quisition of the 1941
low in terms of the
v.
-
7
.
'.
has
ettes
/
tt
**
136
561
67
56
204
7
77
58
28
58
/
33
10
56
7"
12
2,600
2,525
.v;-;'; :9
17:7 9
J
144
■Tennessee-
.r.
-95
'
7)
:
•
96
t.
>■:!■
(77.386
...
308
77-, 35:7:
34
2,205
1,648
•
908
775
v
Wyoming.^.
132
158
—
;
(Other Western States.
Total bituminous
2
:
1,175
;
49
32
7
62
...
1
<
7 VI?,225
Total,'all Coal—*> 12,225
1,179
11,334
11,334
v
17
45
—
45
616.
,v
424
;
148
,
;••:•
2,014
2,712
.
7
::
-(..;-/74-
-
.358.
-
37
-
.
...
^
125
.
..
12,160
12,160
118
19
r
68
: r/
103
230
v
74
7 39;
i.
to
14
cost of
in 1941. ///:;//77
1
11,435
10.764
886
994
2,040
9,328
9,328
12,429
12,429
12,804
.
the
comparatively
;
Idaho, Nevada, and Oregon. §Data for Pennsylvania anthracite from pub¬
of the
Bureau of Mines.
flAverage weekly rate for entire month.
records
lished
and South Dakota included with "other Western
North Carolina,
States." ttLess than 1,000 tons.
Georgia,
OPA
commented.
Maintenance of
should
y to
*
-construction volume to top the $100,000,000-mark. ;
Private construction exceeds the 1941 week's total by 6%,
is
'
Hamm
"
current
are:
factory
,7.overhead had risen since early
amounts'/ranging from
construction
State
stocks
and
and
;•
February, 1942
of
-
7::; 7
:/7
finished portland
-
—Production—""
District
-
1941
.
Eastern Pa., N.; J. & Md.~™„
New York & Maine.
^
•
:
•
.
Mar. 26, 1942
$273,702,000
$177,115,000
18,693,000
municipal™.
13,523,000
19.843,000
107,591,000
260,179,000
157,272,000
21,370,000
:——7'
13,350,000
4,486
5,125
579
471
407
2,053
2,330
717/.
874
522
524
2.903
384.
295
266
2,288
2,065
1,174
600
499
2,993
2.917
1,447
1.254
1,245
1,735
week
the
are
struction.
.
7
146,652.000
classified construction
in
sewerage,
Increases
industrial
over
the
86,221,000
376
303
308
806.... Z.
441/:
750/
878
628
.'•/
113
153
.Z
1,552
1,119
201
279
193
30
43
19
8,345
10,813
/
&
the
1941
week
3,188
3.194
:
1,551
3,025
:
1,907'
2,062
! /
Utah,
485 ;
358
1,098
.Z-—Z+z.
637.
Mont.,
California
Wyo.
127
:
Oregon & Washington
Puerto
Rico
summary
—
;
statistics
of
/
C
the finished
of
811
,
80!)
773
.
94
641"
./584
1,487
678
608
43
.
8.285
7,456
1,474
1,612
280
....
16
25,307
4
:/■;'
25,714
are
in
portland
cement
industry
puerto rico- (in thousands of- barrels)
in the united states and
/7:-777/7;7,by
'
months
Stocks at
No. of
January
156
156
155
a
April
8,285
:
156
August
157
157
17,833
November
157
--
11,511
Z
25,714
Z/'/v-
22,745
/
7
»——
.
:*mm—-.
19,732
16,417
——*
—
K'
■"."'■-I
17,638
7
——.
■
♦19,937
—-
♦Revised.
for the corresponding week
financing is made up of $3,850,000
tion are: waterworks, $2,057,000; sewerage, $3,707,000; bridges, $983,- in corporate security issues, $2,598,000 in State and municipal bond
000; industrial buildings, $12,315,000; commercial building and large- sales, and $1,000,000 in RFC loans for public improvements.
scale private housing, $5,708,000; public buildings, $125,133,000; earth¬
7 :New construction financing for the year to date, $1,419,454,000twork and drainage, $266,000; streets and roads, $6,832,000; and un¬
is
6% above the $1,332,653,000 reported for the opening quarter
classified
waterworks, sewerage, industrial and public buildings, and unclassi¬
fied construction.
Subtotals for the week in each class of construc¬
448,000.
last year.
This compares with $606,685,000
The current week's new
•
'
•
*
'•
»
'
a
•
net increase
a
cent * to
of
a
fraction-of
-.
7
r:?vVr
4 cents
an/outside Zfigure/of
per.thousands cigarettes.
^
construction, $20,114,000./
New capital for construction purposes for the week totals $7,- :in
1941.;.::.;,—/r/7Z/:,/7v
v
*'
• ■
.',7-•
21,178
17,561
16,688
13,810
/"'•
21,865
v
16,345
14,931
w—
♦23,186
24,056
16,115
;
'
13,724
157
25,988 >
16,000
,
18,284
v
25,307
15,223
17,825
September
Z 24,416
10,813
14,732
' 77/w-.
16,687
157
—i
;
♦12,370
8.345
12,196"'.
16,109
157
Juhe.
July
..
1942
10,596
14,132
7 46,048
9,021-
.
9,915
156
156
9,120
1941
-
7,984
;7
1942
7,456
156
February
1941
1942
end of month
Z 19421941
Production
Shipments
plants
1941
gains over the preceding
buildings, and unclassified con¬
for
..(,
Idaho
groups,
volumes
1,571
'
1,421
Texa.s
10,620,000
246,829,000
/-
-
925
Okla.r&
Nebr.,;Kans.,
"
1942 :
486
& W. Va.___
—
Ark...
1,458
1941
1942
357
Western Pa.
Mo.,
2,199
1,612
:
_
Ohio,
1941
,
end of month-
—Shipments—
1942"
v
.
Mar. 19, 1942
/
^
7;
Stocks at
156
'
by
February
and
Mar. 27;1941
7/
Federal
In
.
■
Total
$126,284,000
-
/•
101
cement,
districts, in february, 1941 and 1942 (in thousands of barrels)
December
7
said.7.. -v/:•./.. ::>7;7.''
and
;7>
■.
.
Public construction/.
growers. .- Acting
John
E.
On other costs, the OPA in-
7
7/7 /
construction
Private
prices paid
vestigation disclosed that casing,
l941- in
week
•
Total
Administrator
wrapping,; labor
r
shipments
up
7'; 77, '-.777 7
present prices
not depress
tobacco
7 Price
y
production,
Michigan
small ,704,000, is 52% below a year ago, but public work, $1,805,384,000, is
Up 69% as a result of the 119% Federal gain. >7
Construction volumes for the 1941 week, last week, and the
Maryland crop and such imports
i from the Far East as the manufacturers may be able to get,
/
.7 -/77-.-
of actual returns.
....
operations on the N. & W.; C. & O.; Virginian; K. & M.; B.-C. & G.;
and on the B. & O. in Kanawha, Mason, and Clay counties.
(Rest of State, including
the Panhandle District and Grant, Mineral, and Tucker counties.
(Includes Arizona,
(California,
101
;
♦Includes
^♦Alaska,
^-'••101.
statistics given below are compiled from reports for Feb¬
received by the Bureau of Mines, from all manufacturing
plants except two/for which estimates have been included in lien
088,000, a gain of 36% over the $1,461,248,000 reported for the 13week period last year.
Private construction for the period, $187,-
..than
101
ruary,
.136
131.1
significant tobacco pur¬
chases during that period other
no
100
The
717
August because there will
be
101,
r;
portland cement industry in February, 1942, produced 10,-'
813,000 barrels," shipped 8,285,000 barrels from the mills,:: and hs<*
in stock at the end of the month 25,714,000 barrels, according to the
Bureau of Mines, U. S. Department of the Interior.
Production
and shipments of portland cement in February, 1942, showed in¬
creases
of 29.6 and 11.1%, respectively, as compared with Feb¬
ruary, 1941.
Portland; cement stocks at mills were 1.6% ; higher
than a year ago. 777
» '
*
Colo.,
8
-7/
v //
465,439"
The
1.172
768
8,442
Z,
1,096
:
tt
/
11,064
3.249
;>
•/..324-
//.-V
99.
-.
740
2,098
573
.7../. 1
.
.
1,720
,-809:.
....
■m:i
60
53
♦♦34
;
.
'.14'»::
30-
.-
2,155
.
45
136
;
7 272
.
4Q
2,878
-7L13
.
68
663
.
108
7/7.8
10,155
coi
.z
*
102
"
169,444
Portland Cement Statistics For
52
•
29
28
.
646
.-■V
168,130
■;
.
215
38
'
"
100 T
"
-
necessarily equal the unfilled orders at the close. Compensation-for delinquent reports/
orders made for or filled stock, and other items made necessary adjustments of unfilled
orders..
1 Z .Z,"*/.•; ./• '/ ■/■■//••' ■/.
; :c
/.-• v
'
273
163 "
39
33
'
/
493,947
*
.
102
302
476,182
/
7
Note—Unfilled orders of the prior week plus orders received,"less production, do not
560
877 7
*
:'k
74......
-
101
102
505,233
-
165,081
:
'
.
-
.
102
101 ;•/ /. Z l02
v/c
496,272
:164,601
'
/'102
'■> 102
•"'
144
180
672
887
,".7 247
35
8
New Mexico.
7
140,125
157,908 '
101:"-
122
.*.•,7/117.7
47% compared with the preceding week.
Public volume in¬
creases 46% over a year ago, but is 40% lower than a week ago. ?■
The current week's construction brings 1942 volume to $1,993,-
and
,
Mar.
21
Engineered construction volume for the week, $177,115,000, tops
the corresponding 1941 week's total by 40%, but is 35% lower than
the near-record volume of a week ago as reported by "Engineering
News-Record" on March 26.
This is the tenth consecutive weekly
.
;
hIE/ZzzzeuziiZt-Z;
Engineering Construction Down 35% In Week
preceding
This 9ost increase will remain
7- relatively constant between now
•
Mar.
:
:•'
*
720
276
:
40
Montana.^.
575
140
7
:
:
1,684
516
391
677;
•175':
-
-7-75,/;
Kentucky—Eastern-i—_i—
^.;.:.7:.267
Kentucky—Western.—
-
1,583
1,100
"
165,240
177,823
Mar.
W.
cents above the average
each company
Feb.
•
.
168,424 ./ \ '522,320
167,424
510,542
..
156,745.
157,563
163,067
crop were
from
risen
'
7
Texas
162,894
14
Wis., 111., Ind. & Ky
...
Va., Tenn., Ala., Ga., La., & Fla.
Eastern Mo., Ia., Minn. & S. Dak.
it states. At the present
time, the cost of tobacco per
y thousand standard price cigarj
:
Feb.
the early
to the ac-
years,
.
-1,269
520
//:
Missouri.
'
hold
1,250
495
ii.
:Kansas
7zz~rzrzz™™_r
Feb..
Feb.
'•
167,040
101
528,698 :
169,735
:
••
.
-/•
525,088
r.
•
102-
514,622
.165,360
..
7/181,070
Jan..
195
157
1
7
.
M
7 will ibe offset" by the .consider-
77
48
'
|jatoly'greator^^yohnne oPsales. ;
;7/Discussing the /results ; of its
;
'"71
1,242
;
more
than half of those higher costs
'
"
ft
1
'——
Indiana
~
year,
423
313
132
168":
154
160
.
./
~
current cost of
average:; cost ./ last
62
50
Ohio;
7*7*7/^
the
4.: While
43
"7
167,846
161,713 f
Jan.
-
thousand on standard price
*
69
2
3
272
-r
378
*
1941/ profit
-3. Manufacturers'
*
3
365
"7/3 7
\
388
Coloradol
1:7
Jan. -17
-
•
,/v in 1941.
VV^2. Current cigarette sales are
yrunning20% above the corre>■£ sponding levels of yl941.' Indir
'
77 ■ -88
././ Z'7Q
7"/: Z'7;:";737;// 777/. 7:7771(7
.-
'u'
'*
1352
THE COMMERCIAL & FINANCIAL
CHRONICLE
Revenue
YY
■
Freight Gar Loadings During Week
,
'i1J 'V v'
WBailroads
''•••»
;
Southern
<
District—'
1941
Alabama, Tennessee & North6rn_ii'i.Y'^-":''! <*^351Y
& W. P.—W. R. R. of
Ala.,—y >' 1,056
Atlanta,
Birmingham & Coast_!_zz:.z-v.V
Atlantic
Coast
The increase above the
corresponding week in 1941 was
26,656 cars or 3.5% and above the same week in 1940 was
176,265 cars
Clinchfield
28.4%.
Durham
&
..
V. 12,084
*
Southern
;
,
;—
L
vv
Georgia
•' 197
i
,-Y
—...
2,818
.>
&
23,967
>
z
Southern
__>
...
"
,
Y
471
Y
Y
317
571
22,898
380
totaled 21,899 cars, a decrease of
2,312 cars below the
but an increase of 635 cars above the
preceding week,
below
cars
loading
stock
amounted to
10,445 cars,
the
preceding week, and a decrease of 372 cars below
the corresponding week in 1941.
In the Western Districts alone, load¬
ing of live stock for the week of March 21 totaled 7,641
cars, a de¬
crease of 498 cars below the
preceding week, and a decrease of 279
cars below the
corresponding week in 1941., v
[ Forest products loading totaled 47,469 cars, a decrease of 17
8,583
1940.
over
Five
weeks
of
of
cars
Bingham & Garfield,,—
^
Chicago, Burlington & Quincy—
Chicago & Illinois Midland./—
Chicago, Rock Island & Pacific—
Chicago & Eastern Illinois,
Denver & Rio Grande
620,596
759,607
■
9,347,739
8,593,182
Nevada
620,375
7,541,609
North
(NUMBER
LOADED
OF
AND
CARS) —WEEK
YiYY■" -YYYY-YY
Railroads
Yv'YY;Y v;.j'YY>;Y:
Chicago,
yyy; Freight
Y
1942
:_z...z!z
Maine
Western
Delaware
&
&
Detroit,
■
__
&
Total
&
&
Toledo
Erie
Trunk
2,617
54
&
1,264
4,738
13,419
9.573
,
9,268
8,530
St.
2,114 v Y
2,143
zY—zz—^
Pacific.
Texas
&
1,584
1.536
Texas
&
3,775
4,447
Wichita Falls & Southern
14,226
10,646
16,564
15,051
6,232
4,832
8,998
9,967
163
170
3,357
1,729
1,911
7,53?
10.214
3,020
2,650
4,470
N.
Y., Susquehanna & Western
Pittsburgh Si Lake Erie
Marquette
452
27
37,625
12,106
11,620
8,906
19,714
1,154
1,106
937
6,115
4,937
T5,888
2,618
7,172:
15,418
513
441
369
8,442
8,235
5,639
645
399
13,309
1,334
292
iYY?
Y
:
Y^Yiy#
628
4,045
(15,427
;
414
6,466
Y
,17
W.
.
'
93
6,398
147
147
21
Y
'Y 51,203 : ?
»
3,818
-
'?
27
!?;
6,651
31.
....
30
400
267
In
motor
44,867Y-v 59,408 " t 42.206
sented
an
2,039
sociations.
1,046
1,109
the fact that there
11,230
4,813
3,174
165,814
174,468
137,026
4,395::
.
4,298
226,754
199,719
'
*
y
The
Comparable
on
decrease
Allegheny District—
Akron, Canton & Youngstown
Baltimore
Bessemer
Buffalo
&
&
Creek
&
do
Cornwall
Cumberland
_
&
Ligonier Valley
Long Island
_
317
1,865
1,342
13
7,555
5,591
19,253
556
665
-78
41
; >> '
1
/ ' 7r,
y i '
^Slightly more than 78% of all tonnage transported in the month
was
reported by carriers of general freight.
The volume in ( this
category decreased 2.4% under January, but held- 15.3% over Feb¬
329
Yr- 204
16
42
ruary
154
110
...
2
6
:
452
3,599
1,399
1,082
44
2,749
.-76,307
10
14,211.
67
753
1.857
81,320
System."
i
3,347
1,779
__
__
Total
59,669
16,821
13,342
29,787
20,368
13,075
3,999
4,457
4,138
4,121
3,340
12,492
8,626
181,780
(Pittsburgh)
Western Maryland...
54,885
16,166
20,752
Union
-
266
793
_
Penn-Reading Seashore Lines___
Pennsylvania
Reading
Co
1,921
303
Pennsylvania
1,082
20,924
1,743
103
_
1,118
27,972
2,537
8,411
Jersey
_
444
28,194
4,013
135
Cambria & Indiana
Central R. R. of New
584
39,175
314
Gauley
706
174,266
125,580
162,557
129,976
51,663
.
21,823
Pocahontas District—
Chesapeake & Ohio
Norfolk & Western
__
Virginian
Total
27,017
26,711
22,737
13,436
11,637
22,548
22,900
17.930
7,312
6.151
4,456
5,088
4,132
2,214
1,631
54.021
54,699
44,799
22 962
19 419
of 1938-1940
was
15*2.56.
•
as
,
representing 100,
..
Y
:
«'
was
143.76.
most
for
free
figure, computed on the basis of the average
monthly tonnage of the reporting carriers for the
three-year period
3,388
_
calls
efficiency
the
good
index
1,900
Erie
plan
.Y.
for
(
greater
through
co¬
can
do
our:;job
faster
and
smoother, that suggestion must
be passed along to where
it will
y!'
motor
41,494
__
Ohio.
Lake
a labor plan, or
any other
plan. It is the War Production
Drive plan.
It is a
operation. That means if
anyone
has a suggestion as to how
we
States.
reporting carriers transported an aggre¬
gate of 1,440,067 tons in February, as against
1,498,708 tons in January,
1,269,160 tons in February, 1941.
ATA
a
:YThe
and
The
men
where.
good
our
,Y
the
—
country
and
women
Yy,:'Y
most
and
for
every¬
>.?:YY
The index in January
*
of last year.: y. vy;'7yYyY"
y YY.Y
-Y.-yY Y";. Y.;Y..
Transporters of petroleum products, accounting for a little more
than 13% of the total tonnage
reported, showed a decrease of 8.4%
under January, but an increase of 44.8% over
February, 1941. Y .7.
-
.
;
plan,
plant
chiefly to
fewer working days in
February.
were
received by ATA from 227
The
were
con-
that contem-
perfectly
simple, Ystraightforward' " effort*
March 30 by the American
Trucking As¬
under January was attributed
reports
plates
designed to
any plan
to increase production.
February, 1941, according to reports
compiled and released
11,494
>
,
''-'s?,*",'
with past trends, the volume of
freight transported by
in February declined
3.9% under January, >but repre¬
increase of 13.5% over
619
2,563
''
line
5,094
832
1
It is not
to
measure of control of
management by labor. Y
Y'; It does not put
management
in labor or labor in
manage¬
ment.
It is not a
management
truck
626
1,212
Y.
figures revised.
tear down the
pow-
position of any union.
It
does not
interfere with bar¬
gaining Y machinery
where ;.it
-form
•'
or
or
exists.
:
'
55
-
a
to add to
5,650
',
6,861 >
4,401
Y •»29'Y'-'
68
16
group.
er
:'---Y37
/
4,622
3,830
any
Y
429
2,331vy>5,754S" -2,975
.
>
of
10,227
183
8,617» ,:'^7,678
•
interests
It is not
221
-
15,878
;■
•
.
plan to promote com¬
pany unions. It is not a device
4,215-
12,141
;
.
representing
Y,
505 -; '~Y
>
joint
labor
3,003
236
183
3,721'
2,672
•
388Y
for
drive is designed ,to in¬
the production of
weap¬
now and not to
further the
special
1,092
Y
98
137
«
2,000
1,046
166 Y YY
.
4,531 Y Y; 3,765
64,397
carriers in 42
Total
'
f
2,355
;
,
provides
committees
ons
2,566
1,804
-Y
V ' ' '
plan
crease
February Motor truck Yolumr 13.5% Over IG41
6,391
518
5,832
Erie
;• 390
success
women,
management in the
and
The
1,044
•
Its
and
men
J..,This
Y
322
2,286
1.044 '
the
management in each plant
to stimulate war
production. ,
1.906
3,058
,
year's
4,918
Rutland
1,996 .Y.
10,181
y
zz._-s
218,
Y
-.
,
2.055
figures.
Note—Previous
1,891
7,935
6,768
521
420
2,164
,
7,931
5,651
6,445
805
Wabash
•
-;;
237
2,927
War
Y and
48,095
2,143
49,809
538
Pittsburgh & Shawmut
Pittsburgh, Shawmut & North
Pittsburgh & West Virginia
63,166
2,753
1,700
is¬
.
^
-j:
2.283
76,446
the
plants.,
9
38
55,887
3,005"-
2,666
J
210
2,337.
307
4,486
1,653
5,149
_
i
U
——
•Previous
3,623
6,402
2,307
_
.
>
;..v
t
8,330?8,354
—
Total
Y*': 8,273
45,802
Y., N. H. & Hartford
New York, Ontario & Western
New York, Chicago & St. Louis
165
•
1,553
9,603 ;
Y *
* 547
<
Orleans
Pacific.
Weatherford M. W. & N. W
2,541
1,661
8,936
New
1,420
Y'
■
to
up
labor
9,383
-
5
145'
.
.
1,717
3,325
217
293
137
364
,
2,630
5,252
Louis Southwestern
2,602
170
834
y -
is
6,535
H,771;
96,151
•
134
;
: •
"210
.
-
Quanah Acme & Pacific,.—„_i_.
Louis-San Francisco_.z—
191
'•?
1,372
• >
109,744
Yr 15,935
388
3,139
N.
i
•
i_L
;
>
Arkansas,——:
3,098
6,493
Lines
4
———_
St.
8,548
1,379
:
_
Wheeling & Lake
Missouri
Missouri
324
256
V
-
the
Board,, sets forth
!YYa voluntary effort..
0
<
9,945
13,175
^
168
390
0
<
20,934
414
Yf 1,787
-689
-
>>2,862
—
Missouri-Kansas-Texas Xines,_rz_j—Y.
6,339
'
_
Central
Valley_.
213
Monongahela
York
Y 12,796
YYY
58
Midland
4,359
Montour
Pere
2,327
207
Louisiana & Arkansas—..
Litchfield & Madison—_L
14,015
...
New
16,704
'•YY/'22'Y
:
6
-538
:I>istrieftr-"?"Y'z5;:S!?'/v:r:-*-vY'
Island
2
I
'
Lines—„
274
Western
Central
273
1,249
1,420
6
of
objectives and the plan of
opera¬
tion of the War
Production Drive.
-Y
The War Production
Drive is
1,634
455'r
statement,
March 19, by Donald M.
on
Production
17
1,057
1,652
-
^he. following
/
334
Line
Lehigh & Hudson River
Lehigh & New England
Lehigh Valley;
Maine
,
'
Y '
;
168
,424
115,250
—
2,200
lronton__
Shore
::
——
*14
435
14,887
8,141
International-Great Northern
2,369
Kansas, Oklahoma & Gulf—;■■' 1 329
Kansas City Southern..
(' 4,013
1,359
,
8,543
_____
Grand
1,470
6,968
Y
<t.
Southwestern
9,410
%"' 6,607
Western
Mackinac
Toledo
Detroit
18
—
Nelson,/Chairman
687
,.
'
466
1,729
.<
1941
2,213
8,271
33
1,256
Hudson
Connections
1942
612
1,536
>
Pacific
Gulf Coast
Received from
1940
2,017
7,849
V
Vermont
Detroit
Y
'
15,410
Burlington-Rock
'
1,630
;
Delaware, Lackawanna
:
534
2,308
Indiana
Central
;
Y 186
:
sued
1,593
3,528
1,578
24,885 Y
——,
v
21
Loaded
1941
570
r
Indianapolis & Louisville.!.
Central
MARCH
/
•
•
Aroostook
Boston &
ENDED
CONNECTIONS
Total Revenue
District-
Arbor
FROM
Total Loads
'
&
RECEIVED
,,
(Pacific).,—Y 27,856
—
3.353
1,268 Y
domestic
■ 'II 11111 111 I»nu.wrn. J I.inrn.u -iqi. •
10,411
'
for
War Production Drive Aim
9,605
4,389
334
:
T
882
'732
.13
Toledo, Peoria & Western
Union Pacific System.:
year.
REVENUE FREIGHT
.1,021
Y1/1
3,257
1.880
-
1
1,838
753
1,784
118
V
11,704
885
'904
*
1,965
,
-
.
A.'. Y
2,892
'
of
increased 4.3%.
822
■
,
2,131
530
1,974 y
1,331
"
'
Peoria & Pekin Union/!...
Utah
2,534
;
4,701
10,202
2,424
698
-,897
2,175
Pacific—
Southern Pacific
from1 sales
7,352
125
11,285
2,207
'
11,603
.'
8,773
13,860
2,628
•
981-
—J—_*
z.
-w
17,205
" *505'
'
f
..._
Northern—
Western
522
t»
,
2,864
_
Missouri-Illinois
619,388
•
YY
The following table is a
summary of the freight carloadings for
the separate railroads and
systems for the week ended March 21, 1942,
During this period 89 roads showed increases when compared with
the corresponding week last
Bangor
Western——YYY
742,617
769,984
2,601
,519
2,635 v.Y ' 3,277
799
'
772 11
770,697
799,356
3,394
•
11,137
;
Denver - & Salt ■ Lake—*
Y 796,640
Eastern
Y
19,325
month
for: housegained 0.7%.
(
revenues
December, 1940. Revenues from
sales of natural
gas for industrial V
purposes gained 17.3%, while rev¬
83,766
:
in-'
than for*
244
1,780
62^738
19.1%
revenues
( The
natural
gas
utilities- re¬
ported revenues of
$56,289,000 for
the month, or 8.6% more
4,075
354 .*
*2,608
increased
purposes
purposes
18,585
3,022
4
—_
Fort Worth & Denver
City
Illinois Terminal,
Z
14
76
2.310
,
increase of 3.2%-
corresponding
while
heating
2,564
4^469
93
an
Revenues from do-'
were 1.6% more
than
uses
the
1940,
677
3,965
85,499. ! 71,987:
-
159
95
,9,293
104,;
15,301
3,215,565
21
9,660
for
8,896
2,518
.
revenues
same
commercial
mestic
3,807
883' *,
160
1,565
Y 2,305 VY; 1.T78
;;
582'
f-
3,465,685
March
Y
•
4,410
:
3,415
•<
2,866,565
March
,194
1,765
233
150
gas industry
of $36,024,300
creased 4.0%.
506
4,762
.
517
4,978
■
21,857
v
3,454,409
Week of
Ann
Y '
3,122,773
Total
943
1,794
r
10.679
.423
9,361
496
Y
I
<
purposes
enues
& Santa Fe System
Alton
1940
Week of
1
Top!
Atch.,
cor¬
3,858,273
7
6,141
451
"
88,017
February_Y_ ^-_Y
Majfch
426
608
increase
an
.
month,
while
471
9.814
533
116
——
trial
4,003
10,450
.
5,188
Colorado & Southern
1941
Y.
*2,736
January
Four weeks of
Week
1942
VY-Y'
3,320
9,094
Central Western District—*
•
Y
511
11,402^
12,022
4,238
555
from"
cooking,,
month of the pre-*
ceding year.-Revenues for indus¬
Y:"-Y;Y ;
3.393
'
^
-
,
for the
>.! 10,223
530'-
-
$60,480,700 in 1941,,
3,134
802
as
The manufactured
from the
.
Revenues
such y
and refrigeration,'
from $58,739,700 in 1940-
reported
Y
*
heating
of 3%.
867
13,367
users*
762
17,994
v
3,787
Pacific,—, 10,235
Total
All districts reported increases
compared with the corresponding
week in 1941 except the Eastern and
Pocahontas.
All districts re¬
ported increases
694
9,900
!
——.
"i
/ -
YYv
Atlantic,!— _«
Spokane International
Spokane, Portland & Seattle—_i
•
>
1,213
.
it
v
18,838
"
to
Revenues from
commercial
13.7%.
uses
:
rose
2,216
21,250
3,393
to
108,514 >Y; 89,046
•
13,876
•
2,573
20,085
Dodge, Des Moines & South.;
Northern
16,340
Y
2,581
.
Ishperaing——
,
Minneapolis & St. Louis——.—
Minn., St. Paul & S. S. M.„__ .^Y.
) Y
; "r *'1
loading amounted to 15,963 cars an increase of 3,253 cars
above the preceding week, and an increase of
1,737 cars above the
corresponding week in 1941,:
;
&
^
^
Green Bay &
Western———;Y;;
Lake Superior &
Ore
responding week in 1941.
i
Western
etc.f
•
V
16,693
Elgin, Joliet & Eastern,——
corresponding week in 1941.
Coke loading amounted to
14,074 cars, an increase of 319
above the preceding week, and an increase of 13 cars
above the
Great
Western.
Y Y
•'
:YY
South Shore
Ft.
above the
cars
Y
* •
Milw., St. P. & Pac.-—!
St. Paul, Minn. & Omaha—_
Missabe & Iron Range—___
& North
Great Northern
cars
below the preceding week, but an increase of
'
Duluth,
decrease of 423
a
\
Chicago
Chicago
Chicago,
Chicago,
Duluth,
corresponding week in 1941.
Live
'
1.714
Y 1,038
nat¬
amounted
$28,002,000 a year ago'
$31,832,600 in December, 1941,
water
6,254
YY
and
domestic
1,174
:
868
rev¬
and
from
gain of
a
470
Y3,523
-,
;&•; 9,528/?<>7,605Y/; 6,487
24,993.- Y 20,486
.
663
800
3,863
>1,421 v'«
1,352/
10,846 - Y.
——
>
to
,
loading totaled 35,608 cars a decrease Winston-Salem
Southbound,—132f;Y> ^ 174 y' ' 134
of 2,625 cars below the
preceding week, and a decrease of 1,305 cars
I Total
' Y 127,361 Y 120,105 Y
below the corresponding week in 1941. •
99,965
In the Western Districts
alone, grain and grain products loading for the week of March 21
Northwestern District—
\
/<:;v7,504
716
421
/Y;Y:376
24,860,
•■
.' 13,487
' 519';."'
1,042
,
industrial
;'3,254
15,781
v,, v
utilities
gas
rose
171
>
Y
Association
manufactured
increase of 6.4%.
719
..- -
,
I 3,595
!'4 156
•
11,358/;: 10,902
,
Central—,
;
501
'
System
Tennessee
Grain and grain products
Line—-
770
Y 9,284
:
Yv 2,887
1,182
495
Richmond, Fred. & Potomac_zz_____j;i Y\
Seaboard Air
Y
•
20,126
Coal loading amounted to
152,907 cars, a decrease of 2,705 cars
below the preceding
week, and a decrease of 14,605 cars below the
corresponding week in 1941.
Northern
118
.' Y 2,067
20,270
1,349
,
969
204
Gas
$92,313,300 in December! 1941, as
compared with $86,741,700 for the
corresponding month of 1940, an'
904
1,164
of
ural
336
425
American
March, 1942, reported that
enues
3,162
YY.
Y 2,576
26,087
Piedmont
Y
_z_
______—
'
275
______
Southern
.3,025
' 311
in
1,728
:
v
28
Macon, Dubin & Savannah
Y
204
Y" ; 157
Mississippi Central—:
-.:''v:-Yv "264 <Y"Y'" 210
Nashville, Chattanooga & St. L.,-..u: kY'Y 3.728 Y- v:3,154
Norfolk
1,927
1,134
.
24,268 -vi,
Loading of merchandise less than carload lot freight totaled
145,078 cars, a decrease of
1,743 cars below the preceding week, and a
decrease of 13,583 cars below the
corresponding week in 1941.
<
/
,
:
YY 3,870 Y Y 3,473 Y
4,169
3,885
930
-
43
367
27,765
Nashville.....
387
192
1,119 *
373
6,892
4,257
335
.
The
1,191
.
10,026
•
.1,408
*__YY.Yvl,380 YY 1,232
Georgia & Florida
1—
Gulf, Mobile & Ohio__,__-_-_-l,_^_^' YY
Illinois Central System.!.,—--_.Y__v.tLouisville &
;
1,785
1,216
-4,325
,.,Y260
Y'.'i 175
301.
\
For Month of Dec# 1941
155
2,472
'
9,961
•
438
.
794
565
.
1,680
Midland™—__!z__z.Y'z!.* Y-' ,"v,./-r43 .-YV-V
*
Miscellaneous freight loading totaled
375,096 cars, an increase of
1,225 cars above the preceding week, and an increase of
46,188 cars
above the
corresponding week in 1941.
Y,
-4,460
--Y.-—__1,638
Florida East Coast...—,
Gainsville
,
716
Carolina,;—426
/
Columbus & Greenville,,
decreased
824
.
797
13,945
__z_zz.__
''** Connections
Y/Y 1940,y1942.•.vfY'1941..
; 4;581
;;
Central of Georgia
Charleston & Western
March 26.
21
Line..
Dec. Gas Co, Statistics
''s;F?,e<^eLv^cI from*,
Y'Y268 Y?VY:240';YJY'Y355
Atl.
Loading of revenue freight for the week ended March 21, totaled
796,640 cars, the Association of American' Railroads announced on
Loading of revenue freight for the week of March
2,716 cars or 0.3% below the preceding week.
;
i
Total Loads
••
"Y Freight Loaded
Ended March 21,1942 Totaled 796,640 Cars
or
Thursday, April 2, 1942
WPB Limits Use Of Hone
The
a
War
to
move
Production
conserve
Board, 1
supplies
honey for the use of domestic
military consumers, ordered
March
26
the
use
of
c
an
0
honey;i
manufactured products limited
t
the 1941
consumption.
The WP:
Movement of new automobiles and trucks
continued to drop said • that because
of heavy
pui
sharply as a result of the emergency, and constituted only about 1.5% ; chases for
use in the
manufactur
of the total tonnage reported.
Tonnage in this class dropped 26.9% of ice
cream, candy, soft drink
under January, and 51.7% under
February of last year.
bakery goods and
Haulers of iron and steel products
medicines, th
reported slightly more than supply available
for
househol
3% of the total tonnage.
The volume of these commodities decreased and
other
established
purpos<
3% under January and 28.1% under
February, 1941.
has been
running low. The Boar
A little more than 4% of the total
tonnage reported was miscel¬ also said that some
manufacturei
laneous commodities, including
tobacco, milk, textile products,- bricks, who
formerly used honey in onl
building materials, cement and household goods.
Tonnage in this small amounts have
class decreased 6.8% under
recently b<
January, but held 9.9% above February come heavy
purchasers because, c
of last year.
' 'Y
Y
" ;
Y
the
,
sugar
control.
THE COMMERCIAL & FINANCIAL
155 : Number 4060
Volume
1941 Purchases By RRs
Reports Insured Banks Had Record
Loans And Deposits On Dec. 31,1941
Highest Since ] 929
FDIC
Last Year
Bank Debits Up f 3%From
I
1353
CHRONICLE
thq< month ;of May,, only, mopthly. bank debits
published;;-weekly bank debits Statements Will be
Loans and deposits of the 13,427 insured; commercial banks
discontinued after issuance of the statement covering the week end¬
ing May 6., .; The, monthly figures, which are available from the be¬ reached the highest figures on Dec, 31, 1941, ever reported to the
ginning of 1919, are more .significant than the weekly figures for Federal Deposit Insurance Corporation, Chairman Leo T. Crowley
announced on March 31.
Loans amounted to $21,262,000,000, an in-'
most purposes, since they smooth out wide weekly variations.
crease of $2,864,000,000, of almost 16.0%
over the corresponding fig¬
V*1 Bank debits as-reported by banks in leading centers for the week
ure of Dec. 31, 1940.
The growth in loans was chiefly in commercial
ended March 25 aggregated $10,914,000,000.
Total debits during the
13 weeks ended March 25 amounted to $142,020,000,000, or 14% above ;and industrial loans,- and may be attributed in considerable part to
the increased demand for credit resulting from: war production
{he total reported for the corresponding period a year ago. At banks
schedules.
Deposits were $69,421,000,000 at the close of 1941.
in New York City there was an increase of 6% compared with the
The comparative statement of assets and liabilities of all insured
corresponding period a year, ago, and at the other reporting centers
commercial banks issued by the Corporation also revealed the fol¬
there was an increase of 19%. ]■:&;."•••
•
; - '
»:
-
figures will, be
} Purchases of fuel, materials and
supplies made by the Class I rail¬
roads of the United States in con-:
nection with their
,
lowing significant items:
.
:
:
.
1. Total deposits were higher by $5,951,000,000, or 90%
'
U
dollars]
Week Ended
Lin ^millions" of
riv.
-
Boston-—
—X-—
Philadelphia
Atlanta
Minneapolis
Kansas
•
-
New York
140 other
-
V
133 other
».
The
$1,763,000,000, an increase of $1,096,000,000, since Dec. 31, 1940.
2. The banks reported cash, reserves, and funds due from
.
18.703
366
V banks of
"i. 3,793 s
4,681
.2,626
.
:2,068
*
increased
>
•
-
-
3,953
.'3,191
.12,319
10,210
142,020
124,226
235 \
.
749
965
_
3.
._
10,914
centers.i.^—-J--.-—
■
9,695
3.650
3,706
49.749
46.821
'J.T—:.
6,290
5,214
H79.568
67.091
reporting centersl-JULu--..
974
775
•12,703
•
centers*__j-;.____L_
amounted to *$21,047,006,000.
;
10,314;
beginning with 1918.
Higher! |§§
prices was higher last week,
level of commodity
general
September, 1929.
reached by the index since
^^•y:ear''agb ^02.9:"'based*
'123.4varid
100. "r * < '''
was
*
"
/?*•;
with the " preceding
while for antharcite, they
totaled $4,053,000 an increase of
year,
index compiled
j
-' •
*yV
'V-ki-iiM ,^! '• V
? •.»;• .1
-
on
"
\
.V-v'V-. •.
\rt !*
.V
•••"•*
1S •-
*1
;
5. Holdings of other real estate acquired in settlement "of debt
not used as bank-premises, were reduced during the year
j,
and
r;
period by 23.0%,
6. Total
.
regained a large portion pf the loss which .occurred .Tn. the previous
two weeks.. :The farm product price index continued-its upward
trend as 11 items included in the group advanced- and only four de¬
clined. Advancing quotations for raw cotton and cotton goods caused
a spurt in the textile index taking it to a new peak level.
The fuel
index moved into higher ground due to an increase in the price of
The only other group average to change during the
the miscellaneous ^ Commodity-price index, which rose
gasoline.
tionally. '
week
j
Dec. 31, 1941,
cash,
were
9.0"%.
1941,
reserves,
in-
capital accounts of the insured commercial banks
7. Total
in surplus, undivided profits, and reserves, which more than offset
capital. Total capital accounts amounted
to $6,842,000,000 on Dec. -31, 1^41, equal to: 8.9% of book value of
assets, compaf-ed with 9.4% on Dec. j 31, 1940.
•
j
;
OF ASSETS AND LIABILITIES OF INSURED
BANKS AS OF DEC. 31, 1941; JUNE 30, 1941,
.
>
AND DEC. 31, 1940
•
; . "
I
COMMERCIAL
•;
.
'
'
,
:
'
'
.
.
June 30,'41
13,427
_i
pf banks
:
ASSETS—
funds
and
$56,895,000 in the
For gasoline,
expenditure of $5,-;
025,000 in the past year, while
for
all
other
fuels, including;
ycoke; wood, and fuel for illumi-'
nation,expenditures amounted
to $3,842,000.
;
•
' ' ■
" ;
process
of
with : $82,185,000 • incross ties, including:
switch and bridge ties, the rail¬
roads
expended $56,058,000 in
"-1941, an increase of $3,524,000
above such expenditures in 1940.
Purchases of lumber, including;
-timber as well as other forest;
.
products, amounted to $47,713,-*
000, which was an increase of
$18,062,000 above the preceding
other
'>
►
,
:
t
♦>
Loans
"1935—-1939—100
•
Year
tions
Ago
Ago
ment
'
' Group
"
»'
Mar. 28
-
1942
Total Index
25.3
pared with $315,048,000 in 1940
or
an
increase of $141,099,000.
For locomotive and car castings,:
banks—.
12,395.664
12,958.527
13,991,733
8,573,644
8,298,541
8,204,279
—.
11,463
10,042
11,750
24,998,257
26,290,347
21,047,112
19,370,714
17,063,870
3,651,627
3,551,281
3,608,270
p165,978
3,025,218
3,038,851
.v-v
1
-
-
23.0
V
Cottonseed
r
Farm
Oil
159.0-
_
Miscellaneous
Metals
1.3
Farm
All
100.0
r
Revised.
96.6;.
Loans
132.4
96.7
183.7
3,157,791
142,094
140,295
138,539
compared with
the
preceding
year. Purchases of steel rail, in¬
cluding new and second-hand
except scrap, amounted to $52,234,000 in 1941 compared with
$45,065,000
in
the preceding^
year, while for track fastenings,
track bolts,
spikes, and other
501,000 in 1941
$40,852,000
in
_
124.6
102.2
146.7r
118.6
135.0
115.2
120.3
104.0
'i 118.9
machinery--
118.3
106.1
115.3
102.0
104.1
103.8
99.8
groups
;
combined
29.' .1941,. 80.2.
;•
..
base
,
v
banks—1
Reserve
—
177,472
,
loans
21,261,521
46.191.782
railroads
42,560,744
which
securities
of
acceptances
owned
73,089
real
Other
debt;
estate,
used
not
acquired
bank
as
79,424
83,640
1,067,130
261,530
306,755
For
339,563
,
assets
March
Total
21,
real
122,184
'
tool
steel, unfabricated rolled
shapes, wire netting and chain,
boiler, firebox, tank and sheet
iron and steel of all kinds their
123,168
218,580
108,266
236,887
—
250,649
Total
1,740,535
.
1,868,434
72,984,112
70,719.525
36,547,288
assets
1,794,073
76,826,754
assets
miscellaneous
34,330,943
32,400,488
15,151,204
:;15,207.488
15.002,076
1,821,250
1,821
730,726
735.463
4,009,655
3,820,595
11,050,717
680,473
10,648,274
10,801.555
69,420,573
65,616,648
expenditures amounted to $49,491,000 compared with $25,875,000 in the preceding year,
Pur-:
chases of interlocking and sig¬
nal
material V in
1941
totaled
LIABILITIES—
Mere Strikes In
new
payable
estimates^ of the Bureau of Labor Statistics show
in which about 57,000 workers- were
Preliminary
390
February Than January
,
,
„
demand
on
deposited
:
MU.
S.
for
periods of time
——''Jr
and postal savings—
Government
States
and
subdivisions.—_—
political
compared with 155 strikes in January, involving 32,| ; Domestic banks, certified and officers',
Secretary of Labor Perkins reported on March 27.
checks, cash letters of credit and trav¬
elers'
checks outstanding
Idleness during all strikes in February amounted to an estimated
Foreign banks
425,000 man-days, as compared with 390,000 in January—less than
0.08 of 1% of the time worked compared with about 0.06 of 1% in
Total deposits
involved,
500
as
workers,
r
——
Borrowed
affected were engaged in war production.
'
000.
.single, 1-day stoppage in the textile mills of New Bedford,
Mass., accounts for one-quarter of all the workers involved in
February strikes.
In this case the employees refused to work un¬
less paid time and one-half for the holiday.
They were instructed
by the union to make up the lost time the following Saturday,
at straight-time rates of pay.
*
—
and
acceptances
bills
of
-
V
,
Total
•
11,481
98.056
.
489,296
'
-•
.
liabilities
accounts)
liabilities
_——-—
467,432
-
594,358
576.969
•
'•
' (excluding
66,211,006
64,046,139
563,784
capital
69,984,357
luminating
Estimates
in the table below, along with
for February appear
V.
-r'..
..
...•
V*.
T :
,■
;
•
•.V
•: ■..
Item—°Feb.,'42 Man., '42
Number
Number
of
of
strikes
•
workers
in month
involved
—
Number-of
strikes
strikes beginning
man-days
in
new
_____
idle
improgress during
during
all
month___
^Preliminary estimates.
Feb., '41
256
155
190
-
57,000
•
425,000
February January
182
170
cumulated
Undivided
Amounts
r
notes,
(paid
in
from
and debentures—
by stockholders or
profits
set aside
capital
828,701
2,563.263
898,317
838,125
411,579
413,099
399,958
6,842,397
6,773,106
6,673,386
—
etc.—
accounts
and
capital accounts
76,826,754
72,984,112
; ,70.719.525
>
■^Revised.
deposits,
open
account.
:
for dining cars, camps and res¬
;
2,686.250
1,012,665
,
com¬
918,000 for commissary supplies
'•
2,603.327
895,882
for contingencies,
Total liabilities
1,134,099
boiler
pound and waste; $17,616,000 for
stationery and printing; $22,-
2,872,040
2,858,363
2,848,686
ac¬
earnings)
61,742
•
390,000
accounts:
stock,
Total
•
' 69,611
Capital
Capital
Surplus
Averages fc 5-vear
period, 1935-39
-
71,866
32,500
--
V,.
oils,
—
.
figures for other periods for comparison.
totaled
in
with $183,674,000 in
;
miscellaneous
Total
10,675
94.387
purchases made
1941, compared
1940. Com¬
ing under this heading were
$37,172,000
for
glass,
drugs,
chemicals, including chemicals
for timber treatment, and paint¬
ers' supplies; $22,101,000 for lu—'
bricating oils and grease, il¬
$251,591,000
63,469,170
87,021
Miscellaneous
by the Class I railroads
708,993
10,107
466,656
—_
1
:
....
liabilities
689,562
ex¬
change
Other
•
•
money
Outstanding
A
:
—
—
These figures represent strikes in all industries,-whether
not the plants
or
4,169,641
4,169
; $21,199,000,
and for standard
and special mechanical
appli¬
ances for locomotives, $19,160,-
:
.
January.
.
and corporations,
Individuals,, partnerships
I
in February,
strikes
.
Individuals, partnerships, and corporations,
!
wheels, axles and tires,
expended $36,913,-
compared with $27,390,000
in the preceding year, and for
bar iron and steel, spring steel,
of
:
estate
preceding
000
Investments and other assets indirectly repre¬
senting bank premises owned or other
the
the railroads
and
in settlement
premises
$51,740,000,
increase of $16,-
above
022,000
1,071,414
—
furniture
and
an
year.
and
customers
1,060,763
of
account
on
premises
K:.,;
v
and
Depoits:,
.
expended
was
in connec¬
laying of rails, the
tion with the
19,913,169':. ; 18.397.472
49,293,550
(including overdrafts)
securities-
and
used
materials
such
194,802
102.9
123.4r
97.3;
1942,
28,
March
were:
'
fixtures
Other
124.0
124.9
_______
1926-1928
cn
possessions
•
discounts
and
banks
Bank
103.6
139.8
118.9
Federal
in
Guarantees
113.8
127.2
120.3
materials___i^_^_-«
insular
and
securities,
96.4
113.8
104.4
139.8
_
obligations and obliga¬
by the U. S. Govern¬
;
:
I
securities
Total
89.8
121.0
104.4:
drugs
-,
iS'i
102.0
115.3
materials
^Indexes
March
Stock
127.9
128.1
____
Fertilizers
.3
91.2
147.0
Fertilizer
3
1942,
_
.U—104.4
Chemicals and
:
.3
-
k
commodities
' "
Building
V
'
88.3
159.0
128.5
Textiles
7.i
C.l
135.6
113.3
8.2
territorial
Other
117.6
116.0
Livestock
10.8
Foreign
184.2
...
__
Fuels
17.3
97.0
134:4" *
___
___
Grains
' •'. :v:
; '.r
:
121.5
136.2
.
Products
Cotton
1941
159.0
136.2
Fats and Oils
:'J" :'v'/v
:
,
25,792,669
the railroads spent $67,-
roofs,
Obligations of States, political subdivisions,
1942
-
t20.9
Foods
,
Mar. 29
Feb. 21
Mar, 21
1942
w
guaranteed
•-«
and steel
amounting to $456,147,000 com¬
2,847,322
securities:
Government
Month
Week
Week
Each Group
Bears to the
S.
U.
Preceding
Latest
;
and
iron
beams, couplers, frames and car
2,488,529
Total cash and funds due from banks-
f
Compiled by The National Fertilizer Association
in 1941 pur¬
products
Class I railroads,
13 declines.
WEEKLY WHOLESALE COMMODITY PRICE INDEX
VXX'- iX'Sy'
I year.
(Amounts in Thousands of Dollars)
3,453,163
foreign banks
products'
For
1940.
13,438
13,423
banks—^
domestic
With
With
and
forest
of
$103,771,000 in 1941
compared
1,235,263
Reserve
Purchases
amounted to
•
1,242,618
collection—'
Federal
With
;
>
banks:
vault
In
During the week 29 price series included in the index advanced
and 10 declined; in the preceding-week there were 24.advances and 12
year.
was an
~
^Dec. 31,'40
1,358,735
In
•;
from
due
•
1941
com¬
with
there
chased
-
1940.
_
_
.
Dec. 31,'41
Number
$77,517,000
STATEMENT
PRELIMINARY
'
fuel
to
pared
retirements of preferred
|
in
of
amounted
creased by $169,000,000 over the year period, reflecting increases
Cash
declines; in the second -preceding week there were 24 advances
on
oil
Purchases
.
$76,827,000,000
amounted to
and funds due from banks, 37.0% were
securities, and 28.0% were loans and discounts.
. :L ..I,.\
34.0%
frac¬
t
f
&']
$78,000,000.,
or
assets
-an increase since Dec. 31, 1940, of $6,107,000,000, or almost
Of the assets held by insured commercial banks on Dec.- 31,
A month ago the index |
1
"the~1935-P939 average i
•
reduction of♦ 4.0% during the year period.
a
with
$567,000; compared
^preceding
sions amounted to $3,652,000,000 on Dec. 31, 1941, a gain of $43,000,000, or 1.0% 'during the year period.
Investments in other
securities, exclusive of foreign securities and stock in Federal Reserve banks, continued to decline and amounted to $3,025,000,000,
The moderate rise in the all-commodity index was due to in¬
creased prices for farm.products* foods, and textiles.;* Price advances
;
for eggs, potatoes, and meats were -sufficient-to-offset declines in
j
several other commodities, With the result that the food price index
was
]" compared
1
j
IJ:;
*
purchases' totaled $259,328,00, an increase of $53,700,000
4. Investments in obligations of States and political subdivi-
i
*
-
i
only,
their
gations and obligations guaranteed by the United States Govern¬
ment increased during the year by $3,983,000,000, or 23.0% >nd
by the National Fertilizer/Association on March 30. .'Resuming its j
upward trend in. the week ended March 28, 1942, this index rose to
x3 24.9 from 124.0 in. the preceding week.
This is the highest level
-•
1940.k For bituminous coal
#
t
ex¬
compared
the banks in United States Government obli¬
Investments by
1941
$349,765,000 for fuel
with $273,556,000 in
pended
since Dec. 31, 1940.
of currency
use
Dec. 31, 1941; a decline of $498,000,000,
- The decline reflected chiefly
by the public.''
;
' - •
on
%
■
I railroads in
Class
—
according to the weekly wholesale commodity price
'"as
$25,793,000,000
almost 2.0%
or
3.723
4.629
278
Fertilizer Ass'n Price Index
4Z»
V.4'' t
4.082
21,676
;
:
153 r
...
it''Included in the national sertes covering 141 centers, available
fk
.
4.838
,
v.Vt'X-.7'-:
say;
period
year
The
announcement further goes on to
chiefly in deposits of individuals, partnerships, and corpora¬
•'-.8,788
.'V
the
American
of
$1,329,535,000.
totaled
plies
tions, payable on demand, which increased $4,147,000,000, or almost
13.0%.- Deposits of the United States Government amounted to
'
310
.
i_—,—
Total, 274 reporting
•
5,000
;
1,587
.1 283
r-i197
City_i4-.---*~--
-
Francisco..
San
314
i,.
-356.
'■
—;
,1
___
5,801
1,841
——
St.l Louis
.10,414
391
v
•;
Chicaga
5:654& 357 i
Association
purchases in 1941 totaling $1,161,-.
274,000, an increase of $306,61 l,0OQ
compared with 1940. In 1929 pur¬
chases of fuel, materials and sup¬
part by large withdrawals of currency
The expansion of deposits over
was
7.014
6,549
432
—
1929, J. J. Pelley, President:
the
of
over
circulation.
were
Railroads announced April 2, such
reflecting chiefly growth in bank
a year ago,
loans and securities offset in
: 51,268
806
.i.
—
Richmond
k
54,908
.
516
reported
into
7,679
4,022
-
571
Cleveland
Dallas
4,013..
•
8,335
547
666
"
'
York__„__^__^i^„__L__—
the figures
1941
1942
since
,
'
Mar. -25, Mar. 26,
1941
1942
"
' • '
13 Weeks Ended
Mar. 26,
Mar. 25,
Federal Reserve plstrict-
New
;
DISTRICTS; r
SUMMARY BY -FEDERAL RESERVE
'
operation
greater in 1941 than in any year
taurants; $20,268,000. for electrical materials; $13,179,000 for
ballast; $9,551,000 for passenger
car
for
trimmings;
and
$14,155,000
locomotive, train and station
supplies.
.
..
1354
THE COMMERCIAL &
Lumber Movement—Week
Ended March 21, 1942
week
1%
.
March
than
shipments
ness, 10%
ports
bond
production during the
ended
less
Moody's Bond Prices And Bond Yield Averages Stocks
Moody's computed
•
■
Lumber
the
less,
MOODY'S
(Based
1942—
Manufacturers
Association
Mar.
wood
and
tion;
softwood
12%
were
orders
new
5%
above
average of production in the
of
11
below
of
corresponding
shipments were
'
1941;
tion,
22%
106.74
116.22
113.70
107.62
92.06
97.16
110.34
113.70
106.74
116.22
113.50
107.62
91.91
97.00
110.34
113.50
116.02
113.50
107.62
91.91
97.16
110.34
118.20.
113.50
and
21,
stocks
110.34
113.31
91.91
97.16
110.15
113.12
91.62
97.00
109.97
112,93
106.21
115.43
113.12
107.09
91.34
97.00
109.27
112.75
117.80
106.21
115.63
113.12
107.09
91.34
96.85
109.79
112.93
;
117.75
106.21
115.63
113.12
107.09
91.34
96.85
109.79
112.93
..(Determined
117.67
106.21
115.63
.113.12
Unfilled
ago.
13%
—.
than
greater
gross stocks
a
Softwoods
and
112.93
107.09
91.34
96.85
109.60
112.93
I-
107.27
91.34
96.85
109.60
112.93
117.43
106.21
115.63
112.93
107.09
91.34
96.85
109.60
106.21
115.43
112.93
107.27
91.34
96.85
109.60
112.75
117.32
106.21
115.63
112.93
107.27
91.48
96.85
109.79
112.93
117.45
106.21
115.63
113.12
107.27
91.48
•'
•:
,;V;:
_
_
113.12
Coal-gas
115.63
113.12
107.44
91.48
96.85
109.79
113.31
Cement
115.63
112.93
107.27
91.62
96.85
109.79
113.31
106.39
115.82
113.12
107.44
91.62
96.85
109.97
115.63
113.12
107.62
91.62
97.00
109.97
113.31
107.44
91.62
97.00
109.97
113.31
Total
113.31
107.62
91.62
•96.85
110.15
113.31
Retail
dealer
i
96.85
110.15
113.31
96.85
110.34
113.50
Grand
115.63
113.31
107.62
91.62
106.56
115.82
113.31
107.80
91.62
116.41
113.50
107.80
91.77
97.16
110.70
113.50
106.74
116.41
113.50
107.80
91.91
97.16
110.70
113.70
106.92
116.22
1942—
responding week
a
for the previous
year
91.91
97.31
110.70
113.70
Beehive
91.91
97.31
110.52
113.70
31,
91.77
97.16
110.70
113.89
106.04
115.82
113.50
107.09
95.92
110.34
113.31
Cement
97.47
110.88
113.89
Other
106.04
115.43
112.93
107.09
90.63
95.92
109.60
112.75
Railroads
118.60
116.02
109.60
92.50
97.78
112.56
105.52
116.22
112.00
106.04
89.23
95.62
109.42
111.62
105.86
116.41
112.19
106.21
91.19
96.69
109.97
102.96
116.41
(Based
•
.
i
__
_
28
-
thousand board feet:
Aaa
•V,'
and
24
1942
1941
r.Aa
Week
466
466
Production
237,122
242,828
Shipments
265,302
269,199
249,892
271,501
276,435
CL\
Softwoods
•V".
\ 2.84
2.97
3.30
4.27
Production-
225,529—100%
Shipments,,
252,645-
112
Orders—
236,162
105
13,730
..
_
V
_
Board
and
of
Buffalo
Edgar
F.
Treasurer
and
together
and
with
Ray
P.
Wendt,
of
the
witnessed
to
the
welcomed
to
entertained
the
at
was
Howland
S.
3.33
4.32
3.33
A 4.32
3.01
3.33
2.88
3.01
3.32
4.32
2.87
3.01
3.33
4.32
2.88
3.01
3.32
4.32
2.87
3.01
4.32
3.32
,3.01.
3.19
3.95
4.31
3.19
3.95
3.19
3.18
V 3.01
3.95
(
2.87
3.00
3.32
4.31 ;
3.95
•;
3.01
3.32
4.31
3.95
2.87
3.00
3.31
4.31
3.95
2.87
3.00
3.31
4.31
2.87
3.01
3.32
4.30
:
3.02
3.17
3.95
3.18
■x: 2.99
3.95
•:
3.18
2.99
'"-2.99
3.00
3.31
4.30
3.95
3.17
3.30
4.30
3.94
3.17
2.99
3.31
4.30
3.94
3.30
4.30
3.95
3.30
4.30
3.95
N 2.86
;
,
3.16
2.99
4.29
3.93
3.13
3.93
3.13
3.34
2.84
'2.97
3.29
V 4.27
V 3.92
3.34
V 2.84
2.95
3.30
4.28
3.92
4.30
,
3.34
3.34
2.83
"
2.96
3.30
4.28
3.92
3.14
2.95
3.30
4.29
3.93
3.13
Davis,
as
4.37
4.01
3.15
3.01
2.82
•2.95
2.97
3.33
-
■•*.
4.37
4.01
3.19
4.26
3.91
'3.12
Bituminous
2.86
3.06
3.39
4.47
4.03
3.20
3.19
4.24
3.89
3.03
2.83
-3.05
3.17
3.96
3.57
V 2.83
3.03
Docks
docks
showed
*
ON
THE
*
LAKE
DOCKS
(NET
*•
'
■»
.
usual
seasonal
'
'
TONS)
.
% of Change
Feb. 1,
Dec. 1;
1942,-
:.r ;.-V:
Mar. 1,'
previous
From
1941
.
month
year ago
1941
.
922,000
596,500
995,050
-
6.0
-12.9
343,500
451,150
280,350
-22.7
-5.3
3,559,019
4,225,032
5.852,228
2,970,066
-15.8
+19.8
1,701,704
coal:
2,133,793 * 3,063,393
1,589,904
-20.2
>+7.0
Vv-
,
1941—
3.38
4.33
3.62
"
V';; 4.78
'
■-
1940——
?■
3.96
Total
f
Lake
3.27
V 4.36
307
V
complete
levels
the
list
2,
of
movement
yield
In
computing
these
<
lat
v
r
"Coal
in
Association
Indexes
•
„
pub
was
Wisconsin,
cars
of
Superior and
:
<
6,358,825
96,774
________
8,915,621
Bureau,
Daily Average Production Of Natural Gasoline
|
And Allied Products Higher In January
at
the
4,559,970>
155,460
98,833
"
classification
all
yards
commercial
+15.4
8.7
.+ 105.4
—14.9
294,552 : ;vl45,937
in
or
tCovers
—17.3
,
47,104—
+:> 8.G
—12.0
.
as
reported
American
docks
+40.0
?
to
the
Lake
on
the west bank of Lake Michigan as far south"as Racine and
Kenosha,
not including Chicago and Waukegan, Illinois.
Based on
on
but
direct
on
figures
Stocks
of
cour-
Bureau for Duluth-Superior and Ashland-Washburn
reports from all other commercial operators not
reporting to that
V':X-;;•
/
139.092
",126,286
mines
Railroads.
iSubject to revision.*.
I
.
'
204.262,- '232,231
v,
unbilled
American
105,945
>
107,488
Total;.''—-------—-
~
used
1941, page 409.
the
averages,
market
bonds
of
relative
the
and
bond
Superior
Lake:. Michigan^-
* These prices are computed from average yields on the basis of one
"typical" bond (3%4
maturing in 25 years) and do not purport to show either the average level or th'
movement of actual price quotations.
They merely serve to illustrate in a more com
latest
5,260,723
Anthracite:
"i
teousl/ supplied by the Maher Coal
Executive
2.9
—
866,650
| : Lake Superior
Lake Michigan
2.85
3.40
days
2.4
—11.8
Lake Docks-
on
Bituminous
3.08
2.85
3.2
265,550
^Stocks
i
2.96
2.72
2.8
6.7
,v
coal
Anthracite
3.02
3.28
+
—
::'v*.From
.
"Unbilled loads—
J
V? 2.99
2.88
the Lake
/•
,
STOCKS
v-;:;.!1942;'>
docks and
were
lake
upper
AND
>
.
2.96
3.33
on
'
2.97
3.42
llshed In the issue of Oct.
director of Bell
a
Stocks
-
2.97
3.13
8.3
—
days
days
34
■
—
'f
of
'
\
'*"
...
3.14
••
3.25
t The
the
-
r
-
2.98
3.34
/
2.98
2.86
3.39
1941
3.15
2.82
;
3.39
V
V
3.95
average
i
on
UNBILLED LOADS
coupon,
were
coal
-
.+ 2.97
2 Years ago
I
list
2.98
4.28
days
3.4
are
reductions.
3.29
3.29
+
mines, or in classification yards decreased 22.7% and 6.0%
respec¬
tively from Feb. 1 to March 1, 1942.
Stocks of both anthracite and
2.99
.3.29
—-w-V,
31,
selected
a
Unbilled Loads and
2.99
2.98
2.99
17
2.9
—
:
Stocks of anthracite and bituminous coal in
cars, unbilled at the
3.17
2.98
41
;
9.1
+
;
2,000 representative
manufacturing plants.
The
chiefly large consumers and afford a
satisfactory basis for
by the Association of American Railroads.
Includes powerhouse,
station fuel..;,: ""Not available.
-
3.16
'
V
fCollected
bituminous
2.83
mil Z—im
30,
by
from
reporting
f
2.99
2.83
i-,
9.8
tCollected by the U. S. Bureau of
by the Bituminous Coal Division.
^Estimates based on reports col¬
the National Association of
Purchasing Agents and the Bituminous
3.00
.;
3.00
—
—10.2
by the Federal Power Commission.
jointly
shop and
3.00
3.01
3.18
33
Division
concerns
estimate,
3.18
'
.
Coal
iV 3.02
2.88
total
tCollected
•
lected
/ 3.01
3.19,
3.95
3.35
■
—13.9
—
45 days
31 days
days
40 days
;Vy 15 days
—
"Collected
Mines.
,3.01
3/36
1941
Mar.
3.95
V
Grand
3.01
3.19
3.35
1942
Mar.
3.01
3.18
u
—V--
1 Year ago
the
3.95
2.86
1942
High
3.18
3.95
iv
ZZZIIIIIII
I
9
Low
Exchange and
by Emil
also present,
Vice-President
3.00
3.00
luncheon
Corp., and
Aircraft
3.95
2.99
30
Low
Schram, President. Frank F. Rus¬
sell, President of National Avia¬
tion
4.32
2.87
prehensive way the relative
ter being the true picture of
officers
3.33
2.99
6
High
Exchange list that
companies'
3.oo r'
2.87
2
day.
The
3.02
2.86
i6
opening transactions in their com¬
panies' securities, which were ad¬
mitted
3.18
2.87
V-vV'
company,
D. Bell
Whitman,
and
dealer
3.94
2.87
V.
30
industrials-
Retail
4.32
3.37
Lawrence
30
Total
3.01
3.33
3.36
23
visited the floor of the
Exchange
March
3.00
3.00
'
President
and First Vice-President,
respec¬
tively, of Bell Aircraft Corp.,
on
3.16
3.17
2.87
;
V 42 days
"2.99
.
3.93
3.94
1
30
37
4.28
"t
33
-
V
(Class I)_
4.30
27
Jan.
Co.,
President
3.15
—
mills
3.31
2
Forge
3.93
72
—
industrials
3.32
3.37
20
8.8
—
:
Days Supply
days
66 days
days
34 days
days
,
29 days
days
v
72 days
days
36 days
66
2.99
'
3.37
-
347.000
at—
ovens
3.00
'-
'3.37
_
:
.
2.87
3.38
5
52,416,000
313,000
—
rolling mills
Railroads
3.37
13
the
Cement
Other
—iVVViV
f3
Henry W. Wendt, Chairman of rv V
2.97
2.98
II"
4
i
3.15
2.98
3.37
6
v.
3.93
3.15
3.38
^
+
retorts
3.15
3.38
,
;V.:7 II—II
Feb.
Coal-gas
3.93
3.38
————-
9
New Listed Companies'
Officials Visit NYSE
2.97
3.94
3.38
11
118
3.14
and
4.28
3.38
10
11,593—100%
12,657
109
Steel
4.28
3.38
—
;
13,940,000
foreign trade—
Byproduct coke
2.96
4.28
3.38
V
38,475.000
47,087,000
—
-
v
6.8
8.3
—•
Consumption—
^
—
Indui
3.14
3.30
3.38
12
v.;
3.30
3.93
3.31
2.87
14
98
2.98
4.26
2.98
2.88
13
1942 Week
384
3.31
2.99
3.38
—
Known
—11.9
—
:
11.990,000 :>
—
fuel
fuel,
2.85
2.86
16
;Vv;
2.97
2.84
2.87
—
35,097,000
Days Supply, End of Month,
Electric power utilities
2.85
3.38
•
P. u.
V 3.93
3.36
18
•
R. R.
4.27
3.37
:470
Hardwoods
1942 Week
Mills
(Rev.)
Ban
3.30
3.35
+
—
19
239,965
283,733
Orders
Wk
Bunker
£-.: • m
2.97
3.38
Previous
Week
„_4.
mine
3.36
.
^.1—'
1942
Mills
Additional
Corporate by Groups
2.84
21
Hardwoods
111.81
Coal
Prices)
2.84
23
Softwoods
Closing
108.16
3.35
__
26
25'
564,000
9,685,000
deliveries-
5.8
4.1
—
12,700,000
8,879,000
i
3.35
_
dealer
148,000
'•r;
9.7
—10.4*
'
3.35
_
__
i'27
and
week, follows in
90.77
VV-IVVI v;
3.35
30
cor¬
85.07
AVERAGESt
Corporate by Ratings
rate
31
102.13
YIELD
Individual
on
Avge.
Corpo¬
Average
week
112.56
BOND
1,046,000
11,840,000
Grand total
MOODY'S
,
937,000
1)11
Industrial
Retail
—12.7
—
M 497,000
-
(Class
3.3
—
142,000
—
industrial
Total
5,913,000
7,404,000
<1,016,000
'
112.00
116.93
—19.1
—
957,000
116.41
115.89
1940-
1942—
millst
108.52
117.75
7,730,000
6,685,000
-
Coal-gas retorts!—
90.63
92.20
0.9
-v.*V
ovenst ___•_
107.62
107.98
1.3
.58,681,000
5,160,000
ovenst-
114.08
114.08
3.9
—
-
rolling mills!
116.61
115.90
1941_
30,
coke
i?
utilities*-.:
106.92
116.61
50,951.000
6,250,000 i
by—
.
coke
Steel and
120.05
1941
Mar.
a
Byproduct
107.62
107.62
ago;
ago,
113.70
114.08
113.89
106.92
0.5
+
—
9,788,000
56,720,000
power
116.22
2 Years ago
less.
ended March 21, 1942, for the
110.52
stocks
stocks
Consumption
Electric
116.41
118.27
2.3
—
,
,
"
106.92
were
current
97.31
industrial
106.92
117.61
1941
Mar.
Hardwoods
the
92.06
'
647,000
.18,370,000
50,470,000
3.6
3.2
+
343,000
650,000
9,662,000
total
106.39
106.74
107.80
335,000
..
5.0
+
—
964,000.
113.31
115.63
115.82
118.00
1942
.
:
-8,179,000
,
17,650,000
—_____
—
106.39
113.70
% of
Change
12,660,000
995,000
-
v
—
1942
(revised)
7,888,000.
——
millst-I—i_„V
retorts!
millst
106.56
1 Year ago
,
rolling
industrials^
L.—_
Railroads (Class T)|f.-y
113.31
STATES
—r—-—Net Tons
Other
117.51
2
March
109.79
106.39
106.21
and
117.60
—^
9
Low
Bteel
117.02
.
16
High
112.93
116.32
___
23
High
109.79
117.08
6
14%
96.85
96.85
106.39
UNITED
Jan,
-
13,290,000
Byproduct. coke; ovenst—
91.48
91.48
116.27
_
—
30
produc¬
113.12
107.27
107.44
116.34
20
new
109.97
112.93
113.12
116.78
.
27
13
Jan.
96.85
115.43
115.63
116.77
2
Feb.
of
at—;V^VVV,
utilities*-
power
106.21
117.17
'3
....
Stocks, End of Month,
.Electric
106.39
117.07
THE
•
117.32
■
IN
YARDS (
Feb., 1942
117.46
.
—
COAL
RETAIL
(preliminary)
117.38
„
6
above
INCLUDING
117.45
.
7
'
t
BITUMINOUS
112.75
117.33
OF
jointly by W. H. Young, Research Section, Bituminous
Coal Division,
and Thomas W. Harris, Jr.* Chairman, Coal Committee, National
Association of
Purchasing Agents)
VV- Ww t:j>
p:
112.93
112.93
9
Mar.
for
109.60
115.63
115.43
Daily
Record
96.85
106.21
106.21
10
;•
year
9%
were
91.34
117.65
!
orders
107.09
CONSUMPTION
y-i-/'
117.52
5
19^2, compared with 37%
year
AND
117.89
17
.
■1,
the
on
•
STOCKS
21
Low
46%
was
97.16
107.44
107.27
11
The ratio of unfilled orders to
gross
91.91
113.31
113.12
12
Supply and Demand Comparisons
.1,
107.44
115.82
115:63
13
3%
were
113.31
106.56
106.39
14
and
weeks
116.02
stocks,
Industrial
16
i:
for
3%
shipments
above production.
>:
113.70
20
was
above
110.52
106.74
ship¬
.1942,
was
97.16
118.20
18
the shipments, and new orders
4%
above the orders of the 1941
period.
For the 11 weeks of
business
92.06
118.27
.
1
1942
107.62
118.25
cor¬
1935-39
1935-39
production
113.70
consumers showed decreases.
/
consumption and retail deliveries decreased
10.2%
during February, with each class of consumer
sharing in the decrease.
At the daily rate of
consumption and retail dealer deliveries
pre¬
vailing in February, stocks were sufficient on March 1
to last 33
days.,1 The report shows: .;- V/.;'•' •
v/v- .V■>.<Vv:•'!■. * ;VX
I'M
113.89
116.22
118.20
Comparisons
weeks
110.52
106.74
106.56
March )
cn
while the other classes of
lndui
97:16
118.11
4
Reported
first
P. U.
92.20
118.2.0
!•:'
V
R. R.
Of Goal In Consumers' Hands
-■
19
ments in the same week.
Year-to-date
Baa
107.44
23
Compared with the cor¬
responding week of 1941, produc¬
tion was 2%
less, shipments, 1%
less, and new business 8% less.
The industry stood at 140% of the
week
Corporate by Groups
A
113.70
a; 24
duction.
average
Aa
116.22
:
produc¬
;
of
Aaa
106.74
28
,
143%
rate »
26
pro¬
responding
Yields)
Corporate by Ratings
Thursday, April 2, 1943',
TheBituminous Coal Division; United States
Department of the V.
Interior; in a report' released- on March 28 reported that
stocks of
bituminous coal held by industrial consumers
and retail' dealers
decreased 3.3% from Feb; 1 to March
1,1942. Electric power utilities,steel and
rolling mills and cement mills showed increases in
PRICES!
Average
27
Ship¬
L
are
25
mills.
above
.,
118.05
—1_-
30
from
Corpo¬
Bonds
31
BOND
on..
averages
Avge.
Govt.
Averages
regional associations covering the
operations of representative hard¬
ments
V.8.
Daily
to re¬
Lumber
National
prices and bond yield
tables:
-v"
v'C;4 - J'
following
was
previous week,
according
the'
to
21, 1942,
in-the
n
given
6% less, new busi¬
were
FINANCIAL CHRONICLE
*
:-
^
i
;* l Industrial Anthracite
industrial
anthracite
iClass I railroads declined during
industrial consumers advanced
at
■
electric
^
"
.
»
v.';•/,•;•> *.•
/;+
\.
utilities
power
February 1942, while stocks
and
at other*
3%.
Each of the three classes of
The daily average production of natural gasoline, recycle con¬
Martin J. Quinn,
Jr., specialist in densate, and liquefied petroleum gas (at natural-gasoline and recycle, consumers showed decreases in consumption during February 1942.
:" r
Buffalo Forge; William M.
ANTHRACITE AT ELECTRIC POWER UTILITIES.
RAILROADS, AND OTHER
Mee- plants) amended to 10,145.000 gallons in January, 1942,
according
'/.V:?; INDUSTRIAL PLANTS• (NET TONS)*
R',
han, specialist in Bell
Aircraft, to reports received by the Bureau of Mines, U. S. Department of the
and Phillip L.
•f:;% of change from
West, Acting Direc¬ Interior.
This marks the first time that all the L. P. G. made at
lIFebruary, January, November, February
previous
year
tor of the
Department of Stock plants has been included.
1942;'
1942
; Vl941'
Stocks of light products from natural gas tElectric power utilities:
1941
month
ago
of
the
Exchange: I
List.
totaled
201,684.000 gallons
stocks of L. P. G.
will
Moody's Daily
Commodity Index
Tuesday, March 24—
considered
PRODUCTION AND
.».V''
!
.
230.2
'
1942.
Thursday, March
Friday,
March
25
231.4
31
;
ago,
ago,
Feb.
Feb.
232.9
——
Two weeks ago, March
Year
17
1942
L
_
____
East
I
STOCKS
OF
GASOLINE
NATURAL
•
e... ."
I
• *'
•
V
Jan.
/'
AND
ALLIED
PRODUCTS
Ky
At plants
Dec:
Jan.
refin¬
and ter¬
1941
eries
minals
9,984
"/
7,734
At
32,491
6,851
147.937
enes
112.720
*7,046
;
83,773
V
1,164
3,612
1,890
13,350
1,610
84
1,320
53.904
13,104
65,163
12,726
27,661
24,942
9,275
378
4,3«0
-84
2,910
3,086
2,906
462
307
756
•
Stocks of
on
10,755
8,698
7,876
2,982
1,599
3,528
ficient
storage
48,786
74,886
1,877-
69,636
1,717
255,444
Feb.
_
2
30
232.9
Total
Daily
Total
_
220.0
of
to
were
and
45,343
prevailing in
last 27 days
tons
selected
last
to
the
+ 54.5,
55
1,
34 days on
+
March
1
3.0
9.5
+28.4
+61.0
+20.0
dealers
1942.
preceding
42
+55 8
amounted
When
month,
and
+ 29.1
—
.
days
Identical
390,366 tons on Feb.
in
—15.9.
6.3
+
101.008
days
Daily
average
(thous. -of
average
10,145
bbls..)
8,240
7,488
241
205,128
yards
stocks
196
96,264
98,994
.
158
1.
80,556
2,357
1,918
§76 firms
2,510
2,292
'
rr. .-
.
'
of
days on'Feb.
1.
of
March
1.
domestic
coke
Anthracite
in
were
suf-'
producers'
reported
>*'
tCollected by the
tCollected
6,617
4,884
6,082
1
105,420
to
calculated at
the
145 selected identical dealers amounted to 39,226 tons
Feb'. I.
When calculated at the daily rate of
con¬
preceding month, the stocks
1 and 26 days on Feb.
the
on
on
135
65
—19.6
days
196.446
117,046
days
by
112,056
33
days
254.635
.
143.323
prevailing
sufficient
domestic coke held by
1
297,262
held
1942, and
1,
consumption
-16.5.
6.0
*
and
83 firms
b.v
the
*
.
,
,
171 g
rate
6.7
days
+ 11.6.'
131,564
120.870
59
days
41
days
anthracite
239.465
117,242
48
129.693
66
182
j
6.9•
-
7.4
by Anthracite Committee,
Commonwealth of
Pennsylvania,
Department of Commerce, amounted to 754,870 tons on March 1 and 915,295 tohs on
1,289
48,884
March
sumption
213,
314,496
__
daily
domestic anthracite
3,780
55,103
_
the
699
13,118
domestic
353,957 tons-on March
____
4,284
1,722
Arkansas
Mountain.,
"Stocks of
.
mo—
days?
4.4
—
'
306.151
Consumed during month-,
minals
252
Louisiana
Rocky
,
-
V Days supply end of
170
days
180,690
;
Stocks, end of month-'—.
i
plants
6,426
-
230.1
California
163
days
51 days
V vt
S (Selected representative plants);
and ter-
84
31,516
6.905
At
refin-
3,948
4,854
.37,940
7,650
_
588
9,291
12,303
_
_
Texas
229.0
152
Days supply end of mo.-_.;
Other industrial consumers:
Dec. 31, 1941
7,266
12,237
__
190,012
•(
''
;
——
_
1,234,429
235.741
Days supply end of mo.:..
tRflilroads (Class I):
Stocks-
1941
1942
Michigan,
1,338,915
228,850
Stocks, end of month169,905
; : Consumed during month-.,94,276
Production
_
Oklahoma
Kansas
: 1,202,096
211,984
gallons
Gallons)
(Thousands of
?
i :I
Coast
Illinois,
•
1,148.671
Consumed during month-;
1
»
At
•».
219.9
27
High—March
Low—Jan.
231.6
179,55Q,000
228.3
17__
28
1941High—Sept. 9
Low—Feb.
; r
Appalachian
232.1
30
Tuesday, March
II
■'
,
Monday, March
Month
"•
i" Stocks, end of month—-.
new
-7;-
;■
26—230.8
28
some
Jan. 31,1942
•
27
Saturday, March
Although
that of
,1
"
.
•
31,
in January, this figure (201,684.000)
comparable with
as
for Dec. 31, 1941.
f
Jan.
up
230.1
Wednesday, March
be
on
picked
were
.
Federal Power Commission.
Association
of
American
Railroads,
reported for January and February,
for February,
HSubject to revision
1941.
v* *
;
1942;
73
...
firms
••••■:
for
V
November,
..
•
••
1941,:
"'-V
V
;
r'
Volume
Steel Production Continues At Record
High *•£
MLevels—Distribution Plan? Being Revamped
in the
steel
of
Pittsburgh district, largest producer
of this basic war material, at midweek climbed to 100% for the first
•time since the United States entered the war, states "The Iron Age";
-in its issue today (April!2). To some reaching,of .the 100 mark'by
.the western Pennsylvania steel plants symbolizes what United Stated
industry in general is doing—lifting output to levels which would
not seem attainable in peacetime.; The "Age" further goes on to 3say;j
x
:v'."
; ■ However sourly progress of the war program is surveyed,-in*
r
dustry is making notable progress toward arming the United States
Production
and its Allies.
in the Nation as a whole this week es*
last
is comparable to the winning
of a battle by the armed forces,
Helped by seasonal improve-i
me'nt in iron and steel scrap collections, most of the steel-producing
f ! areas report gains.
Chicago rose a half point to 104^%, Phila¬
delphia a half point to 90.5%, Cleveland IV2 points to 95%, Detroit
■^Vll points to 105%, St. Louis 8 points to 101%, and the South Ohio
V River 3 points to 104%. Not in weeks has there been such a-long
list of steel centers with advancing operating rates.iy: The Pitts-'!■>! burgh;rate last■ week was 99%.;■;%
%(%>•;:(!;
i
tablished another
week,
an
new
record at 98.5%,-up a half point from
eveiit which in
1,678,200 tons of steel ingots
week ago, 1,651,100 tons
one month ago, and 1,601,000 tons one year ago.
Weekly indicated
xatespf steel operations since March 31, 194L follow:
'
some ways
Jun
Apr
Apr
Apr
May
May
7
14
21
Jly
28
Aug
99.3%
14—_—i—98.3%
21
96.0%
28
94.3%
5
96.8%
12
„99.2%
19—
99.9%
26
98.6%
-.7
4
11
Aug
Jun.'
2
99.2%
Sep
Sep
Jun
9___
98.6%
Sep
99.0%
Sep
—99.9%
Sep
-
lun
16__
23
Jan
97.8%
Jan
12
27
99.9%
Jan
19——95.0%
3
-_98<?2%
Jan
26
Nov
5—
93.8%
—95.1 %
.—94.6%
96.6%
Feb
2— —95.0%
—97.0%
Feb
9-
24
—95.9%
Feb
16—
1
97.6%
Feb
23—96.3%
97.5%
Mar
10—
itov
17-
Nov
Dec
96.3%
Dec
8
—96.9%
96.1%
96.8%
-—96.9%
29
May
98.1%
—98.4%
20—
Nov
Dec
15
18
Aug
252.
8
15
22
May
6
13
Oct
__94.9%
95.2%
—96.0%
97.6%
96.3%
95.6%
96.2%
-96.5%
Aug
1942—
Oct
Oct
Oct
91.8%
Jly
99.2%
31
Apr
30
Jly
Jly
1941—
Mar
-
97.9 05,
Mar
—95.5%
96.2%
97.2%
—97.4%
2—
9
Dec
93.4%
Mar
16——97.9%
29
96.1%
Mar
23—99.0%
Mar
(,r ( "Steel" of Cleveland, in its
22—;
Dec
30—
summary
of the
98.8%
on
control.
T,\
Between
be
under
1 and June 30 most blanket rating orders will
to expire and consumers will be placed
Requirements Plan.
Rapid increase in war
April
revoked
allowed
or
Production
the
;
requirements renders
preference ratings impractical.
Under'exist¬
>;■
..
i
To temper an over-optimistic belief
.
.
One large aircraft die-casting company, oper- plications
may be made when additional quantities are needed be¬
ating below 25 % of capacity; hot Only is suffering from shortage cause of increased war production.
The change will be made
>$■ of materials, but, like some of the others, from lack of orders/ ;
;
gradually over the three-month period to avoid confusion on de¬
Some of the major aircraft plants on the Coast are not order¬ liveries.
;,/■•;
ing parts in advance because they, too, also lack materials and are
Steelworks operations last week reflected better scrap supply
i
thus unable to use their entire facilities in manufacture of planes. and
open
hearths were relighted after long idleness in several
The West Coast airplane industry, "The Iron Age" is told, is meet- centers.
The national production rate advanced 2 points to 97V2%,
ing Government schedules with some regularity but can produce the highest since the first week in January.
Buffalo increased
0 a great deal more.
\
'
•/. ,
,• < <,
•
Wi 13V2 points to 93%, Pittsburgh 2 points to 96, Detroit 10 points to
Evidence of the increasing pressure against alleged priorities
93, Cincinnati 5 points to 92, eastern Pennsylvania 2 points to 90
violators is found in the WPB's latest crackdown on 22 steel ware- and
Wheeling 1 point to 82V2%*
Youngstown lost 1 point to 94%,
?
houses which, the WPB says, accepted steel shipments in the last New
England 20 points to 80% and Cleveland \lk points to 89V2%.
quarter of 1941 in excess of their authorized quotas. The penalties .Chicago held its high rate of 104%, St. Louis was unchanged at
imposed run from the amount of steel accepted by the distributors 83% and Birmingham steady at 95%.
in excess of their quotas to this amount plus an additional penalty
Decided relief in the scrap situation has resulted from open¬
of 50% of the excess.
Industrial observers at Washington empha#
ing of spring weather and increased flow of material from inten¬
size that the Government is likely .to become more severe -with
sive drives on farms, industrial plants and automobile wrecking
( priority violators and that every industry must learn how-to oper-* yards. In a number of consuming centers the increase was marked
ate under the priority rules regardless of the inadequacy or ;unr:
and it has been possible to relight open hearths that had been idle
fairness of Some priority orders,
<- w for many weeks.
While some allocated tonnages have been placed
Soon the War Production Board'is expected to request a comr
to aid distressed consumers, in general
all melters are receiving
plete breakdown of shipments by steel companies against priorities* better
supply.
Apparently the winter shortage has been broken and
j
and allocations. When this is done,ylimits'om steel shipments onr an easier situation is
probable for several months.
Scrap from the
4 low-rated orders are likely to be tightened still more.; It is ex-head of the lakes is expected to move to lower lake ports when
pectedj for example^ that manufacturers; of mattresses/will; not* be
navigation is resumed.
>
'
•,
>
.
permitted to use spring wirev;\;f.;:'^
;■
* War
Production Board has taken action to make available
V
v';A leading steel company reports that about 5%- of? its February scrap material now held back by legal or financial considerations,
orders went to non-rated customers and? that 2% was unrated riff such as street
railway rails, ' where cost of reclaiming is a deter¬
March,
Recent shipments of another-large steel company showed ment.
A conservation board has been set up, with offices in prin¬
that 96% had gone to rated customers, the 4% representing rel
cipal cities, which will provide means for financing reclamation.
Power of requisition has been granted, in cases where owners do
jections.f!
not co-operate fully.
V Several factors recently entering the tin plate situation indiv Iron
ore
carriers entered Lake Superior last week by aid of
cate- some relief in filling of the Nation's" all-time-high packing
;
requirements of 1942.
Last week some confusion surrounding tin ice breakers which opened channels through the Straits of Mackinac,
r
This is the earliest date in history
piate was removed when tin plate requirements were granted an the Soo and: Whitefish Bay.
A-l-c rating;
At the same time the way was paved .for,-use of that movement of ore has started. Limestone cargoes for milte in
black; plater in certain3 types?,of cans |which will : conserve tin and the Chicago district were loaded last week at Calcite and Port
black plate.
•
Inland, Mich.
The early start promises well for the increased
/
tonnage required for peak steel production.
Manufacturers of welding rod wire believe that their cus¬
•Plant.conversion to war production continues,
an increasing
tomers will receive full 1942 requirements of from 350,000 to 400,of lack of materials.
%
.
have
about
which
with ^
$90,000,000,000
to
buy things/while there,
will only be about $60,000,000,000
in
available
commodities
vilian
for
ci¬
Therefore, he said,
about $30,000,000,000 of the pub¬
lic's spending power must be si¬
phoned off, if inflation is to be
prevented.
One of the best ways
to accomplish this is through com¬
pulsory saving, he believes.
use.
Mr. Goldman advocated
part of wages paid in
obtained
from
This
cash.
"having
non-inter¬
Treasury for
would only be
scrip
good for the purchase of Defense
Bonds, Savings Stamps, additional
social insurance, new private in¬
surance, new annuities, etc. Those
who are self-employed should be
required to make corresponding
purchases out of their net income.
In cases where this proposed com¬
pulsory saving would create a be¬
low-minimum standard of living
for individual cases, such persons,
he said, could be given relief by
their making application to boards
pf appeals that could be readily
set up,
the burden of proof being
with the person who is
making the
Mr. Goldman contended.
appeal.
By arriving at the
proper per-
t
centage of salaries and other in¬
scrip,
we
draw
should
that
comes
■
be
paid
in
would be able to with¬
about
$30,000,000,000
of
the national income from imme¬
.
•
,
■
,
.
•
>
.
,
v
'
,
-
,
;
diate
use
by civilians. We would
thereby
postponing
be
the
spending of this $30,000,000,000
until the war is over, at which
time this buying power will be
very helpful and most necessary
to keep the wheels of industry
turning
during that difficult
period of readjustment. !>■'•
Pan American Day
April 14
Mayors
throughout the United
States are
preparing civic pro- !
grams for the annual observance 'v
of Pan American Day on April 14.
Celebrated
this
in
the
all
hemisphere
nations
of
since
1931, the
occasion this year gives promise
of
surpassing previous • observ¬
in the light of the aggres¬
against the Continent and
ances,
sion
the resultant solidification of pur¬
according to an announce¬
the Pan American
pose,
ment issued by
Union, Washington. The civic ob¬
servance plans are in accordance
'
■
.
r
"
•
000 tons
'
'
y■'V'S-
in steel
against 200,000 tons in 1941. %A. serious shortage persists
castings, particularly for machine tool manufacturers who
are important users.
An interesting development this week is the
announcement that- plastic fuses instead of the standard aluminum
fuses will be used for trench mortars, vBy making
\ of aluminum will be freed for other military
-tools used will be freed for other jobs. ^
;;
this change, tons
and the machine¬
uses
week
year
1940
1938
___
2.30467c.
:
1937
products ~ represent-?;78%-
of
?
'
2
2.24107c.
Apr.
16
__2.35367c.
Jan.
3
2.26689c.; May
16
_-2.58414c.
•1939
1938
2
Sep.
12
19.61
Jul.
6
20.25 :
Feb.
16'
Tun.
4 .*
18
Mar.
;
21
9
19.74
Nor.
24
18.73
Aug
11
18.84
Nov.
5
17.83
May
14
war
first
1934
i.__
1931
—
Jan;
18.21
___
1929
Jhrt.
18.71
May
21
Jan.
3
13.56
Ilea
6
6
Jan.
15.90
—_
Jan.
13.56
5
14.79
Dee.
15
1
May
14.81
16.90
5 ;
->^17.90
^
•
.
7
15.90
Dee.
16
14'
18.21
Dec.
17
Steel. Scrap
'
2.27207c.
Oct.
9
2.32263c.
Jan.
„2.32263c.
Deo. ,28
2.05200c.
Mar.
1935
__2.07642c.
Oct.
1
2.06492c.
Jan.
One month ago
1.95757C.
Tun.
.One .year"ago—^
1.75836C.
May
—2.15367c,
1934
24
'3
Apr.
1933
—1.95578c.- Oct.
1932
—1.89196c.
5
1.83901c.
Mar.
1
1.86586c:
Pea
,29
1.97319C.
Oca
9
1929
—2.31773c,
2.26498c.
28
May
Iron
Pig
Oct.
29
V ■■■;
'■
week
Based;
1931
—1,99629c. Jan. 13
A,;'!" 1930 -d-2,25488c., '.'T«n.* 7
Jul.
March 31,
One
scrap
burgh,
1940
One
One
One
!;
week
31, 1942,
$23.61
a
Gross Ton
Based
on averages
for basic iron at Val¬
ley furnaces and foundry iron at Chicago,
Philadelnhia,
iron
!
:
1941
v
,
High
—_„$23.61
The
that
Buffalo, Valley and Southern
Cincinnati.
at
'
>•
.
,
20
?'
.
.\
$23.45
2
reports which
heavy
structural
in
the
months
two
steel bookings
February
total
are
was
Fabricators have heavy backlogs for future fabrication.
February bookings were 220,205 net tons, shipments 153,732 tons
and unfilled tonnage 706,668 tons.
.
.v
*
steel
Pitts¬
~^Low
'
Compulsory Saving Flan To
plan for compulsory saving whereby approximately $30,000,-
10
9
Oct.
3
14.08
May
Nov.
22
11.00
Jun.
7
21.92
Mar.
30
12.92
Nov.
10
12.67
Jun.
.9
10.33
Apr.
29
address
>9.50
Bop.
25
who is also President of the Goldman Stores
1933
Dec,
21
.
10
'
Mar.
13
12.25
•
16
Aug
8
6.75
Jan.
8.50
Jan.
12
6.43
Jul.
5
11.33
—
1932 %—
Jan.
6
8.50
Dec.
29
3
15.00
Feb.
18
11.25'
Dec
9
1929
17.58
Jan.
29 ;
14.08
Dec.
3
it had
on
March 30 announced
received indicated that-the
(March 30, compared with 99.0%' one week ago, 97.2% one month ago
•»and 99.2% one year apo.
This represents a decrease of 0.21 point, or
0.2% from the preceding week. .The operating rate for the■-week
which met
States,
a
adopt¬
resolution "in favor of cele¬
in
all
municipalities
our
Pan American Day,
namely April
that the Mayors of our
member
cities, wherever neces¬
sary,
take
steps
to
appoint
a
and
14,
proper
Gommittee
proper
an
a
that
will
pre¬
for' such
program
event."
FDR, Beaverbrook Confer
(Lord
Beaverbrook,
British
Minister
of
former
War
Produc¬
Washington
000,000 would be made immediately available to the Government to
help defeat the Axis, was advocated on March 26 by Julian Goldman,
Chairman of the National Committee to Keep Prices Down.
In an
before
the Advertising
Club of Indianapolis, Mr. Goldman,
Corp., New York, said
Government
to go around hat in hand, begging,
pleading with people to buy a few
He
savings bonds and stamps.
added:
our
,
"No'informed
that
the
able to
person
Government
ment securities
difference
is.
planning
to
spend and what it will raise by
taxation.
do
Insofar
as
it fails
to
inflation is certain, and
inflation will not only greatly
so,
increase the money cost of the
will
war, but will promote enormous
inequities and, still more^larm-
be
to make up the
between
Government
believes
sell enough of Govern¬
what
the
ting
aid
ing, it will directly cripple
war
effort."
v
our
on
coun¬
expedi¬
concern
lend-lease
to
Great
Britain and further pooling of the
production
of
resources
the
two
countries.
Lord
Beaverbrook, in
cast to Canada
on
Mar.
to the Russian front
compulsory saving would make it^
'unnecessary for
His mission in this
try is believed to
A
Apr.
Apr.
Dec.
ed
Mar. 25.
Make $39 Billion Available To Govt,
16.04
13.42:
United
ident Roosevelt at
Advocates
$19.17
13.00
—
the
Mar. 24 and conferred with Pres¬
7
"
of
in Washington in January,
products are steady, under tion, returned to the United States
ceiling control, finished steel at $56.73, semifinished steel at $36,
by flying boat from England on
steelmaking pig iron at $23.05 and steelmaking scrap at $19.17.
t
'
annual
Composite prices of steel and iron
30
—17.75
—
almost exclusively for
'
lice
1936
1934
under strict WPB
the largest since June.
For the
less than for the same months last
15.00
1935-
It
recent
meeting in Washington. The an¬
nouncement pointed out that the
1942 annual Conference of Mayors
were
22.50
:
and bars.
adopted by the
their
at
20 25
—
melting
operating rate of steel companies having 91% of the steel capacity
of the industry will be 98.8% oL capacity for the week beginning
and
work
Jan.
——
American Iron and Steel Institute
telegraphic
1
1930,——
Jan.
Fabricated
21.83
1937
1931
Low
■.
■.
Mar.
v
No.
resolution
a
Mayors
pare
$22.00
—-
1938
_$23.61
month ago_—i. 23.61
year ago———™—————.; 23.61
ago—
this material consists of sheets
only to consumers with priority ratings,
control.
year.
with
brating
steel
$19.17
quotations to consumers at
Philadelphia; and Chicago.
1941
of
—19.17
V";K'H¥,r-
1939
March
,
1942, $19 17 a Gross Ton
ago„^U.-—
on
are
is
Most of
mills.
sold
Jim.
1936
1937 __2.58414c.
is
Man
1933 VL- —% 18.90
more or less remote
aluminum, unable to
easily obtainable.
steel
23.25
1930
.Tun.
__2.30467c.
■1940
•Tan.
20.61
23.25
1932
metal,
equipment
more
1936
United
the
:.'.•
2.30467c.
'
$22.61
19
___
of
drawing steel cartridge cases, for which
suited.
Some manufacturers normally using
forgings and machined parts are turning to stampings, which are
their
1935
LOW
High
2.30467c.
1941
23
Sep.
___
A
weighted index based on steel bars,
beams," tank' plates, wire, rails, black pipe,
hot and cold-rolled sheets and strip. These
.States output.-
Dec.
22.61
___
2.30467c.
ago
$23.45
—
1939
——______2.30467c.
One month
One
LOW
High
31, 1942. 2.30467C. a Lb.
ago—
work
fabricators
Some
line.
usual
that
stocks by automobile manufacturers is re¬
lieving pressure on mills to some extent, numerous consumers ob¬
taining needed supplies from this source much earlier than from
COMPOSITE PRICES
Steel
Finished
March
One
from" their
cbtain
engaging in
manufacturers
Disposal
•
tms 'IRON AGE"
of
number
>
year
iron and steel est-bearing scrip, which could be
March 30 stated:
*"
Radical changes are under way in the steel distribution sys¬
tem,-a specific requirements approach to control replacing general
or blanket priority ratings as rapidly as new orders and procedures
can
be put into effect, giving the War Production Board closer
markets,
.that the arms program 3 is ing orders no exact check on quantities of material has been possi¬
rolling toward an easy attainment of ship, plane and tank produe- ble.
Under the new plan the Director of Industry Operations will
tion goals are reports like that from the West Coast where one airt ussign ratings for essential use, covering only a specified quantity.
craft parts plant says that it is operating at only 15% of capacity* Applications will be made covering needs for a quarter, with full
while 19 others are using only 15 to 40% of their facilities because information on
inventory and end use of products. - Interim ap¬
!
According to Mr. Goldmaii this
the American' people>kwill
beginning March 30 is equivalent to
•and castings, compared to 1,681,600 tons one
Jun
■>"•■.%%
Steel ingot production
1355
FINANCIAL CHRONICLE
THE COMMERCIAL &
Number 4060
155
which
are
"the
hopes
centered
possible
"most
of
Beaverbrook
battle
one
spoke
on
on
humanity"
that
sent
to
front in
civilization".
Fla., where he is
tion.
the
urged
supplies be
critical
history
and
as
of
broad¬
a
29, pointed
from
a
all
this
the
Mr.
Miami,
brief
vaca¬
/
■
r
flSfcWA'WttraW'f'
n
imtii^frwffW*-i»pwff»»>«»»tT
1356
THE COMMERCIAL & FINANCIAL CHRONICLE
Electric Output For Week Ended March 28,1942
Shows 12.5% Gain Over Same Week In 1941
ihdUst'ry
in
the
posed
was
plan
Ickes.
The(; shoufd be encouraged to continue
urged to' cooperate with fundamental research to dis¬
by which it is pro¬ cover new reserves" he said in
petrpleum from the Gulf £oast to
the Eastern Seaboard.- "• /
>
A reduction in the
price of tet-
provide
to
quickly addi¬ emphasizing thatnhe; OPC order
supplies and an increase of M-68 limiting, spacing require¬
approximately
5,000,000
barrels ments in oil and gas fields should
over the next five weeks in the not be
interpretated as a move to
East.- +
•slacken up- new drilling.
*.7-'
;v</;
raethyl lead, a compound iised in
lifting the octane rating of motor
tional
The Edison Electric
Institute, in its current weekly report, esti¬
that the'production of electricity by the electric-light and
industry of the United States for the week ended March 28,
mated
power
1942,;
was
3,345,502,000 kwh., which
in the corresponding period in
kwh.
with
compares
2,975,407,000
OVER PREVIOUS YEAR
Middle
have
West
and
Major Geographical Divisions—
England
New
Middle
Atlantic
Mar. 21, '42
9.8
Mar. 14, '42
,4 10.4
8.3
13.5 /•<
8.9
Central Industrial
West
Coast—:
11.7.,
n.o
:
11.6
12.6
i 13.4
28.8
~—
—
9.9
12.7
10.9
1+4
13.64//
—1
Rocky'. Mountain—/
Pacific
/ 44
12.4
j—
___
States
/
11.0
10.1
Central
Southern
.
27.2
4/
15.2../
29.1
industrial
shutdowns
United
States.
FOR
DATA
4.J
12.4
RECENT WEEKS
fuel
12.9
Week Ended-
'
1942
1941
3,288,685
3—i—
2,845,727
'
r +
!
1932
10_.
2,558,180
1,619,265
Jan.
Jan.
+15.7
2,688,380
1,602,482
3,450,468
3.012.638
+ 14.5
2,673,823
1,598,201
1,736,729
24__i__i_;
3,440,163
2,996,155
2,660,962
1,588,967
1,717,315
",' '313,468,193
2.994.047
Feb. ;'
7—-
+ 14.8
v
+ 15.8
2,632,555
-
1,588,853
1,728,203
3,474,638
2,989,392
+ 16.2
2,616,111
1,578,817
Feb. °l4
3,421,639
2,976,478
+ 15.0
2,564,670
1,545,459
1,718,304
Feb.. ^21
3,423,589
2,985,585
+ 14.7
2,546,816
1,512,158
1,699,250
Feb,
3,409.907
2,993,253
+ 13.9
2,568,328
1,519,679
1,706,719
3,392,121
3.004.639
+ 12.9
2,553,109
1,538,452
1,702,570
3,357,444
2,983,591
+12.5
2,550,000
1,537,747
1,687,229
MartO-21—
3,357,032
2.983.048
+ 12.5
2,508,321
1,514,553
1,687.229
Mar,
3,345,502
2,975,407
+ 12.4
2,524,066
1,480,208
1,679.589
2,493,690
1,465,076
1,663,291
--
28
Ma/
7—
Mar+
—
2,959,646
Apr,.
A
•
+
DATA
FOR
RECENT
MONTHS
of
(Thousands
1,726,161
Januaty
over
1940
13,219,304
11.894,905
11,683,430
+ 13.1
10,589,428
+12.3",
_.——L—_ 12,965,158
10,974,335
12,556,430
10,705,682
Mayl-X
13,216,962
June?!*—————— 13.187,225
July
"
13,837,916
; August! •
14,118.976
September
13,915,353
March-
——
_
February
_________
April
*
1938
•
January
for
distribution
in
the
yields
of
1937
9,787,901
-8.911,125
+ 18.1
,121,459
9,110,808
9,886,443
or
+ 17.3
.525,317
8,607,031
9,573,698
from
11,118,543
+ 18.9
.868.962
8,750,840
9,665,137
11,026,943
+ 19.6
.068.845
8,832,736"
11,616,238
+ 19.1
.183,255
9,170,375
10,036,410
+ 18.4
,785,902
9,801,770
10,308,884
21.2
,653,197
9,486,866
9,908,314
March
27
to
April
30,
for
adding lighter fuel oils.
9,773,908
4.—Loading and shipping 2,000,barrels of heavy fuel oil by
from
car
District
2
to
27
a
barrel
March
9,844,519
10,065,805
,087,866
9,893,195
9,506,495
trict
12,842,218
+ 17.5
,476,294
10,372,602
9,717,471
on
all
>4+17.4 124,502,309 111,557,727 117,141,591
between
1
scheduled.
The
grades of Pennsylvania grade crude oils, effective
an
advance of the same amount scheduled to become
three-month period.
overihe next
The cost to the industry will total $15,000,000
it was esti-*»—
——
—j
ri
—
mated ;; by
the OPA, with the costs but unofficially the trade
out \ that. the' ad.vance,
money being spent for repressur- pointed
; ing, reconditioning and drilling of while a step in the right direction,
did not fully compensate for their
new wells.
Production
of
Pennsylvania sharp rise in transportation costs.
years,
March
States
oil
crude
output!
Although production has increased
only slightly since then, deliveries
to refineries rose to better than
80,000 barrels daily through the
.
withdrawn/from
crude
of
use
storage. • Depletions from stocks
are bringing inventories down to
what
the
OPA
minimum.
.
The
calls
'/■; ■'
a
"working"
/!////;/;/
In its amendment to the petro¬
leum.
and.
petroleum
products
price schedule, the OPA approved
a markup of
lh cent a gallon in
wholesale
gasoline
and
in
Southern
of
T
retail
the
States
17
Eastern
also
0.4
a
and
District
The
an
gallon
of
comprise the
area."
provided for
cents
the
and
Columbia which
"curtailment
prices
order
increase
in
prices
of
of
distillate fuel oils, including kero¬
fuels, gashouse fuels
and Diesel oils, and the price of
residual fuel oils, including bun¬
ker
oil, £ Navy,;oil
and certain
sene, tractor
of
-./
,
-'
-
;
schedule, Bradford moves up to
$3 a barrel; Southwest Pennsyl¬
vania
Pipelines
to
$2.65
and
Buckeye and Eureka to $2.55 and
,
increase
ered
prices "must be consid¬
interim action", subject to
such revision as'may be dictated
an
after,
study 4 of conditions sur¬
$2.59, respectively.
All of the rounding
the
transportation
of
new prices' are 25 cents a barrel
petroleum and petroleum products
higher than the previous maxi¬ to the Eastern area in the future.
mum-permitted under OPA or4 The action followed the .recom¬
ders.
.
The
'/■
"
OPA
also
p44-4 '•
announced
1
ap+
proval of higher prices for gaso4
mendations, of
the
Office
of
Petroleum. Coordinator,-- it
disclosed, and much weight
the
.
was
was
V
41-43
F.
York
'
Water
O.
White,
Refinery
B.
(Bayonne)
Baltimore
4
;
North
New
In
Pennsylvania
grade
crude
the
top
price
$.057
.
.058
4.
-
!o58
.
Orleans
1
Fuel
F.
Oil,
O.
(Harbor)
B.
Refinery
Terminal
or
Bunker C_
$1.55
.
Diesel
2.3X8
Savannah, Bunker C
Philadelphia, Bunker C________
Gulf
:
1.50
1.55
Coast
;
Halifax
Gas,
,85
1.70
Oil, F. O. B.
Y.
.04
4.25-4.625
—__/_0.4%-.045
_______
N. Y.
Car,
;
Texas
Tulsa
/;>,
-v
Tank
Philadelphia
(Bayonne)
Refinery
or
Terminal
7 plus
$.04
4
4
Tuiea
.053
.03%
;
for
oils.
Prices of Typical Crude per
•
(All gravities where
degrees
are
increase of at least 5%
in the
production
less
$3.00
1.31
1.22
14
above
it
"is
demonstrate that
can
molasses
Pecos
physically
Hills,
tribute
of the
a
4 0.95
for
a
modifications.
substantial
decline
due
to
the
day of March, 20% gasoline curtailment in the
East and Pacific Northwest plus
Deputy -• Petroleum 4 Coordinator
tire
rationing,;; the
Bureau
of
Davies
ordered
into
immediate
5
On
final
the
+
the
The
plan,
the
not
January,
total
demand
the
'
•
ipes in
presage
any
corresponding month in 1941. For
April, the forecast indicated that
the
demand
would
be
about
2%
molasses
order
to
in
their
conserve
rec¬
sugar.
The Bureau also says:
■•//.At the
same time, the supply
honey, rftaple products, and
sorghum syrup annuallycon¬
tributes-; less than 2% .of ^ our
"sweetening" needs,- and pro-
of
•
*
•4 duction is not
susceptible to any
substantial >' expansion- over
a
4 short
period of time. In addi¬
tion, the demand for corn sugar
and
-
.
origin was 10% greater
rationing of gasoline to motorists than for the previous January, but
in the Middle West and that a that during February a gain of
shift in transportation means in only 3% ;was indicated over the
move
for
house¬
-
said,
gasoline
of
altered,
That is why it
told to
Bureau
for
cannot
says.-
bit ridiculous
the
a
substitute
domestic
does
•
-
4 In
Bureau
wives of the country to be
by the midwest oil might have
restrictions.
be pro¬
be
is
"about 5,000,000 barrels less than
committee, was described by the
OPC as "revolutionary in scope."
It was emphasized, however, that
can
sugar con¬
the
been expected," had
industry's supply and distribution there been no gasoline and rubber
recommended
combination of both
tent/involved
a
Eastern seaboard.
a
duced, but the actual
Mines forecast this week in plac¬
plan for "voluntary rear¬
probable
demand; for
the
rangement"' of midwestern ; oil ing
The
transportation systems to provide period at 55,700,000 barrels.
additional tank cars for servicing Bureau pointed out that this was
effect
March 28.
on
given amount of sugar
either molasses or sugar or
cane,
+4-4.1.29
i
will con¬
the con¬
the solution
sugar,
toward
"shortage," the Commodity
York,
From
and
County, Texas
Creek, Wyo
4
nothing
pointed out
1.25
37.9
,
OPC
of sugar use more
corn
Research Bureau, Inc., New
v
impossible for Lance
1.12
them to make these readjustments
Signal Hill, 30.9 and over—
1.23
or
that the readjustments would
Domestic demand for motor fuel
interfere with production of mili¬
tary material are permitted to ask during April is expected to show
the
users
or
servation of sugar or
4 0.83
1.20
—:
degrees
gravity. Kettleman
It is provided, however, that re¬
over
fineries who
industrial
1.37
Smackover, Heavy
industrial TueL oil
of
than
Shortage
Suggestions
that
molasses 4 or
other sweetenings replace sugar
in a variety" of recipes, or that
r
Rodessa, Ark., 40 and above
heavy oil output and prohibit the East
Texas, Texas, 40 and'
of
Solution To
A. P. I. 44
not shown) /;/
.
refinery operations to provide
an
Sugar Substitutes No
4
Barrel At Wells
(> Mid-Contin't, Okla., 40 and
revision
above ——44-1/4 1.25
calls for
program
.,
price list posted by
the
Joseph ; Seep
Purchasing
.Diesel
oils, to be boosted 20 cents
Agency of- the South Penn Oil Go;
a
barrel.
It
did
not take
in
following the issuance of the or¬
that area would not cut oil sup-^
Florida and Georgia where prices
der
approving
the
markup; in
plies very much. V/o'/'iV
had already been higher.
-?■";/'*4
prices sent quotations to the high
A nation-wide conference with
The Office,of Price Adminis¬
est levels! reached
by Pennsyl+
representatives ; of
the
various
vania grade crude oil since the tration
in
its. ^announcement State
petroleum regulatory agen^
early ; 1930's. - -Under 4 the .new pointed out that the permission to cies will be held
new
.055-.625
__.05%-.05%
Kerosene,
New
;098
-.05%-.05%
___—_—
Coast
•Super.
ad¬
an
.093
/
Cities—
Oklahoma
N.
approved
cents
..
■■
grade crude oil at the time of the
original petroleum price schedule
was
around 75,000 barrels daily,
or approximately 2%
of the total
Gulf
The
Bradford, Pa
District
1
by
tanker
between
Corning, Pa.;
March 27 and April 15, in addi¬
Eastern Illinois
tion
to
those
cargoes* presently Illinois Basin
25, with
United
OPA
25
April 30/
w
•/
,
5.—Loading 1,000,000 barrels of
heavy fuel oil from District 3 to
effective when output reaches a daily average 6f 80,000 barrels over
a
of
and
,289,617
4/4 Seeking to stimulate production to meet military demands, the
Office of Price Administration granted a price increase of 25 cents
•
Chicago, 28.30 D
Dis¬
+ 14.5
Petroleum And Its Products
iVf'-'-'
$ 093
j/r/t; "o98
Oil
—
Chicago
changes follow:
25—The
Tank
York— '
Water
Other
Petro¬
on
announced.
Octane),
000
tank
+18.4
"Revised.
Committee
65
"Shell Eastern
564,781,000 barrels
Reserves
Price
vance
12,213,543
138,653,997
or
(Above
Car Lots, F. O. B. Refinery
Texas
oils
the
Institute's
March
12,474,727
year. —162,762,560
on
all
/
Tide
to
553,291,000
barrels,
555,543,000 barrels a
than
by
.
Total
of
Gasoline
New
2,252,000 barrels during
during 1941,
more
refinery terminals in District 1
15,095,452
Decethbei
reported
stocks
a
Socony-Vacuum
.
13,988,934
,
against
that
cent
S.
;
in
The
of
stocks
14,765,945
October
November
off
were
Mines
-
Va
U.
gasoline,
new increase
raised total known
3..—Raising the gravity of heavy underground reserves of oil as of
fuel oil now in storage at refin¬ Jan.
1, last, to 19,589,296,000 bar¬
eries and delivery from refineries rels.
! '
\
■ /''•;
8,396,231
■
of
oil.
leum
9,290,754
+
operation
are:
reduction
256,313
11,484,529
Bureau
industry March 26
put into
declines
"4
25—The
OPA approved advances
gallon in wholesale and retail
prices of gasoline, 0.4 cent a
gallon in dis¬
tillate fuel oils, and 20 cents a
barrel fox*
residual
fuel
oils,
including bunker oil.
Navy oil, and certain Diesel oils. ■./'• / '
1,404,182,000 bar¬
rels of crude oil produced
during
the year, the American Petroleum
,183,400
11,924,381
spec¬
showed
daily flow of crude
lent
Kilowatt-Hours)
1939
Oklahomatheir
altering the operation of
refining facilities in District 1
during the period March 27 to
April 30 as to increase the yields
of heavy fuel oil with an equiva¬
1941
1940
*1941
the
of
2.—So
% Change
X
March
of
were
heavy fuel oil as month earlier.
January stocks
are
now
in
consumers! storage were off 4,662,000 barrels from the
facilities, in District No." 1 (East comparable 1941 date.
Coast) in excess of consumers'
The petroleum industry found
immediate requirements.
1,968,963,000 barrels of new oil
such
1,733,810
17—
Jan.
3,002,454
__
to
The major
1.-^Obtaining
.v
1,542,000
3,472,579
_.
directed
I 1929
.
15.6
'
Jan.
been
>
shortness
actions; which
immediately
/ 1940
1941
over
,
oil stocks.
is
% Change
1942
the
by
ific
12.5
(Thousands of Kilowatt-Hours)
a-
Jan.
12.5
have
25.2
threatened
Total
there
upon a
only two shutdown
serv¬ days, spurted
192,150 barrels to
supplies by tank car.
The 1,410,150 barrels with Kansas and
plan particularly aims at reliev¬ Louisiana also reporting
higher
ing the New England States where totals.
California, Illinois and
12.8
4 /,■
13.2
.
meter to .18 cents
per cubic centi¬
meter, effective April 1;
ice of
12.1
4
Southwest
plan for the improvement of
.
'
*
Corporation,' manufac¬
product.
Under the
price schedule, the price was
cut from ;20 cents
per cubic centi¬
a
tribution, and in addition,
Mar. 7, '42
10.7
9.2
8.4
_
" of
program
-Week Ended
Mar. 28. '42
the
upon
week
new
162,680 barrels to hit 3,844,150, the
five-point "Oil &
Gas
Journal"
reported
operation': and dis¬ Tuesday." Output in Texas, where
agreed
gasoline, was an¬
by the Ethyl
this
turer of the
Daily average crude oil produc¬
general committees tion in the United States during
of the industry for the East Coast, the final week of
'March gained
V Li'-.
.
aviation
Gasoline
Coordinator's
.
PERCENTAGE INCREASE
and
nounced
The members of the Petroleum
1941, a gain of 12.4%.
The
output for the week ended March 14, 1942, was estimated to be 3,357,032,000 kwh., an increase of 12.5% over the corresponding week
in 1941.
i
.'V.
4<4
4//■.
Thursday, April. 2, 1942
;
troleum. Coordinator
com
syrup, even before ra-
tioning of beet and
cane
sugar
started, was taxing the capac¬
ity of the processing plants—
and
are
-
no new
machinery or plants
being constructed, .v..
~
Finally, the Bureau points out,
the country's normql consumption
of "fruit" sugar, in the form of
April, 1941.
"This.^sharp ranned, dried and fresh fruits is
drop in the. relative demand for likely to expand
very little be¬
by Petroleum motor fuel, ^notwithstanding- the cause- of
lend
lease
demands,
Coordinator Ickes on April 14 in influence of adverse weather con¬
.needs for the; armed forces, the
Washington, Don R. Knowlton, of ditions, indicated; a greater and lirhfited
capacity of canners, and
the OPC, disclosed at the March more immediate effect of tire ra¬
the present and impending diffi¬
29 meeting of the- Interstate Oil tioning than was anticipated," the
culties in both- ocean and conti¬
Compact
Commission
at
Little Bureau continued. "With the ini¬ nental rail-truck'
transportation.
Rock, Ark.
Mr. Knowlton, who tiation of the program to curtail The Bureau concludes that
under
-
is
the
OPC
told
the-oil
that
new
the
director,' gasoline
production
men
Coast
the
at
deliveries
and
in
the
East
Pacific
country's per-c'apital' consumption
of "all sugars" will
probably be
meeting
Northwest, a
operations further substantial cut in normal, reduced for the duration of
motor fuel demands is expected."
war and that most of the
.drilling
should be pushed during the war
because the United States "might
the
advice
The reaction of the trade in the
"to'
use
substitutes'!
will
but ag¬
given to. estimated./ increase in have to
supply the entire Allied East Coast to the higher maxi¬ gravate the * situation
by creating
transportation costs furnished by. world with oil."
/
*■
4
/;; mum prices for refined
products abnormal demands and excessive
same day although these increases
the.oil companies involved.,
: ,
He pointed out that the United announced
during the week byi price advances in the "substitute"
did not reflect in
full
the in¬
Details of an emergency pro¬ States had been losing ground in the Office of $rice
Administration fields.-- Honey, has more than dou¬
creased operating costs of the oil
gram for the relief of the indus¬ finding
new
reserves
and' that was that while the move was in bled'- in
price' -in recent weeks
companies due to the use of rail-i trial fuel oil situation in the East-1
during the past three years "we the right direction- and was to- be while
maple sugar and syrup have
road-tank -cars for transportation ern
States which have suffered have lost, some 2,000,000,000 bar-<
commended, the advances never¬ enjoyed a firm price trend;
Theof crude to the East Cpast
refining the- most
from, the- shortages rels:".- Mr.
Knowltom-estimated theless will not
nearly compensate Bureau, believes-that the demand
centers. The announcement of the
created by the submarine sink¬ that only 19,000 new wells will be; for the
sharp increase in operat- for these and ether substitutes
approved
increase:
in"
prices ings of. tankers in the Gulf-East drilled this year as against 31,000
j jng costs resulting from , the en- will gather- further 4 momentum
pointed- out that it was in recog¬ Coast run were- made * public in in 1941.
"I think that this situa-i forced use of the
high-rate rail- once actual ' consumer
nition
of the
rationing
higher operating Washington on March 27
by Pe- tion is so serious that companies road tanker for the movements of ' is made effective.
;
r £ J
;.(
•:
>■ •
' 4
!
line and fuel oils in the
threatened East Coast
shortage-
area on
the
.
,
,
•
.
,
.
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uMkuaahw
FINANCIAL
THE COMMERCIAL &
Number 4060
155
Volume
British raids
the
to
fore
'
are
distinct service
a
Russian
cause, and there¬
substantial contribution to
a
(Continued from First Page)
the ultimate success of the United
not all bad, for convoys were
Nations.
V.
sent through to Russia and the
> In the raid against St. Nazaire
Germans suffered a defeat in try¬
,
ing to halt them,
■. >
-•*
:
That the Battle of the Atlan-
destroyer
of
ter Churchill, in the course
London
speech
before
ship
charge
would
that
off
sinkings
into
plosion
favor of the Axis/
:
the
followed by
indications that convoys still are
.proving highly effective as a pro¬
tection
against , the
submarine
off
battle
naval
route
en
voy
the
reported
to
their
ex¬
Com¬
aim.
went
created
other
and
able
were
rushed
were
the
via
Persian
added
>
for
useless
London
con¬
to
time
long
a
was
on
Improved
the destination
possible
made available by the United
27,000
totaling
a
the
over
week-end,
last
The with the German Krupp works the
particular target. The Nazis also
advantage : of
increasing
while took
the loss of a de¬
admitted
Nazis
Reich
sunk,
were
damaged.
others
four
and
tons
and a submarine,
claiming torpedo hits on a British moonlight and bombed various
cruiser
and
submarine. London British
towns.; The raids
and
reported, Tuesday, that the new counter-raids were continued this
stroyer
tons, had week, and bid fair to become a
been torpedoed and that the de¬ major element of the battle before
stroyer Eclipse also had suffered long. Sizable losses were reported
some
damage, but both vessels on both sides.
Prime
Minister
Churchill "ad¬
made port. According to the Lon¬
his
Conservative
party
don version, three German sub¬ dressed
cruiser Trinidad, 8,000
,
marines
were
warfare
Submarine
American
coast
.
-
off
continued
■
meeting last Thurs¬
a
day, and conceded that the battle
of the Atlantic is not going too
r our
to re¬
sult in sinkings almost every
v
favorably for the United Nations.
The officially
He
day.
acknowledged losses,
as
compiled by the Associated
Press,1 reached the level of 100
ships at the end of March, more
'than half the vessels haying been
sunk off our Atlantic Coast, while
Caribbean sinkings numbered 24
use
battle.
Independent gained the seat in the
Offensive
British
to
by-election, held the
same
day, promises to. echo in
British affairs, for a Conservative
was defeated by a narrow margin
in a normally Conservative con¬
stituency, ■ notwithstanding
en¬
dorsement by Mr. Churchill and
support by the Conservative, La¬
bor and Communist groups.
An
sunk, but reports are
Evidence accumulates from day/
-House of Commons,
despite a neg¬
ligible political organization, on a
that a British offensive of
simple platform of "production for
worthy proportions is being unvictory." ^
limbered
against
the
German
New Phase in Russia
Reich and the nearby areas of the
to day
European Continent dominated by
the Nazis. Whether an actual in¬
the
oiAhe
one
one
on
humanity?
and
moment
^which
"the
second front in
as
Europe.
be indicative.
The
boat
aim
to render
was
for
useless
base
being, and London
that this
may
or
the
important, in any
for
as a reflection of the stead¬
increasing
British
efforts
against the Nazi dominators of the
the
to
Russia,
the
tinued
Norwegian
removal
shipment
and
attached
their
by
the Rus¬
Slavs.
in
barriers
by„°the
Impressed
to
Nazis
want
strength
a
moment
to
their
entire
these
naval
the
Russia,
use
against
when
their
were
off further blows.
ward
at
to
over
be
and
i.7
that
of
the
on
include
disclosures
said
the
by
demanded-
manpower
the
contributions
the
to
be
nevertheless
were
authoritative.
The
while complete; -were
dependent upon ful¬
not clarified.
Unfortun¬
fillment.
If Vichy France lives
ately, there is little doubt about
the new divisions placed at the up to the commitments, it would
seem that almost all occasions for
disposal of the Nazis by Hungary
finally have been sur¬
and Rumania, notwithstanding a friction
mounted.
border
dispute
between
those
countries. 1
Although food remains short in
•/.
....
Russian forces retained the in¬ France, there appears to be no
itiative in the fighting of the last commitment by the United States
few days
on
almost the entire Government for shipments from
front.
Sharp cold descended on this country. Marshal Petain is¬
parts of the central and northern sued an appeal, last Sunday, for
sectors, which aided the defenders. the surrender by French peasants
Moscow claimed new successes es¬ of 3,000,000 additional quintals of
pecially around Leningrad, and wheat, in order to avert desperate
Nazis,
still
the
and
Bulgarian
course
:
assurances,
depicted
is
as
-
that
announced
the
German
a
Kalinin
sector
attack
had
been
The
conditions.
"war
so-called
beaten back with
the Nazis.
so
heavy losses to
Many German soldiers
trapped in a new pocket
ported
to
voyage
if
intercepted
and
aeriel
safely
Russians.
It
by
German
forces, but al¬
supplies
are
delivered
is
fairly
re¬
to
the'
obvious,
This,
of
is hardly the
India, for new lead¬
ers might be found with a
greater
sense of reality, if and when the
Japanese extend their aggressions
to
the "brightest jewel" in the>
British crown of Empire.
Frej
course,
British
on
be evolved by the
may
although' 'it
Cabinet,
>. is
larger; con¬
already of¬
This"is clearly not the mo¬
difficult
to
cessions
than
fered.
envision
those
ment for India to
embark
on
un¬
charted seas.v
The
battle
while,
Burma, mean¬
heavily against the
went
British
.
in
their
and
Chinese
-asso¬
,
country,, to help the British Em¬
pire
units.
Lack
of
effective
aerial
once again proved,
disappointing
to
the
Nations
forces, and the
support
bitterly
United
fifth
column
Burmese
the
of
activities
admitted by Lon¬
were
don.
The
Japanese
captured
Toungoo and approached Prome,
early this week, thus offering a
threat to the important Burma oil
fields.
by
Andaman
The
the Bay
Islands/Jn
occupied
week ago, , and
oitJBengal,
the
enemy
a
were
doubtless will be used to hamper
British
communications.
factory
reports
fighting
were
tions
Satis¬
on
the Burma"
limited to indica¬
heavy casualties among
of
the attackers.
Pacific Council
reports from Lon¬
it
correct
are
be that
may
the Nazi statements
inten¬
were
tionally misleading. The Reich¬
is
swehr
endous
ly
about
to
open
a
drive
new
with
fresh¬
manufactured
and
appears,
aims
believed
are
treit
equipment,
the
immediate
to
be
com¬
plete occupation of the Crimea
and
a
the
Caucasus
spearhead
drive
toward
fields.
oil
The
Germans have 4,500,000 men in
line,
according
to
the
British
estimates, and facing them
more
than
for
the
are
7,000,000 Russians.
Germans
are
regidn, where the Japanese
were
uninformative, but
latest
the
don
and
trying
to
Japanese
ward
this
a
;
different
.
upon
course
troops
week
Mandalay, and the
for¬
pressed
,
road
the
on
progress
to
to
gave
greater
ever
they
urgency
the negotiations at New Delhi
don
admitted
Tuesday, almost
despair, that the
enemy was moving northward in
Burma, owing to complete con¬
with
note
a
of
trol
the
on
of
air
and
of
the
willingness
the
apparent
Burmese
na¬
tives to assist the Japanese. Across
the border in India, meanwhile,
leaders
Indian
of
the
Hindu
defense
ese
aggressors.
against the Japan¬
Near
clarification
Eastern
awaited,
situation
German
and
the
of
was
Italian
a
sizable
week.
reinforced by
convoy,
last
was
British
Some
on
of
the
British
escorting and merchant vessels
apparently
some
days,
were
as
at Valetta for
particular efforts
fliers to
reported
little damage to Malta installa¬
were
made
by
Reich
hit such ships. London
tions, but announced that large
conferred
ernments
dent
Canadian,
Presi¬
with
The
Roosevelt.
show that
time
no
the last week-end that this
over
described
accomplished, but the
could be
A
communique
partment,
is
being lost
of
the
Navy
our
issued
De¬
week
a
raids
by
S.
Navy
U.
official
lengthy
of
ago,
task
forces
on
Wake
grim
Island and Marcus Island, which
early this week. Offers of com¬
took place Feb. 24 and March 4,
plete independence and equality
in the British Commonwealth,
only
again
turned
conveyed by
readily than against Russia.
Netherlands,
Australian and New Zealand Gov¬
mounted
Hope
were
While
Chinese,
yesterday, when
of
the
British,
show-down.
bringing India actively into
the
termination
more
representatives
that
of this
to
implemented immediately
Bulgaria, on the
held
in the preparations for the final
after
hand, apears to be on the
verge
of new ventures, which
could be directed against Turkey
The first meeting
was
and Moslem faiths, with a view
to be
less is indicative.
theater.
Council
plan of the
hung campaign for the inevitable rein the balance.
conquest in the Far East will, of
Sir
Stafford
Cripps, special
course,
become
apparent
only
envoy
of the British Govern¬
through military action.
Recent events in the Pacific
ment, conferred at length with
war
of
Nations directly concerned in
the fate of the sub-continent
recently have arrived in
Turkish ports from Britain and
the United States, which doubt¬
Ankara. Sizable shipments
materials
sooner
later must be
stripped of' their
.recent conquests.
A Pacific^ War
or
Council, which will sit in Wash¬
ington, was announced by, the
White House,- last Monday, with
concerning the military.-disposi¬ the aim of coordinating policies
tions affecting teeming India. Lon¬
and war efforts of all the United
made
Cripps
who
were
"marshal
for
to
the
in
leaders,
return
resources
own
and
under
direction
for the time being.
to India were
by
approval
Cabinet
of
a
carried
disclosed last Sun¬
the
issued
at
unanimous
London
1,000
Only
was
a
At
from
is
Tokio.
single American airplane
lost in each attack, but the '
damage
emy
Marcus Island
miles
inflicted
was
his
Australia,
Arthur
upon
the
en¬
said to be heavy.
general headquarters in-
General Douglas Mac-
was
informed
last
week
that he had been granted the Con¬
gressional Medal of Honor for his
.
Full details of the British offer
which Sir Stafford Cripps
respectively.
to
of India
defense
control
war,
Sir Stafford
Indian
asked
the
their
British
the
of
Malta, which
Murmansk
their
Burma
German announcements
laconic
indicated
convoys
support
on
suspension was j
Indications . were made avail¬
were
ordered by the Vichy authorities, able this week of the comprehen¬
and resumption of the trial is con¬ sive and long-range planning by
near Vyazma," and the hope again
the United Nations for the strug¬
sidered uncertain.
was held out that Kharkov might
soon be retaken.
gle in the Southwestern Pacific
India and
statement
Great
minority
Hindu
little effect that
The
of
of
part.
guilt" trial at Riom dragged on,
in the latter days of March, but to
on
Delhi
con¬
the British
ern
day.
dispatch
in
Moslem
lack
final word
turned
France's possessions in the West¬
have
to
rapid
most all of the
|
will'not
Germany
the
that
assurances ' ;
Fleet
New
on
Coming
French
own
what they
decision needless
a
proposals
VVichy France
bombing of the British base
which rounded the North Cape
order
too
-
T
airmen augmented sharply their
to
points, of late, and the Germans
the long coastline of Europe, in
and
none
\
-
authorities
of supplies
will have to augment their forces
on
seems
The
that
made
flaws
as
Hindu
other
Hemisphere will not be made
Continent, Bulgarian
ciates op .the ground.
Much aid
;available for-Axis submarines or
spokesmen "declared, last "Satur¬
unquestionably was extended by
other -uses by the enemy. Wash¬
day, that "events are" demahdirig
the Chinese divisions which made
from us our greatest efforts." It ington made no formal announce¬ forced marches from
their own
ment of this understanding,: but
was not stated, however, that such
Reich
Presi¬
orders
of all
British
materials.
war
on
utmost
issued
understood
are
Several such descents
is
illustrated
was
Roosevelt
ily
have been made upon
of
various ways, this week.
event,
Continent.
is
importance
dent
was
'
in
in < Russia
Africa
sweeping •;
wielded temporarily by the
other
front
sian
the truth.
The raid
issue
battle
the United Nations to
not reflect
may
The
<•'
The
Berlin
supplies to the
war
Union.
gravity.
claims defeat of the British aim,
which
trying desperately to
the delivery of British
the
and
is conviced
achieved.
was
likely.
The Bulgarians were urged to fur¬
nish enormous levies to fight their
pnd of the line the Ger¬ ing
are
Soviet
time
re¬
.
Near East
and American
the U-
the
again
"Germans-
United Nations naturally are urg¬
prevent
France.
occupied
in
Nazaire,
the
Northern
prospects
mans
last Saturday on the
submarine base of St.
felt
Libya,
possibly with the Axis on the de¬
fensive, for a double offensive by
prod Turkey into taking an active
part
on
their side,
while the
northern
raid early
proposal.
Desert
Western
joined
to the Arctic at Murmansk. At the
troops,
contingents, staged a spectacular
German
be
that stretches from the Black Sea
Naval and Air Force
by
regarded
side, efforts
.Relations .between .the United
reported this week for
States and the Vichy regime in
dragooning into service against
the Russians some of their blood unoccupied France last week were
brothers in Southeastern Europe. reported on the mend, owing to
Although
\
Commando
British
the
new
were
are
Huge mass meetings in London, at ing vast new armies into
the
which a second front is advocated, southern sectors of the vast front
aided
will
j;K:V
On * the /German
again
the thaws of Spring j»
Intense aerial activity was re¬
only beginning in Russia,
vasion of the Continent is fore¬ fighting
between
the
invading ported in the Mediterranean, this
shadowed by the incidents is not Reichswehr
and
the
defending week, and it may well prove to be
yet clear, but the British activities Red Army already is said to be a forerunner of new developments
are assuming a scale that may be
assuming a new phase of inten¬ in the Near East. Diplomatic en¬
the
equivalent of the
"second sity. Hitler, according to reports deavors probably were even more
front" demanded by the Russians. from London, yesterday, is pour¬ frantic than the military efforts,
may
in
and
spokesmen also found
Empire
British
the
patible
also, to
Vast
understood
gion of Italian Libya. It is gener¬
ally believed that the battle soon
Mass
,
Rommel.
are
reached
units
hopes of
centered."
are
Erwin
have
Cabinet, last
meetings were held in the British
capital, over the last week-end,
with the aim of stimulating the
British Government to. attempt a
strength
A
Axis.
complete on this phase of the
not
Nations
United
overwhelming
multiplying opportunities can
prevenUeventual victory over the
These losses
are
much under German claims.
Some Axis submarines are known
to have been
the
of
their
and
sinkings
Coast
Canadian
and
maintained, however, that only
failure
amounted to 22 ships.
eral"
.
followers at
hit.;
vital
doctrines,
nean
Sunday. In a radip address he sin¬
gled out the Russian front as the
efforts
come.
weather also made
resumption by British
squadrons
of
intensive
Nations.
Almost all of the con¬ aerial
voyed merchant vessels appar¬ bombing of German industrial cit¬
ently got through safely, despite ies and ports. Exceptionally heavy
were
staged
against
the
a
German claim that four ships raids
information
no
of the British
views
iii the war incom¬
with -1 his
non-violence
participation
the supplies
expressed
Nations,
fellow
while, for the base was held to
be
United
pears,
however, that 5'Mahlfoma
Gandhi found the required
a<#tive
for the purpose of reinforc¬
ing the desert forces under Gen¬
who is in the
of lend-lease supplies to the
ery
;
German:" and
Italian - convoys
continue^ *to cross the Mediterra¬
;
States to speed the deliv¬
power
sidered the sacrifice well worth
but
Lord Beaverbrook,1
United
con¬
make good
airplanes?
of, enemy
shot down.
"
were
Gulf route, which is not subject
to German interference.
British
the
to
but
escape,
Air
Royal
of
all
Not
in
ashore
and
electrical
destruction and the
the
forces
con¬
Murmansk,
to
to her
subsequent
a
of
wedged
up
Overhead,
fusion.
the
Ac¬
crew
Force planes zoomed and
developed
last Sunday, as Nazi warships and
airplanes attempted ,>to halt the
seaborne delivery of supplies to
Berlin
gates
troops
in
plants.
Northern tip of Norway
Russia.
the
meanwhile,
havoc
Churchill quickly was
A
port.
boats and
indicated 1 satisfactory
mando
^ But the gloomy report by Mr.
sent
large
the
French
and
heavy
a
and
of
performance of the
"
menace.
with
off
this
bow,
torpedo
dock
bridge,
Atlantic
the
the
locks
took
the
form¬
Buchanan.
explosives
the
launches
;Coast have turned the tide in
.
in
indicated
He
time, being.
;the
the
old
the
the destroyer, as she was
for
only
prevail
at
companying
Churchill declared that this sit¬
uation
of
dock
meeting of his Conservative fol¬
lowers. Although the Atlantic
'situation has "worsened," Mr.
S.
loaded
was
against
a
party
a
S.
Strengthened
Thursday by Prime Minis¬
last
employed
Campbeltown,
the U.
erly
turned against the
Nations
was
admitted
tic again has
United
British
the
-
1357
meanwhile, that shipments also. ^numbers
were
.
'CHRONICLE
war
proposal for Indian
valiant defense of the
Philippines.
Fresh American troops continued
to arrive in Australia," and sizable
numbers
of
the
Anzac
corps
re¬
turned from other theaters to aid
in
the
New
defense
Zealand.
of
The
Australia
and
gathering
of
independence at the conclusion of forces in Australia makes it clear
the war, on the basis of a Consti¬ that a northward push from that
tution which would protect racial Commonwealth will be one factor
the
and
religious minorities.
Full in
developing
campaign
Dominion status was pledged to against the Japanese enemy.
Actual fighting on the fronts in
the Indian people and even the
right of secession from the Com¬ Oceania consisted largely of aerial
monwealth was granted.
(Continued on page E359)
It ap¬
-
1358
THE
COMMERCIAL & FINANCIAL
CHRONICLE
Treasury Opposes 6% Limit On Naval Profits
Favors High Income, Excess-Profits Taxes
no item of cost shhll be
chargbd
to the performance of
any con¬
tract unless such
item would
have
Opposition of the,/Treasury Department to the
provisions in the
(H. R. 6790) imposing a flat 6% limit on
profits on naval con¬
bill
tracts
voiced
was
been
the
Randolph Paul, special tax adviser
Secretary Morgenthau. Testifying before the House Naval Affairs
Committee, Mr. Paul summarizing the objections of the
Treasury
chargeable under
so
provisions
which
March 25 by
on
It is provided by this bill that
>
of
contained
T.
D.
the
regulations
profit-limiting provisions of the
Act of June 28, 1940. Allowable
y
.
The
of
/ ■'
Treasury
Department
favor
the
in
not
H.
R.
of
6790
created
and
partment
feels
that
porate income and
taxes
constitute
the
ical
method
of
recapturing
At
the
outset
of
his
excess
upon all net
ment to the
union
combined
prob¬
88%%,
form
that
of
a
amend¬
an
It provides for
the
100%
forming such
contracts.
be
re¬
term "naval
fined
to
as
this
not
or
they
but
the
over
;
the
special
The
in¬
Z
The
urgency
Government's need,
hand, and the
f
firms
;
able
contracts,
tends
to
on
weaken
to
the
the
re¬
company
of
If it turned
bearing in
the
the
the
fact
that
numerous
the
report
would realize 24%
On the other
profit J
for
was
rates
of
substantial
contracts
in
cases
the
which
losses
contracts completed in the
one
year
percentage of profit
Navy business.
Of
Govern¬
ment's
not all
course,
three
'2%
or
in
a
would
ratios
of
'
gross
sales
capital and penalize those which
operate with
V
companies
The
due to the fact that its contracts
cannot
be
costs
accurately
advance,
of
which
taxes
estimated
their
in
taxes.
contracts
order
on
to
Aside
small
excess
profits
highly profitable.
the
profits
on
Finally, high
contracts
war
lower
tions
are
likely to impair the confidence
not
of
This
the
people in the
honesty,
integrity,
efficiency of the
and
not
provide
of
bill does
suitable
a
achieving the
7
ob¬
method
of
so
count
3.
of all
The
favor
take
The
peacetime
favor
of
in
in
in
the
subcontractor
or
The
favor
a
bill
in
of
•-
The
imposition
under
bill
of
and
the
administrative burdens
"crushing
contractor and
bookkeeping
on
Government
alike.
,
7. The
in
be
contracts
order
to
before
;
under
to
provide
carryover of
a
on
on
Ways
all cases,
recapture for the Gov¬
ernment more
profits than those
in excess of 6% of
cost of
per¬
formance.
The
only
important
exception will be those cases in
which the financial condition of
the company entitles it to
more
As
to
the
contention
turnover
■:
that
the
'i
year
also
be
noted
labor
bill
bore
for
on
curbs
profits. In advices
Washington bureau on
Z
as
seek
Under
'
would
ture
terms
bill,
be
the
of
Vinson-
the
to
profits
A
,7
the
ters
notified
bill
would
"also"
the 40-hour work law and
restrictions
on
the closed
approve
is
escape
even
now
a
ultitnprose¬
the
the
,
impose
any
tion
shop.
,
his
approval
/
of
the
\
.
20,
1942.
^
procedure
being
be permitted to
war
effort
that
...
•
shall
obtain
r,i
;
;
•
V
i
•
i
court
in-
come
laws,
institutions,
as
indeed all Ameri¬
will
become
quite academic.
.
"No one, of course, should be
to
escape
ultimate
permitted
prosecution for any violation of
law. I am sure that the
Depart;
.
or
war effort
first and everything
else must wait.
For unless that
effort is successful, .the anti¬
must
can
postponement of investiga¬
or
prosecution, in
any
event
production is
by anti-trust
vestigations, then the
trust
is
Government
war
occasioned
suits, prosecutions
or prose¬
false pretext
in your memorandum
dated March 20, 1942.
If
true that any substantial
slowing-up of
person
being im¬
peded, and, 3, that no one who
has sought actually to defraud
suspend
them
"March
"I
prepon¬
year are
of
let-
the
of the procedure outlined in the
above memorandum. The Presi¬
progress
The
identical
to
Attorney
General, the Secretary of War
and the Secretary of the
Navy,
his undivided time is necessary
to the war effort — in other
$10,000
covered by the bill.
in
addressed
it
shall
cution under
of
day, March 20,
same
President
me
derantly clear that the
excess
the
Assist-
Attorney General,'
On
v
no
words, that it must be
a
ant
dent's letter reads:
of
in
;
"THURMAN ARNOLD,
all
ciency of profit. Only contracts
completed within the tax year
are
of
'
outlined
postpone investigation
one-year
Secretary
.
•>
'
,
.
KNOX,
the Navy;
that
carryover of loss is permitted,
but not a
carryover
of defi¬
which
tary of War;
to
shall
performing
*
,
STIMSON, Secre-
"FRANK
v
■
Attorney
I
L.
yours,
em¬
That
1.
■>$:■
r
BIDDLE,
General;
"HENRY
.
prose¬
we
investigation and
cution; 2. that no such
completed with-
contracts.
sure:
mate
all
sin the income tax year in excess
of 6% of the cost of
such
;;
;
tion of law
recap¬
from
make
public interest.,
"FRANCIS
consume
hand,
committed
"Respectfully
/;Vf :
other
fraud
Government."
"We feel ,that this arrangewill
adequately protect
:
one who has committed a viola¬
Government
authorized
100%
"naval contracts
;
of
the
to
At-
ment
I5 the
something which
obviate as quickly
possible.
"On
wish to
:
>
I
this time will be contrary to the
national interest and security.
we
the
of
actual
any
prose-
believe
we
production
against the
those
cases
it appears
as
longer interfere
limitations, we shall
request Congress to pass an ap¬
propriate ; extension of the sta¬
•
It is therefore
and
its
those
soon
no
: "Under no
circumstances will,
.*•; there be any suspension or
post*
;
ponement
of
prosecution
for
corporations
engaged in war work.
are
of
tute.
continuing such prosecutions at
/
testimony
Smith-Vinson
from
which
of
how-
not,
by the running of the
escapes
statute
warfare, such court
unavoidably
ployees
In
war
.
quickly and uninter¬
maximum amount of
a
will
k
anti-trust
the time of executives and
:•%'v •'V;:
Paul's
the
investigations, suits and
cutions
after the completion of the
with
•
weapons of
v
carryover
contract would be of
it will
.
materials.
/ - (, {.: *; /l///V ■;
"In the present all-out effort
war
to produce
loss
that
;;
by the Department of
if continued, will inwith the production of
ruptedly
March 25 the New York "Journal
of Commerce" said:
after
deficiency in profit. bill fails to take account
of all
8. The bill would leave
no in- elements of
cost, Mr. Paul stated:
the
consider¬
ation by the Committee
and Means
will, in
terfere
:
little value to a firm which will
not be able to complete its sec¬
ond contract for more than a
Mr.
thus be said that the
now
Justice,
taxes
-3%
favorable tax treatment.
failure
single
a
Smith
proposals
statutes
contracts
slow
a
should
one
first.
cost of per¬
retain
a
year
necessary
practically
discriminates
manufacturers having
rapid turnover. •
6.
would
13%% of the
It may
discriminates
.
taxes.
business
materialman.
5.
it
forming
bill
on
a
ac¬
discriminates
that
company subject to the
55% normal and surtax rate to
operations.
4.
that
earn
elements of cost.
bill
of
to
investment
It
year.
business
for
recapturing
fails
either that their in¬
less than it was in
the
more
advantage of being better able
to average its profits within the
are
profits tax.
substantial,
unduly high profits.
bill
on
It
therefore, have the
as a
whole. Even
in these
cases, however, the ef¬
fect of the proposed normal
and
surtaxes would be
Mr. Paul cited
eight reasons for
this position, viz:
•>.'
1. Excess
profits taxes are a
2. The
excess
time.
under
•
: torney General will proceed.
•'
7.-V."To. make sure that;no one
President
investigations, suits and
cutions
,
"
-
adjourn-
investigation- suit
ceeding.. As
•
by the fact
pending court
of the
-
or
ever, mean the exoneration
the individual or
presented
some
the
prosecution
v
from l the ' Attorney
General, .the Secretary of War,
the Secretary of the
Navy, and
Thurman Arnold,', the
following
problem
of
each
taken
corporation, or
V the discontinuance of the pro-
received
that
shorter pe¬
would thus
many
company with
and would,
in
excep¬
now
8%
or
the
jective.
better
only
cover
V
within the year than would the
earning less than
method
deserved
taxable
of
complete
the years 1936 to
1939, in many
cases due to the
war effort, or
that they are
It is the position of the
Treas¬
however, that this
riods
after
companies which
means
is
6%
companies—
companies—with
brackets, the
subject to
come
Government.
ury,
are
net
from
mostly
means
before
\
'."The undersigned have been
considering for some time the
'
company with a rapid
turnover would have an addi¬
tional advantage under this bill
would tend to
the
ment
or
i
the
In
finally
deferment
'
or
.
20
determination, of
action
will be made public.
'
"Dear Mr. President:
low ratio.
a
March
the
%v*;:jThe
signed
memorandum}>\.;;^i:4'^:'i:.f
•;'V /'/ ^
"March 20,1942.
'
53%
items,
that in many
cases the contract will turn
out
to
be
either unprofitable
or
•
■
fixed
to
would, under the tax proposals
made by the
Treasury Depart¬
ment, have to earn more than
in
.
:
bill,
ard
•
;
be
annual return of but
such capital.
The
follows:.
ease
<
shall be final.
course,
l
prose¬
„
would
favor" those
corporations which enjoy high
the
iv
VV-/'■/Z'lv: ./>
On
.
all the
whose
dent,
The White House announcement
on the
subject of anti-trust
cutions
in such event, to lay
facts before the Presi¬
;;
Navy
activity.-. However,
defer his
cision.
com¬
thus
the; Attorney
provid-
the right,
the President retains the final del
the
bargaining position. The
fact that many contracts call for
the manufacture of non-standl
disagree,
particular matter,
ing, however, that he shall .have
7
if they
General
by the Secretary of War
and
General will abide by that deci-^
and defer
hi§ activity in
sion
7
will abide by the decision reached
an
of
7
the
or
ex¬
then,;
gation, suit or prosecution will
seriously interfere with the war
effort, the Attorney> General
sub¬
Navy con¬
that itJ,"will not4
seriously
with
and
that in his opinion the investi-
•
or
interfere,
constructing
Such
War
it will inter-
or
J Secretary of the Navy stating
must
any
se-
all-;
upon receipt- of a letter from
the Secretary of War
or
the
i
all-out prose¬
cution of the war."£ If
they agree
that it will
year, it
its capital.
low
of
interfere
therefore,
total
on
too
and
years
fallowed
on
same
substantially reduced
be
company
that
the
disagree,
f that
Secretary
*
a
true
with
if after study
amination they
•
//■■
clude
of cost
ductive
other
on
suits.
might turn over its pro¬
capital only * once -in
pany
a
by
profit
well
of
ships of the line.
and
'' absorbed
was
lower
more
other,
might
is
investigation,
interfere
prosecution of the
war, the
will proceed.
fere,
,
procedure worked out al¬
lows the Attorney General to
pro¬
ceed with", a case if he and the
hand, the 6% rate
case
out
against
everything / else
it
the conclusion
court
Attorney General
If they agree that
i. The
a:
on
if
come to
the
prosecution or, suit will not
"
committed
.
Navy
riously
;
slow-up of war production
being occasioned by anti-trust
is
of
its productive
over
the
stantial
legislation
capital four times in
examples in
contract
4
take
■
<
,
and
wait"
might be unreasonably high in
the case of a
rapid- turnover
company making, for example,
certain types of aircraft
parts.
Navy business has
is ^expected to yield
this 53% figure. I
or
excess
much
small number ot
are
a
total
which
for
of
the
instance of
no
comparatively small amount
profits
first
the
53% of cost. Most of these
cases,
however, were either cases- in
"
?
that
prime
on
rapid
turnover), Mr. Paul had the follow¬
which profits on individual con¬
tracts
substantially
exceeded
contracts, which this bill
attempts, may perhaps be brief¬
ly stated.
having ..la
all allowable rate of 6%
performance
contains
than
case
of
^
:
fraud
future
investigation,
,
that
,
As to discrimination in favor of
manufacturers
the
make this statement
on war
v
of
mind
whether
rather
taxation
f'
a
the Government.
The President, in
approving the
procedure to - be followed,: said
that, "the war effort must come
type contained in this bill
discriminates as between com¬
in
the
disagreement
a
method
objectives.
over
53%
actual
panies having a rapid turnover
and companies
having a rela¬
tively slow turnover. An over¬
yielded
„
are
bill is
of
results
before
whose
Treasury's disagreement
with the
Such
and
court
m,General and the Secretary of
War or the Secretary of the
7
Navy, respectively.
If the At¬
torney General and the Secre¬
tary of War or the Secretary of
^ investigation
postpone
procedure,
approval:
pending
-
Vv.
"Under a false pretext" that his
undivided time is
necessary to the
war effort and
that there will be
no delay in the
prosecution of any
of
your
or
suit under the
anti-trust laws wil be
carefully
and examined as soon
as
possible
by
the
was
to
-
following
Attorney
v.:I
violated
the
studied
plan the
"to avoid the
running of
of limitations in
any
It
recom¬
have worked
we
prosecution,
:>
emphasized
h.^s
memorandum
"Each
Federal
.
,
also pointed put that
person will be permitted even
no
apear to be consistent
Government. '
to
case), in order to
excess
of
veals
de¬
it
taxes.
one-.who
a
subject to
-
statute
case."
pro¬
7/10ths
profits from naval contracts
for the procure¬
ment of implements of war.
The
in
the
profits to be paid back to the
taxes.
The
so
after
no
now
Treasury
than
the
./*••••
memorandum
quested
re¬
with the avowed purpose of the
bill to force only unreasonable
There
contract" is
contracts
be
cost
include only prime
such
1%
the
less
r; would not
Navy
appears
con¬
A preliminary examination
of
the report of this Committee on
ex¬
type.
Department,
(which
usual
under
posals, to
out
,;w
/
The four of¬
approved
of
"Accordingly
law shall
escape ultimate prosecu¬
tion and that
Congress will be re¬
would,
_
to
per¬
by
cludes
tax
the
structure
bill, profits would, under ing to say:
"the Treasury
suggestions, have ;
Profit-limiting
the
contracts entered into on behalf
of ;; the
United States
Navy
all
that
and
com¬
funded debt, a 6%
cost before taxes
this
'
no
limitation
of
profit in
terms of percentage of
contract
price as there was in previous
of
which
a
no
on
and,
of
yield after taxes the 6% of cost
of performance
proposed under
is
legislation
in
company
profits
capture of profits from all naval
contracts completed within
income tax taxable
year in
cess of 6%
of the cost of
Zrate
a!^ possible
highest
to say:
on
from
a
business would be subject to the
bracket of the excess
Act of June 28,
profit-limiting
went
maximum
apart
taxes
by Attorney General
day.?■ \<.I
The
in most cases, be equal under
present law to 1.7% after taxes
cor¬
give
all
when
capital
tained
55%
after
Roosevelt
same
liability
exceeding
even
Even
pany's
rebate, under certain
conditions, of 8%%. Assuming
"the
1940
provisions of
which
were
suspended
by the
Second Revenue Act of 1940.
He
the?:,
would
income
interest.
or
basis
action,<3>
ficials suggested on March
20 a
procedure to be followed and Mr.
ex¬
tax
a
out
the
on
of
Anti-Trust Division.
payments
their
turn
income of the
This
allocate
portion of such
specific contracts,
net
at
normal
be
to
acted
course
son,
and
While
administratively
impossible
approaching
adjusted
would
post-war
explained
bill is in the
rate
poration.
yv;',
:'y;
Paul
all
on
be
a
Biddle, Secretary of War 'StimSecretary of the Navy Knox
Thurman Arnold, Assistant
Attorney General in charge of the
during
contract.
might result in
profits net income above
and-surtax
tracts and that he would "not deal
the provisions of the bill
Mf.
75%
paid
worked
clusion from allowable costs for
the purpose of profit limitation
suggested, the
$500,000. The combined
with
lems.":
rates
of
taxes
:
President
,
ex¬
to
*
'
the provi¬
relating to overtime pay,
security, and other labor
profits tax would be
rate
a
relating to the
profits on naval con¬
limitation of
the
excess
testimony
The
mending
on
income and
or
the
would
interest,
any
substantially increased.
Under
that he would
confine his remarks to
of the bill
sions
tions be
of
almost
tax rates applicable to
corpora¬
ex¬
life
it
,,
The
cessive profits derived from the
war effort.
Mr. Paul indicated
the
Treasury Department has
suggested to the Committee on
Ways and Means that existing
more
include
profits
cess
recapturing
unduly
high profits," Mr. Paul said:
econom¬
the
defined in T. D. 5000,
as
not
funded debt
In
support of his view
that
"excess profits taxes are a better
method
of
profits
much
a
effective, equitable and
;
do
reducing cost to the
Government.
V,':'-'7
cor¬
respecting
,
centive for
De¬
high
excess
'«
•
costs,
enactment
because of the
because
v
isf-
serious
discriminations in in¬
dustry which would thereby be
,
•
President Roosevelt has
approved a plan for
deferring pending
and future Federal
Court
investigations, suits and prosecutions under
the anti-trust laws if
it is found that
action in such cases
would
seriously interfere with the war r
effort, - the White House an¬
nounced on March 28.
! ;
•;
■7
'
,
v
5000
said:
•
Roosevell Approves flan For
Deferring s
sv Anti-Trust Actions
Which Impede War Effort
Treasury
to
Thursday, April 2, 1942
:.'c
ments of
Justice, War and Navy
Volume
i;will
all
co-operate
that the
so
war;* will
the
of
needs
THE COMMERCIAL & FINANCIAL CHRONICLE
Number 4060*
155'
not'be
by- these", court- in-j
vestigations, .suits or iprosecu-?
tions, but that* at the same time'
the ^crisis of war will not bd
hampered
of avoiding
for any wrong4
doing.
In other words, it must
be made very clear that the war
effort ' is being impeded.
-No
right-minded person, or any one
who is conscious of what is at
stake, should use the nation's
•used
-just
as
means
a
penalties
.
-extremities
an
as
to
excuse
violate any statute.
j
with Facts and Figures.
Criticism Nations fighters was amply dem¬
stifled, our newspaper onstrated.
Here, they had; Jesse Jones ,on: headlines <are showing disunity;
Japanese fliers attacked Pott
the run. A Gallup Poll would unv we must be as ruthless with our
Moresby, New Guinea, on several
doubtedly have held Jesse guilty freedom Of speech and press as occasions,
but
that
important
Hitler has been. Inasmuch as two
of the rubber shortage.
.w;
point remains safely in British
Then
the
irrepressible Thur+ of.. the
speakers
were
Frank Empire hands. Fresh raids also
man
projects Standard Oil into Knox's men, on loan to Facts and were staged against Port Darwin,
the
picture.-. ■ The stories about Figures, and three others were Australia, without much resulting
Jesse and Standard Oil can't both discharged employes of Col. R. R. damage. Netherlands leaders con¬
be true..4 That is as plain as the McCormick, the main thing to do tinued
to
insist
that
sizable
nose on the face.
i to win the war, according to the groups of Hollanders and loyal
comic
-
strips
are
him.' 'i 4•• v-v'i'-"'
administering , to
*■'-••••*' '• 'i
be
must
Perhaps
more
even
humorous1,
however, has been the boomerang
which
that
your memoransteps will be
proper
the statute of limitations in any
Donald
While
Nelson
It
was
'
; /
the
when
Aus+
new
natives
tralian
representative here, Mr1.
Evatts got up, and said he was
quite surprised to hear such utter*
ances by journalists in a Democ*
racy
that+. was fighting: to preiserve
Democracy,
One of : the
Witch-burners • was
young
Jay
ness
over
the
country
'
feasible
before
tensity, hut the
Board
Bataan were
a
regarded
by
attempt to
sweep
the
The
Japanese
were
territorial
pino
Corregidor
day
and
Japanese
fore
Bataan
The
them
that
they
were
not giv¬
ing, they must have asked them-
From
I
Washington
selves.'
in
1940
not
on
on
i—
scale—and
[
a
other
hand,
Standard Oil is "near treasonable?
t
didn't
it
because
that
worthwhile
the
turn
the X spout
But
(Continued from First Page)
its
over
i
patents to that uninterested Gov-
•
ernment.
>,
they
should
They
complacent
were
wake
first
kept
:1'
spouting
and
Well, they did.
up.
in
their
the
President.
New
This
Dealers
burned
on
but
came
of
an
but Martin beat
exposure,
casualties
Court
them to the headlines.
out
a
loud
yelp
is
3
.■
■>
to
,
"
and
You pays your money and takes
•
•
your
'
choice in the great show of
a
company
ladies
X";;
and
■
gentle-
that they
ry[
■
.
The
were
contract, if
assisted
the
Shop
by
closed
any ;
-
out-
his
before
appearance
Committee
that
he
didn't
the enemies
.
want
who
of
the
responsible
were
'
]
•
for " the
too much indignation to? be felt
campaign against Mrs. Roosevelt
against Standard Oil. He kept in
and the cohorts of Hitler and the
sisting that it was the practice ol; National Association of Manufac¬
international
^objected,
.
underprivileged,
cartels
which
to
was
subject
legitimate
that Standard
Oil
,
of
was
which
the
he
more
criticism,
but
a
vie?
turers
the
..the
of
system.
a
time
•
noted
Observers
/.
that
at
Thurman
were
responsible' for
about
the: 40-hour
week.
It
of the
has
so
happens that the head
the
conduct
of
the
shop
/
-
and
aren't,
close
branch.
They
the
to
^
They
executive
pening.
and
Senators
There is
said.
a
,,.
\
-
.
j
Foreign Front
seemed
practice
of
Standard Oil.
cartels
•
rather
;
than
.
%
Aside from
Mr,
the
expressions
of
Roosevelt, the intolerance has
In the meantime, however, he become ..pronouncedly manifest in
brought down" on his head Archie MacLeish's Office of Facts
additional epithets from the New and Figures. This writer has
just
;•
•
/
'
:
.
i
•
1
has
Dealers.
If they have wanted in
the past to wring his neck for his
attacks on labor and o+her anti-
paid $25 to take some guests to
the annual dinner of the Overseas
Writers,
Instead
of -being
in¬
bombardments,
in 'recent
J
days.
The Japanese made little progress
in their attempt to occupy all of
the great island of New Guinea,
for
floods swept the valleys and
hampered all movements. Amer¬
ican
and
Australian
bombers
dropped their lethal loads on the
enemy at Lae, New Guinea, and
at
Koepang, Dutch Timor,
appar¬
ently in order to prevent consoli¬
dation
gains and to
New Deal oraches, as t.hev have, formed by the "brilliant" array of halt preparations for still further
they would "ow like to add some- foreign
correspondents,
he
lis¬ transport movements. Some heavy
thing like that torture which the tened to a witch burning
harangue aerial engagements developed? in
enemies
of
Dick
Tracy" in the from three correspondents now which the superiority of United
of
Japanese
hol-
was
not
contest."
Defense
pointed
that
at¬
to
defendants
the
did
out
not
conditions
emergency
and
upon
involve a long and expensive
trial, and ordered that a hear¬
ing be held for the purpose of
taking testimony to give him
information
business
to
as
op-
These
hearings
from-*?
extended
24, when the
judgment of the Court was ren'
>'dered.: /v,
The
X,•'??/
defendants
prossed
are:
Co.,
W.
F.
,
.
who
Tunnell
....
nol-
were
Arkansas. Fertilizer-
&
Co.,
„
Inc.,
Harold F. Ayer, John F. Maybank,
Quistgaard
Petersen,
E. H.
Westlake, and George A. Whiting.
A.
In addition to these the Court im¬
the
soon
penalty
no
National
tion,
saying
Charles J.
upon
Secretary
Fertilizer
that
of-
Associa¬
there
was
no
*
/
evidence to indicate any intention
resentatives, would go far to
restore : the • type ofv company-
whatever
union
The
(Continued from page 1357)
case
.
had properly selected their rep¬
co-ordination^, in
which
matters
,
.
as
V
seven
March 16 to March
bare majority of employees
the
tended
Labor
the
labor
from
;
Board
-
had
that the company aided
affiliates in op¬
ganize
a
and: Radio
of America, a
his
letter
on
part
or
to
violate
spirit.
Fines
corporations
from $2
rgnge
indi¬
on
to $4,000,
gating about $255,000.
aggre¬
,
/
Among industry practices under
to an attempt to or¬
local of the United
Electrical
on
in
$500 to $9,000 and
viduals
con¬
the Federation
position
law
imposed
(Wagner)
Act forbids."
before a Congres¬
sional Conimittee that his organi¬
.
a
defen¬
V
v;
Brand, /Executive
as
and
lot in what he
the
posed
la closed shop contract,
hold
them resoonsible for what is hap*
gressmen
whom
that "to permit emploj'er inter¬
ference prior to the execution of
their1 Con¬
know
the
defendants, except
Justice
branches.
executive
companies,
of
erations in the industry and the
issues
involved
in
the
suit.
labor
Electric Vacuum case, to which
Roberts dissented,- said
war.
testified
to be a little frightened zation didWt favor repeal of the
about his "exposure/' He wanted 40-hour week..;' Of course, the
the headlines but he would prefer nress of the
country as always the
'that any future investigation of stooge—of Hitler, of the Roosevelt
'
the matter
be into
the general haters.
**
•V'-v-::'-:-l'■■■'■:
:t;■■■•'"■ 1-
;
with
Manufacturers' Association
'
tim
that
agitation
do
fertilizer
associa¬
both sides for reaching a so¬
of the case that did not
on
,
The people, he said, don't differ-,
entiate
between -the.:, legislative
102 de¬
were
lution
were
about the possible boomerang of was the cohorts of Hitler/ together
was clear through¬ with
the: Roosevelt
haters, 'the
C.,
their time and
energies.
Judge
Johnson
J.
Hayes commended the attorneys
Washington
his sensation. It
N.
X-X
; trade
two
officials
demand
.
had; been
"unfair
for
pleas out of any sense
of guilt but largely because of
Supreme
union
:
in¬
enter the
•
.
64
to
as
and> union
a
»
suit,
prossed, entered pleas of "nolo
contendere," which means "I
practices" by the company.
plenty awake.
? morrow : he doubted that a single
The
decision,
applying
to
a
would
be
reelected.
spouters had Incumbent
closed shop
It might be a little more enagreement
between
veritably opened a Pandoras box. The: political future of those up
„• lightening
for reelection in November, he the Electric Vacuum Cleaner Co.;
to observe that ' even
But their reaction to getting the
now that the Government is rushInc., of Cleveland, and five Amer¬
people "awake" has been a no¬ said, rests upon what happens be¬
of
Labor
affil¬
«ing preparations for the manufac¬
tween now and then. If we get a ican Federation
ticeably
increased
intolerance
iates
was
delivered
ture of synthetic rubber, it seems
by Justice
towards criticism. The cohorts of victory or so, if the war is going
according
to
Associated
) not to be lacking in formulas—-in
all right, they will be returned Reed,
Hitler ate responsible for it.
IVJr.
Press 'advices
from
Washington
plant facilities, yes, but not in the Roosevelt
to office; if not they are sunk.
has become freer,with
ways of making _it,
X The tragedy of it, this man said, on March 30, which also said:
his epithets of "parasites," "fifth
is that Congress has nothing to
Justice Reed's decision in the
Thurman is somewhat worried
columnists," "sixth columnists." It
Washington,
men.
1
—
36
The
March 30 upheld the Na¬
Relations Board in
entering into
v
Association, which
dant corporations,
decision, which held that
prohibits
in¬
an
preliminary
under way
;r
tions,
the National Labor Relations Act
from
the
Originally there
Labor
8 to 1
a
shop contract
Winston-Salem,
fendants
'
on
the
anti-trust
was
reports:
war
Court
closed
tional Fertilizer
Supreme Court Upholds
tional
Congress
getting caught in
against the boondoggling activi¬ the cross fire. The people whom
ties of Mrs. Roosevelt in the OCD, the propagandists "woke up"'are
then
they began holding town taking it out on the legislative
meetings demanding the repeal of body. One of its most outstanding
the 40-hour week.r Through their members told me the other -day
Congressmen they let it b§ known that if an election were held to¬
let
at
will
..States
|
that
according to advices from the Na¬
Court
United
added
fertilizer
torneys
The
closed
...
than three years/was termi¬
nated on March 24 in the Federal
previously
NLRB On Closed
tffl^
by
more
caused by the raid.
because
up
Archie MacLeish's Facts and Fig^ures had
prepared the same sort
to
"full
a
Reed
a
which, with
vestigation,
aerial
.
of
as
Settle Fertilizer Suit
The
hospital carefully,
which
disposes of any thought
that the bombing might have been
Some
the
was
determination of the Labor Board,"
had avoided the
accidental.
of
one
ference of fact for the fair
,
...
of
would remain invalid "is
Peninsula.
enemy
Board
Justice
Tuesday,
when
aerial
bombers
carrying the Rising Sun insignia
plunged their missiles toward a
plainly marked
American
base
hospital.
*1937
agreement
referred
was
time such
XA'X. '/[X?' X
ruthlessness
on
The
shop" contract.
little damage on the
lofty and rocky islet in Manila
the
*
•
the
were
day,
I, v.:;.?.
a
been
a
Labor
inflicted
Bay., :
already
said
an
raid
to
closed shop contract by
the unions and by the company
small
bombs
after
Labor
back
any
Immense
'J dropped
CIO
members"
called
The
gains promptly
troops.
the
affiliates
come
retrieved by the U. S. and Fili-;
squadrons
by
unions.
Gen¬
thrown
with huge losses, and
employer's
the
contract ; required
"all
em¬
ployees of the company to be¬
011
area.
the
the direct result of
are
which had
organized."
eral Jonathan M. Wainwright as
the
forerunner
of
an
all-out
the
of
with
plant
no
assaults
"all
attempt
the
made
enemy
Heavy
progress.
that
difficulties
Corregidor Island, in the Phil¬
ippines, gained steadily in in¬
stances will there be
in
The Federation unions assert¬
ed
toward exploiting their
gains in Oceania, and it is earn¬
estly to be hoped that reconquest
prove
affil¬
stances."
progress
will
■
..
The company said it was
"the innocent victim of circum¬
of these
news
j
its
iates."
struggles. It is hardly
conceivable, of course, that the
Japanese- have as yet made any
Martin Dies charges that Henry
Wallace s E pnomic Defense Coun¬
clamoring - for
war
con¬
and that under-no circumf were
any delay tracts/ Their blood pressure run*
cil is loaded up v i h Leftists. Walr
prosecution of acts int nihg up during the day'through lace '
replies
v.i h
a
blistering
-volving actual fraud upon -the seeking ways and means to save statement that Dies
might as well
:' Government.
their livelihoods and those of their
be in the pay of Hitler and Goeb •
"I also heartily approve your workers, they must; have almost
bels and then adds that, however,
intention of making public each burst blood vessels- to hear the
he will investigate the charges.
determination arrived at by you speakers
at
night
saying
they
You have to hand it to Mar¬
in accordance with your memor must go "all-out," that they didn't
tin's dexterity
in the Battle of
randum.
The American people realize the gravity of the situar
Washington. Several weeks ago
should be informed of each step tion.
■'
;"v'-^---7?^
he sprung an "exposure"—to the
i
in their war efort,. excepting,
Then, as if in answer to a mas*
effect that his agents after pain¬
of
course,
any
information ter control, this spout was turned
which may in any way help the off and a new one turned on. The staking and hazardous work, had
dug up the Japanese plan against
enemy in his attempt to destroy output of this one was that the
this country and he had offered
V: us.
;-o:.■ v'V'.'•■•.asV.' people as a whole, not just indus¬
it to the Government a year ago.
"While every precaution will try, were too complacent.
They
The New Dealers,
who despise
be taken
to prevent any one dicth't know a war was on; per¬
from escaping prosecution if he haps it would take some Hitler him, immediately pounced on him
and revealed that his "exposure,"
has violated the anti-trust star bombs to wake them up. All this,
so
laboriously ferreted out, was
V tutes, whether he
is now enf while citizens were uncomplain¬
I gaged in war work or not, we ingly leaving their hornes-- every published and widely circulated
must keep our eyes fixed now day for the training camps, while years ago and one only had to go
to
the Congressional Library to
upon the one all-important pri- parents were getting casualty no¬
get it.
mary
task—to produce
more tices about their sons, while the
vb Martin
materials at a greater speed. In people generally were
immediately , switched
accepting
other words, we shall give our rationing, denials of what they and sprung another "exposure"—
f attention to first things first,
this time his agents had uncovered
j had come to look upon as neeessi?
"Very sincerely yours,
;
j ties, while they were paying taxes a Hitler plot to win the war by
I "FRANKLIN D. ROOSEVELT.';' up to the hilt. What was wanted destroying the people's confidence
case;
direct
no
the
by
>
,
under contract with AFL
last-ditch
*
all
men
was
-
brief,
the
company
the
litigation "a
con¬
troversy between rival unions,
CIO seeking to organize a plant
points in Java and Sumatra, but
there
refqsed to,
Re-em^*
directed
called
Allen, a hitherto obscure journal¬ enemy draws any material wealth
ist, who captured fame by being from the region.
arrested
by Hitler.
Evatts obr
Japanese attacks against our
served that the enemy has made
forces on Bataan Peninsula and
making,
were
the
•
In
offering stout resist¬
Japanese at various
were
to
ance
amazing commentary
an
things
on
the
behead
symposium,* is
to
publisher.
Tribune
was
Board.
.
and others mistakes
just as we have.
these stereotyped
"For example," he said, "Hitler
taken to avoid the running of utterances, night after night, busi¬ let Allen
put Of jail.'! v - •
;
rum
ployment
.
»
,
[' "I note from
The company then
reinstate 24 employees.
.
^
-
Washington
bureaucracy
"Nor, indeed, should there be has gotton to its repeated state?
ments that the country was not
any deferment or adjournment
of
any
court
investigation, "awake,"' that it was too "com*
prosecution or suit unless, after placent."', a
::v: ■;>
The first' episode unfolds wi:h
a
study and examination with
; the
Washington
Attorney General in each the output. of the
specific case, the Secretary of propaganda speech factory several
War or of the Navy is satisfied months ago that industry didn't
; that the war effort will be jeop¬ realize the gravity of the situa?
ardized at this time\unless such tion, that it simply must underf
course is followed.
■
*
stand that it had to go "all-out.''
/v Y
,*
.
1359
attack
were
the,
exchanging
price schedules and port
Workers
point prices.
CIO affiliate.
It
was
of
basing-
pointed out
employed, the Labor to the Court that Government
Board
said,
to
compel
em¬ publications show that these prac¬
ployees to join the Federation tices are
nothing new in the in¬
Affiliates
and
to
"forgo
the
dustry but have been in existence,
-United"
included
discharges,
threats of discharge and a lock¬ for many years.
The settlemem.
out.
Subsequently, the Board of the suit did not include entry,
added,
the
company., entered of
any consent decrees as to fu¬
into
the ."full
closed
shop"
ture
business
practices
in
the
agreement in 1937 with the Fed¬
eration Affiliates.
1
industry. " " X
"
••
'• • - '
Methods
'
wX /((fxl lw vLa iiil' i!vbW-U
»rjV i
i
^
i
1369
(Dem.,
Mont.)", Mead (Dem., N.
Y.) and Capper (Rep., Kan.), who,
struction
anxious"
."particularly
about
York Coffee* and
Exchange, Inc.,
following custom,
gar
that
has
been
April 3
New York
ond
holiday
for Good Friday,
Saturday, April 4.
Guaranty
Trust
Company;
announces
the
Parker Wilson
Vice-President.
The
Mr.
participation
Wilson
Senate
Senate
City ,*Bank_ of
March 24.
New
York
in
the
appointed
an
ident.
■:
'
March
West
Assistant Vice-Pres¬
~'l- * ••7/; 7 \ vv?
'
to
Sea
originally
was
old
The
Bank
of
Gate
branch
a
Coney
tracts
tne
of
into
Financing
tne
Con-
of
War
tne
Navy
merged
into
the
7
Brooklyn Trust Company in Jan¬
uary, 1928.
v
'
tion
Prosecu¬
War
con¬
,
Department,
its
Department
and
the
States
(hereinafter referred to
Maritime ,Com-
be
War
entered
into
tion
for
to
for
Central
Hanover
has become
customers in the Rockefeller Cen¬
ter district will result from this
York
member of the New
a
Reserve
:
Bank
since
-
;
September.
move.
The new office, it is an¬
M.
J.
nounced,
will 7 be
considerably
Fleming, President of
larger than the one now serving Federal Reserve Bank of- Cleve¬
this important district, and com¬ land announces the admission
of
plete commercial banking, check¬ the Union Savings & Trust Co.,
ing account, and personal or cor¬ Warren, Ohio, to membership in
porate trust services will be avail¬ the Federal Reserve System on
able. V
March 26. The bank, organized in
1911, has capital surplus and un¬
Carl Paul Biggerman, who re¬ divided
profits in excess of $900,tired in January, 1941, as a Vice- 000 and total
deposits approxi¬
President
the
of
Chase
National
Bank, New York, died of
monia
on
Mr.
with
the
when
he
'
Prior
to
since
The
of
1921
Assistant
an
becoming
A
native
of
is
headed
National
Minneapolis
B.
Cashier
in
dite
of
otherwise
or
by
ments
Commission
and
also
will
facilitated
be
by
appointed
of
governors
Assistant
an
/
the
Re¬
for
financing
The
production.
war
White
House
frequent
throughout
,
are
in
aimed at curing a situation which<«>
has
counts,
contracts
interfered
with, the .all-out
participation of
ness
many small busi¬
enterprises
tion."
The
ment
Peacetime restrictions
in
White
war
credits
House
state¬
•'
war
on
likewise
7-
nation's
smaller
businesses is essential to victory."
Noting that "the basic
the
ital
order
is
to
financing
of
purpose
put working cap¬
me
of
the
House further
stated, adding that
War
Production
Chief
Nelson,
other
the
Under-Secretary of War Patter¬
son, Under-Secretary of the Navy
President
United States and Commander-
in-Chief of the
,
tions
cies
on
banks and credit agen¬
made it difficult for
have
them to finance
although
;
anxious
the
to
war
banks
use
production
have been
their
resources
for prosecution of the war.
Under
the
Department,
ment,
and
•
Order, the War
the Navy Depart¬
the Maritime
Com¬
mission may guarantee or make
loans when they are needed for
war
production.
These guaran¬
tees will
support the operations
banks, the Federal Re¬
greatly speed the
war
ing that such action will facili¬
production
tate the prosecution of the
war,
I do hereby order as follows:
generally."
The
1. The War Department,
Navy
and the Maritime
Commission are hereby respec¬
Presidential
order, issued
under authority of the First War
Department
Powers Act of 1941, authorizes the
three
armament
procurement
agencies "to enter into contracts
with
the
any
Federal
Reconstruction
Reserve
tively
Cor¬
fication
poration, or with any other finan¬
cing institution guaranteeing such
enter
not
be
made
credit rules.
by
under
They will counts
men,
wherever
additional financing is essential
.
advances,
or on
for, additional, production.;
;r;
The order
House
was
signed at
a
attended
Patterson
Murray
,
to
any
or
with
Bank, the Re¬
Finance Corpora¬
other financing
guaranteeing
such
Bank, Reconstruction
any
under
or
advances,
or
on
commitments in connection
,
therewith, which may be made
by such Reserve Bank, Recon¬
be.
77777777
.
15
in
case
which
as
authority
of
this
with
Springs
any
19-22.7 This
Association
by
and
the
Navy Department
or
for
Commission
of
that
or
give-
no
pediting
be
supplies,
production
or
extended
materials,
or of ex¬
thereof,
through
the
.7 agency of the respective Federal
Reserve
Banks
in
accordance
with
the provisions of this Ex¬
Order.
In taking any
action under any designation or
ecutive
-authority given by
to this
paragraph
no
shall
Bank
pursuant
or
Federal
have
any
accountability
except as agent of the War De¬
partment, Navy Department or
"Maritime
may
or
Commission,
be.
•
(4) All
actions
of
Federal
any
as
the
and
operations
Reserve Bank
,„under authority of or pursuant
diplo-
•
>
.
and
man -
7
assurance
future.
The
French
Lick
Springs Hotel at French • Lick,
Ind., will be the headquarters for
the
council
given.
.
meeting
on
77
the
dates
-y.7v 7:
Tyy
S. Savs.-Loan Conference
The
ern
twelfth
annual Southeast¬
Conference of
the
Group
United
.
.
States
Savings and Loan
7
League will be held April 17-18, ; 7
in Atlanta; Ga., where the7 first
meeting of this group
was
held in
1931, it is announced by Julius A.
the Mari-
procuring
equipment
>
they will be removed in the
near
the
pur¬
~
made
officers
the fact that The Homestead
order,
the
an¬
change
was
Japanese
consular
agement could
able
under
any
appropriation
act to the War Department, the
case
the
matic
procedure as they
may respectively require; Any
:; amounts now or hereafter avail¬
time
Hot
previously
as
by the continued occupation of The Homestead at Hot
such
pose
Lick
of
necessary
:itime Commission in accordance
may
April
same,
says
and
disbursed
by
or
under
authority from the War Depart¬
ment, Navy Department or Mar-
/
Va.,
instead
as may be neces¬
therefor shall be supplied
sary
•v
Ind.,
Association
French
Association, who is President7
the Security Bank of Ponca
City,. Okla.; The dates are the
shall
of
at
of
the
of
to
or
advance
or
agent
.
Bankers
of
the
Fed¬
Bank
meeting
Council
nounced,
it - is
announced
by
Henry W. Koeneke, President of
provi¬
of the
spring
be, held
Springs,
Springs,
such| funds
Reserve
discounts
the
to
loan, discount
responsibility
Corporation, or other
financing institution against loss
of principal or interest on
loans,
1
Forrestal and AdmiraT Land. Also
Senators
(a)
with
Finance
and
pj^seht. ,we^e
contracts;
contracts
Bank
annual
American
participate in making
or
Reserve
by
Under-Secretaries
re¬
any
institution
White
ceremony
of
into
construction
tion,
commit¬
peacetime ments in connection therewith."
They will be made
production
or
without
Federal Reserve
Reserve
Bank,
Reconstruction
of the
Finance Corporation or other fi¬
serve
System, the Reconstruc¬ nancing institution
against loss of
tion Finance Corporation, and
principal or interest on loans, dis¬
other credit agencies.
authorized,
gard to the" provisions of law
relating to the making, per¬
formance, amendment or modi¬
Bank,
Finance
Army and Navy
of the United States and deem¬
of small business and
subcontrac¬
tors
the
Maritime
case may
1942.
Executive
will
the
Reserve
all
1941,
of
the
War Department, Navy Depart¬
ment or Maritime Commission
18, 1941, by all
of Congress and
by
as
hereby
and
Reserve
commitments,
authority vested in
and
is
Order,
pursuant
In
any
Constitution of the United
States
the
ABA Council To Meet
The
as
make
Dec.
acts
March 26,
thereof
authority granted to it
der.
by the various provisions of
approved
as
7 FRANKLIN D. ROOSEVELT.
THE WHITE HOUSE,
the
Federal
commit-
the First War Powers Act,
.
basis," the Forrestal and
Admiral Land of the
statement added:/
Maritime Commission are of the
Up to now peacetime restric¬ opinion
that
the' order
"will
on a war
tue
the
or
Commission,
pursuant to this Executive Or¬
^
NOW, THEREFORE, by vir-
said, ' "Senators
The order was
prepared by the
Mead and Capper have War
Production, the War and
been particularly anxious to
bring Navy
Departments and the Mari¬
about this participation. Full pro¬
time
Commission,
the
White
of
duction
the
Department, the Navy
Department
fiscal agent of the United
as
any
greatly facilitate the
of small business
enterprises in war production,
Murray,
Banks shall be reimbursed
for such expenses and losses
by
the War
eral Reserve Act in carrying out
participation
^
,
and
or
serve
Reserve
and
sions of Section
ments will
up produc¬
supplies needed by
the armed forces.
advances
interest, fees
other charges is insufficient for
this purpose the Federal
Re¬
upon
and
officer
utilized
Federal
States
"
cannot hold
tion of
produc¬
act
and
explained that the order, "authorizing the
to facilitate the prosecution of the war is
amount of such
Secre¬
confer
Federal
any
Executive
each
with banking
financing institutions;
'
or
Secretary of the Treasury is
hereby
directed
to
designate
and
WHEREAS, the guaranteeing
or
making of such loans, dis¬
financing of
this
contact
and other
The
r
or
Order, and to the extent that the
mission, respectively, in carry¬
ing out any of the provisions of
the
close
War
agents under
pursuant to
the provisions of this Executive
of
agent of the
War Department, the
Navy De¬
partment or the Maritime Com¬
facilities, including ex¬
perienced - personnel,
located
and
as
the Mari¬
or
may
authorized to act
other
country
be
may
the prosecution of the war effort
and
which
have
offices
and
conveniently
of the
/
any
officers
or
Departments
(3) Any
Bank, or
in
ing functions in connection with
In an executive order issued March
26,- President Roosevelt
authorized the War and Navy Departments and the
Maritime Com¬
mission to make or guarantee loans to the nation's
smaller businesses
their
direc¬
,
Maritime Commission.
System, which are agen¬
cies of the government exercis¬
President Orders Loans To Small Business a
To Pat Working Capital Financing On War Basis
in
their
such powers within the War and
serve
.
other
(including but not limited to
attorneys' fees and expenses of
litigation) incurred by the Federa!. Reserve Banks in acting
of War, the Secretary of
Navy
and
the
Maritime
Navy
expedited
Federal
.77;' y:T
and
eral Reserve Banks and shall
first be used for the
purpose of
meeting l expenses
and
losses
u:
delegations of
this connection the Federal Re-
been
Interest/ fees
charges derived by the War Department, Navy Department and
v
•
con¬
lian officials thereof the
power
to make further
Reserve Banks and the board of
Cashier.
/yyv. y,;
(6)
any officer or officers in their
respective departments or civil-
commit¬
utilizing
officer
Commission
expe¬
and that William G. Kirchner has
ca¬
tary
the War Department,
Navy Department and Maritime
that
by
Commission.
the
by
Assistant
bank,
and
advances
the
respectively, through
time
there¬
to
and
civilian officials
war
has
Harrison,
the
connection
graph 1 of the Regulations pre-/
scribed in Title II of Executive
Order No.. 9001 dated Dec.' 27, 7
1941, vv.r' ••/77
"
::
Commission
be exercised
Navy Departments
com¬
production;
WHEREAS, the guaranteeing
or
making of such loans, dis¬
Bank
announces
tion,
other
others engaged in sucn pro¬
and
/
!
opera¬
The authority above
also
may
loans,
or
pur-
^u^nt ,tov the 4ermsypf this Fx—r
7: ecutive
Order, in accordance ■
7::with the provisions of Para-:'
be
discretion
with for the purpose of finan¬
cing contractors, subcontractors
duction
en-
respectively
,;
Secretary of War, the Secretary
the Navy or the
Maritime
Commission,... respectively,
or
ap¬
been made Assistant Trust Officer
Union
City, N. J., Mr. Biggerman's
Marquette
Ronald
asso¬
ciated with the bank he had been
national
bank
examiner
for
years.
mitments
The Union Sav¬
Co.
amounts
advances
/into by them
adr
of
guaranteeing
or
counts,
a
many
Trust
or
discounts
y';reports of all. contracts entered {
in
•/'/: K
propriated by Congress which
be used for the purpose of
making
Maritime
or
(2)
Maritime Commission have
them
or
pur¬
by
.
ferred may be exercised
by the
such contracts;
to
.
■
of the war, and to
y Maritime Commission, respec- v
pay out funds
in accordance with the terms of y lively, from operations pursuant .'
to the terms of this Executive
any
such contract so entered
into. ;v7'
; * Order may be held by the Fed- »
may
A. F. Reed.
64 years
had been
Bank
made
was
Cashier.
&
the
deemed
(5) The War Department, the >
-Navy Department and the Mari- V
-J time' Commission
shall
make
.v
necessary, appropriate or
convenient for the prosecution
WHEREAS, the War Depart¬
ment, the Navy Department and
available
was
Biggerman
Chase
$11,000,000.
ings
pneu¬
March 29 at his home in
Bronxville, N. Y. He
old.
mate
suant to
;
last
is
pre¬
other-
or
,
Department^ Navy Depart¬
ment
a
facilities
which
or
by regulation
•Secretary of War, the Secretary
of the Navy or the Maritime
Commission, or their authorized
representatives, h'
''7y
con¬
others
or
gaded in any business
war
The Bank of
may
scribe,
contrac¬
any
System and to such direc-
.
Corporation
of financing
tor, subcontractor
•*
7 wise, after consultation with
the
to
or
financing ; institution
making loans, discounts or
Commission) which
outstanding or may
now
are
Finance
pose
Maritime
as
hereafter
present
make,
Executive
conditions
as
the. i
Board of Governors of the Fed¬
eral Reserve System
enter
varices, oi? commitments in
nection therewith, for the
production, including the
Southold, Southold,
7- obtaining or conversion of fa¬
office at 2 W. 49th St. The hew N.
Y., has been admitted to mem¬
office will be located on the main bership in the Federal Reserve
cilities, may be promptly and
floor of the RCA
effectively performed, it is es¬
Building, at the System, effective March 21, ac¬
Rockefeller
sential tnat additional facilities
Plaza
and
50th
St', cording to an announcement made
be
corner, with
safe deposit vaults by the New York Federal Reserve
provided tnrough govern¬
on
a lower
mental agencies to supply neces¬
level.
There will be Bank
The institution has capital
an
entrance from 50th St., also
sary funos to contractors, sub¬
approximating $550,000. Howard
one from the lobby of the build¬
contractors and others engaged
G.
Tuthill. is President of the
in
such
war
ing.4 Increased banking and trust bank. This is the 51st bank which
production purreplace
to
to
other
mission
n
was
serve
participate; with any Federal
Reserve Bank, the Reconstruc¬
;
United
Island,
contracts
(b)
this
subject; to :the
tions ' and
tion of the
war, and to pay out
in accordance with the
terms of any such contract so
into, and
of
be
Governors; of the Federal He-,
funds
entered
WHEREAS, in order that
w,
>
sion to be
necessary, appropriate
or convenient for
the prosecu¬
it
terms
shall
supervision/ of, theV Board* of
any
Maritime Commis¬
or
the
Order
,
tion of the
of¬
financing
to
Department, Navy De¬
partment
,
,
EXECUTIVE ORDER
the Coney
St.
.■
7> tracts to Facilitate
28, and its accounts trans¬
12th
fice
the
Central Hanover Bank & Trust
Co. of New York will open an
office in Rockefeller Center late
April,
Saturday,
Island office
of the company, at Surf Ave. and
was
consider
Corporation,
financing institution
operation which is deemed by
the War
The Executive Order reads:
y Authorizing
which
in
or
Committee
Marcn 25 and the
future.:;
near
ii.':
ferred to
on
-
Nelson W. Monfort
small
.
probably
at the close of business
At the regular
meeting of the
Board of Directors of the National
—
ii
Thursday, April 2, 1942
contract or, subcontractor or
others engaged in
any business
Banking
on
will
Surf
Ave.
and
West-< 25th
St.,
Brooklyn, would be discontinued
formerly: Assistant Treasurer.
was
bring
of
77/'
'•
>,
approved it
Brooklyn Trust Company
of Brooklyn, N. Y., announced on
March 27, that its Sea Gate office,
Sec¬
a
to
a
The
of
appoint¬
as
the
business.
association
included
•
■
iii
■
for the purpose of
Legislation seeking to create a
steamship company, a steel
$100,uOO smaller war plants cor¬
company,
the
Corn
Exchange
poration is not expected to be
Bank & Trust Co. of New York,
and the New York Banknote Co. supplanted by the executive order.
with
announces
a
also'
reer
voted
and
ment of
Su¬
■
Finance
other
or
the White House said, have been
The New
"i«
THE COMMERCIAL & FINANCIAL CHRONICLE
,
,
■MifT'tWi'
n
McCurdy, Decatur, Ga., President
of the conference.
ing
and
loan
tives
from
West
Virginia,
Savings, build¬
association
Maryland,
execu¬
Delaware,
'
Virginia, District
/
of
Columbia, Kentucky, Tennes¬
see, Alabama, Georgia, the Carolinas and Florida
comprise
a
are
expected to
delegate group of three
hundred to four hundred.
-
Agendum for the meeting
announced
is
largely
it is
concerned
with War policies of the
Associa¬
tions, their
Defense
nancing
some
progress in the sale of
Bonds
and
Defense
plans for fi¬
Housing,
and
looking ahead to possibilities
of the post-war
housing
era.
r*>
@FedFRASER