Full text of Commercial and Financial Chronicle : February 13, 1947, Vol. 165, No. 4568, Section 2

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

Final Edition

ESTABLISHED

In 2

Sections-Section

2

Financial
Reg. U. S. Pat. Office

.Volume

165

Number 4568

New

York, N. Y., Thursday,
February 13, 1947

How President Tinman Can
By ALEXANDER WILSON*

Saved by Senators'
Vandenberg

Provides

an

answer

to the

forth

set

EDITORIAL

Millikin

-

new

proposals
procedures for ne¬

HOW GOES THE BATTLE?

gotiating and amending recipro¬
agreements. Advocate

Last week the Conference of Public
Relations Executives
here in New York

Presidential obligatory

free

cal-trade

withdraw

question "Is there

solution for War?"

any

if

sion

The sudden resignation of
Secretary of State James F. Byrnes,
Jan. 7, has served to focus the attention
of our
countrymen and the
outside world on the failure or3>

modify

or

it

power to

word

*

elapsed
to

five

Japan

War

Europe and

months

have

II

came

and
since

a year

gone

by

Suggested procedure
"escape" clauses detailed.

contentious

start

For

been

with

made

by

been sidetracked.

the

Allied Nations
towards

To
many
seemed
that

per¬

manent

peace

"Big Four"

settlements
with

(Continued

erstwhile

our

enemies.

have

Alexander Wilson

spent all their
time

on
the problems affecting
Italy and the smaller Axis coun¬

well

impor924)

March 9, 1944, and a
"Reply to ?A. H. Vandenberg Eugene D. Millikin
Critics" of this article, March
30, Arthur H.
1944 and "Peace
Vandenberg, President
by Force in an
pro tempore of the
Senate and
Uncivilized World," Nov. 16,
1944, Chairman of its
and
Foreign Relations
"Are
Americans
Isolation¬
ists?" Jan. 11, 1945 and "The Fail¬ Committee, and Senator Eugene
D.
Millikin, Chairman of the Sen¬
ure of the White Man's
Civiliza¬
ate Finance
Committee, on Feb. 7
tion," March 22, 1945.
put forward the
following definite
proposals
for
administrative

and the United

as

more

page

as

participating in

changes

in

tariff

procedures.

New Economic Doctrines in

our

™

part,

we can not

more

of things it has been
hardly less clear that lined up stead¬
fastly with the planners were a great many very glib and

Chronicle,"

resenting Brit¬
ain, Russia

tries

on

research

yield solid support for that conclusion. It has been
rather!
than evident for a
long while past that active, aggres-i
sive elements in this
country had their heads set upon a
"planned economy" for us all, and that for a number of
years at least were definitely in the saddle. To those who
make, it a practice of looking carefully beneath the surface

the
were

of Nations Will Not Insure Perma¬
nent Peace," in "The

ministers rep¬

States

has

of

^Writer of "Why a New League

■;

The

it

efforts

ministers

distracted from the

Germany
Japan,

and

observers
the

peace

a

imagine why there should be
any doubt in any informed mind about the
validity of vthe
findings of public relations executives, or the 'slightest ?
surprise that a careful study of what has been
going on
either in the automobile
industry or anywhere else in the!
American economic
.system for a decade or more, should!;

pressing business of drafting peace
Germany and Japan has

has

that

Workers (CIO).

oratory and
argument emanating

the sessions of the United
Nations meetings while the more

and

no

To some extent, the public
mind
has been confused and
surfeited at
times by the flow of

With the avowed objective of
staving off any drastic changes in
the government's reciprocal trade
agreement
program,
Senator

from

sur¬

rendered

yet

World

snce

end in

an

the provocative discussions of
the
United Nations Organization.

came

Industrial

economy.

for

advocates of planned
economy.

Within a day or two |
study nearing completion atj;he|
Relations Center of the
University of Chicago §
"strikingly confirms" the findings of the public relations;!
executives. The
object of investigation out of which this|
conclusion is said to be
growing is the relations between |
the General Motors
Corporation and United Automobile

any conces-;

injures the domestic

City found that the American system of
enterprise is locked in a life-and-death struggle with

the

——

of our efforts up to this
time at the Peace Conference.
Over a year and a half has now
success

Copy

As We See It

Compromise

Four" Ministers' Conferences and the UN

meetings and then offers five "audacious" proposals to increase
President Truman's prestige as a peace maker. Believes
his sug¬
gestions would hasten peace settlement with
Germany, Austria
and Japan and promote establishment of order
and stability in a

war-wracked world.

a

Tariff Program

Regain His Lost Prestige
Writer reviews "Big

Price 30 Cents

circles

In

it

is

persuasive talkers and writers who unremittingly avowed
their allegiance to a free
enterprise system which simply f
could not co-exist with the
type of society or economy they!

were

ardently advocating.

'

The crucial question of the

.

day which most interests

dispassionate and patriotic citizens at present/is not
(Continued

adjustment

on

page

so

"v

920)

much

/;

the best informed
assumed

that

this

compromise, having the approval
of

the

State

Wake of War

Department, will be
put into effect by the Administra¬

By WILLIAM A. IRWIN*

tion—particularly as such action
does not require
legislation.

Economist, American Bankers Association

ABA economist traces effects of World War I
economic movements.

teaching

The
on

new

political and

Sees veritable transformation in economic

Because of
in

result of ideas and writings of Lord Keynes and Sir
William Beveridge, and ascribes reversion
against rugged individ¬
ualism in Britain as most portentous
change in past 50 years.
Holds Americans, however, still believe in individual
initiative,
in private property and accumulation of
wealth, but warns unless
are

found,

thro

a

t i

o

g h o u t
the world. No¬

where

was

that

Capital

was

an

Private

in

con¬

tence.

vol¬

it.

and

cided

William

A.

Irwin

there,

and when the
moment

seemed

its

was

It

The individual existed for
was

not his servant but his

con¬

ditions of unemployment and dis¬
location existed.
There the new

and

political
re¬
pression coin¬

property

In Italy somewhat similar

Great

political
organization
(when
it
came) took a different form, that
(Continued on page 923)
*Part

ripe

for

it

the

"proletarian
revolution"
took
place. The Soviet system was in¬
augurated, To a large extent it




Editorial
We

See

It

917

becoming quite clear is that the Republicans
Apparently they are still scratching
themselves and asking if what
happened on Nov. 5 is true. The oppor
sition has only to let out a loud
cry and they become cautious.,
;
This is proving to be
particularly true in the matter of tax reduc¬
tion. This is something
they bodly promised in the campaign and
not yet sure of themselves.

continued

of

an

ise

Regular Features
From

Washington Ahead

of

the

News

917

Items About Banks

and

Trust

address

of

Mr.

Cos..

State

of

ers

Association, New York

City,

after

919

their

Commodity Prices, Domestic Index.
Weekly Carloadings
Weekly Engineering Construction..
January Record
Faperboard Industry Statistics

Weekly Lumber Movement
Fertilizer Association Price

930
931

1946

928

Nov.

30.

December

♦Not available this week.

H

Means

929

930
929

1,
927

as

the

922

927

920

Cement Output in November
Dollar Acceptances

Bankers'

the

Only
Knutson,
the
cocky head of
Ways

of

927
927
926

0 u se

and
Com¬

so

clear

It could
otherwise.
that

it

is

.

the stabilizing influ¬
would bow to the;'
clamor.
They have seen this socalled little fellow pass his taxes
on to the
employer by increasing!
his "take home" pay.
And while
the
country, was so solicitous
ences,

place.

928

Bank Debits for Month of Dec

General Crop Report as of Oct.

over

seems

earth boys,

backtracking
all

fellow'/more

surprising that our old friends,
the Republicans, the salt of the

and

r,

big

possibly help him

This

931
930

931

Index..

Weekly Coal and Coke Output
Weekly Steel Review
Moody's Daily Commodity Index
Weekly Crude Oil Production
Non-Ferrous Metals Market
Weekly Electric Output

for

928

not

how-

e

the

is paying the higher tax.

They
are
becoming
increasingly
v

helps

than the little fellow but empha¬
sizes the fact that the big fellow

victory.

e

Trade

General Review

this

first

weeks

nervous,

Irwin before the 28th Mid-Winter
Cotton Ginned Prior to Nov. 1
Trust Conference, American Bank¬ .Federal Reserve Business
Indexes

Feb. 4, 1947.

932

to

prom¬

the

few

Moody's Bond Prices and Yields
927
Trading on New York Exchanges... 929
NYSE Odd-Lot
Trading
929

thing.
expropri¬

master.

political doc¬
trine.

all

virtually
prohibited.
The
"state" became the be-all and the

a

poverty

and

end-all of human effort and exis¬

of radical

One thing that is

GENERAL CONTENTS

accursed

was

siderable

economic

this

and

ated. The accumulation of wealth

where,
in
addition,
there had long

ume

Marxist,

works

Russia

existed

distinctly

meant

this

than

worse

1

was

u

By CARLISLE BARGERON

as-

923)

page

boldly

<S>

n

on

interest

domestic

.

heavy burden of debt but
widespread unemployment

business

mutual

are

As

World War I left in its train not
only a
also a ferment of discontent. There was
and

our

foreign and

(Continued

Washington
Ahead of the News

Statement

Pago

system

our

of private enterprise is not safe.

disloc

the

as

remedy for business cycle and unemployment

Joint

From

Carlisle Bargeron

about

etc.,

him

in

the

reconversion

|

period, he was out squandering
his savings on costume jewelry.
In short, the Republicans of all
a
tax reduction of 20% acrosspeople should know that while
the-board and he is holding to this little fellow is
quite a worththat.
But his support is
falling while individual, in the mass he
away from him.
The opposition is largely irresponsible and not
has raised the old
demagoguery of be coddled in problems affect; 1
a reduction that will most benefit
ing the whole economy. Manifest¬
the little fellow.
Nothing seems ly, a reduction in the higher tax
fairer than a uniform reduction brackets will be of more
imporfor all the brackets. The
cry that
(Continued on page 932)
mittee,
is
holding up. At the outset he said

THE

COMMERCIAL &

Thursday, February 13,1947

FINANCIAL CHRONICLE

918

L.

Remove Tariff on
By

*

v

HON. JAMES

U.
J

"increased prices for raw copper
must be passed along by boosting

S. Congressman

T» PATTERSON*
from

put to meet

than

copper.

rosive metal

into

shells

and

It

cartridges.

/into

went

every

plane,
auto¬

mobile,

every

every

Without

ship.

we

copper,

not

could

havejwon the
war.

The gov-

ef.n^ent
called

every,

u p o n

,

possible

James

T. Patterson

of do¬

sourcg

increase its
output
Abandoned mines were
pumped out; subsidies were paid
to high-cost producers. All sup¬
plies and all uses of copper came
mestic^ production to

control. The

government

under

that there was, with the pos¬
vital and essential commodity

purchasing plan saved
American people billions of
price

any

items

Of Banking af U.

operator will be able to go into
the world market and buy copper
while the small operator will not
be able to get it at all. Resistance

prices v/ill also drive
to seek lower cost
substitutes which, in the long run,
to

higher

many

users

might run to a

centage of our

substantial

of Wis.

"But

assuming

to

substantially rebuilt the cities, and to

permitted the replacement of all obsolete
lescent equipment in the entire country.
"But this

Association, 312 Easl
Milwaukee, ir
plans may be made foi

Bankers

#

accommodation.
the

From

matter

we

"The

students

take

of

aid in

permitting the lifting of those restraints on produc¬
tivity which have been characteristic of employ¬

Economic Problems,

ments I,

Vice-President

v

widespread guaranteed wage plans * * *
removing the dead hand of fear from
labor-management relations and from the economy,

will

first-year

"!•'

"But

announcement in the

quote:

Invest¬
Commercial Bank Credil
and Law.
The second-year stu¬
dents
take
Commercial Bank
Administration,
Investments II
Urban Real Estate Financing, and
Agricultural Economics and Agri¬
cultural Credit. Herbert V. Prochnow, Director of the School, and

Basic

no means

other millions."

Wisconsin Avenue,
their

insecurity.

ment

guarantee of wages is not a panacea, but a
tool, and a tool which becomes sharper, not duller,
with wide and more intensive use."—Report on
"The

OWMR.

tional Banx ot Cnica^o, announces
the following courses
year

men,

class of the
ment

the

for the third-

first

Here

graduating

are some

Operation and Management
III, Country Bank¬

now

Investments

Departmental Administration
(covering savings, personnel, for¬
eign, travel and safe deposit de¬
partments), Public Relations and

extracts almost at

progress we are

ing,

Advertising

period. It has reasonably
estimated, however, that our

will

Provident Trust of

of statutes
submitted to the State
Legislature. The latter include the
proposed Estates Act. the Wills

*

W. Fenninger,

Act and the

year." Right there, is

becomes con¬
little known fact

Would Ban 3rd Term

Vice-Presi¬

terson

in

House

of

Representa¬




"

article

also

says

York

thai

of 20 to 6, has ap¬
proposal to amend the
eight years

a

Constitution to limit to

maximum which any Presi¬
might remain in the White
House.
The group voted for ap¬

the

dent

to

according

proval,

Associated

Washington advices, on

Press

Feb.

day after its subcommittee
had voiced approval.
Written by-

4,

a

Representative Earl C. Michener
(R*
Mich.),
Chairman of the
Judiciary Committee, the amend¬
ment, said the Associated Press,
would limit Presidential tenure to
of four years each,
consecutive or not, and'
construe a term to mean all or
terms

two

cause

Vice-President;

"Trust

Invest¬

ments," Mr. Fenninger and Rob¬
ert Coltma.n, Assistant Vice-Presi¬

1

ence.

proved

Operations," Louis W. Van Meter

\non

"Times'

Judiciary Commit¬

whether

during the war the price

metal since 1929." The New

House

The

tee, by a vote

preside at the meetings
Topical discussions and the Provi¬
dent officers who w 11 lead therr
are:
"Trust
Administration and

dent, will

*

tives, Feb. 3, 1947.

Intestate Act.

House Committee

dent; "Taxation," John E. Wil¬
of do¬ assisted by bank public relations liams, Trust Tax Officer, an au¬
mestic
thority anid writer on tax matters;
copper "was
12 cents a
cerned. It is a
officials. Eugene P. Gum* Presi¬
"Business Development Pro¬
pound. Early in November it went
ythat there is an excise tax of 4
dent of the Central States Con¬ grams," William B. Bullock, Viceto 14% cents a pound. On Nov. 12
cents per pound on imported cop¬
it went to 17% cents a pound. I ference,
and Secretary of the President, and Francis C. Trimble,
per. 4 cents per pound per ton
notice in the New York "Times" Oklahoma
Bankers
Association, Estate Planning Officer.
produces a levy of $80 per ton, in for Jan. 29 an article which says
An outline of "Real Estate and
.addition to the cost of the copper.
reports that there will be students
that the domestic price is now
Mortgage Investments'? »by Neil A,
Obviously, an increase in the cost
20 y2 cents a pound, "the highest in attendance from other widely Thomas, Assistant Real Estate Of-WMItbe discis¬
price commanded ; by. the red scattered States as well as from
♦Frbm an address by Rep. Pat¬
sion of Trust Investments.
Cornall of the 16 States in the Confercopper per

where the Congress

application

likely to be

ent."

carl

together with

examined

be

possible

and

producers produce approximately Bonds.
80% of our American copper out¬
The Financial Advertisers As¬
requirements
will run around
put and use most of it themselves.
1,400,000 tons per year, while our The inevitable result is that all sociation will organize the course
in Public Relations and Advert'sproduction is estimated at about the rest
.of American industry is
000,000 tons per year. Obviously, bound to bid for the remaining ing-, and Dale Brown, immediate
Past-President of the Financial
we will be short 500,000 tons per
20% of American production. The
Advertisers Association, and As¬
year, and that deficit can only be
possibilities of price rigging in¬
sistant Vice-President of the Na¬
made up by imports.
herent
in such a situation
are
You may say, "All
right, go
obvious. As a matter of fact, it tional City Bank of Cleveland,
ahead and import 500,000 tons of
He will be
may be pertinent to observe that will direct the course.

security.

making back to economic

Seminars

same

random from a

strictly New Deal origin. The reception
accorded it will serve as one indication of the

report of

School: Trust Depart¬

,

been

Board of the

guaranteed wages to the Advisory

the First Na¬

World Banking
Systems and Problems. All classes Phila. Plans
domestic production, an amount
in the last war. We need to import take the evening Seminars, deal¬
sufficient for our wartime needs.
W.
Logan MacCoy, President
copper to assure ourselves of an ing with current economic, bank¬
All! that has now changed. The
has
announced
that
Provideni
adequate supply for our own pro¬ ing and monetary problems."
only
copper
coming into the tection.
Trust Company of Philadelphia If
Director
Prochnow
also an¬
United States now is copper which
The Congress, if it chooses to do
sponsoring a series of seminar*;
nounces the following additions to
was purchased by the Metals Re¬
so, can sit idly by and do nothing
the faculty of the School: K. J. designed to be helpful to banks
serve
Company under contracts
to
protect
American workers, McDonald, President of the Iowa throughout the State which have
entered into before Nov. 10, 1946.
American business, the American
Trust &
Savings Bank, Esther- trust departments. The first semi¬
"The supply of such copper will
nar will be held on Feb. 14, in the
economy as a whole, against this
ville, Iowa, who served as Chair¬
presently cease. Besides, the gov¬
offices
of
the
Provident Trust
serious threat. On the other hand,
man of the Country Bank Opera¬
ernment
has drawn upon
our
the Congress can take affirmative
In making this an¬
tions Commission of the American Company.
stock bile of copper and has per¬
action and insure the success of
Bankers Association for the first nouncement, Mr. MacCoy stated,
mitted its sale to the industry, but
"It.has been our opinion for some
our reconversion program. For ex¬
before^the end of March, that ample, it can repeal the excise two years of its organization, will time that much benefit would be
have
charge
of the course in
stock pile will have completely
tax
of
$80 per ton and allow
Country
Bahking. \Francis
M. derived if trust men met to dis¬
disappeared.
copper
to be brought into the Knight, Vice-President of the cuss questions of current interest.
W- 1 do not suppose it is possible United States, at least until such Continental Illinois National Bank These meetings will provide an
3 for
anyone to tell exactly how time as domestic
consumption & Trust Company, will lecture on opportunity for trust officers oi
much
copper
will be required levels off in reasonable ratio to
the subject of Government Bonds; Pennsylvania banks to exchange
over the next three years.
I do
American
production.
It
has John Grier, Vice-President of The ideas and explore common prob¬
not suppose it is possible for any¬
Attendance will be limitec
seemed to me that such a step is First National Bank of Chicago, lems.
one to tell exactly how much do¬
to small groups to encourage the
the
most desirable, particularly
who was on the faculty last year,
mestic copper will be produced in
because
three
large American will again lecture on Government
participation by those pres¬
the

principal loser but

not done. The

was

have

and obso¬

the only one was the American worker.
Total unemployment, and the partial loss of income
through reduced hours of work, which affected
millions of workers, also threatened the security of
by

summer

order that

ii

[of real income following 1929], if it
productively used, would have been suffi¬
build all the railroads in the country; to

have

to forward their
applications at once to VVah Or
Coapman,
Registrar, School c'
Banking, and Secretary, Wiscon¬
sin

becomes

supplementation

cient

originally planned. Mr.
banks which plan
men to the School this

send

that

"That loss
had been

larger than

coming

the problem of guarantee¬

possible* the liberalization of unemployment insur¬
ance payments might well have the same stimulat¬
ing effect on wage guarantees as the creation of
old
age
and survivors insurance had on the
inauguration of the voluntary retirement annuity
systems."

Hausman urges

to

sense

is net iegal under exiting legislation, except
peihaps m a lew States, since guaranteed wage
payments are legarded as earnings and therefore
disqualify the lec.pient fcr unemployment com¬
pensation benefits.

cfScM

'47 Session

a

tion

material like cop¬
The 1947 session of the Schoolper at the rate of $80 per ton will
inevitably be reflected in an in¬ of Banking at the University oi
Wisconsin, will be held at Madi¬
crease in prices of all items using
Wis., June 2M4, it is an¬
the copper. Such an additional in¬ son,
flationary factor at this time can nounced by Harry C, Hausman
have a most serious impact, for it Chairman of the Board of Trus¬
will run into every home in the tees of the School, and Secretary
United States.
A manufacturer, of the Illinois Bankers Associa¬
for example, cannot say that this tion, Chicago. The School is spon¬
item
was
made from domestic sored by the Central States Con¬
ference. It is stated that the num¬
copper and will bear one price,
of applications already
re¬
and then sell the same item at a ber
higher price on the ground that ceived and the rate at which they
are
coming in indicates that the
it is made from imported copper.
No, the price increase will run to all enrollment for the 1947 Freshmar
items.
Moreover, the really big Class of the School will be much

considerable per¬
ordinary domestic
the
use and thus a partial market, at
dolars,';for there was one price
least, would be lost to our domes¬
for the low-cost producers and
tic producers. If copper cannot be
another price, not including sub¬
obtained, unemployment will fol¬
sidies, for the high-cost producers.
low,
not
only in
Waterbury,
This device, however, although it
Connecticut but in every indus¬
produced the maximum possible trial center, large and small,
output Within the United States,
throughout the United States. For
also stimulated depletion of our
example, for the lack of 20,000
reserves and
of our copper re¬
tons of copper, your manufacturer
sources. Besides, before we ac¬
will not produce 1,000,000 auto¬
tually, Entered the war, we ex¬
mobiles. Differing only in degree,
ported tens of thousands of tons
the lack of copper will create a
of odi;';: copper to other nations.
bottleneck in the production of
Notwithstanding, we could not
refrigerators, of electric motors,
possibly produce all the copper
of cable, of
wire, of plumbing
we required.
supplies, and, literally, of thou¬
So, ^ the government imported sands of articles. We need copper
copper from other producing cen¬ for our GI housing program. You
ters. Under one Executive Order,
can't even enter your own house
copper came in duty free. In addi¬
to turn on an electric light switch
tion, the Metals Reserve Company without realizing the importance
actually paid a duty of $80 per of
copper. Again, in the national
ton on imported copper and made
defense field, copper will be an
it
available
to American con¬
absolute prerequisite to any pre¬
sumers. Thus, we were able to get
paredness program for the defense
through imports added to our of our nation just as it has been

two

"In

ing wages is a problem of supplementing unemploy¬
ment insuiance. Lnfcrtunately, such supplementa¬

Code does not

Revenue

other of the
treated in that section.

affect

of a vital raw

This iibn-cor-

went,

Internal

current needs.

During the war it became evident
sible exception cf petroleum, no more
,,

Be Received?

posed amendment to existing law
as set forth in Section 3425 of; the;

metal shortage and its adverse

Now

How Will Such Nonsense

designed to remove the excise tax
on imported copper, but my pro¬

Connecticut

effect on
industrial production, Kep. Patterson urges immediate removal of
the 4 cents per pound tariff duty to increase supply from abroad.
Cites rising price of copper and foresees insufficient domestic out¬

Calling attention to copper

of copper products."
which I have prepared is

prices

the

The bill

problems unuer

Vice-President

part of one.
A
succeeding to the
of

elected

Presidency be¬
vacancy
could be

a

for

only

one

additional

four-year term.

offered by Rep¬
resentative Walter (D., Pa.), to
limit the tenure to a single term
An amendment

six

of

closed
vote

years

rejected at the

was

committee

reported

Before

the

as

session

by

a

19 to 7.

amendment could
would have to

become effective it

approved by two-thirds of the
ratified by
the 48 States.
Re¬
publicans have indicated their certaintv of mustering the required

be

House and Senate, and
at least 36 of

existing laws two-thirds vote

in the House.

Volume

165

Number 4568

THE COMMERCIAL & FINANCIAL
CHRONICLE
919

Congress Committee Takes No Issue

ILSi Participation ift f

With President's Economic Report

Managemenl Congress

Senator Taft presents statement

of Joint Congressional Committee
on President's
short-range and long-range recommendations. Com¬
mittee holds basic problem is to prevent depressions and maintain
full employment.

,&l.
Formation of

Industry
U.

ment

Congress
to
be
held
in
Stockholm, Sweden in July, 1947,

Truman under the so-called

"'Full

Employment

was

hope that busi¬
prices; that labor

announced

the

in the President's

passed

Act"

S.

participation in the forth¬
coming 8th International Manage¬

Sen. Robert A. Taft (R.-Ohio), as Chairman of the Joint Congres¬
sional Committee on the Economic Report, made recently by Presi¬
dent

Hotel

last year, presented the following
statement of the committee to the

ness

Senate

demands; and that both will bend
every effort to increase produc¬
tivity.
The basic problem which this

dent

committee

The

Jan. 31:

on

The

Joint

Committee

the

on

Economic Report was established
under

the

Public

20,

terms

of

Law

304,
Section

1946.

section

5

5,

"Sec.

5.

(a)
a

the Economic

posed

of

Senate,

There

be

ment

Rep-

"(b) It shall be the function of
the joint committee—
"(1) to make a continuing study
-of matters

relating to the

long-range

lems

we

study of price levels and wage
and their relation to each
other, a study of methods of pre¬
venting monopoly control in in¬
levels

and labor from distorting
and
wages,
a
study
of
spending for consumption and for
capital investment, a study of in¬

dustry
prices

dividual
and

the

nomic

ing

with the year

with

1947), to file

the

Senate

main

recommendations

made

by

the President in the Economic Re¬

port,

lem,

and

from

time

to

involved

time

to

of

deems

Representatives

and

as

this

should be¬

we

controversy

which

have

of

law

the

the

immedi¬

no

recommendations

are

neces¬

The committee will proceed
to consider his different proposals
as rapidly as we can reach them,
to determine whether they bear a
relation to the principal task of
this committee and, if they do,
recommendations

to

Con¬

The

committee

notes

with

ap¬

cial

spe¬

Feb.

not

ervation

section 4 of the act until July 25,
1946.
This joint committee was

family-sized farm (p. 25) and in
industry of free competitive en¬
terprise (p. 28). The details of a

20, 1946, the President did
appoint the Council of Eco¬
nomic Advisors provided for by

not

appointed

until

just

adjourned,

Congress

and

before
it

was

not

in

upon

an

over-all

toward the

agriculture

pres¬

of

the

program to prevent another ag¬
ricultural depression and of an af¬

practicable to set up a staff
begin the work during the last
Congress.
Five members of the

"to enlarge the op¬
portunities for efficient and enter¬

committee

prising small

or

Eightieth
necessary

organize
month.

were

not elected to the

Congress, and it was
to reconstitute and re¬
the committee this

No staff has yet been ap¬

pointed.

The problems to be

con¬

sidered

by the committee are the
complex economic problems

most

which the country faces, and it is

vitally important that the best
possible staff and consultants be
procured in order that the best
possible studies may be made. The
committee is now engaged in can¬
vassing the qualifications of a
number of

men for this work, but
yet has not selected these men

•as

begun the

or

necessary studies.
committee has considered

The

the report of the Council of Eco¬
nomic Advisers to the President,
made

in December

1946

(S. Doc.
No. 6), and the Economic Report
of the President transmitted to the

•Congress on Jan. 8, 1947 (H. Doc.
:No. 49). It has particularly con¬
sidered
"the

the

recommendations

firmative

in the short-range
appearing on pages 20,
:21, and 22 of his report. The com¬
mittee agrees with the President
that

removal of wartime controls

and

the

omy

places

on

a

freer

ers

the

main

econ¬

business, farmers,

labor, management, and

consum¬

responsibility

working out price and wage

lationships.

primary

subjects

of

Regardless of the recommenda¬
tions of the report on which there
may

or

it

our

is

not be controversy,

may

desire

to

nomic

facts

the

commend

compilation of statistics and
which

eco¬

contained

are

in the President's report and fur¬
nish a substantial basis for further

study.
Robert A. Taft,

K.

at

New

Batt, Presi¬

F.

Industries,

ment,

sponsors of the Congress.
Stockholm- assembly Will be
the first world management Conr
-

chairman; Jesse

In the field of industrial
production it was noted that total out¬
put last week held close to the
very high levels that characterized
it in recent weeks.
There was little evidence of the usual
seasonal
decline in employment. In
the week ended Jan. 25 total
continued
claims for
unemployment compensation fell more than
1%, while
initial claims
slumped almost 15%.
For the period from December
to January the Census
Bureau re- ♦>
—:———r.
jl...
ported a decline of 920,000 persons
national metal-working
paper, refrom
the
employment rolls.
It veals in its
summary of the steel
should be pointed out that some
trade for the past week. > Practi;
710,000 of this total represented
cally every large mill is and has I
seasongj curtailment of agricul¬ been
tural

work.

going into territory far

The remainder

engaged, in

were

non-agricultural

em¬

re¬

moved frpm the point of consump¬
tion, bidding up prices to which
must be added substantial
freight

ployment which experienced the
customary drop following the close
charges in order to deliver the
of of the Christmas
holidays. The material to the openhearths.
the .Institute of Life
Insurance; rise in unemployment for the
pe¬
and Edgar Kobak',
.practically all quotations in the
President of riod
just mentioned, the Census major steel centers such
as Pitts¬
the Mutual Broadcasting
System, Bureau
revealed, numbered 300,- burgh, Chicago, Cleveland" and
were named Chairman and Vice000 persons,
bringing the total to Youngstown, the magazine
Chairman of the newly formed
adds,
2,400,000.
are
almost meaningless in view
committee, whose function will
The latest available indicators
of the inability of consumers to
be to acquaint American
manage¬ of industrial
and business
activity pick up tonnages there at
ment generally with the purposes
current
show
fractionally lower to mod¬ quotations.
of the Congress and to enlist sup¬
Representatives
o f
erately -higher changes.
In the Pittsburgh
steel companies/ are
port of it. Among other members case
of steel ingot
production a paying
as
much
as
of the committee meeting yester¬
$36.00
to:
slight decline occurred last week $39.00 a ton in order
to *-bring
day were a number who helped
along with electric power output material
in
from
such
sponsor
the
last
International
points
and daily
average crude oil pro¬ as New York, Boston and
Phila¬
Congress, which took place in duction.
Loadings
of
revenue delphia.
In Chicago some large
1939 at Washington, D. C.
freight, bituminous coal output consumers are
paying as much as
Speaking
informally
at
the and
lumber production were all
$33.50 to $34.00 a ton delivered ii*
New York meeting, Mr. Batt, who
higher for the week. In the case order to
bring material in from
throughout the war was Viceto

gress

be

Hol'gar J.

held

in

Johnson,

eight

years.

President

Chairman of the War Production
now

Chairman of the

of

lumber

Jan.

for

25, output

consecutive

the

rose

week

ended

for the fourth

week

being up more
Inter-Agency Policy Committee than
3%, while
shipments
in¬
on rubber, reported on two recent
creased about 10.5% and orders
by
trips to Europe.
He hailed the
6%. It is also worthy to note that
forthcoming Congress as poten¬
price declines were in evidence in
tially of tremendous importance
some
types of lumber the past
in
filling Western Europe and
week.
Flour
production
too,
North and South America's need
showed an increase of
nearly 2%
for U. S. help in guidance in man¬
in the week ended Jan.
25, while
agement skills and in techniques
butter
and
cheese
output held
learned during the war.
*
close to the level of the
preceding
week and

Heads Dallas
J.

B.

Adoue,

Clearing Assn.
Jr., "President

of

the

National

of

was elected president of
Dallas Clearing House Asso¬

Bank

of

Dallas,

the

ciation at the annual

Commerce

year

were

ago.

well above that of

Meat production de¬

clined for the first time this year
in the week ended Jan.
25, being

down

and from Texas

mains static with little
nage

or

ffif

re¬

ton¬

moving at that figure.

:

One of the basic reasons for the

runaway scrap market is the tie-in
and
earmarked
sales
of;, scrap
which grew up
because^'of the

tight

steel

companies

situation.
still

are

Some, steel

engaging

in

sales practices which require that
the consumer of steel furnish a

stipulated tonnage of seraph in. or¬
der to obtain steel supplies,
"fin
some

cases

"The

Iron

tered

the

these

same

consumers,

Age" states, haye en¬
scrap

about

market

arid

bid

15%, but notwith¬ the price up beyond what would
standing the drop, it was double have normally been the case had
the output of the corresponding
meeting of
regular brokers and dealers been

Jan.

on

a

the Middle West

locations, while the local price

25.

its

In

1946

week.

There

allowed

was

a

noticeable

im¬

to

ply their trade' in

a

normal manner.

Herald" reporting this said:

provement in the supply of dur¬
Some major railroads have been
Mayor Pro Tem of the City of able goods with household and unable to obtain some of the
high
a widely known civic
electrical appliances more plenti¬
scrap prices because of the custo¬
and business leader, Mr. Adoue ful last week than in many
pre¬ mer
relationship betweensteel
succeeds
Nathan Adams,
In the
Chair¬ vious weeks.
matter of
companies and the railroads and
man
of the Board
of the First steel, many manufacturers pressed due to the
fact that the carriers
National Bank.
for increased shipments but few are fearful
to take any
step^which
R. L. Thornton, active Chair¬ r.ew orders were accepted for de¬
might react unfavorably op their
man
of the
Board
of the Mer¬ livery beyond the first half of this
ability to obtain steel supplies.
cantile National Bank, was elected year. The available supply of cop¬
Large manufacturers for the most
Dallas and

Vice-President,

per

Adoue

more

In

a post held by Mr.
during the past year.

addition to his

business and

political

functions,
Mr.
Adoue
served
during the past year as
Vice-President of the Community
Chest and Council, Inc. He headed
the
Dallas
Community
Chest

drive

for

successive

years

in

wire

reported to be
in
previous
weeks, but other scrap stocks gen¬
erally were limited. Further in¬
scrap was

liberal

in

creases

than

output of home appli¬
hampered in some

were

ditional small electric

motors, but
notwithstanding these shortages,
Secretary- production generally was near the
Manager of the Dallas Clearing high levels of past weeks.
House Association, and Gary A.
Consumer caution and continued
Jones and Ivan C. Patterson, As¬
resistance to high prices were re¬
sistant Secretary-Managers, were
flected in the slight decline in
S.

Mansfield,

re-elected.

to

turn

supply
most

steel

them

cases

companies which
wth new steel.
In

these

manufacturers,

"The

Iron Age" points out, are
receiving some of the" higher
cases by the limited stocks of steel
scrap prices which are representa¬
and the difficulty of obtaining ad¬ tive
of spot market sales,and in¬
ances

1942-43.
Fred

part earmark their scrap for/re¬

total retail volume last week. Dol¬

not

volve dealers' material

wftiph sup¬
plements the other scrap 0 which
normally flows to steel company
furnaces.

;

Had it not
strike at

the

been for

an

outlaw

Aliquippa works of

Jones & Laughlin Steel Corp. and

was

P.

Woolcott,

eph

H,

V.

Ralph

der,

former

Flanders,

Joseph

Francis

J.

H.

Edward

Judd,
J.

Myers,

Robert

Hart,

year

Hoover
Former

C.

Sparkman, George H. Ben¬
Walter

Rich,

E.

Watkins,

O'Mahoney,
John

shortage of gas in the Pittsburgh
lar volume in the week ended last district the national steel operat¬
Wednesday continued to compare ing rate would have shown :fa
favorably with that of a year ago. slight increase last week.
The American Iron and Steel
Interest in durable goods generally
was
sustained
at
a
high level, Institute announced on Monday of
while both food and apparel vol¬ this week the operating rate of
ume dropped fractionally.
steel companies having 94% of the
Wholesale volume was slightly steel capacity of the industry will
below that of the preceding week he 93.7% of capacity for thie week
but it remained considerably above beginning Feb. 10, 1947, compared
that of the corresponding week a with 93.4% one week ago, 91.8%.

vice chairman; Jos¬

Ball,

Arthur

F.

Wright

Survey
Herbert

who left New York by
plane for Germany, on Feb. 2, to
undertake at the request of Presi¬

dent Truman

situation

survey of the food
the American
and

a

in

occupation

at Frankfort

Potts Member of

Food

on

President

Hoover

British

Patman, Walter B. Huber.

on

arrived

zones

Feb. 4. Mr. Hoover

accompanied by Hugh Gibson,
Ambassador to Belgium,
Dr. D. A. Fitzgerald, Secre¬
tary General of the International
Emergency Food Council, advices
and

Clearing House Committee
Frederic
the

A.

Potts

Philadelphia

President

National

of

Philadelphia, Pa.,

to

membership

phia
to

Clearing

succeed

on

was

the

House

Evan

of

Bank

elected

Philadel¬

Committee

Randolph, who

the New York "Times"

to

The

it

Philadelphia
of Jan. 21.

was

stated

"Evening

in

the

Bulletin"

former

certain

as

be gone on

President

stated.

was

not

to how long he would
this third postwar food

mission, the purpose of which is
some way of aiding Ger¬

to find
mans

for resigned,
re¬

The committee joins




the

businesses" will be

of

President

to

words

committee study.

program

return

in the

program,

of the report,

among

S.

in

issue of Jan. 28 the Dallas "Times

emphasis
policy directed

a

of

the Association

with regard to them.

proval that the report places

Although the act became

on

many
on

sary.

it

advisable."

prob¬

country.
With regard to the President's

gress

House

in

issues

prosperity

ommendations

Senate

studied

aspects besides their effect

make

the

do not feel

we

current

make such other reports and rec¬
to

underlie

long-range program,

to each of the

eco¬

stable

a

further

ate

ing its findings and recommenda¬
with respect

have

we

re¬

House of Representatives contain¬
tions

on

by William L.

Board and is

the

a

and

other

many

bearing

which

come

Congress deal¬
legislation relating to

with

forces

savings,

corporate

of

analyzed the basic considera¬

tions'

of this act; and
guide to the several

a

the economic report, not later than
Feb.
1
of each year
(beginning

port

and

policy

as

and

study

a

Until

report;
"(2) to study means of coordi¬
nating programs in order to fur¬
"(3)

prob¬

It involves

economy.

econom¬

committees of the

domestic

have to face.

a

ic

ther

complex and difficult of all

the

majority and minority parties
of

our

most

sentatives, to be appointed by the
Speaker of the House of Repre¬
sentatives. The party representa¬
tion on the joint committee shall
as nearly as may be feasible re¬
spect the relative membership of
House

be continuously main-^
problem before the

No

luncheon

a

and
of
the
International
Committee of Scientific Manage¬

is the

welfare, to the very existence
way
of life, and to the
peace
of the world.
It is the

appointed

and

consider

to

at

Commodore

Inc.,

•

our

of

the

members of the House of Repre¬

in the Senate

has

may

tained.

by the
President of the Senate, and seven

the

-

wage

American people is more vital to

on

com¬

of

members

excessive

so

hereby

Report, to be

seven

to

is

Joint Committee

from

York

method of preventing depressions
that substantially full employ¬

fey Public Law 601, approved Aug.
2, 1946, reads in part, as follows:
established

refrain

,

of

amended

as

will

Feb.

approved

will reduce

Commerce and
Committee to support
a

ern

and Austrians in the west¬

zones

reduce

burden.

to feed themselves and

the

American

taxpayers'

ago. Trading was light and
order volume was limited gener¬

ally to reorders. Buyers continued
to be cautious in regard to both
price and quality.
Steel

Industry—Unbridled bid¬

a

one

month ago and 5.5%

Or^e year

ago, the steel strikes accounting
for a sharp curtailment of opera¬

tions.
of

0.3

This represents a decrease

points from

week.

The

the previous
J

week's

operating rate, is
1,639,7001 tons i of
castings and com¬
from the mills has caused one of
the worst cases of maldistribution pares with 1,633,700 tons one week
in scrap market history and at ago, 1,607,300 Ions one month ago
the same time precipitated some and 96,900 tons one year ago. /
ding between steel companies for
located in districts remote

scrap

equivalent

to

steel ingots and

of the highest delivered
scrap on

prices for
record, "The Iron Age,"

Electric Production.— The Edi-

(Continued

on page

925)

,

920

vrrr

The question

ment.

As We See It

mr
T

''**'■

U

-V

continuance

the existence or

popularization of ^certain no-

"purchasing

about

t i o n s

pf this struggle as the way
It would scarcely
the | tide' of battle seems to power."
serve any good purpose to in¬
have been going of late. Are
the'planners still as strong as quire into the origins of these

notions about this
t@ have their way in sub- always much misunderstood
Stance even if they have to subject. Suffice to say that

Sever,, still able

some

largely

very

concessions as re¬

gards the shadows?

Or did

of last autumn

the .elections

strange

notions

during the

up

grew

depression of the 1930's which
attributed the difficulties of

period to the want of
"swing to the right"
power."
The
attributed to the President "purchasing
theories
have
never
been
isihcC last November mark a
placed on any thoroughly sys¬
turning of the tide?
tematic basis. If careful at¬
^Jn approaching these ques¬ tempts had been made to do
tions it is, of course, essential
so, the absurdities of the doc¬
that it be fully and constantly
trines
could scarcely have
recognized that the lines of been overlooked or long con¬
battle are not merely between
cealed. But the vague theories
labor unions and employers.
of men who knew relatively
DL$iat were the case, the little about what they were
whole situation would be
saying sufficed to give the
Vastly simpler than is actually
that

and the

•tHipfact. The truth of the

impression

that

"busts" which follow

"booms"

piatter is, however, that many

are

general

regularly the result of the
of /the: issues which separate
strange "fact" that the masses
employers
and the union were somehow robbed of their
also /divide government and,
ability to purchase that which
fpOhat matter, the general
they themselves had produced
pub^c into opposing camps— or created.
perhaps more accurately,

iMfr confused

and confusing

groups To get our bearings
to take

into full account all

a

that

fact

The
and

sale

purchase
opposite

a

but the

are

transaction,
and that hence the sum total
state of affairs and to form

tte&^aspects of the current
some

sort of

of all the purchases (includ¬
judgment about
of ,the ing those of labor and of cap¬
ital) must of necessity equal

sundx^;elements .constituting
the

•"

^tpbsing/forces.

l£$hey Had

Wd fnay

*

the

sum

Help

take it for granted

bp;ia^,Jess ambitious in their
certainly far
successful
in
making

demands,
-

total of all the sales

involved

and

Cla'iih^pf all sorts on manage-

the

in

distribution

and

not

seems

that/t'he unions would today alized

less

same

mative strength

the

<o:

sides of the

or

theorists

production
of
goods,
been

have

to

re¬

understood by these
cure

to find a
of the "booms"

and "busts" of

history. Other¬

cause

and

so

eager

wise it would have been obvi¬

that thS

but far from certain.

Business Failures in Dec.
failures

Business

higher

were

in

December

in

and

number

amount of liabilities involved than

1945.
Business failures in December, ac¬

in November and December,

cording to Dun & Bradstreet, Inc.,
totaled 141 and involved $17,105,000

compared with 104 in No¬

as

involving $12,511,000 lia¬
42 involving $1,824,-

vember

and

bilities

December

in

000

a

year

ago.

Only the retail trade group had
less liabilities in December than
in November. When the amount

of

liabilities is considered, all groups
with

the exception

of the manu¬

facturing and commercial service

had more liabilities in¬
in December than in No¬

groups

volved

vember.

failures

Manufacturing
increased

cember

November

in

to

down

from

$7,217,000 in

in

$8,492,000

Wholesale

failures

numbered

16

$7,796,000

against

with

vember

with

De¬

in

December

liabilities

liabilities

in

38

were

December
November.

eight

failures

Retail

000.

in

from

58

to

liabilities

but

in

of

No¬

of $289,December

to 35 from 36 in
November but liabilities were up

lowered

were

to

$1,025,000

in

December from
Construc¬

$392,000 in November.
failures

tion

18

numbered

with

December
as compared with
nine with lia¬
bilities of $136,000 in November.
Commercial service failures in De¬
cember numbered,

November,
to

down

14 against 13 in

but
liabilities were
$801,000 in December

$3,202,000 in November.
the country is
divided
Reserve districts, it

from

When

Federal

into

Richmond, St.
Louis and Dallas Reserve districts
that the

found

is

failures

fewer

had

than

November

in

tion which

they

were

able to

very

has it been

never

process

so

broadly

the

that

Minneapolis Reserve district had
the same number, while the re¬
maining districts had more fail¬
in December than in Novem¬

ures

ber.

When the amount of liabili¬

ties

is

that

considered it is seen

the Cleveland, Chicago, St.
Louis, Kansas City, Dallas and
San
Franciscp Reserve districts
had
less
liabilities involved in
December than in November.
only

place1 uj)6n the statute books accepted and

so hard worked
during the past dozen or

oj the nation. This, of course,
is; particularly true of Frank¬
lin D. Roosevelt, who for a

as

dozen

with here is the fact that such

dominated politics.jph& popular thought in
years

15 years.

a

theory,

we are

once

concerned

it obtains gen¬
(as it did

acceptance

tigq-pf political power and of through the salesmanship of
psehdp-academic lea r n i n g the New Dealers), is made to
waJS.jhrought to the aid of the order for the unions and
uniohs.i The special pleading others who wish not
only to
,

•

otmt. Roosevelt himself

on

raise

but to be in a
position in the future to con¬
leged'/ ,were enough to give trol payment to labor. When,
the,-wage earner the support moreover, such ideas as these
oflarge masses of people, a are coupled with another
/fact-; pf> which professional notion which the New Deal
wages,

h§$[alfM6f the "underprivi¬

/leaders of union

labor

were

sold

liberally to the American
quick, enough to take advan¬ public—the planlessness and
tage The ."baiting" of busi¬ hence the resulting chaos of
nessmen which for a number the
production and distribu¬
of reasons became quite popu¬ tion
processes when left to
lar;; and;Jii the hands of the themselves
the
"perfect
New ,:Peal £ quite profitable, case" for most of what the
—

added to-the effect,

unions and the other

wBut in addition to all these

advocate has been made.
All

additional appro¬
priation of $2,1*39,114,500 for the
seeking

Veterans
current

But what

.the'United States. The pres- eral

President Truman is reported to
be

planners

Administration

fiscal

year

the

in

ending

June

appropriations this year above
$9,000,000,000.
Associated Press
Washington advices Feb. 3 stated:
"The money requested includes
$307,258,000 for medical, hospital
and domiciliary
services; $873,836,000 for readjustment benefits;
$535,711,000 for national service
life insurance, arid $441,665,000 for
pensions.
"The President also asked $781,in

supplemental

appropria¬

tions for other executive

agencies.

These were: National Labor Rela¬

$695,700; Smithsonian
$25,100;
judiciary,
$55,588, and Supreme Court, $5,-

tions Board,

Institution,
600.

-

addition, Mr. Truman sub¬
mitted a $2,250,000 upward re¬
vision in the Interior Department
"In

budget estimates for the 1948

fis¬

cal year, which begins July 1.
This revision would: Increase the

Southwestern Power Administra¬
tion budget

from $2,325,000 to $3,-

725,000;

"Allocate an additional $250,000
plus legislation
createdanrafrtight to the All-American Canal unit of
labor monopoly in this coun¬ the Boulder Canyon project for
peatedly although never per¬ try, give the unions the power the operation of a diversion dam;
"Raise the allocation for roads
haps, so effectively employed* to engage in this life-anct. in Alaska from $3,753,000 to $4,was
the
development and death struggle with manage¬ 353,000."

political tricks, which had for

a

grbat

many years been re¬




this,

which has

of

as

The record volume of crop production is now

virtually realized.
Crops have reached harvest under mostly favorable, almost ideal
In fact, killing frosts had not occurred by Nov. 1 in most
important production areas, even in the North.
Harvest is near
completion, the chief exceptions being about the usual proportion of
the huge corn crop in the North, and of cotton in the South, along with
others usually completed in No-<§>
—
■
.
vember.
The extended growing
ual seeding time; however, adeseason
during October improved auate rains in October, encour¬
both yields and quality of most aged
germination
and
brought
products, though at the same time fields up to good stands. Progress
exposing them to further damage has been very good. In the Great
by storms and floods. Prospective Plains especially, where fall mois¬
production
of
corn
increased ture is of paramount importance,
slightly, to 3,381 million bushels. prospects have seldom been bet¬
Soybeans, potatoes, tobacco, ap¬ ter.
Only in Louisiana was the
ples,
pears,
grapes
and
sugar soil so dry as to retard progress
beets also improved during Octo¬ of fall-sown crops.
Wheat is fur¬
ber.
Practically the only offset¬ nishing abundant pasture from
ting decline was in production of Kansas southward. The extended
cotton.
With
small-grain crops fall season has enabled farmers to
already harvested, production of carry out their seeding intentions,
the eight grains is expected to sometimes to exceed them, seed¬
reach 165 million tons, the largest ing wheat after corn, beans,
soy¬
tonnage ever produced. Oil crops beans and other crops had been
as
a
harvested.
In New Mexico, the
group are still below last
in production.
aggregate volume of
production in 1946 is indicated on
Nov. 1 at 3 points above the pre¬
year

Estimated

vious

peak, in 1942, and 27 points
Changes
during October raised the index
of all crop production only slight¬
ly.
Important factors in this
year's achievement are the record
crops of corn, wheat, potatoes, to¬
bacco, peaches, pears, rplpms and
truck crops, and near-rpqord crops
of oats, rice, soybeaq'%.,peanuts,
grapes, cherries and sqga^, cane.
Also contributing are bfttqr than
average
crops of hay, flaxseed,
sorghum grain, buckwheat, dry
above the 1923-32 level.

peas,
prunes,

sweet
potatoes,
apples,
apricots, hops and sugar

Continuing to decline pro¬
duction of cotton and cottonseed

beets.

is, with the exception of 1921, the
smallest since 1895.
The list of
below-average crops, also includes

broomcorn, dry beans and pe¬

rye,

cans.

Yields

acre

per

reached

new

heights this year for corn, pota¬
toes and tobacco. Except for rye,
rice, peanuts, and wild hay, every
crop is yielding better than aver¬

current favorable

situa¬

moisture

tion, coupled with the large acre¬
age of land lying idle because of
the spring and summer drought,
has encouraged fall seedings.
Corn

harvesting
made
good
in the South, Northeast,

progress

and Eastern Corn Belt.

about

the

usual

In Illinois

proportion

had

been husked by Oct. 31.
Weather
and high moisture content has de¬

layed

cribbing

much has been

of corn, though
shelled early and

rushed

market

to

meet

demands.

Because of small carryover

feeding

of

new

than usual.
crop

ceed

is

corn

stocks,

heavier

Harvest of the record

of excellent quality will pro¬
rapidly if November brings

the

usual good drying weather.
Prospects for sorghum grain re¬
mained virtually unchanged at 88
million bushels.
Rice production

maintained
look

of

its

70

out¬

record

near

million

bushels

OS;

freeze

damage in Arkansas and
flood damage in Texas was offset
by improvement elsewhere. Aver¬
age
buckwheat prospects of 7.3
million bushels were maintained,
despite some slight freeze loss in
late

fields

in

northern

sections.

Asa result, the composite yield
index is 134% of the 1923-32 aver¬

Production of all grains, including
also wheat, oats, barley and rye

exceeded only by the previ¬

already harvested, is' expected to

age.

age,
ous

high mark of 136. set, in 1942.

Reported yields of "all crops" are
higher than average in all geo¬
graphic regions, except the South
Central, but are lower than in
1942 in all regions.
The acreage
estimated for harvest is slightly
less than in each of the past three

teach i165

million

37.4

and

Of

million tons.

127.7 million tons

thls,^

feed grains

are

tons

are

food

grains, each group total the larg¬
est ever harvested in this country.
Yields of hurley and

flue-cured
are
turning out better
anticipated a month ago.

tobacco

than

though larger than in any of Both the yield per acre and pro¬
duction of tobacco are the highest
preceding 1943.

years,

the 10 years

an

30, which, if granted by Congress,
would raise the total of veterans'

988

Agricultural Department

December

in
and

of
m^ntrjjiad they not had such
unlimited and, on the whole, production inevitably creates
such/effective support from "purchasing power" in an
powerful political figures, the amount sufficient to absorb
Truman Asks Appropriate
entourage
they
gathered the goods brought into being.
about them, and the legisla¬ The fallacy is an old one, but Increase for Vets. Admin.
ous

Thursday, February 13, 1947

conditions.

liabilities of $266,000 in

Foolish Doctrine

int .this, situation it is necessary

now is:
making headway in
checking this advance of the
enemy?
As to this we are hopeful,
we

are

(Continued from first page)

make

FINANCIAL CHRONICLE

THE COMMERCIAL &

Ife—

October
favorable
late

weather
ideal

to

crops

and

for

farm

work

of

Most

mostly
maturing

was

for

harvesting.
all

kinds

is

advanced, as the weather
the most efficient use
time, labor, and machinery.

well

permitted
of

Weather

was

less favorable in two

including adjacent
Minnesota, Iowa, South
Dakota
and
Nebraska,
wet
In one,

areas.

of

parts

curing and har¬
cool dry days
In the Mountain

weather delayed

vesting of

corn;

needed.

were

States, following a period of mild
weather,
cold
stormy
weather
prevented harvest of valuable po¬
tato and sugar beet crops, with
some loss of potatoes by freezing.
In most other areas, though rain¬
fall was at least adequate it inter¬
fered to a minimum extent with
harvesting, plowing, seeding and
other fall work.
Crops matured

damage,
fields,
adding to the quantity and quality
of production.
Though corn har¬
vest
has
been
delayed in the
northwestern part of the
Corn
Belt, it has progressed seasonally
in most other areas, with rela¬
tively large quantities moving to
supply commercial needs.

mostly
even

•

without

freeze

to the latest planted

Seeding of fall grains has been
mostly completed. In some East
rvmtral

and

Plains

soil moisture had been

areas

short and

apprehension was felt at the us-

The

record.

on

same

while

for

potatoes,

is

true

of

freeze

some

losses occurred in important

West¬

growing
period elsewhere helped to attain
an
average
yield per acre 25
bushels larger than in any other
year.
Sweet potatoes fell below
Oct. 1 expectations, but are still
a
slightly better than average
crop.
The soybean crop profited
by the favorable fall season which
enabled late-planted fields to ma¬
ture, others to attain maximum
yield and quality, and all to be
harvested with minimum loss. The
result is a near-record yield per
acre
and a soybean production
exceeded only in 1943.
Dry beans
failed
to reach expectations in
ern

areas,

Michigan
decline

the extended

and

more

New

Mexico, the

than offsetting im¬

proved outturns elsewhere. Sugar
yields and production im¬
proved during October, but some
difficulty is being experienced in
harvesting the crop in Mountain
States.
There was no change in

beet

sugar

cane

prospects as

harvest

got underway.
Improvement in
broomcorn prospects in New Mex¬
ico offset declines in Colorado and
Kansas to maintain a production
estimate of 40,000 tons.
Peanuts
are
still a near-record crop of
2.061 million pounds, despite de¬
clines

States.

in

yields in Southeastern

•

Dairy and poultry production.

P;

Volume 165

Number 4568

THE COMMERCIAL & FINANCIAL CHRONICLE
.'■

-

was

also

.

favored

;i-V

by - October processing approaches an end, an
Despite fewer
laying aggregate prpdqction of 11 im¬
than .last year, portant vegetables near the rec¬

weather*
hens on

was

third above

age. The potential

layers

on

aver¬

farms

numbered

slightly below average.
Dairy cows produced at a record
rate during October and
despite
fewer cows milked, total produc¬
tion fell only
slightly below the
record set in October 1945.

Mild

weather, availability of late pas¬
tures
and
ample
concentrate
feeds all contributed.
Farm

supplies

bushels

larger

than

the acreage

ing is the largest

previous record

set in

1943.

Illinois, the 1946

crop

hay, and

roughage, compared with usual
supplies at this season of the year,
to be adequate.

appear

An

area

of

shortage is reported centering
covering parts
of the adjacent States of Arizona,
Utah, Colorado, Oklahoma and
Texas.
Moderately light supplies
in New Mexico and

available in parts of Arkansas
several Southeastern States,

are

and

in sections adjacent to lower Lake

Michigan, in northern and western
North

Dakota, central Nebraska
and
perhaps other
local
areas
where dry weather earlier in the
season
limited
hay production.

Supplies

abundant in

are

coastal

States from Maine to North Caro¬
lina

and

adequate

ized.^ This year's estimated
of

in

the

42,020

tons

of

pro¬

green

record—21%

on

above the previous record of 1945
and 52% above the 1935-44 aver¬

The 1946 production of

age.

to

and

52%

above the

production.

and

California, pimiento
obtained

duction

proces¬

tons in 1946, the third

largest crop
yield per acre is
the highest since 1934, largely on
account of favorable growing con¬
ditions in Georgia, where most of
record.

on

The

now

in

lion

apparent that produc¬

above

the

1945

records

1935-44

for

usual

moisture

New

average.

record

a

bushels

than

four-tenths

indicated

are

at

short

of

the

record

production. Missouri and Kansas
made good progress in husking
during
October.
In
Nebraska
husking is about two weeks later

summer,

and

biggest crop heretofore
A drop of .5 million

production since 1941.
Minnesota's crop which is about
one-fourth picked is only 3 mil¬

and
fall—will be a new record high,
probably about one-tenth greater

than

more

the smallest

tion of truck crops for the entire

year—winter, spring,

is expected

bushels

in that State since 1936 and

acre

the acreage is located.
It is

In

high.- level.
Ohio prospects improved slightly
with the production now indicated
only 2 million bushels short of the
record large crop of 1942.
A long
summer drought in Michigan re¬
sulted in the lowest yield per

estimated 22,350

an

■

bushels in the Indiana crop since
1 still leaves the 1946 pro¬

Georgia

sors

the

the

Oct.

1935-44

In

million

71

harvested.

is placed at
9,879,000 bushels, 24% above the
1945 production, 19%
above the
preceding
record-high
crop
of
1942

be

than

cu¬

cumbers for pickles,

average

of

because

content

of

of

the
the

corn.

Quality in all the Corn Belt States
except South Dakota is consider¬
ably above average.

canta¬

loups, cauliflower, celery,
egg¬
plant, Honey Dew melons, lettuce,
onions, green peppers, tomatoes

In

the

northeast, October
unusually favorable
for maturing late corn and for
husking. In general corn for grain
is of good quality, but in Penn¬
sylvania there is some "soft" corn.
Husking in the southeastern part
weather

and watermelons.

most

still

except
artichokes,
Honey
Ball
melons, kale, green peas, and shal¬
lots are expected to be well above
average.
With a late fall per¬

well above average,

mitting most commercial truck
of that State is about half finished.
in northern and eastern
areas'
to mature without freeze Production in this group of States
is the largest since 1925.
damage, tdh'nage of fall vegetables
With the exception of 1945, the
is
expected
to be
about
10%

of

these

In

instances,

pastures are
available and furnishing
enough feed to reduce the period
in which roughage feeding will be
necessary.
Pasture condition is
than
1944.
in

Nov.

on

States.
was

1941, 1942 and

are

Pastures

several

relatively poor
Central

North

East

On

though lower

in

1

Western

feed

ranges,

generally good aside from

few

local

a

dry

spots and some
northern and high
areas
where
frost damaged late growth.
The
early November snow was hard
cattle

on

and

sheep in
limited gains

and

areas

affected
of live¬
Market¬

stock on wheat pastures.

ings

of

cattle

and

sneep

were

heavy during October.

high record of
fall.TEight of the 13 fall crops

last

—is

302.961,000

pounds

This is 13%

produced

in

than

more

1940-44

the

1945

and

of

clean

than

4%

was

more

Pro¬

average.

duction of each of these seeds, ex¬

cept Sudan grass, exceeds that of
last year.
Three of them—alfalfa,
red and alsike clover—are above
,

in production, while the
other three—sweetclover, timothy
average

and Sudan grass—are below aver¬

The acreage of the six seeds
harvested this year totals 4,438,900
age.

compared

acres,

in

acres

1945

with

and

3,932,700

the

age

of 3,415,710
each of alfalfa,

and

five-year
acres. Acre¬

alsike

average

red

clover,

clover was larger this
than last and also larger than
average,
but acreage of sweetclover, timothy, and Sudan-grass
year

seed

was

below 1945 and also be¬

low average.
Harvest

of

the

largest tonnage

of deciduous fruits

practically

was

ever

recorded

completed

and

grape,
and

plums;
near-record
cherry and apricot crops;

about

average

Also

prune crops.

a

apple

and

for

this fall, winter and next
summer,
about 13% more than the previous

record total from last year's crop
and about 56% greater than aver¬

Production of tree nuts to¬
tals 151,000 tons—11% below the
record highs of the past two sea¬
age.

sons

but still 14%

Pecans
but

walnuts

while

almonds

large

truck

and

average,
are

season

for harvest¬

for

commercial

crops

North

Carolina

South

estimated

crop

Nov.

on

the

is

1

largest of record—exceeding the
previous banner crop of 1944 by
177

million

bushels.

is

It

crease

of 7 million

North

Central

where

12%

more

was

offset

by increases in all
other regions to give a net gain
of 6 million bushels

The

estimate.

1

of

yield
is

bushels

37.0

the Oct.

over

half

acre

per

These

clude

estimates,

acre

usual,

in¬

Nearly all
frost

western

too

corn

1.

ber

the

fields

mechanical

pickers,

some

areas,

northwestern

Belt,

too

on

was

soft

for

husking

of

the

so

that

but
was

favorable

was

Moderate
in

husking

could

frost

sections,

effect

on

mates
from
18.1

late

some

but

damage
fields

had

in

little

total outturn. Yield esti¬

generally

are

last

unchanged
The
yield of

month.

bushels

per

acre

is about 2

bushels per acre above last year.
Per acre yields are substantially
than

fifths

of

last

and above
average in New York and Penn¬
sylvania, which produced threedicated

year

the

Nation's

United

States

crop. In¬
production

is 9% larger than a year ago, but
about
equal
to
the
10-year
average.

i

mostly favorable
and
harvesting loss light. Late
fields profited by favorable condi¬
tions and were yielding above ex¬
pectations; ; In Texas rains caused
delays in harvesting and some
damage to rice still in fields, In

tors

tion.

for

of

driers

were

Rice production is still indicated
at

nearly

November

and




if-

.

;

it

'

■:r.U«4

exceeds

duction, which

70
1.

million

bushels

on

This is close to the

yield virtually offsets

a

de¬

cline in Arkansas. No changes are

l

changed'from the; crop, indicated
October 1. In Washington/lffhost

bushels.

Production

pro¬

of

13 \ million

almost

in

1945

indicated

for

the

-mtv

been

harvested

crop-gr^n

of the Cascades, whicjf
usually dug in late Novemhe^oC.
early December. Harvest is-kbotit
complete
in
the
Malheu?feand
Klamath
areas
of Oregon,
some potatoes remain to be~dug in

States

United

has

crop

west

was

425,131,000 bushels and the 193544 average is 372,756,0.00 bushels.
The 175.3 bushel yield per acre
exceeds

the

except for the late farm

previous

the

was

by

low temperatures.
undug acreage in

Production estimated fpr,(each:
of the. Pacific Coast States is upr'

6.8''million
the .1943

some

Wyoming,- especially a in vSJosben
County.
; V;

potato
bushels is a

record,

the previous

record-high
yield harvested in 1945 by about

the Crook-Deschutes and western

25 bushels.

areas.

parts
of
the
country, good
growing
weather
in
early October per¬
mitted potatoes still in the ground
to

increase

usual.
vest

in

size

the

in

crop

those

and
freeze

some

California, the Tule Lak^-pop
produced a very goocfiyield
and an excellent crop hatfsbeen

has

produced

areas

Colorado, there
damage during

L

past month.

in the estimated

crease

-

'

;-IQ "

'

{*

iv "A

Urges Presidential

was

,h>

the

Succession Change

bushels
potato
producing States is 5.8 million
bushels
below
the
record-high
crop produced in 1943. For the 18
surplus
late
potato
producing
States, production is placed at
323,329,000
bushels,
compared
with 328,581,000 bushels in 1943.
the

Jo^qqin
"•

"
;•

.

«i smu-e-

The crop of 358,184,000
for the 30 late

of

San

the
...

v

two-thirds

in

Delta.

President Truman ondteb. 5

estimated

About

to{ the

In

Weather also favored har¬

of

confined

was

Crook-Deschutes and Baker arpas
and the acreage affected'is^ small.

than

more

October frost; • damiagg? ih

Oregon

In the eastern and central

re¬

newed his appeal
a

to Congress for
change in the traditional lj;Vc of

succession

to

the

sociated Press
stated.

Presidency,

Washington advices

Under

the

preseirfMlaW
Secretary of State George <D.*-Mar*
shall currently would adva cc to
the

White

House

if

a

vacancy •

should

production

occur

tions.

in¬

Mr. Truman proposes that

before the

19s4Sr+clec-

the Speaker of the House be put

between October 1 and November

in

line

after the Vice-Present,
1 is in the eastern part of the
country. Compared with a month and alter him, the Senate's^resir
earlier, higher yields are indicated dent pro tempore. The Pres, dent's
for
each
of
the
New
England proposal was made to ^Cch'gfess •
States except Massachusetts, up¬ through
identical letters- lb? the
two
state New York and Pennsylvania.
potent'al Republican A-beneficiaries:
House Speaker. Jcseph
Harvest is practically complete in
this part of the Nation and has W. Martin, Jr., of Mashachusetts,
been accomplished
without any and the Senate's President1 pro appreciable freeze damage. Maine tempore, Arthur H. Vanderberg,
of Michigan.
has a record-high production and
.Q
^i.-V
nr
record-yields have been harvested
—''A-rif*
in upstate New York and Penn¬
Ban on Filibuster Urged ;
sylvania. In Aroostook County,
Four bills, aimed at outlawing
Maine, a good set of tubers de¬
filibusters and differing opjy in
veloped
to
better-than-average
a few details, were introduced in
size. The quality of the crop in
the
Senate
on
Jan.
28, United
Aroostock is
good to excellent.
Press Washington advices import¬
Tubers harvested in upstate New
adding
that
under rthese \
York are of good size and quality, ed,
but some rot is beginning to ap¬ measures debate would be limited
,

in

pear

in

most

are

storage. Tubers produced
areas
of Pennsylvania

The increase in the

estimated for the
United

than

month

ago

Dakota,

practically
freeze

Democratic

urged
tee

a

Senators ..f"each

Senate rules subcomniit-

River

September

and

1:1

to death.

cated

very

early
tuber

against,

.

in Taylor,
Claude

October

growth Florida.
i h-; b
"m
■

floor;; The

separate leg¬

Republican,

of .Cali¬

Leverett; $altonstaij; 1

publican^ ;of

good. In

a

such-bill

wei^Sehato^Willi^M-F^

Knowland,

fornia;

conduct

any

which might reach the

these

rains

long^

piking'

Southern Senators

four who presented

is

without islation

in

on

that they would

filibuster

North

area

Valley,

increased

bills

Senators bent

opposed to such legislation ihcU*

Quality of

produced

generally

Red

a

...

to approve his bill by Which

winded

Ohio and

this

complete

potatoes

t

in

flood damage.

or

favored

expected

Michigan,

South Dakota,

Harvest

part of

reflects higher

were

in

production

central

States

yields

i

two

the Senate could chbke off

bins.

the

majority rather than a, jtwo^
Two Republican and

a

thirds vote.

area

rot has shown up in deep storage

the

by

large. In the Potter
of this State, much

very

plateau

ana

Nov. 1, the usual

progress for this date. Iowa's crop

There is

bushels above the October 1 esti¬
mate

from

damage

national

of 477,904,000
record-high.
It
is

ing completed

on

acreage harvested,
becoming congested.

crop

the

Illinois

the

estimated

States is

pace.

Luis
Valley.
Harvest vot'; thfe
Nebraska crop is about complete andthere has :been nh apbi^ciaMe ? ?

Potatoes
The

slight improvement in the Louisi¬

rapid

a

was

harvesting. With nearly two-

thirds

:

in storage
especially in the eastern part of '
Idaho. In Colorado, freeze damage •
is confined
largely to 'the San-

November

on

are

part

October is showing up

increase produc¬

Threshing of rice

California

■

tempera,-

mostly in the south cen¬
of the State. Freeze
damage from low temperatures* in
tures

tral

about 10

record crop of last year. Another

proceed at

ground; Acreage remaining undyg A
at the time of these low

general
1,
days ahead of most re¬
cent years. Conditions were ideal

in

by freeze damage.

bei* haVe frozen the small acreage
of;
potatoes
remaining
in A the

offset by.otlxer, fac¬

was

tending to

part
crop

a month ago/ Both the
and, Colorado ■ crops have

-

beCrv reduced

heavy flood damage to the
unharvested
acreage.
This loss,

how;ev,er,

total

the

harvest is complete; as
freezes since the first of NOvem- A

7.7 inch rain

area a

Utah,

Mexico,

In Idaho,

caused

Iowa.

Rice

Corn

awaiting the drying out
effect of a killing frost and clear
were

weather

1.

particularly in the
part

acreage

crop

weather

better

in
the Corn Belt had not progressed
as rapidly as expected.
Farmers
in

each
since

at

northern

Iowa

of it

some

were

less

occurred

late

high in moisture for cribbing

and

in

group,

smallest

maturing the crop, and har¬
vesting and threshing were fur¬
ther along than usual by Novem¬

dam¬

safe from frost

was

But since

1946

October

Illinois,

northern Missouri, northern
All

the

of buckwheat,
7,289,000 bushels, is
practically "in the bag." The open

of

and southern Minnesota.

Nov.

average

western

is

this year.

estimated

age.
This contrasts sharply with
last year when there was much
"soft" corn in the Corn Belt,
par¬

in

Western

for

matured without

ticularly

the

Buckwheat

Further favored by nearly ideal
maturing weather in October, the
1946 crop is expected to
be of
high quality in almost every part

country.

the

because

The

all

the

of

grown

is currently estimated at
million
bushels, approxi¬
mately 91% of all corn, compared
with
2,699 million
bushels for
89%

in

corn

above

are

1940

grain
3,080

was

the

production

for all

grain in 1945, which
corn production.

nearing

was

State

average.

as

-matures

crop

is

produced this year, the
turning out much better
expected earlier. Yields per

than

purposes—grain,
silage, forage, hogging and graz¬
ing.
Corn to be harvested for
corn

of

is

crop

larger than the previous record
high yield of 35.2 bushels in 1942,
3.9 bushels higher than 1945 and
8.5 bushels above the

group

harvesting

the

of

States

bushels

1.8

Central

later,
completion.
Kentucky and Tennessee yields
are
the highest of
record and
quality is excellent. The yield per
acre in Kentucky this year is 6.0
bushels, or 19%, above the pre¬
vious high established last year.
In Colorado, where more than

bushels in the

States

is

harvest

larger than last year, and 30%
above the 1935-44 average.
A de¬

than

South

the largest
corn crop since 1942.
Except in the
cotton section, where husking was
delayed for cotton picking and in
the
northern
part of the .area

corn

iciahd

conditions

the Beaumont

v

expected

at least four-fifths complete,

with

in

indicated

Wyoming,

New

and

western
of the Nation is below the

November 1. Harvest in Louisiana
was

-'i

Nebraska,

production

had been harvested by

Idaho

The

Corn

bushel

of

,-,

earlier

* exceeds

Respite higher 'yields
Nevada

during the latter part of October.
However, in the western part of
the United States, especially in

States

million

also

are

More than half

11-12.

production

for

about

crop.

struck Florida on Nov. 1,
destroying
much
acreage
out¬
right and reducing yields on the

3,381

yields

October

and

expectations.

expectations,

record highs. Virginia has husked
about a third of its good quality

which

The

Carolina

below

fallen

result of frost damage

a

had about two-fifths of the husk¬

filberts

crops.

As the 1946

ing

below averagg,
above

are

record
;

above average.

27%

were

production,

Prospects for a record snap bean
crop
were
blasted by a storm

record citrus

production is indicated for harvest

good.

largely because of a record-high
yield
per
acre.
Maryland
and

of

Includes record crops of peaches,

is

crop

the indicated carrot crop was ex¬
ceeded
only in 1943 and 1945.

records

corn

the

the previous record in 1937.
The
1946
deciduous fruit production
pears

Qaulity

corn

has the largest crop in its history

14% above average and 2% above

areas

of

biggest

husking
since 1921.

are

and

in all
during October.
nine principal
deciduous fruits aggregates
10,095,000
tons—19%
above
1945,
commercial

Production

the

expected to exceed all previ¬

are
ous

six

seed.

South Atlantic States

greater fhan:'the

remainder.

production this year
major field seeds—alfalfa,
red clover, alsike clover, sweetclover, timothy, and Sudan grass

was

crops

Estimated

of

All other crops

have
as

high

Corn

Belt and Border States.

■'

^

million

duction

a

/,,

■■

lima beans for canning and freez¬

ord-high 1942 figure, is being real¬

October.

than

that

,v.

indicated in Texasand CaliforniaJ
yields.
;'g
In
Arkansas ^harva^ti .'Teturns

egg production was higher, due to
the highest rate of
was more

.

about a tenth picked
mostly for immediate
feeding. Iowa's estimated produc¬
tion dropped 11 million bushels
from last month, but even so the
crop is
still indicated to be 57

*

lay for any
egg
production

921

^ ■-: ;:f

only

and

.

farms

Total

)'' "&

-f.A,' l

Massachusetts^;GJen

Democrat, of Idaho, ^and.
Pepper,

Democrat,'* "of
^ "*

~

r'

•

$-

r

Thursday, February 13,1947

FINANCIAL CHRONICLE

COMMERCIAL &

THE
922

parties
sponsoring
this agreement are
the
building
and
construction
trades department of the Ameri¬
can Federation of Labor and
its
affiliated organizations
and the
employers affiliated with the As¬
sociated General Contractors of
America, Inc., who in the genr

which the Associated General
2,000,000 workers who are

agreement in the building trades, by
Contractors of America and the estimated
members of the

| mitted
In

a

Construction Trades

Building and

Labor undertake that a
settle any dispute which

American Federation of
ference committee shall

;;

to it by mutual agreement.^
statement indicating that pute
this

Department of the
national joint con¬
is voluntarily sub-

the

the steel capacity of the in¬
dustry will be 93.7% of capacity for the week beginning Feb. 10, or
at the highest level since the week of May 14, 1945 when the rate
was 95.3%.
The current figure compares with the following revised
rates: 93.4% for the week beginning Feb. 3, 93.6% for the Jan. 27
week, 92.5% for the Jan. 20 week,®

construction

Steel producers question
13 week and cars.
6 week. For their ability to supply steel for
more than the 7,000-car schedule
the week beginning Feb. 11, 1946,
when the industry was virtually since some steelmakers are well
on
commitments to car
shut down because of the steel behind
for the

joint

and where the
the dispute mutually
agree to submit this dispute to
this committee for final determ¬
parties

ten days.
The
steel workers and the steel-pro¬
last

the

ducing subsidiaries of the United

.The

reached

a

4. There

certain

problem of eliminating wage-rate

be

will

it

of work on which
unable to classify as

might complicated
heavy construction, highway and
problem on which they had been
roadway
construction or build¬
working for more than two years.
In the event
The1 same
parties
have
also ing construction.
of such a condition arising the
reached an agreement to postpone
National Joint Conference Com¬
the expiration date of their pres¬
mittee will be empowered to ap¬
ent contract until April 30.

inequities—a

United

The'

States

Organizations have

also

recently reached agreement on a

significant contract.
The making
of these agree¬
ments 2 indicates
a
widespread
to resolve industrial
without resort to force.

willingness
disputes
We

to

are

our; i

moving closer and closer
ideals of free collective

.bargaining.
The

following is the text of the
agreement
between

arbitration

ContracBuilding
and Construction Trades Depart¬

the

General

Associated

tors of 'America and the

ments AFL, for a National Joint
Conference
Committeee,
as
re-

The.ipurpose of this committee
to get up machinery for the
settlement of any dispute or dis¬
is

mutual

agree¬

agreements in an orderly manner
without any stoppage of work by

Joint

will

set

committees

for

the

handling

such

agreements

which
it

or

be

may

dis¬
re¬

is

work

and

members

of

unions, who are employed in
the heavy construction industry,
in which disputes there has been
a
failure to
reach
an
orderly
at

the

local

level

or

through
any
other
machinery
Which may have been provided;
and where the parties to the dis¬
pute mutually agree to submit
this dispute to this committee for
final determination.

2.' A committee to handle and
a

which may arise by and between
contractors engaged in highway
and road construction work and
of

unions,
who
are
employed in highway, road and
street ; construction
work,
in
which disputes there has been a
failure
to
reach; an
orderly
settlement

the

local

level

or

other
machinery
have been provided;
where the parties to the dis¬

through
which
and

at

any

may




as

housing

the

to

spect

Sellers indicate

revisions in quotas as soon

make

outlook clarifies.

the housing

as

program.

they may have to

accepting

"Shape producers are

made

con¬

tee

Asso¬

of

industry;

labor

a

who

One

General

of

the

who

is

about 2,000,000
at

member

of

national

rep¬

in¬

associa¬

tions

serving the specialized and
sub-contracting
employers;
and
one
member
from
the building
and

dominantly
specialized

and

It

is understood

sub-contracting

To Study

the matter.

pres¬

method set up in the building

and

construction

trades

depart¬
ment for the handling of juris¬
dictional -disputes is to be con¬
tinued and the above committees

and

industrial engineers

to ex¬

to Japan

appraisers

pedite the evaluation of Japanese

not

to

the group
of

will make

industrial

ment

to

be

a

equip¬

and

plants
made

field study

available

as

over

the

for

$31.3

from

output of 10,00()

Secretary

preceding

of

the

mission.

will

Other

surveying

party

devote

about

members
are

of

B-1948 offered on Jan. 20.
including $25,000 were allotted
The total subscriptions received
total allotments were $3,946,658,000.

Subscriptions for amounts up to and
in full and amounted to $45,887,000.

$4,801,396,000 and the
Series B-1948<*>

were

The

Certificates

at the close of business Jan. 22,
exchange basis,
except for the receipt of sub¬
for par, to holders of Treas¬
scriptions from holders of $25,000
Certificates of ^Indebtedness

were

par
ury

of

on an

open

B-1947,

Series

in the amount

$4,953,989,000, maturing on Feb.
1, 1947.
The Jan. 20 announce¬

of

ment said that:
"Since

about

it

is

planned

to

retire

$1,000,000,000 of the matur¬

Horace

a

the

B.

announced on Jan. 30 the
respect to the %% Treasury

Treasury Snyder

basis, except that subscriptions in
amounts up to $25,000 will be al¬
month to the work. Interested in
lotted in full.
Cash subscriptions
the results are
the 11 member
will not be received."
nations of the Far Eastern Com¬
The
new
certificates will be
group

pig iron."

subscription and allotment figures with
Certificates of Indebtedness of series

ing certificates on

assume
jurisdiction Perry, Boston; Paul B. Coffman,
jurisdictional trade disputes New
York; F. C. Mackrell, New
unless the parties to the juris¬
dictional trade dispute voluntarily York, and George F. T. Burgess,
and by mutual consent requests New York.

are

vanced

Subscriptions to Treasury Certificates

Japan's Resources
Department is sending

The War

the

that the

market av¬

steelmaking scrap ad¬
further last week to $32.08

for

pionth, beginning in

ing for a monthly

of the

trades

employers.
ent

175,000 tons

cash redemp¬
depart¬ reparations.
tion, subscriptions will be re¬
membership is pre¬
Headed by Clifford S. Strike of
ceived subject to allotment to all
employed
by
the
Hartford, Conn., and New York, holders on an equal percentage

construction

whose

rate of 165,000 to

a

'Steel's' composite

erage

that he had

one

the

for
tons to be shipped

points

being bid on
remote points.

high prices are

material from

calls

instance,

for

duction,

member from property in connection with the
the
and
construction reparations program, Associated
trades department whose mem¬
Press Washington advices of Jan.
bership
is
predominantly
em¬
22 disclosed. In accordance with a
ployed in the building industry.
There shall be a representative request by
General MacArthur,
and
building

dustry;

consumption

and

at some

spirited

tremely

"

conference,

President's position in

organization

building

are

Schedule of freight car pro¬

high.

one

of the Associated

Contractors

resentative

in which he said

five American

member

news

acted without being aware

predominate¬

are

1

since

generally

current

and

low

Mr. Truman,

opposition.
Feb.

his

industries

April. This period. Other averages were un¬
stated that the OTC head had ex¬
changed at $69.36 for finished
would permit construction of 7,000
pressed the exact truth in his
steel,
$52.10
for
semi-finished
cars
monthly, but the Office of
testimony to the Senate Commit¬
steel and $29.56 for steelmaking
Defense Transportation is press¬

construction.

ment

disputes there has been

even

immediate effect on the

inventories

their

a

ly employed in highway and road

construction

mbmbers

the

construction

member

which may arise by and between
contractors
engaged
in
heavy

i

heavy

Contractors

whose members

.1. A committee to handle and
decisions
in
any
dispute

which

in
from

firmed
at

representative of highway and

road

make

.

General

ciated

ing manner:

s

employed
member

One

branches of the building and con¬
struction industry in the follow¬

settlement

is

struction industry.

various

the

by

who

an

metalworking

and Cur¬

corn-

Associ¬

Contractors

General

nantly

separate
of

purpose

disputes

ferred

to

Conference
up

be

most

General Fleming

told the Senate Banking

representative of heavy construc¬
tion industry; one labor member
whose membership
is predomi¬

Scope of Committee

Committee

will

be

will

position

good as at present. Much will de¬
pend upon action taken with re¬

Republicans and

revocation order,

the

from

member

One
ated

strike.

The National

battle

strike during the year, was

rency Committee that the respon¬
posed of an equal number of rep¬ sibility for the increase order was
resentatives of employers and tiie
solely his and that he had not
building and construction trades
oeen aware of the President's con¬
department as follows:

adequate machinery for the set¬
tlement of such disputes or dis¬

or

that a major
eventually ensue be¬

the likelihood

tween

National

the
shall

Committee

Joint

the parties involved in
dispute, thereby furnishing

lockout

of

Membership

mentqof
the

to

committee

suitable

a

Membership

agreements which may arise and
which is voluntarily submitted to
by

spite of repeated assertions war to meet postwar contingen¬
President Truman that he is
cies, its 1946 net profit will run
opposed to any increase in rent
about 40% above the 1945 level.
ceilings, there is evidence that
"This showing, despite two coal
Congress intends to proceed with
a
study of the whole situation strikes and
a
paralyzing steel
In

their

(

pored] by the Associated Press:

the committee

industry

steel

the

"Because

established cash funds during the

by

with

now

are

ers

specifications from the general
Democrats possible by the transfer of large
handle
such situations on any
trade for next quarter.
In no case
over
a
proposal for a flat per¬ amounts from postwar contin¬
disputes which may be volun¬
centage increase.
The President gency funds by several large pro¬ does it appear, however, that a
tarily referred to it by mutual
has expressed himself opposed to
ducers.
Preliminary reports'from buyer will receive as much as he
consent of the parties involved.
a
general
increase in present
would like to get.
Fabricators
The National Joint Conference
seven
large producers operating
levels, Washington advices to the
Committee will not accept juris¬
estimate they will have to con¬
New York "Times" stated on Feb.
70% of the industry's total ingot
diction over any dispute which
tinue to operate on a somewhat
1, and does not intend to initiate capacity show aggregate net in¬
may
arise where there is ade¬
a
limited scale—because of a short¬
general rise and reiterates that
come at nearly $190,000,000 which
quate machinery set up for the
the situation is in the hands of
age of plates, if not because of a
handling of such disputes until it
is 43% above the 1945 levels of
Congress.
has been proven that the ma¬
shortage of shapes.
Meanwhile
A mixup in the picture resulted
these same companies.
chinery set up and operating has
most fabricating shops are booked
during the latter part of January
"The industry's production con¬
failed to bring $bout an orderly
when the director of the Office of
up six to eight months ahead on
tinues at levels eclipsing any pre¬
adjustment of the, dispute. It will
Temporary Controls, Major Gen¬
the basis of what they can reason¬
be necessary for parties in dis¬
vious peacetime figures by wide
eral Philip B. Fleming, is said to
pute to voluntarily submit the
ably count on in the way of steel
have ordered, without Presiden¬ margins, with current production
issues in the dispute to the Com¬
supply.
tial approval, a general 10% rent
far above the industry's total ca¬
mittee, but, after submission is
increase which the White House
"Steel producers are
pressing
made the parties to the dispute
countermanded at the last mo- pacity to produce before the war.
are
bound to consider the deter¬
production to
the utmost but
"While output of ingots
con¬
mination of the Committee as a ment. On Jan. 31, at a subsequent
shortages of scrap are becoming
tinued high, any interruption to
final and binding determination investigation
of
the
confusion
increasingly serious. As a matter
the flow of finished steel has al¬
of the issues involved.
caused by the rumored change and
of fact, bidding for scrap is ex¬
point

Rubber

Company and the Rubber Work¬
ers- Union of the Congress of In¬
dustrial

Opposes

Rent Increase

arise disputes on

may

types

steel produc¬
opening books for

"Some of the larger

operating rate for the week

second
quarter and, while the
situation varies with different in¬
1,639,700 tons of steel ingots and
terests and also with respect to
castings, compared with 1,633,700
it appears allotments
tons, one week ago, 1,607,300 tons products,
one
month ago and 96,900 tons will average slightly better than
in the current quarter.
one year ago, the Institute states.
"However, quotas on flat prod¬
"Steel"
of
Cleveland,
in
its
ucts may show no improvement.
summary of latest news develop¬
ments in the metalworking indus¬ Certain sheet sellers indicate they
will have more for their regular
try, on Feb. 10 stated in part as
customers while others doubt if
follows:

construction work.

Truman

builders.

beginning Feb. 10 is equivalent to

to

ination.

Corporation
have
final agreement on the

Steel

States

provided;

been

had good labor news

We have

of ca¬

pacity.

•

during

Jan.

the rate was 5.5%

strike,

,

"Washington:

the Jan.

for

90.3%

depart¬

described in a
ment.
final determination.
letter to him by the two
It is also understood that the na¬
3. A committee to handle and
parties, the President said that
make
decisions in any dispute tional joint conference committee
"the agreement signed by the
which may arise by and between will not assume or accept juris¬
Associated General Contractors of
contractors engaged in the build¬ diction over any dispute arising
America and the Building and
industry and members of between organizations affiliated
Construction Trades Department ing
unions, who are employed in the with the building and construc¬
I of the A. F. of L. is a significant
building industry, in which dis¬ tion trades department of the
step forward in industrial rela¬
American
Federation of Labor
tions in this country." The Presi¬ putes there has been a failure to
reach an orderly settlement at and employers on whose opera¬
dent went on to say, according to
ex¬
the local level or through any tion a non-union condition
Associated
Press
advices from
other machinery which may have ists for any of the crafts on their
the agreement was

companies having 94% of

91.8%

building

trades

of

members

ploy
and

Institute, the operating

American Iron and Steel

According to the
rate of steed

their business em¬

eral course of

agree to submit
dispute to this committee for

mutually

that

understood

is

It

public a management-labor

Feb. 1 made

Operations to Set New Postwar PeakUse of Reserves Ups 1946 Net Profits 40%

Steel

tion.

Management-Labor Arbitration Agreement
President Truman on

f

take jurisdic¬

committeee to

the

Building Trades

Truman Announces

Feb.

dated

1, 1947, will

bear in¬

and will ma¬
1948.
They are

terest from that date
ture

on

Feb.

1,

only, in
denominations of $1,000, $5,000,
$10,000, $100,000 and $1,000,000.
The subscriptions were closed

issued

in

bearer

form

or

of

less

cates.

maturing certifi¬
subscription books for
were closed on Jan. 23.
the

The

the latter

Subscriptions
and
allotments
divided among the several

were

Federal Reserve
Treasury

as

Districts and the

follows:
Total

Total

Subscrips.

Fed. Reserve

Subscrips.

District

Received

Allotted

$106,641,000

3,299,449.000

$87,773,000
2,706,777,000

73,722,000

60,736,000

91,415,000
59,878,000

75,462,000
49,478,000

86,618,000

71,475,000
321,639,000

Boston
New

York

Philadelphia

_

Cleveland

—

Richmond

—

Atlanta

Chicago
St.
Louis

390,110,000
—

Minneapolis
Kansas
City_

Dallas
San

Francisco

Treasury

Total

96,520,000

80,061,000

65,391,000

55,135,000

130,001,000

107,996,000

80,091,000
318,573,000

261,559,000

2,987,000

2.456,000

66.111,000

$4,801,396,000 $3,946,658,000

it can be preserved only if those
who wish to see it preserved will
ask
themselves
the
question,
"Why is it being curtailed?"

Doctrines in

Wake of Wn

•

That is being done because the
system has within it weaknesses

Corporative State. But
implications were

economic

greatly

.

different.

The

state

the

necessary, if

not

Tax and tax and tax, and let the

chips fall where they may! It was
wide swing, from the economics
individual enterprise
in the
nineteenth century to the poli¬

was

Mussolini's will became
all Italians, and to
oppose him was to invite the fate
supreme.

the

of

.

a

will^of

of

Matteoti.

a

In

tico-economics

Germany the story

the

There

same.

henchmen

shot

and
way

their

lies the

his

to

Italy,

it

is

quite

toward

changed!

It

economic

became

life

the

It
depression of the '30's
that gave them their
opportunity.

Now,

could

In

tolerate

the

there

meantime

in

else.

also

note

misery and of political

ferment.

There

was

;

had

usually
accomplish
either
political or their economic

their

the

of

veritable transforma*-

ligent of this country's youth have

revolution—the British people do
not

institu¬

trust

a

that thousands of the most intel¬

violation

no

or

tion in economic teaching.
Fur¬
thermore, it must not be forgotten

of

economic
.

the

Well, the answer can be
given in simple terms. When the
economic
changes
of
the
past
50 years are being
considered, no
intelligent man can fail to take

England

evidences

were

officer

is

tion?

dictator.

nothing

trust

a

German National Social¬

or

ism

what

significance
of all this from the viewpoint of

communism, Italian fas¬

cism,

them in high places.

the

was

was

Russian

of

some

tial to point out that in all three
cases the attitude of the
goverriment

And

of the disciples of Keynes
Beveridge are still with us,

and

unnecessary to
But it is essen¬

write the details.

of the story.

essence

many

through the economic mess
the political disruption that

followed their country's defeat. In
this case as in that of Russia and

.

the

of

twentieth,
these few paragraphs there

but in

milch

was

Hitler

power

and

he is willing to work.

the

drilled

number of

reforms in that way. They prefer
to rely on education and on the

to

mean

economic

new

into

their

for

a

What that may

years.

the

ideas

minds

future

of this

try is easy to imagine because
These are slower than what
it has already meant is a
bullets, but just as effective!
matter or record. And this is what
You see, as early as 1899 British
it
has already meant, here in
organized labor had developed America: that the
scope of gov¬
political ambitions. By 1906 it had ernmental
activity in economic
formed a
Labor
Representation pursuits has been
tremendously
Committee, with James Ramsay widened, that there has therefore

MacDonald

its secretary.

as

With

inevitably

the help of the intelligentsia who
; constituted the Fabian Society,
and with the further aid of the

.

but

was

today

government

"

.

.

Under

ization,

marked

of

some

for

national¬

them

being

al¬

ready accomplished facts.

While this

was

going
being developed in

was

the British universities

ly
i

some

an

of

entire¬

concept of the relationship

new

that

there

on

should

government

exist
and

between

the

business.

The

days of the great Marshall

were

and

over,

proteges,
had

of

one

John

succeeded

his

to

his

Keynes,

leadership

In the field of economics.
wrote

War

Keynes
startling book after World

a

I

of

quences

lowed

it

several
a

"The

on

the

some

treatises

Economic
Peace."

conse¬

He

fol¬

later with
that propounded

years

economic theory, and con¬
cerned himself very
largely with
matters pertaining to the business
new

cycle.

Concurrently Sir William

Beveridge, who for
devoted his talents

had
the problem

many years
to

of

-

unemployment, made his famous report on that
subject, and
later wrote his
challenging book,
*'Full Employment in a Free So¬
ciety."
The British governments of the

day paid scant attention to either
Keynes or Beveridge in so far as
putting their ideas into practice
was

concerned.

men

did not lack

is
.

-

But

these' two

disciples.

There

prohibitive American tariff,
or
import
quota
on

no

take

to

of

both

Russia went

good

very

of therm

care

selves.

Britain has not yet gone
far, but under her Labor Gov¬

as

ernment
ment

is at

she

this

very

mot

taking

that

revenue

government

the

for

need?
normal

performance of
governmental functions, but, in
addition, as the means for achiev¬
ing social and economic reforms,
The

therefore, for the
of

business

was

that

movement

began,
regulation

mere

when

Division

your

founded has grown by

and

steps

under

varied

various

influ¬

ican knows the result.
in

our

It will live

economic and

political his¬
tory as The New Deal. In its very
essence
it introduced revolution¬
ary

economic

ideas—spends and
and spend and don't worry
about the national debt or about
spend

balanced budget: put
everybody
to work, at government
expense if

a




for

the

and

unemployment
those thrown

of

fault

left

of

their

to

only

the

idle

care

through
That

own.

it

politicians.

has

continued,

tinues,

to

and

create

still

con¬

Although

even

labor

are

of

some

1.

the

and

leave

American

our

as

who

one

evidences

of

has

seen

need

not

should

and

for

cure

and

can

the

the

economic

brains
for

tragedy.

find

can

either

unemployment

to take

or

whether

tragedy

not.' Those

is

vital

economic

the past 50 years.

change

of

It is the porten-

tious
change which dwarfs all
other changes into insignificance.
And you, as trust officers, as well
as

institutions, which

your

conservators

of

wealth

are

and

the
the

guardians of the proceeds of in¬
heritance had better be alive to
that fact.
to

No speaker should need

spell

such

a

out:

its

group

as

implications

to

this.

picture.

Americans

in individual

property, in

still

believe

initiative, in private
the accumulation of

wealth, and in the principle of in¬
Even American workingmen
believe
in
them.
If

the

doubts that,

first

wearing
you

he

union

a

like

boss?"

man

let him ask

meets

button,

day to be
Pease try that if
some

who

is

"Would

your own

you

have

shadow of doubt in your mind.

develops that such reduction

est;

to

all

when

them.

2.

brains

ought

For

procedural
that

ance

or

and on its

re*

or

Procedural

improvements
certain

more

our

will not be

the

Collectivist

assimilation

state,

discovered that.

our

concern

•

proper

covered

it.

covered

it.

British

labor

withdrawal
of rates

•

against
the

given
c.

who

are

system

resulting from the inclusion
in

of

to

make

with

That

responsibility for advice

trade agreements

unconditional

most

public interest.
6.

We
ters

'

have discussed
with

Under

these

mat-

Secretary

concessions is unduly diluted
and obscured among too

retary of State Clayton and are
encouraged to hope that im¬
provements by executive order
along the lines suggested will
be seriously considered by the

the President against in¬
jurious tariff reductions and

executive agencies and

many

those best able to
f. That

we

return

do not

give it;
get sufficient

benefit from the gen¬

eralized benefits
tion

of

favored

in

Ample

our

the

unconditional
nation

clauses

Under

Present

Act
That

under

1930 and the

the

and

partment.

the

State
„

.

February 7, 1947.

fti

l

'

De¬
,

,'jj. ...j|
S '« 1

Banquet of 25 Year Club

Act

of

amending Recip¬

Twenty-Five Year Club of

the United States Trust Company
of New York held its sepond an¬

nual
Tariff

'

Of U.S. Trust Co.
The

trade agreements.

Authority

President

resulting to

other nations from the opera¬

3.

Louis

banquet on February 6 at
Sherry's. Williamson Pell,

Chairman of the Trust Company

man" be marked fur¬

rocal Trade Act, there is ample

board,

that the American system CAN be

ther by either "proletarian revolu¬
tion"
or
"socialization by
con¬

authority for establishment of
procedures by the President,

while Benjamin Strong, President,
sent a letter of congratulations to

preserved.

sent." American business can sup¬

without further legislation, that
will- safeguard
the
domestic

the

a

That means, if it means

way,

it

Or, to put it another

can

doubting
means

anything,

be sold

men.

that

it

or

re-sold to

Furthermore,
must

be

it

worth

the

common

ply an American substitute and
thereby preserve the American
way—if it but will. It has the
brains; it has the means. And the

preserving, for otherwise it could
hardly have such an appeal. Yet time for action is here now!

g

of

State Acheson and Under Sec¬

most

need, even
eventually, to let "the century of

own

the

favored nation clauses except
at our option exercised in the

sur¬

unnecessary

our

to

worse

J

tariff reduc¬

_

secrecy;

believers in the

no

own

nations,
shall
not
receive
generalized benefits from us

rounded

e.

\

tions and concessions to other

d. That the whole matter is

well.

is

their

on

lesson

there

us

That the exact reductions and

than stupid if

But

to

specific defen¬
sive arguments against un¬
specified perils;

dis¬

we fail to learn the
Furthermore, if we
fail to do the things that the his¬
tory of the past 50 years have
taught us need be done, we shall
deserve whatever we get!

tr-M

J

Efficient procedures arid poli¬
cies to assure thatn nations

ble

written large

be

supporting

kept secret and it is impossi¬

capital

will

confidential

which do not make Available

not

are

hearings

proper

-

concessions contemplated are

in
the economic history of the past
50 years, even of the past five.
American

thereof

concessions under

spection;
e.

q-u

threat

or

data to be open to public in¬

interests

is not sufficiently focused on
is

non

proposed tariff cuts;

be

revolution."

we

econ¬

i r e protection
injurious imports or

r e

Tariff

modification I

or

operation of "escape-clause,"
together with any dissenting
opinions
of
members
and

overvalued

domestic

our

which

is in
the process of discovering it, too,
And the collectivists smile as they
see great business units built: they
are sure it will make their job of
expropriation easier "come the

And

and

affected domestic inter-

Commission to President for

domestic

domestic

of any . rate or
which ^.imperils

d. Recommendations

diplomatic objectives;
b. That

Italian labor dis¬

German

on

est.

;

in tariffs adequate to

extraneous

by a
labor

Russian

agreements

motion:or

request of the President

any

domestic economy

imperiled by tariff

following:

That

a.

capable of understanding that the
building of monopoly power in
any hands can lead ultimately to

complete

trade
own

concession «

assur¬

reductions and concessions. The
desire for procedural improve¬
ments arises from fears such as

And

to

on

our

modification

Demand

leading to

government began

same

of

to

and currently
the opeibtion of
>

There is considerable sentiment

the job
with a pittance, these same busi¬
nessmen have cussed it' for doing
so, because it involved some taxes.
The

Commission

closely

informed

Improvement

the

to

occur

Tariff

keep

that

our

seem

*

.

The

c.

be subordinated to

not

has imperiled
affected domestic inter¬

for

undesirable

omy may

from

concession

any

of the Congress;! or! of any
aggrieved party, to hOld pub¬
lic
hearings i to
determinewhether in its, opinion any
particular
escape* clause
should be invoked-, and to
recommend
dire.otn.to the
President, w i t h d r a/W a 1 or

foreign

our

is

payroll.
That an idle man, or an incomeless man, was a lost customer did

severed

was

the

withdraw or
tariff reduction

can

any

or

of

it

safeguard

when

agreement

concession if in practice it

the

worker

That lesson

But there is another side to the

modify

involved; that our
domestic
hearings have

The

same

die

to

trade

President,

authority

these plans be abandoned
needlessly postponed.

brains, applied
assiduously to the production of
wealth, can find the way and the

seemed

Clause

"escape clause"

into;,or re¬
newed whereby
thej,|Jnited
States, on the initiative of the

nations

means

involved

the

'

of

every

standpoint

same

unwillingly
unemployed.
They have never
tried to.1 They apparently have
wanted plenty of surplus labor;

in

ap¬

or

lations

remedy

a

the

to

reduc¬

hereafter entered

more

or

of those

care

b. Inclusion

been under way; that from the

business

The

be made

can

to the

as

which

the domestic economy;;

in it by the Reciprocal
Act
which, as • above

own

must

cycle. They have never tried to.
They apparently have wanted to
accept it as inevitable, with all
its

agreements and

Inclusion bf Escape

to bargain with us this
coming
April
for
trade
agreements;
that
elaborate plans for the
negotiations have been made by

not continue. The brains of Amer*

reduc¬

tions and concessions cannot
be made without injury to

partment has invited 18 nations

the

that

tariff

concessions., in all

beyond

point

out, does not expire
June, 1948, the State De¬

until

many

American

and

; future trade

pointed

ingenuity of
businessmen, I assert

they

contemplated
tions

!

existing law the
Reciprocal Trade Act, as last
extended by the Congress, does
not expire until June
12, 1948,
important basic changes in the
system,
if
these
should
be

Trade

system

would

powers

to make direct recommenda¬

pursuant

of private enterprise safe. As one
who had a rooted conviction in
the
possibilities of the system,
and

existing

United States Tariff
Commission, to review all

.

propriately by the next session
this
Congress.
Moreover,

continue

cannot

his

a.The

under

vested

things

h

that have been mentioned;

of

of

thinking and economic

teaching.
These

Since

needed,

things that have brought about
revolutionary
changes in
both
economic

:

would, without damage to le¬
gitimate reciprocal trade; nego¬
tiations, allay many of the fears

Advise Delay Until 1948 For
Basic Changes

itself.

execu¬

provided,

tion to the President

the

These

of

following:

workingman's
counter-offensive, .with
tragic

results.

conscious

are

are

afford improved safeguards and

huge-aggregat

government

as

[

procedures of the reciprocal, trade
system, we are in accord on the

And in recent years, on the other
hand, we have seen legalized the
operations of similar aggregations
of

i%obviated;

differences of opinion between us
as to some of the
philosophy and

tions of wealth in corporate form
that
sometimes
seem
to
overf
shadow

we

extent such

safeguards

5. We belieye that the following
measures which biay : be put
into effeefby the President out

ments.

to this date, provided
pittance for those grown

up

a

tive

claims for legislative action are

ject. It is understood that the pro¬
posals are tentative and subject
to revision in the light of
develop¬

no

has

old and dependent in its service.
That has been done by govern*ment, when it could perfectly well
have been done by business itself.
It

been entirely on our own
responsibility and solely for pre¬
liminary exploration on the sub¬

remedy

take

or to

opportunistic

It has,

have

bureaucrats.

find

to

its

the

anyone

employment according to
Beveridge. Every informed Amer¬

That it has left to the

failed

is

ideas.
Some of our economists
became converts to, and
began to

full

has

Secretary of State Acheson and
Under Secretary of State Clayton

only one thing, namely, the wip¬
ing out of the monopoly power or

heritance.

of

It

during the past 50 years,
until today its possibilities
hang,
like a sword of Damocles, over a
country that used to pride itself
on its rugged individualism.
This
ences

embargo,

preach, the gospel of spending ac¬
cording to Keynes, and the gospel

subject. These and the discus¬
sions later referred to with Under

giant strides. And
America has already taken the
means to take care of the human
first steps; for taxation is now
Victims of economic obsolescence;
being used here not merely as With few
exceptions, they have
the means by which to raise the
never tried to.
Their interest has

brilliant

Maynard

wealth.

the way, with the single ex4
ception that her bureaucrat? seem

cialization that is, to most Amerleans, somewhat startling. No less
than 25 lines of economic activity
been

socialization

all

labor leadership there is going on
In Britain an experiment in so¬

have

upon

interested, and that we
already partly on our way
the

pressions.
economists

we have
number of conversations on

a

the

for the

crushing impact of business de¬

the

incomes and the very
in which your institu+

income and

remedies

find

are

toward

that

the

bureaucracy

very

are

on

try to find

businessmen

(in the main) been laid

property

be eradicated.
It
its own initiative to

ican

the

tions

vast

a

has

beginning,

controls

completely.

'

;

small

a

Labor

up

of the
agreements negotiations

to

very costly,

that tne cost of this

Independent Labor Party, they
proceeded to "educate" the voter,

months..It

built

bureaucracy which is

and by 1924 Labor controlled the
British
government
for
several

.

been

has failed

coun¬

ballot box.

.

held

ought

Saved by Senators' Compromise

(Continued from first page)
forthcoming trade 4. That to the

pects

that

(Continued from first page)
of the

Tariff Program

without
hampering
negotiation of agreements
to encourage the essential ex¬
pansion of our foreign trade.
economy

the

addressed

the

banquet,

group.
Henry Schaper and
George Merritt, two of the Club's
members, recently were.honored
by the '. Trust Division
of the
American Bankers Association for
more

than 40 years

in. trust work.

,

Thursday, February 13,1947

THE COMMERCIAL & FINANCIAL CHRONICLE

924

statecraft practiced by the ablest
advocates of the European

How President Truman Can

Chan¬

Mr. Bernard M. Baruch,

cellories.

knowing in advance that our lar¬ outlaw robots,, submarines, indis¬
supply
of
atomics
would criminate airplane bombing of
cities and other populated centers,
ultimately over-whelm them?
ger

elder

(Continued from first page)
which they promised to work for
tant "first business" of working
out a lasting peace with Germany after the Moscow November, 1943
Japan,

would

which

mean

well-being of

much more for the

the world than participation in the

protracted debates and procedures
of the United Nations Organiza¬
tion.

In

vexatious

the

delays

and

arguments in the U. N. there are
many good reasons to believe
Russia has been sparring for
in

time

tighten

to

endeavors

that
her

strangle hold on Poland, Finland,
Lithuania, Estonia, Latavia, Ru¬
mania,!. Bulgaria,
Hungary and
other Balkan states, which
led
Churchill

Winston
the

of

House

"The

that

in

to observe

recently

Commons

one-third

rules

Soviet

of Europe."
Whether justified or not, tre¬
mendous efforts have been made

just

meeting?

In a sentence, what do
high sounding promises made
at Yalta and at Pots¬
dam mean today? In reality, noth¬

lomatic

partment and his skill and knowl¬
edge of world diplomacy would
contribute
immeasurably to the

ing. In the meantime Russia has
succeeded in redrawing the map

objectives. The
Foster Dulles,
Jurist and Publicist, who has made
a
life study of international re¬
lations and peace problems, would
be an invaluable aid to our Peace

at Teheran,

services

".

.

"Cosmopolitan," viz:

the

issue of

truly wants peace—a

peace

who
protect the free¬

cial

lived and died to

agonies of men; nor

in the press

throughout the world,

but

despite the U. N., war rages on

in

China

French

Indonesia

Dutch

Indo-China

just the

and

Then he says:

same

Clement R. Atlee aptly described

tory there has been a peace that
drenched the world in fear and
held the fate of men relentless in

the situation when he stated: "In¬

its grip.

Referring
U.

the

to

the

of

Minister

Prime

British

N.,

work

stead of its proceedings

the, confidence

up

desire.

It

if

that

clear

is

much

so

we

United Nations Organization
used

be

as

forum

a

the

And

is to

for debating

of life while contributing to
good of the world."

article

sonal intiative and oourage.

President

published in The New York "Her¬
ald
Tribune,"
Sumner
Welles,
former Under Secretary of State,
appraises the peace results of the
"Big Three" Ministers in the fol¬
lowing language:

the

name

Winston
Herbert
Baruch,
W. La-

mont, John
Foster Dulles and
Myron C. Taylor to strengthen our
future representation at the Peace
Conferences, in addition to the
"In contrast with the advance
new Secretary of State George C.
made in world (UN) organization,
Marshall,
Senators
Arthur
H.
the agreements reached by the
Vandenberg and Tom Connally.
Council! of Foreign Ministers af¬
The
addition
of
these
seven
ford little ground for satisfaction.
notables would add weight to our
The key to Europe's future, the
delegation, which many people
treaty with Germany, is as yet
undetermined. The

major

powers

the

upon

lesser

fact

that

the

have at last agreed
with the five

treaties

Axis

countries

has

been

widely.acclaimed. Yet there would
seem

tq5, be

plaud

any

little

to

reason

ap¬

agreement which is in¬
herently vicious merely because
it is an agreement. Peace treaties
Should, contain provisions which
make for peace. Few experienced

had

aver

in the Peace Conferences and the

satellites

Labor

Only

promote European" stability.
the
official propagandist

afford any promise of peace and
in the eastern Mediter¬

freedom
ranean,

If these treaties afforded

have not
taken a comparable place in the
major considerations.
representatives

is

There

no

There is

no

encourage¬

Prime Minister of Britain. It goes

without
would

saying that

find

High

Sounding Promises

What has become of the Atlantic
Charter

(in

and

the

December,

Three

at

churia

Cairo

and

promises

1943
to

by

made

the

restore

Big

Man¬

the loot stolen from

China by Japan and later by Rus¬
sia? What about the promise that

Korea was to become

a

free and

independent State? Have the Big
Europe

Four restored democracy in

and

independence

in




the

Mr.

country

our

Churchill

an

ar¬

and

persuasive advocate of
American
viewpoint.
M r.
may

be

said

to

be

a

"half" American anyway, since he
is the son of an American mother,
the former Miss Jennie Jerome of

ment.'^^

.

who could bring

bigger war-background of ex¬
perience and understanding of the
world's
peace
problems to the
Peace
Table
than
the
former

Churchill

for

one

more

Post-War

Churchill.

a

be

cause

the

situation than Winston

dent

scant

anyone

or

with

in

statesman

abler

world today

only foundation for the recon¬
struction of Europe, there would

the

British

the

that

and

conversant

would say'that the Balkan treaties

the

dominated

have

Conference

treaty with Italy offers the
people either justice or
security, or that the arrangements
covering Italy's eastern frontiers
Will

To date, the feel¬

ing persists that Russia and her

observers would maintain that the

Italian

by

Molotov, Vishinsky and Gromyko
U. N. meetings.

the

peace

outclassed

been

Austria

Brooklyn. What

a

pity it is that

a

world statesman of Mr. Churchill's
calibre and surpassing talents has
been denied his rightful place in
the- Peace

Conference by the ca¬

prices of British politics.

to

himself

engage

sorely beset with racial, so¬

political fanaticisms and

and

cial

de¬

international hatreds."
Ahead

Look

forthcoming meeting of

the

As

re¬

to

up,

the planning
quite impossible for
do while he was exhausting

him to

was

his energy

wrestling with M. Mol¬
to pay for
he spent on Trieste
and the Balkans. He paid with his
Mr.

otov.

lost if

blight of Com¬

from the
No

Byrnes had

health, and he paid by neg¬

of

nations

war-torn

the

save

are

we

in the world to¬

one

day is more alive to this fact than
Pope Pius XII.

for

Appeals

urges
the
World's Leaders "to see to it that

Pius

Pope

incentive

Yule-tide

disarmament.

for

summed

Pontiff

The

these

with

message

his

up

all

"Dedicate

cific and Latin America."
Second:—

good will and a cessation of
the present state of uncertainty,

President Truman,

and

for

after consul¬
tation with the gentlemen named
above, should make a world pro¬
nouncement in

gress

settlements
tion
the

to

what

just

to

as

the Halls of

and

Germany
Axis

other

laration

His

dec¬

a

statement six months

former

Secretary

to sabotage our foreign
policy might have been avoided.

Third:—

verbal

or

and

publish all

written

under¬

agreements, promises,
otherwise, made or dis¬

dent Franklin D. Roosevelt

his

world

President

was

the

the

in

specific

country

should

declaration

will

not

them

use

wars

time—
en¬

one

I

Allied

Countries

with

would

have

available
quantities of deadly gases if the
countries
use.

suppose

would
bombs

larger

had

resorted

to

Is it not reasonable to

that

enemy

hesitate

against

us

to

countries

use

Can

the

of all

our

the

Before the

Great

ground

that

II

War

World

steadily
victors of
not reach a

impression

the

Yet

peace

fundamental freedoms.

the

gains

of

restoration

the

for

difficult de¬

the

out

the

may

the peace

in

agreement

common

settlements about to be made with

because

Germany

and ulterior

their

of

selfish

rivalries,

long

age¬

ideologies

objectives.

The Russian attitude has seemed

perversely negative, pro¬
distrustful and over¬
bearing, manifesting a determina¬
tion to impose their will at the
meetings of the Council of For¬
eign Ministers and in the Security
Council
and
Assembly
of
the
United Nations Organization.
be

to

vocative,

the

Reading

reports,

one

victorious

war-wracked world.

order in a

dealing with a "power-drunk'1
totalitarian nation like Russia—the
In

of

antithesis

our

representative

Democracy—we should
the

look

possibility

not over¬

of

a

world conflict that may be

future
caused

war

in Europe ended

the atomic

bomb

was

of the writer offered some

rible, senseless War, mankind can
a long way from the savag¬

move

of modern warfare if the Al¬
lied and Axis Powers will sol-

ery

pledge themselves that in
A-P

by

a

Free

Keeping these factors in

AM

AfVlAt1

writer has suggested

mind,

the ap¬

pointment of Churchill, Hoover,
Baruch, Welles, Lamont, Dulles

Powers

suggestions in the "Chronicle" of
March 22, 1945 for humanizing the
savage aspects of modern warfare
which are repeated here:
"Out of the v/elter of this hor¬

4-LA

wars

Allies, including Russia,

working

tails

cooperation

friendliest

pect
in

the

Humanize War?

atomic •emnly

in future

rule of war and peace,

naturally have the right to ex¬

we

the other hand.

More than
treaties have been
average life of

an

2V2 years."

heard

should be
poison
gas was 'taboo' and not used by
Germany in World War II because
It

and Prussia."

every

with

them

retaliated

By

peace

and before

us.

defeated Na¬

had

made

law the
use
of submarines, jet
planes and airplanes for bombing
purposes in future wars "until and
unless" our opponents first use

against

"the Quadruple

as

which

clash between Capitalism and
Enterprise on one hand and
Communism and Totalitarism on

The President should also out¬

remembered that the use of

re¬

8,000

the

against

Shirer

out of every 13 years.

that

atomic bomb, gas or germs in any

opponents first

of

pointed out:
"During the last three thou¬
sand years there has been war
in some part of the world 12

also

use

during

population today.
authority
recently

tire world's

pronouncement,

Truman

killed

beginning

times more than the

seven

a

future war, "until and unless" our

the

appalling in

published

been

since

Fourth:—

us.

Startling

"Times" by Dr. Francis

have

"As

a

a

War

World

A.

day-to-day news
would hardly think
nations—Britain,
Trevelyan Miller, the Historian
General of "The Historical Foun¬ France,
Russia and the United
dation of New York," who writes States—were striving in concert to
that:
perfect measures for the perpetu¬
"Fifteen billion human beings ation
of
permanent peace and

New York

party.

make

Makes

statement

and elsewhere at which ex-Presi-

this

.

sincere

the

in

There is something
a

at
Teheran, Yalta, Pots¬
Cairo, Casablanca, Quebec

In

.

Statement

cussed

dam,

.

human family."

Historian

A

William

the following year into a war
Britain
and
France
against

the

The President should

standings,

year

new

interests of the en¬

service and

tire

attempt of
of
Commerce

Wallace

secret

wisdom

regrettable

the

the

.

definite

a

Nazis in

the

gave

poleon in 1814, very nearly broke

power

seeing

principles
should be frank, ex¬
plicit and bold. Had the President
ago

within the

.

pos¬

to give your peace
the seal of true justice and far-

and purposes

made such

of

as

to it that peace

.

and

Japan and

nations.

much

"Apply all the forces of will

rela¬

American

of

see

peace
comes

peace

with

as

advent

the

sible

Con¬

the

be

to

are

accelerate

to its
isolation, cre¬

second

the

for

Alliance

energies

your

separate ways

returned

Germany the opportunities to pre¬

and

words:

lecting Germany, Japan, the Pa¬

their

which

Europe

Russia

hell,"
declaring that such new instru¬
ments
of destruction provide a
new

I,

country

our

ating the deplorable conditions in

of

spectre

fall¬

they did after
when Britain and

traditional policy of

of

"the

World

the

of

as

went

France
and

up

as

War

World

within the new year."

bomb

just

ing-out

Pope Pius also expressed fears of
a new war and labeled the atomic

peace comes

members

War II coalition may have a

radio Yule-tide coalition known

eloquent

appeal,

Ameri¬

mindful of the possibility

the

that

Ministers

Foreign

cently pointed out in his Sunday
Herald-Tribune
article
that the

Immediate Peace
an

of

Council

pare

XII

Pius

the

holocaust.

,

months

own

to hasten the economic

political stability and recon¬
of
Europe and Japan.

In

the thinking and

their

spect. Mr. Hoover is familiar from
actual experience with the type of

him

our

quickly as possible, we
obliged to make a sep¬

the

in

of

any

opposed to our

are

time should be

to

Britain

For

back

to

or

as

be

Pope

experience has de¬

home

Allies

munism.

at

Axis

world-wide

That, I think, is the least
humanity can hope for in a

world

A

Russia

if

Europe

cabinet government. But
Byrnes has no one behind

The presence of our only living
command

have

could

tranquillity in Germany and

will

could

Bevin

Mr.

Even

long

ex-President, Herbert C. Hoover,
would

Power

Stalin and the

were

discussion.

the

to

Truman

Honorable
Churchill, ex-President
C. Hoover, Bernard M.
Summer Welles, Thomas
Right

afford

Mr.

great prestige to his Administra¬
tion and admiration for his per¬

for

Christmas-day

United

him

What the writer has in mind is

Peace Results

his

the
could

veloped

First:—

In

to be

proved

to

through

His Administration

ing health has caused him to re¬

Sumner Welles' Appraises

has

endless

do

common

the

There is certain¬

struction

after day arguing
issues: behind him in

side

over

Can Add

the

civilized world both in war and in

Powers,

Germany in

were

to

Germany single-handed.

Japan

No

Molotov

which it

the

twelve

some

conquer

Great

and

viz:

costly

M.

President Truman that would add

ways

and

to

feated

Mr.

Council

State there is one course open for

secure

and

arise from World
War II, mankind will have ad¬
vanced nearer to the goal of a
gains

only

arate peace

which

will

it

differences,

can

used to

a

cans are

to all nations
the freedom to preserve their own

be

as

Settlements

and

succeed only if it is to

fail. It

hered to
Peace

at Moscow draws near, we

linquish the office of Secretary of

ideological

efforts of four

strongest

democratic aims to establish peace

especially

that Mr. Byrnes' fail¬

now

world's

and faithfully ad¬
result of the coming

instituted

are

former

afford

to

the

of

these

"If such humane reforms as

forgotten that it

took the combined

one

to sit there day

chained."

Prestige

be

appointment of the
above
of statesmen than Walter
Lippmann's commentary ("Herald
Tribune," Jan. 14) describing the
mental strain and physical handi¬

Politburo.

President Truman

should not

It

Sixth:—

States.

a

will commit our children
serfdom in a world itself en¬

How

United

the

group

"The

sub¬

we

and

the

to

episodes which have
tended to bring the Organization
into disrepute instead of building
of

variety

if

Sovietica' which,

'Pax

connaissance purposes only.

Russia

That

Moscow there

a

France,

States leave German soil for home.

ly good reason to believe that no

con¬

which he is the

reason

mit to it,

pretexts and

flimsy

on

reserved

and

is needed for

better

No

attacks

of

menace

Airplanes—the 'eyes

Army and Navy'—should
for scouting and re¬

the

be

first World War.

Pope Pius XII and the

cratic

the

the

has

doubtless

and

Conferences,

And today like a chilling
mist there hangs over the demo¬
nations

after

of

War II

real

being ob¬
there is
obstruction, there are propaganda

jective and businesslike,

comeback

be

cumstances.

that

caps

times in his¬

"... Two or three

not

third

a

Byrnes labored
under in
his dealings with Mr.
Molotov at the recent "Big Four"

war

sound the deathknell of

that will

its industrial

of

Germany stages

fare

had

great Church of

civilization."

if the U. N. did not exist.

as

another

incite

malice

sane

seeds

of

centers

the Occupation Armies of Britain,

Supreme Pontiff.

will
and
through in¬

the

War after

and children in civil¬
population should
permitted under any cir¬

ian

peace.

fidence of

ciples of justice for which we are
still fighting; nor through brute

World

bombing of non-combatant

men, women

large and small, four years of war¬

ing

vengefully oppose the prin¬

ness

economy in a spirit of
Any other treatment may

its

without saying that the

"It goes

future

In his missions abroad,
Taylor, the choice of

experience in pro¬
moting international understand¬

they have bequeathed to us
her not in stubborn blind¬

—let

warfare.

country

agree to the partitioning
of Germany or any attempt to de¬

revenge.

the coming use

also

definitely

this

military
Powers—Britain, France, Russia
and the United States,
six long
years to defeat Germany in World

has

doms

John

that

will not

stroy

and chemicals and
of germs in

poisonous gas

clear

it

Presidents, acting as our spe¬
Ambassador to the Vatican,

two

that will not shame our sons

make

germinate

peace

of

personnel.
Myron C.

If Soviet Russia or any na¬

.

tion

and

Europe

De¬

State

the

in

events

American

the Bal¬
kans to suit her expansion plans.
Cardinal Spellman sums up the
Russian attitude in the November
Eastern

of

the

Organization

Welles has been close to dip¬

ner

the

to acclaim the accomplishments of

Nations

Mr. Sum¬

settlements.

peace

and

fair

of

consideration

the

to

greed demand gains which
prolong
the
wretchedness

United

The President should

statesman, and Mr. Thomas
Lamont,
cosmopolite
and
banker-statesman, would bring a
rich experience and keen acumen

Regain His Lost Prestige
and

Fifth:—

W.

^ItAV HT11^

drawing
settlements for
Germany are fraught with farreaching and dangerous possibili¬

and
up

Taylor, because the

of

the

peace

ties for the future peace

of Europe

and the world.

By reinforcing the efforts of
Secretary of State Marshall and
Senators
Vandenberg and
Con¬

nally at the "Big Four" meetings
with the above named statemen,
President Truman will be sending
some

of the best talent this counir,

IVio

Ponno

TaWp

if

Volume 165

who

would,

gg

Number 4568

'

the

writer

prove to be more than

THE COMMERCIAL & FINANCIAL'CHRONICLE

believes,

New

match for

a

Edmund

tion of War is to be found in the

religion of the Man

which

Russia's
and

international

running

the

the

Is There Any Solution for War?

To meet the world's
great need
of the hour, the cure and
preven¬

of

Galilee

forth in the Golden Rule be¬
tween Man and Man and likewise

Golden

Rule

such

consummation

a

by

each

Nation,

earth

on

for

all

the

the

of

if

to

to

up

the present time.

and

hope today may
toe epitomized in the

be

said

tee

to

the

whole

world

to

James G.

are:

President

Bank

of

of

First

Farmers

Bank

&

of

Trust

totaled

tion

L.

""Let Us Have Peace."
Yes, Let Us
Have
Peace
For
All
Time
and
For Humanity's Sake.

of

Savings Bank of Pittston; John D.
Bainer, Executive Vice-President
Trust

Co.;

William

and

Jr., President of
burg Trust Co.

continued

the

were

I

A.

Business
of

smaller than those

Commerce, said

on

Feb. 3.

Hollidays-

Frank

The

Trust

elected

"Manufacturers' shipments dur¬
December reached a volume

R.

of

of $12.7 billion and the book
value

at the annual

This

bil¬

lion.

vember,

an

of

in

the

'daily rate

the same, as there

inumber

of

the

were

working days

was

than

more

at

the

increase

an

end

of

after
the

W.

Bank

&

ence

S.

C.

$400 million.

was

non-dur¬

for
che durable goods
group,

the

Department

said.

There

of

Commerce

however,

was,

a

marked

variety
of
movement
among the industries within each
"In the non-durable goods

Seasonal
oil and

paper

requirements

the heavier

of

McFall,

members

of

an

dollar

value

of

transportation

of

all

deliveries

types

and

equipment

automobiles

offset

of

of

other

declines

In the industries most
directly af¬
fected by the coal strike.
increased

book

value

of

held

by manufacturers at
the end of December centered al¬

most

entirely in the durable goods
Industries. Higher
inventory val¬
were

The

Treasury
Offering

reported

by

the

ma¬

chinery and transportation equip¬
ment industries."




earnings for the

after

taking credit

credits

approxi¬

were

$71,000,000

and

for

i946 they

amounted to $170,Both
the
net
railway

for

ingly

December

reduced

back

credits

and

Feb.

on

10

that

had

not

the

these

been

resents

investment,

carry¬

made.

the

equipment

value

on

road

of

net

and

shown by the books

as

compared with

a

rate of return of

1945.

Total operating revenues in 1946
amounted

to

$7,627,313,394 com¬
pared with $8,898,608,723 in 1945,
a decrease of 14.3%
Operating ex¬
for the

year

1946 amounted

—

Paperboard Produc¬

Papejr

production

in

May
Feb.

to

mature

15, which were offered on
7, were opened at the Fed¬

eral Reserve Banks

Total applied for,
Total
accepted,

Feb. 10.

on

$1,773,319,000.

$1,310,981,000

(includes
a

$19,239,000 entered
fixed price basis at 99.905

on

and

accepted in full).
lent

of

rate

mately

0.376%

Range

of

+ ;

discount
per

approxi¬

annum.

accepted

competitive

discount

approximately

0.372 %

per annum.

approximately

0.376%

per annum.

bid

for

was

a

maturity of

ilar issue of bills
amount

This

of

does

rent

week

not

include

and

mills

year ago.

Wholesale

Higher

compared

in the preceding week
in
the
corresponding

95%
a

102%,

was

with 101%

Food

A

Price

Index

widespread

upward
movement in foods during the past
week

—

lifted the Dun & Bradstreet
food

price

index

for

Feb. 4 to $6.29, from $6.18 a week

earlier.

on

a

This

was

the

highest

were

supplies of soap
The

de¬

more

increasing.

were

demand

consumer

and

poultry remained

for

'

meat V

high.

very

Interest in women's apparel was
$

close to the moderate level of the

f

preceding week. It centered large-!r:
ly upon Spring styles in the medi->
um-priced

group. »>Su it s

an

&:

blouses

were

the

The

rise

by

season.

creases

reported from cities in the

the

largely

the

near

cluded

future.

demand

and

wheat

in

that

damage

to

might

the

Corn

crop.

without

covering

Domestic flour business
active but the

sim¬

week

rose

kets.

ago

the

index

registered

list

of

advances

for

the

included floutf,1 wheat, corn,

rye, oats,

tonseed

in case

barley, lard, butter cot¬
oil, cocoa, eggs, potatoes,

wasa^f'^
demand

noticeable increase in the
for

hardware.

the

week

ended

estimated

was

last

;u '"4"

to

countryl!ii

Wednesday

be

from

16% above that of the

12

reflecting reduced

ago

lard.

The

Butter

latter

the

receipts,
make

of

commodity
demand.
cents

per

week, attributed to
demand
and
curtailed
due

to

severe

Nearly

storms

white

and

eggs were in plentiful sup¬

trend

in

cotton

the

but
scarce

corre¬

said

were

mand

to

be

considerable

still

with¬

cotton.

stimulated

was

De-*

by the

ex¬

corresponding Week
order

quality.
store

country-wide basis,
Federal

Reserve

for

week

the

during the week ended Jan.

totalled

35,936

bales, bringing
registrations under the pro¬
since its inception to 4,249,259 bales. During the current sea¬
son
registrations amounted to 1,054,050 bales. Mill consumption of

Board's ltf~

the

preceding

week.

ended

the year to date by 20%.
Inclement weather here in New 'O
York

the past week

fected

retail

trade,

adversely af¬
but

high rate
with mill operations showing con¬
tinued

expansion.

a

Forward

sales

notwith¬

standing this, it was felt that dollar

volume

reflect

for

gain

the

week

would

-

last year.r The
increase for department stores foi*
a

over

the week ended Feb. 8

at

the

1, 1947;
and fd&

17%

at 5 to

remained

For

Feb.

by

total

cotton

Feb'.'lliti

ended

1947, increased by 10% above the
period of last year.
This !
compares with an increase of 17% s
same

increased

gram

taken from

as

the

weeks

25

was

torn1'a

sales

dex

sales

Registrations

year

,

<

Department

parity price, the continued strong
statistical position of the staple,
enlarged foreign inquiries and the
possibility
of
a
resumption
of
private trade in cotton with Ger¬

Japan.

a

volume

cautiouness displayed by buy¬
in regard to both price sracI

in

and

] "

.

by the continued attiiuBe

four

under the cotton export sales
pro¬

'

16.

New

limited

mid-January

many

to

ago.

ment of

rise in the

12

volume

pectation and subsequent announce¬
a

14, Northwest

prices and large re-order volumewas well above'that

Trade

buying was fairly active
offerings
were
relatively
and producers in the South¬

holding

to

South

Total volume

of

a year ago.

10

and

decreased :
slightly in the week. Despite the 1
lull in wholesale trading
activity;'
volume
was, sustained
by hig$r

ers

under

22

Wholesale

Spot market sales moved upward

sponding period

yeairj'
percentages::5^

by the following

a

12, East 15 to 19, Middle West and

ther substantial gains in the week.

and mill

'

Region^:

of the

continued

upward and prices registered fur¬

continued

ago.

New England and Southwest 8 to

18 to

6V4

rose

West.

The

year

Pacific Coast

in the

the

a

foreign

prices

production

week

the result of good

as

and

stronger
in

market

affected

ing

to

correspond^

estimates exceeded those of

also

wef^

and
floor
coverings
frequently sought and there

Export demand for flour was
quiet. Hog values remained strong,
which

retail^

furniture, while intere&EP
goods remained high. Becft^

Retail volume for the

price tone remained

the^

slight decline in the

ding

in¬

was

firm at the recent advances
due to
the tightness in cash wheat mar¬

placed
drop hi

was

10%, indicating

a

unit turnover of merchandise.

-

-

n1

Activity in wholesale dress mar-i
kets
of

brisk

was

summer

facturers.

with

the

opening

lines by leading manu*
Slow fabric deliveries

'

preventing
manufacturers*meeting the demand
for U
completely booked for the second earlier deliveries of women's suits.- & "
quarter with some sales noted into Some softening of cotton textile"
the third quarter of this year.
prices was noted by manufacturers
Activity in domestic wools in in offerings from secondary sup¬
the Boston market was dormant pliers.
last week due mainly to the cur¬
Food prices at wholesale dis-vtn
rent high prices of such wools and played
greater
strength
and^N
an
increase in the parity basis, reached their highest point since i
resulting in a further increase, Dec. 24. Liquor prices for the most - •
averaging 1 cent per pound, clean part were steady.
basis.
With consumption of raw
In
furniture
lines, sales de¬
wool maintained at a high level, creased
sharply below the prethere was continued
keen com¬ vious week due to weather ancl?
petition for wools in foreign pri¬ transportation difficulties.
!l ;!:
of

cotton

mary

textiles

were

reported

markets.

Retail

and

above

that
a

smaller

remained
of

Trade

—

While dollar

moderately

the

year ago,

than

are

from

According

Wholesale

retail volume declined frac¬

tionally in the week.

week

The

appliances continued^'1
the best sellers in thM'
durable goods line. High consumer'
selectivity was reflected in
volume of

steadily, influenced by continued
large Government purchases for
export and better demand by cash
and commission houses.

;;l

to^*'

to be among

current

winter

prices

was tempered
price resistance.

Electrical

export

freezing

sections

snow

in

broad

fears

temperatures
sufficient
result

Other factors in¬

continued

a

volume

year

Western
States.
Selections
of,
men's suits remained "limited
wi$t'
demand very high, but for shirts
consumer

it stood at $6.32, and marked a rise
of 1.8% for the week. At this time

$4.12.

Feb. 13 in the

$1,313,712,000.

there

and accessories it

Total

at

the low price was accepted.)

There

tion.

producing newsprint exclusively.
Paperboard output for the cur¬

a

of the amount

Wheat prices ad¬
to
new,
high

buyer in

figure recorded since Dec. 24 when

Low, 99.905, equivalent rate of
discount

the

week,

wholesale

High, 99.906, equivalent rate of

pre¬

according to the
American Paper & Pulp Associa¬

equiva¬

bids:

(72%

1946

week

Average price, 99.905

the

United States for the week ended
Feb.
1, was 104%
of mill
ca¬

like

and

corre¬

that

clines in the prices of some dairy:
products and vegetables and that'

gram

be

13

for

rep¬

pacity, against 103.7% in the
ceding week and 101.5% in

Feb.

com¬

the

fell

ample
in
almost
all
localities. %
Scattered reports last week indi-Jj

belief that the Government
would
re-enter the market as a

east

which

$1,300,000,000 or there¬
about of 90-day Treasury bills to
dated

level

on

volume

grocery.

the preceding week and stocks of
fresh fruit and vegetables were

year ago.

influenced

was

year

of the

Paper and

the

a

sharply

ground

but

correspond¬

The rate of return earned

tion

Secretary of the Treasury

sponding date

the

of 9.9%.

tenders for

"Among the durable goods in¬
dustries, substantial increases in

machinery

Bill

by curtailed rail

—

in

to
$6,357,550,666 compared with
$7,053,079,988 in 1945, a decrease

Result of

current

183.40

week

a

ply and prices weakened.

penses

announced

industries, i.e., food, tex¬
apparel and leather
re¬
ported shipments at about the
November dollar volume.

$819,284,724,

operating income and the net in¬

the

The

ex-officio member of the commit¬

heating

of

was

$849,228,195

net

are

such

Company, 3.64% in

President of the Association is

truck¬

use

tiles,

ues

B.

Trust

elected

were

industries.

sumer'

stocks

William

man¬

activity were factors in the larger
petroleum shipments.
The 'con¬

"The

National

Clearing House Committee.

the petroleum,

by

ing necessitated

than

Union

Commonwealth

group the major in¬
in the value of
shipments

were
reported
chemical
and

the

Bell,

The

with

233.95

brown

year

and

Mellon National
Company; Laur¬

Trust

and

pany,

ufacturing
creases

to

with

1946

property

Korb,

figure of 239.37

from

ber,

the

Secretary

earlier.

pound

mately

Phillips

tee.

group.

rentals

railways including materi¬
Bank; F. F. Brooks, Peoples First als, supplies, and cash, after de¬
National Bank and
Trust Com¬ preciation, averaged 2.74% in 1946,

the

than

industries

R.

4,

in the accounts for carry-back tax
credits. For the month of Decem¬

was

of

index

an

Feb.

domestic

amounted

Clearing 000,000.

O.

to

rose

strengthened

Taxes and

having

President

and

re-elected

was

creased

goods

income,

year

to

Treasurer.

those in

and

roads,

Net railway operat¬
before interest and

1946 would have been

Association,

During November shipments

able

interest

of

1945.

Na¬

declined

term

Vice

of

those

net income

come

re-elected

of

slightly greater for the

Association

the Colonial Trust Company,

increased $1.1 billion above the
October level, and inventories in¬
"The December increase in
dollar
value
of
shipments

the

House Association for 13 years.
C. A. McClintock, President of

about

of

Deposit

who

President

with

compared

Pitts¬

Braun, Chair¬

Farmers

another

been

same

in both

Inventories at the end of
UDecember were valued at
$300

November,

the

Bank,

serve

rmonths.

'.million

of

man

tional

daily wholesale
commodity price index, compiled
by Dun & Bradstreet,
Inc., which
on

^Retail

slightly below the high level ©£

cated

Commodity

mild upturn in the

1946

Jan. 17.

on

sum

use.

Wholesale

rentals, of the Class I carriers in

the Pittsburgh

He succeeds A. E.

increase of 27m On a
basis the increase was

of

For the year

ing

Chair¬

"Post Gazette," which added:

"December shipments were $200
^million higher than those in No¬

2%.

Vice

meeting

noted

was

rentals

$447,384,678.

Pittsburgh,

President

of

$20.2

and

after

burgh Clearing House Association

ing

in

1945,

Denton,

Co.

is shown.

American Railroads.

of the Mellon National Bank

man

&

reached

cars

railroads of the United states

terest

ill®

advices also stated:

inventories

111,750

the

ihe year ended Dec. 31, 1946, had
an. estimated net income after in¬

Huff,

S

months, the Oft ice of
Economics. Department

recent

above

95,495 cars, or 12.9%

carriers

to

of

an¬

increase of

an

1.6%)

(or

cars

Railroads

was

$287,000,000,
according to reports filed by the

during December but the

increases

This

Railroad Income for 1946—Class

The dollar value of both manu¬
facturers' shipments and manufac¬

inventories

American

preceding week and

tive Vice-President of the Miners

Rise in Mfrs. Shipments
And Inventories in Dec.

increase

of

13,087

of

freight for
Feb.
1, 1947,
cars, the Associa¬

revenue

ended

835,051

nounced.

of the Merchants National Bank &

turers'

of

week

Lancaster; George F. Roop, Presi¬ or 15.4% above the
corresponding
dent
of
the
Berwyn
National week for 1946.
Compared with the
Bank; Curtis D. Thomas, Execu¬
similar period of 1945, an increase

read:

Daily

the

pound of 31

per

Price Index—Aided
by a strength¬
ening in some of the leading farm
products last week, there was a

vanced

Railroad Freight Loadings—Car

the

the

Co.

foods in general

increase of 2.5%.
»

National

Vice-President

represents

price

teasily^ avaiFf}

frequently requested
and
millinery volume increased"
196,200,000 kwh. compared with
Volume of trading in
principal slightly. The demand for fur
coats:
191,300,000 kwh. for the corre¬ grain markets broadened
consider¬
was
spotty with numerous in¬
sponding week of last year, an ably last week.

Thompson, Jr.,

the

index

total of the

pares

loadings

Middleburg; Wallace

Robinson.

Riverside Drive

on

corresponding weekly

one year ago.

Decline occurred

hams, raisins, sheep, and lambs.

responding week of 1946, or an
increase of 2.5%. Local distribu¬
tion
of
electricity amounted to

Co-Chair-

as

Other members of the commit¬
prayer

four short,
symbolical but prophetic words
chiseled in cold stone over the en¬
trance to the silent Tomb of a

for

Deposit National

Pittsburgh,

Co-Vice-Chairmen.

fervent

most

great Warrior

that for the

period

Assistant Cashier of the First Na¬
tional Bank of McKeespQrt, are

paper

do

Output for the week ended
1, 1947, was 19.9% above

Feb.

ity-Philadelphia Trust Co., Phila¬
delphia; and M. A. Cancelliere,

man-made

Mankind's

Farmers

come

peace

to

Nations

and

the

Charters,
Leagues of

years

Pacts,

1, 1947, from 4,856,kwh.
in
the
preceding

headed

is

Bank,

ever

Atlantic

Kellog-Briand

treaties, have failed

week.

in

The

were* more

able than in previous
weeks.; '*■*■ **
v

steers and hogs.

week

Feb.

404,000

men; F. Travis Coxe, Vice-Presi¬
dent and Secretary of the Fidel¬

attainable, would guarantee
which

the

were

4,777,207,000 kwh. in the

ended

Consolidated Edison Co. of New
by W. W. Delamater, Assistant Treasurer of the York reports system output of
Land Title Bank and Trust Co., 203,100,000
kwh.
in
the
week
Feb.
Philadelphia;
and
W.
Howard ended
1,
1947,
compared
with 198,200,000 kwh. for the cor¬
Martie, Assistant Vice-President,

as

set

between Nation and Nation.
The simple observance of

to

of

Soviet

Electric Institute reports that
output of electricity declined

son

W.

Thomas, President
the Pennsylvania Bankers As¬
sociation, announced on Jan. 26
the personnel of the Association's
new
Publicity
Committee.
All
sections of State, with member
banks from all eight groups are
represented
on
the
committee,

directing
policies
Union.

modifies

(Continued from page 919)

0fPenn.6iankersAsSit.

"
"

--

Trade

Stalin, Molotov, Vishinsky, Gromyko and the 14 members of the
Politburo who with Stalin are

'

■

in

corresponding
the margin was
previous weeks.

to the Federal Re*-**4
Board's index, department"

serve

store

sales

in New

York

City for

the weekly period to Feb. 1, 1947,
increased
13%
above the same

period
with

last

an

year.

increase

This
of

t§|
*

compared':

17%

in

the

For the four
1, 1947, sales cautious
as
selections
became rose 20% and for the year to date i
more numerous and as many com- increased
to 23%.
\
Many shoppers

were

increasingly

preceding

weeks

week.

ended

Feb.

„

'M

?

v

'

926
/ 'I'M' r.'l.V

THE
•

•'

'/ft H-'"

|:

Federal Reserve December Business Index

Class I RRs. in 1946
On Property Investment Averaged 2.74%

The

Board of Governors of the Federal Reserve System issued
Jan. 29, its monthly indexes of industrial production, factory em¬
ployment and payrolls, etc. The Board's customary summary of busi¬
conditions

was

made public at the same time.

December, together with

month and

a

a year

ago,

The indexes for

follow:

The

Class

of the

railroads

I

United

States, which

represent a

total of 227,620 miles, in the year ended Dec. 31, 1946, had an esti¬
mated net income after interest and rentals of $287,000,000, according
to reports

BUSINESS
1939

average —100

1923-25

average

for

employment

Without Seasonal

Variation

Adjustment

1946
Dec.

Total

payrolls;

contracts;

100 for all other series.

—

Adjusted for Seasonal

Industrial production-

and

100 for construction

=

1935-39 average

filed by the carriers with the Bureau of Railway Econom¬
ics of the Association of American Railroads, and made public on
Feb. 7. For the year 1945, net income of those roads, after interest
and rentals was $447,384,678. The<$
Association
further
reported as District in 1946 had an estimated

INDEXES

factory

1945

Nov.

1946-—

Dec.

Dec.

•

Net

Indexes

Dec.

1946

net

follows:

Annual

1945

Nov.

1945

*179

182

163

*176

182

161

*170

203

*186

191

169

*184

191

167

*177

214

*209

213

185

*2C7

213

184

*192

274

*168

172

156

*166

173

154

*164

166

*136

136

133

*131

135

126

*134

137

Manufactures—

railway

income, after interest and ren¬
income, tals, of $60,000,000, compared with
of the $166,858,287 in 1945.

operating

before interest and rentals,

Those

1946 amounted

Class I carriers in

roads in 1946 had

same

a

net

t

139

108

t

125

86

t

68

railway operating income, be¬
fore interest and rentals, of $208,Taxes and net earnings for the 601,753, compared with $340,097,year 1946 are after taking credit 265 in 1945.
in the accounts for carryback tax
Operating revenues of the Class

Residential

+

122

56

t

118

48

t

26

All

t

credits.

152

150

t

130

117

t

102

Durable

Nondurable
Minerals

—

Construction contracts, value—
r Total

...

v„„
■'

other

to

with

$619,284,724, compared
$849,228,195 in 1945.

I railroads in the Eastern District

For the month of Decem¬

in 1946 totaled

t

291.4

226.2

t

288.4

$3,402,744,674, a de¬
for the crease of 9.6% compared with
year 1946 they amounted to $170,- 1945, while operating expenses to¬
000,000.
Both the net railway taled'$2,926,673,791, a decrease of
operating income and the net in¬ 7.6%.

Durable goods

t

320.8

240.0

t

366.6

come

Nondurable goods

t

262.7

212.7

t

211.9

1946 would have been

Factory employment—
*149.3

148.7

128.1

*149.6

149.1

128.4

*139.4

149.5

Durable goods

*172.1

171.8

141.4

*172.1

171.9

141.2

*156.6

188.5

Nondurable goods

*131.3

130.6

117.8

*131.9

131.2

118.4

*125.8

118.8

Factory payrolls—

i,

Freight carloadings
Department store sales, value—
f> Department store stocks, value

140

•

*Preliminary.

137

127

131

141

119

132

135

*274

272

219

>441

336

352

l264

207

*268

-

255

158

t

277

136

t

166

tData not yet available.

NOTE—Production, carloadings, and department store sales Indexes based on
daily
^averages.
To convert durable manufactures, nondurable manufactures, and minerals
Indexes to points
In total Index, shown in
Federal Reserve Chart Book
multiply
v durable by .379, nondurable by .469, and minerals by .152.
Construction

m.onth,

of

figures,
dential

<■

F.

contract

W.

shown

in

indexes

Dodge data for
Federal Reserve

by $184,137,000 and all

3-month

on

37

Eastern

moving

averages,
centered at second
To
convert
indexes to value

States.

Chart Book, multiply
other by $226,132,000.

jf.
Employment index, without
Bureau of Labor Statistics.

seasonal

adjustment,

INDUSTRIAL

total

and

by

$410,269 000,

payrolls index

resl

compiled

by

PRODUCTION

*'i:

(1935-39 average=100)

Adjusted for Seasonal

Without Seasonal

Variation
—1946—

-

.

MANUFACTURES

Dec.

'/Iron and Steel
f-"'FIg iron

*158

hearth

Transportation

177

164

174

164

t

174

164

*145

175

ti92

172

172

$192

172

*161

200

*158

177

164

*150

183

144

f 162

1404

293

371

$404

293

*321

434

271

232

*273

271

232

*240

343

*232

equipment

J162

235

217

217

*231

155

155

*139

167

.'/Stone, clay and glass products
'ns.'Plate glass
Cement
clay products
Gypsum and piaster products
tc
Abrasive and asbestos prod,
Textile and products
,r

*187

187

95

*159

180

*195

187

147

*155

204

155

140

*158

155

141

*133

173

142

92

*129

139

86

*131

109

135

72

*114

131

63

*122

98

*160

Furniture

95

147

*142

.Lumber

235

187

187

*158

products—

*232

*187

*195

*132

Lumber and

157

131

*160

157

131

*147

*192

164

*197

135

152

3

135

152

3

125

50

t

162

<

202

119

t

175

108

*154

97

*150

150

124

*155

155

128

*148

119

206

159

*216

219

182

*223

224

186

*204

177

*248

245

217

*248

245

217

*228

269

*160

173

143

*160

173

143

*161

146

Cotton
consumption
Rayon deliveries
>;nWool textiles

141

164

125

141

164

125

243

249

228

243

249

228

*240

131

149

t

181

149

*171

121

ill

t

122

111

*122

110

114

t

114

113

*109

t

121

131

t

125

131

*125

Tanning
leathers

147

Calf and kip leathers

t

91

92

t

94

90

*82

88

t

70

49

t

68

49

*57

56

t

145

132

*135

141

t

*128

and

lamb

leathers-

t

Shoes

?Z

:

t

Other

Tobacco

157

149

*149

150

*148

146

135

*132

163

155

*170

181

182

*130

143

*159

159

*157

*165

156

*158

162

138

*125

149

108

*158

112

138

172

104

156

87

109

131

87

112

95

192

216

139

177

221

128

204

170

products

72

81

63

83

t

*153

134

t

*153

134

175

143

168

175

143

87

84

86

85

85

*131

*130

112

*134

*135

64

57

132

73

139

164

154

84

85

80

114

*127

108

118

92

126

129

96

114

89

t

coal products—
refining

*177

*172

t

*177

*172

*173

236

___

'

Sas,0lin£

1

f

Fuel

OsV

15148

Kerosene

;(f..

«° e

15148

*148

140

*140

145

164

t

161

164

*168

167

122

t

147

122

*142

131

t
t

155
152

162
154

*169

131

*135

157

t
f

155
152

162
154

148

150

t

148.

------

150

*132

*253

274

286

*253

274

286

*269

322

*244

Chemicals

Rayon

140

161'

147

t

^

Byproduct
Beehive

; '

15148

t

t

oil

Lubricating oil

;-1F

243

230

*245

244

231

*236

284

*272

—

^Industrial chemicals

279

246

*272

279

246

*262

152

240

*417

411

378

*417

411

378

*394

392

*245

Rubber

243

205

*245

243

205

*224

215

MINERALS
FuelS

—

*

f

142

*130

116

142

*133

144

123

94

*121

123

94

*119

107

*147

petroleum

116

*121

Metals

140

*130

coal

Anthracite

Crude
■4

*141

-—

Bituminous

150

139

*147

150

139

*148

)46

us

108

*73

105

61

*88

101

___

___

t

174

50

»155

*108

/iron ore

1945, while operating expenses to¬
Eastern District

CLASS

Months

Twelve

—

___

"Preliminary or estimated.
§This

series

is

currently

137

*141

140

137

*142

143

operating

tData not yet available.

based

upon

man-hour

statistics

for

plants

classified

in

and is designed to measure productive
during the month in connection with assembly of passenger cars,
trucks,
trailers, a,nd buses; production of bodies, parts and accessories,
including replacement
parts; and output of nonautomotive products made in the
plants covered.
FREIGHT

132

/Coke

y; Grain
/Livestock

Net

railway

operating

Net

income,

after

=

100)

133

132

117

166

164

163

166

147

153

152

144

122

136

139

118

171

156

—.

151

106

139

148

133

the Office of Business Eco¬
nomics
of
the
Department
of
Commerce
said
in
a
year-end
summary
of economic develop¬
ments, made available Jan. 3.
With
the
liquidation of war
production, the trend of aggregate
output was downward into the
early part of the year, but ex¬
pansion characterized the situa¬
years,

creased.

Nevertheless, because
some

and war-deferred

segments re¬

demand

dividuals

and

outpaced

supplies.

of

by in¬
generally

business

the

relative

As

has resulted in

151

135

129

125

94

143

129

1G9

36

136

169

154

123

138

142

—81

83

74

78

84

71

79

available

tfln Federal Reserve Chart Book,
W tC?al avd

miscellaneous indexes to points in total index, shown
multiply coal by .213 and miscellaneous by .548.
'

insistent
a

was

sup¬

sub¬

This
price rise which
pressure.

retarded during the first half
of the year by price
control, but
was

which has accelerated in the lat¬
ter part of the year as controls

69

M■

to

conse¬

a

extraordinary de¬
to

172

45




in

re¬

quires a lengthy period of ad¬
justment, the combined current

146

139

total

$161

billion

in

salaries

includes

dividends, interest and
net rents, current and farm pro¬
prietors
incomes,
and
transfer
payments—the last item consist¬
ing of mustering out pay, veterans
pensions, unemployment compen¬
sation, payments to dependents of
armed

and

forces

creases

138

117

This

1945.

were

and

direct

relief

1946

outstanding
were

developments

outlined

as

follows

by the Department of Commerce:

segments of
showed
in¬
1945, except salaries
major

payments
over

The latter

wages.

somewhat

total was

lower than in

of the

cause

1945 be¬

cutbacks in military

and Federal civilian pay rolls.
In
private industry, payrolls were up

7%.

Wage

the

year

rate

increases

during

brought current
average weekly earnings of nonagricultural
workers
slightly
above the wartime peak.
The re¬
duction in the average work week
in manufacturing
from the ab¬
normal war-time level resulted in
some decline in weekly
earnings
have

for this segment. In

nonmanufac-

turing the average weekly earn¬
ings have advanced to a new high.
2.

Consumer

goods

and

expenditures

services

reached

record dollar total of $127
for

the

1946.

and

The Federal

Reserve Board

index of production of nondurable

goods

averaged
163
(1935-39=
This compares with an in¬

of

1945 when

166 in

military
significant part
and with 142 for

needs absorbed

of

the

total,

a

1941.

The

4.

production
experience
during 1946 was

of durable goods
more

than

uneven

that

for

non-

durables, but during the course of
the year, most peacetime products
exceeded the prewar level of out¬
put.
The
principal
exceptions
among

durables

consumer

were

automobiles, mechanical refriger¬
ators, and sewing machines. Au¬
tomobile

production

amounted
passenger

below

time

years.

ress

made

enger

rate

trucks.

the

best

This
peace¬

Still, the rapid prog¬
output of pass¬
during
the
closing

in the

cars

months

and

cars

well

was

during 1946
just oVer 3 million

to

of

the

brought the

year

about the average for the
1940 and 1941.

to

years

Total

the

employment

armed

from the

forces

including
reduced

was

peak, but the

war

ber employed in the civilian

shaply during the first

rose

omy

of

num¬

econ-1

the

and

year

has

re¬

mained

near

57,000,000 during the

second

half

of

the

year. This is
nearly 2,500,000 above the aver¬
age
for a similar period in the
wartime peak year. The absorp¬

tion
of personnel released from
military duty into civilian life has
in
general
been
accomplished
year

was

marked by an unusual number of

industrial

disputes, some
periods.

lasting

for extended

In several

6.

of the

areas

econ¬

better adjustment between
supply and demand factors is al¬

omy, a

have

not

been

backlog

lines!

remedied. But the

demand

of

even

for

houses^

automobiles, and major househol
appliances
has
scarcely
bee
dented, nor has the current pric
them

for

level

serious!

been

tested.

In

7.

time
one

achieving
own

peace¬

has

been

best customers. All

business

of

facets

record

business

activity,

of its

found

have

it

to expand and rehabili¬
tate facilities and stocks so as to
necessary

the

of

income

lifted."

The
in

All

production
of
food,
other nondurable
goods for civilian use reached the
highest level on record during
clothing

the present offering prices,
though shortages in some

and wages,

enlarged
flow
of
goods
through normal distributive chan¬
nels, as supplies for civilians in¬

173

130

with

compared

than in 1941.

more

The

3.

ready being achieved. The rising
supply of soft goods is encounter-;
ing some consumer resistance at

estimated at $164 billion

are

13%

individ¬

Income payments to

1.

price

Dept.

payments.

144

157

849,228,195
447,384,678

287,000,000

tion thereafter, said the Depart¬
ment, which added:
"Throughout the year there was

ject

148

79.26

619,284,724

charges)

uals

a
rough allowance for
changes, consumer outlays
in
1946 represented
about 10%
more
volume than in 1945, and

Making

822,311,475

The year 1946 was one in which^

134

148

•

(before

(estimated)

business activity, sales and profits
were
above
the
best
pre-war

130

145

.

income

charges

plies, the level of prices

117

162

Merchandise, J.c.l.„

7,053,079,988

83.35

cent

1946 Good Year for Business: Commerce

mand

155

Miscellaneous
f

6,357,550,666
498,573.630

Ration—per

had been avail¬
able. Part of the high level of
consumer
expenditures this year
is attributable to higher prices.

smoothly. However, the

1945

1946

expenses

Operating

quence

CARLOADINGS

(1935-39 average

/Coal

,/Ore

decrease Of

$7,627,313,394 $8,898,608,723

Taxes

192

tRevised.

?«aul0™°fclle and automobile parts industries

products

a

STATES

31—

revenues

Total

$2,550,111,694,

13.1%.

RAILROADS—UNITED

I

Dec.

operating

an

activity

'Forest

Ended

Total

conversion

J'

taled

Class I railroads in the Eastern

bought

have

would

if supplies

more

half

704 in 1945.

Operating revenues of the Class
1946, of which 18 were in the
Eastern
District,
seven
in
the I railroads in the Western District
in
1946 totaled $3,162,948,205,
Southern Region, and 11 in the
a
decrease of 19% compared with
Western District.

92

*145
.

120

Petroleum and

Petroleum

109

168

Paper and products

Paperboard
;;
Newsprint production
"Printing and publishing
iK; Newsprint
consumption

operating income, be¬
fore interest and rentals, of $318,-

136

131

Cigarettes
tobacco

net railway

132

169

products

Cigars
Other

a

railroads 059,524, compared with $391,009,-

I

almost double the 1945 total,

were

consumers

5.

roads in 1946 had

same

proportion of the consumer dollar.
Although
consumer
expendi¬
tures for durables, which are es¬
timated at $14 billion for the year,

1945.

in

154

*161

veg._

119

*150

136

109

and

*131

153

145

148

fruits

109

156

*161

foods__

*128

*147

manufactured

Processed

.

139

*156

Wheat flour

»Meatpacking
'«*

137

*150

/Manufactured food products—

and

interest

$234,817,960 in

Those

137

Goat and kid leathers

Sheep

Class

128

products
hide

with

interest and rentals

earn

estimated

an

after

rentals, of $194,000,000, compared

of 9.9%.

Thirty-six

income,

113

—

Cattle

net

$6,357,550,660,

failed to

1946 had

District in

peak year 1941.
The largest share of this increase
occurred in expenditures for non-^
durable
goods, which absorbed
more than their normal peacetime

dex

Class I railroads in the Southern

compared with
$7,053,079,988 in 1945, a decrease

117

t

to

143

t

correspond¬

made.

been

two-thirds

than

more

above the prewar

100).

Southern Region

amounted to $7,627,313,394, com¬
pared with $8,898,608,723 in 1945,
a decrease of 14.3%. Operating ex¬
penses for the year 1946 amounted

218

t

the year

and

Region in 1946 had an estimated
The rate of return earned on net net income, after interest and ren¬
property investment, after depre¬ tals, of $33,000,000, compared with
ciation, averaged 2.74% in 1946, $45,708,431 in 1945.
Those same roads in 1946 had a
compared with a rate of return of
net railway operating income, be¬
3.64% in 1945.
Net property investment is the fore interest and rentals, of $92,value of road and equipment as 623,447, compared with $118,121,shown by the books of the rail¬ 226 in 1945.
Operating revenues of the Class
ways,
including materials, sup¬
plies, and cash, and after deduct¬ I railroads in the Southern Region
in
1946 totaled $1,061,620,515, a
ing
accrued
depreciation.
The
earnings reported above as net decrease of 13.7% compared with
railway operating income repre¬ 1945, while operating expenses to¬
sent the amount left after the pay¬ taled $880,765,181, a decrease of
ment of operating expenses and 7.3%.
taxes, but before interest, rentals
Western District
and other fixed charges are paid.
Class I railroads in the Western
Total operating revenues in 1946
credits not

163

*203

487

approx¬

ingly reduced had these carryback

133

„

Leather

1945

144

§ Automobiles

,

Indexes
1946

371

Nonferrous metals and products
.Smelting and refining

0

Dec.

*273

/Electric

•Machinery

'

1945

Nov.

t

•«.

ftil °P®n

8

•

Annual

—1946—

Dec.

Dec.

172

—

bneteel

Adjustment
1945

Nov.

ber, such credits were
imately $71,000,000 and

for December

and

1945

Rate of Return by

on

ness

Thursday, February 13,1947

COMMERCIAL & FINANCIAL CHRONICLE

•'4/

J

year,

almost 20%

for
a

billion

above

handle the large

by

passed

plant

and

chinery
1941

demand. Expedi-

by producers for

tures

and

wide

a

ma¬

new

1946

in

sur¬

margin

both

1929, the previous peak

Outlays for producer dur¬
able
equipment reached nearlj
$13 billion, or almost double the
amount spent in 1945.
years.

inventories

Business

billion from the end of
is

by

crease
an

in

also

sharply—rising

creased

over

$(

1945. Thi.<

far the largest annual in
on record—indicating
tha

unusual

of

amount

curren

output during the year was usee
for rebuilding

ventories

at

business stocks. In
the

end

year

wer<

still unbalanced and low in rela
tion

to

the

accelerated
secon

half

volume
additions

were

sales

bul

during

th

of

closing the gap.

75TF

.Volume

165

Number 4568

Moody's Bond

v* r

T< ~ ™r

bond

prices

and

bond

yield

averages

Daily

„

Govt.

The

Averages
Feb.

Bonds

rate*

Aaa

Aa

A

Corporate by Groups*

Baa

R. R.

P. U.

Indus.

10

122.20

8

122.27

118.60

120.84

117.40

121.88

7

120.22

117.20

111.07

113.31

122.20

118.60

120.84

117.60

122.09

120.22

117.20

111.07

113.31

118.60

120.84

.

6

117.40

122.24

122.09

117.60

120.22

117.20

110.88

113.12

122.09

120.22

5

117.40

11C.38

113.31

122.27

118.60

121.88

120.22

117.40

110.88

113.31

122.27

118.60

117.40

3

120.22

117.40

110.88

122.14

113.31

118.60

117.60

120.63

121.88

120.43

117.40

110.88

122.08

113.31

118.80

117.60

120.63

121.88

120.43

117.40

110.88

113.31

122.08

118.80

117.40

120.63

121.88

120.22

117.40

110.88

113.31

118.80

120.63

1

Jah.

31
24

.

122.39

117.60

121.88

120.43

117.40

110.38

113.31

118.80

120.63

17

122.24

117.40

121.88

120.22

10

117.40

110.70

113.12

122.17

118.60

120.84

117.20

121.67

119.82

117.20

110.52

113.12

118.40

120.43

3

122.14

116.80

121.25

119.61

116.80

Dec. 27

110.15

122.17

112.75

118.00

120.02

116.80

121.04

119.61

20

116.80

110.15

112.56

121.92

118.80

119.82

116.61

120.84

119.20

116.61

109.97

121.92

112.37

117.60

119.82

116.41

120.63

119.20

116.41

109.97

112.37

121.74

117.40

120.84

119.00

116.22

109.60

111.81

117.40

29

121.55

1

116.02

109.60

111.81

117;60

121.04

119.00

116.02

109.79

112.00

117.60

121.46

119.20

116.41

110.15

li2.37

117.80

Dec. 17, by the Federal Reserve Bank of
New York. As compared
with a year before, the Nov. 30 total
represents an advance of

the

In the month to month
comparison

121.25

119.20

116.22

110.34

112.37

117.60

change and those figures based

121.04

119.20

116.02

110.15

112.19

117.60

119.82

116.41

on

DOLLAR

ACCEPTANCES

BY

1

Nov. 30, 1946

Boston

121.77

116.61

121.04

119.20

116.22

110.34

112.19

117.60

120.02

2 New York

121.08

116.61

121.04

119.00

116.61

110.15

112.37

117.80

119.82

3

Philadelphia

118.40

122.71

120.43

118.00

112.37

114.85

118.80

121.25

4

Cleveland

123.77

118.60

123.13

121.04

118.40

112.56

June 28

115.63

119.20

121.46

5

Richmond

124.11

118.80

123.34

121.25

118.40

112.56

May 31
Apr. 26

116.02

119.20

121.46

6 Atlanta

123.09

118.80

122.92

121.46

118.40

112.56

116.22

121.04

7

124.33

119.00

123.34

121.25

118.40

113.12

Mpr. 29

116.41

119.41

121.04

8 St. Louis

125.61

119.82

123.99

122.29

119.41

114.27

21—

117.40

120.22

122.09

9

Feb.

126.02

120.22

123.34

121.88

119.00

114.27

116.41

120.22

122.09

10

High 1947

122.39

117.60

122.09

120.43

117.40

111.07

113.31

118.80

120.84

1947_

119.00

122.08

116.80

121.04

119.61

116.80

110.15

112.56

117.80

120.02

126.12

119.61

123.34

121.88

119.00

114.27

116.41

120.02

114.27

119.82

118.40

114.03

105.6

109.97

114.08

$18,200,000
135,115,000
14,519,000

2,074,000

cerned

2,319,000
752,000

4,586,000

4,623,000
708,000

4,896,000
503,000
194,000

1,428,000

424,000
15,470,000

66,00

119.20

23,337,000

$208,213,000

$203,842,000

12 San Francisco

11,

1946—

Grand Total

Increase for month

'2 Years Ago

Feb.

10,

1945—

MOODY'S BOND
(Based
1947

U. S.

Govt.

Corpo¬

Feb.

Bonds

Aaa

Aa

A

Corporate by Groups*
R. R.

P.U.

Indus.

10

1.56

2.78

2.55

2.64

3.12

3.00

2.72

8

2.61

1.56

2.78

2.56

2.64

2.79

3.11

2.99

2.72

7

2.61

1.56

2.77

2.55

2.64

2.79

3.11

2.99

2.72

1.56

2.77

2.55

2.64

2.73

3.12

2.99

2.72

2.61

1.56

2.78

2.56

2.64

2.78

3.12

2.99

2.72

2.61

5
4

1.56

2.78

2.56

3.12

2.99

2.72

2.62

1.57

2.77

2.56

2.63

2.78

3.12

2.99

1

2.71

Domestic shipments
Domestic warehouse credits

$100,182,000
14,792,000

1,858,000

18,195,000
10,216,000

15,334,000

12,292,000

9,851,000
13,342,000

720,000

724,000

127,000

2.77

2.56

2.63

2.78

3.12

2.99

2.71

31

2.73

2.56

2.64

2.78

3.12

2.99

2.71

2.62

1.55

2.77

2.56

2.63

2.78

3.12

increase

be

may

6,350,000

considered

seasonal

8,212,000
since

as

_

24

2.64

2.78

2.99

2.71

2.62

Own

bills

$73,182,000

HELD

Bills

BY

Cf

ACCEPTING

been

Others

$81,520,000

Total

2.78

2.56

2.64

2.78

3.1.3

3.00

2.72

2.61

2.79

2.57

2.66

2.79

3.14

3.00

2.73

3

1.57

2.81

2.59

2.67

2.81

3.16

3.02

2.75

2.65

1.57

2.81

2.60

2.67

2.81

3.16

3.03

2.75

2.66

1.59

2.82

2.61

2.69

Days

2.82

3.17

3.04

2.77

Dealers' Buying Rates

2.66

%

2.78

2.67

13-

CURRENT MARKET RATES ON PRIME

af

$855,000

BANKERS ACCEPTANCES,

1.59

2.83

2.62

2.69

2.83

3.17

3.04

6

1.60

2.84

2.61

2.70

2.84

%

3.19

3.07

2.78

1.62

2.84

90

2.60

2.71

2.85

3.19

%

3.07

2.77

1.60

2.83

120

2.60

2.70

2.85

3.18

3.06

U

17,

1946

13

2.67

DEC.

Early Recall of Troops
From Abroad Not Likeljr

U

2.67

29

%

•

22

60

-

..

2.77

2.66

15

1.58

2.82

150

2.58

2.69

2.83

1%

3.16

3.04

2.76

2.65

1.57

2.82

180

2.59

2.69

2.84

3.15

1%

3.04

2.77

2.65

1.57

2.83

2.60

2.69

2.85

3.16

3.05

2.77

1.60

2.82

Sept. 27

1.65

2.82

Aug. 30

1.55

2.73

July

1.49

2.73

2.50

1.47

2.71

2.49

26

June 28

May

31

Apr.

26

2.60

2.69

2.84

3.15

3.05

2.77

2.60

3.70

2.82

3.16

3.04

2.76

2.66

2.52

2.63

2.75

3.04

2.91

2.71

2.59

2.60

2.73

3.03

2.87

2.69

2.58

2.59

2.73

3.03

2.85

2.69

2.58

1.48

2.71

2.51

2.58

2.73

3.03

2.84

2.70

2.60

1.45

2.70

2.49

2.59

2.73

3.00

2.83

2.68

2.60

Mar. 29

1.36

2.66

2.46

2.54

268

2.94

2.78

2.64

Feb.

1.33

2.67

2.49

2.56

2.70

2.94

2.83

2.64

2.55

volume

of

bankers'

month since

21

High
Low

10,

<j>

•These

(3%%
level

Illustrate

$

1946—

115,336,000

July

31

116,717,000

Mar. 30

Aug. 31

128,035,000

Apr.

30

168,879,000

Sep.

29

134,533,000

May

31

177,273,000

Oct.

29

in

1945—

31

134,592.000

Jun.

2.81

2.60

2.67

2.81

3.16

3.03

2.76

2.65

Jan.

31

129,743,000

Nov.

30

144,790,000

2.55

2.63

2.78

3.11

2.99

2.71

2.61

Feb.

28

126,269,000

Dec.

31

154,349,000

July 31
Aug. 31

2.67

2.49

2.56

2.70

2.94

2.83

2.65

2.54

2.94

2.66

2.73

2.95

3.41

3.17

2.95

announcement

May

31

104,356,000

Jan.

31

191,719,000
205.381,000

Feb.

28

206,848,000

the

199,827,000

31

provision of the

203,842,000

Nov.

166,352,000

106,893,000

30

208,213,000

166,852,000

1946—

by Secretary

restoration

mum

for

the statutory
two-year maxi¬
duty in certain foreign
of

stations."
The statute

was

one

are

more

movement

of yield averages,

Hsue of the

computed from average yields on the basis of one
"typical" bond
and do not purport to show either the
average
movement
of actual price
quotations.
They merely serve to
comprehensive way the relative levels and the relative

116,825,000

list

used

"Chronicle"

in

on

compiling

the

averages

given

was

in

The

the

Sept.

5,

1946

1321.

page

Census

report issued

November Portland Cement Output
Up 43%
Production of

RUNNING

finished portland cement
during November, 1946,
reported to the Bureau of Mines, United States
Department of the
Interior, reached 15,335,000 barrels, a figure 43% above that
reported
in November, 1945. There was utilized
78% of capacity and for the

(Counting round

as

barrels, however,

over

7,830,000

39% below that reported for the
corresponding
Mill shipments totaled
14,803,000 barrels
1946, an increase of 43% over that reported in Novem¬
ber, 1945. Clinker production reached 15,356,000 barrels in Novem¬
ber, 1946, an increase of 43% over that reported in
are

month of the previous year.
in November,

November, 1945.

Demand for cement in

November, 1946,

as

indicated by mill ship¬

ments, although less than the previous
month, remain relatively high

foreign service of troops in the
Philippines, the Asiatic station,
China, Hawaii, Puerto Rico and
on

growth of 1946 prior to Nov. 1, 1946, and

comparative statistics to the corresponding

as

date

in

1945 and

the Panama Canal Zone.

1944.

It

half bales and excluding linters)
1946

United States.

1944

5,151,873

587,993

729,095

porary emergencies." I
Mr. Patterson said these

8,282,768

862,632

Arizona

52,134

34,011

748,885

416,753

980,801

California

191,191

72,011

59,422

3,696

5,976

468,191
73

2,345
8,925

Illinois

Kentucky

will have no effect at this
time" for those troops and he then
added:

653,708

306

utes

9,800

425,107

Georgia

1,587

2,765

Louisiana

228,708

301,842

828,015

981,418

1,419,239

Missouri

152,617

43,581

"Troops stationed in areas not
listed in the act, such as Germany,
Austria, Italy, Japan, Korea, and
Alaska, were not affected by the
President's proclamation inasmuch
as they had never been within the

513,775

Mississippi

296,418

New

Mexico

92,010

43,984

38,168

trend.
Demand was higher in
all but two districts in the
continental United States than in Novem¬

234,589

207,805

Oklahoma

142,463

108,503

461,102
324,938

South Carolina

537,857

415,732

632,735

ber,

Tennessee

243,183

172,223

392,813

1,247,817

1,143,728
5,360

"tem¬

porary emergencies do exist in the
areas listed and therefore the stat¬

34,105

Arkansas
Florida

an excep¬

of War when necessary for "tem¬

1945

*5,724,926

Alabama

contains, however,

tion which provides longer service
in the discretion of the Secretary

BALES

State—

num¬

a

tion. It stipulates a two-year limit

Nov. 8, compiled from the indi¬

vidual returns of the ginners, shows as follows the number of bales
of cotton ginned from the

first time since February of this
year, stocks show an increase
the previous month's total. November
30, 1946, stocks of

on

of

ber which again became operative
with the Presidential proclama¬

Cotton Ginned from 1946 Crop Prior to Nov. I

the latter being the true picture of the bond market.

Jan. I

on

War

Oct.

30

dashed

Robert P. Patterson said
that "troops serving overseas will
not be affected for the present by

2.69

maturing in 25 years)

NOTE—The

of

Sept. 30

127,512,000

Apr.

average
a

An

162,790,000

128,944,000

June 30

prices

the

$

30
30

1.72

_

coupon,

or

1945

Nov.

Mar. 31

1945-

each

Dec.

1.32

1946

of

close

2.77

2 Years Ago

Fpb.

the

at

1.57

1 Year Ago

11,

outstanding

1.55

1947
1947

Feb.

acceptances

was

,

November, 1944:

1944

2.55

_

of hostilities

by the War Department, said an
Associated Press Washington dis¬
patch on that date appearing in
the New York
"Times," which
further reported:

The following table, computed by us, furnishes a record of the

2.65

occupation
had about

troops
getting
early because of President
Truman's proclamation of the~end

2.66

25

idea
have

home

it

1

Any
might

n

8

Obt.

responsibility the air
take," he said, "the less

more

can

agencies.. I believe that the tend¬
toward emphasis of responsi¬
bility should be in this direction."

4§

20

NOV.

lines

Dealers' Selling Rates

30_

27

'have the all-important
actually doing the flying

of

will be the load upon government

2.63

•

of

lines

in

$154,702,000

1.56
1.57

Increase for month,

question

ency

17

Dec.

18

BANKS

10

.

the"

job.'

6,496,000
have

against 4 decreases in the month of November.
Exports of cotton, flour,
machinery, radio equipment, general merchandise and the storage of cotton accounted
for a large part of the increase in the
respective classifications.
BILLS

Commerce

prepared statement, Mr.
told the Committee that

a

"The

there

1925

air
task

as

2.62

1.57

This
creases

the

the government's part in prevent¬
ing accidents includes drafting and
enforcing regulations, whereas the

Nov. 30, 1945

$154,203,000

2.62

1.57

3

Jan.

Oct. 31, 1946

22,614,000

2.61

6

"In

$152,337,000

Dollar exchange
Based on goods stored in or
shipped
between foreign countries

of

with

Wright

ACCORDING TO NATURE OP CREDIT
Nov. 30, 1946

Baa

2.79

$63,423,000

Imports

Corporate by Earnings*

rate*

Mr.

Administration, as¬
serting that experience had dem¬
onstrated
the
requirements
as
originally outlined proved "to be
very real."
From the Associated
Press we quote:

$144,790,000

Increase for year

Exports

AVERAGES

Avge.

Daily
Averages

YIELD

Individual Closing Prices)

on

$4,371,000

_

f

Aeronautics

"1 Year Ago

Feb.

requested.

of safety devices and
navigation aids may have been a
contributing factor in some plane
accidents.
Mr. Wright cautioned
them against Congressional cuts
in
appropriations for the Civil

1,686,000
1,540,000

2,841,000

5,044,000
25,545,000

had

velopment

$18,653,000
86,390,000
10,448,000

728,000

Dallas

government

whether insufficient funds for de¬
NOV. 30, 1945

3,999,000
6,277,000
1,063,000

Minneapolis
Kansas City

11

STATES

Oct. 31, 1946

$17,880,000
131,008,000
14,529,000

Chicago

122.29

121.59

OUTSTANDING—UNITED

CAA

Members

FEDERAL RESERVE DISTRICTS

Federal Reserve District—

1,576,371

and do not follow the usual seasonal

1945.

Increases

from

range

22%

in

Western Pennsylvania and West
Virginia
PORTLAND

CEMENT

IN

THE

UNITED

'

Period Ended Nov. 30—

Finished

139%

in

the

Texas

Virginia

area.
PUERTO

1945—Month—1946

Carolina

5,590

•Includes
RICO

AND

HAWAII

1945—11 Months-^1946

counted

in

the

171,641

supply

bale's
for

of

the

bales of the crops of 1945 and

the

of

1944.

10,705,000

Shipments

15,335,000

10.342,000

(Nov.

Capacity

These statistics in this report include
14,803,000

12,763,000

301

93,040.000

149,248,000

100,288,000

157,842,000

7,830,000

used

54%

78 %

47%

68%

Tuesday, Feb. 4
Wesdnesday Feb. 5
Thursday, Feb. 6
Friday, Feb. 7—
Saturday, Feb, 8
Monday, Feb. 10

1,200 bales of American-

Egyptian for 1946, 1,212 for 1945, and 2,336 for 1944; also included are
no

bales of Sea-island for

1946, 4 for 1945, and 1 for 1944.

The gin¬

ning of round bales has been discontinued since 1941.

Two

Clinker:

*

(Nov.

Includes

started

10,761,000
301

4,022,000

figures

reporting

15,356,000

in

for

Hawaii

May,

1945.

from




92,341,000

149,913,000

3,501,000

May

to

November,

inclusive,

New

checked against the
mitted

plant

first

by

mail.

Year

individual returns of the ginners being trans¬

The

revised

total

prior to Oct. 18 is 4,318,800 bales.

of

cotton

ginned

this

weeks

Month

The statistics for 1946 in this report are subject to revision when

Production
Stocks

the act."

Moody's Daily
Commodity Index

15,471

1946 ginned prior to Aug. 1 which was
1945-46, compared with 132,737 and 48,182

of

crop

season

scope of

cement:

Production

Stocks

STATES,

Alabama to

North

/

Committee,
which
has
been
searching for the causes and cures
of
airplane disasters, are con¬

119.61

BANKERS

for

Wright, it is reported, also had
figures to show that the Budget :
Bureau had consistently reduced
since 1940 the originally requested
appropriations.

The Reserve Bank's report follows:

25

LOW

the

shipped between

or

to November. In the yearly
analysis, all the items except those based on goods stored in or
shipped between foreign countries, were
higher on Nov. 30, 1946,
than on the corresponding date a
year ago.

B«Pt. 27
Aug. 30
July 26

122.92

goods stored in

foreign countries, decreased from October

120.02

122.14

exports, domestic shipments,
increased, while imports, dollar ex¬

and domestic warehouse credits

allotment

spending for civilian aviation safey, navigation and development in
1948
to
$92,271,100 — $21,619,000
less than the $113,890,000 which

$63,423,000.

120.02

116.61

121.04

to Associated
Washington advices, that
Budget Bureau had reduced

3ress
he

119.82

116.61

122.17

8

118.80

116.41

122.05

IIII

15

116.22

121.80

22

Oct.

Jan* 23, according

issued

119.61

fc:::
NOV.

of

survey

119.61

116.22

.

volume

bankers dollar acceptances
outstanding on
Nov. 30, amounted to $208,213,000, an increase of
$4,371,000 from the
Oct. 31 total,
according to the monthly acceptances

120.84

121.88

Aeronautics AdministraT, P. Wright disclosed to the
House Commerce Committee on
or

120.84

117.40

4

Civil

November30, $208,213,000

are

MOODY'S BOND PRICES

(Based on Average Yields)
Avge.
Corpo¬
Corporate by Earnings*

S

>rr. ~r

THE COMMERCIAL & FINANCIAL CHRONICLE

given in the
following table:

U

7* ~ " ~r;,■

Prices and Bond Yield Averages

Moody's computed

1947

c;

ago,

Jan.

Jan. 11
Feb. 11

ago,

ago,

1946

►

2

1947

High. Feb. 7
Low,

Jan.

Jan.

20

387.4

£390.8
—

28

—«

——-

24

Low,

season

High, Dec.

382.8
387.3
—,

390.1
5390.2
: 378.1

374.1
267.3
380.8

—

264.7
390.8

—371.5

t

fojlfr' r-*i^Vu*^

[

®

928

The total production of soft coal in the week ended Feb. 1, 1947,

estimated

by the United States Bureau of Mines, was 13,775,000
the highest figure recorded since 1926. It compares with
13,200,000 tons produced in the preceding week and 12,630,000 tons
in the corresponding week of 1946. The total production for the cur¬
rent calendar year to Feb. 1 was estimated at 60,795,000 net tons, a
gain of 4.5% over the 58,199,000 tons produced from Jan. 1 to Feb.

net tons,

2, 1946.
^

Production

of

Pennsylvania anthracite for the week ended Feb.
estimated by the Bureau of Mines, was 1,240,000 tons, an
42,000 tons, or 3.5%, over the preceding week. When
compared with the output in the corresponding week of 1946 there

1, 1947,

From Jan. 1 to Feb. 1, 1947,
there were produced 5,323,000 tons of anthracite, as against 5,400,000
tons in the period from Jan. 1 to Feb. 2, 1946.
The Bureau also reported that the estimated production of bee¬
coke

showed

in

the

United

increase

an

of

States

for

the

week

ended

Feb.

1, 1947,
with the output

6,800 tons when compared

for the week ended Jan. 25, 1947; and was 39,600 tons more
tft& corresponding week of 1946.
ESTIMATED UNITED STATES

PRODUCTION

than for

Feb. 1,

Bituminous coal & I'gnite—
average

2,296,000

♦Revised.

PRODUCTION

OF

1946

2,243,000

2,071,000

PENNSYLVANIA

ANTHRACITE

AND

Penn. Anthraciteincl.

140.8

139.1

106.8

166.0

166.1

129.7

Foods

154.1

155.9

157.8

156.4

106.7

Hides and leather products
Textile products

171.0

170.7

171.7

171.3

119.8

+

133.5

101.1

+

—

0.2

0.1

135.7

135.8

:

135.7

1.2

—

0.9

+

0.8

+ 27.1

44.4

1.5

+

0.2

+ 42.7

—

—

31.4

1.7

+

+ 34.3

98.3

97.0

85.4

0

+

1.5

+

Metals and metal products

138.3

137.7

136.7

134.2

105.8

+

0.4

+

3.1

+ 30.7

168.6

165.5

164.5

156.1

119.9

+

1.9

+

8.0

+

40.6

127.8

127.4

127.1

126.6

96.0

+

0.3

+

0.9

+

33.1

122.8

122.5

122.4

120.9

106.3

+

0.2

+

1.6

+

15.0

109.9

110.0

109.5

107.8

85.0

0.1

+

1.9

+

15.7

Raw.materials

152.6

152.1

153.3

153.1

118.9

0.3

+

28.3

Semi-manufactured articles

139.5

138.6

137.8

135.1

97.5

135.6

136.0

136.4

134.1

102.9

135.0

135.1

135.3

133.2

101.7

127.5

127.0

126.6

124.1

100.9

98.5

Feb. 1,

Feb. 2,

Feb. 2,

Feb. 6,

1946

1947

1946

1937

1,247,000

5,323,000

5,400,000

5,329,000

produc.

1,192,000

1,152,000

1,199,000

5,118,000

5,192,000

98.5

—

15.3

+

0.3

+

0.6

+

3.3

+

43.0

0.3

+

1.1

+

31.8

0.1

+

1.4

+

32.7

0.4

+

2.7

+ 26.4

—

—

—

5,063,000

85,000

546,300

411,000

339,100

PERCENTAGE

IN

CHANGES
JAN.

SUBGROUP

1947 TO FEB.

25,

INDEXES

+

FROM

1947

1

Increases

States

total.

124,600

117,800

♦Includes

washery

and

dredge

coal

tExcludes colliery fuels.

weekly carloadings reported by
ESTIMATED

and

weekly estimates

subject to

are

State sources

and

shipped

of

or

revision

final

truck

by

from

§Revised.

authorized

HEstimated from

receipt of monthly

annual

return

Other

from

the

carloadings

and

river

tonnage reports from

ship¬

district

0.3

1.3

and

Poultry

Metals

Cotton

Woolen

1.0

Materials

Steel

Hides and Skins

1.0

and

Livestock

COAL AND LIGNITE,

0.4

Plumbing and Heating

1.0

Building

Iron

Cement

1.7

Materials

Paint

Nonferrous

IN NET TONS
on railroad

based

are

on

3.0

and

Leather

WEEKLY PRODUCTION OF BITUMINOUS

current

and

coal

^Subject to revision.

10 railroads.

BY STATES,

(The
ments

Lumber

Paint

Operations.

Bituminous

0.2

Goods—

and

",i

Jan. 25,

Jan.

1947

Jan. 26,

18,

1947

0.8

Hosiery

0.5

Other Farm

Furnishings

0.5

Paper

327,000

Alaska,..,

7,000

7,000

6,000

Arkansas
Colorado
Georgia and North Carolina

Meats

and

and

52.000

46,000

43,000

190,000

194,000
1,000

1,000

1,535,000

1,560,000

1,563,000

Indiana

607,000

626,000

556,000

Iowa |swj,--,—
K'insadrand Missouri

38,000

42,000

45,000

126,000

134,000

135,000

1,235,000

1,177,000

1,144,000

453,000

442,000

0.1

Underwear

01
0.1

Kentucky—Eastern
Kjntufcky—Western
i£»yknd iyL

48,000

Michigan

46,000

2,000

Sldiifaha

(bituminous and lignite)

and

Vehicles

Other

Motor

Other Textile Products

0.8

Shoes

0.5

Cereal

0.4

Grains

Foods

Vegetables

Products

Dairy

0.3

—

0.3

0.2

-

♦Based

bo

the

on

70,000

are
those charged by
manufacturers or producers or are those prevailing
commodity exchanges.
The weekly index is calculated from one-day-a-week prices.

prices
on

It

is

designed as

indicator

an

week-to-week

of

changes

and

should

be compared

not

directly with the monthly Index.

Ohio.-J—.

729,000

804,000

78,000

82,000

72,000

3,073,000

3,096,000

2,726,000

163,000

150,000

156,000

2,000

2,000

2,000

190,000

182,000

159,000

415,000

422,000

395,000

Pennsylvania

(bituminous)

Tennessee
Texdslfbituminous and lignite)

UM t—
v.-.rglnia
Washington

Boston

law

Cool-

idge, and Rugg; Robert Coltman^,
Assistant Vice-President in charges
of

the

Department^

Investment

Provident Trust

Co., Philadelphia^
Pa.; Carlisle R. Davis, Vice-Presi^
dent,
Secretary,
and
Gashter*
State-Planters

Bank

and

Trash

Co., Richmond, Va.; J. R. Dunktes*ley, Deputy Manager of the Am®*
ican Bankers Association and Sec-

of

its
Savings Division;
Marchant, Treasurer of
The Bank for Savings in the City
of New York; Joseph E. Morris*
Vice-President in charge of the
Investment
Department,
City
Bank
Farmers
Trust
Co., New
York; George O. Nodyne, Assist
retary

Robert F.

Vice-President

and

Director

of

Personnel, East River Savings
Bank, New York; Richard Rapport*

Commissioner
Connecticut

of

the

of

and

Firsk

Vice-President, National Associa¬
tion of Supervisors of State Banks;
F.

William

Schroer,

Vice-Presi¬

Mississippi
Valley
Trust!
Company, St. Louis, Mo.; HowarcS

B.

Smith, director of Research ins

Donald

Bankers

B.

Association;

Second!

Woodward,

Mutual Life
Insurance Co. of New York; and
Paul I. Wren, Vice-President, Old
Vice-President, The

Colony Trust Co., Boston, Mass.
The resident session at Rutgers
beginning

Commodity

The

of The Gra¬
Banking. The new

year

duate School of

class

freshmen

Price Index Continues to Rise

added

to

the two

will make the
largest enrollment that the school
returning

weekly wholesale commodity price index compiled by The
Fertilizer Association and made public on Feb. 10, rose to

National

twelfth

the

of

National Fertilizer Association

787,000

G/jlAhoirta

(lignite)

the

Gray, Best,

next June will mark the

73,000

Dakota

Ropes,

American

3,000

75,000

North and South

of

0.1

BLS

in

distinguished

30,000

35,000

of

member

firm

Real Estate and Mortgage Finance*

weekly index of prices of about 900 commodities which
the general level of primary market prices.
This index should
from
the daily index of 28 commodities.
For
the most
part,

changes

measures

94,000

34,000

New Mexico

and

0.1

Products

55,000

2,000

104,000

94,000

Casner, Profes¬
University

dent,

464,000

Illinois

A, James

are:

Stonier,,

The twelve

of Law at Harvard

sor

State

Products

2.7
Feed

Fruits

137,000

1,000

announced by Dr. Harold

Banking

Pulp

2.3

Cattle

1946

385,000

Rutgers University, New
Brunswick, N, J., June 16-28, it is

0.1

Decreases

383,000

faculty of The
Banking to

of

session at

0.2

Goods

Week Ended-

State-

the

to

School

have

lecture at the school's 1947 resident

0.2

Worsted

Coal

Chemicals

operators.)

Alabama

Graduate

tant

Beehive Coke—

fUnited

been added

-

members

new

Special Groups—

Farm products and foods

1,198,000

1947

+

0.4

All commodities other than

1,240,000

1947

0

+

1946

1947

1947

All commodities other than

fuel

coll.

tCommercial

140.3

164.2

Farm products
-Calendar Year to Date-

§Jan. 25,

140.3

164.8

2-2

1- 4

1-25

Farm products

COKE

(In Net Tons)

>!

2-2

1946

All commodities

58,199,000

2,105,000

2,200,000

Week Ended
tFeb. 1,

1-4

1947

1947

1947

1947

1-18

1-25

2-1

Commodity Groups—

Housefurnishings goods

Feb. 2,

1947

60,795,000

12,630,000

tSubject to current adjustment,

ESTIMATED

Feb. 1,1947 from—

Manufactured products

tFeb. 1,

Feb. 2,
1946

1947

13,200,000

Twelve

men

Percentages changes to

Miscellaneous commodities

Jan. 1 to Date

"Jan 25,

1947

13,775,000

including mine fuel...

♦Total

1947

Chemicals and allied products

LIGNITE

Of Graduate School

(1926=100)

Fuel and lighting materials

COAL AND

Week Ended

Daily

1,

Faculty Members

director of the G.S.B.

GROUPS

COMMODITY

FEB.

ENDED

WEEK

FOR

BY

PRICES

WHOLESALE

IN

Building materials

BITUMINOUS

OP

(In Net Tons)

Total,

CHANGES

of

decrease of 7,000 tons, or 0.6%.

a

hive

week, retroactive to Jan. 1. There also
Babbitt metal and solder. Short sup¬
plies and rising costs were responsible for sharp increases in vegetable
tanning extracts, and acetic acid quotations advanced. Boxboard prices
continued up with short supplies.
Cattle hides and skins recovered
somewhat during the week as supply became more nearly balanced
with demands.
Higher raw material costs were reflected in price
advances for rayon underwear, woolen yarns and woolen blankets."
advanced about 10% during the
small increases for copper,

New

were

as

increase

v/as

by a reduction of cash discounts. Higher metal costs raised
prices for cast iron pipe. Millwork prices continued to rise and there
were
increases for window glass. Quotations for iron ore were
caused

Ufeekfy Goal and Coke Production Statistics
as

Thursday, February 13, 1947

THE COMMERCIAL & FINANCIAL CHRONICLE

191.8 for the week ended Feb.

8, 1947, from the level of 189.4 in the
preceding week. This is the second consecutive week in 1947 that
the index has risen and it is now higher than at any time since

28,000

26,000

25,000

tWe^t Virginia—Southern

2,553.000

2,552,000

tW^sf Virginia—Northern
Wyoming

2,314,000

367,000

910,000

963,000

173,000

250,000

at

1,000

1,000
as

100.

13,270,000

faculty will bring to the Rutgers

next June somewhere ir*
neighborhood of 1,000 men.

campus

30, 1946, when it stood at 192.0. A month ago the index stood
191.3 and a year ago at 142.0, all based on the 1935-1939 average

13,200,000

the

with

together

body

The

existence.

its

in

had

has

student

Nov.

220,000

classes

SOtliqr Western States

12,525,000

tIncludes operations
pn the N. & W.; C. & O.; Virginian; K. & M.; B. C. & G.; and
on the B. & O. in
Kanawha, Mason and Clay Counties.
tRest of State, including the
Eppnandle District and Grant, Mineral and Tucker counties.
SIncludes Arizona and

Orpgon.

"Less than 1,000 tons.

while

nut
,

'9f!

•

"Lower prices for foods offset
price advances in most other com¬
modity groups during the week ended Feb. 1, 1947 with the general
level of primary market prices
unchanged," according to the Bureau
of Labor
Statistics, U. S. Department of Labor, which on Feb. 6 stated

o^Bure^u

s index of commodity prices in primary markets stood
api40.3% of the 1926 average, 0.9% above a month earlier and 31.4%

above early Feb. 1946.

The Bureau's advices continued:

advanced

0.4%

during the week but

were

still

farm prod¬

0.8%

below

a

month earlier.

Market prices for calves,
hogs, sheep and live poultry
roisk With light shipments but
declining prices for dressed beef caused

Lp.Wer quotations
mixed
p.

market.

on

cattle.

Grains averaged

Large supplies

ices and citrus fruits.

fractionally lower in

a

responsible for declines in egg
On the
average, farm products were 27.1%
were

The increase in the farm products
week ago was greater than for any

butter, cheese

and

powdered

milk.

Wheat

down except in those
markets where the government

export.

Generally ample supplies

prices of most types of meats.

flour

was

buying for

was

responsible for

were

higher prices for cotton, grains, eggs,

group;

stock, poultry, and hay
cottonseed

were

meal and

commodities

cellaneous

textiles

group

paper

group

to

advanced slightly.

caused the index for the mis¬

rise

bran, and

declines

although

middlings.

An increase

prices for coffee and quotations for olive oil

were

down.

above

a

in the

sodium phosphate and creosote oil.

declined;
the

in

second

the

preceding week

24 advanced

"K

were

January, 1947 and 44.4%

T

t




..

■

-

>

declined;

in

WHOLESALE

COMMODITY

PRICE

Latest
Each Group

Week

Bears to the

Group

Feb. 8,

Total Index

Fats

Farm

Oil

1946

1947

1947

211.1

216.2
270.4

146.6

163.1

387.5

341.9

229.4

229 2

169.1

300.8

316.3

241.7

387.5

205.9

Miscellaneous

199.9

230.4

226.7

157.5

157.6

157.6

129.3

153.6

154.3

213.3

216.6

142.4

142.3

142.2

110.2

Building Materials

213.2

213.0

215.6

160.4

Chemicals and

155.0

Textiles

Metals

-

before the

on

160.4

154.7

153.3

127.0

.3

Fertilizer

125.5

125.5

125.7

.3

Fertilizers

131.9

131.9

129.6

119.8

Most commodity groups showed

.3

Farm

Machinery

124.3

124.31'

120.8

105.2

building materials, up 1.9%. Pighigher and there were increases for

130.0

groups combined

191.8

189.4

191.1

142.0

it

a

his

of

American foreign policy.

Associated
Press
dispatch of Jan. 22,
committee members
said that it would be all right if
he did not find it convenient to
However,

an

Washington

stated,

some

testify until after the Big Four
Foreign
Ministers'
meeting at

Associated

The

officials and

"While Washington

generally appeared as

diplomats

wide

as

members of the For¬

Commitee to leam

Marshall's views on a
of

range

Marshall

problems,

Gen.

it

clear

made

himself
intends

he

that

he

until

Press

said:

to

say

has 'studied

of

his

nothing

thoroughly
task. He

the

nature

did

indicate in general, however,

that

regards

he

new

the

policies

of

former

Secretary Byrnes as those

of the

government and not of am

individual and that he will con¬

118.2

point

give

outline

comprehensive
views

committee, at
and

convenience,

133.9

154.1
214.6

8.2

Commodities

200.7

157.5

2

his

169.7

238.8

Grains;

Marshall, invited Gen. Marshall to
appear

140.9

278.6

309.5

Fuels

10.8

9,

236.3

Products

Cotton

17.3

Year

Feb

280.7

Oils

Cottonseed
23.0

Jan. 11,

213.8
and

Secretary of State, George C„

Ago

Ago

Fib. 1,

1947
Foods

25.3

to

new

eign Relations

Preceding Month

with the

fully

cooperate

sire

Secretary

Week

Foreign

of

Chairman, while stressing its de¬

interested

INDEX

1935-1939=100*

for all commodities other
a

other paint materials. Advances for
radiators and bathtubs

-'b./'Sw-J

17

Relations
which
Senator
Arthur Vandenberg (R.-Mich.) is
Senate

The

Committee,

further

preceding week 15 advanced and 20 declined.
WEEKLY

Small in-

average food

0.4% during the week to

rose

20:4% above early February, 1946.
increases during the week, led by

fnents still in short supply

and

Pledges

Marshall Cooperation

Moscow.

price of bunker oil caused the fuels index to fall slightly.

6.1

Commodities—Average prices

A decrease

During the week 26 price series in the index advanced and four

7.1

than'farm products and foods

some

in

the price of steel

The index for chemicals and drugs advanced because

previous week.

of price increases for

year ago.

' Other

.;

week

in

the

for

index

The

were

Higher prices for lead, white, in oil caused the index for the

group.

Livestock

pepper and salt. On the

prices Were 1.5% below the first

prices

lower

wholly responsible for the rise in the index of the metals

scrap was

in

Sales of army surplus
supplies lowered

Croas^ occurred for lard, black

live¬

Higher prices

responsible for the rise.

book

for linseed meal,

quoted

a

Compiled by The National Fertilizer Association

group index for foods declined 1.2%
during the week with
prices in all commodity groups. Additional
price declines were

for

from the level

advanced 1.3%

of 3.2% from the level of

abbVe the corresponding week of
last year..

reported

group

building materials group to advance slightly from the level of the

Products and Foods—Average market prices of

;toj

ucts

The foods

of the composite groups advanced

previous week because of higher prices for cocoa, lard, cocoa-

other composite

for

seven

oil, and veal, lamb and pork.

group

Average Wholesale Prices Unchanged in Week
Ended Feb. 1, Labor Department
Reports*

declined.

one

of the

Senate Group

The Association's report added:

During the past week

the

-

I

'

-

+ V-

-

•

•

1.3

*

Indexes

Feb.. 9,

were

r

1946,

Revised.

All
on

1926-28

110.6.

Drugs

Materials

base

were:

Feb.

8,

1947,

149.4;

Feb.

1,

1947,

147.5;

and

tinue them.
"There
this

time

is

nothing I can say at

regarding

matters that

pertain to my position in the

State

Department,"

Secretary Marshall

told reporters

and photographers.

"f-.

k

4

»

,i

.Volume 165

Number 4568

viQ:-; ii'

.;.

'

'

-

■

":''*

.':

•

■

■

Trading

1, 1947, was
4,650,150 barrels, a decrease of 21,400 barrels per day from the
pre¬
ceding week. It was, however, a gain of 40,950 barrels per
day over
the
corresponding week in 1946 and 10,150 barrels in excess of the
daily average figure of 4,640,000 barrels estimated
by the United
States Bureau of Mines as the requirement for the month of

Short sales

ended

Feb.

lot

1, 1947, averaged

whole

as a

to stills

ran

on

1,996,990 shares,
On the

mately 4,783,000 barrels of crude oil daily and produced
14,610,000
barrels of gasoline; 2,071,000 barrels of
kerosine; 5,660,000 barrels of
distillate fuel, and 8,516,000 barrels of

residual

fuel

oil

1947; and had in storage at the end of that

100.579,000

of

barrels of

barrels

finished

and

unfinished

kerosine; 48,131,000 barrels of

gasoline;

distillate

week

shares

DAILY

•

AVERAGE

CRUDE

B. of

OIL

M.

PRODUCTION

13,538,000

Week

IN

Change
Previous

1947

Week

Jan.

1

52,100

Feb.

49,700

100

+

100

7,650

+

300

5,750

4,350

2,400

3,300

195,650

28,000

27,700

46,000

43,700

800

t700

450

17,550

196,100
28,200

43,500

44,350

650

750

270,000

f284,700

375,000

362,400

1,700

t365,150

District

I

254,250

-Other

33,700

301,000

Dist.

301,000

VI

District

99,450

District

VIII

District

IX

District

_

X

North Louisiana
Coastal

'■

—

Arkansas

446,426

288,850

408,300

368,650

Total Round-Lot

76,000

81,909

__

Mississippi

109,000

93,000

Montana
Colorado

700

§842,000

States., 4,640,000

1,350

106,200

300

+

4,650,150

"These
(based upon

Bureau

are

above)

21,200

they

4,619,150

4,609,200

5,050

±

63,100

several

is

the

net

fields

basic

and

which

allowable

as

exemptions

were

are

of

for

for week

Jan.

the

1

ended

7:00

calculated

entire

on

month.

a

31-day

With

the

30,

the New York Curb
Account of Members*

on

for

ENDED

JAN.

18,

basis

CRUDE
AND

RUNS

TO

of

Conservation

Committee

of

California

Oil

are

1

Figures

i

in

estimate

of

I

this

section

include

the floor-

;

unreported

amounts

Bureau

Crude Runs

of

and

Mines

and

are

at Ref.

Unfin.

Inc. Nat.

Gasoline

Blended

Stocks

Av.

erated

therefore

on

a

basis

of

Kerosine

tStks

Gas Oil

of

& Dist.

713

District No. 1

4,300

76.3

85.0

1,944

21,495

6,618

Oil

333

16,772

for
247,900

103

72.C

306

2,637

62

100.0

216

956

28

65

88,5

2,617

19,515

1,217

4,218

Okla., Kans., Mo

78.3

405

3,109

86.4

1,426

9,819

586

Inland Texas

59.8

218

1,870

66.1

1,217

1,029

4,046

241

Texas Gulf Coast

378

756

89.2

1,127

91.9

3,394

15,829

Louisiana Gulf Coast,

2,378

97.4

9,175

361

112.5

5,389

1,100

55.9

3,189

57

t5.2

169

2,029

326

577

16

33

126

76.4

422

2,444

115

427

539

85.5

832

83.7

1,985

15,307

580

10,920

27,002

California

B.

basis Jan.

Total U.
Feb.

2,

S.

of

113

37

of

85.8

4,783

86.1

14,610 *100,579

48,131

47,947

total round-lot

volume

on

the

are

included with "other sales."

4,820

86.7

on

we

give below:
SUMMARY

BY

FEDERAL

RESERVE

DISTRICTS

(In millions of dollars)

Dec.,
Federal Reserve DistrictBoston

unfinished

stocks




Dec.,

Dec.,

1945

1946

1945

4,461

4,767

12,464

48,062

115,231

4,585

12,015
120,060
11,333
15,189
9,533

6,629

50,357

48,558

28,920

34,485

Minneapolis

8,665

13,747

40,822

35,558

2,633

8,766

7,218

1,775
2,873
2,742

6,289
9,858
9,184
26,614

7,296
22,628

281,876
106,253
146,071
29,553

262,594
112,266
126,035
24,293

2,075

Kansas City
Dallas
San Francisco

9,256

Total, 334 centers
•New York

10,884

3,537

Chicago

8,310

3,204

3,326

14,339

11,187

3,170

99,801

1102,574

18,256

3,451

3,778
14,766

14,624

4,312
5,825

3,839

Richmond

St. Louis

4,501

Dec.,

1946

44,473

New York

13,301

M.

gasoline stocks of 7,928,000 barrels,
tlncludes unfinished
of 8,226,000 barrels.
JStocks at
refineries, at bulk termonals, in
transit and in pipe lines,
§In addition, there were
produced 2,071,000 barrels of
kerosene, 5,660,000 barrels of gas oil and distillate fuel oil and 8,516,000 barrels
of residual fuel oil in the week ended Feb.
1, 1947, compared with 2,266,000 barrels,
5,630,000 barrels and 8,224,000 barrels, respectively, in the
preceding week and 2,191,000 barrels, 5,661,000 barrels and 8,552,000
barrels, respectively, in the week
ended Feb. 2, 1946.
,

gasoline

ing

quota

a

harsh
of

or

on

imports of short

rough cotton.

The quota

70,000,000 pounds annually -ap¬

plies

to

having

a

harsh or rough cotton
staple of less than threo-

quarters of 1 inch in length said
Associated
Press
advices
from

a

The Board of Governors of the Federal
Reserve System issued
Jan. 10, its usual
monthly summary of "bank debits" which

Atlanta

85.8

February 3, President Tru¬
signed a proclamation impos¬

Washington, which further

Cleveland

13,538

i'»•/•.
-

On

Bank Debits for Month of December

Philadelphia

1946

_*Includes

31

M.

25, 1947B.

69.2

of M.

basis Feb. 1, 1947—
B.

9

loan'asso¬
$4,910."

gag—

New Cotton Quota ^,1

3 Months Ended
19.0
70.9

average, loan

was

,

63,473

Rocky Mountain—
Other Rocky Mt.—

repair|t§4Miill

i

"other sales."

241

New Mexico

new

by savings and

0

man

100

tfo. La. & Arkansas..

of

for

for

ciations in 1946

63,473

1,741

S.

16.48

was

The

was

loans.

made

regular and associate
Exchange members, their
partners, including special partners.
these percentages the total of members'
purchases and sales is

6,197

1,071

507

loaned

refinancing existing loans; and

other

196,350

§Sales marked "short exempt"

140

End., 111., Ky

construction

$195,025,173

$14,800,685

20,395

Oil

770

the

amount

1948, $28,760$pl

thte
purchase of homes; $14,516,14&was

4.56

216,745

total

the year

homes;

Exchange for the reason that
Exchange volume includes only sales.
tRound-lot short sales which are
exempted from restriction by the Commission's
are included with

6,868

84.7

the

for

was

37,060

Fuel

87.4

.

District No. 2

Total U.

''Of
during

99.5

Appalachian—

S.

■■

1.65

41,360

the

State of New York^setea
all-time high record M

representing more ,;th&rt
the amount of $121,363,498
loaned in th£: previous
y£qr,j#945.
The
gtate: o > a

"members" includes all

twice

sistoeii

102,007,

63,841

rules

Resid.

Fuel

their

reg&Vtted

twice

calculating

compared with
the

JStks. of

JStocks

to Stills

Report'g

last Coast

Product'n

Daily % Op-

Refin'g
Capac.

Total U.

10.27

26,450

Total sales
term

long position

Ion V. Woodard, Executive
V&g'y
President'of the New York^State
League of Savings and Lod#W$y
sociations, these institutions .pj&d'e
51,538 loans for a total of- $253,«

87,180

Total purchases

tin

a

odd-lot*Or'-

of mortgage loans
mad&^ring the year 1946.
Accordiinginto
figures recently issued by

22,150

5Customers' other sales

an

customers'

the

new

4,300

Total sales
Odd-Lot Transactions for Account of
Specialists—
Customers' short sales

•The

plus

are^e-

exempt"

sales."

offset

Savings and Loan Associq'
in

19,925

tOther sales

firms and

totals

"short

"other

it

137,140

1947

SGasoline tFinished
% Daily

District—

(Shares)

148,935

Producers.

reported

to

NY Savs.-Loan

17.89

11,795

-

marked

with

284,970

Exchange; tad Stock

140,795

on

131,430

shares

alonLJA

registered—

Short sales

FUEL,

OIL, WEEK ENDED FEB.

of

ume

Total purchases

C.

sales

ders, and sales to liquidate

1,410,090

Total sales
4. Total-

STILLS; PRODUCTION OF GASOLINE; STOCKS OF FINISHED
GASOLINE, KEROSINE, GAS OIL AND DISTILLATE
RESIDUAL FUEL

0

131,430

which is less than a round lot are
with "other sales."
'<
•
?

l,382^535

Short sales

of

(Figures in thousands of barrels of 42 gallons each)

I

"■Sales
tSales

4.21

27,555

tOther sales

exempted

UNFINISHED
AND

Total

Number

Total for Week

____

and

exception

$18,588,

Round-lot Purchases oy Dealers—

1947

Total sales
3. Other transactions
initiated off the floorTotal purchases

1947.

entirely and of certain other fields for which
ahutdowns were ordered for from 9 to 13 days, the entire
state was ordered shut down
for 9 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 9 days shutdown time
during the calendar month.
§Recommendation

2.08

1,211,530
Stock Sales

tOther sales

60,200

Jan.

a.m.

value

Short sales
tOther sales

of

fOklahoma, Kansas, Nebraska figures
shutdowns

sales

11$95

500^37

Round-lot Sales by Dealers—
Number of Shares:

1,019,148
217,280
994,250

2. Other transactions
Initiated
Total purchases

Mines,calculations of the requirements of domestic crude oil
certain premises; outlined in
its detailed
forecasts.
They include the
that is moved in crude pipelines.
The A. P. I. figures are crude oil
only.
As requirements may be
supplied either from stocks or from new
production, con¬
templated withdrawals from crude inventories must be
deducted, as pointed out by
the Bureau, from its estimated
requirements to determine the amount of new crude
to be produced.

tThis

total

Dollar

11.60

248,360

Total sales

condensate

includes

sales

43,130

tOther sales

22,500

+

sales

233,488

Short sales

840,500

21,400

310

o:«ol-

short

152,570

Total purchases

19,050

36,800
883,550

65,900

18^03

other

21,370
131,200

Short sales

^•Pennsyly^ia Grade (included

17^699

pales

Customers'

Total sales
B. Round-Lot Transactions for
Account of Members:
1. Transactions of
specialists in stocks in which

97,750

2,200

—

sales

Customers'

the floor—

tOther sales

400

— 17,800

—

„

sales____

total

"■Customers'

767,470
on

A. Total Round-Lot Sales:

98,000

450

50

—

882,400

650

103,000

35.000

838,000

Total United

50

20,700

33,000

_

California

56,750

+

104,750

24,000

_

77,050

86,400

103,000
450

Wyoming

72,650

100

850

98,000

Mexico—Other.f

short
other

Number of Shares:

106,650

WEEK

—

800

+

86,500

2,000

—

New Mexico—So. East)
New

73,200

62,000

Alabama

(Customers' sales)

679,010

Transactions

"

1.050

627,910

$25,429,981

152,780

79,800

407,700

-22,038

'

'

Dollar value

>x

Short sales.

382,000

>

Number of share3

291,490

2,036,850

313,650

Total
For Week

orders

"'Customers'
Customers'

Total sales.

94,650

of

X

-

(Customers' purchases)
Number

City

*140 other centers
193 other centers

,

8,186

12,323

5,122
7,977

stated!:
"The White House action amends
proclamation of Sept. 5, #939,

limiting the quantities of
cotton

101,577

41,252
52,295

45,035

47,774

10,348

8,767

•Included in the national series
covering 141 centers, available

beginning in 1919.

cotton

waste

certain
which

might be imported, but exempt¬
ing harsh or rough cotton.| <T0day's order grew out of- hear¬
ings last fall by the United States
Tariff Commission to determine
whether the short harsh or
roufeh
cotton

importations threatened-to

injure the domestic producer. On
the basis of the commission's rec¬
ommendations the President pro¬
claimed:

"That

the-

total
quantity of
rough cotton haying, a
staple of less than three-quarters,

harsh

or

of 1 inch in length which might Tie
or withdrawn from ware-v

entered

house

103,894

and

for
consumption, in the
commencing Sept. 20, 1946,;
and in any subsequent year com¬
mencing September 20, shall not
exceed 70 million pounds.
year

•

^ '

Customers'

82,050

1,050

J,

,

1947

Number of Orders:

tOther sales

1,931,600

313,650

Louisiana'

Total

Odd-Lot Sales by Dealers-

Total sales

118,250

94,050

Louisiana

S^OCK. EXCHANGE

.

Week Ended Jan.
25,

Odd-Lot

•

1,931,600

2,030,000 tl,922,422

Accounts, of

Total purchases
Short sales

82,050

Total Texas

*

ported

464,700

re¬

Commission
dealers and spe¬

,

,

Members,

4. Total—

27,600

464,700

118,250

_

Odd-Lot

of

tOther sales

——

34,000

27,600

odd-lot

upon

the

Odd-lot Purchases by Dealers—

Account

Short sales

99,450

34,000

VII-C

based

are

with

Total sales

■

the

TRANSACTIONS FOR THE ODDLOT ACCOUNT OF ODD-LOT
DEALERS
AND
SPECIALISTS ON THE N. Y.

6,233,210

.

lor

206,500

District VII-B

by the

(Shares)

3. Other transactions initiated
off the floor—
Total purchases

412,150

33,700

V

filed

cialists.

Exchange and Round-Lot Stock

Short sales

19,100

206,500

the

on

Exchange for the
25,1947, continu¬

STOCK

1947

Total purchases

133,100

412,150

District IV__
2East Texas

for

387,400

133,100

III

figures

ports

Total for Week

Total sales
2. Other transactions Initiated

239,600

362,300

19,100

__

District II

District

18,

tOther sales

600

500

+

handle^ odd lots

614,690

29,500

Texas—

District

Stock

JAN.

Short sales

210,700

50

—

—

—

The

trading of 5,406,170 shares.

tOther sales

15,150

3.050

—

260,000

__

Oklahoma

300

+

209,000

_

ENDED

Total purchases.

7,250

6,050
17,600

_

Kansas

250

7,750
2,650

Illinois

New York

account

ing a series of current figures bey
ing published by. the Commission.

Dealers and Specialists:
1. Transactions of
specialists in stocks in which
they are registeredthey are registered—
f

48,600

7,600
19,000

Nebraska

Except

Feb. 2,
1946

1947

4,650

+

1,

8,400

Ohio—Other

Kentucky
Michigan

the

volume of stock

odd-lot

week ended Jan.

323,940

Total sales
B. Round-Lot Transactions

Week
Ended

from

250

Indiana

on

WEEK

BARRELS)

Ended

Begin.

Florida.

Virginia
♦•Ohio—Southeast __)
j

total

Short sales
tOther sales

4 Weeks

Ended
Feb. 1,

48,200

♦•West

the

lor

New York Stock

(in round-

5,909,270

ables

January
York-Penna._

of

Transactions for Account of Members*

fuel, and 47,947,000

(FIGURES

ists who

18

Sales

..-'"i. »-''•««•

summary of complete figures

transactions

that

Stock

>''t

..:•

of all odd-lot dealers and
special¬

Curb

Actual Production

Allow¬

Calculated

Requirements
••New

18.47%

a

'

Total Round-Lot

it*--*'jm >..-,y>i'.i(- ihv;„.l.:l'At.-'ii'. «*«r

•

showing the daily

shares, which amount was 17.89%
on
the Exchange of
6,233,210 shares.1 This
trading during the week ended Jan. ; 11 of

A. Total Round-Lot Sales:

State
«

was

week

barrels of residual fuel oil.
I

Jan.

on

~5

The Securities and
Exchange
Commission made public on. Feb.
5

Exchange, member trading during the
amounted to 464,645
shares, or 16.48% of the
Exchange of 1,410,090 shares. During the week
11 trading for the
account of Curb members of
593,375
15.74 %» of the total
trading of 1,567,145 shares.

ended

ended Jan.

or

11

2,230,678

New York

total volume

during the

week ended Feb. 1,

total

total

transactions
compares with member

Bureau of Mines basis approxi¬

a

Jan.

transaction)

of the

Reports received from refining companies indicate that the in¬

dustry

Feb. 5

on

Trading on the Stock Exchange for the account
of members
(except odd-lot dealers) during the week ended

The Institute's statement further adds:

-

New York Exchanges

on

figures.

January,

"•

,

being published weekly by the
Commission.
shown separately from other
sales in these

are

-1'v■

.

rXXXi.'

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 Jan.
18, continuing a
series of current figures

The American Petroleum Institute estimates
that the daily aver¬
age gross crude oil production for the week ended Feb.

\

-

,

"

The Securities and
Exchange Commission made public
figures showing the volume of total
round-lot stock

Ended Feb. 1, Decreased 21,400 Barrels

Daily output for the four weeks

;i'7i'.;.j-i

,

Daily Average Grude Qil Production for Week

1947.

••>.R\:

THE COMMERCIAL &
FINANCIAL CHRONICLE
——

4,619,150 barrels.

'L'">

V:

•

THE COMMERCIAL & FINANCIAL CHRONICLE

930

Civil

that he will introduce

Engineering Construction Totals
$111,546,000 for Week

posing that
come

into

until

such

the

bill pro¬

a

ential.

country duty-free

time

domestic

as

than

con¬

$78,138,000, is 55% more than last

said,

State

is 46%

limited

a

Second

expire

War

reasons

asked
of

the

Powers

Act, due to
1947.
Among
for
recommending this
the President stated that

allocation

31,

of tin and

would be necessary
to

has

extension

March

action,

Lead

above the 1946 week.

Dr.

CPA

come.

tin

for

products
time

some

said purchases

by

S.

Rains Wallace,

the Department

of

seek lower-cost substitutes.

municipal construction, $24,094,000, 28% above last
Federal construction, $9,314,000,

and

vear.

week

Wallace Appointed by
Life Insurance Agency
of

Truman

President
for

requirements at 1,400,000
Higher copper prices, he
will drive many users to

tons.

Private construction this week,

more

Tin

tons and

week, and 113% above the week last year. Public construction, $33,408 000 is 24% below last week, but 77% more than the week last

a

or

tablished at 31.19c per pound, ef¬
fective Feb. 1.

sumption levels off in reasonable

engineering

Feb. 6. continued as follows:

in boxes or
but less
carload lot) has been es¬

(10,000 lb.

cases

construction volume in continental United ratio to American production. He
States totals $111,546,000 for week ending Feb. 6, 1947, as reported by warned that
industry here is faced
"Engineering News-Record." This volume is 18% above the previ¬ with a serious shortage of do¬
ous week, 101% above the corresponding week of last year, and 21%
mestic copper this year, estimat¬
above the previous four-week moving average. The report issued on
ing production at about 900,000
Civil

Our New York quotation

for antimony packed

be allowed to

copper

Thursday, February 13, 1947

Tulane

named

Jr., head

Psychology

University,

Director

Division

of

of

of

the

has

the

been

Research

Life

Insurance

Agency Management Association
of Hartford, Conn.; he
planned, to
his

assume

ate

duties

new

February.

early

Dr. Wallace,

of the

in
gradu¬

a

University of Virginia,

received his Master of Science
and
Doctor
of
Philosophy

degrees
the week last year.
supply situation in lead is the
government
for
controlled there.
After
teaching at Ohio
engineering construction for the six-week period of 1947 expected to show gradual im¬ consumption have involved be¬ State
University, he went to Tulane
In fact, some produc¬ tween 60,000 and
records a cumulative total of $542,516,000, which is 34% above the provement.
65,000 tons of in 1938 as an instructor in
ers
believe that essential users tin
psy¬
total for a like period of 1946. On a cumulative basis, private con¬
(in ore and as metal) a year.
chology, later becoming a full
will get all of the metal that they
struction in 1947 totals $358,053,000, which is 31% above that ior
Uncontrolled consumption, Wash¬
Professor.
need
without difficulty after a
1946.
Public construction, $184,463,000, is 42% greater than the
ington officials
believe,
would
During the war, serving as a
month or two.
Prevailing quota¬ easily absorb 90,000 tons a
cumulative total for the corresponding period of 1946, whereas State
year or
Lieutenant-Colonel, Dr. Wallace
tions should stimulate production
and municipal construction, $131,961,000 to date, is 51% above 1946.
more.
developed for the Army a scien¬
in this country and abroad, the
Federal construction, $52,502,000, gained 23% above the six-week
The government announced that
tific means through which
young
industry holds. The movement of tin will be released for
total of 1946.
February men could be placed, on the basis
has increased appreciably
scrap
delivery on the basis of 70c per of aptitudes, in the
Civil engineering construction volume for the current week, last
pilot, naviga¬
since the first of the year.
CPA pound.
Straits
week and the 1946 week are:
quality
tin
for tor or bombardier classifications
will release a moderate tonnage
Feb. 6,1947 Jan. 30,1947 Feb. 7,1946
shipment was nominally as fol¬ of the Air
Forces, revolutionizing
of
lead
from
its
stockpile for lows, in cents per
Total U. S. Construction
$111,546,000 $94,514,000
pound.
aptitude and selection techniques
February shipment to consumers,
in the service and
Feb.
Private Construction
78,138,000
50,352,000
March
April
bringing wide
Jan. 30
probably around 8,000 tons.
70.000
70.000
70.000
Public Construction
33,408,000
44,162,000
recognition to Dr. Wallace and
Jan.
The

is 63% below last week, and 286% above
Total

Sales of

lead

for

the week

31

in¬

Municipal

18,828,000

16,468,000

25,334,000

2,411,000

construction

classified

the

In

waterworks,

groups,

Zinc

sewerage,

Producers report a firm market
commercial buildings, industrial buildings, and
unclassified construction gained this week over last week. Eight of for zinc:, with demand still con¬
the nine classes recorded gains this week over the 1946 week as centrated
chiefly in the grades
follows: sewerage, bridges, earthwork and drainage, highways, public used in galvanizing and die cast¬
The price situation remains
buildings, commercial buildings, industrial buildings, and unclasssi- ing.

70.000

1

70.000

70.000

70.000

3

70.000

70.000

70.000

4

70.000

70.000

70.000

Feb.

volved 6,608 tons.

70.000

Feb.
Feb.

Feb.

24,094,000
9,314,000

and

State

Federal

5

70.000

70.000

70.000

highways,

bridges,

fied construction.
New
New

Chinese,

capital for construction purposes this week totals $12,141,-

Though

most

operators believe

government has

price

last

Metal
has

ada,

a

week

in

quick¬

brought

been

strong hand, the
unchanged.

was

here

from

scheduled

to

Japan

be

127,682 tons from Mexico,
46,556 tons from Peru, 28,442 tons
from

January Civil Engineeering Construction

shortly.

from

flasks of quicksilver found in the

from

American

Bolivia,
8,295
tons
Argentina, and 3,780 tons

mains

Australia.

Totals $430,970,000

Imports

of

slab

1946

in

Civil

of

zone

sold

70,000

some

Germany

flask for spot metal.
On forward
material $87 has been done.

Engineering construction volume in continental United totaled 104,743
tons, of which 85,States totals $540,970,000 for January, an average of $86,194,000 for 394 tons
originated in Canada,,
each of the five weeks of the month. This average is 2% below the
The correct title of the British
15,577 tons in Mexico, 3,221 tons
firm recently appointed
average for December, and is 24% above the average of January, in
agent of
Australia,
and
551
tons
in
the Cartel for the United States
1946, according to "Engineering News-Record."
The report issued Poland.
on Feb. 6 went on to say in part:
is
the
London
&
Scandinavian
Private construction for January on a weekly average basis is
9% below last month, but 18% greater than January, 1946. Public
construction is 13% above last month and 36% above last January.

State

Feb.

1,

and

municipal construction, while 10% below last month, is
53% above, the average for January, 1946. Federal construction, up
238% from last month, is 8% above January, 1946.

Metallurgical Co., Ltd.

Antimony
The National Lead

established

Co., effective

the

quantity differentials

antimony,

its

ex

Effective

sales of

on

plant

at

price of silver

for

Tbtal

U.

Private

S.

Construction

Jan., 1947
(five weeks)
$430,970,000

Construtcion
and

Municipal

Federal

Jan., 1946
(five weeks)

$352,855,000

279,915,000
151,055,000
107,867,000
43,188.000

Public Construction
State

Dec., 1946
(four weeks)

$348,277,000
237,463,000
110,814,000
70,641,000
40,173,000

246,307,000
106,548,000

96,332,000
10,216,000

New

capital

for

construction

January, 1947 totals $108,413,000,

lb

8c.

to

299

lb

5V2C.

499

lb

4'/2c.

to

999

lb

3V2c.

for

weekly

the

five

average of

weeks

of

$21,682,000,

72% below the December, 1946 average, and 59% below the
average

reduced to 44d

4c.

100

8'/2c.

basis

same

1,000

to

1,999

lb

2'/2c.

3c.

2,000

to

9,999

lb

2c.

2'/2c

li/zc.

2c.

10,000

to

l.c.l

bulk

for

freight,

Laredo

etc.,

carload

to

OF

less

or

panies in the United States, Can¬
ada and eight foreign countries
and was formed in 1945
through
the

merger of the Life Insurance
Sales Research Bureau and the

Association

of

Life

maintain

prices

the

on

mar¬

both domestic and

METALS

("E.

&

M.

J.

of

for

was

Suman Chairman of
NAM International Comm.
The

appointment of
Vice-President

Suman,

Standard

Oil

Co.

Inc.

New York

Lead

—

Zinc

St. Louis

John
of

R.
the

(N. J.),

as

Chairman
of
the
International
Economic Relations Committee of
the National Association of Manu¬
announced

was

Feb. 3

on

by Earl Bunting, President of the
Association.

Chairman

Curtis

of

York,

the

which

on

terested

100
in

trade

A

of

the

same

Vicb-

as

committee,

business leaders in¬

serve

not

Calder,

Share Co., New

international

smaller

posed

E.

board

designated

was

as

affairs

members.

advisory group,
only

of

com¬

businessmen

also of experts in trade, eco¬
nomics, law and geography, meets
frequent intervals to analyze
major
international
economic

at

problems and make recommenda¬
tions which

are

Committee.

foreign account.

QUOTATIONS)

Straits Tin,
New York

Of¬

but

.

basis

70%c. Buying last week

Agency

ficers.

in¬

continued in sufficient volume to

the

—Electrolytic Copper—
Dom. Refy.
Exp. Refy

more

Demand for silver in New York

quotation

DAILY PRICES

is

ket, owing to exchange control.

(28.25c), plus the quantity differ¬

for January, 1946.

as

The Lon¬

sulated from the New York

Procedure followed in calculat¬

94c

market

up
of the Life In¬

ing. The Association has a mem¬
bership of 172 life insurance com¬

and

don

St. Louis

acted upon by the

Currently, the Inter¬

national Economic Relations Com¬

mittee, recognizing the interde¬
pendence between domestic and

Jan. 30

"•

19.350

20.025

70 000

Jan. 31

13.000

12.800

10.500

foreign policies, is working for

19.450

20.025

70.000

Feb.

Non-Ferrous Metals Active-Price Structure

13.000

12.800

10.500

more

19.225

20.025

70 000

13.0C0

1

Feb.

F:

Firm-Silver Steadies as Demand Improves

3

12.800

10.500

19.325

20.100

70.000

Feb.

13.000

4

12.800

10.500

19.375

20.025

70.000

Feb.

13.000

5

12.800

10.500

19.325

20.025

70.000

13.000

12.800

10.500

Average

19.342

20.038

70.000

13.000

12.800

states:

again prevailed in domestic copper, with

-

signs as the week ended
that the two views on the market have
changed one way or the other.
Fabricators continued to price copper products on the basis of
19V2C,
Valley. Demand for silver showed^
further improvement from domes¬ Our
weighted average quotations
tic and foreign sources, with Lon- indicate that sales at the lower
don a buyer of several round lots. level
were
substantially larger
A reduction in the London quota¬

tion for silver
hearing

on

Feb. 3 had

no
on the New York trade.

The leading producer of antimony

no

than

those

fact,

on

were

booked

Feb.

at 19Vzc.

week's

1,

at

20 ¥2 c.

In

all transactions
A feature in the

developments

has

been

announced

quantity differentials the expanding flow of scrap. De¬
ion less than carload lots. Quick- mand for copper continued active,
? silver was unsettled."

cation further went
part

as

The publi¬

on

to say in

follows:
Copper

The price situation in domestic

particularly from the wire and
cable industry.
Though European buying of
copper has moderated somewhat,
foreign producers experienced no

difficulty in disposing of their
was unchanged,
offerings at firm prices.
Smelting & Refin¬
Representative James T. Patter¬
ing Co. holding out for 20 ^c,
Valley, with other sellers at 19&c. son (Conn.) declared on Feb. 3
copper

last week

the American




efficient

international

a

eco¬

10.500

"E. & M. J. Metal and Mineral

Markets," in its issue of Feb. 6,
"Demand for major non-ferrous metals was active
through¬
out the week and the price structure continued
firm^ Two prices

a

new

head

sociation in life insurance market¬

Chairman of the

the New York Official.

was

his

Agency Management As¬

Electric Bond and

5c.

500

London

In

approximately the

6c.

to

add

purposes

or a

to

100

ing the New York equivalent is to

New Capital
1

Up

Boxes

300

was

the

In

will

the research work
surance

German

whom

Wallace

British brought the price down to

—Per Pound—

Bulk

3,

ounce.

Dr.

40

some

of

winner.

revising the
quotation to the lower level, the

1947, De¬ Amboy:

January,

fine

per

Perth

'

Civil engineering construction volume
cember, 1946, and January, 1946 are:

Feb.

of

one

Prize

facturers

Silver

following

work

re¬

a mystery.
Quotations last
continued at $88 to $92 per

week

zince

The status of

search

scientists,

unsettled, ow¬
ing largely to continued uncer¬
tainty over the disposal of foreign
surplus material
in
which
the

up

psychologists. Following
Day, Dr. Wallace was sent
abroad, where he directed the re¬
V-E

post,

the price situation
silver has become

Louis.

other

Nobel

that

During 1946 the United States
of $198,000 in corporate securities and $11,943,000
in State and municipal bond sales. New capital for construction pur¬ imported 272,051 tons of zinc con¬
poses for the six-week period of 1947 totals $120,554,000, 56% less tained in ore and concentrates, of
than the $273,002,000 reported for the corresponding period of 1946.
which 57,296 tons was from Can¬

000, and is made

99% tin, 69.125c.

or

Quicksilver

unchanged, Prime Western selling
on
the basis of IOV2C, East
St.

Capital

70.000

Average price for calendar

week ended Feb. 1

are:

f.o.b.

per

Domestic cop¬

refinery, 19.421c; export copper, f.o.b. refinery 20.038c;
Stratis tin,
70.000c; New York lead, 13.000c; St. Louis lead, 12.800c;
St. Louis
zinc, 10,500c; and silver, 70.750c.

cttotJohLo-^Lec,qi!0tajl0ns
/'

i5e

ar? "E' &
„sales

on
reported by
to the basis of cash. New
York or St. Louis,
zinc

deliveries,

tin quotations

1uotations

are

In ^h® trade> domestic
delivered at
^

consumers'

figures
pi ices
Jan.

shown above
in

2,

New

are

England

for

plants.
net

prices

average

March

14,

the

are

delivery

on

All prices are in cents per pound.
sales for both prompt and future

quoted

per

a

delivered

export quotation

vary with
the Atlantic

on

pound

above

the

basis:

the

that

the

destination,

Delivered

seaboard.

refinery

Is.

basis,

reflects

effective

In
market and is based on sales in the
foreign market reduced to the f.o.b
equivalent, Atlantic seaboard.
On f.a.s. transactions we deduct
0.075c., foi
lighterage, etc., to arrive at the f.o.b.
refinery quotation.

the

open

copper

prices

obtaining

refinery

Quotations
For

standard

for

cakes

up,

depending

for

copper

ingots

0.225c.
on

up,

an

for

are

extra

ordinary

forms

of

wirebars

and

ingot

Dars

O.CtfSc. per pound

depending

dimensions

the

on

and

discount of 0.125c per pound.

is charged; for slabs 0.175c. up, and
weight and dimension; for billets an extra 0.95c.
quality. Cathodes in standard sizes are sold at a

are for
ordinary Prime Western brands.
Contract prices for
High-grade zinc delivered in the East and Middle West in
nearly all instances com¬
a nremium of lc.
per pound over the current market for Prime Western but

mand

less than

lc. over the "E.

the

lessening

of

cartels.

Doyle Named to Comm.
Of

Chicago Res. Bank

Edward

the

J.

Doyle, President

of

Commonwealth Edison Co. of

Chicago, has been appointed to
membership on the Industrial Ad¬
visory

Committee of the Federal
Bank

announced

of

on

Chicago, it

Jan.

was

27

by C. S.
Young, President of the Bank. Mr.
Doyle replaces Martin H. Ken-

who

members

resigned.

reappointed

The
are:

othdr
Walter

Harnischfeger,
President,
Harnischfeger Corp., Milwaukee, Wis.;
Edward M. Kerwin,
Vice-Presi¬
dent, E. J. Brack & Sons, Chicagd;
G. Barret

Moxley, President, KieCo., Indianapolis, Ind.;
and James L.
Palmer, Executive
Vice-President, Marshall Field &
Co., Chicago. The term for which

fer Stewart

Quotations for zinc

not

of

nelly,
for

policy,

Reserve
on

charges

at refineries

0.275c.

1947.

Effective

as noted.

delivery only.

prices

As

M's" appraisal of the major United
producers and agencies.
They are reduced

based

prompt

copper

i,

are

nomic

trade barriers and the elimination

&

M. J."

average for

month.

Quotations for lead reflect prices obtained for

Prime Western for the previous

these
common

lead

only.

men

March

were

1, 1948.

appointed expires

%

Volume

165

a<i;

Number 4568

THE COMMERCIAL & FINANCIAL

V

Feb. 6.

This

was

increase of

an

corresponding week in 1946, and
above the
•

Loading of

<

087

cars

week in

same

revenue

cars

15.4% above the

or

increase of 95,495

an

12.9%

cars or

.freight for the week of Feb. 1 increased 13,preceding week.

1945

x-1947

423

468

431

/ V 284

831

842

2,202

1,929

16,244

14,709

10,997

10,573

4,350

4,239

4,051

4,761

4,696

467

389

498

1,740

Clinchfield

1,495

2,406

1,686

1,714

4,021

3,538

343

339

298

316

Atlantic Coast Line

Columbus & Greenville
Durham & Southern

102

83

119

879

638

3,348

3,618

3,091

1,849

1,531

107

57

75

114

114

1,312

1,110

1,069

2,693

2,100

439

Florida East Coast

466

396

810

787

4,277

.

Georgia
Georgia & Florida
Gulf, Mobile & Ohio

5,553

5,261
27,781

26,838

4,372
14,330

29,972

25,534

25,373

10,275

262

275

185

902

increase of 1,865 cars above the preceding week, and ail
cars

above the

corresponding week in 1946.

198.310

1945.

corresponding

grain

and

2,994

3,371

1,221

957

1,904

1,555

for

411

467

468

2,010

1,459

Richmond, Fred. & Potomac

446

315

527

9,053

dends

13,484
28,918

11,806

10,811

9,376
9,439

24,508

24,353

26,393

24,204

843

525

701

893

826

»

Tennessee Central..

i

Winston-Salem Southbound

week

1946.

in

53,664

In

products loading

the

for

cars,

a

Western

Districts

the week of Feb.

1

of 2,270 cars below the preceding week

1,907 cars above the corresponding week in 1946.

11,744 cars a decrease of 2,287

loading amounted to

below the preceding week

decrease of 7,445 cars below the

a

Feb.

week of

the

for

and

In the Western Districts alone loading

corresponding week in 1946.
Livestock

1

totaled

8,698

cars

a

decrease

below the preceding week, and a decrease of 6,617 cars

cars

corresponding week in 1946.

below the

Forest products

the

above

loading

preceding

totaled 50,813
week

Ore loading amounted to

and

increase

an

14,445

of

14,635 cars, an increase of 593 cars

preceding week and an increase of 7,129 cars above the

compared with the correspond¬

reported increases

886

107,840

Chicago & North Western
Chicago Great Western

12,779

16,827

15,359

14,661

14,025

2,361

2,949

2,466

2,865

3,243

Chicago, Milw., St. P. & Pac
Chicago, St. Paul, Minn. & Omaha
Duluth, Mlssabe & Iron Range
Duluth, Sout' ""sore & Atlantic
Elgin, Joilet & Eastern
Ft. Dodge, Des Moines & South

19,326
3,872
1,447

21,775

21,601

10,639

10,951

4,439

3,310

4,073

4,241

1,288

1,317

335

by several motion picture
companies put the miscellaneous
group into the lead with an in¬
crease <5i 52%
over the Septern-

713

716

658

660

632

ber-October-November

9,108

2,016

8,393

11,315

7,775

482

484

308

124

117

Great Northern

11,515

10>828

4,835

489

930

948

260

69

58

Minneapolis & St. Louis
Minn., St. Paul & S. S. M

1,687

2,127

1,955

2,737

2,062

5,129

5,156

4,725

3,816

3,846

Northern Pacific

9,738

8,980

9,401

5,035

4,541

179

128

244

594

468

2,526

1,803

2,509

2,722

2,152

81,625

81,180

83,823

65,417

59,798

Spokane International
Spokane, Portland & Seattle

——

1946

2,883,863

3,003,655

835,051

1

February

723,301

739,556

25,639

Alton

The following

table is a summary of the freight carloadings for

the separate

period 94 roads reported gains over the week ended

24,038

2,502

10,692

3,534

10,020

"Dividends paid

engaged

of

1945,

were

REVENUE

FREIGHT

LOADED

(NUMBER

AND RECEIVED

OF CARS)

FROM

WEEK ENDED Feb.

Total Loads

group

Eastern District—
Ann

317

Arbor

Aroostook

Bangor &

3,386

3,174

5

410

215

8

21,829

19,574

11,930

11,215

3,426

3,096

800

856

12,882

12,039

12,872

11,676

2,881

2,698

3,430

3,018

leather

560

636

730

1,814

1,198

3,553

2,994

4,033

4,750

3,892

64%;

911

637

768

48

49

1,205

970

906

1,346

1,248

2,308

...

2,054

2,246

1,838

1,602

543

513

145

121

627

555

1,005

872

926

1,399

1,447

1,421

779

.

Nevada Northern

577

734

\

14

10

7

0

27,513

29,178

10,193

0

297

160

0

17,741

15,708
879

17,272

12,500

11,544

1,062

543

5

8

1,885

Union Pacific System
Western Pacific

-

1,876

1,781

2,792

Total

80,086

73,377

decline of 21%
dends

130,125

—

Indianapolis & Louisville.

Chicago,
Central

Indiana
—

Hudson

&

Lackawanna & Western.
Mackinac.
Detroit Toledo & Ironton
Detroit & Toledo Shore Line
Jelaware,

Detroit

&

123,748

Weekly Lumber Shipments
13.2%

392

13,651

ber

1,194

1,181

2,283

1,877

37

29

52

31

47

1,024

1,055

999

2,588

2,087

4.568

3,765

11,827

10,825

7,391

7,168

5,568

10,250

8,123

316

237

185

237

Trunk

Grand

1,937

1,681

1,917

1,728

292

403

3,997

10,053

16,302

3,134

8,217

8,406

167

132

3,172

2,543

2,104

1,426

1,511

8,613

7,761

5.654

8,658

2,730

2,276

4,051

7,342

4,266

232

2,872

2,116

93

42,143

39,863

53,609

10,626

10,513
812

686

2,741

2,783

5,374

5,667

15,267

13,101

424

455

409

1.407

2,318

6,718

2,380

6,536

8,577

8,002

5,295

4,652

4,520

8,314

876

668

20

3,016

3,659

2,404

401

315

326

3,027
2,670

1,392

1,305

0

171

165

0

377

5,421

4,997

4,188

3,728

18,150

16,180

6,835
17,556

15,308

14,735

268

219

99

242

765

769

842

2.408

1,170

448

362

335

1,480

1,186

6,277

5,967

11,736

12,247

3,545

4,721

3,903

2,751

141,333

131,431

216,309

195,06$

the

to

National

Barometer

for

ending Feb. 1, 1947.
week

orders

new

13.3%

were

production.

Unfilled order files of the report¬
ing mills amounted to 61% of
stocks.
For
reporting softwood

66

269

249

9,206

8,119

8,321

St. Louis-Southwestern

3,107

2,570

3,437

5,282

4,833

lent to 24

Texas <fc New Orleans

9,366

8,700

10,289

6,008

5,509

Texas 6c Pacific

5,207

3,886

current rate and gross

5,054

7,344

6,529

100

79

93

63

60

30

66

30

10

72,001

62,110

60,247

above

24.7%

production;

orders
production.

above

Compared to the average
responding

week

of

entral

38.7%

Weekly Statistics of Paperboard Industry
We give herewith latest figures received by us from the National
Paperboard Association, Chicago, 111,, in relation to activity in the
paperboard industry.
The

members

industry, and its

of

this Association

includes

program

member of the orders and
cates

the

figures

a

of

the

total

statement each week from each

production, and also

activity of the mill based

are advanced to

represent 83%

on

the

a

figure which indi¬

time

operated.

above;

shipments

27.4%

above; orders

above.

Compared

to ; the

responding

week

duction

reporting

20.8%

13.7%
were

of

above;
above;
23.3%

in

Truman

of

1,293

42,547

35,709

35,601

24,723

22,953

3,164

871

2,038

1,578

1,153

1,640

967

1

3

Nov.

2

205.422

174,752

7,005

5,460

5,617

18,558

16,199

NOV.

9

185,047

175,906

1

317

54

13

Nov.

16

138,100

342

148

10

14

Nov. 23

145,507

68

Valley

Island.

nn-Reading Seashore Lines—

1,431

44

70

0

5

Nov. 30

1,428

umberland & Pennsylvania

1,701

1,425

4,789

4,271

1,729

1,577

1,545

1,883

1,983

83,135

nnsylvania System
ading Co
—

Marvland-

—-

64,156

65,847

57,453

53,812

11,425

11,634

27,094

20,111

1,585

17,384

5,143

25,499
919

4,620

4,215

3.233

11,611

11,486

14,845

(Pittsburgh)

astern

PRODUCTION,

721

369

New Jersey—

ornwall

igonter

REPORT—ORDERS,

MILL

ACTIVITY

tack

Orders

Period

man

Received

Dec.

Production

Tons

1946—Week Ended

Tons

153,574

7

207,137

Dec. 14

167,937

Dec. 21

-t

...

Dec. 28

144,083

99,555

Remaining
Tons

170,411

601,787
613,752
580,331

170,533

554,982

Percent of Activity
Current Cumulative

100

96

102

96

101

96

100

96

162,353

545,042

94

96

172,417
175,640

578,742

99

96

571,179

102

at

172,275
109,210

543,675

102

96

532,773

66

96

Period

146,597

154,328

139,603

Jan.

4

196,927

142,338

11

171,420

178,043

588,406
580.026

102

18

173,851

178,556

577.269

103

Jan.

25

155,432

101

98

1

204,033

173,720
179,347

557,140

Feb.

579,562

102

99

•

sake
Sr

District-

& Ohio

Western.,.—«




35,488

30,216

27,390

12,624

10,237

25,024

21,017

21,066

7,409

6,134

5,382

5,059

4,766

2,075

2,253

65,894

56,292

53,222

22,108

18,624

NOTES—Unfilled

orders

was
were

orders

new

evening

slight at¬

a

laryngitis, President Tru¬
a

surprise visit to the

of

Washington

Jan.

31

to

on

join

the

in

a

Texas State tribute to Democratic

minority leader Sam Rayburn of
Texas,
The

formerly

House

President, in

according

to

a

Speaker.

brief speech,

Associated / Press

Washington advices, recalled that

Jan.

129,240

mills

shipments
and

pro¬

Rayburn Dinner

Statler Hotel in

96

Jan.
ipntas

paid

Unfilled Orders

1947—Week Ended

181,555

Total

of

'

514

cor¬

1946,

above..

industry.

592

were

24.2%

were

These

equal 100%, so that they represent the total

437

R.

R.

cor¬

1935-1939,

production of reporting mills
w^s

1,505

& Indiana

are

year-to-date, shipments
reporting identical mills were

17.3%

Oklahoma & Gulf Ry., Midland Valley Ry. and Oklahoma City-

NOTE—Previous year's figures revised.

stocks

For the

were

tlncludes Kansas,
Ada-Atoka Ry.

are equiva¬
days' production at tfye

equalent to 38 days' production.

9

60,853

mills, unfilled orders

of

STATISTICAL

ambrla

same

mills

104

66,910

week

these

of

above

9,911

TotaL

13.2%

the

In the

189

Wichita Falls & Southern
Weatherford M. W. & N. W

re¬

Lumber

were

production

10,280

18

286

Association,

Although suffering

Allegheny District—
iron, Canton & Youngstown—
altimore & Ohio—
esaemer & Lake Erie—

don

4,650

2,317

Quanah Acme & Pacific.

7,576

1,039

164,534

Total

1,398
2,776

2,340

Missouri-Kansas-Texas Lines

13,509

15,714

9,192

849

6,498

5,425

Wheeling & Lake Erie

1,852

49,621

5,981

Wabash

2,062

26

49,673

Rutland

1,457

1,147
3,427

..

290

3,485

—

above

3,940

3,842

6,950

Central Lines
N'. Y„ N. H. & Hartford
New York, Ontario & Western..
New York, Chicago & St. Louis
N. Y., Busquehanna & Western
Pittsburgh & Lake Erie
pare Marquette
Pittsburg & Shawmut.
Pittsburg, Shawmut & Northern
Pittsburgh & West Virginia

Trade

2,549

3,579

7,483

3,268

York

554

2,431

2,695

1,472

.

Montour

635

6,091

1,845

14,112

3,513

144

Central

Monongahela

392

5,232

2,673

9,952

1,824

Lehigh Valley
Maine

385

4,526

Western

Lehigh & Hudson River
Lehigh & New England

306

5,298
2,177

Burlington-Rock Island

198

2,694

Production

Manufacturers

270

12,539

1,553

Above

According to the National Luihr

porting

Southwestern District—

1,879

498

6,228

11,907

Erie

New

1,568

303

2,026

7,515

5,439

Central Vermont.
Delaware

388

2,462

7,944

in divi¬

lumber shipments of 385 mills

Missouri & Arkansas

1946

occurred

paid

by the automobile
manufacturing group."

3,243

126,231

increased

printing 42%;
other
manufactures,
39%,
and
transportation equipment, 28%. A
and

9,437

38

corporations

paper

0

28,230

.

Toledo, Peoria & Western

Litchfield & Madison

1947

1945

2,690

—

Maine

&

Boston

1946

4%, the only
show a de-*

to

"Disbursements by manufactur¬
ing corporations as a group were
up 10% in the three-month com¬
parison, but there were wide vari¬
ations
among
the subdivision^!
Dividends paid by textiles and

2,935

Fort Worth & Denver City
Illinois Terminal

Received from

-Freight Loaded1947

Communications

industrial

12,548

Denver & Rio Grande Western

—Connections—

Total Revenue

Railroads

27%.

declined

3,403

Kansas City Southern
Louisiana & Arkansas

1

up 41%
period of 1946
same period
mining dividends
were

dividends

204

tK. O. & G.-M. V.-O. C.-A.-A

CONNECTIONS

by corporation^

trade

and

up

Gulf Coast Lines

1946.

in

compared with the

as

International-Great Northern

Feb. 2,

of

for the three-month

21,692

railroads and systems for the week ended Feb. 1, 1947.

this

24,050

3,014

Bingham & Garfield
Chicago, Burlington & Qulncy
Chicago & Illinois Midland
Chicago, Rock Island & Pacific
Chicago & Eastern Illinois

Southern Pacific (Pacific)

3,743,211

3,607,164

4,003,448

period

1945.

dine.

Utah
Total

,

Extra dividend pay¬

ments

4,404

509
327

360

Bay & Western

Lake Superior & Ishpeming

Peoria & Pekln Union
1945

1947

3,168.397

January

of

11,656

342

>

403

Green

North Western Pacific

Northwestern and Southwester.

payments amounted to $954,700!000, a gain of 11.9 % over the
$853,000,000 paid in the same pe¬
riod of 1945.

Northwestern District—

Missouri-Illinois

1946, and all reported increases compared with same

week in 1945 except the

';

-

938

Denver & Salt Lake

corresponding week in 1946.

ing week in

vices further said:

"F6r the three months ending
in November, 1946 these dividend

116,257

Colorado & Southern

districts

divi¬

147

Atch., Top. & Santa Fe System

12,900 cars an increase of 432 cars above

loading amounted to

the

cash

126,251

Central Western District—

sponding week in 1946.
Coke

.

118

cars

week and an increase of 6,915 cars above the corre¬

the preceding

all

130,655

increase of 4,831

cars, an

corresponding week in 1946.

above the

of

The Department's ad¬

paid.

1.53

decrease

'

Livestock

8,731

60%

about

144,408

totaled 37,475 cars a decrease
increase of

publicly

1,374

Southern System...

increase of 5,016 cars

cars, an

914'

,

Piedmont Northern
Seaboard Air Line

preceding week; and an increase of 10,430 cars above the

grain

During

with

3,831

alone,

of

to¬

$158,200,000, as compared
$136,500,000 in November;;

4,350

the

Week

that No¬

3,546

below

weeks

added

disbursements

Norfolk Southern

below the preceding week and a decrease of 734 cars

Four

taled

It is

1946

These figures include only
reported cash dividend
payments which currently account

grain products loading totaled

All

5.
;

464

and

above

9,282

Feb.

on

vember,

409

cars

cars

14,444

partment of Commerce announced

321

3,060

2,048

4,906

by corporations were
15.9% higher in November, 1946
than in November, 1945, the De¬

320

Grain

of

»

28,264

Illinois Central System
Louisville <fc Nashville

corresponding week in 1946.

of

21V

Publicly Reported cash, dividend
payments

356

an

above the

cars

y' V 242

936

16,593

CasF Dividends by
Corporations in Nov.

Mississippi Central
Nashville, Chattanooga & Si. L

Coal loading amounted to

an

'

Central of Georgia
Charleston <b Western Caroliria

■

but

•

1946

«•>.

corresponding week in 1946.

increase of 293

of

•

—Connections—

Macon, Dublin & Savannah

Loading of merchandise less than carload lot freight totaled 119,cars

Total LbadftVw,

Received from

y

above the preceding week, and an increase of 80,717 cars

cars

above the

081

f...

1946

_

Gainesville Midland

Miscellaneous freight loading totaled 373,904 cars an increase of
5.697

,v

1947

Atl. & W. P.—W. R. R. of Ala

1945.

1.6% above the

or

111,750

Total Revenue

Alabama. Tennessee & Northern

totaled 835,051 cars, the Association of American Railroads announced
on

Railroads

Freight Loaded

freight for the week ended Feb. 1, 1947 to-

revenue

*

Sonthern District—

Ended Feb. 1,1947, Increased 13,087/Cars
Loading of

931

i

Weli^FreighlCar LoadingsDuring Week
,

CHRONICLE

of the

prior week,

85

85
94
•

97

plus orders received, less production,

do not necessarily equal the unfilled orders at the close.
Compensation for delinquent
reports, orders made for or filled from stock, and other items made necessary adjust¬
ments of unfilled orders.

in

1943, in San Francisco, he had

introduced

Mr.

Rayburn

next Vice-President."

as

"the

"Think of

the trouble I could have saved my¬

self it that had

come

Truman remarked.-

about," Mr.
-5 y

jBWWsiwwttw

THE
932

and

Mr.

met

also

directors

Companies

with

dated

Hetzler has been $50 each will help keep the bank's
elected an Assistant Vice-Presi¬ capital structure in line with its
growth,
he said. Mr.
dent by the Board of Directors of deposit
Buchanan's
advices were
con¬
Bankers Trust Company of New
tained in his final report as Presi¬
York it was announced on Feb. 5
dent of the bank, a position held
by S. Sloan Colt, President of the
bank. Mr. Hetzler, who is a mem¬ by him since the founding of the

World War

advertising and public

ber of the

the Squirrel Hill branch.
joining the banking floor, suggest
many interesting ideas, adaptable
The National Metropolitan Bank
to individual requirements. These
range from bold color treatments of Washington, D. C. increased its
•Of walls and furnishings to novel capital from $800,000 to $1,000,000
combinations of fabrics and furni¬ on Jan. 16 by a stock dividend of

give varied usefulness to
limited space. Designed and dec¬
orated by James McCreery & Co.,
the exhibit will be on display
to

through March. It is the latest in

$200,000, according to the weekly
Bulletin Jan. 20 of the Comp¬
troller of the Currency.

Laycock, President
a series planned by the
bank to of the Fort Wayne National Bank
assist the community with various of Fort
Wayne, Ind., announced
aspects of current living problems. on Jan. 14. The following appoint¬
Other recent exhibits have dealt ments to the official staff of the
with vacation travel, home sew¬ bank: Edwin H. Hasse, Louis R.
ing and interesting hobbies. The Montooth, and Harold H. Stellbank's part in these exhibitions is horn, Assistant Cashiers.
handled
by
Miss
Anna
M.
Flaherty, Assistant Director of
The
Chicago City Bank and
Public Relations.
Trust Company of Chicago, 111., in
ifJ i

Bank

Corporation New
York Agency announces the re¬
ceipt of cable advices that at a

meeting of the Board of Directors
of the Swiss Bank Corporation
held in Basle, Switzerland on Feb.
4, the accounts for 1946 were ap¬
proved, showing net profits of
13,387,663.53 Swiss Francs, includ¬
ing carryover, as compared with
10,627,647.05 Swiss Francs, includ¬
ing carryover for 1945. Total assets
of the Bank amount to 2,139,391,383 Swiss Francs against 1,826,427,161 Swiss Francs for 1945. At
the ; general
meeting of stock¬
holders to be held on Feb. 28, it
will be proposed to pay a dividend
ot 5%
(against 4%
for 1945)
which will absorb 8,000,000 Swiss
Francs, and to transfer to Pension
fund an extraordinary contribu¬
tion of 1,000,000 Swiss Francs to
mark the 75th Jubilee of the bank.

There will remain

a

carryover

of

Swiss
Francs
as
against 4,227,647.05 Swiss Francs
for the previous year.
The management of the New
York
Agency comprises F. H.
Gunther
as
Agent,
Edgar
F.
Paltzer as Deputy-Agent and Au¬
4,387,663.53

-

gust^. Ries

Paltzer,
Seiler,
of

Sub-Agent.
Mr.
well
as
Theodore
present Sub-Manager
as

as

at

the Rio

The

de Janeiro

National

York,,, will
Agents

as

branch

of

City Bank of New
become
additional

Dec.

905,256

268,000 in U. S. Government se¬
curities; $24,812*800 as cash on
hand and due from other banks;
$6,374,148 listed as loans and
discounts. The capital and surplus
of the bank on Dec. 31, 1946 stood
and

at

$1,000,000 each and the un¬
profits stood at $552,738
Dec. 31, 1946.

divided
on

The

statement

of the Board of

man

the
of

Union

new

Chair¬

a

on

Jan.

100% stock

dividend and the changing of the
par value of common stock from

$100 to $25 a share, a splitup of
four for one. The Newark "Eve¬

further

News"

Mr.

Buchanan

■

of

pany

of Chicago, 111. as of Dec. 31,

1946 showed trust and

escrow

cash

stated

announced

Subsequently he was a
for the bank, an
assistant in the loaning division,
and was elected an Assistant Cash¬

1944

an

in

and

on

of $51,935,225 against $48,091,601 a

in
Assistant Cashier in
1945 took over his

in

Direc¬

Bank

who joined

the
staff in 1923, has served in various
capacities and now is in the in¬
stallment loan field in the Time
Klockow,

Credit Division."

Comptroller

The

the

of

Cur¬

reported on Jan. 24 that the
City National Bank of Galveston,
at Galveston, Tex., has increased
'its capital from $200,000 to $400,000 by a stock dividend.

of

Co.

of the
& Trust
Arizona, at its

Directors

of

Board

The

Arizona

Southern

Tucson,

Bank

recent meeting elected Harry O.
Tennison, formerly of Dallas, as
Assistant Vice-President.
Noting

this, the Dallas "Times-Herald" of
16, added:
"Mr. Tennison, connected with
the
Federal
Reserve
24 years,
moved to Tucson at the first of

Jan.

the year.

He was

on

the examin¬

ing force of the Reserve Bank for
a
number of years, and is well
known to the banking profession
of the Southwest. He is one of the

posted men on bank credits

best

on

at

hand

the

end
the

at

1945;

of
bank

was

$4,548,208 against $4,310,677 in the
previous year's report. The capital
and surplus have remained un¬
changed at $12,000,000 and $8,000,000 respectively, and undivided
profits advanced to $2,870,445 on
Dec. 31, 1946 from the $2,105,725
total as of Dec. 31, 1945.

one

promotions announced by

President

Walter

Kasten

of

the

Milwaukee

following the annual
board meeting of the bank on Jan.
16, according to the Milwaukee
"Journal," which also stated:
"Pierre N. Hauser was advanced

to

Vice-Presidency, Samuel E.
Callahan and John G. Topp were
a

that

elected Assistant

that

and

Harrison

District,

and

Reserve

this

in

of his

time

the

at

Klockow

was

pleted his 40th year as banker in
Santa Monica Feb. 1.
He is the
of the California
point of service. As

member

oldest

Bank staff in

Hudson

bankers,

Monica

Santa

of

began his

career

as

boy in the Bank of
Santa Monica in 1907.
When the

a

messenger

became

He

is

of

the

1937.

in

Director

Chamber

of

office

branch

a

Treasurer
Santa

of

and

a

Monica

Commerce

and

through the years .has played a
leading part in Red Cross, Com¬
munity Chest and other activi¬

about.

California

to

is about to throttle it.

officer

Bank

seem

The

is

A

are,

California
25

branch

Bank

with California
completed in Decem¬

years

were

and

Smith of the

K.

Grand

Office;

L.

F.

Assistant Vice-President,
Manager of the
and
Broadway Office and

Geyer,
J.

D.

Farmer,

69th

Bier

Mechanical

the

of

Eighth

De¬

Spring

and

Office.
The Wells

Fargo Bank & Union
of San Francisco,
reported total resources of

Trust Company

Cal.

$527,890,808 and total deposits of
$498,053,432 in its statement of
condition as of Dec. 31, 1946. Cash
hand

on

with

and

banks

other

and

Reserve

Federal

the

$135,034,061, while
including U. S.
Government securities was $323,to

amounted

investments

total

discounts
including
loans on real estate. The capital
and surplus are shown as $9,000,000
and
$7,000,000 respectively
and undivided profits were $3,871,439 as of Dec. 31, 1946.
and

loans

722,398;

amounted to $56,938,182

afraid

are

of

net

the

that

profits of the Westminster Bank
Ltd., for the past year, after pro¬
viding

quarterly dividend of 50c per
payable Feb. 1 to sharehold¬

bad

debts

doubtful

and

has

amount to £1,366,622.
This
sum,
added
to
£563,915
brought forward from 1945, leaves
available the sum of £1,930,537.
The dividends of 9% paid in Au¬

been made,

gust

last

614%

on

£4 shares and
£427,-

the

the stock absorb

on

A further dividend of 9%

329.

in

declared

now

the

of

respect

is

making 18% for the
year; and a further dividend of
6*4% on the stock will be paid,
£4

shares,

It is

a

making the maximum

vided themselves with expert as¬

12V2%

of

holders whose

pany

has

names

were

regis¬

the books of the com¬
Dec. 31 last. £200,000

tered, in
on

been

to

transferred

bank

premises

good

job

a

they did for the old

as

pay.

Where

they

are proving to be
disappointment, how¬
ever, insofar as several hundred
industries are concerned, is in the

the

worst

matter of the tariff.

by the forthcoming
negotiations of the State Depart¬
ment

reciprocal treaty
screaming
bloody
They are either being

are

murder.

sold

the

down

global

ing

river in the

movement

our

midst,
the

and

are

the

under

powers

act.

But

popular,

that

the

would

howls

that

should it be

of

the

from

dividend

Frank

elected

to

former

of

Schmidt

H.

This is

Executive

an

quar¬

37 V2

cents.

has

been

Vice-Presi¬

dent of California Trust, which is

by California Bank.

the past 20 years, Mr.
held various official

the company.

For

The

announced

Chartered

career in Omaha, Neb., and
received his law degree from the

V.:
-■■v.,,"..;.

in

Bank

Jan.

24

London
of

India

Australia & China had received a

telegram from their Batavia Man¬
ager

advising

that

their branch

in Medan would reopen
ness

on

that

for busi¬

day.

,

It

and is

was

%

to

us

to the effect that the Duke

of Devonshire K.G. has been ap¬

pointed

a

Director of the Bank of

Australasia,

v

•

■

I a

raised

so

many

monument

a

to the

tenacity of Cordell Hull.
well the reasons
given for its passage. People went
We recall very

to

war

because of tariff barriers.

Remove
vent

these

barriers

and

pre¬

Well,
it prevented
World War II, of course.
wars.

Because of World War II,
it presumably

has

which
to prevent, it

was

a
fair operation.
having proved a
preventative, there is no telling
just how much part it played in
bringing on our participation. Be¬

had

never

Instead

its

of

it seemed that

1939,

would

Hull

fast

as

negotiate

one

of

these treaties with Central Euro¬
pean

countries, Hitler would

into

that

country

and

move

make the

And every time he

treaty void.

would do this Hull would become

convinced that he had to be

dealt with.
Just whether this

them

highly touted
accomplish the great

hasn't

It

to it is not
accomplished

yet.

But it is

fact that the loudest

a

that

denunciations
should

the

would

Republicans

come

attempt

to change

it, would come from the
leading Republican journals.
To
be for the reciprocal trading act
is a sign of a broadened mind, of
our
growing up and becoming

global in

Advices from abroad have come

be

the statute books for

years.

our

sold

Schmidt has

positions in
He began his bank¬

on

Office

so-

dread

is certainly a pretty thing,
reciprocal act that has been

It

this
on

they

tampered with.

attributed

Head

heads

rather has been

or

propagandized,

known.

the

older

the

holding them in check.
Not
that they are not believers in the
protective tariff themselves but
that the reciprocal act has become-

are

things

was

bad.

Republicans
frankly want to repeal the recip¬
rocal

ever

It

the human

on

as

Western

act will

forward.

great

sweep¬

they think they

or

effect

being is just about
Some

is

that

reinstatement and re¬
building account and £300,000 to
officers' pension fund, leaving a

nual

meeting Jan. 8.

These indus¬

tries affected

more

£575,879 to be carried

an

organization that is making it dif¬
ficult, if not impossible, to do as

as

Feb. 1 to shareholders and stock¬

fact that

a

doing this they also voted

fore

The dividends, were
(less Income Tax)
on

But it is also

sistants.
in

payable

that

owned

fact that there

raised their salaries and pro¬

men

for the year.

by the directors of the California
of Los Angeles at the an¬

Bank

terly

that

They can effect
the change incidentally by a mere

for

after

and

of record Jan. 20 was declared

increase

clamor

the

would be raised.

so

announced

is

It

share
ers

But there

disposition on the part of
the Republicans to change it. They
no

balance of

ties.

earnings from operations, totaled named Assistant Cashier.
University of Southern California.
$3.94 per share after taxes. Sale / "All officers of the bank were Elected to Trust Officer were L.
of an ^ additional 2,000 shares at reelected.
First Wisconsin Trust D. Petty, L. A. Rentsch and J. C.




finance

a

Sixth

for

E. Hudson, Vice-Presi¬
dent
in
charge
of
California
Bank's Santa Monica Office, com¬
Harry

Vice-Presidents, ing

W.

Republicans

rebate and taxation,
appropriations to the
leaving the Federal Reserve had credit of contingency accounts, out
supervision of credit operations." of which accounts full provision
economics

and

California Bank in 1922, Mr. Hud¬
son was appointed Assistant Cash¬
ier, advancing to Vice-President

cash

July 1. Thus, any reductions that
we finally do get will be for only
half of 1947, not the whole year.
This is not the only thing the

rency

bank

$33,547,564

as

partment,

lists

$38,751,045
in
(after re¬
serve
provisions) for the period
ended Dec. 31 last, compared with

Personnel De¬
also named Assist¬

Theod.oro

Leo

before. Included in the as¬
securities

S.

the

ber of

sets

were

two

offices.

year

marketable

Lockie

returned

tor.

"Mr.

Republicans

on

resolution.

present duties as Personnel

Mr.

with $20,233,943

1945 and total resources

E.

up

until entering W. D. Morris and J. L. Perry.
Development Both have been promoted re¬ is an embarrassment here. In the
1943.
He was cently to Assistant Manager posts reorganization bill the congress¬

Department

590 compared

31,

and

Manager from 1936
the bank's Business
elected

the

tax reduction that
Senator Taft now says that no
reduction will apply before next

Eighth Army
in Japan where he specialized in
rehabilitation work of Japanese

1920 and was

Ninth Ward office in

Walter

were

have

far

So

backed

the industry. Two other veterans who

with

started

Topp

of

Angeles,
Assistant

to

whole

a

there.

attached to the

was

ier in 1938.

dean

Dec.

Mr;

Auditor

"Mr.

A.

as

to be timid
reorganization
bill
that was passed by the last Con¬
fornia bank after four years in
the Army; he is identified with gress is daily proving more un¬
workable.
A measure purporting
the Real Estate Loan Department.
to make Congress more efficient
Before
receiving his discharge,

1928.

Field

promoted

R.

country

in

a

returned to the staff of the Cali¬

the

of

Department

for

the

to

lopping off a 50 cents or dol¬
tax
payments here and

lar

ant Cashiers. David S. Lockie has

vestment

balances for the bank of $20,654,-

Directors, of First Wisconsin National Bank of

Union, N. J., announced

ning

condition

A new Vice-President was

Center National Bank

18 the declaration of

of

the Chicago Title and Trust Com¬

of May 1, 1947.

John R. Buchanan,

of

and $101,972,634. Listed
its chief assets were $66,-

of four
\

as

reported total re¬
and total deposits of $104,-

sources

among

condition

of

1946

31,

Cashier.

Wisconsin Co., former in¬
securities affiliate, in

First

been

has

C.

statement

its

I

Swiss

V4MJ

Wendell

Bank

Liljeberg
partment

Analytical

recently

was

(Continued from first page)
tance

than

director of branch banks

a

the Special Loan
elected
an Assistant Vice-President.
"Mr.
Callahan
joined
the

department,

He

Office in downtown Los

In 1935 he was

Division.

Washington

Ahead of the News

two-year term
starting Jan. 1. A. O. Otsea, man¬
ager of the Eighth and Spring

made Manager of

institution 24 years ago.

From

in the San Francisco Federal Re¬

Assistant Manager of
Mitchell Street office
in 1928.
In 1929 he was trans¬
ferred to the Cashier's Division at
the main office.
He entered the
loan field in 1933 and later was

pany

ture

Division.

named

the First Wisconsin.
various departments

bank's

Clyde C. Taylor, Senior Vicein 1923. He was elected As¬ President of the Peoples First Na¬
sistant Treasurer in 1928. He was tional Bank & Trust Company, of
graduated from Yale University Pittsburgh has been elected Vicein 1923. Mr. Hetzler is a member Chairman of the board, it was an¬
of the board of managers of the nounced on Feb. 3 by Robert C.
West Side Y.M.C.A., a trustee of Downie, President. In indicating
the St. Bernard School of New this the Pittsburgh "Post Gazette"
York City, and Treasurer of the of Feb. 4, further said:
"Herbert S. Scott, former As¬
Horace Mann School for Bjoys.
sistant Cashier, has been elected
IJf!
Assistant Vice-President. Shepard
f h
Realizing that scarcity of living
H.
Patterson,
Manager of
the
space will continue for some time,
department,
has
been
The Bank for Savings in the City credit
elected
Assistant Cashier. Ken¬
iqt New York at 280 4th Avenue
neth N. Graham and J. Donald
is opening a new exhibition to
Cook were elected Assistant Trust
show how single rooms can be
used for more than one purpose. Officers. L. Edward Deuerlein has
been named Assistant Manager of
The three exhibition rooms, ad¬
career

Bank

became

the

began his
with Bankers Trust Com¬

relations

tion Committee of the ABA State

serve

and

T.

was

Officer

Trust

Virgil D. Sisson, Assistant
Secretary. Frank L. King, Presi¬
dent of California Bank, has been
elected Chairman of the Legisla¬

I, joined the staff of the American
Natinal Bank, which later consoli¬
He served in

Patterson

L.

Assistant

and

"Mr. Hauser, in 1918, after com¬

pleting army duty in

Edward

elected

Kasten, Chairman of the Board,
and President George B. Luhman.

Items About Banks,

C.

Seaman.

re¬

elected all officers, including

Co.

Trust

Thursday, February 13, 1947

COMMERCIAL & FINANCIAL CHRONICLE

that.

as

thinking. It has been
It

is

one

of

great myths of the time, just
is

the

myth

Smoot act had

the

that

the

the
as

Hawley-

anything to do with

depression

World War II.

or

the coming of