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Final
Edition
ESTABLISHED OVER 100 YEARS
In
2 Sections-Section 2
ommatcia
Reg. TJ.
•Volume" 160
Number 43C6
New York, N. Y.,
The Financial Situation
Critics
of
they assert,
as
,
the
Administration
are
Roosevelt
end of the
some
war.
Should peace come, as we all must
distant
not
date, it would find the
powers
hope, at
that be
confused, uncertain, and unprepared. In a short time they
would in all probability be at work
improvising.
Governor Dewey was no less right the other day when
he remarked that the task of
getting this country back on a
peace basis, economically speaking, with full employment
will require a degree of competence which this Administra¬
tion has not yet shown in anything—unless it be, as the
Governor did not add, in getting votes. The "opposition" is
also on strong ground when it insists that Government can¬
not give or guarantee "full" employment; that
only private
industry is capable of full and effective utilization of the
Pat.
Office
subject of reconversion and post-war jobs heads the list oi^of policy (14 in all) adopted by the Conference of 26 an extensive and efficient system
Republican Governors at St. Louis, held upder the leadership of of regulation. This system is flex¬
Thomas E. Dewey, Republican nominee for President.
The Confer¬ ible, and it is designed to meet the
ence opened on Aug. 2, and adoption of nine principles portraying
varying needs
of
individual
the Governors' views were adopted on Aug. 3; the other five having States.
There should be pre¬
been adopted**
served in the States, where it be¬
on Aug.
4.
organized reserves, together with longs, the exclusive power to reg¬
With respect the
Reserve
Officers'
Training ulate and control the insurance
to reconver¬ Corps, to afford an adequate na¬
business.
.
sion the Con-
tional defense at all times."
ference
de¬
clared
that
statement further says
Deal is now seeking to
"industry
and abandon
National Guard system.
vert
public be told again and again that
talking glibly and acting wisely about post-war procedures,
plans and programs are two quite different things. Likewise
a
intentioned,
or even
a
healthy
government, no
how capable, can pro¬
duce.
Certainly it would be helpful if the rank and file can be
fully and finally convinced during the months to come that
the more abundant life they have been told so much about
and promised so often is not at all likely to be realized as a
result of any panacea or whole systems of panaceas, but that
(Continued
on
604)
page
E.
Thomas
ernment
City Bank Points To
Large Foreign Balances Available
For Post-War Reconstruction
further
ence
Funds Needed For This
capital for world reconstruction. In view of the agreement
a Bank
for Reconstruction and Development, recently
establish
adopted by the 44 United and Associated Nations at Bretton Woods
this discussion is exceedingly timely, particularly as it presents a
world outside the United
States impoverished and without
purchasing power, and chiefly de¬
on the subject.
That the repairing of a war- pendent upon credits from this
shattered world will require the country to get going again.
In
the
natural
preoccupation
nations to work together in the
supplying
of relief,
the rebuild¬
ing of disordered economies, and
the stabilization of currencies is
and means of expand¬
ing international credit facilities
in order to speed reconstruction
everywhere recognized. That this and avert the chaos that many
will involve international credits, fear after the war, it would be
both short- and long-term, and— easy to overlook the large and
in the case of relief in devastated rapidly growing volume of gold
areas—outright gifts, is likewise and foreign exchange held out¬
not seriously questioned.
Nor is side the United States, or to the
the possibilities of internal generation
of capital in financing rehabilita¬
proposition that the United States,
because
of-its strong monetary tion and expansion in war-torn
countries.
Yet
both
considera¬
position and great productive re¬
tions bear directly upon the size
sources, must play a leading role
there
in
much
world
argument
over
reconstruction
if
re¬
of
the
post
-
war
international
^
succeed and bring credit problem.
the peace and prosperity to which
Growth of Foreign Gold and
people aspire.
Dollar Resources
The differences of opinion are
In weighing these factors, gold
not over the principle of provid¬
covery
is
to
■
ing relief and credit for recon¬
struction, but over the question
and dollar
first.
resources
Most
should
countries
will
come
be
how
to
agriculture
set out its views
must
free
and
unreliable
the
the
whimsical
and
straints that
on
restrictions and
and
impractical
tion
of
Confer¬
Aug. 3,
"Agriculture
follows:
as
be
now
re¬
hamper produc¬
confusion."
create
and immediate action
national
by
im¬
is
Government
Under the head/'Unemployjneht
Compensation insurance and Em¬
to provide for, prompt
termination
and
plant
contract
clearance."
Other
statements
of
policy
aid
Federal
in
building
maintaining highways; public
planning; Federal acquisi¬
tion of public and private lands,
which it is noted, "has been in¬
an
alarming rate"; the
National Guard and organized re¬
serves,
as
the
to
Federal
Government
for the purpose of mobilizing la¬
bor has been used by the present
Administration
litical
adopted at the Conference on Aug.
3 bore on war veterans and their
creasing at
able
control
facilities
should
the States
with
the
as
extend
to
be
soon
as
returned
to
those
of
seeking employment and the con¬
clusion of the
war
effort."
On the subject of insurance the
Governors recorded their stand in
part
as
The
burden
States
.
over
.
.
on.
the intoler¬
people of
making innumerable reports." The
our
Conference
recommends
that
there "be set up a permanent or¬
ganization of responsible repre¬
sentatives
of
legislative
the
executive
branches
of
and
the
na¬
tional Government and the
States,
which, will work png the problem
of lax co-ordination until a proper
solution is found."
■
;
The
Conference of Republican
Governors was referred to in our
Aug. 3 issue, page 521. The state¬
of policy adopted at the
ments
Conference follow:
Reconversion and
The
Post-War Jobs
a
great
problem of perma¬
nent peace-time jobs can be ade¬
quately met only by private busi¬
ness
under
enterprise system.
an
This system depends upon the in¬
dividual initiative and organizing
genius and energy of all our peo¬
ple.
Only through this system
and
follows:
several
and relief from
able
po¬
These
is consistent
interests
best
its
labor.
over
"proper co-ordination
of State-Federal taxation requires
tion
the
standing -squarely in the path of ployment Service" the Conference,
employment of our re¬ in enunciating its policy, said;
turning veterans and millions of
"The public employment serv¬
displaced war workers. Compre¬ ice which the States made avail¬
can
ever-increasing
there
be
steady
(Continued
period of 75 years have developed
on
production
lasting
and
608)
page
to which the statement
of policy said:
"In the post-war
period
we
shall
need substantial armed forces, in¬
the National
cluding
GENERAL
Ahead Of The News
By CARLISLE BARGF.RON
Presidential campaign, Mr. Roosevelt, who
being the "slickest" politician the American people
have ever been up against, wanted to make Governor Landon look
small and provincial, not the "big," worldly wise man that he is, a man
whose mother took him to Europe when he was a boy and who speaks
French.
It was the same sort of campaign the New Dealers are
making
on<£
Back
Editorial
•
Page
601
Situation
Regular features
From
Washington
Washington
CONTENTS
'V
Financial
From
Guard and
Ahead
of
the
the
prides himself
Trading on New1 York Exchanges...
NYSE Odd-Lot Trading
NYSE Short Interest at July 31
NYSE Bond Issue Values at July 31.
1936
on
•
601
News
in
Governor
Moody's Bond Prices and Yields.... 612
Items About Banks and Trust Cos.. 616
Dewey.
614
Anyway,
a
slick
614
611
612
very
stunt
was
worked
State
General
of
Trade
Weekly
Carloadings
of
615
615
Weekly Lumber Movement
615
Fertilizer Association Price Index...
613
Weekly Coal and Coke Output..
613
Weekly Steel Review
611
Non-Ferrous
Metals Market
hue
about
ing
June
Consumer Credit
in
612
15...
June—
613
cry
its
be¬
amazing
cam-
ign
had
been in prog¬
ress
for
a
.. i
Carlisle
cussion
n
Bargeron
of
conduct
affairs.
He
tossed
around
the
of
foreign countries and
foreign leaders like nobody's busi¬
ness.
Then he said
profoundly
names
that the real trick of
a
successful
foreign policy (and a successful
foreign policy is one that keeps a
country out of wars) is to watch
the little day by day events, little
events that would go unnoticed
by
the people as a whole. That was
something
alone
which
Mr.
Roosevelt
was
and there had
^
friends thatv he
or
nQ
so
^
foreign affairs. Come
it, they said, ability to
the
was the prime requisite of
being President. In this sort of
background, Mr. Roosevelt went
up to Chautauqua, N. Y., to tell
of his broad knowledge of foreign
fairs
prepared to do. Cordell
Hull, our Secretary of State, sor¬
rowfully wagged his head and told
month.
r
to think of
Outstanding Down
and
a
p a
614
Living Costs in. Large Cities May 15-
up
that the
611
611
set
ers
Moody's Daily Commodity Index... 612
Weekly Crude Oil Production
Sudden,
a
the New Deal¬
Weekly Engineering Construction... 613
Pap^rboard Industry Statistics.
All
Landon.
614
out
Governor
on
602
Review
Commodity Prices, Domestic Index..
in Weekly Electric Output..
need of materials and equipment
help is needed and
from abroad, and gold and dollars
tiow it should be supplied.
Much
(Continued on page 604)
Df the discussion of post-war in¬
3f how much
"the
is
con¬
elimination of much double taxa¬
the
to
the future
a
with ways
asserted- that
Administration
national
ternational lending has seemed to
imply
Confer¬
The
Public
military forces essential
safety of their people."
controls
may prepare now
mili¬
entire
our
"Water
tended that
icies
and
August issue of the National City Bank's monthly Letter
an
interesting and instructive discussion of the need for
.
they
In the matter of taxation it is
control
and
tary force in peacetime; it would
deprive the various States of the
in -part
the
Expenditures," "State, Federal
Co-ordination," "Social Wel¬
Federal
promptly to
know the polGov¬
lic
Tax
Resources."
ence
of
points in the
and
enabled
works
Purpose Is In Accumulated Dollar And Sterling Balances
viewpoint of the situation which
generally
ignored
or
over¬
looked. We therefore give space
below to the Bank's full comments
when
needs
ac¬
further five
statement of policy adopted Aug.
4 had to do with
"Labor," "Pub¬
Health"
As
reconversion."
for
future;
to
1 y
Such
.
fare, «Education
must
Dewey
so
perative
credit and
produc¬
immedi-
Federal
hensive
National
peace
traditional State
our
The
.
tion would ignore past experience;
it would amass under centralized
ployers
be
the
Holds A Substantial Part Of
e
con¬
Em¬
constant and effective reiteration of
high state of real prosperity and
matter how well
t
en¬
permit.
state of business are not conditions which a
The
to
war
It is well that the
contains
to
time
a
be
The
"the New
undermine
must
abled
Panaceas of No Avail
a
Copy
The
tion
the truth that
a
statements
labor force.
wholesome should be
Price 60 Cents
Thursday, August 10, 1944
Republican Governors' Conference Under
Dewey Enunciates 14 Post-War Policies
quite correct when
they have been doing frequently of late, that
regime, despite all it has had to say about
preparing for peace, is in fact by no means ready for the
the
S.
nation's
foreign
af¬
would give any¬
thing if he could really get the
President interested in these little
(Continued
on
page
605)
THE
602
of Nations) is that the
(about the League
in
IOS must
nounced
President of the Society.
organization.
"The responsibility for the peace must
and
not be
It must
not be put upon some impersonal organization. It
must be put upon large Governments, which possess
real strength for it. Taking this into consideration,
would suggest that the great powers should also
sign agreements among themselves to prevent
the
police
international
Division,
preside. Food quality, to at¬
which Wiley finally secured
will
be the major theme of a dozen
addresses by food experts. T. M.
Rector of New York, Vice-Presi¬
tion,
will* speak- on "Quality
and
Vegetables."
E.
would be isolated from its source of sup¬
plies."—N. Malinin.
Since Mr. Malinin is said to expound the Soviet
view with authority, we evidently have here a sort
of counterpart of certain recent unofficial official
expositions of President Roosevelt's ideas on these
associate of Wiley,
paper
on
Father
Products"
Meat
are
ciety.
Changes In Bank Loans To Farmers 1934-43—
Study Released By Cleveland Reserve Bank
adjusted their lending methods to
changed conditions during the last 10 years have been rewarded with
a
greater share of agricultural loans than have banks which have
hesitated to modernize their lending policies, according to the con¬
clusion of a comprehensive study released on Aug. 2 by President
M. J. Fleming of the Federal Reserve Bank of Cleveland on changes
Country banks which have
followed relationship between changed
of 113 methods and loan volume, the
.
country banks in the major agri¬
cultural areas of the Fourth Fed¬
eral
is the
series of studies in the
Reserve
first of a
of
fields
District.
It
industry
finance,
which will
agriculture
and
be pub¬
gree
tices
It
there
was
a
to measure
marked
favor of amortization
the Research Depart¬ lump-sum payment as a method
ment of the bank, headed by Vice- of repaying farm real estate loans.
President Kenneth H. Mackenzie. In 1934 only 24% of such loans
were
amortized,
the report
Asserting that "there appears to
lished
be
a
by
relationship
direct
between
practices in
the
farm
lending
field
and
changes
in loan volume," the
the adoption
of
new
lengthened the
of their loans, which adopted
which
"Banks
time
or
increased the
tion
use
chattel
and
lowered
which
of amortiza¬
mortgages, and
interest
rates,
showed increases in loan volume,
both in real estate and short-term
farm credit fields.'
"By contrast, those banks whose
policies
remained unchanged, or
moved counter to these new lend¬
ing
practices,
experienced
loan
volume reductions."
The study makes it clear, how¬
ever,
that further improvement in
farmers
bank lending services to
is
possible and necessary. It said:
character of the
changes
"The
disclosed,
to 55%.
that
rural
careful consid¬
however,
banks might give
Division
the
of
Bakelite
August
of
the
Merz,
advisory executive
Calco
Chemical
American
of
Bound
Division
Co.,
Cyanamid
Brook, N. J., is Honorary
Chairman.
City Of Brisbane Bonds
Redemption
The National City Bank of
York,
is
as
New
fiscal agent for the loan
holders of City of
Brisbane 30-Year Sinking Fund
5% Gold Bonds due March 1,1957,
notifying
that
$42,000
principal
aggregate
amount of bonds have been drawn
$20.95
.03
Jackson
Andrew
what in his
"controlled de¬
Abraham
Lincoln
Theodore
Roosevelt
85.01 f
—^
15.11
225.89
Wilson
Woodrow
183.24
Herbert Hoover
the reconver¬ 791,966,466, the deficit amount¬
peacetime pro¬ ing to $209,718,695,689. These stu¬
pendous figures for the nearly 12
the problem of re¬ years of Mr. Roosevelt's admin¬
from war to
Taking
up
international trade, the
study added that it "calls first
for the unscrambling of property
rights in the areas of enemy" dom¬
ination and then for measures to
forestall inflation.
In summing
up, Mr. Condliffe observed that,
"in the successive emergencies of
recent years so much stress has
necessarily been laid upon the
regulation of all sorts of prices,
including prices
and exchange
rates, that the more important
necessity of maintaining active
and healthy markets has come to
be forgotten.
The foundation of
prosperity is abundant production
and free interchange, not nicely
regulated equity."
The purpose of the Committee
on International Economic Policy,
which was formed one month ago
in cooperation with the Carnegie
storing
International
Peace is "to further the serious
and competent study of the' is¬
sues
which confront all the free
for
Endowment
peoples of the
by lot for redemption at 100% of
iV
world."
55 Wall Street;
tional City Bank,
N. Y.
tion
"
On and after the redemp¬
date
interest
bonds shall
on
the
drawn
cease.
had
Board
of
Chairman of
Motors
ACF-Brill
the 30 Presidents who served our.
during
country
the
144V2
years
previous to the Roosevelt admin¬
istration.
Living Costs—For the month of
living costs pursued
June
an
ir¬
regular trend. From the National
Industrial
Conference
Board
we
living costs rose in 33
out of 63 industrial cities during
the month of June. These costs
were lower in 23 of the cities sur¬
find that
and remained unchanged
Indianapolis experienced
veyed
in seven.
the largest gain of 1.8%, while.in
three other cities the increase Was
1.0%
or
more.
occurred
cline
The largest de¬
in Newark and
amounted to 1.0%.
June
same
living costs exceeded the/
a year ago in 28 cities
and
Indian¬
month
with
Chattanooga
recording the largest in-1
during the period with
advance of 2.7%, while 33
apolis
creases
an
cities showed declines.
For, the nation as a whole, the
living stands 0.1% higher
cost of
and industry,
will be willing in the failures in the United States de¬
to do business to¬ clined for the period ended July
gether.
Mr. Davis' formula for 27, to 19 from 29 in the previous
this attainment is a basic agree¬ week' and 48 in the correspond-5
ment between the working men
ing week of 1943, Dun & Bradand the employers, both defining street
reports.
A record low of
war
years,
large
Charles J. Hardy,
the
$91,586,076,130, the
of $112,203,367,065
and the deficit of $20,61(7,290,935
representing the fiscal record for
the receipts of
expenditures
than a year ago, and 21.4% above
having learned January, 1941. ..
1 .
make mutual sacrifices in the
Business
Failures — Business
bor
to
istration dwarf into insignificance
Chairman's
WLB
.
Guests Of N. Y. Stock Exch.
study cites that about two-
thirds of the reporting banks
sense
'Concluding, he stated 15 was set in the week ended
his belief that labor
July 13.
Concerns failing with'
industry feel they can ill af¬ liabilities of $5,000 or more num¬
decfvde covered, that about oneto the President, were guests on
ford
a
pitched battle any more in bered 10 'compared to 21 in the
third had made no change and
Aug. 3 at the Exchange of Emil
that none had increased interest
peacetime than they could afford previous week and 33 one year
Schram, President; upon the occa¬ one in wartime.
rates.
1!■'
'T
ago,
.«
sion of the company's shares be¬
"Of every $100 which the re¬
Annual Per Capita Tax—It is
Farm
Machinery
A
ray
of
ing
admitted
to
trading.
The
porting banks had outstanding in
interesting to- compare the per hope
was
afforded farm tool
visitors
witnessed
the
opening
farm real estate loans in
1934,"
transaction in their stock, in com¬ capita tax of President Roose¬ makers in the way of increased
the study found, "about $88 had
velt's administration with some of raw material allocations over the
pany with Julius Bliss, specialist,
been lent at a 6% interest rate.
and after visiting other parts of hjs predecessors,;which reveal the next 12 months, United Business
their
interest
rates
on
farm real estate loans during
the
reduced
study declares:
general chairman is
E. Riley of the Re¬
The
Horace
showed, but by 1943 this had risen
The
follows:
George Washington
Prediction—
the principal amount on Sept. 1,
The hope for industrial peace, "a
1944.
The bonds called for re¬
consummation
devoutly to be
demption
should
be
presented wished," was expressed by Chair¬
with all unmatured interest cou¬ man William H. Davis of the WLB
change in
pons at the head office of the Na¬
this week.
He predicted that la¬
rather than
the de¬
of change in specific prac¬
throughout the district.
!
was found, for example, that
study aimed
Wash¬
Corp., Bloomfield, N. J., and head
of the North Jersey Section.
Dr.
adaption
practices in order
1943.
The
study, made by Phil S. to be of greatest service in fi¬
Eckert, Agricultural Economist for nancing Fourth District agricul¬
the Reserve Bank, is based on a ture."
In addition to pointing to the
detailed examination of the lend¬
by a representative group
the sub¬
be
A number of others
Drawn For
to
of their lending
ing methods and policies
and
Meat
will
vention, which is sponsored by the
North Jersey section of the So¬
search
further
and child in this country
for our national indebted¬
The comparison with other
and prices in
costs
sion
scheduled to speak at the con¬
Dr.
the
in
it will require a pay¬
$1,962 by every man,
administrations
thrown to the
Debt—At
Roosevelt's
pay
ness.
mean
Touching upon the high spots
of the study, it stated "the prin¬
Food Chem-5' duction.
in
off Agriculture,
ington, D. C.
the Russian and the
apparently not great. They
both seem to envisage a world which must sneeze
when three "great powers" take snuff.
between
eration to
of
of
woman
to
President
of
year,
ment
but suggested an or¬
process
study, be called a
control."
' *
ject of O. G. Hankins, U. S. De¬
are
lending
derly
will present a
"Quality
partment
bank
four winds,
"Harvey W. Wiley, the
of American
istry."
subjects.
the decade, 1934-
12th
Federal
Capita
end
4*.
this army
commercial
that all controls be
Corpora¬
Foods
General
of
Per
the
Franklin Roosevelt
1962.00
C.
cipal task of post-war commer¬
Thompson of New York, director cial policy will be to establish
The invisible mortgage of the
of the laboratories of the Borden the
principle and practice of average taxpayer is now increas¬
Co.,
will discuss
"Quality in equal trading opportunity. Heal¬ ing at the rate of $377.14 annually.
Dairy Products." "Visual Aspects thy markets must be recreated The
public debt at the end of
of
Quality Control and Quality and exchanges stabilized in order Herbert Hoofer's administration
Research
with
Beverages
and to secure a high level of employ¬ was
$22,538,672,164, while the of¬
Foods," will be the topic of a ment and decent living stand¬ ficial estimate of the national debt
paper by D. Foster, E. C. Ziegler, ards."
at the encfrof the 1945 fiscal year
and E. H. Scofield, of Joseph E.
The study stressed the point is $2^8yOO0jOOO,OOO. It is also in¬
Seagram & Sons, Inc., of Louis¬ that government policy in the
teresting to note that the receipts
ville, Ky.
period of "controlled decontrol" during President Roosevelt's ad¬
A. L. Winton of Winton Lab¬
should be
definite, since there ministration totaled $160,073,270,oratories, Wilton, Conn., a former will have to be an adjustment of 777 against expenditures of $369,
equipment. It is quite clear that such an army
in some single neutral country
where the IOS is established. In a neutral country
in
Drugs Act,
dent
ed last year
W. Al-
didn't
Condliffe
Mr.
capital tax collect¬
amounted to $335.73,
The actual per
"decontrol is necessary
enterprise is to function."
By
this,
were
Fruits
force?
nical
farmers during
tenure
drich, President of the Chase Na¬
tional Bank, is Chairman, advo¬
by Congress
passage
Food and
the
of
cannot be built up
difference
Policy, of which Winthrop
if
the
1906
in
pian. To counter an aggressor today it is necessary
to have hundreds of all kinds of weapons and tech¬
The
Dr.
will
Only those who think of a new world organization
the same as the League of Nations think in terms of
an international police force.
"Plans for an international police force are Uto¬
President's ideas
comparison to the present rates,
they do not give a correct picture
of the situation as it exists today.
cated that,
counter-aggression.
about
construction, J. B. Condliffe, Pro¬
The sym¬
College, Chairman of the
tain
the
in
rates
N. B.
Pennsylvania State
of
term.
As the tax
early yehrs of his
extremely
low in
his
of
years
abandonment of war
controls in the early stages of re¬
Agricultural
Chemistry.
Food
Guerrant
60 or more Governments.
we
"What
sounding a warning against
In
too hasty an
100th anniversary of
Society's Division of
refined to accom¬
devices were applied and in some respects
these
of war con¬
the conflict
plish a worthy purpose. In their application some were benefited
by them and on others they worked a real hardship. Under the stress
of war personal interests became secondary to the good of the nation
as a whole and this holds true in«
administration cover the entire 12
our return to a peacetime basis.
will commemmorate the fessor of Economics at the Uni¬
the birth of versity of California, in a study
Harvey
W.
Wiley,
"Father of entitled "The International Eco¬
American Food Chemistry," who nomic Outlook," and released on
was
born on Oct. 18, 1844.
The Monday of this week by the Com¬
event will be sponsored
by the mittee of International Economic
posium
great powers.
divided among
11-15,' it is an¬
by Dr. Thomas Midgley,
September
City
These powers must organize the
directive organ of the new organization. They must
take upon themselves the obligation to counter any
aggression and, if necessary, with their own armed
forces independently from other members of the
the
Wiley Memorial
Harvey W.
a
Symposium at the 108th meeting
of the American Chemical Society
which is to be held in New York
leadership of
basis of firm, active
will unite
Science and industry
practical actions toward the establishment of an
International Organization of Safety (IOS).
"The conclusion from all that written above
be built on the
With the advent of victory will come the relaxation
trols on business and industry.
In the early phases of
;
.
Chemical Soc, Meeting
Conference, expressing
of the great democratic powers to take
worked out at the Moscow
the readiness
The State Of Trade
j
Symposium fll
"Special meaning must be given to the 'Declara¬
tion on the Question of All-World Safety/ as
! ?
/
Wiley Memorial
Russo-American Ideas
Thursday, August 10, 1944
CHRONICLE
COMMERCIAL & FINANCIAL
Company;
John
Rovensky, a
E.
director, and L. P. Philp, Assistant
their goals.
that
it
was
and
—
Ten
years
later, the 6% rate ap¬
to about $46 out of
plied
only
every
$100 outstanding.
"In
the
building,
were
entertained at
luncheon.
.
.
were
at rates
of less
estate,
loans
made
to
farmers.
6%, whereas, 10 years ear¬ Other factors discussed in the
lier, less than 2% were at rates study included: The uses, sizes
of less than 6%."
and lengths of loans, loan place¬
Similar reductions in interest ment charges, chattel mortgages
rates were apparent on non-real and minimum charges.
than
George
■.'•
Service
$1.02
Washington
2.42
6.05
Theodore Roosevelt
7.70
Woodrow Wilson
28.58
Herbert
Hoover
23.28
Franklin Roosevelt—^ 101.44
.Andrew Jackson——
1943, 54% of the total real
estate loans
following:
Abraham
Lincoln
—
-
The figures
for Mr.
Roosevelt's!
reported
the V. current
Rapid reduction in the in¬
week.
dustry's output of war equipment
has
called
tion of
for further
civilian
quotas.
liberaliza¬
In addi¬
period of three months'
grace has been provided so that
deficiencies in quotas for the pretion,
a
vious 12 months can be made up.
Volume
160
From the
same
stood
that
level
of
former
Number 4306
ducers
the
income
the
on
ag¬
equipment output, pro¬
assured
were
of
sizable
a
Report Of Rome Owners' Loan Corp. For 1943
high
and
limitations
drastic
ricultural
of
because
& FINANCIAL,CHRONICLE
Collection Of $5,000,000 Fend By 010 Proposed
Accounting to Congress on the. work of the Home Owners' Loan
Corporation up to the end of 1943, John H. Fahey, commissioner of
the Federal Home Loan Bank
Administration, reported on Aug. 5
By Group To Promote Reelection Of Roosevelt
The hope of the Political Action Committee of the
Congress of
Industrial Organizations to collect a dollar each from the
5,000,000 or
more members of the CIO with the view to
using the funds to
fere.
closure
other
and
The
causes.'
Weekly Summary of Trade and marketing of 183,862 of the 197,366
Industry—News • fromthe
war houses acquired
by the Corpora¬
fronts continued to run in favor tion represents the
largest mer¬
/of
the Allies,
but notwithstand¬ chandising task of the kind in the
this, the stock market dis^ nation's history, Other features of
played^ weakness; on a reduced the report are: On Dec! 31, 1943,
ing
Industrial
share volume.
week
witk scheduled; production
of steel
ingots and castings in the
week beginning Aug.. 7, placed at
97.0% of capacity, slightly higher
than in the previous week when
output attained 96.9% of capac¬
ity. Electric kilowatt output also
revealed a slight advance, being
3.9% above the similar week one
to aid home
owners
and financial
institutions from 1933 to 1936; the
loan accounts of the Corporation
have been cut down to
692,000,
or
by 32%— chiefly through pay¬
of
ments
borrowers'
and
••
pur¬
total
A:
*■
of
102,895 loans were
paid off in full during 1943. In
As for net railway operating in¬ alone, total liquidation of HOLC
before interest and rentals, accounts amounted to $200,081,000;
railroads
of
the
sales
during
the
six
months
ef¬
country for the first half of 1944, fected a reduction in the capital
they declined from $712,176,144 to value of real estate owned by
$551,424,141. In the coal industry,
coal output
anthracite
tyas 30,000
HOLC
from
Of
455,077.
$191,289,828 to $96,the .million', home
previous week, but owners refinanced by the Corpora¬
showed a decline of 132,000 tons, tion
all of whom/were .facing
or 9.5% under the same week in loss
of
their
properties when
1943.
Bituminous coal displayed HOLC stepped in with its longa
rise of 3% over the previous term loans at low interest rates
tons above the
—
—
week,
or
increase of 365,000
production slump¬
an
"tons. Crude oil
ed below the level of a week ago,
from the
while lumber shipments
less than
one
out of five have gone
to
foreclosure; the number of em¬
ployees of the Corporation on
Dec.
31, 1943, was 3,241, as com¬
reporting mills for a like pared with 20,811 at the peak of
its
period were better by 1.1%. New
activity. The advices regarding
orders of these mills, however, the report also state:
dipped by 10.6% below output for
"Extensive sales of real estate
the previous week.
Paper and by the Corporation] began in 19.38.
paperboard production also es¬ The HOLC policy was to sell the
505
tablished Wains for the week.
In
the retail trade, department store
dwellings
fair-
as
rapidly as possible at
market
prices,
meanwhile
sales for the nation at large were
earning rental income on them.
unchanged
from
the previous As sold, properties were replaced
week, but reflect an increase of by cash and by purchase money
JL1% ovdr the similar wdsk in 1943, mortgages, the interest income
while in New York City, they ex¬ from
which
served
to
reduce
,
ceeded the 1943 week by
8%, and
losses.
by a like increase for the year
"In recent years foreclosures by
to July 29, 1944. Retail food vol¬ the HOLC have been few and its
ume
also ran ahead of the 1943 unsold real estate has been
largely
week by 10%.
in
certain middle Atlantic
and
Steel Production —The
can
Iron
and
Steel
Ameri¬
Institute an¬
nounced last Monday that
the op¬
England States, where, until
last year, there has been little re¬
in
covery
tons
a
one
year
ago.
the
from
the depression.
property
point of
Suffering a 55%
of
rate
highly favorable news cur¬
rently coming to hand from the
various
war
fronts would, one
low
in
drop
wage
payments and billions of losses in
savings and investments in the
y^qrs from 1929 to 1933, these
States have presented the nation's
greatest urban mortgage problem.
This condition
decline
of
was
more
accentuated
than
in
by
2,000,000
1943.
"In
other
suppose, have
relieving the pressure on many posing of its properties. From 1938
phases of our war production, but to 1941 sales averaged 3,400 a
according to this week's "Iron month. Not until 1942, however,
Age," the steel industry found it¬ did the market in the Northeast¬
self in the tightest delivery sit¬ ern States begin to permit the ab¬
uation
of
any
time since the sorption of houses of the old type
began.
There
was
advance in steel ingot
a
slight
output the
such
-
as
HOLC had taken
over.
"The marked real estate demand
past week, which was more than in that section in 1943 enabled the
offset, the above source states, Corporation to make sales far in
(Continued on page 609)
-
advance of the schedules.
ties
chwoon Named Member
)f Panel Of Arbitrators
John
H.
Schwoon,
Assistant
ecretary of the Guaranty Trust
ompany of New York in its for-
owned
tionally
on
^
Proper¬
HOLC' na¬
by the
June 30, 1943, totalled
^ver
recordings
in
that on a large
houses HOLC recovered
89%*; of
assessed
sales
valuations
compared with
as
on
55%
a
re¬
by 41 private financial in¬
covery
stitutions selling properties in the
same localities at the same time.
"At the year-end, the Corpora¬
tion reported book losses of $293,^
538,781 on the capital value of
properties it has sold, losses which
largely stem from the Corpora¬
tion's*: policy of leniency to bor¬
who eventually had to
foreclosed.
would
be
turned
to
over
'
Mr; Hillman
in
announced
Washington last week that what
left
was
of
the
$700,000 already
raised by the CIO-PAC would be
"frozen" until after Nov. 7, which
led to the assumption that future
fund raising would be left to the
NCPAC.
:
,,
be
its loans, plus rentals of prop¬
erties while in its possession —
on
leaving
date
net realized loss
a
that
on
amounting
to
$92,345,638.
This amounts to 2.6% of the total
of loans made by
the Corporation.
"The prices the Corporation re¬
ceived
the
properties it sold
totalled $49,321,001 less than the
on
amount-it
losses
was
$84,642,795; repairs and
reconditioning, $77,542,422; fore¬
closure costs and
other
expenses,
$26,944,940; unpaid interest, $10,493,692 and management and sell¬
ing costs, $44,035,868. Outside of
these costs,
cidental to
which were chiefly in¬
the carrying and sale
foreclosed
of
houses
in
de¬
a
pressed market, the Corporation's
book
losses
but
6.8%
amount loaned
"Although
in
sales
these
on
of
on
properties
original
the
them.
Hillman
said
today,
Prime Minister
1943
rapid
have
and : 1944
,
..
„
same
months of 1942.
More than
for
"In
view
how the funds
would be raised,
such an announce¬
group
out
should
ment
not
from
come
the
CIO office since other groups are
"represented on this committee.
v
\
Messrs. Hillman and Murray in¬
some of the mystery
dicated that
regarding the relationship of the
two committees might be cleared
up at a national meeting of the
.
NCPAC
Aug. 5
scheduled for New York
6.
They said that an
"outstanding liberal" would be
honorary chairman of th<*
group at this meeting.
or
named
July 24
on
of
conflicting reports regarding the Australian Gov¬
participation in the United Nations Monetary and Financial
ernment
Conference, I wish to make our position quite clear. The Australian
Government accepted the invitation for its officials to take part in
the Conference in accordance witb'o—
the
convenors'
intimation
clear
that
and
tion with me, and his part in the
specific
neither
the
par¬
ticipating Governments
nor
their
by each country, and
proceedings
tribution
was a
do with
being ultimately made
on
"When
public
a
the
the impression that an agreement
being entered into by the
parties to the Conference regard¬
ing the establishment of an Inter¬
Fund
Monetary
and
a
Bank for Reconstruction and De¬
certification that the record
to
which
tached
the
signature
an
was
yet to be sold, and net operating
proceedings.
income should increase."
assurance
proposed
that
Common¬
are
as
formulated
soon
as
at
the
full details
received, and will refer them
Parliament at the earliest op¬
portunity."
form which gave
was
much
proposals
Conference
the Min¬
announcements
a
conclusion did not
probable." The
appear
to
made in
a
wealth Government will give deep
and sympathetic consideration to
pre¬
isterial level.
were
valuable coni
a
evolving
agreement,' riotwithsf&riding
view to any agreement
a
was
to
at times such
liminary to Governments consid¬
ering the work the experts would
correspondingly .less than pre¬
viously estimated because of the
houses
this
Following is text of a statement issued in Canberra
by Australian Prime Minister John Curtin:
a
of
own
Monetary Fund Arid World Bank Proposals
be
number
its
Glarifies/Anstraliaii Position On
velopment, we took steps to define
cently increased book losses,' it our own position.
We were as¬
was
pointed out that such losses sured that the signature of the
next year and thereafter should final act of the Conference would
smaller
being
Philip Murray, President
CIO, said he and Mr. Hill¬
pointing
how¬
re¬
be
will have
;
national
unexpectedly
it
could not say
man
on. officials would enter into any com¬
balance -of the book mitment. The Conference was to
due to taxes and in¬ be confined to the experts selected
surance,
of
A/V;
The NCPAC
of the
originally ,loaned
them;V?The
half
CIO
he said.
ever,
that the CIO-PAC itself
would both collect and spend the
in¬
net
a
of $201,193,143 from interest
come
Mr.
On the offsetting side,
HOLC had accumulated
with
from
regional
the newly formed National Citi¬
zens' Political Action Committee
v
rowers
a
—»
offices.
/ '
.
H
of
some
fund
a
^disclosed
group of
election
separate campaign fund and will
surprise, since it had function .as a separate organiza¬
been generally expected that such tion despite their identical
aims,
Eastern
an
the
contributions
members,
through these voluntary contribu¬
tions,
anannouncement
that
caused
,
.
.
and
.used by the National organization
and half by
local and
:
at¬
was
accurate record of
In the light of that
the leader of the Aus¬
New Treasury Ctf. Offering
In Exchange For Issue
Maturing Aug. 1
The
Secretary of the Treasury
on July 20 an offering,
through
the
Federal
Reserve
Banks, of %% Treasury Certifi¬
announced
of
cates
E-1945,
Indebtedness
of
Series
exchange basis,
par for par, to holders of Treas¬
ury
Certificates of Indebtedness
of Series D-1944, maturing Aug.
1, 1944.
Cash subscriptions will
not be received. The subscription
open on an
.
tralian delegation
ville)
Living Costs In June Up
The
cost
earners
and
of
living
for
wage-
lower-salaried
cler¬
final
of 63 industrial cities surveyed by
the National Industrial
Confer¬
final
in
Board.
ence
nouncement
June
The
of
in
rose
Board's
Aug.
an¬
further
7
stated:
"Living costs were lower in 23
of the cities, and remained un¬
changed in 7 of them.
"The
largest gain, 1.8%, oc¬
curred in Indianapolis.
In three
other cities the increase
or
was
1.0%
The largest decline,
occurred in Newark.
For
more.
the United States
cost of
whole, the
living remained unchanged.
"Living costs
June
as
a
were
higher this
than
in June, 1943, in 28
Chattanooga and Indian¬
apolis recorded the largest in¬
creases during the twelve-month
period .with an advance of 2.7%.
Thirty-three cities showed de¬
cities.
clines, while Lansing and Wausau,
Wisconsin, showed no change for
the year.
The cost of living for
the
United
stands
ago,
0.1%. higher
and
1941."
States
21.4%
as
a
than
above
whole
a
year
January,
act
words. Tor
tion.'
workers
(Mr. L. G. Mel¬
been
the
of certifica¬
purposes
No document other than the
of
act
signed,
has
Conference
the
^
"The position of the Australian
Government, therefore, is that it
has neither accepted nor rejected
the results of the Bretton Woods
Conference.
It has maintained its
view that
a
on
matter of such im¬
decision can be made
after consideration by the
portance
only
books
instructed to sign the
of the Conference, his
was
signature being followed by
33
ical
onf~?^ these, °rii.o%,
13,151, were sold by Dec. 31
nearly double the number it was
possible to dispose of during the
11,000 of these sales were made
department, was elected on in the Northeastern' States. Sales
fly 26 a member of the National in this area have been
helped by
a n e 1
of
Arbitrators
of the
reductions in high tax assessments
merican Arbitration Association,
homas J. Watson, President of
te
International Business Ma¬ pany active in the affairs of the
are
W. R.
rines Corporation, a director of Association
Strelow,
te Guaranty, is a director of the
Vice-President; P. F. Swart, Jrv,
ssociation and Chairman of the Second Vice-President, and A. N.
iter-American Commercial Arbi- Gentes; Second Vice-President, all
ation
Commission.
Other
of- of the Foreign Department of the
Bank.
cers of the Guaranty Trust Comgn
"
'•
'
;
;;
Mr. Hillman said that the CIO-
PAC would direct the expenditure
of
whatever
fund
is
collected
con¬
population there from 1940 to
of
war
back.
Roosevelt
that date to the New York<$
"Herald Tribune," in which it was dollar
further stated:
.
parts of the country
a tendency HOLC made rapid progress in dis¬
'would
taken
President
on
years,
instalment
on
of
- "Prices secured
by HOLC on its to avoid a conflict with the Smithproperties compare favorably with
Connally Act, which bars political
those obtained by private lending
contributions by labor organiza¬
institutions, the report said.
Re¬ tions..
values
*
The
be
was
New
steel companies
(including 94% of the industry)
will be 97.0% of capacity for week
beginning Aug. 7 compared with
96.9% one week ago. This week's
operating rate is equivalent to 1,735,500 tons of steel ingots and
castings compared with 1,704,000
erating
to
State
A
come,
I
sold
were
requirements.
*
Class
four
reelection
..
,
the
the
tracts.'. Only 2% of these have had
cent
,
of
Corporation has been
secure by appeals to local
In
the
sympathetic Congress," was made known by Sidney Hillman, Chair¬
man of the
committee, on July 22, it i& learned from Chicago advices
the
1940-1943, it obtained such reduc¬
tions in the four largest States
there amounting to $34,641;363 and
representing tax, saving^ of $1,206,862. The increased sales ac¬
tivity is continuing in 1944.
A "Nearly. 171,000 of the .houses
marketed to date by the Corpora-
chasers' balance in full ahead of
Carloadings of revenue
freight were; 7,499 cars above a addition, borrowers made advance
week
ago,
or
0.8%, and ,2.8% payments
amounting to $63,025,higher than the 1943 week.
000; during the last half of 1943
year ago.-
;
authorities.
activity the | Corporation
owned
13,504
in; some: instances " reflected £ a houses, equivalent to
only 1.3% of
somewhat higher trend for the the 1,017,821 loans it refinanced lion
^
"pro¬
mote
be
stepped up to equal the more than 93% of the houses it£.1940-1941
level,
unless - parts was obliged to take over in all which
shortages or labor troubles inter¬ parts of the
country through fore¬ able to
v
V
that the HOLC has
liquidated its cumulative total of loans and prop¬
-demand for their regular products
erty investments by nearly 60%—from $3,486,000,000 to a balance of
for some time; As for output, it
$1,434,000,000. The statement also said that the Corporation has sold
.will
603
it is under¬
source
farm
THE COMMERCIAL
Australian Government and Com¬
monwealth Parliament..
closed at the close of
were
business
The
j
dated
July 22.
certificates will be
Aug. 1, 1944, and will bear
new
interest from that date at the rate
of
% of 1%
per
annum,
payable
semi-annually on Feb. 1 and Aug.
.1, 1945. They will mature Aug. 1,
1945.
They will be issued in
bearer form only, with two inter¬
est
attached,
coupons
in
denom¬
inations of $1,000,
$5,000, $10,000,
$100,000
and
$1,000,000.
The
Treasury announcement also said:
"Pursuant to the provisions of
the Public Debt Act of 1941, in¬
terest upon the certificates now
offered shall not have any exemp¬
"Statements implying that Aus¬
tralia had adopted an isolationist
acts
attitude in these monetary discus¬
full
tion,
as
such,
now or
under Federal tax
hereafter enacted. The
sions, and that the Commonwealth
provisions relating to tax¬
ability are set forth in the official
Government's only
circular released today.
utterances
on
the subject have been to dissociate
itself
from" the
Conference'
I
stated
19th,
are
in
1944,
monetary
grievously
decisions
of
the
not warranted. As
Parliament
unless
any
on
July
proposed
agreement ' impinged
upon the interests of
the country in some way, I would
be quite prepared to give the most
sympathetic
Our
consideration
to
it.
representative, Mr. Melville,
has been in constant communica¬
"Subscriptions will be received
at the Federal Reserve Banks and
Branches and at the Treasury
De¬
partment, Washington, and should
be
accompanied by a like face
amount of the maturing certifi¬
cates. Subject to the usual reser¬
vations,
all subscriptions will be
alloted in full.
"There
are now
545,392,000
of
certificates."
outstanding $2,-
the
Series
D-1944
& FINANCIAL
THE COMMERCIAL
604
H8!™3' eily Ban)^ Points; To Large Foreisn
The Financial Situation
!
(Continued from first
';
page)
' .*
Thursday, August 10, 1944
CHRONICLE
and do, come
very
nearly "making or
breaking" their employers.
country
'
<
.
can,
(Continued from first page)
4
.
the various i over. Here it is that the Adrepresent purchasing power avail- • the requirements for pounds
tricks devised by the dream- ministration is weakest of all. If in the post-war period re¬ able for use anywhere.
While sterling, Australian pounds, Chi¬
nese
dollars, and Indian rupees
ers for the ostensible purpose! The Republicans have not as turning service men and war people
are aware that
we are
and the others, of spending huge sums of money have assunied large proportions.
of helping to bring such a yet been particularly explicit workers
It
was
estimated some time ago
abroad
in
the
conduct
of
the
war,
about this aspect of the mat¬ course—insist that the world
state of affairs about are cer¬
it is not generally realized how that our troops in Australia were
ter. Indeed one at times gains owes them a living for a rela¬
the contrary
on
—
precisely the op¬
tain to have
posite effect.
.
Many of us need to learn,
at least to realize, that the
economic conditions we have
set as a sort of post-war goal
for ourselves will be reached,
or
all, through the energy,
the initiative, and the "know
how" of American industry.
It has become quite common
for some who ought to know
if at
better to
say
rather pontifi-
cally that American industry
"on trial," that it "must"
is
virtually
give employment to
these
definite
the
opposition if he were
who wants it—or
more certain that there was
"they" will take matters in
less of the New Deal in the
their own hands, and either
present day Republican sys¬
through existing government
tem.
or by some other means pro¬
every one
vide that which
American in¬
dustry has not provided.
What utter nonsense! It may
Old Socialist Doctrines
There
is, however, an as¬
the'
with the aid and sup¬
port of the day dreamers and
the communistic labor lead¬
gogue
will
day be able to
convince enough of the voters
of the country to launch upon
horribly expensive programs
for which all things are prom¬
ised. If so, however, nothing
ers
could
some
be
more
certain
that it will be found
ful
than
by pain¬
experience that such
schemes, such programs, the
communistic
state,
or
what¬
is tried will fail much
more
miserably than Amer¬
ican industry ever did to meet
ever
demands
the
tented.
It
can,
harm to
no
of
the
discon¬
however, do
do whatever ap¬
pears feasible to make certain
that the people understand
the true inwardness of all this
and thus escape
ing
which
much suffer¬
otherwise would
a
Chance!
must
furthermore
home
lied forces
different
in Egypt alone. Though the
expenditures of ours troops have
comprised but a minor share of
the Egyptian total, they have fig¬
ured large in French North Af¬
rica and have furnished foreign
exchange for the Caisse
to
The economic status
war
$14 billion.
service
of the
ments in this
and
man
in the post-war
worker
will in no small meas
depend upon himself. Are
there
no
politicians coura¬
years
ure
As
our
country.
advanced,
effort
war
Centrale
in 1941
de la France Libre, set up
billion in direct and other invest¬
one.
estimated to have
year
Besides these funds,
ner
foreigners were estimated to hold
afford to pay them even more in 1941 some $3 billion in our
—then the story will be quite stocks and bonds, and some $3.5
a
campaign, the Al¬
are
spent in excess of $400 million a
probably in excess of
were
At the height of the
monwealth.
North African
payments
to
foreign
countries
rose rapidly.
Imports of strategic
the liberated French ter¬
serve
The heavy expenditures
ritories.
troops in India have been
of
our
an
important source of dollars for
sterling area exchange pool
the
maintained in London.
this
all
of
effect
The
to
was
pile up dollars in the hands of
foreigners, which, in the absence
of available
goods, have either
been allowed to accumulate in the
deposits
bank
of
form
in
this
used for
As indicated
materials, for which we paid cash, purchase of gold.
increased tremendously, while by the table, foreign countries in
country
have
or
been
"cash"
(as
exports
shipments)
lend-lease
from
Norway Makes Final
.
\
-
v>
•
/
,
■.
.
___
-
"Mr.
other "ists" who
throw
would
the system
made America
over¬
which has
great.
Of course, those
been arguing in this
have been able to point
to
the thousands who in
the
Morgenstierne was accom¬
Ole
Keilhau,
and Arne Skaug.
"Both
on
Colbjornsen
Total
inception."
arts
Fox Heads Retail Dry
the
was
and
late
long associated
R. Young
Harold
head of the
Association's
Washington Bureau, will now be
the executive head of that office
"and will be reinforced by suit¬
able
additional
personnel
as
During compelled to accept "respon¬ promptly as the necessary ar¬
the past decade the rules un¬ sibility" for providing work rangements can be made," it was
announced on July 17 by Lew
der which the game of busi¬ for all:.who want it — as if
Hahn, general manager of the As¬
ness is
there
were
any
"economic sociation.
'
played in this country
have been radically modified. system" wholly apart from
; Kenneth Mages, CPA, attached
These modifications make it the very people who, accord¬ to the Detroit office of Ernst &
Ernst for the past four years, is
the more difficult for Amer¬ ing to these doctrines, must
joining the Controllers' Congress
ican industry to perform the be supported by it. But nat¬ of the National Retail Dry Goods
tasks demanded of it. Dras¬ ural or not, it is unfortunate Association on Aug. 1, it was made
known by Mr. Hahn.
Mr. Mages
tic alterations, usually in the for these individuals to obtain
was originally engaged as assist¬
direction of restoring the sit¬ any such false impression.
ant to the general manager of the
uation existing before the
Congress, but inasmuch as H. I.
Must Help Himself
Kleinhaus, who has held the gen-.
New Deal was instituted in
Government bureaus.
.
of
and
side
Irving C. Fox, General Counsel
for the National Retail Dry Goods
who
End of 1942
End of 1943
June 1944
$11,840
3,990
$13,480
' 5,150
$14,670
3,500
$14,250
$15,830
$18,630
$20,600
Enii of 1941
in U. S
the
'
first quarter figures.
(Estimated newly-produced gold
and Russia, less adjustment for annual use of gold in
Jlncludes short-term securities owned.
of
basis
on
industries.
this
country
may
come
to
around
a third larger than the total world
gold stocks as late as 1934, valued
in old dollars.
Counting in also
foreign-owned banking funds in
this country, the aggregate for¬
eign-owned gold and dollar bal¬
ances may reach $22 billion, with
well
over
likelihood
$15 billion,
or
of money overseas
prosecuting the war.
At the
time her exports have been
same
so that the balance of
payments has turned heavily
against her—to the extent cur¬
rently of about $2% billion a year,
notwithstanding lend - lease aid
curtailed,
the
from
United
contributions
the
in
was
figures
do not in¬
deficits by
foreign - owned
American
securities and direct investments.
States
by Canada.
beginning
enabled
increase in
clude
Great
and
the
While
Britain
to meet these trade
shipments of gold and
repatriation of British-owned for¬
eign securities, more recently the
I, to¬ depletion of these resources has
limited such means of payment.
foreign-owned gold and short-
In
tal
out huge sums
•in
of further
These
1945.
, ,
*5,930
United States
Thus, by the end of this year
the total gold stocks owned out¬
Goods Ass'n Office
with
U. S
_______
"■Estimated
outside
Association,
of
tForeign banking funds
;;
, .,;
,
_tv.$M,750
;
outside
held
Gold
quoted
York Stock Exchange
the New
since their
FOREIGN GOLD AND SHORT-TERM
DOLLARS 'RESOURCES
APPROXIMATE STATUS
...
bonds have been
81,970
$2,800
$1,580
panied by members of the Nor¬
wegian delegation to the recent
Bretton Woods conference, Wilhelm
who have
be early days of the. great de¬
during the pression walked the streets in
months
immediately ahead vain effort to find work. It is
that if American industry is quite natural that many - of
to succeed
in bringing into these men and women should
existence after the war eco¬ be rather easy victims of the
nomic conditions which we wholly unfounded idea that
all want, it must be given a those who work for others
real opportunity to operate are wholly helpless in our
free from badgering and con¬ modern economic system,
stant nagging by dozens of which must in some way be
It
hammered
lion
Payment On 1924 Loan
way
Give Business
funds
spending something like $200 mil¬
a year for goods and services,
over and above reciprocal lendlease aid received from the Com¬
building
are
1942 acquired in this country some
distinguished
fell $630 million of gold and banking
off as we converted to war pro¬ funds, of which $140 million rep¬
geous enough to tell him so?
resented gold and the balance of
duction, thus turning the "cash"
balance of trade against us.
The $490 million an increase in bank
v
*„ ■
building and securing of naval deposits.
work or other opportunity to
The next year, 1943, some $840
and
air
communication
lines
million
of
U.
S.
gold, plus around
make a living will depend in
added ,,to
the
flow
of dollars
abroad, as did funds lent to for¬ $1,160 million of U. S.; banking
very large measure upon him¬
In an informal meeting in the
funds —or roughly $2 billion —
eign countries, particularly Latin
self. To hear most of the dis¬
Board of Directors' room of The
was apparently added to foreignAmerica, with a view to increas¬
cussion these days one would National City Bank of New York,
held resources.
During the first
ing the output of goods for war
suppose that The seeker after on July: 3b Wm. Gage Brady, and to replace products lost to> us half of 1944 alone, the total-added
President of the bank, received
work is inevitably ensnared
by
the
Japanese
conquest of probably exceeded $1.5 billfoiy'or
the final payment on Norway's
an annual rate of over $3 billion/
Southeastern Asia.
in such a way that he can do
20-year
$25,000,000 loan from
More recently the growth of our Practically all the new gold pro¬
nothing to help himself—and Ambassador Wilhelm Morgen- armed forces has been an added duction outside the United States
Norway arranged two
being
retained
abroad,
an
nothing to injure his oppor¬ stierne.
factor
in overseas expenditures, is
6% loans in 1923 and 1924, both more than
offsetting a tapering amount for the past two and a
tunity for work or profit.
due in 20 years.
The first, for off
in, some of the earlier types of half years totaling well over $2
There is great danger that
$20,000,000 was paid off a year overseas payments. With several billion, exclusive of the Russian
this false idea will gam wider ago. The total repaid on the two
million American soldiers abroad, output not reported.
and wider acceptance among loans since the Nazi invasion of
INCREASE IN GOLD AND SHORT-TERM DOLLAR RESOURCES OUTSIDE
.
the unthinking—with results Norway in Apr. of 1940 is about
OP THE UNITED STATES 'SINCE 1941,
>
$16,000,000, in addition to interest
little if any short of disaster.
(In Millions of Dollars)
payments. Noting that the repay¬
Pull year
Full Year
Half Year
Some such doctrine generally ment took place despite enemy
■.
1942
'
v-' 1943
*
1944 Decline
in
U.
S.
gold
stocks
$10
$790
$770
applied has long been the occupation of Norway's homeland,
:
130
/ 50
20 . >
the New York "Herald Tribune" Loss of U. S. newly-mined gold
stock in trade of the social¬
Increase in foreign banking funds in U. S
490
1,160
O780
of Aug. 1, said:
tNewly-mined gold retained abroad
950
800
400
ists, communists, and many
for years
be their lot.
perform in such a man¬
that their employers can
and to
returning
majority of the pect of all this neither Demo¬
crats nor Republicans have
people may pres¬
shown fondness for discuss¬
ently become so foolish as to
ing. It is this: Whether or not
try some such "experiment."
the returning service man or
It may be that some dema¬
war worker is able
to find
that
be
American
expenditures
impression that tively few hours of work each up the gold and dollar exchange
they believe in far fewer week, and for work done care¬ reserves of countries outside of
modifications and far le ss lessly or slowly, it will be the United States.
When we entered the war at
drastic change in all this than that much more difficult for
the end of 1941, the total revealed
would be good for the coun¬ them all to find opportunities
monetary gold stocks of the rest
try. We can only hope that either to work for wages or of the world came close to $8%
such impressions derive from salaries or to make a profit in billion, of which about one-fourth
was
held under earmark in this
the fact that the party has business for themselves. If on
country.
It was estimated, prob¬
not as yet taken the oppor¬ the other hand, the near-mir¬
ably conservatively, that some $2
tunity to make fully clear acle should happen, and what billion additional gold was held in
what its position is in regard is known rather vaguely as various undisclosed government
and central bank accounts.
In¬
to these matters. The thought¬ "labor" should under its own
cluding bank deposits and shortful man would,, it seems to us, leaders bestir themselves seri¬
term investments in this country
turn with much more enthu¬
ously, sincerely, and vigor¬ of about $3.5 billion, total foreignsiasm from the New Deal to ously to earn their pay in full, owned gold and dollar banking
the
"
1919, after World War
term dollar balances
amounted to
Growth
Holdings
of Sterling
tional
war
source
of
balances
in
the form of sterling
in London.
size
The
interna¬
purchasing power for post¬
and rapidly
lies in the large
have
cumulate
of Foreign
second
A
accruing to foreign coun¬
been allowed to ac¬
Funds
tries
only, about $5 billion.
of
these
sterling
ac¬
cumulations has been a matter of
much
Two months
published estimates, based
incomplete reports, that the
speculation.
ago we
on
sterling bal¬
total would reach at least $8 bil¬
^The story of the
lion at the end of this year, and
rise of these balances is similar
Lord Keynes has
to that of the growth of .foreign- subsequently
rnanaorp]r»pnt onst for several
nlaced the probable total at $12
Leaving all else out of con¬
Washington, are a sine qua
owned holdings of gold and dolyears, is leaving, Mr. Mages will
billion—owed largely to sterling
non
of full performance by sideration it is obviously a assume. for the time being, the lars.
Great B r i t a i n , like the
area countries, particularly India.
industry when the war is fact that the men who draw responsibilities of acting manager. * United States, has been pouring
growing volume of
ances
in London.
Volume
Number 4306
"
THE COMMERCIAL & FINANCIAL CHRONICLE
of refugee funds from other
parts
Unlike gold and dollar assets
;
which
free
'
160
usable
are
of
anywhere—the
convertibility of these huge
Disclosed
sterling'balances is currently lim-,
to the pound sterling area.
Their use elsewhere is subject to
Gold; and
Reserves
t
Foreign
J.T,
"of
Certain
extent
he
up
'•*
ternational
accounts
$549
$668
308
223
Sweden
Portugal
she
$824
;
be
161
is
large
credit
part
735
734
241
313
61
61
61
44
and
whose
.
/■'
z 44
24
V
24
24
Bulgaria
24
24
>7 25
;7 25
•7-Vf;.7.vV.'/1--. -Vf-v,
—
Portugal
' '-•*
$158
77
199
131
'
145
31
189
3681
483
1
$190
Nor
in
services
the
Some
of
$546
$513
supplies
freed people
armies
have
post-war
of
able
to
the
United
Na¬
gold
1943.,
Altogether the' 12 Conti¬
nental
countries
'covered
bilization
of
providing
struction
be
z~
that
7'/:77
of
,•
spectacle of Sumner Welles'
con¬
tinued
Hull
feuding with Hull.
Welles is
an
and
the
the
most
part,
article entitled "Capital
Is Made at
Home," by Dr. L. Al¬
Oh
source
old friend of Roose¬
was
the
a
In the
Continental Europe
of
there are
pening
few countries that have not been
from
beneficiaries
U. S; and British
of
U. S.
spending.
spending has- been particularly
heavy in Latin America, result¬
ing in approximately a three-fold
expansion of Latin American gold
and v dollar
resources^ between
1939 and the end of 1943. > Re¬
vealed Latin American gold and
foreign exchange, chiefly dollars,
increased from about $900 million
$3 billion over the period,
probably reached around $3.5
billion by the middle of 1944.
to
some
and
Reference
-
has
been
made
al¬
to the heavy spending by
the U. S. in North Africa, which
ready
supplied dollars for Free
use, and to expenditures
in India and Australia from which
dollars have fldwed into the ster¬
has
world-wide scale is in
analogous to what has
happening in this country
been
as
ditures
our
enormous
war
expen¬
at.
horne t are
putting
into the hands of the peo¬
money
is also being spent in the
though the major in¬
of foreign funds- into that
money
flux
can't
spent
be¬
tremendous
of
goods, so the
outpouring of Amer¬
ican and British money abroad at
time of
goods scarcity is build¬
huge- dollar and sterling
against future production.
With many countries the problem
after the war is not going to be
the supplying of more purchasing
power, through additional credit,
but rather the supplying of goods
a
ing
up
claims
the
stem
to
ments
inflationary
move¬
already under way in those
It; is well to: recall the
areas.
inflation
serious
broke
that
out
immediately following World War
I
all
similar
for
world
the
over
of
ince
either
Fund
Monetary
Reconstruction
the
International
or
the Bank for
proposed,
now
as
and to the liberated territories
on
and
and*others in central and eastern
fold since
-1939 due to favorable trade bal¬
Europe whose capacity, for capital
absorption and repayment of
exchange reserves of Turkey
ances, and in the case of Iran par¬
ticularly, due to heavy expendi¬
tures of-United Nations forces in
-that country.
,
,
,
-
the Continent of Eu¬
a number of countries have
able to add substantially to
Even on
rope
been
their monetary reserves, as
shown
amounts
borrowed- is
the best and after the
limited
-
at
will be
war
intimately bound- up with what
happens to Germany.
Russia,
China, and some others, of course,
will
be ;V wanting / capitalboth
for
reoair
of
damage
and
development, but spread
over
war
period and to
certain extent
a
This is true
available through normal
chan¬
holdings of the ;neunels if the prospects of repayment
trols, Switzerland, Sweden; Por¬
are promising.
This prospect de¬
tugal and Spain.' Portugal in ad¬
dition has accumulated a further pends on the two-way flow of
trade as well as on domestic pol¬
reserve equivalent to almost $500
icies.
/>,'
.V,;.
\
million, consisting of gold abroad.
;pound sterling and* unspecified -, So far as western Continental
•other foreign exchange.- Switzer¬ Europe is concerned, the facts as
land's gold reserve approached by to gold holdings and foreign ex¬
of
the gold
the old
was
all alone.
doubtless reflecting in part
billion,
change .assets
inflow
for themselves.
$4 billion spend-lend bill. Con¬
man
was
not to be
New
nied.
facts it really
gets our goat to hear Mr. Roose¬
velt
speak of "ostriches," those
people who were blind to what
taken
was
Bluntly, it
going
while
was
Mr. Roosevelt had
there;
' "
' *
was
so
a
feud¬
He insist¬
keeping his friend Welles
•
The Europeans knew what
was
going on and the French and
British governments knew
nothing
better to do than to let i-hem
go
on
because they- were told that
we
are
home
small- part was needed for such
"
he
ing State Department.
ed upon
really
and
in their
purposes.
while
on
farseeing.* The foreign correspon¬
dents were
screaming about the
"day to day events" and all the
belief of the New Dealers that
a
-
In view of these
policy was that of
Deal, widely advertised
all the world.
left 10 million persons
was de-
seven years
When
And Welles'
the
to
bert
If: the
/ •"
sons
going
places
that they could
own
at
"stew
juice."
American /mothers
scattered all
now
over
of
the
globe do not know that this capriIn other words,
according to
this; testimony, it was mainly by ciousness has a pronounced bear¬
the hard work and saving of the ing on their sons' plight they are
seriously misinformed. But they
was
most familiar.
Speaking of German people themselves that
are
being propagandized to the
the stabilization of the reichsmark Germany
accomplished her re¬
effect that it is really all their
in 1923 he says:*,.";"'
covery during the '20s.
\
\;r; >!; V"
fault, theirs and the Republicans,
The; lesson is worth pondering because
Nor was it7thrdugh foreign
they repudiated the other
now when there is so much em¬
foreign loans that the budget
"progressive" some 20 years ago.
phasis
being placed upon interna¬ We mustn't
and currency were stabilized in
make that
mistake
tional ; credits.
As
Dr.
Hahn
the fall of 1923. -The stabiliza¬
again, we've got to hold onto these
pointed
out,
currency
stabiliza¬
tion was achieved, through, the
Vworld minded" fellows who know
tion is very largely a matter of
7 rentenmark/zcredit, granted to
sound internal financial and credit the European leaders and our own
the:Reich and to industry and
policies. likewise, the production generals and admirals, and who
agriculture in the amount of
of food for the people and re¬
will ; give us some "world ma¬
2,070 million marks, and raised
building of factories and cities
by the issuance of new mark
chinery." We had ambassadors in
must, from the very nature of the
./ bills.
The latter were .really
all of those countries.
They were
case, be mainly a home job. Some
*; nothing but .the old mark bills.
of food, raw materials, appointed by FD;r If they didn't
That they were covered by a imports
and special equipment into the
constitute "world machinery" we
mortgage on industry and agri¬
liberated areas will certainly be
culture
was
pure
fi c t i o n
would like to know what we paid
needed, but on the whole the bur¬
Nevertheless, the mere idea that
dens of reconstruction during the them for. There were some cards
they were covered was enough
first critical years of peace have in this "world
machinery," too—
to reduce the velocity of the
to be carried by the people them¬
adventurous Bill Bullitt and So¬
money in circulation, and thereselves in the regions concerned.
; fore had the effect of an incialite,
Tony
Biddle 'and
Joe
This is
true for two
reasons—
4 ternal loan granted by the hold¬
Davies.
first, because it will be good pol¬
ers of the bills.
Suddenly bil¬
lions of marks in savings were icy to do as much at home as
possible to keep the industries
available, and thereby billions
of marks of capital. Capital had busy and the people employed;
again been produced by a mere and, second, because of the pros¬
shift in consumption habits. Q pect that for a considerable time
to come there won't be enough
The Secretary of the Treasury
As to the part played in Ger¬ outside
goods of the kind wanted
announced on
Aug. 8 that the
man
reconstruction by the heavy to
go around.
tenders for $1,200,000,000, or there¬
inflow
of
foreigncredits after
Apart from any question of abouts, of 91-day
Treasury bills
1924, Dr. Hahn comments as fol¬
credit, countries are going to be to be dated Aug. 10 and to mature
lows;
forced, willy-nilly, to work out a Nov. 9, 1944, which were offered
From
1924
to
1931
foreign large share of their own salva¬ on
Aug. 4, were opened at the
loans poured into Germany in tion or be a
long while restoring Federal Reserve Banks on Aug. 7.
the
huge amounts mentioned their economies and getting their
The details of this issue are as
above. ; But whether they ac¬ people back to work.
follows:
tually
augmented ; Germany's
To sum it all up, the post-war
Total applied for, $2,001,061,000.
productive capacity is open to needs for
funds, for relief, for re¬ Total accepted, $1,210,910,000 (in¬
question.
Her balance of paycludes
construction,
for
development,
$60,643,000 entered on a
i ments raises some doubts.
Of
and
for
currency ' stabilization fixed price basis at 99.905 and ac¬
the net capital import of 17.3
cover, it is true,
a wide range cepted in full); '
billion .marks, from 1924 to 1930,
geographically and in type of
Average price 99.905, equivalent
only 2.4 billion was used to buy funds needed; We should do
well, rate of discount approximately
merchandise; the remainder was
>
' however, to recognize that a sub¬ 0.375% per annum.
spent on the transfer of interest stantial
Range of accepted competitive
part of the funds needed
payments (2.7 billion marks), for this
.soin; :
process is already in the bids: *
7 ■
on,, reparations'>.(10.1
billion) hands of most countries in the
High, 99.910,tequivalent rate of
and for the import of gold and
form of gold and dollar and ster¬ discount
approximately
0.356%
foreign currency (2.1 billion)., ling i: balances and,
furthermore, per annum. •'
/ : Thus only a relatively small much of the capital needed for
Low, 99.905, eauivalent rate ol
part of -the gigantic capital in¬ reconstruction
and
development discount
approximately
0.376%
•
the war, and reviews the condi¬
tions of the recovery after World
War I in Germany,-, with which he
■
.
-
.
Results Of
Bill
h'
Mi
'I
,
)
Treasury
Offering
.
.
•
.
•
•'
flux
--
7
4
■
*1;
Herbert
.••
;
fc
above -soeakI
cited
)
4
1
'
H.
•
■;
if
,1
f '■ XJ
.
for
purposes,
therefore conclude
-
*66
West
,
really pro¬ is available inside the borders of
and we may these countries through the proc¬
.
that only
Twelfth
St.,
*
a
New
Leh-«York 11, N. y.
.
_
used
was
ductive
.
the end of 1943 almost $1
priming
,
for
a
by the table below..
pump
•
lack
of
cause
region has been in sterling.
the Continent.
.As to the latter,
Egypt's sterling holdings are esti¬
the real "problem cases" are like¬
mated at the equivalent of about
$1 billion.
The gold and foreign ly to be such countries as Italy
Iran have risen several
at
made in the fall of 1939 when
President sought passage of
•
which, they
ple
even less powerful causes.
partial offset to the volume of
!oin; short, the answer to the
sterling liabilities. In the case of
India, a portion of the dollars ac¬ question, who needs the money?
comes
down mainly to -Great
cruing from U;S. expenditures is
now being set aside in
a special Britain, whose special problems
in connection with sterling liabili¬
fund for use by that country for
ties is, however, outside the prov¬
post - war
development.
U. S.
Near East,
Twenty-five
unemployed. The request
war,
,
Just
French
ling area exchange fund: in Lon*
don
where
they
constitute
a
on a
many ways
flood
the
program.,
New Deal he
In;'appraising the significance
,:
In this artcile Dr.; Hahn chal¬
;
goldj dollar and sterling gold and realizable foreign ex
lenges the thesis that Europe will
/
change
to
take
care
of
their
im¬
need
holdings,^;a great- deal depends
large capital imports after
many
countries have far more
than enough. What has been hap¬
became
gress and the people were fed up
on
pump
priming which after
this
Most countries have enough
mediate needs after the war,; and
Roosevelt
tragic years leading up
Hull was trying la¬
boriously to do something about
those "day to day events." In the
to
of world
'upon how they are distributed.
The fact is'that outside the area
Mr.
yes,
One last effort
been
,
*
again
priming a pump that wouldn't be
primed because of the accompany¬
ing agitation against business, in¬
dustry and management generally;
*
few.
that
one
billion dollars had been
spent in
,
;
the
complete collapse of the so-called
interna¬
of
to
domestic
Hahn, former German banker
table held at the end of 1943 over
"wily" European politicians had
and economist, that appeared in
diverted that "other great Pro¬
$5 billion of gold alone, of which
the
May 1944 issue of "Social Re¬
tional /friction, but' might ' con¬
French and Swiss gold accounted
gressive,"' Woodrow Wilson, from
search/'- a quarterly published by his
tribute more rtowards: world re*
domestic program, v but these
fpr* about three-fifths. • ^ V ^:
the Graduate Faculty ;of Political
cbvejry'/thai^- anyur other financial
"wily" politicians would never be
and
Social/
Science
of
the
New
fetep that could be taken. ■;:/ ,"*r/7Vv
able to divert; FD, do whatever
Who Needs the' Money?'
■
School for Social Research,*
in they
might in Europe. The favor¬
Distribution of Gold and Exchange
The met: of this showing is that cooperation with "the Institute of
ite New Deal expression was that
77 7: 7' '
the "poor" countries are relatively World Affairs.
:
Assets •
Id^n^t' only /;eliminate',a
troublesome
Roosevelt, thrived,
Germany from
which he built
utterly impoverished, harmless
very much concerned in Europe
after Munich. And it so
happens
that this was coincident with the
and
Welles went to Groton
together.
at
is the main point of
on
power
on
of
capital for recon¬ seriously,
that
Sumner
Welles
things that have to really spoke the President's
policy.
for
This
a; timely
currencies
are
done,
home,
the
by
matter
Yet another point in the discus¬ he said
anything to a European
sion
of
international
credit, in government,
that
government's
danger of being overlooked, is ambassador in
Washington right¬
that in the final analysis the sta¬
fully informed his head office that
very
to the end of
reserves up
the
to
broke loose.
.;
gold holdings abroad
which, together with considerable
its
areas
military govern¬
Capital Is Made at Home
.
substantial
Anything
under their
ment." : ;.v:-:v:x: v;:
resources.
conserve
in
England, of the velt's; their families have
Dominions, of Russia — life long friends; Roosevelt
similarly provide for the relief of
of
been
Dealers
foreign policy
coming
an
nation
•,
of
people of the liberated
occupied countries
monetary
7'
irresponsibility of the
finally succeeded in getting him
territories
British
$647
them, including France,
the Netherlands, and Belgium
plenty.
European affairs, is'being dra¬
matically portrayed today in the
billion .dollars
bringing
to
tions—those
are
the
are
devoid
that could be
done to unlock the buying power
contained in these sterling funds
woii
our
Hitler,
coincident with
,
.
are
temporarily out of the State Department sev¬
military government of eral months ago after their feud
the United States forces," he said. had
kept the department in tur¬
"The supply arrangements of the moil for some ten
tragic years.
$14$19
boils
down to
balances./ Counting dollar
balances, were impounded
these along with the gold and dol-*
at uie time ot tne invasion.
Rou¬
lars; owned outside the United mania, one of the few countries
States, the potential' purchasing able
to
cash
its
reichsmarks
power represented is truly enor¬ claims for
gold, more than doubled
-
half
a
used
other
$82
^
Total
problem
mous.
t
under the
.***•;'•".•;/*
•
over
be
a
New
'
these sterling
'
to
$5,205 $4,669 $4,950 $5,304
Sweden
goods.
the
•
_
The utter
'
734
182
56
44
Rescrvcrs
British will
of
aside
United
152
i
Switzerland
the very fact
of so much money being tied up
in sterling should help towards
this ohip^tive by inducing pur¬
A
appropriation alone for 1945 sets
53
exports,.*and
chase of British,
500
24
make strenuous efforts to increase
their
91
2,000
609
Total
international trade situation.
Undoubtedly the
42
506
.,
were
the."whole -story.
"The
States; War
Department
2,000
Foreign Exchange
but'should not be disre¬
garded as an element in the post¬
fair,
this
42
■
Hungary
of her international
af¬
for
575
.
transactions may be a lengthy
fund
goods" provided by UNRRA. Nor
2,000
CzechoslovakiaDenmark
international
384
692
Belgium.
Roumania
114
the
on
$964
334
2,709
Netherlands «_'■
Their repayment by Britain from
war
f
was
which
:
r
92
.
France
able, in the normal course, to re¬
lease these funds for use by their
owners
in' current
operations.
the proceeds
29
Spain
is able
will
This
Ahead Of The News
listed
land and
1943
Switzerland
surplus dn her in¬
a
the European politicians "can stew
in their own juice."
;
■'
Gold
Only to the
Great Britain
that
build
to
Washington
significance of these assets when
Exchange
Continental
European Countries *
*
post-war problems.
From
,
foreign exchange control by London.' The ultimate disposition of
these balances is one of the major
.
man,c director general of UNRRA,
in a recent address,
recognized the
*: V;
France, Belgium, Hol¬
Norway as among coun¬
■.
■
•,
tries having foreign exchange re¬
(In Millions 6f Dollars)
(Continued from first page)
7^777'
——End of Year
sources that "will levy but
day
by
day events of which there
lightly
1939
1941
1942
Holdings
^
ited
7
Europe:^
605
ess
of self generation. It is against
these facts that various plans for
additional credit instrumentalities
need to be
•
j'
[
/, r
;•
C
'»
M
••
TV.C-
,V; v'.'1'it
weighed.-
*
*
•«,* *
'
per annum.
.
-
(54%
••
of the amount bid for at
the low price was accepted.)
•
-
There
was a
maturity of
lar issue of bills
amount of
on
a
v
simi¬
Aug. 10 in the
$1,206,949,000.
-
■
Of January Budget Estimates
Issued By Budget Director At President's Order
Revised Report
to 'the category
held
is
waste
justments
unavoidable minimum.
issued
on
in the form tive branch. The cumulative re¬
payments sometimes sults of these / efforts are i indi¬
precede completion and delivery cated by the last column of the
of the goods. They lag consider¬ following table:
Cash expenditures
of
advance
.
Aug. 2
outstanding
expenditure for the United Na¬ amounted to $94,000,000,000, for
For the fiscal year ending
tions
Relief
and
Rehabilitation
which cash must be paid unless
June 30, 1945
Administration.
contracts are canceled or obliga¬
War expenditure
estimates of tions reduced by renegotiation.
The Program for the Fiscal Year
1945:
previous years have been based
In calling for estimates for the
on the assumption that practically'
THE WAR PROGRAM
fiscal year 1946, the Bureau of the
all available resources were to be
For the last four critical years
Budget has requested the agencies
used for meeting war needs, giv¬ to submit estimates of their needs
and the one ahead the Congress
ing
second
call
to
civilian
require¬
under
various assumptions, namely,
has appropriated and authorized
ments. This year's estimates are continuation of the war on all
a
defense and war program of
influenced by the hope that the fronts, the end of hostilities in one
393 billion dollars. Of this amount,
liberation of Europe may be ac¬ of the theatres of war, or the end
294 billion dollars, or about threecomplished before the end of the of hostilities on all fronts during
fourths, had been translated into
fiscal year 1945, while the Japa¬ the next fiscal year. In our plan¬
war
contracts and other obliga¬
nese phase of the war is assumed
ning we must be prepared for war
tions and commitments by June
to continue all through the fiscal as well as for partial or total de¬
30, the end of the fiscal ye*r 194A
Actual cash expenditures through year and beyond. The end of hos¬ mobilization.
tilities in Europe should enable
June 30, 1944, amounted to 200
APPROPRIATIONS AND EX->
us
to cut back many war con¬
billion dollars for pay and sub¬
PENDITURES FOR OTHER
payments will
sistence of the armed forces, for tracts, »but cash
THAN DIRECT WAR
decline only with a considerable
building and equipping hundreds
PURPOSES
time lag.
Particularly, expendi¬
of war plants and shipyards, for
tures for pay and subsistence, in¬
Appropriations for the Fiscal
acquisition of 200,000 planes, for
Year 1945
construction of hundreds of war¬ cluding mustering-out pay, will
remain at a high level all through
ships and thousands of transports
Total 1945 appropriations for all
the fiscal year.
and other water craft, and for
War
expenditures
in
recent except direct war purposes are
the
manufacture
of the many
in general
months have been running at an 9,847 million dollars
other weapons needed
in total
and special accounts. The largest
annual rate of about $93,000,000,and global war.
single item in this category is
For
the fiscal year
1945 the 000; thus a $90,000,000,000 estimate 3,750 million dollars of interest
for the whole fiscal year implies
on the public debt.
Congress has made available for
The total in¬
decline
in
war
expenditures
war
obligations in general and
cludes also 589 million dollars in a
during the latter part of the fiscal
special accounts 94.3 billion dol¬
permanent appropriation for stat¬
year.
These estimates
are,
of
lars. Some contract authorizations
utory debt retirement.
course, of a highly tentative char¬
included in this amount are in¬
For all other activities of the
acter and depend entirely on the
tended for obligation in subse¬
government in the general and
assumptions made with respect ot
quent years.
The Congressional the course of the war. If victory special accounts, 5,508 million dol¬
actions
which
determine
this
lars have been appropriated. This
in Europe should be delayed, the
amount
can
be summarized as
is
8
million dollars
below the
production
of
munitions
will
be
follows:
PresidAt's recommendation. The
Fiscal
stepped up to whatever may be
year 1945
needed.
If
German
resistance Congress allowed 45 million dol¬
lars more than was recommended
(Billions)
should collapse earlier than as¬
for aids to agriculture but re¬
Reappronriatior. of prior year unob¬
ligated balance
$37.5 sumed, expenditures for the cur¬ duced a great many other items
rent fiscal year may be somewhat
Other unobligated balances of prior
by 53 million dollars.
year
appropriations and contract
below
the
$90,000,000,000 esti¬
authorizations brought forward—
9.0
Within the program of aids to
mate.
*
BUDGET f
REVIEW OF THE 1945
commitments
and
appropriations
Total
54.2
—__
10.8
authorizations
contract
UV,
and contract
appropriations
Adjustments in the Program
$111.5
authorizations
Appropriations to liquidate
contract authorizations—!--.^;
these
Behind
?
of
17.2
huge
of
is the story
ures
•Deduct:
a
great scope. Many of the muni¬
tions used in present
Total
to
authority
in
tions
Available
fiscal
the
in
obligations
:v
!
$83.3
1945
year
11.0
—---—;
Estimated
authorizations
"Contract
permit
the
placement of orders, but require appropriations befoie payment can be made,
To
avoid double counting it is necessary
to deduct appropriations to liquidate con-
(changing requirements.
fiscal
appropriations of 54.2
dollars enacted for
the
1945 by the Congress
year
about
are
billion
2
the
than
President
mended.
of
Most
is explained
this
less
recom¬
a
contract au¬
war
lative
(Millions)
supply programs, legis¬
authorization and
appro¬
final payment
The
in cash.
of
vicissitudes
make
war
frequent revision
in
each of these stages in the bud¬
necessary
getary process. When new or im¬
Navy aviation program, instead of proved weapons are required, or
a recommended appropriation.
In when the rate of destruction is
changes in strategic
adopted after transmission
cases
plans
Presidential
the
of
tions
Whether
all
appropriations
authorizations
the
made
Congress
reeded for
recommenda¬
reductions.
permitted
available
will
and
by
actually
be
obligation during this
fiscal year depends, of course, on
the development of the war.
Estimated Expenditures for the
Fiscal
Year
& Tax Refunds
All Other
Year
Total
1939
$7,456
$1,559
$5,897
7,288
1,683
5,605
1,760
1,906
4,650
6,385
6,070
2,487
3,583
1940—
6,410
1941.
1942—
?
1943
1944._-__
6,705
"1945
9,504
•Revised
%
simplification measure, affects
only to a minor extent.
The
increase
in
the
present
estimate above the January bud¬
the
except customs and employment
taxes.
The figure for customs is
4,479
3,600
3,105
6,509
2,995
get estimate is divided among all
major categories of receipts
the
taxes are now
than
estimates.
1945
a
which
expenditures
even
classified
neither
that
"war"
as
are
affect
ex¬
additional
penditures nor as "aftermath-ofwar" expenditures include a great
Examples
are
the cost for
subject to certain claims
increasing debt, and
estimates
for the
greatly expanded auditing
The Na¬
Advisory
Committee for
expenditures; others are
against revenues. Ten per
of the excess profits tax lia¬
tional
cent
1942
Federal Bureau
of Investigation, the State Depart¬
ment, the Weather Bureau, the
Treasury Department, the General
Accounting Office, the Civil Serv¬
ice Commission, and many other
so-called "non-war" agencies carry
some
appear as
offset
the
present budget
expected refunds
for refunds.- In the
and accounting function.
Aeronautics,
from corporate
Current receipts
taxes are
of the
the
to
Survivors
Old-Age and
Insurance trust fund.
collecting increased war revenues,
for administration and
manage¬
ment
appropriated
been
Federal
number of activities related to the
war.
receipts, because the
contributions
would
net
have
does
reduction
This
freeze.
the rate
not
before
anticipated
was
not be forgotten
It should
lower.
Employment
expected to be more
billion dollars less than
moderately
bilities
are
post-war credits and
used currently by
to the extent not
the
will
taxpayer
treated
be
as
expenditures when refund bonds
are
issued to the corporation.
If
in
substantially
decline
profits
additional refunds
increased work loads of clearly will be required on the basis of
war-related activities. The figures existing tax law.
over-all: reduction
show
the
these
"other"
do
not
in
they
show, however, the thor¬
expenditures;
ough reorientation of practically
all government operations to con¬
ditions of total "war.
BORROWING,
RECEIPTS,
future
AND
years,
Slpme part of the exnected in¬
in excise tax collections is
crease
goods and services purchased
from
under the revenue act of 1943 are
no
Estimated Receipts for the
change
lonGer tax-exemot. This
administrative
simplifies
dures
hut
does
prove
the
budgetary
PUBLIC DEBT
THE
Government which
by the Federal
not
nrocedirectly im¬
position of
it brings
the government because
Year 1945
about
receipts in the fiscal year
amounted to 44.1 billion dol¬
Net
equivalent
*n
in
increase
exDenditures.
The
largest part of the sub¬
special ac¬ stantial increase in the estimate
of miscellaneous receipts is at¬
the receipts
year. They j tributable to a revised estimate of
still higher, 1 excessive profits recaptured by
of war contracts.
to 45.7 billion dollars in the fiscal renegotiation
year
1945.
The increased yield Also, an upward revision of the
estimate
of
proceeds
from the dis¬
reflects higher war-time tax rates
and an increase and broadening of posal of government surplus prop¬
the tax base by revenue legisla¬ erty is included in miscellaneous
1944
lars in general
and
agriculture, the Congress made
counts, almost double
several changes. The largest were
of the previous fiscal
an increase of 40 million dollars
are expected to
rise
in
for
appropriation
direct
the
"conservation and use of agricul¬
tural land
dition
resources," and an ad¬
million dollars for
12
of
receipts.
Borrowing and the Public Debt
sharp rise in
productivity of the'
revenues, the excess of expendi¬
program
of the Farm Security revenue system has increased the
tures (including government cor¬
portion of expenditures covered
Administration.
porations) declined from 57.4 bil¬
The major reduction below bud¬ by current receipts since the fis-'
cal year 1943. The following tabu¬ lion dollars in the fiscal year 1943
get recommendation was elimina¬
to 51.1 billion dollars in 1944. The
reduced
25
thorization in connection with the
some
r
■
corporations, as well as excise
taxes, but postpones the effective
date of the previously scheduled
increase in the contribution rates
under the Federal Old-Age and
Survivors Insurance System. The
individual income tax act of 1944,
revenues
Interest, Veterans,
rural
the
rehabilitation
tion of 20 million dollars for loans
priation, placement of orders with
by the Rural Electrification Ad¬
contractors, completion, delivery
ministration; instead the Congress
and shipment of munitions, and
authorized the agency to borrow
difference
by the fact that the
granted
Congress
dollars
had
hudeetarv oner*
our
able time lag between formulation
of
war
billion,
in
PxnrPccpd
Both are
j expressea m our ouageiary oper ations. There is a very consider-
tract authorizations.
New
fighting have
factories and
Special Accounts Exclusive of
individuals and direct taxes on
on
payments to farmers harvesting
seeds
of
long as three years ago. Essential certain
grasses
and
tion of recent years, as well as the
in
military planning,. as in all legumes. The Congress decided to
unprecedented levels of national
planning, is long-run foresight liquidate
operations
under the
and also constant adjustment to Federal crop insurance act and production and income.
planned for use in the fiscal year
1945 i
in
produced
been
and
Statutory Debt Retirement
yards constructed and equipped as
not
but
obligation
for
obliga¬
incur
fiscal year 1945-
the
budget fig¬
planning job
WAR
DIRECT
___*
New
FOR OTHER THAN
PURPOSES
EXPENDITURES
General
.
Hew
the last six years
and the execu¬
over
Congress
the
by
;
Roosevelt, Budget Director Harold
the following statement revising last ably, however, behind obligations.
On
June
30,
1944,
obligations
January's budget estimates in the light of developments:
of President
At the direction
Smith
D.
Thursday, August 10, 1944
FINANCIAL CHRONICLE
THE COMMERCIAL &
606
million
dollars
from
construction Finance
the
Re¬
Corporation.
Appropriations for the Treasury
Department were 10 million dol¬
.
below
lars
These
and
recommendations.
other
changes
spread
The
great
lation
shows
As
this development:
net
RECEIPTS
NET
t
result of the
a
' (Billions)
$
55
7.6
12.8
37
22.3
28
—44.1
46
1943...*
46
45.7
1945 Est..*.
is
"Excluding debt retirement but
the
in
larger
than
gross
public
amount
this
because the fifth war
drive resulted in a substan¬
primarily
Percent of
Expenditures"
Year
increase
debt
.
:'
loan
tial
increase
the
in
cash
balance
at the end of the fiscal year
1944.
On the basis of the revised rev¬
'-
including
and
enue
estimates
the exe^ss
expenditure
for the fiscal year 1945,
net
outlays
of government corporations' of expenditures will be 53 bilh'on
(excluding redemption of market obliga¬
among many items, reduced the
dollars, substantially
below the
1
I
higher than anticipated, additional total for "civil departments and tions.)
January
estimate.
The revised
appropriations may become neces¬ agencies" by 47 million dollars.
Nearly all types of receipts are 1 estimates of the excess of exnendisary. When the rate of destruction
expected to be somewhat higher tures in the fiscal year 1945 are
Estimated Expenditures for the
is lower than anticipated, appro¬
in the fiscal year 1945 than in the abo^t 2 hilbon dollars higher than
Fiscal Year 1945
priations may remain unused and
preceding year. Direct taxes on in +^e fi«"»al vear 1944, as shown
can be placed in reserve which the
Cash
expenditures
for
other individuals are estimated below
in the following table:
Congress can repeal, permit to than direct war purposes for the the fiscal year 1944 receipts be¬
expire at the end of the fiscal fiscal year 1945 are estimated at cause of unusual collections in the
EXPENDITURES.
RECEIPTS. AND IN¬
CREASE
IN PUBLIC DEBT
year, or make available for future 9,504 million dollars or 250 million last
fiscal
year
associated %uth
(Millions)
:,
obligation. In accordance with a dollars below the original budget
adoption
of the pay-as-you-go
Revised January
Fiscal
provision in the second deficiency estimate of January, 1944.
The
plan.
Fiscal 19*5
1944
approDriation
act of
1944, " the difference is due mainly to a re¬
Estimates Estimates Actual
Last January net receipts for
President
will
transmit
to
the vision in the estimate of tax re¬
General
and
special
the fiscal year, 1945
were esti¬
$97,954
$93,743
accounts
$98,404
Congress a list of appropriation funds. This revised estimate of
1 fP5
1.510
mated at 40.8 billion dollars, 4.9
•Cornorations
«•>!»
balances which are no longer re- expenditures is 2,799 million dol¬
99,769
95,273
99.029
billion dollars below the present Total expenditures...
nuired and can be repealed if the lars
above the actual expendi¬
Net r^ointc. pen'!. &
estimate.
The revised figure is
44,149
-45,663
40,769
special accounts....
development of the war permits, tures for the fiscal year 1944. The
the result mainly of additional Excess
of
expendi¬
Adjustments often become neces¬ explanation is found wholly in
tures
53,366
59.000
51,124
revenue
legislation enacted this
have
President has
,
.
During
the
ended June
fiscal
30,
that
year
1944, actual cash
expenditures
for war, including
net outlays of Government corpo¬
rations.
8^.7
were
billion
dollars,
...
..........
>•
.
or
2.5%
lar
below the 92-billion dol¬
in
estimate
budget
message
For the fiscal
penditures
the
of Jannarv.
year
were
total
of
that
1944.
1945 cash
estimated
January at 90 billion
the
President's
is
changed at the oresent time.
even
bemi
placed.
cellation
of
hand: to
the other hand,
perience
in
Ad-
rushing
on
recent
resume
leads
contracts
ex¬
not
contracts
This
last
dollars, and
estimate
after
sary
new
as
on
to
items
can¬
the
one
contracts,
result of
a
on
ex¬
the battle fronts. Thus,
weeks
we
operations
have
in
a
had
to
number
which
the
called the "aftermath-of-war" ex¬
namely, interest on
the public debt, veterans' pensions
penditures,
and
benefits, and refunds of war
taxes.
A separate
substantial
table shows the
increase
in
each
of
these items in this fiscal year.
expected increase in dis¬
posal of surplus property, more
experience with contract renego¬
tiation, and the fact that individ¬
ual
and corporate
incomes are
running at rates somewhat above
those previously estimated.
><v«-owing
Other
year, an
re¬
quirements
Chanee
ance
in public debt
"Expenditures
demption
■/
of
1,299
2,521
4.500
Ifit
10.66?
50,283
60.400
64,307
bal¬
(dec.)........
Increase
-
cash
in
1,417
less
excluding
receipts,
re¬
market obligations.
The dirpct public debt* exclud-
ir.fr
i s
hiiljon
dollars
of
guaran¬
issued
teed
obligations
of
government
been made,
last Januarv the Revenue Act of
however, by increas- temporarily shut down. In gen«rai tures show a
corporations, amounfpd t« 9.1 o Hling slightJv the AVar Department we
1943
and the individual income
have
overestimated
r°ther This
decline is small compared
lion dollars on .Tune 30. 1°44. The
figure, reducing the estimated net than underestimated th° rate of with the decline in previous years tax aet, of 1944 have become law.
general fund balance on the s*me
woy outlave; 0f Government rornoj
in or^er to ho nn t^o because of the heavy cuts which The first of tbpse tvrr» a^ts in- <
date stood at the record level of
rations and adding an estimated safe side. Through continuous ad¬ have
already been made in this creases the yield of direct taxes
bjstmenfc
wHhin
the
total- have
of
|
war
Plants
which
bad
been
In
contrast,
all other expendi¬
net decline of 3.5%.
Since
the
budGet
was
.Volume 160
billion
2>0.2
Number 4306
dollars.
THE COMMERCIAL & FINANCIAL
CHRONICLE
Assuming
a
financial operations
reduction of 4.5 billion dollars in
this
balance,
of next June 30,
the net increase in the public debt
in the fiscal year 1945 'will be
50.3
as
rennrt^ff^^^o^vfS^mrRAr*za!;*'°ns
reported from Washington
Aug. 2 by the
APPROPRIATIONS,
For the
billion
dollars, and the out¬
standing debt will be 251.3 billion
dollars on June 30, 1945, consider¬
ably below the January estimate.
Any further decline in either the
general fund balance
...
total
or
dollars in the fiscal year 1944 in¬
cluded net redemption of nearly
three billion dollars in obligations
of government corporations. More
than four billion dollars
rowed
ernment
57
agencies.
billion
net
volume
of
represents
rations
from
institutions
Interest
Other
Aids
sales
net
of
amounted to
dollars,
Sales of market¬
23%.
or
able
issues
and
savings
notes,
chiefly to corporations, insurance
companies and other institutions
accounted
for
remainder.
Federal
half
about
of
the
war
total
ices
rendered.
total of
Nevertheless,
goods produced and
production
total
American
for
economy
1,536
1,657
1,628
2,191
Miscellaneous
$54,215
$56,191
$92,981
$81,299
$2,609
$1,813
$3,750 J.
President
contrib'n)
benefits-
;
and
___
U.
of
the
all
3
1,198
1,245
1,277
1,493
6
6
6
6
Navy
Department
1,252
1,252
900
604
U.
Maritime
Commission
505
460
819
716
War
Shipping
Administration
484
494
activities
§1,498
506
506
$5,508
$5,516
$65,457
322
$4,278
$4,124
$99,868
$87,236
589
592
619
$100,460
$87,855
$33,673
$33,673
$15,177
5
13
471
3,650
3,650
3,664
165
155
317
""**348
$37,493
$37,491
$19,629
$36,332
49
146
182
$37,543
$37,540
$19,775
$36,514
$5,075
$4,300
$13,673
$10,940
.
$33,730
2,254
/;i.:
..
5,700
5,700
2
__
activities™—-™—™-—
_
___
contract
.
\
_
48
$10,777
110
$10,002
$13,721
$16,390
TO
$10,783
*
$10,008
$13,721
$16,560
LIQUIDATE
tor
This
work.
war
munitions
new
structed
in¬
being used
includes
factories
the
con¬
of
Executive
$730
________________
*'* $10,446
$10,501
$10,234'*
6,424
6,738
6,746
1,260
5,234
58
79
88
68
$17,242
$17,326
$11,582
$14,456
43
43
206
99
$17,285
$17,369
$11,788
$14,555
__
_
_■
__
_
to
_
_
liquidate
Government
Loans
of
and
the
on
Expenses
converted
diverted to
or
war
-
4 K:;
■
29
___
$12
4
4
30
31
123
126
111
12
12
11
.'
Commerce
$11
$8
Postal
credit
and
Postal
Postoffice
in
shell the economic impact of our
effort:
war
First,
the
goods produced and services
dered
of
total
by the American
ren¬
economy
is
Total
field
Unemployment
one-half
of
this
old-age
Federal
employes'
Railroad
to
agriculture
youth.
Other
lems of the
as4
the
war
future
of
transformation
into
omv
full
well
economy as
problems
the
of
war
the
econ-
employment
peace
stamp
trust
Total
Inflationary Pressure and the Economic
,
With
the
Stabilization
minor
Program
exceptions,
all
of
100 billion dollars of Federal
expenditures
or
contractors,
war
soldiers
income
becomes
individuals
and
business
of
—
of
war
workers, farmers,
their
dependents,
government security holders
and
government employees.
The in¬
come
derived from activities —
mostly
eral
to
war
activities—of the Fed¬
government
the income
vices
and
-
is
about
derived
ser¬
$178
sum
total
of
all
available +o individuals and busi¬
ness
ers'
for the purchase of
or
consum¬
rmoducers' aoods and
serv¬
ices, for the payment of taxes,
or
"
$88,200
$87,038
$3,750
$3,750
$2,609
29
30
29
13
14
13
3
3
2
2
1,338
1,335
§—22
9
1,473
1,441
—
contrib.)
6
6
benefits..-^™
1,252
1,252
499
468
(Federal
...
_
$72,109$1,808
27"
13
6
6
600
724.
511
498
2
23
317
U 1,507
51,799
5267
79
506
472
440
322
$5,754
$6,004
$4,096
$4,263
$98,404
$97,954
$93,743
$78,179
$97,954
$93,743
$78,182
$52,741
$57,185
$49,594
$55,901
$1,100
$1,800
$2,682
1,450
1,346
2,873
694.
a475
15
al,152
al,476
$2,075
$3,161
$4,403
2,194'
'
.
activities.
other
expenditures, general
accounts,
excluding
485
17
—__
and spe¬
statutory
f
retirement—.—
debt
481
—
_____
Total
Total
1,037.
18'
_v
____
Total
public
765
..
-
program
funds
—
expenditures
of
Excess
j
,
3
______
■
$98,404.
—_____
expenditures,
accounts
and
general
——
v
v
-
;■
.
-I
Corporations
Government
Credit
Agencies
; checking
(from
EXPENDITURES
NET
'
_
activities
________
obligations in the
of
market
activities
-.v..;.:
.••***'
«?.<>■
Net
'
■
Trust
'Transfers
$2,970'
••
expenditures
___.
Accounts
-:Vv-W
receipts
$1,021
special accounts
account
from general &
appropriation from general
receipts
™___—_
Other receipts
Net
Other
V $987
.
$435
$556
1,583
2,656
1,260
1,103
3,012
3,104
3,237
2,388;
$5,616
$6,747
$5,053
$3,920
$4,634
$5,778
$4,129
$3,016
949
922
572
577
$5,583
$6,700
$4,701
$3,593
$33
$47
$352
$333
$201,003
$197,600
$136,696
$72,422
$52,741
$57,185
$49,594
$55,901
2,075
3,161
—33
.—47
—4,500
101
________
——
U.
in
$183
$169
obligations-
S.
expenditures
Total
expenditures
________
—
receipts over expenditures-
of
Excess
$216
debt
Public
at
Net increase in
Washington.
$6
$6
$6
$5
operations.™
1,105
1,113
1,083
988
$1,111:
and
General
Public Debt
beginning of year
public debt during year:
special accounts, excess of
expenditures over receiptS—L_____
corporations and agencies,
$1,119
$1,089
$993
net
$1,528
1,711
$1,528
$1,567
$1,399
1,711
1,362
1,190
570
501
220
■
570
324
fund
trust
expenditures
accounts,
expenditures
324
273
374
1,490
1,490
L350
581
$5,623
$5,623
$5,053
$3,897
Y
fund
.
trust
accounts.
—
excess
Net
in
Treasury
increase
in
•
—352
——333*
10,662
6,515
>—3
retirement
balance
public
2,194-
over
__—~
Statutory public debt
Change
of receipts
4,403'
—
,
$50,283
$60,400
$64,307
$64,274
$251,286
$258,000
$201,003
$136,696
debt-
133
~
accounts™
and the accumulation
of business reserves, the so-called
for savings
gross
at
an
and services in the market.
If in¬
dividuals and business decided to
national income, is running spend a higher proportion of their
annual rate of above $200.- income, they would force prices
Public
debt
a
at end of
Excess of
year.
million-
'
receipts over expenditures.
"Includes the following
post-war
/
,
estimated amounts for excess-profits taxes refundable in the
period: 1945 revised estimates, $810
1944, $682 million; 1943, $220 million.
million; 1945 budget estimates, $621
tExpenditures from Lend-Lease (Defense Aid) appropriations are included under the
agencies.
'
.
general public works program. •
|A minus item due to return $29 million of excess advances in prior years to meet
llncludes
anticipated
11 Includes
deficiencies.
transfers to
,
public debt
Federal
equipment
are,
is thus a difference of
000
or;
current
r
$45,000,000,-
$50.000.000,000
receipts
between
available
for
spending and the value of goods
,
.
,
,
accounts for excess-profits tax refund bonds
issued.
Of this truly gigantic up.
Nevertheless, prices have been pared to save extraordinarily large
government is
held relatively stable because in¬ sums while goods are scarce, in
recovering tax receipts at an an¬
nual rate of about $45,000,000,000, dividuals and business have been the
expectation of getting full
for
their
savings when
State and local governments at an willing to save the difference be¬ value
tween
the
amount
of
income at goods are again plentiful.
annual rate of $9,000,000,000, leav¬
This
their disposal and the value of confidence
on
the part of the
ing more than $145,000,000,000 in
the
goods available. The experi¬ American public must be attribu¬
the hands of individuals or busi¬
ness for their use.
While a small ence of-the last few months indi¬ ted largely to the government's
cates that the American economy stabilization policy.
This policy
portion of this amount is spent
abroad, chiefly by soldiers out of has reached a state of balance. has consisted of, first, increase of
This
balance,
however,
is
of
a
war-time
taxes
which
have limtheir pay, the bulk of this income
very
is available for purchase of goods delicate nature and might still be
ted the increase in disposable in¬
and
services
in
this
country. destroyed; it would be destroyed come of individuals and business;
Goods and services for use of civ¬ if we should relax war-time con¬ second.. the war bond program,
ilian consumers and for business trols too early.
which has increased incentives to.
the
however, being
supplied only at a rate of less
income than $100,000,000,000 a year. There
production for civilian
use.
The
equal
from
$88,900
\,m
5,033
various
sum
i
Fund)
000,000,000.
economy.
5,507
Refunds
11
"Infludes recommendations in the January budget and subsequent recommendations,
tlncludes appropriations to liquidate contract authorizations as shown below.
>
^Includes general public works program.
includes transfer to public debt accounts for excess-profits tax refund bonds issued
effort. These
basic to the present prob¬
are
1,893
5,900
,
Work relief _;__™_™—_—
Accounts
retirement
Commodity
oroduction
total
war
2,777
1,900
President™—
and
to
The
agencies
trust fund™
_____
and survivors insur. fund
retirement funds™.—
jt-eaerai
double the total
1939; second, nearly
in
is devoted to the
facts
pensions
cor¬
accounts-
postal
Trust
almost
produced
20,888'
3,812
1,922
5,518
_
(General
Aids
for both military and civilian pur¬
poses
$42,294
26,537
4.700
Government
pro¬
nut¬
a
the
Aids
Trust
illustrate
$49,249
28,500
4,700
153
.
Accounts
Department,
Service,
Government
of
accounts
porations
$47,600
28,500
'
40
duction.
facts
of
Columbia
of
Investments
$10
"v.
Housing Agency
Department of Agriculture..—
Total
$47,900
>
Dept.
and
equipped at a cost
$20,000,000,000 largely borne by
the Federal government. In addi-^
tion
to
the
war-built
plants,
roughly one-half of the pre-war
manufacturing capacity has been
$22,281
EXPENDITURES:
President™
National
of
$44,149
Corporations
Agencies—Limitations
establishments
Department
$40,769
departments aftd agencies™——
District
Other
Commission.™.;
.
Office
Independent
$45,663
debt
public
Office
Redemption
authorizations
Credit
and
1,103.
activities:
Total
Accounts
of
Two
the
Postoffice
War
■■■___
appropriations
contract
1,259
..
activities™———.——^.
war
on
Legislative establishment
The Judiciary
170
.
_T
__
RECEIPTS:
Total
2,656
,
accounts):
activities
activities
Certain
now
Total
special
6
___________________
war
1,583
'
_
authorizations-*--.
,
Maritime
Total
$23,384
5,340
2
,
AUTHORIZATIONS:
Other
Other
$45,408
>
Department
S.
Interest
"
Commission.—
Department
S.
$43,425
907:
activities:
Statutory public debt retirement
~
_
J Navy Department
U.
$47,246
fund—
receipts
Retirement
AUTHORIZATIONS:
_
CONTRACT
War
3,280
78
440.
$66,046
50
'J
activities
war.
plant is
tWar
285
§270
589
,
Maritime
activities:
324
2,037
;v
545
7
••
§1,498
_____
■
dustrial
"Net
Soeial-security
_™_
APPROPRIATIONS
War
431
EXPENDITURES:
cial
new
1,508.
438
*
old-age
trust
insurance
13
and
pur¬
our-
survivors
Federal
for
$32
"
tions, food and clothing for war
purposes, or engaged in transportation directly connected with the
of
receipts
appropriations
3
$64,062
.
serv¬
28,000,000 are now either in
the armed forces, producing muni-
three-fifths
Net
JCivil
reappropriations
Total
3,777
1,751
3,643
14
debt,
Department
Other
9,916
4,462
receipts
$48
-
About
"Total
Veterans'
Total war
15,194
4,251
3,182
5,637
_
362
Executive
appropriations.
CONTRACT
S.
_
2,081
3
accounts,
public
activities:
Other
15,404
16,588
___
15
._
special
activities
Navy
$6,952
taxes
$47
_™»_L_™
NEW
1943
Actual
$20,290
$18,935
taxe§ on corporations.
3
480
statutory
war
1944
Actual
$18,113
Estimates
Jan., 1944
;
taxes
Other
the
about
-
"Direct
individuals
on
Budget
Estimates
July, 1944
Other
Lend-Lease
War
taxes
War
activities.™!
Navy Department
poses in the pre-war period.
^
Of our labor force of 63,000,000,
1
Direct
13
.♦
;
Department
Other
and 1943
Revised
Special Accounts
$47
_____!
I
activities:
War
certain
are
ices rendered for the Federal gov¬
ernment is not far short of the
rate; of
Customs
REAPPROPRIATIONS:
War
In¬
items which do not represent pay¬
ments for goods produced or serv¬
.
6,287
____
funds
general
Total
$100,000,000,000.
cluded in this amount
226
$42,879
Federal
(including net out¬
lays of government corporations)
has been running at an annual
above
3,458
of
expenditure
rate
3,458
;
other
tTotal
effort
months
Employment
Statutory public debt retirement.
Other
recent
Excise
1,148
$3,750
___;
Total
In
4,985
(Federal
security program
half.
•
23,809
1,290
2,272
$63,473
the
impact
28,527.
.550
and
agencies
(General Fund)_______
Dept.
excluding
Banks
economic
the
relief
Total
and
6.776
$59,038
youth______
Total
directly
and indirectly absorbed the other
the
of
Refunds
Commercial banks and
Reserve
to
Classification
••
General
and
Work
than 13 billion
more
1943
Enacted
28,070
debt-
Social
largely to individuals, partner¬
ships and personal trust accounts,
1944
Enacted
530
establishment
Retirement
1944,
bonds,
savings
war
public
pensions and
agriculture™.
to
Aids
year
mended
6,766
"T*""
Columbia
Veterans'
Years 1945, 1944
-1945-
26,489
__
departments
of
Fiscal
Deduct:
the
Postoffice
the
(In millions)
$15,680
___™__
Judiciary
Dist.
Of this increase in public hold¬
ings during the fiscal
For
$15,436
Administration™—..
activities
war
on
tCivil
dividuals.
,Y.
*
~™™_™_____
Legislative
in¬
AUTHORIZATIONS
1943
"Recom¬
Enacted
____
Executive Office
corpo¬
RECEIPTS AND EXPENDITURES
activities:
The
the
and
Accounts
■;
Total
Government for three fiscal years, as 4
:
RECEIPTS:
Other
borrowing by the
Treasury and government
Special
Shipping
Lend-Lease
gov¬
CONTRACT
1945, 1944 and
S. Maritime Commission-
War
The remaining
dollars
AND
Times
activities:
U.
bor¬
were
from trust funds and
New York
(In millions)
Navy Department
borrowing re¬
sixty-four billion
of
and
of the government summarized
Budget Director of the financial operations of the
1915
War Department
new
quirements
Fiscal Years
:
t APPROPRIATIONS:
War
expendi¬
will produce a correspond¬
ing reduction in new borrowing.
The
V
..
Clasification
Geenral
tures
-
REAPPROPRIATIONS
607
crease
in
purchasing
power.
The Congress has recognized the
need to continue price and wage
controls
as long as there are still
scarcities of goods and labor. The
Government is determined to hold
the
line
until
converted
production is
peacetime
requires, how-,
war
into
full
production. This
ever, that the^people continue to
save as much as possible, particu¬
larly to buy and to hold waF bonds
until goods for civilian use are
plentiful again.
.'
An effective economic and< fis¬
cal
policy during the war and the
prevented consumers from demobilization period will be an
to the fact that the American neo- dissipating their incomes by pav¬ important prerequisite for success
ple have retained their confidence ing higher prices,
and fourth, in the next gre^t task of our na¬
that a dollar saved todav will still waee stabilization, which has lim¬ tional policy—the transformation
buy a dollar's worth after the war. ited increases in cost of produc¬ of an all-out war economy into
They have, therefore, been pre- tion and thereby checked the in¬ a full-employment peace economy*
The
success
nroeram
of the stabilization
to date is due first of all
saving; third, price ceilings,
aave
which
Republican Governors' Conference Under
Dewey Enunciates 14 Post-War Policies
page)
(Continued from first
monious program.
but
women
relationship be created between
Government, labor and industry.
to
production
enabled
be
must
Industry
to peace-time
convert
immediately when war needs per¬
enabled
promptly to know the policies of
the Federal Government so they
Employers must be
mit.
for reconver¬
now
prepare
may
sion.
the
of
continuance
allow
To
listlessness,
negligence
and lack of leadership in Wash¬
ington is to invite national disaster
at the conclusion of either of our
two major conflicts. The national
Administration is now standing
present
workers.
dif¬
encourage
the continuation in private hands
developed plants. In this
peace-time
production small business must
be fully and adequately encour¬
aged and protected.
must share
encourage
com¬
itable
of
use
all
and the prof¬
production
our
facilities.
surplus war
so
distrib¬
tremendous
Our
be
should
materials
responsbiilities and use their re¬
serves before
asking Federal aid
profiteering, monopoly or serious
on
State public
injury to the resumption of peace¬
production and distribution.
materials
State
and
Federal
agencies
and under priority for all mate¬
rials whmh can properly be util¬
should be through State
ized by them.
,
Veterans
'
'
•
'
We commend the veterans and
organizations for initiating
and the Congress for enacting the
"G. I. Bill of Rights."
This is
their
sound
legislation.
The
benefits
available
made
are
veterans
the
to
and
part of
national responsibility
a
recognized
should be
the cost of the
It
services thus
and
the
is
make
this
war.
of
duty
a
as a
everyone
and not one solely on
local
and
State
to
action
paper. Each
program
of
community
has
particular responsibility to the
which
must
be
met.
its
private
creasing at
an
ownership.
grazing,
present expanding program many
political subdivisions of local gov¬
ernment
Federal-State
fundamental
is
tion
full¬
the veterans' needs.
Every
should
talk
veteran
able
be
over
to
sit
down
and
his plans with some one
our
of Government; but co¬
operation does not, and must not,
absorption of local govern¬
mean
ment.
If, under the guise of conserva¬
tion as advocated by the expo¬
nents of bureaucracy and
shall
we
en¬
continues,
ownership of
program
soon
lands
our
Federal
acquisition and
this
find
lodged
the Federal
in
Government sufficient to threaten
the
seriously
wishes
who
many
of
local
of
citizens.
lions of free American
The
of
existence
very
States and the loss
self-government to mil¬
our
ices available to him and to which
plat¬
form points
the way toward a
solution of this critical problem
be is entitled frohi Federal, State
and
"at home" who
to find
can
tell him where
all the benefits and serv¬
and local Governments or
private endeavors.
can
be
handled
through
These matters
more
efficiently
by the States and local communi¬
have a more intimate
ties which
understanding
of
the
veteran's
Highways
aid
in
and
carried
building
maintaining highways, as
out under
Republican
its
Republican Administra¬
national
translation
into
action, is
ex->
the people
all
from
does not
mean
slashing
and
It
taxes.
as
the indiscriminate
cutting of
govern¬
mental budgets.
experience has shown
All
that
Federal, State and local execu¬
be constantly on the
tives- must
alert to
time there is great
of effort on the part
of Federal
and State Govern¬
ments.
This must be ended.
To¬
the
the cornerstone of this regulatory
This system provides,
structure.
found
wherever it has been
the number
public employees is no larger
than is absolutely necessary.
At1
has been
money
and that
of
tegrity of the companies and the
holders'
that public funds are
see
wasted
not
Preservation of the financial in¬
policy
people, the more economic¬
ally and efficiently it is operated.
nec¬
present
duplication
day
there
are
too
many
cases
where several Federal employees
do work that one could do better.
The
essary,
This likewise must be ended.
that
taxpayers' interest must be con¬
sidered and protected. The cost of
controlled competition so
rate cutting and other un¬
fair, highly competitive practices
not tolerated
and therefore
are
soundness of the
financial
the
weaken
cannot
companies
the
pair their service to
or
im¬
policy¬
Government
must be made
the American
to fit
pocketbook.
State-Federal Tax Coordination
holders.
National
Guard
and
Reserves
Organized
production, necessary
prosperity, can only
be attained under"a free agricul¬
national
to
ture.
.
.
Unemployment Compensation In¬
surance and Employment Service
We
believe
State
systems
compensation
im¬
retained,
be
proved and extended. These systerms are now an integral part of
our
economic and industrial life
have served
and
a
highly impor¬
personalized
branch of activity, governmental
responsibility for policy and the
performance of the administra¬
this
In
highly
National' Guard
requires
there is
ment in their laws and
need
demonstrated
no
Federal
for
usurpation of the system. It would
be
inadvisable for
the Federal
Government to
replace the pres¬
State-by-State
ent
systems with
of bene¬
administration
national
\
fits. '
The imminence of reconversion
to
peace-time
industry
and
the
hardships attendant upon it clear¬
ly indicate that changes are de¬
at this time in the Fed¬
sirable
eral Social
Security Act to insure
The public employment service
the States made, available
which
the
the
Federal
Government
for
of mobilizing labor,
used by the present Ad¬
purpose
ministration to extend its political
control
does
over
should
labor.
States
as
the
be
These facili¬
soon
best
returned
as
vis
interests
■*
to
of-
and seeking employment at the
those
con¬
There should be set up a perma¬
not turn
interest.-, problem of tax coordination until
a proper solution is found.
backward
go forward to improve
strengthen these Federal and
will
In many
ooint
Energetic and prompt action by
appropriate legislative bodies
that
solution into the law. There have
been too many studies with too
the
should be demanded to enact
phases of labor regula¬
tion both Federal
ever,
nent
begun
State programs.
ancj State action
The extension of
legislation, how¬
must not be carried to a
; where
it would
displace
labor
little
action
and
mental
State
on
this most funda¬
vital
both our
governments.
fronting
problem
con¬
Federal and
Taxes must
reduced after
regulations and result be simplified and
the war is won.
in a shift of responsibility for the
administration of the larger body :
Social Welfare, Education and
of'labor laws from the State capi-
State labor
tols
to
Public Health
Washington where it will
be far from the
The
people.
of
administration
public
welfare belongs primarily to the'
to wages, hours,
States and the localities because
and child labor, the establishment,
welfare problems are so intimate¬
by the Federal authority within
ly a problem of the community J
its powers
of certain broad or
Financial
responsibility, on the
minimum standards is proper and
other hand^may need to be spread
desirable.
It promotes fair com¬
more widely because welfare bur- •
petition among employers
and
dens
often
are
unduly
severe
among emoloyees in the national
where a State or locality has un¬
market.
The States should pro¬
usual-burdens or is itself in finan¬
vide regulations which go beyond
cial difficulty.
- v.'
such Federal minimum standards,
The period of post-war demo¬
and are more elaborate and de¬
bilization will mean that many,
tailed in character to reflect local
families and individuals who have
conditions and needs.
moved to industrial areas to aid
regard
.....
:
the
consistent
was
national
the
in
America
and
laws
labor
tinctly
-
ties
ties.
organizatioin of responsible,
and. representatives of the executive
carried far by our States.
Guarm and legislative branches of the
Government
and
the
antees to labor are recognized as, national
nationwide in importance and disrj States, which will work on the
sive
With
r.,
such laws.
The broad base of our progres¬
The States have made
consistent progress and improve¬
the people.
and equi¬
competent
a
table administration of
Federal
with
cluding the
requires
tive duties should be kept close to
need substantial armed forces, in¬
the
been
functioning of our able reports.
The fiscal inde-;
a
body of laws pendence of both national and
local
Government
makes neces¬
protecting the rights of labor, of
collective bargaining and insuring sary an increasing degree of seg¬
fair standards of employment, the regation of revenue sources.
Federal
collection
and
State
facilitation
of
cooperation
be¬
tween management and labor, and
sharing of taxes generally would
providing for conciliation and me¬ destroy the financial independ¬
diation of industrial disputes.-' It ence of States and local communi->
The healthy
is appropriate.
has been
of
has
y
nation
but
tant social purpose.
Federal Gov¬
strengthened
by our historic system of raising
and maintaining military forces.
In the post-war period we shall
support
for administration
must
insurance
present
the
that
unemployment
to
r
The union of the several States
in.
self-
of aid to a
protection for more people..
imperative.
ernment
personal needs.
Federal
serv¬
coopera¬
under
system
croachment
of facilities best suited to
being completely de¬
are
stroyed.
Complete cooperation is required
of all
national, State and local
use
reserves, camps
lands.
Under the
mineral
and
forests,
include
lands
These
parks,
control,
units of Government and the
efficient
penditure of public funds collected
needs of individual States.
supporting agriculture rather than
under a theory of regimentation
and destructive control.
of
veterans
est
the wise and
to the
Abundant
public
been in¬
of
acquisition
lands has
alarming rate, par¬
ticularly in.the western part of
the United States.
From 50% to
80% of the area of some of our
Western States is now in Federal
and
Governments
local
works.
Public Lands
All distribution of such
to
Economy in Government
cessive.
personal responsibility and secur¬
ity. The several States have long
recognized
these considerations
and over a period of 75 years
have developed an extxensive and
efficient
system
of
regulation.
This system is flexible and it is
designed
to
meet the
varying
agriculture as a whole.
ices to
theory
through normal, established
channels of trade as to prevent
uted
time
keep
•
industry and agriculture
in order to stimulate full employ¬
merce,
ment at good wages
and public officials is to
the cost of these functions
and services from becoming ex¬
payers
The .vast requirements of total
The progressive development of war justify Federal use of all
governments, then grants in
Agriculture must be free of the
this system should be continued. available fields of taxation.
Re¬
aid should be made by the Fed¬ unreliable
controls and restric¬
There should be preserved, in the conversion and employment will
eral
Government
to States or, tions
and
the
impractical and
States where it belongs, the ex¬ require immediate reconstruction
through them, to their local gov¬ whimsical
restraints
that
now
clusive power to regulate and con¬ of the entire tax structure and
ernments, without conditions
hamper
production
ana
create
trol the insurance business. When¬
should be accompanied by that
which invade the authority of the
confusion.
ever necessary, State and Federal
State or local government.
prompt revision of State-Federal
i\ecessary
administration
of
.legislation appropriate to accom¬ ta* relations which is so urgently
The huge cost of the. war and
agricultural programs ■ must be
the waste of the New Deal have
plish these results should be uni^ needed.
placed in the hands of experienced
versally supported by all who be¬
created
an
enormous
national
Proper coordination of State-,
and practical people and agencies
debt.
State
governments
have in the States and localities where lieve in the protection of the Federal taxation requires elimina¬
families,
homes
and
businesses
of
tion
of much double taxation and
generally been able to conserve the particular problems involved
our people.
resources during this war period.
relief from the intolerable burden
are understood, and administered
Labor
The States should recognize their
on our people of making innumer¬
under a
evolution from war to
to
must
the closer the Government is kept
prices,
market
functions Gov-;
perform and serv¬
render.
One of the.
motivated by thrift and a sense of
stability
through disposition of surpluses,
fair
it
are many
great problems always facing tax¬
chase of all forms of insurance is
responsibility should be
of
ices
buy life insurance to
their families; they buy
fire
insurance
to protect their
homes and businesses.
The pur¬
directed to such economic
research and broad general
There
in
People
ness.
assurance
justice
equal
with
to all.
protect
hazards
and
the nature
of agriculture,
there is a Federal responsibility
to
assure
its economic stability
and equality with labor and busi¬
Federal
cut
billion dollars in
means
the
necessity,
basic
clearlabor and industrial policies—v
State Governments to create
accumulated
Insurance
jectives for
in the national platform.
Because of the universal extent,
the
and
national
the
local
of newly
In all this the States
build desir¬
in which labor, industry,
agriculture and Government co¬
operate.
\i When, and if, in case of national
necessity, there are public works
which may properly be the prov¬
ince of both Federal and State or
States and to
leadership
available.
ready to
national
and ob¬
agriculture are stated
perity
is essential
to
prosperity. Our program
program
similar industries in the
between
several
are
be
To
works to assist during
possible periods of unemployment.
It should be clearly recognized
that the building of public works
does not fill the place of perma¬
nent jobs but is only a material
aid to the over-all employment
country and
ferent sections of the
power
able public
to
used
be
must
care
the
2.
prompt contract termination and
plant clearance. Facilities for the
resumption of peace-time produc¬
tion must be released and the way
cleared instantly as war demands
come to an end.
Every
when
It is the
is required.
both
ernment must
Its pros¬
national economy.
our
of
the transition
from war to peace.
To discharge
this
responsibility
successfully
the employment service
should
be thoroughly integrated with the
unemployment insurance system
as administered by the States.
unemployment
of
Agriculture is a basic part
public works
materials and man¬
laws
administered
Agriculture
1. To build needed
these
duty
unemployment reserves and are
looking to these funds to protect
their citizens against temporary
amended.
serves
poses:
Comprehensive and immediate
action by the national Govern¬
ment is imperative to provide for
avoid discrimination between
planning
Such
Governments,
two pur¬
local
State, and
squarely in the path of the future
employment of our returning vet¬
erans
and millions of displaced
war
their peo¬
sential to the safety of
and
distributed
ple.
equitably among the States.
In the future military estab¬
Actual construction by the State
Governments
has
demonstrated lishment of the nation, the Na¬
tional Guard should retain its es¬
how eminently successful such co¬
sential place, both as a State force
operative enterprises can be when
and as a reserve component of the
State responsibility is recognized
Army of the United States as part
by the Federal Government and
of our first -line of defense.
It
accepted by the States. This prac¬
should participate in such training
tice should be continued.
system as may be adopted, and be
Public Works
organized and equipped as are
Federal forces, all in accordance
Immediate planning of public
with the provisions of the Na¬
works is a necessary part of the
Administration
of
the Federal, tional Defense Act of 1920, as
have
than five
more
'
;
•
States
The
in peace¬
time; it would deprive the various
States of the military forces es¬
purposes
way
is
it would amass
centralized Federal control
entire military force
our
regimentation of labor, which
now
a major objective
of the
New Deal.
past experience;
under
by
rather than-
allay industrial strife. An imme¬
diate drastic change in the spirit
and methods of administration of "
public employment of¬
the States will prevent
our
the
Guard sys¬
would ignore
action
Such
tem.
gasoline and from motor vehicles
should be wholly devoted to high¬
and friendly
proper
tra¬
fices
has tended to promote,
Opera¬
clusion of the war effort.
tion of
ditional State National
Federal
the
in the service of our coun¬
that a
try,
Corps, to afford an adequate na¬
tional defense at all times.
The New Deal is now seeking to
principle, taxes collected by
Government
from
In
only to the people at home
to the millions of men'and
not
and
sound
is a
har¬
continued,
comparatively
since
and
tions
improvement of the standards of
living for all.
To this end it is all important,
organized reserves, together with
the
Reserve • Officers
Training
undermine and abandon our
Thursday, August 10, 1944
CHRONICLE
COMMERCIAL & FINANCIAL
THE
608
'
(;
Public Expenditures (7
The administration by
Deal of existing
•
the New
the
war
effort by their labors will
find themselves stranded in com-,
labor statutes has
munities which are hard pressed
arbitrary and
by the termination of war indus-t
been inefficient and
Volume
try,
160
;
Number 4306
will be returning home
or
THE COMMERCIAL & FINANCIAL
CHRONICLE
I the States in connection
or
employment
in
other
will obviously be
seeking
development
There
areas.
lem
created
solution
In
fare
;
responsibilities
to bear in
and
trol
water
of
objectives
a
developing and increasingly com¬
plicated society. They
can
be
reached only through cooperation
throughout the
two
and
to
system work in the
as the letter of the
our
as
determination
a
This
can
best be
ac¬
velop coordinated social services
to'
States
achieve
tional
purpose
people
are
frequently
thwarted by the competitive de¬
mands
Federal
of
ating
bureaus
grant-in-aid
these related fields.
in
The will to
the needs of people
than the perpetuation of a
rather
bureau
must permeate national participa¬
tion in the public social services.
Not only should the Federal wel¬
fare bureaus be brought together,
serve
but
related
republic
more
than
of
with
liberties
an
the
is
further
to
past
ten
years
to
never
exchange
once
been
with
views
the President of the United States.
Both of these conditions have pro¬
duced
costly misunderstandings
and
can
and must be remedied.
We have here achieved unity of
thought between the Republican
Governors and the next Republic
constitutional
Administration
can
cation of our people.
on
life and that will prepare
the unprecedented
that will
In
of
tion
free
our
28
by
and
been
made
communities,
local
our
States
have
the
Federal
the
Govern¬
f
of
Chicago
in
making
its
and
which
A. R.
Bank,
the savings, building
serves
loan
associations
Wisconsin,
.a.
serve
said
in
Illinois
that
last
volume
The States and the local com¬
months
observed:
1.
their
ex¬
hospitalization, clinical
treatment,
visiting nursing and
isting
other
-
as
Mr. Gardner
June
munities should improve
far
system for additional funds,
these objectives
principles should be
achieving
public health programs, as
their resources permit.
should be
2. There
no
political
The
picture
high
was
of
pointed out, but loan
three times greater in
this
in
was
about half
as
year
The
ago.
than
twelve
previous
June
1941, when it was
great as in the month
just past.
staging
It is noted, however, that there
has been
a
12%
con¬
decrease in the
using
paid
in
corre-
or an in-
the
months of 1944 totaled
to
$165,018,206,
385,978,
first
six
alloy steel,
"is apparently
temporary comeback in
a
as
replacement parts needed for
landing craft and other war
guns,
materials."
Tinplate demand, the
magazine
reports,
stronger
was
past week than
Book¬
well through to the end
of the year and
reports disclose
that deliveries to the West have
been held up
by a temporary
ings
ever.
run
scarcity of railroad
interest
first
six
nine
—
and
in
were
in
rentals
months
of
1944,
the
of
Eastern
District, one in the Southern Re¬
gion, and four in the Western Dis¬
trict.
of
reau
of
Mines reports production
anthracite
for
week
ending July 29, 1944, at
1,252,000 tons, an increase of 30,000 tons (2.5%) over the
preced¬
ing Week, and a decrease of 132,000
tons (9.5%) from the
correspond¬
ing week of 1943. The 1944 calen¬
date
to
year
of
crease
the
8.4%
shows
when
in¬
an
compared
of
the
Solid
amounted
For
Administration placed bituminous
to
1944
114.3%
of
to
date, ship¬
reporting mills exceeded
production by 5.4% and orders
7.5% above output.
ran
Paper Production
—
Paper
pro¬
duction for the week ended July
29 was at 92.7% of
capacity as
against 91.3% the preceding week,
and for the week ended July
31,'
last year, 90.8%,
the American
Paper & Pulp Association's index
of mill
activity disclosed. As for
paperboard,
production
for
the
same period was
reported at 96%
of
capacity, against
preceding week.
in
94%
and
the
Store
Retail
Sales—Department store sales on
country-wide basis, as taken
a
from the Federal Reserve Board's
index
11%
were
ahead of
a
year
ago
for the week ending July 29
and
unchanged from the previous
week.
For
the
four
end¬
weeks
ing July 29, 1944, sales increased
by 10%.
A 7% increase in de¬
partment store sales for the year
to
July
29,
1944,
noted.
For
the
better
riod
1943
over
v.!;;
trade the
Fuels
dropped
ments of
corresponding period of
report
mills
production for the
period, while unfilled order
stocks.
1943.
The
these
Department
Pennsylvania
dar
of
below
files
-
Coal Production—The U. S. Bu¬
was
*■"
country at large retail
was slightly
preceding pe¬
past week
than
and
in
the
for
the
corresponding
the week ended
week
a
year
ago,
according to
12,350,000 net tons, Dun
& Bradstreet's current week¬
against 11,985,000 tons in the pre¬
ly survey.
Despite seasonal dull¬
ceding week and 12,113,000 tons
ness,
wholesale
dollar
volume
in the corresponding week of last
continued at a high level.
The
year, while output for Jan. 1 to
extremely hot weather instead of
July 29 totaled 365,380,000 tons,
curtailing retail purchases, stim¬
as against 336,278,000 tons in the
production
July
29
ulated demand for
1943
same
for
at
period,
a
gain
of
bituminous
coal
in
or
8.7%.
of
Stocks
The Edi¬
Electric Institute reports that
2.6% under June, 1943.
or
earn
the
cars.
Electric Production
son
decrease of $4,-
a
same
$909,958,509
Fourteen Class I railroads failed
with
view of the tank
program as well
the hands of industrial
and
retail
dealers
consumers
increased
summer
wear,
although depleted stocks of many
items worked to a degree toehold
down sales volume.
chandise
Quality
continued
mer¬
rule
to
de¬
4,-
electricity increased 388,000 tons during June, the sec¬ mand and helped to maintain a
to
approximately
4,390,762,000 ond consecutive month of stock¬ high dollar volume, the survey in¬
dicated. Fall styles attracted much
kwh. in the week ended
July 29 pile
increases
following
more
from
4,380,930,000 kwh. in the than a year and a half of almost interest the past week.
the output of
preceding week. The latest figures
represent a gain of 3.9% over one
year
ago, when output reached
4,226,705,000 kwh.
Consolidated Edison Company of
York
reports system output
167,600,000 kilowatt hours in
the week ended July 30, 1944, and
with
compares
watt
208,500,000 kilo¬
corresponding
hours for
week
of
the
1943,
or
decrease
a
of
19.6%.
crease
distribution of electricity
hours
for
the
corre¬
year,
a
de¬
R. Freight Loadings—Carloadings of revenue freight for the
week
ended July 29
533
totaled 910,Association
of
Railroads
announced.
the
cars,
American
increase of 7,499 cars,
0.8% above the preceding week
was an
this year,
and an increase of 25,008 cars, or 2.8% above the cor¬
responding week of 1943.
Com¬
pared
1942,
with
an
a
similar
increase of
period
46,957
in
cars,
5.4%, is shown.
or
Railroad
railroads
Earnings
in
the
first
—
six
Class
I
months
of this year had a net railway
operating income, before interest
and rentals, of $551,424,141 com¬
pared
same
with $712,176,144 in
the
period of 1943, according to
the Association of American Rail¬
roads.
"
Estimated net
/
income, after in¬
terest and rentals, for the first- six
months amounted to $320,000,000
compared with $448,709,268 in the
corresponding period of 1943.
In
the
1944,
12
months
ended
June
the
rate of return on
property
investment
averaged
4.37% compared with a rate of
return
of
6.09%
In
uninterrupted
for
the
ported
on
Harold
L.
re¬
.
Monday of this week.
the
Lest
public reflect undue
the. favorable as¬
pects of the situation, he empha¬
sized that soft coal stockpiles still
are not
sufficiently large to pro¬
tect the nation against emergen¬
cies
next
winter,
despite
the
June 1-July 1 increase from 55,optimism
over
293,000 tons to 59,681,000 tons.
Silver—The London market
mained
ver
the
be
re¬
unchanged at 23 ^d. The New
Official for foreign silver
section,
strong, but
was
many
while sales volume
plentiful,
of
sporting goods continued well
last year and interest in va¬
cation equipment remained heavy.
Main floor departments reported
doing a moderate business.
over
A
was noted in the
buyers
attending
slight gain
number
marts
quiet and the price of sil¬
houseware
de¬
in¬
quiries went unsatisfied, says the
report. Scatter rugs were said to
mand
of
the
previous week,
gain exceeding the cojnppryear,*the eurvey
pointed out.
Most of them, ac¬
over
this
able week of last
York
cording to the survey, were there
place scattered fill-in orders
and to check on delivery dates.
Crude Oil Production — Daily Some mail reordering was noted,
in
men's
and
boys'
average gross crude oil produc¬ especially
Routine activity was the
tion for the week ended July 29 wear.
tic
44%c., with domes¬
to
^ilver at 70%c.
order in the textile markets with
was 4,608,450 barrels, a decline of
7,000 barrels from the record demand high and supplies inade¬
level attained
in
the previous quate. Better quality woolen and
week. Notwithstanding the lower rayons were wanted with a per¬
output for the July 29 week, pro¬
duction
in that week exceeded
the
sistent
for
demand
cotton
wash
goods
evident, according to the
above authority.
According to Federal Reserve
figure recom¬
Petroleum Admin¬
istration for War for the month of
Bank's index, sales in New York
July, 1944, by 2,350 barrels. The
current figure was also in excess
of the like week in 1943 by 475,150
City for the weekly period to
July 29 increased by 8% over the
same period of last year.
For the
daily
average
mended by the
barrels
weeks
put
per
ended
For the four]
day.
29, daily out¬
July
averaged 4,601,300 barrels.
four
weeks ending July 29 sales
by 10%, and for the year to
July 29 they improved by 8%.
rose
Activity characterized the New
from
refining
com¬
panies indicate that the industry York retail trade market here the
week
with
consumer
re¬
as
a
whole ran to stills (on a past
Bureau of Mines basis) approxi¬ sponse to both clearances and of¬
mately 4,627,000 barrels of crude ferings of early fall merchandise
states
the
New
York
oil daily and produced 14,115,000 good,
Reports
barrels of
gasoline. Kerosene out¬
put totaled 1,314,000 b&rrels with
distillate fuel oil placed at 4,883,000 barrels and residual fuel oil
at
"Times."
sales
Furs
than
in
enjoyed
better
preceding
weeks,
while main floor trade
The
wholesale
was
brisk.
Markets reflected
8,900,000 barrels during the more/inactivity^/the past week.
ending July 29, 1944. Stor¬ Reorders on some fall merchan¬
Buyers, the
supplies at the week-end dise were noted.
week
age
similar
decline,
Coal., Administrator,
Ickes,
continued at
of 17.2%.
R.
30,
number, of local institutions
are
"as
for
states "Iron Age,"
or
at
Washingtpn.
Gardner, President of the
authorities of men month new advances soared to
and women applying for admis¬
$10,247,895. This was more than a
sion to the military and auxiliary
full
year's lending
volume
in
forces or subject to the draft,
either 1935, 1938 or 1939, he indi¬
however, have revealed deficien¬
cated, and surpassed by 8.2% the
cies in the health of our nation.
next highest month
on
record,
In the face of these findings, as
January, 1944. June is seasonally
soon as the war is over, measures
one of the large months for local
should be taken for a more effec¬
thrift and home financing institu¬
tive improvement of the people's
tions to turn to their regional re¬
In
deliveries
that
AFebruary,
istration
military
the following
states,
1945, while others may be had in
December."
This
examination by our draft boards
health.
order books
on
cerned certain types of plates are
not
obtainable
until
Federal Home Loan Bank Admin¬
and
and
$10,000,000 loan month
history was reported July
by the Federal Home Loan
summary of June activities to the
protect and improve the
public health. The recent medical
ment to
steel
kilowatt
its
Bank
already
amounted to 158,800,000 kilowatt
hours, compared with 191,800,000
The first
in
local communities.
efforts
magazine
as
Local
Bldg. And Loan Ass'ns
schools
production
rails
and
have
sponding week of last
of this
public
have stated
the liberty and hap¬
we
Of HL'WiSi
is the
war,
should remain with the States and
Great
principles
him for
obliga ¬
tion the control and administra¬
the fulfillment
the
responsibilities
this
follow
The
far
piness of the American people.
joint obligation of the local com¬
munity, the State and the nation.
that
output
which is taking vast quantities of
semi-finished material.
of
is essential to
decent start in
a
by
produc¬
to expedite shell steel work
as
safety
of
child
offset
industry in this
steels
New
dence.
every
of
the
structural
which will deeply affect the future
of our country and the
well-being of our people. It is in
this spirit that we are facing the
future, confident that translation
An education that will guaran¬
recently
steel
involving
matters
The oppor¬
tunity for an education is, there¬
fore,
the
birthright
of
every
American, irrespective of race,
economic status or place of resi¬
tee
type
the
or
invited
/Government is the universal edu¬
Shell
programs
ing that period, the Governors of
our
and
It
understanding that this
the States have
republic
knew that the basic safeguard of
our
na¬
administrative agencies
of the Federal Government.
Dur¬
form of government depends upon
trained
and
intelligent citizens.
Thefounders
problems.
cabinet
other
any
of
transcends
entire
regions of our country have been
without
representation
in
the
public health, education and vo¬
cational rehabilitation..
A
mon
such
For
in the fields of
programs
which
Conference has been held.
in addition their administra¬
tion should be tied in closely
that unity
partisanship and strives unselfish¬
ly for the solution of their com¬
oper¬
programs
than
more
orders.
new
well
ment, and when by personal con¬
tact, the President of the United
States and the Governors of the
our
been
appeared
been pushed back
country
country.
Our efforts in the States to de¬
have
have
so
between
complished when all parts of the
are
represented in the
councils of the Federal Govern¬
chaos
which
based upon a complete and sym¬
understanding
/
! ;
.
backlogs," '////:■ *:/■/ compared with $908,452,071 in the
Steel
order
cancellations, the same period of 1943.
For
the
magazine says, have reached an month of June
alone, the tax bill
extremely low point and those of the Class I railroads amounted
pathetic
make
Federal
among
total
which
Government in
/'
;
17%.
Taxes
engrossed is
Constitution.
the resulting
in
of
crease
was
of the Federal
spirit
warfare
decline
a
enjoy the center of attention in
the industry the past week.
So
cedure is called for
administration
Practically
producer this week
show
through a stubborn resistance
by the States to the participation
looking toward consolidation of
agencies and simplification of pro¬
present
to
'
Jncreasing sponding period of 1943,
to
the
in
been
tion and the placement of orders
for this type of steel continued to
or
to avoid the
has
603)
page
10.6%
j with $2,630,384,634 in the
grasping for power on the
part of the Federal Government,
administration of welfare services
agencies and
have
we
stant
Federal
the
other
sought for America cannot
be accomplished, either by a con¬
and the disabled.
Reorganization
great
which
able
waterways,
and
(Continued from
heavy volume of steel busi-
a
steel
no
and
here
dependent children
ty/!.,.//;'/
"by
ness
in the past few weeks.
con¬
present
Conclusion
The
Unemployment compensation will
in the days ahead provide assist¬
ance during limited periods of un¬
employment. Increasingly
over
the years, especially if its cover¬
age is extended as it should be,
old age and survivors' insurance
will gradually assume a greater
burden of the care for the aged,
widows with
and
use
for
irrigation,
miind the increasing sig¬
nificance of the social insurances.
<
of
power, flood control
beneficial uses.
Federal
we need
of
several States in the
future
thinking of the mutual wel¬
and State governments,
and
orders
The State Of Trade
re¬
established.
development should recog¬
fully protect the rights
interest of the people of the
nize
by the war effort—
of which calls for
Federal leadership and help.
water
our
be
Such
problems of social and economic
adjustment for many of there per¬
sons.
This is an interstate prob¬
the
of
should
sources H
609
with the
barrels of gaso¬ same source states, "are tending
to operate more cautiously."
Total operating revenue based line; 11,137,000 barrels of kero¬
,/-vv;, :/./:/■///// year period as
compared - with
on
Retail Food Volume
Accord¬
3. The existing scattered Fed¬
reports from all Class I rail¬ sene; 38,135,000 barrels of distil¬
1843.
Mr. Gardner said that the
eral agencies concerned with vari¬
roads,
representing
a
total
of late fuel and 56,280,000 barrels of ing to Dun's survey of .business
residual
fuel
oil.
Chicago
bank
has
454
member
conditions, retail food volume was
ous
228,723 miles, in the first six
aspects of the public health,
Lumber
should be more closely integrated. associations in as many communi¬ months of 1944 totaled $4,636,071,Shipments —The Na¬ about 10% above last year. Sup¬
620
compared with $4,346,334,591 tional Lumber Manufacturers As¬ plies of meat, poultry and fresh
ties in Illinois and Wisconsin, and
control of the profession
cine.
,.
of medi¬
the
bank's
facilities
at
the
mid¬
period
in
1943.
v."
v ■
e
totaled 82.665,000
.'
—
.
Water
Resources
in the same period in 1943, or an
that 134 of them are now using
increase of 6.7%.
policy of cooperation, coordL.
Operating ex¬
its loan facilities. Loans outstand¬
nation, and understanding among
penses for the half year amount¬
ed
ing
as
of
June
30
were
the various Federal agencies and
to$19,214,130."
$3,077,777,848
compared
A
sociation
reports
that
r
lumber
produce
shipments of '505 reporting mills
were
1.1% above production for
dry
the week ended July 29,
some
but new
were up,
groceries
slow, due
while buving of
was
partly to
canned foods.
described as
shortages of
THE
610
COMMERCIAL & FINANCIAL
and
Employment Ceilings
Plants Not Producing War goods
WMC Acts To Place
In
More Effective
Control Designed To Provide
In
directive calling for
a
provide adequate manpower
Aug. 4 by James F.'Byrnes,
that "we are
structions have
issued on
he stated
short of manpower in the neighborhood of
"particular war materials" and he indicated that "in¬
been issued covering the necessary technical proce¬
insure
to
effective control" to
"closer and more
for essential war production,
Director of War Mobilization,
still critically
plants" making
dure
Adequate
War Needs
Manpower For
that
these
war ♦>
plants will have the labor they re¬
quire to make the goods required
for war."!
greater application of ceilings to
such activities in order to make
available the necessary manpower
for the most essential war jobs.
WMC intends to proceed aggres¬
urgently
needed,
warrant courageous
the
facts
action quick¬
ly to get for the Army
these heavy guns and
and Navy
ammuni¬
of
/-in'
for the following
statement
by Charles M. Hay,
Deputy Chairman and Executive
Director of the War Manpower
Commission, with respect to Mr.
4
facts
essential
certain
to
U/vm
which
public attention must be directed
in order that the needs of the
armed services may be met.
So
Byrnes' directive on "closer and
more effective control" to provide
adequate manpower for war pro¬
many
war
steps to free from
have taken place
waging modern
changes in the war needs
essential
changes
that
area-production urgency commit¬
plants in order to get back
business. If the pres¬
ent exodus from war plants con¬
tees,
the
man-power
priorities
committees in all Groups 1 and
in war
and the Normandy
hardships
on
civilian
to
2 labor areas shall promptly es¬
employment ceilings in
is going to interfere tablish
seriously with the possibility of war industries to enforce better
utilization
of existing labor; it
an early end of the war.
establish ceilings in
less
"In order to be prepared for the shall
industries which will
end of the war the War Produc¬ essential
make
labor
available
for
essential
tion Board has planned a proce¬
it
tinues,
it will permit
which
under
dure
the manufacture of
power
In gen¬ such other measures as may be
no in¬ necessary to insure proper and
full utilization of existing man
crease in civilian production per¬
mitted in any area where the la¬ power.
In case of disagreement,
bor required for it is needed in the decision of the chairman of
the
man-power
priorities commit¬
war production.
Our war needs
will come first, and civilian pro¬ tee shall be deemed as final, shall
duction must not interfere with become immediately effective and
conditions permit.
when
eral
will be
there
terms
The War Production
it.
had
no
Board has
Justice Byrnes
undoubtedly will be of great
beachheads
aid
the pro¬ area man-power priorities com¬
plan covering mittee made under 1 will be ex¬
through the responsible
reconversion and any resumption ecuted
of
production of civilian goods government agencies. Upon ap¬
merely means that while the gov¬ plication of the chairman of the
ernment is putting forth every War Man-Power Commission, all
effort to end the war, it is at the interested governmental agencies
same
time preparing to handle will apply any and all sanctions
the problem of reconversion. It is lawfully available to the govern¬
planning for increased
civilian ment, including the allocation of
production only when there are materials, fuel, power and serv¬
available supplies and man power ices to insure compliance with the
of*4he kind not required for the determination of the committee.
"3. If an area-production ur¬
essential war programs. And
undoubtedly realize that
of
in
department
executive
the
while
the
of
mulgation
government is engaging itself
these plans and their perfec¬
possess¬
learned that when
uals.
particular
supplemental actions nec¬ he applies the scorched-earth pol¬
essary to give full effect to Jus¬ icy and the result is that no rail¬
tice Byrnes' directive are being roads or highways are left avail¬
>;i !
''
taken now and will be followed able.
and workers in not
"The
'
up
"That
vigorously.
We will depend
individ¬
.
means
we
.
have to repair
ceiling
give sufficient
program
of
the
emphasis to reduc¬
that
established in Groups
delay or re¬
fuse to
proceed with labor re¬
tive program.
"These plans by the executive ferrals in the area on the ground
and by Congress do not mean that that proper utilization of labor is
not being made.
we definitely expect an early end
is
designed
to
and
move
only these war
industries, but in civilian indus¬
tries as well, to meet their own
local needs quickly.
"In
order to enforce
these em¬
our
"These situations will be
ous
to
every
American
obvi¬
immediately
Commission will not
upon
of government for the purpose of
citizen.
labor ceilings. v These
For the few programs in which enforcing
secure production is now critically short powers include not only the con-
ing the employment levels in less
essential activities. Justice Byrnes'
order
roads
in a
1 or 2 labor area, certifies
the need for production is
Group
Congress is similarly en¬
gaged in developing the legisla¬
supplies by
ployment ceilings until the war
That requires increased
War Mdhnower Commission has trucks.
production
of
trucks
and
in¬ requirements are met, I have au¬
been in effect in all Group I and
II labor areas since July 1.
In creased production of tires for thorized all governmental agen¬
them.
*
cies to use every available power
some areas the program does not
"The
committee, established
gency
enough
use
we
we
suspended pending:
appeal that may be taken.
"2. The determinations of the
any
manufacturers
and
"Workers
be
not
shall
other intention.
local of the war. They, do mean that
artillery
and administration for the best possi¬ whenever the war ends in any
bombs we can save the lives of ble handling of the problem. But
to us in making the manpower
major phase, we intend to be
many of our men.
Our officers in we are going to insist that these readv to lessen the shock of the
program
now
operating
even
the field are demanding, and they local committees in charge of the
transition of war to peace.
more
effective.
The
directive
have every\right to demand, in-* problem meet the needs in their
gives full recognition to the fact
Wherever they have
creased quantities of heavy ar¬ own areas.
Text of the Directive
that the success of the manpower
excess manpower
they must ac¬
tillery, bombs and ammunition.
"The following is the directive
program
depends
in the last
"For the same reason they are cept a quota for recruitment in
issued today
regarding the ad¬
analysis 'upon community cooper¬
demanding increased production order to meet the needs of other ministration of the plans for la¬
ation.
It also recognizes the ob¬
areas
where
requisite bor
of explosives.
That requires in¬ critical
utilization, recruitment, labor
ligation of communities with sur¬
creased
production in our shell manpower cannot be secured.
plus labor to furnish aid to the
ceilings in war and civilian plants
and bomb loading plants.
"The
responsibility
for
man¬
critically short areas.
and the decentralized procedure,
"When we use heavy artillery ning our war plants is clear and
"It
undoubtedly should focus
that
local problems can be
to blast a beachhead we destroy unmistakable, ^ and it rests with so
public attention upon the impera¬
The communi¬ handled locally by those having
tive importance of full coopera¬ all transportation facilities in the the communities.
tion with WMC's efforts to place area bombed or attacked. We send ties must meet the responsibility intimate knowledge of local con¬
workers where they are most ur¬ our far-ranging bomber fleets to if we are to be able to finish the
ditions.
war without enacting a universal
gently needed. This is the major attack all transportation facilities
behind the enemy so as to pre¬ service law. Those at home must
purpose of our program.
"On Sept. 4, 1943, the Office of
"The directive should assure us vent the enemy from getting ma¬ work as hard as those abroad are
War
Mobilization
announced a
I will arrange for in¬
of full teamwork on the part of terials up to support its army near fighting.
When the structions to the local committees program designed to meet: war
all Government agencies in doing our point of attack.
enlist the aid of all citizens and essential civilian man-power
enemy retreats out of a territory to
this job.
Vvv'--/;
"The directive of
production; it shall set man¬
priorities and it shall take
war
civilian goods
civilian and less tion,
industries men
the
determined by
services
and
"People want to leave their jobs
ing the skills required to produce
war
goods. The placing of these
ceilings on employment may work
inevitable.
"At Cassino
duction:
use
is fired.
shot
plants
are
located. We have
placed responsibility on the area
officials
to
take
all necessary
in the methods of
are
the
within the areas for man power
accord with directives from
tion,
bombs, radar equipment
ings are respected and the war the production executive commit-:
trucks, tanks, construction equip¬
supplies for the men at the front tee of the War Production Board.
ment, tires and tentage fabric for
There
was
also
established in
are promptly met.
housing the troops making the
"The War Department is rapid¬ each area a man-power priorities
rapid advances which our services
ly gaining experience in the bet¬ committee under the chairman¬
are making all over the world.
ter utilization of war. prisoners. ship of the War Man-Power Com¬
"These are some of the items
The possibility of increased use mission, which was empowered to
which are required by an ex¬
and better use of these jnen in the establish ceilings, to control refer¬
panding army on a vigorous offen¬
war
programs is being carefully rals, to meet the priorities estab¬
sive. These shortages do not tel
by
the
area-production
developed.
While war prisoners lished
the whole story, but they are the
urgency committees and to assure
may not be used on war weapons
critical ones which demand the
the
and
proper utilization of man
explosives, there are many
immediate
attention of govern¬
parts of the program in which power within the area.
ment and people.
"Continued
difficulties in meet¬
they can be used, and they are
"I have spent several days in
ing important parts of our war^
going to be used.
conference with the governmental
"Similarly, I am endeavoring to production schedules and the in¬
agencies working on the program,
creasing desirability of establish¬
and
am
sure
they will carry arrange a program for utilizing
some
unskilled foreign labor for ing a means for a more rapid
through their assignments aggres¬
a
limited period where it is im¬ allocation of man power to meet
sively and efficiently. All are in
possible to secure adequate local shifts from war to civilian pro-i
accord that the needs of the war
duction at the appropriate- time
labor.
must
come
first—ahead of any
There is a public psychology now require a closer and more
thought of increased civilian pro¬
in this country that the end of \ effective control.
Therefore, it is
duction or increased employment
the war is near at hand. No man directed:
for producing civilian goods. We
"1.
Based upon
the require¬
knows
when the war will end.
have the enemy on the ropes; he
for
essential
production
We must produce until the last ments
is
dazed
and
his
knees
are
;
Aug.
material for interested procurement agencies;
control The committee was empowered
establish
relative
urgencies
of fuel, power, trans¬ to
of
flow
portation and every other lawful
in
means of insuring that the ceil¬
...
on
the
in manufacturing, but
use
.
here
of
trol
out that "we have
ceilings on employ¬ sively and immediately to see that
ment in war plants," Mr. Byrnes
all the labor,
particularly male
added, "we are now going to pro¬
labor that can be released in ac¬
ceed
vigorously wherever it is
tivities which are of relatively
necessary to place ceilings on em¬
lesser importance, is made avail¬
ployment in plants not producing
able,
war goods."
"This program outlined by Jus¬
Making
the
statement that tice Byrnes also is designed to be
"we have the enemy on the ropes;
of assistance in WMC's efforts to
he is dazed and his knees are
recruit workers in labor surplus
buckling," Mr. Byrnes went on to
areas.
Such recruitment efforts
say,
"this is no time to take a have been aggressively carried buckling. This is no time to take
a
holiday and give him time to
holiday and give him time to re¬
out, but the requirements of the recover. It is time to finish the
cover.
It is time to finish the job.
most
critical war programs lo¬
We cannot let down our men in
job. We cannot let down our men
cated in tight labor areas call for
in the armed services.
the armed services."
even greater numbers than so far
From
Mr. Byrnes's statement
"Some time ago our difficulties
have been available.
and directive we also quote:
"In regard to civilian produc¬ lay primarily in the field of ma¬
"The
responsibility for man¬
terials.
Happily, on the whole,
tion, Justice Byrnes' order, while
ning our war plants is clear and
these shortages have been met.
recognizing the need for getting
unmistakable and it rests with the
We are
still critically short of
ready
for such
resumption of
communities.
The
communities
civilian
production as may be manpower in the neighborhood of
must meet the responsibility if we
possible, is designed specifically plants making these particular
are
to be able to finish the war
to make
certain that under no war materials which I have men¬
without enacting a universal serv¬
tioned (heavy guns and ammuni¬
circumstances do such programs
ice law.
bombs,
radar equipment,
interfere with manpower require¬ tion,
"In order to enforce these em¬
trucks, tanks, construction equip¬
ments for war production.
ployment ceilings until the war
"WMC will provide its field or¬ ment, tires and tentage fabric).
requirements are met, I have au¬
"Today instructions have been
ganization with specific instruc¬
thorized all governmental agen¬
covering
the
necessary
tions
as
to how to proceed in issued
cies to use every available power
technical procedure to insure that
dealing with situations where the
of government for the purpose of
Commission's
ceilings
are
not these war plants will4rvhave
the 4n
la-A
ws nlr A
enforcing labor ceilings. . . .
bor
they require to make the
complied with.
Justice Byrnes
"There is a public psychology
order
assures
the Chairman of goods required for war.
in this country that the end of
"In
the
past we have been
WMC of the complete cooperation
the war is neap at hand. No man
concerned
about
the
of-the War Production Board and mainly
knows when the war Will fend. We
the procurement agencies so that hoarding of excessive labor forces
must produce until the last shot
their powers of contractual rela¬ in war plants and the failure of
is fired.
*
tions be brought to bear when¬ some of our war plants to utilize
"People want to leave their
available manpower to the fullest
ever
noncompliance arises."
jobs in war plants in order to
extent.
We have placed ceilings
get back to civilian business. If
Mr. Byrnes' statement and di¬ on employment in war plants. We
the
present exodus from ■ war
are now
gqing to proceed vigor¬
rective follows:
plants continues, it is going to in¬
"Several days ago I was ad¬ ously whenever it is necessary to
terfere seriously with the possi¬
vised by the procurement agen¬ place ceilings on employment in
bility of an early end of the war."
cies that a shortage was develop¬ plants not producing war goods.
While we are giving
further
"We are going to handle the
below Mr. Byrnes' statement and ing in the production of certain
vital war materials.
There are problem in the area where the
directive in full, we make room
Pointing
placed
Thursday, August 10, 1944
CHRONICLE
which
needs
pri¬
im¬
Groups
The area-
and man-power
committees shall be
orities
mediately established
3 and 4 labor areas.
production
in
committees
urgency
established in such
with the re¬
sponsibility of
authorizing in¬
creased
civilian production.
No
which will be
charged
are
areas
increased civilian
production will
in
the area with¬
authorized
be
out the
applicable to
Subsequently, the
extended to all crit¬
areas
throughout the
approval of this commit¬
It will not
tee.
was
the West Coast.
Area-production urgency
4.
committees
authorize such;
production until the representa¬
tive of the War Man-Power Com-,
mission
within the area has cer¬
the committee
tified in writing to
labor
that
production
is
available for
local and
with
inter-regional la¬
recruiting efforts therein.
bor
"5.
The general
tablished in the west
labor
United
States.
,
provided for the
In
substance,
it
establishment of
commit¬
area-production urgency
tees
in
each
under the
critical
labor area,
chairmanship of a rep¬
resentative of the War
Board, with
Production!
membership from the
power
15,
program,
coast man¬
effective
1943, will continue to
plicable
Sept.
be ap¬
except as herein modi¬
fied.
"6.
tal
any
:
procedures es¬
program was
ical
such
interference
without
;
All responsible governmen¬
agencies shall promptly issue
appropriate
make effective the
regulations
foregoing."
to
1
Volume
Number 43C6
160
THE COMMERCIAL & FINANCIAL CHRONICLE
Gil
Daily Average Crude Oil Production For Week Eledric Output For Week Ended Aug. 5, 1844
Ended July 29,1944 Decreased 7,000 Barrels
Shows 3.7% Gain Over Same Week Last Year
The American Petroleum Institute estimates that the
daily aver¬
age gross crude oil production for the week ended July 29, 1944 was
f
4,608,450 barrels, down 7,000 barrels from the record level reached in
the preceding week.
The current figure was, however, 2,350 barrels
higher than the daily
average figure recommended by
Administration for War for the month of
The Edison Electric
mated
that
the
the electric light and
industry of the United States for the week ended Aug. 5, 1944,
was
approximately 4,399,433,000 kwh., compared with 4,240,638,000
kwh. in the corresponding week a year ago, an increase of 3.7%. The
output for the week ended July 29, 1944, was 3.9% in excess of the
similar period of 1943.
power
1.3
1.4
0.3
"0.7
"3.1
"3.7
"3.5
"2.5
Central Industrial
3.2
2.7
2.7
3.3
barrels of
West Central
1.9
0.0
1.2
4.5
8.1
9.0
9.7
9.2
gasoline; 1,314,000 barrels of kerosine; 4,883,000 barrels of
week ended July 29,
1944; and had in storage at the end of that week
82,665,000 barrels of gasoline; 11,137,000 barrels of kerosine; 38,135,000 barrels of distillate
oil.
PERCENTAGE INCREASE OVER
Major Geographical DivisionsNew
England—
*
*
"State
•P. A. W.
dations
;:
Rocky Mountain
Pacific Coast
Week
Change
Ended
from
"Decrease
340,000
333,500
—274,000
269,400
t279,250
—
6,050
277,400
306,150
50
900
2,200
1,000
Texas_
Week
t95Q
+
1944
____
89,200
90,400
137,700
463,000
245,600
148,400
128,000
371,COO
148,350
past Texas—_——
363,550
363.600
Southwest
Texas—
319,750
,319,800
Coastal Texas-——_i
531,400
Total, Texas.—
2,064,000 t2,064,698
—
2,067,300
230,000'
531,400 "
—_
1,615,600
2,067,2C0
—
412,900
'
•
i'S'*'•
:
■
-*1'
y'':-'■
■' 11111111
■—* 1 """ ■ >'
Coastal
■■■""
■
North Louisiana
72,350
Louisiana—-
rn
300
+
v
72,000
284,400
.■■■■•I.'-■■■
-
3,903,723
4,245,678
4,291,750
4,144,490
3,925,893
4,264,600
4,040,376
4,287,251
4,098,401
3
—
—
264,000
Total
Louisiana.—
Arkansas
350,000
389,000
357,750
78,000
77,991
80,500
—————
Mississippi
Alabama
41,000
_
45,050
'
—
+
3C0
+
100
200
Florida
357,400
348,500
80.500
77,400
44,600
53,250
200
____
50
Illinois
—
„
215,000
207,600
14,600
13,400
Indiana U
Eastern—
—
650
205,300
218,850
+
750
13,200
13,850
(Not incl. 111.. Ind.,
•<,
Ky.)
Kentucky
jvfichigan
___
71,200
— —
22,000
—
60,800
81.05C
1,800
23,600
25,050
+
50,850
+
1,250
50,500
%7,90C
93,450
+
5,700
87,300
100,000
24,400
.21,900
21,450
7,400
8,600
——
New Mexico
24,950
8,250
51,000
Montana
Colorado
—
94,000
—
J
yVyoming
53.150
.■
113,000
113,000
200
22,100
300
8,600
7,300
—
108,300
103,950
7.2C0
3,747,700
3,366,000
200
853,600
767,300
7,000
4,601,300
4,133,300
—
—
103,500
♦
Total East of Calif.
California
3,752,600
1
853,500
—
Total United States
"P.A.W.
recommendations
and
state
do
fThis
s
is
the
net
shutdowns
fields
basic
and
which
allowables,
not
include
figures
allowable
as
exemptions
were
—
shown
as
of
amounts
represent
above,
condensate
and
the
natural
:
tOklahoma, Kansas, Nebraska
several
+
4,608,450
of crude oil only, and
derivatives to be produced.
Includes
—
855,500
4,606,100
production
gas
3,752,950
§853,500
for
are
of
for week ended 7:00 a.m. July 27,
1 calculated
July
the
on
31-day basis
a
With
month.
entire
1941,
the
and
exception
of
exempted
entirely and of certain other fields for which
shutdowns were ordered for from 1 to 15 days, the entire state was ordered shut
down for 7 days, no definite dates
during the month being specified; operators only
being required to shut down as best suits their operating schedules or labor needed
to
operate leases, a total equivalent to 7 days shutdown time during the calendar
month.
SRecommendation
.V.:"./' '■~
CRUDE
RUNS
AND
of Conservation
of California
Oil
Producers.
V-/;
OF FINISHED
" \
:
:
STOCKS
AND DISTILLATE FUEL AND
WEEKENDED JULY
Figures
plus
,
GASOLINE;
,
this
In
29,
section
include
reported
totals
estimate of unreported amounts and
therefore on a Bureau of Mines basis
an
are
§ Gasoline
X;'::/"Production
Daily Refining
atRetStocks tStocks {Stocks
Capacity
Crude
fineries Finished of Gas
of Re1
♦
Poten-
■
.
tial
District—
Runs to Stills
% Re-
Rate
Dally
Includ.
and Un-
% Op- Natural finished
porting Average erated Blended
Oil and
sidual
Distillate
Fuel
Gasoline Fuel Oil
Oil
•Combin'd; East Coast
Texas
Gulf,
iana
T
f.
Louis¬
North
Gulf,
ftllfielQMQ -A
tl.CQC
and inland Texas
•„
J
District No.
1
District No.
2
Ind., 111..
No.
3,579,000
3,322,651
1,381,452
1,615,085
5.6
3,372,374
1,435,471
1,689,925
little
5.5
3,463,528
1,441,532
1,699,227
moment.
+
4.6
3,433,711
1,440,541
1,702,501
1,711,625
little
1,433,903
1,727,225
of
3,625,645
1,440,386
1,732,031
Aug.
5
Aug. 12
Aug. 19
Aug. 26
—
4,390,762
4,226,705
+
3.9
3,649,146
1,425,986
1,724,728
4,399,433
4,240,638
+
3.7
3,637,070
1,415,122
1,729,667
4,287,827
3,654,795
1,431,910
4,264,825
3,673,717
1,436,440
1,750,056
4,322,195
3,639,961
1,464,700
1,761,594
— —
At
ment
shipments, steel customers generally
everywhere
this
manufacturers
schedule
e v
was
i d
week.
who
e n
t»
Some
behind
are
are
cancellation,
of
while
schedule
are
those
said
to
be
to
be
The
seen.
prediction is said to be predicated
upon a'steel manpower deficit of
50,000
production following drastic
cutbacks, but this factor is not
believed to have been present in
got
the WPB forecast.
"Along the post-war
contro¬
versy front reports from Wash¬
ington this week were to the ef¬
ammunition
equipment
also been
sheet
box
electrical
and
manufacturers
have
The galvanized
placed.
market has become
deliveries
that
so-over
are
now
87 f
4,627
94.3
14,115
t82,665
38,135
56,280
4,908
87.2
114,670
95.2
14,243
82,150
37,513
55,315
3,769
of the
Petroleum
11,102
Administration
for
73,409
War.
34,328
67,361
tFinished, ,70,175,009
in
gas
and
8.433,000
,lf Re vised in California due to
of
kerosine
^gainst 11.085,000 barrels
a
barrels,
error
at
respectively,
by reporting
July
29,
1944
in
the
company.
amounted
week
July 31,
1943.
-
to
week earlier and 9,179,000 barrels
ended
11,137,000
barrels,
a year before.
as
of
settle¬
in¬
compiled from
as
the New
from its
by
Exchange
member firms, was
shares, compared with
1,287,970 shares on June 30, both
totals
excluding short positions
carried
all
in the odd-lot accounts of
odd-lot
July 31
dealers.
As
of
the
settlement date, the total
short interest in all odd-lot deal¬
accounts
ers
43,292
was
compared
with 39,587
June
The
30.
being
quoted
shares,
shares'on
announcement
|
of
for
business
97.8%
one
year
The
ago.
day for
for the week be¬
1943—
Aug. 7 is equivalent to
1,737,500 tons of steel ingots and July 30__
castings, compared to
1,735,000 Aug. 31
tons one week ago, 1,714,300 tons Sept. 30
Oct. 29
one month ago, and 1,704,000 tons
one
months:
mary
of the iron and steel mar¬
Dec.
801,321
761,827
729,291
______
Jan.
31
Feb.
29
some
•'
•
847.335
960,617
1,028,489
__
1,090,581
1,181.293
June 30__
1,287.970
July 31
1,327,641
_
Redeem Panama Bonds
steel¬
The National City Bank of New
makers, now operating at about
that the recent 'hul¬ 97 % of capacity, are doing better
than
by the War De¬
predicted early in the sea¬
partment over lags in war pro¬ son, when it was estimated freely
duction resulted
in
Mr. Byrnes that ingot output in third quarter
York, as fiscal agent of the Loan,
is notifying holders of Republic
and
quoted
men
who
adhering to this
decline
the
"Meeting
challenge,
737,042
:
1944—
kets, on Aug. 7 stated in part as
military
760,166
31
follows:
"With
836,764
Nov. 30
year ago.
"Steel" of Cleveland, in its sum¬
Apr. 29
May 31
and
last 12
operating rate
agencies, particularly the Army,
striving for a new peak in ord¬
nance
war
production this fall, pres¬
agency sources believe that
for
prompt steel tonnage
all WPB reconversion plans have sure
appears
as heavy as it has been at
been scuttled by the Byrnes man¬
power directive of Aug. 4.
The any time.
that Congressional
fect
the
ginning
Mar. 31
1,540
4,908
close
31
obtained
Stock
procurement
4,087
-
request
Note—Stocks
recently. Heavy orders from
gram
and
remains
be
to
say
labaloo'
raised
War Manpower would be down 7% to 8% or more,
practically a because of manpower shortage,
National Service Act.- The direc¬ hot weather and need for equip¬
granting
to
the
tive gives WMC power to set em¬
1944..
barrels
cut from the shell container pro¬
WPB
1,779
32,598
Closer in¬
the
of
July
the Exchange added:
March,
1945.
Of
the 1.241
individual
stock
"In the face of the outstanding Even this date may be spread out
steel
record
in
recent
months further by the award of the bal¬ issues listed on the Exchange on
July 31, there were 60 issues in
ance of the 1945 Quonset hut pro¬
comes the prediction this week by
which a short interest of 5,000 or
the WPB that steel output in the gram which requires about 60,000
more shares- existed, or in
which
fourth quarter may run between tons of galvanized sheets."
a
change in the short position of
94% and 95% of capacity.
The American Iron and Steel
The
2,000 or more shares occurred
only time in recent months that Institute on Aug. 7 announced
during the month.
the steel rate sagged to 95% was that telegraphic reports which it
The number of issues in which
in the Fourth of July week when had received indicated
that the
a short interest was
reported as of
some
plants were shut down for operating rate of steel companies
July 31, exclusive of odd-lbt deal¬
the holiday. Since that time raw having 94% of the steel capacity
ers short positions, was 683 com¬
steel output has been maintained of the industry will be 97.0% of
pared with 715 on June 30.
at or above 96% of capacity. capacity for the week beginning
In the following tabulation is
Whether or not the rate will drop Aug.
7, compared with 96.9% one shown the short interest
existing
as
low as that predicted by the week ago, 95.7% one month ago
at the close of the last
5,858
9,025
contracts.
war
extended
6,799
14,249
putting their
■
eyeing the delivery status of steel
closely for the same reason.
18,091
2,259
were
date,
York
as
the
on
formation
control
1,355
99.6
business
Exchange
August 8 that the
on
interest
no
houses in order for sudden cancellations of
2.672
814
short
1,327,641
86.6
89.9
The New York Stock
announced
members and
92.0
817
NYSE Short Interest
order
of
excess
ahead
bcause
of
ship
pressure,
work."
in
on
expected to
importance
volume this past week continued at recent high
signs of any decline," the "Iron Age" states in its issue
of today (Aug. 10), further adding: "It was noted,
however, that even
though orders were pouring in to steel mills and were, in most cases,
758
3G
immediate
greater
are
Higher On July 31
Operations Up 0.1% — Volume Continues
High Levels — Orders Exceeding Shipments
362
604
1,733,110
Steel
80.2
3
;
—_
—
85.2
348
the
3,428,916
824
418
55
at
3,565,367
view
2.220
demand
short time railroad
a
0.5
government
34
plate
In
4.6
145
331
other
4.4
322
unfinished,
and
7.6
+
+
Commission what is
July 31. 1943
barrels of
+
and
from
+
175
12.490.000 barrels.
JStocks at refineries, at bulk terminals, in
pipe lines. ' §Not including 1,314,000 barrels of kerosine. 4,883,000
oil and distillate fuel oil and 8,900.000 barrels of residual fuel produced
during the week ended July 29, 1944, which compares with 1,464,000 barrels, 5,073,000
barrels and 8,947,000 barrels, respectively, in the preceding week and 1,187,000 barrets,
transit
3,990,040
Navy and Maritime
Commission requirements there is
little diversity in the former
apart
+
1,532
'
barrels;
1,705,460
+
99
Total U. S. B. of M.
the
1,704,426
1,425,151
4,196,357
87.2
U. S. Bur. of Mines
"At
1,435,731
3,379,985
3,919,398
4,184,143
41
,
basis July 29. 1944,.
basis
1,698,943
3,356,921
6.3
3,940,854
87.2
Total U. S. B. of M.
basis July 22,
1,436,928
6.8
4,377,152
4,380,930
47
California
..
3,365,208
+
8
July
July 22
16,948
70.2
in
July 15
466
92.3
continue
increase, although there should be
20,481
12
sheet
and
principal demand, with relatively
equipment orders
2,246
99
sub¬
being promptly
by other requirements.
"Plates
1929
for
tonnage
gaps
1,723,428
37,473
17.0
in
1,592,075
277
58.3
Recently
mills have received
.
filled
cer¬
other
1,341,730
1,415,704
7,088
13
plate
of
and
in point.
1,456,961
83.8
141
several
cruisers
case
3,424,188
96.6
4
a
3,457,024
109
District No. 3
District
types of
craft is
4.6
1932
program
5.3
2,432
Rocky Mountain—
f
more
5.0
83.9
Mo
cer¬
provide capacity.for
production in others. Recent
+
90.3
Ky
Okla., Kans.,
some
in
+
130
C
made
4,110,793
2,518
■
contingencies
4,120,038
...
_
'
Appalachian—
meet
+
temporary sharp drop in steel in¬
OF
GAS, OJL
"To
3,992,250
(Figures In Thousands of barrels of 42 Gallons Each)
PRODUCTION
GASOLINE,
One leading steel maker is ex¬
pected to be able to get under
way with a
large shell contract
early in September.
3,969,161
1944
STILLS;
RESIDUAL FUEL OIL,
^
(
shell
sharply.
8.5
workmen. Defeat of Ger¬
many
by the fourth quarter of
this year would in itself cause a
UNFINISHED
'
Committee
-j;s
TO
rise
+
reported pressing
for delivery of steel with an eye
:-
/
installed
4,325,417
1
ventory
100
-
1942
is
should
4,327,359
July
"Steel
285,400
1943
nearing completion
this
marines, the
over
of
shellmaking •'
easing in the submarine
expedite construction
(Thousands of Kilowatt-Hours)
% Change
4,238,375
when
production
reductions
4.4
3.9
and
promise
some
Additional
equipment is
tain
1943.
4,233,756
levels with
♦
in
May 20
84,500
.
17.6
May 13
June 24
151,600.
Texas—
V
'
July 29
89,150
151,550
—463,550
East Central
1943
*4.6
18.5
6
June 17
1,700
July 29,
week
holds
relief.
to
"3.2
1943
July 31,
—
1944
Texas——
similar
July 15
16.9
3.7
under
uation,
tain lines to
July 22
V' "5.3
1944
June
July 29
of Washington and in¬
dustry representatives to this sit¬
cutbacks have been
1.4.4
DATA FOR RECENT WEEKS
June 10
t339,500
Previous
.
YEAR
•4.5
Total United States
Ended
332,000
panhandle Texas—-
West
Week
Ended
332,000
Nebraska
North
4 Weeks
July 29,
July
♦
...
May 27
Actual Production
ables
begin.
July 1
Oklahoma
Kansas
(FIGURES IN BARRELS)
Allow-
Recommen-
——
Week Ended—
DAILY AVERAGE CRUDE OIL PRODUCTION
.
:
Southern States
May
f
Aug. 5
Middle Atlantic
fuel, and 56,280,000 barrels of residual fuel
the East Coast.
on
PREVIOUS
Week Ended
The above figures apply to the country as a
whole; and do not
reflect conditions
.
of electricity by
the Petroleum
July, 1944, and exceeded
the week ended July 31, 1943 by 475,150 barrels
per day.
Daily out¬
put for the four weeks ended July 29,' 1944 averaged 4,601,300 bar¬
rels.
Further details as reported by the Institute follow:
Reports received from refining companies indicate that the in¬
dustry as a whole ran to stills on a Bureau of Mines basis approxi¬
mately 4,627,000 barrels of crude oil daily and produced 14,115,000
distillate fuel oil, and 8,900,000 barrels of residual fuel oil during the
♦
Institute, in its current weekly report, esti¬
production
attention
ployment
ceilings
tries
wherever
under
the
all
on
WMC
located.
directive
can
wherever
it
wilL'interfere
with
labor
if the
and
stoppages.
"Of
"Heavy sheet demand is appar¬
Bolted
storage tanks for the
war
fronts
have
substantial
rates
new
and
a
goals are to be
this
means
minimum
B, due Mar. 15. 1967. that $108,000
aggregate
principal
of
amount
these bonds have been drawn by
lot for
redemption
at 102 ¥2%
on
Sept. 15, 1944. The bonds, together
with all
unmatured
interest
cou¬
more
work
of
pons
attached, should be presented
at the head office of The National
.
*
production.'
ent.
go
the necessity
higher operating
Now
repair.
apparent for
prohibit achieved
resumption of civilian production
war
ment
indus¬ is
of Panama 26-year 3 V2 % External
Secured Refunding Bonds, series
been
quantity
ordnance
for
importance
program,
also,
to
is
the
need
greater manpower in some
in affiliated lines, where severe choke
will points have develoned, esoeciallv
placed
which
major
far towards replacing tonnage
in
City Bank
of
New
agent for the loan.
York,
Interest
fiscal
on
the
bonds drawn for redemption shall *
cease
forgings and castings. However, tion
from and after the redemp¬
date.
612
I industrial
Living Costs in Large Cities Up 0.2%
From May I5-June 15, Labor Dept. Reports
'for each:
Amusement
in the budget
Automobile
and services important
of the goods
Retail prices
lower
Food
3,384,294,875
40.08
subscriptions are
v-V-'-i
V
.
"
Clothing
Food
Rent
electr.
Food
+ 0.1
1942 to June 15, 1944
May 15, 1942 to June 15, 1944
Jan. 15, 1941 to June 15, 1944
+ 0.2
+ 0.5
+ 6.5
+ 8.1
+24.4
"+ 7.2
1939 to June 15, 1944
+27.2
+45.1
15,
594,663,925
1,397,421,048
51.31
1,407,844,045
2,314,759,944
1,299,512,659
3,881,150,893
22.74
Utilities
123,541,329
Operating Abroad
&
Electric
Gas
&
Electric
Miscellaneous
U.
S.
Cos.
Foreign Companies
All Listed Stocks-.
31-
Aug.
—.
3ept. 30.,——
Oct.
31
Nov.
30———
Dec.
31
—
4.4
+11.6
+38.8
23,20
999,832,016
24.15
171,719,019
27.11
163,467,870
27.85
52,488,254,469
35.C7
53,067,698,691
Clothing tRent
.34,871,607,323
35,604,809,453
24.20
Oct.
30
37,727,599,526
37,374,462.460
38,811,728,666
25.65
Nov.
30—
25.41
Dec.
31
'31—
Jan.
29.61
Feb.
29-;-——
31.20
Mar.
31
46,192,361,639
"31.45
48,437,700,647
48,878,520,886
47,577,989,240
32.17
Apr.
30
May
29—
June
30
;
31-
July
0.4
0.2
0
-
32.04
32.82
48,178,040.869
45,101,778,943
47,607,294,582
32.44
30.33
31.96
*
32.96
33.27
June 30—
July
48,396,650,695
48,494,092,518
I
Apr.; 29—
;
May 31—
49,421,855,812
48,670,491,772
50,964,039,424
53,067,698,691;
52,488,254,469
-
31——_
Averages
Aug.
-
.
8——
,
7
Govt.
Bonds
120.03
A
Baa
118.60
117.00
112.19
103.30
Aaa
rate"1
112.56
Aa
P. U.
Indus.
^The ^tti^ent; wiirhave-a
106.74
114.27
117.00
of completing
years
117.00
112.19
103.30
106.92
114.27
117.20
118.80
117.00
112.19
103.30
106.92
114.27
117.00
117.00
112.19
103.30-
106.74
114.08
117.23
112.56
117.00
112.19
103.30
106.74
114.08
117.2;
required by following the cooper-;;
118.80
117.00
112.19
103.30
106.92
114.08
117.2r.
ative study plan.-,
120.09
118.80
117.00
112.19
103.30
106.74
114.C8
117.20
120.10
112.37
118.60
116.80
112.19
103.13
106.56
114.27
117.00
120.18
112.56
118.60
117.00
112.19
103.13
106.56
114.27
117.20
120.23
112.56
118.60
117.20
112.19
103.13
106.39
114.08
117.40
communicate
with/ Cleveland"; College;
Western Reserve University, Pub¬
120.27
112.56
118.60
117.00
112.37
102.96
106.21
114.08
117.40
120.15
112.37
118.60
116.80
112.00
102.80
106.04
113.89
117.40
120.13
112.19
118.40
116.80
112.00
102.63
106.04
113.89
117.20
120.01
112.19
118.40
116.61
112.00
102.63
105.86
113.70
117.20
119.88
112.19
118.60
116.61
111.81
102.46
105.69
113.89
117.20
119.99
112.19
118.60
116.80
111.81
102.46
105.86
113.89
117.00
119.66
112.19
' 118.40
116.80
111.81
102.30
105.86
113.89
117.00
19——
119.59
112.00
118.60
116.80
111.81
102.13
105.86
113.89
116.80
12
119.48
112.00
118.60
116.80
111.81
101.64
105.52
113.89
*116.80
5
119.48
111.81
118.40
116.61
111.62
101.47
105.52
113.70
116.41
116.61
111.62
101.47
105.34
113.70
116.41
——
14
—
7——.
fune 30_
23
9—
2-„
-
.
-
May 26
•*.. v
U
111.44
118.20
116.41
111.25
100.81
104.66
113.70
116.22
July 28 that
111.25
118.20
116.41
111.07
100.32
104.31
113.50
116.22
member
'an.
28
119.47
111.07
118.20
116.22
111.0T
100.16
104.14
113.31
120.44
112.56
118.80
117.20
112.37
103.30
106.92
,114.27
119.34
110.70
118.20
116.22
110.88
99.04
103.30
113.12
120.87
111.44
119.41
117.00
111.81
99.36
103.47
114.27
116.85
107.44
116.80
113.89
108.88
92.35
97.16
111.81
1943—
7,
1942—
8,
120.19
111.25
119.20
117.00
111.62
99.04
103.13
114.08
117.97
107.09
116.80
113.31
108.34
92.06
96.23
111.44
MOODY'S BOND
U. S.
Govt.
Bonds
Averages
8
Aug.
+
0.3
7—
5.2
5
0.1
1.8
+
10.4
0.1
3.2
+
12.0
+
9.2
4
1.6
4.5
+ 13.3
+
9.7
3
+ 37.0
3.0
+ 37.6
3.6
c
July 28
21
—
—
-
7
June 30
23
—
16
—
9
May 26—
19
,
—
-
rate*
Corporate by Groups*
Corporate by Ratings*
Aaa
A
Aa
Baa
U.
R. R.
Indus.
reestablishment of
production and trade
according to
to the
related
Avge.
Corpo¬
discuss with them problems,
will
YIELD AVERAGES
Individual Closing Prices)
on
Belgium's
her liberation,
after
3.05
3.55
3.35
2.94
2.80
1.80
3.03
2.71
2.80
3.05
3.55
3.34
2.94
2.79
said:
1.79
3.03
2.71
2.80
3.05
3.55
3.34
2.94
2.80
1.79
3.03
2.71
2.80
3.05
3.55
3.35
2.95
2.79
1.79
3.03
2.71
2.80
3.05
3.55
3.35
2.95
that Belgium
purchase in the
supplies
vitally
needed for the rehabilitation of
the country."
77
Mr. Szymczak will be accom¬
1
en
'-"/■/
is
"It
expected
wish
will
to
States
United
1.79
3.03
2.71
2.80
3.05
3.55
2.95
2.10
1.79
3.03
2.71
2.80
3.05
3.55
3.35
2.95
2.79
1.79
3.04
2.72
2.81
3.05
3.56
3.36
2.94
2.L0
1.79
3.03
2.72
2.80
3.05
3.56
3.36
2.94
2.79
3.37
2.95
2.78
3.38
2.95
2.78
panied by Thomas Matters, of
Belgium and Belgian Congo Sec¬
tion of FEA. and Ensign George
L. Bach. USN, formerly an as¬
1.78
3.03
2.72
2.79
3.05
3.56
1.78
3.03
2.72
2.80
3.04
3.57
3.34
v
1.79
3.04
2.72
2.81
3.06
3.58
3.39
2.96
2.78
1.79
3.05
2.73
2.81
3.06
3.59
3.39
2.96
2.79
1.80
3.05
2.73
2.82
3.06
3.59
3.40
2.97
2.79
1.82
3.05
2.72
2.82
3.07
3.60
3.41
2.96
2.79
3.40
2.96
2.80
3.07
3.60
1.84
3.05
2.73
2.81
3.07
3.61
1.84
3.06
2.72
2.81
3.07
3.62
3.07
3.05
2.72
2.81
--
3.40
2.96
2.80
3.40
2.96
2.81
1.85
3.06
2.72
2.81
3.65
3.42
2.96
2.81
1.85
3.07
2.73
2.82
3.08
3.66
3.42
2.97
2.83
1.86
3.07
2.73
2.82
3.08
3.66
3.43
2.97
2.83
2.97
2.84
1.83
3.09
2.74
2.83
3.10
3.70
3.47
Moody's Daily
Commodity Index
3.10
2.74
2.83
3.11
3.73
3.49
2.98
2.84
3.11
2.74
2.84
3.11
3.74
3.50
2.99
2.83
3.13
2.74
2.84
3.12
3.81
3.55
3.00
2.85
Tuesday, Aug. 1,
High
1.87
3.55
3.34
2.94
2.78
Wednesday, Aug.
1S»14—.
High
1943
1943
Low
1.77
3.03
2.71
2.79
3.04
2.08
3.31
2.81
2.96
3.23
4.25
3.93
3.07
2.93
1.79
3.09
2.68
2.80
3.07
3.79
3.54
2.94
2.78
7,
1.84
1943—
3.10
3.08
2.80
2.69
Fridav.
3.81
3.56
2.95
2.79
4.27
3.99
3.09
2.94
K*ari'''av,
8,
2.02
1942—.
3.26
2.99
2.81
3.33
computed from average yields on the basis of one "typical" bond
[33A% coupon, maturing in 25 years) and .do not purport to show either the average
"evel or the
average
movement of actual price quotations.
They merely serve to
Illustrate in a more comprehensive way the relative levels and the relative movement
•These prices are
Aug.
3f
yield averages, the latter being the true picture of the bond
_
_
■
computtas
leading
d.OW?
r
}
.
J r .r
ill
to"'k
i:.l»
r.i/i
i-i
i
f
'.i/iU
market/
_
On'L'u. i-:»; ttsf-j;":
'AsVr-t}:
Year
1943
w,,.published
;
ago,
ago,
249.3
High,
Low,
250.2
July 25
249.2
Aug. 8-—^
Aug. .7,
Jan.
249.fi
.249.8
8—249.2
245.1.
1943_:
High,. April 1^_.
Low,
1944
Lit ZiiC
/r/KdSB
weeks ago,
Month
——
Augi.7_
Tuesday,
Two
249.9
Aug. 4„.
2 Years Aeo
Aug.
1944_—
249 9
2———249.7
3—
Aug.
Thursday.
Saturday, Aug. 5
1 Year Ago
Aug.
the
Szymczak.
sistant to Mr.
1.81
Low
also
2.80
1.87
1944
which
announcement,
2.72
the
3.03
Ian.
which
f-t
M./S. Szymczak, a
Board of Gov¬
116.41
ernors
of the Federal r Reserve
117.40
System who has been loaned to
116.02
the Foreign 'Economic Adminis¬
117.40
114.46
tration, is expected to leave soon
for conferences in London with
117.40
representatives of the Govern¬
ment of Belgium. Mr, Szymczak
the
of
1.79
1.81
2
that as of
'i'C
Foreign Economic Administra¬
Crowley announced on
111.81
1943
Ohio, fo£
*
"
120.21
1943
,"
tor Leo T.
119.68
1944
-
-
Bd. To Confer In London
119.35
1944
-Wvh- /V:
Szymczak Of Reserve
25
7.9
'it-'.
application blanks.
-far. 31
laneous
|.
Cleveland 14,
lic Square*
*eb.
-
;; ■:T '
;
Those interested may
118.40
Daily
uauy
31, New York Stock Exchange
or
118.80
wage
7
an v;accelerated
of extending the timeVr
taking
or
course
choic£
the course in four
112.56
—
2 Years Aoro
fur¬
science^" he must have a"-:
and" theiv
through ^courses in writing. and !
speaking^; be trained to convey his
ideas clearly and effectively J'*
lated
sound business; training,;
R. R.
118.80
;
112.56
Aug.
borrowings, these ratios will ordinarily-exceed the
precise relationship between borrowings on listed shares and their
r
;
background. He must have a good
foundatidh in chemistry and re¬
Corporate by Groups*
Corporate by Ratings*
Corpo-
118.80
21_
121.7
v,
the
salesman,
ever-growing possibilities of- coal,
should
have
a
solid technical
are
1 Year Ago
19 4
demonstrating
in
35.55
120.14
Aug.
21.2
spu'ree^ of chemicals* * dyesi.:
a
35.07-
112.56
2.5
;.'U
34.14
Avge.
(Based
'
. <
following table listed stocks are classified by
rubber*," plastics, fabrics/ drugs and}'-'
innumerable other products;. A
112.56
1
1121.3
.
as
32.59
112.56
July 28-—
+ 120.9
amounted to $786,574,524, of
32.47
120.08
2
./-••
Low
+
.
32.51
4120.00
3——120.14
.
V>
High
+
have widened the pos¬
sibilities of converting coal into
33.12
5—120.05
4
Low
37.6
New hydrogenatiori
power;
processes
(Based on Average Yields)
Daily
+
+
arid
MOODY'S BOND PRICESf
U.S.
1944—
High
+ 38.3
said; "have increased the impor¬
tance of coal for heating, lighting
gasoline,'oil and lubricants. Chem¬
istry has created new uses for coal •
yield averages
bond
and
prices
bond
computed
Moody's
9.4
8.7
tory. New combustion methods," he
$
?iven in the following table:
9.7
12.4
Price
problems
sales
big
many
ahead, although the prospects for
coal sales are the brightest in his¬
Moody's Bond Prices And Bond Yield Averages
+
+
"has
value
-
115.7
ings
commented that the coal industry
26.39
28.16
of
Math¬
College,
Cleveland
at
ematics
.
41,410,585,043
furnish- Miscel-
and ice
the Division of Science and
47,710,472,858
48,711,451,018
31—
Aug.
Sept. 30
.
S. Booth, head
Professor H.
Average
23.70
fuel and
a
V
expression.
35.55
■
$
1943
43,533,661,753
45,845.738,377
111.4
by
13.46
21.63
Market Value
fy
$
31
110.9
•.
borrowings
960,305,216
27
types of member
the
25.72
30
$510,186,873 represented loans which were not collateralized byLJ. S.
Government issues. The ratio of the latter borrowings to the market
value of all listed stocks, on that date, was, therefore, 0.97%. As the
loans not collateralized by U. S. Government issues include all other
In
872.981,431
War.
there were 1,241 stock issues,
the close of business July
total* iriarket value
25.74
Feb.
101.9
public the July 31 figures the Stock Exchange
net
858,150,076
as
material for many new
This was an¬
Herbert C. Hunsaker of Cleveland College, who
said the course, which leads to
the degree of Bachelor of Science,
is designed to give fuel salesman¬
ship the status of a profession.
It embraces science, business ad¬
ministration and the art of self-
47.20
21,18
a
industrial products.
38.59
51.69
22.41
Jan.
100.4
■
of
raw
1944—
1943—
Apr. 28
,
-
coal both
uses
as
nounced by Dean
61.44
18.94
11.59
92.00
13.49
91.66
23.42
31
July
House
Exchange announced on Aug. 5
voir.';
total
10.93
Price
$
34,443,805,860
1942—*
1
member
18.94
given in the interest of obtaining ■>
coal salesmen sufficiently trained
to
become,; consultants
in the
39.79
Average
Market Value
a
As of
6096
give below a two-year compilation of the total market
price of stocks listed on the Exchange:
We
aggregat¬
12
ing 1,496,510,392 shares listed on the New York Stock Exchange, with
5—
total market value of $52,488,254,469.
This compares with 1,242
stock issues, aggregating 1.492,874,003 shares, with a total market (*Pr28
(Mar. 31
value of $53,067,698,691 on June 30. /
./;•'/7 •f*eb. 25
28
ther said:
39.43
lege, downtown center of Western
Reserve: University,
Cleveland,
Ohio.
Their
endorsement
was
and the average
York
Exchange Higher On July 31
the close of business July 31,
In making
38.47
2,322,713,393
1,296,710,826
Miscellaneous Businesses
Market Value Of Stocks On New
The New York Stock
30.47
3,891,660,482
126,389,862
—
14
Stock
—^
(Operating)
(Holding)
1944—
All
items
Ang.
25.25
104,453,175
18,941,635
Communications-.
laneous
100.6
97.5
Fuel,
Sept. 15,
1,950,565,968
1,480,842,595
594,685,101
23.51
by Cleveland Col¬
this fall
fered
29.06
7.39
31.21
27.16
23.96
25.46
30.77
38.21
37.54
—
Gas
PERCENT OF CHANGE
June
26."9
Utilities:
Miscel¬
furnishings
-
1944 to June 15, 1944
15, 1943 to June 15, 1944
1,925,846,289
1,452,775,312
589,874,699
6,185,992,604
4,199,807,840
2,903,730,191
647,550,017
Tobacco
House-
Fuel
and ice
,
May 15,
263.088.051
to be of¬
technical sales of fuels
"40.00
46.71
Textiles
CITIES
—
Date—
31.1**
Operating
16—
100.3 " 104.3
100.1
100.8
1941: Jan.
15
100.8
97.8
100.7
* 105.0
122.2
104.9
1942: May
15
116.0
121.6
126.2 / 109.9
123.6
106.2
Sep. 15
117.8
126.6
125.8
108.0
125.4
107.7
1943: June 15-—
124.8
141.9
127.9
108.0
109.9
fl32.9
1944: April 15
tl24.6
134.6
U37.1
108.1
109.8
U35.0
May 15—
tl25.1
135.5
1T37.4
108.1
138.4
109.6
June 15
125.4
135.7
138.0
108.1
goods nurchased
''These indexes are based on changes in the cost of
tRevised.
earners and lower-salaried workers in large cities combined.
—-
262,902,764
"
93.5
98.6
15
Aug.
35,861,834
Shipping Services
Steel, Iron & Coke
"living costs"—that is, in
spend for living. Income taxes and bond
All Items
Date—
7.G8
2,361,708,359
578.547,676
^—
—-
—
Ship Building &
0.2% on the average.
in Portland, Ore., and
of cities were respon¬
electricity
1939:
___
2—
Rubber——-
changes in total
COST OP LIVING IN LARGE
Indexes, 1935-39—100°
'
23.72
34,365,673
60.73
the new course in
have endorsed
42.0f;
<62.56
21.59
6,245,959,565
4,109,020,873
2,897,855,040
652,615,587
104,475,412
19,992,464
2,386,116,138
Merchandising
Retail
families
not included.
'*•
iron)—;
Railroad
....
the total amount
47,954,668
1,740,778,046
856,021,903
1,056,255,287
3,378,210,373
48,603,318
Realty
&
<•
It does not measure
„
Paper & Publishing
fetroleum———
:'*..*
\
'
goods and services were higher. News¬
paper prices increased in five cities and costs of prescriptions and
medical care, as well as beauty shops services and shoe repairs con¬
tinued to advance."
'■
:,
Note—The BLS index indicates average changes in retail prices of
selected goods, rents and services bought by families of wage earners
and lower-salaried workers in large cities.
The items covered rep¬
resented 70% of the expenditures of families who had incomes rang¬
ing from $1,250 to $2,000 in 1934-36..
....
, ,
The index does not show the full wartime effect on the cost of
living of such factors as lowered quality, disappearance of,lowpriced goods and forced changes in housing and eating away from
home.
Equipment
Machinery & Metals
sible for the decrease. ;.
_
"Prices of miscellaneous
.
476,529,331
21.25
.<-
' '
662.109.050
36.06
1,044,819,495
'
•
30.24
Financial
,
and ice costs decreased
rebate allowed electricity consumers
prices for anthracite coal in a number
636,516,266
469,165,211
Association
Ohio J Coal.. Association
the
and
'17.49
31 46
36.63
" 66.79
Coal
National
The
39.9J
Electrical
the month was due chiefly to sea¬
and some fresh fruits and vegetables; par¬
ticularly white potatoes, sweet potatoes, oranges and apples.
Potato
prices advanced over 13% (more than double the usual seasonal ad¬
vance), due principally to the disappearance of last year's late pota¬
toes and increased sales of the higher priced new potatoes./ Onions
and beans dropped 28 and 15%, respectively.
"House furnishings costs continued to advance, as higher priced
living room furniture with steel springs replaced the wartime types
in an increasing number of cities.
Lower-priced bedroom and din¬
ing-room furniture was not available in a number of cities and con¬
sumers were forced to buy the higher-priced suites.
Prices for some
of the smaller furnishings such as cotton towels and brooms also
rose during the month.
- V
; >
"Clothing prices rose 0.4%. Prices of cotton clothing were gener¬
ally higher. There were also sharp increases over last season's prices
for men's tropical worsted suits, cotton slacks, and straw hats, and
for women's cotton frocks.
Small supplies of men's cotton summer
suits, shorts and pajamas, and women's cotton nightgowns and chil¬
dren's underwear were reported in many cities, with low-cost mer¬
chandise particularly scarce.
-/;'•
;//' ^
"Rents remained generally stable since March, when data were
last collected, with slight low-cost merchandise particularly scarce.
"Rents remained generally stable since March,; when data were
last collected, with slight increases reported in 15 cities and de¬
creases in eight cities.
There were continued reports of scarcity of
"Fuel, electricity
-'623,463,803
6.412,909,751
for food over
A large
4,785,102,998
17.16
65.47
increases in eggs
desirable housing.
38.'jr
41.24
Mining (excluding
12-month period ending
15.2%." The Sec¬
"The increase
4,591,239,508
633,277,881
Leather
of meats were rolled back. In the
June, 1943, in contrast, food prices had increased
retary of Labor went on to say:
26.36
1,705,788,279
831,666,856
Machinery—
'
$
■
6,283,221,929
Land
month from May to June retail food prices increased
considerably less than the usual seasonal rise
At this
they were 4.4% below average prices in June of 1943, before
:
610,372,353
Garment-
in Europe.
$•
587,253,078
25.27
Chemical
Farm
Sales Of Fnels
Market Value Av. Price
-
Equipment
Business and Office
"Over the
sonal
June 30,1944
Market Value Av. Price
Building
only 0.1%,
level,
.
J.
Aviation
mid-May and
reported on July 31.
rent and fuel,
electricity and ice were slightly higher than a month ago,' she said.
"During the last year," she added, "prices charged moderateincome city families for living essentials have shown comparatively
little change, on the average.
In June, 1944, the Bureau of Labor
Statistics cost of living index was 0.5% higher than in June, 1943,
and 27.2% above the level of August, 1939, the month preceding the
the prices
\
/
families advanced two-tenths of 1% between
mid-June, Frances Perkins, Secretary of Labor,
"Prices of all principal groups in the budget except
Course In Technical >
value and average price
..'■■ ;/// :;
with the aggregate market
July 31, 1944
of city
outbreak of war
groups
,
2
;
249.B
249.2
March" 17—251.5
Jan.
5—
247.0
jVolume 160
THE COMMERCIAL & FINANCIAL CHRONICLE;
Number 4306
$803,000; public buildings, $7,761,000; earthwork and drainage, $2,204,- your legitimate
claims, of restor¬
000; streets and roads, $5,728,000; and unclassified construction, ing and
reconstituting your fa¬
$9,070,000.
Y\ •". ■■■ Y:'• ■'
therland, of working in common
New capital for construction purposes for the week totals
$5,- with all good ■ men fles ames
389,000, and is made up entirely of state and municipal bond sales. droites] who are numerous in all
The week's new financing brings 1944 volume to
$1,559,680,000, a nations and to reestablish friendly
total 47% below the $2,921,585,000 reported for the 31-week 1943 relations between
members of the
Weekly Goal And Coke Production Statistics
The Solid Fuels Administration for. War, UY S. Department of
Commerce, in its latest report; states that the total production of soft
coal in the week ended July 29, 1944 is estimated at 12,350,000 net
tons, an increase of 365,000 tons, or 3%, over the preceding week. In
the corresponding week of 1943, output amounted to 12,113,000 tons.
Cumulative production of soft coal from Jan. 1 to July 29 totaled
■
;
.
.
365,380,000 tons, as against 336,278,000 tons in the
1943, a gain of 8.7%. :
•; Y'':y
period.
great family of God."
;
..
The Pope began with a
moving
to his "very dear sons
welcome
National Fertilizer Association Wholesale
According to the U. S. Bureau of Mines, output of Pennsylvania
from beloved Poland."
Commodity Price Index Continues To Advance
When
compared with the production in the week ended July 31,
1943, there was, however, a decrease of 132,000 tons, or 9.5%. The
calendar year to date shows an increase of 8.4% when compared with
The weekly wholesale commodity price index
compiled by The
National Ferttilizer Association and made public on Aug.
7, advanced
to 138.8 in the latest week ending Aug. 5,
reaching a new high point.
the
A week ago
corresponding period in 1943,
decrease of 9,300 tons
when compared with the out¬
put in the week ended July 22, 1944; and was 25,700 tons less than
for the corresponding period of 1943,
a
ESTIMATED UNITED STATES PRODUCTION OF COAL', IN NET
yYYYY'
Week Ended
Bituminous coal
Y
July 29,
.
* July 29,
1944
July 31,
1943
1944
a
July 31,
July 31,
1943 Y. YY
1937
*
Daily average
11,985,000 12,113,000 365,380,000 336,278,000 256,690,000
2,058,000
1,998,000
2,019,000
2,041,000
1,868,000
1,439,000
„
"Subject to current adjustment.
\
,
ESTIMATED PRODUCTION OF PENNSYLVANIA ANTHRACITE AND COKE
Y
,;
(In Net Tons)
-
,
Week Ended
'Y
'YY^YY
J July 29,
-
$ Penn. anthracite—
* Total
Calendar Year to Date
§July 22,
1944
July 31,
July 29,
1943
1944
1944 ;
incl. coll. fuel
1,252,000
^Commercial produc.
1,202,000
1,222,000
1,173,000
1,384,000
July 31,
:•£;
July 31,
Y
1943
37,960,000 -35,022,000
36,443,000
33,621,000
1,329,000
United
total
States
"Includes
Operations.
140,500
washery
and
149,800
dredge
166,200
coal
{Excludes colliery fuel.
4,481,400
shipped
coal
and
1937
29,664,000
XSubject to revision.
declines.
§Revlsed.
3ears to the
Group
25.3
Fooda—
(The current weekly estimates
•nd
are
subject to revision
are
23.0
of monthly tonnage reports from district and
y ■'
Y
July 22,
,
.
387,ooo
-
Alaska
Colorado^.—i-i._-.il.
^
88,000
142,000
1,000
/Michigan_Yil----_^_----™--
.
83,000
999,000
671,000
132,000
38,000
27,000
2,000
33,000 :
3,000
84,000
38,000
5,000
40,000
31,090
42,000
35,000
74,000
30,000
-
North & South Dakota (lignite)
Ohio
;•
45,000
655,000
•
.
687,000
690,000
2,950,000
2,980,000
3,078,000
150,000
147,000
-
Pennsylvania (bituminous)
-
Texas (bituminous & lignite)—
-
2,000
2,000
130,000
128,000
-Virginia—370,000
Washington,—
35,000
383,000
Utah
-
'-295,000'
2,000
Montana (bitum. & lignite)
144,000
680,000
245,000
33,000
84,000
42,000
420,000"
40,000
71,000
~
.
998,000
410,000
Maryland-..-!;———
563,000 Y
40,000
144,000
984,000
i-.
.Kentucky-r-W.estern-Y-r—-
■Tennessee—
>,>
'Y "
149,000
1,482,000
!• 477,000
/ 40,000
165,000
KewMexico
37,000
*
Kansas and Missouri
.Kentucky—Eastern
92,000
1,416,000
45,000
251,000
.
.
.
.
Y:
-
403,000
2,017,000
■
95,000
,
2,000
19,003
111,000
37,000
Y
396,000
247,000
32,000
32,000
30,o<j0
;
2,192,000
Virginia—Northern..-U
1,090,000 ■Y■ t* 1,157,000
Wyoming—« '150,000 i
~
147)000
fiOther Western States—
1,000
;'
*
2,239,000
1,631,000
977,000
157,000
530,00071,000
,
.,
tWest Virginia—Southerrf—2,100,000
tWest
.
—
-
-
f
S. *
*■,>,
.
•'
.
f
Total bituminous &
lignite--.
Pennsylvania anthracitd
Total, all coal
11,985,000 :
12,260,000
.
1,222,000
1,266,000
13,207,000*
-
12,090,000
1,333,000
.
13,526,000
7,403,000
519,jOO
13,423,000
7,922,000
tlncludes operations
4
on
the B.
on the N. & W.; C. & O.; Virginian; K. & M.; B. C. & G.; and
Kanawha, Mason and Clay counties.
tRest of State, including the
District and Grant, Mineral and Tucker counties.
§Includes Arizona and
in
& O.
Panhandle
"Less than 1,000 tons.
Oregon.
t
.)■ };;y
Civil
iJ'
—^
Engineering Construction $31,818,080
1
For Week
*
Civil
engineering construction in continental United States
"Engineering News-Record" and made public on Aug. 3.
went
on
to say:
lower than
-
construction
Yy Private
a
week ago.
-Y
The report
The current week's construction brings
1944 volume to $1,082,-
209,000 for the 31 weeks, a decline of 49% from the $2,110,029,000
reported for the 1943 period.
Private construction, $248,638,000, is
5% lower than last year, and public construction, $833,571,000, is
down 55% as a result of the 60% decrease in federal work.
engineering construction volumes for the 1943 week, last
week, and the current week are:
*
,
-
.
f July 27, '44
U. S. Construction— ' $47,489,000
$41,066,000
15,553,000
25,513,000
5,191,000
20,322,000
Private Construction
Public Construction
State
y
»
Aug. 5, '43
•
frotal
and
Federal
6,330,000
41,159,000
—
3,110,000
Municipal—.——
——
*Indexes
•
<
28,049,000
Aug. 3, '44
$31,818,000
8,864,000
22,954,000
7,673,000
15,281,000
Week
waterworks, earthwork and drainage, streets and roads, and unclas¬
sified.
Increases over the 1943 week are in waterworks, bridges, in¬
buildings, earthwork and drainage,-and streets and roads.
construction are: waterworks,
Subtotals for the week in each class of
$906,000; sewerage, $681,000; bridges, $436,000; industrial buildings,
$4,229,000;
commercial
building
we
Aug. 5,
July 29,
July 8,
1944
1944
la44
Aug. 7,
li#43
never
160.7
162.9
dent,"
161.2
159.8
154.0
201.5
203.1
208.6
195.5
1
>
Textiles-
157.8
1
-
;
157.9
160.1
155.6
151.6
149.0
130.1
130.1
122.8
132.2
132.2
132.2
Y 130.1
152.4
152.6
153.3
150.6
104.4
104.4
104.4
104.4
'
Building materials
Chemicals and drugs
Y
154.0
154.0
'153.4
152.5
;
126.9
Fertilizer materials
i
—!
machinery
base
>r
The
used
the
which
the
word
has
with.
'
The
Pontiff
"indepen¬
been
'
Y'Y'"'.
speech
Y:
"
into
made
was
a
great and solemn occasion at the
Vatican. Of all his international
126.9
126.6
118.3
118.1
117.7
subjects Poland has been nearest
119.7
119.7
119.8
to his heart.
104.5
104.5
104.5
104.1
some
138.8
138.4
138.0
134.8
speeches with forthright condem¬
Poland has provided
memorable
audiences
-
nation of the Nazis."
107.8, and Aug. 7,
Five
hundred
and
" Y
Polish
soldiers
gathered this morning in the Sala
Board
of
Outstanding Down In June
Governors
July 31
on
of
that total
the
Federal
consumer
Reserve
credit
outstanding at the end of the month was 5% less than a year
earlier.
Single-payment loans have shown a gradual rise over the
past three months and at the end of June were about 3% above the
year-ago level.
"Automotive
in
sale
in
credit
June
at
increased
about
the
same
the purchase of
other consumers' durable goods declined slightly during June and
continued considerably below the corresponding month of 1943.
"Charge-account indebtedness declined about 1% during June
when little change is expected. At the end of the month the amount
outstanding was 2% higher than on June 30, 1943."
May.
Instalment sale credit based
(Short-term credit.
CREDIT
millions
In
of
dollars.
■4
consumer
Instalment sale
credit
on
"
Figures estimated)
Increase or decrease from:
June 30, 1943
May 31, 1944
4,952
—143
54
+
credit:
Automotive
+ 11
192
514
Other
+ 18
Charge accounts
1,370
—20
Single-payment
1,041
+ 44
:
loans
—
,
5
—
1,119
loans
;
Clementina. They
Gen. Kazimierz
mander
in
headed by
were
Sosnkowski, Com¬
Chief
of
the
Armed
Forces; Lieut. Gen. Wladyslaw
Anders, commander of the Second
Polish Corps in Italy;
Bishop Jo¬
seph Gawlina, chief chaplain, and
other high officers as well as Am¬
bassador Casimir Papee.
n:
-
Over the occasion hung1 ;a dark
of
the knowledge
that
shadow
their
-
tragic country
battlefield
for
the
again
was
Germans
a
and
Russians and that its fate lay not
in
their hands but in
Premier
Stalin's.
It was a delicate mo¬
ment and
that
leveled
1939.
against
So it
treme
was
which
the
address of
an
in
ex¬
"V
of his speech the
course
gave an
Pius
Germans
caution.
In the
Pope
that did not call for
one
condemnation
important definition
of what he called "secret national
OUTSTANDING
June 30, 1944
♦Instalment
-'-^Y
throughout
although
126.9
amount
"Total
nation¬
118.3
System an¬
outstanding during
the past year has moved within fairly narrow limits, a large part
of the change being attributable to seasonal factors. During June the
amount outstanding increased nearly 55 million dollars to an esti¬
mated total of 4,952 millions.
Single-payment and instalment loans
accounted for most of this increase, and automotive sale credit also
rose slightly.
The Board's report went on to say:
"Instalment loans outstanding increased about 2% during June,
largely due to a well-sustained loan volume.
Nevertheless, the
as
to
119.7
Aug.". 5, 1944, 108.1; July 29,
were:
in
invasion
used by
Premier Joseph Stalin of the So¬
viet Union, in a sense that the
Vatican would not perhaps
agree
146.5
158.7
130.1
Metals
Consumer Credit
nounced
speech
138.0
j
1926-1928
his
145.6
—J—i.
restored
\;y;.;,Y'''.Y;;;
This
was
implicit
163.1
Miscellaneous commodities
on
Poland
145.1
;
colony
hood.
A^n
140.9
:
Polish
the German
Poland; that is, the desire to*
see
Year
A^n
1943, 105.0.
loans.
■
16
I
—174
i
-
1
strength"
follows:
as
"A
power
which
keeps in view only the true
good of the people and recipro¬
cally a people unanimously sub¬
missive, with confidence in their
60
leaders
+
32
the
+
27
and
large-scale
private
housing,
service credit not shown
Estimates for these credits
are
and
common
separately,
tlncludes repair and modernization
with
a
view
toward
good."
In
of
his
historic
speeches on Poland, Pope Pius XII on
July 28 counseled his Polish soldier-listeners not to take vengeance
or reprisals for what had been done to their country and to collab¬
orate with all good men in its restoration.
Stripped of their traditional cautious phraseology, said special
advices from Rome to the New York "Times" July 28, the Pontiff's
words,
that
one
spoken in French,
the
Poles
vengeance
should
against
the
take
Germans
and Russians, who occupied their
land in 1939, and that they should
sians.
went
collaborate
with
the
Rus¬
The advices to the "Times"
on
to
;
/
This impressive, solemn injunc¬
say:
tion,
consistent
ideas
on
Y
/
with the Pope's
peace, came at the end of
his speech. Here is a translation
of
the Pontiff's words:
Roy E. Crummer, head of R. E.
Crummer & Co., Orlando, Flo¬
rida,
has
issued
a
statement
through attorneys blaming busi¬
ness
enemies
Florida
in
"Knowing
heart of your
vinced
know the noble
people, we are con¬
as we
that
love
of
Christ
will
for
hig
indictment
jury
on
by a Federal grand
charges of mail fraud and
violations
of
Exchange
Act1 in
the
Securities
and
refunding city
and county bqpds issued in Flo¬
rida. He declared that he and his
associates had ."rendered
meant<^
not
Denies Bond Frauds
in process of revision.
Pope Pius Desirous Of Restoration Of PolandUrges Collaboration By Poles With Russia
now
rir In the classified construction groups, gains over last week are in
dustrial
Month
Week
163.1
All groups combined
"Includes
tively, than a year ago and a week ago, due to the decrease in fed¬
,Y- Civil
bathes
that
-
tops the 1943 week by 40%, but is 43%
Public work is 44 and 10% lower, respec¬
eral volume.
)»■
100.0
!
tu¬
the nation, and shipbuilding, is 22% lower than in the preceding
week, 33% below the total for the corresponding 1943 week, and
26% below the previous four-week moving average as reported to
of
141.5
CONSUMER
bals $31,818,000 for the week.
This volume, not including the con¬
struction by military engineers abroad, American contracts outside
:
Cotton
Farm
rate
jokn^:YY;:: ;Y-:;Y:::v
which
are so sure
the
after
145.1
Fertilizers
13,000
120,000
*
.
Rome
163.1
Fuels—
.
3,000
1,000
566,000
1937
5,000
1,375,000
,
,
*
y
145.1
Livestock-
July 24,
406,000
Y
4,000
Yv 126,000
-Georgia and North Carolina-^-
.Indiana
Iowa---
1943
v
.88,000
Illinois
1944
397,000
5,000
.Arkansas and Oklahoma_.„w.
July 24,
will
i
Grains
..July 15,
1944
-
.
..
f&abiMnA',:-..„
*
.
Week Ended
\>.}y
State—.
blood
rights
firm hope that all nations
take recognizance
of their
a
141.6
Farm Products
Btate sources or of final annual returns from the operators.)
'
have
————
Cottonseed Oil
based on railroad carloadings and river shipments
receipt
on
—
Fats and Oils
(In Net Tons)
/'•
with the
your
received
Latest Preceding
Each Group
ESTIMATED WEEKLY PRODUCTION OF COAL, BY STATES
-
red
it,
1935-1939=100*
2,115,500
Total Index
Y
reality," Pius continued,
"although your national soil is all
'
t
WEEKLY WHOLESALE COMMODITY PRICE INDEX
Compiled by The Natioiial Fertilizer Association
.
authorized
from
.,\-/Yy;'
"In
was
seven
31,225,000
4,443,400
truck
by
resurrection of
new
fatherland."
your
new
Beehive coke—
f
spaired of the
,
Total incl. mine fuel 12,350,000
*
and
debt toward Poland, the theatre
a substantial advance in the farm
products group due to and too often
the plaything of
high level reached in the prices for livestock.
The livestock
their conflicts, and that whoever
group index is now 6.5% above the corresponding period of last
retains a spark of truly human
year. Prices for cotton declined fractionally.
Lower prices for one Christian
sentiment in his heart
grade of wheat and for barley more than offset higher prices for
will seek to revindicate for her
wheat at Minneapolis and rye, resulting in a slightly lower level in
the entire place which is her
due,
the grains index. The textiles group index declined
slightly because
according to principles of justice
of the downward trend of cotton prices.
and true peace."
During the week nine price series in the index advanced and
The Pope reiterated an ardent
four declined; in the preceding
jweek there were eight advances desire which he began
expressing
and five declines; and in the second
preceding week there were five as
early as Sept. 30, 1939, when he
advances and
There
TONS "
January 1 to Date
July 22,
YY1944
and lignite—
"sorrow
following with
anxiety"; the events
that had overwhelmed Poland but
that "we never for an instant de¬
this index was 138.4, a month ago it was 138.0, and a
year ago 134.8, based on the 1935-1939 average 'ks 100.
The index
is now 3.0% above the corresponding period of last year. The Asso¬
ciation's report went on to say:
The all-commodity index continued to advance again
reflecting
higher quotations in the foods and farm products groups. The foods
group advanced fractionally because of higher prices for dried beans.'
The Bureau of Mines also reported that the estimated production
of beehive coke in the United States for the week ended July 29,
1944 showed
Pius told
them he had been
anthracite for the week ended July 29, 1944 was estimated at 1,252,000 tons, an increase of 30,000 tons (2.5%) over the preceding week.
\
,
period in
same
f
Y
613
standing
service"
and
-
to
connection
highly
the
with
an
out¬
valuable
bondholders
in
refunding about
inspire you to do what already
political wisdom suggests that you
$170,000,000 in bonds.
do.
the
and
National Bank, named in the indictment
as
among
those
de¬
This love will raise you well
above purely human calculations
lead
you
to
disdain
bitter
satisfactions of reprisals and ven¬
geance and to
prefer in their place
the
task
sublime
of
validating
Frank
L.
Board
Carson, Chairman of
of
the
Wichita
First
frauded, expressed his confidence
that
Mr.
Crummer and
his
asso¬
ciates would be cleared "when the
complete story is told."
COMMERCIAL & FINANCIAL
THE
614
Trading On New York Exchanges
Exchange Commission
The Securities and
made public on July 27
figures showing the volume of total round-lot stock sales on the
New York Stock Exchange and the New York Curb Exchange and
the volume of round-lot stock transactions for the account of all
members of these exchanges in the week ended July 15, continuing
a series of current figures being published weekly by the Commission.
Short sales are shown separately from other sales in these figures.
ducers
group,'cured pork quotations were nearly 2%
lower/ At 105.3% of the 1926 average, the foods group index is 1.3%
below the last week in June and 1% lower than at this time last year.
"Industrial commodities—In the industrial commodity markets
in the foods
cluded
1,022 tons, medium pro¬
1,744 tons; and small pro¬
1,679 tons.
'
mayo
changes for farm products in¬
In addition to price
0.7%.
declined
Thursday, August 10, 1944
CHRONICLE
ducers
tin here
Straits
quality metal for shipment, in
cents per pound, was as follows:
price situation in
The
unchanged last week.
was
price changes were limited to a minor decrease in quotations for
goatskins and advances of about 1% for rosin and turpentine. Prices
industrial commodities have remained relatively stable during
1944, with an increase of only 0.9%. They average 1.6% above the
last week in July, 1943."
' ■ ..
The Labor Department also included the following notation in
,
•
for
27
July
28
July
29_
___
Oct.,
52.00p
52.000
52.000
52.000
52.000
52.000
Sept.
52.000
52.000
52.000
52.000
52.000
52.000
August
52.000
52.000
52.000
52.000
52.000
52.000
'v
/
July
July 31_:
;
Exchange for the account of members
Aug. 1__(except odd-lot dealers) during the week ended July 15 (in round- its report:
Aug. 2
lot transactions) totaled 2,581,009 shares, which amount was 16.01%
"During the period of rapid changes caused by price controls,
Chinese, or 99% tin, was un¬
of the total transactions on the Exchange of 8,060,880 shares.
This materials allocation, and rationing, the Bureau of Labor Statis¬ changed
at 51.125c per pound.
compares with member trading during the week ended July 8 of tics will attempt promptly to report changing prices. Indexes marked
v
2,688,172 shares, or 15.55% of the total trading of 8,644,710 shares. (*), however, must be considered as preliminary and subject to such
Magnesium
■
*
On the New York Curb Exchange, member trading during the week adjustment and revision as required by later and more complete
WPB announced last week that
ended July 15 amounted to 717,335 shares, or 14.01% of the total reports."
r'\,.
y
W.
production of magnesium has been
The following tables show (1) index numbers for the principal
volume on that exchange of 2,559,125 shares; during the July 8 week
reduced
by 7,517,000 pounds a
trading for the account of Curb members of 621,960 shares was groups of commodities for the past three weeks, for July 1, 1944 and month to conserve on manpower,/
14.13% of total trading of 2,201,410 shares.
July 31, 1943, and the percentage changes from a week ago, a month materials, /; and
bring
supplies
ago, and a year ago, and (2) percentage changes in subgroup indexes more in line with stockpile ob¬
Tetal Round-Lot Stock Sale* on the New York Stoek Exchange and Round-Lot Stock
Transaction* for Account of Member** (Shares)
from July 22 to 29, 1944/
jectives. The program, involving
WEEK ENDED. JULY 15, 1944
Trading
the Stock
on
__
.
,
'
Short sales
i—
190,660
7,870,220
——
—
JOther sales
Total sales
for
Short sales
Tot^l sales
601,390
;
•»«■»»»•«»
on the
434,680
purchases—
30,100
initiated off the floor—
Total purchases
Short sales
Raw
5.46
205,342
*
32,990
1
Total sales
Total-
Semimanufactured articles
Manufactured products
All
commodities
other
All
*99.5
*98.7
*98.7
than
other
and foods
commodities
Total sales
JULY
Round-Lot Stock
Sales
Transactions
A.
the New York Curb
on
for
WEEK
Account of Members*
1944
3.1
and poultry
Exchange and Stock
(Shares)
Total sales___-^>»-?
Account of Members:
specialists in stocks in which
registeredpurchases
Short sales
172,925
64,470
purchases
Short sales
4.200
tOther sales
69,040
2.69
55,690
;
13,650
"
Short sales
tOther sales
152,825
+
4.34
166,475
Total sales-
Total-
4.
Total
28,070
tOther sales
384,570
;
60,417
"members" Includes
all regular and
associate Exchange members, their
their partners, Including special partners.
calculating these percentages the total of members' purchases and sales Is
compared with twice the total round-lot volume on the Exchange for the reason that
the Exchange volume Includes only sales.
pC;;,p"
tRound-lot short sales which are exempted from restriction by the Commission's
and
are
included
§Sales marked
with
"other
sales."
"short exempt"
0
+
4.6
+
5.1
+
1.7
0
0
+
1.3
113.0
0
—0.7
+
0.7
92.7
,0
+
l.'Z
92.1
99.8
0
0.1
0
+
1.3
98.2
0
0
+
1.7
97.1
0
0
+
1.6
+
The
are
v
P?VPP;
included with "other sales."
Wholesale Prices For Week Ended July
29
Practically Unchanged, Labor Dept. Reports
During the last week in July commodity prices in primary mar¬
kets continued to move within a very narrow range, said the U. S.
week in June, although it is silghtly
above the level prevailing a year ago,
said the De¬
partment, which went to say.
production to rated capacity. Cur- tailment
at
Luckey
will bring
production down to rated capacity
make available need alloy¬
/
and
Plants at Spokane
Vegas are in what is
described as tight labor areas.
ing facilities.
and
Las
Quicksilver
0.1
skins_
and
1.6
Cereal
Other foods
products
—
0.2
_______
0.1
_____
light metals described officially
the Pacific
on
believe that the price
the
Mineral Markets," in its issue of Aug. 3,
of the
supplies
to
publication further went on
in part:
say
as
sellers,
favors
future
near
Coast
outlook for
owing to a sharp drop in produc¬
tion.
Quotations in New York)
were
maintained
last week
at
$102 to $106 per flask, depending
quantity,
'-The E.&M.J. average price of,
on
quicksilver (New York) for Julyj
was
$100,560 per flask, against
$101,692 for June, and $196,000 for
July last year.
reported for hogs, which advanced nearly 6% during the week on
the average, and for live poultry and rye.
There were declines of
1% for wheat, 2% for oats, and 1% for cotton. Prices were lower for
Exchange
and
received by Commission made public on
totaled 51,901 Aug. 2 a summary for the week:
plus some scrap
ore,
refiners,
primary
in
tons
June, against 46,941
tons
May, according to the Ameri¬
can Bureau of Metal Statistics.
j
'
:
*1
■■
1
.'
*
"
'
d
ended July 22 of
complete figures
showing the daily volume of stock
for
transactions
account
odd-lot
the supply outlook
Zinc
for copper has virtually disap¬
In announcing the subsidy al¬
peared. Domestic output has de¬
clined, owing to the manpower lowed smelters treating Tri-State
situation, but imports have been concentrate, the WPB said that
increased
to
keep
the overall "the present stockpile of zinc ap¬
supply on an even keel. Canadian pears adequate to meet the most
metal has been moving into the adverse and unexpected circum¬
stances in the future."
However,
United States on a larger scale.
Fabricators
consumed
149,618 the authorities hold that the clos¬
of all odd-lot dealers and
of
copper
during
June, ing down of smelters at this time
against 149,182 tons in May, Fab¬ would endanger the war program.
ricators' stocks of refined copper Recovery of cadmium was men¬
at the end of June amounted to tioned as a. contributing factor in
332,356 tons, against 341,037 -tons maintaining ^production of zinc.
STOCK
-
•
over
a
-
,
amended
frozen inventory stocks
Order M-9-c has been
to release
press
New
tinues
ture
to
of
prohibit the manufac¬
and copper-base
copper
alloy for use in building construc¬
tion.
So far as virgin copper is
/V;;'Lead
order
;, /
.■;,/>
V;-
'
Though most sellers of lead ex¬ ports during the first half of 1944
17,504
tonsr of
tin,
a
quiet trading pe¬ contained
eggs, apples, ■ lemons, oranges, and for potatoes in most markets. perienced
against 18,399 tons in the Jan.Quotations for sheep were nearly 2% lower than for the previous riod, turn-of-the-month business
June period of 1943 and
19.415
volume for-last
week. In the past four weeks average market prices for farm prod¬ brought - sales
week
up
to 6,574 tons, against tons in the same period of 1942.
ucts have declined about 1% and they are 0.2% lower than for the
Patino
exported 8.439 tons (tin
2,576 tons in the previous week.
corresponding week in July, 1943.
of lead has been contained) in the first half of the
"Led by a drop of more than 0.5% in prices for eggs and lower Consumption
holding up well, and it is thought year; Hochschild 4,410 tons; Araprices for fruits and vegetables and rye flour, market prices for foods
■
,
.
,
TRANSACTIONS
,
FOR
THE
ODD-
LOT ACCOUNT OF ODD-LOT DEALERS
;
AND SPECIALISTS ON THE N. Y.
.
,
.■
t
'■ ■?
»'
.://STOCK EXCHANGE
Week Ended. July 22, 1944
Odd-Lot Sales by Dealers
r* V
Total
(Customers'purchases)
of
orders-.™
Number
of
shares
'
(Customers'sales)
'
c
*
-
short sales
Customers'
Customers'
*
■
.
"
-r,
;///#//J/;:/
'Customers' other sales
,
26,935
786,105
Number of Orders:
_
'
$28,196)844
value—
Odd-Lot Purchases by Dealers—
.
-
for Week
Number
Dollar
278
'/
25,476
total sales
25,754
Number of Shares:
Customers' short sales____
,
10,037
♦Customers' other sales
Exports of tin concentrates from
Bolivia
during June;"contained
3.029 metric tons of tin, against
3,127 tons in May, and 2,975 tons
in June last year, according 4o
the American Metal Market. Ex-,
,
reports filed with the Commis^
sion by the odd-lot dealers and
•
• •
specialists.
the stockpile of cad¬
amounted
to
1,672,300
■<:Tin
Stock Exchange, conseries of current figures
a
being published by the Commis-;
sion. The figures are based upon ;
:
i,:'V■■ J
York
tinuing
that
mium
special¬
ists who handled odd lots on the
Recently, it was disclosed by the
month previous.
products and foods — Fluctuations in market prices for
the amended
products did not affect the index for the group, which re¬ concerned,
mained unchanged at 124.1% of the 1926 level.
Higher prices were changes nothing.
\
"Farm
Securities
The
treated in connection with
scrap
.
farm
for
date
actual/shutdown
plant at Marysville has not;
been determined by WPB. > The
cutback at Valesco
will reduce,
Department of Labor on Aug. 3, which added: "Prices were season¬ of copper and copper alloy build¬ pounds. Demand for cadmium has
V
ally lower for certain fruits and vegetables, and higher for hogs, live ing materials,- such as weather slackened.
With August requirements of
poultry in the New York market, rye and naval stores. For the third stripping,
pipe
for
connecting
consecutive week the Bureau of Labor Statistics' index remained water heaters to replace worn- consumers covered, the market for
unchanged at 103.9% of the 1926 average. The all-commodity index out units, etc.
The order con¬ zinc last week was inactive.
than 1%
4,500,000
NYSE Odd-Lot Trading
■
more
*
•
•
the
tons
is 0.2% lower than for the last
• ■>
6,500,000
Nev
Silver
Anxiety
tin
rules
0
—0.1
Vegas,
Producers
0.3
Copper
o
70,180
70,180
purchases.
Total sales
firms
0
Las
in
SCustomers' other sales
term
0
104.2
Wash.
Magnesium,
Spokane,
Basic
,
, ■■■
production program for magnesium.
Output of copper, lead,
The London market remained
dropped this summer, owing to the manpower shortage,
but deficiencies in home supplied
quiet and the price unchanged at
in most instances have been offset likely that August deliveries may 23J/2d. The New York Official for *
Battery foreign silver continued at 44%c,r«
by increased importations.
Con¬ exceed 65,000 tons.
sumers
are
concerned about the makers, the cable industry, and with domestic at 70%c.
manufacturers of chemical plant
possibility of sharp cutbacks this
are
absorbing good
fall, which is reflected in mount¬ equipment
ing caution in making new com¬ tonnages.
Receipts of lead in ore and in
mitments.
Quicksilver
remains
The
14.01
412,640
Customers' short sales
•The
0
100.1
0
Paint and paint materials
Hides
Odd-Lot Transactions for Account of Specialists-
Total
110.8
/
3.6
steady on decreased selling pres¬
sure in the Pacific Coast market."
304,695
purchases.
Short sales
Total sales
C.
2.8
•
,
and zinc has
73,240
V,Total purchases
,
0.5
+
0
in its
Initiated on the floor—
Other transactions Initiated off the floor—
f
+
+ 0.1
ample, the trend in production for both aluminum and magnesium
continues downward.
Recently, WPB announced another reduction
162,705
Total sales
3.
"With
stated:
10,220
—
Total sales
Total
"E. & M. J. Metal and
184,535
tOther sales
Other transactions
+ 0.1
0
.:
.
1,050,000
833,000
'/ '/,.///•/'£/
2,300,000 1,200,000
Electro Metallurgical,
Metals—Magnesium Production
Curtailed—Sales Of Majoriefals Light
they are
2.
*98.7
0
0
Pounds *.
Shut Down
6,000,000
• ,•
Texas. 6,600,000
Valesco,
Luckey, Ohio
1.0
1.4
Non-Ferrous
2,559,125
——
1. Transactions of
Total
*98.6
—
t%
30,975
2,528,150
Round-Lot Transactions for
*99.5
•
0
Decreases
16.01
Total for week
Short sales.
tOther sales.
B.
81.6
Magnesium, Reduction
—
—1.3 '—
ENDED JULY 15,
Total Round-Lot Sales:
•
96.9
103.8
—1.1
0
INDEXES PROM
22, 1944 TO JULY 29, 1944
Fruits
Total
—0.7
1
•*
0.2
Increases
Livestock
1,339,597
—
0
106.4
Pounds
JV
Dow, Marysville, Mich. 3,600.000
Dow,
;
■
'-//i //
New Rate, V
Rate,
■
—0.2 + l.i
PERCENTAGE CHANGES IN SUBGROUP
1,191,807
_
*99.5
;
147,790
JOther sales
Monthly Production
Former
♦Preliminary.
2.87
1,241,412
Total purchases
Short sales
*99.5
.
124.3
118.4
than
products
farm products
256,977
:—
commodities
materials
farm
223,987
i
tOther sales
4.
Miscellaneous
446,210
Total
'
products
materials
Metals and metal products
3uilding materials
Chemicals and allied products
Housefurnlshlng goods
416,110
Other transactions
205.6 106.7
116.8 116.8
97.4
97.3
97.3
83.9
83.8
83.8
*103.8 *103.8 *103.8 *103.8
115.9 115.9 115.8 115.9
105.2 105.2 105.2 105.3
106.0 106.0 106.0 106.0
93.3
93.3
93.3
93.3
113.8
113.8 113.9 114.6
93.8
93.8
93.7
93.7
*101.1 *101.1 *101.0 *101.1
Textile products
7.68
125.5
124.2
0
Aimm
-
106.0
116.8
97.4
83.9
105.3
116.8
?uel and lighting
636,410
u
L
floor—
'v '
• m »
■
124.1
124.1
Hides and leather
84,700
Short sales
•
■
?00ds
initiated
A'-i
'.7-3!
1944 ; 1944 " 1943
1943
102.8
1944
*104.1
1944
1944
.*103.9 *103.9 *103.9
) '
.vV;"U
products
farm
551,710
*«*» '
v„.
1944
,
—
—
-
in which
tOther sales
3.
Commodity Groups—
/'.
—
2. Other transactions
Total
;■
All commodities
tOther sales
plants, follows:
/
7-1
7-22
7-31
7-1
7-15
7-22
1-29
>
they are registered—
Total purchases
five
July 29, 1944 from—
Odd-Lot
the Odd-Lot Accounts of
Dealers and Specialists:
1. Transactions of specialists in stocks
Except
'
*'
,
Percentage change to
for Account of Members,
Round-Lot Transactions
B.
(1926=100)
.
8,060,880
—-———•
-—
-
-
ENDED JULY 29, . 1944
PRICES FOR- WEEK
WHOLESALE
\%
Total for week
Round-Lot Sales: p
A. Total
:
Customers'
total
701,947
sales___/
4
Dollar
value
/
711,984
$24,129,294
•
Round-Lot Sales by Dealers—
Number of Shares:
Short sales
tOther
sales
Total
sales
130
igo 710
-
180,841
Round-Lot Purchases by Dealers:
Number of shares___
•Sales
marked
"short
exempt"
234,2T
are
r<
ported with "other sales."
tSales to offset customers' odd-lot order
and sales to
is
less
than
liquidate
a
"other sales."
round
a
long position whic
lot
are
reported
wit
Volume
Number 4306
160
THE COMMERCIAL & FINANCIAL CHRONICLE
Revenue
Freight Gar Loadings During Week
Ended July 29,1944, Increased 7,499 Gars
Loading of
totaled 910,533 cars,
This
Aug. 3.
on
freight for the week; ended July 29, 1944
the Association of American Railroads announced
revenue
was
an
increase above the corresponding week of
above the same week
1943 of 25,008 cars, or 2.8%, and an increase
in 1942 of 46,957 cars or 5.4%.
Loading of
freight for the week of July 29 increased
7,499 cars, or 0.8% above the preceding week.
Miscellaneous freight loading totaled 400,508 cars, a decrease of
180 cars below the preceding week, but an increase of 14,469 cars
above the corresponding week in 1943.
Loading of merchandise less than carload lot freight totaled
103,715 cars, an increase of 1,234 cars above the preceding week, and
an
revenue
increase of
5,009 cars above the corresponding week in 1943.
loading amounted to 180,901 cars, an increase of 4,603 cars
above the preceding week, and an increase of 2,767 cars above the
corresponding week in 1943.
Coal
Grain and
of
2,314
below
grain products loading totaled 57,409 cars, a decrease
below the preceding week and a decrease of 1,144 cars
cars
the
corresponding week in 1943.
In the Western Districts
alone, grain and grain products loading for the week of July 29
Total Loads
Railroads
Southern District—
Total Revenue
Received from
Freight Loaded
Connections
1944
1943
1942
1944
1943
Alabama, Tennessee & Northern
Atl. & W. P.—W. R. R. of Ala
423
271
389
497
399
798
631
914
2,228
2,840
Atlanta, Birmingham & Coast—
882
848
1,057
1,312
1,226
by wage
10,086
11,368
10,266
9,829
9,728
totaled
3,915
3,784
4,120
Atlantic Coast Line
Central of Georgia
Charleston & Western Carolina
3,972
5,428
597
1,661
1,668
3,095
Columbus & Greenville
1.728
2,805
197
311
402
281
166
Durham & Southern—
Florida East Coast
Frances Perkins reported
127
113
134
541
400
20.
832
1,483
815
1,391
1,923
,—
Gainesville Midland
48
48
36
107
74
1,324
1,074
1,361
2,280
3,261
399
491
639
690
557
4,558
3,846
4,253
4,655
4,326
28,165
28,498
27,060
16,722
17,485
26,915
25,885
26,036
11,804
11,171
206
258
Georgia
Georgia & Florida
Gulf. Mobile & Ohio
Illinois Central System
Louisville & Nashville
.'
Macon, Dublin & Savannah
Mississippi Central
220
721
701
——T-~
315
267
304
870
491
Nashville, Chattanooga & St. L._——_
3,155
3,284
:3,061
4,741
4,749
1,626
1,591
1.729
1,651
1,307
382
350
335
Norfolk Southern
->
Piedmont Northern—
—
Richmond, Fred. & Potomac
Seaboard Air Line
^—
Southern
1,179
1,015
440
434
485
10,616
9,442
9,701
9,629
10,044
8,736
8,156
26,212
22,076
24,665
25,441
23,615
662
520
670
770
895
127
100
100
1,005
829
124,154
119,325
121,272
118,451
113,349
—.—
.
—
System—
—
Tennessee Central
:
—
Winston-Salem Southbound
Total
-ing week in 1943, except the Eastern, Pocahontas and ^Northwestern
all districts reported increases compared with 1942 except the
Alton
,
Northwestern District—
Chicago & North Western
Chicago Great Western
Chicago, Milw., St. P. & Pac
Chicago, St. Paul, Minn. & Omaha
19,829
Duluth, Missabe & Iron Range
Duluth, South Shore & Atlantic
Elgin, Joliet & Eastern
Ft. Dodge, Des Moines & South
Great Northern
.
.Pocahontas.
2,820
10,601
3,193
4,191
3,233
30,502
27,336
30,239
307
481
548
1,024
1.161
425
631
9,559
8,610
9,097
10,899
11,864
426
448
555
84
102
24,201
26,935
27,196
7,200
5,711
475
422
2,679
2,291
48
41
2,027
2,156
2,678
2,477
7,769
7,106
7,371
3,225
2,699
12,207
11,647
11,665
6,405
5,113
178
204
196
627
440
3,256
2,881
141,705
141,843
141,096
67,578
65,667
29,045
21,339
23,955
13,469
12,054
3,624
3,367
3,380
4,411
4,454
462
698
78
108
20,885
22,308
18,650
12,958
12,160
3,256
3,000
2,616
810
850
13,064
12,772
13,742
11,952
2,520
Spokane, Portland & Seattle
493
2,897
Bingham & Garfield.
I.
3.531,811
3,858,479
February.
3,159,492
3,055,725
3,122,942
3,135,155
3.073,445
3,174,781
Colorado & Southern-.
4,068,625
3,924,981
4,209,907
3,311,637
Denver & Rio Grande Western
Denver & Salt Lake
4d6755
709
4,139,395
Fort Worth & Denver
City
1,126
988
----2,610
1,193
4
weeks
of
May
3,446,252
3,363,195
5
weeks
of
June
4,343,193
4,003,393
745,141
808,630
855,158
Illinois Terminal
904,804
877,335
857,146
Missouri-Illinois
Week
of
July
Week
of
July
Week
of
July 22
.Week
of
15—
July
—
29
.
.
903,034
883,838
855,515
Nevada Northern
910,533,
885,525
863,576
North Western Pacific
24,407,878
25,248,533
\
following table is a summary of the freight
carloadings for
railroads and systems forrthe. week-ended ~July^29;H 944
During the period 78 roads showed increases when compared with
the corresponding week a year ago.
the separate
REVENUE
FREIGHT LOADED AND
(NUMBER OF CARS)
Southern Pacific (Pacific)
JtftY
Connections
Bangor &
Aroostook
Boston & Maine
Chicago, Indianapolis
Central Indiana-Central. Vermont
Delaware & Hudson—
Lackawanna & Western
Detroit & Mackinac
Delaware,
Detroit, Toledo &
Iroriton.
Detroit & Toledo
Shore Line
.
-6,010
1,432
29
1,156
1,078
vrt 1.441
.
:'r
68
943
2,383
..V-6,635 y-:l2,956
6,717
8,069
7,909
;* 7,628
198
190
233
290
14,448
2,106
50
'
2,623
12,105
-
13,183
10,860
122
-144
:
1,325 y
y* 1,547
2,112
325
14,789
«L130_
27
6,282
423
-y 14,014
1,438
327
2,666
2,463
13,186
18,033
17,608
try
3,743"
4,027
River
York Central Lines-
—
Hartford
ew York. Ontario & Western
ew York, Chicago & St. Louis
Y„ Susquehanna & Western
lttsburgh & Lake Erie
2,178
1,782
9,052
8,788
16,034
.2,292
2,736
6,449
349
>
2,356
2,284
6,477
6,388
2,634
2,245
.
56,789
9,903
y
1,854
Marquette
North
lttsburgh & West Virginia
ittsburg, Shawmut &
1
utland
1,296
1,280
3,246
2,542
6,686
7,561
"'7,285
16,169
16,957
402
460
408
2,196
2,713
8,112
7,686
8,029
9,049
5,755
5,017
865
906
366
426
1,394
998
399
350
1,025
-
heeling & Lake
V.
Total.
5,291
"
750
.•.'/y
349
:
,<1,232
;[y
338
.
8,102
7,984
25
23
,~>H-289-~f
3,103^4'
.1,140
-
309
;•
3,597
:
1,071
5,404
5,651
12,455
13,075
5,293
5,507
'4,536
5,403
166,660
169,806
156,760
232,021
239,048
,
48.423
43.718
7,251
6,066
*320
278
& Lake Erie
uffalo Creek & Gauley
,ambria & Indiana
..
•
43,431
31,458
6,538
2,294
281
*6
2,025
8
*
"
>
1,832
7,325 yy 7,i57
7,152
entral R. R. of New Jersey
"
•
v
4.73
214
L—
igonier Valley
-
eading Co
y
686
574
227
278
150
133
2,284
1,857
1,603
enn-Reading Seashore Lines
••••V*
1,720 y*
91,420
90,013
14.257
16,356
-
20.953
.
y
5
6
22,725
63
53
12
18
138
53
42
944
4,032
3,741
1,754
2,847
19,563
(Pittsburgh)
estern Maryland
Total
22,072
902
11
6
0
0
34,320
33,399
32,409
15,111
13,30?
304
269
278
2,001
y. 1,82.7
16,306
14,300
17,990
18,96^
126,409
105,867
99,614
777
386
312
Gulf Coast Lines
183
5,549
4,504
4,242
International-Great Northern
2,644
3,124
2,758
1,840
2,737
3,698
3,316
318
325
346
981
1,139
2,891
4,708
4,344
hesapeake & Ohio—
200,272
197,425
r
hours
gate
in
in total
"Average weekly
to
earnings
in
Workers
in
17,303
19,180
18.758
78
9,570
3,234
2,703
3,054
7,516
7,319
12,288
11,762
13,559
5,800
5,766
5,440
5,321
5,584
8,053
6,975
107
145
129
39
47
43
18
54
48
31
76,865
68,378
72,987
70,289
69,934
St. Louis Southwestern
-—
Texas & New Orleans
Texas & Pacific
Weatherford M. W. & N. W
Wichita Falls & Southern
Total
.
428
270
8,764
8,915
Weekly Statistics Of Paperboard Industry
give herewith
Paperboard Association, Chicago, 111., in relation to
activity in the
paperboard industry.
members
of
this
Association
represent
83%
of
the
total
industry, and its program includes a statement each week from each
member of the orders and
production, and also a figure which indi¬
cates the activity of the mill based on the
time operated.
These
figures are advanced
industry.
to equal
100%,
so
that they represent the total
Orders
Period
Production
Received
1944—Week Ended
Tons
Tons
1.
8.
179,056
141,959
V
145,936
22
138,712
'i
Percent of Activitv
•
Current Cumulative
Assistant
by Secretary Morgenthau
July 30. Mr. Dubois, it is stated,
had been serving as Chief Counsel
for the
Foreign Funds Control
Division.
158,871
610,555
days' production.
June
10
95
144,384
157,794
96
95
June
17
154,137
156,338
577,721
95
130,510
549,830
96
152,954
155,170
544,454
95
145,317
98,235
147,478
152,402
157,720
586,379
60
586,103
91
22
157,041
July
29
139,743
95
95
.
95
».
95
95
.
94
;
94
590,263
94
94
570,626
96
94
Unfilled
necessarily
orders of the prior week,
plus orders received, less production, do
equal the unfilled orders at the close.
Compensation for delinquent
orders made for or filled from stock, and other Items made
necessary adjust¬
ments of unfilled orders.
files of the reporting mills
95
95
145,775
Unfilled
95
94
95
—
were
10.6% below production.
reporting softwood mills, unfilled
orders are equivalent to 40 days'
production at the current rate, and
gross stocks afe equivalent to 41
98
13__
mills
order
98
8
week
these
amounted to 114.3% of stocks. For
98
July
July
July
same
94
601,880
147,689
of
ended
In the
94
628,495
1———
orders
1.1% above
week
94
156,041
July
July 29, 1944.
were
the
93
158,534
/
for
92
147,768
-
According to the National Lum¬
Manufacturers
Association,
lumber shipments of 505 mills re¬
porting to the National Lumber
ber
94
186,666
:
Ended July 29, 1944
607,537
29
June 24
Lumber Movement—Week
635,727
6-.
Notes
of
was an¬
636,176
April
reports
Counsel
144,422
May
not
General
143,883
93
2,225
mining,
The appointment of Josiah E.
Dubois, Jr., of Woodbury, N. J.,
new
Remaining
Tons
133,724
15
Orders
599,322
584,083
23,924
metal
Dubois In Treasury Post
production
152,461
2,218
in
and
$44.59."
Trade Barometer
Unfilled
170,421
24,674
Weekly
latest figures received by us from the National
3
5,016
$48.54,
on
June
56,916
operations
holiday.
earnings in bituminous coal min¬
ing averaged $51.67; in anthracite,
nounced
97
'4,752
of
40
mining reflect the
full-scale
to
after the Easter
as
Note—Previous year's figures revised.
each
than
the Treasury Department
figure.
96
56,859
in
more
week in anthracite, bitumin¬
17,325
63
apparel,
"The increases in average hours
per
18,460
582,090
-
is
5,920
602,062
7,605
work-week
groups
5,260
9,224
textile,
hours.
5,526
620,728
14,094
the
5,415
65
to
and tobacco groups still
averaged
less than $30 a week although the
6,751
10,077
durable
goods
$52.05, while
earnings in the non-durable
goods
group
averaged
$37.04.
430
Quanah Acme & Pacific
in May, 57'
April.
The
in
the
236
7,563
8,656
the
amounted
group
344
7,711
13,800
than
more
434
St. Louis-San Francisco
earnings for
as
a
whole
$46.13
147
Missouri-Kansas-Texas Lines
non-durable
whole, amounted
manufacturing
207
Missouri Pacific
The in¬
^814,000 hours.
167
Missouri & Arkansas
the
as a
return
21,050
23,358
in
week
per
coupled
manufacturing time
1,5)6
150,435
^28,893
in¬
apparel,
employment
longer work-weeks.
crease
3,218
155,105
29,015
goods
The
increased
with
1,249
157,370
22,885
The
the increases in the food
the petroleum groups reflect
and
2,658
138,501
22,258
strikes
tobacco,
and
paper
groups were
wholly
the results of longer
work-weeks,
291
140,287
29,849
the
848
144,921
182,875
the
week.
per
4,456
May
of
non-durable
709
13-.
181,714
11
349
20_,
-
the
3,206
Valley
27_.
4,835.
"Of
737
April
man-
in the iron
groups, five reported more aggre¬
319
April [.
of
lumber and fur¬
niture groups were seasonal."
The Secretary of Labor went on
to say:
Midland
May
12,501
May
Litchfield & Madison
April
150,000
was
place in April.
ous, and metal
April
eight
increases in the
2,771
The
in
group and reflected the
in
took
2,881
May
' ".>57,086
which
4,094
70.106
187,966
settling
4,876
We
May
week,
5,907
29,082
13,145
in
3,859
67,793
.,
irginian—
Total
969
30,055
4,195
average work-week
increase,
per
and steel
these
*
83,938
District—
'orfolk & Western-—
,
15,020
-'
hours
cents
114
967
131,821
2,049
y:
-
largest
amounted
144.018
week's
greater
a
groups, in
only three of
them was it sufficiently longer to
offset employment declines.
The
462
3
30,957
-
•
*
nion
Pocahontas
2,389
/
113
1,136
1,284"
643
r'v
1,708
—
ornwall
'umberland & Pennsylvania
591
STATISTICAL REPORTS—ORDERS, PRODUCTION, MILL
ACTIVITY
798 •yy
741
Youngstown
altimore & Ohio
essemer
2,240
1,313
4,723
Total.
Allegheny District—
kron. Canton &
1,518
1,207
7
9,041
-
6,181
Erie
1,856
4,327
"
•
6,170
abash—-
1,498
*
.
ittsburg & Shawmut
13
2,053
572
82
.
ere
15
932
18,520
18,229 y
9,226
longer
6,513
646
.
2.271
•Previous
150,000 more
increase in
these
to
55,722 *£4 58,162
46,323
Although the
goods group,
602
38i
in
manufacturing hours.
1,950
2,604
2,651
y
14--y
2,403
of
5,372
1,245
449
15,733
/
"
9,216
,
7,753
2,607
2,038-11!? 2,090
52,749
Y., N. H. &
7,834 U
2,623 T':
141
:
8,871
'—
^ 3,676
•
158
161
of
reported
groups
number
6,913
2,066
1,560
45.0
"Only three of the nine durable
goods
2,450
2,105
18,618
—
Kansas City Southern
Louisiana & Arkansas
the
of
the slight
6,621
959
—ii-
Kansas, Oklahoma & Gulf
""*530"'
1,045
>■:«*
offset
749
1,962
Western Pacific
1943
~
high Valley
.
:
29
1,758
aine Central—-
ew
939
6,394
13,403
rand Trunk Western
high & Hudson
1,065
6,670
1,265.
& Louisville
397
235
285
[
Ann Arbor—
employment
scheduled
1944 y
1942
1943
was
with
the workweek.
3,743
1,658
Burlington-Rock Island
Received from
Freight Loaded
1944
in
than
2,251
Southwestern District—
29
Total Revenue
Railroads
District—
Union Pacific System
UtateStstr.
low
April," she said. "However," Sec¬
retary Perkins added, "the decline
899
RECEIVED FROM CONNECTIONS
WEEK ENDED
Total Loads
Eastern
3,341
1,124
;
Toledo, Peoria & Western—
The
3,431
of hours
week
compares
3,990
Peoria & Pekin Union-.:
25,412,706
Total
which
per
while
—
3,796,477
of April
weeks
1,012
Central Western District-
1
March
of
weeks
4
5
1,036
man
Easter-induced
creases
Total
January....
of
weeks
4
3,933
2,168
■
of
Weeks
3,874
2,562
-
Chicago & Illinois Midland
1942
1943
1944
S
14.401
3,219
10,493
.
Northern Pacific
13,627
2.160
19,254
Bay & Western
Spokane International
21,132
2,849
21,171
Lake Superior &
Ishpemlng
Minneapolis & St. Louis
Minn., St. Paul & S. S. M._
22,313
2,574
22,258
.
•and
45.4,
per
July
on
"The average number
worked
was
1-
:
worked
approximately 590,000,000
in May, or about
1,750,000 less
than in April, Secretary of Labor
372
Green
,
hours
in manufacturing
earners
1,793
the corresponding week in 1943.
14,878 cars, an increase of 908
.cars above the preceding week, and an increase of 608 cars above the
[corresponding week in 1943. In the Western Districts alone loading
of live stock for the week of July 29, totaled 10,196 cars an increase
.of 693 cars above the preceding week, and an increase of "'93 cars
[above the corresponding week in 1943.'
Forest products loading totaled 53,120 cars, an increase of 2,383
cars above the preceding week and an increase of 4,938 cars above
[the corresponding week in 1943.
Ore loading amounted to 85,173 cars, an increase of 705 cars
.above the preceding week but a decrease of 1,531 cars below the
corresponding week in 1943.
[
Coke loading amounted to 14,829 cars, an increase: of "160 cars
.above the preceding week, but a decrease of 108 cars below the cor¬
responding week in 1943.
"
,
,
\
*
[
All districts reported increases compared with the correspondloading amounted to
number' of
712
decrease of 2,927 cars below
a
Livestock
The
1,942
Clinchfield
[totaled 39,726 cars, a decrease of 851 cars below the preceding wee
and
Factory Workers Hours,
Earnings Decline In May
y
.
For the
year-to-date, shipments
of reporting identical mills ex¬
ceeded production by 5.4%; orders
by 7.5%.
Compared to the average corre¬
week of 1935-39, pro¬
duction of reporting mills was
25.4%
greater; shipments were
30.4% greater, and orders were
sponding
11.7% greater.
THE
COMMERCIAL & FINANCIAL
Thursday, August 10, 1944
CHRONICLE
€16
Banks, Trust Companies
Items About
Robert M.
of the Dollar
Catharine, President Craig
dent.
Savings Bank of the
Assistant Vice-Presi¬
was
York, was elected on
As a result of the adoption on
member of the Board of
July 25 by the shareholders of
Bank of the Man¬
the
Winters
National Bank &
hattan Company.
Mr. Catharine
Trust Co. of Dayton, O., of plans
is Vice-President and a member
respecting the increase in capital
City of New
Aug. 3 a
Directors of the
Committee of
Association of
the State of New York and Chair¬
man of Group IV.
He is a mem¬
Executive
the
of
Savings Bank
the
Executive Committee
National Association of
the
of
ber
the
of
Banks and was
appointed by the Super¬
intendent of Banks a Trustee of
the Savings Banks Life Insurance
Savings
Mutual
recently
Fund.
Ruhlender, retired bankPlacid on Aug. 1.
He was 77 years of age. Mr. Ruhl¬
ender for many years was con
nected with the former banking
firm of Speyer & Co. of New
York.
In addition he served as
Chairman of the Board of the St.
Louis-San Francisco Railway Co.
Henry
er
died at Lake
Mr.
Ruhlender was also formerly
of the Missouri-Kan-
contemplated sale of
shares, the
common capital of the bank, for¬
merly
amounting to $1,500,000
represented by 15,000 shares of
$100 par value each, will be in¬
creased to $3,000,000 represented
by 150,000 shares of $20 par value
each.
Present stockholders will
receive in exchange for each of
their 15,000 shares of $100 par
through the
additional
Railroad Co., and Di¬
rector of the Baltimore & Ohio
Railroad.
"
$20 par value stock.
As was
dicated^ in the bank's letter
Institution
brated its 60th
close of business on
The advices
also
the sale of all
.
The bank
Aug. 1, 1884,
its f irst Presi¬
"News" re¬
this also said:
original officers were
Gwinnell, Vice-President,
William H. Lee, Treasurer.
"Other
John M.
and
"There have
Presi¬
been seven
Messrs. Lang, Gwinnell,
Lee, M. G. Perkins, Adrian Riker,
Robert L. Ross and at present
Irving Riker, son of Adrian Riker.
"The institution was the first
dents,
savings
accrue
bank in New Jersey
interest from the month
to
of
being allowed
from the first of each month for
deposits made during the first
three business days of each month.
The practice is still followed. The
institution has more than 15,000
depositors with total deposits in
deposit,
ber
interest
$12,000,000. It is a mem¬
of the Federal Deposit Insur¬
excess
ance
state:
"In order to assure
Newark
The
porting
July 25.
issued by the bank
the bank of
of
Corp."
of the 75,000
Foreign
of
reau
Department of
emphasized at
the meeting that 92% of American
A program designed to assure adequate bank credit to meet the enterprises are officially classified
needs of small business in the reconversion and post-war periods, as 'small business' by the United
States Department of Commerce.
was revealed on Aug. 4 by Robert M. Hanes, Chairman of the PostWar Small Business Credit Commission of the American Bankers' It was also pointed out that the
Association and former President of the ABA.
Under the credit term is used by small businessmen
themselves
in designating their
policy adopted by the Commission "every competent individual, firm
own
organizations,
there being
or corporation in the United States
sion are determined to see that
some 25
'small business associa¬
that needs bank credit will get
this great credit reservoir is used
tions' in operation throughout the
it," according to Mr. Hanes, "if the
for productive purposes to facil¬
country."
:*-r,•
money is to be used for some con¬
itate the conversion of business
Plans are being made for a se¬
structive purpose that will serve
and industry from war to peace¬
ries
of
regional meetings through¬
the private enterprise economy of
time production, to revitalize the
out the country the first of which
this country.
If the individual
many segments of small business will be held in New England and
banks cannot grant the credit, we
adversely affected by wartime re? the Midwest in September to ac¬
as
bankers,"
said Mr. Hanes,
strictions, and to provide the fi¬
quaint bankers with the technical
"pledge ourselves to stay with him
nancial encouragement and
aspects of the Commission's pro¬
and see that he gets the money
strength
to
business, industry, gram.
from some other bank or group of
agriculture and the professions
"Through these post-war plans,'*
banks. American banking will see
For
that small business lives and is
to
given the opportunity to grow and
shareholders dated July 14, the
prosper," Mr. Hanes added:
additional 75,000 shares of $20
"It should be clearly understood,
par value stock to be sold is be¬
however, that this does not mean
ing offered first to holders of that banking is embarking upon
common
stock of record at the
a
program
of making reckless
year.
began business on
with Harry Lang as
dent.
in-;
addi¬
tional
shares,
an
underwriting
agreement has been executed be¬
tween the bank and McDonald &
1, the Franklin Savings
Co., Cleveland, O., on behalf of a
of Newark, N. J., cele¬
,
On Aug.
shares of the new
value stock five
Chairman
gas-Texas
common
Unit of the Bu¬
and Domestic
Business
Small
Plans Adequate Credit
Post-War Needs Of Small Business
Credit Commission Of ABA
loans.
Such loans are of no ben¬
that
will
was
post¬
"In
the entire ma¬
doing this,
chinery of the American banking
system will be utilized to the full¬
est extent. Correspondent banks
will
play
the community.
the bank or
Nor should it be
banks have not
tend
loans and providing
aged
been making
S.
It
employment, particularly for
returning war veterans.
efit to the borrower,
that
U.
Commerce.
war
Where
construed
maximum
create
Commerce,
a
an
local
either
part
or
credit needed, it will
to
banks
to
part.
important
bank
use
its
see
that
cannot
ex¬
all of the
be encour¬
correspondent
is
earnest at¬
the
money
small business¬
ability. They made available or an
have been doing it for years.
In tempt is made to make the appli¬
1940, the last full year of peace¬ cation suitable for bank consider¬
group of underwriters, whereby
«
time business operation, the banks ation.
the underwriters agree
to pur¬
"This
happy relationship
be¬
of the country made more than
chase at $20 per share any of the
banks
will
enable
the
24 million loans, the average new tween
75,000 shares of additional stock
loan being approximately $1,700." smaller banks to serve adequately
not subscribed for by sharehold¬
Stating that "a survey of post¬ the credit needs of their commun¬
ers
pursuant to the exercise of
war
credit needs made recently ities and at the same time pre¬
subscription warrants. In the un¬
by members of the Commission in serve independence of policy and
derwriting agreement the under¬
their own territories.
their own districts, clearly reveals action in
writers have also agreed that at
that the major share of the credit Small business will be the chief
any time prior to 2 p.m. (EWT),
of
the
experience,
required will be provided by the beneficiary
on
Tuesday, Aug. 15, 1944, they
banking system itself," Mr. Hanes skill, facilities and resources that
will purchase subscription war¬
have been developed over a long
says:
rants from any shareholder who
"Never before have the banks period of years by this coopera¬
may desire to sell at a price of
■
of this country had such a tre¬ tion between banks."
not less than $2 for each share
mendous storehouse of credit with
It
is
pointed out that while
which the holder is entitled to
Which to serve the multiple needs most of the post-war credit de¬
purchase under the terms of such
of post-war business, industry and mands will be met by individual
subscription warrant. The under¬
writers
have
agreed
that any agriculture as they have today. banks either directly or in co¬
The deposit structure is now far in operation with other banks, the
shares of stock acquired by them,
excess of $100,000,000,000,
a vol¬ Commission recognized that there
either
by
purchase of unsub¬
ume of funds adequate to finance
may
be instances where banks,
scribed shares from the bank or
the
credit
needs
of
post-war because of limited resources, unthrough the exercise by them of
America. This credit will be re¬ familiarity with the type of credit
subscription warrants purchased
leased just as soon as the eco¬ desired, or barred by legal lend¬
by them, will not be resold by
nomic condition of the country ing limits or the terms and condi¬
them at a price in excess of $24
permits and government regula¬ tions requested, may be unable to
per share."
tions restricting the extension of provide
the credit needed.
It
The advices also state:
ample credit for
men
of character and
...
said
"banking
Hanes,
Mr.
will
the principles of private
enterprise.
The problem of in¬
creased peacetime production, em¬
fortify
ployment and opportunity for the
people of this nation can only be
satisfactorily
solved
and
met
efforts of a free
people — free in their right to
achieve success through their own
the
through
intelligence,
Such
a
and ability.
will make the
free and inde¬
courage
free people
maximum use of a
pendent banking system such as
will be provided by the banks of
this country in the post-war" pe¬
in the
banking,
industry, and agriculture
together
Working
riod.
spirit of free enterprise
business,
will create
post-war
build
will
vigorous and healthy
a
United they
economy.
nation rich in hope
a
opportunity for the returning
and
heroes of this war."
created Post-War
The recently
Commission
Small Business Credit
.
organization meeting in
New York City July 25-27.
It
consists of 42 bankers from both
its
held
small
and
institutions and
section of the
meeting was also
large
represents
every
country.
The
attended
by
Association's
the
Commission.
Credit Policy
NYSE Entertains
China's Delegates
Vice-Minister of Fi¬
Y. C. Koo,
nance
of
and P. M. Hsi,
Central Bank an
China,
Director of the
of the Bank of China, in charge
of the First
of its New York office, who were
credit in many lines of activity as therefore considered various plans
National Bank and the National
delegates to the recent United Na¬
"The bank was originally char¬ a nrecaution
against inflation are for meeting such situations and
Iron Bank of Morristown, N. J., tered
tions
Monetary
and
Financial
by the State Legislature of lifted.
determined
that
the
voluntary
was approved on July 27 at share¬
Conference,
at
Bretton Woods..
Ohio on Feb. 11, 1814. under the
"The members of the Post-War
participation regional bank credit N.
holder meetings and was sched¬ name of the
H., were guests on Aug. 4 a'
Dayton Manufactur¬ Small Business Credit Commisgroup was the most feasible type
uled to become effective at the
a
luncheon given in their honor
ing Co. and opened for business
of organization that could be util¬
close of business on Aug. 1. After
at
the
New York Stock Exchange
as Dayton's first bank on Aug. 11,
William H.
Morgan, ized to perform this function. The
that, said the Newark "News," the 1814. The name of the bank was merchant;
by Emil Schram, President, an
announcement
adds:
railroad employee, and Harry K.
two oldest banks in Morris County
John A. Coleman,
Chairman o
later changed to the Dayton Bank,
Park, druggist and coal company
"Such groups will be strictly the Board of Governors. Accom¬
will be united under the name of
then the New Exchange Bank and
manager.
the First National Iron Bank of
voluntary in character, regional in panying the delegates on theii
in 1857 to V. Winters & Son. On
Morristown, with banking transac¬
operation and management. They visit, which included an inspec¬
Dec. 2.1, 1881, the bank was char¬
On
Aug. 5 the Board of Direc¬ will be started when and where tion of the trading floor and the
tions carried on in the National
tered under the National Banking
tors
of
the
Merchantile
National
local banks feel a need for such
Iron Bank building. Headquarters
quotation and ticker departments
Laws
as
the
Winters National
Bank of Chicago, 111.,
called a an auxiliary or supplementary were: Li Ming, Chairman of the
of a Rockaway branch will remain
Bank, under which name it oper¬
unchanged. The same paper July ated until adoption of its present meeting of the stockholders to source of credit. The Post-War Chekiang Industrial Bank, Ltd.
be held on Aug. 28 for the pur¬ Small Business Credit Commission
29 also stated:
former Chairman of the Bank o
name on Feb. 12, 1924."
The stockholders
unanimously
pose of acting on a proposal to will have no voice in their organ¬
China; Chao Ting Chi, Secretary
In its June 30, 1944, statement
change
the
par
value
of
the
out¬
ization
or
management. It will General of the Foreign Exchang
approved a plan for consolidation
the
bank
showed
deposits of standing shares from $100 to $20 however act as a clearing house
presented by a committee repre¬
Control, Head of the Research De
senting directors of both banks. $101,259,080 and total assets of and to increase the capital stock for information to groups contem¬
partment of the Bank of China
$126,368,192.
Charles
F.
Ketter¬
from
$600,000
to
$1,000,000.
With
Negotiations for the merger Jiave
plating such action. Several such T. S. Wei, Economist, member o
ing is Chairman of the Board and the approval of the plans the out¬
been under way since January.
groups are already being consid¬ the legislative Yuan; C. F. Kuo
President and chief executive W. H. J. Behm is President. Pre¬ standing stock will be changed ered by bankers in widely sep¬
Economist with the Postal Admin
officer of the consolidated bank vious items on the increase in for new stock on a l-to-5 basis. arated parts of the country, ac¬
istration of the Chinese Govern¬
will be Frank D. Abell, who had capital appeared in our July 27 The
Chicago
"Tribune" * from cording to reports made at the
ment; V. Y. Wu, Department heac
been President of the First Na¬ issue, page 424 and Aug. 3, page which this is learned quotes W. W. Commission meeting."
From the of Currency and Banking in th<
tional. Elmer King is Chairman 528.
Farrell, President of this bank, as Association's
advices
we
also Ministry of Finance; Y. T. Chen
of the board of directors, the post
saying:
".',n
-.•] quote:
...
• ,
.
Personal Secretary to Dr. H.
Admission of the Bank of Corn¬
"The
directors wish
a
he held at National Iron.
Mr.
larger
"Many banks throughout the Kung, Minister of Finance, and A1
Abell, former State Senator, is ing Company at Corning, Perry capital stock structure because of
country, according to reports made bert L. Schomp, President of th
President of New Jersey Bankers' County, O., to membership in the the growth in deposits and the
The
consolidation
,
.
Association.
Mr. Abell said
Federal Reserve
System was an¬
Aug. 3 by President
July 27: "We
are
confident that as the largest
bank in Morris County, with de¬
nounced
posits of more than $20,500,000 be¬
longing to more than 19,500 de¬
bank, serving a mining and rail¬
roading population of about 3,000,
was incorporated 40 years ago. Its
on
positors, we can be of even more
service to our customers than in
the
past."
*
Qraig S. Bartlett resigned from
the First National Bank of Jersey
City on July 31 and will become
an Assistant Vice-President of the
Bank & Trust
Co. of New York, at 60 Broadway,
as
of Sept. 1.
In the First Na¬
tional Bank of Jersey City Mr.
Central
Hanover
on
M. J. Fleming
Bank
serve
of the Federal Re¬
Cleveland.
The
at
consequent need for providing a
capital ratio
the bank's
more
in keeping with
resources."
of
the
....
Commission
already
ness
establishing
loan
meeting,
small
are
busi¬
units
departments or
The creation
under similar name.
special departments or
Hale, Vice-Presi¬
committees, it was believed, indi¬
dent of the Federal Reserve Bank
cates the growing volume of small
of
San
Francisco, Calif., ^since business loans being made by
capital is
$50,000 and surplus 1936, has become Executive Vicebanks and banking's desire to see
$18,000.
Officers of the Bank of President of the American Trust
that the varied needs of this type
Corning Company are: Dr. James Co. of San Francisco on
Aug. 1. of enterprise receive specialized
Miller, President; G. D. Keller,
and expert attention.
Vice
President;
Leo
Radkoski, It is further stated by the San
"The Commission itself is un¬
Cashier, and Miss Emma Hensler, Francisco "Chronicle" that Mr.
Assistant Cashier. The directors, Hale has been in
banking''since dertaking immediate research into
besides Messrs. Miller, Keller and
the problems of small business
his graduation from University of
under the guidance of its newlyRadkoski,
are:
M.
R. Brown,
California in 1914, and is widely
appointed staff director, William
Mayor of Corning; P. H. Clifford,
railroad employee; E. J. Debney, known in financial circles.
Sheperdson, former chief of the
of
William
such
M.
American Bank Note Co.
Open Stock Exchanges
In Rome And Naples
Associated
Rome July
Press accounts fron
31 stated:
"The Italian Treasury
in
Ministry
agreement with the Allied Con
trol
Commission, issued an orde
today permitting the reopening o
-
-•Viri
the Rome
and Naples Stock Ex
changes
beginning
tomorrow
Trading will be confined to casl
transactions
and
in
State
securitie
public services bonds."
@FedFRASER