Full text of Commercial and Financial Chronicle : February 21, 1946, Vol. 163, No. 4466, Section 2

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Final

OVER 100

ESTABLISHED

Edition

In 3

YEARS

Sections-Section 2

Financial

Beg. U. S. Pat. Office

Volume

New

Number 4466

163

York, N. Y., Thursday, February 21, 1946

Wallace and Hoover

Observations

...

average

house.

■

The Financial Situation

''Why, these (obsolete building)
cost
a
home-builder an

codes

of 3% on the price of a
That's $150 ; on only a

' =4.

By 'A. WILFRED MAY

The situation by which the country is faced would

man
new

potential
conduct" in repre% senting his country's welfare. But his assumption of that extremely
y important office was jrist as inexcusable as is now his explosive con-*
trpversial pending appointment.
The qualifications for party fundf. raiser No; l'surely were even more irrelevant to the highly special¬
ized and technical reparations job, than they are to the comparatively
administrative responsibilities' of the Under-Secretary of the Navy.
Apparently Mr. Truman is now suffering some qualms over this
earlier appointment, as evidenced at his last press conference by his
of

;

Ambassador, involved

ethical factors arising from

wage-price policy

or program

some

no such program ; has been
devised, 4 Save that the President now appears — we say
,

■

attribution to Mr;: Pauley of

The truth v remains that

tions in Germany and

appears

..,

•

Alfre<l Sch,,"il"

...

lions.

•

I'm

particularly disgraceful when

both because of the crifrent "World
cris s.< and because of the psychological effect on our foreign friends
at this time when the democratic system is universally being put on

the spot,

'
-

y y

«-

;yy .y

•
-/

y*'."?:-

■Vi.\ 'i'

"•

business

certain that

period" which had been required to establish a necessity of
higher prices, but nothing else seems to be changed—and it
I'm for
must be said that it would be quite possible for the regula¬

political plum-jugglery is

no means

production, we are unable to see how the latest grave
pronouncement of the Chief Executive on the question of
wages and prices alters the situation in any essential way.
This apparent slight progress in understanding seems to
have led him to abolish the formal six months "waiting

practised iri international affairs;

full

This kind of

some

we are

not deceiving in this case—to have come
measure of realization that higher wages must of
are

necessity be accompanied by higher prices, and, in general,
in billions inthat a reasonable opportunity to earn a profit is essential to
stead of mil-

;

advisedly because

appearances

appointment fo such an epoch ally important positron in
"There
must
be a thousand
world affairs—which called for the equipment of an expert and a
trade practices which increase the
statesman—on party considerations in their most sordH oF<a«e, hiehcost
of a product, and not its
lighted a long-term vital flaw in our political processes. Unfortunately value.: The department hopes to
} the practice has become intensified; being epitomised—as was vig- see to it that a customer gets his
orously complained of in this column two months ago—in the nolit- full value for what he pays. Thig
ically-motivated appointments of ex-Senator Townsend, former Post- does not mean lowering * prof its.
master-General Walker at al.„fo the United States delegation to UNO.
Basing

had sprung full blown

Washington Jove, and tnat this plan
of action really assured postwar prosperity.
This is, of
course, precisely what a good many politicians around the
country would have the American people believe.
Per¬
haps they themselves are fully convinced that such is the
fact.
*
'
,
■
:

•

"the best deal ever reached on reparaJapan'C But what Mr. Pauley has actually .ac¬
complished along such lines is, to say the least, extremely obscure-*&particularly in> Japan.- -He himself :at the time of hisvappo.ntment
4 told
journalists with the utmost frankness and modesty of his
4 severe shortcomings for the position—emphasizing
his intention to
i depend on the abilities of the Associate Member and Minister, Isador
H. Lubin. :
4

simpler, and the problems confronting the business
would be much less troublesome, were it true that a

from the brain of

duality of interests, or from violation of "trustee

•

much

*.:T.-V. 4 '
4-r4:3>; •:
i'/i*-:! '-K:
The appointment of Edwin W, Pauley last April as American
member or ine international Reparations Commission, with the rank
-'sty'J•.

V5,

and

man

good profits-,'/ Tin for good wages,
too. But if you cut out the waste
in the cost of an item, you can

tory4authorities to
real if

profits : high and you also
(!the customer money which
he can take somewhere ' else."-—
on T Alfred Schindler, yUnder'-Secre-

they

are

maket this<rthan-

determined to do so.

y ./,;:,;y4 4

■

keep

Continued Uncertainty

save

4 J

Apart from certain special cases, such as steel, where
feature connected with the lecture
4 the facts of economic life delivered to the House Banking and Cur- itary of Comiherce, in announcing
specific dollar and cents price increases have been author¬
a Departmental campaign for re¬
rency Committee this week by Mr. Chester Bowles, Stabilization Adized,'uncertainty would appear to be about as great as it
■*' ministrator-designate
and Maestro of Planning Self-designate, con- duction of waste in industry,
has ever been.
Indeed for a time this uncertainty concernsists in discovering its greatest area of irrationality. After the most
'Mr. Schindler probably will net
(Continued on page 1008)
f*4
■
(Continued on page 1013)
Quite the most perplexing

us for reminding him that
apparently reviving one of
Secretary Hoover's programs of

thank

he is

the long ago.,

Senators Seek

Foreign Loan Data

him arid Secre¬
tary Wallace—or would congra¬
tulate them quite heartily if we
supposed for a moment that either
of them were prepared to go to
the real heart of the matter of
We congratulate

waste in industry.

But that would be anathema to

have
politi¬
cians who must have their pseudoreform and costly bureaucracy! f

the labor unions which must

their feather beds, and to

GENERAL

CONTENTS

Editorial
The Financial Situation.,,.......... 1005
yy>y''\:' -.y -»y > . •
y^y^y™^ .'4 ■
'

Regular Features

.,44

Observations

.'l',........... .V.:.. . 41005

Moody's Bond Prices and Yields....1016
Items About Banks and Trust Cos.. 1020
NYSE

Odd-Lot

Trading., 1017

Trading on New York Exchanges..

V/"

.1017

State of Trade

General Review

,.4y..,, ..J'r., V;. 1006

Commodity Prices, Domestic Index. 1017

Weekly

Carloadings..,

4,...,. .1019

Weekly Engineering Construction.

1018

Paperboard Industry Statistics... .41019

Weekly Lumber Movement.'

4,41.... 1019

Price

Index.. 1016

Fertilizer

Association

1016
4 li...1015

Weekly Coal and Coke Output
Weekly Steel Review.,... .4

Moody's Dally Commodity Index..,.

1016

Weekly Crude Oil Production....., .1018
Non-Ferrous

Weekly Electric Output.
Latest Summary

tistics

•

1018

Metals Market
■,..

i..410i7

of Copper.Sta-

■,

,44,v;4,:,.1018

THE COMMERCIAL & FINANCIAL.

1006

Ickes

Resigns From

Truman Cabinet
The

controversy

nation

slight decline occurred in industrial output the past week as

manufacturers curtailed production as a result of dwindling
of material.
Nothwithstanding the slump to lower levels in

many

stocks

production figures were about 30% above those
immediately before the war.
(Jnemployment on the other; hand
continued to rise last week as evidenced by the increased number of

industrial

initial

output,

compensa-^

unemployment

tion claims filed.
A few

and

duction

companies

some

details

field

tnan

steel and fnished steel in, order to

alleviate

hardship for the small
nonintegrated steel companies. ■

running 2 to 4 months
Radio production

are

that

and most deliveries in

week

be braised

This

for the

industry

plastic

some

price
prod¬

method, "The Iron
Age" points but, is for the pur¬
pose of attempting to restore or
keep the basic relationship be¬
tween the price, of semifinished

by shortages of silver and brass.
A strong demand was reported

the

worked out

are

others.

produc¬
continued to be hampered

plete operations. Jewelry
tion too,

final

when

that

will

ucts

unable to com¬

were

result

the

curtail pro¬
food canning

behind orders.

President

plants the
past week, but shortages of ma¬
got underway in some

Truman

had

retroactive date of Jan.

set

for the

factors, f* wage, advance, -but the steel in¬
The
conclusion
of
the
long dustry held out for the date on
drawn out steel strike which inwhich the men returned to work.
fr\T»
dustry ! so patiently " waited for (The official ending of the strike
came with the
announcement on came at 12:01 a.m. on Monday,
/Friday, last, by Reconversion Di¬ Feb. 18th.) Furthermore the price
rector John /Wf- Snyder iii Presi¬ advance is to take effect officially
dent Truman's behalf. -'The 25- the day the men return to their
day-old strike had a paralyzing 3obs. Since it will take some time
effect on business aud industry to work out the details of allocat¬
throughout the nation and has ing the price advance to various
terial remained limiting

...

/rru*

■

products, steel customers will

delayed our reconversion program and production ainis
seriously

an additional
billing to take
pf the difference between the
old price and the new, ;
;

care

On the basis! of 55,000,000 tons
of finished steel per year
(approx¬

Corporation plants officially

Monday of

ended at 12:01 a. m. on

re¬

ceive

by many months.
,
The strike at the United States
Steel

week, having started at the
same hour on Jan. 21, last.;'Com¬

imately the "output for 1945) the

menting on the settlement, Benjamin F. Fairless, President of tne

ton will

this

had this to say:

the

'.of

adoption by the Government
fair overall wage-price policy.

"In
was

our

not

crease

case,

products, because of steel prices
having been frozen by the Gov¬
ernment substantially at pre-war

although

levels,

labor

our

greatly

other costs have advanced
since

mounting

costs

result

The

1940.

and
these

against

pressing

price ceilings has been that most
of our steel tonnage has been sold
.

during the recent months at a loss.
"This strike settlement has been
made

by the Govern¬
ment's action in authorizing an in¬
crease of $5
a ton in the ceiling

possible

prices for carbon and alloy steel
mill
products.
A new govern¬
mental wage-price policy for in¬
dustry in general was announced
last night.
We are hopeful that
under this new policy, due con¬
sideration will be given,among
other things, to the financial olight
of the smaller non-integrated steel
manufacturers, fabricators
and
processors, about whose hardships
as a
consequence of higher labor
and other costs I have previously
spoken."
1
'
* .,
_

Steel Industry—After

loss

/approximately 6,000,000 tons of
steel and $60,000,000 in wages of
basic steel employees, the steel
wage-price issue has been settled,
"The Iron Age", national metalworking paper states in its review
of the steel trade for the past
'week.

•

Steel

•

workers

///•/://///-;: 7

will

their
18.50 an hour (President Truman's
compromise) which represents a
scaling down from the union's
original demand of 250 an hour
which

get

subsequently cut to
22.50, 200 and 19.50. The steel in-

7 dustry

obtain

average

ucts, the magazine adds.
'

■

■/.;

:
.

difference
,

make up for past accumulated
costs. The OPAin 1945 consistent¬

ly promised the
industry that
price relief would be granted for
these accumulated costs.
It is to be expected

wage-price

■

that

settlement

the

1940.

the nomi-,
Truman of

over

President

the

Interior.,

Mr.

Corp. and on wages between the
Corporation and the union

will be accepted by the rest of the
industry.

The length of time it will take
for the industry to reach prestrike

operation / levels
weeks.

may

into

run

Some

companies will be
step up their operations
rapidly, while others may require

able to
from

the

one

two

prestrike

months

ingot

rate

before

is ; ob¬

tained, the magazine states.
A

large number

steel

pro¬

ducers accounting for a small
prof
portion of total steel output may
find

the settlement made
by the
large steel companies difficult to
digest.
This is especially true on

the

basis

loss

figures

during

the latter part of 1945/This, out¬
look is believed to be one reason

why the OPA consistently refused
to agree
increase

prices

would

have

accentuated

forces

2,000-word

finished

steel/and

products. "./

dis¬

The

American Iron ard
Institute announced on
of this week the
steel

steel

/ :y

Steel

Tuesday

operating rate of

companies

having

94% -of

the

steel capacity
will be 15.2% of

of the industry
capacity for the
week beginning Feb.
18, compared
with 5.5% one week
ago, 5.1% one
month

and

96.4%

ond1 year
This represents an increase

ago.

ago

9.7 points or
.

176.6%

ovei-' that

of the previous week.

This

/ "As

operating rate is
equivalent to 268,000 tons of steel
ingots and castings and compares
with

89,700

96.900

tons

tons
one

1,765,700 tons
Electric

week

month

one

year

Production

—

ago
ago.

ago'
and
/

;

The Edi¬

Electric Institute reports that

son
•

one

(

Continued, on page'. 1011)

Government

has

dis¬

plies

your

testimony,

feeling

veracity

issue / 01

Mr.

Pauley

and myself, I am ready to appear
before any competent tribunal at

time,

any

should

although

want

announce

one

that

course

would

not

form/ its

opin-f
ion in advance of a full and carej
ful
0Opsidecaticp of ■/all of the
evidence.":/
*
The

even

Mr.

relieved

leave

)

requested to be
March ^1 in order to

the / affairs;

of the Interior
Department in shape for his suc¬
cessor, but the President ia - ac¬
cepting the resignation made Feb!
15 the effective date. To take over

the

duties; of the Department
pending the appointment of a permanment Secretary, the President
designated Oscar L. Chapman!
,

who has served thirteen years
an

Assistant Secretary: '

As successor to Mr.

Ickes, Who
March 4 would have completed
thirteen years as Secretary of the
Interior/ Justice William :01
Douglas has been mentioned as
on

British

Newfound¬

Bermuda

and
Caribbean
United States commercial
will receive most favored

areas.

mercial, traffic

and

1947

tories

will»

and

factory

thus
and

Jamaica

all

were

said.
countries

available

ai¬

effect

re¬

indefinitely

and

United States cities at which
British planes on world-wide
hops
would stop include . New York,
,

New Orleans, Baltimore, Wash¬
ington, Miami,; Palm Beach, San
'$i

\v-"

Applications

dis¬

for

the

For Dwelling Units

mater¬

Applications / covering
62,252
dwelling units were received by

pany, the Department of Agriculture and the Metals Reserve Corwas

will

opened to airlin¬
in Trindad
and

of the aiTangements.

S./CpmmerciaiCom7

poration, it
hemisphere
$200,000,000

fields

purchase of supplies and
ials by the a

satis¬

avail¬

are

LFrancisco and Clpcago.
abroad, ! >.%//-/■« »/—t—i

non-military

abroad

were

During the quarter about twothirds

bursements

airfields

may be terminated 011 one year's
notice, according to the Associated
Press.
Thirteen global routes ate
planned by the United States, and
seven by the British, on the basis

ments abroad to U. S, troops total¬
ing $341,000,000; $351,000,000 spent
on supplies and materials
abroad;
a payment of
$105,000,000 to China
as financial aid; heavy remittance
es home by U, S.
troops overseas
totaling $73,000,000; a total of
$77,000,000 of payments received,
for lend-lease goods; and $87,000,-

sales

terri¬

The bilteral agreement will

dollar transactions were
the continued high level of pay¬

the Clearing Office said,

-in

other

ternates in case of bad weather.
main

from

able.

ers,

000 "redeivfed

fields

which

civil

ana

Fund, International
the United Nations

"Leased bases in Bermuda, An¬
tigua. St. Lucia and British Gui- /

sugar,

Highlights of the September 30

had

occupied

quarter

Ickes

was

opening

the

land,

Relief and Rehabilitation Admin¬

night, Feb/ 13/ Mr/
the radio to explain
the public the reasons for the
same

from

armed

materials-and

istration.

ref

reckless!^

On -the

between

and

curren¬

high level because of
heavy purchases
of

raw

Bank,

judgment on a question of
veracity between Mr* Pauley and
myself. After all, I am a member
of
your
Cabinet at your own
pass

dealing

International

President of the United States, to

for

called

and
increasing
United
States
loans abroad and payments to the

record, it was not proper
although you be the

putation

on a

scarce

for you, even

with the truth.

1946

years

continued

hearing and presumably had not

liberated

field offices of the Federal Hous-

Westerning Administration during the
supplied | first 15 working days under the
or 75 % of this total, new preference rating
system for
with
Cuban
sugar,
Canadian veterans' housing, FHA Commisaluminum and Chilean copper the sioner
Raymond M. Foley *• ^adma j or items procured.
nounced on Feb. 8.
During the
.

Most

the

same
period, FHA offices pro¬
quarter were cessed and issued priorities covercontracted for before VJ-Dav, and] ing 31,056 dwelling units with the

chased

commodities pur¬

during

the

requirement that construction
mnst
started within 90 days.- It

these commodities are
short I supply and
are
needed either for immediate U. S.'
of

many

still / in

announced that of the applica-

consumption or for reserve stocks,. tjons received from Jan. 15, when
the
system
went
into effect,
Clearing Office said.
I through Feb. 5, 45% were for
I
units to sell for less than $7,500 or
the possible choice of the
Demo? f
to rent for less than $60 a month.
cratic
Committee
Chair mah
Of the total authorizations, how¬
Robert F. Hannegan, who is also
Postmaster General
man's cabinet.

Mr.

Mr. Tru¬

Chapman has

the

Sign Anglo-American
Airline^Treafy

The

•

candi¬

Mahoney (D.-WyoJ.

tee

New

York,

through

Chairman, R. F. -Loree

its

made

on Feb. 13 the
following
circular of the Currency and Ex¬
change Control Board at Hamil¬

ton, Bermuda, dated Jan. 1, 1946:
are

Kingdom
not

legal

Currency
tender

Bermuda, and the Banks

are

in
not;

permitted to accept them for de¬

posit ;or exchange.

Prospective

visitors

should be warned to
this effect, in order to save them

inconvenience

and

Civil

less

than /$60

month.

system's operation.
vices also state: //

signing/on

Feb.

the

agreement authorizing

since

un¬

limited number of flights between

that

the

two

countries

rates to be fixed

economic

by inter-govern¬

embarrass¬

ment.

for

28%

Bermuda, Feb. 12. the commercial

/ / '

of each

country are per¬
mitted to use the airports of the
other as stepping stones on global
flights.
There will be no restric¬
tions on'either country in determ¬
ining the number of such flights
planes

to be

made by its air

fifth

So-called

lines/77;

freedom

traffic

Associated Press
This will allow an air¬

is authorized, the

continued.
liner. en route
countries

between

pick

the

two

rnssenvers

and traffic bound for a third coun¬

try. and will allow economic op¬

/, ! ; Signed—C. A. D. Talbort;
eration of. .the long-line services
■:
Secretary." ■ with which both Britain and tyie
/•/.
} a. /'../"^
< r,
/•*/,'
irC-'Tv/C l-Zk
M
I".'-1'.
t

■*.

the

These

been fairly consistent
few days of the

first

The FHA ad¬

7
.. ^
detailed analysis shows

almost

fourth

the

total

number of units applied for were
to.sell for less than $5,500 or rent

ment, the Associated Pres^ reoort?
ed in its advices from Hamilton,

available

"United

American

mental action. Under the arrange¬

Foreign Exchange Commit¬

ratios have

/ The

Anglo

Aviation Conference, in session at
Bermuda since Jan. 15, resulted in
United States and Great Britain of

United Kingdom Currency7
Notes Not Legal. Tender 7'
In Bermuda

ever, 58% were for units to sell1
for less than $7,500 or to rent for

the

as: a

to commercial
traffic many of the
military air
bases built by the United States.
Government on
territory- leased

remain

that,

request and 1 do not haVe

reached

fiscal

since you were not present at the

read the

agreement

States

on troop pay
sup¬
will decline, the aggregate
disbursements abroad during: the

Mr.

statement that I
might have been mistaken in my

Notes

week's

States

'
1
/777/
planes
During; the quarter erideel Sept.: nation treatment at
these bases.
30, 1945, U, S. Government dollar
"The bases originally were
disbursements
and
.receipts leased
with
the
/understanding
abroad continued -near fiscal 1945
they would not be used by com-;
levels with expenditures totaling
mercial
planes,
the
agreement
$955,000,000 and receipts $362,said,/but/there are now obvious
000,000.
Although military ex¬
advantages in opening to
com¬
penditures
and

Ickes declared:

also been mentioned

finished

•-

letter

areas.

"untenable."

this

(sometimes

"military" or "invasion"
cies) were "used by the

advising the President in his lettei
of resignation that the latter had
made his position as a Cabinet
member

United

paid out or received,
Clearing Office said.
Such

the

Mr. Ickes could have been wrong
and this was the basis for Ickes

date; also Senator Joseph C. O'-

the

United

were

currencies':

concerning Mr. Pauley

board

parity between the prices of semi¬

program—the

des'/, for which

ments to the Senate Naval Affair.

Committee

Which

the

across

steel

Day.77''77Z-/7//'7'

dollars

continued to firmly support. Mr
Pauley. ; The President had tolc
a
press conference/according tc
Associated Press Washington 'aidvices of Feb. 13, that, in his state¬

action he had taken.

Steel

Purchased Abroad

foreign lands nearly $15,000,0:00,000 and has received
$5 ~
000,000,000 as a result of foreign transactions, according to a
compila¬
tion by the Clearing Office for
Foreign Transactions, reported by the
Department of Commerce.
r'-i
<
s"\
In addition, the United State: <S>——
—
——-——„7

nominee totally unsuited for the
post, in spite of which Mr. Truman-

agreement

prices between the
U, S. Steel

July 1, 1940—roughly the beginning of the United
States

production

bursed

Continued

Ickes went

Commodities

vigorously opposed the
appointment of Mr/ Pauley, and. Government - during, this..period United States are
planning to enended Sept. .30, 1945, spent $1.- circle the
told the Senate Committee which
world./The Associated
was
842,000,000 abroad and received Press also said: />//
considering' its 'Confirmation
that he regarded the President's .$1,900,000,000 in "special tnirren-'
«A second

will

government, and .the

Since

war

his post in the Truman cabinet, as

Secretary

After V-J

Pauley, California oil
man, to be Under-Secretary of the
Navy, resulted in the resignation
on Feb. 13 of Harold L. Ickes from

High Levels of Disbursements Abroad

Department Reveals $15 Billions Disbursed Since
July/1/

Scarce

satisfactory' to.. all steel
Companies.
However, the major

not:

was

increase of $5 a ton on carbon and
'alloy steels.
Two weeks will be
'A
required to allocate $4.50 of the $5
advance
among
various
steel
;
products.
Three weeks will! be
required to distribute the remaining 500 a ton among steel prod¬
'

The

./.

r-i

notes.

willfall/far; shortof what the
industry has claimed is necessary

increase .steel

wage

possible without an in¬
ceiling prices for steel

$183,000,000, the above; trade

authority

dispute, we have taken the
.position that wages could not be
separated from prices, and that
present country-wide industrial
strife could not be solved without
wage

■

average

advance of 18.50 an hour will cost

about

this

bring the industry about
$275,000,000 a year, while a wage

'■ :,

beginning

the

"From

price advance of

Steely Corporation

States

United

•

Commerce

;

.ii-

Edwin

Thursday, February 21, 1946

h Reports

Ickes had

\
This jprice advance is not an
departments in tire plants \ across-tne-board adjustment with
-

found it necessary to

—

CHRONICLE

less

than

$50

month, while

of the units authorized

under these amounts.
"

Under

•

were

/>'

•

ri 7;

the

preference/rating
system, FHA acting under a dele¬
gation of authority from the Civil¬
ian Production Administration^ is¬
sues priorities for 11
building ma¬
terials

now

in short supply either

to individual veterans

to build¬

who agree to construct hous¬

ers

ing to sell for less than $10,000

unit

rental for less than

$80

month. The accommodations must

be held for sale.or rent to veterans
of World War II

during the, course

and

construction

thereafter.::
/;//-b■

•

for

7Z"7" ■■!

month

'/]""?." /::"
'/■/

Secret U. S. British Yalta Pact With Russia—

ABA

Regional Savings
Billion Dollars in IS45—Net 23.2^ Lower And Mtg. Conference

Class I RR.Oross

Earnings Off Over Half

-Class:-!^ x^ili'oads

Some of the most

tJnite^; States, representing

the

lems

$667,200,000 in 1944, according; to reports filed by the carriers with
the Bureau Of Railway Economics of the Association of American

mercial

Railroads, and made public on Feb. 11.
;
•
Net railway operating income/^
before interest
and rentals,v of District in 1945 had an estimated
income after
interest rand
those roads in 1945 amounted to net
rentals of $168,000,000, compared
$849,779,893, compared with $1,-

and

106,384,412 in 1944, adds the Asso¬
ciation, which further reported as
follows:
'
'
■
'• - '" ;
f;' The
decrease
in net
railway

with $266,200,COO
Those

decrease in traffic due to the ces¬

sation of hostilities in both Europe

Pacific; increased operat¬

costs due to higher wages and

ing

vincreased costs of fuel, materials
and supplies used in connection
With railroad operation; and in¬
creased charges to operating ex¬
penses for accelerated amortiza-

624,211 compared with $455,399,-

■

the

of road and

operating revenues were $613,691,363, a decrease of $143,166,299,
or
18.9%, under December, 1944.
Operating expenses for the year
amountedvto $7,051,809,332

,1945

in
.

Twenty-eight < Class I, railroads
failed to earn interest ahd: rentals
in 1945, of which. 12 were in the
■

.Eastern
District, five in the
^Southern Region, 11 in the West¬
ern District.
Eastern District
Class. I railroads in

the Eastern

CLASS I

1/ V'

(

*'v

r'£.

Total

Southern Region

South-.,

Class I railroads in the

ally

Western District

ment

after : interest-i and
$235,000,00(1 Compared
With $303,800,000 in 1944.
j

had

Those same roads : in-? 1945

railway operating income j
before
interest and
rentals, of
net

$391,994,701, compared With
758,923 in 1944.
Operating revenues of the

$487,4
Class

Western District
in 1945 totaled $3,907,063,309,, a
decrease of 2.8% compared with

I railroads in the

China" and

the

memorandum

month

Truman
a

had

arrangement

vealed.

asserted

had

been

;■

—-

—

Income,

■

-jr'K-j.,

;

6,282,062,686

7,051,809.33/

The

New. England

business

anxious that

between

Soviet

Republics

^The

Com¬

the

Outer

status 4 quo

understood

667,200,000

Aug.

China

further

Secretary

assistance

from

stated

that. could

come

simultaneous attack from

House Group Approves

Young Heads Federal
Reserve of Chicago

Postal-Treasury Supply

that the-pre-eminent

interests of the Soviet

Union shall

The, Board of Directors of the

approved

floor for debate

Shall retain
Manchuria;

Federal Reserve Bank of Chicago

The House Appropriations Com¬

mittee

safeguarded and that/China
full sovereignty in

and sent to the
on

Feb. 12

bill

to finance

operations of the Treas¬
and Post Office Departments

ury

Islands shall be for the .fiscal:: year?'commencing
Soviet Union.
July 1, in the amount of $1,604,"It. is 4 understood, - that " the
556,904, ; according to Associated
agreement.concerning Outer Mon¬ Prefcs Washington advices of that
golia and the ports and railroads date, which added that the actual
•referred to above will1 tequire cash
provided is $29,660,250 below
concurrence
o:f;- Generalissimo
budget estimates and represents
Chiang Kai-shek.
The President only about 10% of the total funds
"3. The Kurile

handed over to the

announced pn

Feb. 1:1 the appoint¬

will

take

measures

order to

1,770,000, and female unemploy¬
500,000 during the Janu¬
week. The Census Bu¬
reau
does
notcount as, unem¬

ment at

ary census

pbtain this concurrence on
from Marshal

Stalin.

advice

"The heads of the
powers

have

handled
Of

the

061,440

three great

that, these
claims of the Soviet Union shall
December.
The
withdrawal
of >e unquestionably fulfilled after
Japan has been defeated.
•
women from the labor force ac¬
"For its part the Soviet Union
counted for all but a small part
expresses its readiness to conclude
of I this' increase;
with the. National Government of
„

report from the
Dept. continued:

V "The

the Allies ori crindition that:
*

merce

and the
signed at Mos¬
and subsequent
agreements.: between ; these I two
governments.
t'
cow

by the establishment of a joint
Soviet-Chinese' company, it being

conferences.

"I The

entirely by the provisions of the

treaty

take

bankers

men' employed increased by'about T,200,000: b'e- ment of C, S. Young as President,
fweeh December and January, while the number of women employed
and; of Charles B. Dunn as First
Showed a declined mnre than.800,000,.Recording .to Director;J.,C;
Vice-President, of the bank, each
Capt, Bureau of Census, Department of Commerce; who on Feb. .7
released preliminary estimates of employment sand unemployment for a term of five years beginning
1, *, These
"drived from the Monthly Report on .Labor Force, a cross-section sur¬ March
appointments
vey of the civilian population. Asf
have been approved by the Board
the number of persons looking for
a
result of these changes, f total1
work occurred" among men. Male of Governors of the Federal Re¬
employment in January was esti¬
."
>.
:
mated
at ■ 51,720,000,
or
almost unemployment was estimated at serve. System. ■
,

but

two-day

attendance at the

of the savings

.66,57

825,959^41

omitted."

The number of

in Decem¬

between

Republics

controlled by this
are
governed

way

that he himself

pact a short; time beforo
leaving for the Big Three confer¬
ence at Potsdam last July.
A
statement
from
Secretary

1,846,096,826
1,106,384,412

Empioymesii and Unemployment ist January
Reported by Commerce Dept.

Soviet

informed of the terms

the

are

been ret
President

: ago

relations

the

$9,436,789,812

849,779,893
(estimated)-—r. 453,000,000:.

greater than

the

that

Japan as that nation would have
immediately
attacked Russia if

1944.

Of 15.2% above

"Net

400,000

arid

Republic

party to the agreement

1944, while operating expenses
totaled $2,936,234,526, an increase

railwaV operating incfTearnings before charges)

ber.

not

was

until the defeat of

secret

ernment of the Chinese

Mongolia (the Mongolian People's the Soviet armies on the Eastern
Republic)' shall be preserved; ?
Front.: Had the Japanese learned
"2/ The former rights of Rus-j of this
pdrtUhiTytQ 'talk with thesemen,"
agreement they would have
Mr. "Converse says. "I suggest that sia violated by - the treacherous
immediately attacked Russia. That
you
come : prepared
to discuss attack of Japan in 1904 'shall be would have necessitated the re¬
specific problems, and that you restored, viz: - f? ?:;4*- ..4,
moval of Russian troops from the
arrange for a definite appointment
"(a) The southern part of Sak*> German front toward Japan at a
with" those faith whom \ybit wish halin as. ,woll as all the islands
time when Russia was starting the
to consult."".?
The^staff members ridjacririt to it shaH briYettirned; to final drive which brought about
will' be available and -appoint¬ the Soviet Union; ■
^
the collapse of the German Army
ments wilp be; arranged' at the
v; "(b) The
commercial1 port of on that front. " \
conference
registration" bead- Dairen shall.be internationalized,
"The Secretary stated lie learned
quarters.
the pre-eminent.; interests of; the
that
an
agreement
had
been
Soviet Union in this port being
The number of formal addresses
reached on this subject on Sept. 2,
safeguarded, and the lease of Port after the
at each session of thes conference
Japanese surrender on
has be'eh limited in order to pro¬ Arthur. as ' a naval base of the
Aug. 12, and at his press confer¬
.
vide time for'-a'full arid free dis-f tJ. S. S.'R, restored; ence
on
Sept. 4 announced the
cussiori of the various subjects
(c) The Chinese-Easterii RaiL existence of such an
agreement."
i?oad and: the SoUth-Manchurian
from* the ;floor.
The fordm Ses4
sidns have always been considered Railroad which; provides an-outlet
6ne of "the most .valuable features to Dairen shall be jointly operated

Taxe?perfttIng ratir~per c!nt:::I::::::::::::::::::

making public this agree¬
the Secretary of State called

advantage of the convenient op-<

net■>' income

rentals

rin?

our

the Western

Class I railroads in

.Net

■■

agreement

connected: with conventions

conference; ' "I

District ;iri 1945. had an: estimated

operating

after charges,

"In

Byrnes accompanied the Feb. 11 that it is evident that this agree¬
release of the agreement.
The ment was regarded by President
conference will consist of morning
text of the agreement and of Mr.
Roosevelt, Prime Minister Church¬
and rentals, of $50,000,000- com¬ and afternoon sessions: On Thurs¬
Byrnes' statement, as given by the ill and Generalissimo Stalin as sl,
pared with $97,200,000 in 1944. ' '* j day the two sessions will be de¬ Associated Press in its Washington
military .: agreement
and
was
voted primarily to savings man¬
Those same roads in 1945 had
dispatch, are given below:
marked; top secret.
The agree¬
agement problems. On Friday the
a
net railway operating income
ments were based upon Russia's
sessions are under the direction
Secret Agreement
before
interest
and
rentals of
entering the war. The Soviet mili¬
of the A.B.A. department of Re¬
"The leaders of the three great
$115,160,981 compared with $163,-:
tary leaders advised our military
search Mortgage and Real Estate
powers—the • Soviet Union, the leaders that Russia could no c enter
226,359 in 1944.
Finance, and particular emphasis
Operating revenues of the Clas^ will be placed on merchandising XJnited States of America and the war until 90 days aiter the
Great Britain—have agreed that surrender of
I railroads in the Southern Region
Germany; that it
of mortgages.,
.in two or three months after Ger¬ would take them that time to
in 1945 totaled $1,229,534,611, a
In keeping with A.B.A. policy to many' has surrendered and the
move their arms to the Japanese
decrease of 7.8 % compared with
1944, while
operating expenses bring the Association to. its mem¬ war in Europe has terminated the front; At that time, Feb. 11, 1945,
bership, a representative group of Soviet Union shall enter into the our armies were attacking on the
totaled $950,069,777, an increase
thb*iA&
will war. against Japan on the side of
Western Front. They needed all
of 13.2% above 1944. - •
.
' '
:

HAILROADS-—UNITED STATES

—

today.

attention to the fact that the Gov¬

Converse says in a letter to

Will be

Region in 1945 .had an esti¬
mated net income, after interest;

31—

revenues...^—
operating expenses———

will .be

said that he

ment

.2,200 banks in the conference
area, "entertainment features usu¬

1944

Twelve Months Ended Dec.

•

meeting

Feb.

only on
Sept. 2 last, insisted that it had
been necessary to hold the docu¬
the

ence

the

r>.

ern

compared with $6,282,062,686
1944, an increase of 12.3%. f'-

the

"Since

,Mr.

•

compared; with

who

its kind
publica¬

himself had learned of the exist¬

program'

of 9.3% above 1944.

operating expenses and taxes, but
before interest, rentals, and other
fixed charges are paid.
Total
operating
revenues
in
"1945 amounted to $8,902,349,173
compared with t $9,436,789,812 in
: 1944, a decrease of 5.7%. For the
month of December alone, total
-

the

•

Mr. 'Byrnes,

shirtsleeve! working, conference,"

1944.

tion.

an¬

while operating expenses
totaled $3,165,505,029, an increase

equipment as
shown by the books of the rail¬
ways
including materials, sup¬
plies, and cash. The earnings re¬
ported above as net railway operating
i n co me
represent the
amount left after the, payment of

value

Moscow.
declared

:
*issimo Stalin, signed at Yalta on
; 11,
1945, has been released

the last of the war-

was

time* arrangements

which is being
resumed again this year.
It wai
hot held in 1945 because of war¬
time travel restrictions,

1944,

investment
averaged
3.05% in 1945, compared with a
Property ^investment

Feb.

public simultaneously in Washington, London and
on the secret pact, Secretary of State Byrnes

heretofore withheld from

Savings

Mass.,

it.

that

for the conference;

Operating revenues of the Class
I railroads in the Eastern District
in 1945 totaled $3,765,751,253, a
7.8 %

Cents

Worcester,

nounced

130 in 1944.

Five

Worcester

Russia

Commenting

Con¬

Mr.

made

was

Savings

who is also President of the

Bank,

property

rate of return of 4.0% in

Association.

Bankers

1945 had a

verse,

decrease

discussed

Regional

Mortgage

railway operating income, be¬
fore interest and rentals, of $342,-

tion of defense

proj ects.
The rate of return earned

in 1944.

roads in

will

banks

Eastern

the

Conference to be
held at the Hotel Statler, Boston,
Mass., on Thursday and Friday,
Mar. 7 arid 8, according to Myron
F.:
Converse,
President
of the
Savings Division of the American

; net

roperating income" in 1945 com¬
pared with 1944 was 23.2%. This
decrease resulted largely from a

I and the

same

a year ago, through Premier
Yalta, for entering the war against
Japan were disclosed on Feb. 11 when the text of the secret agree¬
ment between the leaders of the United States, Great Britain and Russia

made

Stalin at the Big Three meeting at

banks

savings

savings departments of com¬

and

Kurile Islands Given to Soviet
conditions

The

pressing prob¬

confronting

221,868 miles, in the year ended Dec. 31, 1945, had an estimated
net income, after interest and rentals, of $453,000,000, compared with

1007

FINANCIAL CHRONICLE

THE "COMMERCIAL &

agreed

Post

■

by the two departments.
actual

new cash, $1,279,earmarked for the
Office 4, Department,
and

-was

$325,495,500 for the Treasury.
A large

part of the Treasury's

fund, said the Associated Press, is
,designed ' to
finahce
a
drive
against 4 what
has
been
called
"black market operators and oth¬
.

who was not
because'he had
ers with war-swollen incomes* on
a job
at which he did not work
; Preliminary estimates for Jan- China, a pact of friendship and which they have evaded taxes. It
by the fact.that large numbers of during the entire census week be¬
dalliance between the U. S.'S. R. was added that Fred M. Vinson,
uary and final ^estimates for De¬
"Veterans succeeded in finding jobs cause of labor dispute, -temporary
and China in order to render as¬
Secretary* of J the Treasury, told
cember are shown in the follow¬
upon entering, the labor market. lay-off with definite instructions
sistance to China With its armed .the Committee there is "growing
The decline in female employ¬ to return to work within '30 days ing table:
forces for the purpose of liberat¬ evidence of widespread tax eva¬
ment
between
December
and of lay-off, illness, vacation, 'or bad
4 Persons 14 Years
ing- China
from the . Japanese sion" and asked for funds to re¬
of Age and Over i" ;
-•'*-*
Employment
:
January reflects the .usual .sea¬ weather.
workers,
,yoke. *.4444444*:; cruit 5,000 additional
Deoember*
Status—
January"
sonal decrease in both agricul¬
*.t: The December-Jariuary; changes Civilian latior force
"February 11, 1945/ lr;
53,310,000
53,990,000
largely war veterans, to handle
tural
and
nonagficultural em¬ in employment and unemploy¬
:
Employed'
51,360,000
51,720,000
the situation. ;.
"J. STALIN'
* • v
Unemployed
1.950,000
2,270,000
ployment, although this year's ment brought theffcivilian labor
:
' "FRANKLIN
D. ROOSEVELT •: William T. Sherwood, Assistant
Net in labor force_
44,720,000
45,780,000
crop was considerably larger than force to a level of 53,990,000, a
"WINSTON S. CHURCHILL."
^These figures include am adjustment for
.Commissioner
of
the
Internal
in former years.
/.*; *\ ;
the
in male employ¬
ment in January is accounted for
The

increase

ployed a person
looking for woTk

-•

? •

;

V-

•

Unemployment ■ increased
hy
slightly more than 300,000 from
; December, reaching 2,270,000 dur¬

figure almost 700,000 above De¬

*»

of January 6-12. As
ilnivthe past months &nce -,V-J
ing the week

Day, almost

all of the increase

ill

cember.

'■{' ;*

recently

not

■

discharged

veterans who had
and who
adequately
repre¬

over

years

age";and

outside the labor force num¬

bered

;45j780,000^or

million

above

the

than

estimate

for

therefore,

sented

C00

Persons

December

(estimated at 1,300,^
and 750,000 in January).

the

not

sample
of

statement

procedures-

the

will be

making, this "adjustment
in

the

January

release

are

•

to their homes

yet returned

werer

^"n

final

the

published.

used in!
presented

figures
^

for

Mr.

Byrnes' Statement

agreement be¬
the President of the United

"The iext of the

tween

States, Franklin D. Roosevelt, the
Prime Minister of Great Britain,
W'instrin

Churchill, and General-

.Revenue
at least

Bureau,

estimated

that

$1;000,000,000 in addition¬

al taxes will flow into the Treas¬
ury

drive,

one year Rs a

4**'>:4.'

■■:

result of the
-

'•; '

COMMERCIAL

THE

1003

FINANCIAL CFPQNTCLF

States can be convinced
-thatj
stable
prices . (in ; theory. at
least) are to be preferred to
,

The Financial Situation

(Continued from first page)

ifig the real attitude;'of the
Federal
prove

authorities

than

greater

the

past. Surely, the transfer of j
Mr. Bowles, the anomalous ;
official
tleman
tive

economic aftermath of war.
Only by measures such as

position of that gen¬
relation to his

puta-J

these

ington

which'have very

hardly suggest a clearly de¬
policy with respect to

fined

±, '■

stone to

there is little
hope that six

months hence or a year hence
it could not be done again. If

which

shall

ever

saved is the hard way—pay¬

findings, it is pointed out that

The

ture

Department

will

exercise

Agricul¬

direct/ control

tgirded't

oyer exports of wheatMS

safety.

tlOllS Of O'FPPf'Acf
tions of greatest need.

a
v

"Times"

n e

tor

mmum

1? facilitate

_r,J'.

advices

from

Washington added:
all
home-grown and imported
food supplies available or in sight.!
While the study upon which the
estimates

made covered only

were

Necessary steps will

xxie
The esixxnaies take inio account
estimates laxe into account

movement to destina-

this

il?

fats and oils,
°f hieat,; of
P°unds is to

unv

l??1

"u.vu

be taken
; calendar
'-axexiuax-

JwiP
uf,?a?i'5Y2■''during-The first
0v«r3
? Land to increase the
Ko

fuller, richer life ing through the npse badly calories, adequate supplies of
air? Products, par¬
permitted to enough and long enough to other nutritional elements, such!
as
proteins, fats, vitamins /and :m: 11> ■ ■ ■
cheese and evaporated
spend themselves in a brief bring us to our senses. That, minerals which
are also essential,
*
orgy of inflation and dis¬ of course, would be a long- are even a less satisfactory prosThe. War and Navy /Departaster.
drawn-out and costly way to pect than are calories.
ments already have aided maa

•

■

A vicious battle XO
VivlUUO UattlC is

supposed
be.

:"i*

"■

Whether the President real-

this

now

reason

rather than be

not. be,

that

purchasing
shall be /a stepping-;

power

tQ haye been in

hind

defeat as the
says, he. hopes. |

pushed back

determined

resources

.and ultimately

■^contained
President,

*11

country shall avoid the this type of bosh can be made
misery and disaster of in¬ to prevail now, it would ap¬
flation and that our vast
pear that about the only way

him as a sort of. "Battle
of the
Bulge" retreat, al'fbough we are quite certain
tliat the legions of his ad¬
versary (in this case, natural
V,'

an inter-gbv
Chairmanship of Philip Noel-Baker'of
Britain, issued a report on Feb. 6 of its study of food
condi¬
tions in Europe and the resutlant estimates of
food available for
consumption in the next few months., According to the
Committee
whose members/ are Belgium,
Denmark, Greece, Luxembourg " Thp»
Norway, Trrkp^ thr^
"j":
vi
United Kingdom and the United/ at the
"minimum • necessary- for
States, for several months 140,- aistribution purposes. •• ,

Great

reporting the committee's

complished
or

I welcome this because I
am

upon

equi¬

Emergency Measures

Committee for Europe,

the national economic sta¬

necessity of paying higher
Wages; for less; work could
well find particularly reas¬
suring. •; ,We think that the
President, in a sense, is quite
correct in describing the ac¬
tion which has been forced

forces)

be led

to believe that economic

can we

bilization program.

prices which the ordinary
business, man faced with the

economic

and if

can

recently come out of the Of¬
fice of Price Administration,
,

howlers;

the rank and file

controls

our

and various

politics,

Tram Directs

The Emergency Economic
ernmental body under the

hope to retain librium and smooth funcn
as a
people tioning in general can be or¬ 000,000 persons will have to sub- |
5.,Specific preference'will'be
sist on an average total diet of, given to
over our own economic fu¬
the rail movement
dered by official fiat> then we
of
2,000ncalories a day, and about wheat, corn, meat and
ture. But even these meas¬
othc esmay as well reconciled our¬ 100,000,000 will receive only an sential l'ocds
in order
promptly
ures will fail us unless the
selves; to much that is un¬ average of 1,500 or less per person. / to export maximum quantities tn
Tn
ihA
aicwnt,
American people dedicate
In .the
special
dispatch" from The
destinations ' where
pleasant for a long while to
most
themselves to support, of come, for if this can be ac¬ Washington to the New York needed.,
•.
■
"Times"

adversary in inner Wash

indications

in dealing with the professional

sary

EErcpean Food Sborlago
i

adequate supplies of goods/if
)■/,"

found neeessary during;the the public can be frightened
war may.: continue to be out of its wits
by the inflation
exercised wherever^ neces- calamity howlings among the

may %

Thursday, February 21, 1946

the

ton

scenes

between

headed

and

somewhat

PUMUvOCU

progr^s
in

the

by Mr.
more

learn what should'be obvious
to

moder-

All

this

other

Feeding the Flame

Bowles

was pointed out that an averdiet of 2.650 calories in addi¬

tion

Wash.
extrem.

It
ase

begin with.

nutritional

been

disheartening

enough in its

own right, but
it is not the full story.
Once

quantity

necessary

elements

has

recommended

UNRRA

by
the
Committeeas

Food

necesary for full health and -effi/

pine

niovement of Philip¬
copra

from

(the

which

raw

cocoanut

material

oil

duced) by releasing 200 LCM

?„b°ats f°r the inter-island
the
in

pro¬

and

trade

Philippines. These depart¬
Shipping Ad¬

ments and the War

ministration

will

take immediate
The report warned:
ciency
he and Mr.
steps to make available the addiatelelements which are pre"A
the public is convinced that
really fig _ti &
seri0"f gap. betweerv food j tional,sh^neededafor this^ur
sumably more disposed to
supplies and minimum remure- ' nose.
uns pur
pose.
rear-guard action, which at w■■ American inHnstrv in a what is called "inflation" can
free A.^prinan industry in a
ments remains for many millions
The
best can but retard the prog¬
Secretaries of War and
be prevented by fiat, and -that of
measure
people in Europe."
at
least; from the
Navy will release for the move¬
ress of their adversaries.
the wages of economic sin
The same day, Feb. 6, President
shackles of government con¬
ment of food to
Europe all reneed not be paid, provided Truman issued a statement in
frigerated ships not essential
trol, regulation and intermed¬
to
Lack of Understanding
which / he /declared
that|food the maintenance of the
some
Chester Bowles stands
flow of
dling. The extremists are cur¬
shortages in Europe were so acute food to the
And what disturbs *us most
armed forces
rently credited with winning guard over his - own, then that only through "superhuman j
q
J
about all this /is precisely that
what is*; there to warn the eforts" could ^mass starvation be
the fight.
| fl1 *
Department of AgriculHowever that may
the V Washington
rank Land
file
authorities
effectively averted. /The President^fdeclai-edB^iiS r
i grain now
be, it is clear that the Presi¬
that it was iricumbenf upon the
being used in
do not really appear to under¬
gfam tiow being tised ir»
the
dent tis. now ,a very definite against further feeding the American
feeding of livestock and poul
people. tp cooperate in;
^vestock and poulstand their position.
They advocate of
flames of inflation through
try could be
**
erhergeney^ measures^^ which^^ it was
postwar; controls
human food. ; ^onserveci for use as
■seem, on the 'contrary, deter¬
endless—and we had almost hoped might relieve the
under formulae which offer
situation, i
a 1°?<a*
mined to "fight on. to the last
said boundless
These steps may include means
budgetary and outlined measures which the.'
absolutely no prospect of ter¬
man"—which can only in the
deficits ? Or by permitting the Government would take, as fol- to obtain the rapid marketing of
mination
within
the
fore¬
lows,
according
to
Associated »"eavY hogs, preferably all those
end mean tremendous dam¬
seeable
future.
Far
from worship of a vanishing inter¬ Press Washington advices:
| ®ver 225 pounds,.and of beef catest rate to lead to
age and a great many casual¬
larger and
1. The appropriate agencies of'
growing I less managed-econ¬
Ghi^hh/io«^der«at? r^hef than
ties in industry and trade as
this Government will immediately i ?/,
immediately
?
degree of fmsih; to enhe seems to larger holdings of govern¬
courage the culling of
well as heavy loss to the con¬ omy/
poultry
ment obligations by the com¬ inaugurate a vigorous campaign
grow steadily more inclined
to secure the full cooperation of flocks; to prevent excessive chick
suming public. The most dis¬ to
mercial banks? Or by perpet¬
and
to
join forces with New Deal
all consumers in conserving, food, production;
encourage
heartening - sentences in the elements which have no in¬ ual subsidies paid indirectly
more economical
feeding of dairy
particularly
bread.
Additional
entire statement of the Presi¬
cattle. Regulations to limit
to
wheat
pampered labor out of emphasis will be placed upon the
tention; of returning business
inventories of feed manufacturers
dent, as • muddled and dis¬
funds created by fiat?
cooperation of bakers and retail¬
to business men if it can be
and to restrict the use
of wheat
ers in reducing, waste of bread in
couraging as most of it is, are
The hope of the
in feed will be
people now distribution channels.
avoided—either at this or any
prepared.
Those in which he demands
is in Congress, and if that
The President added in
other time.
2. The use of wheat in the di¬
part:
that
Congress perpetuate
hope, too,, is not to be blasted rect production of alcohol and
"The measures which I have di¬
wartime
controls.
Here
is
the people must make them¬ beer will be
Up to Congress
discontinued; the use rected will no doubt cause some
what he says:/
of other grains for the produc¬
inconvenience to many of us.
It is now up to Congress. selves heard in the legislative
Millers and bakers; for
example,
hall of Congress during the tion of beverage alcohol will be
I trust that the Congress In its
will have to
ranks, too, a struggle
xv.
limited,

lzes

not,

Bowles

are

■

»i

•

—

■

beginning

will: (1) extend the stabili-

y zation statutes,

i t h

o u

//l amendment and will do so
with all possible speed so
///fc.that there may be no ques/htion in anyone's mind con> cerning the determination
;

has

been

progress,
and
doubtless is still in progress,

between those who would

re¬

four months.

and

the

Mfrs. Trust Booklet

vert

promptly to a way of life On Pension Plans
more in
■Manufacturers Trust
keeping with Ameri¬
can

traditions

and

those

the other hand who would

see the tablish permanently a sort of
J.*/fight against inflation Tugwellian socialism in this
through to the finish; (2) country. It is difficult at this
extend
the
subsidy pro¬ time to be certain just how
gram for another full year; this battle is going. It is the
(3) enact promptly the Pat- most vital controversy of'the
^/man bill to establish price day. If the President, or any
//controls over housing (pres- other force or forces can pre¬
/./ ent speculation in the real vail upon Congress
at i this

5/ of the Congress to

estate market is

one

of the

time

continue

the

war

most

dangerous aspects of
k the present -situation and
one which works
particular
hardship on our millions of1
returning veterans
a n d;
their families); (4) extend I
promptly the Second War j
Powers Act, so
that the'
.

emergency

powers

of the Executive in
way that the President
asks, then we are headed

powers

the
now

for

a long, long period of difficulty, * vexations, and want
of progress—but not, as the

President would have

Company,

,New York, is distributing copies
of its new booklet, ''Pension and
Profj.t~Sharin<? Plans." The bank's

be-

1944.
ury
on

booklet

brought

was

Out

this

wheat

may

salad dressing as we
like. However, these incon¬

veniences will be

;

flour

extraction

quantity of flour, pro¬

cream, mar¬

garine and

pay

for

small price to

saving/lives,

mitigating

suffering in .liberated
and
helping to establish

countries
a

firmer

; "In attempting to alleviate' the'
shortages abroad,
this
country

■

ation

steps

will

include

would

In the

regulations

Profit

analysis

which

should

the

Company

Trust

the

and >

cially helpful

ested in
lieve, of price stability,
we I
If the people of the United subject.

rate; '.fthd

reason

Sharing

thereof,

and

model forms of Trust Agreements,
all

bushels of grain by June

relating to employee

and

Trusts,

the

will be raised to 80% for the dur¬

new

booklets will be found the text of

be able to get
kind of bread they
We will not have as
selection of meats, cheese,

exactly

may prefer.

evaporated milk, ice

million

flour

rate while

foundation for

which

law

higher/extraction

opera¬

use

consumers may not

large

in 1940, which was 30% less
-the/ quantity, used in 1945.
This will save for. food about -20

3. The

the need for up-to-date

Pension

of beer will

pose

30/3,946.

these later developments.

the

grains for

their

tions to produce and to
of

duced from each bushel of wheat)

Manufacturers

material

adapt

than

subject

plans and for that

realized

production

month;

rulings

has issued many

benefit

of other

use

September,

Since that time/the Treas¬

the Taw

the

limited to. au: aggregate quantity
equal to that used for this pur¬

es¬

March

five; days' consumption

next three

prove

espe¬

to everyone

distribution

Also,

emergency.

taken to limit

flour

essential for current civilian

tribution, / This
25 million

will

save

.L4. The« Department
will

tories

dis¬

about

bushels of wheat dur¬

ing the first half of 1946.

ture

the

amounts

control
wheat

distributors'

millers'

and

;

' /

of Agricul¬
inven-

bakers'

and

inventories of flour.

will adhere to the

preference

prevent

among
"I
zen

•

our

.will

our

starvation

>/ /;;

co-operate

wholeheart-

edly in the complete and immedi
ate

mobilization of this country's

world-wide

flour

starvation."

|being held for civilian use

shall also do

former enemies.

signed to maintain the wheat and

■/•■.

peo¬

confident that every citi¬

this currently important

liberated

utmost

tremendous

•

policy of giving

the

beside us, but

The inventory controls will be de¬

ples and to those who have fought

inter¬

■/7

peace.

resources
-

war

to win this

against

mass

Volume 163

Number 4466

House to Chech 41 Federal Corpsralions
r

In order to keep

check on government corporation spending,

Import bk-Succeeded y

•-

.
v* '~r~

T»

9hISmCompromise legislation which would make malignance of maxi.jmum-employment a Government responsibility was ^proved by the
of the 'House on.Ftp. o, and py the Senate on r'eu.b.
mc ^.rwaa a subExport-Luport Bank announced £titute for the full employment measure askea ror by President
Feb
-7
the
resignation
of Truman,- but it Was predicted that if appioved by Congress the PresiWavne-C
Taylor as -Aes dem dent would sign it.
The comprom^a norovcu by the House
The'..Board' of

ities of government corporations,"
The Associated Press also said: :

Tennessee

The 41 corporations whicn Rep¬
resentative Mahon's subcommittee

the

ofSe

corporations
have obtained approval of Con¬
will scrutinize on behalf of Con¬ gress for administrative expenses
gress are the Commodity Credit generally
appropriated
out
of
Corporation, Federal Intermediate their capital.
Scattered Appro¬
Credit Banks, Production Credit priations : subcommitees havv
Corporations, Regional Agricul¬ studied their needs, but none has
tural Credit Corporations, Farm¬
ever had jurisdiction over all 41.
ers
Home
December, the Associated
Corporation, Federal Last
Crop Insurance Corporation, Fed¬ Press continued, Congress enacted
a law requiring each corporation
eral Farm Mortgage Corporation,
Federal
Surplus
Commodities fa prepare annually-a "businessCorporation, Reconstruction Fi¬ type budget," containing estimates
of "the financial condition and
nance Corporation, Defense Plant
Corporation,
Defense
Supplies operations of the corporation for
Corporation, Metals Reserve Com¬ the current and ensuing fiscal

McC.

ImuU

board

^ « vote oi 320 to 84, was

man.

•

CiiUii

More Q PA

between

adopted by the Senate
According to Asso¬
ciated Press advices from Washversions

Act

new

Mr. Martin-

consent cf the Senate.

ended Press added:

Committee during hear-

the

... ....

nrohl m Was acute

coS-

neeesStated

The $1 854 000 in

funds for

the Government would keep in Yiaw OPA work' during the r'eand make jobs, for any and all un- mdinihg four and one-haU months
management.
employed
ot the current fiscal year is part.;
In accepting Mr. Taylor's resig-V ■
.PJ1^^5 of a $3,523,000 deficiency supply
nation, the Board of Directors^Pl0?!" measure sent to the House floor,
adopted the following resolution:
the Associated Press reported
"Resolved, That the Board of
o
from Washington,
5 ,; h :;
of:

bank to assist in the transition

its present forrn ofs

the bank to

Export-Import

the

Directors

Bank express their sinc«e appreciation and deep gratitude to Mr.;

pJl£ote ma^fmum empio?ment 1
froductJon and purchasir^ pbwerrfS
ft

ub a council

In approving the bill, the

hel£^

pr|2dent

Corn-

dealing with shortages of materi*
als that have continued beyond

of three eco-

Taylor for his able administration t nomiA advisers receivins $15 000
of the bank- during the-difficult a year each who
the
period of the past year and in the
prerare an anmral ecotransition to the. new form of nornic repMMor Confess
management. His deep interest.
A ioint
"commit
and complete cooperation have
been of inestimable value in aidof
Senators
and

earlier. expectations and wrth
heavy inflationaryj)ressureS. TJie
House vote on Feb. 14 was close
enough .to presage a' battle later
te^nnwhen a' measure- to continue: the

rmwrecsinnfl

sfstins
seven^
agency beyond June. 30 comes b'dassumption of,
""g n2nrc«.ntatixmr i« antw foi'e Congress, said the Associated
departufeTaeause-&^S^^5f^: Pr«s.ecc<mnteffrom mshinghrn
>b. 14, which further stated:
"'
for Sincere reeret'on "the part' of
to itudf the rfbmmenda- Feb;i4,which further stated:--!
ifY 5 th|S memtos of the tl0nseffect.seek wayS to Put them v A Rinnhlican \«:rtrive to strike
and
A Republican drive tn strilt<
each
of
into
ing the board in the
ite duties. His

justify before the same com¬
each year not only their board."
bill
was
f-rr_,11rj,_r,.
The c o m pr omis e . diu - was
administrative
expenses
but all
(sharply criticized during short
their other far-flung operations. on Feb. i Mr. Taylor said:
6
i debate in the House as. a "waterf
They are handling billions of pub¬
"In accordance with the recom¬
ed-down
Version"
of \ the
job

from an
appropriation bill fell short by. a
roll-call vote of 185 to 108.
It
missed by only 13 votes on an

$1,854,000 of OPA funds

mittee

intend to care¬

Price .'••Administration's

told

chairman of the'
Senate Majority Leader Barkley
board last fall. Mr.?Taylor had (Ky-) said the Idea was to elimb
remained as presidennt of the hate an "implied guaranty thai
appointed

Was.

lic funds and

Office

provid-1 ington Feb. 9, President Truman war against black market opera¬
of the] had urged passage of what he re- tions in meat, building materials
m
UUimiiJS luaicuai3
bank would be vested in a Boardf fx y;deujis ti^ struhgef benaie bin.
and constructi0n was passed by
of Directors consisting of the Sec- ; What he got, however, was legis...
House on Feb. 14; it was
retary of State an four full-time lation much modified in wording,ed uy
House Appropridirectors appointed by the Presi-ineludmg <omissiorL of 'the phrase ations committee on Feb. 12, after
dent, by and with the advice and' *ul1, employment.
The Asso- Chester Bowles, OPA chief, had
1943, passed last July,
ed that .tne management
of

Reserve Company, years and the actual condition and
Corporation, Fed¬ results of operation for the last
com pleted fiscal year." The press
eral National Mortgage Associa¬
tion, the RFC Mortgage Company, advices added:
Disaster
Loan
.The law was known as the
Corporation, In*
land- Waterways
Corporation, "financial control of government
Warrior River Terminal Company, corporations" act and was the au¬
The Virgin Island Company. Fed¬
thority for creation of the new
eral Prison Industries, Inc., United subcommittee.
States -Spruce Production Corpor¬
By having exclusive jurisdiction
ation^ institute of Inter-American pyer the activities of the corpora¬
Affairs,- Institute of Inter-Ameri¬ tions, Representative Mahon be¬
lieves his group will be able to
can Transportation, Inter-Ameri¬
can
Navigation Corporation, In¬ familiarize itself with each of
ter-American Educational Found¬ them "and keep a better control
ation, -7 Inc., Prencinradio, Inc., over their operations on behalf of
Caraoes, Inc., Export-Import Bank Congress."
"This
is
of Washington.
something
entirely
Also the Petroleum
Reserves new," he said, "and we will have
Corporation, Rubber Development to move slowly on it. Hereafter
{ Corporation,; U. S. Commercial the corporations are going to have
Company,
Smaller War Plants
Corporation, Federal Public Hous¬
ing. Authority, Defense Homes
Corporation,; Federal Savings and
Loan
Insurance
Corporation,
;Home Owners' Loan Corporation,

Agents

provide funds for 1,585
enforcement officers for. the

A bill to

House;'

and

Bank

differences

reconcile

•

Export-Import

Tne

House Passes Bill fcr

The *bm finally accepted was
drawn by a conference committee

Martin, Jr., Cnairman of the

in addition to his dut.es

agreed

William:10 by liie senate oy a voice vou

Board, wTi assume the uuues previously assigned to the president

pany, Rubber
War Damage

bank.M-1'ne

taneously announced that

these

past

Directors

Valley Associated Co¬

operatives,. Inc.

Compromise "Full Esnp'ep'eni"

■#y if ■ • HIGojli'

porters the- 'new group; would<*>
Y
*» wuava
-V.:
"keep under close and constant tion, Panama Railroad Company,
Congressional scrutiny ;the activ¬ Tennessee Valley Authority and
,

;

Iflftgi

UJUf

pperatiohs of 41 Federal agencies.
Representative' George H. Mahon
(D,~Tex.) is -Chairman of the subcommittee, according to Associated
.Press advices from Washington which, "stated, that he had told re¬
—

House and Senate Pass'

Tsylcr Qyiis Export-

the: house Appropriations Committee On-Feb." 9
appointed a subcom¬
mittee of five of its mtmoers to review annually ail transactions and

1009

CHRONICLE

THE COMMERCIAL & FINANCIAL

earlier test;

to you

I made

which

mendation

Stat^ fusing, Corpora- fully review their operations."

United

Uomto
pe Board of Directors of ; tin„inc nclicv. and responsibility'
tinuing;policy, cnH
Export-Import Bank. As Mr. ^ar- of ' the Federal Government ' to
tin and I explained to you,
prdmote maximum V employment
KJX

Administraticn's Housing Pian Wins Wide

■

ArrfenivofiAnol

thP

'■

barie>organizational defecTin the
Export-Import Bank can only be *
The nation's new housing plan, drawn up by Housing Adminis¬ corrected
if the duties of the
trator Wilson S. Wyatt and endorsed by President Truman who an¬ president are combined with those
nounced it on Feb. 7 (Chronicle, Feb. 14, p. 877), won the immediate of tbe-chairman of the board of■;
:

Approval: Congress to Cooperate

approval of

numerous groups and

individuals who sent to thd, capital

of cooperation within a short time of
according to Associated Press >Washin»ton

messages of praise and offers
the

plan's publication,

advices of Feb. 9.
■

Congress appeared to be eager -disapproved price

control provi-

implement the plan with adequate legislation, but, in spite of

sions. The Producers Council, Inc.,
representing materials manufac-

Mr.

Wyatt's pleas for price ceil
old houses, the House
Committee would not
agree to include the provision in
the legislation which had already
gotten under way. However, Com¬
mittee leaders promised to amend
the bill approved for floor considei ation a week earlier by the
inclusion of a provision for $800,; COO,000
in Federal subsidies to

turers,

tngs on
Banking

pand the production of supplies.
It recommended a 10% increase

the; output

stimulate

scarce

building material, the Associated
iPress reported onf Feb. "12.

(The.pending bill, sponsored"by
Representative Patman (D.-Tex.),
providesfor estabhshment'Oiaii
over-all Office of Housing Sta¬
bilization;
the
continuation of
authority
to,; allocate, building

beyond the

materials

for

Juneh 30

expiration date; price
new
dwellings, and

control

year

stipulates that Veterans shall have
the

The

to : buy

chance

first

homes.5-

•

5t '

administration's request for
for direct Govern¬

be; referred, to the Building and
Committee,

-since

the

banking group in the House de¬
cided it lacked jurisdiction, the
12

Feb.

dispatch

Press added.

•Y For

the Associ¬

price increases to
production. The Associated
Press further said:
The CIO said in a statement
that the program; "is in
interest of the veteran

according to
the. Associated Press. the Wyatt

the

approval

the

housing, industry, with two pcrts

drawing opposition. The National
■"Association of Real Estate Boards

who

citizens

American
In

Harry

Bates, of the AFL housing com¬
mittee
promised that "organized
labor would help.

bill

excellent staff, and contracts

have

(D.,-NY)

raise

from

$160,000,000 to'$410,000,000 appro¬

authorized fcr emer¬
gency housing for veterans.
priations

To Dissolve
League of Nations As¬

sembly is to open on April 8, ac-?

United Press Geneva
of Feb. 9, at which the

cording to
advices

will" be dissolved under
of procedure worked

League
a

method

days ahead of the Assembly. Irthe

member

nations

A's-embly ' have

been

isued by the League;

vious meeting was
t

-fi

the last preDec. 14,1939. Y
Ytk V-

Reached
i ne

economic., report by. the J^^isconsto
President to. Congress, presenting the record high ot $51 ,uy3, (to.
«« recommendatmns regarding
,™de4d
how .*o achaeve the bill s objee- ■ gg at
;

■11111,1

■

11 be

time if there are
which
the board

matters

any

members
cuss

President

the staff wish to dis¬

issued

tiifl

with me."

Thaddeus
200th
cured

OUiCU

reported
reponea,

the Associated
the
tne

that
mat

adding
auaing

who

Truman

Berle

Mr.

agreed

as-soon

new

Brazilian Government had taken
The

President

new

sohdated Debentures of the Fed1 .i
eral Home Loan Bank system as
i

-r .

°f

release

the

Kosciuszko, .. whose
anniversary ocA' CU,
k>axci the 1 icor
Feb. 12.
Said tzxc Presi-

of President

at the request

row

$42,376,327 institution, Mr. Gardner said' with capital stock of
$22,166,600, and $12,500,000 participation in the outstanding Con-

honoring the

birthday
Vll
on

this regional

unit of the nationwide Federal
Home Loan. Bank system was a

dent, as, reported "by the Asiociated Press in its Washington dis-

resignation'as - United States Am¬

Press
riess

Feb.

other principal item
at . the year s end
patch:
"The American nation coinpnsed time deposits
will he nleved in the prominent her savings and loan associations
never forget the enrlv hiY- and deposits from other Federal
tory of thkubuntry.
But e^en H?me Loan Banks situated in dismore important than this. Kos—
tricts where the demand for funds
ciuszko will be remembered by by the member home lending inthe people of America, as well stitutions is not so heavy as here.

8 his

from Rio de-Janeiro on Feb.

bassador to Brazil,

statement

of the Polish hero of the
Americcn
Revolution,
General

announced

Jr.,

Truman

As of Dec. 31; 1945,

memory

Beyle Resigns Brazil Post
Berle,

operation.

- ■

Kosciuszko Honored

available at any.

t^nfl^

ging

devotion

the

Nat'l Advertisers

ideals of

•»

i/IecLng in Aphl
having been installed on Jan. 31
all. mankind. To the,. attainment
. The semi-annual meeting of. th<s
Mr
Berle'«? resignation, followed.
resignation fnilof>
these .■Tdeals v Kosciuszko. Association of National A-'verthroughout' his lifetime devoted tisers will 6e held on Aoril lS; 16,
ivir

aerie s

liberty, freedom and justice to

the

retiring

Ambassador

ex-

pressed appreciation of the former's request that he remain in

Berle
xr.,,

New

17 and J8 at the Westchester
j heroic efforts in the cause of lib-* Country Club, Rye,- N. Y., - it is
' erty have served as an inspiration announced by the association The

letter to President Truman,, aiR his

In, his

stated

attend

Th
-

will

that, .I

formed. the board

Brazilian

the League Council which
meet for that purpose three

vitations

the

covering

business which
presented to the bank follow*
ine the cessation of hostilities so
that I am confident that bhe work
of the -bank will
be admirablebank
admirably
handled;
Naturally, ;I 'have in¬
was

Brazil, Gen. Eurico Gaspar Dutra,

League of Nations
final

the House appear.

bulk of the urgent

office.

signed

been

Chicago Bank. He said that
the 1945 outflow to savings, buildcompromise calls for an ing and loan associations, in • its
cympromise cans ror an.
»
wkrnri^n- di«5trie+ reached

bank has ment" language approved earlier of the

resignation had been put off until

Senator James M. Mead
introduced

of directors is

fully organized, the

Adolph

Chairman

now

all

and

a' prosperous

Mr. Truman,
Green, President of the

and

The new board

the best

economy."

message

William
AFL

want

((rru

out by

v.r-iC

the most part,

planhas

instead.
interests

lumber

about

boost

construction of homes will

Grounds

materials

prices of
Coast

West

talked

new

$250,000,000
ment

ated

subsidies to ex¬

opposed

directors

Up in Year
1 f ~
;
f .
* nlnmFc
Production and purchasing power, j .A gam of 9.12% in the 1945
Th®, Pref ad^vices Feb. 6 added: advances made. by vthe: Federal
phrase full employment Home Loan Bank of Chicago over
appears.nowhere in the rewritten the 1944 figure was reported ,on
measure, though it did' in the Jan. 24 to the Federal Home Loan
Senate-passed bill. Neither does Bank Administration at WashinJthe milder "high level of employ* ton by A. R. Gardner, President

>post

the

energies and; talents. His

i^mosMitting

that on

FebSmeetinS wiU be °P€n only tp-ex-

indefinitely, : but ,12 the people of the United States

ecutives of A. N. A. member corn-

join-with the, people of- Poland—panlesJ Thomas H. Young, United
few ,eai;ly vbound;vtogether as; they are
.Rubber Company,- Vicee
r»
•
< historical
ties—m honoring, the
;
1 .

his;f desire to leave. YMr. '
was
rv

«i

Deal

one

the
4

supporters

dent-Roosevelt remaining in
under the Truman

Presi-:

memorv

officeanu

administration.

0f one of- Poland's brave

gallant." sens

ardY oue

America's great heroes.". "V

Chairman of the association, is
chairman-of-the program commit-

' Uee.

■
} -7'

.~j't
l.Tf

Amendments to Federal Income, Estate, and
1945 Rayon Output
Gift Tax laws Proposed by ABA Trust Division At Record Level
The

Domestic

time has arrived when in the"1 interest of the general wel¬

fare the

trend

toward

imposing greater tax burdens on trusts and
estates should be stopped and, in some cases, reversed, according
to the Committee on Taxation of the Trust Division of the American
Bankers Association.

production

Court Rules
rayon

totalled

792,100,000
pounds i in
1945, exceeding the' 1944 output, of
723,900,000 pounds by 10%, states
the "Rayon Organon," published

"Report Proposing Amendments to Federal Income, Estate,
and Gift'Tax Laws," mailed on<>
—
Jan. 26 to
all
members : of the,
Trust Division and to

yarn

pres|||e||| Pf^iSSS ||tt

appropriate
government officials, the commit¬
"With

Welfare Unit

oldest

providing for th^
security of persons otherwises like?
means

ly to become dependent

public
* ;

private charity.

"Much

the damage done to
trusts. through the tax
and. their administration has
of

personal

jaws

•

been

accomplished
under
the
of preventing tax avoid?
ance.
Undoubtedly some trusts
have been used by individuals to
guise

avoid taxes.

;

In their zeal

to; pre?

.vent this, revenue agents in :many
cases
have asserted claims and

established

principles which have
adversely affected many bona fide
existing trusts created without
thought or purpose of- tax-avoid*
ance
and have effectively pre¬
vented the creation of legitimate
new trusts. The tendency of
many
officials

revenue

has been

the historical,

nore

to- ig?

background of

trusts and to think of them

report '.of

Committee of

the

.gift

James

the

Vice-President
Trust

the

Company, Wilmington, Del.;

said.

trend

humanitarian

atti¬

issuing his -recent direc¬

tive to facilitate the immigration
of refugees and displaced persons
from the American

occupied zones
in Europe, a special dispatch from
Detroit to the New York "Times"

stated, Feb. XL

toward

increased

Service,

the "Times" continued, was design
nated by the Government to carry
out the task of
wego

resettling the Osrefugees and arranging for

them

start in life:

new

pros¬

pective Americans. The "Times'!
added:

Mr:

Rosenwald told the Presi?

that

hperations;'

these

were

cities

towns

and

almost

every

burdens has been

recent

marked

years," the

report

as-4

most

happy that the refugees at
Oswego have been taken care of.

It seemed vta be the best manner
j

the

National

Refugee

Service,

H. L. Lurie, executive director
of the Council "of Jewish, Feder¬

Federations and welfare funds in

threatens; the

cepts

property

rights and the
means

and

providing for the

is submitted in two

there

changes
are

contains

existing laws which

fundamental nature and

Of broad general
II

Part
are
row
;

changes which

technical and

nar¬

application.

Taxation

of the

the

Lee P. Miller,

Citizens

Committee
Trust

Division

Vice-President,

veals

the

great

expansion

of the

high tenacity viscose ^yam
shipments, mainly for i the;? tire

cord program.
For example, ; 195
million pounds of rated high ten¬

increase

than

300

viscose

yarn

"Wall

Street

Vice President of
American
Association. for
,

Education,

marked trend

reported

toward

•
a
inten¬

the

sification of Jewish religious ed?
ucation in this country.

Recalling
tional

that

Jewish

institutions

educa¬

spent

than $10,000,000 in 1945* he pre¬

dicted

an even

greater expansion
Many communities, he
added, have increased their ap¬
propriation for this purpose by
more than 50%.
;
this year.

decision,

Journal"

the

stated

Washington advices,, left the
way open for determination of the
;

extent of coverage by the wagehour .administrator himself. The
two papers

under

had claimed immunity

the

First

'and

Fourth

Amendments, which* respectively,
the "Wall Street Journal" con¬
tinued, forbid Congress to abridge
freedom of the
citizens

press

from

and protect

"unreasonable

seizures"

and

tenacity

viscose

their

ing the war,

which

>'beyctfidtthe.; reach of Congres¬
sional:

apdl

iudicial^power"

be¬

cause : of, constitutional guarantees
of - freedom ft of i the :; press "only

said there is: "no room for intima¬

tion" that the wage-hour admin¬

istration p. had

considerably

available for non-rated purposes.
The 1945 pattern of rayon
yarn
distribution by principal consum¬

ing- trades; showed, tho effects; of
wartime; operations and reconver¬
sion.

proceeded
in
a
"contrary to petitioners'

manner

fundamental
than strictly

.rights or: otherwise
according tq law."

"We- think,

therefore,"

Justice

the

following

changes:
shipments to full-fashioned; hos¬
iery
—25%,
seamless
hosiery
—13%, circular knitting —2%,
warp

knitting +7%, broad

woven

The publication also
points out
that, on the basis of a preliminary
estimate, 1945 world rayon yarn

President,
Chicago,

First

111,;

National
G.

Bank",

Quaremba,

Vice-President,. City Bank Farm¬
ers

N.'

Trust

Company,

New

York,

Y.; S. P. Ryland, Vice-Presi¬

dent and Trust

Merchants

mond,

XTn

Officer, First and

National
.

Va,,

Bank, Rich-

William

...

Stark,

Vice-President and Trust Officer'
The

Fifth

Company,
Merle E.
ager in

Third

Union

Cincinnati,

Trust

Ohio;

and

Selecman, Deputy Man¬

charge of the Trust Divi¬

sion, ABA, New York, N. Y.

Group Refuses

the

White

President

House

Truman.

Committee,

sought
The

Senate

however, restored a
$5,000*000 emer¬

House-withheld

gency fund for the President, ac¬
cording to Associated Press Wash-

ington ; advices

of Feb. 7, and
$780,000 for White House
improvements - other
than
the
proposed addition.
added

As submitted

by the President,
budget estimate for
bill amounted to $5,-'

the

original

the

whole

640,876,502, which the House
duced to $5,594,146,286.
.

re¬

"We express no opinion on that

phase

the

York

case,

Appellate

pass on it.
"Since
the

the

Courts

did

judgment

•

New

not

below

must be reversed, the question
whether the act is applicable to
these employees will be open on
the remand of the case."

Murphy dissented.

The court reviewed- the
an

case on

appeal by the; employees

the question of

over

whether the paper

engaged in interstate : com¬
sufficiently I enough; to.' be
covered by-the Fair Labor:Stand?
was

merce:

ards^ct;;;-;:^
-'"The-Daily Reporter".suspended
publication in; February,: 1941; The
employees sued for back overtime j
18

months after the

.went

paper

out of business. Their appeal was

filed t wittt * the-; Supreme

Court

after: the1

New^.:York;:(^urt :;of:;
Appeals" reversed a art' award of
$42,910 made to them in the West¬
chester County, N. Y., Supreme
v

The State Appellate Court ruled
that the

paper's duf-bf-state/busl?:
too small to bring it un¬

ness was

ployees contended the handling of
news through interstate communi¬
cation channels constituted busi¬
ness of an interstate character.

gatipn; of possibly, existing: viola¬
tions; in doing so to exercise his

World News Plan of

der the act. In appaeling,

the em*n

State Dept.

Sidetracked

the'production of petitioners'
Legislation which the State De¬
relevant, : books,
records
and
partment has sought to* permit it
papers;„ and,; in case., of refusal:to, to operate a world-wide news and
obey his subpoena, issued accord¬ cultural program was postponed
ing to the statute's authorization, indefinitely on Feb. 14 when the
to

have

the

court in

the

district

enforcing it.
constitutional

"No'

aid

provision

forbids Congress to do this."

Justice

Rutledge
labeled
as
the argument

adjourned
without acting on the plea of Representative Sol Bloom (D.-«N.Y.)„
chairman of the House Foreign
Affairs Committee, which had al¬

House Rules Committee

"without,

merit"

that freedom of press

guaranteed

output of rayon filament yarn and
25% of the rayon staple fiber dur¬

ing 1945.

munity to ihe act's provisions, ap¬
plicable to all others similarly
situated, requiring them to submit
their

Churchill Visits Truman
British

followed
the lead of the House in
denying
funds for the $1,650,000 addition

ter of their work,

ready approved the bill and sought,
to have it sent to the House: floor
in: the First ^Amendment granted for early debate; The;rules, comand staple fiber
production to¬ the
mittee set no date for anothter.
newspapers; exemption.
talled
rlj700,000,000^^ poundS.l^hus
"What petitioners seek is not to meeting* according to the report
the United States
produced ap¬
sent to the Associated Press from
proximately, $0% of the world's prevent an unlawful search and Washington.
seizure.
It is rather a total im¬

Winston

Senate

course,

these

pertinent

administrator's

records for
inspection

the

under

Churchill, % wartime every judicial safeguard, after and
Minister, made a only after an order of court made
flying trip from Miami,:-Fla.; to pursuant to and:in exact compli¬
White House Addition
Washington, D. C., for a visit with ance ; with: authority, granted by
In
and Trust Officer, Bank of Amerrevising,-the provisions of President
Truman, on Feb. 10. Ar¬ Congress."
the
Independent
Offices
Ap¬ riving, at the
; ica N.T. & S.A., Los Angeles, Cab;
Associate Justice Frank Mur¬
Washington airport
propriations bill, the Senate Ap¬ in
the late
Paul E. Farrier, Assistant Viceafternoon, after an ex¬ phy, dissenting, said he was "un¬
propriations Commitee
Fidelity Bank and Trust

Company, Louisville,;; Ky., Chair?
man; H. M. Bardt, Vice-President

com¬

Rutledge wrqte, "that the..courts
of appeals were corrects in t the
view that Congress haa authorized
the administrator, rather than the
district courts in the first instance*
to determine the question of cov¬
erage in the preliminary invest!?

As compared with 1944, the
subpoena power for securing evi¬
1945 distribution of total
-rayon dence upon that question, by seek¬
yarn shipments to domestic trades
ing

showed

■

Justice

Rutledge, speaking for
the. majority, ^ declared that the
argument that newspapers are

shipment!

of regular and intermediate yarns
amounted.>to as high as 33% dur¬

engaged

does not mean
petitioners, its em¬
ployees, are covered by the act,
"The applicability of the act to
them is dependent on the charac¬
that

Justice

these vis¬

yarn,

cose ^cuprai^ndn-ti

production of goods for

| "That, of

property.
<

ments of regular and intermediate

Reporter")

Daily

its

+62%.

Levinthal

could

were

the

records

raises, {the.: ghost„ of' controversy
shipped long; sipcesettled ? adversely ^ to
by producers during ;1945: com¬ their, claim."
•
pared with a 1941 prewar level of >-United Press ; Washington ad?
18 million pounds. This, large tire vices Feb 11 stated:^*
cord program, had a comparative¬ y: AssocjUte Justice^
Wiley;
Rutly small effect on the total ship¬ ledge^: readihg:a 7vto?l opinion,

acity

Philadelphia,

Louis

their

enforced.

searches

The advices add:
An analysis of the rated vs.; the
"free" uses of rayon yarn during
the war and prewar: periods re?

But the Court's

tire cord

make

"We hold that respondent ("The

merce.

and fabric.

+ */2%,
narrow
woven
+12%;
miscellaneous uses. —22%, and
shioments to tire manufacturers

Judge

application, and

proposes

Members

are;

suggested

been

of /centraL Jewish

cities:

Jewish

parts. Part I

had

form

some

organization

secur¬

ity and protection of beneficiaries.
The report

1930
to

property

of trusts

use.

con¬

which is "used to

said:

amination

reduced the amount of "free" yarn

subject

believe

168,400,000 pounds,

Justice -William O.
Douglas in the White Plains case^

the

ations and Welfare Funds, said in
his report that from 40 Jewish

preservation of Anglo-Saxon

production

amounted to

,: Associate

coverage must be
decided
before subpoenas permitting ex¬

Rayon
in
1945

at a peak of 281imillion:
pounds in 1943 and declining by
"I appreciated very much your
only 1(1% to a low of 252 ihilHbii
letter of - the second, and I apt'
pounds in 1945; but the rated uses

serts, "that many students of the
'

1944.

over

being

State, and Mr.. Truman replied:

;

tax

rated

National Refugee

The

;

-v

■"The

Truman's

Mr.

tude in

appreciated also your - contribiifion to the public .service in
acting as honorary president of

such

at
in¬

slight decline from the 1944 level.
Viscose staple fiber accounted for
75% of the total output, the re¬

William

Truman

President

is also
Equitable

year

fiber

iii which to handle- it.

who

last

rep¬
over

staple

as?

of taxation,';

Allison,
Division,

Trust

general

advices to the "Wall Street Jour¬

nal" from its Washington bureau,
that/the act was not applicable to
them ;: and that the question of

acetate

JRosenwald, Honorary President of maining 25% being acetate staple
the National Refugee Service on fiber production.
The principal increase in 1945
the occasion of the closing of the
Emergency
Refugee Shelter at rayon production,' states the "Or¬
Oswego, N. Y., arid resettlement of ganon," took place in viscose fila¬
its 924 residents in. the country: ment yarn and was due to the
Mr< Rosenwald, who read the let¬ greatly: expanded output of; high
ter/from the President, praised tenacity yarn, the great bulk, of

completeJ studies

date in this field

output

yarn

while

President

laws ; an&>income1 tax
laws
pertaining to estates and
trusts.
"This report constitutes
of the most

17,%

year,

crease

dent

Division

increase of

held its closing session, it heard
a : letter
of. appreciation
from

tax

one

fourteenth

448,800,000 pounds

sembly of the Council of Jewish
Federations and Welfare Funds

result of two years of inten?

the

£? sive study of Federal estate and

publishers, the Oklahoma$£+-?—r———:
Publishing .Co., and: the to. weeklies and semi-weeklies
Evening News Printing Co., Inc., under 3,000 circulation.
of Paterson, N. J., contended, said
The United Press also' said: ;

the report,

says

174,900,000 pounds showed

Taxation completed witl^n:f oun weel^ln 65

Trust

production,

rayon

Refugee Resettling

mere*

'devices' to avoid taxes."t

The

Two

Press

Viscose+cupr ammoniumrayon

resented

the

emphasis which is
being placed today on social se¬
curity
and
the
encouragement
which our laws are giving to pen¬
sion funds, sickness benefits, and
other provisions for the security
and welfare of employees, it is
important that there be no dis¬
crimination against the personal
.trust, which is one of the very

in 1945 at

tee said:

tions to decide whether the
newspapers are subject to provisions of

the Fair Labor Standard Act.

by the Textile Economics. Bureau,'
Inc., and issued on Feb. 1. * ; ; > V;

•

Newspapers Under Wage-Hour Law

Brushing aside contentions that newspapers are
constitutionally
exempt from the Wage-Hour Law, the United States Supreme
Courts
on Feb. 11, ruled that Labor
Department investigators have the right
to inspect relevant books, records and
papers of newspaper corpora¬

•

Prime

ceptionally rough air

passage, Mr.
greeted by a wait¬
ing crowd of several hundred per¬

Churchilll

then

sons,

was

driven

Embassy where he
the

night.

The

the

British

to spend
evening he

was

same

went to the White House for

than

hour's talk with the Presi¬
had been obliged be¬

able

the use of non¬
subpoenas,
issued, by
administrative agents." <1
"Manyinvasions
of • private
rights thus occur without the re¬
straining hand of the judiciary
ever: intervening,".
Justice Mur¬

cause

domestic

conditions

trip to Florida

during which he had planned to
see Mr. Churchill. The
subjects of
the

talks

were

left

between

the

two

not disclosed.

Mr.

Churchill

Washington

Miami,

Feb.

men

by airplane for
12 following his

talk with the President.

approve

phy said.

dent, who

cancel the vacation

judicial

The United Press reported that:

Justice I William >0.

Douglas,
opinion clarified the
wage-hour law standing of daily
newspapers'-with small out-ofstate, circulations.
Ruling in a
case
involving the White Plains
(N. Y.) "Daily Reporter," Justice
Douglas said that wage-hour law
exemption had been granted only
in

7-to-l

The State

Department's proposal

and its acceptance by the Foreign
Affairs Committee were criticized

by Representative E. E. Cox (D.Ga.) and Clarence Brown (R.¬
Ohio) .Representative Brown con-:
tended, according to the Associated
Press, that the legislation would
permit the State Department to
construct buildings, radio, stations,
schools and "anything they want"
all over the world without limita-;
t'on,, and likewise Criticized the
Foreign Affairs Committee for its
readiness

accent

the measured-

Bloom -* declared
committee had considered

Representative
that the

and had weighed;:,
objections of committee

the bill carefully
all

the

before

members

legislation

therecorded :

approving

without

a :

vote.

; He insisted the legislation was
intended

provide

for an

change of information among

people of the world
promote permanent
better

understanding

tions..,, '

exT

the

in order to
peace

and a

among

na¬

........

•

'Volume-163

V!" **^.'W 1 'w* ^ %". /\*:

-i

Number 4466

' :.,

tgMB

•■

* "7 -''m'\X

There

The

175.50 a year

evidence

furniture

Total

above that of

and

houseware

moderately
week ago and the

compared
with Supply x of bedroom
room- furniture
has
ago, a gain of 5.1%.

markets'

Volume

lamps, and /small rugs
increased slightly this week. The
tables,

and 1 living

that

dinette

eased while
suites remained
,

There were scattered promo¬

low.

tions in new houseware items and

although'

appliances,
smaller
time.

than

scale

in:

for

most

other

this

Lend Lease to Congress

Jan. 31, sent the

21st report on

lend-lease

which he revealed that aid to other nations totaled
$46,040,000,000 from March' 1941, to Oct. 1, 1945, with reverse
lend-lease, i.e., aid given the United States by other nations, totaling
Congress in

Press dis¬
operations

$6,256,871,000 through July 1, 1945, according to Associated
patches from Washington.
Settlement of all lend-lease
is
expected by next July 1, the'<>
prise the largest volume
President

added.

settlement
progress, the, Presient said that
after
the
Japanese
capitulation
"prompt steps were taken to in¬
sure
a
rapid but orderly reduc¬
tion of Lend-Lease expenditures
and to bring to a close the em¬
ployment of Lend-Lease proced¬
ures
in " supplying essential war

obtain¬
and orders

appliances

President Truman, on

■

were

stores

some

much

usual

Electric irons

able

President Reports

gener¬

similar week a year ago.
of

1011

■

9 ■

volume this week was

maintained"" a
191,200,000 kwh. in \ the week firnrtone/: "Activity> in May;rrye
ended Feb, 10, 1946, comparing was
again a leading feature with
with 192,900,000 kwh. for the cor¬
prices moving over a considerable
responding week of 1945, or a range during the week. The situa¬
decrease of 0.9%.
Local distribu¬
tion in wheat remained very tight.
tion
of
electricity^ amounted-.to There was an - excellent - demand
Grain

■

and

Consolidated Edison Co. of New
York reports v System"; output of

slackening in retail busi¬
ness in many strike areas as de¬
mand persisted at a very lively
pace. Retail inventories were at a
low level in a good many lines, f

year ago;

FINANCIAL CHRONICLE

little

was

ally of

(Continued frbmpage 1006)
the output of electricity increased
Wholesale Commodity Price In¬
to 3,983,493,000 kwh. in the week dex—Continuing its upward trend,
ended Feb, 9, 1946, from 3,982,- the Daily Wholesale Commodity
775,000 (revised figure) kwh, in Price Index,, compiled by Dun &
the preceding week,
output for Bradstreet, Inc., advanced to a
the week ended Feb. 9, 1940, how¬ new postwar- peak of 184.52 > onever, ;was 11.6 % below, that for Feb. 11. This was a rise of 0.6%
the corresponding weekly period over the 183.40 recorded'a week
one

f•';•{.• ■'<- •' :* ,*

THE COMMERCIAL &

were

summarizing

Allies."
Associated Press

firm's business, the

of that

majority opin¬

written by Jus¬
Prettyman, said

H. Barrett
underwriting comprised 32%
of Eastman, Dillon & Co.'s gross
business in the year ended Feb.

tice

that

29, 1944, while the brokerage busi¬
ness amounted to 47% of the gross.

Press added:
and brokerage,

The Associated

needs of our

The

of the court,

ion

further

"Underwriting

although both concerned with se¬
curities, are vastly different opera¬

tions," Justice Pretty man's deci¬
-"Negotiations for settlement of sion said. "By no quantitative test
accounts, he said, have begun with shown in this record can Eastman,
^
There was no abatement in con¬ many countries. A settlement al¬ Dillon & Co. be held to be princi¬
increase of 5.9%.
pressed
hard
against ceilings;
sumer v demand ; for men's and ready has been made with Great pally or chiefly engaged in under¬
'J Railroad
Freight
Loadings — Corn held firm at ' permissible
Carloadings of revenue freight for ceilings despite-more liberal re¬ women's : apparel.•- Most types of Britain. The report .said most of writing.
.
the week ended Feb'. 9, 1946, tomen's wear, women's hosiery, lin¬ the agreements will be completed
"Whether measured by volume,
ceipts of cash corn at terminal
taled 713,240 cars, the Association markets; Receipts of hogs failed gerie, and children's clothes con¬ by the end of this fiscal year •'al¬ by income, or by number of trans-.
of American Railroads announced. to
Con - though it, should - be understood actions, its business is principally
equal demand and prices: re¬ tinued somewhat scarce.
This was a decrease of 9,895 cars mained strong at ceilings. Trading sumer buying
was
particularly that in many instances the agree¬ brokerage," y ;
(or 1.4%) below, the preceding in lard was somewhat slow al¬ heavy in - those departments that ments will require subsequent ac^.
Justice Henry W. Edgerton, in
week and 42,592 cars, or 5.6 % be¬ though hog slaughtering was re¬ carried items suitable for Valen¬ counting and fiscal operations to a' brief but strongly worded dis¬
low the corresponding week of
tine's Day gifts; lingerie, peck- determine the exact amounts due sent, contended that the lower
ported back to normal.
1945,
wear, - cosmetics, handbags,
and in particular cases."
Compared with the similar
court's judgment should be af¬
'
Steady gains during the week in
period of 1944, a decrease of 79,941 cotton futures brought prices to gloves were popular.
The President explained that firmed.
(U\ * '
' *
cars, or 10.1%, is shown.
:; Fabrics; of all types continued the
..The majority opinion, said the
master Lend-Lease
agree¬
the highest level since the 1924Railroad Earnings for 1945 —
to; be in demand. The supply of ments contain a pledge that final Associated Press, found that the
1925 season.
Trade price-fixing
fine cottons and rayon prints was settlements
Class I railroads for the United
are y not
to burden phrase "primarily engaged," used and commission house buying ab¬
States in the year ended Dec. 31,
sorbed all offerings.
Supporting very low,, while that of woolens pommerce between United States in the statute "is an ordinary one,
1945, had an estimated net | in¬ influences in the strength shown was more easily available. De¬ and other countries. In terminat¬ and in ordinary usage certainly
mand ran heavy for stationery,
come, after interest and rentals, of
ing Lend-Lease aid, he said, this refers to the chief or principal acwere the general inflationary ten-silverware and jewelry.
$453,000,000, according to reports
principle ."will be before ,us as a tivity" in which the company us •
dencies surrounding-the market,
filed by the carriers with the
Retail
food volume the past reminder of; the "goal which;this engaged. The press advices fur-;
the feeling that wage-price poli¬
week was moderately, above the Government must consfan11 y ther said'
? Bureau of Raihyay Economics of
cies will result in higher ceilings
week previous and was about 10 %
the Association of American Rail"In dealing with practical mat¬
seek."
for cotton and other goods, and
above the similar week a year
rpads. For the year 1944, net in¬
From • the
Associated
Press ters, Congress does not conscious¬
expected increases in both foreign
come of those roads, after inter¬
ago.; The supply of most products Washington; advices Jan. 31 we ly utilize obscure meanings of or¬
trade and domestic consumption.
est and rentals was $667,200,000.
was adequate. Shortages still per¬
dinary words to convey its intent.
also quote. - •
The Department of Agriculture
Net railway operating income,
sisted in beef, shortening, soap
Total Lend-Lease aid charged We should not impute to it either
has established the 1946 goal for
before interest and rent a Is, in 1945
and sugar. There was a big spurt
to foreign governments was listed an ineptitude or a departure from
amounted to $849,779,893, com¬ planting cotton at 20,200,000 acres. in the demand for flour and most
its custom. *.t* the Board strains
at $43,950,000,000, of which 69%
Price supports and steadily rising
meats. The volume of baked goods
at the language in order to achieve
pared with $1,106,384,412 .in 1944.
was furnished to the British Em¬
The rate of return earned on prices as incentives to planting, and confections was high.
a result which ij believes to be
pire and 25% to Russia.
.
however,' will be largely counter¬
Retail volume for the country
desirable. *;♦.«/
-property investment averaged
Here are the totals by coun¬
acted by labor, machinery), seed,
3.05 %.in.1945, compared witha
was estimated at. from 9 to 13%
"It may be, as the Board urges,
tries:
?and fertilizer shortages.
above the corresponding, week a
rote of return of ;4.00% in 1944.
;
British Empire, $30,269,210,000; that as a matter of policy,; the
Total operating revenues .in 1945. >..• ,Volume pf trading in domestic year ago. Regional percentage in¬ Russia r- $10,801,131,000; I France, National-Banking System should
wools in the Boston market con¬ creases were: New England 9 "to
amounted to $8,902,349,173 combe divorced completely from con¬
kwh., compared with
178,200,000- kwh. r for ;.the corre¬
sponding week of last U year, an
188,700,000

for

various

from

wheat

sources

trading, in both cash and fu¬
tures markets was light as-prices

but

taken; the volume of advanced or¬
ders has slackened in some stores.

said:*

•

pared with: $9,436,789,812 in 1944, tinued/limitedduring-the/week;
although inquiries increased with
decrease of 5.7%.
; Paper and Faperboard Produc¬ the mounting uncertainty of the
of
foreign
wools.
tion
Paper production in the availability
United States for the week ending There was some fill-in buying of
Feb.- 9 was 99,7% of mill capacity, domestic wools to stretch out the;*

against 101.5%

in the preceding supplies

week, and 90.1% in the like

1945

existing

wools. Buyers of

foreign

replacement sup¬

;14r East 12 to * 16, Middle -West 6
to 10, Northwest and Pacific Coast
8 to 12,
7 to 11.

South 12 to 16, Southwest

While the volume of

wholesale

little changed
from that of last week, it contin¬
ued to be slightly above the vol¬
ume of the corresponding week a

trade this

week

was

Week, according to the American plies from South America found
Paper & Pulp Association. Paper- prices there rising steadily. Con¬ year ago. There was in increased
board output for the current week tinued delays were reported in demand for staple articles with a
allocations of orders in Australia, tendency toward the acceptance of
was 97%, compared with 95% in
the preceding week and 93 % in which totalled 102,318 bales for new orders on an allotment'basis.
December.
Prices in wool noil Available stocks remained lim¬
the like 1945 week.
were
strong although ited.
Business Failures Show Slight markets,
Decline—For the second consecu¬ shortages curtailed volume. Trad¬
Department store sales on a
tive week, commercial, and indus¬ ing in wool tops consisted of small country-wide basis, as taken from
orders for first-half 1946 delivery. the Federal Reserve Board's index
trial failures showed a small de¬
crease.
Dun & Bradstreet, Inc.,
The Commodity Credit Corpor¬ for the week ended Feb. 9,; 1946,
reports 25 concerns failing in the ation appraised for purchase- 2,-: increased by 25 % above the same
r

Feb. 14 as compared
with 27 in the previous week and

$1,406,600,000; China, $631,509,000;
American .republics, $421,467,000;
Netherlands, $162,157,000 Greece,
$75;416,0OO. Belgium $52,443,000;
Norway $34,640,000;* Turkey, $28,-

Yugoslavia, $25,885,000;
$43,284,000.
Aid not charged to foreign gov¬

063,000;

other countries,
-

cerns

courts.

did in the statute

Board

the

Our function is merely to

could,

actually*,
The~

before us.

feels,I

and if it so

should, present to the Congress its.;
amounts cred¬
views on the problem of policy." ;
ited, to production facilities in the
At the Federal Reserve Board,
United States, amounted to $2,the "Associated Press continued,,
088,249,000, bringing the overall attorneys said they had not yet.
total to $46,040,054,000.
seen the opinion and
could not
The following is the itemized
say whether it will be appealed to
account in the report/ according the Supreme Court. "We will cer¬
to the Associated Press, of re¬ tainly have to consider it," they
verse
Lend-Lease through last added.
July 1, the latest date for which
information is available: United
Kingdom $4,241,139,000; Australia, Funds in Savs.
$835,004,000; New Zealand, $204,566,000; India, $639,443,000; Union Assns.
of South Africa $885,000, France
During 1945 funds of the public
(to Feb. 1, 1945), $200,615,000;
invested in the 3658 member sav*
French Africa, $70,358,000; French
New Caledonia, $1*171,000; Bel¬ ings and loan associations of the
Federal Home Loan Bank System
gium, $55,646,000; Belgian Congo,
ernments, such, as

& Lean

Increased in'4&

Reverse Ruling on

underwriting,".
commented,

determine what Congress

•

"But that question, is not for

757,125 pounds of domestic wools period of last year. This com¬
during the week- ended Feb. 1, pared with an increase of 20% in
23 in the corresponding week of making
a
total of 335,961,832 the preceding week. For the four
1945. The week just ended marked pounds appraised to date, com¬ weeks ended Feb. 9,1946, sales in¬
the fifth straight week this year pared with 375,467,309 appraised creased by 20% and for-the year,
th^t failures have exceeded those to the corresponding 1945 date. to date by 15%.
Retail trade volume here in
in the comparable week of last It is reported that manymills will
increased by $973,000,000 or about
introduce men's wear Fall, fabric New York the past week increased -$182,000; Netherlands, $1,133,000;
year.
Curacao
and
Surinam, 18%, Ralph H. Richards, Acting
Large failures involving liabili¬ lines/during the last half of this over a similar period last year Dutch
Governor of the System, reported
notwithstanding
the emergency $917,000; China,. $2,672,000; and
ties of $5,000 or more remained at month.
from Washington on Feb. 16. This
order of Mayor O'Dwyer on Tues19, tlta same as a week ago, but
Russia, $2,139,000.
Wholesale
Food
Price Index
compares with a 17% rise in 1944
one and one-half times the 13 oc¬
day," last. The sales volume for
Rises—Advances
in > farm
com¬
and 14% in 1943, Mr. Richards
curring in the corresponding week modities carried - the wholesale department stores showed an esti¬
said. "Estimated assets of the sav¬
mated dnct-ease of about 10%.
of 1945, During the three weeks food
price index, compiled by Dun
ings and loan associations in the.
■m Buyer attendance in: wholesale
in which large failures have re¬
& Bradstreet, > Inc., to $4.13 - for
System at the end of 1945 totalled.
markets .declined for the week,
mained at a constant level, small
Feb. 12. .This marked an increase
$7,664,000,000, representing a 17%
but.: the > pressure exerted upon
failures have shown a small; yet of 0.5% over last
year's $4.11, and
gain - in the year. '• The furthersteady decline* This week .there a gain of 2.5 % over the $4.03 reg-- Wholesalers for delivery of goods
advices stated:
,
were only 6 concerns, failing with
pn order continued as great as in
istered for the comparable 1944
Home mortgage lending by the:
the past.
losses under $5,000.
.; v
,
Reversing a ruling of the United
week.
Commodities moving up-:
same> institutions
amounted; ta
One-half of this week's failures ward in price were eggs, potatoes^ t Some increase was also noted in States District Court for the Dis¬
the level of food sales over a week trict 1 of^/Columbia, the Court; of $1,748,545,000 in the year, an in-»
occurred in manufacturing where sheep; and lambs* /There f/was*&a
crease af about a third over the
of a Appeals, at Washington, on Feb.
failures at 13. were two times as slight decline for rye, .ThevindeX' ago, * presumably r. because
1944 total." Af this amount, some
larger supply of meat on hand fol¬ 13, held, in a two-to-one decision,
: numerous as in last week and in
represents the - sum {total ^ofv the
according
to
Associated Press $1,223,000,000 was to finance the
the same week a year ago. ? On price per • pound <df ^ 31 / foods ' in lowing the conclusion of the meat
purchase of homes, a 28% in¬
packers strike.
Washington advices, that thp Fed¬
the other hand,, retail failures fell general use.
|
;
^
crease in this category over 1944.
off to a third the number a week
According to the Federal Re-- eral; Reserve Board had violated The remaining loans largely were
Wholesale and .Retail Trade—serve
Bank's index," department the intent of Congress giving Tt
; ago and were lower than in 1945's
for the construction, recondition-^
Reports on consumer, buying" in
^comparable,week. While no fail- the country last week were the store sales in New York City, for the right to disqualify bank offi¬ ing and refinancing of homes.
cials also engaged in the under¬
the weekly period to Feb. 9, 1946,
ures were reported in construction
•: By the Federal Home Loan Bank
most varied in several weeks, re¬
increased 37% above the same pe¬ writing of securities when it or¬
in the week just ended, increases
districts, the largest increase in
ports Dun & Bradstreet, Inc., in
dered the removal of two direct¬
appeared in concerns failing in its current survey of retail trade. riod*;; last year. ' This compared
1945 lending activity was in the
ors
of Paterson (N. J.) National
commercial service. >r
Overall retail volume was slightly with an increase of 27%;: in the
Topeka bank region, embracing
Bank because they were employees
preceding week. *: For the four
> No Canadian failures occurred,
Colorado, Kansas, Nebraska and
above the previous week and it
weeks ended Feb. 9, 1946, sales of the New York securities firm of
as
compared with 3 both in the
Oklahoma, where the gain was
Eastman, Dillon & Co.Stating
was moderately above that of the Tose
by 30% and for the year to
44 %
X".
;!.V-.-; ■ 0
'
;■ .
previous week and in the corre¬
that
underwriting did not com¬
date by 23%.
r "
'
corresponding-week a - year: ago.
sponding week of 1945.
week ending

engaged

Justice Prettyman

Disqualifying Bank
Directors

•

1012

THE COMMERCIAL & FINANCIAL
CHRONICLE

Truman Endorses

???;?: The Modified
'?'? (Continued from first page)

Senate

atomic

energy

effort their unqualified
?.?••■•

reviow

com-

mittee

hearings proceeded on the
tail, introduced by us C-.aim.an,
Bnen McMahon
(D-Coim.), for
the

control

President
as

lation

a.cmic<7

cc|1(

pqwer,

that sound domestic legislation

atomic-energy
utmost

|eve^

hands

of>

atomic

bill

firm,

place all
patents
under

Government

permitting

any

Government

ollective

'devices

from
firm to

free

bargaining,

best

•

important situations. Sevmajor strikes are in progress.

Feb.

William

Many

bilization, who is now a patent
attorney, told a press conference,

riod

according to the United Press, that
manufacture of inventions using
atomic energy would be
hampered
rather than helped by the Senate
bill, and gave it as his opinion that
the

idea

behind

attractive

the

notion,

bill

but

"is

inventions

from
the

should

not

ing" of all atomic patents

pro¬

bill, Mr. Davis went
that the patent laws

say

drawn

were

protect

new

enterprise. ■

homes-for-

Housing Administrator
to

limits

and

the, general

waiting

six months'

remain

few critical

test

will

stable

Feb. 11

appraised, i

test period to an industry not producing at low volume., If the ex:

that present pri-:
regulations,
are
to 4be
changed in the near future
so that
the 50% of scarce
buPding ma¬

Pected improvement in l earnings
should fail to materialize in any
industry, OPA will move prompt¬

terials now set aside
for homes
under $10,000 will
go most'v ir,to

priate relief in line with the modi¬
fied
policy
may
be
accorded,
where practicable, to individual

sav

ority

dwellings designed to sell for
less
than $6,000 or rent for
less than
$50.
It
had
earlier
been

review

firms.

its .action.

..."

Appro¬

nounced,

according1

to-

advices

from

The

??•
I

New

Wage

Policy

Wage Stabilization Board

drastically

curtail commercial and

industrial
limit the
to

building'

use

Government

ects.

and

would

building materials
-

improved

proj¬

The Associated Press
added:

Residential building outside the
veterans'

also

orogram

will

pared down, said CPA Adminis¬
trator John D. Small.
He.warned:

"Any

struction
beinpg

unless

the

who

one

runs

npr™ifwi
p
mitted

project

and that it is
to

now

the

risk

not

cannot

prove

sufficiently

that

deferred
essential

be approved under
the

coming) regulations."

(forth¬

authorizing the National

prove any wage or

part

thereof,

which
with

pattern of wage

ments established

local

labor

ap¬

salary increase,

to be consistent

the

found

general

salary adjust¬

area

since

Where-there is
such general
pattern, provision
made for the
approval o". in¬

creases

nate

found necessary to elimi-

gross

inequities

between!

industries, plants, or job
Ossifications, or to correct substandards of living, or to correct
disparities
in

wage or

beLween the increase
salary rates since Jan-

September, 1945,.

ThiS

wage

prog:am,'

Production

the

basis

when

upon

neces¬

3ei4brcihg. these
'

firm basis the Price
shall

high
wages and profits and high stand¬
ards of living for us all.
Produc¬
tion will do away with the neces¬

I, call

ranks

the

face

•

common

turned

war

our

The

(e)

enemy—the enemy which

after the last

tary victory into economic defeat.
I

upon

citizen

every

great Nation to join
effort to consolidate
victories
this
time

for

During

the

Transition

? By

virtue

yested in

the

ment

1941,

Act

purpose

order

may

of products or ?
furnished under

with

Federal procure- ;<
a basis for in¬

Salary Increases

the

States

Sta-I

The National Wage

other wage cr

salary stabilization agency having!
jurisdiction with respect to they

maintaining

(a)

bilization Board

Second

1942,

amended, and the Stabilization
Act of 1942, as
amended, and for
the

order

extent

creasing costs to the United States.

statutes of the United

Act

consistent

this

authority

particularly by the First War

War| Powers

the

this

agency,

by the Constitution

case

being

contract
,;

and

Powers

determining

prior to
used, in the

From War to Peace

and

purposes

administra¬

are

workable
the

services

bilization of the National Economy

judgment

ing

,,??/

Providing for the Continued Sta¬
?

Admin-

to
which wage or salary increases in
excess
of the standards for
ap¬
proval of such increases prevail¬

74 EXECUTIVE ORDER 9697

his

with

in¬

over

Stabilization

shall
by
regulation
establish such standards

tively

united

military
winning

through to final victory
flation.

of this

our

istrator

mili¬

order

call

of
are

this
order.
He
shall
establish 7
similar standards to be applied in ?'
the case of the establishment
or "7
adjustment of rent ceilings. ? 7.7?Y?

the American people

upon

standards

workable t and
the purposes of

with

consistent

Administrator J

such

in his judgment

administratively

sity of government controls.
to

establish

adjustment

wages

approve

the

crease,

stabilization of the economy in the
present emergency, it is

eral

ordered:

involved

shall

salary in- i
part thereof, which it?

finds is

hereby

salaries
wage

any

consistent with

pattern

adjustments

the gen-?

which

salary

has

wage

been

Y?l. For the duration

of the exist¬

established

ing

emergency,

all

departments

local

and

agencies of the

Government

August 18, 1945, and the effective

shall, in any matter affecting the
stabilization of the economy in
use

manner

will

best promote the continued stabilization of the
It is the
economy.

policy
order

of
far

price

the
as

Government,

possible to prevent
that
there
be

increases,

prompt

;•

and

firm

enforcement,

during the present emergency, of
Government .'controls over scarce
materials and facilities.-

the

industry

Or-

date of this order, or, where there
is?
such general pattern, which it
finds necesary to eliminate gross

they have discretion in theJ
of their
powers, exercise such

discretion in such

labdr market area, between

inequities

between

dustries, plants

in¬

job classifica-

tions, to correct sub-standards of
living, or to correct disparities between the increase in wage or sal-?
ary

rates in the appropriate unit

since

January

1941, and the in¬
in the cost of - living ,be¬
January 1941,(and Septem¬
1945/7 The? Board or other

crease

tween

ber

designated agency, shall have au¬
'2.
(a)
Notwithstanding
the thority, with the approval of the
provisions
of
Executive
Order Stabilization
Administrator,
to
9599 of August 18,
1945, as amend- establish special standards for ap¬
ed? and of the regulations issued proval of wage or salary increases,
thereunder,? the % Price Admin¬ differing from the foregoing gen¬
istrator- shall
promptly
provide eral standards,, to be applied in
for the adjustment of
price ceil¬ particular industries or classes of
ings in
that

any case

? •

in which he finds

industry is in a position of
hardship as a consequence of an
an

cases

finds

that

such

action.;

effectuate; the
purposes of this order.
'* ■»" 1 *?
(b) The Stabilization Admin-?

approved increase in wages or sal¬
aries, as defined herein. An indus¬
try shall be considered to be in

istrator

hardship if, after taking the entire

creases

amount of such wage or
salary in¬
crease into
consideration, the Ad¬

necessary

by regulation, spe- 7

may,

cify classes of wage or salary,
which

ment, have

will

his

in-??

judg-

unstabilizing ccn-- •
sequences
and, which
so with all
mayiy beg
possible speed so that
ministrator. finds; that?the?indus-7 deemed
approved
there may be no question in
within?? the?
any¬
try's current ceiling prices will meaning of this order without;,
one's mind concerning the deter¬
leave*it in an overall loss position prior consideration by the wage?
mination of the Congress to see
or in an
earnings position requir¬ or salary stabilization agencies.
the fight against inflation through
ing adjustment on the basis pro¬ Such regulations may make spe-,'
to the finish;
(2) extend the sub¬
vided in this section,
cial
provision for cases, among v
sidy program for another full
others, in which (1) the increase/
year; (3) enact promptly the Pat.Price- Adjustment Policy
is to be of limited amount, or (2)
man
Bill to
establish, price con¬
s!?(b) The adjustment to be pro¬ a small number of employees will
trols over
housing" (present spec¬ vided shall be such
as,
in the be involved, or (3) there will be
ulation in the .real estate
market
judgment of the Price Admin¬ in all probability no substantial;
is
one
of
the
most
dangerous
istrator, will be sufficient, for the effect upon price or rent ceilings
aspects of. the present. situation
twelve months following the ad¬ or costs to the United States. 7
and one which works
particular
\ I'-V?! rv7?? j'/,,7.-?v"
justment/to enable the industry!
hardship on our millions of re¬
unless operating at a temporary
;???' Illegal Increments ?•'?;??;??
turning veterans-and their-fam¬
low volume, to earn an
(c) Except as.the Stabilization
average
ilies); (4) extend promptly the
rate of profit equal as
nearly as Administrator may by regulation?
Second War Powers
Act, so that
otherwise
may be to the rate of return on
provide, the making,?
the emergency
powers we found
net worth earned by the
industry after the effective date, of - thisv;
necessary during the war may con¬
in the peacetime base period
ap¬
order, of any wage-or ^ salary in¬
tinue to be exercised wherever
plicable to that industry, and, in crease pursuant to Part IV, section ?
necessary in dealing with the eco¬
the case of commodities which are
1, of Executive Order 9599, with¬
nomic aftermath of war.
;
the subject of special statutory re¬ out the prior approval of the Na-/
.Only by measures such as these quirements, to a rate of return tional
Wage Stabilization Board orKr
can
we
hope to retain our con¬ sufficient to
satisfy such require¬ other designated wage or salary,.:
trols as a people over our
own
stabilization agency having juris¬
ments.;
Except
to
the
extent
economic future. ;;" But even these
diction with respect to the wages?
necessary to reflect the abnormal
measures will fail us .unless
the
costs
and
reduced
earnings in¬ or salaries involved, shall consti¬
American people dedicate themcident to temporary operation at
tute a waiver of any right of the,
selves to support of the national low
volume, in no case shall the empoyer to use such increase, at
economic stabilization
program.
Administrator provide an adjust¬ any time during the continuation;
I welcome this
because I am
ment insufficient in amount to of the .stabilization law's, as a basis,
determined that this
country shall prevent loss operation at the time for seeking an increase in price or
avoid the misery and disaster
of .of the adjustment.
'
j rent ceilings or, in the; case
inflation

sources

be.

!
therefore,

,
I call upon both management
and labor to proceed with
produc¬
tion. Production is our salvation.

of?

1941, and the increase iri the
cost-of living between that
date
uary,

and

called

price regulations provide for the
establishment or
adjustment of
ceiling " prices on an individual-

dis-

the-industry

market

August 18, 1945.
no

con¬

•
u
Lmsh il
the job

able

starts

and

an¬

"Washington, Feb." 11, to the
Associated Press, that the civilian
production administration would

inventory

trust that Congress will: (1)
extend the stabilization- statutes
without amendment -and will do

months, the immedi¬

conservatively

ate price relief in such cases
must

necessary
to prevent v in-r
in prices. ; There will be

pe¬

prices

the

pow¬

Role of Congress

required.

level

???;;;??7

allocations

strict enforcement

until

;

Factor

vigorously where-

sary': to7 assisi yjri
controls,
'

no more than' must, however, be sufficient to
to
statements assure profitable operation in the

according

Wilson W. Wyatt, who
went

without

previously

calls for the
of most of the build¬
ing materials set aside for houses
into homes
made

justments

riod,

program

costing

certain

controls,; • The .resources of the
Treasury and Justice Departments

in¬

wage

hardship

the end of

channeling

$6,000,

permit

Powers

creases
a

our wage-

permit any industry placed, in
position by an ap¬
proved increase to seek price ad-

Housing to j
Have First Priority ;
veterans

will be used

ever

77,

Government's

;

within

creases

Low-CesI
The

policy

Priorities and
ers

modifying

War

Priorities

small

disadvantage

now

Many
a

Second

meeting
the
government's
responsibility
for
retaining control oyer the forces
of jnflation. ' * u'
?
" ':•?7? v V? 7, '7 ?
.-v ? ?■?;?? .a T?

of many

reserves

They must not be

war.

peace.

price

the

manufacturer putting money into
a

ample"

luring the

vided in the
to

It is likewise true in
of small companies Which

the

including'7 emerdelegated to them

Administration

large corporation.
businesses were at

hampered by "compulsory licens¬

case

lack

powers

inflation

which

Act, to assist the Office of Price

production.

powers,

under

directing that all admin¬
agencies use their full

gen;cy

complete change
production to civilian

war

people.

legal

heretofore required before

where there is

use

I am,

istrative

seeking price adjustments. This is
especially :■ true in some instances

unsound.

Stating that the industrial
atomic

American

greatly reduced. Many com¬
panies,7 •' squeezed between costs
and prices, are not in a
position
to wait through a six months'
pe¬

Davis,

of the American
all other groups,

support
business, labor,! Congressr; all
the agencies of the Administra¬
tion, and the rank and file of the

pay

beyond

7It is imperative that production

orgy

and

and :

succeed only with the

can

ulation of royalty fees.

possible extent.

outside

The change now being made in
our
wage and pricing standards

workers have found their
weekly

former Director of Economic Sta¬

that

coming

above
that the price line be held,

ents that

% ??

increases

worker,

in great volume be
accomplished.
We face real difficulties.

licensing of any private pat¬
might arise and the reg¬

contemplated

advantage

brief

aster.

will

unsiabilizing

this general policy cannot be ap¬
proved
without
subjecting the
workers and the public to the
danger of inflation.
It is to the

Vital Production Lagging

should be made available
for private development
through

those

Increases

wage

increase

used to the fullest

Vitally needed production is lag¬
ging.

said, however, that
for
using
atomic

the

not have to have
individual approval.
I hope that
free collective bargaining will be

recon¬

which

re¬

include all

increases,'will

many

aral

will

cases

permitting in¬

within the present pattern of wage

proceed

thousands

many

in¬

rights to ask for price

effect.:

sincere

our

the

wage increase may,

These

many

ing prices. - Nonetheless, collective
bargaining has broken down in

pro¬

energy

the

interpreted

clearly not have

and

with

living, or with the
existing wage levels of the indus¬
try or area, the program is not

lief.

djustments have been made by

of the entire nation."

the

•

line

approval and without any waiver

mutual agreement without affect¬

duce these crucial substances, the
use
of which affects the safety
■A Mr. Truman

re¬

vary
or

program ' would

policy

danger
other than

own

pay into
creased cost of

be
put into effect without requiring
prior Wage Stabilization Board

Vigorously and in - an
orderly
fashion.
And, indeed, under this

monopoly

one

their

in .which

confidentially hoped that,

result

version

small compared to the

the

situation.

I had
as

vision, stating that "the disadvan¬
are

policy/in order to bring

discriminate wage increases. The
executive order provides that the
Stabilization Administrator shall
determine those classes of cases

was

have

be-

after

under this

to be

according to the merits' of

each

energy

Government ownership. President
Truman concurred with this pro¬

tages

would

thousands

the

VJ-Day.
While
many groups of wage and salary
earners may qualify for increases

those

would

.energy

extent

industry to industry,

trplled Government monopoly, the
McMahon

whatever

account

agreements reached

and

of any

civilian-con-

.management
set free to adjust wage rates

fore

affecting an industry opera Ling at
temporary low volume. '????<
(d) In those cases in which the

Wage-Price Policy

into

wage

ments

Committee, pioneers in
legislation of vast promise for our
people and all people, there beck¬
ons a place of honor in
history."
Jhe

ice

and

sulting from the loss of overtime,
downgrading, and other factors.
emphasized that wage adjust¬

""To your

millions of American workers

portance wait upon this action.

Designed to place atomic

tne

present

ments in older to cushion the re¬
duction in the take-home pay of

ternational issues of the first im¬

col¬

possible
without raising prices. I urged in¬
dustry to negotiate wage adjust¬

be enacted with
Domestic and in¬

speed.

to .free

within

the

Labor

weie

bargaining

framework

matter of urgency

re¬

returned

was

Yecuve

letter- .addressed to w-er-

McMahon, winch concluded,
according
to
Associated
Pre^s
Washington advices of Feb. 2, by
stating:
"I feel it is

developments.

announcea

wages

ator

■

of the

some

Last August
wage-price policy
un(^er which the determination of

supporter of the legis-

n;e

came4orward

Truman

firm

takes

give this
6
ort

ac...

Thursday, February 21, 1946

apd

stepping

richer

life

mitted

that

our

purchasing
stone

rather

vast

power

than

re¬

shall

fuller,

spend themselves

(c), The

Price

shall'develop

Administrator

standards of adjust-

m.ent consistent with the purposes

per-

of this order to be applied in the

case

industry-wide

action

j products,

services being, fur-'

nished under contract with a Federal procurement agency, as - a?
basis for increasing costs to the.
United States.
The Stabilization.

Volume 163

Number 4466

THE COMMERCIAL & FINANCIAL CHRONICLE

ion

Administrator shall have; author¬

ity to provide by, regulation

designated

agency, if in his judgment such
action is necesary to
prevent wage
or

salary

;

increases

inconsistent

with the purposes of the stabiliza¬
tion law's.
;
'
$
(
.

(d) In

•;

with '

accordance,

subject to the provisions of

<
and

sec¬

tion 2 of .this

order, any wage or
salary' increases heretofore law¬
fully made, or made in accordance
with a governmental recommen¬
dation in

a wage
controversy an¬
prior to the effective date

nounced

First* UNO Session Gomes to Close

that

wage or salary increases of a par¬
ticular class shall be unlawful un¬
less made with the
prior approval
of the
Board, or' other

can

report

that

ket

ran

through his speech, he nevertheless

harboring deluded bettors

otock marKet

action

inflation

and

its

"booming

conveisely take its

now

proceedings
■opinion

And in view of the market's subsequent decisive movement of "selfthat greeted Mr. Bowles pronunciamentos. Will he now

meaning of this order, and

which he based

taken into

account

increasing price

rent

in the

ices

tract with

agency,

of products or serv¬
under con¬

case

furnished

being

Federal procurement
a basis for increasing

costs to the United States.-

(e) All arbitration awards, and
recommendations of publiclyappointed
fact-finding • panels,
all

with

respect

issues

shall

to wage, or salary
conform
with
.the

•

standardsfof this order
regulations

and

thereunder.

and

directives

wasre

the

issued
salary

increases shall be put into effect
in

accordance

awards

with

any
such
recommendations, here¬

after announced, unless and until

approved by the appropriate wage
or salary stabilization
agency, or
unless such awards
dations

are

recommen¬

voluntarily

by the parties

accepted

the basis stated

in the first sentence of subsection
^

Admiri-

istrator, in the Office of War Mo¬
Reconversion, shall

bilization and

have full authority to issue such
orders and directives as may be
necesary, in his judgment, to carry
■

of this order. -My;
provision of, any prior

purposes

5. Any

Executive Order in conflict here¬
with is hdreb^ .superseded to 'the

Along with

order

other government, acts which entail results vi~

fiatipg.its professed aims, the, Federal Reserve Board's

affirmatively increasing stock market
speculation—and inflation.: The new appLcat on to all stocks of the
prohibition against margins, which since March 1945 had coverec
only under-$10 shares, eliminates that discriminatory penalty against
the latter.

This accentuates

low-price stocks, which of
m out

of the market.

change, despite low leverage, are selling at double and triple their as¬
set values.
Such purchases provide more pieces of paper—or
chips,
bes des: harboring .the templing
penny-to-riches, oil-strike kind oi
r

London,adopting

within

its

ning commission,

f:
Franklin Insfitele Labs

advance of

consist

France,
Britain,

chip "tortoises." (Presum¬

ably the eventual downhill race will have a similar result).An ex¬
haustive stiidy in the fcurrent Journal of the American Statistical As¬

trial research was announced

re¬

cently by Dr. Henry Butler Alhn
Secretary and Director of the

habitually fluctuate more widely than do the high-price ones.lvThis
author, Zenon' Szatrov ski, ascribes partly to speculators' under¬

;

Institute.

On
or
about
April
Col. Charles H. Greenhow
director
of
research

Lt.

all;

at Frankford Arsenal.-will take up
duties as executive director of the

Laboratories,
who

■

will

in;

overall

charge of the research Work at the
Laboratories; Which' are .located
in: The Franklin institute in Philadelphia. Col. Greenall. a mechan¬
ical

'J: engineerspecializing 5 in

materials

development, was for¬
merly'."supervisor in charge of
metallic materials at the Bell Tele¬

phone Laboratories. % Jn 1936, he
was named Chairman of the Com¬

mittee

and

Copper Base Alloys of
Society for Testing
Materials.; In 194.0, he wag called
to 1

serve

;as

consultant

the

director of research at Frankford
Arsenal.
In February
1942, he
became

executive

officer

and

October of the1-same year he was
named
director
andy officer
in

charge.
Acting
Dr.

Allen

Eksergian•'
Swann.

senior consultants to
will
be
Dr.
Rapcn

and

Dr.

Further

the,

the

same

time.

administrative

York

"Times"

provides
Off'ce

for

Washington,
re-establishing the

Economic

transferring

Porter.

sion

chairman, to the post of OPA

Administrator.

Mr.-

Bowles

suc¬

ceeds John C. Collet, present Sta¬

Mobil'zation

its director,

Paul A.

and

was

"borrowed"

temporarily.

acted

The

Commicsion,

exact

authority
was

was

named.

accorded

Ihe

"Times" pointed out, because
^he Office of Economic S'abiliza-

Hoell,; division
of
mechanical engineering.
\v'-'y lion, which is re-established

not perfectly clear.

This "ultimatum"

form of

ecutive

order

der

through Mr. Por¬

and

draft of

John

production

authority

was

oronosed

ex¬

stripping Mr,ySny¬
D.

civilian

Small,

administrator,

.over

in the

prices.

all
•

and

Lebanon,
such with¬

govern

Middle

meeting

East.

Be¬

closed, Britain
ready to agree

were

their, troops,, but the

Soviet, Union, vetoed the. proposed
arrangement
did

not

ti>

charges and

mand

Soviet

Foreign

Vies

Affairs,

Vishinsky, agreed not to

his

press

offered

the

Mr.

his

retract

that

Bevin

earlier

Council

de¬

issue

formal declaration acquitting Bri¬
tain of Russia's charges.
The con¬

•

UNO
Gen.

Francisco

Franco's

Spain

excluded by unanimous vote

was

from

had

plenary meeting of the
General Assembly on Feb.
9,
a

membership. The resolution
been

introduced

by Panama.
Foreign
Minister,
Bidault, remarked that
France "hopes soon to see Spain

The

French

Georges

tion";
bly's

reporting

the ^ Assem¬

resolution, ,the Associated
pointed out that "Franco's

Press

Government

had; never aoolied
merrjbership in the United.;
Nations Organization.
L On Feb. 14, the General
for

fcly unanimously adopted

fiveMr.
Bevin on behalf of Britain, the
United States, China, France and;
the Soviet Union aimed at inaugu-y
rating a • campaign to meet- the ?
resolution

power

moved

critical world food

shortages and.
hl-

alleviate the consequent threat

famine

certain

areas.

With the closing of the Assem-"

bly's

first

session,

the

appoint¬

Adrian Pelt of the Netb-

ment of

orlands,

formerDirector

League

of^ Nations, Informatio:i

Section

Assistant

the

Secretary

charge of Uiiited Na¬

tions conferences and

been announced.'

services, has.

Also announced

the

sent
the

commission
Indonesia

Soviet's

troops
world
met

were

peace,

but

the

Russian'

threat

i,'

proposals

met defeat were

proposal

disapproval from
,

appointment of David K.;

Owen, of Great Britain,
tive
eral

Assistant to

United

Execu-;

Secretary,. Gen-,

Trygve Lie;.

S5cheduled

MrOwen,

io arrive shortly, in: the

States

with1

advancel

party of the secretariat, and with;
the Americaft

adviser,: A. Hr Feller;
Conn.,

general

counsel to the Secretary

General,

New

will

Haven,

quarters for the

seek

interim

UNO

activities.

fyudl Envoy Presents '
Credentials
Asad A1 Faqih, first diplomatic1

inquiry

charges: that British

United States.
i

toy investigate

there

strong

the

Thq^; Russians had sought to
have'

the ground that it

the •: wording

agreehient.

"ultimatum"

the

and France

mediator. Mr. Bowles had

tbm "President

French

and

Syria

Near and

fore

struggle
arranged by Mr. Coll°t who

Mr. Bowles

George

the

Mr. Bowles' satisfaction, also
gives
some authority to Mr.
Snyder.
A compromise in this

was

British

rules

to withdraw

judce in Mr sou "i. fv,om which A*e

the failure to

over

drawal, arid a; plan providing for
responsibility of the security of

but

bilization Director,who is expected
to return to his post as a district

Security

agreement ending the disthe proposed with¬

drawal

;

Nations

over

troops from
the

long batfe between J"hn
Snyder, OWMR Chief, and Mr.
Bowles o n
t'h e' authority over
prices, while settled apparently-1,0

Ralph

and

oute

■The

ter.

division -of

reach

ber of the

instruments;

Davis

when

Commissar
Andrei Y.

General in

dissatisfaction

Reconversion.

The "Times"added;
■

Smith, director of the division of
chemical engineering and physics;
and

threat

—-—-—r————

William

par¬

Council ended its London meeting
on Feb.
16 in an air of general

greatly enlarged powers, is
still lodged in the Office of War

Stabilization

Federal Communications Commis¬

under

equality of

y The : United

with

from

with Chester Bowles
and

was

previously served

McClarren,

wireless dispatch in¬

World Federation of Trade Unions
while the AFL is not, were equal¬

Wage-Price Policy

The *v—-—•—,. '

was

with an immediate;
denial by British Foreign Secre¬
tary Ernest Bevin, ended in com¬
promise on Feb. 6 in the Security

Assem-f:

however, mindful of the political
implications involved in the fact
that the Congress of Industrial
Organizations is a member of the

reported to the New

t h

formed the New York "Times"
from London, Feb. 12.
It-added
that the United States delegates,

Feb. 14 President Truman announced the new
wage-price pol¬
icy which would govern the administration in its program of reconver¬
sion to peacetime production which has been
hampered by continued
striving on the part of labor for higher wages and resistance by man¬
agement to increases in production costs.
Personnel changes, de¬
signed to aid' the modification of f policy, were announced by the
at

-Council.-^ The Soviet Union

capacity,"

lOTsn AnsaiBBees- Pertonisel Cbscges
,f

had fought for the exclusive right
of^;the^^ WFTU; to participate^^imthe
Economic Council, fn an "advisory

insistent
ticipation.

President

adoption;

International

Alliance,

be acting Chairman of the FCC,
Charles E. Denny, Jr., r.ow a mem¬

clal

The eliminitatio.n of credit facjlit'es accentuates both
inflation and deflation in the market by increasing "thiri^hess'-on the
^m-pnd dqwn-«f'des., Ftocks alre^dv, held on marmn are froze" m f^e
hands of those, unwilling to dilute: their
buying fpower;. and the
cushion of; selling and buying orders is
generally lessened.

shake-up,

United Nations Economic and So-

consequent remoyat of the. discriminv

personnel of the Laboratories, Dr.
Allen said," will be Dr. Nicol II.

electronics

Cooperative

The remqvat qf credit privileges uniformly from all stock®
-imilarly will stimulate publ'c entry, mto, over-the-counter securities,
ipto speculative new. issues frequently at premiums,;-and into other

the American

business

the

was

Unions, the American Federation

div*ded *r.to three thirds, is sufficient to promote
anticipatory
buying on the theory that the whole is less than the sum of its parts.

Ocinsidsnt Willi Now

that

peace,

—

minute

Assembly

of : Labor

assisting Dr.' AUeh

continue

world

last

for the World Federation of Trade

may be

ation against them,:

Brit-

Australia,. China,0n the road to
freedom," and
y Netherlands,
added that France J'cruelly felt
Yugoslavia and the sufferings of her
neighbor and
friend
the noble
|
\\
•
*
Spanish, na¬

by roll call vote, of a resolution
naming equal consultative status

estimation of the

ppiisted fpeprdies;-through the

situation

that

the

Russia,

Other

the

Iraq,

Uruguay.
.

approved, to
permanent site area,

the

survey

possibility of business failure, and partly to the high
proportion of costs„to sales in the case of marginal companies. \
The prejudice toward more
certificates for one's' rhoney has agair
stimulated the split-i/p, a process rife in American markets.
Thf
^eleh-ent: here:is not sn; much that ihe split units find a new
v 'category of buyers, as that the Very rumor that orie piece of paner

Appointment of a new adminis¬
trative staff to head the
Franklip
Institute Laboratories for indus¬

immediate

New Slaf Hezds

•

as well as within its le¬
gal limits. THe headquarters plan¬

the hares"

the

HARRY St. .TRUMAN
The White. House *

Soviet assertion

Council

defining New York
interim
headquarters .as

meaning
vicinity

thn

against

from...

...

City

percentage advances, had started from under the $5 mark. They show
average appreciation of, no less than 3200%
b-t 72% for a representative
group of blue

and

amendment

Monthly Stock Digest

the

troops in Greece had created

repre¬

of this bull market, recently
appearing in The
shows that e?»ch one of the 20 "hares"/-which

control

ing

versus

eastern Euro-

smce

Companies.A compilation of "the tortoises

York

in spite of

was

The

ish

stated in its account of the meet¬

the onset of the curront bull market in' 194?
the public has boosted the Barron index of 30
lowrprice stocks by a
full 600% against a rise of but 121% in the Dow Jones index of
sentative

New

This

The

sugar, gold, and oil stocks and'in warrants of various kinds, sometimes without the semblance of intrinsic value.
Sev¬
eral under-$10 investment companies on the New York
Stock Ex¬

countries

Assembly also voted by ac¬
clamation, in the closing minutes ciliation, arranged in private meet¬
its
meeting, for New York ings beforehand, closed the issue
City as its choice as the1 temporary with Mr. Bevin and Mr. Vishinsky
headquarters of the world's peace shaking hands in the committee
agency,;,
the
Associated
Press room. '

price television,

area

bly itself,
especially from the
French, to the site chosen and
particularly to final selection at
this time; and in spite of the loud¬
ly voiced disapproval of many
residents of the proposed area.

its/tradit.onal illusion that lowness of price is the same as "cheap¬
ness";
^
ingrained psychological quirk—frequently
self-admitted— to the effect that 100 shares of a $10 stock
give more
value (or/and excitement) than doTO' shares of ,the,equivalent .com ^
pony at $100 each.
Indiscriminate" speculaticp is rampant in low-

seimbly to allow the
pe'an

success

the opposition within the Assem¬

.Now the public is diverted into the low-priup stocks both becpu«<
of the disqualification of all securities from credit;
facilities, as well as

the

cial Committee of the General As-

unanimously the site |

Connecticut.

motif.

the

the fir^t choice of the

was

Fairfield

the relative volume of - trading in the.
comprise the most speculative seg-

end, and

visiting commission in the United
States; for the ;UNO permanent
headquarters, the Westchester-

course

things expressed the

that

approve

which

PRICE LEVEL FOR COMMON STOCKS, shows that
low-price st-cks

recent aboli¬

tion of all margin operations is

sociation, THE RELATIONSHIP BETWEEN PRICE CHANGE AND

^effective February 14, 1946.

become

shall

February 14r 1946.:

many

: V

extent of such conflict.

6. This

"bull-market economics"?

Thnc it is that

$ out the

before the Congress to revise his policiee

appearance

(

ceilings
.

or,

return

basis for

may

York,

and

the. refugee problem" and to enforce
meetings had been "very
remark-1 repatriation. As reported to the
able." -Trygve Lie, the new SecreNew. York '"Times," Mrs. Eleanor
tary
General,
and
Paul-Henri Roosevelt led the forces
opposed
Spaak, President of the General i to these Russian ideas. On Feb.
10,
Assembly, also gave expression to | according to the Associated
Press,
the general satisfaction with the
the Committee adopted the "no
manner in
which the new world force"
provision, making it un¬
body had met its initial test.
necessary for a refugee to return
One of the final acts of the As¬
to his native country
if he has
sembly before adjournment was valid objections.

correction"
make

is scneduled to reconvene at New

headquarters.

came

among other

from Wall Street.

cue

Sept. 3, when ii

temporary

■

addressed the delegates before the

;

thoroughly dangerous technique of reciprocal propping-up;

new

—————-———

to prove

the admin stration will

The Security Council
Economic and Social Council still had
work to complete.
;» British
Prime Minister Attlee^—
■ ■ — .-1
»■■■■

generally that reconversion compan.es
can make big pi of its under his
price policies, and specifically, tuav
they can afford to wait for. price relief.
';/
So we have the anomolous situation that m addition, to Wall
Street having since 1.933 danced the tune,as played
by Washington,
At best

days

journea until

profiteers, which

fit to bung in

saw

deliberations, the General Assembly of the
Nations, during the early hours of Feb.
15, brought to a close
historic first session, which has
been held in London and au-

United

decisively award the palm
ior". imperspicUnyj as well- as ior
flippancy and superficiality unpre¬
cedented on tne pare of government officials anywhere at
anytime, to
nis citation of the stock market as
authority for his industrial prin¬
ciples and prognostications. Midst the several aspersions on the mar¬

of this order, shall be deemed to
have been approved
within the

(Continued from first page)

!;.
careful scrutiny, we

After

,.v

the

representative from Saudi Arabia
to the United States,

told President

Truman

in presenting'

which

those to the

also
So-

Feb.

his credentials.that "the main aim
of
ate

the Arab League is to cooper- r

fully

world's

i curity."

safeguarding

i, stabilization

and

the
se-

CHRONICLE

THE COMMERCIAL & FINANCIAL

1014

(Continued from first page)
formation through a Congression¬
al investigation, but instead we
have chosen the simpler method

into negotiations..

regardless of par¬
for Congress more
American commit¬

secure

information

nations,

ments to foreign

ISk!]

talled

From 1940-1945, expen¬
the Federal Govern¬
and war to¬

are

billions—one-third of

$323

apprehensive

are

over,

Executive Depart¬

the

our

have

that, we the principals
out the facts bit by bit
from our own agents in an atmos¬
phere that often reaches the absur¬
dity of a game of wits—we, to get
the facts; they, to evade disclosing
them.
It almost seems, at times,
that the Executive Departments

full detail. The income tax division of our Revenue Bureau makes

individual set forth

goods and services abroad and
foreign countries V have sent us
goods and services in return. What

transactions

President,

of
this magnitude go far beyond the
simple desire of our people to co¬
operate with other nations of the
world.

These

transactions

profound problems in
tic life.

raise

domes¬

our

The British Loan Agree¬

ment, for example, practically sets
the pattern for lend-lease settle¬
ments of

eign

$42 billions in for¬
obligations.
It
determines

what

lions
,

over

shall

about

of.' dollars

the

bil¬

American-

owned installations abroad. It sets
a
policy on disposal of American
surplus property in foreign
tries.

coun¬

It is also another link in the

chain

abroad

financial

thrust

commitments

which

into

the

America

role

world's

banker.
The

manner

the

are

Have

about

facts

>we

shipped

this

trade?

abroad

the

information, and facts 7
qualified to the point of uselessness. They are only generous with ;r

exchange been a fair one on

their

country abroad than we have re¬
ceived
back
from
the
world?

many

these transactions have^ come be¬
fore

■b

Congress is astounding. The
process begins with rumors (some
of them undoubtedly planted) that
the Government is about to make
loan

some
or

commitment

foreign countries.

reaction to these
able

are

the fact itself.
pears

rumors

soon

one

If the

is favor¬

confronted with

If the reaction ap¬

to be unfavorable, the rumor

denied

any case,

official

quarters,

experience with Bretton

Woods, Export-Import Bank, the
British

Loan

and

other

transac¬

tions, confirms the fact that

mum

balance, or have we shipped more
of the substance and labor of this

get

The

entire

assertions

the

facts

reach

the

ru-

with

British
of

text

unsupported
which

conclusions of
loan

our

by
might

own.

agreements,

informed

about what

with

we are

facts

hard

doing, why we

are doing it, and what we may ex¬
pect will come of policies which
export the substance of America
to foreign parts?
1 r

propaganda.

for

we were given only the
the documents.
Almost

paragraph cries out for ex¬
planation, precise factual data and
information; yet no facts were of¬

Yet

what

know

facts involved? How
the wisdom of such

can

the

judge

policies?

We do not know the total of the

loans, investments and other obli¬
gations to which we are already
committed.

We do not know what

Projects have been presented to
us
piecemeal. Each has been of¬
fered

here

the

its

merits; and even
implications of our

own

full

obligations have been obscured by
technical

features

which

the

Executive Departments have been
less than candid.

every

fered.

The

State

Department,'1 the

Treasury, and other Executive De¬
partments appear as vigorous ad¬
vocates of transactions each

all

of them

negotiable. They approach
their job as if they were hired to
"sell" the transaction to Congress
in a game where secrecy, double
talk

and

facts

are

exhortation

fective methods.
we

rather

than

considered the most ef¬

Congress

forget, that they

They forget and
permit them to
are

employees of

accounting detail on lend-lease
and to this day?<as shown by the
lack of proper data On lend-lease
•to the United Kingdom) we do not

state of affairs.

know the true

most unbusiness¬
American installa¬

We have the

like detail on

No Information
.

Nowhere do

Past Loans

have

the full

picture of what foreign countries
already owe us on past loans and
investments, public and private.
We know little or nothing about
the capacity of the outside world to

tions, surplus property and Army
supplies abroad, although it is ru¬
mored that we will be requested
to transfer a great deal of this

of this

property abroad would not

stand Up for one

minute on an ac¬

countant's tally sheet.

working data on
facts and conditions
necessary for us to form intelli¬
gent judgments on loan agree¬
ments with foreign countries.
I
could show this in detail in the
have

•

the economic

matter

of the British loan agree¬

ment, but I do not wish to dwell
on this
single transaction as if I
Were hostile to it.
The condition
I

discussing is far broader than
It goes

that.

to the whole field of

economic relations with for¬

our

yet to be informed on what has
happened to the billions of dollars

President, I say this is a
scandal in a Government which
demands the most meticulous in¬
formation in its dealings with its

American

investments

in for¬

For7

would not have (,,
that the resolution > i

Mr. President, I

believe

you

offer is an idea newly conceived. It is the result of patience

point of exasperation.: .
the war was on.we rec- .
ognized that much of the informa- H
held to the
So long as
tion

seek

was

either not ob- ;

tainable, or best, kept confidential:.
for security reasons. "But the war;
is

over

and

are

now

~
,

formu-*

lating policies of the greatest im^
J
portanee to the American people. ;
Frankness, not secrecy, is the or- ;, \
der of the day.
Public opinion. ;
will only support future policies if :>;
the public is reliably informed.
;
.

Many months ago theJ distinguished Senator from Michigan
(Mr. Vandenberg) called precise- ?; f.
ly for this information on the;
over-all economic position of the;
United States relative to foreign ;
investments. and commit¬
Displaying
the
sober
judgment of a great statesman, •
loans,

ments.

Hoover called pub-*.,v;

Herbert

Mr.

same information. V ■
Mr. Bernard Baruch whose sound;.

licly

for

the

?
«?

J^sip^ss .sense and gqpd,judgment

Have all learned to respect had'

this to say only a
I quote;'

few months ago.
|

ques-J
tion of inflation and all other eco¬
nomic
problems, domestic-, and."
foreign, facing us, we must get an
over-all picture of the balance
sheet of the country."
'
"Before we can decide the

Senate

and

House

committees

have repeatedly reported lack of *; *
information. In debates on Amer-;

policies over the last
I have heard many senators., '
representatives, Republicans: ■<' •
and Democrats alike, call for a
realistic display of facts on our

ican foreign
year

and

commitments abroad.

produce yards
editorials and maga-*">"
zine articles calling for the same
data.
I have letters in my files,
from prominent and reliable pri¬
vate research organizations indieating a pressing need for full/'
data on the American position rel¬
ative to its dealings with, foreign
If necessary I can

of newspaper

countries.

countries with¬
What, is the corollary for this,* '
out payment.; The information;! authoritative, wide-spread, insist-;
have seen on the kind and value ent demand for information? It is?

repay

eign securities and properties since
World War I.
We have reports

property to foreign

countries.
It goes to the
whole practice of the Executive
Departments of the Government
in keeping us in the dark and con¬
fusing us.
r-'"'

this country's past, current
and contemplated loans and other
obligations. We have no idea what
assets they have here.
We have

•

Frankness, Not Secrecy Called

the Executive Department has yet
in r store for us in this regard.

performance is al¬
most wholly a show bf words-—of
more

Is it too much to ask that

fully

dealings with Congress, these same : 7
Executive Departments hand us ; 7 '
loose inadequate figures, the mini- 7

than has been returned to us? Has

words

Precise Factual Data Lacking

example,
which

telling us that it is a fine trans¬
action, that we have solemn obli¬
gations to carry it out, that we
shall gain untold benefits from it,
that it meets the highest aspira¬
tions of mankind,
and that it
means peace and plenty to all.
This is accompanied by advance
refutations of anticipated objec¬
tions and critcisms, often couched
in terms designed to squelch all
opposition, as if there could not
possibly be the slightest legitimate
objection to the transaction.

full, unadorned figures and infor¬
mation are compelled. Yet in it3

transaction-—thousands

private

U. S. the World's Banker

and

business

reporting these developments.

of propaganda, but few
need to exercise our judgment reams
What are the facts? - Are we not
representatives of the Ameri¬ facts. I recall distinctly how the entitled to know where we stand
entire national wealth at its pre¬
Senator from Ohio (Mr. Taft) de¬
can people.
;
war
peak in 1929,- estimated at
in this respect before we get too
scribed this situation in connec¬
At that point we are made par¬
$363 billion.
far along on much more of the
ticipants in a most astonishing tion with the debate on Bretton same
thing?
) Only one-third of this enormous game.
The
Executive
Depart¬ Woods. Many other have observed
'amount spent on war was covered
ment responsible for the foreign the same process at work.
IIow Are We to Be Repaid?
by taxes; The bulk of it was ob¬
Here we are setting la pattern
transaction presents us only with
How are foreign nations going
tained by government borrowing
the end product in the form of for the settlement of lend-lease,
to repay us for the billions we
with the result that on Jan. 30,
for the disposal of untold billions
general agreement. The action is
1946 the gross federal debt ex¬
of
American
installations
and propose to pour out in foreign
accompanied by a fanfare of pub¬
transactions? What gold reserves
ceeded $278 billion—a mortgage
licity that amounts to little more surplus property abroad. We are do
of over $2,100 on every citizen of
they have? What dollar bal¬
than outright propaganda for? the embarking on a new policy in¬
ance
have
they
accumulated?
the country, including those who
volving
government 1 e nding
transaction.
also risked their lives in defense
What further changes will we
Part of the transaction is in the abroad on a vast scale. We are
have to make in our tariff policies
of the nation and who now will
form of outright commitments on formulating far-reaching; policies
to insure repayment for goods we
have to begin paying
the bill.
which we can have nothing to say. concerning all other economic re¬
now propose to ship in such large
They will also have to pay the
lations with the rest of the world.
They are hard and fast obligations
current expenses for the swollen
volume? How can nations in debt
and no matter how far-reaching
activities of the Federal Govern¬
to us pile up these dollar balances
Our Entire Economy Affected
they are, they are accomplished
ment estimated at over $36 billion
as fresh pur chasing power without
Transactions like these cannot
facts. We do not even have the
for the first full peacetime year.
be weighed only with/the. dollar applying them on past obligations
option of judging them on a
In other words, we are planning
to us, long overdue and unpaid?
"take-it-or-leave-it"
basis.
The sign. Our entire economy will be
to spend in this single peacetime
changed by these policies* - Our Why should we not have the facts
commitments
are
made for
us;
on
these conditions so that we
year exactly what it cost us to
they bind the country; and there people will be undertaking bur¬
fight the whole of World War L A
might consider them before we
dens for generations to come. The
they are. This is certainly the
totally outrageous amount for a
adopt policies not tempered with
case
with certain aspects of the effects will show up in the taxes
peacetime budget.
we pay.
We have become so ac¬ past experiences?
British loan.
Why should we not have fac¬
It is
in these circumstances,
We are consulted only, on such customed to dealing lightly with
tual comparisons
of the public
that the Federal Government has
billions of dollars that; we have
parts of these transactions which
debt, tax burden and income be¬
embarked upon a vast program of
lost sight of realities that lie be¬
the Executive, Departments can¬
tween the people of our< country
expenditures in foreign i affairs. not
hind the dollaf islgn. *When* *w£
carry out on their own. Usu¬
and
those of ; foreign
countries
Within
the past year
we have
ally they involve an appropriation pour forth billions of dollars in
seeking loans, investments and
committed
our selves
in
various
of funds which the Executive De¬ foreign, loans and other transac¬
economic
aid
from
us?
Why
ways—under 3 (c) of the Lendtions .what is it we export? 'Cer¬
partments cannot possibly maneu¬
should we not .know > how they
Lease
agreements,
the
Bretton
tainly not paper dollars. We are
ver out of existing appropriations
Woods
propose to apply the money and
program,
Export-Import
or
by strained constructions of exporting the resources of this
Bank, UNRRA, the International
country—the timber of our for¬ goods we give to them? We sought
past law. To that small extent
to find this out in connection with
Food and Agricultural Organizathen, Congress, gets a voice in ests, the minerals from our mines, UNRRA because we had reliable
tion, and on other international
the fertility of our soil, the vast
these foreign transactions which
accounts, v The State Department
range of products from our shops reports that our aid was being
are so important to the future of
has just negotiated a large loan to
and factories.
We are exporting misdirected, but we only got gen¬
our people.
7; b.
eral vagaries in reply.
Great Britain.
In some reliable
When we turn to Consider the the genius of our? scientists; the
quarters, the total of our present
skill of our technicians and the
transactions to the extent permit¬
A National Scandal
commitments abroad has been es¬
labor of millions of our workmen.
ted ;us, we soon find we lack the
The condition of American Gov¬
timated
to
exceed
$20 ; billion.
These are the things that stand
information indisperisab 1 e to
From other reliable sources come
behind the dollar sign in these ernment accounting in our foreign
sound judgment.
We get state¬
reports that loans to other nations
transactions with foreign coun¬ transactions is a national scandal.
ments
and
speeches about the
It took months to get some proper
may soon follow.
tries.

Mr.

What do they say?

taxpaying: corporation and
the. innermost

every

The State Depart¬

contrast this is almost equal to our

affairs.

keep the issues-on the vague
general plane on which it is easy
to mobilize and direct, opinion in
we

not

policy

invest¬

details

Thus

they

and,

There are no glittering generThe State De¬ alities, no vagaries, no slipshod ;
partment has yet to tell us.
methods permitted here. - In every ;
For thirty years, from 1914 to transaction between the Federal <
1944, we have been exporting Government and our people, the ;

the principle that they
are to give us the least informa¬
tion possible and to make that as
confusing as. human ingenuity can
contrive. The object seems to be

directions.

on any new

price, the OPA compels him to

tives abroad who certainly should

upon

desired

the facts about

loans

February 21, 1946^

present elaborate cost figures. If
a corporation has a stock issue to
market, the SEC requires it to file
its life history and operations in

ment has hundreds of representa¬

place

bearing

ments abroad?

conclusions.

are

conditions?.

American

and to allow us to

own

What

where.
these

have to pry

ments will give us the information

For purposes of

come

act

being made
to bind the interests and. future
conduct of the United States, we
console ourselves with the thought
that when the secret negotiations

trillion dollars.

press

Congress, of course, receives
official. information.
We ?. are

though

ment on rearmament

the

some,

what commitments are

Congress faces the most singular
situation in the history of this

the

they negotiate

<■

persuaded to accept all this on the
theory that negotiations between
the Executive and foreign nations
must
have
some
privacy.,, Al¬

President, on my own be¬
half I wish to make some observa¬
tions on the conditions intended to
be
reached
by
this resolution.

ditures

negotiations

ques.

Mr.

country.

Official

merely gets innocuous handouts in
the form of cheerful communi¬

tisanship, to join with us in this
effort to

are: secret.

Loan Data
American people, responsible
Congress, and that their first
duty is to present the full facts
to
Congress on the transactions

his

elsewhere are* being
properties in Eutaken over,
and that some are
being dismantled and moved else¬
American

that

Information

blossom

In most cases these

partment to furnish the facts. We
extend a cordial invitation to all
other Senators,

soon

Congress Receives No

requesting the Executive De¬

of*

kind

this

'mors

^ Thursday,

and

rope

Senators Seek Foreign

eign

Mr.

people.
If a manufacturer
baby's pants wants to change

own

that the

this:

Executive Depart-*,. ;

ments of our Government are

not

providing this information in theg.p
volume, in the form and with.the;';;
attention to detail that is required.by the American people to
them to form
on our

What irony

intelligent

current and future

enable ^

opinions^
policies..

it is that we

should

appropriations ..of
of dollars to finance aJ

asked ;;for

millions

relations agency in the; / ;;
Department to tell the world. 7:
about America, when' this same*^;
State7 Department compels us to .;;1,
force them to give us the ele-yt?'
mentary facts about our own af-: ; /.
public

State

who vote;
willing to be;
kept in the dark about the business our agents conduct for us?
*
The resolution I now present
and ask to have printed in full.

fairs?

How long are we,

these

huge

sums,

following

;

;V.

my
re-;,
marks has one prime purpose: to; ,
ask from authoritative sources of -;
Government full data pertinent to

immediately

;;

Volume 163 A Number 4466

THE COMMERCIAL & FINANCIAL CHRONICLE

America's economic policies rela¬
tive to foreign countries/" J

involves

fit

Whereas the question has been
as
to the ability of the

raised '

investigation. It
involves no money.; It sets forth
eighteen specific kinds of informa¬
tion

United

future

need for

better under¬

mands

arising from existing inter¬

national

commitments

from

requests

from

and

abroad

for

of
American
foreign
policy. No secrecy need shroud
any of this data. Some of the in¬

financial and economic assistance,
and '/A/AAi/AAA
A. 7 ' / <•/>/;•

formation

already exists and has

to loans and other economic aid to

been put out piecemeal to a limit¬

thpi-oughly; conversant/with/what
we seek.'
AaAAAAaA
ASfe/AA

foreign; countries, is highly desir¬
able, and
' ;
-A;-/
Whereas any policy of loans and
economic aid by the United States
to other nations is of the highest

We want this information in a
form useful to us. We do not want

importance to the American peo¬
ple, requiring detailed informa¬

tion

standing

ed^ extent..

Other items

can

quickly compiled by departments

scattered

through a score of
delivered bit by bit
uncoordinated
and
over
long
lapses
of
time.
We
want
it
brought together in one document

references,

where

can

see

our

situation

/ a whole. That is why our resolu¬
tion asks that the data be reported
to the Secretary of the Senate and
directs him to print and publish

the

;

document publicly
available." We have consulted with
same

technically

competent
persons
Who inform us that the bulk of the
information
we
want
can
be

brought, together in forty-five
days or less and we /have asked
that it be produced in .that time.

Certainly. Congress would be
ill-advised to implement our for¬

eign economic' policies with ap¬
propriations or otherwise without
having this data to guide it. Poli¬
cies not grounded in the

full/ un¬
derstanding l of four' people ^soop
turn

out

costly

delusions,

^epcan, ony/reach this

.under¬
standing ^by/a/Zfull report i>i the
'.

*' '
]
'
The following is the text of the
iresolutionr
^
^ 79th Congress, 2nd Session
,

S. RESOLUTION* 231

;

■

Senator Styles"4 Bridges, for him¬
self, and for Senators Chan Gur-

hey,s C/ Wayland' Brooks,

Clyde

Reed, Raymond E. Willis, Ho¬
Ferguson, Kenneth S. Wher¬

mer

ry/Guy Cordon,' 'submitted the
following resolution; which was
RESOLUTION

Resolved, by the Senate of the
United States of America in Con¬
gress

assembled, That, WHEREAS,
the United States Government is
already committed. to large scale
financial and economic aid to cer-

/tain foreign countries and to in¬
ternational organizatioris to
of billions of
dollars, and
Whereas in the

Wan II,

course

total

of World

the United States at its

expense? made vast installa¬

tions in

many

and how

owns

goods

careful

most

considera¬

A".' A; 'A A"a^^A/aa^A-A

NOW, THEREFORE,
BE IT RESOLVED:..

That the President be and is here¬

by respectfully requested to direct
the Bureau of the Budget, within
forty-five days of the adoption of
this resolution, to report in detail:

The grand total of indebted¬

loans, investments, com¬
or other/obligations out¬
standing as of. Dec. 31, 1945 of all
foreign governments, their agen¬
ness

mitments

cies and

their

private citizens to

each

countries

of the

item 12.

able

report

the

reduced to
for each of

Strikes

basis,

15.

The

interest rates
for government borrowing, accord¬
ing to the latest reasonably-relia¬
ble report, in each of the countries
average

mentioned in item 12.

16. A An estimate year by year
of the probable expenditures of
foreign countries for American
goods and services as a result of
credit

and

contracted

with this country publicly or pri¬
vately since V-E Day and includ¬
ing transactions under 3 (c) of

lend-lease, the Bretton Woods
gram,
Export-Import Bank

17*
Assuming the ultimate ne¬
cessity of gold settlements under

estimated total economic transac¬

tions': (exclusiveAof extensions of
American loans and credits) be¬

foreign countries and the

United States within the next five

what gold is available for
and

how

pits

mills awaited coke

and

oven

week

publication in

and

equipment," states this
its issue of today
(Feb. 21), which further adds:

"No

sequence

made
new

deliveries

steel

expected

were

until

the

con¬

announcement

be
of

Steel companies this

prices.

week notified their customers that

price

ments

advance

was

effective

Until the various adjust¬
made

are

steel

many

products to arrive at

5.1%

ago,

96.4%

after

Feb.

material

for

any

between the old and

shipped
difference

new

price.

the United States Government, its
The steel industry and the OPA
distributed so that nations likely
agencies/and its private citizens;
to be liable for gold settlements to have until Mar. 1 to allocate $4.50
and the same shown separately for
the United States will have the of the $5 a ton price increase
public, indebtedness and for pri¬
among various steel products and
gold to make them?
vate indebtedness.,
/ A
March
8
to
allocate
the
18.
What changes are necessary until
2. The total loans made by the
While it may not take
in this country's import tariffs to balance.
United States Government to for¬
make possible the repayment of that/long before prices are an¬
eign: governments and; agencies
nounced
considerable
difficulty
thereof from 1914 to 1932, inchA the loans and investment already
made and contemplated by the may be encountered in arriving at
sive, and ;from 1933 / to the date
steel price advances designed to
United
States; and by private
hereof; itemized for each country,
alleviate
the
hardships. of the
with the repayment history 6f American interest.
small nonintegrated steel mills.
each. :
'
t
:
•
•
* BE IT FURTHER
RESOLVED:
Paradoxically
the
products
on
;
3./ Existing commitments of the
That / immediately upon the re¬ which many of the larger steel
United /; States^ AG
ceipt of the foregoing data and companies are losing money are
representatives thereof, including
information from the Bureau of the semifinished steels which the
alleged moral commitments, a to
the/Budget,/the Secretary of ; the small nonintegrated steel maker
extend
American financial arid
Senate shall, cause the same to be uses as raw material for
turning
economic aid to foreign countries
printed .and published as a Senate out finished steel products.
and international organizations. / ;
document • in the number of• 2,500,
A If the- advance on, semifinished
;
4.-, The. amounts of American
copies for the use of the Congress steel were to be too
great in rela¬
portfolio//andA direct investments
and the public. *
'
tion to the advance on finished
abroad, by country, as of the. end
steel products, the nonintegrated
of 1914, 1932, 1939, and 1945.
maker would be in such a squeeze
/ 5,. The amount of/foreign port¬
Thaws Blocked
thatA the
folio and direct investments in the
general price /.increase
Netherlands Accounts
would place him in a worse posi¬
United States, by country at the
The unfreezing of Netherlands tion than he was before/the
end of 1914, 1932, 1939, and 1945.
strike
6.
Gold reserves, dollar bal¬ blocked accounts was announced because of the 18% cents an hour
on
Feb. 12 by Secretary of the wage increase.
While the steel
ances, /and other hard-money as¬
sets of countries whose govern¬ Treasury Vinson. The announce¬ industry
and the OPA finally
reached
an
ments are now in debt to the ment stated.
agreement on
the
United States Government or with
By amending General License amount of the average increase
whom loan and investment discus¬ No., 95 to include the Netherlands, in steel prices there was at mid¬
sions " have
been held
by any the; release of blocked Netherlands week no ^vidence that^thealloca/
American official since 1939.
accounts i& provided1 for through tion of the $5 a ton advance would
7.
The full status of lend-lease the certification procedure already be a simple matter. Previous price
obligations; showing with proper in effect for French, Belgian, meetings with the OPA have at
accounting, detail shipments of Norwegian and Finnish assets. The times been anything but tranquil,
goods,
loading
and
unloading Netherlands Government has de¬ although every effort was being
charges, transportation, 5 storage,, signated the Nederlandsche Bank made this week to reach a speedy
maintenance and other charges, as the certifyingagent under the settlement.
including services, in the case of license.
One thing seems certain this
each
country obligated to the
Substantially, all restrictions on week unless some form of govern¬
United States on lend-lease; with
current
transactions,
with
the* ment priority control is instituted
the corresponding accounting de¬
Netherlands were v removed
(and it can only be considered an
,

9.7

the preced¬

week
beginning Feb. 18 is
equivalent to 268,000 tons of steel
ingots and castings, compared to
96,900 tons one week ago, 89,700

month ago and

tons

one

tons

one

Cleveland,
in its
the iron and steel

Feb. 18 stated in part

follows:

"Late

1,765,700

ago.

year

markets

been

for

over

the

"Steel"

customer

ago

This

ago.,

The operating rate for

summary

announced, an addi¬
tional^billing will/be;/made to the

increase

176.6%

average

year

represents

points

month

one

ing week.

price of $5 a ton, steel
shipped will be billed at, the old
price.
When the new quotations

increase

have

for operation

gas necessary

accessor}

heating

Feb. 15.

settlements

soaking

the

such

of the week

pro¬

and all other extensions of
credit to foreign countries^

years,

ucts, kept both operating and sales departments of the steel industry
week, according to "The Iron Age," national metalworking paper.
"Little finished steel was produced in the early part

in confusion this

pro¬

gram,

tween

Difficulties involved in returning struck steel plants to operation,
coupled with uncertainty as to price advances for specific steel prod¬

A-

loans

End—Wage Increases Granted—Prices Rise

in¬

national

per
capita
the countries
mentioned in item 12. A,/A
1

come,

the

Steel Mills Resume Production

The latest reasonably-reli¬

IN THE. SENATE OF THE

pwu

coordinated policy as

14.

: "

indicate

estimates

that

steel

producers will require an
average of three weeks to a month
to get back
to normal produc¬
after

tion

case

strike

the

and

units

large

some

the

where

has not been per¬
strikers to
provide
will be
required, two months in some in¬
management
mitted

maintenance much longer
stances.

uncertain

"So

damage

will

ducers

the

incurred that

nature
some

know

not

pro¬

definitely

how

long will be required to
make repairs until they are ac¬

tually in production. Where mills

and

foreign countries
great quantities of

property

abroad, the

nature and extent of which is not

adequately
and
Whereas

known

Treasury

Congress,
States

tail

early

reverse

lend-lease.

the

United

The legal and actual status
American direct investments
under the laws and current prac¬

how; engaged in settling certain of
its accounts with other countries
such as lend-lease, surplus prop¬

tices

erty,

ments have been made.

and

American

installations

abroad including the extension of

credit/and
Whereas
additional
commit¬
ments and requests for assistance
-•

constantly rumored, and
Whereas Congress is
lacking in¬
formation; as to the current and
are

probable future total of such
quests and commitments, and
Whereas

the

outside

re¬

wbrldis

already a large debtor to this
country on account of past invest-!
merits
and ; loans made by the
American
Government and by
-

American citizens, and
Whereas information is lacking
to the capacity of the outside
world A to repay
to this country

past, current/ and contemplated
loans, investments and other obli¬
gations, and
Whereas

availbale

reports
of
American loans and economic aid
to foreign

countries, such as lendlease, have been lacking in ade¬
quate accounting detail, and
Whereas reports from responsi¬
ble official departments of Gov¬
ernment call attention to the rapid
depletion of the nation's resources,
and
-v" AaA'A AA7 aAv/aa sMs& AW

produce only one product, plates'
instance, normal operations

for
of

be restored within a couple
weeks, but as to the industry

general estimates are less op¬

may

A> "
UNITED STATES A
;A
7'AAAAAAv:;K^-; ■ ;AA/AAAA;.

and

for

mentioned in

facts.

Whereas

tion.

burden

States to meet all the de¬

1015

the

countries

respective foreign
which such invest¬

9. The value, classification, and
location of United States Govern¬
ment-owned

property in foreign

countries to Dec. 31, 1945, includ¬
ing installations and "surplus"

property.
10.

So far

possible, the total

eigners, excluding re-exports and

certified under
the arrangement announced today
will also be freely available fqr

and security^ transfers,
annually from 1914 to 1945 together

with the

corresponding items sup¬
plied by foreigners to the. United
States in the same period..-

General

The effects of the

public

debt

the

war

United

States.

■AAA-'12.of

The per capita tax bur¬
the

people of the United
classified as (1) Federal,
(2) state and local, and (3) total;
and the total per capita tax bur¬
den of the people of each of the
States

countries
and

now

States

investment

The total

debt

the

with whom, loan

discussions

been held by any
cial since 1939.
A

A 13.

License

No,

was

made available to the Netherlands
after an exchange of letters be¬

tween/the Netherlands Minister of
Finance

and

similar

nection

Secretary /Vinson

those

with

written

con¬

the

defrosting of
previously included
in the license.fv Copies of, the let¬
ters

available

are

the

Reserve

Federal

Banks
of
New. York,
Chicago, and San Francisco.
,

The Netherlands Minister of Fi¬
has A; informed
Secretary

nance

Vinson

that A the

sequestration

imposed

measures

property of

United States nationals during the
German
occupation A have
been

Philip

Murray

has

definitely

stated that the union has.

re-em-

pasized its agreement with the
objective of increased produc¬
tivity. He also says that since the
contracts

run

for

full year,: un¬

interrupted steel production

will

have

American offi¬

per

absent

covery

owners

their

corded

lands
will

that

can

rights.

of
be

corded
any

and

debt

reinstated

the

States

favorable
assets

other country.

ac¬

Nether¬
that

steel

for

customers

already
relatively
little finished tonnage unshipped
own

the

when

had

Mills

order.

strike

was

and

called

while stocks of semi-finished and
steel in process were

substantially

larger it will require some time
before even these can be convert¬
into

finished

products.

The

cation
so

will

consumers

strong. Some producers |

products

diversified

they

are

declare

out of the market for the

entire yfear on

everything except

specialties and are booking
nothing for 1947.
One producer
who/ has been able to operate
through the strike appears to, be
in this position, among others.
a

few

opiate demand has

definite

eased as im¬

commitments

future

approach being
to name a period of months after
the end of the steel strike, some
not being able to do even that.
Some producers are covered for
the remainder of the year."
shipments, nearest

Filing Assn. Meeting
Association of New
its: regular monthly

The Filing
York

held

likely will be speedy.

meeting on Feb,

American

Iron

and

Steel

the Panel

11, at 7.30 p.m.

Room of the Hotel

The speaker for the.

New Yorker.

ac¬

evening

received indicated that the. opera¬

special agent of the Federal Bu¬

ting rate of steel companies hav¬

reau

Transfers of

exchange
,

ing 94%
the

of the steel capacity of

industry

will

15.2%

capacity for the week beginning

A Feb. 18, compared with 5.5%

one

;

available for fabric/
during the first mpnth or
be light and pressure from

result tonnage

telegraphic reports which it had

the fullest extent consistent with

peace

flooded with demands from their

Institute this week announced that

funds from the Netherlands to the
United States will be permitted to

position.

producers
will
problems when labor
restored they will be

nationals

the Netherlands, foreign

capita

procedure

Treatment

assets

United
as

steel

many

be possible.

Despite the pessimism of steel
producers in many areas concern¬
ing the ' return of production to
pre-strike
operating
rates,
re¬

abrogated

"While
have

possibility of obtaining delivery
outside
possibility)
most
steel promises has become more evi¬
dent but some producers have
mills will be faced with the neces¬
than
sity of sharply reducing future booked A tonnage- greater
customer tonnage quotas. Already capacity lost during the strike.
behind schedule, a month or more Deliveries now possible vary fromon
some
products
before
the six months to first quarter next
Inquiry for 34,500 tons of
strike; and with a month's pro¬ year.
duction lost during the strike and plates for three Maritime Com¬
the possibility of losing more time mission : ships has met refusal by;
some
as mills resume production, some
producers to bid, as firm
firms may have to set aside a full prices are asked and under pres¬
calendar
quarter
in which to ent circumstances this is difficult,
catch up.
"Sheetmakers are slow to make

has been established under which

11.

United

under that license. ;

use

financial

den

by General License

the countries

value of American goods exported
and services performed for for¬

the

December

No.. 94. Accounts

timistic than recently.

was

Harry

Investigation,

informal

talk

D.f O'Neill,
who

gave

the

covering

work of the FBI and the way rec¬

ords

facilitate

the

burfeauAAAAAAlAAA

work
vA

this
"

;

THE COMMERCIAL & FINANCIAL CHRONICLE

1016

National Fertilizer Association Commodity
--The

•

weekly wholesale commodity price index compiled by The
Fertilizer Association and made public on Feb. 18, ad¬

National

vanced slightly to 142.1 in the week ended Feb.; 16, 1946,
from. 142.0
(revised from 142.4) in the preceding week.
A month ago the. index
stood at the same level of 142.1, and a year ago at 140.0, all based on
the 1935-1939 average as ICO.

The Association's report' addcdr / ,V,

Three of the composite groups of the index advanced during the
latest week/and two declined.
The. farm products group advanced

moderately with all of the subgroups sharing in the advance.
The
cotton index reached another new high peak..
In 18 of the, past 20
weeks,' the cotton index has risen; in one of the weeks there was
no change and in the other there was a small decline.',. The grain in¬
dex

advanced

slightly because of higher rye quotations.
The live¬
stock index advanced moderately with higher prices for good cattle,
lambs, sheep and eggs; prices for choice cattle were down. The food
index advanced

principally because of higher potato quotations. The
a small advance.
The fuel index declined due

textile index showed

material index declined
All other groups of the

lower, prices for gasoline./ The building
of lower prices for crushed stone.

because

index remained unchanged.

'
! During the week 7. price series in the index advanced and 3 de¬
clined; .in the preceding week 5 advanced and 6 declined; in the
second preceding week 9 advanced and 2 declined, '■ s
(

ijt

Compiled bv; The National' Fertilizer

■

Association

•

Week /

Each Group
Bears 10 the.

Group

Total Index

I''.;'-

i_44>

//■//'•

Foods

40.4

ruts

;

lj^t6

—.

Grains—00^00.0^.<
————

Fuels/./;. 4
Misceiianeous commodities—

241.7

169.7

H, 158,3/'
1J3.9

and

Chemicals

0
Fertilizer materials—————

106.4

1'27.0 '

125.4

118.2

118.3

•

Fertilizers—-

:'119.8/

119.8

;

—

Farm machinery-

.—

105.2

12,450,000

119.8

105.2

All groups combined

."indexes
and

Feb.

109.1,

1945,

142.1

—

1142.01

i42.i

tFeb. 9,

1946.

Feb.

i946,

16,

110.7; .Feb,
;
1

1946,,.1110.6,

1,247,000

1,114,000

i-Commercial produc.
Beehive coke—
'
£

1,118,000

1,197,000

95,600

85,000

total

States

"Includes

operations,.

washery

dredge

and

6.357.000

1,069,000

5,551,000

6.039.001

119,700

506,600

602,400

■0 * (The

current -weekly

;

hipments
Usenet

and

subject

are

State

and

sources

and bond yield, averages are

annual 'returns

l'inal

1946

V >120,000

1946—

U. S.

Avge.

Daily

'Govt.
-•

19—( 126.02

Feb.

Corporate by Groups*

Corporate by Ratings*
Aaa

R.R.

Baa -i

P.U.

Indus.

119.61

123.56

121.88

119.20

114.27

116.61

120.22

122.29

126.12

119.61

123.56

121.88

119.20

114.27

116.61

120,22

122.29

126.14
15-__—

119.61

123.56

121.88

119,20 i

114.27

116.61

120.U2

122.2-

121.88

119,20

122.09121.88

126,14

119.61

126.15

14—

-119.61 / 123.58

126,15..
:

•

123.56

119.61

123.34;
:

(Stock. Exchange

120.02

122.29

116.61

120.02

122.2-

116.61

120.02

122.22

114.27

116.80

—

119.20

114.27

119.00

114.27.

P
.

114.27

116.41

120.02

122.21

119 20

114.27

116.61

120.02

126.15

119.61

123.34

121.83

119.20

114.27

116.41

120.02

122.2

00/00^000:

123(09

119.61.

123.56

121.67

119.00

114 27

116:41

119.82

122.29

123.06

119.41/ 123.56

121.67

119.00

113.89

116.22

119.82

122-.2-

the Panhandle District

anc'. Oregon.

4,00;
:

: .'

■

395.00r

31,000

;

0'^9000^0'•v

128.12'

>/'///: 5-L—
V,:

;H-

0000:1:00^0
Jan: 25/i^ii.^.

113.70

116.02

119.61

122.2.

118.80

113.70

116.02

119.41

tenders for

about of 91-day

0"l$*;O0c

118.80

113.50

115.82

119.41

121.46

118.80

113.50

115.82

119.41

121.25

119.00

113:314

115.63

119.41

118.60

120.84

118.60

112.93

115.24

118.80

121.8,

126.11

118.20

122.09

120.63

118.20

112.56

115.04

118.40

125.18

117.80" 121.67

119.82

117.60

112.37

114.66

117.80

120.8-

122.50

122.0.

•

119.61

123.56

122.09

119.20

114.27

116.80

120.22

122.2-

117.60

121.46

119.82

117,40

112.19

114.46

117,80

120.ff£

126.28
124.97

121.84

114.46

119.96

•

111.25

Feb.

(Based

:0K00

Corpora te bv Grouns*
P.U.

R. R.

Baa

Indus

2.64';

"/ 2.54

2.64

2.82

2,94

(

-2.54

;

•

000' /; 1.32

'2.67

2.-48

2.69

2.94

2.69

2.94

2.82

/ 2.65

2.69

2.94/

2.81

2.65

2.54

H 2.69

2.94 V;

2.82

2.65

2.54

2.82

( 2,65

2.56

•

2.82

■

Total

Feb. 6 that informa¬
been received from the

patches which added that it had

ington, relative to the issuance o.
the 3rcent Merchant Marine stamp
of the Armed Forces Series, to be
first placed on sale at the Wash¬
ington, D. C., Post Office on Feb
26, and hiade available to post
offices throughout the country as
soon thereafter as production fa

been learned

cilities

for

vacation

been

cancelled

Florida

because

Associated Press Washington dis¬

unofficially that the

will permit.

,15——

—

1.32

-130100

Stock

1.32

2.49/"/

2.56

2.67

1.32

(2.67

1.32

2.67

1.33

2.68

2/ 49

2.94

2.70

i.56

2.48

-2.67

1.32

2.56

•

•/; 2.55

(

2.54

2.57

2.49

?v 2.56

2.70
.

•

2.94

2.83

2.63

2.94«.

2.82

2.69/'

2.94

2.65

2.57

2.70

2.94

2.57

2.70

2.96

2.84

•

,2.54

2.66

2.54

2.66

2.83

2 48

2.54

2 65

2.83

■2.48
'

." 2.54

2.65

2.54

'■

6—00:'

■

1.33

2.58

2.71

2.97

2.49

2.58

2.71

2.98

1.33

2.69

2.49

2.58

2.71

2.98

1—.w

1.33

2.69

2.49

2.58

2.71 /

1.31
1.33'

2.70

2.50

2.59

2.72

2.53

2.61

•

•(.".

2.69

2——.

/'( 5—_——
•

'"
'

—™

25—/—/'■

Jan.

1.33

18—

.11

2.49

■

2.62/

2.85

2.67

2.85

2.68

2.54

2.86

2.68

:/ 2.54

2.98

2.86

;-2.68

2.70

2.99

2 87 /v 2.68

2.72

3.01

2.89

2.74

2.55

2.76

2.57

2.66

2.77

3.03
3.04

1.40

2.77

2.58

2.66 :

2.78

3.05

1.31

2.67

2.48

2.55

2.69

2.94

2.81

1.69

2.93

2.65

2.72

2.94

3.40

3.15

(/ 1.83

3.10

2.74

2^83

3.11

3.72

3.49

1946—

Low". 1943-

19,

.2.58

2 Ye"
Feb.

♦These prices are computed

yield

issue

averages,

the

ment and labor officials were said

bending
so

;

used

in
on

the true* picture-of

compiling
page

the

2508. -

■*

averages

the bond

was

given

Marine
stamp
special delivery size
arranged horizontally. It will be
printed by, the rotary process in
blue, electriC-eye perforated, and
issued; in' sheets; of 50 subjects
The central design shows a Lib
erty ship unloading cargo. In the
upper left Corner is the wording
will

2.64

/ ( 2.54

three

2.94

2.69

2.98

2.83

market.
in "the (Nov.

22,

0;::?0■'"0-'0---

■

1945
J0

new

Washington.

and

President

pected

Truman

make

his

flight, to Fulton, Mo.,

still

the

ex¬

foreign -affairs- speech

March .5,

top

white

centered

between

of lettering appears

lettering, in one line.

ing is arranged horizontally-.

\
-

00.

---

v":

■■■-*■:

-1

-1 X v

*■

accepted.) {/ J.

the low price was

There

maturity of a sim¬

was a

ilar issue

bills

the amount of

Feb. 21 in

$1,302,106,000.

Moody's Daily
Commodity Index
Tuesday, Feb. 12, 1946—
Wednesday,' Feb, 13-_^r.---.^~.----r-1.r267,~4
Thursday, Feb.
-^.--267.5
Friday,

Feb/ 15---------268.4

16w-/---/™;^/-^-~>-r-r268.3
18,^-—269.3
19„/_-^--U-~4---^---268.7
Two weeks .ago, Feb. 5i_^_-lr.*_^---266.l
JMontb ago, Jan. 19-^---->—,-^--<,--264.9
Saturday Feb.
Monday
Feb.
Tuesday, Feb.

Year

1945

ago;.

Feb.

19,(1945_r_i.~:T_,—254.8

High,. Dec. 27—-.,.—————--265.0

low, Jan. 24——1^-1—i-.-;• .252.1.
.1946 High,; :.Feb,.:
low, Jan.

of
0.376%

....

"Holiday.

264^7

•

: ;

(59% of the amount bid format

;

per annum.

roman

(All letter¬

approximately

discount

and War" in

architectural

face

"j'-f
t

arid

the wording "Peace

atJ West¬
*

Low, 99.505; equivalent rate

style is the wording "United
in three

these groups

scheduled

Minister • Winston Churchill for

per annum.

gothic lettering, comprising
lines,. In the upper righ'
in a similar arrangemen

"30" in white gothic lettering.

to introduce former British Prime

':0 minster College.

High, 99.908, equivalent rate of
discountapproximately /Oi.364%/

lipes, below ' which is the symbo'

wage-price pol¬

competitive

bids:

States Postage," arranged

icy.

per annum.

Range of accepted

corner

accomplished also in the formu¬

remain

discount

rate

mately 0.375%

"U, S. Merchant Marine" in white
face

this had led to the President's de¬
to

and ac¬

99.905-f ; equiv¬
approxi¬

Average price,

effort to
a halt, but
accomplish

cision

Merchant

The

Definite steps still remained to be

from average yields on the basis of one "typical" bond

the latter-being

Ust

"Chronicle"

every
far to

2.62

coupon,

MotE—" The
.

news

day earlier that the
projeCted trip would proceed and
that all necessary business could
be done by telephone.
Govern¬

2.61

2.76

maturing in 25 years) and do not purport to show either the average
level or the average
movement of actual price, quotations.' .They merely serve to
•Illustrate in a more cBmprehensive way the relative levels and- the relative movement

;

in¬
an¬

2.76

2.92

Ago

19, 1944—

i3%%

surprise,

that failure

2.56

The

;

as'. a'

the President had fold his

conference

lation of the

1945—

were

decision.

came

bring the steel strike to

Ago

1 Year

Feb-.

in the

nouncement

2.54

High.

volved

policy ^question

2.55

2.73

2.93

—'

2.54

H;. 12.71

2.90

1.38

1.32

—

4-^

2.69
/

price

Exchange Closed 0':00. /^/'H /''-.j/ •/•'

■■■1100

000-J000X-

2,56

2.48
2.48

2.67

;'■•
9—
•
//('"8- 000

( 2.67

H/2.67.':

;i.32

■

.12——-—.

2.67
:

1.32.

•

."2.48

entered on a

price basis at 93.905

alent

The advicei

1.32

$1,301,118,000

accepted,

cepted in full).

state:

labor crises and the related wage-

Fed¬

Feb. 18.

applied for, $2,037,113,000.

fixed

an¬

Post Office Department at Wash¬

Truman's

President

personal attention," according to

Individual Closing Prices)

;' 14_

15, were opened at the

eral Reserve Banks on

fIncludes; Arizona

Postmaster Albert Goldman

tion has

"the," Immediate critical situation
involving problems requiring his

MOODY'S BOND YIELD AVERAGES

16--uw_^.

23,

(includes $47,991,000

nounced

plans

U. S. K
;.;i946-"*/(:///H//
Avge.
Daily 000': /Govt.
Corpo¬
Corporate by Ratings
Averages 0 /. Bonds rate* ■; /(Aaa :/• Aa
A
;•■/
:
.Feb. 1)-—-±7 0: 1.33
2.87
:/;;2.48.:// 2.56 02.69 0

The White House announced
that

and to mature

which were offered on

May

Merchant Marine Stamp

Florida Trip
had

1944—

11.290.00C

^President Gaiissls

Treasury bills to

Feb. 21

dated

Total

Feb.

00::00$

2 Years Ago

Mineral, and Tucker - counties,
-"Less than 1,000 tons.
i •.
and Grant#

121.4

12,525,000
12,525,000

tlncludes operations on the N. & W.j C. & O.; Virginian; K. & M.; B. C, & G.
on the B. & O. in Kanawha, Mason; and Clay counties.
$Rest of State, including

122,2

123.34

119.00/ 123.12

194 6—

Feb. 19,

ant,

12,630,000
12.630,000

lignite

122.22

126.06

Feb/19, 1945—

Total bituminous &

that the

Feb.

$1,300,000,000 or there¬

*
.

122.2:

121.46

119.20

1946—

1 Year Ago

■

118 80

121.46

118.20

126.28

//.'H/Hll ,J~~0
j
■/". 4--'--;--/:
High

121.46

123.34

119.20

125.05

18—j.

Low

123.34

119.20 :( 123,34

125.98

125.97

126.05

•

announced,

757,0CH

1,000

The Secretary of the Treasury

150,00

25,000

■

2,000
159,000
395,000

122.22

Bill Offering

153.00C

119.00

UNRIlA?";^a

626,00.

2,218,000

•'

him,

Results Of Treasury

0$ 67,000

2,726,000
156,000

29,000

•

reporting

thus

out of

never

787,000

^000: H/2(314,000 " ;1.
2,254,000
,2,254,000
2,314,000
1,020,0G0:;
1.020.OGO
963,000
;; 233,000
233,000
•
- 250,000

§ Other Western States.

121.67

30,000

"*r 2,000
105,000
00 31.00

94,000

377,000/

123.56

(152,000
2,000
151, OOO

'<i

Virginia—-—
Washington——-—.

119.61

55,000 / /,
'3,ooo ;/;/

99,000

2,876,000

jtah-H...^———

119.61

183,000
1,013,000
H 393,000

00 28,000 /
30,000
HP 64,000 / 0000000!13fiOO000

—i

(126.15

\
' 1
just:;: before

quoted the General as saying:
"There was never any question
of reinstatement involved. I was/

•'

"Times"

00 56,000

464,000
.

3,000

•'.

(lignite)— *

Closed
123.34" 121.88

1,516,000
572,000

45,000
135,000

——-

/?West Virginia^-^-Southern-^*—m
IWest Virginia-Northern———-.
Vvoming—i-,.—u———

172,000
*

/HI, 144,Q00--?//•

/.y,;.:;

(55,000

lignite)

•'

■

Morgan,

leaving La Guardia Airport for
England.: reiterated on Feb. 3 that
he was never out of UNRRA. The

106.000

;

H-

Gen.

Lt.

7,000

556,000

1,095,000
475,000

Kentucky-—Western^^Hw-^iH*--^

Texas (bituminous &

385,000
.

promptly as pos¬

in Germany as
sible." 1

Feb. 3,
1945

1,000
.1,563,000

124,000

———

;—

42,000

Kentucky—Eastern— H—r——

\laryland_
:
Michigan.

General would "return to his

> i /

6,000
115,000
'.137,000

578,000

—

Tennessee

rate* ;

'153,000

—

/'1946

•

chief of UNRRA opera¬
Germany", and that the
post

tions

/..

830,000

Corpo¬

Bonds

duty

327,000

H HI,000
1,539,000

'ennsylvania (bituminous)—

operators.)

'Jan. 26,

///

323,000
6,000

Arkansas and Oklahoma

(orth & South Dakota

the

Week Ended—r-

4ewMexico_—-__

MOODY'S BOND PRICES

Averages

from

Feb.2,

JontAnk (bitum. & lignite)

(Based, on Average Yields)

estimates are based> on/ railroad > carloadings( and 5 rive
to revision on receipt of monthly tonnage reports fron

Sansas and Missouri

computed bond prices
given in the following table.

authorize

ESTIMATED WEEKLY" PRODUCTION OF BITUMINOUS COAL AND LIGNITE,
BY STATES, IN NET TONS

:owaH--—■

Moody's

409,000

and coal shipped by truck from
'^Subject to ■ revision,
:§Revised,

aiinois^j-^^—100^0000^.01

■

,■

5,782,000

coal

tExcludes;coUiery coah

Georgia and North Carolina—.——

Moody's Bond Prices and Bond Yield Averages

Feb. 13,
1931 0

l.i45

;

6,565,000
6,301,000

■

United

Colorado

Feb. 10,

1946

1,165,000

fadiana^^^*ri^i^—.-.ii;

Feb. 9,

1945

Total incl. coll, fuel

140.0

tRevised.

COKE

-Calendar Year to DateFeb. 10,

§Feb. 2,

104.8

;

most: serious

ANTHRACITE AND

<In Net Tons) '

that he had "given the
consideration to all
the circumstances," and that Gen¬
eral Morgan "did not intend to
impute sinister/ motive^ to indi¬
viduals or organizations seeking
to/ improve * the . . . plight,, ; *H
of displaced persons." Saying that
he had "also been impressed with /
Lieut.; General. Morgan's
deep
concern for his work", Mr. Leh¬
man finished
by stating that he
had decided to restore him "to;
rector said

PENNSYLVANIA

Uaska—0000.———

base, were:,

1926-1928

17,

—

1,161,269

69,935,000

State—-';100.0

(Hi,964,000

1,192,520

-Week EndedPenn. Anthracite— V Hi" 1.46

place confidence in the officer",;;
according to a special; dispatch |
from
Washington
to the
New"
York "Times".
The UNRRA di¬

A203,196

.2,105,000

continuing to

he felt "justified in

Feb. 10,
1945

70,649,000
2,072,000

^ H21^022H

213,002

•Feb. 9,
1946-

12,280,000
2,047,000

119.9

105.2

12,630,000

'2,075,000

155.9

/ ! 154.1

360.4.

-Jan. 1 to Date-

Feb. 10,
1945

Feb. 2,
1946 //

•

PRODUCTION OF

'■

133.4.

159.0

lignite-

Total, including mine fuelDaily average — 1—
i
Number of cars loaded,
f. o. 6. mines——

loo.t

;

H 110.2/

H 118.2

118.2

160.4.;

H: 127.0

Bituminous coal &

162.9
158.8

133.5

127.0

drugs-

H
/

12/.4

11012

160.1

205.8

161.7

;

ICO.4

110.2

164.6

H 169.6

133.9 /

161.0
——

Building materials-..—

163.1

232.9

129.3 / H

/129.7/;;

——

Metars__u_i—^—

Wjeek Ended-

145.3

163.1*
7

+ 157.5

/1.9.8

fort-on-the-Main concerning- the
exodus of Jews from Poland and

anthracite

Feb. 9,
/•
1946 ,/'
•

142.7

H 170.5

1169.1

170.1 /

■

January in Franks

marks early in

1945-

unaer

ESTIMATED

146.6

163.1

.0—

(.i.—.

Pennsylvania

"Subjectto current adjustment,

142.5

/ 245.7

Livestock..

had been

for:'the Week! ended
Mines, was 1,165^000 tons, was reported to have been asked
;o resign from UNRRA, has been
preceding week. I; When
compared with the output in the corresponding "wCek of 1945 there officially restored to his post by •
H.
was an increase of
Lehman,
head of 4
51,000 tons, or 4.6%. The calendar year to date Herbert
shows an increase of 13.5% when
compared with the corresponding uNRRA, to whom the General ap¬
week of 1945.
"■ P;"H '>00000-0 '00 /:/'"/'H/// pealed for a personal hearing to
determine the correctness of his
The Bureau of Mines also reported that the estimated
production
original statement and the pro¬
of beehive coke in the United States for the week ended Feb.
9, 1946
priety of his having made his
showed an increase of 10,600 tons when compared with the
output
for the week ended Feb. 2, 1946; but was 24,100 tons less than for yiews public.*
Mr. Lehman announced on Jan. ;
the corresponding week of 1945.
'•
'
29, after several talks with Gen¬
ESTIMATED UNITED STATES-PRODUCTION OF BITUMINOUS COAL AND lilGNITE
eral Morgan, who came
to the ,*
(In Net Ton8>
United States for conference, that -

Ago 1
Feb. 17,

Ago:
1946

1140.9
146.6;/ H 146.6

Farm Produets

23.0

Production

Who H
fire since his re- f

Administration in Germany,-

Feb. 9, 1946, as estimated by the Bureau of
a decrease of
82,000 tons (6.6%) from the

Year

Jan. 19,

;

/141.5

ami/Oils—;Cottonseed Oil-.

Week
Feb. 9,

Feb. 16,

ceding week.'. Output in the corresponding week of 1945 amounted
12,280,000 tons.
From Jan. 1 to Feb. 9, 1946, soft coal production
totaled 70,649,000 net tons, an increase of 1.0% when
compared witn
the 69,935,000 tons produced from Jan. 1 to Feb.
10, 1945. •
to

Month

Latest Preceding

PRICE INDEX

COMMODITY

WHOLESALE

WEEKLY
-

The total production of soft coal in the week ended Feb;
9; 1946, i'iIiieutH:Gbn;H:Sir. v Frederick .E;H
•, by; tne -United "-States
Bureau of Mines/ amounted to 1 Morga'h, head "of the United Na¬
.12,450,000 net tons, a decrease of 180,000 tons* or 1.4%, from the pre¬ tions Relief < and ; Rehabilitation
estimated

as.

Weekly Goal and Gokb Production Statistics 4^ L liprgaBi to Keep Post

Price

Index Advances Siighily /#l/|||§

Thursday, February 21, 1946

/ r q i t

;-i

•

rnn:

Volume

163

Number 4466

THE COMMERCIAL & FINANCIAL
CHRONICLE
;

Trading

good

.figures

showing the

-New York Stock
'.the
V

volume

members

total

volume

round-lot

stock

sales

13>

stock

transactions

for

of these,

exchanges in the week ended Jan. 26, continuing
a series of current
figures being published weekly by the Commission.
iShort sales are -shown separately from other; sales in these figures,.

.yU Exchanges

foi^; the account of members

(except odd-lot dealers)-during the week ended Jan. 26 (in round:.lot transactions) totaled 3,401,203 shares, which amount was 14.33%
of the total transactions on the

'^compares with

V4,844,248 shares,

Jan. 26,

amounted to 1,071,760 shares or 13.16% of the
total volume on that Exchange of 4,073,445 shares. During the week
'ended Jan. 19 trading for the account of Curb members of 1,516,760
"shares' was 13.85% of the' total trading of 5,474,400 shares.
'
.

Total

Round-Lot Stock

[
,

Stock

WEEK ENDED JAN. 26,

New York

the

Total Round-Lot Sales; ;••/ ?•/,
Short sales—-—

Round-Lot

Exch^nwe. and

Transactions lor Account of Members*

„

Sales

290,760

;

the /Odd-Lot/ Accounts

fur

•

'''''''

vailing

862,950

from

Bureau

Labor

the

Statistics'

■v

8,100

tOthersales————

for

commodity exchanges.

one-day-a-week prices.

...

Wholesale

PRICES

ENDED

with

Sales

Stock

WEEK

New

York

Account ©!

26,

—.nn.^1. .mi...——. »■

andi

(Shares)

Stock

,vV

'*/'/

1946

Short sales—.

tOther sales-.

Exchange

t 1o

Total for Week

Curb

Members*

ENDED JAN.

Total Round-Lot Sales:
i

the

Transactions for

47.175, ,,;;

■

Transactions

Round-Lot

for

Account

they are rcgistereor*
Total purchases—
\

mr..

Short sales

■

>''.- f :f
,:

?*:

Other transactions initiated
4

Total purchases

/Ji •'

291.66Q,.,

■:f;: •'

+ 0.3

107.1

...

x.——

.107.6

104.9

'+ 0.4

—0.5

+ 2.1

was

119.4

118.0

+ 0.2

+ 0.5

+ 1.7

101.1

101.0

85.4

85.5

84:0

105.8

105.4

104.2

Building materials

119.9

119.2

116.7

96.1

94.9

and

106.8

106.4

95.0

119.0

+ 2.1

+ 1.5

+ 0.6

+ 2.7

—0.1
0

116.0

0.4

0.3

+ 0.3

96.9

94.8

102.9

102.8

101.6

+ 0.3

+ 0.4

101.7

101.5

100.1

+ 0.2

+ 0.4

100.9

100.7

99.3

+ 0.2

+ 0.4

sale

+ 1.8

100.9

■

*;v *-

+ 1.8

.wo

the floor-

67,375

—

228,725

Livestock

pulp—

Grains

Total—

Total purchases.
Short sales—-——-—r.——-

,.
'

582,655

;•

-;.r

',,1

-»

Total sales—

f'f

O. Odd-Lot Transactions for Account of Specialists—
f' Customers' short
sales-—

products,

0.2

Other foods——

;

126,154

Total sales-—.

148,413
'l

*The term

''members'!

v.U'

includes all

regular and associate Exchange members, their
firms and their partners, including special partners.
;
* *
p
' >
=
fin calculating these percentages the total of members' purchases and sales if
compared with twice the total round-lot volume on the Exchange for the reason that
the Exchange volume includes only sales.
■/

$Round-lot short sales

rules,

are

included

which

are

with "other sales."

SSales marked "short exempt"

are

exempted, from restriction by the Commission'*
\

included with5 "other saies."

0.1

Lumber U———.

0.4

0.1

13,

Onlpol for Wmb Ended Fei. 9,1846

ended Feb., 2, 1946.
The output for the week ended Feb.
1946 Was 11.6% below that of the same week in 1945.
PERCENTAGE

DECREASE UNDER SAME WEEK LAST YEAR
.-■■■■■

| .Major Geographical
^ew

England-

Feb. 9

4.8
3.8

prepared by the Bureau, was at a' new postwar peak.; It was 2.1%
the corresponding week of 1945.
The Bureau's advices con¬

tinued:'i

"Farm Products and Foods—The group

tvJ

index for farm products
; rose 0.5% with generally higher prices for agricultural commodities,
vto a level 2.8% above early February, 1945.
Among the grains, rye
^quotations advanced reflecting low stocks, and wheat prices were
^higher with increased protein content of grains available.
Oat prices
^dropped fractionally as the result of poorer quality grain marketed.
Cattle quotations rose following resumption of operations by packing
•plants, and sheep*prices moved up on strong demand and low sup¬
plies.
Live poultry prices were higher seasonally.^ Average prices
for eggs increased contraseasonally, following the abnormal price
declines in some markets in previous weeks.
Apples were higher on

the

daily

volume

for

odd-lot

stock

account

of all odd-lot dealers and

special¬

ists who handled odd lots
New York

Stock

the

Exchange,

con¬

tinuing a series of current figures
being published by the Commis¬
sion. The figures are based
upon

reports filed with the Commission

the

od-lot

dealers

—
■

13.9 '

•

and

spe¬

3—_2—i—.

;

11.2

,.u

■

1944

3,899,293

■

•

?:?; u2.2

10.5

§6.1

shares^-^——£-^2,094,299

Dollar

1.798,164
1,818,169

4.403.342

1,510,337

1,718,002

% 4.560.158

1.518.922

4.566.905

1.563,384

;.+ —12.1
—10.6

4.538,012

9.7

-■

—

9.0

'•

—

8.2

4,563,079

4.616,975

3,758,942

4,225,814

-—li.o

Customers'
Number

1,840,863

4,612.994

1,554,473

1,860,021

1,414,710

1,619,265

1,542,000

Week Ended—

s:!;
'

5-—.—..

Feb.- 9—

under 1945

1944't.;

+ —12.7

4,567,959

9.8

T 4,539.083

9.7

;. 4,531,662

1932

4,034,365

4,576,713

—11.9

4,523,763

1,602,482
1,598,201
L588.967
1,588,853

Pollar

4,533,552

—12.2

4,524,134

1,578,817

—11.6

: 4.532,730

4,588,214

—

1929

—.

total" sales-—f
-^

1,356,345

:]? Number of Shares:
:?/•

$55,980,379

r*--—

by Dealers—
;

tOther sales

" '
v'

-•

Round-Lot Purchases by Dealers—
Number of shares

1,726,161

'■'A ♦Sales

1,717,315

1,545,459
1,512,158

1,718,304

4,444,939

1,519,679

1,706,719

4,472,110

4,464,686

1,538,452

1.702,570

•

1,352,891

1,728,203

1,736,721

4,511,562

4,505.269

yalue

Round-Lot Sales

3,455

170

153,630

1,733,810

4.472.Z98
4,473.962

Feb. 23_—

*Revised,'

•

4,614,334

(3^983,493

Feb. 16—

1945

4.427,281

4,145,116
1

March

;

?3,982,775

Jan. 19—

Jan. 26—
Feb.

1946

4,163,206

46,280

sales,

Short sales

5,865,362

Jan. 12—

total salesshort

,J'

% Change
Tan.

"Customers' other sales—
Customers'

1.637,683

4,337,237

v 4;
94
46,186

sales--

ol Shares:'

Customers'

1,806.22?
.

4,295.010

short sales---other

1929

1,793,584

4,524,257

4,154,061

$80,864,117

Customers'

1,520,730

f —10.2

4.239,376

68,665

value

"Customers'
1932

1.475,268

4,042.915

—

orders—.

(Customers' sales)
Number of Orders:

1,531,584

; 4.096.954

—_

Total

For Week

I Number

•'

4.482,665

4.368,515

/S:

:
^

(Customers'purchases)

+-10.5 1 4.513,299

3.841.350

2, 1946

Number

•

4,354,939 i^—lO.oi .4.413,863
4.450,047

•

9.7

THE

Odd-Lot Sales by Dealers—-

+
;

12.4

•■si

Odd-Lot Purchases by Dealers—

4.396.595

8—.—_

EXCHANGE til

Week Ended Feb.

2.8

11.9

under 1944 »:v 1943

SPECIALISTS
STOCK

(Thousands, of: Kilowatt-Hours)

3,984,608

Dec.

29—.i;

■:14<4

AND

4.6
14.5

...

13.2

3,948,024

Dec.-

TRANSACTIONS FOR THE ODD
LOT ACCOUNT OF ODD-LOT DEALER*

Jan.19,.
.!-2.5:.4/

•

§1.7

-v

24,—

■

3.8

■

Nf0V;i17—■

Dec.

5.0

18.8

% Change

1945

.vi.

§ increase:

;

Week Ended—

Dec.

;

13.2

§3.0

DATA FOR RECENT WEEK?

Dec.

•

2.3

11.6'
j"

Nov.

Total United States.

NOV,

•*>»>

5.3

313

■

19.6

10.0:

JReyised.

cialists.

'T;

—■

Jan.26

5.0

19.4

'acifio Coast

Nov.

Feb. 2

—

locky Mountain

commodities

above

Trading

STOCK

Divisions-

Middle Atlantic

February 0, Labor Bept. Reports

during the week ended Feb. 9, 1946 raised average primary market
prices 0.3% it was made known on Feb. 14 by the Bureau of Labor
Statistics, U. S. Department of Labor, which said that at 107.1% of
the 1926 average, the index of commodity prices in primary markets

Week Ended—•

■

Southern States..

industrial

make

■

Vest Central

Higher prices for both agricultural and

the

sumary for the week ended

transactions

week

Central Industrial—:

WhoEesaSo Prices Increased 43% in Week
)
v
Ended

with

securities

Prior

Institute, in its current weekly report/ esti¬
mated that the production of::
electricity by the electric light and
power industry of the United States for the week ended Feb.
0,
1946, was 3,983,493,000 kwh., which compares with. 4,505,269,000 kwh.
in the corresponding' week a
year ago, and 3,982,775,000 kwh, in the

126,154

concerned

Government

The Securities and Exchange
Commission made public on Feb.

0.2

Furniture

0.5

—

0.3

0.2

—„

The Edison Electric

purchases.

NYSE Odd-Lot

0.3

products

Meats''

y-,-—0.4*
-

products—

Cereal

11.6% Bebw Thai for Same Week a Year Ago

I Customers' other sales
Total

■

during all of the
Victory
Loan
for the Treasury

Feb.> 2 of complete figures show¬

i-k

vjiu■>. :,rvV;' +

Swanev

where he will continue to
his. headquarters.

("V

Mr.

banking divi¬

banking business in Grand Rapid^

1946

Shoes

poultry—.
;
0.8
and products-——0.7

13.16

624,205

t O th e r sa les——

Dairy

1.4

—

and

Elaclric

the

to joining
the Treasury staff, Mr.
Swaney
spent 15 years in the investment

1.6

ing

447,555
41,550

through banks.

3.79

241,675

Total sales—*.—.

1.8

vegetables—

farm

:Cement

Bank

represent

Increases

and

Other

12,950

tOther sales

1946 TO FEB. 9,

Petroleum

—-i—

and

chiefly

+ 2.8

97.5

102.9"

; 101.1

was?,

+ 2.8

+ 0.6

Loan

drives. His work

+ 1.3

War

+ 0.6

+ 0.3

will

in charge of the

+ 1.2

94.1

118.9

+ 2.0

+ 0.4

0.5.
'

106.2

95.0

+97.5

.97.5

106.6

95.0

103.2

96.0: & 96.0

0.1

+ 0.4

i;a': o v';)
+

sion in the 35 counties
comprising
the west half of the lower
penin¬
sula of Michigan

PERCENTAGE CHANGES IN SUBGRbUP INDEXES FROM

■

Paper

64,370

—

•

articles

products

FEB.

Total purchases--—-.!
i ; Short
salesi—.

,,96.0

io6.8
i \ 95.3:
materials——119.3

Fruits, and

off

products—

allied

62,270

Other transactions Initiated

119.9

products and: foods—

■

—

99.1

Reserve

Michigan.

+ 2.8

106.8

119.3

8.07

2,100

—

Federal
and

106.7

40,675 '"!

the

Chicago

1.20.0

products
J—101.9
All commodities other than farm (

318,160

tOther sales—i—

Total sales——

+2.1

Textile products—s 101.1
Fuel and lighting materials——
85.8
Metal and metal products—-—105.8
—

engine

Russel
A.
Swaney, !; former
Deputy Director, Banking Divi¬
sion, U. S. Treasury War Finance

Bank

85.4 :

and

Swaney to Represent
Chicago Reserve Bank
In Michigan

—:—
the floor-

Short sales—

+ 0.5

—

26,500 "
: ■;/

126.8

All commodities other than farm

339,505

Total sales————

130.0

Manufactured

tOther sales—_

■

129.7 .i? 129.9

Semi-manufactured
•

■Farm products,,.—130.4
products-—

(train

service), 2.63%.

the

+0.4

Raw

Members:

L Transactions of specialists in etocksJn which

+0.3

Housefurnishings goods
Vliscellaheous commodities

:ft'Totalsales'i——-.L—~i—'- : 4,073,445;
B.

104.9

leather

hostlers), 1.40%, and

106.7

and

are:

gen¬

Committee for Michigan, has been
appointed Special Representative

106.8

Chemicals

4,026,2

■

3.33%,
percentages of decrease

2-10

106.8

Hides

1945

107.1.

commodities^,^^____

yard),
2.42%,
respectively.

increases

1-12

"T946

2-10

struc¬

(other

1946

■

assistants;
and

way

transportation
train, engine, and

2-2

1946

Foods

Round-Lot

Total

14.33

staff

1946

group—.

em¬

of executives,

and

tenders and

Percentage changes to
Feb. 9,1946 from-s1-12

-Commodity

reporting group

1-26

All

1,830,300

number

and

transportation

1946

2-2

1,594,690

December, 1944,

liie

every

indicator of week

2-9

Sta¬

Com¬

^Professional, clerical, and

those pre¬

directly

FEB.

and

eral, 0.69%; maintenance of equip¬
ment
arid
stores, 0.45%; trans¬
portation
(yardmasters, switch-

100)

—

•

1,570,903

Total sales

tures,

(Indexes for the last eight weeks are preliminary)

4.17

;

tOther sales

maintenance,-of

data, for the
are

under

Commission.

shown

officials,

ipdex is calculated

compared

FOR WEEK

(1926

235,610

0.59%

Interstate

with the exception

WHOLESALE

(

Total purchases—
■?/+■/ Short sales——.

price

The weekly

It is designed as

527,750

590,880*
Total—

the

ployees for

In general, the prices

producers

changes arid should not be

63,130

mother sales—

A decline under

following notation in its

398,713

-—.

and

1945,

Transport Economics

tistics
merce

indexes from Feb. 2, 1946 to Feb. 9,1946,

group

floor—

'Total purchases.-———--_i——
Short sales

following tables show (1) indexes- for the past three weeks,
Jan. 12, 1946 and Feb. 10, 1945 and (2) percent
changes in sub¬

1.66

212,090

Other transactions initiated off the

1944

according vo a
report just issued by the Bureau

The.

203,990

Total sales

November,

monthly index.

181.4°0

Short sales.-..—

month

additional manufac¬

primary markets.

charged by manufacturers

week

8.50

1,027,330

Totalpurchases———~
*.

a
decrease
of
0.18%
compared with the corresponding

The

Department included

Other transactions initiated on the floor—
■?1

States, as of the
December, 1945, totaled

1,397,936,

Labor

those

are

990,700

/v)

United
ol

and

j*' 'j'

the

middle

all -commodities other

Employees of Class I railroads

show

164,380

;i£lb

fractionally

rose

most part, represent prices in

Railroads in December

1.04%

The

;

tOther sales

1,397,936 Employed by

higher

;

report:

specialists in stocks in which

they are registeredTotal purcbases_.^,-£—-.-,^-,-—..~--.--^

prices
sweet-

which

of Qdd-Lpt

Specialists:

I. Transactions of

price.

•

Feb.

Shoe prices

moved

The

Round -Lot Transactions lor Account ol Members,
Dealers and

; ■

than

11,582,930
11,873,690

■//■Except

•

production of standard grades.

1946

U-

».

,■

prices for book paper following ceiling increases to encourage finish¬
ing by mills, and ceiling adjustments for paperboard to. stimulate

Total for Week

■

tOlher sales

Stock

(Shares)

1017

•

C°mmqdities—Average prices for

turers

member trading during the

the New York Curb Exchange,

ended

•

higher^ ceilings previously allowed. Mid-western
refinery prices for fuel oil advanced with ceiling increases granted to
equalize mid-western and eastern prices.
Gasoline quotations con¬
tinued to move downward with
large stocks.
Portland cement quota¬
tions in southern cities rose to higher
ceilings previously allowed.
Higher mill realizations for western pine raised lumber quotations
fractionally,
Paper and pulp quotations moved up 1.8% with higher

■

ing the week.

week

than farm products and foods continued
to advance, rising 0.2% dur¬

14.47% of the total trading of 16,454,020 shares.

subsidies

Exchange of 11,873,690 shares. This
the week ended Jan. 19 of

trading during

member

-4..:

...

1, with equivalent increases ,in ceiling prices.
Oatmeal prices moved to
ceiling, and dressed poultry quotations rose
seasonally. .Sharply.'higher prices for dried apples reflected in¬
creased ceilings for the new pack.
Average prices for foods during
the week were 2.1% above the
corresponding week of last year.'

"The higher prices Tor fruits
and vegetables were
primarily
responsible for the advance of 0.4% in average food
prices.
In addi¬
tion cheese quotations
advanced, reflecting first effects of the removal

of-oil

account

the

■

but potatoes from the old
crop were lower in

the

Exchange and the New York Curb Exchange and

round-lot

■

demand

advanced

The Securities and Exchange Commission made public on Feb.

*•».

ajid continuing low
stocks, and veitrus fruit
better-qualities moVed to maiket.
Onions and
potatoes rose with light supplies.
New crop potatoes were

New York Exchanges

'' '

1,699,250

■///: Total sales

:
•

153,800
.

•

ported

marked

"short

exempt"

871,690
are

re¬

vlfh "orher sales."

tSai'+ to offset cstomfrs' odd-lot orders
and srjps to liquidate a
long position which
-

is it** than a round lot
"other eales." +•
■
.

are

imported with

1018

Daily Average Crude Oil Production for Week
Ended Feb. 9,1946 Increased 81,300 Barrels
Petroleum Institute estimates

The American

the week ended Feb. 9, 1946, was
of 81,300 barrels per day over the pre¬
ceding week and a gain of 260,500 barrels in excess of the daily average figure of 4,430,000 barrels estimated by the United States Bureau
of Mines as the requirements for the month of February, 1946. The
current figure, however, Was 38,300 barrels per day less than output
in the week ended Feb. 10, 1945. Daily production for the four weeks
ended Feb. 9, 1946 averaged 4,633,000 barrels. Further details as re¬

week

construction,

ables

February

North

East

950

81,000

88,700

1,000

392,000

18,150

340,250

342,350

32,200

514,100

552,600

79,600

Louisiana

Arkansas

368,000

79,800

79,603

—

77,300

55,200

49,000

.—

•

——-—

950

600

200

368,650

357,450

250

77,200
55,700

81,600

1,550
300

700

250

100

ft;/' 50

+
—

~»su>

_—_——

198,000
———i—'—13,000
Eastern-—^
" "•
"
'
(Not incL 111., Ind,r >
/•"
Ky.)
'
61,200
Kentucky
29,000
■Michigan.
46,000
Wyoming y_;
——
94,000
Illinois

4,000

210,450

1,300

15,100

Montana

New Mexico

California

ifear 1939-

836,074

818,289

44,900

45,250

year

1940-

992,293

1,033,710

814,407
1,001,886

99,500

99,550

year

1941-

1,016,996

1,065,667

1,545,541.

50,

19,300
22,900
98,400

19,650

ifear

1942-

1,152,344

1,135,708

year

1943—

1,194,699
1,056,180
841,667

1,206,871
1,098,788

1,636.295

843.113

73,754

67,726

67,496 ;

69,950

76,537

76,395

172,585
218,488
161,111

Yealr 1944—

3,844,600
845,900
.

+
+

3,830,400
898,400

3,789,900

75,900

1945—,

843,100

5,400

4,690,500,

+ 81,300

in the field.

week ended 7:00 a.m. Feb. 6, 1946.
it This is the net'basic allowable as of Feb. 1 calculated on a 28-day basis and
includes shutdowns and exemptions,,for the entire month.
With the exception of
several fields which were dKempted entirely and of certain other fields for which
•ft/

Jan., 1945—.
Feb.* 1945—
Mar., 1945-

to 9 days, the entire state was ordered shut down
for 4 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. 4 days shutdown time, during the calendar month.

—

75,564

—48,671

—

65,309
52,121

+ 16,636
—12,172

66,780

—42,608

76,512

—

145,904

1945-

74,392

75,436

1945_

'74,469

85,319

1945.

72,271

74.377;,,

1945-

72,855

72,995

■July,

r-41,417

1,517,842

May,

June,

59,715
57,142

;

9,732

2,454

7,065
2,573

142

1,044
—10,850
2,106

6,897

88,661

76,166

86,840

80,316

Sept.,
Oct.,

64,091

45,145

83,478

1945-

69,322

70,363

104,104

68,675
73,913

Nov.,

1945-

70,218

119,973

74,425

Dec.,
Jan.,

1945-

65,586
62,641

1946.

57,890

69,008

;

103,464

—

140
*

5,428

874

4,150

+ 18,946

11,641

1,041

5,238

4,632

512

—

76,512

115,601

—

69,127

—,

5,281
3,592
8,388

70,738

68,253

66,062

+
—

94,631'

1945-

14,659

6,028

63,841

1945-

13,188

1,446

—

67,208
10,255

55,453 i

139,203

^
—

16,713

—

51,861

Aug.,

Refined 1
—130,270

.+17,785

142,772

Apr.,

tOkia'homa, Kansas, Nebraska figures. are for

shutdowns'were ordered for from 4

§Bllster

159,485

134,152
48,537
v : 307

)

(—)

Decreases

Period

Export

1,643,677

103,150

72,799

3,421

tBeginning

domestic consumption.
*At refineries on

3,713

and

but

not

;

AND

STILLS;

(Figures in thousands of barrels

situation in
the
unchanged,
the quotation for Straits quality
The

Figures

estimate of
/

totals

CapaC.

Report'g

feast

Daily % OpAv. erated

1,691

95.1

99.5 / 752

Coast——

Gas Oil

Blended

& Dist.

JStocks
Produc'n
and
of *"
atRef.
Unfin.
Kero¬
Inc. Nat. Gasoline
;

tStks. of *Stks.

District—-

plus

this section include reported
therefore
unreported amounts and are
Bureau of Mines basis-

% Daily Crude Runs
Refin'g
to Stills
*

Resid.

•

ft Fuel

Fuel

sine

Oil

3,456

Stocks
22,988

8,242

5,923

467

305

District No.

__/

fnd., HI., Ky
—.
Okla., Kan.,
•Inland Texas.——

76.8
B1.2

Rocky Mountain—

revised.

339

Feb.

March

April

February

52.000

February

52.000

7—
8-1Fc-bruary 9—
February 11—

84.6
61.6

769

79.5

34359

basis Feb.

85.7

9, 1946—

83.5

4,512

;

65.7

4,530 /

13,841 11103,125

83.8

10,

"Includes

unfinished

15,379

4,820

1945—.

gasoline

stock

4,408

1,248
236

27.

695

371';

564

6,537

;

21,860

/8,258

28,934

39,555

8,624

28,939

39,036

t93,355

7,652

29,471

48,676

8,281,000 barrels

tmcludes unfinished
at bulk
terminals, in
,

of 12,552,000 barrels. , fStocks at refineries,
of -kerosine,
5,'650,060
transit and
in pipe lines.
§Not including 2,115,000 barrels
barrels of gas oil and distillate fuel oil and -8,630,000 barrels of residual fuel -oil
produced during the week ended Feb. 9, 1946, which compares with 2,163,000 barrels,
5,636,000 barrels and 8.506,000 barrels,
respectively, in the preceding week and

gasoline

stocks

,1,520.000, barrels, 4,785,00p barrels.,and 9,393,000 barrels, respectively,
ended Feb/ 10, 1945.
HOn new basis <ih East Coast District.

industry.
The problem.of taking, on new business
and arranging shipments became more involved.
An announcement
from official sources, that the ceiling price of lead will be maintained
at 6.50c., New York, disappointed 3>those in the

in the week

that

stocks

increased

WtS-

K3' / ffi / '•

again, but this failed to influence;
John
C.
Collet, Stabilization
the market.
January deliveries, Administrator, announced Feb. 11
of copper were higher than thosethat the Government will main¬
,

■

metals

showed

678

1,787

U. S. B. of M. basis
Feb.

ferrous

243

1,067

12,854 "103,319

in its isslie of Feb. 14,

1,024

157

104 /
2,093

Continue-Zinc Stocks Increase

stated: "Labor difficulties that; threatened / to spread, as the week
ended held the interest of all concerned with the affairs of the non-

2,905

899

2, 1946—

Lead May

Fabricators took more copper
industry who main¬
production would in¬ in January than in the preceding
crease if the price /were raised.- month, according to Copper In¬
The zinc statistics for January stitute.
'a

280,
4.989 ' Z

1,030
/

1,756 ft/15,795

■'

B. of M.

Total U. S. B. of M.

Holiday

February 12___

52.000

52.00U

52.000

February 13-—

Chinese, or 99% tin, continued
at 51.125c. per pound.

Quicksilver

Most

reported

sellers

quiet

quicksilver, with pticfes
unchanged at $103 to $105 per

California

178

617 >. 4,993
172, ';, 1,338

Non-Ferrous Metals-Present Ceiling on

1,428

1,285

11
98

California

3,039
1,144

Forward

52c.

quotations were nominally as fol¬
lows, in cents per pound:

market in

3,654

218

22,594
9,718

895
3,130
3,155 ft,16,383

210
63.6 '
1.098 >*"88.8
297 -114.2 ft
.
59
46.8 :

86.5

No.

No. -4

'Total U.S.

108.0
. 81.1
80.4.

17.1
72.1

District
District

328
225

2,369
,1,253

63.0

54
,

No. La. & Arkansas—

Louisiana Gulf Coast-:

87.2
695
78.3 ft 377
59.8
89.3
96.8
S5.9

Texas Gu8f Coast—-.

continuing

tin

including

tain' that

Appalachian—
District No. 1——--

price

United States remains

flask.

"E. & M. J. Metal and Mineral Markets,"

of 42 gallons each)

quarterly

in the final

58l/2C.

dropping, to
quarter.

exchange warehouses,

consumers' stocks at their plants or warehouses.
!■
§Computed by difference between>minfe and refined production.
'
NOTE—Statistics for the month of December and year 1945,' have been

basis, starting >atf 63%c., United
States, in the, first quarter, and

•

consignment

established

Production

PRODUCTION OF GASOLINE; STOCKS OF FINISHED
UNFINISHED GASOLINE, KEROSINE, GAS 'OIL AND DISTILLATE FUEL
AND RESIDUAL FUEL OIL, WEEK ENDED FEB. 9, 1946 ...
1

RUNS

purchase contract
year that
began
1945, the settling price
the

fiscal

the

for

2,087

11,118

—

production or shipments, and/custom? Intake Including scrap;
March, 1941, includes deliveries of duty paid foreign copper for

•Mine or smelter

maintain produc¬

tion, and 66c. per pound for tin
contained
in
concentrates
has
been mentioned as being accept¬
able.
This higher price, accord¬
ing to reports, should be retro¬
active to Jan. 1, 1946.

§Not yet available.
'CRUDE

higher settling basis Will

be necessary to

was

End of

1,635,236."

9,550

300

4,633,000 4,728,800
"These are Bureau of Mines calculations ot the requirements of domestic crude
oil
(after deductions of condensate and natural gas derivatives) based upon certain
premises outlined in its detailed forecast for the month of February.
As requirements
may be supplied either from stocks or from new production, contemplated withhdrawals
from crude oil inventories must be deducted from the Bureau's estimated requirements
to determine the amount of new crude to be produced.
In some areas the weekly
estimates do, however, include small but indeterminate amounts of condensate 'Which
is mixed tvith crude oil

fDomestic

30,300

98.400

104,000

4,430,000

Total United States

Refined

•

59,250

30,000

44,300

3,586,000
844,000

.Total East of Calif.

"Crude

Free Copper

62,000

2,500

19,100

that

July
Stock Increase (

-Stocks

to Customers

Production

2,250

22,800

OF THE COPPER

tRefined
Deliveries

sub¬

sidiary, for a new contract.
To
offset rising costs, producers claim

(In Tons ol 2,000 Pouhds)

Year
/

REPORTED BY MEMBERS

97,800

20,400
24,000
96,000

—/

—

Colorado

negotiations with the Un ited

States Commercial Co., RFC

INSTITUTE

61,250

representing producers and
government officiaIs is about to
tee,

open

13,050

—.

agreements expire at the end of
June, the Bolivian Tin Commit¬

of Copper

32,000

;

With funds assured for extend¬

ing the purchase program for tin
concentrates
after
the
present

Under
SUMMARY OF COPPER STATISTICS

U.S. Duty

?/' *v,

groups,

Institute on Feb. 11 released the following statistics
pertaining to production, deliveries and stocks of duty-free copper.

—

Latest Summary

205,750

16,450

38,845,000

The. Copper

„

46,800

214,700

——

—

1,943,000

2,411,000

expected.
Tin

68,250

100

-Indiana

16,468,000

than generally

and; $3,420,000 in corporate security isssues. New capital for the
seven weeks of 1946 totals $288,641,000 51% greater than the $190,693,600 reported for the, corresponding period of 1945.

289,200

368,450

412,515

74,000

„

3,120,000
40,788,000

36,648,000
18,879,000

New Capital

288,850

/ 200

288,850

Louisiana

strike is

steel

heavy movement of Prime West¬

New Capital for construction purposes this week totals $15,639,000 and is made up of $12,219,000 in state and municipal bond sales

2,04^,950 2,141,450

+ 72,400

2,109,250

1,890,000. *2,126,504

of the

expected to take place shortly//
which should be reflected • in - a

mercial buildings.

144,050

356,150

-J—

Settlement

478,600

142,900
320,250

construction

classified

the

143,150

493,450

—

North Louisiana

Florida

154,000

+12,700
+ 3,550

544,000

Mississippi

4,800

146,200

321,000

Total Tek&S

■

750

503,300

Coastal. Texas

Alabama

252,800*

—

—-~

—;.

East Texas

248,050

t750

■„L/ui-"

•Southwest Texas

Total

1945

363,550

1,700
2,900

^diel

far has not suffered
greatly from the wave of strikes.
casting

four of the nine classes
recorded gains during the current week over last week as follows:
sewerage* earthwork and drainage, public buildings and industrial
buildings. Five of the nine classes gained over the week last year as
follows: sewerage, bridges, highways, industrial buildings and com¬
In

390,250

t236,700

Central Texas—

Coastal

Feb. 10,

Week

1946

Texas
Texas

West

10,295,000
6,648,000

Municipal—

Federal

81,000
157,600

Nebraska

and

Ended

Feb. 9,
1946

Demand for Special High Grade

remains active,-indicating that

16,943,000

Week

Ended

*389,100

388,000
249,400

368,000
254,000
800

——-

Panhandle Texas

Feb. 9,"

4 Weeks

from

Ended

Begin.
Feb. 1

Requirements

Kansas

27,115,000

State

Change

Week

Allow-

•

engineering construction for the seven-week

Public Construction

(FIGURES IN BARRELS)

Actual Production

State
*B. of M.

Oklahoma

■

Zinc

dropped 10% below last week and 58%

Private Construction

Calculated
-

week, $27,115,000 is 26% below last
corresponding week of 1945. Public

ern
to galvanizersi
Export de-»
cumulative
mand for zinc has been improving.
period of 1946, $447,862,000, is 147% greater than the $181,408,000
.! The statistics -of the American
recorded for the same period of 1945. On a cumulative basis private
Zinc Institute, issued during the
construction in 1946 totals $301,226,000, 485% above the 1945 period.
last week, showed that stocks of
The 55% drop in federal work w£s not sufficient to offset the .355%
slab zinc increased from 259,333
increase in state and municipal construction, as public construction;
$146,636,000 rose 13% over the total for a seven-week period of 1945. tons at the end of December to
Civil engineering construction volume for the- current week, last 266,657 tons at the end of January,
a new high.
In view of a shutweek, and the 1945 week are:
down at one plant, production of
Feb. 14,1946 Feb. 7,1946 Feb. 15,1945
Total U. S. Construction-^!
$44,058,000 $55,527,000 $43,908,000 65,959 tons in January was larger

oil.

CRUDE OIL PRODUCTION

DAILY AVERAGE.

4,852 tons.

the week last year.

last year.
Total

to stills on a Bureau

barrels of residual fuel

•

$16,943,000,

;'V'AS'!fi5i's«

brisk, with sales limited because

below the previous week, is, 430%

37%

indicate that the inof Mines basis approxi¬
mately 4,512,000 barrels of crude oil daily and produced 12,854,000
barrels of gasoline; 2,115,000 barrels of kerosine; 5,650,000 barrels of
distillate fuel, and 8,630,000 barrels of residual fuel oil during the
week ended Feb. 9, 1946; and had in storage at the end of that week
103,319,000 barrels of finished and unfinished gasoline; 8,258,000 barrels of kerosine; 28,934,000 barrels of distillate fuel, and 39,555,000

;

the

above

;/ >"-/

;

v-yrv

of the tight supply situation; Sales
for the last week amounted to

State; and municipal construction, while
above the week last year.
Federal construction, 176% above last week is 83% below the week

below

refining companies

Reports received from

dustry as a whole ran

769 %

and

this

'•.■AM.-i'.-J:.

i.; i

construction

«.''.Vm'V'-:.

"tBemand>"fbr"/lea^

follows:

Private

follow:"

ported by the Institute

duction of lead; ;.

engineering

continued

l^bbtmhihgj iftaximiim/ pro-

ities

States totals $44,058,000 for the

4,690,500 barrels, an increase
:

construction volume in continental United
week ending Feb. 14, 1946, as reported
to "Engineering News-Record." / This Volume is 21% below last
week, 'but 0.35 % above the Week 'last year, and 35% below the pre¬
vious four-week moving average. -The report made public on Feb, 14,
Civil

.and/zinc,provides: adequatefacil-;"/

Engineering Sonstruclioi Totals
$44,058,000 for Week

that the daily aver¬

^>1 ^Thursday, February 21, 1946 f

.v- f

crude oil production for

age gross

Civil

-■~r,

t->

V ;••':?*'/V" •{

rr,-\ur'y'xr. n

FINANCIAL CHRONICLE

THE COMMERCIAL A

December."

further went

The

publication

tain present

to say in part as;

ceiling prices on lead.

with the
concurrence of the Office of War
Copper
<
Mobilization, and
Reconversion,
As long as strikes at important; the Office of Price Administra¬
mines, mills, refineries, and fab-i tion, and the Civilian Production
ricating plants continue, the mar-j Administration.
The / statement
ket for copper is expected to
re-] was issued Bt this time,./Judge
main badly snarled.;,
;; | "Cojlett said, to halt widespread
The

action

was

taken

follows:

'Bridgeport Brass has signed a! reports that an increase
The
wage agreement granting an im-j prices is imminent.

in lead
agencies

increase in pay of 10%! concerned believe that the pres¬
further increase that may: ent lead price structure, together
justified. .under .the Govern-:j With-the existing Premium Price

mediate

and any

ment's

wage-price policy.

;•'

Plan

applying

copper,

lead,

1945

quicksilver 4 in.
totaled 22,800

flasks, valued at .$2,918,000, acr
Cording to the Division of Mines,
California Department of Natural
Resources.
The

London

quotation
tor
warehouse in the

official

quicksilver

market continues

atv£30

flask.

per

Silver

Opinion on the status of the
Crreen bill remains rather con¬
fusing./; Senator Green is urging,
reenactment of his bill to permit
t

the sale of "free"-"Treasury,

consumers. /

last

press

told

week

silver

Senator Murdock
members of the

that he does not believe the

bill will ever come out of .commit¬
tee.

Talk

compromise at a

•higher/ level. than, the 71.11 c basis
also persists.
*'i ■ :f :
.

United^^ States
produced 5,702,000 oz. of silver in
-

Refineries in the

December, of which 2,031,000 oz.
was - classified
as
domestic and

3,671,000 oz.' foreign, according to
the

Bureau

American

Statistics.

'r'i'

Metal
'•

The New York Official price of

foreign silver was unchanged iaSt
week at
703/4c. an ounce troy.
London

was

•'unchanged at 44d,1

•->

■'

Volume

163

Number 4466

Revenue Freight Gar

Loadings During Week

Railroads

revenue

totaled 713,240 cars,
■'p nounced on Feb. 14.:

the

•

This

and

''"V.

V Miscelalneous freight loading totaled 287,937 cars, a decrease of
5,284 cars below the preceding week, and a decrease of 75,609 cars

pp; below the corresponding' week in 1945.

b» Loading of merchandise less than carload lot freight totaled 120,-

;i%. 252

cars, an increase of

1,611

above the preceding week, and an

cars

increase of 23,478 cars above the corresponding week in 1945.

•

■'fCoal loading amounted to 186,166 cars, a decrease of 1,667 cars
below the preceding week, but an increase of 9,944 cars above the
; ■ corresponding week in 1945.:^
v;.'•\y

;H:''bb:-b!

Grain and grain

products loading totaled 50,844 cars, a decrease
-of 3,576 cars below the
preceding week but an increase of 9,504 cars
| • above the corresponding week in 1945. In the Western Districts
Hi' alone, grain and grain products loading for the week of Feb. 9 totaled
32,652 cars, a decrease of 2,938 cars below the preceding week, but

Gainesville Midland

Livestock loading amounted to 18,331 cars, a decrease of 830 cars

below the preceding week: but an increase of 4,756 cars above the

corresponding week in 1945.
of

livestock for the week of Feb. 9 totaled 14,139

1,165

decrease of

cars, a

below the preceding week, but an increase of 4,296 cars

cars

above the corresponding week in 1945.

•

In :the Western Districts alone loading

Macon, Dublin & Savannah

Mississippi Central-

preceding week and

decrease of 778 cars

cars, a

decrease of 3,316 cars below the

loading amounted to 5,878 cars, a decrease of 108 cars below

Coke

loading amounted to 8,244

cars,

increase of 737

decrease of 6,470

cars

below the

cars

corresponding week in 1945.
All districts

ing week in 1945 except the Eastern and Southern, and all reported
decreases compared with 1944, except the Southern.

Fiedmonc Northern

'■I.-.'

4 weeks of January—
^t.Week of February'
'•

Week of, February

1946

-'(•'•■V'

•L

•

755,832

793,181

4,499,043

4,757,595

FREIGHT-LOADED

the freight carloadings for

"*■i%

•'

FEB.

;

Total

Saltern District—.<

Revenue Freight Loaded
1945?
1944

Arbor-.-.-—..:——

414

301

261

2,153'

5.409

6,414

1,312

1,422 '

Chicago, Indianapolis & Louisville____.
Central Indiana———-—

1,196

■

1,030

1,005

975

:•

4,446

Delaware & Hudson
Delaware, Lackawanna

622

14,306

Toledo

1,624

Elgin, Jollet & Eastern
Ft.

8,968

9,558

193

2,389

1,941

4,194
1,433
11,212

6,462

8,551

2,206

2,373

4,486

4,028

4,441

6,526

269

268

2,886

—-—~

2,051

2,471

Great Northern—

45,446

51,391

5,289

1,596

1.537

-I''

»50

9,567;

685

•

5,942
409

1,218

2,547

536

383

lf687

1,455

•*:, "445

402

9,799

10,774

9,814

10,875

8,467

9.538

22,112

23,972

27,479

648

803

784

133

905

1,565

123,881,

109,823

129,781

18,824

14,264

•

23,857

2,759

3,303

3,628

20,596

10,750

H 11,331

3,772

3,876

2,018

1,361

1,512

4,072

270

314

762

811

609

673

9,230

8,570

8,154

12,524

443

144

11,755

4,448

454 :

336

10,286

10,343

541

484

;
•v

324

'..r

522,

232

5,862

848

•

972

298

2,105

Minn., St. Paul & S. 8. M.„——

2,197

2,798

4,947

:4,429

4,837

3,358

3,530

8,055

9,097

——

Spokane International——.^—..
Spokane, Portland & Seattle

7.431

762

.950

.•,
■

■

358

252

1,148

1,283

336

349

6,021

Wheeling & Lake Erie——

3,409

140.384

■

8,984

268

1,003

.h
f

6,123

—:

5,044
•

153,590

242

2,938

1.252

10,378

4,432

6,034

101

245

137

436

420

2,291

2,458

2,390

3,387

82,382

86,637

64,108

69,958

.75,714

Alton

23,935

Baltimore & Ohio—

H 36,354

Lake Erie—
Cambria & Indiana—
—Central R. R. of New «>~rsey—n

VK:

474

719

2,883

4,828

b; 202,272

n 222,215

Colorado & Southern—

883

-'650

2,420
6,077

1,295
22,940

1,170
Mk ?

1,710
-

6,949

338

223

109

159

1,313

•::.

11,050

■

1,240

-'i

1,603

1,631

77,600

54.307

14,796

25,129

18,099

20,113

895

3,618

;

127,507

4,603

4,503

156,448

176,802

4,596

1,868

2,201

62,378

•

29,150
/'

4,125

.11,403

139,221

15,188

29,982

23,769 "

5,164

Virginian

5,177

56,476

Total.

785

2,087

,3^719

% 6,478

927

787

1,263

■k 1,453

1,686

60,238

29,884
'

22,753

4,886

57,523

10,265

13,584

6,301

11,256

1,444

2,300

Sk-i

'■

r-i

18,010

27,140

1st

1.1/

increase

891

967

462

1,434

1,896

121

101

550

724

494

975

«.

;

514,631
v

-1

1,713

380

677

■

14,867
2,193

11,177

15,220

123,276

■>. ,•

8,661

288

591
1,706

••

29,850

;

16,515

910

121,194

;

812 '

27,380

15,935

1,459

3,046

4,460

122,018

71,780

accounts

Northern——,;

244

366

; 1,930

1,372

3,722

5,466

2,442
3,605

3,807

1,059

4,983

2,454

301

2,426

7,832

2,431

2,614

Louisiana & Arkansas——.——,
Litchfield Ac Madison

275

6,349

.1,829
1,294

;

1K..O. Ac G., M. V. & O. C.rA.-A.—_
Kansas City Southern.—
——r

1,615
3,077

3,208

2,946

328

322

2,431-.
1,173

158

115

215

385

2,928

1,219
551

5,271

7,001
17,293

5,395
16,745

114

116

198

361

9,614
2,430
8,525
3,561

9,218
3,448
10,549

8,199
2,961
13,452

8,028

8,793

4,929

5,465

6,252

10;

;

——.

3,680
14,101

„„

TotaL

61,373

72,156

7,226

5,208

72,730

Atlantic : Coast Line RR.

Gulf

Ry.

only

1944

JIncludes

and

5,492

8,478

57,570

.69,738

Midland vValley

Oklahoma

also

1946.

Ry. and Kansas
City-Ada-Atoka Ry. in 1945

NOTE—Previous year's figures revised.

sales

Weekly Statistics of Paperboard Industry
,

this

advanced to equal

are

•

vv nv v

h-h'-h

Nov.

17
24

Dec.

8—__—

Dec.

29.

Feb.

9—

Unfilled Orders

Remaining

Percent of Activity

Tons

Current Cumulative

511,022

157,617;,.

509,984

162,023

—

H;'

173,537

;

———

147,083

157,792
148,591

97,323 '

78.862

•

490,123

•»

176,346
134.265

487,481

169,482

152,066

94
V- 93

'
75

516,776

529,767

499,955 c

-V

526,891

;

" '
H

523,672*
507,651

143,101150,634

143,550

142,142

94 '

144,482

178,590

——

.95

''ib 451,654
H 462,446

111,967

143.366

;

' iH 91

-v-^
i

472,568 V

154,235

150,330

479,228
454,926

152,571;-

122,229

.I.....
——

154,122

172,297

93
:

;

*
,

90
91

Notes—Unfilled orders of the prior week, 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
othe/ items made necessary adjust¬
ments
of
unfilled
orders
> v
••
■
••;••' >>> ■
;
>
>
lit"'I,.:) j17<rv
v
• l-'.iVH-•- ;.VU *•
■

number

indicated

that

United

and

last

month

the

Victory Loan,

bring total sales by the sav¬
ings banks to. $1,181,998,248 since
the War
in

Savings Program started

May 1941.

Indebtedness of 17 Foreign
Countries to U.S. on Money

Borrowed After War I
Seventeen
owe

foreign
countries
the United States from 40 to
than 95% of the
money they
after the first world

borrowed

war, Treasury officials have in¬
formed Congress, it is learned from

Washington Associated Press ad¬
vices Feb. 12. The advices added:
Their names,

the amounts they

borrowed, and the unpaid prinr
cipal were listed in printed hear¬
ings made public today by ' the
House
as

Appropriations Committee
a
Treasury-Post Office

it sent

supply

bill to the
The debt situation
last:

House

of July

„

•

Country—

1,
nbbb

unpaid
165,241,108

24,491,700 :
16,466,012
8,574,063
'7,842,131
4,606,635,664 3,863,650,000
Austria
(Ger.)_
26,024,539
25,980,480
Great Britain— 6,415,664,782 4,368,000,000
„

Finland

—

$400,680,000

175,072,336

Estonia

b
v

Principal

Total Debt

Belgium •——$503,579,077
Czechoslovakia.

floor.

France

Greece'

„:

36,873,535

31,516,000

Hungary/
2,740,938
1,908,560
Italy
■ 2,052,213,409 2,004,900,000
Latvia'———.J
10,114,980
H 6,879,464
Lithuania
9,064,140 6,197,682 :
Poland
306,497,824
206,057,000
Rumania
74,926,279 . ; 63,860,560
Yugoslavia —1
63,396,718
61,625,000
Armenia —27,391,079
11,959,917

448,079,237

192,601,297'/ b ' i

Lumber Movement—Week
Ended

February 9, 1946

According
Lumber

tion,
mills

the

Manufacturers

National
Associa¬

lumber

shipments of 438
reporting to" the National

Lumber

Trade

above

Barometer

production

were

for

the

ending Feb. 9, 1946.; In the

same

156,223

123,781
-•

The

both

week

mills

were

tion.

Unfilled

;

Production
Tons k,.

123,281
:

Dec.

V-

•

both

week

Tons

—

Nov,

Dec.

Orders

ing the results for December, the

6.0%

Received

„

3
10
.

Feb.

operated.
These
that they represent the total

201,060

rr,

Jan.

;;'f;

Week Ended

Dec.

100%,

which indi¬

STATISTICAL REPORTS—ORDERS,
PRODUCTION, MILL ACTIVITY
/'

gains

represent 83% of the total
statement each week from each

program includes a
member of the orders and
production, and also a figure
cates the activity of the mill
based on the time

industry,

net

States
Savings
Stamps for January
$21,640,815, slightly exceed¬

Bonds
were

Association

industry, and its

high of

b The table made no reference to
interest on the debts.
/b

We give herewith latest
figures received by us from the National
Paperboard Association, Chicago,
111., in relation to activity in the
paperboard industry*
^
r
•"
•
H : •
members

new

dollar

likewise

Russia^rHiiiH-H,

The

month

ing proportions during January."

b It

4 959

18,760

4,750

money
accounts opened
and closed were of record-break¬

17,320

-——

—

activity.

St. Louis-San Francisco.————«
St. Louis-Southwestern—

tlncluded

the
and

cedented

1,609

315

—

Mlssouri.ac Arkansas.————
Missouri-Karisas-Texas Lines

Oklahoma

the

of
transactions
handled and in

100,831

I)I»4rIc*~^vV

Burlington-Rock Island———*
350
Gulf Coast Lines——————
—5,385

and

for

269,222, bringing total

deposits are
extremely satisfactory," the Asso¬
ciation reports, "in both instances
they are the result of unpre¬

610

—

Texas As New Orleans—

was

6,712,375.

2,126

—

A-J- UyiXt* yz

1,221

3,534

1,415

^-1—

Jan. 26

31,292
'

21,330

Norfolk & Western

4,108

1,949

i—i..',

Jan. 19

District —
V

13,825

3,171-

726

1946—Week Ended
170,870

The

period

861

•

12,073

951

—.

Jan. 12

Chesapeake & Ohio

817
V

2,269

Total.

Nov.

?.i

accounts, totaling 39,057 for the
month, exceeds the
37,976 gain in January a year ago.

12,300

714

—

Nov.

sr m -

13,294

1,554
3,876

2,871

4,034-

Union Pacific System
Utah—L—

18,808

♦
•

62,779

Maryland

2,761

693

4,590

11,353

11,670

2,814

13,784

1.01Q
2,269
H-' 873

——

Western

20,559

3,136
12,107

■

70,899

H'. 1,542

Pennsylvania System—
.'Reading Co
Union (Pittsburgh)

1,769

15,633

•

589

197

1,575

Long Island
Penn-Reading Seashore Lines—

20,121

Peoria & Pekin Union
V 18
Southern Pacific (Pacific),
—
26,477
Toledo. Peoria & Western—i
0

1,65^

3,293

481

2,855

—«

Missouri-Illinois.;

30,920

366

;
n

•

3,181

1,580

5,330

Cornwall—Cumberland & Pennsylvania—-

9,149

2,919

356

637

Denver & Rio Grande Western
Denver & Salt Lake
;

figures

43,353 '

•

36,179

1,685
>

21,501

3,594

;

Ligonier Valley—

22,951

2,571
Bingham & Garfield——;—^
17
Chicago, Burlington & Quincy
21,524
Chicago & Illinois Midland
3,312
Chicago, Rock Island & Pacific
-12,696
Chicago & Eastern Illinois—; 3,067

13,360

January, 1945.

It is added that the
gain ih num¬
ber of new

and

Atch., Top. & Santa Fe System——.

804

11,649

'4,887 ^

136,198?

•k'SSS)-

b/b

Total-—

•

1,681

TotaL

8,3b7

4,559

•361

;

■

1,983

2,281

•500

7,493

4,889

the State of New York on
Feb, 11.
The gain for the month
compares
with $87,920,548 for

"While

jc: •JO-

6,218

new
savings for the 12
period was $1,152,447,417,
or
nearly 16%. Total savings de¬
posits at the end of January were
$8,356,576,356, it is reported by
the Savings Banks Association of

accounts

13,684

2,178

13 3P?

■

6,317

6,365

•

579

17,149

7,529

Wabash——

Rutland.—

.'J

396

;

2,197

51,141

14,176

l0>™2

Ontario & Western

Pocahontas

4,015

1,127

2,476

Green Bay & Western.—.
Lake Superior &

; it

-42,709

f 1.847

Hartford—————

York, Chicago & St. Louis_
5,319
N. V., Susquehanna & Western——,
' , 381
Pittsburgh & Lake Erie-——-—.
2,089
4,561
Pere Marquette———-—
—
785
Pittsburgh & Shawmut—-—
251
Pittsburg, Shawmut & North
-■I. 679
Pittsburgh & West Virginia

Western

364

3,163

901

15,989

7,360

'. Bessemer &

323

3,482

3,310

Weatherford M. W. A; N. W~———_

3,754

Allegheny District— <
Akron, Canton & Youngstown..

925

20,687

;

3,517

,143

744

2,414

2,930

TOtftL———

1,024

2,128

1,945

1,644

New

■

173

13,116

Dodge, Des Moines & South

3,799

1,594
7,385

—

New York Central Lines—————

r'y.:

4,157

•

3,790
1,184 >:

14,369

•

160

—

Montour

•

12,684

/■

20,921

Texas Ac Pacific—4m--..
Wichita Falls Ac Southern.—

1,940

Monongahela

•v

123

7,862

if Lehigh Valley
Maine Central

•

9,686

300

12,797

4,002

3.C40

Lehigh & Hudson River
Lehigh & New England———

18,266

9,512

crease

month

Missouri Pacific——

185

1,993

'370

Grand Trunk Western

■'

4,497

14,483

15,684
2,677

Quanah Acme & Pacific.—

2,909
12,864

217

10,015

New York,

125,134

Duluth, Missabe & Iron Range
Duluth, South Shore & Atlantic

2,446

2,154
11,416

7,538 :

V",

275.

9,948

4,104
28,727
25,410

153

Chicago, St. Paul, Minn. & Omaha.

'\H41

'•••

8,853

4,869

142

1,592

Ironton_
—Line———

Detroit & Toledo Shore

•

4,427
'

1 234

—

2,004
:

6,274

7,102 !

& Western

Detroit & Mackinac-i

1,546

•

446

13,543

Central Vermont——.———--—-—

■

1945

1,744

2,422

7,636

;»»

130

733

Chicago Great Western..
Chicago, Milw., St. P. & Pac

International-Great

Connections

1946

2,624

—

Boston & Maine——

H/ -.V"

Received from

J946

■P.

;Bangor & Aroostook

750

Northwestern District—

Southwestern

Total Loads

N. Y., N. H. As

357

2,762
f" 770

AND RECEIVED FROM CONNECTIONS'

Railroads

■

gain of $75,663,883 is reported

January for the 131 New York
State savings banks.
The net in¬

open

North Western Pacific

1,436

,131

2,287

130,592

Nevada Northern—

(NUMBER* OF CARS) WEEK ENDED

708

134

TotaL

805,714

SSSSS^ SS^ fS SX

.
v

;

v'Vv

739,556

4,319,995

REVENUE

Detroit,

1,629
V'

980

'•

277
;

559

Winston-Salem Southbound

Illinois Terminal—

1944

•

713,240

Feb. 10, 1945.

•

408

II,902
24,194

723,135

--.—J

During this period 67 roads reported gains over- the week .ended

404

H.v

v..'.

660

ij'i

3,363

293

3,385

981

•

410

Seaboard Air Line

3,158,700

1945

the separate railroads and .systems for the week "ended Feb. 9, 1946.

•

2,957
'•
.

for

1,854

3,865

289

•>115

Richmond, Fred. & Potomac..

3,003,655

The following table is a summary of

;

1,726

110

1.308
•' 444 :

Southern System
Tennessee Central

2,883,620

—————;

MM-Total' ■'

Ann

355

V 303

2,903

Fort Worth & Denver
City—_
\v:v

405

1,658
:

-——

reported decreases compared with the correspond-

•

Central Western District—

above the preceding week, but

;

Chattanooga & St. L.

the preceding week and a decrease of 4,879 cars below the corre¬

sponding week in 1945.

Minneapolis & St. Louis

corresponding week in 1945.
Ore

4,767
1,571

5,375 ;
: 4,592
_27,297.- J27.239
26,139
27,087
;VV: 304 V, %■
219

Ishpeming

products loading .totaled 35,588

below the,

H': 3,697

14,383
5,951

!■'

Northern Pacific.—

Forest

3,731

433

Illinois Central System

2,715

' '• t

10,638

I,088

Gulf, Mobile & Ohio—

1,839

-798

13,337

3,465

Chicago & North Western

increase of 4,937 cars above the corresponding week in 1945.

350

14,095

'.•'•'k':.' 58

Georgia—
Georgia & Florida

Savings Bank Deposits
Up for January

1945

237

867

78
...

315

.753

H'k 418
1,867
% 386

Florida East Coast

Connections
1946

;

4.307

Durham & Southern

Received from

1944

322

15,805

Charleston & Western Carolina
Clinchfield

•

■bf ;

Norfolk Southern

1945

kH 882

Atlanta, Birmingham & Coast

Nashville;

428

Louisville & Nashville—

& Northern—.

Columbus & Greenville

Loading of revenue freight for the week of Feb. 9, decreased
H; 9,895 cars, or 1.4% below the preceding week.
r

1946

Atlantic Coast Line

.'\V..

1019
Total Loads

v-'.H-y"' •* Total
Revenue Freight Loaded

•■.y/jy.-.-', ,}*?;/■

Central of Georgia

decrease below the same

/"v'*1,'

Tennessee

Atl. & W. P.—W. R. R. of Ala

decrease below the corresponding

was

Alabama,

freight for the week ended Feb. 9, 1946
Association of American Railroads an-

week of 1945 of 42,592 cars, or
5.6%,
week in 1944 of 79,941 cars of 10.1%.

—

Southern District—

Ended Feb. 8,1946 Decreased 9,395 Gars

•J

THE COMMERCIAL & FINANCIAL
CHRONICLE

new

11.9%

orders

above

order

files

these >*

produc¬
of

the

reporting mills amounted to 88%
of stocks.
For reporting softwood
mills, unfilled orders are equivalent to 33 days' production at the
current rate, and gross stocks are
equivalent to 35 days' production.
For the

year-to-date, shipments
reporting identical mills ex¬
ceeded production by
10.8%; or¬
ders by 16.6%.
of

Compared to the average cor¬
responding
week
of
1935-1939,
production of reporting mills was
4.9% above; shipments were 2.8%

below;-

orders were 2.9% below.

-n

THE COMMERCIAL & FINANCIAL CHRONICLE

1020

for less than $37.50 per

Feb. 4, approval was given to the
Central Trust Company, Roches¬

N. Y.-to

Banks,

Items About

Trust
>'

Reflecting

the

growth

de¬

posits. which have doubled in the
last two years and quadrupled in
four years, Sterling Na¬
tional Bank & Trust Company of
the

third

expanding by oneits banking floor at its prin¬
is

York

office,

cipal

Broadway and 39th

000 shares of

tired'a / Mr. Van .Winkle' will reof the Bank . j.'.v!
.,v»:7Vri';.ti-.-ff
sTYT/TT/'/-VK.

each.

William M. Campbel\, President
the American Savings Bank,
York, following the

New

annual

meeting of the board of trustees
nem
on
Feb. 13, announced the

New cages are being

were:
William McKenna from Assistant Treasurer to

promotions

regular meeting of the
Directors of The Na¬

an
a

stockholders last Thurs-

letter to

.added. that Byron Moser,

former

President

of., the, company,
share

the

for

and

Chairman

offered

stock

late

$50

a
Jan¬

in an effort to buy or option
a majority of the 32,000 old shares.
His attempt failed and control of
uary

Willard W.

value of $20

Bloomfield
Savings Institu¬
tion, of Bloomfield, N. J. died on
Feb. 10.
He was 58 years of age.
It is learned from East Orange, N.
J. advices to the New York "Her¬

Tribune"

gan

that Mr. .Miller be¬

his banking

with

the

£2,764,688, out of
following appropria-

tionsTrave been made—To Interi

paid July-16, 1945, f
half-year ended June 30, 1945,
rate of 8% actual less In¬
come Tax at 10s. in the £, £606,-

the

at the

£700,000;
premises account, £100,-

345; to Reserve Fund,
to bank

the

career

at the age

National

Newark

000.^ This leaves

the bank remained, in the hands of

which will absorb

the

ald

sum

which

DivideiVi,

dayVr^
It /is

total

a sum of £1,358,343, from which the Directors
recommend .Va' dividend, payable
vVr: n\:*, TY
k groupi of ^officers arid directors Feb. 1, 1946, for the half-year end¬
led by Edwin A. Schmid, Presi¬ ed Dec/;31,1945, at the irate of 8%
actual less income tax at 10s. in £
Miller, President of dent.

stock of the par

mon

built promotion of William Kemble
from Treasurer to Vice President,
and
air-conditioning
equipment
installed for use during the sum¬ ^eorge Debevoise, a trustee was
made a Vice President and other
mer.
:.

Street.

000, consisting of 50,000 shares of
preferred stock of the par value of
$20 each and 60,000 shares of com¬

■

stock of the

common

value of $10 each, to $2,200,-

par

mamas a Trustee
,v

increase its

stock from

Companies

last

New

|i|

share,"

officer of the bank explained in

capital
$1,085,000, consisting of
58,500 shares of preferred stock of
the par value of. $10 each and 50,ter,

Thursday, February 21, 194.6

Eleven

new,

officers

were

Feb. 12 by the board of direc¬

tors of the Citizens and

was

Southern

Bank of Savannah,

National
it

named

Ga.,

stated in the Atlanta "Con¬

which listed
follows:

stitution" of Feb. 13,

the

officers

new

ing 16% for the
The

tax.

£ 606,345, .mak¬

year

balance

less income
be

forward to next account is

carried
£751,-

998.

The bank also announced on
16, that in addition to the

Jan.

above-mentioned appropriation of

£700,000 to the reserve fund a
transfer
of
£ 348,012 has been
WtT ./Thomas,. Vann Groover, Vice
made from contingency fund, thus ;
University and the'New Jersey
tional City Bank of New York
Presidents;
George - McKinnon.
Law School, obtaining both law
i: held oh Feb. 19, Enoch J. Le Jeuhe
increasing the reserve fund to
Vice President and Cashier; Roy
Wesley F. Sheffield, an Assist¬ and a master's
was appointed an Assistant Vice£15,158,621,
degrees. The paper
being
an
amount7
Haile, K. R. Lemley and Paul
ant Secretary of Brooklyn Trust from which we
President.
He was formerly an
quote added:
equal to the paid-up capital.
Welch, Assistant Vice Presidents.
Co., of Brooklyn, N. Y.f died on
Assistant Cashier and returned re"Assistant
The Marquess of Linlithgow,
Secretary
of the
Feb. 13, after an illness of several
Augusta office—D. M. Harvey,
f cently from the Philippine Islands
North River- Saving's Bank until
K.G., K.T., has been appointed
He was employed by
Vice President; Arrion McCormick,
'j where he supervised the reopen¬ months.
Chairman. The Retiring Chaif man
1923, Mr. Miller then became SecjVice President and Cashier and W.
ing
of i: the
Bank's branch in Brooklyn/Trust Co., Feb. 8, 1914, retary and Treasurer of, the
Stanley Christopherson, J.P., rewhich was his first position. After
Manila, and he is now assigned to
Bloomfield Savings Institution. He ^. Baird,/Assistant Vice;President. tains his seat on the Board and the
Macon office—Thomas B. Harvarious advancements he was ap¬
the Overseas Division at Head Of¬
Directors recorded their apprecia¬
was elected President in 1931.
rell, Vice President and Cashier;
fice.
At the same meeting, John pointed Manager of the Flatbush
tion of the service he rendered to
"Mr. Miller was president for
Office of the Company, Ocean and
H.
Lane
Young, of Atlanta. the bank.
il. Pearce, Malcolm W. Robinson,
Church
Avenues,Brooklyn, in three years of the Savings Banks President of the bank, according
George B. Wemple, Theodore C.
The Directors also" announced
1930- and in 1933 was appointed Association of New Jersey and
to the paper quoted, said the hew
Serocke and John B. Ackley, Jr.,
Regional Officer in charge of all chairman of the mortgages com¬ officers were appointed to meet with regret the death of their col¬
were appointed Assistant Cashiers,
mittees
of
the
National
Asso¬
league, Sir Eric Phipps, G.C.B.,
offices in the FlatbUsh region with
needs of the expanding business
it{! V'1
v
■«- 1 iV'JVyS^
G.C.M.G., G.C.V.O.
The Earl of
the title of Assistant Secretary. ciation, of Mutual Savings Banks
of thr Company ; He said Messrs.
The Westminster Bank Ltd." of
Feversham has been, appointed a
Since 1940 he has been assigned to and the American Bankers Asso¬
London recently announced that
Haile, Lemley and Welch, whe
ciation. From J938 until 1944; he
Director.
H. Dickinson and T. R.
the Company's Main Office.
were elected Assistant Vice Presi¬
from Feb. 1st, the address of their
taught a real estate course at
Nicholson, formerly Joint General
dents - ol the, Atlanta- office, are
New York Representative, A. W.
Hall - College
A new director, John Lynn, was Seton
in
South newcomers
Managers, have retired on pen¬
brought in to handle
Beamand, would be 1 Wall . St.,
sion,
W../G. Edington and H. /
;
<■/. V
'
' ■ new lines and
elected at the monthly meeting of Orange.
departments of the
New York City.
Wheeler, formerly Assistant Gen¬
the
Board
of Directors of The
barik. :
eral Managers, have been appoint¬
David E. Williams, President of
County Trust Co., of White Plains,
/
Lieutenant Commander Philip N. Y. held recently.
ed Joint General Managers.
Mr. Lynn, the Corn Exchange National Bank
Ira William Bedle, Vice Presi¬
S D. Holden has returned to the
Comptroller of the City of Mount and Trust Company of Philadel¬
dent and" director of the National
Chemical Bank & Trust Co., of Vernon since
: Announcement
1934, had been a di¬ phia, has appointed a Retirement
was
made on
Bank
of
Commerce
of
Seattle,
New York after four years service
Jan. 24 by Barclays Bank (Do¬
rector of Fleetwood Bank prior to Plan Committee to administer the
$ with the United States Naval Re- its merger with The County Trust
Wash.,/, began his second half minion, Colonial and Overseas)
Bank's employees' retirement plan
serve and has resumed his position
Co.
He
has
been
a
trustee which became effective oil udu- century as a banker on Feb. 1. At that Marshal of the ^Royal Air
;
as Assistant Secretary.
of
the
Mount
Vernon
Sav¬ uary 1. The committee consists ol 21, it is stated, he was the youngest Force, Viscount Portal of HungerCashier of any national bank ir
ings and Loan Association of Mt. Mark J./Jgoe, Vice President, per¬
ford, G.C.B., O.M., D.S.O., M.C.,
the United States.
He joined the
LeRoy A. Petersen, President of Vernon, N. Y. for a number-of sonnel and operations; Miss Faye
has been elected a Director of the
Washington
Trust Company ii
Otis Elevator Co., was elected a years. Before election to his pres¬
Bank.
:
Atkinson, editor of "Cornstalk,"
director of Irving Trustv: Co.
of ent office in Mount Vernon, he employees' publication; Kermit L. Spokane, Wash., in 1906 as Cashier
and went to Seattle in 1918. Leav¬
New York on Feb. 14, according to
was
associated for many years Benfer and Edwin H. Krall, loan
The Westminster Bank; Limited,
ing the old National Bank of Com¬
an
announcement by Harry E. with The Kingan Packing Com¬
department : heads
and
A.
W. merce in
1924, after having beer London, Eng., announces that the
Ward, Chairman of the Irving's pany in an executive sales capac¬
Waters, Jr., manager of the Bank's Trust Officer and Assistant Cash¬ net profits for the past year, after
Board.
Mr. Petersen, a graduate ity.
The County Trust Company Spring Garden Street office.
Mr.
ier, Mr. Bedle and his wile took a providing for rebate and taxation,
of the University of Wisconsin in of White Plains, N. Y., has absorb¬
Igoe was elected Chairman/ and
and
after
apropriations to the
1917, has been associated with ed The Ossining Trust Company Miss Atkinson secretary of the 10,000 mile motor tour and rest
On their return, he was with the credit of contingency accounts, out
Otis
Elevator "Company
during of Ossining, N. Y., on Jan. 18. In committee.
of which accounts full provision
Seattle Mortgage Loan Company
virtually
his
entire
business connection with the absorption a
for bad
and doubtful debts has
for a short time.
His association
career.
Starting with that organ¬ branch was established at Ossin¬
The post of Trust Officer at the with Andrew Price, President of been made, amounted to £1,405,ization as a student in the Yonking. Effective Jan. 29th, the Coun¬ FirstY National * Bank of Kansas
592.
This sum, added to £535,the National Bank of Commerce
ers, N. Y., factory, he progressed
ty Trust Company, absorbed the City;:
Mo., was voted on Feb. 13 to of Seattle, began in 1926 at the 285 brought forward, from 1944
f-through sales engineering training Fleetwood Bank of Mount Vernon.
Ford Ri Nelson, a/ Kansas City Marine
National: Bank,
a
few leaves available the sum of £1,to the position of saies engineer at In connection with that absorption
The
lawyer /.who
recently returned years; before the mergers which 940.877 at the present time.
the Company's New York head¬ two branches were established at
dividends of 9% paid in August
from the China-Burma-India the¬ created the
present banking or¬
quarters. Successively he became Mount Vernon.
last on the £4 shares and 6y4% on
ater where he served, with the
ganization.
Vice
President,; Executive Vice
the stock absorbed £383,481.
A
rank of Lieutenant Colonel, fis ex¬
President
and, in January 1945
The Lincoln National Bank of
further dividend of 9% is now de¬
ecutive officer of the 2nd air com¬
was elected President. Otis Eleva¬
Appointment of Herbert E. Ved- clared in
Buffalo, N. Y„, has increased the mand
respect of the £ 4 shares,
group. Advices to this ef-^
tor equipment is used in every
der as, Advertising Manager
of
par value of its common stock as
feet were contained in the Kansas
making 18% for the year; and a
leading country of the world and the; result of the retirement; from
The National Bank of Commerce
further dividend of j6
City "Star." The paper adds that
on the
is supplied abroad through ten time to time of
of Seattle, Wash.—a newly created
preferred stock the trust
stock will be paid, making the
department at the First
subsidiary companies, in each of held
position—is announced by Andrew maximum of 1234% for the year.
by the Reconstruction Fi¬ National is in
charge of Edward
which Mr. Petersen is a member nance
Corporation,
President M. Cox as Vice President. Associ¬ Price, President. Mr. Vedder will The dividends were payable (less
; of the Board of Directors.
develop and coordinate an ex¬ income
Howard H. F. Kiaiber of the bank
tax) on Feb, 1, to those
ated with Mr. Cox and Mr. Nelson
panded advertising and public re¬ shareholders
said on Feb. 11, it is learned from as
and ■ stockholders
Assistant Trust Officers are
John E. Bierwirth,
lations;
program.
J. William whose names were registered in
President, the
Buffalo
"Evening News" Fred S.
Riley, David N. Hall and
Sheets, national advertising, will
announces
the
appointment of which also reported;
<
the books of the company on Dec.
King V. McElheny. /The; invest¬ continue as the bank's agency a^d
Malcolm S. Martin as Assistant
"The number of the bank's pre¬ ment officer of the
department is will act as a special consultant. He 31, last. / £300,000 has been trans¬
Secretary Of The New York Trust ferred shares held by the RFC has
Alfred: L.
Benjamin,
Assistant has been associated with the bank ferred to bank premises reinstate¬
Company. Mr. Martin, a graduate been cut from 9.000 shares to 2,015 Vice
ment and rebuilding account and
President.
;
:
since 1927. Mr. Vedder has been
of Williams College, Class of 1927,
£300,000 to officers' pension fund,
shares, Mr. Klaiber asserted. on the
staff of the Chicago Tri¬
has been associated with the com¬
leaving a balance of £563,915 to
According .to
the
St.
Louis
"By so doing, the bank has de¬
bune continuously /since; 1930, a
pany, since 1933vand will be in
be carried forward.
^
f
clared common stock dividends by "Globe Democrat" of Feb$ 10 the
major part of the time in the ficharge of personnel administra¬
increasing the par value of the stockholders of the Mutual Bank
ancial department.
The National
tion.
outstanding common stock from and Trust Company, of that city,
President
Bank of Commerce had resources
$10 a share to the present par who recently rejected an offer to
in excess of 446 million dollars at
The New York State Banking value of
President Truman sent to the
$16.35 per share, which sell their shares to outside inter-/
the end of 1945, with 25 offices in
Department announced that - on makes an increase of $6.35 a
Senate on Jan. 21 the names of
ests, have been given, the right to 21 cities in the State of Washing¬
Jan. 18, that permission had been
share," Mr. Klaiber asserted,,..
1
It has grown from 88th to Commodore James K. Vardamari,
subscribe for a new stock issue in ton.
granted to The Clinton Trust Co., *•''; y/• ■.
•
v,\* '•$
42nd in size among the United
Jr., and Vice Admiral Alan G.
N. Y. to increase the capital stock
Approval was granted on Feb. the ratio of one' new share for
States' banks in the last five years, Kirk for two
from $700,000, consisting of 14,000 4,
important appoint¬
by the New York Bankirig De- each four old shares, as of Jan. 31,
with
deposits more than quad¬
shares of the par value of $50 oartment to the Lincoln Rochester
ments. If confirmed, Commodore
and will profit considerably from rupled.
each, to $800,000, consisting of 40,- Trust Company, Rochester,-, N. Y.
Vardaman, the Presidents naval
the new distribution. These ad¬
000 shares of the par value of $20 to reduce the
capital stock from
The Directors of the Midland aide, will start a 14-year term on
each.
Plans to increase the capi¬ $7,360,000, v consisting
of 40,000 vices also stated:,
tal were noted in our issue
of shares of preferred stock at $50 : The hew shares are to be Sold Bank Ltd. of London, report that, the Federal Reserve Board of
after appropriation to contingency
Jan. 3, page 54.
Governors. Admiral Kirk is to be
;
'1
par and 268,000 shares of common at $37.50
per share (par value $25)
accounts, out of which full provi¬
stock at $20 par to $-6,360,000, con¬
Ambassador to Belgium and Min¬
and the asking price yesterday in sion has been made for all bad and
The Empire City Savings Bank sisting of 20,000 shares of prefer¬
ister to,. Luxembourg^ the Asso¬
doubtful debts* the net profit for
of New York has announced that red stock of the par value of $50 over-the-counter transactions was
the
year
ended Dec. 31, 1945, ciated Press reported from Wash¬
Samuel
S.< <- Walker,
of Joseph and 268,000 shares of common $52.
New stock not subscribed
amounted to £ 2,056,274, to which
Walker & Sons, and a Trustee of stock of the par value of $20.
ington. The Senate cohfirmed the
and paid for by March 15 will be
has .to be added the balance of
the Bank for 18 years, has been
nomination of Admiral Kirk on
"sold on such terms as the Board
£708,414, brought forward from
The New York. Stats Banking
elected Chairman of the Board to
Jan. 31. \ v
last account, making; together a
\ < r.
Department annquqeed r that on: of Directors may approve, but not,

t:'

the

Board

Paul Smith from
Clerk to Assistant Treasurer.

Treasurer

Chief

arid

Banking Company and continued
it

while

New York

attended

Atlaftta office—C. W. Hester, J.

•

„

Appoints

succeed Arthur S. Tan Winkle,Y6-

•

...

.4.5

">.A

Full text of Commercial and Financial Chronicle : February 21, 1946, Vol. 163, No. 4466, Section 2

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