Full text of Commercial and Financial Chronicle : June 1, 1944, Vol. 159, No. 4286, Section 2

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In 2 Sections-Section 2

ESTABLISHED OVER 100 YEARS

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Final

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Ja

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a

angina

Pat. Office

Reg. U. S.

Volume

Price

York, N. Y., Thursday, June 1, 1944

New

Number 4286

159

60 Cents a

Copy

Appraisal Of Congressional Transportation Policies

The Financial Situation

<S>-

BURGESS*

By KENNETH F.

when official pronouncements concern¬
Of Sidley, McPherson, Austin & Burgess, Chicago
ing the well-advertised meetings at Cairo and Teheran were
handed to a rather puzzled public, we ventured to suggest Railroad Attorney Advocates (1) The Regulation Of
that "whatever whs done at either or both of these gather¬ All Forms Of Transportation By Single Federal Body;
Late last year

conditions.

In

the

past

twenty

since the competition of the
highway vehicle began to make
substantial inroads upon railroad

years,

and especially since the
depression of the thirties brought
disaster to all forms of transpor¬

revenues,

ings, the observer obtains the impression that what used to
(2) That Coimmon Carriers Be Permitted To Provide
be termed 'realpolitik,' rather than the vague and meaning¬
All Forms Of Transportation; And (3) That Con¬
less Atlantic Charter, was the guiding spirit both in Cairo
and Teheran." Recent developments have amply verified gressional Policy Should Be Based Upon Public Regula¬
this impression. As we observed last December, this evolu¬ tion Rather Than Compulsory Competition

tation, we have had

a

succession

investigations of transportation
conditions, past, present and fu¬
ture. The pattern was laid in 1933

of

Congressional policy regarding domestic transportation is set by the National Transportation
in a long series of Federal statutes.
With little variation, Committee which was set up by a
■v<£
' :
v~
-■.
large number of fiduciary and
I to a feeling of somewhat improved confidence as a result of their c e ntral
added
importance, especially in philanthropic institutions to in¬
theme is that
the case of the airways.3 Whereas vestigate and report" on "The Rail¬
•; this injection of realism into the picture.
the public in¬
formerly transportation' was al¬ road Problem, as an Integral but
|\
It begins definitely to appear,, however, that the trend terest requires*
most entirely common carrier ser¬ the Most Urgent Part of the En¬
that adequate
j of negotiations, if such they can be
among
sovice, a vast amount Of highly tire Transportation Problem." It
transportation
j; called "Big Three" affords ground for
uneasiness.
competitive service is now ren¬ consisted of Hon. Calvin Coolidge
be p r o v ided
Hon. Alfred E. Smith and
dered by contract carriers and, at and
cause of this disquiet is not that discussion has been
by private
N down to earth, but is the obvious danger that we shall pres- c o r
least
as
important, perhaps an Messrs. Bernard Baruch, Clark
p orations
even
greater amount of trans¬ Howell and Alexander Legge. In
!' ently find ourselves not only meddling with matters that are whose rates
portation service is performed for its. report it recommended, among,
shall be reg¬
no concern of ours, but shall in a sense be undertaking to
themselves by the owners of the other things: (1) regional railroad
ulated by adplay a decisive and quite probably a very costly role in tn i n i s trative
commodities
transported.
These consolidations and the elimination
latter developments have been as¬ of obsolete lines and equipment;
shaping the course of events in many parts of the world agencies of
sociated particularly with the mo¬ (2) that railroads be permitted to
where we have not the shadow of a real or direct interest. g o vernment.1
tor carrier, although .the water¬ own and operate competing trans¬
Incredible as it may appear, much that has come to light of it has also
ways and the pipe lines have also portation services; (3) restriction
been the pol¬
late strongly suggests that the Administration not only is
afforded an opportunity for the of government aid to competing
icy of C o n contract carrier and for transpor¬ forms of transportation, and the
•determined that we shall throw aside our historical aloofgress to
protation by the owner of the goods. discontinuance of the Federal
mote
new
ness to distant questions and alien quarrels, but is planning
Barge Lines; (4) federal regula¬
Kenneth F, Burgess
to fix upon ,us the duty and the responsibility in-substantial forms > o f
A Decade of Public Investigations tion, of motor carriers;
(5) en¬
transportation
of Transportation Problems
couragement of the airways dur¬
part of deciding many of these eternally arising problems
tion of the

general spirit of our international dealings does
On the contrary we again confess

not of itself disturb us.;;

forth

.

.

the

termed,
real

The
brought

\l

•

■

■

•

'?■ of

; '•

■

•

■■■

It is true,

of

V -lx

by

S ■.

conflicting imperialisms!

The "Great Design"

.

that one would search the official
(Continued on page 2284)

course,

government aids during

their

Transportation not only vitally ing their development period; and
development period and, to some
(6) repeal of the recapture clause
extent, to protect particular forms affects the economic life of the
against threatened discontinuance
nation, but in its turn is itself Footnotes appear at end of article.
where
large economic interests
(Continued on page 2288)
*
profoundly affected by economic
might be jeopardized.2
:

statements of

These rather trite

Congressional policy are not as
simple in their application as in
their recital. For the past quarter
century there has been almost <a
Roger W. Babson Says Situation Improving "
' revolution in the whole machinery
BABSON PARK, MASS.—From a civilian point of view the tire of transportation.
Railroads and
situation
'

is

critical than the

currently more

The

gasoline supply.

longer are the

waterways no

By

sole

can

,

however, ning of the

do,

that

believe

the end of our

short¬

rubber

But

do

tires for civil¬
ians

just

are

the

around
corner.

•

.

Rubber

Data

all

With

pre-

Harbor

Pearl

sources

natural
ber

shut

of

rub¬

off,

major supply now comes from
the Island of Ceylon. In addition,
some is coming out of the revived

our

;

Amazon River Valley district. We
also are picking up a little Mex¬
ican Guayule and perhaps a small
amount of natural rubber from
Brazil and from Africa. However,
with the exception of Ceylon, the

The

slow in

The entire year's work pro¬

duced under 185,000 tons or

one-half
tion.

our

production

at

for

the

ing

1944

reached

and

an

for

March,

870,000 tons will be made.

1944. This com¬

should

look something

150,000
250,000

Reclaimed

Synthetic

_______

Ton§

>_

700,000

-

with an all purpose use of




Items

1,100,000
on page

of the

....:..;............

2281

NYSE

Exchanges...2294

York

Trading on New

.......2294

Odd-Lot Trading.

State
General

2291)

2283
Domestic Index.2292

Weekly Car loadings

.........—.......2295

Construction.. .2293
Paperboard Industry Statistics...... 2295

Weekly Engineering

Lumber

Movement.........2295

Association Price

Weekly Coal and Coke

Daily Commodity
Crude

Index...2293

Output..... .2293

Weekly Steel Review...

Weekly

*

Trade

of

Review

Commodity Prices,

.....2291
Index...2292
2294

Oil Production

Non-Ferrous Metals

Weekly Electric

April

(Continued

.

and Yields. ...2292
About Banks and Trust Cos..2296

Moody's

Natural Crude-___

,

.

Moody's Bond Prices

Fertilizer

con¬

like this:

remember.;that it is

Washington Ahead

News

Weekly

Who Will Get Our Rubber?
Our 1944 American rubber

sumption

Regular Featurea
From

1944,

670,000 tons. As plants are ex¬
ceeding their rated capacity, out¬
put should progressively rise.
I
estimate for the full year that
about

Page
......2281

Situation

Financial

annual output rate of

military, is estimated

150,000 tons for

pares

ca¬

pacity. has expended rapidly dur¬

.

all

about

total 1942 consump¬

Synthetic

was

agitation, when it

by the "power
considered something

done

trust"
very

applied to reprehensible, indeed. Now that
the Bureaucrats, the Commies, the
requirement that it borne
CIO Political Action Committee;

specifically
a

this worked up

was

as

for its funds every
in brief, the Party Line, is doing
just like other Government
it, it is all in the interest of the
agencies. This year McKellar was
public weal and something very
apparently making progress to¬
much to be desired.
wards
accomplishing his enter¬
Far be it from us to disagree
prise when the wrath of the heav¬
with the motives which are being
ens broke upon'him.
attributed to the venerable Sen¬
We had naturally expected such
ator.
He would be the last one
a
downpour from, the so-rcalled
in the world to claim they are
Liberal, and the Leftist press, but
pure.
He has long been an un¬
some of the country's most con¬
blushing exponent of the spoils
servative newspapers have joined
system. But in this particular in¬
in the chorus:
"Save the TVA
stance, he isn't trying to get con¬
from McKellar." One of our most
trol of the TVA patronage. He is
sacred institutions, we are being
trying to keep Dave Lilenthal
told by the best families, is en¬
from getting control of him.
dangered by the patronage thirsty
Dave, runnirig free and loose
McKellar,
a
man, 'incidentally,
with this tremendous project, has
who is 75 years old.
simply come to be such a power¬
Here
is something, the TVA,
ful figure that McKellar is afraid
which is supposed to be run as a
of
him
and wants to clip his
business
proposition and to let
wings. The thing that amazes us
Congress get in on its appoint¬
is that the Conservatives, those
ments or its finances, would be a
folk who have looked with terror
shocking absurdity which no effi¬
at the trend towards socialism,
cient Democracy should permit.

to

Editorial

production

was

a year
by
the

Congress

year

of
synthetic
getting under
way but increased in 1943 from a
January production of 600 tons to
a December production of
39,000

great Middle East sources are nat¬
urally out until we lick Japan.;
Our
consumption
oL natural
rubber, and

TVA,

What About Synthetic?,

rubber

receiv¬
and more, be
Senate, but

Government employes

more

CONTENTS

want to see what a

applying the heat, or,
be dulled, just consider the
at

do

ing $4,500
confirmed

We will cut our in¬

tons.

GENERAL

tons.

Natural

Babson

80,000

receipts

all

portation at the Hotel WaldorfAstoria, New York, May 23, 1944.

ventory in half by the end of 1944.

not

that

think

W.

with

about 140,000
estimated at

is in sight.

age

Roger

tons

year was

CARLISLE BARGERON

good job an entrenched bureaucrat
indeed, how the minds of people
can
predicament of Senator Kenneth
McKellar of Tennessee, in his fight against the power of Dave Lilenthal, boss of the TVA.
McKellar has been trying for two years to
bring Dave and his colossus under the control of Congress; namely,
with an amendment requiring that<£
If you

production of synthetic rubber will about equal, by the end of this agencies. Today the highways, the
pipe lines and the airways pro¬
our inventory of natural crude rubber, namely about 600,000
tons, which was on hand at the end of 1941. Meanwhile all natural' vide either competitive substitutes
additional service, with the
rubber and most of the synthetic must go for military purposes. The or
promise for tomorrow of their
over-all rub-<&
—
ber supply is natural in 1943 amounting to 340,*An address made by Mr. Bur¬
now
particu¬ 000 tons and in 1942 to 370,000
larly acute! I tons. Our stock pile at the begin¬ gess before the Institute of Trans¬
year,

•

Washington
Ahead Of The News

From

Outlook For Rubber

Industrial

Market...,.... .2293

*

Output

Activity Reviewed

by Federal Reserve

Board...

♦Not available this

week,

•

v...

.2286

Because

of

this,

you

would

be

fascism,

communism,

whatever

you want to call it in this coun¬
surprised at the tons of literature
try—State control—do not share
that have been heaped upon the
some
of his concern, instead of
members of Congress, from all
(Continued on page 2291)
over the country.
As we recall it,

2282

THE COMMERCIAL & FINANCIAL

U. S.

The Meaning Of Freedom
By WILLARD II.

to. say. a few kind words about
certain relative of mine—a rela
tive of yours—the

Force When Peace Is Set

DOW*

'

•

Thursday, June 1, 194'

Regarded As Perhaps Greatest World

President, Dow Chemical Company

'

CHRONICLE

hie

'

■

'

'

.

'

•

^

.

Baruch Says No

Distinguished Chemist Contends That Freedom Is "Not
Dependent On Government," But On The Individual—

Country Will Be Able To Improve WeilBeing Of Its People Without Our Help

*

gaze on him with

a sort of
tolera-,
amusement, but he is i
pretty sturdy soul. He is alwav

tion

Depicting

our nation as "a force, perhaps the
greatest when the
set,". Bernard M. Baruch, at the 140th- anniver¬
dinner of "The Churchman," on
May*23, made the further state¬

Post-War Planning Requires No Departure From The

peace of the world is

Past

sary

Since

"The

United States

Is

Not

A

Failure"

ment that "when the

Condemns Gradual Easing Out Of Economic Controls
And Maintains That We Shall Have To Decide Whether
"We Shall Have A Government Of Our Own Choosing"

is

war

over

no

the^ well-being of its people without

that, ."peace will be almost meaningless without betterment
daily-existence. In that crisis Un-t^—*-—.*.■
;«—-——1
——*
cle

Sam will

show-himself to be

Everyone, everywhere is trying to look into the future.
The
us is being torn into shreds and we do not know how
or
oy
whom ♦>—
—
it
may
be prise.
But it appears that. the
reshaped. securing of free enterprise is a
Count less very complicated
matter, and I

world about

to

means

others.

himself

I have

..

well

as

War

Mobilization;

James

to

does

felt.

few

a

respect."

y

know.

we

of

Lei

hjs claims tc

'

'

*

,

.

.

"There is a
tendency among m
to wonder whether he—let us
say
we—have done all we should

For-

penetrate the future, but we P.: Patterson,
Under-Secretary of
can make it what "We will it to be'
War; William M. Jeffers, Presi¬

he makes himseh

stronger than

state

your

of

arrive

He is better than wb think

he is
me

Secretary of the Navy;
Robert H. Jackson, Associate Jus¬
tice of the Supreme
Court; Robert

economic radar

no

he

restal,

to

as

right—sometimes i
getting there, but wher

little slow

of

Byrnes, Director of the Office

neither profligate nor parsimoni¬
ous.
He will be fair, and that

and

the side of

on

country will be able to improve
our help."..Mr. Baruch went on

to say

who mad»

one

possible—the one who make
possible—our Uncle Sam. W(

you

'

have

done in the world
search

"Perhaps

-

well

cataclysm,

souls for

our

We

reassurance.,!

have not done

we

as

should have
done, or
spre,"
- ■;. ' v:!7
;V' dent of the Union Pacific R. R. as we could have done. Nor
given the task
yet
At the dinner, held at the
Wal-j and formerly Rubber Director for will do. But even
longing
f o r of reducing some of the prescrip¬
so, we do not
dorf-Astoria, Mr. Baruch receive^ the War Production Board; the have to
what they call tions I read to an algebraic for¬
Rang our; heads. Without
.the "Churchman Awafdf for 1944; Right - Rev. G. Ashton
security and mula.
"Free enterprise," if it is
Oldham, us, could the Russians have held?
the award is presented annually Protestant-.
seem
Episcopal Bishop of Could the Japanese have
willing to be anything but a name, is not
been
to one wlip has .rendered distin¬
to
Albany, and Dr. Guy Emery Ship
pay
any a permitted way of business.stopped? Could the valiant Chi¬
It
guished service in
"the-promotion; ler, editor of -"The Churchman." nese have done as well as
price for any arises out of an absence of a per¬
they
of good-will
and better /under-*
The
millions

should

are

hate

to

Of that I

be

am

as

we

.

,

■

package
beled

mitted way of business.

la¬

We

secur-

ity.

The

sands of man's
belief
himself

in

to be

seem

forgetting that

a

government cannot grant freedom
religiqn or of speech or of

of

enterprise.

When/we

speak

of

granting or receiving freedom, we
being created exactly reverse the processes of
in the image thought - that moved those
great
of
God
are
men,
the Founding Fathers, ...to
running out. evolve for themselves and their
Di% Willard H. Dow
Men
and posterity—that
is,
for
us—the
women are trying to escape today
Constitution
and
the
Bill
of
by dreaming of tomorrow.
To¬ Rights.
We of America never
night I shall not talk about post- wrung a Magna Carta from a
,! war planning or post-war hoping.
king. Our forefathers fought and
Instead, I am going to ask you to gained the right to think and act
: explore
with me the simple ele¬ for themselves.' The Declaration
ments on which we of America of
Independence was a living,
,; have founded our lives, to the fighting thing and not just a nice
end
of discovering
whether or resolution casually adopted at a
not, in much of our planning, we convention. We did not derive our
as

i

-

,

a

standing,

among

all peoples.'

address,

follows:

The

/

presentation of the-award to Mrj
Baruch was made by Thomas J;

of

Mr.

pliments paid

have?

Baruch

the

com¬

has

proclaimed his debt to us.?
has admitted the ef¬
fect upon his battles of
the war*

Watson, a trustee of. the Church¬ man's- medal, by the
distinguished
man
Association, and President o( speakers and .by your presence
the -International

chines

Corp.

at-the

ers

Business

Ma¬

here.*

dinner

were

James

Even Stalin

yy yy! /
'.""After
the
flattering
words
spoken about me, I should like

Among the speak-!

,v

Fi

making power of America. Todqy
the bloody Nazis and
the Japs

face

.

have

not

overlooked

that

freedom

one

from

any

government.

element without which
will be futile,

•

what

am

consider

to
it

you

I

On the contrary, we set
our plans
up a gov¬
going to ask ernment and lodged with it only

freedom
And

means.

I

am

and

such

also

as

going

small

to suggest to those who
think in such terms that freedom

fearful that

think in

•

•

preservation

also has

a

cash value.

terms

of

and; not of

man

But let

the

us

der.

Our

of

parts

thought

we

freedom

our

for the

necessary

of

a

wise

reasonable

fathers

even

these little trus-l

dignity of teeships of freedom might
of pot¬ abused, that they delegated

messes

tage.

:

preme

power

to

so

no

man

and

ln(ernation&!; Moneiarys Conference Galled By
President Roesevelt
An

international

—

conference

N. H.

More than 40 nations have been invited to
participate in the

conference/the official designation of which will be the United Na¬
tions Monetary and Financial Conference.
; The United States dele¬
gation will be headed by Secret
tary of the Treasury Morgenthau. mittee,
The
in

White

the

lows

House

matter

on

was

of

is

not

condition of

the absence of

dition

of

life.

think

of

it

The

as

recognize—no
may say

a

a

a

con¬

moment

condition,

matter

what

we

we
we

to the contrary—a super¬

power which can tell

us

not only

what is and what is not
freedom,
but also just how and
why we
must like it.
I am reminded of
that

marshal

entering

a

of

Napoleon's who,
captured town, sum¬

moned the citizens to the market¬

place.
"I

"My friends," he declared,
bring you the perfect freedom.

But be prudent.
I shall shoot the
first man who stirs."
Take

the

slogan "free enter¬
Everyone seems to have

time

controls

into

another

tooth

and

so

as

not

dreadful

claw.

We

to

discussing

pro?

ppsals to meet post-war interna*-

lapse

era

of

are

being
against the dangers of
freedom.
We are being
openly
warned

counseled

to follow the cultures
and even the diets of nations
t
never
knew
freedom.
In

'twenties, foreign missions were
inspecting us to see how and why

manage'd so well. Now, in the
'forties, we are being taught that

we

whatever

did in the past as a
people was crude and quite wrong
and that our future lies in
being
we

he

thought it
good thing for legis¬

a

;"Senator

•

advocated

,

Ferguson
that

Senate and

(R.,

overboard

for

free




Even

now

our

men

poised ready for the great in¬

vasion and the blow at
Japan. We
feed the
hungry and we clothe
the naked.
We build

ports,
suply

roads, air¬

harbors

and

allies

our

plants.

all

We
the

over

world with machines
of death and
supports of life, in food, medicine
shelter.

House

of

the

Banking Com¬

mittees attend the conference. He
said that the Senate will have to

and

that.

mind

it

use

shall

we

By keeping it in our
shall not ignore the ob¬

we

ligation
to

Mich.)

members

power carries with it—
justly and helpfully. And
be a
force, perhaps the

greatest,
world

when

the

peace

is set.

of

the

y

"When the

is over, no coun¬

war

act if treaties evolve from the de¬

try

liberations

well-being of its people without

Senate

and

will

both

have

to

legislation .needed

House
approve

to

House

is

stated

that

announcement

any

implement

decisions of the conference.
"It

and

the

-

White

followed

a

series of conferences which Pres¬
ident .-Roosevelt
had
held with

John

Great

G.

Winant, Ambassador to
Britain; Harry D. White,

monetary expert of the Treasury,
and other specialists in interna¬
tional finance.
-1/'■yy <
-•

"That such

be

held

monetary

has

a

conference would

been

experts

certain

of

and associated nations

April 21

on

broad

34

since
united

agreed last

outlines

post-war

stabilization

including

of

a

an

program,

$8,000,000,000 goldbased
stabilization
fund," said
Associated Press accounts (Wash¬
ington) May 19, which added:
•

"The question of when it

should

will be

able

to

improve the

our
help. Peace will be almost
meaningless without betterment
daily existence,. In that crisis

of

Uncle Sam
be neither

nious.
means

to

will

others,
to

will

no

can

make

Of that I

it

made

as/well

future,

am

assessing

parsimo¬

fair, and that

what

remember

physical

himself to

nor

as

our

but

will

we

sure.

'■

we

it

to

:r

position, let

that, great as
are, they

strengths

even

to

economic radar

the

be.

us

be

himself

I have

penetrate

"In

show

profligate

He

our

are

greater

by the fact
spiritual armor is untar¬
nished by self-gain; all our
steps
that

our

toward
to

self-protection
the world—to

save

are

steps

bring

peace

to all nations of
good will.

"America has

never forgotten—
forget—the nobler
things that brought her into being
and that light her
path—the patih

and will never

Mexico,. Netherlands, New' ZeaT be held has been a
major prob¬ that was entered
upon only 150
land, Nicaragua, Norway, Pan4 lem, however.. Current
pre-inva- years ago—a
little' more than
ama, Paraguay, Peru, Philippine sion restrictions on even
diploma* twice my own age.
How young
Commonwealth, Poland, Union of tic travel from the British
Isles, she is!
It will be centuries be¬
South Africa, Union of Soviet
So¬ for instance, have loomed as an
fore she will
adopt that maturity
cialist Republics, United
Kingdom, obstacle.
Representatives would of custom—the
clothing of the
Uruguay, Venezuela, Yugoslavia.? be expected from all the
govern¬ grave—that most
people believe
According to the Associated ments in exile based in London.
she is already fitted for.
Press, proposals to be considered,
"The
agreement
,

are

approved

understood to be:

"A

$10,000,000,000 international

bank
and

to

"An
fund

finance,

reconstruction

development.

for the United

$8,000,000,000 stabilization

to

provide

in

a

gold

base

for

the

currency of each participating
nation and reduce fluctuations in

enter¬

■

"Our

people

hard-bitten.
principle by the monetary experts
They owe only to themselves what
34 nations
apparently will be
have, but somehow, they
the starting basis for conference they
have always preserved the chiv¬
discussions. It calls
are

of

States to contribute about
$2,500,000,000 to the international sta¬
bilization fund. Britain would
put
jmabout $1,250,000,000 and Russia

international
currency
transac¬ about $1,000,000,000."
tions."
something other than American.
The report of
Secretary Mor¬
All of which, to
me, is rot, for
Stating that bids for Congres¬ genthau to a group of Senate and
I do not happen to be one of
sional representation on the Amer¬ House
*
those
committees
Address delivered
on
April 21
by Mr. Dow who believe that the United States ican
delegation were made in the making known-the
at the Biltmore
reaching of an
Hotel, New York is a failure. And,
Senate on May 27, the Associated
although we
agreement by technical experts of
City, May 13, 1944, on receiving have a lot to
learn and, if we Press
Washington advices said:
the United Nations for an inter¬
the
Gold Medal
Award of the keep our
balance, we shall, always
"Senator Wagner
American Institute of Chemists.
(D., N. Y.), national monetary fund was noted
(Continued on page 2290)
Chairman of the
Banking Com¬ in our April 27 issue, pag^ 1737.
prise."

gone

are

get

tional monetary problems.
j
"Invitations have been extend*
ed to all the United Nations and

through pulpits, solemnly warn¬
ing us and exhorting us not to
be hasty in
getting rid of our war*

whole

serted/any agreements will be
submitted to the respective Gov¬
ernments for ratification.

<

is

fighting—and helping

limited

on

fronts,'but on
circumference of the
globe, and from the North to the

the

?
"We are the most
powerful na¬
tion in the world. Let us
not for¬

i

"President Roosevelt has called
international
conference for
purpose

that

—not

lators to sit in on the delibera¬
tions since Mr. Roosevelt has as¬

foD

as

-

It

us

issued

May 26:

-

Freedom

without

would be

Let,us be high-brow in order no group of men, in the fervent
to see if in being low-brow—call hope that no
government could the nations associated with them
it practical—we are not in
danger ever be established as a thing of in the war, requesting them to
of missing the very
thing that we itself and apart from the people, [ send official representatives: to
are trying to get.
To be concrete.
We today, without
thought of the United States for the confer¬
How many of us are really
willing our words, speak of the "Govern¬ ence which will begin on July 1,1
to accept the
challenge of indi¬ ment" or of "Washington" as a
"The delegates representing
th^
vidual
responsibility and make ruling power, and there are
United States will be headed by
many
our
own futures?
who would
propitiate that power Secretary
Morgenthau ; of
the
How many of us, I
wonder, are in much the way that the cour-j Treasury. ' ■
y; yy- y7y':yj
watching for a chance to break tiers of old are said to have
"The conference is expected
tq
out of the lockstep of
thought in fawned on their monarchs. Our last several weeks.
Vv-tyyyO
; which
we
as a
people are now forefathers simply would not have
"All agreements worked out
by
marching and to do a little walk¬ known how to do that sort of the conference
subsequently wilj
ing at' our own gait?
And how thing. They did not depend
be
submitted to the respective
upon
many of us are just watchfully a
government.
The government governments for
approval.
:
|
waiting for the line to break of depended on them.
"List of governments and au¬
itself, or, better yet, to be broken
thorities invited to participate ih
They derived their freedom to
by someone we elect or select for
'
worship, to speak and to carry on the conference follows:
that purpose?
In other words, from
"Australia, Belgium, Brazil)
Almighty God and not from
how many of us have the burning
anything fashioned by man.
Canada, Chile, China, .Colombia;
passion to step out for freedom?
Costa Rica, Cuba,
The
utter
reversal
that
Czechoslovakia,
has
And how many of us are
begin¬
Dominican
come
about
in
Republic,
our
manner
of
Ecuador;
ning to think of freedom as some¬
Egypt,
El
Salvador,
Ethiopia,
thing we would very much like to thinking—a reversal which holds
French
committee
of
much evil and no
National
good—is being
have given
to us?
There is a
driven in by a parade of authori¬ Liberation,
Greece,
whale of a difference between the
Guatemala',
ties
through committee rooms, Haiti, Honduras, Iceland, India;
two approaches.
through lecture halls and even Iran, Iraq, Liberia, Luxembourg,
life.

that

announcement

an

the

said

are

South Poles.

post-war international
monetary problems has been called by President Roosevelt.
The
conference, which will begin on July 1, will be held at Bretton Woods.

.be
to

42 Rations Invited

to,-discuss

su¬

:

"We

.

or¬

were

defeat

a

could not be.

.

.

fight of the British? Were
not of help to them?
Churchill

we

by 'The Church¬

me

And what of the
magnifi¬

cent

;•

f

;f "My deep thanks for

alry and idealism that others mis¬

takenly

assume

"Soft?
Have
test

we

not

showed

national

spect?

is softness.

Who

dares
say
that?
fought whenever the

that

fighting meant

existence

When did

and

we

self-re¬

ever

fail to

fight?
And when did we ever
fight without high purpose, with
one

possible exception?

"I

wbrk.

see

the

leaven

of

time

at

The precepts of the great

Woodrow

-Wilson

are

bearing

Volume

2283

FINANCIAL CHRONICLE

THE COMMERCIAL &

"Number 4286

159

for relining are

ther impetus was given to retail

anthracite

for

trade by pre-holiday

edged lower and the forecast of
scheduled production of steel in¬

of

board

of world
renovation any forcible action against any govern-'
ment whose internal form of administration does
not come up to our ideas, and any remarks I have:
made on that subject refer only to enemy powers
and their satellites who will be struck down by the
do

"We

-

include in our program

not

force of arms.:.
"In

.

particular ideologies. We only want to beat the
enemy, and then, in happy and serene peace, let the
best expression be given by the will of the peoTple.
■ Y.rv;. ;V;y:
:
"As this war has progressed it has become less

"The victories of the

;

Russian armies have been

seeing for themselves what they liked. They
an
atmosphere of candid friendliness and
desire to see British films and hear of our

ties of

keen

country and what it is doing in the war. Children
in schools were being informed about the war on
the seas and of its difficulties and perils and how
the northern convoys

seemed

a

"These

which

got through to Russia. There

great desire among the people that Britain

^and Russia should be
are

friends.Y'''vY

some years ago

We

May
and
*

we

more

-Y. t'\

leaders!

i'Z: v'

'

"

■

:

,

,

in the future hear less about "ideologies"
about more vital issues from all allied
; - j:Y yY
:iY ::Yr'T Y:; Yr ■

H3:§ T!he State Of TradeY:BY§
'

the post-war

Industry and labor are turning their eyes toward

period with some fear and trepidation. They are concerned as to
how and where they will fit into the scheme of things with the
return of America to a peacetime economy.
Commerce and industry
have for the most part been engaged in war work,- production
,pf goods for civilian needs
instances

some

ceased

been any doubt

having suffered curtailment and and in

havingf-

activity

entirely.. There has

never' lated, making cutbacks and

of America's abil¬

ity to meet its war requirements,
and this it has done.
In November of last year indus¬

production reached its peak

trial

contracts

of

can¬
recent

in

running into substantial
necessary. This, action has

months,
sums,

in

resulted

reduction

a

of

per¬

sonnel, and in some cases a com¬

papering plete shut-down in plant. No al¬

has shown signs of

and

cellation

Large surpluses of arms and
equipment for war have accumuoff.

ternative of

a

changeover to non-

production is open to man¬
agement, due to wartime restric¬
Both of the major parties tions and controls which govern
'
consecrated themselves to vital materials.;

fruit.
have

of international co¬
and force.
This may
have the effect, as has been said,
of Taking the peace out of politics
and
politics out of the peace.'
That is the way it should be,
"Today we are deep in war,
where we shall be for some time
to come.
We can survive only
through victory, and that will
come by tensing: every muscle on
the job and by making every-ef¬
fort of spirit. Then, with the vista

the principle

operation

war

For

early

an

of

solution

the

problem much depends upon the
outcome of the battles presently

being waged.

Should the expec¬

tations of

military and naval

our

leaders be

fulfilled, the Govern¬
will permit production of
civilian goods
possibly-eight

ment
some

months

hence,

ment

to

In

view

of these

of

a

plant

civilian

and

equip¬

economy

be

undertaken as "soon as practicable.
before us, a peace which By so doing, it will lessen the
we shall make beautiful—or dis¬
impact of the transition period by
tort—we will have the contents assisting labor and management
ment that comes from duty well in finding their proper place and
of peace

done, or the contempt of failure. function in the post-war era.
;
"In another day, Cicero said the
In some quarters it is felt that
proudest boast a man could utter the time is premature for such
'Civia

Romanus

sum'

Roman

citizen).

It

was

a

(I

is

am

my

prayer that our conduct may al¬
ways be such as to carry greater

praise in the accolade:
-

"

T

am

an

American.'

we

fight?

We fight for

This

is

plans and that they should await
victory first. Those of more sober

judgment hold that how is the ac¬
ceptable time for such planning,
thus
avoiding confusion which
may

"One last word. Some ask why

my

answer:

probably ensue.

of the weekly reports
of trade and industry for the past
A perusal

slight changes
'Ancient
Rights, unnoticed as over the previous week in the rise
the breath we draw^
' and fall of production. On the
'Leave
to
live
by11 nd man's favorable side, advances were
leave, underneath The LaW.? noted in electric output, freight
.

week

t.

V.

"My thanks again."




reveal

only

'J-

car

put

New York

tail

for

the

current

week

trade

orders for re^

placing

quirements through the month of

.September. According to the Fed¬
eral Reserve Bank's index, sales
in New York City for the weekly

advanced by
period of
last year,
For the four weeks
ending May 20 sales rose by 18%,
and for the year to May 20 they
improved by 7%.
period

13%

com¬

to

over

20

May
the

same

Retail trade in

sections of

some

the country had

to contend with

inclement weather the past week
but

managed

to

in

achieved

hold

its

own,

from

the

results

same

viewed

when

period one

year ago. Dun & Bradstreet, Inc.,
in its review of retail business, re¬

ended May-20

cated, attributing the cause to an
expected decline in output, be¬
cause of a
lack of skilled labor,
effects of hot weather, and the
need

for equipment repair* add¬

loadings and paper artd paper-

WLB

the Pacific Coast area/12 to 14%.

approval, cuts the scheduled

reduction

by

cents a ton,

an

Department store sales on a
of 13.3
net cut ap¬ country-wide basis, as taken from

average

leaving a

proximating 14 cents a ton. The
revised-prices, it is understood,

ing that with respect to require¬
ments for: the last half, much de¬

into effect on June
producers and shortly
go

1, for the
thereafter

%
Yv
■%'
pends on the progress of the war for retail trade.
in western Europe. The full ef¬
As for production, in the an¬
fects of the heavy shell program thracite coal fields the U. S. Bu¬
embarked upon should be known reau of Mines reports estimated

the

Board's

in¬

dex, moved upward by 15%

for

third

canners,

in

the

by keeping down
of pans for non-sea¬
sonal products and giving right of
way to those for food products.
quarter,

production

Of the

important steel products
the

of a more finished nature than

major, products, the magazine re¬
a heavy demand, with pro¬
ducers running into difficulty in

ports

obtaining sufficient steel to fill
requirements. As for pig iron and
scrap

for steelmiaking, the indus¬

try is confronted with no problem
of supply, since both are sufficientfor the high steel production
rate, the summary points
out,
adding,, "scrap is moving freely
and reserves in most cases are all
r

that melters desire.

continues

hension
late

in

time no
enced.

is

Some appre¬
as

to

supply

to this
trouble* has been experi¬

the

but

compared
year

while

pig iron the

week

same

for

sales

the

a

four

ago,

weeks'

period ended May 20 advanced by
18%

over

a

similar period a year

For the

ago.

year

increase of 6%
like

was

to May 20 an
noted

a

over

period in 1943.

Resells Of Treasury
The

Secretary of the Treasury
on
May 30 that the

announced

tenders

for

$1,200,000,000,

or

thereabouts, of 91-day Treasury
bills to be dated June 1 and to ma¬

31, 1944, which were
May 26, were opened
at the Federal Reserve Banks on

ture

Aug.

offered

on

the Na¬ May 29.
Output
The details of this issue are as
to date—Jan. .1 through May 20, follows:
1944—aggregated 247,705,000 tons,
Total applied for, $1,887,125,000.
as
against 236,087,000 tons for a
Total
accepted,
$1,215,335,000
like period in 1943.
The report
of the Solid Fuels Administration (includes $50,745,000 entered on a
fixed price basis at 99.905 and ac¬
placed production for the week
'
ended May 13 at 12,560,000 net cepted in full).
Average price 99.905, equivalent
tons, against 12,150,000 tons in the
rate
of discount approximately
preceding week,
000

tons, as reported by
Coal Association.

tional

Paper output for the

week end¬

0.375% per annum.

Range of accepted competitive
equal to 91.6% of
capacity, against 89.6%
in the bids:
preceding week and 92.2% for the
High, 99.910, equivalent rate of
week ended May 22,
1943, the discount approximately
0.356%
American Paper
& Pulp Asso¬ per annum.
ciation'^ index of mill activity dis¬
Low, 99.905, equivalent rate of
closed.
As for paperboard, pro¬
discount
approximately
0.376%
ed May 20 was

duction

reported
against

for the same

at
95%

97%
in

period was

of capacity,
the preceding

week.

up

situation
that blast furnaces dowrj

In

so easy

year,

Reserve

with the

,

meeting seasonal demand for fruit

Federal

the week ended May 20,

early in the third quarter. In cop¬ output of Pennsylvania anthra¬
ing with the problems of this pro¬ cite at 1,305,000 tons for the week
gram, the summary reveals that ended May 20, 1944, a decrease of
no
new
rolling capacity will be
21,000 tons, or 1.6% from the pre¬
required, though considerable ceding week. An increase of 23,forging and machinery equipment 000 tons, or 1.8%, is noted when
will be necessary. Installation of
compared with output in the cor¬
.this equipment will be soon, and
responding week of 1943. For the
some in plants never before en¬
calendar year to date, however, an
gaged in this type of production. increase of 4.4% is shown over the
The magazine reports a sharp re¬
similar period of 1943.
duction in WPB allocations of tin
Bituminous coal output for the
plate for cans in the third quarter,
week ended May 20 reflected a
Setting the figure at 634,000 tons
decrease of 260,000 net tons from
as
against 800,000 tons asked by
"the preceding week at 12,310,000
industry. In view of the curtail¬
tons/ and a rise of 881,000 from
ment of tin plate, according,to the
a year ago, when
production for
same source, an understanding has
the comparable week was 11,429,been reached with can makers, in

prospects, it is important that re¬ .and,-vegetable
conversion

output of

enjoyed

market

suit

and

coat

"brisk business with buyers for re¬

trade volume was favorable, says
and.landing seized by the Government last
The review, reporting a gain of as
production, according to the November as a result of a wage
much as 12% for the country as a
summary,
,"not.. only
provides dispute between the operators and
mills with overflow tonnage, but the miners.
A reduction in the whole, and showing regional per¬
assures
most producers all they price of anthracite averaging 28 centage increases as follows: New
England, 8 to 10%; East, 10 to
can handle for several months."
cents a ton was to go into effect
A
general decrease in third on June 1,' while the mines were 12%; Middle West, 6 to 10%;
-Northwest, 5 to 8%; South, 12 to
quarter allotments has been sharp under Government control. This
in softie cases, the summary indi¬ recent agreement, which has the •16%; Southwest, 14 to 17%, and

.

.

above the same week of 1943. The

craft

evidently have here the typical British states¬
speaking with a very Substantial degree of

frankness.'

con¬

department ^tore
at 15%
to 20%

tempo of shell steel

Churchill.

all understand."—Winston

man

from conceptions
for reasons we can

marked departures

held

were

alloy

set

were

ported further tightness the past
week in many staple apparel, tex¬
totaled 871,105 cars,
tile and leather lines where gov¬
reports system output of 180,400,- the Association of American Rail¬
ernment continues to be a heavy
000 in the week ended May 21, roads announced. This was an in¬
and
compares
with 177,900,000 crease of 2,796 cars, or 0.3% purchaser. Deliveries of summer
the
kwh. for the corresponding week above
preceding week this merchandise were good, the re¬
view stated, though some buyers
of 1943, or,an increase of 1.4%.
year, • and an increase of 27,263
were reported to have set limits
The steel mills of the country cars, or 3.2%
above the corre¬
for delivery of fall goods. Retail
in recent weeks are reflecting the sponding week of
1943. Com*
apparel sale;f continued to com¬
pressure of intensified war with pared with a similar period in
the current shell program crowd¬ 1942, an increase of 33,429 cars, or prise a goodly portion of the total
volume with women's and chil¬
ing out other products. The man¬ 4%, is shown.
■ if S-.\r-i'ydren's wear, particularly active.
The first step in the return of
power
question still remains a
A slight increase in the sales of
dominant
factor
in production, the anthracite mines to their pri¬
men's wear was also indicated.
and fears of increasing losses of vate owners was taken on Friday,
The Memorial Day week-end pro¬
skilled labor this summer are last, when Economic Stabilization
vides an added incentive to shop¬
prompting mill owners to exert Director, Fred M. Vinson, ap¬
pers to purchase sports goods and
every effort to push ahead for proved the anthracite coal con¬
the usual vacation equipment. In
earliest delivery as much tonnage tract, which provides wage in¬
the hardware and paint line, some
as possible now standing on mill
creases
fbr miners, and at the
books, v magazine "Steel," in its same time authorized a reduction letup in buying was noted, influ¬
enced by rainy weather. Im com¬
market
summary
.the * current in anthracite prices by about 14
week
reveals, ■ The
increased cents a ton.
The mines were parison with a year ago, regional

solidated Edison Co. of

rise in strength of the Russian
state and a remarkable broadening of its views. ...
"Quite recently some of our representatives from
the Ministry of Information were allowed to make
a considerable tour in Russia and found opportuni¬
found

and

solved

been

of

Estimates

-sales

approxi¬ pares with operations at the rate
mately 4,245,678,000 kwh. in the of 98.4%, and output of 1,762,600
week ended May 20 from 4,238,- tons a week ago/ For the week
375,000 kwh. in the preceding beginning May 31, last year, steel
week, as reported by the Edison output totaled 1,704,000 tons, and
Electric Institute.
The latest fig¬ the rate was 98.4% of capacity.
With respect to freight carried
ures represent a gain of 6,3% over
one
year
ago,
when
output by the railroads carloadings of
reached 3,992,250,000 kwh.
Con¬ revenue freight for the week

attended by a great

•

program

tion, results reveal that
electricity advanced to

r,"

.

not

purchases of
apparel and accessories.

summer

,

ideological in its character, in my opinion. The Fas¬
cist power in Italy has been overthrown and will,
in a reasonable period of time, be completely ex¬
punged, mainly by the Italian democracy them-',
selves. If there is anything left over after that, we
..

large-scale
orders for

tamination is causing many re¬
and
U ■
landing craft now under way pro¬ jections. - .
As for the rate of steel produc¬
vide mills with an overflow ton¬
nage and assure producers of no tion, the American Iron and Steel
slack moments for several months Institute places scheduled output
to
come.
As for retail trade, for the week beginning May 29, at
marked
activity was the order 97.5% of rated capacity, equiva¬
stimulated somewhat by pre-holi- lent to 1,746,500 tons of steel in¬
day buying of summer apparel gots and castings, a decline from
recent new highs established in
and accessories.
/;
In the field of electric produc¬ the United States/ Scheduled out¬
shell

There is

will look after it.

expected

slightly. However, the

support a King, in another a
no attempt by us to enforce

we

is

week

not being pushed
relighting, especially in face
of skilled labor to refit

lack

them.
The problem- of turnings,
the current which probably will be increased
to
decline by the heavy shell program, has

gots and castings for

v:">V/

place

one

Communist.

production, while output of
and bituminous coal

Marked activity noted in retail
trade in New York in past
was

per

annum.

(60% of the amount bid for
the low price was accepted.)
There was a

maturity of a sim¬

weeks ilar issue of bills on June 1 in
amount of $1,007,386,000,

again present last week, Fur-

at

the

2284

THE COMMERCIAL & FINANCIAL
CHRONICLE

Former

The Financial Situation
communiques

and

the pro¬
Secretary

nouncements of the

such position as this, or
any serious attempt to
attain such a
position, is full
any

a

this time

so

as

But

situation.

often in

the

past the President has appar¬

ently chosen other media
through which to make pub¬
lic

his

ideas

attitudes.

and

Simplifying Individual Income Tax
Passed By Congress And
Signed By Presiden

Following the completion by Congress of action on the bill
t<
provide for the simplifaction of the" individual
income tax the bill oi
The
American Business
Con¬ May 23 was sent to the
President, who signed it at 7 p.m. on May 29
Early in the month, May 5, the House
of hazard to us and is certain gress, a National organization of
unanimously passed the
independent business men' with bill, and on May 20 the Senate
to be
adopted the proposed legislatior
exceedingly costly in membership extending through¬ by a voice vote; on
May 23 the House, in unanimously
the end.
In the first
passing
place, out the United States; announces the bill by a voice vote, accepted,<S>neither Russia nor the Brit¬ that Sylvan Joseph, former Re¬ on a motion by Representative
Effective next Jan. 1, the with¬
gional
OPA
Administrator
for Doughton (Dem.-N; C.), Chairman
ish Empire will at
holding system would be adjusted
any time seven
Middle Atlantic States, and of the
Ways and Means Com¬ to take the full tax
willingly permit the United Harwood Gilder, former Financial mittee, technical
liability for
Senate, amend-. wage and
salary persons earning
States to act as a sort of com¬ Advisor of the WPB and Assist¬ ments. _The bill
had
been
fa¬
up td $5,000. Thus the
withholding
pulsory arbitrator in impor¬ ant to the Chairman • of the vorably reported by the Senate levy would become the actual tax.
Smaller War Plants Corp.,1 have Finance Committee on
tant matters which
May *16. beginning next year, for
may arise been elected to the Board of
30,000,000
Di¬ Senate
approval of the bill, on
in dispute between the two
taxpayers.
They would owe nc
rectors.
With past experience in May 20 came after-SenatorLanger more at the end of the tax
year.
countries. If one or the other three Governmental
agencies of (Rep.-N. D.) yielded the floor
/No change would be made in
agree in any particular in¬ importance to independent busi¬ following 3 hours and 20 minute's amounts withheld
fro/n pay en¬
ness, they will act in an advisory of speechmaking the previous
stance to such an
day velopes this year, but the Govern¬
arrangement capacity in matters pertaining to and another hour at
the May 20 ment itself
would compute the
it will be because it either
session. He
problems of business

Am,

even

of State in vain for much evi¬

dence of such

Bill

Government^

Officials Joinv

(Continued from first page)

Thursday, June 1, 194'

Last year he chose a popular

BusinessCongress

magazine of large circulation
and a writer whose gift of
effective
popular presenta¬
tion of the views or policies
of a sopnsor are well known
to let the public see what his
•trend of thought was con¬
men, relat¬
cerning our post-war foreign has good ground to believe it ing to price control, priorities, etc%
relations. He has now quite has our
Four officers of the organization
ear, or else it fears
evidently chosen the same the armed power that we were retained in office by a vote
.

writer and the

same

magazine
to tell the American
people
of his "great
design" in world
politics as it has developed to
date and as it was
exemplified
at Teheran. If th^re had been
any suspicion that the Presi¬
dent's account (for that in

es¬

sentials is what it is) of what

of

could—and would—throw in¬

the membership.

These

■before

the

House

of

Com¬

and,

occasion,

on

President

still

the

even

have

ter—indeed

use

it—as

sort

a

of shibboleth when the

occa¬

sion appears to

require it—it
fairly clear at this time

seems

that President Roosevelt con¬
ceives of a post-war world

specifically these three

Thomas Donovan

granted

(Counsellor-at-

that neither Russia
Law), Harry Golden (President,
Great Britain will fail to Magna Products
Corp.), Harold

are

exact
eyen

the last
farthing for
appearing to accept such

an

and less.

The

Press

>'

150,000

-

.

would

measure

add

abandoned

plans

bill

the

to

cut

30

to

10%

assured

after

by

to

amend

cabaret
he

tax

said

Finance

the

he

000

of

income

approximately

taxpayers

from

some

taxpayers earning be¬
while re-

new

9,000,-

persons

now

subject

to the
Victory tax but with incomes not

was

Committee

large enough to

come

under pres¬

.

noted

that

without

the

bill

floor

a

did

fight.

not

leg¬

islation

pass

Represen¬

sons

tative

eases

with

the burden for per¬

large

•

families,

while

McLean (Rep.-N.
J.), hav¬ increasing somewhat the load for
ing renewed his assertions that it childless
married couples.
This
is not
merely a simplification bill results from a flat
$500 personal
but a
revenue-raising measure. It exemption for each
taxpayer and
was
further stated:
■=
dependent to replace the present

,.

,...

It

already

President

has

self—if he
deal

of

matter—to

the

resigned him¬

ever

real

to have his

that

appears

had

a

interest

great

in

the

permitting Stalin
way

in the Baltic

Russia's

—

"return to the fam¬

con¬

to do

Associated

Mr. McLean, a member of
the scale of
$1,200 for a married cou¬
Ways and Means Committee, pre¬
ple plus $350 for each dependent.
Gessner (La Marquise Footwear viously had said it would increase
It does not disturb the
present
Co.), Harwood Gilder (President, individual income taxes by $2,000,- $1,500 exemption allowed men
Harwood Gilder & Co., Inc.), Syl¬ 000,000.
-fv;, ;.-V
and women in the armed
services
Mr. Doughton
van
Joseph, Milton J. Karp (Pres¬
vigorously dis¬ above their regular
family status
puted this, citing figures to show
ident Karp Metal Products
credits.
Co.),
V'V-. 'j V
*■/
that the Treasury
Victor Lebow (Chester Roth
To provide "freedom from
actually would
Co.,
com¬
lose *$60,000,000 of the
Inc.), John Mariano, Oscar Ray
$17,000,- putation" relief at the close of
(Vice-President, Times Appliance 000,000 now collected from indi- this year, pending January effec¬
Co., Inc.), George J. Seedman, d'iduals.
/%■/• -V'1
i;; f—'1 tive date of the new
withholding
From the Associated Press
we
(President, Times Square Stores
system, all those with wages and
also quote:
Corp.)
and
Ira
Shorin
salaries up to $5,000 and receiv¬
(Topps
The
Chewing Gum).
;
measure
more
than
rearranges
the ing no
$100 from
■

.

be

no

match for

States.

In

in

whole individual income tax struc¬

not

sources

subject to

withhold¬

ture, discarding the two-year-old ing will be permitted
simply to
wartime "Victory" tax and
setting file a withholding receipt in place
normal and surtax rates and

new

of

a

regular return.

the

United exemptions—while keeping actual
The adoption of the
bill, by the
tax burden at
the situation ^
substantially pres¬ House on May .5,.,was referred to
ap¬
ent levels for most
in our May 11
persons.
issue, page "1941.
envisaged by the

ily of nations." What other
prices the Marshal will exact parently
this or that
part of the world in the future can not at this President, the British Empire
would without question hold
or
with reference to* this or time
be known, but it is
plain third
that question is at this moment
place in the Triumvirate
as
a
pikestaff that it ever
—subject to the whims of the
quite "fluid" (for which read there was a
powers

study.

on

Chairman George
(Dem.-Ga.) that ent income levies.
industries, the
amendment would be
heart wishing to have the and include the
accepted
following: Ben to
Generally, in the reshuffling to
the pending
bill raising the attain a two-tax
Abrams
United States
system to sup¬
playing any dio & (President, Emerson Ra¬ National debt limit from
$210,000,- plant the present three-way—Vic¬
Phonograph
Corp.), A.
such world role as
is thus
000,000 to $240,000,000,000.
Bloom
(General"Instrument
tory, normaland surtax—take
The Associated Press on
suggested.
May 23 from taxpayers'
Corp.)fBenjamin Botwinick (Taxipockets, the

.

trolling

to

•

regipns and probably in other
Empire standing alone would,
controlled by the armed
might parts of eastern Europe as the
at least
of Russia, the British
militarily speaking,
Empire, price
or>one of them
of
and the United States'.
What

time

dispute. We gee, Treasurer, and Harold M.
f
':'
scarcely imagine any Schwab, Secretary.
The new Board of Directors,
thoughtful American with the
composed of business men repre¬
good of his country fully at senting 16 different

arrangement from the
good hands of President Roosevelt.

words for the Atlantic Char¬

May 19 on the ground
that .the simplification bill
was
filled with perplexities he needed

arise out of the

can

nor

Although Secretary Hull,
Churchill, Mr. Stalin,

taxes

1944 income for
those
with wages and salaries of
$5,000

on

George Harrison, President; Nat advices'reporting this, added that tween $555 and $624,
to any conflict which
might Bass, Vice-President; Alonzo Ma- Senator McCarran (Dem.-Nev.) shifting to the status

mons.

Mr.

had refused to
permit

action

were;

really happened at Teheran
a little
fanciful, or lack¬
But there are other and cab Bureau, Inc.), President; Jos.
D. Brown (Poloron Products
ing in essentials, such doubt more immediate
Inc.),
complica¬ Albert W. Clurman (Counsellormust by now have been dis¬
tions which
may or may not at-Law), S. Cummings (Execu¬
solved by what Mr. Churchill
greet the casual eye. For one tive Secretary National Associa¬
had to say af points last week
tion of Uniform
Manufacturers),
thing, it may be taken for
was

•

i

Manpower fl@eds And Labor Supply Are

hard-headed—and United
States, if not in sub¬
wholly undetermined).* They hard-hearted
Apart from rising seasonal requirements for farm
realist in
labor, current
stantial degree
may here adhere to the tenets world
dependent manpower needs appear to be in better balance with labor
politics, Stalin is the
supply than
of the Atlantic
upon Russian goodwill. Now at any other corresponding period since the war
Charter, so far man. He doubtless has other
began, according to
the National Industrial Conference
the rise of the British
as
definite
Board, on May 16. The plateau in
Empire
meaning can be ambitions and covets other
manpower needs on the
in the first
hopie front, which became evident in the
found for such
place and its sur¬ Board's
vague general¬ prizes—w h i c h
employment figures in the closing quarter of last
incidentally vival through the centuries continued
year, has
ities, and there conveniently
in the early months of^may or may not include world
are the fruits of the
this year, says the
forget that such a document
Board, which number at work on construction
ability of
communism, but which cer¬ British
states
that the
main
ever existed. Pax
statesmen to foresee
difficulty has dropped by 750,000 and was
Britannica, tainly include considerations
now
is that of
supplying man¬ less than half of the
and forestall
correspond¬
just such situa¬ power as sudden and
concerning which so many of the sort
unantic¬ ing total in the initial
quite well under- tions. It is not
months of
kind words are heard
likely that they ipated adjustements in the war the war. Total
these stood
in
non-communistic will
employment in
succumb this time with¬ program are made.
days, is to be transmuted ap¬ world
the nation's five basic industries
politics—and .will not out a
The Board, further said:
struggle to say the least.
parently into a sort of Pax be backward about
minerals, manufacturing, con¬
"Demands for farm labor were
seizing op¬
Of this Mr. Churchill's sur¬
Britannica -Americana-Russistruction, transportation and pub¬
portunities" as they present
primarily responsible for a net
ana—and since British and
prising defense of Spain, and gain of approximately 300,000 in lic utilities—was well over half
themselves.
Russian interests often
the not
entirely irresponsible employment during March. The a million lower in the initial
clash,
The British Position
while ours collide little
discussion in England of revi¬ total number at work and in the quarter of 1944 than a year
with
ago.
armed
forces rose 61.3 million
We doubt if
either, the United States
"Employment in manufacturing
any one whose sion of the British attitude
compared with 60.9 million at the
would hold the balance
of judgment is worth a fig has toward western and central beginning of the year and 59.5 has fallen off by nearly 650,000
—

,

—

,

between the two—and

power

thus be

more or

less rulers of

the world.

Fantastic?
to

so

what

is

facts

guardedly

they

but that
of

have

entrusted

public and it is
make

not

to

is

the

been
the

tleman
that

any of European powes—e v e n
Winston cluding Germany — may

ern

does

threat from
far

But fantastic

western

or




not,

gen¬
east¬

any

Japan, would be

strong
or

of
we

understand

stronger than

without
easy to

not

same

Russia, dominant in
Europe and rid of

anything else of the sit¬ America.

uation.

escaping

that this

suppose

It appears defi¬
us,

being made
as

supposed that
was

Churchill, that veteran
world, politics. Nor need

No Place For Us

nitely

ever

this

a

Britain

alliances

central

Europe

in
or

He doubtless is also
well aware that such a
British

taken

in¬

be

as a
confirmation. On
the basis of
present prospects
Britain will be in need of al¬

lies in
now

Europe—and may even
looking around for

be

them.

:

For

the

this has

-

,

United

million
crease
on

in

of

the

net

March,
about

farms

addition

armed

forces

1943.

350,000

plus
of

an

in
20

estimated

100,000

was

in¬

work

An
at

offset

to
in

the

by the unbroken decline in civi¬
lian nonagricultural
employment.
"The total number of nonfarm
civilian workers in March was
down to 41.8 million as

compared

States, all

with

lion

a

wartime peak of 43.0 mil¬

in

one

July, 1943, and 42.6 mil¬

message of para¬ lion in March of last year.
Only
mount importance. It is this: in
transportation was civilian em¬
The time has come for
ployment. greater than in March,
us all
to look very
we

do any

carefully before
further leaping.

1943.

In

ment

has

manufacturing, employ¬
declined

200,000 since last

by
year

than
while the

more

past four months.

major

manufacturing

Of

the

groups

only three increased the number
on

part

the

their

sions

payrolls.

were

substantial
month

losses

in

equipment

These

acces¬

minor compared to the

the

during

the

transportation

and

chemical groups.
•"The increase of 350,000 in
farm

employment
March /was

from

February

.

to

entirely in the 'cate-

gory :of family labor.

.

The

num¬

ber oLhired workers remained
'at

aleVef-almost:10%
March, 1943." v

below that of

/olume

THE

Number 4286

159

: Hull Says Lcadarship Taward Haw System Of
International Relationships Rests Upon U, S.

Bies Will Eol Seek

Provided Under Terms Of
Re-Eleclion to Congress
Sets, President Tells Congress
Representative
Martin
Dies

Sore lhan $24 Bifficst

Lend-lease

$24,224,206,000 is shown as having been provided by
he "United States under the terms of the Lend-Lease Acts, from
March, 1941, through March 31, 1944, in the 15th report to Congress
A total of

2285

CHRONICLE

COMMERCIAL & FINANCIAL

(Democrat) of Texas, announced

Discussing the shift from

wartime to peacetime, Secretary of

State Hull, in a statement on

May 19 incident to National Foreign

Trade Week, declared that leadership toward a new system of inter¬
16 his withdrawal from
national relationships in trade and other economic affairs will devolve
Congressional race, indicating
very largely upon the United States, because of our great economic
on
Lend-Lease operations transmitted to Congress by
that he would not seek reelection
We should assume this leadership, and the responsibility
oosevelt on May 22.
■
<
'-"v..; ;
because of ill health and a aesire strength.
"Since the beginning of the Lend-Lease program on March 11, to return to private law business. that goes with it, he maintained,«kenjoyed.
This can be achieved
1941," says the report, "we have *—-—
According to Associated Press ad¬ primarily for reasons of pure na¬
war
we
can
assure a peace in
only as we co-operate with other
tional self-interest.
^ent a total of more than 30,000
vices from Jasper, Tex., Repre¬
as we are
which mankind can live and work
Mr. Hull went on to say that like-minded nations,
planes, about 25,000 tanks 'and
sentative Dies on May 13 said
and worship in peace, freedom
co-operating now in war, to pro¬
we ourselves cannot live in pros¬
over 800,000 other military motor
that "from the beginning of my
vide a basis for expanding tradeand security.
/ ■ ■"/>:,/>
vehicles to the forces of our Al¬
service in Congress my opposition perity and security in our own
and commerce among nations on
"FRANKLIN D. ROOSEVELT.:
lies;
Of these totals, over 23,000
to
immigration has - made me a country while people in other
.' /
: - « ;j
countries are suffering want and a sound and equitable basis.
of the planes, over 23,000 of the "The White House,
number
of powerful enemies."
"The
shift from
war-time to
'■
j These advices added: /
being driven to despair by eco¬
tanks; and almost 550,000 of the '""May ' 22, 1944."nomic hardship. If we are to have peacetime
commerce
will un¬
other motor vehicles went under
"In a telephone interview, Mr.
In the first 60 days of 1944, the
lend-lease. The others were paid
jobs for all our workers and mar¬ doubtedly entail some rather dif¬
report shows, more than 2,100 Dies said 'they were people who
kets for all our goods, people in ficult adjustments both, in our do¬
for in cash by our Allies."
lend-lease
planes, almost 2,000 wanted to Open the gates to rela¬
other
countries
must
likewise mestic economy and in our ecor
In
his letter transmitting the
tanks and more than 60,000 .other tives, friends and their own na¬
have opportunity to produce to nomic relations with other coun¬
report to Congress the President military vehicles were sent to our: tionals^
My ^opposition to such
their maximum capacity and to tries. Those adjustments must not
■said:'.,4 j.'.;' '..'rl
^
;/;/ Allies.,":/
J;>:/;/;}t,- .* /j bills prompted the organized blocs
pay us, with the fruits of their involve such blunders as' occurred
In
Associated
Press
advices in \Eastern cities, in New York,
"To the Congress of the United
after World War I, when we as
places, who efforts, for the things we want to
from Washington May 22, it was Chicago and otherStates of America: „
well as other nations adopted com¬
sell them. Continuing he said:
.stated:
'V-'^v:.j were determined to bring in their
The Government of the United mercial
policies and took eco¬
|;■ "I am submitting herewith the
relatives; friends and nationals, to,
nomic measures that disregarded
"Nearly $4,750,000,000 in lend15th Report on Lend-Lease Oper¬
oppose me.'
//
/ ,
\ States, and other United Nations
lease aid has gone to Russia,, twoand injured the citizens of other
ations
for
the
period ending
/ ."Representative
Dies x added: Governments, are endeavoring to
thirds of it in the last year. Up
Neither this country
make as rapid progress as possible countries.
March 31, 1944.
A■;
'The American Federation of La¬
"United Nations forces are now to March, 1944, we had sent Rus¬
toward the objectives set forth in nor the world could stand a repe¬
bor ^indorsed me every two years.
of the
bitter resentment
the Atlantic Charter, and the mu¬ tition
about to strike new and mightier sia 8,800 fighters and bombers,
The Congress of Industrial Organ-;
! blows
at
Nazi-occupied Europe 190,000 military/ trucks, 36,000 izations endorsed me until the tual-aid agreements, and the Mos¬ among nations, the retaliatory ac¬
ijfrom offensive bases in the West, jeeps, 5,200 tanks and tank de¬ House Committee on Un-Ameri¬ cow and Teheran declarations. In tions, and the economic chaos and
the South and the East. The fight¬ stroyers and 30,000 other military
carrying out this great task, they depression which finally helped to
can Activities began an investiga-,
//.:/:/ ■' /j, tion of the. CIO. The AFL still need and must have the support plunge us into this war.
ing men of many nations have vehicles.
'been banded together in combined
"The United States has leased
"After
this
war
international
supports me.' "
.• '
'■;//(■ of the people whose interests they
serve. /// ;
v
•"/.:
operations. They are armed with almost 1,400 naval craft to the
economic relations must be devel¬
Judge J. M Combs, who recently
the most powerful weapons that British under lend-lease. "In this matter, foreign traders
They
oped through co-operative meas¬
resigned as Justice, of the Ninth
have a special responsibility, ex¬ ures.
the combined resources and in¬ include more than 30 convoy es¬
.There must be international
Court
of
Civil
Appeals, had
genuity of the United Nations can cort aircraft / carriers, destroyer
tending far beyond the mere safe¬ arrangement for currency stabil¬
earlier made known his candidacy
produce. They are ready to bring escorts and merchant ships, and
guarding : and
enhancement of ity as an aid to commerce and the
for Congress opposing Mr. Dies.
>to bear their strength to continue are
their own business interests. They settlement of international finan¬
in
addition to $200,000,000
From Washington on May 13 it
the crushing process against the worth of landing barges, PT boats
Jiave a special knowledge of for¬ cial transactions. Through inter¬
was stated that at least one mem¬
Nazis and the German war ma¬ and other smaller craft sent to the
eign trade and its place as a nec¬ national investment, capital must
ber of the Dies Committee thinks
chine.: "
/•/.' ///
United Kingdom.
• v ',
essary
support of international be made available for the sound
the decision of Chairman Martin
"Our American forces will go
prosperity and world security. development of latent natural re¬
"The bigger vessels are leased
Dies to retire from Congress will
into battle side by side with the
They can contribute much to the sources and productive capacity
to the Allies for the duration of
men of Britain, France,
Norway, the war. Title remains with the not affect the operations of the establishment of a sound system in relatively undeveloped areas.
Committee for the rest of the
Poland, Czecho-Slovakia, Nether¬ United States. /■ ,/,- /';;/:.://,: V:!:
of trade relations among nations Above all, provision must be made
session.
The
Associated Press,
lands and our other Allies.
At
by sharing their knowledge and for reduction or removal of un¬
"The report showed a mount¬ from which we quote, added:
sea, warships flying many United
understanding with other citizens reasonable trade barriers and for
"Representative J Parnell and groups. Observance of Na-i the abandonment of trade discrim¬
•Nations', flags
will escort the ing total of reverse lend-lease.
Emphasizing the pooling of Allied Thomas, Republican, of New Jer¬
fleets. In the skies, the Royal Air
tional Foreign Trade Week is one ination in all forms.
Force will join with the United fighting equipment, it said: "In sey, ranking Republican on the means of carrying out this respon¬
"Such an international system
proportion to their available re¬ group which is known officially
States Army Air Forces in blast¬
sibility."
of trade and financial relations
sources, our principal Allies are
as the Special Committee to In¬
ing the paths for our troops and
Secretary Hull referred to Na
embodying sound economic stand¬
putting into this war fully as vestigate un-American Activities,
/in, protecting them. from air at¬
tional Foreign Trade Week, which ards and the
principles of justice
we are, including lend-lease ,aid.>
said Representative Dies' • decision
tack." '/":/;
//••
opened on May 21, as "a most ap¬ must be created and made effec¬
; "Here is the report's breakdown
not to seek re-election 'should not
7: "For this great undertaking the
propriate occasion for taking tive in order to support any inter¬
lend-lease:
To the United be construed as affecting the func¬ stock of our situation." "Employ^;
United Nations' fighting partner¬ of
national organization that may be
tions of the Committee for the ment on the home front," he said,
ship has been made far stronger Kingdom, 42.5%; Russia,, 27.6%
set up to keep and enforce the
by lend-lease and reverse lend- Africa, Middle East and Mediter-: remainder "Of its tenure, which "is at an all-time high. Many mil¬
of
•// lions now employed in making peace. Otherwise, the structure be
lease/, Through
lend-lease we ranean, 14.4%; China, India, Aus-i expires next January 3/
international security would
"Mr. Thomas said he believed the
have made certain that every man tralia and New Zealand, 11.2%;
things with which war
is threatened with collapse as a re¬
all other the/ House should continue to
in the forces of the other United Latin America, 0.8%;
waged will need good jobs after sult of economic disorder and con¬
: Nations
who goes into battle be¬ areas, 3.5%. • /.;•' /•• , • i;/maintain such a committee and the war making peacetime prod¬ flict."
side art • American • fighting man
"In the Pacific and Far East, 'should give serious consideration
ucts, as will many millions now
has what he needs to hit the com¬ almost
$2,000,000,000 worth of to the advisability of establishing serving in our armed forces." In
mon
enbmy as hard as possible. lend-lease has been poured into a permanent standing committee his further remarks he stated:
1
CDVO Mobilizes For
: Through
reverse lend-lease the the fight against Japan." v. :
i; on un-American activities with a
"Private enterprise will, I be¬
Fifth War Loan
American forces have been sim¬
The signing by President Roose¬
highly ' trained and permanent lieve, meet this challenge with
ilarly aided by our Allies with velt on May 17 of the bill ex¬ staff.'1
The Civilian Defense Volunteer
/;
,/!//'///://"/;/• ■, courage and resourcefulness. I be¬
everything
they had that we tending the Lend-Lease Act for
"His convictions, he added, 'are lieve, also, that the great majority Office has sold more than $75,needed.: v ••
;//: /:": /■.■/•/;■
business men will 000.000 in War Bonds and Stamps
another year was noted in our
based upon the present under¬ of American
"On
the
eastern
European
May 25 issue, page 2180, and the ground strategy now in operation recognize the need, as well as the in Greater New York during the
front, also, arms and other war statement he issued in apprpving
by certain of the subversive and unique opportunity, for utilizing past 10 months, according to a
supplies provided by the United the bill was also given therein, j
un-American groups within our our enormous capacity in the pro¬ report received May 27 by Nevil
States and the British Common¬
midst.
The
Congress
and the duction of the kinds of peacetime Ford, Chairman of the War Fi¬
wealth will continue to strength¬
people must never let their guard goods best suited to our material nance Committee for New York,
en the Soviet Armies for the new
Wdbl Associates Receive
and human resources;- for choo^ from Mrs. Hugh G. M. Kelleher,
down against these enemies.' "
blows that
will be timed with
ing those lines of production that Assistant Vice-Chairman of CDVO
Nominations for Office
In Washington Associated Press
our advances."
•
= »/./*"
can stand on their own feet with¬
and Director of its War Bonds
"In the Far East and the Pacific,
Alden H. Vose, Jr., Chairman of accounts from May 12 it was
out heavy tariff protection or sub¬ and Stamps Division.
Mrs. Kelle¬
the
Nominating
Committee - of stated: •■/'/r//////•;
our offensives in New Guinea, in
sidies.
: v
her said that during the month
"The CIO Political Action Com¬
Burma, and against the Japanese Wool Associates of the New York
"Only as
people everywhere of April- the organization, which
Cotton Exchange, Inc., announced mittee, headed by Sidney Hillman,
fortress islands in the central Pahave opportunity to produce those is engaged in all community war
■cific are proof that the battle for on May 25 the slate of offices to had, marked the Texan down for
things,and perform those tasks for services, sold 741,308.50 in bonds
'■-.•■v
";■/// .
Japan is not waiting upon the be filled at the annual election of defeat."
which they are best fitted, and to and $46,531 in stamps.
v■■/ ■
Beri
i.;
'/■' ■ *
* ' ,
successful conclusion of the battle the Exchange on June 5.
exchange those products for thb
Her / report
also stated that
nard
J.
Conlin, currently First
Mr. Dies' withdrawal, coming
against Nazi Germany. China is
products of other people at home
CDVO has mobilized its entire or¬
being helped to the utmost of our Vice-President of Wool Associ-- on top of the defeat in the recent
or abroad, will the world have the
ability."'
ates, was nominated for the Pres¬ Alabama Democratic primary of
maximum supplies of things to be ganization for action in the Fifth

President

on

May

the

,

.

■

.

.

■

,

.

j

,

.

.

■

'

,

,

(

,

.

r

battles

"Decisive

Now, more
;to

our

own

are

-

ahead.

vital
American Army and

than ever, it is

Navy and Air-Forces,

as

well as

other United
Nations, that we continue to pro¬
vide our fighting partners. with
the additional war supplies they
need to supplement their own re¬
sources.
Congress has a^ain rec¬
ognized this fact -by its over¬
whelming
vote
to -extend .the
to the

•

forces of the

Lend-Lease
f

"Only

Act.. \
uniting

by

strength with the full

,• i
our

full

strength of

peoples of the
moved from the
defensive to the offensive, from
defeats to victories. By.maintain-.

-the

other

'world

free

have -we

unity now, we^ shall'ber: tain.lv:. achieve
final victory, 'i-By

:ing

our

•continuing, our

unitynigfter-althe
'

upr




,<•/,;■//

idency to

succeed Frank J. Knell,

Joe

Representative

Starnes,

an¬

War Loan.
Members volunteer¬
named for the Board of other Dies Committee member
for service in
Manhattan
Governors.
Albert W. Hilliard opposed by the CIO, set politicians which will come into office next ing
'
was
nominated for the post of to discussing the potentialities of January/
for the coming drive will be as¬
"Representative Mundt, Repub¬
First Vice-President, with Law¬ the Hillman group, though some
signed to various districts and
rence P.
Hills- named as Second did not concede that it figured lican of South Dakota, a member,
said there would be no such Com¬ areas of the War Finance Commit¬
Vice-President and Benedetto Lo^ importantly in Mr. Starnes' de¬
feat.
■
'' •».
/. //.".
"./ : mittee in event the Republicans tee's Community Sales Division.
pinto Treasurer.
organized the House, but some Other CDVO volunteers will en¬

who was

,

The following

nominated
of Governors o|
were

new group with 'clearly defined'
"So far as the House Committee
gage in the* house-to-house can¬
Co-i is concerned, the Chairman has powers might be established. The vass throughout the other bor¬
Dies Committee has operated un¬
been its personification and the
han, Tinney C. Figgatt, Arthur N.
der a broad, general grant of au¬ oughs.
Other announced CDVO
Gorham, Joseph P. Henican, Jr.* driving force behind its • wide-;
activity will include Bond Booths
investigations^
which thority.
^Marland C. Hobbs, Frank J. Knell, spread
"Created on May 26, 1938, it has
in
the
Public • Library and at
Stanley
H. Lawton, Robert J. brought freauent / clashes - with
Murray,Max W. Stpehr, ,Philip hi?h. political figures, labor and received $625,000 to finance its in-other important locations, manned
•vestigations, which ranged from:
:
^
;■ ;
/
;
.
B. Weld and Arthur O. Wellman. ether groups.
"Other members- indicated that inquiries into employment of 'sub-!' by volunteers who gained experi¬
Nominations
as
inspectors of
versive persons' by the Govern¬ ence in this work in previous
election for 4945 include: James they would-not take-the lead in'

for

Board

the

Wool Associates:

-•

B. Harrison

-

^

K

,

-

Bv

Irwin.

William H.

C;

James

Hoyce

and

.j

effort to continue the

anv

mittee

Spilger.
i'

i

c

under
> i,

i

the
j-

\

new

r

' i

Com-?

Congress
'■ /
.

ment" to German

tivities,"
{'

r.

and Japanese ac¬

drives.

*

2286

THE COMMERCIAL & FINANCIAL
CHRONICLE

Welles Warns Against 4-Power
Military Alliance
—Urges A Council Of The United Nations

New L. I. Postal

•

recent

'in

the

went

Hall.

Mr.

Welles

"History
example

not

does

of

record

military

a

any

In

alliance

while.
has
their

been

continuance

that

firm

the

a

temporary

between

United

true

any

world

peace.

organization entitled to speak for
them, of such power as may be
.'required to see that the moral
which

upon

maintained

.And
can

they

determine

between

nations.

which

the

perialism

which

of

course

no

hope
■world?",

a

conduct

*

In

his

-New

address,

York

also had the

"If

•

one

as

Mr,

•

of

I believe,
:that the form of world organiza•tion which the experience of the
!past quarter of a century has
•shown
•and

as

the

period
tical
ment.

We
our

regional

in

of

in

coordination

the

supreme
versal

with

authority of

organization,

sesses

power

,

and

to

under

uni¬

a

which

employ

pos¬

force

whenever the peace of the
world,
rather than
merely the peace of
one
region, is menaced, such an
initial agency might well be com¬
posed of the individual represen¬
tatives of the major
powers, to¬

gether

with

a

small

representatives

number

elected

by

States comprised within each
gional system."

of

the
re¬

"The kind of
agency to which
I refer has come to be
known as
Council, of the United Nations.
As the weeks and months
have
passed and no apparent advance
has been made toward the
estab¬
lishment of such an
agency, I am

f

a

'

glad to

say

segment
•

United

that

an

of public

States

has

ever greater
opinion in the

been

for the creation of such

a Council.
told, for example, that this
day has been set aside by
many
organizations
as
'United
Nations Council Day,.' and that 25
organizations have now joined to¬
gether to stand behind the follow¬

am

.very

,

ing statement:
"'We

.

call

upon

Govern¬

our

ment to cooperate
now
other United Nations in

with

the

setting up

United Nations Council to
pro¬
ceed with the
formation of the
general international
organization
a

foreshadowed

in the Moscow Dec¬

laration and the
Connally Resolu¬
tion.'

"These
:thpt

an

developments

indicate

ever

citizens is

taking
all of

can

us

the determination
-

international

which

should

the nature of

be

/

of

our

cooperate.
in

with

the

greater

will

be

the

practicable and
illusory and that
all that is left as
a means of ob¬

taining safety is military alliance
and imperialism,
And that road
only

to

the

Third

World

larger body of our
reaching the conclusion




British Consul General
To Address N. Y.
Chamber
Francis Edward
Evans, the new
British Consul General in
New

York, will speak
In

the

on

Post-War

"British Trade

Period"

at

the

monthly meeting of the Chamber
of Commerce of the
State of New
York at 65

Liberty Street, at

today, June

1.

noon

TfV's will be

one

of the first formal
addresses made

by Mr. Evans since he succeeded
Sir
as

Godfrey Haggard who retired
Consul General last

Leroy W. Lincoln, who
ted

President

of

the

February.
elec¬

was

Chamber

earlier this
month, will preside at
the meeting.

<

-

the

month

same

Production

of

most

last
non-

ducing munitions in the ; ma¬
chinery and transportation equips

tinued

was

increased

During the
accounts

appreciably

period war loari
reporting banks de¬

same

at

contracted by more than
$1,500,000,000. "A large part of the loan

re¬

Output
factured

goods

ton

New

mills-

-

level

'

of

little

Activity at cot^

maintained

was

Sales

of U.

curities

S.

by

were

Government

commercial

paralleled

by

se¬

banks

equivalent

purchases by the Federal Reserve
System. System holdings are now

showed

recent

,

ernment securities are
down to
about pre-drive levels.
During the
period
commercial
loans
also declined
rapidly.

same

manu¬

nondurable

change in April.

chasing and carrying U. S. Gov¬

about

.;■.'i'V.
of

before the Fourth War
Loan
Drive and loans to others for
pur¬

were

peace¬

any

time year.•

direction
:

to,Increase and

ported at a rate above the highest
volume recorded in

at

the

months, approxi¬

the

are

tered continued

as

being handled?

Army activii

the available
plot will per¬
erection
of
additional

the

buildings

two

on

sides

of

presently planned structure.
"The plot on
which the

building

the
'

Railroad

new

Pennsylvania

and

there

will

.removed

Output

of

f

be

two

tracks into the
building
to
provide for
expeditious unloading and loading of mail
cars.

from

dairy

tinued to rise

rationing.

products

they

$2,500,000,000

larger

were at the end of the

War Loan Drive.
made

were

banks with

than

Fourth

These purchases

to

supply

member
funds needed

reserve

for

civilians

in

of

.both

anthracite

coal
was

Treasury

■

■

the

year

approximately

5% more than in the
in 1943.

main¬

bituminous
for

same

period

is

-

/"-V''
Crude petroleum production in

April continued
12% above

a

at

level

a

ore

fact

that

parcels

the

and

present

prints

volume

of

Mine pro¬
showed a large

has outgrown

available space, and
shortly after
that date patrons
will mail
Christ¬
mas parcels
intended for members
of the Armed
Forces Overseas." :r

Rafhje Endorsed For
Vice-President Of ABA
ican

Bankers

House,

May

Association,'
24

at

Chicago,

the

at

in

for

ance

store

sales

de¬

April and, after allow¬
usual

seasonal

about 10% below the
high
level which prevailed in the
first
quarter of this year. In the first
half of May sales were
mainmained
and
were

"

a

Frank

Carloadings of

railroad freight
in April and the first
half of May
were maintained in
large volume.
Grain shipments continued to de¬

Rathje, President
Chicago City
Bank &

sociation.

and were 60%
greater than

Trust Co., for
Vice-Presi¬
dent of the
American Bankers As¬
Mr. Rathje's

be

name will

nresented

at

the

in

and

is

The

connection

vention

of

Association,
is

a

with

the

the

Illinois

of

the
-

April
a

year

Commodity Prices
showed

from

middle

the

the

large tax

building

balances

Currency

at

in

increased

end

of

associated
re¬

Of
Reserve
up

circulation,

somewhat

less

rapidly during the first quarter of
1944 than in the

same

period last

year, renewed its rapid outflow
late in April and
during

early

May.
In the four weeks
ending
May 17 the currency outflow was
over

$500,000,000.

NYU

Retailing School

A

new

cooperative arrangement
between the New York
University
School of
Retailing and stores in
the
metropolitan area was
an¬

nounced

the

May 26 by Provost
Smith, Acting Dean of

on

D.

School,

cises

for

held

at

31

graduation

garduate

following

dinner

a

exer¬

students,
of

stu¬

dents, alumni and faculty of the
Wanamaker's, 9th

school, at John

Street and Broadway.

Under the

the

little
of

com¬

change

arrangement, Provost Smith
said,
part-time
employment. in
stores, will be made available
-to
undergraduate
uate

of

mum

Smith

$15.40,

store

con¬

raised.

Bankers

The
vanced

Vz%

Advisory | mid-April,
1

of

living

from

index ad¬
mid-March to

reflecting

higher

re-

tail prices for foods and
furniture

field

'

*

•

■-

said,

student
of

In

-

with

selling and
addition

an

non-

to

the

selling work a series of eight
trips will be arranged to

enable
work

%

itself, Provost
is*being planned to

selling work.
store

cost

grad¬

work

slightly provide each
lower,"' while maximum prices of
equal amount
were

as

;the school

ing program. Graduate students
will be assured a minimum
salary
of $16.80 a week for 28
hours of
work and
undergraduates a mini¬
The

industrial commodities

in

and
rates of pay will be increased
and
standardized for all students
par¬
ticipating in the cooperative train¬

third week of
May. Prices of farm
products; and foods wOre

in

well

as

students

April to the

some

annual

in

Wholesale prices of most

banking

was'held

sharply

ago.

modities

of which. Mr.
Rathje

member

Council.

in, State

caucus

increased

•

Chicago,

active

ings

convention

September at
Chicago of the
American
Bankers "Association.
Mr. Rathje is
also President of
the
Mutual National Bank
of
circles.

decline

new

cline from the
exceptionally high
levels of Jan.- and Feb. Ore
load¬

C.

and

which

changes, Rufus

were

period of 1943.

Palmer

endorsed

Department
clined

considerably
larger' than in the
corresponding

Illinois members of
the Amer¬

caucus

Distribution

y

at

were

unexpectedly

ceipts

seasonal

rise, 'reflecting the open¬
building must be com¬
ing on April 10 of the season for
pleted and ready for
occupancy lake shipments.
" by Sept. 1, 1944, in view
of thd
"The

a

about

year ago.

duction of iron

reserves

March and April

sup¬
in¬

large volume in April.

Production
and

was

by

Sharp declines

excess

Banks.

Mineral t production

-

in

with

creased.

tained

needs have been met
in excess reserves.-

con¬

*

seasonally and

plies, ^available

through May 6

will be erected has
been
from
the

railroad

were

Forces

"The project
provides space for
expansion, when
required, of both
the Post Office
and
ties

products

Christmas

Armed

•

mit

at

an
exception¬
probablyin¬
ally high lever in April, and ef¬
"during fective
May 3 most meat
the

persons

when

for

leased

may be persuaded to the
belief that the
great concept of an
association of free
peoples is im¬

will

-10,000

period

Overseas

run¬

•likewise,

leads

to

parcels

none

that it may be
postponed too long
—the greater the
likelihood that
people of this country, and the
peoples of the other major
powers

War."

number

the

the

delayed
danger

also

,

mail

crease

of

"The longer the creation of
the
first political nucleus of
the inter¬
national organization is

its

;:

increased bj
$3,000,000,000. Time depos¬

•

participation in

accord

reporting banks

about

v

The Congress must be

substantial

ly

in

deposits of in¬
dividuals and businesses at week¬

for most of the de¬ clined by more than
$6,500,000,000
industrial production. Holdings of U. S. Government se¬
curities by these banks declined
steel production
de-;
further in April to "a level by about $2,000,000,000 and loans

below

year.,

Street, un¬
direction of the
Corps of
Engineers, U. S. Army, of which

that

it, the executive and
legislative
branches of our Government
must

policy of the Executive. But
of us can
forget that time is
ning out.

secono

through the middle

demand

handling operations mately 15% below the peak level to meet a continued increase in
of April, 1942. As a
will be
measure to in¬
conducted, as they are at
currency and the growth in re¬
crease
present, over the 24-hour
production, a 48-hour work quired reserves which- resulted
period
week was ordered in the
daily, with approximately >
cotton from shifts of.deposits
4,000
from
persons
employed for the normal -textile industry, effective May 14. Treasury war-loan
accounts
to
mail
The number of animals
handling ( operations, ■; and
slaugh¬ other accounts. Some of these

kind

and

5%

the site of the former Madi¬

on

W. Garbisch,
York District
Engineer."; " ■

organization

created

Fourtf

the

May,

•

work will be under the
of Colonel E.

system,
the

the

in

in ;

creased-

ac¬

Colonel A. H. Burton is the
Divi¬
sion Engineer.
The construction

agree that

constitutional

of

Drive

of Feb.

Electric

der the

of any prac¬
its. establish¬

toward

Loan

week

Credit

end

in

242

,

War

the

account

•

crease

and Northern
Boulevard, Gosman
Avenue and Madden

:

increas¬

ingly disquieted and has been
pressing more and more openly
T

the

with

From

of

Square Garden Bowl in Sun- ment industries ' declined
some¬
nyside, Long Island City, on a what, in April Production
under
plot bounded by Jackson Avenue the farm
machinery program" con¬

indefinite

an

to

be

son

international or¬
show every'.disposi¬

steps

under

systems of States, each system
primarily
responsible
for
the
Maintenance of peace in its own

•neighborhood, but all functioning

ed

possesses

peace.

tion to postpone for

be the most practicable
most desirable is an or¬
upon

it

1

.

eventual

an

ganization,

to

ganization founded

unless

will

compared

as

Bank

j;. "]S

A further curtailment of
alumi¬
pable of accommodating 800
per¬ num
production 'Was announced
at one time.
•- J;
in May.
„Activity at plants pro¬
"The building will be construct¬

"There are, of course, also those
who, while professing unswerv¬
ing allegiance to the great ideal

Welles

following to say:

believes,

and

accom¬

personnel

sons

I

do

•' V;

;

ferrous metals
declined, reflect¬ decline was the ' 'liquidation Of
New. York Port of Embarkation
ing partly planned curtailments credits extended during the war
Army Post Office for storage and
and-.partly the effects of labor loan drive. Loans to brokers and
mail transportation work.
It is
shortages in mines and smelters. dealers are now less than they
planned to include a cafeteria ca-

"The

given in the

"Times"

Nor

-

Small declines in output of met¬
als and metal products
continued

and 100,000. square;.feet
be made available for the

will

an

quired to maintain

"v..";.;;

'

taken.

for

Office for its mail distribution

equitable and effective means for
the pacific adjudication of all con¬
troversies as well as the force re¬

stable

more

be

:

Industrial Production

•

March and 245 in Feb.

Urgent¬

tivities

participating nations of enlight¬
prinicples of international

will

of

must

1

April,

aside

400,000 square feet will
assigned to the New York Post

be

part¬

ened

im¬

accompany
-it, how can wO expect to see ac¬
complished those fundamental re¬
forms without which there will
be

a

T *

average

provided.

Com¬

organization cah
survive
unless
it
is
predicated
upon the acceptance by all of the

supported
by the strength of public opinion.
"If we follow the path of a
pure
four-power military alliance and
upon

Such

and

ly needed workrooms and

Nations, the Soviet

China.

believe such

prosper unless it is

embark

and

British

height

in

modations

the

it may be,
and its
inalienable
right to participate, directly qr in¬
directly, in the political decisions

international organization

no

the

of

Post

be of wood construction."

powers
—

Army

Port

from the concrete block walls will

a

partnership

major

York

of floor space will be

square feet

one-story

organization which does not in
fact recognize the full
sovereignty
of every independent nation of
the world, no matter how small

the exercise in their name, by an

is

four

New

Office,'
The Board's
which will occupy adjoining
seasonally adjusted
space; index of
in the same building,
output in manufacturing
f| and ...mining industries was at
"The new building with 500,000
240%-of the 1935-39

;

nership will be peculiarly essen¬
tial during ; the transition
period
after the war.
But it is equally
impossible to envisage a world

A real peace can only spring from
the consent of all free peoples to

law

the

States,

Union

of power.

for

continuing

monwealth of

and

precarious
;
:
i
"The employment of power and
force by themselves
can
never
•make

and

the

to

Embarkation

;

>

building and then deliv¬ vember, 1943.""

ered

remarks,

among the United Nations

fluence and for selfish advantage.
At best they have given rise only
balance

his

upon

during

partners
have jockeyed for individual in¬

to

of

course

Post

the new

"No world organization can suc¬
cessfully be established unless it
is built from the outset

The result of such alliances

invariably

the

Mr. Welles also said:

'between great nations which has
'endured for more than a short

a

the

the

■

about its actual
construction, and
npt merely to talk about it."

to say:

between

and

..

armaments

Times

on

agreement

Department

^
..
summary of general business and financial con'
Office Department, a new build-1 ditions in the United
States, based upon statistics for April and thi
ing will be erected to provide for' first half of May also reported.
•
v
j
the
increased
activities
The Board of Governors of the
of
the
Federal Reserve System an
Postal
Concentration
Center
at' nouncedon May 23 that "industrial
production and employment
g;
New York, N. Y.
The advices' factories-and mines declined somewhat further in
April, reflecting
state:
principally reduction in output of«*
y."
^
j. metal
industries. The number of and
increased excise taxes effee
"Parcels, newspapers and other
industrial wage-earners was about
tive April 1
prints,
for 'k the
Armed
Forces
■•
V
6% -.or 800,000 less than in No¬
M
Overseas will be distributed at

building and of territorial aggrandizement
as the
only method by which they<^
can then achieve
physical secur¬ that the time to achieve interna¬
ity," was contained in an address tional
organization
is
before,
on
"The Shaping of the Future" rather than
after, the end of the
by Mr. Welles on May 18 at the War. They are convinced that
the
final meeting of a series arranged
way in which to obtain an interr
by the New York "Times," held national organization is. to
set

'

-

War

Industrial Activity Again Drops In
April
:
'
Federal Reserve Board
Report:
The Board in its

an¬

that in accordance with

nounces

A warning by former Under
Secretary of State Sumner Welles
that "if the people of the United States
pin their faith to a fourpower military alliance as the sole cure for the ills from
which the
world is today suffering,
they will find themselves compelled to
adopt as their national policy, after a few uneasy years a course of

unremitting

Building

Postmaster Albert Goldman

Thursday, June 1, 194

students

done

at

to

witness

the

behind-the-scenes
iepartirtetits"of stores, the adver-

THE

COMMERCIAL & FINANCIAL

Number 4286

j/olurne 159

llfice-President Wallace Leaves On
^
Mission To China Roosevelt Announces
It

was

by President Roosevelt on
had left that day for his trip to

made known

Vice-President Wallace

May 20. that
China, under-

Mr. Wallace is

expected to

middle of July. He is accompanied by
Vincent, Chief of the Division of Chinese Affairs, State

John Carter
Department;

aken

of the President.

at the request

T.eturn about the

2287

CHRONICLE

Eccles Price Control Views Held To

End Of Roosevelt Administration

/

;

Broderick Named To

Hint

making the statement that study of details of the transcript
of testimony of Marriner S. Eccles, Chairman of the Board of Gov¬
ernors
of the Federal Reserve System, in favor of acting now to
In

extend

price

control legislation for two y&ars

after the war, led

Republican leaders on May 15 to detect a hint that, in the back of this
veteran New Dealer's mind, at least, there was a doubt that the
Owen Lattimore of the Overseas Branch, Office of War Information Roosevelt Administration
would-«>*:
—
——or
what the next administration
nd John Hazard, of the Divisions
be continued in office in the No¬
working and fighting peoples of
is going to do or whether the in¬
-for Soviet Supply, Foreign Eco-'
vember elections, according to ad¬
Asia something of the confidence
nomic Administration.
Mr Wal¬
vices to the New York "Herald flationary force will be such that
and pride which
the American
lace disclosed that he plans to
Tribune" from its Washington bu¬ it will not be met.
people and their President feel in
i
Mr. Eccles made the statement
visit
Siberia,
stopping at the
their magnificent effort, I know reau, which also had the following
last Wednesday (May 10) during
Soviet
cities
of 1 Novo-Sibirsk,
to" say:
'//•;'/
'/•/
the journey is well undertaken. "//
his appearance before the House
Tashkent, Krasnoyark, Stalinsk,
;• That part of Mr. Eccles's testi¬
The truth which China has been
Banking and Currency Commit¬
Semipalatinsk and Alma Ata.
mony which aroused speculation
writing on the pages of history
tee which is studying extension
Reference to the proposed visit
for 40 centuries is simply that read, "If it (Office of Price Ad¬
of Vice-President Wallace to
ministration legislation) is only Of the present controls.
hundreds of millions of peaceful
Chester Bowles, Price Admin¬
China appeared in our issue of
extended for a year, as I see it,
people have never permanently
testifying : today before
April 20, page 1629. '-"'A//v////.'
there is certainly a great element istrator,
been conquered by war aggres¬
committee, • also
spoke - in
The
statement
by
President
of uncertainty on the part of any the
sion.
So. shall it always be. The
Roosevelt issued on May 20 an¬
favor of extending the OPA leg¬
will for peace and to survive on thinking people—people who are
nouncing the., departure of Mr.
the land has been bred into the making investments or commit¬ islation, but he made it clear that
Wallace follows:
^
'
Chinese'-soul.
China has never ments. There is a feeling of un¬ he did not favor its continuing for
I have asked the Vice-President
sought
to
conquer
the world. certainty — certainly as to what
of the' United States to serve as
the'next-Congress is going to do very long in the post-war period.
China only : has sought and suc¬
a messeriger for me in China.
He
cessfully accomplished her aim of
js taking with him Mr. John Car¬ work and peace and survival."
ter Vincent, chief of the Division
;A new day opens for this great
of Chinese Affairs, State Depart¬
people. The closed door has gone
ment; Mr. Owen Lattimore, Dep¬
forever.
The day of the aggres¬
uty
Director
of the Overseas
-.

House Passes Gi Bill

I. Y. &

Council, Governing Board of the
it was announced on

Institution,

sor
seeking through murder and
Branch, Office of War Informa¬
robbery to break down the Chi¬
tion, and Mr. John Hazard, Chief
nese life also is gone forever. The
Liaison Officer, Division for So¬
future of China belongs to the
viet
Supply, Foreign Economic
world and the world in justice

Administration.

■

v

V *:*/''

■

and peace shall belong to China.
Eastern Asia will play a very
Neither the swamps of Burma
important part in the future his¬
nor the Himalaya Mountains nor
tory of the world.
Forces are
Japanese'/warships shall stop
being unleashed there which are
America from bringing all possi¬
i

:

•

Jof the utmost importance to our
future peace and prosperity. The
Vice-President,
because
of his

position as well as his
in economics and agri¬
culture, is unusually well fitted to
bring both to me and to the peo¬
ple of the United States a most
Valuable first-hand report.
present

training

'

; For
."more

time

the

being

nothing

can be said
of certain as'pectsof the Vice-President's trip.
Suffice it to say that he will be
visiting a dozen places which I
"have long wanted to see. He left
today and will report to me upon
his
return,
which is expected
about the middle of July.

time the following
Vice-Presiddht Wal¬

/ "At the same
statement by

made public: ;V/
/
The President has asked me to
visit Asia. The President is a sym¬
bol of hope for hundreds of mil¬
lions of people throughout " the
world and I am proud to serve as

lace was

annual

Medallion
New York

of

Estimates

22 Wash¬

ington Square North, where Mr.
Broderick, President of the Me¬

Alumni Association,

dallion

The election is to a

sided.
year

pre¬

four-

instituted

term under a plan

alumni

foster broader
participation in the direc¬

tion of

the University.

several years ago to

Passed By Senate

prominent alumni selected
to receive the 1944 Alumni Meri¬
torious Service Awards were hon¬
ored at the dinner for "distin¬
Five

guished service to the University.'*
They were: Myron J. Greene, '26,
attorney; Dr. Laura Brooks Har¬
ney,

'28. '31, '39, Principal of the
School, Mt. Vernon;

Pennington

George H. Hauser, '17, Vice-Presi¬
dent of Liberty Aircraft Products

A.

Benjamin

Corp.;

Alumni Secretary; and

"Times" said:

,

the

at

University Faculty Club,

The House passed on May 18, by a vote of 387 to 0 the measure
generally, known as the "GI Bill of Rights" providing for "Federal
Government aid for the readpustment in Civilian Life of Returning
World War No. 2 Veterans."
The bill was passed by the Senate on
March 24 by a vote of 50 to 0, with 46 not voting.
At that time

that

made his announce¬

Alumni Dinner at the

1;;

of the program.

great anticipation

Chase.

Dr.- Chase
ment

(March 24)/advices from Washington to the New York
Announced positions of absent^
labor controversies. The ban, he
ble and prompt aid to this great members indicated that a full vote
told the House, was "anti-labor ir.
and enduring people. Our Presi¬ would have been 96 to 0. In effect,
dent's message to China is just the bill had been passed before it Scope and concept."
that.
//// /?/■:,:./ • ///''/ :.//;/ reached the Senate floor, as it j The New Yorker's proposal to
eliminate the language was re¬
The great Chinese. leader Kai- bore the signatures of 81, with
shek has heard from the Presi¬ others
complaining
today that jected by a standing vote of 122
to 28.
dent directly. M!y visit is merely they had not received an oppor¬
/ Smith's amendment would have
one of emphasis so that the hun¬
tunity to be active sponsors.
made it illegal for anyone to "de¬
dreds of millions of Chinese peo¬
;
Formal Senate approval came
mand or receive any money or
ple may know that the American after the measure endorsed by the
other thing of value from any vet¬
will to aid China is permanent American Legion and the Veter¬
and continuous
until victory is ans of Foreign Wars and by many eran as a condition of unemploy¬
achieved. ;//
: '///y;'/.,/;
//'<
labor organizations, had been un¬ ment, or require his membership
i But the Chinese have also the der
consideration / less than an br non-membership, in any or¬
ganization,, as a condition of em¬
/:?
"-;'//•
//T?
right to know that the American hour,'
/://;
Most of
the questions put to ployment." <>'■/:/v;^:/y
people conceive • it' a duty and a
/ It was rejected by a standing
privlege to work and plan with Senator Bennett C. Clark, Demo¬
Vote of 112 to 19 after Rep. Mar¬
the Chinese nation for that per¬ crat, of Missouri, who introduced
cantonio and others assailed it ae
manent peace and prosperity of and handled the bill, were for the
"the open shop amendment" and
our Pacific Allies which will also
purpose of
clarifying its many
a
move
toward "exploitation oi
make permanent our own peace provisions and of voicing approval
veterans."
/// '/:./ /•/..//////;//
and prosperity.
It is with

Harry

Chancellor

by

Woodburn

Of Rights Ir Behalf Of

Bill Differs From That

;

25

May

Veterans 6f Present

,

Governing Bd.

Joseph A. Broderick, President
of the East River Savings Bank,
has been elected an alumni mem¬
ber of the New York University

Ross, '25,
Dr. Jacob

Shapiro, '13, dentist.
Mr.

Broderick

New York

was

of Banks
when he re¬

Superintendent

State

1929

from

to

1934

signed to become
Board

a

member of the
of the Fed-

of Governors

eraLReserve System. He has been
President and Trustee of the

East

since 1937.
of the New York Uni¬
versity School of Commerce, Ac¬
counts and Finance in/1906, Mr.
Broderick
received ,the Alumni
Meritorious
Service
Award
in

River

Savings

Bank

A graduate

1936.

/A-

Broderick is a member of
the Council of Administration of
.

Mr.

the New York State Bankers

As¬

sociation; represents his State on
the Nominating Committee
American
and is

a

Bankers

Governor of

Club of America.

the Bankers

He is

a

member

of the Advisory Committee
New York

of the

Association,

of the

Chapter of the Amer¬

ican Institute of

Banking. He is an

,

the

cost

of

the

;

From

the

Associated Press we

honorary member of the

National

of
Supervisors
of
approach the Siberian experi¬ measure have run from $3,000,-> also quote:,.//,/..///■'/"////.//■\/"'• Association
ence- This country embraces oneAs passed by the House, the, bill
000,000 to $3,500,000,000, but they
State Banks
and the American
eighth of all the land of , the are concededly vague pending the provides these benefits for 'veter¬ Institute of Banking.
Cne of his messengers. There will
world. Under the Tsars it miser¬ time it is known how many vet¬ ans:/' ' *//
'/•//://■//;/:'/ v v /;////'' //
be no press or other public repre¬
ably supported less people than erans/men and women, will re¬ : Twenty-six weeks of unemploy¬
sentatives with me. The object of
the State of Pennsylvania—a one- ceive the benefits.
::///••//'-' ment compensation at $20 weekly Living Costs Up In
the
trip is to let our Asiatic
hundredth of its size.
The
bill
had been approved
(the senate provided for 52 week? Industrial Cities
friends know the spirit of the
A scant 25 years have passed. unanimously on March 17 by the
at rates ranging from $15 to $25
American people and the beliefs
Over 40,000,000 busy people have Senate Finance Committee.
Conference Board Reports
weekly.)
and hopes of their Commandertaken the place of the 7,000,000—
The House passed the bill on
The
cost of
living for wage
in-Chief. -'vV.'///
The right to attend schools oi
mostly convicts — who miserably
May 18 after rejecting an amend¬ their own choice for a maximum earners and lower-salaried cler¬
Asia is just as important to the
existed there under Imperial Rus¬
ment which would have prohib¬ of four
United States as is Europe. ; We
years at government ex¬
ical workers in April rose in 57
sia./So the detractors of Russia ited unions from requiring that
are fighting a determined enemy
pense provided tuition and other
must pause before the fact of the
veterans hold a /union
card to fees do not exceed $500 annually; of 63 industrial cities surveyed by
in the north, " south and middle
Soviet Asia of today.- /■='V'///";
work in a "closed shop." This was
Pacific. We fight because of Pearl
qualified veterans without de¬ the National Industrial Conference
Soviet Asia in American terms
indicated in Associated Press ac¬
Harbor. We fight to preserve our
pendents would receive $50 Board. Living costs Were lower
may be
called the wild east of counts from Washington on May
freedom, and for the democracies
monthly for subsistance while in
in 4 of the cities, and remained
Russia.
America after the Civil 18 which further said:
.
/
of Australia,
New Zealand and
school,, with $75 for those with de¬
War
developed her wild West,
Canada. We fight so that perma¬
Before
sending
the
measure pendents; however, veterans who unchanged in 2 of them, said the
pushing triumphantly to the Pa¬
nent peace and its blessings may
back to the Senate for action on. were over 24 at the time of en¬ Board on May 22; it added:
cific—creating what Los Angeles,
become safe for the half of hu¬
trance into service would be re¬
a score of amendments, the House
The largest gain, 1.9%, occurred
San Francisco, Portland, Seattle
manity which has its being on the
and Denver mean now.
The So¬ raised from $1,500 to $2,500 the quired to show that war service in Cincinnati. In 9 other cities the
shores
of the world's greatest
maximum of government-guaran¬ had interfered with their school¬
viet Asia cities of Novo-Sibirsk,
Increase was 1.0%.
The largest
ocean.
teed loans to veterans, refused to ing or that they were in need of
Tashkent,
Krasnoyark, Stalinsk,
The veteran decline, 0.5%, occurred in Denver.
increase the period of unemploy¬ a refresher course.
/' * The two great lands of China
Semipalatinsk and Alma Ata are
ment compensation coverage from would be allowed to attend a cpl- For the United States as a whole,
and Russia are glorious in the
equally well known in Moscow
26 " to
52
weeks, and
rejected lege, trade school or vocational the cost of living was up 0.7%.
present. Siberia is the great ar¬ and Leningrad as American West
senal without which the Russian Coast cities are known in Wash¬ amendments to reduce loan in¬ school of his own choice, provided
Living costs were higher this
terest rates, from 6 to 4% and to it was approved by state educa¬
victories over Germany could not ington and New York.
strike from the bill a ban against tional authorities or the veterans April than in April, 1943, in 28
have occurred. The Chinese will
I shall see these cities. I shall
administration.
to survive and to resist has its feel
cities.; Toledo recorded the larg¬
the
grandeur that comes payment,of unemployment bene¬
The Senate bill contained no re¬ est increase during the 12-month
only counterpart " in the defense when men wisely work with na¬ fits to /. veterans who" engage in
V" - / quirement that the veteran show
of Stalingrad, Moscow and Lenin¬ ture. Upon my return I hope to strikes. //-/^ ~ ■ period with an advance of 2.2%,
grad.: If I may carry to these contribute something to Ameri¬ / The labor• issue was injected that his education was interfered
Thirty-five cities showed declines.
into the debate shortly before pas¬ with by his war service.
; ,
/•
can understanding of today's Asia
The cost of living for the United
The loan provisions of the two
tising production department of a as ;well as ..detailed-.information sage by; amendments offered by
Reps.
Marcantonio
(Am.-Lab., measures differ sharply. The Sen¬ States as a whole stands 0.1%
for the President.
*
V
large newspaper, etc.
''/. • / /■
N, Y.) and Smith (D., Va.).
r
: i- John E. Raasch, Vice-President
ate-authorized the veterans ad¬ higher than a year ago, and 21.0%
I

,

.

,

•

of John

Wanamaker and a mem¬
council of New York
also
spoke at the

of the
University,

ber

graduation, exercises which
presided over by Samuel W.
burn,

were

Rey-

Chairman of the Board of
of the School,of Retail¬

Trustees

ing and former

Chairmaq of . the

of/j^gAssoci¬

Board of

Directors

ated Dry

Goods Corp.




Pugsley To Join
law

partner

Spellman

F. Spellman,

/ Benjamin

former

of the late • United
Charles A. Towne,
that as of , June 1

States Senator

announced

Chester D. Pugsley,
er

V;Marcantonio
the

measure

will

a

to

strike

International general practice of the law, spec¬
ializing in banking and interna¬
become Associated

with him at 115

Broadway in the

ministration to make loans up

to

above January,

1941.

ban against

creed that the

former bank¬

and authority on

affairs,

sought

$1,000, for home purchase or con¬
payment of unemployment bene¬ struction, - for fhe purchase of a
principal up to a
fit
to veterans who
engage in farm or farm equipment, or for
work/stoppages
resulting from business purposes. The House de¬ antee of $2,500.
from

tional law.

usual

lending

veterans

loans be made by
agencies, with the

administration

teeing repayment of

guaran¬

50% of the

Chairman

the veterans

maximum guar¬

Rankin (D., Miss.)

of

committee estimated

total cost of bill

at $6,510,000,000.

izm

THE COMMERCIAL &
FINANCIAL CHRONICLE

Appraisal Of Congressional Transportation Policies
(Continued from first page)

of

the

Interstate

Commerce

Federal Regulation After 1920
Designed to Foster Transportation

Act

and revision of the
of railroad

carriers

and

under the

contract

as

Thursday, June 1, 1944

Three Problems
Confronting
Transportation in Post-War Period

developing

carriers,

jurisdiction of the In-

tor

Governor Smith presented his

tually all of our domestic inter¬
city transportation, urgently felt

a
separate memorandum
in which he
generally agreed with
his associates but
expressed the
View that the effect of
air, water,

the need of relief from

followed

was

series of

regulation. It has often
been pointed out that in the be¬

ginning federal regulation was set
up
to cope with abuses which
were
the product of
competition

sponsored

in

an

tors

long

a

by public authority

effort to ascertain the fac¬

which

the

by

interfering with

were

healthy condition of the

agen¬

cies of transportation, and to
pro¬
vide remedies. From 1933 to 1940
we had the several
investigations
and

reports

of

ordinator of

the

Federal

a

pared
tion
the

wide range of subjects.
was the study
pre¬

traffic of

the Brookings Institu¬
"Government Activities in

Field

printed

as

of

the

Transportation", is, to

Senator Byrd.s In
^mittees appointed
dent

of

the

tigated
and

by

mittee

of

Three,
Splawn

Chairman

inves¬

costs

Eastman

consisting
and

and

Mahaffie of

Committee

of

Six,

consisting

of

three railroad presidents and
three heads of railroad labor or¬

ganizations.

In

1940 the Board of

long upward trend of

was

compelled

increasing unit
the

to

costs.

railroads

cope

These

succeeded

in

transportation
some prelim¬
inary reports.
Its appropriation
has' been
practically exhausted
and its life will
expire in Septem¬
ber of this year.
tional Resources

In

1942 the Na¬

Planning Board

this

Act,

added to

was

tion

of the

tween the

Commission.

particular

form

one

regulates,

Likewise, to sub¬

sidize

quiring others to bear their full

powers

air

over

centralized

commerce

them

in

a

the

agency,

costs

new

tional

Aeronautics

own

more

drastic increases in

of labor

and

Board.
Civil

and

materials,
together with the public demand,
following the war, for a termina¬

the

Civil

Civil

Until

the

past

Aeronautics

largely
tional

tion of federal control of
rail¬
roads and their return to
private

of

year

Board

concerned

with

flying and with

a

and facilities

and

consolida¬

tions of railroads.?

-Failure to solve the problems of

transportation has

not been due to

insufficiency of effort,
investigations
cerned,

or

proposed

to

far

so

as

and reports are con¬
lack of variety of

a

remedies.

Running

through

them all
is
the
basic
proposition that physically and fi¬

nancially

that it

so

of

now

Supreme Court said was de¬
signed to foster and protect the

This

appli¬

railroad

wilder

industry in the public in¬

terest. This concept has since
been
repeated in various forms in
leg¬
islation affecting other
agencies of
transportation. The 1920 Act it¬
self had declared- it "to
be the

the

even

themselves.
concern

of

task

must

Board

Some

of

to me that it would
public interest to per¬

be

relied

.

to

.

between

foster

and

the

the

a

further the national
policies as
stated at the outset of
this paper.
The

Emergency

Railroad

Trans¬

portation Act of 1933, in addition
setting up the Office of Fed¬

to

eral

Coordinator

tion

for

of

of

Transporta¬

the

study of all phases
interstate transportation within

the continental United

designed

States,

immediately

railroad

costs

to

was

reduce

through the

coor-r

transportation dination of facilities.^,
It
was
providing each of the motivated by a desire
to
help
transport are es¬ railroad finances in
the
severest

tigations

were

lation, such
gress

time.

followed by legis¬
the

as

which

depression experienced

Acts

of

This

riod of

Con¬

and

coincided

in

pe¬

among workers. The

by these
subjected motor

carriers,

mission.

In other

tively little of
has

thus

Commerce Com¬

far

a

labor.

instances, rela¬
practical nature

resulted.

lative restriction

investigations were the
product of the financial disaster
which affected the railroad
indus¬

the
of

trends

growth

and

part by
of competitive forms

were

of

which

emphasized by the great de-

market crash of

October, 1929.

of

suance

were

was

a

result,

a

in

part

series

the

Act

of

important

Coordinator, which
the

basis

(enactment of the Motor

°f
,v°n

these

Footnotes appear at end
of articlemotor




As

reports by the
i

pression ushered in by the stock
.—

legis¬

for

the

Carrier

Transporta-

f

0

,

^

brought the

e first of

regulation

carriers, both

as

of

common

during

mind.

The

series

of

out

logic, it is difficult to

a

ity

case

for

tion

for

a

.

;

to

If

it

members, who

make

to

be

the

granted

continue

national

a

have

been

jurisdiction

however,

we

Control

trans¬

brought
of

the

within the
federal

same

body,

would be

divisions

or

assigned
sections

jurisdictions. Ulti¬
responsibility for regulation,

other

that

different

with separate
mate

transporta¬

from

separate

forms;
are

air

to determine
perplex¬
national trans¬

;
The proposal for
reorganization
of the Commission
was that it be
enlarged from eleven to fifteen

regulating author¬

domestic

they have been in the
past

helping

would

Board

be ,vested

in

a

consisting of five

members, being the v-ehairman of
the Commission and
the chairmen
of

each

of four
designated divi¬
As
originally
proposed,
these would have
been a railroad

sions.

division,
division,
and

a

water

and

pipe

a motor and air

line

division,

finance division. .The Con¬
Board would.
determine all

a

trol

matters of general

regqlatory pol¬
icy which should be
binding upon

the divisions.

With

•

the

ment of

successive; enlarge¬

the Commission from
its

original

membership of five to
seven, then to nine and
finally to
eleven
members, there has been a
marked
tendency to prolong de¬

liberations and invite
diversity of

opinions in decisions.

the Interstate Commerce
Commission. It is hard to believe

a

ulation.

that

responsibility

reg¬

The

national

transporta¬

tion

there

teristics

of

niake it

ulation of all

themselves

reg¬

tation.

riers,

In the

modes of
of

case

transpor¬

water

regulation have been made
a

substantial

moving
even

car¬

however, exemptions from

when
and

riers.

Time

whether

as

to

part of the traffic
inland
waterways,

on

transported i by
contract
alone

these

com¬

transport

ent

in the

or

is

of

any

the

other

v

significant

war-time

that

control

the

pres¬

recognizes

difference between the several

no

in

which

difficult to regulate
case of the railroads

forms of regulated
transportation,!*
although the Commission would
have to adapt and
equip itself to
provide intelligent and efficient
regulation in this new and unfam¬
It

water
car¬
determine
are

air

charac¬

more

iliar field.

can

exemptions

than

technical

are

policy has been declared in
the Transportation Act of 1940
to
embrace fair and
impartial

forms

of

domestic

ter

which followed World War
I. At
that time the railroads
alone were
subject to regulation, while their
competitors were free from all

transit systems, the pipe lines and
the air carriers, and, to some ex¬

and

probably

bitter

transportation, including the

ing

regulation,

cept

as

traffic carried by

to the exemptions of

power, it extends also to in¬
trastate as well as interstate oper¬

ations, and to private
-

to

The
that

ex¬

the water

common-carrier

as

well

as

contract-

or

j carrier service.

a

cer¬

storage facilities. Be¬
derived primarily from the
over

war

competition

tain

wa¬

carriers, the trucks, buses and
automobiles,
the
local

tent,

sharp

gaged in that competition under
pattern of federal

promote

It

is

sometimes urged

popular

i

the

Commision

Interstate
is

Commerce

railroad

minded,
given
a newly

and therefore should not be

regulatory

power

over

and

esteem

and

;;

that the

public

ap¬

proval which the
Commission has

long enjoyed

able

due in consider¬
its careful con¬

are

to

measure

sideration
for

of

problems

decision.

But

presented
sometimes de¬

lays become intolerable. While
on
whole the
Commission has
surprisingly well with the
manifold tasks
imposed upon it,
the

done

dency,

a

pronounced ten¬

especially
of

new

with
the
as¬
responsibilities
T

in recent
years, to slow down the

whole

regulatory
thing of a fairly

process.

Some-,

radical nature
should be done to
alter this

trend,

especially if the Commission is to
regulate all forms of

transport.

Surely, such

a reorganization
is
desirable
than
proposals
which have been made
from time
to time in varied
forms during the
past twenty-five years of
more

another

objection sometimes made

expedition
'

sumption

all

private

for traffic that will
follow World
War II, all these
agencies of trans¬
portation will find themselves en¬

1

jurisdiction

vastly different from the situation

In the

would

efficiency.

there has been

over

Obviously,

centralization of
authority and
in a smaller
body

The Of¬
fice of Defense
Transportation has

transportation.

ulation which will exist
when the
present war is over promises to be

largely failed of any
outstanding
tangible result except for the is¬ regulatory restraint.

in

transportation, both

a

authority of the

Act.

new

try,' precipiated in part by basic
economic

this,

placed upon
any reduction in railroad
employ¬
ment by reason of
action taken
pursuant to the

Primarily

these

To ameliorate

reports,

public
addresses
Eastman made

water
carriers, freight
forwarders and air carriers to

the public interest and
brought motor elimination of waste and
should be
duplica¬
carriers, waterways .and freight tion of
railroad operations meant continued.
Generally,
however,
forwarders under the jurisdiction
the situation as to
also, of course, the elimination of
transport reg¬
of the Interstate

more

when Mr.

ing questions of
portation policy.

socalled

which

much

was

forms, and will be
looked to in the future
even more

smaller

in the last decade

mon
a

widespread unemployment

suffering

have

to that

up

with

rated

statutes

now

it

and

Mr.

profound

than

to protect

upon

.

eign
and
the
sharp contest for additional routes

sponsorship

last ten years of his
life re¬
flect the considered
judgment of

■

for¬

urgent

and

On

be¬

of

the

the older carriers to partici¬
in the development, and to

Transportation
Should Be By Single Federal
Body

i

issues

carriers'in. both
domestic
flying,

decisions
which

pe¬

Regulation of

foreign flying, the place

surface

are

development

a

in

the public interest..

members

the

result

If \ promo¬
to be pro¬

seems

the

should

has

enourmous

end

Finally, public
regulation rather than free com¬
petition between common carriers

relatively

undisposed of
nearly 500 certificate applications.

the

several forms of

sential to the economic
welfare of
the nation.
Some of these inves¬

pro¬

Eastman first made the
proposal.
In this connection
permit me to
observe that the series of

portation service.

cations, miscellaneous matters and
mail
pay
proceedings.
Almost
overnight the Board was flooded
with applications for
certificates,

operation, brought into railroad
regulatory legislation a new con¬

sound

companies

to

in¬

proposal,16 and in part

lack

a

Commission
important than

re¬

.

regional

to

as

principles enunciated will be
operate the new forms found
applicable to many of the
some extent, at
least, as a part great issues
affecting transporta¬
an
integrated or total trans¬ tion in all

to

the

interna¬

small number of extension

subsidies

during

in

the

while

conditions.

riod, it

was

in

cannot

vided
be

carriers

some

healthy

Civil

Aeronautics Authority.13 In 1940
this was divided
by executive or¬

tics

costs

each

tory

1938,
regula¬

mit

ther and

which

the Civil Aeronautics Act of
which broadened federal

portation policy of promoting and
Big Four fostering adequate transportation
furnished by private corporations
vigor both
carriers, and the
transportation." 8 rather sudden emergence into the at rates regulated by public au¬
cussions, particularly those pre¬ In the 1940
Act, this was ex¬ picture of rotative wing craft. All thority, the most orderly way of
pared by economists loaned
by the panded to provide "it is
hereby of this in essence revolves around accomplishing the desired results
Bureau of Agricultural
Econom¬ declared to be the national
would be to entrust
trans¬ the scope and place of the air¬
regulation to
ics, U. S.-Department of Agricul¬ portation:
.policy of the Congress plane in the post-war scheme of a single public body. Separate
ture, were pointed in the direction to
provide" for fair and impartial
transportation, and the relation¬ regulating agencies have been
pf government ownership and
regulation of all modes of trans¬ ship of air
transportation to other discarded in the ? beginning or
operation of all agencies of trans¬
portation subject to the provisions forms.
later abandoned in
respect to all
portation. The recommendations of this
The basic
Act, so administered as to
inequality resulting other competing forms of trans¬
of the Board were more
moderate recognize
and preserve the in¬ from failure to
regulate competi¬ portation: the motor carrier on
and less incisive. It
did, however, herent advantages of each." 9
tive
agencies of transportation, the highway, the water carrier
advocate the creation of a
new
which the railroads criticized so engaged in
inland or coastwise
During the decade which has
authority, the National Transpor¬
just closed there have been three violently in the years following transportation, the pipe line and
tation Agency, to coordinate
all
important Acts of Congress to World War I, has been amelio¬ the freight forwarder. All of these
supervise

severalso

necessary legislation. The
conditions
which
transportation
will face in the
post-war world
make some such
reorganization of
the

regulating bodies them¬

the

enacted

pate

Then fur¬

to

for the

selves to advance the interests of

Congress

Aeronau¬

.

transport forms

the

Preliminary, however,

forms

transportation; otherwise there
inevitably be competition be¬

freight for¬
warders also under the jurisdic¬

Administrator

submitted to the President a
large
volume
containing its report on policy of Congress
'Transportation and National Pol¬ and preserve in
full
icy." Some of the economic dis¬ rail and
water

to

of

transportation

recognize and preserve the
herent advantages of each.

will

bringing

der
into
two
distinct
agencies
within the framework of the De¬
partment of Commerce, being the

Investigation and Research, which
was
created by the
Transporta¬ cept. This was epitomized by the
1940, began a study of Transportation Act,
1920, which

field of
and has since made

later Part IV

years

Meanwhile,

tion Act of
the whole

several

regulation
of

so,
and

offsetting in large measure by
efficiency of operation, including
the
development of new tech¬
niques and devices, until the im¬

the

followed by the

was

partial
modes

tion, and, if

pact of the World War.

of

Commis¬

the Interstate Commerce
Commis¬

sion^ which

in

and

with

difficulties

ex¬

and

administrative

Presi¬

proposed remedies.
the so-called Com¬

was

at the

competitors;

industry

com-

the

transportation

the

the Interstate ComCommission jurisdiction

gave

wage rates
and material prices
which began gome time
about the
turn of the
century, the railroad

States

United

reported

The first

sioners

1938, two

things,

merce

restrain monopoly.

With the

Committee to Investigate the Ex¬
ecutive Agencies of the Govern¬
ment, under the chairmanship of

railroad

one

its

other, to keep the transporta¬
charges at a low level, that

tion

report to the Select

a

of

pense

by

on

manner in which that
body j
carrying out the mandate of I
Congress to provide fair and im-1

transportation be en¬
a single
agency, or, if

to

)

of the

,

Co¬

there

1937

of

trusted

reasonableness

Mo-j

carriersj

(

Transportation which

covered
In

the

transporta-,

water

of transporta¬
viding for future regulation of air
under what con- transport by the Interstate
Com¬
over
domestic common and con¬ dit ions
limitations?
(3) merce Commission, there should
rather than of
monopoly, whereas tract water carriers, similar in Shall competition between trans¬ be re-examined
the proposal for
state
regulation, which had been fundamental aspects to that pre¬ portation agencies be required by the
reorganization of the Com¬
first in the field, had been di¬ viously applied to
railway and law, and the regulating process in mission which Mr.
Eastman made
rected primarily toward the re¬ highway carriers. It
included wa¬ respect to the prescription of min¬ ten
years ago in his
duction of rates.
capacity, as
Both, however, ter carriage both on the inland imum rates be restricted?
Federal Coordinator of
v
'
Trans¬
were intended to restrain
the rail¬ and coastal waterways, and pro¬
I am quite clear in my own portation^
Inadequate consider¬
road managers.
In the one case, vided for the regulation both of mind as to where the public in-,
ation was given ,to this
the restraint was to be
proposal
against the right of entry into the trans¬ terest lies in these three matters. at that time. This
was due in
rate
and
part
service
discrimination portation field and of the maxi¬ A single regulating agency should to the
opposition of the Commis¬
being
utilized
to
augment the mum and minimum rates.
Two have jurisdiction over all forms of sion to the

investigations conducted

or

authority forms

given

was

determine

of

and

is

rates, both maximum and not, what means of integration, if
minimum. The second, the Trans¬ any, shall be
provided?
(2) Shall
portation Act of 1940, among other subsidies be extended to
any of

re¬

strictive

pipe and highway lines had been
exaggerated.*
This

purely

Commission

to

of their

carriers

have been placed under the
juris-:
diction of the
Commission.
No;
serious complaint may be recorded

statutory rule
At the end of the first World j terstate Commerce
Commission.12 tant issues of fundamental
public
rate-making. Former War, the
railroads, which, aside Their right to operate was condi¬ policy. Perhaps there
will
be
President Coolidge died before
from a small amount of water- tioned upon
securing certificates others.
These
the report was
three,
however,
completed, and for¬ borne traffic, were
providing vir¬ of convenience and necessity. The are: (1) Shall. regulation of all
mer
views in

form

tion, is disproved by> events.

Domestic transportation in the
post-war period will present for
early determination three impor¬

transportation

creating

authority,
to be placed either
under the di¬
rection of a
newly created cabinet
position or tinder the
an

authority of
existing* cabinet officer, such

asbthe sec^et^ry of Commerce

or

Volume

THE COMMERCIAL & FINANCIAL CHRONICLE

Number 4286

159

the Secretary of the Interior. Such

carriers

ter

method would make the whole

a

making

was

itself

felt, and especially during the de¬

matter of

transport regulation one pression decade of the thirties,
of
political
consideration.
This the railroads challenged as unfair
would
be
quite different from all public aid to their competitors.
regulation
by
an
independent They asked that the motor car¬
foody which, in the fifty-seven rier be required to pay on a user
yfears of its existence, has estab¬ basis its share of providing and
lished

reputation of integrity, maintaining the roadway on which
impartiality fre¬ it operated, and that the true cost
quently referred to as a standard of water carriage be directly re¬
a

fairness and

for other commissions.

in

flected

the rates

of the water

Quite probably, if the present carrier, if operated as a common
development of air transportation or contract carrier, or in its costs,
had existed when Mr. Eastman if privately operated. They de¬
made his proposal for reorganiza¬ manded a cessation/of' all trans¬
tion of the Commission, he would portation subsidies.
:
\
.

have recommended for it
rate division of three

bers.

or

a

sepa¬

five

mem¬

The

tremendous

which

sums

have been spent by the public in
the
construction
of
highways,

This could be accomplished

quite readily within the original especially by the states, are well
framework of the plan by sub¬ known.
There is now consider¬
stituting such a division for the able talk of further large scale
The work of the latter di¬

vision could then be

placed under
the direct jurisdiction of the Con¬
trol
Board, and administered
through a bureau organization.
Such,.however, are matters of de¬
tail, and not fundamental to the
basic purpose of reorganization.
The work which has been

accom¬

plished by the Civil Aeronautics
Board during the past four years
could be preserved.

method

would

be

One excellent
to

when

the

rates

of

every

form of

transportation, taken as a
whole, reflect all the > costs in¬
curred in performing the service,
They have declared that the divi¬
sion of function among competing
forms is bound to be artificial so

long

the

as

reflect

rates
full

its

of

riers reflect

one

costs

carrier

while

the

competing

rates of other and

car¬

only

a part, with the
up
by public
To remedy this,
they have advocated tolls in the

remainder

made

aids and grants.
of

case

the

waterways,

and the
payment by motor carriers for the
of

cost

highway construction and
maintenance, either on a user
basis or through special taxation.
While

it

be a vain hope
of those
carriers
meeting their full costs
that the public will cease to sub¬
'the

on

may

part

incorporate

which

into the Commission the staff and

tion.

In

other

pension

arrangement.
suitable provi¬

words,

and

lightships,
hydrographic
essentially

various

has

definite

the

is

In

other

not

been

suggested

should

be

made

to

appropriate

extent

of

such

attract

has provided that members of the
Federal Reserve

compete with public capital.1®

Just

under Gresham's Law bad

as

Board, whose re¬
money drives out good, so in com¬
sponsibilities can certainly be no
petition with a subsidized trans¬
greater, shall re'ceive annual sal¬
portation, those common carriers

aries

of

$15,000

and

terms of fourteen

dependence

of

the

for

serve

years.

The in¬

federal

ju¬
diciary has been safeguarded by
*

pensions
ability
years,

upon retirement for dis¬
or at the age of seventy

judges who have served ten

Commission, including provisions
insure

to

its

quality

and

effi¬

existing form, the rail¬
example, would utilize

for

istered

or

air

Common

Provide

to

Carriers

All

Permitted

Forms

of

Trans-

portation

<

The

second

vital

which

was

results

in

done with unfortunate

earlier

an

day

in

and

less

of

the

re¬

der the Act of

service

which

responsive
public.2®
.

'The

the

to

less

are

needs

problems of regulation it¬

ities should
sidized

see

agency

public

bade
in

some

to it that the sub¬

passes

on

of

measure

to the
benefit

borne in part by the

to

railroad

ownership

and
Un¬

1912, Congress for¬
railways to have any interest

water

carriers

operating
through the Panama Canal, or to
ownership of water lines

retain
on

the Great Lakes and in coast¬

wise

if

public.22

"Relative economy and fitness"
different kinds of

carriers

common

furnishing transportation,

for

commerce," were two of the
agencies of transportation and,
under What conditions and objectives which Congress in 1940

so,

limitations.

These

which Congress

are

matters

and not the reg¬

ulating agency should determine,
although regulation must take ac¬

directed

the

Board

of

Investiga¬

tion and Research to determine.23
We
have already observed the
notable

advance

in

equality

of

be regulation in the last decade in
provided. During the decade of respect to all forms of common
the twenties, when, ,thp new.,com¬ carriage and, to some extent, to
performed
petition of motor carjier?! qnd. wa- service
by
contract

count of such subsidies

as

may

carriers.

Footnotes appear

at' end of article.




their

full

of

ceipts.

costs

If

this

out

is

of

own

transportation

be

Under

such

may

by the

Congressional

justified.

thereby. As
rier

reduced

result, common car¬
service virtually
disappeared

from

the

a

Great

Lakes

and

The railroads have

tended that true

equality

can

con¬

exist

for

the

convenience

public, even though such
^

of

the

owner¬

This discussion
third

fact,

the

retaining

compelled

railroads

nothing

lines.

succeeded
on

the

was

stricted

Justice

of abandoning
previous operations.24
The
for
of

whole

its
of

matter

riers

other

possible

from air and

tion

would

reason

meeting to be dis¬
by other speakers.
It is
probably the most vital of all
subjects relating to the future of
transportation.
On
its
solution
cussed

will probably

depend not merely

whether there

are

tion

and

tation

entire

to be coordina¬

integration of transpor¬

services

whether

in

and

the

facilities, but
end

adequate

transportation, at reasonable and
nondiscriminatory rates, can con¬

subsidies

tinue

to be provided
by private
corporations
privately operated
under public regulation. As Mr.
Eastman pointed out in 1940 at the

integration

and unified operation of all forms

Philadelphia

of transportation. What the pub¬
lic really wants in the final anal¬

American

ysis

would not be maintained

of

is

all

"Such

maximum development

a

kinds

of

ligent

transportation, to

the extent economically sound.

sence

It

meeting

of the
Association:

Economic

a

struggle

for

existence

by intel¬
in the ab¬
of compulsion. Left to them¬
human

beings

wants

efficiency, certainty and selves, sooner or later they would
expedition, and its wants to avoid begin to trade and combine. The
exploitation.

This

in

the

alternatives to

end

highly integrated and

means

carrier have
form

is

most

out

appro¬

priate from the standpoint of cost
service to the particular car¬
riage at hand. This principle, in

Canada,

has

although

the

it

is

view

that

after

the

improve, if possible, the policy of:
regulating competition in trans¬
portation to which the
country is
now quite
firmly committed."
I

Pacific must
lines.
would
and

cease

of

case

"extraordinarily good," he

"The

factor to

greatest

this

contributing

excellent perform¬

ance, I am sure,
cumstance that

has been the cir¬
managament

operatioq has been left
hands."

relationship

requiring

earnings, which he character¬

said:

As

Railways,

while

of

ized as

the

role

■

future
of

he

the

declared:

government,

while it will shrink after
the
is over, will

depart¬

be

complete

was

considerably

greater

than

ernment

permitted to par¬
the development or

are

be involved. The
gov¬
will, of course, deal im¬

perfectly with these problems, for
everything human is imperfect,

in

through such coordination and in¬
tegration, they are in for a battle
royal, and one of their first lines

not even deal with
them well.

of defensive attack must be to
op¬

ism of

re¬

for

pose

with all the

command the

ther
their

newer

subsidies

forms

and I

or

competitors.

any

public
If

it is

not

that to

to

public

public ultimately wants, but sim¬

deal

must have

a

tegrated transportation which the

the

No

For what it may be

age.

worth, however,

fur¬

aid

sometimes fear that it will

doubt that is
merely the pessim¬

resources at their

granting of

it

before

ficulty will

Unless the older forms of trans¬

of the

war

continue, I believe," to

the war, and
prob¬
lems of tremendous
scope and dif¬

of the Ca¬

nadian Pacific.

in

and

in private

;<

to

The

as the proposal is sim¬
ply to transfer the latter's air lines

divestiture in the

of the

In

ance

Canadian

government

one

Jan, 24,
speaking of the perform¬
all forms of
transporta¬
tion during the
present war pe¬
riod, including the maintenance
1944.

in

inasmuch

another

discus¬

man, being at the annual
meeting
of the American Economic
Asso¬
ciation in
Washington on

between the. Canadian Pacific and
the Canadian National

to

this

by Mr. East¬

to operate air¬

competitive

conclude

national

tional statements from
last addresses made

This, to be made effective,
require statutory change,

of

of

transportation
policy without quoting two addi¬

would also involve grave is¬

sues

cannot

sion

reported

the

war

these, alter¬

as
likely to produce satisfactory
results, and therefore I see noth¬
ing to do except to continue and

in this any at¬

been

Neither of

of

com¬

natives
[and I am still quoting
from Mr. Eastman]
appeals to me

tempt to strangle air commerce."
also

own

admixture

an

throat-cutting, trading and

taking a' great interest in air
transport Contrary to the Amer¬
ican point of view, few
people in

Such

through

bination.

don Times and Adviser on Civil
Aeronautics to Lord Beaverbrook:
"The British
shipping lines are

see

state of peace in their

a

way

or

Great Britain

therefore,

are,

to compel competition te
maintained in full force and
vigor until only the fttest survive,
or to permit the carriers
to work

be

available and utilize

which

attempt to abate

either

amalgamation of all the forms of
transportation can the common
that

an

the abuses of competition
by pub¬
lic regulation

co¬

ordinated transportation on a na¬
tional basis.
Only through a true

highway transporta¬
that

car¬

program of this

better

belief

and motor

rail

opposed to enforced competition is
among the
topics listed on the

soundly coordinated scheme of in¬

a

attacking the rate bu¬

as

existing carriers

be

The ques¬

violative of the anti-trust
statutes.. Regulated monopoly as

development and preservation
transport facilities is closely

tied into the matter of

in

of the

reaus

the development and operation of
the newer form of transport at the

price

abolished?"

or

tion relates directly to the recent
activities of the Department of

preservation

The public lost the benefit
of low cost transportation.
The

earlier

ticipate

stored.

total exclusion of

stated

was

paper:

to

Great

never

which

this

In

Lakes except car
ferries, and com¬
mon
carrier service such as had

previously existed

to the

us

between

Aviation to the War Pro¬

on

Lackawanna

lake

brings

problem of post-war signi¬

ficance
in

duction

portation

were

Bo

viser

Rutland, Erie, Grand Trunk and
their

Should

Monthly for November, 1943, Mr.
Grover Loening, Technical Ad¬

ment

of

Policy

"Shall competition
transportation agencies
be required by law, and the pre¬
scription of minimum rates be re¬

ship might reduce competition on
the water route.
Congress did not
comply,
and
the
Pennsylvania,
Lehigh Valley, New York Central,

dispose

basis

Competition

concept, the rail¬
road, for example, could only util¬
ize air transport by
totally aban¬
doning all its railroad operations
and thereafter becoming an airline. In fact, in the Atlantic
a

Supply, who has jurisdiction over
civil
aviation,2® has announced

not

a user

Based Upon Public Regulation
Rather Than Compulsory

type of

Commerce Commission found that
was

on

which it receives

revenue

prin¬

that the Minister of Munitions and

competition

should be required to 1

its full costs

from its ratepayers.

re¬

ciple, then the restriction of the
older forms to their

Each

cover

meeting
rate

sound

a

tors.

the

traffic, unless the Interstate

lines

public

the

are

no

operation of water carriers.

of the

consideration

carriers, which

could

There is

total

spect

facilities

provide

policy applicable to and "the methods by which each
post-war transportation is the type of carrier can and should be
matter of subsidies—whether sub¬ developed to provide a national
sidies shall be extended to any of transportation
system
adequate

of

older

safeguard ^agaiftsf out? the newer form. As was re¬
necessity to use cently stated by Mr. Peter Maseprohibition as the remedy, field, Aviation Editor of the Lon¬

this.

was
ciency, the regulation of all forms through rate reduction. On the greatly diminished on coastwise
other hand, the regulators are not'
of transportation on
a
national
traffic. So severe was the decline
infrequently called upon to decide
basis
would
be
made
entirely
that the
Commission, in 1917, rec¬
practicable.
The
public
would how far the self-supporting car¬ ommended that the Act be modi¬
rier should be permitted to cut its
reap the benefits.
fied so as to
permit continuance
own rates to meet the
competition
of railroad
ownership of water
Subsidies
Should
Be
Restricted of the
agency
whose costs are

and

stimulate

or

service

railroad companies has been wel¬
comed? there so long as they have
not? been given powers to freeze

roads

highway, water

and

to

,

reorganization of the

rates

of

only for the purpose of throttling
and ultimately
destroying it. Ade¬
quate regulation wisely ^admin¬

an

which bear their full cost will be

self are made exceedingly com¬
being entitled to their full
plex by public-grants and sub¬
salary for the remainder of their
sidies.21
On the one hand, it is
lives, and those with a lesser ser¬
demanded that regulatory author¬
vice, to half salaries.
\
a

the

improvements

transport

that

driven

years

With such

beat down

ply the survival of the fittest, then
the same rules and
regulations
should be applied to all
competi¬

fact, seems to be the one which is
being applied in England.
Par¬
ticipation, in the development of
air transport
by steamship and

the fear

to determine

subsidies, or the period for which
they should be provided. Admin¬
men
of
intelligence and sound istrative
agencies generally, how¬
character to this public service as
ever, have recognized the fact that
a
career.
There is nothing novel
private capital cannot in the long
about these proposals.
Congress run
sions

good is to be found in
building up strong competitors, in
part at public expense, so as to

are

words, if motor
and the
services. transportation or coastwise navi¬
gation or air transport is so vital¬
different
effect to convert it into the divi¬ from
the aid extended to airway ly necessary to the nation, then
sion
which
would
regulate air development through the main¬ the railroad companies should not
transport.11?
tenance of beacons, teletype cir¬ be prevented from assisting in the
.; In
reorganizing the Interstate cuits for weather reporting and process of promotion by utilizing
Commerce Commission and en¬ traffic
control, radio range and these new forms as a part of the
larging its powers so as to make communication
stations
and total service which they offer to
it the transportation commission,
lighted intermediate landing the public. They should be per¬
every effort should be made
to fields,
together
with extensive mitted to participate in changing
keep politics from influencing its federal aid in airport develop¬ styles and methods of transporta¬
decisions, and to continue to at¬ ment. Subsidies through added tion—in a word, to become trans¬
tract to membership men of out¬
compensation
for
transporting port companies rather than mere¬
standing
competence,
indepen- mail differ only in degree and ly carriers by railroad, highway,
dence
and
intelligence.
They form.1^
pipe line or airway. Not only is
should be as well qualified as are
this desirable as a matter of
'
jus¬
Public interest in enlarged
the executives of the industries
tice to the existing
agencies them¬
transportation facilities
of
all
which are to be regulated.
A re¬ kinds is
advanced as justification selves, but even more important
is the fact that by
quirement should be placed upon
utilizing the
for the use of public funds to en¬
the President to nominate only
newer
modes and methods, the
courage new forms during their
such men as would conform
older carriers (which cannot be
to
development period or to preserve
designated specifications, they
dispensed with) are strengthened
existing forms against threatened
.should be chosen for twelve-year
and preserved for the
public ser¬
discontinuance, especially - where
vice. 1
terms, and they should be paid
they are deemed essential for
salaries of at least $15,000 and
There could be only two rea¬
peace-time economy or for na¬
preferably $20,000 each.> Their in¬ tional
defense. No measuring stick sons for denying such an oppor¬
dependence should be assured by
tunity. The one would be
houses

organization of that Board and in This

a

greatest

Board, recommends ex¬
actly this. Keep out of the air,
says he to the railroads, the mo¬
construction at public expense in sidize new forms of transporta-i tor carriers, and the steamships,
tion in their development periods, unless you are
the post-war period to provide
ready to transfer
employment for returning service or to preserve them from destruc¬ your entire capital, personnel and
tion, it is at least essential that experience "whole-heartedly into
men.
Large expenditures of fed¬
eral funds have been made over such aid should be confined with¬ the new air field by making your¬
the years for inland waterway in narrow limits. Also, if the pub¬ self (itself) an all-out air com¬
This means simply that
development and in the field of lic interest is deemed to require pany."
coastal, intercoastal and foreign subsidies to develop or preserve, there shall be no integration and
shipping,
through
construction particular forms of transporta¬ no coordination. The law of the
and operating subsidies, the train¬ tion, the full-cost carriers should jungle is to operate aided by
pub¬
ing of personnel, and in other aids be permitted to participate in lic subsidies until finally the older
such development or preservation
to navigation, such as the mainte¬
carrier, unlike the leopard,
nance at public expense of light¬
through coordination and integra¬ changes its spots and engages in

originally proposed division of fi¬
nance.

only

2289

1

a

my

judgment

with them well,

19

we

better informed and

disciplined
officials

(Continued

citizenry

with
on

page

a

and

higher

2290)

In

The Meaning Of
lot to

a

what

learn.

have

we

I

think that

from

learn

to

abroad is in the way

of what not
of what
cultures of

to do and not in the way

Freedom

to

do.

For

them

if

the

Asia have brought
their present pass, we

Europe

and

to

them.
So I am thinking and I would ask
you to think about the moral basis
on
which this country is going

have nothing to learn from

communicated to others, but these

coming only to
who have prepared them¬

visions are things

those

selves to accept them.

is

My own experience in research
such that I would dread the

bright spark of the
who is searching the
find himself in a
thought prison with a keeper—no
day when the
man

young

infinite

matter

might

how well-intentioned and

after the war. We hear
a great deal about post-war plan¬
ning, full production and full em¬
ployment. These questions are all
materialistic. But what about the
individual? Where is he going to

sympathetic that keeper might be.

vanisned en¬

water, but, before finally getting

to operate

Or has he

get off?

tirely?
We

,

are

in an era

T1

of controlled

the

It is said, and for

economy.

J

You all know that the best known

of

ablest

and

turned

authorities
of the

our

making

the

down

cyclotron as useless. My company
is
making
bromine
from sea

it was conclusively
demonstrated, not only once but
three times, that it could not be
done. And lest I seem to be tak¬
under

way,

of this evening I will
grant,
that these controls are ing on airs, I will tell you that
some years ago I maturely decided
needed for the war. * We are be¬
ing told that controls are not in that, although the future of mag¬
nesium was unlimited, it would
the American spirit, but that we
must ease out of them and that always be a specialty metal. But
even
at our present prices it is
chaos would follow their sudden
ending. Some of those who advise by volume among the cheapest of
purposes

slowly have records of
achievement in business and fi¬
nance
and therefore would seem
to

us

go

out of experience.
But by the very nature of our

to speak
.

controls we cannot ease
We can only ease

present
of

out

them.

control and the
society in which the in¬

into

permanent

kind

of

dividual

has a chance to ex¬

never

control

For. one

himself.

press

We

metals.

laboratory is to pro¬
the men must be al¬

duce results,

be

to

freedom

the

lowed

learned that if

have

research

a

bit

a

to control
closely, we would miss the great
idea that is found only by those
with the courage to be crazy.
If > we

crazy.

to free themselves and
their posterity from the oppres¬
sion of the Old World and elevate
the individual to soverign dignity.
purpose

stand

physics

nobly in the modern world of
science. They are ever ready to

out

fulfilling the Will of God.
They
builded with imperishable stone.
The elemental situation has not
changed from their day to ours.
Instead of a country of a few

have

million people, we
of

country

a

hundred and thirty million

one

and not
The' world

people. That means more

opportunity.

less

around

greater than

much

is

us

where their fron¬

theirs because,

tiers were limited by the map, our
frontiers

unmapped, for they
the great

are

far off somewhere in

are

world of physical discovery.

now

has happened to make
change in our concept

Nothing

necessary a

of individualism.

•

'

;^

One

is, I feel, due to two causes.
influence

the

is

our

upon

basic

of
thought generated, by failure and

thinking by European systems

cherish

the other is our neglect to

the

and

foster

the

freedom

great freedom—
of
the
ordinary,

everyday American.
is

It

not

freedom,

its

keep

teaches

us

there

But

for a nation to

easy

and

that many have
never

was

a

to

history
failed.

freedom
Our job

born like the American.;

is

and to guard that
that the way to greater

prepare

freedom

so

how

The control mania—I cannot use

sci¬

nicer word—has struck the

a

Every few years a group
of sincere and good men, as in a
cycle, comes out with the recom¬
mendation that all advancement
should be in the control of a sin¬
ences.

gle group of scientists.

;

The decisions recommended by
would
govern
our future
development. Chemistry and phy¬
sics offer possibly greater oppor¬
tunity for the expression of new
ideas than any of the other sci¬
-

them

brain

scientific

Each

ences.

has

of looking
at things that is entirely its own.
Using this brain power can bring
about greater results than could
possibly be achieved by a wiser
Solomon than has ever yet ap¬
an

approach

or a

way

peared.
you

the masters

of research

and dis¬

covery—if their composite experi¬
ence
were to make all the deci¬
sions?

We

thought

discard

the

as nonsense.

very

An idea, no

matter how weird,
into
a
constructive
thought and / enlarge to a new
approach.
Then a new industry
is aborning.
Experience, ideas,,
may

grow

research—all accumulate and pro¬
duce

a

new

approach

or

a

new

product or a new thought.
Each
borning is cherished by the one
seeing

knowledge of

individualism.

discarding

discarding

the

vision

and

is




often

That

are,

and

all

we

are

means

much loose talk these

about

after-the-war

plan¬

ning. In typical propaganda style,
industry is held up as having the
sole responsibility for faking care
of all employment after the war
is over. I, for one. do not believe
this is possible and think it is just
another scheme to

dodge respon¬
For industry is always a

sibility.

servant and

never

responsibility is
We

must

tion

all

make

and resolve

not

be

a

But
we

we

and mine.

our

contribu¬

that there shall

unemployment

what

The

master,

yours

after

the

shall need to defihe

by "employment"
and by "unemployment." Every¬
mean

be employed.

But every¬
employed at exactly
the kind of job under exactly the
conditions of wages and hours
one

can

one

To Foreign

Trade Group

cannot be

The presentation

was

made to the President of the

P. Thomas, by
Brooke Claxton, K.C., M.P., Par¬
liamentary Assistant to the Prime
Minister of Canada, and Chairman

Council,

of

Eugene

Arbitration

mercial

Commission,

citation, / "for

the

with

distin¬

guished service in advancing the
organization of international com¬
mercial arbitration in the Western

Hemisphere."

The organizations
in this tribute to the
Council were the American Arbi¬
combining

Inter-Amer¬
ican Commercial Arbitration
tration

Association,

Commission and Canadian-Amer¬

Commercial Arbitration

ican

Commission.

ment.

for

but

or

There is

there

work.

she

is

may

want.

"right to work"
responsibility to

no

a

We need to

do

some

hard

thinking about rights and respon¬
sibilities, for there cannot be a
right without a responsibility nor

Mr. Thomas in

all

were

erful

incentive

had

that
war

individual.

neighbor

a

conferred

on

tation

toward

the

con¬

of the
been

in the

great advances
made during the

strengthening of good

relations

and

in

1936).

desirability

lines

Water

Motor

of

carriers

: '

pas-

sengers

of

carriers

-

-

the

Annual
Commission,

Commerce

of

nals

.

4

75th

3d

7 At

■

designated
the
Study

time a committee of
of
American
Railroads,

of Transportation, is making
intensive study of all phases of trans¬

an

special, emphasis

with

portation

early

the

mended
have

Aitchison

and
Mechanical
R^arch,
Labor and Personnel, Legislation,
Transport, Operating Metnods ano

Act

Commerce

and

18, 1940, 54

21 The

Stat. 211.;.,;V;

48

Iff.

Sec.

A,,

■•

and coordinated

pro¬

of legislation touching all forms of
transportation which will ultimately give
the Nation a system of efficient transpor-

gram

tation
ent

cost consist¬
labor and
which will sup¬

lowest possible

the

at

treatment

fair

with

of

investment,
port
adequate credit for expansion and
improvements in equipment for tjie con¬
earnings

on

and service

venience
ate

Report

Session,

14 In

7,

U.

his

message

to

of the

and

relative

to

service,

airmail

Congress

on

June

extension of the

Six

Post Office Depart¬
not indis¬

commerce,

proper administration
be transferred to the

oi
In¬

Commission. The Com¬
also recommended

Commerce

of

mittee

air

to

the

1938

in

River

regulation by vesting the In¬
Commission with the
jurisdiction over all modes of trans¬

Erie-Ohio

-

v.

Report of the Federal Coordi¬
Transportation, dated Jan. 21,

orderly settlement of com¬
disputes.

mercial
The

presentation occurred at the

World

Hotel

Trafie

Luncheon, in the

Astor, New York, in con¬

nection

with

War Times

lesser

a

ap-'

Any

the

is

borne

extent

burden

to

general

on

J""

■

Products

I.

River

(1939),

pages

of

sion

to

C.-C.

Canal,

792,

Tennessee

115

(1938), pages

1,

(1939)

es-'

,

Civil

Act of

753

C.

52d

Annual,
Commis¬

and 24.

19

Aeronautics

decision

a

C.

I.

795;

Commerce

4

y

.

1940, Title III,

302(a).

Sec,

24 The

strued

235

793,

Interstate

23 Transportation

•

part

of

the

Board has

Circuit

con-'

Court

of

Appeals for the Second Circuit (Pan Amer¬
ican

Airivays
Fed.

121

Civil

v.

(2d)

810

Aeronautics

(1941) )

Act

the

observance

of

Foreign Trade Week.

of

as

the

1935,

Commission,
under

Board,

virtually ex¬

in

Section

Interstate

Com¬

acquisition applicaof the

Act, lira-!
ited the railroads to acquiring motor truck
lines which would be auxiliary or supplemental to rail service, the so-called Barker
doctrine.

213

PennsylvaniaxTruck Lines,

1
.*
(

Inc.,,

Acquisition

of Control of Barker Motor
Freight,'.Inc., I M; C. C. 101 (1936); In¬
cases involving applications for certificatesfor new operation, the Commission at first
permitted such operations only for
thel
movement of traffic which had a prior or .
subsequent

rail

haul,

but

later

modified

this,view by allowing the railroads to sub--'
stitute service wholly by truck for existing

railway freight service. Kansas City South¬

Transport. Co., - Inc., Common Carrier
Application^ 10 M. C. C. 221 (1938), modi¬
fied on rehearing, 28 M. C. C. 5
(1941).
This Was justified as a substitution
of a
ern

efficient

for

less efficient means
and conforms to the
Walker, "Road
and Rail" "(1942).
Neither'of these types-,
of
restriction, with few exceptions,
has
been' imposed in respect;to motor, buses,
for
the
Commission,
without
statutory
basis, has applied much stricter rules to
railroad-affiliated truck operators than to
railroad-affiliated bus operators.

more

of

more

and
a

24.)

235

Report

English

of

to

pecially
dissenting
opinion
of
Commis-'
sioner Eastman, page 130; Proposed Luke

Commerce

15 Third

(Page

Points,

of

nator

public^

of

which

cost

imposes

taxation."

terstate

portation,.

inland

largely

true

is

same

government
this

equality
same

and

both

are

transportation.

the capital

tions

Transportation Act, President
Roosevelt, said: "Air transportation should
be brought into a proper relation to other
forms
of
transportation by subjecting ii
to
regulation by the ' same agency"
(79
Cong. Rec. 8851).
In the report of the
Brookings Institution (1937) prepared for
the Select
Committee on Investigation of
Executive
Agencies of Government
(see
footnote No.. 5), it was recommended that
regulatory functions of the Bureau of Air

pensable

problems:

expenditure

of

Carrier

Sec. 40Iff.

1935, recommending an

ment

the
air

-

Congress

public."; (Sen¬ cluding all surface carriers from the air.
In its early administration of the Motor
74th Congress, 1st

Emergency

Commerce

of

.

Commission'

to

highway

the

merce

C, A.,

S.

13 49

these

•

to the

482,

No.
3.)

p.

Report

the

-

121.

Commerce

out,

22 Petroleum

..

complete

a

LXXIII

Coordinator

^

C

the enactment of
the Motor Carrier Act'of 1935, the Com¬
mittee
on
Interstate
Commerce of
the
Senate stated that the bill was •"*
* * a
of

Vol.

y.,,7V':

the relative economy and real
, the
various
types of carriers
clearly take into consideration the

which

recommending

12 In

World,
>■

transportation
on

of

entitled,'

1944,

Ill, page

discussed

must

by

.

B.

praisal of
utility of
part

Sec. 301ff; 49 U, S.

11 49 U. S. C. A.,

,:.y

Clyde

""Public Aids to Transpor¬

Vol.

pointed

of

Sees,

de~,

Commerce

Federal

Annual

and

91,

secure

grant

Oveiv~-Transportation*

1201.

Interstate

extent

"The

of

April 24,
is

of

52d

funds,

Stat. 889.
Ch.

1933,

16,

June

209,

' Thus

"land

Commissioner

on

1940,

Public

Vol. 4, p. 2936; see also MacVeagh,
Transportation Act of 1920."

1-17

passenger.
railroads to

Traffic

Water

Annotated,

the

through

over

and

of

Report

"As

to

repaid

-

in

trans¬

the

War

dependent

Transport.;

railroads

bodies,

page

(1938)

Civil

recom-

Problems."

its

the

government

Chamber

the

Motor

Pipe Line Transport,
Taxation,
Traffic and

to

of Interstate Commerce Commis¬

waterway

of

been

so-called

Portland, Ore.,

20

As'

1938*

Bureau

repeatedly
investigating
unavailing.

before

18,

the

public

proved

No.

its

although

by

"After

in

on

of

the

.V19 Address

Engineering

10 Act

rates

efforts

Finance,

Act of Sept.

•

Civil

enacted.

the

to

have

day

repeal of
ductions,"

in

9

(page

(pages-

by executive order,
1938.
;-V;.

portation—freight

lowing Subjects: Accounting and Statistics,
Air Transport,
Consolidations, Economics,

8 Interstate

the!

to

and the

was

transferred

was

the Transportation,

on

turn,

treasury many times

tation,"

Relations,

Mail

Authority

reduced

period following the war.
Subcommittees
are
studying and will report on the fol¬

Procedures,

and

Air

1938

,

Committee for

the Railroad

as

of

grants

sion

--l.:

■

present

the

Association

the

583,

1938.

Session,

railroads,
Congress,

of
75th

Act

Mail

Federal

Con¬

.

different

a

land

far

relief

No.

document

House

out

22,

an

President

immediate

for

Commis¬

law

of

35-39), the Com¬
that air transporta-f

18 The

to Con¬
gress, April II; 1938, transmitting report
of Committee
of Three and other docu¬
ments, together- with recommendations for
means

•

(pages

Aug.

Transportation

Print,

the

from

limited

the

10),

new

effective

1937.

Session,

1st

6 Message

Interstate

an

Aeronautics

the

Committee

5 Senate

the

v

exercised

and

9

the

pointed

Air

of

-'jM

gress,

1938

explained by the Commission
annual repoft
(pages 52-53),

1933; see also Dun¬
Transportation Policy"

National

"A

(1936).

of

with the growing

regulation.

Bureau

1937

lation took

13,

Feb.

Committee,
can,

reorganization

cope

to

to

a

Aeronautics

National

of

Report

Chair¬

the Commission's views were favorably
reported by the Committees of both Houses
of Congress.
In 1938, however, the legis¬

page 14; The An¬
Politi¬
Vol. 230, page 80.)

Science,

of

to

Academy, of

American

The

and Social

cal

by
21,

Three

to a point where "it nowintegral part of the National
transportation - system^
and
should
be *
regulated as a part of the system, in a
manner
similar to the regulation of rail
and highway carriers.
Bills giving effect'

34,052,480
Report, Interstate

57th

(Source:

of

had grown

comprises

prop-

express

Jan;*

Jan.

In its annual reports for 1936

tion

—

and

drastic
to

(pages
of

mission

mail,, bag¬

transport,

gage

consisting

1934

30-32) ,and

1,250,071,000
Air transport of passed%■ -;
/
gers ;
/
74,971,258
Air

6),

transport

referred

creation

v,

•

Commission

Commission

1934

for

sion

36).

434,051,000

-

for

17 From

245,061,000

lines—————

Pipe

dated

Congress

Committee

No.

of

Commerce

94,511,000

—_

the

to

jurisdiction over ail mail, pursuant to theAir Mail Act, 1934.
In its Annual Report

99,682,000
67,623,000

Company——,

of

water,

motorFederal-

the

Commission

the

railwaysA_A--—$7,691,255,000
Railway Express Agency.:
155,303,000
railways

Report

jur¬

to

and

Transportation,

1938,

In

approving,

Splawn and Commissioners Eastman
Mahaffie, recognized in principle the-

and

follows:

Electric

oi

in

airways

Commerce

problems

Pullman

and

Commission's
extended

be

lines,

footnote

(see
man

Steam

y

proposal

Miller

to

transmitted

Interstate

participation of the vari¬
agencies of transporas

(Fourth

1936;

18,

1942.

was

pipe

carriers.

carrier

for 1942

revenues

his

the

provided
weie

Coordinator

indicated by their total operating

as

plan,

carriers,

,

relative

common

ous

Commissioner

with

Federal
Coordinator
of
"Public Aids to Transpor¬

of

Report

the

engaged would be a pow¬

solidation

right.

responsibility without

honor

the

Council, expressed the belief that
the arbitration work in which they

And that gets us right back to the

a

2

Transportation,
tation," 1940.

year,!

In the folowing

renewed

the criticisms.

isdiction

the

March. 21,

on

Eastman

the

jurisdiction of the
Secretary
of the Interior; the Panama
Railroad
Company under the control of
the Governor, of the Panama Canal; and
the
Toledo,
Peoria & Western Railroad
Company, which was taken over for opera¬
tion by the Federal government by execu¬
tive order of the President of the United
States

its

Again the Com¬
mission
recorded
its
opposition, but
on
this occasion Commissioner Caskie joined,

is restricted to the Alaska

under

it

stated

replied to

Government opera¬

operating deficit.

tion of railroads

terstate

making the presentation, Mr.
Claxton paid a high tribute to the
Council for its work in this field.
In

thanking Mr. Clax¬
ton and the Arbitration organiza¬
tions in the Western Hemisphere

he

tial

Railroad

transmitting

Mr.

the upper and lower Mis¬
sissippi,,
the Illinois
and the Missouri
Rivers, commonly known as the Federal
Barge Lines, was created in 1924 by Act
of Congress to take over barge lines pre¬
viously operated by the Secretary of War.
Since 1938 it has operated at a substan¬
Alabama,

Canadian-American Com¬

the

And
"full employment" comes peril¬
ously near to "directed" employ¬

that

in

in- the

made

was

Commissioner Miller.

operating barge lines on the Warrior River

part

Foreign
Trade
Council was presented on May 25
with
the
1944
Western
Hemi¬
National

The

sphere Award.

moral basis.

our

There is

days

We

with
in short,

success

Americanism

it stands for.

war.

conceive what would
happen if any group of scientists—
,no matter how able—were made
Can

ditions of past prosperity ,and our
entire

In

mission

Corporation,

Waterways

erty

We have already give much and to accept little in accomplishments may be opened.
Our successes are small in con¬
quickly price control return—which is the reverse of
trast to that which will eventu¬
leads to subsidy. And also we are the modern world where the ten¬
witnessing
how
price
control dency is to receive all and give ally be accomplished. Our efforts
are good and bad building stones
brings artificial gluts and short¬ little. We are now in a terrible
of the future,
There is always
ages. Every housewife is becom¬ war—a war of complete destruc¬
much room out in front—room for
ing a ration-coupon
speculator tion or maybe even elimination.
all without crowding—and work
and in a measurable time we shall Have we, as scientists, failed in
for generations to come.
Let us
.have to eat on a fixed quantity our effort to humanity and per¬
now dedicate ourselves to
avoid¬
schedule. The next step must be mitted the operation of forces to
forced labor, for in a controlled work against instead of for civil¬ ing the stumbling blocks and the
unnecessary delays on this road
society it is out of the question for ization? Have we listened to the
of progress.
the individual to determine either wrong teachers, to pedagogues of
We must once again take up the
the kind or the amount of labor a wrong theology? Have we not
belief that the only Divine Power
he will contribute, Then we shall been inspired by wrong thinking
have
exactly the same sort of and gotten our quanta of energy is within man himself—he is the
with
the
molecules? creation Of God. If the American
freedom from want and from fear confused
that the lifer enjoys in his cell.
Have we forgotten the only being
system has failed, it is because
■
i' For, although control is not a worth remembering—the individ¬ we, as individuals," have failed.
In man alone can we find hope
harsh word, economic control by ual human being?
for a future.
Whatever may be
its very nature must be harsh, be¬
This is briefly what we have
the seeming dangers of throwing
cause really it means the substi¬
done. We have permitted the fos¬
tuting of bureaucratic discretion tering of ideas our intelligence off our controls and once more
and in the end the individual must
being Americans,' they
are
as
says are wrong.
By pretending a
"be deprived of his responsibility
knowledge we do not have, we nothing in contrast to the dangers
and his dignity.
We shall have have duped ourselves into false of being merely a tended herd. It
all depends on whether we have
to decide whether we want to be
security. There is only one se¬
what it takes. I think we have.
Americans and have government
curity and that grows out of the
of our own choosing or be some¬
individual thinking for himself
thing else. There is no half-way and that honestly and sincerely.
Council Western
point in human dignity and re¬ This we know. But we are dis¬
sponsibility. It either is or is not. carding all of our experience, tra¬ Hemisphere Award
v

Inland

1 The

1935.:

23,

Fed-,
1935.to Congress, the Com¬
opposition, - except for-

proposal

Coordinator's report of January,

efal

Chicago, Illinois.

Inter¬

by

Congress

Commission Jan.

Commerce

16 The

—KENNETH F. BURGESS.

to

transmitted

1935;
state

acter."

Motor

7.

''>■

,

'

(Continued from page 2289)
of sound and strong char¬

average

3 The

upheaval which has come
our manner of thinking

The

about in

-breeds another.
seen

Appraisal Of Congressional Transport Policies

They believed that thus they were

were

and

Chemistry

of

Independence and the Constitu¬
tion, the fathers of our country
were
moved by the unalterable

(Continued from page 2282)
have

Declaration

the

writing

Thursday, June 1, 1944

FINANCIAL CHRONICLE

THE COMMERCIAL &

2290

a.

'transportation
practice.

25 The present

Supply,
Minister

Gilbert

Minister of Munitions and

Hon. C. D. Howe, was previously
of Transport.
When, in 1940, he

relinquished

that; portfolio,

ministerial .responsibility
ices

Division

(civil

he

retained

for the Air Serv¬
and meteor¬

aviation

ology) and1 thfe-Radio Division under tlfe.
provisions»ot > two, Orders-in-Council passed
1940, i. e., P. C. 3076 and P. C. 3435.

July,

Volume 159

Number 4286

THE COMMERCIAL & FINANCIAL CHRONICLE

Pacts Between Allies And Three Govts. In-Exile From

Dewey Leading Roosevelt In New York State
In Political Popularity Gallup Poll Shows
'

:

On Control Of Civil Affairs

Roosevelt

candidates

States,

hand, and the exiled Governments of Norway, the
Belgium, on the other, governing control of civil
affairs in those countries during the period of liberation took place at
London on May 16, it was reported in a wireless message to the New
York "Times" by David Anderson, from which we also quote:

for

President, shows Governor
Dewey holding, a slight advantage at this time in terms of civilian
as

The New York

votes.

"Times,", of May 26, which indicates this, also
regarding^
the poll:
small margin—52% of the major
Four years before
"When voters throughout the party vote.
Empire State were asked by the that, in 1936, he won the State

•had the

following to

say

with 60%.

institute how they would vote if
Presidential

a

election

today with their Governor head¬
ing the Republican ticket and Mr.
,Roosevelt, also a New Yorker and
former
Governor,
heading
the
Democratic ticket, the line-up fol¬

lows;./; /'.;

/77

'■'!■. :7,•'7/":,■"7"i7;

Dewey 7*

:

-

•

"President

Roosevelt

election

by

1940

the

by Norway and the Soviet Union.
Russia was 'consulted' before sig^

/

natures were affixed

largest

number

of

in

7./-;

7

"Slight variations in interpreta¬
tion were given these agreements
by the men who will return to

elec¬

7. 7:

"Wilson

lost

^

the

E. Hughes in 1916, but
elected, although by a small
margin, in the electoral college."

has

in

some

made

measure

heavy

ers

doubtful

accept more than 110%
of
their product quota beginning in
-July. :*7;-7:7'-'//'":77/77;//,///
"It is expected that due to the

heavy

pressure for many

Structural steelS

gory.

demand,

supplied if
pick up to
of

cause

types of

the

the

welded

demand

should

great extent

be¬

impact of the shell

pipe

is

fairly

but

easy,

products other than plates. This
,ordinarily would force a larger
.carry-over if the steel industry

electric-welded pipe continues to
have its deliveries advanced, due

'should

orders

"culties

it

may
in the third
Washington officials,
however, hope that the over-allot[ment situation will be clarified by
as

quart

or

ber.

'in

the

trade,

however, that

•essential steel orders Will

be

This is in direct contrast to

in for further 'pushing around/
7 "One thing seems certain this

[Week, and that is that
sales

more

months

steel

production officials do
[not believe the third and fourth
total

steel

requirement
[picture has crystallized to an exTent where definite conclusions
be drawn.

can

past week
iniscent of the
in

'existed

is

ately

strongly rem¬

confusion

the

middle

1943,

The

ply.
"and

major

last

the

year's

one

which

the

steel

"

needs.

' /.'

Steel
production officials are
Tearful that the long and contin¬
uous

grind on men and machinery
will further reduce the efficiency
of

the

steel
output.
In
some
marked drop in efficiency
man has been noted because

"plants
per

of

a

green

help

as

well

fatigue

as

and absenteeism/ Factors such

these,
,are

while

much

.While

it

may

be

stretch!

£ the
thd £/ are

.imagination
slightly,
[some steel observers who
that

the

long
hearings

Wage

as

last year,
accentuate '.now.

apparent

more

) elieve

drawn-ou7

steel

also

having
their effect on steel production
even though this effect
might be
small.
7
are

,

-

•

"Steel products, which were in
the

tightest delivery position last
week,
included
sheets/ plates,
.large-size bars and semi-finished
steel. The tightness is one of spe¬




immedi¬

the steel picture.

ease up

It

of actual equipment and ammuni¬

tion.

in¬

7 7:7/. 7/" ,.■'• 7/7/

■

would

placed on the basis of as¬
suring no chance pf military fail¬
ures with respect to the
supplying

difference be¬
hectic period

dustry is now entering is great
•enough to indicate a little more
difficulty in meeting the huge
military
and
essential
civilian

which

been

•when total requirements appeared
to be much greater than the sup¬
tween

few

is believed that the heavy volume
of steel for military purchases has

which

of

ago,

cutbacks

The state of mind

this

a

when

cancellations,
due to -cutbacks and change in
programs, were quite heavy.
If
and
when
invasion
begins and
appears to be successful, the steel
industry may well be flooded with
certain military cancellations and

and

/quarter

cancellations

past few weeks have been at the
lowest point for several months.

less

soon

of

recently.
Some companies have noted that
their total cancellations in the

certain

seems

mills.

tempo is the lessening, in the num¬

military cutbacks
It

seamless

some-

electric-weld

uted to the strong steel production

[before conditions become serious
.productionwise.

shifting of
to

"One factor which has contrib¬

er.

cancellations

the

to

into production diffi-'

run

Such

however,
a

it

rather
is

ably

came

follow

definite

for

officials

cutbacks, if they
Would

time lapse, and
reason
that steel

that
look

for

levels

new

in

production during the third quar¬
ter."
/■"' 7
7: 777'77/7
;

The

American

Institute

Iron

May

on

29

and

Steel

announced

that telegraphic reports
had received indicated

which it
that

the

operating rate of steel companies
having 94% of the steel capacity
of the industry will be 97.5% of
capacity for the week beginning
May 29, compared with ,98.4% one
week ago, 99.5% one month ago
and 98.4%
one
year
ago.
The;

operating rate for the week begin¬
ning May 29 is equivalent to
1,746,500 tons of steel ingots and
castings, compared to 1,762,600
tons one week ago,
month ago, and

one
one

year

1,782,300 tons
1,704,000 tons

ago.

"Steel" of Cleveland, in its sum¬
mary of the iron and steel mar¬

kets,

on

follows:

May 29 stated in part
"While

eries of steel

ing extended

forward

products
as

are

rapidly

look

to

as

as

deliv¬

not be¬

during

Foreign Secretary

Anthony

did

Britain.

Eden

for

so

Great

7-'7/7//.7//////'///://'/'[;[/7//:/:7.

"Trygve Lie, Norwegian For¬
eign Minister, was perhaps the
happiest man in London today, for
in placing his name on the docu¬
ment
he brought to an end a
longer period of negotiation than
any of the other diplomats.
His
draft

the

was

President

that

blueprint

Eduard

was

written.

"Moreover, tomorrow is the na¬
day of Norway, and the

/,

tional

members
who

are

of

here

plete

the

Word

that

Government

that

eager to com¬

were

Z.

then.
Lebedieff,

to

the

agreement
Viktor

Soviet Ambassador

by

Allied

in

the

the somewhat

van

Dr. Eeco

Kleffens, Foreign Minister,

signed with Britain and O. C, A.
van
Lidth de Jeude, Minister of
War, with the United States.
"The
which

Netherlands
had

in

been

agreement
advanced

an

stage since late last summer, dif¬
fers from the Norwegian and the
earlier

Czech versions

in

its

plication in that there will be

ment

weeks, pressure for ship¬
increasing

man¬

shortages this summer are
causing as much tonnage as pos¬
sible now on mill books being
power

.

pushed ahead for earliest delivery.
Combined
with
expanding
re¬
quirements in some lines, notably
shell steel and landing craft, this
not only provides mills with over¬
flow' tonnage
but assures most
producers all they can handle for
several

months.

reduction

"General

third-

in

repair,

has

for

need

been

equipment

sharp

in

some

cases.

matter

a

project itself

respectively

Spaak, who went
General

to

hower's

headquarters
British Foreign Office.
"One

Eisen¬

the

and

conservatives as bearing out
everything doleful the/ had an¬
ticipated of the New Deal.
We
remember

can

Willkie

of their po¬
sition is the presence of King Leo¬
pold in occupied territory.
They
confident that this will entail

are

constitutional difficulties when

no

the

day comes to reestablish the
Government in Brussels."
In

Washington advices to the
"Times," May 16, the State De¬
partment

reported

was

"These agreements

saying:

as

intended

are

to

be; essentially temporary and
practical in character.
They are

designed to facilitate the task of
the Supreme Allied Commander
and

to further

of

pose

the

the

common

pur¬

Governments

con¬

cerned, namely, the speedy expul¬
sion

of the Germans

from

Allied

territory and final victory of the
Allies

Germany."

over

with

with

the

of.

Postal

How far

Outlook For Rubber

most

cases
•

are

all

that

melters

What

McKellar, as he is being taunted
was enthusiastically for the
development at first, along with

now,

(Continued from First Page)
The

difference

between

synthetic production of
000
tons

tion, perhaps, to see the develop¬
ment of Dave.
Dave is a darling
of the LaFollette-Norris Progres¬

000

reclaimed will be used
for

war

000,000

set aside

or

Out

purposes.

tires

say

All natural

use.

supply about 18,-

will

be

made

for civilians against

mated need of

the

of

an

this

esti¬

30,000,000.

over

He

difficult going, first with

had

Willkie, and then with one of his
co-directors, Dr. Morgan, if you
will recall. He got rid of Morgan
and then Willkie's Commonwealth

Southern

and

It will take

time to

some

clear up the Far East plantations
after the Japs are driven out. Not
much

for

year
years
war

than

more

the

can

two

or

tons a
three

be expected from pre¬
The

sources.

alone

250,000

first

United

States

will

require 1,000,000 tons
of rubber annually which may be
close

to 50%

of the needs

of the

thetic

plants might have
100%
capacity operation ahead of them
a

few

after the

years

war

dends

may

run

for

is

little higher as

a

sion and other

tire

stocks.

post-war
reserves

Here

as

situations the best

especially

those

in

conver¬

have been

all

have the

confidence of labor—will
the best

profits.

other

managements—

which

out.

ing as the undisputed boss of all
surveys. McKellar's opponents
now, in high indignation, assert
that
the
Government
keeps
a

he

check

the

on

enterprise through

the Comptroller General. Why the

Comptroller General's office tried
to make more than a superficial

study of the TVA
and it

a

few years ago

flouted and

was

thwarted

It wouldn't be an
exaggeration to say that Lilenthal

at

every

is

really accountable to nobody.
least this is the situation, in

turn.

"

;

•

[ ..."

power of both of these men
experiment with the lives of
people until their heart's content.
To hear the Porto Rican delegate's
to

anguished cries in Congress, you
get the impression there is noth¬
ing benevolent about Tugwell's
depotism. So far as we know, the
people under Dave are contented,
and

maybe happy.

provide

At least, in a
periodical
story of Utopia

and in his

recent book

reports there is a

Within the area, the ex¬

attained.

rubber, and perhaps
total rubber supplies, will be short
for from two to five years after
war.

bought

was

he has had easy sail¬

Since then

act

Natural

the

in as

of the three directors of TVA.

one

the

our

870,tons and of the 700,000 tons
which we use, or about 170,tons, will be lend-leased or

stocked for future

"social

other

Tugwell is enjoying
down in Porto Rico.
It is within

largely taken care of.
For the
long-term and as a businessman's
risk, I am not adverse to the best

desire."

have come!

we

that Rexford

products, giving right of way to

high steel production rate. Scrap
is moving freely and reserves in

ex¬

He has had the same free reign

provisions

"Pig iron and scrap for steelmaking offer no problem of sup¬
ply, both being sufficient for the

for

system,

have made!.

progress we

effect.

canmakers to keep down produc¬
tion
of
cans
for
non-seasonal

those for food products.

Wendell

and

ample, is ridiculous and unheard

At

al¬ over; but after 1950 look out!
634,000 tons of tin plate
Tire Company Securities
for cans in third quarter, a sharp
reduction from the 800,000 tons
Tire company stocks, while sell¬
asked by the industry.
To meet ing at about their best prices since
seasonal
demand
for
fruit
and the war, may not be too high; but
vegetable canners in third quar¬ 1 do not know. Earnings for 1944
ter, peak of the year, an under¬ should run close to 1943 and divi¬

reached

when

devoting all of his
energies to save the
country from this step into the
abyss. Now, within a few years it
is not only accepted but the sug¬
gestion that Congress should have
something to do with it, as it does
was

talents

sive school and thus was put

peculiarity

"War Production Board has

been

be¬

when the

the

acreage

escapes

but it is

us,

vast, Dave is the boss of all ac7>
tivity, of the curricula of the
schools, the design of the houses,
the size of the Victory gardens,
the
mercantile
establishments.
The issue

with such

being made now is that
a marshalling of human

resources

as

he

been able

has

to

bring about, are you going to let
Congress get in there and mess it

up?

7/

At

time, if you will recall,

one

there

was

ities"

movement

serious

a

series of "author¬

afoot to set up a

Together

TVA.

to

similar

they would have fairly blanketed
the country.

There is considerable

agitation right
but

the

spread

has

been

understand
ment will
we

a

how
be

But
simple

gress,

We

no

can

you

govern¬

if it is carried out.

need to have only four

five Dave Lilenthals;, no

or

has

whole

engaged in more

business.

pressing

Then

as

outside while the New

been- laid

Deal

in fact, for

now,

Valley Authority,"

"Missouri

the

located

has

interest,

looked upon by

was

folk.

for

standing

of

we can remember

posi¬

allotments,7 due to ex¬ entire world. Estimating our pro¬
pected drop in output because of duction of synthetic at 1,000,000
labor
shortage,
effects of
hot tons it looks as though our syn¬
and

is

cause

cry

minded"

quarter

weather

and

But he has been in a better

Post-War Outlook

of

hue

him.

against
It

have joined

to

seem

radical

the

ister Paul-Henri

is intense.

"Prospects

they
the

with

Hubert Pierlot and Foreign Min¬

apJ above synthetic
no

(Continued from First Page)
which

"The Belgium agreements were
made operative by Prime Minister

year

recent

by the State De¬

according to an ex¬
planation here of the long delay
in winning
Am^rical approval.

impatient

"For the Netherlands

agreement

partment,

Norwegians. 7/777/7 /;•,.././ /
N.

original

disallowed

Governments, was willing to sign
|or Russia at the sanae time was a
relief to

/•"'"■ 7'. 7:/ 7.

' ■ /_.• /;.,

"The definition of this state of

of

Benes

Czechoslovakia took to Moscow
when the Czech-Russian treaty

not in

are

program. Small hot rolled bar de¬
liveries are easy on some mills,

steel products it will be necessary
for WPB to over-allot on steel

where

leadership.

United States.

-

any

informing the people

Continent

tary situation permits,' signed the
agreements
on
behalf
of
the

although
it is
they could be

whether

the

to turn over power to each
Government in turn 'as the mili¬

months in the unfilled-order cate¬

it necessary for the War Produc¬
tion Board to have plate produc¬

Was

be

bars, which were said to have a
sheets and the failure of plate de-. backlog of nine months recently,
mand to subside to any great ex- are now hardly more than three
Tent

zone moves on even if the

7/7/7

siege

Dwight
G.
Eisen¬
hower,
Allied
Supreme
Com¬
mander, whose undertaking it will

urgent war

a

is still loaded with military
for
the
battle-

front.

designed to accomplish

were

"General

"Aggregate steel sales volume in the past week was strong
enough to substantiate the belief that the recent hesitancy in steel
/purchases was by no means indicative of a lower trend in buying,
.the "Iron Age" says in its issue of today. (June 1), further adding:
."Orders were more brisk on many items in the past week and there
'/.were additional signs that the flat foiled situation will not change
.much in the third quarter even^
though some easiness had been cific products rather than general
expected earlier in the year. In¬ over-all steel items. Cold-finished

under

communications

for united

.

for

function

area

on

was

Shipments intense—Orders Continue Brisk

demands

fighting

stand and of

to

Steel Operations At 97.5%—Pressure For

creased

will

as

state of sieze to be proclaimed by
Queen Wilhelmina. Civil authori¬
ties are to take over when the

they

Charles

carried
Presiden¬

whole

a

the dual purpose of letting these
Governments know where they

7

State

"In Holland the Government

the Allied armies, but in the main

winning the Presidency with¬
York.
He was
Wilson.

delegate named to cooperate with
the Allied military leaders.

their native lands in the wake of

out carrying New

Woodrow

the other

on

agreements.

votes—47,
Since 1876 only
candidate has ever succeeded

one

comparatively

a

/'

one^"

identical to

were

another and to that signed today

toral

„__48

_.

New York in the
tial

has

__.._.___52%

77/7Roosevelt

.7,;

one

and

"The texts

"New York is of course general¬
ly considered the key State in any
Presidential election because it

held

were

the

on

Netherlands

Washington

Ahead 0f The News

During Liberation

The signing of agreements between Great Britain and the United

George Gallup, Director of the American Institute of Public
Opinion, on May 25, at Princeton, N. J., revealed that a political pop¬
ularity race in New York State, matching Thomas E. Dewey against
Franklin D.

2291

Con¬

anything else.

remember one

of the first

questions propounded to the ap¬
plicants
TVA
the

for jobs with the great

experiment: It was whether,
wives

bPlnful

to

would
the

fit

in

and

community

be

spirit.

Thursday, June 1, 1944

CHRONICLE

THE COMMERCIAL & FINANCIAL

2292

feronx,
- Moody's computed bond
given in the following table:

prices

_

MOODY'S BOND PRICESf

1944—

U. S.

Daily
Averages

Avge.

Govt.
Bonds

May 30—

Corporate by Ratings*
Aaa
Aa
A
Baa

Corporate*

P. U.

Indus.

112.19

118.40

116.80

111.81

102.46

105.86

113.89

117.00

119.66
119.66

112.19

118.60

116.80

111.81

102.46

105.86

113.89

117.20

119.66

'27—.—

:

R. R.

119.67

29—
V

Corporate by Groups*

Exchange Closed

112.19

113.89

117.00

'

26——

118.40

116.80

111.81

102.30

105.86

25—

119.63

112.19

118.60

116.80

111.81

102.46

105.86

113.89

119.63
119.63

112,19

118.40

116.80

112.00

102.3b

105.86

113.89

117.00

119.60

112.19

118.60

116.80

111.81

102.30

105.86

113.89

117.00

105.86

113.89

117.00

23

—.

22

118.60

116.80

111.81

112.19

118.60

116.80

111.81

102.30

105.86

119.59

112.00

118.60

116.80

111.81

102.13

105,86

113.89

116.80

18—/:.™

!■'

112.00

119.59

19„„..™

.

119.60

20

f

}.-/

102.13

119.57

112.00

118.60

116.80

111.81

101.97-

105.69

113.89

116.80

118.60

116.80

111.81

101.80

105.86

113.70

116.80

17
r

119.51

-

119.48

16—

iv
f

112.00

117.00

113.89

112.00

118.40

116.80

111.81

101.80

105.69

113.89

116.61

118.40

116.80

111.81

101.80

105.69

113.89

116.61

15—

119.48

13—Wu_

119.48

111.81

118.40

116.80

111.62

101.80

105.52

113.89

116.80

12

•
.

112.00

119.48

112.00

118.60

116.80

111.81

101.64

105.52

113.89

116.80

11

119.51

111.81

118.60

116.61

111.81

101.64

105.69

113.70

10—

y>:'\

117.00

119.51

111.81

118.40

116.61

111.81

101.64

105.69

113.70

116.80

119.58

111.81

118.60

116.61

111.62

101.80

105,69

113.70

"

'

V 8

Steers rose more than 1%; cotton
the grain markets continued
unsettled. Sheep dropped about 2% and prices were also lower for
live poultry at Chicago, for eggs, lemons, and onions. White potatoes
at Chicago and Portland (Oregon) advanced, while the Boston and
New York markets were weaker. Although average market prices
hogs weighing

111.81

118.40

116.80

111.62

101.64

105.52

116.61

113.70

119.40

116.80

111.62

101.47

105.52

113.70

116.41

116.61

111.62

101.47

105.52

113.70

116.41

119.48

111.81

118.40

116.61

111.62

101.47

105.52

113.70

116.41

119.51

111.62

118.20

116.61

111.62

101.47

105.34

113.70

116.22

for

101.47

105.34

113.70

116.22

prices

■

119.47

111.62

118.20

116.61

111.62

119.34

111.62

118.40

116.41

111.62

101.31

105.34

113.70

116.41

119.35

111.81

118.40

116.61

111.62

101.47

105.34

113.70

116.41

21

119.75

111.62

118.40

116.41

111.62

101.31

105.17

113.70

116.41

14—

119.86

111.62

118.20

116.61

111.44

101.14

105.17

113.70

119.81

111.44

118.20

116.61

111.44

100.98

104.83

113.89

116.22

—

119.68

111.44

118.20

116.41

111.25

100.81*

104.66

113.70

116.22

24——

119.86

111.44

118.20

116.61

111.44

100.81

104.66

113.89

116.41

17—'//—

120.14

111.44

118.20

116.61

111.25

100.65

104.66

113.70

116.41

31--—--''

120.26

3

111.44

118.20

116.41

111.25

100.81

104.48

113.70

116.41

120.44

10..
;

n

111.25

118.20

116.61

111.25

100.49

104.31

113.70

116.41
116.22

May 1943.

/;

=■.

104.31

113.50

118.40

116.41

111.07

100.49

104.31

113.50

116.41

116.22

111.25

100.49

104.31

113.50

116.41

some

118.40

119.45

111.25

118.40

116.22

111.25

100.49

104.14

113.50

116.61

119.47

111.07

118.20

116.22

111.07

100.16

104.14

113.31

116.41

28
21

119.58

111.25

118.40

116.41

111.07

100.16

104.31

113.31

116.41

119.57

111.25

118.60

116.41

111.25

99.84

104.14

113.50

116.41

119.69

111.07

118.60

116.41

111.07

99.36

103.80

113.50

116.22

following
notation: '
:;/■
Note—During the period of rapid changes caused by price con¬
trols, materials allocation, and rationing the Bureau of Labor Statis¬

120.44

112.19

118.80

116.80

112.00

102.46

105.86

113.89

116.02

119.34

110.70

118.20

116.22

110.88

99.04

103.30

113.12

117.20

120.87

111.44

119.41

117.00

111.81

99.36

103.47

114.27

117.40

111.81

114.46

4—

Jan,

14—
7

—-

1944—

High

1944

Low

1943

High

100.32

116.85

107.44

116.80

113.89

108.88

92.35

97.16

119.82

110.34

118.20

115.82

111.07

97.78

102.30

113.31

115.82

118.35

1943

Low

111.07

106.39

116.02

112.93

107.44

91.77

96.07

110.70

113.70

1 Year Ago

29,

May

1943-

2 Years

29,

May

Ago

1.942.

MOODY'S BOND YIELD AVERAGES

Corpo-

Bonds

rate*

Corporate by Ratings

►

2.73

2.81

3.07

3.60

3.40

2.96

2.72

2.81

3.07

3.60

3.40

2.98

2.79

1.84

3.05

2.73

2.81

3.07

3.61

3.40

2.96

2.80

3.05

2.72

2.81

3.07

3.60

3.40

2.96

2.79

'

1.84

1.84

24

3.05

3.06

2.81

2.73

3.61

3.40

2.72

2.81

3.07

3.61

3.40

2.96

2.80

Farm

2.72

2.81

3.07

3.62

3.40

2.96

2.80

Foods——

1.84

3.05

2.72

2.81

3.07

3.61

3.40

2.96

2.80

Hides and leather

19

1.84

3.06

2.72

2.81

3.07

3.62

3.40

2.96

2.81

Textile products——,

products—.

*122.4

104.7

104.6

117.6

117.6

97.3
83.9

;

_

3.06

2.72

2.81

3.07

3.63

3.41

2.96

2.81

Fuel and

1.85

—

'

3.06

2.72

2.81

3.07

3.64

3.40

2.97

2.81

Metals and metal products

3.06

2.73

2.81

3.07

3.64

3.41

2.96

2.82

2.96

2.82

Building materials—.
Chemicals and allied products—

lighting materials——
..

15——''

1.85

3.06

2.73

2.81

3.07

3.64

3.41

13—

1.85

3.07

2.73

2.81

3.08

3.64

3.42

2.96

2.81

Housefurnishing goods

1.85

3.06

2.72

2.81

3.07

3.65

3.42

2.96

2.81

Miscellaneous commodities—

12—

v

1.85

11_

3.07

2.72

3.07

3.65

3.4i:

2.97

2.80

Raw materials

3.65

3.41

2.97

2.81

Semimanufactured articles

2.82

Manufactured products

1.85

3.07

2.73

2.82

9—

1.84

3.07

2.72

2.82

3.08

3.64

3.41

2.97

8

1.85

3.07

2.73

2.81

3.08

3.65

3.42

2.97

10——

'

2.82

1.85

3.07

2.73

2.81

3.08

3.66

3.42

2.97

2.83

5

1.85

3.07

2.73

2.82

3.08

3.66

3.42

2.97

2.83

4_.

1.85

3.07

2.73

2.82

3.08

3.66

3.42

2.97

2.83

3

1.85

3.08

2.74

2.82

3.08

3.66

3.43

2.97

:

'

■

3.08

2.74

2.82

3.08

3.66

3.43

2.97

3.08

2.73

2.83

3.08

3.67

3.43

2.97

1

3.07

2.73

2.82

3.08

3.66

3.43

2.97

2.83

—

2.73

2.83

3.08

3.67

3.44

3.08

2.74

2.82

3.09

3.68

3.44

2.97

3.09

2.74

2.82

3.09

3.69

3.46

2.96

2.84

3.09

2.74

2.83

3.10

3.70

3.47

2.97

2.84

3.47

3.09

2.74

2.82

3.09

3.70

2.96

1.80

3.09

2.74

2.82

3.10

3.71

3.47

2.97

3.09

2.74

2.83

3.10

3.70

3.48

2.97

3

1.80

3.10

2.74

2.82

3.10

3.72

3.49

2.97

2.83

11—

,

+0.2

0

*123.3
•

*122.9

125.8

+ 0,7

+ 0.3

—

2.0

105.0

104.4

110.3

+ 0.1

+

0.3

—

5.1

117.6

117.6

118.4

0

0

—

97.3

97.3

96.9

0

0

+

0.4

+ 0.2

+ 0.2

+

3.2

Livestock

will

count

to¬

market

Besides

issues, however,
midnight July 8."
over-all objective,

the

the

only other announced quotas
City and State in the Fifth

for this

War Loan will be

thofe of E-Bond
the EBond quota is $227,526,600 as com*
pared with sales of $226,437,910 of
that issue during the last drive.
sales.

For New York City,

York

E-Bond

has

State

quota of $367,000,000 as against
Fourth War Loan sales of $364,*

100,000.
Mr.

v:
Ford
explained

the

that

greatest emphasis in the "coming
campaign will be placed
upon
sales to individuals, saying:
>
"Every dollar invested by ah
individual
in
War
Bonds
does

83.7

83.7
*103.8

103.9

0

0

—

0.1

double

duty.

114.6

110.3

+ 0.5

+ 0.9

+

4.3

on

105.4

105.4

100.2

0

0

+

5.2

victory

105.4
106.0

106.0

106.0

93.3

93.3

93.3

91.7

*112.8

*113.3

*113.0

93.5

93.5

93,5

:

0

o

+

+ 0.3

+ 0.4

113.8

+

0

o

104.2

93.3
*113.3

*99.6

*99.5

+ 0.1

-

1.7
1.7
-0.4
0.8

92.9

+ 0.1

100.9

+ 0.1

+ 0.2

+

0.2

99.1

+0.1

+ 0.2

+

0.5

96.9

+0.1

+ 0.2

+

1.9

■

*99.4

*99.5

*98.6

*98.6

+

\

■

*98.5

■;/■■'-H/'.-

Increases

vegetables
:
—
poultry————
Dairy products

and

1.6
1.4

y-

by

It helps speed the
the battle fronts and,,
fighting off disastrous infla¬

tion, it likewise insures economic
victory here at home."
; ?
Payroll Savings, Banking and
Investment, Community Sales and
the other specialized divisions of
the War Finance Committee, so
productive in previous drives, will
in action again in the Fifth
War Loan. The activity and im¬

be

FROM

MAY 13, 1944 TO MAY 20, 1944

;//•'"

Fruits and

the

115.0

•

;

of

will close at

*103.8

than

.V. •:/

31,

This is in accord¬
ance with the procedure followed
in all previous campaigns.
Sales

83.7

*98.7

.

—

cluding July
quotas.

Savings Notes-^
1 up to and in¬

ward

115.0

115.6
105.4
,106.0

PERCENTAGE CHANGES IN SUBGROUP INDEXES

V,'

0,7

than

other

Tax

*103.8 *103.8

93.6

and foods—

and

made from June

portance of the Commerce and In¬
dustry Division, however, will be

'
0.5

Paint and paint materialsOther farm products—;
!
0.1

0.4

increased,

'"'..'/l';

.

<

"/

division, under the direc¬

This

tion of William E. Cotter in Man¬

3.10

2.74

2.83

3.11

3.73

3.49

2.98

2.84

2.73

2.83

3.11

3.72

3.49

2.98

2.83

set up,

2.73

2.84

3.10

3.72

3.49

2.98

2.83

divisions of business and industry

3.10

2.73

2.84

3.10

3.72

3.50

2.98

2.82

3.11

2.74

2.84

3.11

3.74

3.50

2.99

2.83

3.10

2.73

2.83

3.11

3.74

3.49

2.99

2.83
2.83

1.86

3.10

2.72

2.83

3.10

3.76

3.50

1.85;

3.11

2.72

2.83

3.11

3.79

3.52

2.98

2.84

1.87

3.13

2.74

2.84

3.12

3.81

3.55

3.00

2.85

1.79

3.05

2.71

2.81

3.06

3.60

3.40

2.96

2.79

2.96

3,23

4.25

3.93

3.07

2.93

i—

.

2.08

3.31

2.81

1.79

1943—:,
1943

3.09

2.68

2.§0

3.07

3.79

3.54

2.94

2.78

3.11

3.89

3.61

2.99

29,

1943-

2.86

3.31

4.29

4.00

3.13

2.97

1.88

3.15

2.74

2.86

1.95

3.37

2.85

3.01

"

2 Years Ago

29,

1942-

computed from average yields on the basis of one "typical" bond
(3% % coupon, 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 comprehensive way the relative levels and the relative movement
of yield averages, the latter being the true picture of the bond market.
♦These prices are

bonds used in computing these indexes was
issue of Jan. 14, 1943, page 202.

tThe latest complete list of

Chicago Res. Rank Leases
\dditional Space
President of the
Chicago,
innounced on May 27 that it had
eased through Albert H. Wetten
i Co. approximately 21,000 square
S.

Young,

federal Reserve Bank of

eet of space
he

.'

3.10

2.98

1944—

C.

'

3.10

1944

the

of the invasion.

hattan, is expected to perform a
major selling job, Mr. Ford said.
Twelve sections already have been

1 Year Ago

in

+0.2

formerly occupied by

Postal. Telegraph Co. ,on .the

ourth floor of the Insurance Ex¬




Decreases
0.5

Other foods

o.i

Grains
0.1

Meats

7

May

drive must match the relent*

less force

1.86

—

14

May

forces

armed

our

By comparison; the
demands upon us are light./ vi
"But in the intensity of our ef¬

1.87

,

—

21..

High

sacrifices

and

must undergo/

1.85
-

28

Low

not called on to meet the dangers

1.87

—

.4.

Low

We civilians are

invasion dollars.

1.81

—

18

High

of

terms

unprecedented urgency of the
country's needs at this critical
point in the war. The long-her+
aided and now apparently immi¬
nent 'D-Day' must find its coun¬
terpart in our coming drive for

1.83

25

Jan.

103.8

2.83

1.82

24-

however,

in

the

81.3

2.83

1.81

'

Feb.

1943

♦Preliminary.

2.83

17

10

"

products—

farm products

2.83

1.83

6

3.08

1.83

14

Mar. 31

5-22

1944

,*101.1 *101.0 *101.0 *100.9

2.83

1.83

^

2.97

1.82

21

—,

other

commodities

All

2.83

1.86

1.85

■

28—.

Apr.

farm

2.84

1.86

2

—

commodities

All

2.84

6
-

;

2.82

3.07

4-22

1944

97.3

—

——

_

products—

1.85

1.84

17

5-13

1943

*103.7 *103.6

*103.6

*123.3

May 20, 1944 from—

5-22

1944

2.80

2.96

3.05

3.06

16

'

4-22

1944

.*103.8

1.84

18

1944

20,

MAY

-

5-6

■

1944

All commodities

1.84

a

ENDED

1944

5-13

5-20

Commodity Groups-

20——

\

WEEK

2.80

3.05

23—_—

4

FOR

(1926=100)

22_„

.

PRICES

■

3.05

1.84

this job,

of

considered

be

to

New

May 13 to 20, 1944.

Percentage change to

1.83

25

)
f

following tables show (1) index nuftibers for the

Corporate by Groups*
P. U.
Indus.

27
26

Indexes

prices.

changing

report

to

principal
groups of commodities for the past three weeks, for April 22, 1944
and May 22, 1943, and the percentage changes from a week ago, a
month ago, and a year ago and (2) percentage changes in subgroup
The

R. R.

29

•'

promptly

attempt

(*), however, must be considered as preliminary and sub¬
ject to such adjustment and revision as required by later and more
complete reports.
.V'

WHOLESALE

Baa

Aa

Aaa

"The size
is

Bonds

•

marked

indexes from

Exchange Closed

May 30

•

will

tics

turpentine.

announcement also contains the
S// ■[''v;

Department's

Avge.

Govt.

Daily
Averages

and for rosin and

areas

The

Individual Closing Prices)

(Based on
TJ. S.

1944—

:

the

"The official opening date of
There was little demand for
quicksilver and the market remained in the slump which began at the drive is June 12 and the clos¬
the end of January when the government discontinued its buying ing date July 8, but, to avoid any
later misunderstanding, it should
program.
Prices again dropped 4.5% and are now more than 35%
lower than at the beginning of the year. Average prices for building be emphasized now that all sales
materials rose 0.5% as a result of higher prices for common brick in of the savings issues—E, F and G

111.25

116.41

of

commodity markets during the week.

111.25

118.20

excel

must

achievements

past," he added,

our

■.

.

few changes occurred in industrial

Industrial Commodities—Very

119.96

111.25

Loan

War

things and send every possible
dollar to support our fighting men,

than at this time last month.

119.69

120.21

best

reported for rye flour and for cured pork. Since last year
declined more than 5% but is 0.3% higher

were

the index for foods has

18—

25

Fifth

fort, in our determination to fore¬
go
all but the most necessary

rise of 0.1% in average

11.

Feb.
C

the
our

prices for fresh fruits and vegetables accounted
prices for foods during the week. Lower

The increase in
a

116.41

6

past, month, they are 2%

for farm products have risen 0.3% in the
lower than for the corresponding week of

118.40

1*

Mar.

240 pounds.

over

and tobacco increased fractionally; and

111.81

28

'

•

...

prices for fresh fruits and vegetables and for cotton,
average prices for farm products in
primary markets rose 0.7%
Quotations for light hogs were up more than 5%, while heavy hogs
continued to decline under OPA action in reducing ceiling prices on

111.81

2—

••••"

tiv

Apr.

increase of 1.4% for live¬

Farm Products and Foods—Led by'an

stock and higher

119.48

3

'v.t

to

4——

•

.

:

the all-commodity index has risen 0.2% in the past 4 weeks
the letfel of this time last year." The Department further reported:

State, as these quotas indicate, is
the greatest we have ever been
asked to perform/ Our efforts in

average,

119.48

•—

in

bles, cotton and naval stores, it was announced May 25 by the United
States Department of Labor, which stated that "at 103.8% of the 1926

5——:

>•

'L-'.

u

119.52

—

6-__

U'
•

,,v

index of commodity prices

Statistics'

116.61

9—

•

Labor

primary markets rose 0.2% during the week ended May 20 prin¬
cipally because of higher quotations for livestock, fruits and vegeta¬

117.20

24

i

of

The Bureau

(Based on Average Yields)

$47,201,000; Staten Island,
$12,011,000.'
'
'
v" '
"In responding to the nation's
call for the-largest war loan iri
the
history of the world," Mr.
Ford said, "our task in City and

published

change Building (South), at 175
West Jackson Boulevard, Chicago,
111. The lease runs for four years.

New York

Gify's Share Of fifth War Loan One-

York.

The

share

of

New

York^-

Upward of half
and

women

have

of

enlisted

a

the
as

million

men

State already
War

volunteer

Bond salesmen for this
this

number

is

drive, and
expected to be

during

whereas

the

the

last

national

drive,

quota

sulting from the winter loan.
New York City's goal for all in¬
vestor
classifications
is
$4,154,-

.

additional

space

June

1.

its

total

sales

of

acting as volunteer
will' carry • the
War Bond sales campaign, by per¬
sonal contact, to upward of 30,000)
firms and corporations in Man¬
hattan in a drive for maximum
ness

men,

committee

men,"

ments.,-.

and

.
.

executive

invest¬

.

is

.

by the Federal

each

4.4% less than the grand total re¬

substantially increased before the 808,000 which, according to Mr.
opening day of the campaign, Mr, Ford, is 12.8% higher than its
Fourth War Loan objective and
Ford said.
"
:
■
The over-all objective for New 3.3% larger than were the City's
;
York State has been set at $4,801,- War Bond sales.

is required
000,000 — 14.4% greater than its
Reserve Bank, it
goal in -the Fourth - War Loan.
is announced, because of increased
While this increase is in virtually
activity in the Fiscal Agency Di¬
the same proportion as that of the
vision resulting from the volume
country-wide objective; Mr. Ford
of Treasury Financing. The bank
pointed out that the State must
will take over the premises about raise an amount .2.9% greater than
The

in

corporate

made

State will be 30%.

chairmanship of key
clasfsification.

the

men

sion alone an estimated

campaign in world his¬
tory in nurhber of workers, in intensity of effort, and in its tremen¬
dous objective, the Fifth War Loan to be launched on Monday, June
12, will call on New York City to produce more than one-quarter of
the national quota of $16,000,000,000, it was announced on May 28,
by Nevil Ford, Chairman of the War Finance Committee for New
the greatest war financing

as

under

Through the activity of this divi¬
3,000 busi¬

Quarter Of National Quota Of $16
Heralded

consisting of more than 275

As in

past War Bond drives, the
City- will, account for the major
portion of the State total, its share
this
time, being
86.5%.
This
amount, is distributed among the
five boroughs as follows:

tan,

Manhat¬

$3,744,999,000; Brooklyn,

$4,665,200,000 $269,994,000;

Queens,

$80,603,000;>

Moody's Daily
250.4
250-6
250.?
Friday, May '26./—-—-——,——1—1250.7
Saturday, May- 27;—1:—
—
250.6
Monday, May 29.
—-——
,250.6
Tuesday, May 30—
*
Two weeks ago, May 16_——
250.0'
Month ago, -April 29.——.
249.5
Yeac ago/May 294-'—>-r
245.8.
1943 High; .April f .
——
249.8
'Low, '"JaiLn3i-_//_-----------r *240.3
1944 High; /March
17
—
251.5
Low, Jan. ;5-.
4
247.0,,

Tuesday, May 23,
Wednesday,

Thursday,

1944

May 24—

May

——

25——

—/

——

.

Volume 159

THE COMMERCIAL & FINANCIAL CHRONICLE

Number 4286

.

tics. Production for April came to

Weekly Goal And Coke Production Statistics
\

' '

The

Administration

Fuels

Solid

for

the

Interior, in its latest report states that the total production of
1944, is estimated at 12,300,000
net tons, a decrease of 260,000 tons, or 2.1%, from the preceding
week.
Output in the corresponding week of 1943 amounted to
11,429,000, tons.
Cumulative production of soft coal from Jan. 1 to
May 20, 1944, totaled 247,912,000 tons, as against 236,087,000 tons
in the same period last year, a gain of 5.0%%.
V.x ;
Production of Pennsylvania anthracite, according to the U. S.
Bureau of Mines, was estimated at 1,305,000 tons for the week ended
May 20, 1944, a decrease of 21,000 tons (1.6%) from the preceding
Week. When compared with the output in the corresponding week
of 1943, there was, however,' an [increase of 23,000 tons, or 1.8%.
The calendar year to date shows an increase of 4.4% when com¬
pared with the corresponding period of 1943/
:
:r .,
: '
The'Bureau of Mines also reported that the estimated produc¬
soft coal.in the week ended,May 20,

year.

;

Stocks

refined

of

tion of beehive coke in the United States for the week ended May
20, 1944, showed a decrease of 3,100 tons when compared with the
output for the week ended May 13, 1944, and was .16,400 tons less
than for the corresponding week of 1943.
Production for the 141
days ended May< 20, 1944, was 180,300 tons below that for the same
period of last year.
"[
■/
ESTIMATED UNITED STATES PRODUCTION
.

•■i

OP COAL,

————Week Ended-

'. Bituminous coal

May 20,
1944

May 13,

IN NET TONS

—-January

;May 22,

*May 20,

—

^Revised.-

yXXXx

,;*x.

/*x./.'•

.;

"■

-x "v"

of producers at the end of
totaled 39,830 tons, which
compares with 34,379 tons a month
previous and 29,186 tons a year

Buying of zinc for June
ment

1Q44

May 22,

May 20, xMay 22,

-

104"?

j

1Q44

May 25,

1943

demand
mark

1,305,000

1,326,000

1,282,000

25,594,000

24.509,000

29,572,000

^Commercial produc.

1,253,000

1,273,000

1,231,000

24,572,000

23,529,000

27,443,000

142,600

145,700

159,000

3,037,500

3,217,800

2,581,000

'Includes washery and dredge coal, and coal shipped by truck from authorized oper¬
ations. " fExcludes colliery fuel.
JSubject to revision.
gRevised.

/

*

ESTIMATED WEEKLY

:

PRODUCTION OP COAL, BY STATES

(In Net Tons)

;

x

/.V:/

.

(The current weekly estimates are based on railroad carloadings and river shipments
and

are

■State

subject to- revision

sources

receipt of monthly

on

tonnage

x

X

v'-

Alabama--

May 13,:
1944
!

xx

x:

established

in

June.

asked

time

So

for

a

.

May 6,

•

1944

far; brass mills have

x

388,000

5,000

5,000

5,000

83,000

53,000

8,000

154,000

161,000

160,000

,1,000

1,000

1,000

92,000 i

Colorado—————►

than

stocks

for
a

at this

accumulated

Ore

beryllium-copper

brisk pace, and the

of

obtaining sufficient
quantities of beryllium ore is re¬
ceiving increased attention from
To

further,

stimulate

Metals

production
Reserve Co. has

instructed its agents to pay up to

$14.50 per short-ton unit of BeO,
equivalent to $145.50 per ton, on
acceptable
ore
containing
10%

X

97,000

1,484,000

.Indiana.,

(

1,428,000

1,435,000

523,000

536,000 j
45,000

540,000

455,000

245,000

47,000

50,000

24,000

191,000

V

—

180,000/

143,000

68,000

Kansas and Missouri....

Ken tucky—Eastern...
.Kentucky—Western...—....
Maryland....—

Michigan—

980,000

38,000

38,000

792,000

'xv.

,

■v-y

127,000
20,000
1,000

6.000

5,000
80,000

4,000
79,000

34,000

41,000

-

32,000

28,000

28,000

.North & South Dakota (lignite)

37,000

~

32,000

15,000

718,000

706,000

3,095,000

140,000

465,000

; 2,934,000

1,995,000
84,000

700,000

3,257,000

152,000

—/

Pennsylvania (bituminous)....
Tennessee

289,000

35,000

39,000

-

"Ohio.....—

1,022,000

333,000

,

,

79,000

—

New Mexico--———;

939,000

>

395,000

.

Montana (bitum. & lignite)—
■

•»

;■—

.

-147,000
3,000

'

Texas (bituminous & lignite)—

3,000
/

124,000

Washington
tWest Virginia—Southern

; ■;

—...—

123,000

17,000

125,000,

378,000

418,000

i

27,000

25.000 ■

.

x

4,000
■

-

392,000

.

;

■

x

,

•

xx

the

33,000

2,i62,ooo

2,157,000

1,100,000

1,035,000
175,000

171,000

32,000

974,000

2,389,000,,'

1,675,000

'

tWest Virginia—Northern—

Wyoming......—.

x

168,000

SOther Western States—— :;

i.ooo

,

:

;

1,000

12,560,000

1,278,000

13,886,000
the B. & O.

in

13,428,000

Kanawha, Mason and Clay counties.

•

1.000

12,097,000

7,269,000

1,386,000

1,068,000

13,483,000

war

Tin
Can

„

manufacturers

asked

fornia, Idaho

and Oregon.

■

'Less

than

1,000

tons.

800,000 tons of tin-plate to
their

for

cover

requirements for the third-

quarter of the year.
for

However, be¬
heavy military demands

of

cause

sheet

metal, WPB allocations

of tin-plate for can production for

the

July-Sept, period Was fixed at
634,000 tons.
v
x;'•,[■
The market situation in tin
mains
tin

unchanged.

.shipment, in cents
pound, was as follows:
June

May

May

52.000

18-;—

re¬

Straits quality

for-

per

tRest of State, including the
includes Arizona, Cali¬

X

52.000

19

52.000

52.000

May

20—

52.000

52.000

May. 22__

52.000

52.000 «.:•

52,000

52.000

52.000

?

52:000

52.000

52.000

May

23

May

24

-

52.000
-

•

52.000

52.000

Chinese,

or

99%

tin,

held

"E. & M. J. Metal and Mineral

"

states:
To

-';xv '

■

Markets," in its issue of May 25,
:

''[/x

'

•

May27,'43
$46,465,000
3,654,000
Public construction—..—
42,811,000
State and municipal—
6,440,000
Federal
——„—36,371,000
v

demands for

May 18,'44
$26,907,000
9,724,000
17,183,000
6,716,000

In the

May25,'44
$27,885,000
5,865,000
22,020,000
6,278,000
15,742,000

10,467,000

classified

construction groups, gains over last week are
waterworks, sewerage, industrial and public buildings, and un¬
classified construction.
Gains over the 1943 week are in-industrial
in

buildings,
Subtotals

earthwork
for

the

and

week

drainage,

in

each

and

class

unclassified

of

construction.

construction

water¬

are:

works,

$453,000; sewerage, $433,000;' bridges, $323,000; industrial
buildings, $2,031,000; commercial buildings, $679,000; public build¬
ings, $10,777,000; earthwork and drainage, $499,000; streets and
roads,
$4,918,000; and unclassified construction, $7,772,000.
New

capital

for

construction

for

purposes

the

week

totals

$10,642,000 and is made up of $10,100,000 in corporate security issues
and $542,000 in State and
municipal bond sales.
New construction
financing for

1944 to date, $426,549,000, is 13% below
422,000 reported for the 21-week period last year.

the

$492,-

National Fertilizer Association

Commodity

P»ce
to

136.8

week.

in
A

is

on

now

ago

the

only

1935-1939

0.8%

average

100.

The all-commodity
corresponding period of

as

higher than the

The Association's report went on to
say:
The farm products and foods
groups were responsible for the
decline in the commodity price
average.
The grains group con¬
tinued to decline
fractionally for the third consecutive week as lower
*

quotations for

continued. ; The only item to increase in the live-.1
lambs, which advanced slightly. Heavy-weight hogs,
and live fowls declined sufficiently to cause the livestock
to reach a new low since December, 1943, and in turn caus¬
marked decline in the farm products group number.
Lower
rye

stock group was
ewes,

group
a

quotations for eggs and sharp declines in the prices of potatoes
and
lard caused the foods
group index number to reach the lowest point
since March, 1943.
The decrease in lard prices caused the fats and
oils index to decline to the October 1942
level.
The textiles group
was
the only group to advance as
prices for raw cotton increased
,

fractionally.

vxx[x '.xx

'7 [ x/[

six- declines,

quicksilver could have
been placed at $110 per flask, with
small lots available at $112 to $114
per flask. Compared with a week
ago,
the price declined $6 per

WHOLESALE

Compiled

by

The

COMMODITY

National

/

PRICE

Fertilizer

V

INDEX

Association

1935-1939=100*

Latest Preceding

,

Each Group

Month

Week

Bears to the

•"

Week

May 20,

Year

Ago

May 27,

Group

Total Index

buying of consequence
indicating that con¬
sumers' confidence in the price
situation remains badly shaken.
Reports : from the Pacific Coast

Apr. 29,

'n ;

1944

1944

1944

138.5

138.6

140.8

143.0

145.2

146.1

147.9

156.7

156.7

159.6

159.0

,

Fats and Oils

'.

Cottonseed Oil-

23.0

Ago
May 29,
1943

137.4

25.3

Farm Products-,—

154.4

155.0

155.5

201.0

199.7

200.5

202.0

Grains,—

164.6

164.7

164.8

Livestock

148.1

144.4

145.0

146.8

130.1

122.8

—

142.6

130.1

130.1

Miscellaneous commodities

132.2

132.2

132.2

130.1

Textiles—,

152.3

152.1

152.2

151.4

Metals—:

104.4

104.4

104.4

104.4

Building materialsChemicals

and

153.4

drugs

152.4

152.6

127.7

127.7

126.6

117.7

117.7

117.7

119.7

119.7

119,7

119.8

Farm machinery
All groups combined

153.4

127.7
117.7

Fertilizer materials—..
Fertilizers

100.0

,

152.8

Cotton,

in

consuming'foreign metal at a
summer.
and wire mills indicate that 61,720 tons of'imported copper were con¬
Silver
sumed in that month, out of a total consumption of 160,335 tons.
The London market for silver
.Bequests for foreign lead for June^
were
large. Zinc buying was in tons, against 45,068 tons in March. was unchanged throughout the
■good volume last week, but some¬ Ingot makers continue to absorb week at 23%'d. The New York
what below that of a month ago. a fair tonnage of primary copper, Official for foreign silver
con¬
Beryllium ore has been advanced owing to a shortage in suitable tinued at 443/4c, with domestic sil¬
ver at 70%c.
in price by Metals Reserve Co. scrap.
;
'
Lead
Quicksilver again declined sharply

',-x
WEEKLY

No

decline

-.x'x.

During the week two price series advanced while seven
declined;
preceding week there were seven advances and five
declines,
in the second
preceding week there were two advances and

in

continued

y[

May 29, declined
ending May 27 from 137.2 in the preceding
this index stood at 137.0 and a year ago at

week

1943.-

Effective May 22, quantity busi¬

copper,

the

month

135.7, based
index

and

ness

Average Recedes

The weekly wholesale
commodity price index, compiled by The
National Fertilizer Association and made
public on

in the

Quicksilver

fabricators are point to a
higher rate, April statistics of the brass output this

meet the extraordinary

brings

Total U: S. construction
Private construction——

developed,

'

Private
by 61%.
1944 volume to $734,-

year

,

at

51.125c per pound all week.

flask.

■

construction

result of the

a

$565,107,000, is 58% lower due to the 61% decrease in Federal work.
Civil engineering construction volumes for the 1943
week, last
week, and the current week are:
*

ing
July

52.000

May

K. & M.; B. C. & G.; and

Panhandle District and Grant, Mineral and Tucker counties,

week, but tops last

week's

as

year ago.

019,000 for the 21 weeks, a decrease of 51% from the
$1,491,759,000
reported for the period in 1943.
Private construction for the
period,
$168,912,000, is 13% above a year ago, but public construction,

market .quota¬

8,337,000

.

tlncludes operations on the N. & W.; C. & O.) Virginian;
on

61,000

y

X.X;

12,150,000

1,326,000

Pennsylvania anthracite..

555,000

current

$30 and $35
ton, depending on the grade.

28,000

243,000

The

varied between

129,000

x

,

Public construction tops a week
ago by 28%
rise in Federal
volume, but is 49% below a

work is 40% below last

The previous published pur¬
chasing basis was $120 per ton.

"

Georgia and North Carolina
•Illinois

51%

BeO.

2,000

Arkansas and Oklahoma—

metal

less

from

terial

per

x 1937

1943

399,000-

recent

but shipments were larger,
owing to the availability of ma¬

May 15,

397,000

-

Alaska

in

tion,

tions

May 15,

to the

up

month ago.

Before

Week Ended

:

State—

reports from district and

of final annual returns from the operators.)

or

quite

News-Record" for the corresponding 1943
week, and 20% lower than
the previous four-week
moving average
The report made public
on
May 25 went.on to say:
>.

Divi¬

months, but it is still too early to
obtain a clear picture of what ac¬
tual consumption will amount to

WPB.

Beehive coke—

total

not

was

problem

1929

'•Total incl.-coll. fuel

States

Zinc

sion. Some producers thought that

continues at

'

•United

the

from

Beryllium

Calendar Year to Date

§May 13,

1944

ship¬

volume

during the last week, following
receipt by consumers of allocation
certificates

engineering construction volume in continental United.
States totals
$27,885,000 for the week.
This volume, not
including
the construction by
military engineers abroad, American contracts
outside the country, and
shipbuilding, is 4% higher than the volume
for a week
ago, but 40% under the total reported to

.

substantial

Demand

Week Ended

|May 20,

in

was

for MRC.

;•

(In Net Tons)

Penn. anthracite—

Zinc

'/•';

x

Civil

"Engineering

J

ago.,

ESTIMATED PRODUCTION OP PENNSYLVANIA ANTHRACITE AND COKE

'T-^

the

lower rate of concentrate produc¬

-May 22,

v
and lignite—
1944
1943
1944
1943
1937
^Total, incl. mine fuel 12,300,000 12,560,000 11,429,000 247,912,000 236,087,000 184,455,000
Daily average
2,050,000
2,093,000
1,905,000
2,061,000
1,959,000
1,536,000

V

For Week

in

The Tri-State district reports a

1 to Date—:

May 22,

lead

hands

,

r

Engineering Construction $27,885,000

.

April

•

.

Civil

50,154 tons, against" 55',324 tons in
and 41,134 tons'in April

March

War, U. S. Department of last

2293

104.3

104.3

104.3

136.8

———

137.2

137.0

104.1

„

135.7

.

in

a

The publication

dull market.

further went

follows:

on
,

to say in part as
-

.

.

.

,

Copper
7.

Fabricators

consumed

160,335

Consumers

May 22 asked for
than 22,000 tons of foreign

Daily Prices

on

daily price of electrolytic
copper (domestic and export re¬
finery), lead zinc and Straits tin
needs, which points to another
month of high consumption of the were unchanged from those ap¬
metal.
Producers
estimate' that pearing in the "Commercial and
more

lead

to

round

out

their

June

29

1943dei05 7n 1926-1928 base were' May 27) 1944) 106.6;

Twentieth Century Fund
Aide Heads Special

Libraries Association
during
Financial Chronicle" of July
Mrs. Louise Field, Research As¬
31,
April, according to statistics cir¬ current consumption of : lead
culated privately in the industry. amounts to between 65,000 and 1942, page 380.
sociate, Twentieth Century Fund,
was elected President of the New
This high rate of consumption was 70,000 tons a month.
York Chapter of the Special Li¬
foreshadowed by heavy deliveries
Sales of domestic lead for the 1944
Convention Of The
braries Association at its annual
of copper by producers. Consump¬ week that ended May 24" totaled
tion
during March was 143,739 1,948 tons, against 14,021 tons in Nat'l Foreign Trade Council meeting held in New York City
on
May 25. Mrs. Field succeeds
tons, February 131,855 tons, and the preceding week.
The 31st National Foreign Trade
Eva Trachsel, Librarian of Curtis
January 131,562 tons. Fabricators
Domestic refineries shipped
44,- convention will be held in New
Publishing Company. Other offi¬
report stocks of 324.50J;rtops\as of 690 tons of refined lead
during York on October 9, 10,
11, it was cers include .Mary Anglemyer, Li¬
April 30, against 400.^91 tons a April, which compares with
55,449
announced on May 25 by Lindsay
year ago.
?
tons in March and 47,035 tons in
brarian, Post Library, Mitchell
Shipments of brass and bronze April last year, according to the Crawford, Secretary of the Coun¬ Field, L. I., who was elected First
ingots during April totaled 43,151 American Bureau of Metal Statis¬ cil.
Vice
President; Mrs. Abigail
tons

of

refined

copper

-




May 20, 106.9, and May

The

-

Hausdorfer, Librarian, School of
Library Service, Columbia Uni¬
versity, who was elected Second
Vice-President; Miss
Isabel
L.
Towner, formerly with the Na¬
tional Health Library, who was
elected Secretary;'and Adrian A.
Paradis, Department of Economic

Planning, American Airlines, Inc.,
who

was

riam
eral

elected

Zabriskie,
Business

Electric

Treasurer/ Mi¬

Librarian,

Library,

Company,

was

the Executive Board.
sel

will

officio.

serve

on

Gen¬

Western
elected to

Miss Trach¬

the

Board

ex

May 20,1944 Increased 11,400 Barrels
that the daily fiver-

The American Petroleum Institute estimates

the week ended May 20, 1944,
4,513,400 barrels, an increase of 11,400 barrels over the preceding
week and 507,650 barrels per day more than produced during the
corresponding week of 1943. The current figure, however, was 6,300
age

crude oil production for

gross

was

figure recommended by the
month of May, 1944. Daily
production for the four weeks ended May 20, 1944, averaged 4,491,300
barrels.
Further details as reported by the Institute follow: ...
Reports received from refining companies indicate that the
industry as a whole ran to stills on a Bureau of Mines basis JJPProximately 4,483,000 barrels of crude oil daily and produced 13,536,000
barrels of gasoline, 1,738,000 barrels of kerosene, 4,675,000 barrels of
distillate fuel oil and 8,415,000 barrels of residual fuel oil during the
week ended May 20, 1944, and had in storage at the end of that week
87,962,000 barrels of gasoline, 7,600,000 barrels of kerosene, 31,088,000
barrels of distillate fuel and 49,977,000 barrels of residual fuel oil.
The above figures apply to the country as a whole and do not reflect
barrels

than

less

the

daily

average

Petroleum Administration for War for the

conditions on the East Coast.
DAILY AVERAGE

V

"State
Allow¬

Week

Change

Recommen¬

ables

Ended

dations

begin

May 20,

Previous

—

285,000

Kansas

8.

334,200

319,800

f283,800

+

5.800

275,700

311,650

+

50

1,100

2,100

.j

*

1.

\%

147,200

146,400

Texas—

429,150

415,400

for

they

Odd-Lot

East Central Texas-

134,600

124,300

East Texas—,-——

364,100

363,600

339,300

West

Texas

ifornia, or Texas, or Utah should
be kept in operation after the war

39,790

Southwest

307,050

303,500
519,600

-—J

Total Texas

375,200

87,250

282,900

73,850

261,050

1,000

283,100

Louisiana-

3.

350,000

356,950

1,000

357,700

Total purchases

80,450

150

80,100

72,600

41,050

-rf 50

41,600

56,350

50

43,000

Mississippi
Alabama

14,000

——,—.—

211,400

219,700

750

13,100

57,430

(Not incl. 111., Ind.,

Total

Round-Lot

73,800

71,900

80,000

1,650

21,000

22,600

46,350

5,750

50,600

81,150

450

87,600

92,700

24,400

21,400

21,400

20,550

Short sales

7,200

8,200

"ioo

6,600

tOther sales

111,700

108,200

3,850

8,200
111,100

3,677,500
835,900

7,000

3,661,200

§840,000

4,400

830,200

3,224,450
781,300

4,513,400

+11,400

4,491,300

4,005,750

Colorado
New Mexico

Stock

111,700

Sales

Transactions

WEEK

A.

the

on

for

East of Calif

3,679,700
840,000

4,519,700

MAY

Exchange and

Stock

decentralization may have been a

depression

Total for Week

.X

■

—

781,570

Round-Lot

B.

1.

for

Account

Dr.-

786,505

—

Transactions

Transactions

of specialists in stocks in which

are registered—
Total purchases

for

that

predicted

Thompson

after

54,695

immigration

restricted

more

•

.

eco¬

...

there would be a popular demand

Members:

of

normal

of

line

development."

nomic

rather

phenomenon

the

than in

4,935

-

96,950

>

rapid decentralization

a

population. Indeed, it seems to
that the war has probably

1940,.although this beginning of

(Shares)

1944

6,

Total Round-Lot Sales:

they
Total United States

Curb

York

Members*

of

ENDED

Total sales

Total

California

New

Account

any

given a sharp setback to the de¬
centralizing trend which seems to
have
begun between
1930 and

16.65

585,238

—

57,900

94,000

—

Montana

550

21,650

54,000

Michigan
Wyoming

70,850

23,000

—

me

527,808

tOther sales——

Eastern—

Ky.)

of

620,155

14,250
Total sales_

Kentucky

for

expecting
—:

therefore,-1 do
great regional

whole

the

look

can

2.89

Total—

——

be greatly in ex¬
production, y

change in industrial activity nor
I see any rational basis for

94,918

Short sales

if,900

not

103,238

Total purchases—

12,350

3

Indiana

4.

100

214,600

220,000

Illinois

——4

,

"On

106,075
8,320

;

—

unless

post-war produc¬

of

volume

tion is going to
cess of pre-war

4.84

164,810

Total sales—

100

50

Florida

the

off the floor-

fOther sales—

348,300

77,991

100

—

390,500

76,700

Louisiana—

Total

Arkansas

155,490

—

Other transactions initiated

corporations which already
adequate productive capacity

in the East before the war

185,700

:.

9,320

Short sales
—

had

1,502,400

74,800

——

,—

Total sales

North Louisiana-.,-,,.

Coastal

1,974,200
—

by

8.92

317,190

.

Short sales

I Other sales,

1,995,500

1,972,000 $1,976,904

Total purchases———

214,000

519,850

Texas—

'Coastal Texas—

277,400

____—

—

Other transactions initiated on the floor—

2.

concerns

why new plants in Cal¬

reason

no

328,380

Total sales

larger

which will have a surplus capacity
when the war is over., I can see

„—,

tOther sales

the

from

tion

-

stocks in which
:.-■'■■■

Short sales

small

in

localities to survive after the war.

have to meet very severe competi¬

Members,

of

#

registered—

are

of

Account

Accounts

for

226,750

137,150

North

a

.

products with which their man¬
agement is unfamiliar but will

3,518,930

—

3,619,170

Transactions of specialists in

91,100
131,750

91,000

,,

They are not integrated into ouj*
economy and to survive they will
not only have to turn to making

I

.

100,240

!

.

Total purchases

91,000

Panhandle Texas—.,

•

1944

6,

—,,——_—

the Odd-Lot
Dealers and Specialists:
Except

300

900

MAY

ENDED

:'

Total for Week

Transactions

Round-Lot

1943

tl,000

———-

Oklahoma
Nebraska

WEEK

(Shares)

Members*

of

and Round-Lot Stock

Exchange

Stock

York

Account

for

Total sales

4-

t333,850

328,000
269,600

the New

on

Total Round-Lot Sales:

Ended

May 22,

Week

1944

May 1

May

330,000

Sales

Transactions

tOther sales

1944

established

factories

Stock

Total Round-Lot

Short sales—

May 20,

•//.'

.

Week

Ended

has gained during

trial position.it
the war.";

showing the volume of total round-lot stock sales On the
According to
Dr, Thompson/
the New York Curb Exchange and centralization of population
in
the volume of round-lot stock transactions for the account of all
large manufacturing centers will
members of these exchanges in the week ended May 6, continuing
continue after the war. This will
a series of current figures being published weekly by the Commission.
be particularly true of those cities
Short sales are shown separately from other sales in these figures.
which had' diversified industries
Trading on the Stock Exchange for the account of members before the war, he said.
(except odd-lot dealers) during the week ended,May 6 (in round"Also making for the perpetulot transactions) totaled 1,205,393 shares, which amount was 16.65%
ation of the war-time centraliza¬
of the total transactions on the Exchange of 3,619,170 shares. This
tion of population" he said, is the
compares with member trading during the week ended April 29 of fact "that war contracts have been
945,576 shares, or 14.70% of the total trading of 3,216,380 shares. On heavily concentrated in the hand&
the New York Curb Exchange, member trading during the week
of
a
relatively few large con¬
ended May 6 amounted to 226,550 shares, or 14.40% of the total
cerns." Dr, Thompson also ob¬
volume on that exchange of 786,505 shares; during the April 29
served: :
; ^'.c.
'■.?v:
week trading for. the account of Curb members of 241,450 shares was
"I do not expect many of the
15.31% of total trading of 788,150 shares:.
.V-

A.

4 Weeks

from

indus¬

West Coast to maintain the

New York Stock Exchange and

Actual Production

•P. A. W.

Commission made public on May

Securities and Exchange

The

+

20 figures

(FIGURES IN BARRELS)

CRUDE OIL PRODUCTION

basiq industries .will enable the

Trading On New York Exchanges

Daily Average Crude Oil Production For Week
Ended

Thursday, June 1, 1944

FINANCIAL CHRONICLE

THE COMMERCIAL &

2294

the

that

He also said

war.

'

♦P.A.W.

recommendations

and

state

allowables,

as

represent

above,

shown

Short sales—.,

the

production of crude oil only, and do not include amounts of condensate and natural

47,525

.

derivatives to be produced.

gas

the

net

basic

allowable

of

as

1

May

Total purchases—.

X

_

RUNS

TO

STILLS;

UNFINISHED

AND

PRODUCTION
GAS

GASOLINE,

RESIDUAL

FUEL

GASOLINE;

OF
OIL

STOCKS

DISTILLATE

AND

525

I

21,010

Total sales

WEEK ENDED MAY 20,

OIL,

Total purchases

in

this

plus an estimate
——therefore on
:•

•

l,y■'

4.

Short sales

at Re-

Potential

Finished

Includ.

and Un-

tStocks tStocks
of Gas

of Re-

Oil and

% Op- Natural finished

Daily

Oil

Gulf,

Total sales

2,518

2,313

90.3

91.9

38,226

6,449

16,085

"members"

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

compared with
105

83.9

130

1———

80.8

341

232

484

2,452

.

23,921

term

and

tin

14,639

Appalachian—
District No.

.

38,948

•The

firms

Louisiana-Arkansas,
and inland Texas,,

38,948

Total purchases—

Louis¬
North

Gulf,

iana

Ux

0
+

——

Fuel

•Combin'd: East Coast
Texas

ists

14.40

47

87.2

53

112.8

132

1,264

132

161

Ind., 111., Ky.——

824

85.2

763

92.6

2,774

19,549

5,064

2,782

Okla., Kans., Mo

418

80.2

361

86.4

1,320

8,252

1,320

26.9

12

150.0

40

75

6

334

549

7,653

30,356

volume includes

tRound-lot

short

sales

only

District No. 2

—

*

rules

are

included

§Sales

with

which

"other

on

the

Exchange for the

reason

that

specialists.
STOCK

marked-"short

exempted from restriction hy the

are

Week

included with

"other

141

—

58.3

92

65.2

357

817

District No. 4——

89.9

784

96.0

2,123

Total U. S. B. of M.

-

':'

'

basis May 20, 1944_

4,903

4,483

87.3

Totalu. s. b.of M.
basis May 13,

91.4

13,536

f87,962

31,088

49,977

13,618

87,823

30,763

; V
49,737

10,415

85,649

30,837

67,754

'•

1944_

87.3

4,903

89.7

4,400

U. S. Bur. of Mines
'

3,689

basis May 22, 1943,

request of the Petroleum Administration for War.
unfinished, 12,306,000 barrels.
tAt refineries, at bulk

"At the

barrels;
and
gas

fFinished, 75,656,000
terminals, in transit

pipe lines.
§Not including 1,738,000 barrels of kerosine, 4,675,000 barrels of
oil and distillate fuel oil and 8,415,000 barrels of residual fuel oil produced during
in

barrels
and
8,399,000 barrels,
respectively, in the preceding week and 1,450',000 barrels,
3,613,000 barrels and 7,422,000 barrels, respectively, in the week ended May 22, 1943.
the week

ended

May 20,

Note—Stocks

against

of

1944, which compares with 1,637,000 barrels, 4,545,000

kerosine

at

May

20,

7,049,000 barrels a week earlier

7,600,000 barrels,
6,112,000 barrels a year before.

1944

and

Savs. Bank Officers Elect
The annual meeting of

the Sav¬

ings Banks Officers Forum, Group
was

held

nouncement

recently

was

amounted

to

as

sales."

Leadership
After War, Thompson Tells New York Group

"When peace comes those com-'
munities which have grow very

made

These

include:

as

a

are

result of new
likely to lose

like the
war

13,

Total

tion

in this

Brownell, Union

Square Savings

of

the

Bank, Secretary;

and William G.

Beacom, Dry Dock Savings Insti¬

George A. tution, Treasurer.

"But

while

Los

as

a

425,975
__

$18,401,648

short

148

sales--

15,590

•Customers' other sales

Customers', total

15,738

sales

Customers'

short

sales—

4,852

•Customers'

other

sales---

386,645

Customers'

total

Dollar

value

391,497

sales.

$14,194,356

v—

Round-Lot Sales by DealersNumber of Shares:

Short sales

70

fOther sales

that

Angeles, San operation beside which all pre¬
Francisco, Seattle, Portland and a vious efforts of chambers of com¬
number of other large cities may merce .would fade into insignifi¬
lose
population rapidly in the cance. Indeed, only the entry of
immediate
post-war years they our western states into the field
will not be deflated to anything of the state ownership of certain

15,529

»

—

Number of Shares:

coopera¬

we have never
yet had
country—a degree of co¬

shares—

value

Customers'
.

the smaller

degree of community

orders

of

for Week

,

(Customers'sales)

industries but this would involve

he added:

H,

extent

.

'

1944

Number of Orders:

communities.

They
might even retain some of their
growth if they could organize new

Savings Bank of Westchester Co.,

Randolph

same

boom

population at an extremely rapid
rate." Dr. Thompson said. In part

an¬




industries

ODD-

Odd-Lot Purchases by Dealers—

regain the position of industrial feadership they enjoyed before the
war, Dr. Warren S. Thompson, director of the Scripps Foundation
for Research in Population Problems, told members oi the New York
University Institute on Post-war Reconstruction on May 17, in the
University's School of Education^
:—

Auditorium, 35 West 4th Street.

of

Number

Dollar

With the return of peace Eastern cities which have lost
popula¬
tion to the aircraft and shipbuilding centers of the Pacific coast will

Smyth, East River Savings Bank,
President; Gabriel Wendel, Union
Vice-President;

Number

Eastern Cities Will Retain Industrial

rapidly purely

and

election of officers for the coming
year.

May

(Customers'purchases)

war

IV,

Ended

Odd-Lot Sales by Dealers

District No. 3

——

THE

STOCK EXCHANGE

Commission's

Rocky Mountain—•

California

"
FOR

AND SPECIALISTS ON THE N. Y.

sales."

exempt"

'

'

TRANSACTIONS

LOT ACCOUNT OF ODD-LOT DEALERS

sales.

are

the

on

Exchange, con¬
tinuing a series of current figures
being published by the Commis¬
sion. The figures are based upon
reports filed with the Commis¬
sion by the odd-lot dealers, and

29

2,271
15,873

Exchange

1,229

8

the

twice the total round-lot volume

who handled odd lots

New York Stock

—

§Custt>mers' other sales*

account

of all odd-lot dealers and special¬

115,495

C. Odd-Lot Transactions for Account of SpecialistsCustomers' short sales..

sidual

Distillate
porting Average erated Blended Gasoline Fuel Oil
% Re-

Rate

District—

Runs to Stills

;

\.tStocks

fineries

Crude

odd-lot

for

transactions

111,705

V'yir Total sales

Production

Daily Refining
Capacity

3,790

,

p u

showing the daily volume of stock

111,055

pother sales

made

May 13 a summary for the week
ended May 13 of complete figures

4.84

44,070

TotalTotal purchases

Exchange
b 1 i c # on

and

Securities

The

Commission

^

■/

•

NYSE Odd-Lot Trading

43,170

Total sales

1944

■

2.91

900

...

tOther sales

section include reported totals
of unreported amounts and are
a
Bureau of Mines basis

-v.IGasoline

r1

f

'*

32,110

:

AND

FUEL

(Figures in Thousands of barrels of 42 Gallons Each)
Figures

21,535

...

Other transactions initiated off the floor-

3.

FINISHED

OF

24,250

——

Short sales.

I Other sales...

Short sales

CRUDE

6.65

49,890

2. Other transactions initiated on the floor-

calculated on a 31-day basis and
Includes shutdowns and exemptions for the entire month.
With the exception of
several fields which were exempted entirely and of certain other fields for which
shutdowns were ordered for from. 1 to 14 days, the entire state was ordered shut
down for 7 days, no definite dates during the month being specified; operators only
being required to shut down as best suits their operating schedules or labor needed
to operate leases,
a total equivalent to 7 days shutdown time during
the calendar
month.
SRecommendation of Conservation Committee of California Oil Producers.
is

Total sales

'r'

1944.

tOklahoma, Kansas, Nebraska figures are for week ended 7:00 a.m. May 18,
JThis

•

considerations
would
probably not result in the strate¬
gic decentralization of industry in
this country as it will in countries*
which have been subjected to in¬
tensive bombardment from the air.
military

2,365

—

tOther sales.

118,460

Total sales

—

—

118,530

Round-Lot Purchases by Dealers:
Number
•Sales

of

shares

marked

"short

—.

exempt"

137,430
are

re¬

ported with "other sales."
*
tSales. to offset customers' odd-lot orders,
and sales to
is

less

than

liquidate a long position which
a round lot are reported witl)

"other sales."

Volume

Number

159

THE COMMERCIAL & FINANCIAL CHRONICLE

4286

Total Loads

Revenue Freight Oar

Loadings During Week

Railroads

Total Revenue

freight for the week ended May 20, 1944,
totaled 871,105 cars, the Association of American Railroads announced
;on May 25.
This was an increase above the corresponding week of
1943 of 27,263 cars, or 3.2%, and an increase above the same week in
1942 of 33,429 cars, or 4%.
v
revenue

'

freight for the week of May 20 increased
0.3%, above the preceding week.

Loading of

'2,796

cars, or

revenue

1944

Alabama,. Tennessee & Northern

;

cars

above the preceding week, and

above the corresponding week in 1943.

increase of 5,224 cars

an

'

,

loading amounted to 176,870 cars, a decrease of 2,263 cars
.below the preceding week, but an increase of 10,058 cars above the
corresponding week in 1943.
■
■
;
•

Grain and grain products loading totaled 40,640 cars, an increase
of 629 cars above the preceding week but a decrease of 2,289 cars
1

below

the

corresponding week in 1943.
In the Western Districts
alone, grain and grain products loading for the week of May 20,
;
totaled 25,288 cars, an increase of 632 cars above the preceding week
•but a decrease of 2,570 cars below the corresponding week in 1943.

1944

1943

386

455

3,359

2,985

Atlanta, Birmingham & Coast**.

711

770

876

1,432

1,311

12,320

12,587

12,862

107235

gratulate School

261

673

10,996

Atlantic Coast Line**—
Central of

.*

Georgia

3,780

4,281

3,551

5,239

469

411

1,855

2,112

1,665

1,548

1,608

2,953

2,935

236

**—

Columbus & Greenville*

331

322

258

Florida*

•

153

109

209

652

604

1,672

2,074

1,721

1,487

1,761

Gainesville Midland—

Georgia &

52

37

1,254

1,110

340

——

31

158

94

1,226

3,095

3,199

•

373

363

698

583

Gulf, Mobile & Ohio****——

3,996

3,840

4,301

4,215

4,349

Illinois Central System*—*—

28,748

25,526

27,773

17,037

22,039

25,761

27,547

27,386

12,602

11,632

207

209

154

1,092

833

—

Macon, Dublin & Savannah*.

Mississippi Central

A

Social

the

Livestock loading amounted to

V.
cars

the

14,484 cars, a decrease of 1,225
below the preceding week, but an increase of 1,150 cars above
corresponding week in 1943,
In the Western Districts alone

'

loading of livestock for the week of May 20 totaled 10,882

cars,

a

'decrease of 1,073 cars below the
'

1,217

cars

preceding week, but an increase of
above the corresponding week in 1943.
,vvv-;:v,

Forst

products loadings totaled 46,836 cars, a decrease of 376
cars below the preceding week but an increase of 2,191
cars above
the corresponding week in 1943. %
%
Ore

loading amounted to 86,779 cars, an increase of 7,227 cars
above the preceding week and an increase of 2,776 cars above the
'corresponding week in 1943.
Coke

below

the

loading amounted to 14,851 cars, a decrease of 155 cars
preceding week, but an increase of 606 cars above the

occasion

toria
tions

from

York

were

751

342

4,841

1,227

1,269

Roosevelt,

1,706

1,605

365

325

1,083

1,181

dressed to Louis S.

System*—

393

529

10,869

11,599

10,639

11,242

11,289

9,298

8,281

24,032

...

*

22,142

23,075

25,335

23,960

929

954

Tennessee Central-*-'*—*——*

732\

623

674

Winston-Salem Southbound—*.

134

130

123

1,210

121,707

125,018

122,647

19,393

21,526

13,062

12,777

2,828

2,450

2,294

3,089

3,004

21,191

19,034

19,015

11,060

9,918

3,351

3,260

3,326

30,048

26,294

28,610

191

163

671

1,186

1,290

510

447

10,371

10,776

*

School,

Chicago Great Western*

May 18, 1944.

Chicago, Mihv,, St. P. & Pac
Chicago, St. Paul, Minn. & Omaha*.
Duluth, Missabe & Iron Range—
Duluth, South Shore & Atlantic***.
Elgin, Joliet & Eastern
Ft.

3,637

—

Northern

9,230
242

407

592

43

99

21,765

24,149

24,209

7,119

5,906

8,337

10,725

Green Bay & Western———
Lake Superior & Ishpeming—

442

424

557

1,010

834

1,980

2,984

3,272

56

33

Minneapolis & St. Louis.

1,869

1,957

1,898

2,455

1,923

6,697

6,665

7,416

4,458

3,039

10,230

10,497

10,371

5,954

Minn., St. Paul & S. S. M._

;*v—.

Northern Pacific

,

Spokane International

;

5,657

180

171

172

760

2,793

2,535

2,510

3,528

133,230

129,743

137,429

67,708

62,622

22,573

Central Western District—

Atch., Top. & Santa Fe System-

12,126

13,020

3,450

4,826

671

88

123

Chicago, Burlington & Quincy**
Chicago & Illinois Midland

17,957

16,364

15,826

13,611

10,486

3,540

2,800

2,560

839

824

compared with 1942, except the Eastern, Allegheny, Centralwestern

Chicago, Rock Island & Pacific-

11,517

12,726

11,341

12,637

12,980

Chicago & Eastern Illinois—.

2,538

2,379

2,559

6,444

5,665

Colorado & Southern**—

698

715

783

2,462

;

2,287

Denver & Rio Grande Western-

6,026

5

Weeks of

4

weeks

4

;

weeks

January***

of

May

Week

of

May 20j*

3,055,725

3,122,942

3,073,445

3,174,781

3,924,981

4,209,907

816,538

839,286

868,309

*

6__—,—13—

•Week

3,858,479

3,135,155
4,068,625

.—

weeks of April

'Week of May

3,531,811

836,978

March.,

'

5

1942

.

3,159,492

February******—**,—.—

of
of

3,706,477

__*____■

1943

;•

849,032

839,054

—

871,105

843,842

837,676

16,736,141

16,095,374

16,882,125

—

—•

3,624

3,386

2,747

6,107

Denver & Salt Lake***

699

642

626

21

29

Fort Worth & Denver City
Illinois Terminal*

804

780

888

1,914

876

1,009

I,383

688

439

1,748

Missouri-Illinois**—

1,546
2,079

2,018

129

126

*

Nevada Northern

North Western Pacific*——

Peoria & Pekin Union

829

Union Pacific

The following

table is

a summary

of the freight carloadings for

'

the separate

railroads and systems for the week ended May 20, 1944.

Utah—*****

•

.

' REVENUE 'FREIGHT

LOADED

AND

10

0

0

28,815

13,846

13,265

247

239

288

2,015

1,743

System*—.

14,077

12,295

II,576

17,234

16,389

541

579

591

1

2

*********

;

j.* ******

Western Pacific

2,229

FROM

1943

255

Connections

1,384

359

232

1,115

750

3oston & Maine

7,019

6,479

6,034

14,810

14,364

Chicago, Indianapolis & Louisville*.

1,377

1,470

1,360

2,065

1,948

3angor & Aroostook

.

Central Indiana******.*—**

Central Vermont-.

38

—

1,067

——

Delaware & Hudson—
V

:

.

-V

■■■'■ 51

2,139

2,519

12,907

12,343

.

7,820

12,172

7.553

12,426

91

.283

316

278

1,781

1,829

1,767

1,324

1,371

."341

282

278

2,561

2,855

.

——*.

Detroit & Toledo Shore Line

■

v

„

95

13,535

13,267

13,914

17,210

3,677

3,487

8,683

8,241

187

237

195

3,115

96,319

1,032

133

586

169

2,076

2,188

1,592

Lehigh & New England——
tehigh Valley-*-—.
———
Vtaine Central————

9,186

8,039

8,879

16,975

2,162

2,199

2,946

Mionongahel'a———**-—•*--—

6,513

6,470

6,289

296

Contour—

2,772

Sew

Slew

2,489

2,314

23

51,238

51,917

45,398

54,704

10,313

9,683

9,900

19,466

—

v

.

Hartford—***—
York, Ontario & Western—_*
York, Chicago & St. Louis—

1,194

1,080

963

6,400

7,239

7,859

505

561

412

-

SI, Y.,

Susquehanna & Western—.
Pittsburgh & Lake Erie*————*.
Pere

Marquette——

2,448

<

2,924

3,192

360

1,103

1,060

announced at the dinner that the

716

552

286

Missouri & Arkansas*——A**—

189

97

129

564

121

6,603

5,015

4,757

5,325

3,381

16,005

14,271

15,494

20,198

20,915

Missouri-Kansas-Texas Lines*—******
Missouri Pacific*****!**

V

Quanah Acme & Pacific******

■

70

51

102

363

212

St. Louis-San Francisco

8,603

6,867

8,196

8,837

9,305

St. Louis

2,948

2,860

2,756

7,594

6,799

Southwestern*****.**

Texas & New Orleans

13,193

14,838

10,266

5,144

5,390

4,480

4,941

3,964

7,669

9,062

119

99

163

60

45

26

'28

43

46

17

73,886

Texas & Pacific.

68,344

64,095

71,650

67,965

Weatherford M. W. & N. W

Wichita Falls & Southern*—.

Total——

;

Note—Previous

4,964

163,113

158,001

236,709

230,235

779
48,428

756
41,738

680
40,530

1,252
28,567

•Bessemer & Lake Erie———-

7,321

6,631

7,737

2,196

We

give herewith latest figures received by us from the National
Paperboard Association, Chicago, 111., in relation to activity in the
paperboard industry.
,
■

;Buffalo Creek & Gauley————

;309
1,634
7,203

264
1,303
6,998

325
1,978
6,767

5

4

3

6

20,293

22,387

515

669

621

54

41

The

2,169

—

Cambria & Indiana———***-**,

members

of

this

Association

represent

.Central R. R. Of New Jersey——

Cornwall*.

-*.

.*——...

1251
163
1,323
Penn-Reading Seashore Lines*,—.
1,743
Pennsylvania System—
*****
88,998
.Reading Co.—15.298
Union (Pittsburgh)—
20,500
Western Maryland
4,125
Cumberland &

Pennsylvania*—*—**—

276
,145
1,121
1,765
83,883
15,167
22,011
4,011

.Ligonier Valley—*****
—
Long Island
———

-—

—

—

,

<

303
136
884
1,730
83,307
14,517
21,455
3,906

13

19

39
3,889

35
3,986

2,882
69,045
27,306
7,495
12,529

3,215
69,384
29,227
7.7Q8

12,652

83%

of

the

total

program includes a statement each week from each

Pocahontas

186,738

184,876:

175,568

•

181,007

District'

Virginian
Total

—-—-




*.

29,435

28,838

14,360

14,435

21,725

*

Norfolk & Western——,—*

29,037

22,773

22,522

7,752

7,498

4,688

Chesapeake & Ohio———

4,784

4,245

2,152

2,057

55,450

56,992

55,605

24,264

23,990

19,

Dr.
to

voted

Miller
amend
so

re¬

the

that. it

now
confer the Bachelor of
Arts degree in addition to
Master,
and Doctor of Social Science de¬

can

grees.

included Sena¬

Utah, Dr.
Johnson, director of the
School, and Dr. George N.
Shuster, President of Hunter Col¬
lege. Leon Fraser, chairman of
the 25th anniversary committee of
the New School, was toastmaster.

Lumber Movement—Week
Ended May 20, 1944

Trade Barometer
MILL ACTIVITY

production

Unfilled
Orders
Period

Received

1944—Week Ended

Feb'.

5

Feb.

19—

Feb.

26

—

—

March

1—

April

151,102

628,048

97

630,449

97

94

148,533

609,429

96

94

139,044

621,875

93

94

146,926

655,682

95

94

150,940

639,537

95

94

147,604

613,978

97

94

138,724

8—_*_—*.

94

144,761

125,806
—.

95

152,627

+,

141,959

607,537

93

94

650,606

179,056

144,422

635,727

94

94

15

145,936

143,883

636,176

92

94

April'

22

138,712
147,768

158,871

610,555

98

94

29—**.—*i»*.

156,041

601,880

98

95

6*—

186,666

158,534

628,495

98

95

144,921
140,287

150,435

620,728

95

95

157,370

602,062

97

95

April

May .13
May

20——.

new

orders

7.5%

of

•

reports, orders made for
ments of unfilled orders.

or

filled from stock, and other items made
necessary

adjust¬

2.5% above

week

ended

In the

same

week

these

mills

were

of the

Unfilled

reporting mills

amounted to 126.0% of stocks.

For

reporting softwood mills, unfilled
orders are equivalent to 41 days'
production vat the current rate,
and gross stocks are equivalent to
31 days' production.For the

year-to-date, shipments
reporting identical mills ex¬
ceeded production by 8.0%; orders
by 12.2%.
Compared to the average cor¬
responding week of 1935-39, pro*s
of

duction

of
,

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

were

the

below production.

order files

93

151,870

178,375

25

April

Current Cumulative

136,105

18—

March

Remaining
Tons

for

May 20, 1944.
Percent of Activity

154,797
130,252
151,980

4.

11

March

Orders

185,069

*

—

March

Tons

Tons

12—

Feb,

Production

May

198,590

May

school's absolute charter

the

April

..

ing on
ported,

production, and also a figure which indi^
According to the National Lum¬
activity of the'mill based on the time operated.
These ber
Manufacturers
Association,
figures are advanced to equal 100%, so that they represent the total lumber shipments of 508 mills re¬
industry.
J' •
■
\v:;
■
porting to the National Lumber
cates

STATISTICAL REPORTS—ORDERS, PRODUCTION,

,

school had received the power to
grant the Bachelor of Arts degree.
The Board of Regents, at its meet¬

Alvin

Weekly Statistics Of Paperboard Industry

28,887

Baltimore & Ohio—

Hillis

New

.

-

J.

tor Elbert D. Thomas of

"•Previous week's figure.

1,287

—

paper we

Dr.

Other speakers
year's figures revised.

member of the orders and

1,017

11,621

,

the school "as a genuine and cre¬
ative addition to the cultural life
the city and the State," and

of

3,464

industry, and its

1,049

...

benefit
the New

He saluted

ago.

329

10

4,299

Allegheny District—-

at

courses

years

353

270

13,619

Akron, Canton & Youngstown

15

the

3,581

3,934

7,544

387

,

attending

School

had

697

2,735

164,792

had

459

1,011

9,949

5,608

.

of

he

3,650

1,214

::

that

out

Madison************!
Valley———*****

322

342

message,

according to the "Times," pointed

Midland

378

4,957

Very sincerely yours,
FRANKLIN D. ROOSEVELT.
Governor Dewey in his

Litchfield &

413

6,702

in the decades that lie ahead.

quote:
Miller, Associate
State Commissioner of Education,

33

365

school's
devotion to the ideals of freedom
and the spirit of liberalism
will
continue and that the
sphere of
its influence for good will broaden

same

7,905

6,312

re¬

the

276

9,658

5,666,

institution

an

international
that

1,714

709

——

and

trust

2,863

8,214

5,105

Jutland-————

I

5,185

5,355

Wheeling & Lake Erie———.

beginnings to

national

nown.

4,746

924

iVabash—i— *—*—

of

6,072

City Southern***—*—**

1,333

Pittsburgh & West Virginia—**—.

small

2,367

7,728

-

deep signifi-'

institution
of
learning established under the in¬
spiration of freedom has blazed
new
trails and grown from its

3,654

5,221

.

of

this

908

,883
! 385

.

therefore
that

2,927

7,905

—

Pittsburg & Shawmut—
——.
Pittsburg, Shawmut & North—i—

is

3,937

4,881

,

It

250

2,481
15,793

1,917

education.

3,049

111

3,666

ever-

5,068

18,935

16,512
,

an

232

53,438
:

atmosphere

This is particu¬
in the field of

2,528

390

ST. Y„ N. H. &

changing world.
larly important

6,476

1,963

tfew York Central Lines——-.

an

vitality in

285

14,099

2,204

"

of youth and

2,735

1,671

.*•:

It shows that the

maintains

7,437

*^*, •.'V;

2,610

1,952

—

tehigh & Hudson River—.——

3,524

100,114

19,158

3,867

—,—*—*-**—

Drand Trunk Western—*—,

31

28

952

6,846

1,120 ;
6,337

7,900

Detroit, Toledo & Ironton—*—
Srie—*

1,672

36

-r*

6,020

Delaware, Lackawanna & Western*
Detroit,.& Mackinac—

4,242

112,652

315

Louisiana & Arkansas—

1943

1,525

469

"New School."
school

Northern***!***„.

Kansas

1944

1942

276

glad, too, that after 25
outstanding work you
cling to the original name
of

Kansas, Oklahoma & Gulf—**_—

Received from

Freight Loaded
1944
*»*

still

said that its '"place among insti¬
tutions of learning is unquestioned
and
unchallenged."
From
the

International-Great

Total Revenue

District-

1,987

117,205

Burlington-Rock Island—

CONNECTIONS

WEEK ENDED MAY 20

Railroads
Eastern

2,227

121,718

Southwestern District-—

RECEIVED

Total Loads

inn Arbor

692

4

31,229

Gulf Coast Lines

(NUMBER OF CARS)

748

1,012

4

31,454

During the period 77 roads showed increases when compared with
-the corresponding week a year ago.

1,102

2,404

—.

*

Southern Pacific (Pacific)

Toledo, Peoria & Western
<

years

1,469

*2,158

1,511
*1,915

anniversary of

am

cance

Total.

the 25th

on

founding.

I

631

V

2,853

1944

its

■3,687

—

Spokane, Portland & Seattle

22,204

Southwestern.

search

3,773

_—*—_.

Dodge, Des Moines & South

Great

hearty congratulations to
and through you to all friends

of the New School for Social Re¬

650

All districts reported decreases

given in the New

as

My
you

Northwestern District—

Chicago & North Western*——

2,553

week in 1943 except the Pocahontas.

ad¬

Weiss, Chair¬

Dear Mr. Weiss:
*

and

;

President

message

York ''Times," said:

123.876

19,713

his

of the Board of Directors of

man

the

the

congratula¬

announced.

in

868

123,439

Total*—-

21,901

All districts reported increases compared with the corresponding

signalizing

396

Seaboard Air Line——

anni¬

Dewey of New

4,644

413

25th

also

Gov.

980

Alton— *2———*

.•

22

at which

182

395

-"7^'v.?'"'

May

on

event,

3,699

Northern—--—******
Richmond, Fred. & Potomac-

New
upon

dinner

a

224

3,210

'•

the

of its founding was read
at the Waldorf-As¬

versary

at

of

the
Research

3,566

Bingham &; Garfield——

corresponding week in 1943.

_

for

284

Norfolk Southern—*

President

felicitating

School

•

;

from

message

Roosevelt

3,395

*—

Nashville, Chattanooga & St. L.¬

Southern

Anniversary

147

.*

Durham & Southern**—**—*—
Florida East Coast—,

5th

4,401

418

Charleston & Western Carolina*.

Clinchfield

Piedmont

Coal

<

1942

311

' 673

Louisville & Nashville*—.__**—

Loading of merchandise less than carload lot freight totaled
-.104,381 cars, a decrease of 2,070 cars below the preceding week, but
.an increase of 7,547 cars,above the corresponding week in 1943.

1943

311
810

'

,*,

.1,029

Connections

Atl. & W. P.—W. R. R. of Ala***.

'

:Miscellaneous freight loading totaled 386,264 cars, an increase of

Received from

Freight Loaded
Southern District-

IS44 Increased 2J86 Gars
Loading of

2295

33.1%

reporting

mills

greater; shipments
36.4% * greater; and orders

23.1 greater.

was
were

were

THE COMMERCIAL & FINANCIAL CHRONICLE

2296

tire energies to rendering a super¬
lative service in this field. With

Items About Banks, Trust Companies
Savings Bank at 8th Avenue and

install¬
ments.
TJiis was made possible
by the accumulation of earnings

stockholders, directors and
staff all working for this single
purpose, our bank should take its
rightful place among the finest

14th

not

As

commercial institutions in Amer¬

James
elected

W.

tired

been

has

Maitland

trustee of the New York

a

Street.

is

Maitland

Mr.

a

at

distributed

as

dividends.

the prior

director of Central & South West

preferred stock
Utilities, a director of American tired, the common stock
Public Service Co. and a director creased in corresponding
on
the Executive Committee of through the declaration
the

Hotel

L.

in¬

was

amounts

Noteman, pioneer in the

field of personal finance and one
the founders of the First Na¬

equal to $19.41 a share, were re¬
ported for the year ended April

30, 1944, comparing with $347,228, or $9.84 a share, for the pre¬
ceding year. Net increase in un¬

of common stock,
much larger portion

shares

and hence

a

Rochelle, who of the bank's earnings may be dis¬
May 26 at the Columbia- bursed to common shareholders.
Presbyterian Medical Center. He At a recent meeting of the direc¬
was
66 years
old.
In the New tors, a semi-annual dividend of
York "Sun" of May - 27 ' it was $1.25 per share on the common
stock was declared, thus placing
stated: .'■■■'•: :■ /•"
' " /■'/"
Organizing and directing the the stock on a $2.50 annual divi¬
tional Bank in New
on

National

Loan

Societies

methods

standardized

dend basis.

New

in

York, Philadelphia and Boston,
merged with the Household Fi¬
nance
Corporation in 1942, Mr.
Noteman developed chain offices
and

in

the

personal loan business. He was
formerly a Vice-President and Di¬

Donald

Stock

he

the

of

member

Exchange,

pany

denly

National

the

of

Di¬

a

Securities

Noteman

born

was

on

a

farm in Kansas, the son of a fam¬

At the time of his death he

Moving
Kankakee, 111., with his par¬
ents, he worked as a grocery
ily from New York State.

and

himself

court

reporter

Detroit

from which

he

put

to

business school
College of Law,

through

the

and

was

Mr. Noteman maintained homes
New

Rochelle, Maryland, and

Miami Beach.

He took

par| in the

development of Miami Beach and
•was
active in yachting clubs in
all three places.
At

was

McConway-Tor-

Pittsburgh,

with

which he had been associated for

As President, he had
development of
improved railroad equipment and
a
new
type of tank armor now
used extensively by the army.
years.

He also

was

director of

a

num¬

ber of other

corporations, includ¬
ing the United States Lines, which
recently merged with the Inter¬
national Mercantile Marine Co.,..

With his brothers he

graduated in

1902.
in

of the

Company,

ten

iden¬

was

tified in early life with the steel
and railroad-equipment
business
here.

In

the

early 1920's he
tered the banking field.

en¬

common

and Trust

at was

voted

1929

of the

Bank

First

National

Bank

Co., Conn., on May 27,
fo approve the plan
for increasing the common stock
to

$2,205,000 by the

sale of 18,900 shares at $53.00
per

.share,

as

recommended

Board

of

Directors

sent

the

to

stockholders

proposal
issue of

our

The

May 25,

the

notice

a

May

on

referred

was

plan

by

in

17;

to

in

stockholders provides that holders
of common stock of record at the
close of business
be

entitled

shares

at

■

to

on

$53.00

ratio of three

May 26 will

subscribe
per

new

four shares held.

to

new

shares for each

expire June 6. Preferred stocks
holders of record June 6 will be
basis to such

new

on a

pro rata

shares of

com¬

stock as have not been sub¬
scribed for by holders of common

mon

stock.

16.

This

stockholders and then to

common

preferred

stockholders, will be
underwritten by a group of Con¬

necticut investment bankers.

advices
also

from

the

bank

The

May

27

said:

"This
gram

for the

is

part of

a

elimination

of

pro¬

the

senior^shares which

two classes of

issued in 1934 to provide ad¬
ditional
capital
funds
in
the
were

amount

of

$1,780,000.
At that
time, the bank issued $630,000 of
Prior

Preferred

stock

which

was

nold at the par value of $100 per
share and $920,000 of $100 par
Convertible
which
was

was

Preferred

sold at

$125

a

stock,
share. It

the intention at that

committee

of

in

Balti¬

medal awarded

a

the

first

World

War, as a
captain, he served as chief muni¬
tions officer of the First Army of
the
American
Expeditionary
Force, and was in France for sev¬
eral months.
V;V:^Y:V
He also had been
the

Western

dent

of

the

Steamship

a

Electric
old

director of

Presi¬

Co.*

Baltimore

Mail

Co.,

Chairman of the
boards of the Gould Coupler Co.
and the Locke Insulator Co., and
Director

a

of the

tin Co..
In

his

:

class

of

shares

with

"Substantial

first

bank

on

April

15, President

John

K. Thompson of the Union
Bank of Commerce of Cleveland

its annual meeting on May 24
called on stockholders to join in
at

concerted

a

one

effort

to

make .the

of the outstanding com¬

has

no

al¬

ready been made toward this ob¬
jective. In the years 1936-1941,
inclusive, the entire issue of $630,€00 prior preferred stock was re¬




L.

are

Jr., President of
Co.; Miller B. Pennell, attorney, and G. G. Wade,
President
of
Wade
Realty. Co.
Ireland,
Coal

With

the

retirement

from

the

Union Commerce Board of Henry
S.

for

Sherman, President of Society
Savings, the board now stands

at

12

members. At the organiza¬
meeting of directors follow¬
ing the shareholders' meeting, all

officers

relected

were

without

change.
Reference to the election of Mr.

Thompson as President of the
bank appeared in our issue
of
April 27, page 1752.
'•■■■
Announcement
election

made

is

Arthur

of

E.

of

the

Wright,
Rail¬

of Manufacturers

Co., to the board of the Man¬

way

St. Louis.

From

A''■

special
Tex.,
Houston,
May - 20 to the Dallas

advices

William

H.

Baugh, President of
the Heights State Bank of Hous¬
ton, has been elected President
the

of

City

National

Bank

of

Houston.

the

of

National

First

Bank of

Houston, it is stated, and
Eldridge has been promoted

H. T.
to

Vice-Presidency

bank..

of

^;vvv./-Y

the

same

).

Wiggins, Thomson And
Morgan Ail Gnosis y:
A.

M. Wiggins, President of
American Bankers Associa¬
L.

annual

an

the

meeting,

Union

Bank

he
of

said
Com¬

already possesses a remark¬
ably favorable combination of fi¬

merce

nancial, physical and psychologi¬
cal assets which are ready to sup¬
port consistent growth. "We have
every

requisite

for sound future

a

well-trained staff and

a

splen¬

He added:

"But in addition to these things
we have the
psychological advan¬

tage

of

concentrating

all

of

was

Affairs

noted that the Senate
Committee

imously

recommended
tion of the nomination
17

confirmed

May 15.
May

on

nomination

the

as

sea

war

our

en¬

that American

ers

forces have

sea

penetrated 1,500 miles within the
enemy defense perimeter extend¬
ing from the north Pacific Kuriles

on

Forrestal' (formerly

Secretary)
on

the

of
description of the Japanese
position, Forrestal cited to report¬

confirma¬

Stating that the Senate
Mr.

"As evidence of the accuracy

his

unan¬

of

Under

Secretary to carry through the mid-Pacific eastern
which, in his own Marshalls to the Bismarck archi¬

words, has been so successful that
Japan's >; outer;/, Pacific defenses

pelago.-.':

have

liam H. Rupertus, Commander

been

beaten

down

level of "a line of defense in

only."
from

"He invited Major General Wil¬

the

to

the First

name

Associated Press accounts

Washington, May 17, added:

first

conference

news

nomination

to

the

Cape

New Britain island

December, to sit in with him.

"Rupertus said that in the Cape
operation
American

Gloucester

late

Frank Knox, paid that tribute
the fighting forces at sea.

on

of

which

from

Japanese

Gloucester
last

his

since

succeed

Marine Division,

the

drove

"The Senate acted shortly after
the former Under-Secretary, at his

casualties

to

killed

totaled

300

about

men

and

1,000 wounded, while
nearly 10,000 Japanese were either
"Following the course of the killed or
wounded.; He said 4,500
Naval Committee which approved
Japanese dead had been counted."
the appointment unanimously on
The death of Secretary Knox
Monday without questioning the
52-year-old former New York fi¬ on April 28, was reported in our
•

nancier

his

on

qualifications, the

May 4 issue, page 1842.

Signed Agreements From Brokers And Dealers
In Gov!. Securities Asked By Reserve Bank
It

made

was

known

May 16 by Allan Sproul, President of

on

the Federal Reserve Bank of New York that oral agreements hereto¬
fore in force between the local Reserve Bank and certain brokers and
dealers in Government securities will

no longer suffice—agreements
being required.
According to the New York
Sproul explained that this step was taken at
the direction of the Federal Open^

in

written

form

now

"Herald

Tribune"

Market

Committee,

Mr.

with the

Open Market Committee

the first modification in qualifica¬

had

been

the

procedure

menced.

We

Reserve

but that

that

Bank

no

the matter,

in

dealers

to

enable

It

them

dealers

Northwest

Bancorporation
to be the
at
the
War¬

of

Minneapolis
guest
speakers

are

time

Conference

ican

Institute

be held
is

in

Nation&l

the

of

of

Amer¬

Banking

St. Louis

announced

of

June

to

6-8, it

by David L. Colby,

President

of

the

Insti¬

of

Bank in
was

year

Boatmen's

St. Louis.

National

National

Mr. Thomson

President

in

the

1918-1919. This meeting will

mark

the 25th

election
The
ence

the

to

anniversary of his

that

office.

was

made

in

our

issue

of

May

25, page 2175, which will
constitute the 42nd annual meet¬
ing of the AIB, will be a stream¬
lined
two-and-a-half-day affair
devoted to
sential

the transaction

business

of

the

of

es¬

Institute,

Thursday morning, June 8.

cational

an

Wednesday after-

formal basis.
We

paper

also

v;7
af¬

'

a

and

Reserve Bank, in addition to in¬
tegrity, knowledge and capacity of
the management, are daily reports
of the firm's condition to the fiscal

authorities.

"Also, daily statements of the
borrowed against Govern¬
ments, the par value of all obliga¬

cies

tions borrowed and other statisti¬

the

for

Period."

Post-War

The

&

Trust

Co.

American

in

that

city, who is
of

the

Association.

Bankers

Mr.

Wiggins will be the main
speaker at this session. His topic
will be, "The Widening Horizons
in

the

Education

of

a

Banker."

Mr.-Thomson's address will
the

educational

Mr.

open

Morgan

conference

and

will speak at the
closing general session. His topic

will be,
Come."

covered

ing

for

tional

"The Shape of Wings to
Among the topics to be
in

the

include

ference

educational
"Institute

Women,"

Bank
and

Seminar

Techniques,"

of

and

con¬

Train¬

"The
Educa¬

"Appli¬

cation of Job Instructor Training
to
Banking."
Subjects
Chapter
Administration
ence

at

the

confer¬

will revolve around the de¬

.

money

cal data such

sitions

hotel

and

100

or

each

less, plus

additional

fraction
more

one

delegate for

100

members

thereof, and

than 10

in

delegates.

no

or

case

po¬

securities,

own

account

no

changes are anticipated int
tending to influence con-,

any way

tinued maintenance of

an orderly
Treasury obligations,
which has played an outstanding
part in financing the war effort
and facilitating the flow of huge

market

in

funds."
In

the

York

New

May 17 it

was

"Times"

indicated that

of

un¬

der the formal agreement dealers

called upon to furnish to the
Committee both daily and longer

are

period reports on such matters as
daily
position
in
the
market,
whether long or short; volume of
business done; statements of cap¬
ital

and

its

relationship to the
done, and what

volume of business

of

the

volume

account and

as

is

done

brokers.

for

The

"Times" also said:

bur¬

Chapters are asked to limit
their representation to two dele¬
gates in the case of chapters or
study groups with membership of

of

qualifying
requirements was regarded yes¬
terday as a matter of 'evolution'

own

and

list

"The formalization of

Attendance at the conference is
railroad

daily trading

as
a

that of others.

or

part

being restricted in keeping with

and

bought and sold for

velopment of Chapter leadership.

edu¬

conference
Wednesday
(a Chapter Administra¬

to
re¬

ject to be discussed by the speak¬
ers
is, "National Economic Poli¬

dens.

second

to

desirable

small group of 17 New
Chicago houses which
will be asked to sign agreements,
as
well
as
possible newcomers.
The requirements of the Federal

and

that is, Tuesday, June 6. The sub¬

of wartime-bank personnel

In between there will be

same

.

only

York

and the National Public
Speaking Contest for the* A. P.
Giannini Endowment prizes which
will be held the first evening—

wartim^

ing problems. There will be two
general
business
sessions,
one
Tuesday afternoon, June 6, and a

fect

noon,

election of officers and discussion

train¬

time

some

it

that
high

secur¬

"At present, the move will

their eligibility for doing business

Forum

conference, to which refer¬

for

on a more

the

quote.*'

to

regard thereto.

brokers and

but

continued

made

lationship

emphasized, said the
"Herald Tribune," that qualifica¬
of

had

From

was

tions

changed,
of

place the bank-broker-dealer

press

the

market

come

the reporters

immediate 'Past-President

President

Thomson,

ities

press

given out by

were

not

likelihood

activity in the Government

present at
conference were shown
copy of the agreement signed by

the
a

1923, when
operations
com¬

learn

announcements

the

since

market

open

representing

Cameron

the

tion conference

our

time it

Naval

of the Mercantile-Commerce Bank

morning

devote

a brief ceremony in Mr. Forrestal's office, attended by high
ranking officers and members of Congress. Reference to Mr. For¬
appointment as Secretary ^
of the Navy appeared in our issue Senate
ratified .his
nomination
cf May 18, page 2064, at which without even
taking a formal vote.

Geoffrey F. Morgan, Man¬
of the Speakers Bureau of
the Douglas Aircraft Co., and J.

banking.

can

Navy, at

restal's

tion,

the

efforts in the field of commercial

We

on

Secretary of the Navy succeeding the late Frank Knox,
took the oath of office as Secretary on
May 19. The oath was read
by Rear Admiral Thomas L. Gatch, Judge Advocate General of the

delegates will be welcomed
to St. Louis at the opening session
by W. L. Hemingway, President

dent

that

Of Navy

named by President Roosevelt

as

make notes with

tute, who is Assistant Vice-Presi¬

brief speech which

departed
sharply from the customary fi¬
nancial message usually expected
at

was

tion

ufacturers Bank and Trust Co. of

In

a

May 10

Forrestal who

tion

mercial institutions in the nation.

did list of customers."
progress

R.

were

They

James V.

ager

Mar¬

b".-'-'

public statement
accepting the Presidency of

since

the

Glenn L.
.

time to

preference.

directors

new

Albert J. Martin, for 2V2 years,
"splen-'
a
national
bank
examiner
in
didly conceived and expertly exe¬
Houston, has been elected a Vicecuted" building.

development," he told the stock¬
retire these senior capital issues holders. "We have a
wonderfully
as rapidly as
possible through the clean
balance
sheet,
approxi¬
issuance of common
stock and mately $8,000,000 of
capital funds,
thus return to the traditional form a
strategically-located
banking
of bank capitalization, that
is, a office, an able board of directors,

single

Three

elected by stockholders.

timore Trust Building as a

bank

action

history, Mr.
Thompson pointed out.' The state¬
ment of
condition at April 30,
1944,
showed
$22,781,712
cash,
$57,237,134 of U. S. Government
securities, $19,668,157 of loans and
discounts,
and
total
assets
of
$101,719,712.
six-year

"Times-Herald" it is learned that

annually to owners of the bestdesigned building erected in the
city. The committee cited the Bal¬

These

rights will expire on
offering of addi¬
tional shares, to be made first to

June

a

architects

more

share in the

The rights will

entitled to subscribe

from

In

the

by

bank's

President

page 2184.

approved

the

a

President

Trust

November of that year.
While President, he received

of. The

ers

profits was $439,637, or
share, comparing with
$219,751, or $6.23 a share, for the
year
preceding.
These earnings
were considerably the highest in
$12.45

Be became President of the Bal¬

timore

Company in Jan.,
1927, succeeding Eugene L. Nor¬
ton, and was made Vice-Chairspecial meeting of the man of the company's executive
and preferred stockhold¬ committee in 1931, resigning in

a

divided

Hanna

President

to

clerk

quote:

we

been active in the

Corporation.
Mr.

of Baltimore, Md,, died sud¬
on May 22. He was 62 years
From the Baltimore "Sun"

of age.

dissolved, ley

now

President and

also

was

rector

Consolidated

Symington, former Pres¬

ident of the Baltimore Trust Com¬

rector of the New Rochelle bank.
A

Net earnings from current oper¬
ations
amounting
to
$685,302,

of stock

44,100

of

died

ica."

"Upon completion of the pro¬
posed changes, the capital stock of
the Bank will consist solely of

The death is announced of Nor¬
man

was re¬

dividends.

Waldorf.

Senate Confirms Forrestal As Secretary

our

several

in

par

Thursday, June 1, 1944

It

was

explained at the Federal

Reserve Bank yesterday that there
is no minimum capital require¬
ment.

Rather, it was said, the de¬
termining factors include volume
of

business

-

to

-

capital

ratio,

whether the firm engages in spe¬
culative Operations, and the vol¬
ume

of business done for

count

or

as

brokers.

own

ac¬