The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
THURSDAY
Final Edition
(jEef. U. SL
Volume 155
New
Number 4082
and
government virtually assumes both wartime
and postwar risks up to the amount of excess-profits taxes paid,
while in the United States this risk is borne almost exclusively by
business, according to a study prepared by the Conference Board,
New York, which adds that both present British taxes on excess
profits and prospective United States taxes on excess profits almost
eliminate the profit motive as a^basis for increased production.
"In any private enterprise sys¬
government is so potent in
restricting production in many
tem," the Board
in the course
British
and
cases
income, "profits
even
of
analysis
an
American taxes
serve
of
on
incentives
as
the
time
production, while risks act
as
influence
British
The
ment.
re¬
tax
strictive influences.
takes
period,
the American system
profit
During a war
probable that the
motive is displaced to a
it
is
considerable
degree
by
i'
Excess
the
concern
Britain
although for many enter¬
prises it is doubtful whether the
profit motive is ever absent. While
United
this
incentive
consideration
is
exist
over
the
the
to
effects of risks.
•
The
\
Excess
average
the entire
war
Great
in the
profits
profits
and postwar
annual
the
rate
of
the
Errors in war¬
accounting,
and
losses
postwar adjustments, - are
chargeable against Avar profits
when they become evident; and
refunds are made upon the basis
restrictive
of
in
do
they
;
if
only
time
-
probability
does not.
not have
from
The Board goes on to say:
.
do
standard period.
policies, it is unfortunately
true that American tax legislation,
and proposals that are now being
seriously considered, have given
attention
that
exceed
formulation
of tax
scant
point, while
limitations
States.
system
period, after deduction of losses,
regularly given
in
this
profits
time
for the successful outcome of the
war,
of
care
manage¬
upon
of such
is
postwar
losses that will not be shared by
errors
and losses.
Note-—Various
other
reports
page.
Regular Features
-•,
page
,.
Financial Situation
From
;•••
Washington
Ahead
of
2305
the
News
2305
Moody's
Yields..
2315
Items About Banks and Trust Cos,
2320
Trading on New York Exchanges..
NYSE Odd-Lot Trading
2318
2319
Bond
Prices
Risk
State
General
and
Trade
of
Review
2306
Commodity Prices—Domestic Index
Carloadings
Weekly Engineering Construction..
Paperboard Industry Statistics
Weekly Lumber Movement
Fertilizer Price
2316
2319
2317
2319
2319
2315
Index
Weekly Coal and Coke Output
Weekly Steel Review
May Shipments Highest in 1942..
2316
2314
2315
Moody's Daily Commodity Index...
Weekly Electric Power Output
Weekly Crude Oil Production
2315
2314
Non-Ferrous
2317
2318
Metals Market
Cottonseed
Receipts Continue
Lower
;
.
Commercial Paper Outstanding
Bankers Dollar Acceptances Decline
Bank Debits for May....Class 1 Railways March Income...
General Crop Report at June 1....
Retail
Prices
Record
2315
2318
2316
2317
2317
2312
Initial
2314
........i.:.,.
Decline
Monthly Crude Petroleum Report
Suspended ............—
2320
Pig Iron Statistics Discontinued... 2311
thereby minimized.
Invest(Continued on page 2311)
Miscellaneous
Debt
Billion
FROM WASHINGTON
Tax
2315
..........
Senate
S.
U.
Adopts
2315
Pact
Inter-City Bus Service Restricted..
SEC
AHEAD OF THE NEWS
to Tipperary,
Effects
Discusses
whatever you want to call
proponents in the
U. S. Navy has been definitely settled in the place where it is most
way
2318
Interprets Bldg. Control Order 2316
World's Corn Production
long, long
2315
Reports on Various Industries. 2318
Signs RFC War Funds Bill........
WPB
By CARLISLE BARGERON
Expanding
2316
Anti-Trust
of
2309
Actions
or
long struggle of Aviation versus Battleship
important that it should be settled—in the U. S. Navy. The Aviation
enthusiasts have won. We are told by as grizzled an old salt as ever
mounted the bridge that this is so. -
Arbitration
Award to N. Y.
Commerce
Outlines
Cos.
WPB
2309
Group
Importance
Insurance
of
Texas-Illinois
Approves
cording
to him,
it has convinced
everybody else in the high com¬
mand.
From
now
on,
our
em¬
2310
Pipeline
then
President, Calvin Coolidge,
be subpoenaed.
Mitchell,
after all, didn't want a trial.-He
had a message to sell; A thing
Govt.
Seek
Bureaus
City
to
was
for
ing into details, that lend them¬
of warfare.
selves to the new type
We have
projected 17 battleships.
will
those
Only
which
be
completed
already
have
<•.
important as aviation now
is, was discipline. Mitchell paid
the price for his admittedly undisciplinary tactics.
Everything seems now to have
worked out all right.
just
been
Billy Mitchell is probably rol¬
licking in his grave. But that isn't
Of all the
intriguing phases of
new job is that
Mr. Elmer Davis'
of
what
he
intends
to
do
about
important. It is difficult to see Lowell Mellett's Office of Gov¬
The executive
that the Army could have done ernment Reports.
anything more than it did at the order setting up the new coordi¬
time—first
and
then
reduce
courtmartial
ing thing
that
time
rank
The
headline hunt¬
him
in
courtmartial him.
was a
on
Mitchell's part.; At
Congressman Frank R.
Reid of Illinois, a
master headline
catcher, was prominent in the de¬
One thing he did was to
fense.
pass
around
the
word
that "; the
nator to
coordinate the other
ordinators
consolidate
This is
the
about
OGR
into
his
:
There has perhaps
more
the
work
misunderstanding
and
purpose
of
(Continued on page 2314) '
'-.J?:.;-')
pleted
volume of current news
importance to business and industry, we are
obliged, owing to space limitations, to divert to Section 1 a
considerable amount of material which, under ordinary con-/
this section of the "Chronicle."
In bringing this matter to the attention of our readers, we
are mindful of our pledge to make every effort to increase
the value of the "Chronicle" by reporting, without delay,
all of the information essential to a thorough knowledge of
the manifold changes in tax and other legislative matters
originating in Washington, together with the activities of
the many Government agencies whose functions are of in¬
creasing importance to the conduct of business in the present
emergency.
• 77",;
ditions, is usually contained in
distrusted
fighting have wrought almost
night!
over
Recognition Fully Won
But this is hardly a time for philosophical musings or
wasting time staring in amazement. • Of all the powers
to feel the German might, only the once despised Russian
army has shown ability to; return blow for blow.
The
wholly unexpected strength of the Russian army has given
Great Britain time to prepare really to defend herself, and
Russia still stands as the most important single element in
the hopes of the United Nations. 7 She is due full credit for
it all, and enlightened self-interest demands that all that
may be should be done to keep her in the field and, if
possible, to enable her to break the might of the German
military machine.
She has amply won a place, a respected
It would be
powers.
unthinkable to undertake to
as
deny her
Says Britain
War
Assumes
(Continued
2307)
on page
,,
,
2310
2317
Risks
2305
....
Members
NAM
"A Pattern For Peace"
Business
FDR Opens Rubber Collection Drive
in
War
2312
The lend-lease program has, already becomea
anism in the combined efforts the
to
win the
2313
emerging
2313
Nations to
Coulee Dam
2313
Partly Completed
N. Y. Post-War Bldg. Program
2314
Industrial Loans by Reserve Banks.
2320
of
Systems Prepay Loans........
Banks
Lend-Lease Operations
Government
Must
2320
Liquidation 2320
1941-1942...
Observe
Price
Ceilings
2311
,
.
Treasury New
'
2311
2311
Issue Offering
2311
Tax-Exempt
N. Y. Post Office Service Emblem..
2311
U. S.-British Food Board Duties...
2308
War
2308
Bureaus
Merged.
2nd Front '.V/.'.' .*
on
.
'.
2308
Eastman
to
2308
Address
Officers.. 2308
2306
Committee
Considers
Excise
Says Socialism Breeds
1942,
1942,
a
similar agreement
Socialist
assistance.
offered
*
*
'
»v >
,
agreement
an
was
**•
^.
was
same
-•
-
was
7
.*
,
signed
on
to
our
made with thet'
terms.
On June ll,
signed with the Union of Soviet
other
allies
receiving
are: i
lend-lease
*
Cooperative action
plated to fulfill this
the United Nations is contem¬
among
program
for economic
spheres where action is needed.
will
soon
develop for
progress,
in the
It is hoped that plans
money
a
series of agreements and
recommen¬
legislation, in the fields of commercial policy, of 7;
and finance, international investment and reconstruc¬
tion.—The President of the
Is
this
United States.
"pattern for peace" to be fashioned by New Deal
sian communism
2307
to
V
Feb. 23,h
The provisions of these agreements
Republics.
being
dreamers and Russian
Totali¬
tarianism
Urges Banks
Will
the
Increase War
2307
Sales
Inter-American Farm Meeting
Mexico
'■?.i"'*
planners with the New Deal and Rus¬
2306
Taxes
Bond
r
'1
'
•
,
Advertising
Group
House
'
<•7
with Great Britain
Republic of China embodying the
dations for
Industries
Elects
key instruments of national policy, the Mrst?
On June 2,
1942,
Those agreements, are
peace.
on
; ..'.
Tire, Drug
Society
pattern for
steps in the direction of affirmative post-war
77':7>V-.-'. .'Vi.
2308
Living Costs Up in May..
SEC Report
a
The agreement
now
Says Insurance Premiums Should
Information
as
concrete
our
2320
.v...........
Nat'l
weave
making
the United.:
combined effort of
factor in the
a
as
taking shape
*■-v ''
Chemical
are
of lend-lease agreements is falsa* ,
program
reconstruction.
Urges Tax Spree to Avoid
Inflation
The
war.
.
time Pay
Be
United Nations
2313
U. S., Russia Lend-Lease Accord...
REA
prime meehty
Bond
Supreme Court Rules on Over-
in
City
May Cotton Consumption at Record
party to
as
British
models?
Government
such schemes?
The American people
2307
2307
a
part, an influential part, in peace making as it would be
stupid not to cooperate fully with her as an important,
many
of paramount
and
2310
'.....■
v.
Payment On Cuban 5%s
Roosevelt, Molotov Agree
to the constantly expanding
disliked
Guayule Rubber Planting Com-
Insolvent
going to be most fascinat¬
virtually all nations of the earth
for twenty years; the Soviet
Union with whom virtually all of them for so long hesitated
to enter normal relations; the Soviet Union which only
two or three years ago was daily berated as an ally of Mr.
Hitler, the German monster, and as the despoiler of ■, the
Baltic States; the Soviet Union which only a few short
years ago mystified and horrified the world with its blood
purges—that same Soviet Union now made party to a formal
treaty with the British Empire and an agreement with the
United States which in effect give it the status of a co¬
partner with both of the latter countries in rehabilitating,
reforming and even remaking the world after the present
war
is over!
Yes, that same Soviet Union now; greeted
with confidence, with respect and almost with deference
by the British Empire and the United States of America.
All this, dire circumstances and Comrade Stalin with his
had
2310
Increase War Risk Insurance Fund.
.
•
ing to watch.
been
co¬
provides that he is to
agency.
Notice To
Due
York
Program
77'. :7 C7;. 7:
launched.
as
New
;
■
phasis will be on the building of
carriers
and ships, without go¬
The Soviet Union which
place, among the great
2310
.....
,
The battles of the Coral Sea ana^
Midway have convinced him; ac¬
A Rip Van Winkle
waking from a sleep of not twenty
only one year would certainly find it difficult to credit
what his eyes beheld as he read the news of the
past week.
but
for
Canadian
The
Copy
items, not covered in this in¬
in Section 1 of this issue,
explained in the notice given on this
Says U. S. Can Support $200
the
a
appear
war¬
profit incentive that is
remotely possible can have
little
increased
to
of
amount
Price 60 Cents
news
dex,
as
In Great Britain the
the
Section 2
GENERAL CONTENTS
Editor's
Assumes Risks Left For Business in U. S.
that
-
OfflcoJ
Pat.
York, N. Y., Thursday, June 18, 1942
Conference Board Finds British Government %
says
In 2 Sections
permit
itself to be made
..
would do well to take notice!
a
THE COMMERCIAL & FINANCIAL CHRONICLE
'2306
A-
The State Of Trade
t'
!
'.j,
'
' * / ""
Business activity ruled moderately; higher compared with the
preceding holiday week, with, most industrial quarters showing the
usual heavy gains over last year's figures. "Carloadings-showed a
gain of 58.933 cars in the week of June 6, compared with the pre¬
ceding week of this year. Electric power production was up 9.6%
'
,
* *
•
.
i
'
i
i
'
"
corresponding week last
the
year.
telephone bills
Treasury Would Limit Incomes To 325,000
.
production in the United^
Steel
Z.: The present 6 %. tax *,ony local.
House Committee Considers Excise Taxes;
"
over
Thursday, June 18, 1942
Z1iThe deliberations of the House Ways and Means Committee on
the
proposed, tax program were marked on June 15 by a recommenda¬
i
100%
"supertax" with a view to restricting
individual net incomes to $25,000 after all normal income taxes are
paid. A suggestion that incomes be limited to $25,000 a year was
made by President Roosevelt to<^
Congress on April" 27, and his ettes from 6V2 cents to 7 cents a
a
war
The present, 10%; tax
t
op map-
ufacturers' sales of photographic
/
'
■equipment
tion to it by' Randolph Paul, tax adviser to Secretary of the Treasury
Morgenthau for
-'to^
10%.j Estimated yield, $36,^00,./iDOOi'ii'.''!»/•*:;%
except
/
cameras
than
more
raised
was;
on
four
to 25%|
weighing
pounds, which
are' exempt./ Estimated
yield/
curtailed
$10,800,000. .•
^
.98.3%
of capacity, off 1 point their purchases and some have
/ : Method of figuring tax on life
from last week, and comparing started preparations for pushing
• insurance
Companies was re-/
message at that, time was, givep package in order to raise $65,with 99.2% a month ago. At this sales. These moves are based on
in our issue of April 30,. page 1708. 500,000.
vised, with substitution - of -' a
The Associated Press on
week's rate, production of 1,669,- the expectation ofr an inventory
In its adyices from Washington that date stated: *"
f
v
//"reserve and other policy lia700 net tons of ingots is indicated, control order, in spite of official
June
15 the (Philadelphia/ "In?"
-'•j-Chairman Doughton said,that | bility deduction" for the present
compared with 1,686,700 tons last statements that preparations of
reserve earnings deduction. Esquirer" / stated that ,-sole deduct
//the:committee had tentatively
week, 1,685,000 tons a month ago such an order are in a prelimi¬
tions allowed under the Treasury
:: timated yield, $40,000,000; /
/ :
.//agreed: to raise the present
and 1,597,800 tons for the second nary stage and no decision has
is scheduled this
States
week
have
retailers
at
sharply
:
,.
-
been made
of June last year.
week
on
the subject.-
/
'
:
plan wQuld be-15% for. charitable
and
15%- for
contributions
^debt
awarded
Loading of revenue freight for service. The
"Inquirer" in. its: fur^
in the week ended June 6, totaled the week ended June 6, totaled
ther advices from its Washington
$379,458,000, the second highest 854,689 cars; according to reports
correspondent, Robert Barry, like¬
weekly volume ever reported by filed by the railroads with the
wise said:
"Engineering News-Record." The Association
of
American
Rail¬
amount was 38% more than the roads.
; There would be no .tax exs,
This was an increase of
emptions; all income from taxn
preceding' week's, figures
and 58,933 cars from" the preceding
free
.State
and
local /bonds
171% better than a year ago.
week this year, 1,749 cars more
contracts
Engineering
4
/ $3.25
brands and :15-cent brands.
194L and
same
building
are
expected to cause essential
construction to top $13,500,000,000
by the year's end, or 20% above
in
hich set an all-time recora.
Non-essential
^
civilian building,
cars
years ago.
the
week ended June 6, amounted to
3,372,374,000 kilowatt hours, ac¬
cording to the Edison Electric In¬
stitute. This was a gain of 9.6%
over the corresponding week last
year, and an increase of 1.5% over
virtually has halted completely.
increases
151,797
period two
Electric
non-essential civilian construction
Further
in
above the
the corresponding week
th&n
,
10UtpUt
for
production
amounted to
would have to be included.
,
;At
will aggregate less than I
-
J with the
weeks and even
«
••
«
-
to crime.
/
-
in
Joseph B. Eastman, Director of
More significant, though, is the
definite announcement, also made
Eastman's
selection
speakeir
was
made in recognition of the
major importance of transportaias
a
this
planes
the
year.
President s
This
markets
ic
^nn
nnn nnn
l
nm7nmnlS? iStfhpr ^han
W* 5?
ii-+i!}i
noyer, Vice-President in charge of
feW express
express concern
co^ern over
overThe
in
advertising and promotion, Bontne in
:nSS
«9n
lew
crease.
When
the
debt
tioned, it is generally in
tion
is
f
men¬
connec¬
with the statement that the
teller, Inc.,;
Thomas
E.
New York, and
has
ident
be
can
called
citizens
affecting American
travelers
mittee
can
carry
J cent in. added cost to the
Department store sales through¬
the United States were 7%
-
display.
ards
to
level."
when
//raise$188,600,000
higher in the week ended June 6,
formative
exhibits
are
being
than in the corresponding period
of last year, while for the fourprepared by 14 associations that
week period ended June 6, there
are m using
this opportunity Id
was no change from sales during
tell men and women in the ad¬
the
corresponding
four - week
vertising industry about; their
period of 1941, the Federal Re¬
serve Board reported.
wartime services arid functions.
"
Spells of summer heat encour¬
A number of commercial exaged a heavier demand for sea¬
hibits by firms offering media,
sonal goods during the past week,
supplies and production, services
and there were a few signs of a
break in civilian buying apathy
will also be a part of the con¬
after several weeks of declining
vention exposition.
activity, Dun & Bradstreet stated
Previous reference to the meet¬
in reviewing the week in trade.
It is reported that many de¬ ing appeared in these columns
partment stores and most other June 4, page 2120.
/
The
revenue.
will yield
V
•
of
some
are
bare
a
With
•
*
the change in
the method of figuring the tax in
;
the
respect- to
life
of
case
insurance
com¬
panies, the New York "Times" in
its
advices; from
Washington,
June
;
<
12
said:
//:
Also adopted
/
••
•
•
revision,
recommended by/ the Treasury
and the
for
con-
was
a.
joint committee
expef^s,
the
Paul,
committee
»»• -
25 cigarette papers or tubes
to
new
expert,
as
The
it
was
Treasury
suggested
salt, tea and
The
well
taxes
as
•'
no
^
on
On
the
-
other
hand, together
with the super-tax proposal, the
Treasury
a
suggested
plan
whereby corporations and busihouses could
ness
set
up
will net
that would spare them
paying income taxes on
the "profits" > of an inventory
rise that might just as swiftly
be wiped out on a subsequent
date.
'"
,
•
•
■
The Treasury had
rec-
>
that, the
tax
bill
be
split
up
**
6
to
the
15
•
•
Mr. Roosevelt at his press con*
:
r
;
resulting in increas¬
ing losses in Treasury revenue. -.
'Since, the reference to the Com¬
;
mittee
on
crease
the
issue
of
a
June 11 decided to in¬
Federal
tax
on
cigar¬
proposal
be allowed
$5;
to 30 cents, $25, and
of.
its
a
net
deduction of 93%
investment
after deducting
income
tax-exempt in-
terest,
.
;
to
These
tentative
;.
corresponding
"In
;
percentage
determined
by
summary,
dustry/plan,
under
each
the
/
the in¬
company's
/tax- base' would equal invest¬
ment
actions
be
Secretary of the Treasury.
this/Asso¬
were
Committee before
discussing
a
group of minor matters and pos¬
sibly the question of a general
sales tax:
The
present telephone toll
?
the;
would
being included in
As
;■////-'.,•'/' ./;';
"For subsequent taxable years
adyices frorii Wash¬
taken by the
-
June 16 remarked that
our
'
income less
investigating
expenses,
less tax exempt, less
flat
of
a
percentage
the
re
mainder, the percentage to b<
/ preparatory " to
continued delay in enacting a tax
(page 2201) the Com¬
above.
for reserve
interest, on
supple¬
mentary contracts, and deferred
it adjourned over the week-end,
.
in
Treasury
earnings,
than 30 cents, $35.
ciated Press
.
week ago,
$94,800,decision
$35,000,000
telegraph and telephone serv¬
ice charges, the life insurance tax
and that on photographic equip¬
;
mittee's action
original Treas¬
proposal described
example, for 1941, the
aggregate
deductions / of
all
companies under the original
ington June 12 said:
measure was
same aggre¬
"For
bn
$.25,000 limitation
on
individual's net incomes, in
deferring action on the Treasury's
recommendation,..........
: j
on
under the
as
ury
action toward increasing the taxes
:>
a
give the
gate deductions for all compan¬
ies
On June 12 the Committee took
understood to have .laid aside the i
ference
way as to
6.1 to 8 cents,
cents, $10; 11.1 to
cents, $13.50; 15.1 to 20 cents,
more
Doughton said that he
felt it was. too late to split up the
proposal for
deduct¬
present
cents,
$18;,20.1
and
:The House group on June 16 is
after
'
be enacted imme¬
bill.-
income
all companies. This percentage
would be determined in such a
•,:$7; 8.1 to 11
'
suggestion
estimated
an
would
flat percentage of net in¬
a
tax-exempt
interest,
the
percentage to be the same for
15% and 20% tax,
a
dividends.
deduction
schedule
*
President Roosevelt's
be
dividends amount to approxigraduated
by which cigars are / mately 93% of the aggregate net
investment
income
after
detaxed; the committee substituted
/ ducting tax-exempt interest. :
the Kfollowing
rates:
Retail
"Consequently for the taxable
price, 2.5 cents, $2.50 a thou¬
year 1942, each company would
sand; 2.6 to 4 cents, $3.50; 4.1
For
serve
from
(to
ing
was
and
deferred
new
vestment
a
seats
additional,
re¬
a
vbe
the additional
Pullman
on
for
"This
than ; $18,-
respectively, to raise
/ 000.
The committee
'
duction
transportation
was
as
tax
berths.
/
deduction
earnings deduction, the deduc¬
compromise
more
of the basic fare
for fuel and barber and beauty Z commended
shop supplies.
recommended
present
doubled,
5%
new
'reserve and other poli¬
mentary contracts, and the de¬
f
tax of 5%
coffee, as
electric power, gas used
sugar,
a
tion for interest paid on supple-
,,,
yield
000,000.
reliably reported that the
single'
liability deduction') be sub¬
stituted for the present reserve
yield $26,800,000.
committees
will
meets behind closed doors,
ways
had
~
"Inquirer" that:,
/
Although the committee /air
"The industry proposal is that
'
36-cent tax to
the
r -
;
tax
cy
$60,000,000. V
on
A
Treasury
j
It was also noted in the account
'
to
::
Treasury
called
boost
tax of one-half cent
-
/
;a
additional
raise
;
to
subsistance
;
Asj-
Educational and in¬
/line be increased to 10%/
=on
the. President that speed is essen¬
where wartime advertising
sam/
tial in enacting - a >: tax measure, ment likewise
pies and developments will be
;the advances.
Chairman
on
treasury
had / withdrawn
its
original request that the 4V2%
tax on transportation by pipe
law relating to mutual
single-package sales. ■,-/ life /insurance/ companies.
It
/.The Treasury had recommended
was: explained /by
/ Randolph
/sumer
:
a
out
tax
by the com¬
: C
follows:
as
and
in
:///Ari: increase
a
of serious repercussions.
smokers
approved
:
;
contained
were
schedules
diately was rejected on. June 10 by
sociation also says: .
j j Representative Doughton/ Chair¬
$100,000,000,/:/
A
feature
of.
the:
convention
man
of the House Ways and Means
$150,000,000,000, or even a
this year will be the exhibit, Committee.
While agreeing with
$200,000,000,000 debt without fear
Nation
000,
I
*
...
/.The proposed increases in levies
'equality
no
permitted
luxurious standard
Dewey, prominent in the
excise taxes
Republican Party circles. The
<■
$7,800,000, which had been
.enjoy a
of ,.L recommended by the Treasury.
An increase in
the existing
living while others in less for¬
^
tunate circumstances are called
18-cent-a-pound tax on smoking tobacco to 24 cents.
The
upon to cut their living stand¬
our
affecting civilian wel-
23> Sponsored by the Advertising
Women of New York. Others on
that ProSram are Mrs- Sarah Pen-
.10%;
■
^
jaVvi.
on
//bus and airplane, making them
of privilege' for which the Pres-
goal, fare< A session on magazine adviewed
as
very
high
a
few vertising has been arranged for
months back, will be met.
I^e morning of June 24 and radio
War Production hit a new peak
advertising men will also meet the
m
May, and early June figures same morning.
1
i
already are running at higher levn
n
_
,
..
;
/ j
els. Currently, the Treasury's out- l Al^- 9* Carr^ advertising manager,
go for all war activities is aver?omPan^ ^j^leri9a'
aging" more than $1,000,000,000 a Pittsburgh has been added to the
week, indicating that June will
f,? speakers who will be-heard
be the first $4,000,000,000 month. a* ^e luncheon meeting on June
that
means
;
-
that "there
by Mr. Nelson, that airplane pro- tion jn the war effort, as well ab
duction in this country will total- |n movement of
goods and changes
60,000
:
on
-
Motors
"undreamed-of volume.'
,
also to double existing levies
Committee several weeks ago./
"Mr. Paul told the" committee'
Corp.
an- tion, will speak at the opening
nounces that its war plants alone
general session on June- 22, 38th
are delivering $5,000,000 worth of
annual convention and advertising
orders
each day.
British war- exposition, Advertising Federaproduction heads express amaze- tion of America, Hotel Commoment at what American industries
dore, New" York, June 21-24, it
have done in so short a time, was announced
by Bruce Barton,
while
Donald
M.
Nelson, War Chairman of the convention's gemProduction Board Chief, reports eraj
program committee, who will
that the Nation is making muni- also be the
keynote speaker. Mr.
tions
decided
was
•
the Office of Defense Transporta¬
General
•
11,000 single persons arid marjan increase of 25 cents a thouscouples, and. would yield
about' $184,000,000 iri addition /fand on 10-cent brands and 75
a
thousand
on
brands
to the regular income tax under / cents
15 cents or more, to
rates tentatively fixed; by/the //costing
ried
Advertising Meeting
:
-persons
incomes ran
turns, the proposed war super¬
tax would affect approximately
months ahead of.
schedule*, while at the same time ]
predictions are being made of.
much greater accomplishments yet
-
from $3.25 to
$3.50 a thousand on cigarettes,
over $185,000 a
year.:///////;/
Treasury
experts : estimated / ;or one-half : cent a;. package,
that with mandatory joint re- ./■'which^ probably would mean one
j
',C3Sflltail 10 MOUFfiSS 5/:
*
■^
' passenger transportation by rail,
.
married
.
combined
whose
same month a year ago.
■
hit
would
•
It
.
began to move appre¬
ciably above $50,000 a year. It
The roads represent 81.5% of the
industry's production for war is -total operating revenues.
:
exceeding the most optimistic ex-1 r:; —
' .'—:—'
pectations. From all sides come
reports of orders being completed
start to
if
.
affect single persons when their'
$650,000,000 for 1942, it was esti-1 ?alIroa.d/ reP°rt a. 33.5% mcrease
mated. In the first three months
% May operating revenues of
of this year it totaled about $215,-.8®
C}?S3 1 railroads,: compared
000,000, according to the WPB.
Evidence
abounds today that
June 11 said in
on
companies
exempt
are
and
rubber
articles • because,
/Rep. Cooper (D., Tenn.) said, it
V; The Committee voted tentahad been found' that they had
/>tively* today: to increase /the
/-present heavy taxes oil tobacco / produced little revenue. * " / V
/in all forms by $107,000,000 and
It
was/announced
that the
part:
incomes
-v":i''
The.' Association of American
The super-tax would
:
r
cise taxes
"Herald Tribune" from its Wash¬
ington bureau
life
to repeal ex¬
washing machines,
optical / equipment, »e 1 e c t r ic
signs and " advertising; devices
k/In moting- the Committee's r ac¬
tion, : advices to - the New York
after income taxes.
which approximated $4,000,000,000
last year,
the' same
-
*3,322,651,006
tii«•«/£»+♦■ hnuvcr
kilowatt
hours.
;
time, since the
;
: committee
has tentatively ap¬
proved mandatory joint returns,
and since the Treasury prefers
joint returns in any event, the
/plan would allow .1 a- married
couple:; two/ $25,000 - personal
^exemptions, or a total of $50,00(3,
:
,
r
■
than
they- do not have more than
$100,000 in assets or more than
$50,000 a year in income.
:/ 4
.
.
vCpnstruction now is pro¬
ceeding at a rate of about $12,500,000,000 a year, the War Pro¬
duction
Board
estimates, while
;
insurance
Mutual
.
/other
Treasury
a
/ proposal that a tax differential
V be established between 10-cent
•
-
War
thousand tax to $3.50
per
had 'rejected
^and
■
'
based
on
the aggregate deduc
tions of the
industry under th<
Treasury formula."
«
service charge of 5 cents on a
charge of from 24 to 50 cents
.
was
:
on
changed to
10% tax
;
•
-
v
r
a
flat 20% tax
the amount of the toll.
on
This
telegraph and cable
increased to 15%.
yield in additional
messages was
.
Estimated
.
revenue,' $26,800,000.
•
v*
The
93%
is
a,
preliminary
figure, subject to modificatioi
after
more
Complete
tion of the 1941
examina
data, Mr. Pau
added/;"';\/Z';/;/'''Z'/''
change
was
put at $40,000,000.
Volume 155
THE COMMERCIAL & FINANCIAL CHRONICLE
Number 4082
1RukeyserPoints
THE FINANCIAL SITUATION
(Continued From First Page) ]
even a vital,
ally during the war itself.
For the most part
the provisions of the agreements now announced are those
which might be expected in the circumstances between
any two : or more allied nations fighting together against
! common enemies. ;'■* Though the utterances of;; President
Roosevelt on more than one occasion could well be ;a
{
;
!
of
uneasiness
about the
the
[part of the Russian dictator
of his
allies respecting the internal
on
intentions
affairs of Russia, and although there
individual freedom, no one has ever
is still
really
any attempt would be made! to liberate the
plainly do not want freedom. We can only
.
Stalin's
assurance
affairs of- other countries.
[Max Eastman," Mr. Rukeyser states, "has
job
de-glamorizing socialism.
in
[ Once he had been
as
well
as
|;
the Soviet led him to believe that®
socialism
inevitably breeds totali-1
tarianism.
much talk of ^"Totalitarianism, he found, tends,
believed that to give.the plain citizen the bum's
rush.
j
Russians who
% "According to Mr, Eastman's
hope that the view, complete domination of in-,
in
name
As to the disclaimer of terri¬
ambitions—well, again! seasoned
to await developments.
In any event,
sia and the British are hardly among
the world, and we have never at any
observers are likely
however, both Rus¬
the "have-nots" of
time entered more
than half-heartedly at most; into the practice of; seizing
territory.
the
cause
three
employer,?
policeman
"In
[
Russia also this time is apparently, and quite properly,
a
part, and an important part in making certain
that the "aggressors": are unable again to disturb the peace
of the world.
Last time, while neither Russia nor the
United States took active parts in the post-war treatment
of Germany, that country was thoroughly and effectively!
of.
-
and
.
in
a
.
debate
with
Dr.
a span of years,'and there was nothing
Great Britain and France from continuing to
sent
fective
to do
in
so.
•.
this
Nor
to pre¬
be ef¬
particular had they really been disposed
the victors in the first so-called World
were
!War unduly tender-hearted or lacking in thoroughness in,
[the dismemberment of the Central Powers and in the ent
circlement of
such
matters
'war is
one
over.
Only the future can tell whether;
as
these:-will be wisely handled when: this
Under the leadership of the United States,
Germany.
of the earliest and worst offenders last-time, and evi¬
community can't
-of ..the
com¬
administrative
problem and the nature of
man.
...
,"I. refer .to Mr. Eastman's views
because
his
opposition
ism is based
gressive
'vested
for
lines.
social¬
to
interests'
—
spokesman
no
reactionary opponents of prog¬
:
ress.
"On the
careful observer
The
can
.scarcely have missed the plain intimations or implications,
•not to employ more 'positive terms, of maturing schemes
of world economic planning and control.
And Russia is
to have an influential part in this planning and control!
One of the provisions of the so-called master lend-lease
agreement between the United States and Russia asserts
that "they (the final terms of the post-war settlement of
'
opposes ex¬
cialist
and the Union of Soviet So¬
Republics, open to participation by all other coun¬
mind, directed to the expansion, by appro¬
of like
tries
priate international and domestic measures of production,
employment and the exchange and consumption of goods."
This provision then continues to the effect that "at an early
•'date conversations shall be begun between the two gov¬
ernments with a view to determining, in the light of gov¬
erning economic conditions, the best means of attaining
'the above-stated objectives by their own agreed action and
of
-
'
""
11
'
Post-War Planning
These are,
of
course, vague
,
terms, as are most of the
it -is
progress.,
retrogressive—
,.
,
..
J; "The official Socialist line in this
country is naive.- It contends that
the Soviet perverted Socialism by
combining, it with a dictatorship,
v
"I;;think it is more logical to
conclude that the Russian pattern
their
and
of
opportunity,
of their own
competence
own
available
economic
may select work
choosing, and be rewarded accord¬
ing to the contribution which they
make.
alternative
"The
there
Where
there
must
labor is
"Of
is
be
is
-
state-ism.
free
no
choice,
force—and
forced
brand of slavery.
a
course,
providing
tribute
stipulations in all these recent interchanges and un-;
They could mean little, or they could be
'pregnant with significance.
When, however, one ponders
the devotion of the present Administration in this country;
other
to so-called economic
planning, its itch to regulate and con-j
"According
to the principle of
reaction, some students
government and business be¬
of
lieve that after the
so
weary
interferences
personal
a
nostalgic
the
should
the
enterprise
re¬
system
begin to make analyses of
fundamentals
and
in humanized
manner
to
and
express
dramatic
i; that
months
10
same
a
2,589,456 bales of
523,745 bales of linters
were
in
consuming establish¬
May 31, 1942, which
compares with 1,931,565 bales of
lint and 501,747 bales of 'linters
on May 31, 1941.
;
"
'
hn
|
9,402,969 bales of lint and 150,533 bales of linters
in
were
hand
on
public
storage and at com¬
pressors on May 31, 1942, and 11,399,982 bales of lint and 87,057
bales of linters on May 31, 1941.
Communism,
pure
that
each
according
should
his
to
con¬
ability
according to his
need, is so at variance with indi¬
vidual biological differences that
the Soviet had to
compromise, and
an incentive wage.
getting more and more
from the Communist ideal."
begin to
pay
It has been
away
Analyses Future of Free '■%
Enterprise
In
subsequent
a
in the
article
the.
war
and
our
enterprise when
"Much
of
system
free
of
peace comes:
the
underlying
"I
.
believe
that
corporations,
temporarily stopped from stimu¬
lating demand for certain types
of
consumer
goods at present,
should
take
advantage
of
the
hiatus to employ advertising \ to
merchandise concepts and ideas
about
the
desirability
of
the
American way.
"In
view
of
demonstrable
the
superiority of the enterprise sys¬
in
achieving5 high
living
standards and human liberty, de¬
featism concerning the long-term
tem
future
the
of
system is not war¬
ranted.
"The" present
situation is highly
abnormal.
Armament production
is not industry in the accepted
it is rather
commandeering by
necessitous
Government
of the facilities for producing and
exchanging goods. With the Gov¬
sense;
ernment
as
the sole
a
buyer of
mentation
which
would
suitable for peace-time
be
based
on
the fear that the free
"Under the necessities of
time
economy,
en¬
disappearing.
was
observers
a war¬
have
"The American way should not
be
dubbed
the
private enterprise
fallaciously
puts
emphasis on the so-called vested
rights of the business, man and
the property owner. Those privi¬
leges are only incidents to the
system, which should be described
as a mechanism by which Amer¬
That
system.
ican workers,
exchange
^goods
through the
partnership and
corporation, the
agencies.
other
of
their
the
at stake is the
people, and their
that
more
choosing.
own
fortuitous
annals
of
circumstance
business
:
goods
It
that
is
a
the
demonstrate
free system has been
productive than any other."
this
'
,
sent
on
June
institutions
11
to
New
in
State, Allan Sproul, Chair¬
of
the
Victory
Com¬
Fund
mittee for the Second Federal Re¬
District,
urges that banks
possibility of sales
G War Savings
Bonds. Mr. Sproul points out that
the May quota was not met by
re-examine the
Series
of
the
F
State
and
and
that
in¬
unless
creased effort is put forth in
June,
the higher quota for this month
will not be reached.
His letter says in part:
This is
an
opportunity for the
banks of the District to
i their
forts
already
to
expand
ef¬
considerable
the
promote
nancing
War
Fi¬
Program. With their
knowledge of the re¬
intimate
and needs of individual
sources
and institutional
investors, they
prospective
pur¬
reach
can
of
chasers
the F
and
G
Bonds
perhaps no other group can.
This is no longer merely a ques¬
as
tion of investment
opportunity;
question of
maximum financial support to
it
is
now
also
a
the War effort in
a
time of
na¬
tional crisis.
Inter-American Farm
.
Meeting In Mexico City
Dr.
"What is really
liberty
letter
themselves
among
practically all economic; activity, and the many inti-;
There are all too
of a determination to apply such. intelligent citizens of the United States.
New Deal principles upon a world wide scale after the many who are disposed to defer consideration of these is¬
sues until after the war is
won, insisting that our immediate
war, it becomes difficult [to [ escape real uneasiness as to
!where all this is leading us. *: Nor is that uneasiness allayed and urgent task is defeating! the enemy. Such, of course,
is the paramount concern of the
day, but we should be ex¬
when it is now made clear that in this world planning and
this world control Russia is to play one of the leading roles.? ceedingly unwise to permit these fantastic schemes of post¬
war
management to mature, to gain a large following
.Russian communism, now rather well supported in this
among the unthinking, and 'to reach a status in popular
country by large alien refugee elements, has always been
quite influential among the New Deal .managers.
May. thought that would render their circumvention at a later
It is increas¬
heaven preserve us all if the Russian planners join forces date exceedingly difficult if not impossible.
with the New Deal planners to lay out a new heaven and ingly evident that President Roosevelt is carefully plan¬
a
new earth
at the conclusion of hostilities.
Both our ning with all of his political acumen and by astute use of
and otherwise to present the
cherished liberties and our boasted standard of living would lend-lease, arrangements
world with precisely such a political situation at the close
soon be in the gravest of danger.
1 s
of the war.
Here are matters which must not be neglected by the.
:
a
banking
farmers and others
and
produce
mations in recent months
.
In
all
un¬
conditions.
of
terprise system
war
materials, it is necessary in war¬
time to develop a type of regi¬
freedom to select work and
been
Banks Urged To Increase
Effort To Sell War Bonds
serve
in>• the
market, has
,..
man
simism expressed in recent months
stock
active cotton spindles during May,
1941. ;
'
York
VJj
*
5
pes¬
so
small stockholders and the
trol
was
and
°
and
ments
something approach¬
ing 'normalcy/
"Instead
of
relying
fatalis¬
tically
on
inexorable forces, I
that those interested in
the
hand
on
for
demand
in
There
lint
lib¬
lint
of
ago.
year
of governmental
with
bales
linters
the public
war
erty that there will be
and be rewarded
.
iderstandings.
9,202,1,241,760
bales of linters, against 7,916,109
bales of lint and 1,097,888 bales of
508
stake.
that
ground
V
,
31, cotton consumption
en¬
that it is harmful to human liberty
the
;
Mr. Rukey¬
following to say on
\
regimentation of business during
.
various cotton mattress programs.
For the 10 months ending May
ques¬
and
on
seeking the agreed action of other like-minded govern- "Journal-American,"
ser
had the
'"ments."
the
war
132,390 bales of
compared with 998,754
as
workingmen,
public y
There were 23,120,666 cotton
generally will have a sympathetic spindles active during May, 1942,
understanding of the issues-. at which compares with 23,004,082
cessive -collectivization
obligations) shall include provision for agreed action by.
the United States of America
*
them
contrary, he
but this view
struggle at the
the
of restoring the private
terprise system.
think
of
tool
no
of
tion
storing
is
L0! "That is the essential choice that
lit'a; 1?iclcwickian sense,
is open.
On the other hand, there
[
Quite apart from all this, however, there is an element; is the
system of freedom, in which
;in these discussions which must give all thoughtful stu¬
workers, within the limitations of
uneasiness.
leaves
conclusion
the
of lint and 132,106 bales of
linters, in April, 1942, and 923,518
bales of lint and 129,562 bales of
linters in May, 1941.
April con¬
sumption of cotton includes 1,700
bales distributed by Surplus Mar¬
keting
Administration
through
animation.
suspended
academic,
open for
-
He
response
considerable
seem
hand,
In
bales
"The immediate distinction may
humane and pro¬
on
'taken
dents
of
state
report
the
in
on
of lint and
linters,
more
me
cotton
spindles.
cotton
bales
regi¬
accurate,
however, to conclude that free
enterprise
is temporarily
in a
will be
plexity
of increasing
to
seems
structure of the
to pressure exerted by means of lease- originated from the necessities of
lend arrangements, verbal recognition at least of the advis¬ the case.
When through fiat of
the state you remove the volun¬
ability of making the international movement of goods less
incentives
of
the
profit
restricted has been acknowledged by all three countries. tary
motive, the only alternative is
jThe future will disclose whether these resolutions are to be force to compel men to work.
dently in
"It
States,
its
consumed
month of May, 1942 and 1941, cot¬
ton consumed amounted to 957,015
mentation of business by Govern¬
ment.
:
; 4
:
1
action and
to have
^disarmed for
evidence
seen
13, 1942, the
issued
cotton
United
—
—
Harry W. Laidler, Mr. Eastman
argued that total control by the
state i of. ? the
entire
economic
be democratic because of the
Post-War Security
be-,
functions
combined
are
recent
a
labor,
strike-breaker,
single, agency,-
yeoman's
a
active
——
becomes op¬
to
been doing
-v;'
-
Bureau
showing
Marxian devotee,, but his observations in
a
Consumption
May At High Peak
Under date of June
of socialism.
•
torial
■
active opponent
an
honor dustry by the state
of non-interference in the: internal pressive, especially
'communists of Russia will in fact
Mr.
Census
Marxist, into
.
cause
Inevitably! Breeds Totalitarianism
M. S. Rukeyser, writing in the New York
"Journal-American,"
reasons behind the change of Max
Eastman, once a
discusses dhe
•
.
Cotton
Out That Socialism
In
;
■
..
.
2307
Earl N.
Bressman, Director
Agriculture in
of the Division of
the
Office
of
the
Inter-American
Coordinator
Affairs,
of
recently
expressed the view that the forth¬
coming
Second
Inter-American
Agricultural Conference at Mex¬
ico City, July 6 to 16, would loom
large in the solution of present
and
post-war
food
problems.
Speaking
to
a
Committee on
Tropical Agriculture, composed of
experts
from
Latin
American
countries, at the Pan American
Union, Dr. Bressman said he felt
that the organization of the £on-
is practical and pointed to¬
existing world conditions.
"I have had an opportunity to re¬
view the subjects which wilK be
treated by both official delegates
and consulting delegates," he con^
tinued, "and have found them to
be well
selected and pertinent.
gress
ward
Foremost
men
in the field of agri¬
culture have been chosen to
pre¬
and they represent
most geographic regions."
sent
topics
THE COMMERCIAL & FINANCIAL CHRONICLE
2308
President Merges War
Information Bureaus
Food Board Outlined
Duties Of U, S.-Brilish
As
June
11, page 2202, the es¬
tablishment
was
of
announced
two
behalf of him¬
on
Minister Winston
and Prime
One of these is to be
Churchill.
known
boards
new
June 9 by Pres¬
on
ident Roosevelt
self
the Combined Produc¬
as
tion and Resources Board for the
United
President Roosevelt
indicated in these col¬
was
umns
States
United
the
and
a Joint
Great Britain-United States Food
Kingdom, while the other,
Minister
of
Food, Lord Woolton.
The Combined Production and Re¬
British
of
Minister
Production,
in Washington. Presi¬
who is how
dent-Roosevelt
functions
general
boards
in
The
Mr. Nelson
was
Secretary
memorandum
to
given in our June
issue; the following is the text
11
of
President's
the
memorandum
ment
that
announces
the
Office
the
Into
new
all
consolidated
will
agency
the
of
and duties of the
be
functions
following exist¬
vested' in
me
and
United
and
as
in
full
with
accord
Minister
V
Emergency Manage¬
ment, in charge of Robert W.
Horton, and the Foreign Informa¬
Britain
Great
rected
"In
;>■'
order
fur-
also
addition,
the
Director
of
Office of War Informa¬
new
authority, subject
to policies
laid down by the
President, to issue directives to
all departments and agencies of
the Government with respect to
their informational services. He
will have full authority to elim¬
inate all
overlapping and dupli¬
cation and to discontinue in any
,
department any informational
activity which is not necessary
useful to the
effort.
war
or
and
service of the different depart¬
expeditious
utilization
resources
of
of the United
While the actual information
and
ments
Nations, there is hereby estab¬
tinue
lished
partments
Combined Food Board.
a
agencies
con¬
with such
remain
to
will
agencies,
and
de¬
their
activities
"The board will be composed
of the Secretary of Agriculture
informational
and the head of the British Food
by the Director of the Office of
Mission
War Information.
who
will
represent an
act under the instruction of the
"The duties of the board shall
be:
v:.;"
j
"To
consider, investigate, in¬
quire into and formulate plans
with regard to any question in
respect of which the govern¬
ments of the United States and
United
;
statement
House
tion will have
a
Minister of Food.
;
Donovan.
ther the prosecution of the war
effort by obtaining a planned
the food
-
J.
di¬
Kingdom have,
or
may
have, a common concern, relat¬
ing, to the supply, production,
transportation, disposal, allocacation or distribution, in or to
any, part of the world, of foods,
agricultural
materials
from
which foods are derived, and
equipment and non-food materials ancilliary to the produc¬
tion of such foods and agricul¬
tural materials, and to make
conform to the directives issued
performing general mis¬
cellaneous
strategic
services
leaflets, etc.
functions
will
in
These information
foreign countries
become
part of the func¬
new
agency—the
Office of War Information; and
tions
the
the
of
staff
appropriate
for this purpose.
To
the
to
assist the
will
new
be
agency
with
■
'*
others
in
collaboration
of the
United Na-
Office
of
Director of the
War
Committee
on
Information,
Policy will be established.
of their food resources,
collaboration
with
the
Director will
ested
nation
or
inter-
nations,
to
of
this
bers
be
the
the
in
The
Chairman
committee; other
of
a
War Information
tions toward the best utilization
and, in
The
all
of
for
Order
April
to
be-.
committee
mem¬
May,
according
date
of
Between
not
clothing,
showed
Fuel
'
his
Executive
President
said
Order
that
the
due
the
being effected "in recognition
right of the American peo¬
was
informed
the
about
The existing Office of Co-ordi¬
nator of
Information, exclusive of
foreign information service,
transferred
order"
"military
directly
operate
a
to
the
Chiefs
Joint
States
in
separate
of
United
Staff
their
under
pervision.
The
„
of
name
this
to
su¬
/
was
Donovan.
Mr.
the
Under
order,
and
Co-ordinator
the
White
commit¬
said, will
"formulate
basic
policies
and
plans on war information; but the
director, after consultation with
such committee,,, will
have full
power as the executive head of
the new agency."
tee,
the
House
The information services of the
Coordination
of
Affairs,
A.
Nelson
of
Inter-
handled
by
Rockefeller, continues
to function.
Davis
Director
OWI
author¬
is
and
aims
of the
;
.
declined
dollar
Co-ordinate the
tional
departments
the
purpose
curate
and
afe
set
and
Federal
agencies
to
102.8%
to
an
flow
tion
of
such
information
as
to
Agree On Second Front
The White House announced
June
that President
11
and Soviet
M.
on
Roosevelt
Foreign Commissar V.
Molotov
reached
have
understanding
.
.
"full
with regard to
.
the urgent tasks of creating a sec¬
ond front in Europe in 1942."
In
formal
the
statement,
White
in
Washington for nearly a week,
at Mr. Roosevelt's invitation.
Their
sides state with satis¬
"both
faction
unity of their views
all these questions."
Mr. Molotov had been in Wash¬
the visit
The White House statement
the
Roosevelt-Molotov
on
conversa¬
appropriate and effec¬ tions follows:
of keeping the pub¬
The People's
Commissar of
lic adequately and accuratelyForeign Affairs of the Union
informed.
of Soviet Socialist Republics,
Review, clear and approve all
Mr. V. M. Molotov, following
proposed
radio
and
motionthe invitation of the President
information;
point of clearance and contact
for the radio broadcasting and
motion-picture
industries, re¬
spectively, in their relationships
with Federal departments and
This visit to
Washington afforded
an
op¬
portunity for a friendly ex¬
change of views between the
agencies concerning such gov¬
the
ernment programs.
tov and his party on the other.
Among those who participated
or
other
of their food
use
re¬
after
sources.
"The
to
board
shall be entitled
receive from
the
and
any
agency
to
agency.
White
United
those
food
resources
also
of
Great
indicated
head
House
that
an
such
power
of
the
statement
adminis¬
trative officer to serve under Mr.
Britain
and
the
United
States
will be deemed to be in a com¬
mon
govern¬
ments, and, In principle, the en¬
tire
executive
The
information avail¬
able to such agency or depart¬
ment relating to
any
matter
with regard to which the board
is competent to make recom¬
Director,
with
consultation
the
United
the
any
mendations
as
department of
Government of the
Kingdom
of
Federal departments and agen¬
committee, will have full
new
Government of
States
the
any
the
but
picture programs sponsored by
formulate
est
pool, about which the full¬
information
changed."
will
be
inter¬
and- serve
as
the
central
Maintain liaison with the in¬
formation
agencies
of
the
of the United
States
of Amer¬
ica, arrived in Washington May
29
and
was
for
time the
some
President's guest.
President
in
one
the
and
his
advisers
on
hand and Mr. V. Molo¬
conversations
Soviet
were
Ambassador
in
the
the
United Nations for the purpose
United States, Mr. Maxim
of
vinov, Mr. Harry Hopkins, Chief
relating
the
government's
informational programs and fa¬
cilities to those of such nations.
Mr.
Molohis
on
these con¬
versations have been most use¬
ful in establishing a basis for
;
:
fruitful and closer relationship
between
in
the
two
governments
the
pursuit of the common
objectives of the United Nations.
V-V; ■
:
Tire And Drug Reports
The
Securities
Commission
lic
the
series
and
recently
14th
and
Exchange
made
15th
of
pub¬
a
new
of
industry reports of the
Survey of American Listed Cor¬
porations,
covering
of
years
1939
14
the
and
covers
calendar
1940.
Report
of
corporations
tires
and
other
en¬
rubber
covers
both of which had securities
tered
under
change
the
Act
of
1940.
■;
'
regis¬
Securities
1934
/
Ex¬
Dec.
at
31,
•,
.
With respect to report No.
14,
covering 15 corporations, the SEC
•;^>k> ■<;,/: >
says:
"The
combined
by the group
1940
sales
reported
$857,000,000 in
were
compared
1939.
with
Lit-
Net
1940 and
$779,000,000
and
profits
after
5.2%
of
sales,
respectively.
enterprises
$21,000,000 in
$24,000,000 in
were
1940 compared with
1939.
The
these
15
combined
assets
end
of
1939,
creased
from
end of 1939 to
while surplus in¬
$141,000,000 at the
$158,000,000 at the
end of 1940."
Concerning
included
in
the
15
report
companies
No.
15,
"The
combined
by the group
1940
sales
were
compared
reported
$267,000,000 in
$256,000,000
with
in
1939.
Net
profits after all
charges totaled $32,000,000 in 1940
and 1939, equivalent to 11.9% and
12.6% of sales, respectively. Total
paid out by these en¬
dividends
terprises
were
The
year.
$24,000,000 in each
combined
assets
re¬
ported by the group totaled $244,000,000 at the end of 1940 com¬
pared with $231,000,000 at the end
of
1939,
while
surplus
increased
from
to
$72,000,000 at the end of 1939
$78,000,000 at the end
of
1940."
American Section Of
Chemical Society Elc
The
American
Section
of
Society of Chemical Industry
nounces
the
election
of
lowing officers for the
the
year
1<
1943:
Chairman, Dr. Foster
D. Sr
Vice-Chairman, Dr. Norman
Shepard; Honorary Secretary,
ril S.
Kimball; Honorary Tri
urer,
J. W. H. Randall.
The
following
members
place
of
were
new
commi
elected to take
retiring members:
Allen; Francis J. Cu:
Price; Archie J. Wc
ward R.
Dr> Donald
States
and Dr. Lincoln T. Work.
Ernest
the
Commission states:
mander-in-Chief of-the United
Admiral
for
corporations
totaled
$785,000,000 at the end of 1940
compared with $736,000,000 at the
of Staff Gen. Marshall and Com¬
Navy,
all
1939 equivalent to 4.6%
Total dividends paid out by these
the
cies,
purchase,
will
asked
charges totaled $40,000,000 in both
conferred with the President
basic policies and plans on war
effective
committee
President
behalf that he feels
had
expansion,
This
the
{ tov to inform Mr. Stalin
in
means
Order.
unity of their views on
these questions.
At the conclusion of the
visit
House disclosed that Mr. Molotov
forth
Executive
war.
satisfac¬
corporations engaged in the man¬
ufacture of drugs and
medicines,
the most
tive
the
with
products ad report No. 15
Roosevelt, Molotov
of
dissemina¬
state
all
ture
plane, after signing in London a
Obtain, study and analyze^in- 20-year treaty of alliance with
formation concerning the war Great Britain.
(This matter is re¬
effort and advise the agencies
ported elsewhere in today's issue.)
the
sides
freedom-
114.4%.
at large.
with
Further
gaged primarily in the manufac¬
for
ac¬
discussed.
No.
ington from May 29 to June 4 but
was kept secret until he
had safely returned home. He had
the public
flown to Washington in a Soviet
of assuring
the world
and
informa¬
all
consistent
information
war
war
of
from
March, 104.1%; in February,
105.2%, and a year ago it was
on
activities
ur¬
tion the
;
In April it was 103.0%,
May.
that
government.
Both
up
in
a
Office
American
to
was
Inter-
of
This
Affairs.
in
a
special committee within the OW1
is set up to be headed by Mr.
Davis and to include representa¬
tives of the Secretaries of State,
War and Navy,
the Joint Psy¬
chological
Warfare
Committee,
American
wholly
1923
executive
materials
war
security to the
loving peoples after
0.4%
a 0.7% rise in
and electricity
light
sundries, 5.8%; fuel and light,
4.7%, and housing, 3.5%.
•
The purchasing value of the
changed to the Office of
Strategic Services, to be headed
part
and
during the twelve months were:
transferred
of
were
and
hand,
increase of 0.8%.
(1923—100) was 97.3%
in May; as compared with 97.1%
in April, 96.1% in March, 95.1%
in February, 94.5% in January,
93.2% in December, and 87.4%
in May, 1941.
Living
costs
were
11.3%
higher than in May, 1941. Food
prices led the advance over the
year period with a rise of 20.6%.
Clothing
prices
were
second
with a 20.4% rise;
Other rises
effort."
war
was
were
of living
ple and of all other peoples op¬
posing the Axis aggressors~i;o be-
truthfully'
kinds
Union
The Board's index of the cost
of the
common
other
the
on
an
coal, while gas
remained unchanged.
merger
understanding
discussed the fundamental
problems of cooperation of the
clothing,
which • showed
the
greatest increase in the previous £■• Soviet Union rand the United
States in safeguarding peace
month,
fell
0.3%.
Women's
information
give aid to the
V
<
-
the United States to the Soviet
May,
and
April
clothing prices rose 0.2%. Men's
*
non-
'
conver¬
plies of planes, tanks and other
'
the
12
June
full
on
of the
course
gent tasks of creating a second
front in Europe in 1942.
In ad¬
dition, the measures for increas¬
ing and speeding up the sup¬
the.
to
formulate plans and recommen¬
dations
for
the
development,
the
sations
only 0.2% from
rose
the
reached with regard to the
Board further stated:
Director of Censor¬
enemy.
In
Under
-
pre¬
collaboration
available
concerned
*
work
close
which will
-
abroad, other than the dissemi¬
nation of information by radio,
United
"To
service
In
wage earners
workers in the
.
and
transferred
any
United States
quent
conversations
military matters.- -;;
S
of
costs
low-salaried
discussions, in addition to
ized
to
perform the
following the second-front "understanding,"
The existing Office of Coor¬
functions and duties:
included "measures for increasing
dinator of Information (exclu¬
Formulate
and
carry
out, and speeding up the supplies of
sive of the Foreign Information
through the use of press, radio, planes, tanks and other kinds of
Service) is being transferred to
motion picture and other facili¬ war materials from the United
the
Joint
Chiefs
of
Staff to
ties, information programs de¬ States to the Soviet Union," and
operate directly under their su¬
signed to facilitate the develop¬ also "fundamental problems of co¬
pervision. Its name is being
ment Qf an informed and intel¬ operation of the Soviet Union and
changed to the Office of Strate¬
ligent understanding, at home the United States in safeguarding
gic Services, and it will con¬
and abroad, of the status and peace and security to the freedom
tinue to perform its functions
progress of the war effort and loving peoples after the war."
of collecting secret and strategic
The White House statement said
of the war policies,
activities
information in foreign countries
recommendations to the govern¬
ments of the United States and
Kingdom in respect of
such questions.
«
must
Living
and
ship, Mr. Byron Price, and the
Director of the new Agency, for
the purpose of facilitating the
prompt and full dissemination
by
In
the
United
-
coordinate
to
Information,
William
by
White
The
,
r
of
Co-ordinator
States board, to be known as the
Combined Food Board. ; ;
.
of the
Service of the Office
tion
the
United States the creation of
■;
was
for
Office
ain, I hereby authorize on the
part of the Government of the
Joint
Re¬
Government
President.
Executive
tween
the Division of Information in the
Brit-
Great
of
of
to the
J. King. Mr. Cordell Hull, Secretary of State, joined in subse¬
:
March, 1941.
The
its
States, and acting jointly
Prime
MacLeish;
Archibald
by
Office
serve
Office'
new
information
scribes
ports, headed by Lowell Mellett;
of the authority
by the ConstituPresident of the
'
tion
headed
the
the
Of
Living Costs Up 0.2%
In May, Board Deports
Latin America will continue to'
Conference
Board* New
York.
be handled by the Co-ordinator
This
is
the
smallest month-toof Inter-American Affairs.
m<3nth increase since
office. A White House state¬
new
says:
Secretary Wickard:
"By virtue
•
two
addressed
to
and
Wickard.
to
the
of
memoranda
Nelson
Mr.
to
the
announced
The
the
sources,
Board,
as
heretofore ing informational agencies: the Of¬
stated, will consist of Donald M. fice of Facts and Figures, now
Nelson;'Chairman of the War Pro¬
duction;1 and
Oliver
Lyttelton,
Staff and
commentator,
radio
and
writer
has been named as Director of
■
Strategic Services, reporting
only to the combined Chiefs of
known
nationally
Davis,
;''7
of
and domestic.
The new agency will be known
as the Office of War Information.
Elmer
designated; and it
the head
as
ernment—foreign
British
the
of
-
June 13
on
be
William J. Donovan will
'
signed an executive order consoli¬
dating into one new agency the
information functions of the Gov¬
Board, will be known as the Com¬ of War Information will be di¬
bined Food Board; in the case of vided into two main divisions: the
the latter, Secretary of Agricul¬ first it is stated "will deal with
ture Claude R. W. Wickard will the dissemination of information
be the American representative, within the United States. The sec¬
while R. H. Brand, head of the ond will deal with the dissemina¬
British Food Mission to the United tion of information in all foreign
States, will represent and act un¬ countries, except. Latin America."
der-instructions
Davis will
added:
Thursday, June 18, 1942
THE COMMERCIAL & FINANCIAL CHRONICLE
Number 4082
Volume 155-
Govt.'s Anti-Trust Action Seen
Transforming
Advertising, Selling And National Economy
The Government's harassing anti-trust prosecutions of business
'may transform not only good-will building and advertising and sell¬
ing but also our entire national economy, declared Gilbert H. Mon¬
tague of the New York Bar, speaking before the Sales Executives
*Club of New York.
However, with a curtailment of managerial
adjustment of production to marketing demand, and with the reduc¬
tion or elimination of patent pro-<^
,
2309
ing, and. advertising and selling 1938. But they exactly describe
Were being attacked. A different the line on
which the cigarette
is presented,
however, companies were tried and con¬
now, that the Government is go¬ victed in 1941, and there are now
ing further, and is beginning to in the works more prosecutions
challenge non-collusive measures, along the same line.
1
such
as
the fostering
of trade
"By
the
simple
device
of
practice standards, the dissemina¬
stretching the anti-trust laws, so
tion of trade
statistics, trade in¬ as to make them
prohibit and
formation and cost
statistics, and penalize any business structure
the promulgation of uniform cost
the
Government does not like,
accounting principles. and
by harassing business men
'Collusion in its clearest form
with
grand jury
investigations
is an
,
situation
economy compelling limitless pro¬
duction simply for abundance has
been
approximated only/in Nazi
Soviet
Russia- and
Japan when they were preparing
for and later carrying on this
present war, and in the United
Nations
only
after
they were
Germany,
forced to imitate the behavior of
these totalitarian nations in order
to
themselves
save
from
extinc¬
tion
by them. Doesn't this sug¬
tection, trade-mark protection and
gest that Thurman Arnold's na¬
good-will protection, advertising highly beneficial to this country,
agreement to follow a com¬
and criminal indictments until in tional economy may be a totali¬
and selling would take over the when entered into years ago be¬ mon policy with
respect to price
desperation they agree to consent tarian and not a democratic idea?
•greatest problem and the greatest tween our nationals and nationals or volume.
Non-collusive
"Before the Association of Na¬
decrees
that
indelibly and ir¬
opportunity they- have ever had of other countries then at peace measures stop short of agreement;
revocably
impress
upon
their tional Advertisers last November,
in- all
history,
Mr.
Montague with this country, can years later in their clearest forms they are
businesses these new interpreta¬ and again in a newspaper inter¬
be unfairly distorted so as to ap¬ educational and
declared:
informational in
tions of the anti-trust laws, the view in May this year, Leon Hen¬
"Donald
Nelson
calls
this
a
pear sinister or even unpatriotic, character and operate
by strength¬ Government now
possesses and is derson declared that 'advertising
/smart man's war'," Mr. Montague after war has broken out between ening, implementing, or articulat¬
is threatened with no special or
In the ing the belief of individual busi¬ effectively exercising a force that
.told the Sales Executives Club. this and other countries.
may change our entire national extraordinary peril not shared by
"Certainly old-time, maxims do heated politics of war time, the nessmen that mutual self-restraint
other
economic
and
sociah or¬
economy.
.not fit it. Ever since Cicero's day, temptations to this distortion are in
competing for the available
"All this is disquieting, com¬ ganisms.'
well
nigh irresistible. /
business of an industry is a wise
lawyers have been repeating the
"Mr. Henderson spoke only as
"In every previous war since business
ing just after the Supreme Court
legal maxim 'Inter arma sieges
policy.'
Price; Administrator, but if .the
has departed from 30 years of
silent'—'In the midst of war the the anti-trust laws were enacted,
"These statements are quoted
anti-trust law precedents, in order Supreme Court should stretch the
laws are silent.' But there is noth¬ the Attorney General's anti-trust from 'Trade Association
Survey,'
anti-trust laws in the directions
to give labor substantial exemp¬
ing silent about the National De¬ division has gone into an eclipse. a monograph which the Tem¬
indicated in the Temporary. Na¬
Thurman
fense Act, the Lend-Lease Act, But
Arnold,
when porary National Economic Com¬ tion from the prohibitions and
tional Economic Committee mon¬
penalties of the anti-trust laws.
the Trading with the Enemy Act, threatened
by this fate in the mittee
published
in
1941, and
"Never before, in this or any ographs, advertising and selling
the First War Powers Act, the present World War, sold single- which was
prepared for the Com¬
would simply be in the sarqe boat
other country, has the experiment
•Emergency Price Control Act, the handed the Administration y and mittee by a Department of Com¬
with 'other economic and[C,social
been
tried of procuring all-out
[Property
Requisition
Act,
the Congress on the idea that vigor¬ merce group, whose ominous con¬
organisms.'
■
L
and
Second
War
Powers
unrelenting
anti-trust clusion is that 'the difference be¬ Nation-wide war production by
Act,
and ous
"Indeed they might fare.; even
•dozens of other Acts enacted since investigations
and
prosecutions tween collusive and non-collusive coddling labor and by harassing
better. For this national economy
the outbreak of the second World are just as important as all-out approaches to the achievement of business at the same time.
limitless
production
"This may be statesmanship of compelling
War, and the innumerable rules, production of war munitions, and price stability essentially is one
the highest order. For while ex¬ simply for abundance, as. advo¬
orders and regulations that are are even more important to meet only
of the
directness
of
the
cated by Thurman Arnold, would
perience shows that labor when
today pouring forth from Donald post-war conditions. For this ex¬ device.'
be to advertising and selling just
dissatisfied may hold up war pro¬
Nelson's War Production Board, ploit Thurman Arnold deserves
"In this and in all other mono¬
another 'smart man's war/; With
duction even in a national emer¬
and Leon Henderson's Office of unstinted admiration in any or¬ graphs
published by- the Tem¬
the curtailment of
managerial ad¬
Price Administration, and Chair¬ ganization
purporting to repre¬ porary National Economic Com¬ gency, experience also shows that
justment of production to market
no matter how
sent sales achievement in America.
man Eastman's Office of Defense
badly the Govern¬
mittee, there is a prefatory state¬
demand,
and
with
the reduction
"In the present war we may ment of the Chairman that the ment treats business, business can
Transportation,
a 11 d
Secretary
or
elimination of patent protec¬
always be relied on never to re¬
Ickes'
Office of Petroleum Co¬ expect, therefore, many prosecu¬ publication of the
monograph by
taliate by obstructing or retarding tion, trade-mark protection and
ordinator. Nor is there anything tions in which courts are asked the Committee 'in no
way signi¬
good-will protection, while mate¬
war production.
silent
about
Thurman
Arnold's to lay down new and extended in¬ fies nor implies assent
to, or ap¬
rials and plant capacity released
"In November, 1939, Thurman
of
the
anti-trust proval of, any of the facts, opin¬
program of more and bigger anti¬ terpretations
from war production are battling
Arnold's anti-trust division
ex¬
laws
far
trust prosecutions.
beyond those existing ions, or recommendations.'
But
to
win back their lost civilian
erted
all
the
Government's
"In the first World War, anti- before 1938, and many investigaalready another of these mono¬
markets, and while materials and
trust laws prosecutions were in¬ tions in which the facts might dis¬ graphs has been cited in its en¬ strength in an effort to obtain the
plant capacity now supplying civ¬
stituted only in egregious cases, close no illegality if sifted by a tirety in an official decision of conviction of William S. Knudsen,
ilian markets are battling to hold
then President of General Motors
court trial, but can be distorted the
or in cases directly relating to the
Supreme Court of the United
these same civilian markets, pro¬
so
as
to
Corporation, so as to subject him
national defense. In cases of les¬
imprint a sinister or even States.
duction would have to slip from
to
fine
and
imprisonment
under
ser
"This adds significance to the
importance, the Government unpatriotic smear, when present¬
its present all-dominant position,
the
anti-trust
ed
laws.
ex
Having
for¬
parte
before
a
Congres¬ following colorful statements in
•appeared willing to let business
and advertising and selling would
Committee
tunately
failed
in
this
effort
the
men
devote their undivided at¬ sional
affording no 'Anti-trust
in
Action,'
another
not only regain their former im¬
tention to war production, with¬ opportunity of cross-examination. monograph which the Temporary Government in May, 1942, called
portance, but they wohld also take
"All this is doubtless
ments
that
were
normal
and
"
.
.
,
.
j.
.
,
.
.
„
..
■
harassment
the
out
law
investigations
anti-trust
of
and
prosecu¬
tions,
the
present World War all
changed.
Thurman Ar¬
now
engaged in in-
is
this
staff
nold's
•vestigating and prosecuting anti¬
trust cases is nearly five times as
great as it was in 1938.
More than
3,000 individuals, firms, corpora¬
tions and. associations are now
•awaiting trial under the anti¬
trust laws. When these defendants
doing
were
the
acts
being
they
are
most
of them could
now
what
for which
prosecuted,
have had
no
doing
could ever be called in question
as
an
offense against the anti¬
trust laws. This is demonstrated
that
idea
to
they
were
in
that
fact
the
by
anti-trust
has
the
the
case
typical
Government
and months
spend weeks
develop the
which to establish
in court before it can
basic
a
facts
on
violation
If the
of these laws.
assembling
after
Government
all
the facts
requires all this time to
an
anti-trust law violation,
prove
it
is absurd
believe that there
to
consciousness or idea
of guilt on the part of defendants
who for the most part can be ac¬
quainted with only a small seg¬
can
be any
ment
,
helpful in National
Economic
Committee upon Mr. Knudsen to serve in the
Advisory Commission of the Na¬
attention from published in 1941:
■
tional Defense Council as head of
the
Government's
coddling
of
'As the open market recedes
labor, but it is discouraging to the fabric of industrial control is the program of national defense
thousands of business men whose
production. It is typical of Amer¬
woven.
At strategic points parties
ican business that Mr. Knudsen
patriotism and loyalty in all-out move to their own
advantage. In answered this call of the Govern¬
war
effort are equally necessary
automobiles the chiefs of the as¬
and
ment, and is now Lieutenant Gen¬
dependable, and it is dis¬
sembly line- have won authority eral
Knudsen in the national serv¬
heartening to that great body of over a
far-flung business empire. ice for the duration.
the American public which seems
They have, to their own gain,
"In
recent
never
to
learn
that
books,
articles,
people in learned to
play the parts manu¬
speeches and statements Thurman
politics often behave politically.
facturers off against each other.
Arnold is advocating a national
"Advertising and selling share, A franchise from one of the Big
of
course,
in this general dis¬ Three means far more to the or¬ economy compelling limitless pro¬
duction simply for abundance. In
couragement and disheartenment, dinary dealer than any ordinary
Mr.
Arnold's
national
economy
but
are
advertising and selling dealer can mean to the manufac¬
the
fostering of trade practice
now under any more Government
turer/ Only the exceptional mar¬
standards, the dissemination of
attack
than is
all the * rest of keter can
bargain with the com¬ trade
statistics, trade information
American business?
pany which controls his supply.
and cost statistics, and the pro¬
"Many people see grave threats It is all a kind of feudal regime
mulgation of uniform cost ac¬
to good-will building in the Gov¬ in
which
the
manufacturer
is
counting
would
all
principles,
ernment's
inclination
toward liege lord, the parts-maker vas¬
have to cease.
For as explained
grade labeling, and in the Gov¬ sal, .the
dealer
merchant
and
in the Temporary National Eco¬
ernment's predilection for price peon.
nomic
Committee's
monograph,
competition rather
than
brand
'In cigarettes the lines of the
although these are 'non-collusive
and quality competition, and in
feudal
pattern stand out even measures stopping short of agree¬
the Government's various stric¬ more
sharply.
The heights are ment,' nevertheless 'the difference
tures on advertising, as expressed
occupied by the managements of between collusive and non-collu¬
in the consent decrees in the Ford
the large concerns.
The ranking sive approaches to the achieve¬
and Chrysler automobile finance
officials graciously accept gener¬ ment
of
price stability essen¬
cases, and in the prosecution of ous
salaries; then, with a keen tially is one only of the directness
the cigarette companies, and in
eye to the unique quality of their of the
device,' and all these 'nonthe prosecution of food and drug own
services, they vote them¬ collusive measures
operate
groups operating under the. State selves sizable bonuses as "incen¬
by strengthening,
implementing
Fair Trade Acts and State Unfair tive
compensation." Stockholders or articulating the belief of in¬
Trade Practice Acts.
are
lulled by regular dividends. dividual business men that mu¬
-
distracting public
"
"In
•
.
of all
the facts.
"Anti-trust
Sense
ex
laws
in
a
real
laws.
facto
post
;
are
fendants in these cases are
De¬
judged
.
"Some criticism of this Govern¬
action
ment
has
been
so
un¬
At
frontier
one
ceives
for
leaf
a
the
farmer
re¬
price that nets
the law as it was judicially informed that Government spokes¬ less than a decent living. At the
interpreted at the time they were men have had little difficulty in other the dealer is forced to carry
doing their acts, but by later ju¬ making these critics appeaif "ridic¬ the article upon the thinnest of
dicial interpretations of the law ulous. But at the core of all this margins.
For the manufacturer
current at the time of the trial Government
action,
and
un¬ encourages price cutting, and the
and in many instances laid down touched by all this clumsy and merchant who sells other things
by the Supreme Court and other fumbling criticism, there seems cannot afford to have the buyer,
Federal Courts long after their to be a force which, unless in¬ walk out of the shop because it;
r
cases,
This has always
of anti-trust
done.
characteristic
is
and
when, as now,
peatedly expanding the interpre¬
in all
resourcefulness
greatest
efficiency.
flinched
never
man's war.' "
self-restraint
tual
for
available
the
.
.
in
competing
business
of
an
for
in the
tion
Importers
Guide
Distinguished Service
Advancement
in
sented
Foreign
under the
to
the
Chamber
tation
tended
the
on
great
June 9.
Yet, with, little in the
a small group of
holdings,
way
Division,
these
for
of
have
the
been
national
of the First
' .-!■"■■■
made
was
by Thomas J. Watson,
Director of the arbitration group
and Chairman of its Inter-Ameri¬
a
Commercial Arbitration Com¬
newly
New
centuries
characteristic
arid
The presentation of the award,
which is given annually by the
American Arbitration Association,
Frederick
elected
York
E.
President
Hasler,
of
the
State
Chamber, ac¬
cepted the award on behalf of its
membership.
At * the
same
ceremony,
Col.
Charles
T.
Gwynne, Executive
medal
duress.
to
the
ceremony, which was at¬
by several hundred leading
Army.
of
resort
hallfl of
The presen¬
Gen. Hugh A. Drum, Command¬
ing General of the Eastern Com¬
mand
our en¬
tire national economy into some¬
technical
of
business men, was featured by an
"off the record" speech by Lieut-
thing quite different from the
present, -w-v-;\ ■j..
no
pre¬
auspices of the
Chamber of Commerce
in
mony
York,
is
Arbitra¬
the State of New York at d'-cere-
mission.
"Similary in Thurman Arnold's
of
Trade was
American Arbitration Association
can
national economy
itless
production
have
;
1942
Award
Management would thus have to
cease
adjusting
production
to
demand.
their
'smart
a
NY Commerce Chamber
The
industry is a wise business policy.'
market
and
They
lost
or
Arbitration Award To
there
telligently measured
and
dealt
with,
may
transform not only
good-will building and advertis¬
greatly intensified
the Supreme Court ing and selling but also
and other Federal Courts are re¬
est
had
ever
compelling lim¬
simply
for
abundance all patent protection,
does not carry his favorite brand. trade-mark
production and good¬
It is all very subtle; no formal
will protection would have to be
conspiracy meets the naked eye; reduced or eliminated. For though
.
were
been
opportunity
that
they
history.
"Always when the going has
been
toughest,
advertising and
selling have achieved their great¬
have
"
not by
acts
the greatest problem and the
over
greatest
J(
.
Vice-President of the Chamber, of
Commerce
was
for
of
the
State
of
New
presented with the 1942
Distinguished
in commercial arbitration
cius R. Eastman,
Service
by Lu¬
Chairman of the
of all democratic na¬
lord it over the whole trade.',
bringing
of the
Association. Col.
tions. they contain the possibility Board
.within its penalties a rapidly ex-i
"When
anti-trust prosecutions
"These impassioned statements of fostering brand or quality eom- Gwynne, one of the founders of
Arbitration
panding area of transactions.
Association, r is
dealt only with conspiracies and far outrun the anti-trust laws as oetition rather, than price compe¬ the
completing his 48th year of serv¬
"In war time all these charac¬ restraints of trade, no one could they were interpreted and applied tition.
teristics are accentuated. Agree- well argue that good-will build- by- the
"Thurman Arnold's national ice with the Chamber.
Supreme* Court before
tation
of
the
law
and
men, economy
•
-
,
.-Li' V-:
.1
r.)
u
I ,.-:C tui¬
ihof.TV
:.&T;ifcbA:-- r'ViK"
~
itJ-iJj,:
du.fi !»'
t
-
THE COMMERCIAL & FINANCIAL CHRONICLE
2310
than would be
Life Insur.
Companies Have Added Importance
In National Economy In War Time, Says Pink From Texas To Illinois
normal
times, it is doubly so when the nation is under strain." "We
only," he said, "to think back a few years to the depression
ushered in this great war—to the billions of dollars poured
back annually by this institution^
to salvage individuals, to protect
ment for its strenuous efforts
the home, to keep business going
to control prices and spending
.—to
realize how important and
and prevent inflation.
Life in¬
Pink
v
went
Not
Superintendent
to
on
say:
contribution
is buoyed up
by the stimulation of industry
due
•
every
the
to
one
higher
and
tioning
civilian goods.
effort
war
find it
many
cult than
to get
ever
those who
more
diffi¬
along.
mains
And
mobilization
In
of
danger with
of the peace. There
let-up in life insur¬
the coming
must be
no
No
ance.
competitive
Life
be
the
in
this
crucial
period.
fort .is to
a
of the war ef¬
great extent the obli¬
gation of large financial institugather together the
i
.tions which
:
people's savings.
available
made
S
by
us
pan
These funds
effort.
are
.
of all kinds.
•
'
V
-
that
ing
latest
figures
;
legal
reserve
hold
now
show that our
life -companies
$7,300,000,000
entire
cost
total
held
,
end
government
by
life
of the
first World
of -the
\
Mr. Pink, who spoke during the
•Convention of the National Asso¬
ciation of Insurance Commission¬
in Denver,
warned in his ad¬
dress that "a run-away inflation
would be more dangerous to our
economy and to
the stability of
ers
government than war itself."
He
further declared:
It
would
deal
particularly
harshly with life insurance pol¬
icyholders and those who have
-
in the savings banks. The
money
-
•
v
.
J
of
our
come our
John
of
war
our
•
been
;
'
who
Now
deposits
he
urges
blocked
forced
and
savings to
avoid inflation and to provide
capital
for
industrial
recon-
•
struction when the
similar
,
:
of
some
part
vein
of
it
our
the
is
war
ends.
In
suggested by
.economists
that
excess-profits
tax
be set aside for the recovery.
Life
insurance
should
,
be
grateful to the Federal Govern¬
year
of
the
fuel
or¬
transfer Government
fair success,
bureaus
the Association
In
However, there still are many
Government agencies to be re-
choice
of
officials'in
V tion.
oil
the
stated
while there
hotel
the
of
the
line
is
?
For
-V gram
take
the
financial
office
It
district
in
New
the
in
Defense
Harold
had
construction
a
of
proposed
the
,
ground
the
best
comfort
The
companies
linois
harsher
at liberty
clauses in
June 11 by some industry experts
familiar with the problem of
sup¬
any
are
war
merce"
of
which
and
:
would
the hazard to human life grow¬
ing
out
of
invasion
is
•
-
while
to all
they
are
-
the
Canada;
ouslv
United
States
in
view
of
the
war
and
enemies, the
in
the
sary.
the
use
United
It is
tactics
of
a war
States
my
own
is
of
everyone
in
the
United
sufficient
to
be
the
than,
also
critics
of
•
the-
the
was
from
line
to
the
the
probably
Eastern
end
more
restriction.
stated
that
of Russian
seed
our
about
dandelion
received
by
Industry
being planted at
Agricultural Experiment Stations
of
from Russia
are
and
Forest
Plant
Service
several northern
nurseries
States.
in
The De¬
This plant is harvested at the
of the first
growing sea¬
end
war-risk
the
War
000,000
insur¬
pro¬
cur¬
At the
cultural
Chemistry and
neering is testing large
tities
•
ship sinkings it is
es¬
than
current
of
cient
a
to
meet
requirements
<: The. House
on
-
one
passed the
ber
r
,
-
the
extracting
common
with
pos¬
rubber
shrub
range
determine
the
the highest rub¬
,
content.
•
A
legisla¬
May 28, as noted - in, our issue of
June 4, page 2129.
of
western National
help
varieties
for
on
determine
to
from this
year.
May 21 and the Senate
on
Forests
to
Engi¬
quan¬
rabbitbrush' collected
by rangers
and
premiums, will be suffi¬
from eight months to
:
of
sibilities
ship a day. It is ex¬
pected that the "added funds, to¬
gether With moneys on hand and
more
The Bureau of Agri¬
per year.
appropria¬
to augment the
1940.
about 2,in the
It yields from 30
to 60 pounds of rubber
per acre
Shipping
original fund of $40,000,000
on
annually
acres
Soviet Union.
The
designed
and is grown
son,
timated that the fund is liable for
area
§#bstaritial
pounds
Bureau
Upped
vided in July,
tion
and Canada without
is
rent rate of
.
.difficult
and
of
fund
tion
project
consuming
re¬
in
noted
was
(kok-saghyz)
Roosevelt
marine
ance
one
,
Act
Agriculture
the
signed on
June 5 the resolution appropriat¬
ing an additional $210,000,000 for
as¬
-
of
500
and to the City of New York.
President
considered
was
be
partment added:
industry as originally
A larger capacity for
line
would
March 12 issue, page 1062.
In its
advices of June 9 the Department
mutually advantage¬
War Risk Ins. Fund
Government
a
rather
each
cars
duction
*
pointed out that transportation
.
States
will
undertaking
of= oil
clause
judgment
-
be
out of the
come
be
The passage by Congress of the
so-called Guayule
Rubber Pro¬
the Federal Government
Administration.
The
our
that the companies can without
undue risk undertake to cover
be
possible by the officials.
un¬
neces¬
?
to
the
the
:
predictable possibilities of mod¬
ern
-
•
.
were
not
planned.
and
Others contend strenu-
that
ous
ficials, meanwhile, were work¬
ing on the details of the project
of
-
within
further stated
-
would
.
Com¬
even
which
suf-
ficiently slight to warrant full
coverage
12
100
for
the
relocation
of
Washington bureaus from every
viewpoint and such transfers
the essential supplies
in this district.
Washington of¬
sure
safety to the main body of policyholders.
Some believe that
-
•
and
Between
April, 100 seed¬
quired.
place
on
willing to con¬
sider it a hopeful beginning, air
though they emphasized that it
that companies may differ as to
how
far
they may go with
*
"Journal of
of June
in part:"
Others
clauses
war
voiced
was
plying the Eastern rationing area,
the New York
policyholder.
opinion in
managements as to the
to
Indiana
or
land, will begin
next
shipped and
field-planted every second of
every 10-hour working day dur¬
ing the planting season.
If the
seedlings were transported by
rail, two freight trains of about
It is handy to Washington and
offers
the
\
month ago.
November.
and
lings will have
to say:
on
Petroleum Coordinator
Ickes
cultivation
in those States
a
of leased
late
then
Longview,
^ "In the relocation of Washing¬
Tex., to the vicinity of Salem, 111.;:
is expected to be
$35,000,000 or ton: bureaus, New York City is
the reasonable and logical selec¬
$40,000,000, but that estimate may
tion," said Mr. Becker. He went
be a "little high."
—» r,-
in
of regions
survey;
is
acres
York
alone,
from
planting prowinter,: a
and
anticipated that taking
up
seedlings Mn the nursery
beds, for planting some 50,000
up
in
space
fall
completed
was
thousand
employees to fill
unused
field
74 test plots
on
'
additional
the
next
California,'
Texas, Arizona, and New -Mex-<
ico.
The planting of seedlings
here.
several
were set out on the
March 5, the day
preliminary
;
would
com¬
of
suitable for guayule
is
being made in
Gov¬
estimated that it
survey
was
More than 15,r
Forester Evan W. Kelley, direc¬
tor of the project.
'
always available
accommodation
The
pipeline's capacity may be stepped
up ultimately from 300,000 to 450,€00 barrels a day. It was added that
cost
of
means
nursery
signed the act authorizing the project.
A very
high percentage of survival is
indicated, according to Regional
%
.
employees. Washington
hotels are jammed at all times
Press •: accounts
that
afternoon
,
the
the
the President
ernment
£ b
officials
A
■
.
11, WPB
proposed
way
,'
.
to
Company,
000 plants
;
designating reloca-
.
within
'
addition
pleted in April.
and in. one. and
two-family houses. Rental rates
are
'
tinental
Government
.^apartments,
•
Washington June
the
States.
sowing, 900 acres of field plant¬
ing, with 10,500,000 seedlings
acquired from the Inter-con¬
-
solved
was
of
United
structed.
civic
local
reports, and it adds:
safety ' and
people of these
the
Associated
from
should be used is not surprising.
It
is
entirely
understandable
has
right
in .many
things, foresaw the economic
dangers of the peace of Ver¬
enactment
this
State
difference
extent
proven
sailles.
,
economist
The
company
:
unorthodox
York
favor of the
greatest national trial.
the
the
to
impose
terms but they
to modify the
armies
Keynes,
able
of
and
one-third
the
with
and
Association
East
in
>;
In
because
cannot
industries will
Maynard
areas.
of
support
Nations
maximum.
a
But with peace and the
demobilization
and
•
been
ma¬
will ' be
reach
across
to New York. -The effort has met
Commerce
to-
major catastrophe
in the form of a
develop
to
1,500-mile
working ; conditions
for
emnew
statute
providing for war Texas-to-New York pipeline last
clauses, Superintendent Pink said July but the Supply, Priorities ■ji ployees. The city has an un¬
precedented amount of vacant
in part:
and Allocations Board in
Septem¬
office space available in mod¬
The clauses seem reasonable ber refused to
grant priority rat¬
ern
buildings
uptown
and
and should prove practical in ings for the
steel; referred to in
downtown. There is no housing
operation, v They may form a these columns of Sept. -18, page
shortage here.
Transportation
basis
for
reasonably uniform 198•facilities to any part of the city
practice throughout the United
Indicating that criticism of the
or Nation are unsurpassed. New
States.
But
the war
clauses WPB decision in favor of a
pipe¬
specified in our law are merely line from Texas to Southern Il¬ >; York City is the most suitable
brought about this unbelievably
cruel,
terrible
and
senseless
struggle.
The aim for victory
and
for self-preservation will
carry
us
through the war in
unity.
•
the
secure
New
Hitler and the conditions which
'
excepting
has
hand
the
a
machinery
nursery
beds
with
enough boards laid end to end
and
ganizations, for several months,
carrying on a campaign
refused'
and sowing,
irrigation system
of
pipe and
miles
100
between
Industry
cooperation with
City Department
in
York
treatment
overhead
duckboard tracks for
of
has been
:
before winter
health
other
2203
page
seed
with
some places
.V moved from overcrowded Wash¬
of seamless steel
ington and the Association feels
of
steel ' plates,
that New York City should be
urgently needed
gasoline
shortage in
ever
possible; might
was
foundation
no
Referring
inflation in Germany had much
to do
with the creation of a
>
'
the
the
they,
that there is a tangible
backing for our currency and
our financial promises and that
in some way or other they will
be redeemed. The power of the
United States Treasury as an
engine
of
war
will
become
greater as the war progresses. ••;•]
in
War.
So
know
the
securities
companies at the
of
oline.
has
United
Civil War—over eight times
•
it
New
elec¬
of the Associa¬
on
Service, required in addition
to
an
issue.
11
est
seed-treating plant, equipment
sheds, bunkers for 80 carloads
of sand, five special planting
machines, and a camp to house
1,000 workers have been con¬
of
It is
pipeline probably
more fuel oil than gas¬
breakdown
to
re¬
the
But the Nazi financial structure
the
/
the
shipbuilding industry.
that
The job, handled by the For¬
and
Becker's
Commerce
the
will carry
carry¬
economist
No
that
more
tations next winter.
of Wash¬
1
/A' recent survey made by the
among
renting
This action came after Mayor
l'i agents showed there is for rent
LaGuardia of New York City had
in Manhattan alone more than
appeared earlier the same day
8,000,000. square feet of office
(June 10) before a Senate Com¬
V space and that there is a vast
merce sub-committee to warn that
surplus of dwelling space in
unless
the
war
fear, force and constant victory.;
The United States Treasury on
\ United States securities—almost
double the
said
this huge contest on the
barter, forced sale and
labor, pillage and con¬
on
forced
large proportion of
invested goes
government
bonds.
The
:
by
are
in the
devised—•
ever
instead
which
Federal
agencies
Mr.
noted
was
June
The
by the substitution of
use
Co.,
and
will
provide
enough seedling plants for
about 50,000 acres of field plan¬
on
considera¬
many
bureaus,
Association,
finished
said,
of
accom¬
from the Inter-continental Rub¬
at
carry
the
more
planting,
in
ber
to
have
to
President
as
tion
the
critical
WPB
by the
tubing
basis of
investments
in
government
bonds, have increased the percentage to about a quarter of
into
has
man
and
declared you
astonished the world
money
tion
our
shipbuild¬
was
interests
be
give
commissions.
for steel in
cast iron
far the German Government has
very
ington's
,
to
into action
engine of
the
minimized
fight
For just the in¬
was
war
terials,
Ja¬
the United States Treasury."
thought
a
Newspa¬
priorities on steel.
Consumption
of
nursery
two month's time,
took all available seed acquired
vigor the Associa¬
centralization
.
of
tons
plished
tion to New York City in the de¬
as compared with 400,000
tons for -the 1,500 mile Texas-to-:
a
insane
powerful
fiscation.
new
States.
be
bring
most
ried
i
all;
V; all
'
would
companies, which formerly car¬
only a small part of their
125,000
when an¬ New York line which
President
country.
stant that
our
for
or,
effort
Government
re¬
prompt construc¬
Departments
quire
Ja¬
notion is fantastic.
a
would
your
%,<}■
iV Already in this emergency
.
with
ing program."
Japanese
statesman what he thought of
the possibility of war with the
United States' and he replied:
translated into
planes,
guns, tanks and ships.
Life in¬
surance
funds
also
play
an
important
part
in
providing
housing and in expanding the
facilities of public utilities, agri¬
culture and industrial enterprise
that
Maritime Commission's
also
Pink
was
asked
men
per
<
.
renewed
tion's
considering
chief
would
outset
with
his
of
one
the
WPB
It is stated that the line will
ago
years
Roosevelt
panies and play a direct part in
war
Navy
they
scare over
war
of the United
army
being
a
some
other
"Such
the
;
sense
Mr.
that
steel,
pan
our
after
situation
The nursery
Commerce
the
Industry Association of New
York, Inc., announced on June 10
go
deposits.
address,
We had
of
policyholders
make this possible.
The earnings and savings of the workers
are canalized through our comgreat
r
to
his
this action
changed
"the
of
President
and
tion of the line will not interfere
dangerous
a
that
assurances
said:
Life insurance
companies and banks must as¬
sume a leading role.
The funds
!
blocked
In
In
to come.
years
are
the
for
al¬
order,
Chairman of
said
of
acres
ther said in part:
Becker, newly elect¬
-
ed
pipeline
Nelson,
520
Salinas, California, had to
be completed before the start of
the dry season, according to the
Department's advices, which fur¬
Govt. Bureaus For NY
Neal Dow
bonds. with delivery of steel or motor
into
equipment orders for the War and
provide
war
moneys
channels and
cushion
a
The financing
with
insurance
same
M.
the
in
beds at
spect to oil tankers and military
requirements, and after receiving
The sale of life insurance is not
and its beneficent purpose
sary
the
prevised by the aid given
through the recent depression.
must
permitted to lose interest or
doubt that it is vitally neces¬
<
substantial
seed
of
cwl supply situation.
WPB,
took
great
is
connected with it
one
the
part it will play in the recovery
greatest economic
afford
signing
Donald
policy¬
The
comes.
to
Coast
East
holder and the nation when de¬
work feverishly
now
and overtime face the period
Guayule
Completion of spring nursery
planting for the guayule rubber
production project is reported by
the U. S. Department of Agricul¬
ture. The sowing of 21,000 pounds
The
.
is though not Complete relief to the
It is used for the
the credit re¬
the
months.
East
pected
but
bulwark
to
six
construction of this pipeline is ex¬
'
prices,
covered
be
by.'; the | approved
line. '' Thus,' they
transhipped from Salem
Coast by tank cars,
barges and other facilities.
The
the
to
withdrawn from the market for
and
taxes
to
would be
in the
insurance
into
stretch
pipeline will have a
total capacity of 350,000 barrels
of
oil
daily, of which 250,000
real
very
make
to
put
money
With
demand.
war
a
the
over
550-mile
new
campaign against inflation. The
dislocation of civil life, ra¬
the
in turn has
surance
within
pleted
which
is."
transport of
th&v oil by tank ' car'and barge-
,
have
it
the
'
part of the
say, it would
The War Production Board on
have been far more logical to
June 10 approved immediate con¬
X build a line from the Mid-Con¬
struction
of
a
24-inch
pipeline
tinent area to the East, if the
from Longview, Tex., to Salem,
whole
Texas-New
York
line
111., and it is expected to be com¬
could not be approved at once.
Discussing "Life Iusurance and the War," Louis H. Pink, New
York State Superintendent of Insurance, declared on June 10 that
"if life insurance is essential to the individual and to society in
essential
Thursday, June 18, 1942
report from
representative in
a
cates
production
increasing
rubber
from
shrub there.
the
1
'
Department
Mexico
wild
...
'
:
indiof
guayule'
.
,
Volume 155
Number 4082
THE COMMERCIAL & FINANCIAL
CHRONICLE
President Roosevelt Reveals
•
In
vresources
m
submitting
Congress
to
his
fifth
quarterly
report
of
lend-
on
the
initiative
in
reciprocating.
The
President
rich
aid in the 15-month period, March, 1941, through-May
1942, totaled $4,497,000,000 in goods and services and is now being
made available at a monthly rate*
to
$8,000,000,000
defense aid is known
a
the
year.
[
In
•
his
transmitting the
Roosevelt said that
the
United
States'
.
is
resources
"reservoir
now
fight
being
are
this
equipped
world-wide
war
the
mutual
;
peace."
war
nation will grow
the war effort of its
will
rule
of
according
text
of President
.y States of^America:
of
fThis
isV the
For
the
been
the
war
as
perish
It will live to
lay
the basis of the
enduring world
Roose¬
now
we
can
kind
"by combined action later
fulfill the
to
' The
•;
victory
attain."
the
"
transferred
can
breakdown
that; articles
far
valued
were
at
re-
ending
lend-lease aid
and
production and
em¬
spent
and
servicing and repairing
and other war production
o
j
fj-
rnpa
Of
aid
of
$4,497,000,000 extended in the 15 months,
$1,927,000,000 was granted in the
quarter ended May 31, 1942.
In his report, Mr. Roosevelt em¬
phasized that the battle of pro¬
duction
"is
won" and
tribution
the
on
is
in its
of
of
phase."
our
X
first
President's
time
report
that
noted
.lend-
the
lease program is not only serving
as
win the
'/as
war but is also emerging
factor in the combined ef¬
a
fort
the
of
weave
United
pattern
a
stressed/the
agreements
the
press
fact
the
He
the
is
the
of
-
welfare
this
in
commercial
policy,
the
fields,
ex-
pledges
and
to
States
and
v
the
war.
be
provided the United
in
return
for
aid
to
to
'
first
the
in
the
of
our
direction
'
The
•:
; ,7
-
'
ment
made
By
economic
this
-
the
Union
of
Soviet
fulfills
>
,
this
.
principle
from the
sound
of
view.
But
greater merit.
the
:,,
.
will
ing offered to our other allies
receiving lend-lease assistance.
;
These basic lend-lease .agree¬
ments place
the problem of the
a real¬
peacetime settlement in
.
,
istic .i and
-
appropriate
setting.
; The
•;
.
the
It will represent
only fair way to distribute
United
war
Nations.
The real costs of the
of
offset
which
no
them.
war
Under
to
production, while enter¬
by
This
could
adopting
be
the
of
British
carrying
basis
of
such
be
among
y.
the
war
can
and
should
be
a
We
-sharing
major
;
-
f
ficient
on
carrybacks.
Y-benefit will be the
Axis.
will
we
lend-lease
volved
were
to
for
But'
the
risks,
vides
unless
in which
;
the
part
risks
tions
are
pooling their
with
our
own.
Y ,y Each
United
20% is
these
not
I:
or
merely its
dollars,
rubles, but the full
its men, its
sioners
Y ductive capacity.
<
j " Y" Our reservoir of
now
approaching
.
v
v
out
the
s"
Y The next step is for
! Y tary, industrial and
should
it
be
tax
our
shipping
Convention
resolution
at
urges
insurance premium pay-,
Federal income
from their
return.
-
The
resolution
pre¬
Whereas, the President and
Congress are seeking legislation
:■
that will produce needed revenue
for the war effort and at
the
same time enable our
people
increase their savings and
halt expenditures for consumer
Y to
; goods not essential to the
F quirements of our people;
re-.
r
the United States should be
en-'
couraged to protect their future
•
r
and
that of their dependents
through life insurance accumu¬
lations and thereby strengthen
the basic economy of the nation;
; and preserve the American tra-
y
/
dition
of
free
enterprise
and
Y; self-reliance;
x
Now therefore, be it resolved '
U that this 73rd Convention of the '
National
ance
Association
of
and
i
,
Insur¬
monetary in¬
concluded
that
production
for
and
90%
pay
them
while
postwar
prospects
of
risks
relief,
be quite
production.
may
this
•
on
further
the
urges
exempting from the
of
Federal
income
100%
it
faces
with
the
serious
no
effect
to
war
Government
H
as
in¬
may
1
■
"•",l'
" 11
1
•
■
N. Y. P. O. Service Emblem
A
may
portion of life
premiums paid
Y be just and equitable.
Service Emblem in honor of
than
more
With Price Ceilings
such
surance
900
employees of the
New York Post Office
now
serv¬
ing in the armed forces has been
placed over the main entrance of
the General Post Office
not vio¬
own
of
on Eighth
Avenue, 31st to 33rd Streets.
It
was
unveiled
with
appropriate
ceremonies
June 8,
on
-
Pig Iron Statistics Not
Published
-
'
■
.
<
Upon
request
Censorship
monthly
will
be
Office of
showing
of pig iron;
of the
figures
-
production
omitted for the duration.
•
account until f'the extent of the
•
United
..with
Nations ■>' in
their
accordance
ability to pay. -And
although the nations richest in
xVtion
to
carry
or
men
and
anything that will
fly, to the places from
weapons^ on
.float,
our
surplus
paper,
accepted bids for
items, particularly scrap
which
price ceilings.
were
•
'
resolved, that
respectfully.
Congress to enact,
Convention
taxes,
war
to
-
late its
it
Be
it
industry is forced Fx payment
to allocate its profits to the
The
premium payments
Y life insurance;
measures
on
endorses
principle of exempting from
taxation
war.
serious
the
Commissioners,
'
...
mill-
their
sented by Director Jones follows:
more
Government Must Comply
is
'
endorsing
are
before the^National
Insurance" Commis¬
The
duct life
ments
-
postwar
any
period
i
resources
flood stage.
in
holders in the United States to de¬
appropriate incentive,
If American
of
..
leaders
legislation that would permit the
60,000,000 life insurance policy¬
•
postwar refund of
the:'wartime excess-
Y interfered with
i
,
at
Denver.
minimizing the
a
an
centive
pounds
measure
nationally
Department,
on
and its pro-
weapons
that
Association of
refunds
less, but the British tried the
excess-profits tax at 100% with-
]
Y tributing to the ultimate victory |
i
is announced
the resolution presented by Direc-'
tor Paul F. Jones, of the Illinois
or
way
con-
'
cago and
British system pro¬
positive incenitve in the
whether
•or
;
taxes
is
These bill'
'
resources
Nation
the'
life insurance circles both in Chi¬
in¬
Opinions will un¬
doubtedly differ as to whether
we
Na¬
F
,
be
Insurance Premiums
war¬
profits tax.
defeat of the
other United
will
provide
the
Treasury
$150,000,000 in "new money"'
It
the
'
That
heartening evidence of the
offering
.
Urge Tax Exemption Of
the
a
form Of
20%
of
have been given by our partners
in
the
common
struggle
is
•;
1934.
bills will continue.
ury
It
in
based, in part at least,
In addition to
the
assistance
previ-;.
were
in
plained, adding that the weekly
offering of $300,000,000 of Treas-'
compensate
the
postwar losses.
receive
aid.
new
they
was
final large one for the current fis- ;
cal
year,
Mr. Morgenthau ex- :
doubtful, how¬
refunds
adequately
Nations.
benefit
our
time
And whereas, the 60,000,000
ever^ whether it would be politically possible to provide suf- Y life insurance policyholders in
;
to spot enemy
are
United
last
This
profits
way
needs
The
-
and; equipment
us
It
mar-,
the
ously offered
Y'by providing postwar refunds of
V These
things,, invaluable as
they, have proven, are not the
for
'.YYYY<Y' k;
war can¬
us
that
was resumed
by the Treasury in
April when $1,500,000,000 of 6%-.
month l/z % certificates were sold, i
.
war
corrected
It is
disclosure.
generally expected in the
pro¬
J ' a specified proportion of
time taxes.
not made public'
the
offering will consist
certificates of indebtedness—
issuance of this type of obligation;
postwar
providing refunds
could also
of
corrected
price ceilings and has
L experts to direct its full force
which will serve
been directed to refund
money it
against the centers of enemy
lasting peace and
;; power. Great Britain and the got from selling some things at
mutual economic well-being,
-fy
prices above the limits set by the
All the United Nations are f ? United States have together set
Price Administrator, under a rul¬
I
seeking : maximum conversion Y up expert combined bodies to ing issued on June 5
by Lindsay
do
the
job,
in
close
cooperation
to war production'; in the light
C. Warren, Comptroller General.
Y of their special resources; If Y, with Russia, : China - and the Mr.
Warren, according to the As¬
>eachcountry devotes roughly ; other.United Nations.
sociated Press, said he did not
the same fraction of its national
wyiThey-are equipping United know how much
money was in¬
production to the war, then the :> Nations to fight this world-wide
volved, but a few instances had
a
financial burden of war is dis¬ > war '*■ on
world-wide
basis. come to
light in which the Gov¬
tributed—eaually ; among y the ;They are taking combined ac- ernment had
the
•
«
the
met in
agreements postpone final
determination of the lend-lease
of
be
economic point
it will have a
the financial costs of
Re-
So¬
risk.
and of
Y blueprints and battle experience
we
not be measured, nor compared,
cialist Republics. The provisions
"
of these agreement are now be¬
to
90%
be
may
losses back to offset
British-developed detection
iy aircraft.:
rela-
provision
tools
devices assist
'
-
the
and
-
A lend-lease settlement which
a
public of China embodying the
same terms.
On June 11, 1942,
a similar agreement was signed
vwith
•
world-wide
the twenties.
steps
of affirmative
with
profits
cedure
y for -y our
munitions factories.
YvBritish anti-aircraft guns jhelp
; Yus
to defend our .vital bases,
fur¬
agreement
was,
special
"shall- be
nor
with Great
paid for in money. They
Britain was signed on Feb. 23, -yjnust and are being met in
blood
1942. On June 2, 1942, an agree- x and toil.' But the financial costs
.
.
[' Our Allies have sent
;
of
supplies
weapons.
national debt experience during
concrete
post-war reconstruction.
■
are
The
weave
there
be
few
a
during
years
period
A1J
may
or
prise stands practically all the
have
need
and
promote mutually « advan*
tageous economic relations be-
of
United Nations
the
British
inachiiie
as not to burden commerce
between the two countries, but
pattern for peace. Those agree¬
ments are taking shape as key
instruments of national policy,
.
greatest
in
15
of
"
such
x
lend-lease agree¬
ments is also emerging as a factor in the combined effort of
program
;
Nations
United
<"
the
and economic mistakes of inter¬
the
longer
no
American troops on Australy iah; and British soil are being
that, "the
conditions"-: of
mechanism in the combined ef-
making to win
of
one
creased
f"
f
•
have affirmatively declared our
intention to avoid the political
forts
.
y
at
of money Y' fed and housed and
equipped in
international in¬ t *'
part - out
of • Australian
and
finance,
nished under the act
program
a
work
(•now.
final determination of the bene¬
interna¬
become
their
way.
Y hour
of
has
prime
already
country
in
begun
losses
concentrated
100% excess-profits
tax rate, the government takes
virtually all the profits on in¬
program
tions."
r
this
trained
these costs and
a
progress,
said:
The .-lend-lease
British
Those who have been F
receiving lend-lease aid in their
>
tween them and the betterment
1
The
converting plants
equipment from wartime to
postwar
putting their mark
enemy.
and
kets must be reestablished.
ordered
were
Essen.
And lend-lease is
among the
is contemplated
Nations
which
is
were
time
weekly.
activities
involve
substantial costs. Civilian mar;
the
with
peacetime
maintain
Cologne and
of
v,
\On the matter of "Lend-Lease Y
and
the
Peace," the President
'
have
one
r
legislation,
fits
•
,
to
at
offerings
tooling
X'taken the initiative in recipro¬
for ecocating. To the^full extent of
in the many
their ability, they are supplying
spheres where action is needed. Y
us, on the same lend-lease baIt is hoped that plans will soon
sis, <with many things we rieed
develop for a series of agree¬
nomic
terms
experience during the
Twenties."
United
agreements
inten¬
political
and
the
Y pilots
Article VII of each of the basic
basic
over
liberty
tanks
on
Great
vestment and ^reconstruction.
settle-
Nations'
mistakes
economic
tional debt
to
peace."
that
war
United
"to * avoid
tion
Nations
lend-lease
on
after
ments
for
the
and
major factor in the effort to
a
them
mer are now
ments and recommendations for
the
for
aided
of the offer
The opposite condition exists
in
the
United
States.
Unde¬
•
quantities in the shortest time.
The
with
that
assurance
June
on
ihis open market
borrowing as to
the type of security and the terms
the investment values.
and
for them last Spring and Sum¬
Article VII
as
agreements
to fulfill
weapons
where the need is greatest, and
to get them there in sufficient
.
the
will
Cooperative action
•
lem is to distribute
are,
Y all peoples."
The pressing immediate prob-
v
the
settlement
specific and detailed
for
achieving
these
a
with
preciated equipment purchased
in wartime may become
postwar
losses.
Wartime
inventories.
•
have
Britain, China and Russia point
out, "the material foundations
He declared:
'
on
ends, which
battle of dis¬
critical
lend-lease
rest
program
to being
way
that "the
:
set few limits
chine tools and other essentials
This trade must
The
relatively great
made
they can be paid for by wartime
profits if postwar losses destroy
step up their production of
be
solidly founded on: stable
munitions.
exchange relationships and lib¬
; y
The bombardment planes and
eral
principles
of
commerce.
-J.?''■
total
y
and
ships, ferrying of
pfn
the
sustained.
be
announced
Treasury plans to borrow
$1,500,000,000 of "new money" this
morning (June 18). The details of
ket
House, June 11, 1942.
therefore
can,
genthau
that the
1
(Continued from First Page)
ments in
productive activities
and Chinese peoples in their
gallant, will to fight. Metals, ma¬
,
among nations must be restored
in
has wisely
gress
y be
ployment. If the promise of the
peace is to be fulfilled, a large
volume of production and trade
for the rental of
.
useful
freedom.
its
to the types of aid which may
and
are
being provided.
Food, over 5,000,000,000 pounds, ; ;
especially, inventories - in - proand medicine
have helped to
Y cess, may suffer serious post¬
sustain the British and Russian
war
depreciation in value. Re¬
i
will
/' achieve policies leading to' fqll
facilities in the United States, and
1
governments
in process of manufacture. A
total
of
$824,000,000 has been
ships
f
man¬
British-U. $. Policy On
War Risks Compared
Dollars figures do not
portray
all that is
happening. The Con-
of security x and
which men, may
pursue
lives
of : their
and
its
and
The White
year.
which
in
choice,
are
•
peace >
preserve
■
We look forward
period
a
liberty,
freely Y
$2,-301,000,000 of which $2,138,000,000 worth had been exported.
Another
$231,000,000
worth
of
goods is awaiting transfer or use
and $841,000,000 worth of articles
x,
the
and
war,
to
of
showed
so
the
will follow it.
f
President's
figures
we
have joined
we
'
which
to
FRANKLIN D. ROOSEVELT.
90-day
v
peoples" and
on
depends
peace
may
•
freedom and
preserve
restore peace to our
•
war.
>: understanding
>
basis," the President
"by combined action
that
the battlefields of this
on
terrible
-
world-wide
stated
$1.5 Billion Issue
Secretary of the Treasury Mor-
the
victory * we have
to attain. The concepts
of the United Nations will not
three months
postponed
of
course
re-
and
our
action
export to the Congress on opera¬
tions under the Lend-Lease Act.
settlement
to
peace
peoples. By
later, we can
freedom
preserve
store
'Y':Y-
fifth
Treasury To Offer
'
■
joined
the
to
equality in sacrifice,
y ,
"
-
fulfill
costs of the
money
fall
of¬
our
"
:
combined
since the y May 31, 1942,
further y amounted to more than $1,900,ey000,000. For the fifteen-month
change the complexion of the
period
from
March,
1941,
issue.
through May, 1942, aid totaled
r
We are now in the war, as
$4,497,000,000
in
goods
and
serwe
were
not in March,
1941,
vices. We are now
making aid
when the Lend-Lease Act was
available
at
a
monthly
rate
passed.
We have pledged our
equivalent to $8,000,000,000 per
resources without limit to-win
has
a
Final
can
letter to Congress accom¬
panying the report was as follows:
To the Congress of the United
con-
signatory
nations, - and
which "will promote the establishment and maintenance of
world
of
launch
can
By combined action now, we
velt's
makes
interests"
costs
we
•
fensives.
no
The
war
the
"to
on
in
be
of
approaching
from
The
}
ditions and benefits which will
flood stage" and that the next
step is for the experts "to direct
its full force against the centers
of enemy power." - ;
r
VJ.
V Pointing out that the United
Nations
events
which
make
in effort.
until
clearer the final terms and
letter
report, " Mr.
of
progress
and
financial
that
allies.
lend-lease
equivalent
to
.
that
reported
the
means
lease operations, President Roosevelt on June 15 said that ''lend-lease
is no longer one way" since those who have been receiving aid have
taken
-able
are
larger contributions, the claim
of war against each is
relatively
they same., : Such a distribution
Lend-Lease Aid Totals $4V2 Billions
*
■
15-Months'
2311
higher
than
The
last
March,
"Chronicle"
1551.
statement,
1942,
was
of
that
given
April
16,
in
for
the
page
,
THE COMMERCIAL & FINANCIAL
2312
indicated
The
Agricultural Department General Crop Report
As Of June .1
Department of Agriculture at Washington on June 10 issued
report as of June 1, 1942. The estimated production of win¬
wheat is now placed at 646,931,000 bushels, which compares with
The
its crop
ter
wheat
production of 646,931,000 bushels
is about 4% less than last year's
crop
of 671,293,000 bushels, but
14% above the 10-year average
reported prospects indicate a record supply of wheat.
below the four-year average for
The oats
crop
was
nearly a
June 1.
With adequate rainfall
complete failure in parts of Texas
and good growing conditions in and
Oklahoma, but prospects are
so much of the country, pastures
generally favorable in the Corn
have an excellent start and their Belt States and total
production
a
dozen States
;
condition averages higher than in
previous month since July,
Prospects for both crops
and pastures probably improved
during the first part of June as a
result of well distributed rains.
is
any
bushels
1827.
above
Hi* While definite forecasts of total
production
hardly
can
be
1,252,000,000
which would be slightly
expected
be
to
production in any of the
last 10 years.
Barley production
seems likely to pass the 400,000,-
by
dry
winds
and
heavy plant
growth,
and a
critical surface
moisture condition was develop¬
ing. Moisture conditions in much
of that area have improved, how¬
ever, since June 1.- Prospects im¬
proved during May in the north¬
ern
Plains
States
and
the
north¬
In the southeastern soft red
west.
winter wheat States the dry con¬
ditions during April shortened the
last
during May.
year's
for
first
the
is still held on the
and
States
above
last year
in
Dakota and Ne¬
where late seeding and
cool, wet weather have
growth. In the eastern
Belt States, the crop was
braska,
-
•
.
:
'
changed.
States
average
Mountain
States.
some
Plantings
Eastern
the
these States
dicated
in
68%
these
11
June
to
on
and Tennessee is
be
27,555,000
in¬
bushels
compared with 28,064,000 bushels
produced last season. Production
of early commercial potatoes in
the
intermediate
States
of
Geor¬
gia
(north), Kansas, Kentucky,
Missouri, Virginia, and Maryland'
is indicated to be 8,703,000 bushels
compared with 8,560,000 bushels
last
year.
were
FDR Galls On
States.
winter oats is
now under way in the Southern
States, v Yields are running well
Harvesting
with
1,
and the 10-year (1930-39)
of 73%.
Production of
early
commercial
crop
in*
1941,
retarded
late in
Condition
on^une 1 averaged 78%'
compared
continued
During Corn
It was re¬
in most planted rather late.
sections,
the
moisture
supply tarded in some States by dry
needed to sustain the heavy plant weather in late April, but gen¬
growth that developed under the erally improved in May, with the
.•
wet, cool conditions of April. The earlier fields headed out.
moisture
supply
during
May,
Outside of the important Corn
however, was less than needed in Belt area, May weather was too
a
part of the southwestern hard wet and cool for oats over most
red winter wheat States, includ¬
of the Northern States. Excessive
ing the southwestern part of Kan¬ moisture combined with cool wea¬
sas, the Panhandle areas of Okla¬ ther resulted in a late start of
homa and Texas, and eastern New
the crop in the Northern Rocky
time, and 76,000,000 bushels from
mark
Thursday, June 18, 1942
,
all except North
569,417,000
bushels.
May winter wheat had,
straw, but heads are filling well
and prospects in general improved
000-bushel
all
of
646,875,000 bushels a month ago and
bushels last year.
Below is the re¬
port in part:
>V
Crops and pastures have made^
a
favorable start in nearly
all plied with moisture at present
States.
As usual some areas have and the reported condition is the
been too wet and some too dry highest
for June 1 since 1923.
but prospects have rarely aver¬ With light abandonment
and a
aged better at this season of the good yield the most likely pros¬
year.
Half of the States reported pect, spring wheat is expected to
and
Colorado.
In
that
crop prospects on June 1 at least push total wheat production to Mexico
as good for that date as in any of
nearly 870,000,000 bushels. Allow¬ area surface moisture was becom¬
the past four years and only half ing for stocks on hand this would ing depleted by the end of May
the Department's estimate of
with a harvest of 671,293,000
,
winter
CHRONICLE
of
below average in the Texas-Okla¬
homa
Panhandle
due
to
green
People
To Turn In Old Rubber
President
Roosevelt, in
a
5-min-
radio talk on June
12, in¬
augurated the campaign to collect
ute
bug damage. They are exception¬
old and discarded rubber articles
ally good in Arkansas, well above
average in Louisiana and Missis¬ —setting aside as the collection
sippi, and slightly above average period the two-weeks from June
in the other Southern
15 to 30.
States.
The President urged the
people to make
Barley
The
active search
an
for articles of rubber and to take
production of barley indi¬
condition as of June 1 is
cated by
;
them to the nearest gasoline filling
station where one cent a pound
will be paid.
401,843,000 bushels, about 43,000,probable yield of 000 bushels, or 12% more than
In his talk Mr. Roosevelt ex¬
the production in 1941.
acre
compares
54,000,000 bushels, a
Condition
plained that it was necessary to
volume exceeded only twice since with 17.0 bushels last year, and on June 1 was reported at 84%
know how much used rubber there
present conditions fully support the 1917-24 period of heavy ex¬ the 10-year' average of 14.4 bush¬ of normal, compared with 83% in is in
the country in order that
earlier expectations of increased ports.
els. The deterioration of the crop 1941 and 77%, the 10-year (1930plans may be made accordingly
in
the
southwestern
hard
red 39) average. Yields above the 10plantings and light abandonment.
Prospects for fruit production
"for the best use of the rubber we
crop
till plantings of late crops
have been completed and growth
of early crops is further advanced,
made
Growing conditions
gen¬
so
are
erally favorable that another year
pf heavy production of crops and
livestock seems probable.
If the
weather continues favorable, pre¬
vious records of agricultural out¬
put in the United States may be
considerably exceeded.
Not all crops or
favored.
been
Mountain
<eool
In
States
area
from central
and
southward
westward is
retarded
have
weather
growth and the
Colorado
all States have
some
of the
frosts and
late
now
south-
in need of rain.
Nevertheless, in most of the West
prospects are good, ranges
crop
are
in
dition
better
and
supplies
Drops
of
Texas
for
water
and
con¬
adequate
irrigation.
southeastern
Okla¬
large acreage of
barley and some wheat
There,
and
average
are
poorest in northeastern
are
homa.
«*ats
than
there
a
destroyed
by
aphides
or
"green bugs,"
and other crops
have had a poor start because of
was
excessive
of
the
were
Much
•same
rain.
South
In
somewhat
above
season
other
growing
portions
conditions
uneven
the
in
and
not
at
the
average
the
last
several
crop
The rye crop is estimated
farms.
are
still indefinite but the reports
received
total
to indicate that the
seem
output is likely to be mod¬
erately
Citrus
above
average.
harvest this
fruits, for
summer
more
On
the
other
than 35% above the average
With light aban¬
for the decade.
donment and good yields partially
offsetting the reduction in the
acreage seeded, winter wheat pro¬
duction is expected to be about
bushels
winter
States
wheat
scant
acre
in
pects
,
with
moisture
surface
amounted
May
per
per
to
a
too
during
.
half bushel
decline
in yield
Texas,
Oklahoma
average
year
on
seeded
acreage
prospect in all important
barley producing States except
year
and grape¬
crops
that will begin to
nex't fall are likely to be
but
the
orange
serious
is
because
"modern
wars
In spite of the
in Kansas.
.
production
of
commercial
truck
based
the intended acreage
on
as
crops
in the areas shipping dur¬
ing June is expected to be nearly
published in the March Prospec¬
tive Plantings report and pros¬
7% above production in the same
pective
areas
last year.
bage
and
have
been
table
Plantings of cab¬
onions in late States
increased.
The
vege¬
along the
Atlantic
Coast
from
Virginia to central
New Jersey have been suffering
from lack of rain.
Early reports
areas
the
central Corn Belt to sizable
increases in surrounding States.
p.:'-':";,;,:
l:
The
wheat
total
wheat
production
of
868,059.000 bushels indicated June
on June
Indicated
June
conditions.
yields
tically
based
yields
sharp
production of 274,644,000 bushels
due largely to reduced acreage,
but is well above the 10-year av¬
erage production
of 178,090,000
bushels.
The 89 %
condition of
spring
wheat is
the
highest
for
stantially
above
(19*0-39)
bushels.
average
1
V-
the
of
10
-
year
747,507,000
•
and
••>/,:(
A
Rye
Continued
1
above average in prac¬
all States. The indicated
production % represents
a
decrease from last year's
than the June 1 farm carry¬
in 1941.
over
1
are
1942
more
for
excellent
now
rye
indicate
a
prospects
crop of
On the same
date last year it was 87% and the
condition of oats indicates
a
pro¬
of
duction
1,252.380,000 bushels,
compared with the 1941 produc¬
tion of 1,176,107,000 bushels and
the 10-year (1930-39) average of
1,007,141,000 bushels.
"
•
Except in the Northeast, some
Central States, and in the
North
Pacific Coast area,
somewhat
were
the
than
harvested in 1941.
crop
1
The
of early
(1930-39) average in all but a few
States.
Oklahoma and Texas re¬
same
ported
damage
severe
and
con¬
spring
due
to
North
abandonment
of
both
and
winter
green
bugs.
Central
oats acreage
In the West
States,
indicated
•
ern
as
It is
or
/•
that of May 1.
reported
in
hoped that the campaign
most of the nation's
recover
stocks of
used, outworn
The
discarded rubber items.
drive
is aimed not only at
also
but
mats,
such
items
col¬
raincoats,
rubber
as
old
bottles,
jar
rings,
rubber ashtrays and
rubber-soled
hot-water
shoes,
hundreds of other articles made
in whole
in part of rubber.
or
Plans for the rubber scrap cam¬
paign
June
11
referred to in
were
issue,
The
page
I
President's
want
to
—
June
radio
talk
on
•
talk
rubber—about
"...war
our
2198.
rubber follows:
about
to
you
about
rubber
and
the
rubber
and
the
American people.
When
rubber.
:
Slight de¬
for North
t
I
I
rubber
say
don't
I
mean
gasoline.
Gasoline is a serious problem
only in certain sections of the
mean
country.
But .rubber
is
a
problem
everywhere—from one end of
the country to the other—in the
Mississippi Valley as well gs in
Carolina,
Mississippi, Arkansas,
Florida,
Oklahoma,
and Texas
but these were offset by improve¬
ment
by 25%.
If the
campaign
yields
a
lecting worn-out tires and tubes
Early Potatoes
were
rubber
hidden
States and California was the
clines
col¬
be
can
civilian needs.
will
.June 1 average condition
potatoes in the 10 South¬
However, June 1 indicated yields
were
above those of the 10-year
scrap
large amount of rubber, it may
be possible to protect the coun¬
try's military supply of rubber,
as
well as help meet essential
16,840,000
bushels on farms a
year earlier, but 60% above the
six-year (1934-39) average June 1
farm stocks of 8,637,000 bushels.
.
plainly
collection
1, 1942, amounted to 13,795,000
bushels, or about 18% below the
;
the
Army and Navy have al¬
cut their
of
use
yields are still expected.
oats on June 1
less
promising
deal with the
the govern¬
on
0
The
States.
Farm stocks of old rye on
count
ready been forced to
Above average
all
which
or
lected.
than three bushels per acre.
for
re¬
rubber which has been collected
(1930-39) average. The estimated
yield of 14.4 bushels per acre is
the highest since 1927 and exceeds
the 10-year (1930-39) average by
ed
statement
problem,
must
ment
yields are expect¬
May weather
in the leading rye States was fav¬
10-year average is 74%. Although
orable
for
development of the
the early cold, wet weather de¬
crop
which is
largely in the
layed spring wheat planting some¬
headed stage at this time.
Pros¬
what and early growth was slow,
improved since May 1 in
the moisture situation in the prin¬ pects
South Dakota and Wisconsin and
cipal spring wheat States is un¬
continued very favorable in North
usually promising. The yield in¬
dicated by June 1 condition is Dakota, Minnesota, and Nebraska.
In States east of the Mississippi
14.4 bushels per seeded acre, the
River,
the yield
outlook
was
highest in 14 • years.mostly better than a month ago.
IOafs
J?': However, dry weather in Kansas,
Oklahoma,
and
Texas
caused
Based on the prospective acre¬
some
decline
in
prospects
for
age reported in March, the June 1 these
States but above average
June 1 in 19 years.
House
In attempting to
rubber
54,397,000
bushels,
the
largest
crop
since 1938.
This indicated
production is 20% larger than last
year and 41% above the 10-year
more
driving less.
White
garding the drive, said:
crops
in Georgia,
Louisiana, and Califor¬
oats yields are above average in nia.! South Carolina remained un¬
ex¬
President stated that the situation
Colorado and 6/10ths of a bushel
wheat has made
good start
been
Illinois,' Missouri,
Texas,
and
and Maryland. Green bugs have se¬
siderable
a
Pointing out that 92% of
supply of rubber has
cut off by the Japanese, the
normal
our
pros¬
647,000,000 bushels, only 4% less 1 is 8% less than the 945,937,000
than production last year. Spring bushels crop last
year, but is sub¬
cept where seeding was delayed
hy wet weather. It is well sup¬
have."
in
are
verely damaged the crop in Texas
cannot be won without rubber."
decline and Oklahoma. Although the crop
He further said that while a stock¬
from the earlier yield prospects in the North Central States made
fruit
pile had been built up before the
in this
area,
June 1 indicated a slow start due to the cold spring,
move
war started
and that a synthetic
recent warm weather has caused
large. Apples show only average yields are above average in all
rubber industry is now being built
winter
wheat
States
excepting rapid improvement.
Indicated
prospects, partly because of un¬
up, neither nor both together "will
favorable weather at blooming Illinois, Missouri and Arizona. In yields in all States east of the be enough to provide for the needs
River. equal or are
time
in
the
northeastern
and most of the soft red winter wheat Mississippi
of our great new Army and Navy
north central States. The produc¬ States, east of the Missouri River, better than in 1941 except in In¬
plus our civilian requirements as
indicated
yields are above those diana, Illinois, and Kentucky. In¬
tion of peaches,
pears,
cherries
they now exist."
:.
May
1
by 0.5 to
1.5 dicated yields west of the Missis¬
and California plums is expected forecast
The President gave these two
In the North¬ sippi are generally below the 1941
to be well above average, but ap¬ bushels per acre.
rules" for the rubber
ricot production is expected to be western States increases in yields yields except in Iowa, South Da¬ "simple
emergency:
slightly below average and dried ranged from 0.5 to 2.0 bushels per kota, California, and Arkansas.
acre.
1. Turn in all the old rubber
Farm stocks of barley on June 1
prune production materially less
The indicated production of all totaled
—anywhere and everywhere.
than average.
76,260,000
bushels,
or
21.3% of the 1941 production, and
2, Cut the use of your car—
Prospects for vegetable crops spring wheat as of June 1 is 221,were
save its tires by driving slowly
nearly
11,000,000
bushels
have improved moderately.
The 128,000 bushels. This forecast is
will be in smaller supply than last
hand, crop
prospects in the northern half of
the country and on the Pacific
on
the principal vegetables for
Ooast were mostly good to excel¬
canning
and
freezing
indicate
lent except in limited areas where
about normal progress with some
tthe
frequent rains have inter¬
setbacks from dry weather along
fered with the planting and culti¬
the Central Atlantic Coast but
vating of crops.
•
J;
generally favorable conditions in
With the growth of early hay
Northern States.
crops and small grains well ad¬
vanced
and
harvesting
begun, 'H;
Corn
Ifoere seems justification for ex¬
Planting of corn was delayed
pecting
good
yields
of
these from a few
days to as much as
crops in the main producing areas. three weeks
by cool, wet weather.
An excellent crop of hay seems
However,
rapid
progress
was
assured. Even allowing for some
made toward the end of May so
Shortage of labor for haying, the that
by June 1 most of the crop
crop isr likely to be one of the was
planted,
except
in
South
largest yet produced and it could Dakota where the
delay was serieasily top previous records.; In dus. There was considerable re¬
^addition, judging from present
planting necessary in many States
moisture
conditions, : a
rather as a result of excessive rains and
targe tonnage of sorghum forage
poor
germination.
In the Corn
is likely to be produced.
Belt, corn is not in as good a con¬
•'Small
grain yields are much dition as a
year ago, but it is bet¬
less certain this early in the seater than at the same time in 1940.
sen
but
present indications are On the
whole, however, the crop
fhat the yield of winter wheat
was
making satisfactory progress
will be above the 1930-39 average
despite delayed planting. The per¬
in all except three States. In the
centage of the crop planted with
Cfreat
Plains
area
where
the
hybrid seed is expected to show
droughts were most severe, the an increase
again this year, rang¬
wheat
yield
will
probably
be
ing from moderate increases in
years.
.
The indicated
17.8
at more than
,
the
the East—in
Alabama,
i
well
as
the oil country as
in the
corn
country
or
Number 4082
Volume 155 '
the
'
iron
country or
the; great
industrial centers.
Rubber is
be
cannot
modern
rubber
without
won
92% of
wars
normal
our
It would be
That is serious.
more
serious if
up a
stockpile of rubber before
the
we
not
were
building up a great new
synthetic rubber industry. That
takes time, so we have an im¬
now
(
•
mediate need.
Neither the
stockpile,
nor
synthetic plants which
are
the
now
"
being built, nor both together,
^ will be enough to provide for
the
needs
of
our
great new
Army and Navy plus our civilian requirements as they now
-
.
exist.!::
^r; 7
Armed
The
Services
done what they can.
■
eliminated
have
They have
rubber
The
possible.
'}/%
wherever
Army,
for
ex-
sample, has had to rfeplace rub¬
ber
treads
steel
•
with
treads
tanks.
Army
mates of
to
on
of its
Navy esti¬
many
and
of rubber have had
use
curtailed
be
efficient
less
all
the
along
But there is
a
limit to that.
You and I want the finest and
efficient Army
most
the world
has
even
and Navy
seen
—
striking power.
rubber—huge quan¬
means
of
tities
rubber
rubber
—
trucks and tanks and
mounts
gun
and
masks
planes and
rubber for
—
rubber
for
for
gas
landing
place
:(v Should Be
time
to
country needs it.
your
essential
to turn
that
rubber
you
need in your
daily life—rubber
will have to replace by buy¬
ing new things in the store. We
do want every bit of rubber you
can possibly spare—and in any
quantity—less than a pound—
many pounds.
We want it in
every form—old tires, old rub¬
ber raincoats, old garden hose,
rubber
shoes,
bathing
caps,
gloves—whatever you have that
is made of rubber. If you think
you
is
it
rubber, take it to
filling station.
your
Supreme Court on June 8 held that an employee should be paid 150%
regular pay rate, and not 150% of the Act's minimum pay pro¬
worker's
Thus, the Court is said to have ruled, no matter how far a
regular pay exceeded the minimum, he still would be en¬
titled to
time-and-a-half pay for<3>-
overtime.
At the same time, how¬
said the Associated Press in
reporting the Court's conclusions,
the Court upheld a system by
which an employer contracted to
pay his employees a fixed sum
each week, the amount
being de¬
signed to cover overtime at the
statutory time-and-a-half rate but f
the fixed sum to be
paid for either j
the
possibility of
steady
income
to
employees
with irregular hours."
Justices Reed, Black, Douglas
and Murphy dissented, saying
that by such a "device" as the
a
ever,
regular
rule
and
are
will
we
it
is
not
the
The
■
tanks
wherever
to
crush
the
enemy
we
may
find
him—
enough rubber to win this
Here
two
are
this rubber
Act
to
;
get
workers back and
their plants—some of
to
them
far from workers'
homes
We need rubber to keep our es-
sential goods and supplies mov¬
ing.
'
1
this
All
serious
2.
Cut
war.
simple rules for
adds
problem
up
—
to
a
very
a
v
the
know
slowly
will
decisions,
law's
sions
for
made
in
first
two
time
participating
in War Bond and Stamp purchase
plans, William P. Witherow, N. A.
M. President, reported on June 14.
Basing his statement on prelim¬
inary information from 55% of the
at
hours
were
which
cases
may
follows:
as
$27.50
a
25
week.
a
hour
the
as
the
company
"J
in
cellar—your barn—your
your
stock room—your garage—your
attic.
-
,
There
;
there
as
■
■
we
as
are
experts, and until
can't make our
know
we
for
the
plans
I rubber
The
we
many
opinions
are
best use of the
have.
only way to find out is
to
get, the used rubber in where
it can stand up and be counted.
(And that precisely is what we
'
propose
We
<
:
:
to do.
setting aside the two
are
weeks
period from June 15 to
June 30—from 12:01 a.m., June
15 to 12:00 midnight, June 30—
to get the old rubber in.
We have asked the
"
filling staoperators—the thousands
upon thousands of citizens who
operate gas stations and garages
tion
from
.
the
one
end of the country to
other—to
help.
And they
have
generously and patriotixally agreed to help; they and
the oil companies which serve
them.
;.
They have agreed to take the
old rubber in and to pay for it
'
•
at the standard rate of a penny
a
pound—an amount which will
thus
invested
for
goes
the
Court's
to
came
about 68 cents
an
hour,
he would be entitled to
at the rate of $1.02 an hour
pay
for hours
equipment to uphold our mag¬
fighting forces on the
far flung battle lines; it is good
democracy because you have
wisely placed it on a voluntary
basis and the voluntary assump¬
tion
of
responsibilities
is
a
hallmark of democracy.
Predicting
even
an
pressive ; record
for
more
the
im¬
future,
Mr. Whiterow's letter of transmit¬
tal read in
I
part:
believe
gratified
you
by
drawh by our
will
also
be
the
deduction
statisticians from
the comments accompanying the
returns from many companies—
namely, that the payroll deduc¬
tion plan is just on the thres¬
hold of even more spectacular
success; that the extent of em¬
ployee participation is just now
gathering
real'momentum.
These
trained
unanimous in
future
more
statisticians
are
thinking that the
months
will
see
impressive record,
a
v
far
America
Republics in
for aid furnished under
not
opinion.
no
of
the
shall
burden
them
the
and
the
between
of
bettdrthent
economic1 delations.
provision for
wages," but
as
be¬
countries/ but to
relations
To that end
scheme
be1'Such
commerce
economic
world-wide
wage-hour
a
thereof
to
tween the two
United
they shall include
agreed action by
States
OffAmerica
damages
pay
equal
to
the
when
the
effect
to
with
its
WFAA,
employees
wage-hour law
continue
took
paying them
tained in most
the
the
Justice Reed said,
"the
inherent in avoiding
terial foundations of the liberty
and welfare of all peoples; to
expected to have
appreciable effect in the dis¬
of
both
available
the
cases
come
would
The
get
more
Court,
or
viet
agreement, providing for
reciprocal assistance in winning
war
and for cooperation in
practical measures for a "new
The
In
the
it
additional
"an
as
chain
of
link
cessful conclusion and of creating
a
and better world."
new
The
Department's
The agreement reaffirms this
country's determination to con¬
tinue to supply in ever-increas¬
the
in
common
enemy.
cal aid
be in
contribution
viet
Union's
defeat
mutually
and
approve
artificial
an
inflexible
interpretation
act which finds
text, and
23
is
of
armed
of
as
a
no
of
page
in
China
the
So¬
on
June
on
our
adds
u
June
time,
was
Soviet
signed today
Union
to
the
joined in
a
determination
computed
at
200,000
roar
over
per sec¬
the face of
the dam.
:
The huge dam's main task of
providing power will not be
fully accomplished for six or
seven years.
It will take that
long to install enough huge
generators to reach the maxi¬
mum
power production of 2,000,000 kilowatts.
Already, however, three 108,kilowatt
generators have
000
been installed.
They
are oper¬
full capacity, and the
power is harnessed to the U. S.
war
machine, helping produce
thousands of pounds of alumi¬
ating
/
the State
the fact follows:
was
ond will
4,
growing list of countries Which
have
When the
opened for
the
waterfall
were
peak, 530,000 cubic feet
of
.
agreement
the
creating
cubic feet per second, or 1,500,000 gallons.
At average flood
2.
A further comment by
.
Dam
on
poured
of
the
Present volume of the water¬
agree¬
issue
columns
r
on
spillways
gates
first
falls
pact
Feb.
proposed draft of the So¬
viet agreement was handed to
Ambassador Litvinov by Secre¬
tary Hull on May 26.
The
waters
de¬
1,650 feet wide and
high, twice the he'ight of
the famous Niagara Falls;*
to
The
Department
marked
320 feet
in essential
British
in
these
2119.)
(Wash.)
was
the project.
on
created
common
lend-lease
appeared
noted
the
practical matter
the
March 5, page 953, while signing
of
the
Chinese
agreement was
and
support in its
the
forces
the
similar
the
of
text
the
Coulee
spillway
.
with
and
(The
satisfactory,"
Byrnes
wrote, "we should not upset it
through
The agreement with Russia it is
to
River
when
1
Grand
position to supply. But
no
matter how great this aid
may prove to be, it will be small
in comparison with the magni¬
the
Completed
America's mightest waterfall. No
formal ceremony was held to hail
the eight and one-half years of
a
ficent
Columbia
velopment project
the Soviet Union may
as
from
proven
the
provides for such recipro¬
ment
has
on
the Soviet
From United Press advices of
against the
June 2, the following is taken:
The agreement
signed with Great Britain
which
Republics,
war
Byrnes, in the ma¬
jority decision, said that "noth¬
ing in the act bars an employer
rangement
Socialist
June
work
announce¬
ment further said:
respects
"When employer and employ¬
have agreed upon an ar¬
adhered
Coulee Dam
the
in
being forced
by the United Nations in their
twofold task of prosecuting the
war against
aggression to. a suc¬
understood
ees
Kingprinciples of
to by the
basic
were
Completion of the main unit of
solidarity
with the law.
ployees to pay them the same
that they received previ¬
ously, so long as the new rate
equals or exceeds the minimum
required by the act."
Prime
Main Unit Of Grand
Litvinov, the Soviet
enemy.
wages
the
United
Sept. 24, 1941.
announcing the agreement,
State Department described
5-to-4 de¬
cision, found that this complied
em¬
United States
and
government of the Union of So¬
agreement was signed by
of State Cordell Hull
Maxim
and
a
contracting with his
the
and better world."
he
Justice
the
the
than $60.
in
dom,
which
over¬
more
?
lease
If he worked
hours
of
America
Minister > of* the
Union have signed a master lend-
pay, since 40 hours at $1
13
hours at $1.50 would
to only $59.50.
But if he
54
of
on June 11 that
the United States, and the Soviet
get the full
$60, but he might be required
to work up to 53 hours for the
worked
President
ington announced
hours he would
and
commerce,
and to
reduction
of
tariffs
and
trade
barriers; and, in
general, to the attainment of all
the
economic
objectives
set
-forth in the joint declaration
made on Aug. 14, 1941, by the
Lead-Lease Accord
also
$1.50.
of
ternational
The State Department at Wash¬
rate would
same
discriminatory treatment in in¬
other
ing amounts aid to
40
the elimination of all forms
Supreme
Sign
Union
rate
work."
lower courts.
Thus, if a man's salary was
$60 a week his regular hourly
time
exchange and consumption
goods, which are the ma¬
of
extra pay was
by 60.
and,his
of
countries
economy
U. S., Russia
by dividing
weekly salary
be $1
participa¬
open to
all, other
its,"
The law
the
cases
guaranteed
by
national and domestic measures,
of production, employment, and
Court upheld the
their
existing salaries for their
existing hours.
The contracts
stipulated an hourly rate, ob¬
Republics
tion
"In a period of widespread
unemployment and small prof¬
In
even
of Radio Station
contracted
ist
took effect in 1938.
Ambassador.
ft;
of
mind, directed to the ex- »*
pansion, by appropriate inter¬
claim
owner
(
provided to
Act of Congress of March
11, 1941, the terms and-condi¬
the overtime pay
Secretary
though the
employer acted in good faith;
(2) The A. H. Belo Corpora¬
tion, publisher of the Dallas
(Texas) "Morning News" and
nificent
be
States
the
ex-
case, an 8-1 deJustice
Robert's
dis¬
beyond 40. The Court
(8 to 1) upheld Missel's right to
overtime
war
as
Missel
purpose
contended
ruling,
Missel's regular pay
$27.50 for 40 hours.
Since
this
helps to curb
the
inflationary tendency of
wartime operations; it is\ good
patriotism because the money
United
by the government of the Union
The law then
an
however,
was
which
vestment
the
promote mutually advantageous
the
an
.
how much used rubber there is
determination of
to
in
tribution
variable, but he
week, and some¬
cents
Under
•
agree¬
Reed, who wrote the
dissenting opinion in the Belo
case, wrote the majority opinion
His
paying him more
figuring 40 hours
25 cents, or $10, plus 40 more
37 ^ or $15, totaling $27. *
at
**
In the final
...
The
Missel
at
•
new
tions
that
were
it already was
than required,
are
worked
to raise substandard
de¬
interpreting
pay provi-
overtime
the
been
minimum wage and Missel got
nothing extra for overtime be¬
plants of the National Association
the
like
cause
of Manufacturers
of
spread employment."
times worked 80.
of the member
VII
tional defense."
fixed
In War Bond Plans
hours
own
nounced by a litigant as "square
in the face of the needs of na¬
averaged 65
S0% of NAM Members
Article
statutory workweek."
act "was not limited to
Overnight
Motor
Transportation
Company,
of
Baltimore, employed William H.
re¬
the
our
ment, identical with the wording
in the British
pact, follows:
return
the
beginning."
Soviet people and
generally.
of
the
of Soviet Socialist
as
the
on
people,
the world
The Missel decision said that
part
a
effects
welfare
and the Union of Soviet Social¬
(1)
spond.
More than 90%
was
disastrous
increase in the cost of labor
the
con¬
economic
time, chief of which is definite
ceed
settle¬
narrowly
any
the benefits
soon
of
settlement which might
contract, "astute manage¬
ment may avoid many of the
disadvantages of ordinary over-
than
more
prevent
ceived
Belo
sented, but wrote
week, observing that
be summarized
.
nation
to
eliminates
cision.
Wage-Hour
employers
terms
require¬
ment was designed also to ap¬
ply "financial pressure
to
The
of your car—
driving less.
I
a
Con¬
detailed
have
Justice
-
to
the
its tires by driving
save
and
use
that
the
of the plan from the
This
purpose
had
emergency.
the
found
"reduction of hours
problem
which
is
a
challenge to the
(sound judgment of the govern¬
Association's 8,000 members, Mr.
ment and to the ingenuity of
Witherow indicated that latest tab¬
the American people.
It is a ulations continue to show
"impres¬
-•problem
we
Americans
are sive"
support for the war financing
laboring to solve—a problem we
campaign.
The report, tendered
will solve.
to Secretary of the Treasury MorBut there is one unknown
genthau, was coupled with an ap¬
factor
in
this
problem.
We
peal to all Association members
know
what
our
stockpile is. lor 100%
support of the Govern¬
We know what our synthetic
ment's voluntary payroll deduc¬
capacity
will
be. '
But
we tion
plan which is now being used
do
not
know
how
much
by 75% of the reporting com¬
in the
used rubber there is
panies. The other 16% of the re¬
r country—used
rubber
which,
porting companies are using a
: the country—used rubber which,
variety of plans other than volun¬
reclaimed and reprocessed, can
tary payroll deductions.
be combined with our supplies
Lauding the Secretary's efforts,
i of new rubber to make those
Mr, Witherow said:
supplies go farther in meeting
It is good
personal finance
military and civilian needs.
because it provides a safe in¬
Specifically, we don't know
•
hard-and-fast
was no
Court
40 hours
—anywhere and everywhere*
our war
forth
week.
determining
penalize
working their men
Turn in all the old rubber
1.
We need rubber
needs rubber.
.
overtime
an
intended
gress
Army and
Navy alone which need rubber.
process of production also
,
for
The
make
accordingly.
One
thing you can be sure of—we
are going to see to it that there
is enough rubber to build the
planes
to
bomb
Tokyo
and
Berlin—enough rubber to build
plans
boats.
But
or
It said there
practical measures to
better world hereafter.
a
ment. Broad principles are laid
down in the agreement designed
of his
"regular"
pay.
The Associated Press, in its
Once the rubber is in, we will Washington advices June 8, fur¬
know what our supplies of used ther said:
our
and
the requirement in the Wage-Hour Law
calling for
beyond 4Q hours a week, the United States
on
take
The agreement does not attempt
to foresee or to define precise
150% Of Regular Pay Nate
nearest
rubber
to
create
the payment of overtime
visions.
not want you
We do
in
Ruling
take
to
the
and
rubber
your
an
est and swiftest
need to
take it there—and the fact that
Army and Navy with the great¬
That
the
is
know
to
the
line.
•
know that I don't
urge you to take part in this
collection drive.
All you need
had not built
we
started: if
war
I
2313
Supreme Court Rules Over-Time Pay
government.
supply of rubber has been cut
off by the Japanese.
-
later be refunded to them by the
problem for this
a
reason—because
and because
THE COMMERCIAL & FINANCIAL CHRONICLE
■ •
near
num.
Water
an
over
from
Grand
estimated
Coulee,
35
to
45
change nearly 1,200,000 acres of land—now virtually a desert—to fertile soil.
years,
The
will
now
barren land will sup¬
25,000 to 40,000
engineers predicted.
port
families,
*
THE COMMERCIAL & FINANCIAL CHRONICLE
2314
Steel Production Continues at
Retail Prices Record First Decline In Years,
High Rate—
Lend-Lease Steel Requirements Increase
~
According To Fairchild Publications Index
For the first time since July 1, 1938 a decline was
recorded for
retail prices.
The Fairchild Publications retail price index shows
a fractional reaction of 0.2%
on June 1, 1942 from May 1.
How¬
ever, prices are still 17.5% above June 1, 1941, and 27.3% above
the low immediately preceding the outbreak of war in 1939.
The
reaction of 0.2% follows a gain of 0.8% in April, of 0.5% in March,
of 1.5% in February and 1.8% in January.
;
Under
of June
date
15, Fairchild Publications further state:
Each of the major groups
showed
decline during May, with
a
the
greatest reaction in piece goods and men's apparel.
Home
furnishings showed the smallest decline.
In comparison with a
year ago piece goods and women's apparel show the greatest gain,
and infants' wear the smallest gain.
In comparison with the
1939-40
low
goods
piece
greatest gains.
home
furnishings
show
still
the
"Adaptability of industry to changing demands of war is being
tested again this week by the tremendous increase in Lend-Lease
steel requirements and shipments," says "The Iron Age" in its issue of
today (June 18), further adding: "Lend-Lease production of steel
over the next 60 days is expected to attain a level far above that
reached at any other time since war was declared.
Inevitably this
call for steel exports is strongly
affecting
the
domestic
picture. by 116,223 tons the previous mark
Mill schedules have had to be of 895,971 tons made in April.
quickly changed.
A shortage of Contribution to plate tonnage by
this
metal
is
threatening most converting continuous strip mills
non-integrated steel makers and to plate production is indicated by
certain allocated and A-la busi¬ the total of 425,211 tons rolled on
ness
included in the
Publica¬
Fairchild
tions Retail Price Index showed declines during the
month. The
greatest reactions were in cotton piece goods, sheets and pillow
cases, men's
hosiery and underwear, men's hats and infants'
shoes.
No one item showed a gain during the month, although
a number of them
remained unchanged.
Compared with a year
ago the greatest gain still continues in cotton piece goods, sheets
and pillow cases, women's hosiery and aprons, men's hosiery and
underwear.
:;■ ;V:
'
style items it would be found that prices for similar quality mer¬
will
be higher
for Fall 1942 than for Fall
1941.
This
advance
the
However,
in
items
staple
has
been
for
has
Lend-Lease
clouded
unsuccessful
is'in line with the latest OPA regulation affecting women's outer¬
wear.
these mills in May.
i
"Steel
pro¬
for
less
and
halted.
far.
so
of
Collections
loadings have fallen off
FAIRCHILD
THE
.
PUBLICATIONS
JAN. 3,
RETAIL
PRICE
INDEX
ascribed
1931=100
OPA
Copyright 1941 Fairchild News Service
'■
:
June 1,
May 1,
-
1933
Composite Index
Goods
Piece
Men's
Apparel
Women's Apparel
Wear
Infants'
—
Furnishings
Home
;
•
.
Apr. 1,
Mar. 1,
1941
1942
Mav 1.
From
re¬
1942
1942
1942
69.4
96.3
111.9
112.5
113.4
113.2
89.6
110.8
111.8
112.6
112.2
70.7
89.7
104.2
105.6
105.2
71.8
94.3
102.7
111.2
112.1
113.2
113.0
76.4
97.7
106.7
107.5
108.6
108.3
70.2
98.9
114.3
115.1
115.8
,115.7
Piece-Goods
'
; Silks
c
-
Woolens
57.4
69.2 '
—-—
Cotton Wash Goods
68.6
70.4
83.9
84.7
85.1
84.9
90.7
106.6
107,8
108.5
108.4
107.7
141.8
142.8
144.1
143.4
Domestic
65.0
97.3
124.9
126.7
127.7
127.2
Blankets & Comfortables—,
Women's-Apparel Hosiery
72.9
118.4
132.0
134.3
135.2
135.2
59.2
73.2
-Aprons & House Dresses.,—
Corsets & Brassieres
75.5
107.1
91.5
138.4
92.7
139.5
94.8
141.0
94.5
140.8
83.6
93.1
108.1
110.0
111.4
66.8
*116.8
*135.3
*135.3
*136.3
111.4
*136.1
69.2
87.4
102.1
102.4
76.5
89.0
91.6
92.1
103.1
92.5
102.8
92.5
Sheets
Furs
—
—
Underwear
.
Shoes
—
:
,
Underwear
Shirts
Hats
-
Neckwear
&
&
—
—
Caps
Clothing incl.
Overalls
"Shoes—
Infants',
87.4
104.9
106.0
108.6
108.1
92.0
111.7
114.4
74.3
86.3
97.9
98.8
115.6
99.6
114.7
99.2
69.7
70.1
84.1
92.8
95.3'
76.3.
—
Wear
103.6
95.2
94.4
74.0
Socks
Urtderwear
74.3
80.9
,
Shoes
Floor
64.9
69.6
Coverings
-
Radios
,
79-9
132.1
50.6
*53.8
Luggage"—I—11—'———
60.1
*77.2
Electrical
72.5
*81.5
81.5
99.1
Household
Appliances
China
-
Note—Composite Index is a weighted
of subgroups.
aggregate.
♦The Federal tax of 10%
excise
taxes
on
automobile
which
cars
are
graveyards
of
to
on
June
15
announced
that
telegraphic reports which it
had
received
one
would
Elmer,
be
able
hit
to
it
off
to¬
gether. But the most fighting peo¬
ple in" the world are relatives.
Witness the Chinese and the
Japs.
A couple of years ago an editor
V
friend of
Scholar
be
who
ours
a
to find
out what
all the Rhodes Scholars
are
inclined
He
was
can
feel
Intellectualism
has
Washington and
we
now.
to rule
do¬
were
ing, how they had fared.
quite disappointed. He
come
Rhodes
himself, thought it would
good idea
a
was
think
to
that
all
of
the graduating classes, ever since
the
scholarship was established,
gotten jobs here with the
have
"
Government.
About
count
the
taxes:
You
when
on,
Senate
.can
the
bill
Finance
'
almost
reaches
Committee,
that there will be compulsory sav¬
ings,
and a provision whereby
businesses, in the payment of the
excess
profits tax, will be per¬
mitted to invest, say 20% of this
tax, in non-interest bearing bonds.
Senator Walter
George, Chairman
Finance
Committee, is
much hepped
and he will have
this idea,
on
to do with
more
the final form of the
pending tax
other agency in our
indicated
that
the
year
explanation
detailed
a
work
of
his
before the House Ap¬
once
Committee,
propriations
he
was
But his
description properly provoked the
question.' < - -•
asked if this was not it.
1
OGR
does
lot of little things
a
—well, recently it has had an of¬
there on Pennsylvania Ave¬
nue at Fifteenth Street, which un¬
fice
dertakes
all
the
to
way
answer
any
question
from whether Noah
really built an ark, to how much
it cost to get to Mount Vernon.
"Steel"
manufacturers.
Electric Output
For Week Ended June 13,1942
Shows 11.7% Gain Over Same Week In 1941
achieved
Board
tion revolved around the directors
Union.
These
men
v
under
War
Production
and
production is making for
enlarged
a better
situation in many products. While
application of priority to ingot
output is limiting supply of semi¬
weekly report, esti¬
subsidiaries
Deal
such
as
far
flung
-
agencies.
in
approved
posed
Congress,
held
2
the
first
new
principle
Post-War
the
Pro¬
Works
Program
for the City of New York.
Upon
recommendation of the Congress
Committee
(Thomas
on
S.
Post-War Planning
Holden,
Chairman)
in
principle the Proposed Post-War
Works Program for the City of
the
Board
voted
to
approve
New
York which was presented
by the City Planning Commission
to the Board of Estimate on May
27 for its approval.
The Building
Congress also says:
In
V,
its
letter
Estimate
Building
the
to
the Board
President
Congress
of
of
the
recom¬
mended
that the City Planning
Commission
be
requested
to
,
make
available to the public
the data upon which it based its
;
determination
of
the
city's
nelds for the particular projects
listed in the proposed program.
Jesse V
They reported on what Congress¬
men
and Senators were saying
Building
June
President,
J. Andre Fouilhoux, of
Harrison,
Fouilhoux and Abramovitz, and
Jones' far flung agencies, Claude
Wickard's
on
meeting under its
and their aides
of
York
Inc.,
which it had in every state in the
ago.
regulations
The Board of Governors of the
New
The real work of the organiza¬
\
were
supposed to
get around,
Cleveland, in; its know what
their
states
were
summary
of the iron and steel thinking, whether they liked the
markets, on June 15 stated in New Deal or disliked it.
They
part: "More efficient distribution were supposed to report on the
of steel and iron products is being
vast, ramifications; of
the New
computation of the fur index.
appliances are levied on the
The Edison Electric Institute, in its current
Lowell Mellett's OGR than of any
think
would
not
capacity for the week beginning
91.8
92.7
94.9
94.3
June
15, compared with 99.3%
103.4
104.7
105.3
105.1
one week ago, 99.2 one month ago
106.6
108.3
109.8
109.6
and 99.0%
one
year ago.
This
112.0
113.4
115.6
115.1
represents a decrease of 1.0 point
102.8
103.2
103.8
103.8
or 1.0% from the preceding week.
105.2
105.8
106.4
105.9
The operating rate for the week
144.8
145.2
147.0
146.8 beginning June 15 is equivalent to
*66.6
*66.7
*66.8
*66.8
1,669,700 tons of steel ingots and
*93.3
*94.7
*95.2 / *95.0
compared
to
1,686,700
*92.7
*93.5
*93.6
*93.6 castings,
109.6
110.4
110.9
110.8 tons one week ago, 1,685,000 tons
Major group indexes are arithmetic one month ago and 1,597,800 tons
and electrical
radios,
up
You
Byron and Lowell, all in the pub¬
licity
and
propaganda
picture,
very
(Continued from First Page)1
to
operating rate of steel companies
having 91% of the steel capacity
of the industry will be 98.3% of
at retail is excluded in the
luggage,
some
Institute
averages
The
cleaning
Washington
made to permit much needed re¬ aganda.
pairs, the falling off in operations ! The organization has been, es¬
at those points is insufficient to sentially, Mr. Roosevelt's private
offset substantially higher opera¬ detective agency, although Lowell
tions in other districts."
outwardly,
but
not
inwardly
The American Iron and Steel flinched at that term, when after
Men's
Apparel
Hosiery ;
regulations,
adherence
Lowell i Mellett is vanother
•
one.
midst. It has bill than
any other man concerned
coming at the always been wrongly associated
with it, including Morgenthau.
expected rate, and the completion with propaganda. Just about five
of many local scrap drives which percent of it is devoted to pre¬
bring in 'non-recurring' material. paring records: for the smaller NY
Building Congress
"While
adjustments of steel- broadcasting stations around the
making schedules in the Chicago country, other work that can be
Passes Post-War Program
and Birmingham areas have been classed under the head of prop¬
June 1,
65.1
strict
to
(Nutt.
of Senate
cently, the loading decline being
..
native and, a fellow^ J?hi. Del^a
Theta- of ByrOn * Price, the cqnsdr.
Then there is Indianian Paul Mc-
better
equaling.
Relating ingot ton¬
urgent war needs and for essen¬ nage produced to steel-making
tial civilian war needs.
capacity the industry operated at
"Coming with the tight situa¬ an
average of 98.2%, the same as
tion in semi-finished steel is the in
March.; In May, 1941, the in¬
returning threat of a scrap short¬ dustry operated at 98.5% on sub¬
age.
'The Iron Age' is told that stantially less capacity than at
efforts of steel mills to accumu¬
present."
late backlogs of scrap have been
■ \v :■
•
■
integrated
mill
order
being pushed aside to
room
outlook
peak in retail prices was reached in March, at least for
a
time according to A. W. Zelomek, economist under whose
supervision the index is compiled.
Upward revisions will occur,
however, should the Office of Price Administration allow adjust¬
ments where hardships are met.
If it were possible to include
chandise
is
ingot and castings pro¬
duction in May totaled 7,386,890
duction.
Within the next month net
tons, 264,577 tons more than
or
so
some
non-integrated steel in April and 342.325 tons more
mills may either shut down or than in
May, 1941, the latter being
run
less than 50%.
Certain de¬ a
gain of 5%.
The May total was
partments in the large integrated within a fraction of 1% of the
mills may face the same situation.
all-time peak attained in March,
For another week the steel supply this
year, lacking only 6,021 tons
The
:
on
books
make
commodities
of the
Most
and
Thursday, June 18, 1942
j
The
Building Congress Board
also urged that favorable consideration be, given to utiliza¬
tion
<
,■
of
available
planning tal-
ents to be found among private
about the Administra¬ j architects and -engineers to sup¬
plement the work that will be
home. They occasion¬
done by the regular planning
ally called attention to some up
i bureaus of the
effects are attained in volume of
was 3,463,528,000 kwh., which compares with 3,101,291,000 kwh. in
Municipal govand coming politician who per¬
;
ernment..
heavier product sessential to the
the corresponding period in 1941, a gain of 11.7%. The output for the
haps should be supported to re¬
war, including plates, structurals
New members appointed to the
place this or that Congressman
week ended June 6, 1942, was estimated to be 3,372,374,000 kwh., an
and bars.
In cases where need
Board of Governors of the Build¬
or Senator. In short, the organiza¬
increase of 9.6% over the corresponding week in 1941.
for
the
former is
pressing di¬ tion served as Mr. Roosevelt's ing Congress by Mr. Fouilhoux
that the
mated
production of electricity by the electric light and
finished steel for
industry of the United States for the week ended June 13, 1942,
power
rectives
PERCENTAGE INCREASE OVER PREVIOUS YEAR
Major Geographical DivisionsNew
5.8
8.2
7.3
12.6
11.7
10.4
10.4
8.2
States
18.8
14.2
10.7
15.4
Mountain
Coast
5.7
1.3
7-0
4.6
17.6
22.1
19.2
9.6
19.5
11.2
—
—
Central—
Southern
Rocky
Pacific
May 23, '42
7.4
9.4
Atlantic-
Central industrial
West
May 30. '49.
6.8
England
Middle
June 6, '42
17.0
Total United States—
,
11.7
DATA FOR RECENT WEEKS
14.6
,
9.2
9.8
>'i:'
8.2
9.0
(Thousands of Kilowatt-Hours}
% Change
1942
*
kEnded—
4
—-
11
1942
1941
1940
1932
3,348,608
2.959.646
+
2,905,581
+ 14.3
2,493,690
2,529,908
1,465,076
3,320.858
1,469,810
1,454,505
1,429,032
3.307,700
2,897,307
over 1941
13.1
1,480,738
+ 14.2
2,528,868
3,273,190
2,950,448
+ 10.9
3,304,602
2,944,906
+ 12.2
3,365,208
3,356,921
3,379,985
3,003,921
3,011,345
+ 12.0
3,040,029
+ 11.2
30.
3,322,651
2.954.647
+ 12.5
2,499,060
2,503,899
2,515,515
2,550,071
2,588,821
2,477,689
6
3,372.374
3.076,323
+
9.6
2,598.812
3,463,528
3,101,291
+ 11.7
2,664.853
1,436,928
1,435,731
1,425,151
1,381,452
1,435,471
1,441.532
2,653,788
2,659,825
1,440,541
1,456.961
25—11—11
16——"—
23—
—
13—20———
3,091,672
3,156,825
+ 11.5
uses,
not¬
privately
back
tion
are
issued
to
cover
es¬
are:
eyes and ears. It was his private
reporting organization, essentially, j Robert Armstrong, Armstrong &
"Decrease in number of steel
responsible not to Congress but to Armstrong;
George ■; J.
Atwell,
orders
continues>■ although total him alone. It was his own little Thompson-Starrett
Co.; ? R.
V.
volume is greater than production,
FBI.," ■ ,£>;i
■Y:]v-i-v; Banta, Lockwood Greene Engin¬
^ven
at
the current hifh; rate.
In a way it was but a develop¬ eers, Inc.; Albert L. Baum, Jaros,
Practically all new bookings are ment or refinement of a practice Baum & Bolles;
Joseph A. L.
in the A-l
group,
by far the which
Herbert
Hoover • began. B1 e k,
Building
Maintenance
larger portion at A-l-a.
Cancel¬ Hoover used to have a private or¬ Craftsmen;
Griswold ' Denison,
lation of unrated tonnage is vir¬
ganization over in the Transporta¬ .Consolidated Edison Co. of New
tually completed and mill books tion Building which; Saw every¬ York; John
Hegeman, Hegemanare in better condition than for a
thing,
heard everything, knew Harris Co.; George C. Johnson,
year.
Even with this reduction everything and reported to him. The Dime Savings Bank of Brook¬
order books contain tonnage for
It
was
privately ;• financed and lyn; John P. Kane, General Build¬
full production for many months.
Hoover didn't know what to do ers Supply Corp.; Howard Myers,
"Growing use of alloy steels is with the information when he Time Inc.; E, E. Seelye; Bernard
B. Smith; H. Richard
indicated by the fact that 1941
Stern, John¬
got it. - ' -.
-;l
eteel output was 9.9% alloy and V OGR is taxpayer financed and son & Morris,
Inc.; Adolph G.
this
year
promises to oroduce Mr. Roosevelt knows what to do Syska, Kelly,. Syska & Hennessy;
twice as much alloy steel as the with what it turns up.
Edgar -1. Williams; Walker G.
'
best peacetime year.
White,
Westinghouse
Electric
Indianians are certainly taking Elevator Co. and J. W. Zucker,
"Plate production in May
Shatz
Painting Co.
reached 1,012,195 tons, exceeding over our midst, Elmer Davis is a
sential supply.
Week EndedJune 13, '42
some
ably in sheets and wire, salutary
1929
1,663,291
1,696,543
1,709,331
1,699,822
1,688,434
1,698,492
1,704,426
.
1,705,460
1,615,085
1,689,925
1,699,227
1,702,501
1,723,428
r
'
«"r
-j '
-•
-
""
/
'
Volume 155
Number 4082
THE COMMERCIAL & FINANCIAL CHRONICLE
U. S. Steel
^
Corp, Shipments in May Record For
Current Yearr-Third Highest In Its History
'
United
totaled
States
Steel
month of May,
Corporation for the
1,834,127 net tons,
of 88,832
For
the
COTTONSEED
date, shipments
increase of 345,199 net tons.
an
United States
{periods
table
below
since January,
1929:
January
February
1,738,893
1,616,587
-
__
4,197,910
177,139
267,432
221,134
208,476
224,413
197,605
7,894
11,453
78,314
473,237 :
•158,494
March
1,780,938
Georgia,
1939
1938
1,682,454
1,145,592
870,866
1,009,256
747,427 '
845,108
1,209,684
607,562
1,296,887
745,364
1,753,665
1,664,227
1,851,279
1,455,604
1,392,838
885,636
1,086,683
1,572,408
1,345,855
1,624,186
1,425,352
1,406,205
1.846.036
1.544,623
1,443,969
765,868; ;f?i
931,905
-
iviay
758,894
1,687,674
,907,904
771,752
1,834,127
'1,745,295
1,084,057
795,689
June
1,668,637
______
July
August
1,666,667
>
September
October
_______
November
>
December
Total
7
,265,883
: u
i
:
1,342
North
30,550
214,212
274,360
216,070
266,608
7,878
11,362
23.9,090
236,430
230,113
236,037
9,509
901
Carolina
Oklahoma
South
Carolina
otiier
1941.
not
for
■
r,.
-■
Moody's computed bond prices
given in the following tables:
1,500,281
1,262,874
Daily
Oovt.
Averages
:
Bonds
v
-
;
,
and
Refined
1,110,050
931,744
4
•
bond
yield
______
13
,
:
■
averages
are
r
,
Aa
P.U.
Indus
91.19
95.62
110.88
113.70
118.36
106-21
116.02
112.93
107.44
91.19
95.62
110.88
113.50
95.62
110.88
113.50
95.62
1110.88
106.21
116.02
112.75
206.21
116.02
112.75
106.21:
115.82
112.75
A
10
118.32
106.21
115.82
112.93
107.44
9
118.39
106.21
115.82
113.12
107.44
______
5
4
.
'.
91.19
.
107.44
95.62
110 88
113.50
113.31
91.19
95.77
110.88
113.31
91.19
95.77
110.88
113.50
.
91.05
.
113.37
106.21
91.48
95.77
110.88
113.50
118.38
106.21
115.82
112.93
107.27
91.34
95.77
110.70
113.51
118.38
106.21
115.82
112.93
107.27
91.34
95.77
110.70
113.31
113.50
113.50
115.82
112.93
107.27
118.39
106.21
116.02
112.75
107.44
91.34
f; 95.62
110.70
118.41
.106.21
115:82
112.93 ,-107.44
91,34
95.77
110.7d
•
3
-
91.19
107,44
ll- _i-:J_? 118*32
8
Baa
'
107.62
;
""J"
6
Corporate by Groups •
R. R.
107:44
.
.
2
118.33
106.39
116.02
112.75
107.44
91.48
95.77
110.70
113.70
1
______
118.30
106.39
116.02
112.93
107.44
91.77
95.92
110.88
113.70
May 29
__
118.35
106.39
116.02
112.93
107.44
91.77
96.07
110.70
113.70
,
22
______
15
______
118.33
106.56
116.02
112.93
107.44
91.91
117.89
106.74
116.02
113.31
107.62
92.06
117.79
106.74
116.22
113.12
107.62
92.20
117.90
106.56
116.22
113.12
107.44
92.06
8
1
Apr.
-___
24
_j(1940-41
•■•••
oil
OUT,
1,335,161
(294,005
tl,068,059
1941-42
1940-41
493,658
ON
Shipped out
Aug. 1 to May 31
1,356,205
]1
<
AND
37,352
(thousand pounds) _jI
Cake and meal
SHIPPED
'
HAND
On hand
May 31
*80,989
>
'
i'V* '•
w
Vl
1,218,204
(394,580
423,397
1
1941-42
164,444
1,683,010
1,560,610
286,844
1940-41
79,501
1,865,110
1,689,882
j1
254,729
1941-42
151,439
955,460
1,006,363
100,536
]1
1940-41
20,914
1,055,251
880,227
1941-42
123,154
1,136,684
1,193,324
66,514
bales) __i 1
1940-41
129,340
1,146,948
1,051,966
224,322
30,161
624
(tons)
fiber
1
v;
:
.
1941-42
1940-41
(500-lb. bales)
[
Grabbots, motes, &c.i |
(500-lb. bales)
1
1,834
28,951
1,215
33,813
;
195,938
32,817
2,211
1941-42
6,183
52,061
33,225
25,019
1940-41
12,449
46,603
48,592
10,460
"Includes 13,192,000 and 62,097,000 pounds held
by refining and manufacturing
establishments and 7,859,000 and 5,626,000 pounds in transit to
refiners^and consumers
Aug. 1, 1941 and May 31, 1942 respectively.
tlncludes 7,268,000 and 3,881,000 pounds held
by refiners, brokers, agents, and
warehousemen at places other than refineries and
manufacturing establishments and
3,903,000 and 3,906,000 pounds in transit to manufacturers of
shortening, oleomargine,
soap, etc. Aug 1, 1941 and May 31, 1942
respectively.
JProduced from 1,143,726,000 pounds of crude oil.
'
,.
.
96.07
110.70
113.50
96.54
'110.88
113.70
110.70
113.70
110.70
113.70
96.69.
96.69
decided to discontinue until further
statistics concerning imports and exports.
92.06
96.69.
110.70
113.70
92.20
96.85
110.88
113.89
week
was
^ 10
118.06
106.92
116.41
113.89
107.62
92.35
97.16
-110.70
114.08
some
farm
2
118.10
106.92
116.22
113.70
107.62,92.20
97,00
110.52
114.08
but
the'effect of such increases
Mar. 27
118.20
106.74
116.22
113.50
107.62
97.00
110.34
113.50
was
106.21
115.63
106.21
115.43
112.93
107.27
91.34
96.85
106.21
115.63
112.93
107.27
91.62
96.85
113.12
107.09
91.34'
96.85
112.93
age
109,60
112.75
livestock
109.79
113.31
to
109.79
Commodity Price
due
principally to rather marked declines
products.
The quotations for most grains
than
more
offset
quotations.
the
on
farm
in
aver¬
by substantial decreases in cotton
fertilizer materials index declined,
The
and
due
The only
116.34
106.39
115.63
113.31
107.62
91.62
96.85
110.15
113.31
117.08
106.92
116.22
113.70
107.80
92.06
97.31
110.52
113.70
High <1942.___
118.41
106.92
116.61
114.08
107.98
92.50
97.47
110.88
114.08
drop in the prices of cottonseed meal and tankage.
averages to change were the textile and miscellaneous
commodity indexes, which were also lower.
Wholesale prices of
1942--—
115.90
106.04
115.43
112.75
107.09
90.63
95.62
109.60
112.75
all
120.05
108.52
118.60
116.02
109.60
92.50
97.78
112.56
116.41
Low
1941
115.89
105.52
116.22
112.00
119.01
107.09
117.60
114.27
1 Year ago
;June 16,
•/
.
'
89.23
95.62
109.42
111.62
91.48
96.85
111.44
113.89
a
114.86,
15, 1940-
MOODY'S
(Based
fate
Average
16
"
13
'
12
-
'
••
-
•
_
87.72
the
preceding week there
A
Baa
2.84
3.01
3.31
4.33
3.31
3.01
2.85
WEEKLY WHOLESALE COMMODITY PRICE INDEX
R. R.
___
v
3.38
2.85
3.02
3.30
4.33
4.03
"
3.38
;• 2.85
3.02
3.31
4.33
4.03
2.86
3.38
2.86
3.02
Compiled by The National Fertilizer Association
3.31
4.34
•"
2.98
3.12
2.98
3.12
2.98
4.03
3.12
Latest
2.97
3.12
Each
"
Group
Bears to the
Group
;
_
""
q
_
r
"""
5
3.31
4.33
4.02
3.12
2.99
3.38.
2.86
3.00
3.31
4.33
4.02
3.12
2.98
3.38
2:86
3.01
3.32
4.31
4.02
3.12
2.98
33g
2eg
3Qi
3 32
4;}2
4Q2
3.13
2.99
> 3 38
"
__-
3.01
2.85
2.86
3.37
2.85
.
2.85
Mav
'
29
22
15
"IIZ-A
-"""
"
—————
o
3.37
2.85
3.36
2.85
3 35
2 85
335
3 36
Anr
Apr,
;
3*.35
24
-54
'
2.84
3.00
2.84
3.00
2.83
,
.
13
Id
Feb
27
Jan
30
3'.35
_____
j.
"
3^38
.
3,38
a
2.84
2 g7
3 00
High
1:
i?4-2:::r_:::::::
i
3.34
-
^
2.87
-3.01
3.01
2.87
v
2.88
»
3-37
.
2.84
,
2.88
T/*w
1Q42
3.34
2.82
HhTli
1941
3.42
2.86
—3.25
2.72
Low
1941
.JuieY'" aig941—.
•
These
nrices
eounon-maturing
movement
2.77
3.7 1
2.93
3.31
,
'
.
3 33
-t The
way
3.29
;
complete
list
of
bonds
4.02
4.01
3.13
3.12
2.97
Foods
4.00
3.13
4.00
3.13
3.97
3.12
3.96
3.13
3.96
3.13
3.96 >'3.13
3.95
3.12
3 95
3.95
3.95
3.95
3 18
3.19
3.18
•
2.97
2.97
2.97
2.96.
2.95
2.95
2.98
3 01
3.02
2.99
3.92 y
3.16
2.99
3.14 y 2.97
-4.37
4.03
3.19
3.02
4.24
3.91
3.12
2.95
4.47
4.24
4.03
3.89
3.20
3.03
3.08
2.83
10.8
Miscellaneous commodities
8.2
■
Textiles.
7.1
Metals
6.1
Building
1.3
!_
materials
Chemicals and
.3
Fertilizer
;3
,
i.
drugs
materials
Fertilizers
Farm
v:.3
100.0
All
Indexes
,
machinery
combined
groups
1926-1928
on
base
were:
June 13,
84.8.
Canadian Senate
Canadian
Senate
has
Canada-United
a
States
3.31
4.31
3.95
3.09
2.96
3.09.3.69
5.13
4.58
3.33
3.23
and
the basis of one
typical bond
show either the average level or thi
They merely serve to Ulustrate In a more com-
used
movement of yield averages,
tho lat-
intended
evasion,
Press
■
•
these indexes was duN
also
to
according
Ottawa
to
avoid
1941
full
em¬
well
can
or
According
to
the
Associated
Press, Mr. Vogelsang based his
contentions
the
on
ground ;.that
the government is sound and the
lenders have unlimited faith in
the
contract
under
which
the
money
lent
was
He
war.
is
saying that
to
finance, the
further
reported
as
depression should
any
be overcome by an industrial and
agricultural
anything
"That
output greater than
heretofore
achieved.
means,"
markets
kets."
he
well
as
"It
as
means
a
said,
"world
domestic
mar¬
economic
new
statesmanship fully conscious of
the fact that the ghost of isolation¬
ism has been laid."
Inter-City Bus Service
Restricted By ODT
Taking wartime control of in¬
ter-city bus companies, the Office
Defense
June
9
ice
be
Transportation
directed
routes be
that
frozen, all
on
present
express serv¬
discontinued,
competitive
pooled and service to
be
of
amusement
The
order
be
is
discon¬
effective
July 1.
The ODT defines inter¬
city bus service as routes operat¬
ing outside of a 15-mile limit of a
city and schedules on which the
average
fare is more than 35
transporting workers to and from
jobs are not subject to the
regulations and an exception is
their
made
for
and
naval
New York
withholding tax
127.7
137.7
106.0
agreement
on
be
the
in
"for
amusement "or
service
According to
the
Journal" advices
97.0
132.0
103.8
to make
107.6
utilization
127.5
127.6
128.1
116.8
147.2
148.2
149.5
130.5
104.4
104.4
104.4
103.5
151.6
151.6
151.7
117.6
120.7
120.7
120.7
105.0
117.6
118.5
118.8
104.7
115.3
115.3
115.3
101.1
104.1
104.1
104.1
99.3
127.1
127.5
128.0
108.9
14,
the
no
ments
in
Canada
are
U.
tax
these
2212."
S.
from
in
invest¬
estimated
Senate's approval
convention
columns
was
June
of
reported
11,
Street
bus
route
may
be
extended
after July 1 without special per¬
mission of the ODT.
Moody's Daily
Commodity Index
Thursday,
at
"Wall
the operators of
submitted to the ODT by July 30.
The order further provides that
Wednesday, June 10—
States
ordered
1941
United
investments
United
was
of equipment through
pooling of services, staggering of
schedules and exchange of oper¬
ating rights. These plans must be
United
States
pur¬
enter¬
competing bus lines are required
joint plans for maximum
118.3
119.5
reduced
1
V,"
Express
132.3
in
may
July
tainment."
128.5
June
after
primarily for the
of
pose
119.7
be
operated
stated:
was
service
primary purpose of
supplying transportation to or
from
a
golf
course, ^athletic
field, race track, theatre, danc¬
ing pavilion, or other place con¬
131.0
will
bus
the
119.7
Canadians
The
11,
investments
111.6
"Times" it
Inter-city
271/2%, the present rate there,
to 15%, the Canadian rate on
the
the
159.3
1
In
Washington advices June 9 to the
release buses for local service.
138.7
158.4
192
military
113.9
137.0
182.7
serving
establishments.
discontinued, the ODT said, to
135.5
i.
buses
104.3
eight times those of Cana¬
dians in the United States.
Canadian
advices of June
125.3
158.4
Canada.
tax
which state:
Under
in computing
June 14
1942
134.1
States
ap¬
agreement equalizing income and
corporation tax for non-residents
, 2.94
May 9
125.6
1942, 99.0; June 6, 99.3;
of
Adopts
U. S. Tax Convention
proved
June 6
112.8
Livestock
Fuels
The
Ago
176.6
Grains
V
17.3
*
Ago
1942 v-
136.6
Oil—..
Products
Cotton
2.98
2.97
-
.
3.933.13
3.04
3.14
3.94
3.15
Cottonseed
2.97
•
.
Week
125.6
Fats and Oils
Farm
2.97
Year
1942
25.3
2.99
3.39
3.19
1941, page 409.
2.98
3.28
actual
lished In the issue of Oct. 2,
2.98
3.13
3.06
2.85
of
Revels
4.27
3.13
3.13
4.02 /
2.95
in
price quotations.
T
4.02
4.03
,3.02^ 3.33
computed from average yields on
25 years) and do not purport to
are
the
latest
3.32
3.32
3.30
+ ■
4.29
4.294.28
4.27
4.26
4.27
'
4.27#
.4.26
4.25
4.26
4.28
4 32
4.32
4.30
4.30
3.30
3.30
2.99
0 2.07
*
3.31
3.30
3.30
3.31
3.30
3.30
3.30
•
;
4.31
3.31
.
relative
and the relative
being the true picture of the bond market.
prehenslve
ter
3.33
3.31
•
'
2.84
34
27
27
3.00
2.97
2.96
2.97
-2.98
■
.
Mar
Mar.
4.32
4.32
.'4.32
3.32
3.01
3.01
2.99
2.84
3 34
_
3.31
3.31
3.02
3.01
■
5 83
8 34
in
i
3.02
3.01:
3.01
2.86
^
3 3g
Month
June 13
Total Index
2.99
Preceding
Week
1
io
$100,000,-
internal debt of $200,possibly more."
an
000,000,000
ducted
[*1935-1939= 100]
Indus
3.12
4.03
-__C
3.38
P..17.
4.03
4.33
12 to 7; in
18 declines and 8 advances; in the
were 13 declines and 10 advances.
were
preceding week there
•"
Corporate by Groups
Aa
support
not
//y
Aaa
.
108.88
107.09
second
Prices)
Corporate by Ratings
3.38
_
80.69
AVERAGESt
Closing
Individual
.
3.37
_
15
'
r...
Corpo-
Daily
100.98
YIELD
BOND
on
Avge.
1942—
111.44
114.46
100.65
over
reasonably
this country
ployment,
than
more
year.
During the week declines outnumbered increases
»
June
in the price advance of industrial commodities in
pause
107.44
2 Years ag
June
;
106.04
a
other group
commodities except farm products and foods showed no
change
for the sixth consecutive week.
This represents the first extended
"
1941_
of
and
Round-trip schedules operated
primarily
for
the
purpose,
of
products group
27
1941
income
000,000
the seating capacity in any month.
30
High
tional
were
of
Jan.
Low
debt
higher,
prices
were
Feb.
.
mounting
"greatly exag¬
gerated," adding that "with a na¬
public
level of wholesale commodity prices was again
slightly lower last week, according to the wholesale price index cents.
compiled by The National Fertilizer Association and made public
The
order
also
prohibits the
on June 15.
This index, in the week ended June
of
more
than
one
13, 1942, declined operation
to 127.1 from 127.5 in the preceding week.
A month ago the index round-trip schedule a day over
was 128.0 and a year
ago 108.9, based on the 1935-1939 average as any route where experience shows
100.
The Association's report also added:
that the average load in both di¬
The slight recession in the all
commodity index during the rections will be less than 40% of
107.62
117.33
of
general
107.62
117.32
publication
Average Again Declines
The
113.12
6
of many people over the
tinued.
National Fertilizer Association
113.70
13
Niagara National Bank of Buffalo,
Y., said he believed the fears
N.
places
116.22
91.91
the
Orleans on June 9, Her¬
Vogelsang, President of the
services
116.41
-
notice
New
bert J.
of
defense, the Department of Commerce
has
Educational Conference of
the American Institute of
Banking
94,710
_J1
106.74
117.80
tons
1,196,707
106.92
>
61,170 and 53,931
destroyed for
nor
665
1,201,316
117.80
20
3,033
1
*29,708
W
118.08
______
2,075
Aug.
include
Produced Aug.
1 to May 31
August 1
1941-42
17
•
.
V.
112.93
.
5,809
45,968
35,023
Exports and Imports of Cottonseed Products
116.22
: 118,33;
______
".*/
Does
1,554
29,270
35,056
.
hand
on
MANUFACTURED,
In the interest of national
106.39
118.35
12
.
Aaa
264,460
351,716
1,058,291
116,658
,
Corporate by Ratings •
rate •
tons
respectively.
Season
]1
(thousand pounds)
1,333,385
118.31
June 16
15
Corpo~
140,662
and 39,507
1941
On hand
Average Yields)
on
119,470
139,629
and
PRODUCTS
oil
MOODY'S BOND PRICESt
(Based
945,013
130,529
1942
ItemCrude
Avge.
.
387,195
1,529,241
1,480,008
Moody's Bond Prices And Bond Yield Averages
U.8.
122,043
396,558
1,077,567
::
COTTONSEED
1,701,874
adjustments reflecting annual tonnage reconciliations. These will be comprehended
cumulative yearly shipments as stated in the annual report.
1942—
269,753
395,797
1,617,302
(running
■
.
952,875
___
include
reshipped
Hull
•5
,
"
Linters
-
•
120,589
States
"Does
•
■■
36,614
393
20,748
-v
■
19,521
131,457
1,605,510
In the
v
375,448
20
464,329
tons
Note—The monthly shipments as currently reported during the year 1941, are subject
to
25,090
85,482
1,364,801
'Decrease.
(
60,267
7,069
544,041'
Hulls
;
471
35,701
179,486
265,278
1,388,407
'_
___..
80,249
475,566
157,920
488,365
All
-
I'Total
78,060
462,466
410,930
132,545
mos.
adjust.__
;
;
80,261
530,278
201,507
85,349
____________
(tons)
by
Yearly
>
1941
560,763
1929
570,264
522,395
627,047
550,551
509,811
524,994
484,611
615,521
635,645
730,312
749,328
'
1942
Mississippi
Texas
1,548,451
1,720,366
1941
Louisiana:;
Tennessee
•
1942
discussing post-war plan¬
ning and banking before the Na¬
in
May 31
3,858,756
Arkansas
figures by months for various
1940
On hand at mills
Aug. 1 to May 31
Debt Of $200 Billions
In
tional
(TONS)
1941
Arizona
'
1941
1942
HAND
4.426,500
.
the
list
we
ON
Crushed
1942
-
the
AND
3,905,366
Alabama
were
The shipments in May were at the highest rate for any month
•this year- and .were the-third highest;for any month in the history of
the corporation.
'j ,
•
In
CRUSHED,
Aug. 1 to May 31
in¬
California
y,
Says U. S. Gait Support
'
-
«
to
an
8,729,439 net tons,
compared with 8,384,240 net tons in the comparable period of 1941,
year
RECEIVED,
increase of 75,233 net tons, and with 1,-
an
net tons.
1942
1942,
Received at mills*
745,295 net.tons in the corresponding month in 1941 (May),
'
following state¬
received, crushed, and on hand, and cotton¬
seed products
manufactured, shipped out, on hand, and exported
for the ten months ended with
May, 1942 and 1941:
compared with 1,758,894 net tons in the
as
•preceding month (April),
crease
Cottonseed Receipts Continue Small
On June 12 the Bureau of the Census issued
the
ment showed cottonseed
Shipments of finished steel products by subsidiary companies of
the
2315
page
Tuesday,
Friday,
June
June
V 227.8
9
r
II
June
Saturday,
June 13
Monday, June 15
—
weeks ago,
228.0
228.4
June 2—:—
Month ago, May
16—
Year
16
1941
ago,
June
High—Sent. 9
low—Feb.
1942
228.0
228.4
——
Tuesday, June 16
Two
228.4
228.1
12_:
228.8
!
232.6
:
198.0
_V 219.9
17
171.6
Hieh—April 9
Low—Jan 2__—
234.0
—__
220.0
THE COMMERCIAL & FINANCIAL CHRONICLE
2316
WPB Building Order
nounced
June 6
on
an¬
series of in¬
a
terpretations of its conservation
order, issued April 9, placing all
rigid control.
construction under
The
for
order
makes
builders
to
it
necessary
authoriza¬
obtain
tion from WPB to begin residen¬
tial construction costing $500 or
mercial
and
continuous
,
during any
period.
7%).
The calendar year to date.shows a gain of 14.6% when com¬
pared with the corresponding period of 1941.
construction
or more
twelve-month
The interpretations cover various
of
classes
construction,
cost es¬
With
timates and design changes.
regard
thereto
June
vices
7
Washington
New
the
to
ad¬
York
duction of
June
output for the week ended May 30.
The quantity of coke
hive ovens increased 2,100 tons during the same period. -
an
industrial
plant may still
spend, in addition, up to $5,000
during
—
au¬
12-
any
pionth period.
*■
It also
a
ruled that where
was
interpretation
the estimated
yitlfcs that
pro-
ment,
from
V
a
which has been
building and is
taken
to be
used in other construction work,
provided there is
;
estimate the cost
in
of labor
incorporating such used
ma¬
of
cost
PRODUCTION
ESTIMATED
certain
equipment.
These in¬
clude articles, chattels or fixtures physically incorporated in
the building and used as a part
of the building.
Also included
9!
:i
that
items
are
de¬
be
cannot
without
tached
juring them
materially in¬
the construction.
or
The term "without
change of
design," as it applies to repair
work permitted by the order, is
interpreted to allow change in
Material or type of equipment
if the architectural
;
or
structural
plan is not substantially altered
effecting the change.
;
in
.
It
ruled
was
that
movement
of earth—«ditch digging, grad¬
/
ing, etc'Awhere no material ex¬
cept earth or other unprocessed
included
in
the
of
cost
the
project.
The
WPB
order
in
of
these
April 9
columns
r
v
'I
n
*
.
World's Corn Production
A
review
of
the
world's
corn
increased
stuff
use
use
but
also
in many
of
corn
to
as
The
feed¬
increasing
countries for human
food. '
Corn
a
its
/,■
report,
entitled
Production
-
"World
and
Trade,"' by
Hall# H. Conrad, Office of For¬
eign Agricultural Relations, points
^out that in 1939 the world's crop
-amounted to 5,104,000,000 bushels,
coriijijared with the average of 4,737,000,000
bushels during the
five-year - period
1925-29.
The
United States, however, says the
Department accounted for only
about
51%
of
the
total
in
1939
compared with the average of
ab&A 56% during 1925-29, due
mainly to increased production in
2,525,000
2,622,000
7
Chicago
4,641,000
5,147,000
750,000 *;
184,000
4,485,000
330— 10
8
St.
9
Minneapolis
City
Louis
—_
198,749
11
Dallas
1,513
12
San Francisco L
6,114
136,913
132,426
120,779
PENNSYLVANIA ANTHRACITE
OP
i
1,461
AND "COKE
„
Beehive coke—
States
United
1942
1942
anthracite—
Penn.
1,042,000
813,000
990,000
772,000
143,300
146,200
1,162,600
1,189,400
(•Commercial production
June 7,
June 6,
1941
1942
June 7,
'
_
Total
ACCORDING
-
'
States
•Includes
1929
1,125,000 25,427,000 22,185,000 31,812,000
1,069,000 24,156,000 21,076,000 29,522,000
goods stored in
washery
2,482,700
3,390,800
128,600
and
dredge
t
26,278,200
by truck from
coal shipped
and
coal,
colliery, fuel.
t
available.
not
data
fComparable
Eiays
WEEKLY
COAL,
OF
PRODUCTION
STATES
BY
/
May 30,
May 23,
May 31,
1942
1942
1941
v/
Alaska
Alabama
/" 6
Colorado
4
May 31, 1941
$124,866,000
24,056,000
$96,697,000
16,703,000
16,882,000
30,714,000
31,259,000
1,496,000
30,124,000
1,128,000
13,329,000
14,256,000
22,191,000
10,858,000
,
2,910,000
ACCEPTING BANKS
Total——$132,513,000
L
90
V
-120
—1
304
15
15
17
66
66
96
168
134
137
75
1
1
•v1
1,170
354
461
38
44
i
155
176
394
'
28
••14
16
15
16
57
29
721
504
375
460
2,758
2,462
1,837
2,011
3,578
152
134
114
110
121
16
22
156
5
5
92
:
436
:•
'
-
,
28!
Washington—
104
49
423
386
28
29
2,365
2,270
835
860
130
133
OO
*0
iOther Western States
11,030;
,
13
34
286
31
74
258
250
coal..—.
operations
190.010.000
Apr.
30—
219,561,000
Apr.
30
May
31
215,005,000
May
29......
11,285
709
514
526
862
88
78
67
7,575
9,601
813
1,201
1,043
11,903
12,486
10,644
•
Dept. Of Labor Reports Wholesale Prices
10,878
7,598
Remained Stable In J™ 6 Week
The Bureau of Labor
nounced
on
June
11
Statistics, U. S. Department of Labor,
that wholesale prices in industrial
an¬
markets
re¬
livestock
1,380
s#
182,675,000
110
1,749
26
-
—
.
*•5
1,937
2,298 >
v
■
197.278,000
—
mained stable during the first week of June; as the
average for all
commodities except farm products and foods showed no
change for
the fourth successive week.
However, lower prices for grains and
32
44
:
•
184,806,000
194,220,000
31.
860
i
1942—
...
Mar.
Mar.
12
42
27
25
^
Wyoming
17"
•
666
2,687
_
18
-
31—i.
31—217,312,000
47
-
Dec.
Mar.
17
1
208,659,000
229,705,000
30— 223,305,000
31-^— 213,685,000
43
34
Dec.
176.801,000
193,590.000
28—.
42
:
29
31—.a_
May
3
Nov.
1941
197,472,000
—
Jan.-
183
19
31
Feb.
121
46
Oct.
NOV.
186,789,000
196,683,000
211.865.000
107
:
Oct
212,777,000
122
•
176,614,000
28
226
1
209,899,000
.
30
Sept.
31—
255
43
..
__
30_
Jan.
1,015
33
181,813,000
July
Aug.
Sept.
31
31
Feb.
Apr.
..
30.
188,350,000
233,015,000
679
2
June
31
229,230,000
783
65
1941—
29—$206,149,000
29———
774
4
1940—
July
Aug.
31
920
58
furnishes a record of the
outstanding at the close of each
June
1940—
979
:
%
Jan.
131
.
J,
Feb.
84
Tennessee
:
1,292
261
26
—
§ Pennsylvania anthracite-
'563
250
70
North and South Dakota
Virginia—Southern
tWest Virginia—Northern—,
633
76
31
♦West
868
376
89
New Mexico-—.
—^
Nov.
Den.
;
=
l/2
£
™
30, 1939:
30——$244,530,440
31
236,010,050
31
235,034,177
30
215,881,724
31—
221,115,945
30
222,599,000
30—
232,644,000
Oct.
38
.;.
Pennsylvania bituminous
398
326
42 v::-
Missouri
:
July
Aug.
Sept.
78
Iowa——————
Maryland
Michigan
111923
2
1943
Dealers'Selling Rates
Va
1939—
1937
4
-
June 11,
1/2
,
month since June
June
1940
3
1
•Includes
April 30, 1942
The following table, compiled by us,
of bankers' acceptances
avge.
388
urn;
Total bituminous
$215,005,000
11,886,000
volume
May 29,
76
Carolina-
Kentucky—Eastern
Kentucky—Western
1,
385
.
Illinois-—ii*
May
June
290
Arkansas and Oklahoma—„—
_
19,655,000
%
(In Thousands of Net Tons)
current weekly estimates ax*e based on railroad carloadings and river ship¬
are subject to revision on receipt of monthly tonnage reports from district
and State sources or of final annual returns from the operators.)
Virginia
405~000
'
CREDIT
Dealers'Buying Rates
60
authorized
§Subject to
and
Utah
OF
Prime Bankers Acceptances
on
30
t
(The
Texas
'
,$177,293,000
•
Bills of Others,—$50,708,000
Current Market Rates
2,890,300
"
Ohio
625,000
shipped
or
150
and
552,000
'
Decrease for year $41,099,000
NATURE
—_
Bills__—$81,805,000
,
ESTIMATED
Kansas
870,000
Decrease for month $6,296,000
total—
ueorgia and North
'
11,302,000 '
May 29,1942
$101,049,000
15,800,000
BILLS HELD BY
Own
revision.
ments
12,228,000
"
:•/'>
'2',394i000
\
$173,906,000
between foreign countries
■
total—
tExcludes
operations.
$30,961,000
139,296,000
3,306,000
,2,806,000
1,604,000
•
2,189,000
shipments
on
By-product coke—
United
t
11,353,000
TO
'
•
Imports
Exports
June 8,
1941
'
" 179,000
Decrease for month $3,387,000.
Based
—Calendar year to date
May 30,
§June 6,
9,213,000
550,000
_
—
Domestic warehouse credits
Dollar exchange
;
849
1,176
1,932
8,424
8,774
12,810
the N. & W.;
caused
the
900 commodities in
1926 average, a
at its
Bureau's
composite
index of prices of nearly
primary markets to fall slightly to 98.7% of its
decline of 0.1% for the week.
The index
now
stands
early May level, just after the issuance of the General Maximum
C. & O.; Virginian; K. & M.; B. C. & G.;
and Clay counties. (Rest of State, including
Mineral, and Tucker counties, tlncludes Arizona,
California, Idaho, Nevada, and Oregon.
§Data for Pennsylvania anthracite from pub¬
lished records of the Bureau
of Mines.
lIAverage weekly rate for entire month.
stitutes the first extended pause in the price advance since
••Alaska,
base period largely as a result of sharp increases in prices for agri¬
and
on
the
B.
Panhandle
States."
District
Georgia,
on
Price
in Kanawha, Mason,
& O.
and
North
Grant,
Carolina,
and South
Dakota
included with
"other
Western
ttLess than 1,000 tons.
1941.
Regulation by the Office of Price Administration; this
The index remains somewhat above the avarage in
cultural commodities not subject to controls.
And; Consumption Gaining
production and trade from 1925 to
1939
reveals
a
steady upward
trend in production and consump¬
tion
in
virtually all countries
since the draught years of low
crops in the United States during
the early thirties, according to a
report issued June 15 by the U. S.
Department of Agriculture.
The
increase according to the Depart¬
ment is attributed not only to the
2,661,000
194,850
-Week Ended-
the
April In, page 1557.
Atlanta
-
.
•
____
Total, all coal—
noted
was
6
110,096,000
10 Kansas.
material is involved should not
be
1,330,000
$31,272,000
2,631,000
;
.
1,876
::-iNTe^*".'Xoas:).
State—
!
Richmond
of
a
project, under the interpreta/; tion, shall include the cost of
Cleveland
5
248,604
—Week Ended
estimated
4
9,577,000
'
—
9,563
1,594
terial.
'The
Philadelphia
Grand
purposes
May 31; 1941
>
3
Domestic
•
change of
no
ownership. It is not necessary,
likewise, to include in the total
cost
for
April 30, 1942
~
106,856,000
1941
V,
'.v'-.-..'. May 29,1942
331,939,000
-
STATES
V
—
-
Boston
1937
June 5,
DISTRICTS
New York
1941:
historical comparison and statistical convenience the
production of lignite.
tTotal barrels produced during the week converted into equiva¬
lent coal assuming 6,000,000 B.t.u. per barrel of oil and 13,100 B.t.u. per pound of
coal.
Note that most of the supply of petroleum products is not directly competitive
with coal (Minerals Yearbook, 1939, page 702).
^Revised.
cost
need/not include the cost of
used material, including equip¬
January 1 to Date
RESERVE
1
1942
JJune 7,
FEDERAL
Federal Reserve District—
from bee¬
OUTSTANDING—UNITED
ACCEPTANCES
2
June 6,
6,211
5.769
•Total incl. colliery fuel
Another
11,090
2,092
DOLLAR
* Jun e 7,
1942
1,863
as
use.,
■
11,180
fuel-
min.
average
equivalent to
weekly output
two or
defined in
the order, it should be classified
according to its predominant
purposes,
incl.
May 30,
a
BY
Coal
/building is used for
more
BANKERS'
tCrude petroleum
•Includes
j-r-the limit allowed without
thorization
•Bituminous coal—
June 6,
1942
$173,906,000,
pro¬
OF NET TONS
Week Ended
—
Daily
acceptances outstanding on May 29
decrease of $3,387,000 from the April 30 figure
and a new low for the last 25 years, according to the monthly report
of the Acceptance Analysis Unit of the Federal Reserve Bank of New
York, issued June 11. • The total amount of acceptances outstanding
on April 30 was
$177,293,000 and on May 31, 1941, $215,005,000.
Only credits drawn for imports were higher in May than April,
while in the year-to-year comparison credits for domestic shipments
and domestic warehouse were above a year ago.
As made available
by the Reserve Bank the survey follows:
OP SOFT COAL,
PRODUCTION
STATES
UNITED
IN THOUSANDS
Total,
The volume of bankers dollar
totaled
by-product coke in the United States for the week ended
a decrease of 26,800 tons when compared with the
ESTIMATED
authorized by WPB does not
have to be included in the cost
quota allowed in the order. For
instance, an owner specifically
authorized by WPB to remodel
<
Bankers Dollar Acceptances Outstanding
On May 29 Decline To $173,906,000
showed
6
ruled, that construction
was
reported that the estimated
The U. S. Bureau of Mines also
"Journal of Commerce" said:
It
the production of Penn¬
The U. S. Bureau of Mines reported that
-
more;, or com¬
other
construction
or
costing $5,000
The. Bituminous Coal Division, U. S. Department, of the Interior,
in its latest report states that the * production of soft coal for the
country continues at a rate above 11,000,000 tons a week.
The total
output in the week ended June 6 is estimated at 11,180,000 net tons,
which compares with 9,563,000 tons in the corresponding week last
year. /
:
V-/
.
sylvania anthracite for the week ended June 6 was estimated at 1,042,000 tons, an increase of 229,000 tons, or 28.2%, over the preced¬
ing week.
When compared with the output in the corresponding
week of 1941, however, there was a decrease of 83,000 tons (about
agricultural
more;
costing $1,000
Weekly Coal and Coke Production Statistics
+
The War Production Board
Thursday, June 18, 1942
The Bureau makes the
china.
Latin America.
The
Department's
Because of the
as
a
bulk of the crop
sult,
less
world's
moves
As
than
channels
national trade
of
'
•
as
The Danube Basin is the second
important
exporter,
fol¬
lowed in order of importance by
the United
States, the Union of
South Africa and French Indo¬
10%
During the period
of
the
-
of rapid changes
conditions, the
corn
moving
must
considered
be
as
corn
intended
for trans¬
shipment to European markets.
Japanese imports come mainly
from
French
by
price
controls,
The indexes, however,
preliminary and subject to such adjustment
and revision as required by late and more complete reports.
The
.
following table shows index numbers for the principal groups
and the
percentage changes from
a
into
channels goes to the
Kingdom, the Nether¬
lands, Germany, France, Bel¬
gium, Denmark, Ireland, and
other European
countries,
where it is used principally by
livestock
producers.
Canada
and Japan are the only nonEuropean countries importing
significant quantities. • Imports
by Canada, however, are largely
S.
caused
attempt promptly to report changing prices.
week ago, a month ago, and a
year ago:
(1926=100)
United
U.
,
following notation:
materials allocation, and rationing the Bureau of Labor Statistics will
of produce
export
:
the March
of commodities for the past 3 weeks, for May 9, 1942, and June 7, 1941,
Under normal
bulk
.
most
•
range around
tion. -■;
'
inter¬
grain. Argen¬
tina, however, is an exception
to the rule, since hog produc¬
tion in that country has been
relatively unimportant and Ar¬
gentine ; cattle
are
fattened
largely on alfalfa and other
pasturage crops. •
.
~
Argentina is by far the prin¬
cipal exporter of corn, export¬
ing in normal years approxi¬
mately two-thirds of its crop.
During the 5-years 1935-39 Ar¬
gentine corn exports represent¬
ed approximately 65% of the
world's total export movement.
In the Dan¬
Basin, where the crop is an
important item in the diet of
the people as well as for feed¬
ing livestock, exports usually
a re¬
10%
of the
annual
production
into
rule, less than 1%
ube
high value of
the
in most coun¬
feed for livestock,
tries is used at home.
a
the export market.
ment further stated:
corn
As
of the United States crop enters
announce¬
con¬
October,
Indo-China
and
the Netherlands Indies.
A copy of the report may be
obtained from the Office of For¬
eign Agricultural Relations, U. S.
Department of Agriculture. V
'
•
-
-
•
Commodity GroupsAll Commodities
Farm
Hides and leather
products..
Textile products
Building materials..
:—
Chemicals and allied products.
Housefurnishing
5-23
5-9
6-7
1942
1942
1942
1942
1941
1942
1942
1941
•98.7
*98.8
*98.7
98.6
85.9
—0.1
+0.1
+14.9
goods.—
Miscellaneous commodities.
106.0
104.8
104.0
5-30
79.6
—0.4
5-9
+ 1.5
6-7
+ 32.7
99.7
99.4
99.1
99.3
81.5
+ 0.3
0.4
+ 22.3
118.8
119.0
119.2
120.2
107.6
—0.2
—1.2
+ 10,4
97.2
97.2
97.3
83.2
0
—0.1
97.2
Fuel and lighting materials
Metals and metal products.
•
5-30
105.6
products
Foods
Percentage changes to
June 6,1942 from—
6-6
:
78.9
; 78.9
*104.0
*104.0
109.9 /109.9
.78.9
^8.7,
*104.0 *103.9
iio.o
78.3
110.0
:
-
+
+ 16.8
0
+ 0.3
+
0.8
98.3
0
+ 0.1
+
5.8
100.5
0
—0.1
+
9.4
97.2
97.3
97;3
97.3
—0.1
—0.1
+ 16.3
104.5
'104.5
104.6
104.6
93.3
0
—0.1
+ 12.0
9Q.1
.90.2
89.9,
79.7
—0.1
+ 0.1
90.0
.
83.6-
+ 12.9
materials.—......—
100.4
100.6
99.8
99.5
81.9
—0.2
+ 0.9
Semimanufactured articles..
92.7
92.7
92.8
92.6
86.9
0
+ 0.1
*98.9
*99.1
*99.2
99.3
88.0-
—0.2
—0.4
+ 12.4
*97.2
*97:3
♦97.4
97.4
87.3
—0.1
—0.2
"f* 11.3
•95.9
*95.9
*95.9
95.8
88.4
0
+ 0.1
Raw
Manufactured products———
All commodities other than farm
products
—1
All commodities other than farm
products and foods.
•Preliminary.
.....
+ 22.6
'+
6.7
-
+
8.5
Volume 155
THE COMMERCIAL & FINANCIAL CHRONICLE
Number 4082
1
Public building construction,
$322,791,000, accounts for almost
seven-eighths of the current week's volume, and climbs to a new alltime high. In addition to public
buildings, waterworks, bridges, and
Selected Income And Balance Sheet Hems
:
Class I Railways For March
vg y
;
has
showing the aggregate totals of selected in¬
balance sheet items for Class I steam railways in the
issued
statement
a
and
come
-
Commission
The Bureau of Statistics of the Interstate Commerce
United States for the month of March and the three months ending
with March, 1942
and 1941.
■.;/*;
y.
..
subject to revision and were compiled from
132 reports representing 136 steam railways.
The present statement
excludes returns for Class A switching and terminal companies. The
These figures are
V
report is
streets
and
Payment On Cuban 5V2s
Republic of Cuba, through. Ro¬
Hernandez, Consul General
roads
berto
topped their last week's totals; and waterworks,
sewerage, bridges, streets and roads, and unclassified construction
above the 1941-week volumes.
were
;
of Cuba in New York
tifying holders of its
;
New capital for construction purposes for the
week, $47,243,000,
is 104% higher than the total
reported for the corresponding 1941
week.
The week's new financing is made up of
$45,968,000 in cor¬
porate security issues, and $1,275,000 in State and municipal bond
dated Jan.
sales.
have
30-year
bonds
108%
above
a
.
100%
1942
Items—
ry. operat.
Other Income
——
Total
.»*
income
Miscellaneous
$226,325,723
$200,326,711
11,477,167
$80,170,449
'•••"
11,117,538
34,985,156
34,131,759
103,852,639
91,287,987
261,310,879
234.458,470
from
As announced
;
available
fixed
;
charges
and
7,298,437
101,251,634
88,654,155
253,848,723
227,160,033
equipment
fixed
after
—
charges___
fixed
charges
15,067,571
13,135,314
40,886,369
37,443,631
37,035,236
121,707
38.523.692
117,687
111,112,552
115,309,389
356,077
356,070
52,224,514
51.776.693
152,354,998
153,103,090
49,027,120
36,877,462
101,493,725
74,050,943
2,139,150
1,548,839
6,355,780
4,605,533
46,887,970
35,328,623
95,137,945
69,445,410
Contingent charges
tNet income
and
equipment)
Depreciation
(way
structures
Amortization
projects
39,713,897
11,987,264
82,920,464
stock
4,154,215
3,973,823
preferred stock
85,223
1,324,448
19,252,803
5,155,093
On
tlRatio
of
income
to
26,140,715
debits statement.
These figures for May are shown in the
was
published
:
'
Receivership or Trusteeship
Class I Railways
Balance at End of March
bonds,
in
of
other
than
com-
panies
cash
:•.
«
—
'
,
Cleveland
...
.^.^--4---.
-
$510,202,164
$448,079,185
$676,139,300
$531,101,223
$530,656,145
62,727,358
108,536,352
1,331,194
127,658,511
69,937,442
119,024,548
183,416,777
130,257,831
137,711,003
1,073,350
1,610,450
909,281
receivable.
balances (Dr.)
and
agents
ductors
...
Miscellaneous
-
38,616,685
93,813,186
re-
and
Interest
519,589,679
62,198,086
78,213,162
51,478,178
136,788,719
194,542,230
107,113,085
371,419,378
420,263,137
295,255,943
18,839,193
.Rents receivable
Other current
17,142,196
1,142,746
1,148,572
16,994,341.
1941
8,424
7,308
55,317
53,887
2,475
7,618
7,277
3,568
3,126
10,695
9,187
2,007
1,705
5,986
1,686
1,455
4,970
4,232
7,531
6,470
22,822
19,804
Louis
San
1,763
....
....
Francisco....
New
in
the
national
series
141
4,849
2,658
2,347
4,608
3,892
3,214
1,124
3,817
3,403
12,332
10,240
48,324
43,661
144,096
130,449
50,064
6,271,181
23,946,998
:
918,.769
5,266,211
$1,990,695,593
$1,506,188,831
$1,555,696,539
$1,208,656,622
-
,
^
892,963
:
;
Total
current
Selected
IFunded,
bills
§ Loans and
Audited
payable..
57,791,385
unpaid..
matured
unpaid
Unmatured interest accrued
dividends
Unmatured
4,293,024
48,912,366
35,937,539
303,695,016
237,312,405
245,780,285
191,070,109
58,133,319
52,587,914
77,958,536
56,628,539
41,542,085
73,591,177
13,580,947
78,992,143
14,330,714
13,228,685
77,721,423
63,253,627
5,497,776
1,608,245
5,497,776
•'
'u-
—
matured
Dividends
de-
dared
■-■'v
Unmatured
Accrued
Other
accrued
r.•
21,513,606
399,706,155
55,702.919
228,628,432
39,530,315
liabililies_$l, 137,984,295
$857,539,983
liability.—
liabilities...
current
•."v..":. V
21,155,525
rents
tax
22,016,561
77,982,482
49,695,908
accounts
Miscellaneous
payable
$72,151,987
and
accounts
Interest
$76,808,100
,•
(Cr.)
payable
wages
$96,378,839
65,770,574
car-service
and
balances
£ $94,326,933
months.:.
41,219,665
§ >
'53,057,607
13,978,326
61,117,920
-
V
1,608,245
-
•'■•J*
•
19,189,753
359,090,478
'
19,721,115
194,599,575
current
42,470,222
28,957,714
$916,849,478
$663,284,376
Analysis
of
liability:
U.
S.
accrued
tax
Government taxes.
U.
than
Other
ernment taxes
S.
$283,495,846
$120,469,363
$267,362,522
$111,072,711
116,210,309
108,159,069
91,727,956
83,526,864
Gov-
—
♦Represents accruals, including the amount in default.
tFor the net income was as
1942, $38,332,398; March, 1941, $34,783,995; for the three months ended
March, 1942, $82,858,270; three months ended March, 1941, $75,232,139.
flncludes pay¬
ments of principal of long-term debt (other than long-term debt in default) which will
become due within six months after close of month of report,
§Includes obligations
which mature not more than two years after date of issue.
flFor railways in receiver¬
follows: March,
trusteeship the ratio was as follows: Marfch,
three months, 1942, 1.39; three months, 1941, 0.91.
ship
and
1942,
1.74; March,
1941,
1.11;
June 11.
is concentrated in Federal construction,
3% in State and municipal work, and the balance, 2%, in private.
Federal work is 310% higher than a year ago, and 46% above
tin-plate is be¬
a
for
contend.
copper
16,985
16,124
49,183
27,216
23,808
81,431
70,492
changed.
4,123
3,729
12,600
10,774
Straits
livery
.
*
'*■
Construction
Private Construction
Public Construction
State and
Municipal.-.
Federal
—
—_
$139,825,000
<*29,394,000
.110,431,000
22,024,000
L; 88,407,000
y
was un¬
V,.. -
quality tin for future de¬
nominally as follows:
was
Jtv'iAug.
July
June
4
52.000
52.000
June
5
52.000
52.000
June
6__^._
52.000
52.000
June
8...
52.000
52.000
June
9
52.000
52.000
June
10.
;
.
' 52.000
all
52.000
52.000
-
<52.000
m.
,52.000
4 52.000
52.000 r
I
•
Chinese
52.000
r
:•
1
■
Ai
tin, 99%, spot, 51.125c,
week.
.;
London Market: No quotations.
war.
Quicksilver
Quotations
The movement of scrap
to refineries has
weeks because
on
use
of
gained in recent
of the
restrictions
of
discuss
to
allocations
month will be held in
ma¬
The
return of such material in volume
zinc
not
civilian
users
Silver
market in London has been
statistics
for
May
re¬
the prior month.
with the
The
quiet,
price unchanged at 231/2d.
New
York
Official
and
the
U. S.
Treasury prices are also un¬
changed at 35ysc and 35c, respec¬
tively.
DAILY PRICES OF METALS
.
can¬
Cr
("E, & M.
jj '' QUOTATIONS)
Electrolytic Copper
LeadStraits Tin, —
Domest., Refin. Exp., Refin. New York New York
St. Louis
June
.
expect to obtain any copper,
only a necessary minimum
and
earlier in the year by OPA.~ r
During the past week the silver
vealed that production was main¬
tained at about the same rate as in
the Requirements Committee of
WPB, stated publicly: "We expect
.
next
Zinc
terials, inventory control, and the
from ammunition plants and other
for
Washington
June 25.
on
copper-containing
Zinc
,
St. Louis
4
11.775
11.700
52.000
6.50
6.35
8.25
5
11.775
11.700
52.000
6.50
6.35
8.25
6
11,775
11.700
52,000
6.50
6.35
8.25
8
11.775
11.700
52.000
6.50
h 6.35
9
11.775
11.700
52.000
6.50
6.35
8.25
10
11.775
11.700
52.000
6.50
6.35
8.25
11.775
11.700
52.000
6.50
6.35
8.25
■:
-
'
amount
will be
available for
es¬
The
and
ers
of
is
easier
supply situation in
receiving wide attention,
both producers and consum¬
believe that some modification
the
conservation regulation
8.25
Average prices for calendar week ended June 6 are: Domestic
refinery, 11.775c.; export copper, f.o.b. refinery, lL700c.;
Straits tin, 52.000c.; New York lead.
6.500c.;1 St. Louis lead, 6.350c.;
St. Louis zinc, 8.250c.; and silver, 35.125c.
^
Y
•
•A/';;:-...
copper f.o.b.
The
above
quotations
are
"M.
& M.
M.'s"
appraisal of the
major United' States
markets, based
on sales reported by producers and agencies.
They are reduced,; to the
basis of cash, New York or St. Louis, as noted.
All prices are in cents per pound.
Copper, lead and zinc quotations are based on sales for both prompt and future
deliveries; tin quotations are for prompt delivery only.
the
trade, domestic copper prices are quoted on a delivered basis; that Is,
at consumers' plants.
As delivery charges vary with the destination,1 the
figures shown above are net prices at refineries on the Atlantic seaboard.
Delivered
prices in New England average 0.225c. per pound above the refinery basis.
jj;.'
delivered
Lead
lead
Average
In
*/.y.- •..;\w-
June 4,1942 June 11,1942
$274,971,000 $379,458,000
15,851,000
5,869,000
259,120,000
373,589,000
10,509,000
10,962,000
V 248,611,000
362,627,000
•
.
sec¬
ports.
June 12,1941
Total
tin-plate is being revised to
about 6,000 tons of tin a year.
save
The price situation in tin
centers, available beginning in 1919.
the Board before May 1942.
basis
from
sential
non-military
use.
The
Private construction is 80 and 63% lower, respectively, Government is spending in excess
than last year and last week.
of $180,000,000 for copper devel¬
The current week's near-record construction brings the volume opment and private capital has
for 1942 to $4,590,785,000, an 82% increase over the 24-week period supplied some $40,000,000 more."
last year. Private work, $322,481,000, is 54% below the period a year
The quotations on domestic cop¬
ago, but public construction, $4,268,304,000, is 134% higher as a result per continued at
12c, Connecticut
.of the 228% gain in Federal work.
,
Valley, and foreign metal held at
Construction volumes for the 1941 week, last week, and the cur- 11.75c f.a.s. United
States
•**■ t'--
greater scale
The conservation order
ever.
tives by the Government,.
Pro¬
continued
on
the
duction is increasing and produc¬
6.50c, New .: York, and
ers offered the metal
rather freely
Chemical lead
ondary sources will increase sub¬ 6.35c, St. Louis.
at times.
Quotations op ;the Pa¬
sold at 6.40c, St. Louis.
stantially over the remainder of
cific Coast and here remain be¬
The monthly meeting of pro¬
the year, leaders in the
industry
low the official ceiling basis set
ducers and government officials
Recovery of
Public work tops last year by 238, and gains 44% over a
y'••
on
/l! !
Markets," in its issue of June 11,
A good volume of business was
consumption will be reduced further to conserve sup¬
booked
in
plies, the War Production Board announced.
Use of tin in civilian
quicksilver during the
last week, and sellers experienced
products will drop from 40% to 30% of the 1940 base
period, begin¬
no
ning July 1.
trouble
in disposing of,metal
Recovery of copper from scrap is increasing, largely
because of control measures
regulating use of the metal in non-essen¬ at figures that averaged jjibove
tial applications. Tension over the
the Metal Reserve's
buying price
supply situation in lead is lifting. in order under present circum¬ for surplus material.
On round
Quicksilver sold in good volume stances. Limitation in use of lead lots, the equivalent of $194.43 and
at prices somewhat
higher than has cut domestic deliveries to $195 per flask, New York, was
those
named
in
the
preceding around 60,000 tons a month, leav¬ paid. Operators thought that the
week.
The publication further
ing
a
substantial
tonnage
for improved demand reflected busi¬
went on to say in part:
ness placed in
quicksilver deriva¬
stockpiling.
week ago.
>
the
"Tin
Non-essential
Over 95% of the volume
rgnt week srei
.o:;
ing considered
"E. & M. J. Metal and Mineral
stated:
.
last week.
< i
>•>0 to
other materials for
than
Note.—Upon request of the Office of Censorship
production and shipment figures and other data have been
to have this year about
1,800,000
Engineering construction volume for the week totals $379,458,000, tons of
copper from domestic out¬
the second highest weekly value ever reported. It is 38% above the
put
and
imports. Recovery
of
preceding week's total, and 171% higher than the volume for the scrap should add
approximately
corresponding 1941 week as reported by "Engineering News-Record"
300,000 tons to our, store.
on
High ;r<v.ri,ww>
Grade Te-
1940,'
Tin—Recovery Of Copper From Scrap Gains
fabricators engaged in war work.
William L. Batt, Chairman of
Engineering Construction Near Record
industry' believe.
in
of Industry
Operations,
WPB, announced. Substitution of
Non-Ferrous Metals—Further Conservation Of
certain
take
Division
not collected by
Copper
Total
the
June
omitted for the duration of the
Liability Items—
debt
maturing
Withitr Six
Traffic
assets
to
July 1, use of Jin in
civilian products will be cut 10%
to 30% of the amount used
during
the
third
quarter
of
Editor'8
•
Western
requirements, ob¬
Tin
4,075
810
1,348
1,292
covering
were
1,489
859
1,553
;
in
situation
Prime
sufficient
Effective
4,985
4,024
....
——.L——
York
♦Included
14,606,278
25,527,795
•
assets——
redemp¬
mains tight.
re¬
ceivable
■
•
bonds
Yv;
of
be
to
.
245,200,631
supplies
dividends
and
:
.
-
_
May
1942
2,448
——
•[Excluding centers for which figures
-
accounts
May
1941
17,807
«„•
Kansas City
Dallas
30,767,109
32,097,653
con¬
ceivable
Materials
33,275,676
receivable
balance
from
May
1942
2,4b9
tl33 other centers
Net
May
Minneapolis
$560,579,577
for
;,
\
,
of current
The
2,763
Richmond
Atlanta
St.
<
.
drawn
vivu-iw; <
Production
servers
18,789
——__
invest¬
cash
ments
bills
-
$735,817,040
Special deposits
and
'
1
'
,
$464,740,812
;
Loans
1941
1942
.York
Philadelphia
Chicago
—
Temporary
Balance at End of March
-
1941
stocks,
affiliated
etc.,
those
1942
.
June
appears
—3 Months Ended-
New
■; lYAll
the
on
cease.
payment.
RESERVE DISTRICTS
Boston
Selected Asset Items—
~
tion had not been presented for
of dollars]
[In millions
1.48
Class I Railways Not in
stated:
previously drawn
care
4,444,295
■
also
8,
1942, $278,900
principal amount of these^onds
following
below.
23,974,968
1.67
re¬
July 15, 1942, out of
the sinking fund, at
in
On
A number of newly reporting centers have been
added; the fig¬
ures for these new centers are not included in the
summary tables
Federal Reserve District-
^SlSiy
bonds
of the "Chronicle."
fixed
1.94
the
by lot for
on
interest
1876 of the May 14, 1942, issue
on page
drawn
It is
will
statement, in comparison with prior monthly figures which were de¬
rived from reports covering weeks ending on
Wednesdays in accord¬
ance with the method used in
previous monthly reports.
The last
weekly report
of
amount
& Co. Incorporated on or after
July 15, 1942, after which date
Reserve System has discontinued the issuance of its
weekly
"bank debits" press statement and beginning with the month of
May
has collected figures on a monthly basis from member and nonmember banks in the centers previously included in the
SUMMARY BY FEDERAL
charges
Investments
May
30, the Board of Governors of the Fed¬
eral
appropriations:
common
On
13,370,220
5,466,914
;
Federal income taxes
Dividend
53,228,758
56,285,337
17,885,328
19,695,109
defense
of
March
on
contract
The bonds drawn for
redemp¬
tion will be paid at the office* of
the fiscal agents, J. P.
Morgan
weekly bank
deductions
Total
Inc.
7,462,156
roads
-"Interest deductions
Other
2,633,832
for
—
Fixed charges:
Rent
for
leased
,•
2,601,005
income
Income
Bank Debits For Month Of
deductions
'
,r
date.
1941
1942
1941
/
$92,375,472
Income-
under loan
of their par value and ac¬
interest to the redemption
crued
For the Three Months of
For the Month of March
Income
no¬
gold
26, 1923, that $865,700
been
jnoneys
•
All Class I Railways
•Net
issued
demption
financing for the year to date, $6,870,550,000, is
$3,305,568,000 reported for the 24-week period in
the
City, is
external loan
sinking fund 5Vz%
principal
•;
New construction
1941,'
follows:
as
2317
is
Atlantic
Export quotations for copper are reduced to net at refineries on the
sea¬
on foreign business, owing to World War H, most sellers are restricting offer¬
ings to f.a.s. transactions, dollar basis.
Quotations for the present reflect this thang®
board.
in
method
of
doing business.
to arrive at the f.o.b. refinery
A total of .05c is deducted from f.a.s. basis
quotation).''v.
,
(lighterage,
•
'
THE COMMERCIAL & FINANCIAL CHRONICLE
>2318
Reports On Shipbuilding
The
the 13th of
try
American
series of indus¬
new
a
public
made
today
reports
Exchange
and
Securities
Commission
the Survey of
Listed
Corporations.
includes four in¬
dustrial groups engaged primarily
in shipbuilding, the manufacture
of engines and turbines, lumber
and lumber products and cement.
Report
All
the
of
four
13
No.
in these
had securities regis¬
corporations
groups
Securities
the
under
tered
Ex¬
Trading On New York Exchanges %
Daily Average Crude Oil Production For Week
Ended June 6, 1942 Declined 275,888 Barrels
of
figures showing the daily volume of total round-lot stock sales on
the New York Stock Exchange and the New York Curb Exchange
arid the volume of round-lot stock transactions for the account of all
crude oil production for the week ended June 6, 1942, was
members of these exchanges
in the week ended May 30, 1942, continu¬
series of current figures being published by the Commission.
Short sales are shown separately from other sales in these figures,
the Commission explained.
^
.
v..
:
'
•'
3,601,500 barrels, a decrease of 275,800 barrels from the preceding
week and 215,200 barrels lower than in the same period last year.
The current figure was also 34,800 barrels below the daily average
for the month of June, 1942, as recommended by the Office of Pe¬
troleum Coordinator.
Further details as reported by the Institute
ing
.
transactions) totaled 510,870 shares* which amount was 15.70%
on the Exchange of 1,626,430 shares.This com¬
pares with member trading during the previous week ended May 23
of 629,362 shares, or 14.80% of total trading of 2,127,050 shares.
On
the New York Curb Exchange, member trading during the week
of total transactions
capacity of the
change Act of 1934 at Dec. 31,
United States, indicates that the industry as a whole ran to stills,
1940, '
,
In rits report the Commission
on a Bureau of Mines' basis, 3,451,000 barrels of crude oil daily dur¬
says:'
ing the week ended June 6, 1942, and that all companies had in stor¬
daily potential refining
estimated
4,684,000-barrel
..
'
shipbuilding
five
the
For
,
combined sales
in 1940,
as compared with $57,000,000 in
1939. Net profit after all charges
totaled $6,800,000 in 1940, against
$2,500,000 in 1939, equivalent to
companies
the
amounted to $81,000,000
'
of sales.
and 4.4%
8.4%
6, 1942.
DAILY
combined
The
five
CRUDE
000
with
$39,000,000 at the end of
1939, while surplus increased to
$20,000,000 at the end of 1940
from $13,000,000 at the end of
1939.
For the 8
corporations
manu-
facturing engines and turbines,
the combined sales amounted to
<
*•
■'
-j-
.
$59,000,000 in 1940, as compared
with $46,000,000 in 1939.
Net
ables
l-v-
Beginning
dations
Change
Ended
From : y
June 6
Previous
1942
r-
436,600
436,600
t380,200
3,050
384,450
281,900
281,900
t218,300
38,200
248,200
4,100
-
;v;.
? *';
_
West Texas
'{rti -Vv if.;
V
Total
t3,950
87,000
11,000
88,350
74,300
149,500
6,450
149,850
129,650
207,100
2,900
191,050
260,250
21,450
86,150
80,300
368,650
365,050
373,200
Southwest Texas
142,900
23,050
139,050
210,000
Coastal
Texas
241,800
83,050
254,550
275,400
Total
Texas
1,275,550
274,250
1,274,050
1,403,100
North
Jl,351,667
Louisiana
Coastal Louisiana
Total
Louisiana
•
87,150
+
600
85,850
74,000
215,750
+
7,600
215,750
251,000
311,300
334,300
302,900
Arkansas
75,300
75,300
73,200
+
Mississippi
49,200
t84,250
+
320,800
293,650
18,900
J22.200
dividends paid out by
these enterprises were $2,800,000 in 1940,
against $2,200,000 in 1939.
The
>
106,800
96,050
•
63.100
65,500
'
combined
r
'
of
assets
8
these
corporations totaled $50,000,000
at the end of 1940, compared
$39,000,000 at the end of
1939, while surplus increased to
$21,000,000 at the end of 1940
from $17,000,000 at the end of
with
•"
1939.
r
;
corporations manu¬
facturing lumber and lumber
products,
the combined sales
amounted
to
$107,000,000
in
compared with $94,000,Net profit after all
charges
totaled
$7,100,000
in
1940, against $6,000,000 in 1939,
equivalent to 6.7% and 6.4% of
1940,
Eastern
III.
301,600
325,000
72,000
73,250
2,250
84,800
30,550
5,200
288,800
8,200
+
enterprises
100
+
550
54,550
+
1Q0
*0.
11
for
corporations
totaled
39,000;
For the 8
as
compared with $61,000,Net profit after all
000 in 1939.
charges totaled
$8,300,000 in
1940, against $8,000,000 in 1939,
equivalent to 12.3% and 13.1%
of sales.
Total dividends paid
out
■-
by
these enterprises
$144,000,000 at the end
compared with $142,006,000 at the end of 1939, while
surplus increased to $39,000,000
at the end of 1940 from $38,000,-
of. 1940,
$14,000,000,000. Secretary
of Commerce Jesse Jones had re¬
quested the additional $5,000,000,000 in order to cover the RFC's
necessary
nection
The
tion
on
commitments
in
with the war program.
passed the legisla¬
May 14 and the Senate on
House
Ended May
550
by
Exchange^ and Round-Lot
(Shares)-V
/
30* 1942
Total for Week
.
j
:
.■- .. .■ 65,370
____—1,561,060
1——i
of
sales
t Per Cent
"
*
,' <•
;
V
,
.
£ ?;
1,626,430
•
for the Account of Mem-
Transactions
>
<.
•
<>•
1
>.
=
/• ;- ^
'
\
-
•
;
<
.
...
i
;
Transactions of specialists in stocks in which
1.
'
*.,
'
*"
>
t
1
3,816,700
production
■
-
„
they
<
•
JOther
'
......
v-y'rV 130,220
28,500
Total purchases
Short sales
.
;-x£k
all
registered—
are
sales
Total
-''.'yy
,
91,180
shutdown
was
RUNS
TO
STILLS;
Total
yVyy;
in
A
10,800
sales
77,510
transactions
Short
sales
JOther
STOCKS OF
reported
L
___.
on
a
Bureau
of
42,040
271,640
Crude
Capacity
Daily
% Re-
tial
Rate
Short sales
Gulf,
sales
Louisiana
-
fineries
Finished
Includ.
and Un-
% Op- Natural finished
of Gas
of Re-
Oil and
sidual
Distillate
Fuel
Fuels
Oil
porting Average erated Blended Gasoline
Week
89.7
1,588
66.6
4.578
43,021
15,032
158
90.8
423
711
90.7
2,372
Okla., Kansas, Mo
418
81.1
330
78.9
1,046
Rocky Mountain
138
50.7
82
59.4
295
2,514
321
578
California
787
90.9
582
74.0
1,596
17,080
11,644
56,315
4,684
86.9
3,451
73.7
10,310
193,305
31,535
79,556
U.
S.
of
B.
of
B.
S.
Bur.
basis
♦At
86.9
4,684
3,522
of the Office of the Petroleum
the request
reports received by the
This total
compares
30
Mar.
31
Feb.
28
Jan.
31
Dec.
Nov.
Oct.
—
Sept.
Aug.
June
June
__
__
————
31
30
1,133
>
Transactions
for
registered—
are
Total
the
Account
237,275
.
of
21,865
sales
y2,655
JOther sales
Other
10,478
95,355
31,384
79,628
91,890
36,206
91*961
26,875
—
Initiated
on
the floor—
-;
1
«•
purchases
-
'
10.27
-
-
-
,
r
3,300
.
sales
JOther
y>7
24,220
transactions
Total
Short
13,158
.
v
.
purchases
Short
1,619
0
sales
1,980
—
Total :salea
1
Total
sales
Outstanding
Total
•
York announced on June 11
384,300,000
388,400,000
380,600,000
Mar.
374,500,000
Dec.
387,100,000
377,700,000
Nov..
31
y
6,055
..—
pnrcliases.• -r.
Short
:•
.- -
sales
;
■
'
-
Total
:
'
-
'
for the
Account of Special-
7,
Customers'
short, sales
other
28
263,300,000
240,700,000
Jan.
31
232,400,000
370,500,000
353,900,000
329,900,000
299,000,000
IiIIIIIIIIIIIIIIIIIIIIZ
217,900,000
231,800,000
252,400,000
Sept.
250,700,000
Aug.
244,700,000
July
232,400,000
224,100,000
June
;
"
r'
'
34,910
.
'
■
13 95
v-7^
*.
>
;
,
'2,705
C71;-'
Ists—
'■
32,205
y-,....
'
Total
31
2.57
'-3f,320: *
■.,
sales
Odd-Lot Transactions
C.
•
.
0
sales
18,501
purchases
18,501
295,000,000
274,600,000
Feb.
Oct.
•*
6,005
-..v: JOther sales
.
;
•
§ Customers'
-
*
4. Total—
1941-
May
Apr..
*
.
50
___________
sales
.
6,155
■
;
JOther sales
Total
1.11
1
purchases
Short
with $373,100,000 outstanding on April 30
354,200,000
373,100,000
1,980
.
3. Other transactions initiated off the floor—
,
J At refineries, at bulk termi¬
'' "l "
1940—
31
30
:
they
bank from commercial paper dealers
s
:
29
Apr.
sales
$295,000,000 on May 31, 1941.
1942—
May
8,623
•
$354,200,000 of open market paper outstanding on May
total of
and with
aPer Cent
234,460
—
1. Transactions of specialists in stocks in which
Coordinator.
85,917 bbls.;
The Federal Reserve Bank of New
a
*
Total for Week
Total, sales
unfinished 7,388,000 bbls.
nals, in transit and in pipe lines.
that
585
3,123
2.
75.2
3,909
1941_
7,
tFinished
444
2,961
M.
1942_
(Shares)
1942
Mines
of
June
3,377
18,690
.
M.
1942—
basis May 30,
U.
Total
17,336
84.5
Tot.
May 30*
Members:
84.9
S.
15.70
2,815
JOther sales
.
174
basis June 6,
<
.Exchange and Stock
Short sales
B. Round-Lot
784
U.
Ended
Total Round-Lot Sales:
A.
Arkansas
2,383
.
■
Appalachian
Ind., 111., Ky
Tot.
the New York Curb
on
■
•
239,230
•
Transactions for Account of Members*
-
o,-;'
jStocks JStocks
North
Inland Texas__
and
Sales
- - - .
195,210
,
i
sales
Louisi¬
Gulf,
ana
y..'
44,020
Total Rouna-Lot Stock
♦Combin'd: East Coast,
Texas
2.96
":"r
'
■:
Stocks
at Re-
Runs to Stills
'
'
Total
Mines basis
'
37,320
sales
totals
;
4,720
;
Total purchases
JOther
include
v
5.06
r
Total—
4.
'
54,330.-
y
-
sales
Total
r^
initiated off the floor—
•
.
w --
66,710
.Total- purchases
-:v
*
87,090
sales
Total
Other
Each)
section
7.68
'
4
*
sales
mother
y;:iv;
this
119,680
...
purchases
Short
California Oil Producers.
PRODUCTION OF GASOLINE;
_
2. Other transactions initiated on the floor—
3.
15, inclusive.
sales
'
7
allowable for the period June 1 to
ordered for June 1, 6, 7, 13 and 14.
Poten¬
July
the New York Stock
bers, Except'for the Odd-Lot Accounts of Odd-Lot
Dealers-and Specialists: >
~
Gasoline
May 27; reported in our issue of
4, page 2124.
3,640,450
the
15-day
1941
con¬
636,800
Production
29.
over
Total
B. Round-Lot
20,400.
Daily Refining
rowing power of the Reconstruc¬
$5,-
to
Short fifties
-
therefore
tion Finance Corporation by
This
measure
in¬
the RFC lending authority
3,179,900
617,550
275,800
626
>
on
plus an estimate of unreported amounts and are
show
creases
149
*
in the various classifications may total more than the num¬
because a single report may carry entries in more than one
JOther sales
113,050
■
3,022,900
represent
>r»
' '•
^ 46
>•>,
■
which
,
gas
Figures
June 5 the bill increasing the bor¬
000,000,000.
19
'
:
A. Total Round-Lot Sales;
4,100
•
25,400
+
(Figures in Thousands of Barrels of 42 Gallons
Signs RFC War Funds Bill
on
58,550
in
Week
.
allowables
Commercial Paper
signed
*
*
Stock Transactions for Account of Members*
19,200
6,850
•
;
85
88,300
21,700
*
stocks
the
reports received
OIL, WEEK ENDED JUNE 6, 1942
000 at the end of 1939.
Roosevelt
State
93,250
-
:
695
•«■*
^
Total RoundkLot Stock Sales
FINISHED AND UNFINISHED GASOLINE AND GAS AND FUEL
totaled
President
and
is the net basic
CRUDE
were
$6,600,000 in 1940, against $6*100,000 in 1939.
The combined
assets of these 8 corporations
and
of
•■•v
;
3,601,500
3,636,300
District—
corporations manu¬
on
•'
The number of reports
ber
""
301,200
•
608,700
§Recommendation of Conservation Committee of
facturing cement, the combined
sales amounted to $67,000,000 in
1940,
other states,
state-wide
1939.
of
end
§691,900
691,900
condensate
JThis
the
in¬
end
the
of
165
_
classification.
tOkla., Kans., Neb., Miss., Ind. figures are for week ended 7 a.m. June 3.
$95,-
with $92,000,000 at
1939, while surplus
creased to $23,000,000 at the
of 1940 from $21,000,000 at
end
993
hand, all but a fraction of the odd-lot transactions are effected by dealers engaged
solely in the odd-lot business. As a result,, the round-lot transactions of specialists in
stocks in which they are registered are not directly comparable on the two exchanges.
5,500; Texas, 105,600; Louisiana, 18,500; Arkansas, 2,700; New Mexico, 5,600; California,
these
pared
■
"•
they are registered' and the round-lot transactions
of specialists resulting from such odd-lot transactions are not segregated from thn
specialists' other round-lot trades.
On the New York Stock Exchange, on the other
to be less than the allowables.
The Bureau of Mines reported the daily average
production of natural gasoline in March, 1942, as follows: Oklahoma, 29,200; Kansas,
prove
000,000 at the end of 1940, com¬
:
•
2,992,800
2,944,400
recommendations
4
floor
specialists in
fields.
Past records of production indicate, however,
that certain wells may be incapable of producing the allowables granted, or may be
limited by pipeline proration.
Actual State production would, under such conditions,
oil,
amounted
assets
C.
P.
.L_:
N. Y. curb
Exchange
petroleum liquids, including crude oil, condensate and natural gas derivatives recovered
$4,600,000 in 1940, as com¬
pared with $4,200,000 in 1939.
combined
450
+
Total United States
N. Y. Stock
Exchange
,
bther transactions initiated
Reports showing no transactions
.
+
_________
♦*'••
86,400
6,900
Total East of Calif.
f'y
37.850
93,800
80,600
I
,
64,700
21,800
80,600
7
1,100
+
7,600
California
-
showing other transactions initiated off
21,000
98,700
96,200
________
1
.
i.__
reports -received
345,400
,
21,300
j7
v'-.viV-'1/
23,400
New Mexico
•
.
Note—On the New York Curb Exchange, odd-lot transactions are handled solely
*
4,950
Colorado
to
The
Ind.)—
Wyoming
Total dividends paid out
these
900
+
;
Montana
as
sales.
450"
incl.
(not
&
Michigan
000 in 1939.
by
32390 01
Indiana
from
>
For the 11
.
Illinois
the
•
4.
"
profit after all charges totaled
$5,200,000 in 1940, against $3,300,000 in 1939, equivalent to
8.8% and 7.1% of sales.
Total
Reports
4,350
126,350
Texas
1,068,600
of
.
3.
50
78,600
Central
York
showing transactions as specialists.
2. Reports showing
the floor
1941
201,650
4,000
number
1. Reports
426,700
•
East Texas
East
based upon weekly reports filed with the New York Stock
Curb Exchange by their respective members.
These
are
New,
_
Z
Panhandle Texas
w.f.;
the
classified as follows:
;
June 7
Oklahoma
Nebraska
published
and
are
■;
Ended
June 6
Kansas
North Texas
reports
Week
Ended r
Week
1942
June 1
June
data
—Actual Production—
Allow-
♦O.P.C.
Recommenv"'V*:.'1
The
Exchange
4 Weeks
following data for the week
ended May 30;
>
Week
'
trading of 258,175 shares.
The Commission made available the
(FIGURES IN BARRELS)
OIL PRODUCTION
"■State
these
of
assets
enterprises totaled $53,000,at the end of 1940, compared
'
,
„
AVERAGE
in
$2,100,000
were
1940, against $6,000,000 in 1939.
of total
produced by all companies
10,310,000 barrels during the week ended
dividends paid out by these en¬
terprises
finished and unfinished
week, 93,305,000 barrels of
is estimated to have been
Total
May 30 amounted to 66,230 shares, or 13.95% of the total vol¬
that Exchange of 237,275 shares; during the preceding week
trading for the account of Curb members of 72,235 shares was 13.99%
on
The total amount of gasoline
gasoline.
June
ended
ume
in transit and in pipe lines as of
at refineries, bulk terminals,
age
the end of that
,
lot
owning 86.9% of the
Reports received from refining companies
a
Trading on the Stock Exchange'for the account of members
(except odd-lot dealers) during the week ended May 30 (in round-
follows
v
The Securities and Exchange Commission made public on June 12
v/;
The American Petroleum Institute estimates that the daily aver¬
age gross
Thursday, June 18, 1942
Z
'
..
.Total
sales
""The term
firms
/•
9,793
"members"
includes
all
regular and associate Exchange members
and their partners,' including special partners.
•
theft
'
;tShares in members' transactions as per cent of twice total round-lot volume
In
calculating these percentages, the total members' transactions is compared with twice
the total round-lot volume on the Exchange for the reason that the total of
members'
transactions includes both purchases and sales, while the
Exchange volume includes
only sales.
J Round-lot
rules
are
77.;....
short
included
§Sales marked
sales
with
which
"other
"short
are
sales."-
exempt"
are
exempted
^
from
restriction
by
:
included with "other sales."
the
Commissinn
'"mission
2319
Total Loads
Revenue Freight Gar Leadings During Week {«>
Ended dune 6,1942, Totaled 854,689 Gars
Loading of revenue freight for the week ended June 6, totaled
854,689 cars, the Association of American Railroads announced on
June 11.
The increase'above the corresponding week in 1941 was
week of 1940
1,749 cars or 0.2%, and the increase above the same
151,797 cars or 21.6%; V" '.' '
increased 58,-
Loading of revenue freight for the week of June 6
.933
was
•
.7.4%; above the preceding week. ,
,
.
,
j
freight loading totaled 385,356 cars, an increase
of 21,546 cars above the preceding.; week, and an increase of 23,044
cars above the corresponding week in 1941. .
- y & ;
>
cars or
'
•
.■
Miscellaneous
'
Loading;o£ Merchandise less than cairload lot freight totaled ,97,y
increase of 10,587 cars above the preceding week,'.but a
decrease of 62,125 cars below the corresponding week in 1941.
587 cars, an
Coal Toading amounted to 163,734 cars, an increase of 5,882; cars
above the preceding week, and an increase of 12,256- cars above the
corresponding week iq 1941.
1
'
;
■ ■> \
.
- ;
....
;
"totaled 35,871 cars, an increase
of 2,974 cars above the preceding week, and an increase of 309 cars
above the corresponding week in 1941V In the Western Districts alone,
grain and grain products loading for the week of June 6 totaled 23,411
cars, an increase of 2,971 cars above the preceding week, and an in¬
crease of 965 cars above the corresponding week in 1941. .
;
-./>
Grain and grain products loading
•
Livestock
'
:
,
12,484 cars, an increase oL#02
loading amounted to
above
alone,
an inof 2,-
preceding week, and an increase of 2,220 cars
the corresponding week in 1941. i In the Western Districts
loading of livestock for the week of June 6 .totaled 9,180 cars,
crease of 377 cars above the preceding week, and an increase
above the
cars
"
•
:
125
'
r
cars
Forest products loading totaled 53,319 carSj an
above the preceding week, and an increase of
increase-.of 7,630
11,151 cars , above
'
the corresponding week in 1941.
Southern
District—
I
' \
~
Alabama, Tennessee & Northern
Atl.
& W.
P.—W.
R.
R.
—
of Ala
Atlanta, Birmingham & Coast
'
Western
,
Connections
1941
395
331
737
777
Florida East Coast————
*
Louisville & Nashville
8,274
6,099
3,905
3,630
1,508
1,842
2,743
2,809
1,735
'
136
193
518
■
1,255
632
26,269
v?f 22,606
18,993
13,918
13,473
> 22,323
9,858
802
7,103
27,343
■
"
> -
130
176
536
438
12,594
23,777
11,279
26,530
'•>>>;. 575
Richmond, Fred. & Potomac
-.
204
469
534
4,131
3,168
1,264
1,958
1,171
1,025
395
347
11,167
"
:
8,672
8,860
5,647
1,084
135
845
838
124,422
121,342
97,972
107,055
85,449
428
—
21,963
2,371
2,723
19,211
2,400
21,236
18,315
■
Duluth, South Shore & Atlantic
,f
Bay & Western
Lake Superior & Ishpeming
Minneapolis & St. Louis
—J —:
Minn., St. Paul & 6. 6, M.—
—
Northern Pacific
*
12,786
2,968
12,178
2,846
18,443
9,488
8,561
3,353
4,124
3,455
3,197
3,638
28,715
22,622
19,015
364
327
1,340
1,081
918
576
9,983
10,492
8,142
10,027
517
591
519
125
27,276
22,610
19,970
5,255
566
572
500
616
671
3,147
2,896
2,905
49
93
Dodge, Des Moines & South
Great. Northern
-
for
all
odd-lot
ac¬
dealers
and
York
Stock
The figures, which are
based upon reports filed with the
Commission by the odd-lot dealers
and
specialists,
STOCK
ACCOUNT
DEALERS
:
THE
,
given below:
are
TRANSACTIONS
ODD-LOT
FOR
OF
NEW
YORK
..>.V
ON
STOCK
EXCHANGE
•
X:,
\
::■> Total
for Week
•
Week Ended June 6,1942
Odd-lot Sales by Dealers;
(Customers'
THE
ODD-LOT
SPECIALISTS
AND
"; V
V
Purchases)
-j
v
•
Number
of
Orders
Number
of
Shares.—289,359
10,688
•
Value
> 10,530,105
———
Odd-lot Purchases
by
'LVV"":
;-'V
„
Dealers—
<:
(Customers' Sales)
•
V.';;•. V
.
Number of Orders:
''
Customers'
564
>
short
^Customers'
9,017
-
on
Exchange,
mission.
sales—
other
147
sales—s
10,540
sales—lllV'
10,687
135
Customers'
3,612
>
Number
total
4*
of Shares:
1,753
1,919
1,708
2,629
2,198
Customers'
7,911
11,961
7,499
5,937
3,400
2,885
•Customers'
8,928
9,528
5,265
4,431
181
339
225
584
31C
2,806
2,776
1,601
International
the
odd-lot
continuing a series of current fig¬
ures being published by the Com¬
Dollar
21,421
Elgin, Joliet & Eastern
of
the-New
"
Chicago Great Western
Chicago, Milw., St. P. & Pac
Chicago? St. Paul, Mitfh. & Omaha
Duluth, Mfssabe & Iron Range—
June
on
for the week ended
summary
transactions
6,881
142
>:
Exchange
6, 1942, of complete figures
showing
the
volume
of
stock
1,478
v
94
■
Chicago & North Western—u-—-
Spokane
362
•"
22,526
•
20,310
I
'
Winston-Salem Southbound
Ft.
708
125
2,833
:•
18,828
>#>733.
611
—
District---
105
1,885
3,312
'
a
specialists who handle odd lots
839
2,826
-
12
:>V
458
1,181
Northwestern
1,075
453
,
4,428
329
-
180
285
1,564
Line
746
3,335
Northern—.
Central
1,177
26
'
187
System
152
504
Trading.
and
Commission made public
count
281
394
Norfolk
Air
191
4,029
3,292
Seaboard
>
272
39
3,822
Tennessee
1,366
....
Securities
June
;
Nashville, Chattanooga & St. L
Southern
1,135
4,459
Mississippi Central
——
1,006
5.
>.>••'>389 >•*>
132
—
2,027
572
•■•■■■
26,574
Southern
2,380
-399
Macon, Dublin & Savannah
Piedmont
710
3,586
1,311
Gulf, Mobile & Ohio.
Illinois Central System
156
9,294
40
Georgia. ——ii—
Georgia & Florida
379
591
295
;;.v 741
Gainesville Midland
.The
243
659
1,703
_
Columbus & Greenville—
Durham & Southern——.——..
NYSE Odd-Lot
1941
.. •
4,470
>
474
Cllnchfield
v
J942
11,573
3,609
Carolina
,M
.1940
745
12,877
*
Central of Georgia
&
Received from
757
Atlantic Coast Line
Charleston
Total Revenue
Freight Loaded
1942
r '
s<
■
Green
in 1941.
above the corresponding week
cars
'^Railroads
sales.—-.'
short
other
Customers'
ciiXr'f 4,345
sales-
total
<>>(260,813
0
sales
265,158-
•
increase of 9,567 cars
increase of 13,931 cars.above the
Ore loading-amounted to 92,453 cars,
;
above the "preceding week, and an
corresponding week in 1941.
^
•
an
'
*
45 cars
the cor?
compared with the corresponding
? week in 1941 except the Eastern, Allegheny, and: Central Western,
but all districts reported increases over 1940. ; '
.
.
1941
1940
3,454,409
3,215,565
1942
•
3,858,273
Five weeks of January
Four-weekak of February**———
:
3,351,038
Four weeks of Aprils.---.-——*
•
2,866,565
2,465,685
3,066,011;2,489,280
-
2,793,630»... 2,495,212
4,160,060
3,351,840
* V 852,940;
702,892
,
,4,170,713
Five weeks of May——i'
.
854,689
Weete Of June 6
Total
,
3,122,773
3,171,439-:
.
weeks ' of March--
Pour
——-
•
.
14,720,474
17,193,615
18,528,925
-
of the freight carloadings for
The following table is a summary
'
the separate
total
;
—
Atchf, Top. & Santa Fe System—-.-
railroads and systems for the week ended June 6, 1942.
&
Chicago,
Chicago
Chicago,
Chicago
k Illinois Midland
Rock Island & Pacific
Denver & Rio Grande Western
Railroads
1
Total Revenue
•
'
Received from:
.
•
Bangor & Aroostook*
1,356
—
Boston & Maine-
i
.
—.
6,124
-
Chicago, Indianapolis & Louisville—
Central
Indiana
Central
Vermont——
Delaware
/
—
—
-
Hudson
&
—
Delaware, -Lackawanna & Western—
'
.
Detroit,
1,498
266
220
7,504
15,655
1,916
61
12,949
2,396
1,307
1,369
19
1,423
7,114
19
1,279
5,389
7,694
10,180
8,707
—
Erie
,
Grand
'
1,399
1,647
23
1,044
6,129
Mackinac-—329
& Ironton—
•
1.703
280• V
•
14,932
Trunk Western
3,405
Toledo
1,319
534
1,306
Detroit Se Toledo Shore Line...—.—
1941
1942
8,650
' 359
258
2,874
395
2,020
Detroit &
.
1940
603
427
■
73
2,427
10,165
2,008
12,308
9,598
116
1,079
3.581
15,858
6,351
274
12,218
4,630
16,146
7,211
260
2,385
194
2,026
3,852
,1319
8,507
.
• 166
1,241
3,304
14,220
:
8,211
Lehigh & Hudson River
—Lehigh & "New England-————Li—
204
1,621
Lehigh
Valley-
UJ.644
3,308
8,674
2,790
9,521
Central-——-
8,891
2,181
11,551
Maine
3,157
6,367
5,799
4,787
355
2,799
387
2,504
46,673
10,035
2,186
52,237
2,047
41,516
28
53,084
42
47,971
12,270
1,253
6,693
529
8,116
9,513
1,109
5,487
411
6,706
20,305
.2,939
15,165
.1,232
9,287
15,704
-2,521
12,637
.7,341
5,609
650
811
359
408
6,092
31
.269
1,217
862
2,826
631
4,782
- 925
12,879
-
.
Monongahela
.'Montour
.New
—
—
Central
York
N. Y„ N. H.
-
————
—
-
Lines—
—
& Hartford
'New York,;Ontario & Western—_—-
-1,051 •
7,616
553
7,724
5,369
-718
331
1,098
New
York, Chicago & St. Louis
—i
Y., Susquehanna &Western——
Pittsburgh & Lake Erie..:
—
Pere Marquette——
—
Pittsburgh .& Shawmut..——
Pittsburgh, Shawmut & North——
Pittsburgh & West Virginia
—
N.
..
<
Rutland
.
!;
, 310
5,119
————————
Wabash
_
—
•
5,351
Wheeling & Lake Erie————
572
5,863
.
5,994
-
5,107
184,436
Total '158,468
"
13,608
11,687
1,698
880
752
11,421
9,620
9.71L
2,671
2,254
3,399
3,141
644
632
1,723
1,650
4,730
3,140
.
2,806
2,106
2,068
250
8
25
I,020
1,102
1,959
1,608
2,401
1.76L
1,059
863
2,009
942
1,787
110
12i
700
491
482
1
10
36
0
I
29,619
28,655
24,496
436
374
8,676
1,551
6,37t
236
Union Pacific System——.
12,483
Utah—
jitja.-— --—Li-—560
13,421
11,713
II,748
8,908
265
"164
b
City.:
—
Illinois TerminalJLL—Missoufi-Illlnois
Nevada
Northern——————
North Western
Pacific-!
Peoria & Pekin
Union>-——L>i,-
Southern Pacific
'
—
(Pacific)
Toledo, Peoria & Western—:
Western
Pacific
—
Gulf
1.41C
2,036
1,677
1,527
3,494
2,443
115,758
98,933
76,880
60,090
—
995
10,622
3,840
106,104
.
Erie
——
40,353'
7,280
43,308
7,479
980
,
,31,939
6,087
,
sales
Total
sales
—.
68,460
68,880
♦Sales
'
Shares
of
marked
90,710
_
"short
exempt"?-are
re¬
ported with "other sales."
odd-lot
customers'
liquidate
tSales to. offset
orders,
and
sales
to
long position which is less than
are reported with "other sales."
a
round lot
Lumber Movement—Week
Ended June 6, 1942
Lumber
during the
6, 1942, was 4%
greater than the previous, week,
shipments were • 3%
less, new
business, 19% less, according to
reports to the National Lumber
production
week ended June
211
174
155
134
196
5,547
3,122
2,625
3,141
1,669
Association
2,020
1,691
2,773
from
regional associations covering the
operations of representative hard¬
International-Great Northern
3,143
326
248
.219
1,302
.2,147
813
5,445
2,333
1,818
2,688
2,175
3^78
1,954
2,130
Litchfield k Madison————
2,366
1,849
388
307
258
Midland
1,059
1,041
Valley—
630
450
414
240
243
Compared with the corresponding
Missouri & Arkansas—
125
170
170
365
335
week of 1941,
6,082
4,294
3,808
4,637
3,087
18,439
14,571
12,208
19,276
10,301
Louisiana
&
Arkansas
Missouri-Kansas-Texas
Missouri
Lines
Pacific:—
Quanah Acme & Pacific—
St.
Louis-San
80
Francisco
Louis Southwestern
Texas & New Orleans.^—
Texas. &
131
8,330
St.
7,718-w
3,140
!
Pacific
203
183
6,514
5,510
2,369
6,092
2,866
7,433
5,901
4,337
3,974
4,887
3,980
3,966
6,977
4,062
ill
168
193
35
15
20
71,703
51,704
44,525
-
Total
2,614
85
6,495
10,812
Wichita Falls & Southern———
Weatherford M. W. & N. W.—
51
.
82
VV;;<>2L:
'':: 41
'
62,202
wood
softwood mills.
and
ments
Ship¬
4% above production;
nfew order 4% above production.
were
production was 4%
shipments, 5% greater,
greater,
and
2%
business
new
less.
The
stood at 139% of the
average of production in the cor¬
responding week of 1935-39 and
150% of average 1935-39 ship¬
industry
.
ments in the
40,574
same
Year-to-Date
Reported
Note—Previous year's figures revised.
week.
Comparisons
for
production
first 22 weeks of 1942
was
the
3% be¬
low corresponding weeks of
Weekly Statistics Of Paperboarit Industry
program includes a statement each week from each
member of the order and
production, and also
the activity of the mill based
cates
are
were
shipments,
and
6%
For
riod.
new
the
business
above
10%
1941
of the
22
1941;
the
orders
new
of
weeks
pe¬
1942,
27% above pro¬
was
duction, and shipments
were
16%
above production.
The members of this Association represent 83 % of the total in*
dustry, and its
shipments
above the orders
paperboard industry*
958
*1,967
420
—
Kansas, Oklahoma & Gulf—
Kansas City Southern
on
a
figure which indi¬
the time
operated.
These
advanced to equal 100%, so that they represent the total
Supply and Demand Comparisons
The ratio
of unfilled
stocks
gross
64%
was
orders
on
to
June 6,
1942, compared with 42% a year
Unfilled orders were 25%
ago.
greater
STATISTICAL REPORTS—ORDERS,
PRODUCTION, MTT,Tt ACTIVITY
28,198.......21,512
-
; •
—
Dealers—
Number
V
stocks
466
696
:
Shares:
sales
Manufacturers
'
Island
Lines
Paperboard Association, Chicago, 111., in relation to
activity in the
87
328
r
Coast
7,938,052 v
572
115,626
—
Total——
'
491
sf
by Dealers—V.
Round-lot Purchases by
a
•
of
Short
tOther
8,63(.
2,590
12,781
industry.
635
Ohio
Lake
16,005
2,446
11,795
1,991
6,095
Allegheny District-*
Akron, Canton & Youngstown——,—
&
16,614
We give herewith latest
figures received by us from the National
'
Bessemer
61,
Value
Sales
Number
7,084
1,009
figures
■'<Baltimore '&
2,692
106
235
2,440
220,579
149,169
10,231
4,509
521
8,862
>>
.4,529
•
2,785
608
1,221
1,568
.
19,419
3,459
608
2,432
1,975
'
•
.
Connections
1941
1942
23,005
Southwestern District—
Total Loads
Freight Loaded
Aso
53,551
1,127
1,831
1,559
1,981
1,080
Fort Worth & Denver
Burlington-Rock
-l
District—-
60,156
636
Denver & Salt Lake—
CONNECTIONS
ENDED JUNE 6
(NUMBER OF CARS)—WEEK
Eastern
114,477
3,134
724
week last year*
FREIGHT LOADED AND RECEIVED FROM
REVENUE
—
& Eastern IllinoisColorado & Southern———
During this period 62 roads showed increases when compared with
the corresponding
132,371
22,359
Garfield—
Burlington & Quincy
'
:
141,616
—
Central Western District—
Bingham
'
Dollar
2,085
Round-lot
Alton
'
All-districts reported increases
>
V
2,827 >
...
Coke loading amounted to 13,885 cars, an increase of
above the precedjng week, and an increase of 963 cars above:
responding week in 1941.
Spokane, Portland & Seattle
than a year
18% less,
gross
ago;
were
Softwoods and Hardwoods
'
Unfilled
2,427
'
;
Buffalo
Creek &
Gauley——l———-.
*
Cambria & Indiana—.m
-
Central R. R. Of New Jersey
,
•
Cornwall
267 •
288
1,935
6,863
'
2,023
8,181 672 V
:
633
'
Pennsylvania———i
,290 "
VLlgonler Valley—i 118 Cumberland
&
.
,
3
•
' 624
'
6
16,739
66
232
VI
t44
44 ;
•
110.
J
"
-
16
"
v
;y
4
15,529
■
,
61
55
1,054
737
579
3,428
Penn-Reading- Seashore Lines—fj-—^*673
Pennsylvania
System—
82,184
Reading 1 Co.- jyVL..—"I:.- '.u^.ii..v....wi-,.*,:' V 14,143
^1.640
L278
^'^2
^-634
62,109
_l.p2
58,833
Union
(Pittsburgh)
Western Maryland
Total
,
-/
-
1,232
6,544
334
,
289
; 35
2,897
Long Island
•
1
i
—
-
*
—
.
ui-
-
**
4,112
14,682
y,
f
4,159
.
,
.28,551
.
17,324
8,321
3,129
13,536
v'.jy
■...
'c
r;■"•'V
~
—
Norfolk & Western
—
—
21,303
6,976
7,903
166,599 V 140,246
149,871
190,233
.
District—
-Chesapeake & Ohio
'Virginian—
.
185,678
•'v
,18,79018,612
20,963
i
Tocahontas
80,379
it
*
' ■' -V
►
:29,236
29,039
> 24,848
23,135
23,542
19,226
4,799
4,515
:• 57,170
' 57,036
v
V
3,871 ''
13,272
13,130
6,393
6,144
2,208
V* 1,797
'
Total
L
————»
47,945
' '
21,873 "
"21,071
l
,
Orders /:
M
Period
percentofAetlMt
Received
Sons
Remaining
r°ns
ended
7--—
——
-
177,823
Mar.
14—
140,125
Mar.
21—
Mar.
28—.
157,908
—144,061
Apr.
4—.
Apr.
11
Apr.
18
>
May
2
May
9—
*
May
16—:—
23—
May
30„_——
June
169,444
101
101
100
101
thousand board feet:
465,439
101
101
100
101
161,888
169,249
436,029
100
101
145,000
153,269
428,322
93
101
153,442
156,201
135,273
152,569
.—
.-
6_——
"
404,199
•
week
current
476,182
Cumulative
442,556
*—_—,>;> 139,026
—
May
166,130
the
505,233
Current
168,394
129,834
Apr.- 25*
165,081
>
for
June
6, 1942, for the cor¬
responding week a year ago, and
for the previous week, follows in
Tons
1942—Week Ended—
Mar.
Record
'
94
388,320
93
371,365
90
>
SOFTWOODS
-
Production
99
Shipments
130,510
143,427
360,221
86
141,745
336,530
82
93
120,224
140,650
316,443
81
97
113,059
132,901
288,516
77
96
110,226
120,374
283,390
69
Note—Unfilled orders of the prior week plus orders received, less production,
Mills
99
119,142
'
i-1942
101
100
v
HARDWOODS
AND
V
_
_
Orders
1941
Week
Week
—
472
459
459
252,483
254,045
273,558
261,626
>, 281,533
273,830
279,802
336,029
1942 Week
Mills
Wfe. (rev.)
263,259
Softwoods
95
do not
Previous
1942
375
r,.
Hardwoods
,
1942 Week
98,
,
;
necessarily equal the unfilled orders at the close. Compensation for delinquent report.%
Production-
251,512—100^
11,747—100%
orders made for
Shipments-
260,128
103
13,430
114
Orders
261,884
104
11,946
102
orders.
',V.
•'■
or
filled
V:"V:
stock, and other items made necessary adjustments of unfilled
—
'
THE COMMERCIAL & FINANCIAL CHRONICLE
232Q
William
y
Schmidt
H.
Cashier to
tant
xThe
East
Assis¬
from
Industrial Loans
Cashier.
New
of
V,
the Savings Banks oL Brooklyn,
Queens, Long Island and Staxen
lsiana report increasing interest
000,000, with total resources in
cooperation on the part of
many
local business enterprises
ana institutions in setting up the
Payroll Savings Plan for the pur¬
Bank
Group
On
V.
tional
City
wmcn
on
celebrated
16
funds
for
it
the
war
War
expenses
of
1812,
to
The
meeting
a
trustees
Co.
cus¬
bank
of
the
York
New
of
Harold
Mills
M.
officer
the
of
start
two
one'W^ek
War
before
vaded>Russia.
the
before
days
of
1812
and
Napoleon in-
Col. Samuel Os¬
renewal
of
the
bonus
to
June 14 marked the
150th anniversary of its founding.
During its long period of service,
regulation, it is explained, are
merely of a clarifying or technical
character. ■( \ ■<.V
((('
United
General
States,
of
the
its
was
first
After the battle of Bull Run,
y.
the President of the City Bank
was
Chairman of a committee
**
Edward
Trust
the
Civil
the
national
organized
was
When
to
system
the
support
Bank
subscribed. for
tomers
more
of
itself
New
Vice-President
9
and
than 600 of its staff
the armed
National
United
of
City
York
of
the
branch,
Mr.
Company.
at
McGraw
Patten was
Buenos
a
Assistant
national
in
to
Aires
in
1914—and
and
was opened at 42d Street
Madison Avenue in
1921
and
today
over
It
it
has
66
the five boroughs.
general
exodus
business
,
of
houses
Wall
to
Street
of
destroyed in the great fire
1835.
The
new
building
was
opened in 1842 and in 1908
was
...remodelled to become the home
of the National
City.
;
'v-
Holzer,
to
from
Menn,
to
from
Vice-
-
80
years
after
its
or¬
ganization,
$1,000,000,
•
are
new
ap¬
pointments:
John
A.
Serocke
and
E.
Wessler
Charles
Mosca, Assistant Cashiers.
William
New
Eighth
Savings Bank, at
Avenue
and
14th
Street,
Deputy
Superintendent
of
Banking for New York State, has
been
appointed Auditor of the
bank, to assume his duties on
July 1.
Mr. Kendall became a
of
district.
the
present
growth
20th
century,
became
Capital
was
more
increased
in 1900 from $1,000,000 to $10,000,000.
and
two
years
later
from $10,000,000 to $25,000,000.
at
which
bank
examiner
in
1931
has
and
capacities,
including that of Special Deputy
Superintendent
of
the
in
the
Rochester
Prior to joining the staff
York State Banking
New
Department he had been
Irving Trust Company for
years,
with
nine
of John A.
$700,000,000,
its
increased to
its
capital
$40,000,000
and
structure, including both sur¬
plus and undivided profits, for
the
first
time
exceeded
Robert
been
.
The
John
A.
Schwarz, President of
Schwarz, Inc., to the
Board of Directors to fill the
cancy
George
B.
Newell,
since
Newell,
executive
of
A. G. Brainerd- Herbert
R.
Hubbard,
Utley and Louis P. Merri-
J.
VicePresidents; G. W. Guillard, Cashier; M. T. Hazen, VicePresident in charge of the trust
department; A. G. Stronach and
W.
B.
Trust
partment.
•
in
the
"•}
'
trust
created
W.
order
Commission
make
or
contractors.
this
As
th$
Assistant Cashiers.
of
Northrop
All
motions from the staff
the
men
had
been
as
were pro¬
as
each of
employed
by
the bahk for many years.
of
the
war,
it
was
an¬
the death of
Spence.
The
bank
$100,- aIs.°, announced the. promotion .of
nounced by
partment
June
12.
the United States De¬
of
the
Interior
on
-
come,
associates in
the
banking world are the cus¬
todians, the trustees of the na¬
tion's
accumulated1 liquid
re¬
sources, we are in a war indus¬
try.
Ours is the responsibility
marshal
to
the
to
our
greatest
effort.
war
our
in
funds
banks to be of the
For
use
make
war
this
matters."
no
col¬
He
\j
•
•
.
urged that all funds possible
be diverted to investment in Gov¬
ernment
securities, stating that
inflationary effect of credit
expansion .becomes less serious in
exactly the degree by which the
surplus funds of individuals are
devoted either to the payment of
the
outstanding debts
to the
or
ac¬
In addition to being large
count.
Prepay
pur¬
own
buyers
of
Government
bonds,
The U. S. Department of Agri¬
tions should become sellers, too—
on
June 6 that during
sellers of War
Savings Bonds. "We
rural electric distribu¬ must do all we can to promote
tion systems in 14 States made the sale of War Savings Bonds to
advance payments totaling $135,- our- depositors out of their in¬
112 on construction loans obtained comes," he said* / (
35
from the Government through
the
Rural
Electrification Administra¬
tion.
The
from
advices
partment add:
,
,
the De¬
r;
,
Insolvent Nat'! Banks
-Completing Liquidation
>
The
April remittances brought
of advance payments
made by rural electric coopera¬
tives to $4,336,235.58.
Out of
the 785 energized REA systems
now
serving 929,673 connected
consumers, only 59 are behind
in their payments, Administra¬
tor Harry Slattery pointed out,
while 317 have taken up notes
the
:v
total
before they were due.
much
as
halted
the
has
duration
been
by the
shortage except where
serve
war
of
bers do
establishments.
systems with the
helping mem¬
their part in the Food-
Cooperative
aid
banks
the affairs
finally
REA
completed
was
of
such
and
receiverships
closed, the Treasury
partment reported
further said:
June
on
De¬
5; it
y.
Total
disbursements, includ¬
ing offsets allowed, to deposit¬
ors
Payments
the agency has been called upon
to
tional
and other creditors of these
10
receiverships, amounted to
$34,072,761,
while
dividends
paid
?
to
unsecured
creditors
*
amounted
to
an
average
( 79.22% of their claims.
costs of
construction
for
material
During the month of May, 1942,
the liquidation of 10 insolvent na¬
30 days
past due to¬
tal $159,277 or about 1% of the
total of $15,710,000 of accounts
due to date. Advance payments
equal 27%
of the repayment
as
REA
by refineries has been suspended
our
has
banks and other financial institu¬
Oil Report
The public distribution of the
monthly crude petroleum report
because
"you and I and
He added:
war
April
April,
June 12,
appointment
Arthur B.
and
total
of
explanatory statement to
culture said
after the regular meeting of
announced
Grau
war
loans to
effect appeared in these
of April 16, page 1542.
REA Systems
de¬
William C. H. Dobbeck, Walter A.
war
is,
fought by
the total pro¬
here,
chase of bonds for their
■
on
that although
haven't
mistake about it, unless we
win
the victory; nothing else
result
a
is
war
Because
-
to
umns
Edward E. Brown, President of
First National Bank of Chi¬
the Board of Directors
said
the total manpower,
ductive capacity and the total re¬
of practically every na¬
the Reserve Board
Board's
-
va¬
by
,
guarantee
the
cago,
Myers
"total
responsibility without ref¬
to Washington.
Maritime
postwar
people of America
learned
yet what total
The President's executive order
Dana, Vice-President and
Officers, and M. H. Glover,
Vice-President
Mr.
erence
the
the
the
Reserve Banks to grant such ac¬
pres¬
officers
in
•
tion in the world."
On Loans In
the bank include: Ostrom Enders,
1st Vice-Pres.; George F. Kane,
needed
be
years."
revised
was
President
In addition to Mr.
ent -senior
will
unpleasant
ton, the Board has continued in
own
so neces¬
high taxation program
it may be,
just so long as it does not destroy
our productive process now or de¬
plete too far the surpluses which
however
sources
schedule.
proximately
again
institution
No Monthly
Peoples National Bank of
Brooklyn announces the election
was
as
'•
i;
figure it stood until
1920 when, with deDosits of ap-
capital
by
has
time,
executive
man,
G. Green, President of
York
the
Exec¬
desirable,
so
System; but, in order to
the necessity of having
applications for such accommo¬
dations passed on in Washing¬
1927.
William
and
since served in various
marked.
^
ders
of
assumed
the
At this
responsibility
who
capital
stood
at
surplus
and
un¬
divided profits at $2,500,000 and
deposits at but $24,000,000. Commencing with the early years
the
full
head
following
Co.
Trust
of
utive Committee.
President.
The
Chairman
come
to
1892,
industrial
adopted
O. Enders, who served actively Regulation V prescribing the rules
to
in the direction of the bank's
govern the operations of the
affairs
as
Chairman
of
the Reserve Banks in acting as fiscal
Board until 1935, when he re¬ agents of the armed services and
Maritime ( Commission;
the
signed from this position to be¬ the
Assistant
Assistant
and
of the progress
during
these 15 years was the result of
the executive abilities of John
Vice-
of
as
established
to
"is
toward the
Co.
Bank
tomorrow."
sary^ that; we shouid; be charitable
commodations directly on their
the United States
Trust
Much
Assistant
Assistant
New York, announced on June 16
that Albert F. Kendall, Assistant
that way until 1853, when it was
increased to $1,000,000., As late
,
National
Assistant
National City started business
in 1812 with a paid-in capital
$800,000, which figure stayed
outline of the necessary
an
dent.
from
President.
the
un¬
The
Vice-President to Vice-Presi-
Schneider,
Goldfine,
Assistant
Vice-Presi¬
dents; Harry Bernstein, Jack Fielman,
H.
Howard
Hoch,
David
head office at 55 Wall Street
Schnapp, Joseph DiNapoli, Theo¬
was ^completed
100 years ago
dore Frank, Joshua Shopenn, San¬
this year.
It is the site of the
was
>
statute.
regulation the
blanket authority to all Federal
the
since
headache
the
"And the avoidance of this head¬
he said,
the
of March 26 (given in our April
in
1927,
which resulted in the change to 2 issue, page 1360) authorized the
the present name of Hartford War and Navy Departments and
occurred
is just the reverse.
bigger the tax spree now, the
the Federal Reserve Banks
the
.
spree
the-headache next day.
tax spree
a
ache, of inflation, of the day of
reckoning in the postwar decade,"
with
Basic structure for the present
Exchange which
'..J
Ephraim Root.
Security
Village.'.
old Merchant's
Gen.
Webster,
the bigger the
spree,
worse
avoided, lest
it have the effect of restricting
or hampering the
operations of
merger
William J. Terry, from Assistant
Cashier
to
Assistant
Vice-
Greenwich
been
Vice-President to Vice-Presi¬
Cashier
vicinity
ever
since with the exception of a
short period when the 1822 epi¬
demic of yellow fever caused a
has
dent.
Herman
immediate
Noah
Notwithstanding its excellent
record throughout the previous
-135 years, the bank's greatest
President.
was
less
has
Cashier
scattered
The
or
growth
Albert
first opened at 52 Wall
Street and has been located in
the
and
President.
branch
commercial
"financing insti¬
industrial
and
a
But
avoid
George Philips, Gen. Timothy
Burr, James Watson, Caleb Bull
Louis Hellerman, from Assistant
Cashier
to
Assistant
Vice-
to-
day it has 35 branches in Latin
America.
Its
first
domestic
Bank; Major
Deane, John Morgan,
we
sary," Mr/Myers went on to say
"the less borrowing neccessary
the
less
credit
inflation,
"estab¬
Bach, from Assistant
Leo
branch overseas—in
capital,"
terms
serve
the
Trumbull, Chauncy Good¬
rich,
to
"working
such
Caldwell, who became the first
of
taxes
more
the
of
of Governors of the Federal Re¬
Other
Stating that "the
on
definitions
loans
of
Co., Platts¬
burg, spoke on "Our Responsi¬
bility in Financing Victory."
nical
Major John
Hamilton.
included
Barnabas
Vice-President and Cashier.
first
bank
Vice-President
associate
and
New
Any attempt to prescribe tech¬
pre¬
beyond
and commercial businesses only
when authorized by the Board
President
Trust
R. Harold
friend
and
restrictions
The law permits Federal Re¬
serve
Banks
to
make
direct
native of Hartford, and
a
Alexander
National
Hartford
Col. Jeremiah Wads-
was
close
John
The
and
the
rapidly becomes commod¬
ity inflation in these days of goods
shortages. As a rule when we go
procedure.
the
establishing
powers
regula¬
tion, therefore, contains little
except an analysis of the law
Leader
of
tional Bank and Trust
which
in
founders
Kiwanis Club and the New
Boston,
Bank.
dinner
League of Savings and
Loan Associations, at Saranac Inn,
N. Y.
Mr. Myers, who also is
President of the Platjtsburg Na¬
unimpaired
der
of
annual
no
of the movement which resulted
a
:
in
Bank
the
York State
scribes
and
worth,
Hill
for¬
the Bank
11 by John P. Myers, Presi¬
dent, New York State Bankers
Association, in an address before
those required by the law itself.
tutions"
coun¬
June
Banks
business"
four
the
Philadelphia;
York;
the
Providence
Bank
the 42nd
York Credit Men's Association."
More
the
was
in
banks
New
the
the Colonial Trust Company.
He
is an active member of the New
cus¬
now
State
only
were
the post-war decade was made on
that
lished
institution
that America go on
spree" as a means of avoid¬
ing the headache of inflation in
raise the less borrowing is neces¬
heretofore, the regulation
the
A proposal
"tax
a
granted by
Congress to the Federal Reserve
as
the Hartford
as
Massachusetts,
an¬
Howard
merly Assistant Vice-President of
services.
States
establish
are
the
time
there
of
ica,
Clinton
that
is located
Mr. Patten
than $1,000,000,000
of Government securities.
the
established
other
Safety Bank and
Company
announced
on
York.
•
;(• J-*#/;. June 10 the following list of new
Since
Pearl Harbor in
the officers and promotions:
present emergency the bank has
Eugene
J. McPartland,
from
City
its
accounts have
than $168,000,000.
more
Bank,
E. Patten has been made Assistant
system and became the
new
National
than
more
addition,
announcement
At
effort the City Bank joined
war
the
War.
banking
of
the
was
Executive
the
of
June
on
Street
finance
Smith,
Company, of New York,
Building.
help
W.
Vice-President
vanced to the Treasury $50,000,000
at
once
and
$100,000,000
in two installments to
amount to
now
As
leaves
try: The Bank of North Amer¬
of New York bankers which ad¬
more
The Board further states:
regarding
the anniversary it is stated:
payable July 3.
nounced
President.
on
assets
In
employes receiving sal¬
aries of $6,000 or less.
The bonus,
covering the second quarter, is
Lexington, and first
Postmaster
provisions of Section 13-B of the
Federal Reserve Act. The changes
which have been made in
the
the
in
$128,800,000.
In
trust
department
non-
Fed¬
the
United
good, fi^commander of the Min¬
ute Men at
Bank
Co.,
established
sources
the
of
Reserve System has revised
Regulation S relating to loans
by Federal Reserve Banks to in¬
dustry and business under the
capital has grown from the orig¬
inal figure of $100,000 to a present
total of $8,000,000 of capital and
surplus.
The
institution's
re¬
Secretary.
Mr. Mills was
formerly manager of the Real
Estate and Mortgage Department.
Governors
its
;
National
of
eral
banking and insur¬
on
Hartford' Conn.,
of the first banking institu¬
States,
sistant
16, 1812,
Board
its
of
;.V•;
Hartford
tions
As¬
as
chairman
and
Trust
one
Trust
Mr Bierwirth also announced
,the
The
and
9, John E. Bierwirth,
President, announced the appoint¬
ment
'(/
ance.
June
on
member
a
committee
board of
the
of
the
program of war financing
of the law firm
Smyth & McGrath, contemplated by the President's
executive order of March 26, the
Secretary of the Brooklyn Bar
is
Association
v;'i::v;:
■ •
had its beginning
incorporation of the
City' Bank of New York June
with
1
At
began
contributed for itself and
to
in
Richards,
is
Another unit of the National
which
tomers ; $1,000,000.
'
v
The National City's announce¬
ment further stated:
of
1942.
its
130th birthday.
The bank's aid to
the
Government
in
providing
with
He
re¬
City
City organization, the City Bank
Farmers
Trust
Company,( the
trust
affiliate,
celebrated
its
120th anniversary on Feb. 28,
history of the Na¬
Bank of New York
June
amounted
deposits.
"
the
National
the
of
$3,170,000,000, including $77,500,000 cap¬
ital, $96,000,000 surplus and un¬
divided
profits and $2,964,000
Active participation in financing
six
major
American wars
has
markea
$1,000,000,000.
Mar. 31,
1942, total
sources
and
chase of War Bonds.
McGrath to its Board of Trustees.
of
excess
Urges U. S. Tax Spree
In order to facilitate the partici¬
pation of Federal Reserve Banks
June 12 the election of John P.
on
banks
By
Federal Reserve Banks
York
Savings
Bank, Brooklyn, N. Y., announced
Member
Thursday, June 18, 1942
liquidation of these
ceivership
average
7.46%
total collections from all
of
Total
re¬
of
sources
( including offsets allowed.
Dividend
distributions
to
all
creditors of all active receiver¬
are
ships during the month of May,
amounted to
$1,768,391. i.
@FedFRASER