Full text of Commercial and Financial Chronicle : November 22, 1945, Vol. 162, No. 4440, Section 2

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In 2 Sections-Section 2

ESTABLISHED OVER 100 YEARS

Edition

Final

Th Q

M

Financial

Reg. U. S. Pat. Office

Volume

Price 60 Cents

N. Y., Thursday, November 22, 1945

New York,

Number 4440

162

a

Copy

President Truman's Message

Observations
By A. WILFRED MAY=

notions of an era noted for its queer
"high consumption economy" doctrine as

One ot the strangest

formulae is the

preached by many if not most of the economic, planners of
the New Deal menage left in Washington.
It is, in a sense

jftf On Federal Health Insurance

Continuing its "cut-rate" aid to
selling of obligations of the

/

Pointing Out That Nearly Five Million of Draft Registrants Were Found
Unfit and "That Our New Economic Bill of Rights Should Mean Health,

its

Government

U.S.

finest: investment

the

world's

variant, or* possibly better, a descendant of the a batch of new bonuses to buyers.
These included such plums as ny¬
''over-saving" theory of the early 'thirties, and is certainly
lon stockings, a soldier escort to a
not unrelated to the "mature economy" preachments which school
prom, theatre tickets, and a
gained so much headway during the early days of the New ride on a miniature railroad.
Deal.
The use of such stunts should
It, however, appears to have certain absurdities all
its own.
The "over-saving" theorists, misled apparently by not be lightly tossed aside as a
thfe accumulation of inflationary funds in institutions de¬ joke, for it has deep repercussions
the entire War Bond campaign.
signed to hold the savings of the community, or at\ least a The indication by the Treasury of
substantial part of them, rather loosely arrived at the con¬ its conviction that the offerings of
clusion that the economic merry-making of the 'twenties Government Bonds must be
,"sweetened"'
by
prizes
ranging
came to an end because, for reasons not clearly explained,
from':' jewelry/; to
movie-star
the people insisted upon saving too much—and that despite kisses, certainly has confused the
the undisputed fact that production during the New' Era public about their attractiveness—
particularly with respect to their
was at record-breaking levels and there ,was no accumula¬
self-interested investment advan¬
tion of consumers' goods.
No one ever took the pains to
tage. As a result, although paying
explain how a people consuming more than it had ever double the interest rate obtainable
done before could have "saved" itself into the depression from the bulging savings banks
.the
United
States
Government
of the early Thirties.
■
•cannot compete with them with¬

perhaps,

a

Insurance, Health Research and Hospital Facilities. Proposes a

sidies to the States.

more

Health

-

natural, regular and
permanent phenomenon if matters were left to take care
of themselves. The trouble Was, however, held not so much
"over-saving" as a scarcity bf investment: opportunity. The
tionate to

investment opportunity as a

(Continued ptt page 2500)

•

)<

^

sic

now

t

S. Steel Corp., in Radio .Broadcast Asserts No
Wage Rise Possible Without Higher Prices, and Places Problem With
OPA.
Refutes as "Bare-faced Misstatement of Fact" Assertion of
President Murray of CIO Tbat Steel Companies Have Hidden Profits
and That They Are Trying to Bludgeon the Government Into a Price
Increase.
Murray Writes Secretary Schwellenbach Attacking Tactics
k F. Fairless of U.

from the

prin-^-

companies,
who
contend
that

no

wage

increase

/

is

possible with¬
out ^corre¬

sponding price
,increases in
steel products.
/ The
attitude
of

steel

the

industry

was

stated in

a ra¬

interview
with
B.
F.

dio

Fairless, Pres¬
ident
of
the

tions of
is

*

~7

:

steel»one of the most

cipal

fox-a gen¬
flat denial

United Steel Workers Union
increase hasLbeen met by a
the day.

important quesEvery American

directly affected by

wage dispute
We
are
all

"

the current

eager

to

get

back

veterans and
the men and women who held
jobs in war industries. We are all
looking forward to reconversion
of war plants for new homes, auto¬
mobiles, refrigerators^ farm equip¬
for

jobs

returning

hundreds / of
items
which weren't available to us dur¬

ment

and

<

Announcer:

'night

we

my

to

Sept.

ing the war years,
And

Good evening.

To-

bring you a discussion




of

sential

as

you

r

know, steel is es¬

in the manufacture

of medium height.
t

He has an un-

(Continued on page 2506) >. //

6,

there

and

that

received

the
of •
1945,«

president Truman

a
proposed
Economic
Bill of
Rights certain rights which ought
to be assured to every American
•

;Vyvv

;■

V

-

One of them was: "The

right to

by

System

re¬

widespread physical
incapacity among "the *
young people of our nation.
We
had had prior warnings from emi¬
nent medical authorities and from
investigating
committees.
The
:
/(Continued on page 2504)
the

vealed

and

■'

conducted

Service

Selective

the

.wer e

shock when the medi¬

a

examinations

cal

'

citizen.

protection.
people of the United States"

The

enumerated in

Bonds

that opportunity

attain

them

mes¬

Congress

mental

The Atomic Bomb

considerably larger
indicating a j far
distribution and a dis¬

be

to

llllllAnd Future Peace

proportionate / decrease
in The
number of .separate buyers.
1/
(Continued on page 2502)* ■

-

By

-

HON. JAMES F.

BYRNES*

Secretary of State

/ /■/

■

Civilized World Cannot Survive
Anglo-American-Canadian Agree¬
ment on the Atomic Bomb Is the First Step in an Effort to Rescue ihe
World From a Desperate Armament Race.
Recommends That Com¬
mission of UNO Be Formed to Provide for Exchange of All Scientific
Information for Peaceful Purposes and the Future Application of Atomic
Energy. • Reiterates U. S. Adherence to United Nations Organization
and States We Will Not Act to Undermine Our Own Safety or Safety
of the World. Urges Expansion of World Trade and Removal of Trade
Restrictions as Means of Attaining Peace and Prosperity.
When I accepted Charleston's very gracious invitation to return
to the city of my birth and the scenes of my younger days, I thought

Secretary Byrnes, Asserting That the
GENERAL CONTENTS
m.

:

an

Editorial

"

,

Page

•/ i

-

,

Financial Situation

,.......;.,

Ahead

Washington

From

of

the

....;........................2498
Observations ..;;..
2497
News

Moody s
Items

Bond

About

Bncti ana x leiu*.
Banks and Trust Cos..2512

Trading on New York Exchanges..
NYSE Odd-Lot Trading ...........

State
y ,>

.

of

Trade

.2507
.2507

■

'

•

War, Declares That the

Atomic

Review ......
2498
Commodity Prices, Domestic Index.2509
Weekly Carloadlngs
2511
Weekly Engineering Construction. .2509
Paperboard Industry Statistics
2511
Weekly Lumber Movement
./
2511
Fertilizer Association Price Index..2510

that nothing

Weekly Coal & Coke Output. . ..y. .2509
Weekly Steel Review...
...2507
Moody's Daily Commodity Index...2508
Weekly Crude Production
2510
Non-Ferrous Metals Markets.......251C

trade.

General

I
some

could say here

you

efforts

more

than

world

Charlesto

being
of

n,

.,2509
Private Urban Bldg.. Reaches Peak
Since Pearl Harbor....
..'"2438
N. Y. S. E. and Curb Stock Changes*2438
August Mtge. Recordings Down
*2438
Dept. Store Sales in N. Y. District

America,

for

*2438
♦°,,n

September

November

Cotton

Report.

August Hotel Sales................*2439
Moody's Common Stock Yields
*24o9
Condition of Sverlges Riksbank at
Sept.
Cotton

October

29.

*2439

1945

Prior to Nov. l..*2439
Output Lowest Since •

Ginnlngs
Steel

1940
Labor
Dept.
Reports
Earnings in August

.....*2438

May,

Houis

and

....*2439

has

tainly
in

dicated.

.

i

of

appeared
19, on

Nov.

'• "y/

the
in¬
•••:'-///

in

pages

as

ation of world

Since

ac¬

pated

I
James F.

Byrnes

Washington which
every human being and

civilization

in

itself.

Therefore;,

well

was

"An

partici¬
in
a

conference

-•*

I

t o

be with you
have

of

Director

was

Later,

this

invitation

atomic

energy

is

not

War

Mobiilzation,

of the awesome
character of the great experiment
that we then referred to as the
Manhattan Project.

I

commerce.

concerns

items

*The°e

"Chronicle"

a

restor¬

cepting

of

quickly or easily comprehended.
As it happened, in my capacity

interest

the

significance of the re¬

The full
lease

cer¬

vital

that it may be

so

of the world.

in

Debits for October.....

energy

used, not for war and destruction,
but for the peace and happiness

oldest

ports

trade,

comment briefly on the
are making to control

we

atomic

of

one

the

views on international

I wish to

would interest

/. 2508

Weekly Electric Output •*.........
Bank

of all
these things. Industry cannot get
United States
;
Steel
Corp. going without it.
Benjamin F. Fairless
The
United
Steelworkers
of
and
ViceAmerica are insisting upon a $2 a
President of the American Iron
day wage increase. At the request
and Steel Institute, over the net¬
of the CIO Union a strike vote is
work of the American Broadcast¬
being taken on Nov. 28 to enforce
ing Co. on Nov. 13/ Because of its
this wage increase demand. :;///;
importance as a statement of the
In the studio tonight is one of
V policy of the steel manufacturers,
the key men irr the steel industry.
we give below the complete script
Let me describe him to you. He is
of the broadcast:
i.

In

The
help

heretofore,

in the steel industry.

quickly to peacetime manufacture.
That is the only way we can make

time has arrived for action to

United States:

sage

good

enjoy

and

security against the

or

economic effects of sickness.

the

" of

of opportu¬

Millions do not now have

protection

To the Con¬
gress

.

not

citizens do

our

measure

achieve

to

health.

mes¬

follows:

sage

full

a

nity

The text

the

of

Regular Feature»

of the CIO
eral tvvo-dollar-a-day wage
The demand

have

hospital facil¬
ities.

of

Millions

,

and

health

.

.

of U. S. Steel Corp.
.,

.

sickness."

subsidization
of

Loan's Series E
million through
last week, are running at about
one-half
those
in * the previous
drive. Furthermore the denomina¬
tion of the bonds sold is under-

narrower

Impasse

•

Federal

and

Victory

current

than

„

War

grants

research

1

c a

medical care and the
opportunity to achieve and enjoy
good health."
Another was the
"right
to
adequate
protection
from the economic fears of-

ex¬

in aid to medi-

home to roost. The

come

as

tensive

Bond sales, at $579

Stood

The Steel Wage

of

attractiveness

has

adoption of a Federal

adequate

system

well

as

'

r

19 submitted to Congress a

Insur¬

ance

With .the ending of the public's
psychology, the past underemphasis in selling the intrin¬

its bosom the "mature

*

special message in which he recommended the

wartime

economy" notion, which was
based upon the contention that our economy, having left
the last frontier behind, must expect a savings dispropor¬

unto

Medicine." Advocates Medical Sub¬
,

President Harry S. Truman on Nov.

resorting to additional premi¬
ums.
? :• *;"•'

earlier days took a gloomier and
fatalistic view of the situation. That is to say, it took

on

It Will Mean "Socialized

Denies

out

The New Deal in its

Plan Based

ment Premium

on

Earlier Views

System of Health
Prepay¬
4% of Earnings, Limited to $3,599 and

Security for All," Mr. Truman Recommends a Federal

the Treasury

week sponsored

last

Department

—

—

*

before / expressing

aware

during the
out

the

of

address

short period
Government

by

Secretary

at the Mayor's
celebrating "Jimmy Byrnes
Byrnes

coming

Day,"

Charleston,

Dinner
Home¬
S. C.,

16, 1945.
(Continued on page 2503)

Nov.

THE COMMERCIAL & FINANCIAL

2498

r-

■i

Human

Front Washington

Ahead

A

BARGERON

been

our

visit

lee's

about

good an
portunity

as

op¬

t o

at of f -the
r e

cord

-

it is really a
psychological beating of the peo¬
ple into submission, a steady de¬

con¬

and

ferences

luncheons,

as

suppose

struction of their self-confidence.

anybody else,
v

We

crises.

There is not

the

Instead of 1he American

people
being almost frightened to death
over their possession of the atomic
bomb,
they would be laughing

slightest
in

doubt

our

mind that the

plan is to so¬
cialize

themselves

of

11

a

the

as

country

Carlisle Bargeron

can

digest it. The premier would never
say this.. He would evade direct
questions by saying that the Gov¬
ernment had in mind first talking
over

industries

those

which

are

closely related to the public, the
utilities, transportation* etc., and
those
vital
industries
which

their

through
such
the

hand

strong

This is

inefficiency,

own

the coal industry, needed

as

as

if

editors

the

would

Britain just as
fast

sick

far

as

government.

of
was

expected to

the "first year or so." Repeated
questions then as to whether a
line was to be drawn, a line of
go

demarcation between government

ownership and private enterprise,
got nothing but a smiling evasion.
There was another thing that
Impressed us about Attlee. He has

only give them a proper
perspective of the heated debate.
The great majority of the "sci¬
entists" coming here and demand¬
ing to be heard, demanding that
the bomb be given to Russia, de¬
manding this and demanding that,
are youngsters just out ot" school
and barely needing to shave. Even
Senator Brian McMahon, a new
the

Senate

who

has

member

of

attracted

nationwide publicity by

pulling

fast

a

one on

his older col¬

leagues and getting through a res¬
to study the whole ques¬
tion, can't help but laugh at these
fellows.
olution

Just as a few years ago
the cry went up for "strong

when
men"

and "leaders" to get us out of our

according
New

York

to a statement in the
"Times" on Nov. 12.

proposal that the UNO ap¬
point a small and carefully se¬

lected

Commission

Rights

the

Human

on

signed by

was

of

bers

United

the

States

mem¬

oro

committee

Washington, Manhattan and New

against the private enterprise sys¬
tem as much as any' of the wildeyed babies we have had in Wash¬
ington. Attlee frequently betrayed
his bitterness. In spite of what

Mexico,

and. there

are

associa¬

tions of others who didn't. To hear
a 25 year old youngster
solemnly

telling

senator that he will not

a

stand for anything that prevents .a
has been written about him to the' free
exchange of scientific thought
effect that he had a brilliant ca¬
*11 over the world, is
really de¬

lawyer ahead but volun¬
tarily, forsook it to live among
the. poorer classes, we would bet
a pretty penny that he suffered an
early frustration of some kind or
another. Unless our impression is
wholly wrong, there is nothing
soft or mild about him except his
speech. He is hard, and the social¬
reer as a

ization into which Britain is head¬
ed is fo

be gradually all embrac¬
step begetting another,
until they will have something on
ing,

one

the

order

Socialists

of

totalitarianism.

can

be

voted

The

out

of

by the liberty loving Brit¬
are told, but the few so¬
cialists among the British contin¬
power

ish,

we

gent in
have

"Washington,

the

slightest

seem

fear

From them, and from

not to
this.

of

things
that are going on over there, you
get the impression that the gov¬
ernment is moving fast like the
New Deal to utterly subjugate the
■voters, make them dependent up¬
some

the government.
We note a marked similarity in
utterances to those of * the
New Dealers when they were ris¬
on

*

-their

ing

ever

on

Our domestic Commies
the alert for the young

and

gullible minds have grabbed
a number of these "scientists" for
one of their fronts.
"
Behind the agitation of the

experienced

is

more

-restrictions.

There

reeired

to be

.nothing apologetic about the

a

nouncement that controls must be




automobiles
units

the

commission,

/'Times"

discusses

the
fol¬

as

lows:

First

the list

on

formulat¬

was

declaration of human rights.
This suggestion was made with
the
acknowledgement
that
the
process may have to be slow, pos¬
sibly with formal agreement on
ing

a

definition of

a

limited number of

rights at first.

Acceptance of an international
declaration
of rights
may
con¬
stitute

next

a

the

of

stage

develop¬

said.
The
finally
achieve a uniform bill of rights or
a full-fledged international bill of
ment,

statement

Nations

United

be taken

can

may

How rapidly these strides

rights.

fore¬

no one can now

Much will depend upon the
confidence which member State*
cast.

feel in the world organ¬

to

come

ization, and upon progress in othei
fields, particularly in the develop¬
ment and

codification

of interna¬

•

(

I ■ Other tasks of the commission,

make recommendations for action

the field of human

in

to prepare

reports

on

rights

and

matters that

inay require consideration b,v any
of the organs or agencies of the
Nations.

United
•

"

"

V

<

/

As for the membership of the

commissiop^the stateinent saji
should
to

be

20

composed of from five

appointed

persons,

in¬

as

Each nation, it was
proposed, should submit a list ol
possible members, no more than
of

The

looks, at

picture

November
maintained

The

1946

new

if the present
and industry

model

passenger

which on the

has

This

normal

"Iron

bers

in

the

bigger and better

whom

would

be

its

ov/n

way

fore

the

lowing

war.

and was for some years a munici¬

pal bond analyst with the Central

Hanover
pany.

•

,

Bank and ,Trust
■.

.4;:'

has made a detailed
President Truman on
survey of relations between

pean

report
his

trip,
to

military

control authorities and
Germany, according to
Associated Press Washington ad¬
civilians in
vices
not

to

until

of

Nov.

14.

be made
the

The

report

is

public, however,

President

has.

comr

pleted his study of the findings.

tabulation

the

votes. :

of

lamb-like 'attitude

in

public s

since-Philip Murray has taken
Position that his union wants
a wage increase without dicker¬
I Jn8 or compromise,
it does ot

last, the United 1
States finally yielded to the de-'the
On

Saturday,

mands of Latin-American

produc-

ing nations for an increase in the
Ceil ins

nrice

of

green

coffee

ield"L price°ine to United

but

much speculation to antici-

i take

herausp/nf strikes"

States

°n

J^lmaktogoperr

SbsKSel^^rte^Si

The return of
St/binLuon Dire /o ^John C c/h
rates this week to Pre-coal
feVs^ announcement importers! strike levels is allowil?g many
would hp ncrmittpd to
three
Producers to begin working down
o-v

cents

a

pound

Tddft/onalfor

green

,

?^backlog of business On

the other hand- incoming orders
in the Past week hove increased in
timated'volume. Any pregres^made bebe
Government
absorbed
by a Government cause of the higher steel operating;
offee from Nov

19

1945 to March

1946but that toe increase

es-

a

wm

rates

subsidy.
"The

subsidy," Mr. Collet said,
"is the only alternative either to
a return to coffee rationing or to
a
price increase to consumers of

•

Euro¬

ne-;j

its

resutt In

six-weeks

have?

company

Since the industry has abandoned-

.

a

others

while

question of wages and prices iss
probability of an industry-' 't
wide strike by the end of thi^'
month or early in December, fol->

tisements and national radio talks

sponsored by
Steel

&

the American Iron

Institute

is

warning of girding for a
dated showndown.

apparent

consoli¬

^

Along the wage-price front the

has practically told
Government that until the

steel industry
the

long-overdue and greatly needed
price adjustment is made by OPA,
there will be no negotiations with

have

effect

mtle

Qn

improving deliveries on orders
piaced at this time because most
mills have been keeping in their

pockets orders which could not be
scheduled

situation has again
this week; with
supplies harder to get and with
prices straining at ceiling levels.
The dearth of No. 1 heavy melting
The

scrap

become

tighter

has caused some sentiment
asking for

scrap

in the trade to consider

the

a
10% increase in
price of this item. .

American

Th

ft^t

from

are;

forqierly were forced to take on
cars,
dealers are, however,
assured margins considerably
above those actually realized be¬

_

turned

industry

industry-wide?

the

they

,

.

steel

favor

gotiations.
In the background of the con-1
flict in the steel industry over the *

cars.

which

losses

for

individual

favored

Because of the elimination or re¬

duction

the
to

bargaining,

initial

all

the average for

of

known

be uniformly re¬
percentage points,
which will assure the 1942 retail
on

industry-wide,;
goal which *
sought for some time, the.v.,
Age" points out. Some mem¬
push

actively

margins will
duced by 2.5
orices

last-

a

collective bargaining, a

increase in

prewar

present?

he has

factory prices will not be passed
through to the car buyer.
Dealers'

the

make

try may be an opening for Philip !
Murray, CIO and USWA head, to?

prices, according to Mr.
Bowles, apart from specification
changes, will be increased on the
average by less than 3% % above
levels.

to

price-wage situation

ditch controversy.
A by-product of the united and
militant stand of the steel indus¬

Factor

1942

served

steel

aver¬

age will be no higher than those
charged in January, 1942, adjusted
fqr changes in design and engi¬
neering specifications.

the

possibly be in the form?

a

tee, composed of top heads in the J
industry. The number of promises;?
and counter-promises made with;
respect to steel price adjustments
over
the past 60 days, none of ?
which have been fulfilled as yet,

now

prices

announce-;'

would be worked out by the OPA<
Steel Industry Advisory Commit-/?

coming
into
dealer showrooms, will be sold at
retail

OPA

percentage increase in steel;'
prices, the distribution of which

not

automobiles,

material;;

-

expected

ment may

of

hampered by strikes.
The
long-awaited OPA state¬
ment
on
auto
prices was an¬
nounced by Price Administrator
Chester Bowles on Sunday, last.
is

accumulated,

cover

and labor costs.

present, the monthly level of 200,units will be attained by the

41

dividuals.

half

to

7,000

up

past three

used

law.

tional

trucks

for the

the

As

weeks.

is

and

these

and

week

a

of

yearning

an¬

continued for five years. Rather,
the announcement in the Corn-

ago and was generally unchanged in £
preceding weeks, despite large numbers ?
without situations, many positions remain unfilled.
For the' week
ending Nov. 3, initial unemploythe union, or at least to engage. '
ment
compensation claims rose
in such would be more than futile.
■by 2%.
■ ■
'
- ■
-■
Chester
In the automotive field, the first
Bowles, OPA Adminis¬
to be almost wholly converted to trator, the magazine states, is ex¬
wartime purposes, manufacturers pected this week to announce
che;|
are
he will
take
in
beginning to get production policy which
into
high gear with output of granting steel price adjustments?
a year

As pointed out in

the week.

for
citizens, and out of these nomina¬
of living tions the Economic and Social
for
five cents or more per pound of,
scientists—more pay.) They
Council of the UNO should choose
roasted coffee."
hope to make
utterly essential the
membership!
^
for every little industry to have a
He further stated that the new
Besides Dr. Shotwell and Mr.
scientist in its employ. Our indus¬
program is "designed solely as an
according
to
the emergency measure to avoid a
tries have come to be loaded down Eichelberger,
with economists,
public relations "Times," the signers of the state¬ critical shortage of coffee during
ment
were
Henry A. Atkinson, the coming winter."'
and labor relat;ons experts.
Now,
they've got to make room for the Walter Lyman Brown, Malcolm
Steel Industry—The steel indusW.
Davis, Monroe E. Deutsch,
scientists. There is coming a time
try, confronted by union demands
E.
Ellingston* Arthur J.
when the farmer is going to "et John
and hampered by Governmental
Goldsmith,and Rev. John Latire'i of doing the only essential
work.
Farge-,
\
Archbishop; Robert
&
Shf no f
Lucey,
Jeremiah
T. - Mahoney*
whkh mav soon
a bitter
George. Z. Medalie, William Allan St
what it mn
Aufderhar Elected By
fight to the finish in what
Neilson, O. Frederick Noide, Rob¬
siders to be fair play, according
Savings Banks Trust Co. §P ert Norton, Bishop G. Bromley to the "Iron
Age," national metalOxnam, Bishop Edward L. Par¬
Charles
F.
Aufderhar ; was
working; paper, in its summary
elected
Assistant Vice-President sons, James N. Rosenberg, Henry
of, the steel "trade for the past
P. Van Dusen,
of the
Quincy Wright,
Savings Banks Trust Com¬
week.
The somewhat surprising
Allen Wardwell.
pany at the October meeting of
"and very unusual: departure of
the Board of
Directors, it is an¬
steel companies from, individual
nounced by August
Ihlefeld, Pres¬
Reports on Reich Control or separate announcements and
ident. Mr. Aufderhar
joined the
Byron Price, who recently re¬ pronouncements to large adver¬
a

ones

high. These utterances sur¬
this writers understanding of
psychology but they worked in Savings Banks Trust
Company in
this country, so
tjhe utterers must 1934. Previous to that time he
know what they are doing. These
was associated with the
Bureau of
utterances
paint nothing but a
long black future for the British, Municipal Research in the Cham¬
continued
privations, continued ber of Commerce of
Newark, N. J.,
pass

'

lightful.

in

end

Shotweil's group have sug¬
gested possible functions and aims
Dr.

for

material and labor shortages. Some improvedeliveries took place in a fewlines,t but unemployment; it

remained higher than

human

on

again noted in industrial output the past'

was

recovery

000

"

m_

—

merit

organ¬

picturedas a | ;ng number of "scientists" are np3ssuggested v,by the.",,A«iei$eah'
icildmannerpd schoolmaster type, pear ng. They are forming into
/group, would be to stimulate pub¬
nothing radical about him. In fact,
more
associations than the vet- lic discussion and
understanding
much has been made of,the busi- j erans. There are separate associaof human rights, to obtain infor
ness and .professional men m the
fiors for the clerks, pardon me,
nation and report on the extent U
new, government, If they are like
; the •' scientists" who worked at the which fundamental
freedoms art
AUloa
-fhoxr
rlo+armmrv?. frilSJii •'
Attlee,- they are determined, frus¬ Various bomb projects, Tennessee,
resoected throughout the world, tr
trated men who are burning up
assiduously

been

Modest

week notwithstanding

rate

ization's

arnaz-

an

the

neaded

The

,

j around in the bushes,

of

j

director is Clark M. Eichelberger,

distress, and it .was, amazing how
of
them
were
lurkiqg

many

The Cori&in*

Organization

by Dr. James T. Sholwell and its

pride of accom¬

Dealers, perpetual punishment for
our
sins of the past, continued

h i m,

observe

a

this pauntry
Comr/Hss en
10

the

Peace.

plishment, at least a gloating, as if
.0 say:
"You are to be severely
punished for having had the Con¬
servative government this long."
This was the theme of the New

This writer

had

reflected

nons

to

Washington.

in

group
the

as

Study

>/-

Att-

the

by

Preparatory Com¬
UNO, in London,

the

of

dele¬

American

the

of the

known

a

to

sent

mission

disguise for us, because it
comparison to the Communist totalitarian state and
democratic state—they didn't get any reassurance from Prime

Minister

in¬

an

by

gation

socialization, that really it is a blessing in
as

that

bill
of, rights 4 be
the United Nations
General Assembly when it hclds
its first meeting in January has

who have been reluctant to face the facts about
the British Socialist Government, who have been telling themselves
that it isn't as bad as it seems, that it is going in for only limited
serve

;

Rights Group

recomfhendation

drafted

Those people

will

Thursday, November 22, 1945

ternational

of the News

CARLISLE

By

>

CHRONICLE

v

Iron

•

ceiling

:,

and

steel'

announced ortMondafeof

this week the operating rate of
steel

companies

having

of

94%

capacity of the industry
of capacity for the
week
beginning Nov. 19, com¬
pared with 80.4% one week ago,
65.1% one month ago and 95.4%
one year aeo.
This represents an
increase
of
2.0
points or 2.5%
above that of the previous week.
lhe stce,

be 82.4%

will

•

This

week's

operating

rate

is

equivalent to 1.509,300 tons of
steel
ingots
and
castings,
and
compare with 1.472,600 tons
week
ago,
1,192,400
tons

one

one
month ago and 1,716,200 tons one

year

ago.

•.

<

./

Railroad Freight Loading—Car-

freight for.
Nov. 10, 1945,
the Association;
(Continued on page 2502)
*
-

loadings
the

week

of

revenue

ended

total 838,218

cars,

THE

Number 4440

.Volume 162

Airway EiUs of Lading
and

Practices

of the Committee

on

Uniformity in Documents

Goods and Be Suitable for Bank Financing.

to

a

of foreign trade financing were discussed at
meeting of the Bankers' Association for Foreign Trade

Current problems
the

annual

held

Hotel

shey,
Hershey, Pa. on
Nov.
A.

M.

Vic

e-

dent

16.

The

Mr.

r e

si-

be made free of any

American Na¬

and

on

the

may

Federal

meet

to

Re¬

met

Small

of

is

be im¬

payment, and

goods are already in posses¬
sion. of the party on whom the

credit

stated.

has

agree¬

exercise the

cago

Nov.

its

"

same

control

the

over

protection of the public as the

member firm is. In addition, there
would be

initially, greater capital
for the Federal
order is issued.
Company
of
requirements and required bond?
Reserve Bank of Chicago stated
Chicago,
and
Mr. Strong stated that the Uni¬
ing of officers.
that the regulation is constantly
Chairman
of
form Customs and Practices for
Only organizations en g a ge d
under study by the. governors of
the
Commit¬
Commercial Documentary Credits
mainly in the securities business,
i the Federal Reserve\ Board, but
tee
on
Uni¬
fixed by the Seventh Congress of
brokers, dealers or
under¬
he
added that he had no idea as
form i t y in
the
International
Chamber
of when it
might be lifted. Harry C. writers, could be member corpo¬
Docum e n t s
Commerce
are
now
adopted by
rations. Therefore, banks, invest¬
Hausman, secretary of the Illinois
and
Practices
ment trusts and insurance com¬
the United States of America, Bel¬
Bankers
Association,
according
of the Bank¬
gium,
France.
French Guiana, to the "Times" made the statement panies would not be eligible. Also,
ers'
AssociaGermany,
Italy,
Mexico,
The that Regulation W was a wartime non-member securities corpora¬
tion for ForA* * :
Netherlands,
Netherlands
West control • which should now be tions would not be eligible if their
eign Trade, rendered a report on Indies,
Rumania, < Salvador, eliminated because the need for stock is publicly held and they
behalf of his Committee on vari¬
Sweden, and Switzerland. Nego¬ the curb was over and it repre¬ are therefore not in effect part¬
ous topics of pertinent interest to
tiations are under
way
by the sented an unnecessary piece of nerships in corporate form. The
foreign traders and bankers.
American Section, of the Interna¬ bureaucratic control as long as Exchange has no idea of the num¬
:iIn discussing the transporta¬ tional Chamber of Commerce in it remained. If removed, busi¬ ber of non-member corporations
that would
be interests in Ex¬
tion, of cargo by air and the fi¬ other Latin American Republics.
ness should police itself on credit
change memberships and could
nancing
of air shipments, Mr,
The Uniform Customs and Prac¬
extension, Mr. Hausman said, and
meet the Exchange's restrictions
Strong pointed out that no inter¬ tices are now made a part of Ex¬ recalled 1939 when automobiles
and requirements.
national conference on air trans¬
port Letters? of Credit issued or were financed on a "practically
Conditions
under which per¬
portation, with the exception of advised by American banks, by nothing down basis and three
mission
incorporation would be
the convention held at Warsaw,
using the following clause:
years; to pay."
The trade soon
permitted.are outlined as follows
Poland, in 1929, had given consid¬
Unless
otherwise > expressly learned, he said, that this was an
in the memorandum.
eration to Air Shipping- Docu?
stated, this Credit is subject to the unhealthful situation.
ments. The Warsaw Convention,
A leading bank economist, the
Uniform Customs and Practices
Customer Protection
which prescribes a non-negotiable
for
Commercial
Documentary "Times", continued, thought that
Initially a member corporation
Airway bill, governs international Credits
fixed
by
the
Seventh the question of continuing the would have to have a
paid-in
air
traffic between the United
Congress
of the
International regulation "not too important at capital and surplus 20% greater
States and most foreign countries,
Chamber of Commerce and cer* present." No dire need exists for than that
required of a member
and
A

spokesman

.

t

;opinion was expressed by tain
guiding provisions.
some air carriers * that a negoti?
Mr.
Strong reported" that the
able Airwaybill would not be ef¬
Committee\ on
Uniformity
in
fective of the place of departure
Documents and Practices made a
or arrival is situated in a country
which adheres to the
Warsaw study of Interbank Guaranties
tendered when documents do not
Convention. Mr. Strong stated on
conform to the terms of the Let?
behalf of his Committee that:
ter of Credit.
The Committee
'•> "Financial facilities are of para¬
recommended
hi uniform
pro¬
mount importance to the develop¬
cedure
and standard forms of
ment of international air cargo.
guaranties."!
Bank
financing,
however, 'h re¬
Other
topics
covered;' in Mr.
quires suitable documents convey¬
Strong's report were: Acceptances
ing title to the goods. The nonas
Borrowed
Invested
Capital,
negotiable* < Airwaybill presently
Through Bills, of Lading; from
used by air carriers does not meet
Mexico, Special Clauses in Let¬
the requirements of bank financ¬
ters of Credit, and Withholding
ing and the lack of proper docu¬
Tax on Interest Received for Ac¬
mentation will create a serious
count of Foreign Residents.

development of in¬
ternational air cargo."

obstacle to the

"* The

Committer

that the

devise

recommended

international air carriers
uniform

negotiable

that the
matter of air shipping documents
be given consideration in inter¬
national arrangements and that
uniform laws be adopted with re¬

able for

N. Y. Reserve Distributes

bank financing;

gard to international air cargo
shipments and the documents re¬
lating to such shipments.

A farm credit

file, consisting of

special folder and various forms
and agreements designed to en¬
able small, banks to improve their
a

handling of credit, is being dis¬
tributed by the Federal Reserve
Planned par¬

Bank of New York.

ticularly for the agricultural dis¬

tricts, the service is extended to
banks in
Connecticut and New

Al¬
Sprout, President of Federal

Jersey as well as New York.

performs an important function
found to be of great prac¬
tical use; however, its legal stand¬

depend upon the judgment of the
individual
banker
and
his di¬

and is

lan

Reserve Bank of New

York, ex?

plained in a letter accompanying
the file that the "use of a credit

guarantee the quality
that will still

file will not

of the loans made;

the; information

rectors. However,

document of title is ques¬ which should be found in a prop¬
tionable. There is no clear legal
erly maintained credit file, to¬
definition of the instrument al¬
though it may be upheld in com¬ gether with the banker's knowl¬
mon law as a contract to deliver
edge and judgment, should enable
the merchandise to the holder. It,
a
bank to serve adequately the
therefore, is a useful commercial
credit needs of its community and
device without legal status with
to grant borrowers the credit to
the possible exception of a De¬

ing as a

livery Order

issued by a steam¬

in exchange for a
lading which is generally

ship company
bill

of




Spiegel, Inc., whose former

which

'r- i

bankto

the

exposing
risks." :

■

■

.

v

lit

without

entitled

they are

f

:

busi¬

policy i of full credit was par¬

ness

ticularly hard hit by the regula¬
tion back in 1942, said the situa¬

is "entirely different."
institute is "talking through

tion today
The

its «;hat"

when

it

warns

merchants,

small

danger of
said.
Sales

the

of

volume of

he

stores to¬

day is not limited by the regula¬
tion, but by lack of merchandise.
When
the

flows freely,

merchandise

will be elimi¬

curb probable

nated, he predicted.

President of
Association of Credit
Men, said his organization had no
well-defined policy on the regula¬
H.

Faulstitch,

the Chicago

tion.

4 With regard to the Delivery Or-?
stated that an an¬
alysis of the Committee revealed
that the Delivery Order has come
into general use between commer¬
cial houses
and is tendered to
banks as a document of title.
It

der, Mr. Strong

credit

said, explaining
should be put on

H.

and Farm Credit File

non-negotiable Airwaybills con¬
veying title to the goods and suit¬

extensions, he
that., emphasis
production * "to
get things rolling fast." (\
;
M. J. Spiegel Jr,;.; President of
Consumer:'

i

,,

:: "jf

undue

^
,• t >
f y •: '•<
{

diversi¬
Association's
membership, including manufac¬
turers, wholesalers and financial
of the widely

"Because

fied

interests of the

-institutions, opinions

repeal of

the

curb, some

;

cannot- be a stock?
in another member corpo¬

ration
firm.

v-;

three

financial

•

;
suspended
or
expelled
stockholder must be offered to the

ceased,

corporation

:

.

its remaining stock-'
"

*

.

.

..

,

;

,

member

corporation would
be deprived by the Exchange of
its privileges if the corporation's
stock should be acquired by any¬
one other than
a member, allied
A

of

member, or the estate
ceased stockholder.
(

de¬

a

member - or allied member
be required to sever
all
with the corporation,
and cease to be a stockholder, if
the Exchange * found it was not

i A

rb-

respect

corporation organized under
of a state other than
New York must subject itself to
such salutory restrictions, similar
to those imposed by New York
laws

law, on the conduct of corporate
affairs,
payment of
dividends,
loans to stockholders, etc., as may

presecribed jby the Exchange.

and

or

holders.-.
.?

A

A

-

..

quirement that it is not possible to

*

earned

The stock of a withdrawing, de¬

answers each year
questionnaires, and

impose upon firms with
to their general partners.

re¬

surplus on a parity with or after
dividends on common stock.
•

quirements are the same as those
imposed on member firms.
The corporation would have to
bond its officers, which is a re¬

be

not

additional dividends out of

Exchange

the

,

prererential dividends
in
excesgs
of 6%.
It may receive

subject to an annual visit by an
examiner, which re¬

be

member

a

could

stock

ceive

would

connection

in

its

the

interest that

best

This

continued.

be

nection

Control by Exchange

in

present power of the
Exchange to order the discontinu¬
ance of any connection of a part¬
ner
after coming to such a con¬
clusion.
'

/*

Every employee of the corpo¬
ration whose duties correspond to
of

those

registered

a

employee

approved by the?
Exchange, which is presently the
case with such
an employee of a
would have to be

member firm.

di¬
allied

Any stockholder, officer, or

would be liable to the
discipline 'and
Exchange

member,
same

*

penalties for the acts of the corpo¬
ration as for his own acts.
;i[

Redemption Profits

;

Tax Refund Bonds
The

Treasury

nounced

Department

an¬

Nov. 10 the procedure

on

redemption of excess prof¬
its tax refund bonds, on or after
for the

Jan.

1,

1946, as authorized in the

recently enacted' Tax Adjustment
Act of 1945. All of the outstand¬

tax
refund bonds
eligible for redemption

ing

date.

become
that

on

'

•

Owners who desire

payment on

urged to surrender their
bonds immediately. Others are re¬

Jan. 1

are

quested to surrender their bonds
well in advance of any

corporation may have voting
non-voting stock, correspond¬

con¬

is

line with the

.

to

partner in

~

Preferred

quired to' have la' 'so-called sur¬
prise audit Once in each year;
submit

a

or

rector, who is a member or

corjpbFijUdh;'wqul&

•

member

one

corporation
holder

presently imposed on mem¬

Th^''

•

■

in

stockholder

A

firms.1,; f

ber

I

Exchange

stockholders,

re-;

maintenance/ capital

.

would reserve
the right to limit the number of

quirements would be the same as

of our mem¬

bership are naturally divided," he
said. "Some members favor com¬

plete

j' The

junior officers must be passed,
by the Exchange. ,
'!■

The

firm.

those

Also, directors

upon

partners

the

partners

limited

as

firms.

member

and

■>

and employees. The
corporation would be subject to at
least as rigorous regulations for

11.

a

/

corporation, its officers, directors,
stockholders and employees as it
now does over the member firm,

and mer¬
whom have

special dispatch from Chi?
to the New York "Times,"

to

:;

v

in

summarized, it is con¬
templated : that
the
Exchange
would impose such restrictions as
it deems necessary to continue to

men

some

-

fashion

same

Briefly

of
expressed endorsement, however,
of the Institute's action, according
chandisers,

be

be

per¬
In the memorandum it is

mitted."

ment, v considerable
controversy
existing among Chicago bankers;
economists,

might

permissive incorporation

The

which

one

which

by the Board

members of the

In advices to

imposed by the Exchange should

exi¬

merchants.

not

wholehearted

with

*

under

conditions

and

jeopardizing the future of thous¬
ands

consideration

of Governors of the
Exchange under date of
Nov. 15 Emil Schram, President made available a copy of a memo-,
randum dated Nov. 5'" outlining in general language the restrictions

Credit

the

is

business

gencies of wartime and was now

the

Trust

the

Consumer

*

t

question of the advisability of permitting "a presently existing
firm "of the New York Stock Exchange to incorporate its

Exchange.

be ended immediately,
ground that the measure

intended

was

statement that

by incorporating a

Bank

tional

Control,

proved by making it irrevocable,
by stipulating that delivery is to

the

of

Ordbr

the/ Delivery

Strong,
P

Board's

serve

suggested that

Committee

W,

Regulation

of the

accepted as a continuation
bill of lading.

The
member

1,000 retail merchants in 44
has
sent
a
petition
to
President
Truman
asking
that

question

Her-

of

more

Institute

represents

States,

the

at

which

than

Delivery Order and a General Internatonal AdaptaLegal Definition of a Delivery Order and a General International AdaptaCredits as Fixed by the International Chamber of Commerce'.
Legal Definition of

Credit

Retail

The

America,

Which Will Convey Title
Also Recommends Clear

International Air Carriers Devise Airway Bills

Exchange Considering Permissive
Incorporation of Business of Firms

Sonlroversial Subject

Bankers' Association for Foreign Trader Urges

of the

N. V. Slock

Removal of Reg. W

Recommends Uniform
A. M. Strong, Chairman

2499

COMMERCIAL & FINANCIAL CHRONICLE

ment date desired.,

later pay¬

.

Full instructions on how to sub¬

capital and limited mit the bonds for redemption will
be mailed within the next few
capital in a partnership.
varying degrees of modification."
Voting stock must be at least days to all owners of record, of
55% of the capital in line with the whom there are approximately
Exchange requirement that gen¬ 70,000. Assignment of the bonds
Civil Service Pay Rise
eral capital in a member firm be to the Secretary of the Treasury
Approved by Senate Group as least 55 % of the total capital. for redemption is to be made by
executing a form on the back of
Legislation to raise the pay of
Voting stockholders and prin¬
the
Civil Service employes 20% won
securities,
unless otherwise
cipal officers must be members
approval of the Senate Civil Serv¬ or allied members of the Ex¬ specifically instructed. They are
ice Committee, Nov,.. 15, the As¬
then: to
be
forwarded
to
the
change and as such must devote
sociated
Press
reported
from the major portion of their time to Treasury Department, Fiscal
Washington. Left for further con¬ the business of the corporation.
Service,-Division of Loans and
sideration were proposals to inCurrency, Washington 25, D. C., or
At least one voting stockholder
to any Federal Reserve Bank or
crease
Congressmen's salaries
must be a member of the Ex¬
from $10,000 to $20,000, Cabinet
branch, -d
His stockholdings must
members from ,$15,000 to $20,000 change.
Although eligible for redemp¬
be percentagewise at least equal
and Supreme Court Justices from
to the interest now required to be tion Jan. 1, the bonds continue to
$20,000 to $30,000.
Although the
non-negotiable
until' six
held by an Exchange member who be
bill
provides
a
20%
increase
is a general partner in a member months after the formal ending of
."for offices or positions in the
wish

retention,

Executive

Branch," Senator Mead

expressed
would not
bers.

and others favor

t

the opinion that this
apply to Cabinet mem¬
i
'
id rddd: t I
.

■

i

:..t

ing to general

World

firm.

Non-voting
are

ters

not

stockholders

be

to the
were

or allied memapproved in the ,are

members

must

who

War

II

hostilities.

Bonds

amount of $1,112,536,347.70

outstanding on Get. 31. They

non-interest bearing.:

V! iVv

;

•vV>v'

'j'" ; "•
;

& FINANCIAL CHRONICLE

THE COMMERCIAL

2500

•>

Joint Palestine Study

The Financial Situation
r

It

in

and

13 in Washington and

a

remedy at first proposed was the insistence upon the vari¬
to
deliberate control, and where ous devices designed
indicated, reduction of t pro¬ "spread the work" would not
tional 100,000 Jews to Palestine, a«>
—
duction accompanied by a re¬ find place in the present pro¬
figure which Prime Minister Att- be taken in those countries to
distribution of income. " That grams as it does.
Of course, lee had previously been reported enable them to live free from
the remedy obviously poorly the political powers that be as considering too high, i
discrimination
and
oppression
,

leave

fits the

demands for the more

alleged condition, in¬
shortening of the
bottom appears at extreme
times to be scarcely related work week to the unions, as
to it, is but a reflection of the they do matters which defi¬
strange thinking of that time. nitely and usually directly re¬
strict output, and were de¬
But it was not long before
deed

at

signed in the first place to
oblige employers to hire more
programs became clear, and
men.
It is, nonetheless, plain
those
who had
advocated
them were obliged to wince enough that those who shape
current political policies and
tinder the '"economy-, of "scar¬
city" shafts which were di¬ presumably coin or control
the coinage of political slo¬
rected at them.
The plowing
nature of such

the defeatist

{

;

far from wanting

are

gans

under of cotton and the kill¬

ing of little pigs could not long sympathy with the demands
of the union leaders.
The ex¬
be good political fodder. The
planation doubtless is that
adoption of the Keynes-Hanmost" of the political leaders
sen
idea that the state itself
must

are

provide investment op-

unaware

of these under¬

portunities for the "savings" lying inconsistencies—and, in
of the community, indeed that any event, are much more in¬

-

The

White

statement

President

by

a

Truman

disclosing the issues involved be¬
tween the two governments lead¬
ing up to the formulation of the
plan for a joint committee. Fol¬
lowing is the text of the Presi¬
dent's

statement,

given by the

as

Associated Press;

)

must go

in

reason

the

in this way

much
of

nature

now

interested
the

assumes

—

as

invest¬

ment into which the funds

are

If

being preached.

one

of course,

thoughtful observers of eco¬
nomic
inter
relationships

pouted, so long
it is'
!something that tends to keep

never

would

or

could

assume

the

of

immigration

ate the situation.
A copy of my
letter to Mr. Attlee is being made
available to the press.
I continue

adhere to the

to

in that letter,

I

views

expressed

are

soufld

by

British

the

view of the Palestine problems in
the light of that examination and
other
In
in

relevant considerations.

view

this

that

of

intense interest

our

matter

such

aid

in

and

of

belief

our

committee will

a

finding

J

P TT (maJkers, Here the question is that of
„S r y ?
5! Placing consumers in a posi& °f sctfClty fand I tion to have what they al§ °
*
?° °n
„an ready much want. Again,' we
economy
of abundance—!
the abundance to be supplied muSt p0lnt 0Ut that no SUch
end is really promoted in so

Tri,
™

t

solution

a

lV,

™

indirectly by govsimple a way as merely rais¬
expenditures —
ing wages — even when pro¬
whether for leaf raking or
ductivity is increased and em¬
something more substantial.
or

e r n m e n

t

Whether the "investment" of
the government created
any¬

any rate

the

doctrine

;

makers

now

shout from the house
tops a
doctrine of abundance with

government guaranteeing the
abundance.

It is hot easy to understand
the
rationale
which
leads

these

same

political big-wigs
into this econ¬

to carry over

omy

of abundance certain rel¬

ics :,of

their

,

older

ideas

economic

of

scarcity, or at all
events of scarcity of economic
opportunity, but they have
obviously done so. Otherwise




lar

group,

of. wage earners
all the fruits of

should enjoy

problem
and

-

social

of

2.

settlement

To

.

.

well

therein

examine

of

these

for

as

prob¬

permanent

such

make

other

recom¬

mendations to His Majesty's Gov¬
and the Government of

ernment

the United States
essary

to

subject

as

immediate

conditions

examination

Paragraph

nec¬

the

meet

to

be

may

from

arising

under

2

above, by remedial
action in the European countries
in question or by the provision of

facilities

for

settlement

emigration

in

to\ and

countries

outside

Europe.
It will be observed

that among

the important duties of this quesmittee

will

the

be

task

of

ex¬

amining conditions in Palestine
as they bear upon the
problem of
Jewish immigration.
The

establishment of this

mittee

will

make

com¬

possible

a

prompt review of the unfortunate

prompt examination of questions

The situation faced by displaced
Jews during the coming winter

delay in this matter.

no

I

hope the committee will be able to

and

the

the

now

liv¬

'

Speed;

in

The

President's statement

.was

followed by the text of his letter
to the Prime Minister on Aug. 31,
1945:

"Because

of.;the natural

;

inter-'

of

est

in

present condition and future fate

Europe where they have been the

of those displaced persons in Ger¬

victims

in

of

secution

Nazi

and

taken

ures

those

and

the
or

Fascist

practical

per¬

meas¬

contemplated

to

of

ly

this

Government

who may

many

less

or

prove

Mr.

Earl

G.

in

the

to be state¬

non-repatriable,

sent

recent¬

we

Harrison

tc

inquire into .the. situation.

attracted to it.
A

"high con¬
economy" preach¬

ments of the
to go

day often appear
far beyond any of this.

They

seem to attain a sort of

adorationof

sumption for its
times

that the

how

to

as

own

con¬

sake.

It

if

they insist
public must be taught
consume

more

1

.

formerly the

was

Commissioner

and

and

of

Naturalization

the

now

representative of
Government on the Inter¬

governmental Committee

But the current

at

is

this

abstract

States

Immigration
and

Strange Doctrine

sumption

is

"Mr. Harrison
United

remain
for

not

"On the

on

Ref¬

ugees.
The United Kingdom and
the 'United States, as you know,

sound

a

where

I

me

tant

has

those

for

future

of

to
no

over

so

impor¬

have

of

known

concentration

decade

a

immigration

ties into Palestine.
"The

f;«

come

who

horrors

camps

return

the belief that

in

single matter is
for

who

to

origin.

of this and other

which

concur

other

they

understandable

desire

basis

information

number

of

is the

as

possibili¬

':,ri.V

•

such

persons

wfsh immigration to Pales¬

tine

who would qualify for ad¬
mission
there
is, unfortunately,
or

longer

no

fore

large

as

the

Nazis

it was be¬
their ex¬

as

began

termination
to

As I said
program.
in Potsdam, the American

you

people, as a whole, firmly believe
that
immigration into Palestine
should

be

not

closed

number

persecuted

Jews

cordance

with

and

of

that

should,

their

a

Europe'/s
in

ac¬

wishes,

be

permitted to resettle there.
"I

know

you are in agreement
proposition
that future
peace in Europe depends in large
measure
upon our finding sound

the

on

solutions of problems confronting
the displaced and formerly perse¬
cuted groups

is

of people.

meritorious

more

No claim

than

that

of

the groups who for so many years
have known persecution and en¬
:..Ar'

slavement.
"The

main

■

solution

appears to
quick evacuation of as
many
as
possible of the nonrepatriable Jews, who wish it, to
Palestine.
If it is to be effective,
such action should not be long
delayed.
- :
'■
1 ■ ■ £ - • ' ' v*;■

lie

in

the

"Very sincerely

yours,.

;;L ViIn

London, Foreign Secretary

Ernest Bevin stated, according to
Associated
Press
advices, * that
both Britain and the United States

the

interim

an

Jewish

submission
nent

settlement

of

question
of

solution

pending the
proposed perma¬

a

the

to

United

Na¬

tions

Organization.
He
asked
members of parliament "in this
crisis in the

world" not to pursue

racial- antagonism and
"We

have

had

so

that

me to keep it
order that I may

m

j*/SY

'

wars,

over

this

help

§aid;

many

much; bloodshed,

so

antagonism

"My dear Mr. Prime Minister:,.

-

,

do

favored

try.

allows

to

who

their countries of

to

been subjected to persecution, and

position

Jews

or

reasons

plight of the Jews in those coun¬
tries in Europe where they have
a

to

reasonable

4. To

countries

the

.

,

handling
as

migration into Palestine and the
absorptive capacity of the coun¬

conditions

well-being of the peoples
ing therein, *
■

—

±.

iterim
lems

States for ad

which

they bear upon the
Jewish immigration

as

of the United

ment

related to the rate of current im¬

which they had no
particular part in effecting. persuaded to manage some¬
to
want
to
consume
The public is due that tfeward, how
What these prophets
and under competition gets it. more.
Nonetheless the higher wage appear sometimes to be say¬
doctrines of the day have a ing is that we must teach
sort of superficial plausibility, ourselves to assimilate more
which enables one to under- and more of the goods and
stancLhow it happens that so services we are in a position
to produce —- in order that we
many followers can be at¬
may have the exquisite pleas-'
tracted to them
even
apart
ure of producing them for the
from the obvious fact that
.purpose.
It is a strange doethere are a great many in trine.
progress

make

to

His

of

be

ployers^^hkn; "afford^ higher the; community who have
wages. .Under an economy of good,, if selfish,.reasons to be

real competition there is no
thing particularly desired by
reason to
worry about unduly
the community appears to be
high profits, and ordinarily
a matter of
secondary interest no need to
suppose that high
—or
at all
events,> whether
the products of such activities profits will not be promptly
expended and thus create de¬
are
sufficiently prized by the mand for
goods
assuming
people to lead them volun¬
conditions
which encourage
tarily to pay what they cost is
such expenditure. There is no
apparently not given any con¬
good reason why any particu¬
sideration at all. At

and
to

h:W!X', accomplish its important task with
political, eco¬ the greatest

examine

and

Palestine

.

+

directly

To

nomic

economics.

recommendations

needs

v;

advised

was

1.

8

Paragraphs 1, and 2
by other relevant facts

circumstances

solution.

for

wish

are

the
com¬

tificates

g|f|!
pro-

under

and

Jews into Palestine would allevi¬

5.

general line of argument

or

Majes¬
ty's Government and the Govern¬

—that higher wages insure will be both humane and just, we
going through the mo¬
larger demand ior the prod¬ havei acceded to the British jsugtions, more or less, of work
ucts of labor, arid thus tend to gestiohv,;!;;^
?•
and drawing wages therefor.
.The;dtermsKnof reference - this
place an economy of abun¬ committee..has agreed -upon be¬
dance^ upon al 1 more certain tween the two Governments are
The "Switch-Over"

.

to
other

I
Aug. 31 bringing to his attention
i;he suggestion in a report of Mr.
Earl G. Harrison that the grant¬
ing of an additional 100,000 cer¬
rope,

not

im¬

be

petent witnesses and to consult
representative Arabs and
Jews
on
the problems of Palestine as
such
problems
arec afected
by
conditions
subject
to examina¬

Fascist

men

.The development of

will

greatly

solution for the future of Jews;
still in Germany and Austria,; and
for other Jewish
refugees who do

those

conditions

Palestine

to

and

persecution in Eu¬
wrote to Mr. Attlee on

their

of

countries outside Europe.
3. To hear the views of

tion

-

to be

migrate

who

or

by

above and

Nazi

of

even

not too

are

pelled

of'. Jewish

,

those who

wish

who

estimates

make

tion

terested in the political value Government that because of con¬
further and
of programs they design and ditions in Palestine it was not in
by compulsion if need be see
a
position to adopt the policy
that the "savings" of the com¬ promote.
recommended, but that it was
deeply concerned with the situa¬
munity were continuously in¬
Higher Wage Theories
tion of the Jews in Europe.
vested,
followed.
Precisely
The
official; interest
in
During the course of subse¬
how it happens that politi¬
higher wages is from a politi¬ quent discussions between the
cians
can
find worth-while
it suggested
cal viewpoint understandable two Governments,
investment
for. idle
funds
the establishment of a joint An¬
enough, and probably from glo-American committee of in¬
.when private : business can even
a
logical
viewpoint quiry, under a rotating chairman¬
•not is not well explained. The
somewhat less a mystery than ship, to examine the whole ques¬
answer really seems to be that
tion and to make a further re¬
some
of the other doctrines
it

to

and

Following the receipt of in¬
formation/from various sources
regarding the distressing situa¬
victims

contribute

....

released

House

the near future.
It is suggested
that the granting of an additional]
100,000 of such certificates would

Great Britain would participate

joint Anglo-American committee to examine the
whole Palestine problem, according to Associated Press advices. It
was reported that the British had suggested the creation of the com¬
mittee after President Truman had proposed admission of an addi¬
establishing

^
r.

Thursday; November 22, 1945

Planned by U. S. & Britain

States

>,

:.t

announced simultaneously on Nov.

was

London that the United

(Continued from first page)

*

-I

.*

racial

house

will

tinder check
find

a

solu¬

tion."

Britain's

labor government, he
is satisfied that the course
it plans to pursue on the Pales¬
tine
problem in the immediate
future is "not only in accordance"
with its obligations, but also is in

said,

the

best

and

interests, of both Jews
Britain
governs

Arabs,.

Palestine

under

a

the old League of
;

Nothing

mandate

mentioned

was

from

Nations.

about

national home for
the Jews in Palestine, the Asso¬
ciated Press added,
\
,r
a
establishing

a

have taken

an active interest in
the work of this committee.
./
"Instructions were given to Mr.

Harrison
into

inquire particularly
problems and needs of

the

the

Jewish

refugees among. the
displaced persons. • \ r
v

"Mr.

Harrison

the

American

but

visited not

spent some

British

zone,

in

zone

time

where

only

Germany,

also

he

in

was

the
ex¬

tended

every
courtesy by
the
Twenty-first Army headquarters.

"I

have

port.
tions
you

In
at

will

received

now

view

of

Potsdam

our

I

am

find certain

the

his

re¬

conversa¬
sure

that

portions of

report
interesting.;; I
am,
therefore, sending you a copy.
"I should

tention

McCIoy and Lovett Resign
It

to

to

like

to

the

conclusions

recommendations

call your

appearing

at¬
and
on

that

announced ;on

was

John

J.

mission

to

the European and Pa¬

In

accepting his resignation, Pres¬

ident Truman wrote,

to Palestine

the past five

be exhausted in

14

cific theaters, undertaken in con¬
nection with occupation problems.

the Associated

will

Nov;

Assistant

Secretary of War had submitted
his resignation to President Tru¬
man, effective Nov. 24, which the
President had accepted, without,
however, naming a successor to
Mr. McCIoy.
Robert A. Lovett,
another
Assistant
Secretary
of
War, has also submitted his resig¬
nation, but this has not yet been
acted upon, the Associated Press,
reported from Washington.
Mr.
McCIoy recently returned from a

the following pages—
especially the references to Pales¬
tine, a It aopears that the avail¬
able certificates for immigration
page 8 and

McCIoy,

rendered
to

me,

sor,

to

a

most

ray

and to

according to

Press:

"You

have

valuable service

lamented predeces¬
country during
eventful years."

your

,■

.A

Volume

162

Number 4440

Gen. Eisenhower

THE COMMERCIAL & FINANCIAL

be

never

a

inevitable.

war

asserted however

He

that, "there will
between

war

Great

Britain

and the United States,"
and, regarding the only other na¬
tion
in
a
position to compete
militarily with the United States,

declared* that he believed Russia's
be

to

of

friendship for this
country. "There is in Russia," he
said, according to the Associated
Press, "a desperate and continuing
one

for the lot of the

concern

with the United
The

of

text

with all the

States."

working details of the
Department's plan for uni¬

versal

military training, nor am

I familiar with the testimony

al¬
ready presented to this Commit¬
tee. Howerer, I am familiary with
the President's message and'with
the Wooldrum Committee report.
I

cannot

by

state

too

emphatically
with the recom¬

concurrence

mendations

v

contained

>

On the basis of my obligation
the

under

served

in

me

to

that

Americans

3,000,000

I

Europe,

Eisenhower's

Gen.

strongly urge their early adoption.
prepared .remarks, according to Upon the
expiration of selective
the Associated Press, was as fol- j
service we should be prepared to
lows:
I

and

that

sented

to

the

official

detailed

plans of the
being pre¬
by others. I hope

]War Department
you

are

will

allow me to speak, not
representative of the War
Department but as a citizen and
as a professional soldier to whom
has been given a peculiar oppor¬
tunity to participate in the great¬
est effort ever made by our citi¬
zen-soldiery. My personal views
are largely based on that unique
experience.
v
you
as

the

commence

understand

views

a

The

who

men

the victories

won

the armed forces in this war.

techniques which research and
development in the technology of
warfare are bringing forth at such
a rapid rate.
We must train them
to avert World War III, not to refight World War II.
:
I

Germany
because

were

of

unit-training
work

and

ability to

their

—

team.

as a

individual

their

The long periods

in the
United
States
and
in
England
were essential to the perfection of
this teamwork.
Thereafter, brief
in

spent

training

camps

battle-hardening, and
were
superb!
Certain

teams
phases of

our

believe

that

every
,

.

,

J™6* "J
of

mass

the

f

They are
more readily adaptable to combat
conditions and possess more vigor
and dash. Certainly; the technical
men.

services must comprehend a high

ProPortioij °f younger n*en rad¬
who
are capable of mastering the

ically new techniques of future
training are highly technical, warfafe.
Therefore, it is a mat¬
involving radar, signal communi¬
ter of necessity as well as fairness
cations, air operations, construe-1
to
add
increments of currently
tion, transportation and ordnance.
trained young men to the civilian
All this>work is interdependent,
reserve.
The alternatives are the
<and each part is vital to success.
criminal
sacrifice
of
untrained
All of it was minutely geared, to
young, men, or calling on unfair
an
equally complex schedule of
men who
tactical ground force movements proportions of older
have already done their duty. In
which required perfect unit-train¬
either event we would be without
ingAnd .above alL-timing.
the services of trained technical
Time has always been of the
specialists who will only be found
essence in warfare but never was
among the younger men;
*
it more essential than in our most
this

.

1

With the introduction

recent,war.
of

atomic and electronic warfare

jT have been jpr ivile^ed

sent

ta^epr^
in

States

United

the

re¬

a

astounding advances be-' sponsible / bbsition in the alrmed
ing made almost hourly in aerial forces/nf the;tUniteidt^alibhSv^lii
and

the

warfare, the tempo is

this

in geometric progression.

familiar

increasing
If war
comes to us again the fact seems
inescapable that we will not have
time to

units before

train

we

are

capacity
with

I am
intimately
the attitude of the

leaders of the other nations to the

armed forces of the United States.
This familiarity

assures

me

that

faced with the final issue of de¬

in their minds there exists no fear

feat

of

Certainly

victory.

or

it

motives

our

in

keeping our¬

—the

selves strong/ It is my personal
opinion that the greatest single
motivating force for world peace
today is the organized* military
potential of the United States—
its resources, its technological ad¬
vancement and
its s up e r-bly

we

trained manpower.

be unconscionable to

would

ble

on

fortuitous

a

gam¬

recurrence

of

the time to prepare bought by the
blood of our allies in 1917 and
in
*■

1942.
We must be

prepared on M-day
day the enemy strikes—or
may never
be prepared to

avert

defeat

at

the hands

of

be

promptly available and above
all our manpower must have al¬
ready been trained. This training
must be given in time of peace.
Without a standing army of pro¬
hibitive

size this

plished

by

reserve,

most
is

training

our

citizen

democratic

be

can

our

accom¬

civilian
The
do this

army.

way

to

by universal military training,

in which every

able bodied young
man is fitted to discharge his duty
to protect our freedom. This has
been

the

ultimate

solution

in

major military crisis this
country has faced. The. only dif¬
every

ference now, and

of

World

the great lesson

War II, is that

it must

be done before not after the first
shot is fired.

-

ft I understand that to be the issue
before this Committee. Although
the general plans, I have
not had time to familiarize myself
I know

/*■"?

.i}",




This

any

who uses against us the
weapons of the future.
Our wea¬
pons must be better than theirs
on
that day, our resources must
aggressor

at

but

its

rate,

unprecedented
potential for the

an

maintenance

of

tinue

as

peace

will

con¬

the world is con¬
vinced
of
our
willingness and
ability to vitalize it in time to
meet
any. threat ,■ of
aggression
from any other power/
so

long

is our greatest assurance
keeping the peace for which
we
fought. Far from being con¬
trary to the purposes and intent
of the United Nations. Organiza¬
tion, I consider it to be essential
This

of

to

the

tion.

success

of that

organiza¬

I know of no better or more

democratic

way

demonstrate

to

willingness and ability than
to adopt now a program of uni¬
versal
military
training.
It
is
eminently fair to our citizen army
who fought and won this war in
two ways: First, it is the best wayof assuring them that they did
not fight in vain; second, it will
our

.

j relieve them in the shortest oos-

| sible time of continuing to bear
the burden, as the current trained
J//

be faced.
sure

that

true Ameri¬

no

to take on
shoulders the awful re¬

own

sponsibility for actively prohib¬
iting all training and thus leaving
country defenseless and naked
before
a
future
enemy
armed
the

with

of that day.
But our fighting forces in war are
always made up of civilians, so a
failure to provide for the training

•

: >. :iJ

i

{

weapons

Besides

the

proposaj^for what

has had no compensating se¬
curity./This had become so seri¬
that unless some provision can
be arrived at in our negotiations
to require the union to recognize
imburse .the
company
for any, and fulfill a responsibility of its
damages it may suffer by reason own, the very future of the Ford
of violations of the provision pro¬ Motor Co* is at stake.
/
,
hibiting strikes and other; inter¬
"The company accepts the prin¬
ferences with production."
The ciple of union
membership for its
Associated Press advices added.
employes and collective bargain¬
The management letter said the
ing with the union representa¬
company currently is paying the tives. But if we are to reach

it termed

pany

"company security," the

Associated

Press

continued, the
Ford letter also proposed a pro¬
vision requiring the union "to re¬

ous

pro¬

highest wages in the car industry
and "will pay higher wages when¬
are sure

ever we

that

we can

them and still maintain this

sound

pany as
a
business."

and

duction efficiency essential to our

objectives

common

pay

in¬

must

we

sist upon guarantees by the union

com¬

against work stoppages and losses

growing

in

productivity."

It added that every dollar

of the
of the civilian reserve amounts to company's war profits already is Election of Directors of v
committed to post-war expansion
nothing less than condemning us
N. Y. Federal Reserve Bank
"and to gear our operations to
to such a state of helplessness. A
The results of the election of
large standing Army would cer¬ sharp post-war competition."
directors of the Federal Reserve
"The company agreed in 1941 to
tainly be much more objectionable
Bank of New York to succeed
the union shop and check-off pro¬
on all of those grounds even if it
Warren W. Clute, Jr., class A di¬
visions," said the Ford letter. "Its
were not economically impossible
rector, and Carle C. Conway, class
to maintain one. of sufficient size purpose in so doing was not only
B
director, whose terms /expire
to give the union the benefit of
without impoverishing the counmembership and financial secur- I pec. £1, were made known as foltry.
.
•
lows
on
Nov.
16
by. Beardsley
Roar^,ov
An aspect, of this whole" problerri ity, but to eliminate a great deal Wc nn
of friction, dispute and downright RumI, Chairman of the Board of
that deeply concerns me is that
the Reserve Bank/
'
industrial strife. / ,///;
1
of the rights and the best interests
Howard
A.r Wilson, President,
; ,"In return, the company was. as¬
of the young men destined to re¬
sured by" union ' representatives, Citizens National Bank and Trust
ceive
the
training.
I- wonder
that it would receive greater se-i Company of Fulton, Fulton, N. Y.,
whether any honest opponent of
curity and that i disturbances • of was elected by member banks in
peacetime training has any clear
the type then prevalent in other; Group 3 as a;class A director of
conception of the difference be¬
plants would .be avoided.if this bank; and Carle C. Conway,
tween the trained and untrained
"The peaceful relations have not Chairman of the Board and Presi¬
men on the "battlefield?
In terms
materialized. The experiment has dent, Continental Can. Company,
of the larger issue of victory or
been an,, unhappy one., The/ rec¬ Inc., New York, N. Y., was re¬
defeat comparison is scercely pos¬
ords show, for example, 773 work elected
by
member
banks, in
sible, because in modern war it is
stoppages since the signing of that Group 3 as a class B director of
not possible to win without train¬
contract in 1941,
this bank. Each was chosen for a
ing.
But in the more personal
"During this period, the cost to term of three years - beginning
matter of the individual's chances
for survival I should say that the the company of maintaining the Jan. 1, 1946.
•

'

combat

trained

times

three

least

soldier has
the chances

at
of

the untrained to live to become a

veteran!

/

have

I

mind

on

sincerely searched my
this, whole
problem!

Through the past three-and-a-half
years the picture of the progres¬
destruction,

sive

which

organization is being de¬

mobilized

which

necessity

our

of the army is composed

younger

method forced

a

a

would be willing

can

his

by

us

I feel

i

of

abuses

vent
must

success is possible only when

the

arguments as to
disadvantages or
benefits to be foreign to the main
issue. I feel completely confident
that the Congress can provide all
the necessary safeguards to pre¬
incidental

the

upon

combat

believe

I

fore,

Al¬

though the veterans of this war
constitute at this moment a splen¬
didly trained reserve, we must
keep it constantly and currently ;
reinforced by younger increments J
trained in all the most advanced

of Africa. Sicily

Italy, France and,
able to do so solely

training of young
a part of

did not form

who

men

Accept Responsibility

.

those

in

documents.

common

ahd they want to be friends

man,

man power

War

2501

CHRONICLE

Ford Demands Union

andtechnoidgital
advancement are "our greatest assurance of. keeping the peace for
which we fought," Gen. Dwight D. Eisenhower appeared on Nov. 15
before the House Military Afiairs Committee in support of President
Truman's request for universal
military -training, the Associated
Press reported from Washington, on that day. The General stated
emphatically that he did not con- »
—————-j
——
—■—sider another

A'.

civilian reserve, of defending the
peace/;w
' \
' •;? / " ;
';; ;• •
*;/ Gentlemen,: I have* Jhieard many
The Ford Motor Co., in a letter,.to hichard T. Leonard, United
arguments about the desirability Automobile Workers Ford director, stated that four years of a union
or
undesirability
of
universal
shop and dues check-off contract had not brought peaceful relations,
military service from a moral, ed¬ and insisted that the UAW affiliate of the Congress of Industrial
ucational and religious standpoint.
Organizations give "effective guarantees against work stoppages
These factors have always been of
and for increased productivity" by union workers/ This was indi¬
the greatest concern to me in the
cated ^Associated Press Detroi <S>
discharge of my functions of com¬
advices, Nov. 18, which stated that check-off system has been huge.
There is no, question but
mand.
thejFord company informed the Last year, for example, the com¬
that the sum-total df these values
uniom that
unless it recognized
pany
spent $2,814,078.36 in the
makes up the very essence of the
Dearborn
and fulfilled "a responsibility of
(parent
plant)
area
thing we fought to preserve—our its
alone to
collect these dues and
own, the very future of the
American way of life.
But the Ford
Motor Co. is at stake."
fees, and to pay more than 1,000
facts of today must be faced. The
union men in the company's plants,
/ Referring to the union's demand
preservation of our way of life in for
who spent all or part of their time
wage increases, the letter said,
a
world
which
twice
within- a
according to the Associated Press: handling union business.
single generation has fought to
"From
"We do not believe that this is
August, 1941, through
virtual
exhaustion /depends
October 1945,
the time to attempt to settle on
the company col¬
squarely upon the national secur¬
general
wage
increases.
They lected for the union in dues, ini¬
ity; That is a truism.
and
would have to be based on guesses tiation fees
special assess¬
I sincerely believe that the only of what our volume of
production ments, a total of $7,799,924.65.
"Last year the union's income
practicable way to assure the. na¬ and our costs are going to be. We
tional /security - is by peacetime feel a general increase such as through the check-off system was
military training and that this you propose would amount to a $2,050,563.71.- ..
.V / •
must be universal. No practicable
very heavy mortgage on the fu¬
:j"The result has been that / the
alternative, that I have heard of, ture of all of us—the Ford Motor union has had membership and
has ever been suggested. .There¬ Co. and its
financial security, but the com¬
employes alike."

Urges Military Training ~

Expressing the opinion that trained

Vjii,

mt A

war

civilization

of

before nie; I keenly felt the bur¬

responsibility

I shuddered

bore.

and Taylor of Senate Subcommittee on Mining,and
That They Will Introduce Bill to Repeal ,Gold
Nationalization Law and Restore Gold Coinage and Also Authorize

at the thought how

particularly

close

our own

President to Raise Gold Price.
It

and our own

people with the same

indescribable sufferings that came

peoples of Eurpoe. I know
if it had not been for the

to the

that

given us by the almost super¬
human-efforts of our Allies, we
would not have been able to mob*
ilize our resources or to train our
men to avert disaster.

time

know that the

I

weapons
gressors

nature of the

available to future ag¬
make it ridiculous to

hope that we will somehow mirac¬
ulously be given this same time

Our resources must be al¬

again.
ready
must
and

that

available,
be second

effectiveness.
we

technical
trial
have
to

to

must

be

resarch

mobilization,
a

weapons

our

in speed
This
means

none

preeminent
and

and

make

our

resources

indus¬

:n

we

trained force large

in

must

enough

and

announced on

was

*

- *

t

-

.

Nov. 13 by the Senate Subcommittee on
,

Mining and Minerals Industry that a new bill designed to permit free
circulation of gold will be presented to the United States Senate soon
by Senator Glen

Taylor (Idaho), for himself, and Senator James E.

Murray (Montana)./

beloved country came to being af¬
flicted with the same devastation

Announce

Minerals

brings was constantly

den -of the/terrible
I

Propose Free Girculalion and Coinage of Gold
Senators Murray

:

\

tion of

gold:

\

;

i

permit coinage
$50 gold piece.
will

It

1.

of a

of gold

3. It

will

authorize the Presi-

instantly available for our

needs,
Thus

we

will be a potent power

the peace, and in
position to act swiftly in our own
preservation if the tragedy of
war
again appears./ I do not see
how we can escape the inexorable
to

preserve

the fact that if we are
and maintain this rea¬
sonable and necessary position we
must have a trained reserve of
citizens in being. This means that
logic of

to

wea-

we

•.://it:'-

rK

attain

must train them in

■/'/' till /'3t»1;

peacetime.'
l* ? '<:

•

the price of'gold
above the present $35 per ounce

figure.

It will

permit persons tender¬
bullion to the mints to

ing gold

in

receive

return

either

therefor

currency/depend¬
his wish.
••
• •
;

coined gold or

ing

upon
Senator

,

pons

.

.

...

dent to raise
4.

provide for free cir¬
and the convert¬
ibility of gold with currency.
2. It will

culation

•

following changes m exist¬

Specifically, the bill provides for the
rules governing the circula-^

ing

E,

James

Murray*

co¬

bill, who is absent
from Washington on official busi¬
of the

author

ness,

mittee

of the

chairman
Senator

the

of

A

be

of

Subcom¬
Busi¬
as being
committee.

Industry

Senate Small

Committee

ness

of the Mining

chairman

is

Minerals

and

the

as

well

full

Taylor is also a member

subcommittee.

companion bill is expected to
introduced in
the House of

Representatives.^ by Congressman
Clair
Engle (California) in**the
near

future
.'.I

,q>
J

J

.

...

a'lN» J

2502

THE COMMERCIAL

and showed

The State ol Trade

31, 1945.

(Continued from page 2498)

this

in

but

0.2%

below

1,286

the

cars,

week, reaching 182.06
the

or

of 1944.
Compared with a
similar period of 1943, a decrease
of 9,754 cars, or

of

Nov.

on

started

was

index

closed

of

5.7%

over

a

Electric Production

—
The Edi¬
Electric Institute reports that

electricity increased
approximately
3,948,024,000

for the

with wheat and rye

season

1945,

selling at new highs for 20 years.
Tightness of supplies and the be¬

the

lief

kwh. in the week ended Nov.

10,

from 3,889,293,000 kwh. in
preceding week.
Output for
the week ended Nov.
10, 1945,
however, was 10.2% below that

foreign
requirements
would be much j
larger than the
trade had
anticipated a short
while ago were
leading factors in
the rise.
Heavy trading in oats

for the
corresponding weekly pe¬
riod one year ago.
~

/■

featured

Consolidated Edison Co. of New

York

reports

system
kwh.
in

176,200,000
ended

Nov.

14,

output
the

1945,

amounted

in

the

a

year

ples exceeding the supply in most

the

total

the
Government loan
purchase stocks thus far this

rose

on

a

and
sea¬

limited

very

scale due to the recent
sharp ad¬
in values.

Very little trading occurred jn
domestic wools in the Boston mar¬
ket last week, and few bids
were

filing of plans for numerous
large post-war building projects.
Aggregate permit values for 215
cities during the first 10 months
of this year

been

vance

by

the

has

son

year,

swollen

was

The movement of cotton

into

At New York
permit valuations
fell
66.0%
to
$20,486,894 from
when

and

markets.

totalled $174,000,000.

last

move¬

months, cot¬

were active with demand
for better grades of medium sta¬

May, 1930, when they

October

upward

markets

month, according to Dun &
Bradstreet, aggregated $161,851,437, the highest for any previous

$60,329,467 in

clearances

to inflation
speculative buying dur¬
ing the past week-end rose to new
high ground for the season. Spot
talk

last

month since

and

ment of the past few
ton prices responded

country,, except
over

corn

Hogs remained

at
ceilings
good.
Extending the

Permits issued in 215 cities

ago.

future.

near

firm

Atlantic, showing sub¬

stantial improvement

new

Flour business

were

October-

Volume of building permits rose
sharply during October, with all
of

of

noted
of

31.0% to $980,-

as

the

a

result

of

the

request

Commodity Credit Corpo¬

642,492,

ration

year.

up to
10% of their holdings of
domestic wools. Sales of
spot for¬
eign wools were slow.
Foreign

222

from
$679,656,089
last
New York with $181,526,-

for

'

the

continued

ago."

period,

under

a

year

wool

Paqcrboard Produc¬

in

There

reported

placed

—

few

were

orders

in South

Amer¬

ican markets by U. S.
buyers. Do-

capacity, against- ?. 97 V2 %•! in* the (. mestic wool 'appraisals for pur¬
chase by the CCC were
larger. A
preceding week and 91.3% in the
total of 6,199,158
pounds for the
like 1944 week,
according to the week
ending Nov. 3 brought the
American Paper &
Pulp Associa¬
aggregate appraisals for the sea¬
tion.
Paperboard output for the
son to date to
287,108,977 pounds.
current week was
97%, compared
Wholesale
with 97% in the
Food
Price
Index
preceding week
Attains New Peak—The
and 96% in the
Dun &
like 1944 week.
Bradstreet wholesale food
Business Failures
price
■

Decline

the

week

mercial

ending

and

Nov.

15

industrial

—

In

index

com¬

There

with

liabilities
outnumbered large

the

under $5,000
failuers for the first time
since
June. These small failures
jumped
from none last week to

the

week

more

the

just

than

ended

twice

the

and

Retail

$5,000

or

more

same

third

the

week's

over

one-

failures

and

than two failures.

No

the

the

Sales

phase
re-

cated

compared with three hrf
previous week and nnm/in
and

none^in

Wholesale

Commodity

Index—Reflecting
vances

of 1944.

Price

continued

in farm

ad¬

products, the daily
wholesale commodity price
index,
compiled by Dun &
Bradstreet,




of

distributors,

as-

corresponding week

period

same

"Hardware Age"

1

of

three-quarters

:

.

1944.

'

in

in September, .1945,

first

1944.

were more numerous
this

Five Canadian
failures were

the

year ago.

in particular lines.
A high
level of
better

quality

,

.

demand

for

merchandise

was

apparent. Cold snaps throughout
the country pushed fur coat vol¬
the previous week
coats continued to sell

selling items.

The heavy demand
for men's suits and furnishings
continued, raising the volume wel
a

year

ago.
_

.

,

Lingeries, suitable for Christ¬
gifts, was heavily purchased.

mas

Sales

volume

in

hand¬

women s

bags continued high and the pro¬
motion of gloves and scarfs stim¬
ulated sales.

Toilet articles, cos¬
metics, and costume jewelry were
fairly plentiful and much gilt
buying was done in these depart-

milouse
were

furnishings

department
active with china and
chiefly
in
demand.

very

glassware
Blankets

supply,
tresses,

increased

somewhat

in

while
stocks
of
mat¬
springs, and towels re¬

mained limited. I urniture dealers

reported volume under a year ago.
Hard goods stocks are increasing
with the reappearance
of such

things

re¬

-

wholesale

,

hardware

reporting

their

of

on

operations,

that

indi¬

an

average dollar
an /Y,€iage dollar volume
volume
?,e. me of 8% in September of

J

,•

this year from the same
month
last year.
Sales for the first nine
months of this year

averaged 1%

over

tories
a

that period
on

dollar

hand

as

value

in

of

those of the

same

of

1944.

Inven¬

Sept. 30 had

5%

more

than

date last year,

Posslb|®
for the

as

able.

"

Retail
over

with

even

fresh
in

food

last

fruit

some

again

volume

a year

,

about

was

ago and remained

week.v. Stocks 01
inadequate

continued

localities.

Some retaileis

limited

sales

foods,

while

canned

of

scarce

meat and
poultry were available in greater

^Retail

volume for the

estimated

was

over

from

at

country

7

to

11,0

Regional in¬
creases were: New England 5 to 9,
East 8 to 12, Middle West 4 to 9,
Northwest 6 to 10, South 9 to 12,
a

year

Southwest

7

ago.

to

volume

maintained at

last

week

level equal to
the previous week and was slight¬
a

ly above that of the corresponding
week a year ago.
Buyers continued
to
swell
the
large markets in
search of merchandise. The
supply
situation remained low in many
lines.
Deliveries continued slow.

New

order

volume

generally

in¬

creased.

the Federal Reserve Board's
dex for the week ended Nov.

in¬

10,
1945, increased by 13% above the
same
period of last year.
This
compared with an increase of 10%
in

the

four

weeks

sales
the

preceding week.
ended

increased

year

crease of

Retail
York

to

Nov.

by

date

For' the

10,

1945,
and for

12%

showed

an

in¬

11%.
trade

last

volume

week

in

New

stimulated

flocked to wholesale markets with
the object of obtaining merchan¬
dise

with

for

immediate

sale, but met

disappointment.

However,

orders on spring goods for Jan¬
uary-March delivery were placed.
With supplies at a low
level, the
system of allotments continues to
rule.
An
increase in wholesale

lraamg

«

buyers_otJhe

$

The

❖

several

»

fiscal

policy-mak¬

and spokesmen of the Admini¬

ers

stration

really ought to get to¬
Intra-government incon¬

gether!

sistency

is again
Chairman Purcells

SEC

,lg^^ony
demon¬

stration of

the paucity

of capital
financing in his address befote the
National Association of Securities
Commissioners

(published in -ul
in this issue of the Chronicle),
wherein he prophesied a continu¬
ation
of
the ..situation
existmg
since 1941, since when most of trie
$8

billion

of

corporate financing

his been

for refunding pui poses.
For this dearth of new capital issues

in

relation to the aggregate

of investment funds

seeking out¬
lets, has its causes rooted in the
Administrations Past
nective policies

taxation

on

^ Pr0

such matters

as

to

the

194532

of

used for both

Living Index is

periods.
Wage Rates

of Living

;

100

100

100

101

102

V
,

109 i

107

172

184

1920

200

*

*

Numbers—1914=100.

Index

Aver. Hourly

Cost

Earnings

of Living

100

100

104

101

115

106

132

117

149

.

124

158

126

(June i 161

Index

Number—1933
*

=

*

,

(July) 130

100.
#

Perhaps the general assumption

of

intense and prolonged boom

an

in consumer durable

goods should
skepticism.
huge sav¬
ings will not be translated into
consumption without the accom¬
panying desire to
spend
them.
Prohibitions against such spend¬
ing may be induced by a variety
of causes, as the fear of future
"be

with

viewed

The

some

existence of

mere

radical style changes, recent dem¬
onstration of the surprising long¬

evity

of

articles, and
post-war
buying with prospective income in
desire

lieu

of one's

Marriner Eccles' continuing wor¬

Recent surveys

.

ry

of

continuing
capital values.

appreciation

over

*

numerous

correlate

to

nest-egg of savings.
through the inter¬
conducted under
supervision of the Federal

view-technique
the

*

Reserve Board, to investigate the

*

Stock market inHation is cer¬ likely disposition of savings, re¬
vealed fear of the "rainy day" as
tainly enhanced also by
the strongest motive, education as
couragement
to
short
selling,
the next strongest, and the desire
caused not only by the SEC in
stigated trading rules, but caused for consumer goods far behind.
Purchases by
the $5,000-andequally by the letter and inter¬
over group will be held down
by
pretation of the tax law. F
the impact on them of the greatly
der the exclusion of
lanS"tei/ia increased taxes, with a consequent
profits on short sales fr°m
he

capital
gains
provision
which
gives the relief of a 25% tax ceil
ing on long-term profits, the re¬
sulting enormous contribution to
the tax "kitty" estops speculators
above the lowest brackets from
as a

market

'

t\*

J;'

so

stabilizer?

*•*

The CPA's action in ordering a
rise in the price of low-

15%

priced clothing is a welcome, al¬
though very small step in the
right direction. The modifitation
is

without

lowest

effect-on

all

but

surcharges, and with their inabil¬
ity to buy low-priced piece-goods,
manufacturers of shirts and un¬
derwear will still have to run a
a loss or
go out of
The
ers

*

United Automobile "Work¬

division

of

CIO

in

forma

a

statement

charges that the Ford
Company "has joined the conspir¬
acy of profit-swollen corporations
to perpetuate
wages.

not

.

.

present starvation
The Ford workers are

.

making enough

money to

live

The company cannot
deny that
Irrespective
of
wnetner
Ford is or is not able to make
on.

fact."

denial, this column is not
hibited. And our rebuttal

simply in

a

concurrent

rates

and

so

pro¬

consists

demonstration of
relative rises
the.

"discretionary spending power."
In any event a large proportion
buying will be handled on
the installment plan. A recent sur¬
vey
conducted
by
"The Wage
of the

Forum"

Earner

cost

in

of

the

wage

bviPg*

Whereas during World War One
and thereafter Until 1920 the 111-

question

handle
week's

Bank's

index,

department
sales in New York
City for
the weekly period to Nov.
10, 1945,
store

increased

13%

period

last

is

highlighted

above

the

same

This

com¬

of

pared with

year.

an

Re- date increased

by 13%.

a

by

this

consumer

jointly "bv
1,000
Although this
previous

plan

banks in 37 states.

arrangement

overcomes

obstacles

the

from
serve

banks' ; in¬

dealers

on

a

na¬

tionwide basis, it still leaves the
consumer finance companies with
the advantages of a cohesive group
of

to

spread

over-all

with uniform
policies, the ability
throughout their

units

operating

administrative

risks

nationwide

volume,

and

highly

specialized
consumer
"know-how." Despite competition
for consumer (not dealer) paper
from 8,000 of the 15,000 banks ex¬
isting in 1941, the consumer cred¬
it companies—as C. I. T., Com¬
mercial Credit, and G. M. A. C.—
in that year enjoyed their largest
volume

on

record.
*

*

.

Coincidentally

*

'•

I

with

Ad¬

our
formulation

o

f

plans

for turning on the propa¬
ganda heat on behalf of the Brit¬
ish "Loan" (?), word of still an¬
other step toward nationalization'
the

Atlantic,

comes

of

■*

as

initiation

finance

,

to who will
installment
finance

the

business

#

$

•s*

The

ministration's
: serve

MacFadden

of

Publications, Inc. resulted in 57%
of those questioned stating that
they would buy a home on credit,
51% in the case of refrigerators,
and 35% for washing machines.

ability to

production.

*

reduction from their 1941 level of

the

quality apparelmanufacWith the existing MAP

turers.

;•

*

150

137

v

128

119

-

1919—1,

across

Labor

Government

is

v

The

plan¬
ning to control farm production,
to fix crop prices more than a
year

before

well

as

to

their
direct,

;

Federal

Cost

Skilled Labor

the

increase of 13% in
and retail food sales was
noted, the
preceding week.• For the four
the past week over the
preceding
weeks ended Nov.
week as a result of the
10, 1945, sales
rising de¬
mand for holiday luxuries.
{rose by 13% and for the year to

According

1199385746
40

Cost

Bureau

and
labor-and-pnces
constituting the strongest bull
tip on the inflationary stock market flies directly 111 the face of M

and

*

Department store sales on a
country-wide basis, as taken from

b^

\6)

half"bo2^

-

Wholesale
was

stock prices.

functioning

11, Pacific Coast

9 to 13.

Tb^ stock

Southern Pacific was temporarily
suspended last week because ofa
wifd scramble of buying orders.
(The opening in Anaconda was
similarly delayed for a
in 1929 when the price was $125,
three years later
stock were scarce at $3 a snare.;

electric

irons, clocks,
and metal toys. Cameras and films
have become more easily avail¬

5%

with

over

in large quantities.
Women s suits
of all types remained as leading

above

(1)

leadm., bu
single piece of
paper is worth less than the surn
of its divided parts. (2) Count y
club conversation is no longer oc
cupied with golf gm or sex

upward; mink coats increased

by
cooler weather and Christmas
gift
the the first nine months of
1945
moved
into
higher
showed a 10% gain in volume shipping
ground. In the week many buyers
over

AS

ported,

Up

averaged 2% more than in Au¬
gust, 1945.
Cumulative sales for

well, retailers and manufacturers
were
the onl.y
groups in which
year than in

volume" for the

a

re¬

failures

Sales

ports,
in- its * every-other-week
market summary. Sales that month

for

manufacturing for a quarter.or
industry group
more

use.

Hardware

of 7%

week

other trade

ported

declines during
Advances occurred in

average

year.

accounted

since

no

gain

-

Retailing

peak

figure, at $4.15,

September, Jobber
Sales
Off—
Sales of independent retail hard¬
ware stores, in all
parts of the
United
States, had an

declined to a third those
3
week ago, five this week
as com¬
pared with 17, and were half
the
10 -occurring in the

iast

were

week.

in general

in

corresponding week of 1944.
hand, large failures
of

new

this

were

number

On the other

involving liabilities

further

flour, rye, oats and eggs.
The
index represents the sum total of
the price per pound of 31 foods

in

seven

The Nov. 13

a

two years
ago.

year ago.

failures

cent

reach

represents a rise of 2.5% over last
year's $4,05,' and of 3.0%: over the
$4.03 recorded on the like date

as

Small

1

to

1920.

failures

declined to the lowest number in
five weeks,
reports Dun & Bradstreet, Inc. Twelve concerns failed
compared with 17 in the pre¬
vious week and 13 a

rose

week

tories in most stores remained low

on

in Montevideo re¬
firmer prices in that

market.

Paper production in the
United States for the week end¬
ing Nov. 10, was 97% of mill

bids

tice Day volume was good; it was
slightly over a year ago.
Inven¬

,

buying

sulted

Paper and
tion

cumulative

23.2%

•/-

■

that handlers seek

wholesale and retail trade. Armis¬

market?

since

figures

a

and cloth

sharp increase

a

movement

as a

'tip—supposedly

slightly above a week
earlier; volume was moderately
above the high level of a year ago,
according to Dun &-^Bradstreet.
Inc., in its weekly review of

in volume

at

Large-scale Government
buying of flour was looked for in

the

last year, an increase of
3.6%.

sections

held

split-up is back

week

ume

a

wheat.

175,800,000
kwh.
169,700,000 kwh.
corresponding week of

the Middle

Corn futures

in

than

quiet with prices firmer, re¬
flecting
the
tightness
in
cash

electricity

in

the

more

was

to

Building Permits

for

from the country.

with

the

largest turnover

ceilings despite

comparing

174,500,000 kwh. for the cor¬
responding week of 1944, or an in¬
1.0%.

for

past.

year

week

crease of

compared

the

futures markets

of

with

Local distribution of

that.

following items

nortents of trouble ahead

stock

last

year

when it stood at 171.70.
Continuing their upward trend,
all grain futures, with few ex¬
ceptions, reached new high levels

Trade-

Wholesale

and

in living costs

rates,

(Continued from first page)
Are the

volume for the country as a who

a gain
previous,

week

a

Retail

better than in

were

outran wage
1939 the comparable
evidence a rise in real
wages. In the following tables, the
index of wage rates for the earlier
period applies to the construction
and printing trades, and is taken
from Statistical Abstract, U.S. De¬
partment of Commerce; the source'
for hourly earnings in the current
period is the U.S. Department of
Commerce; and the U.S. Labor
crease

Observations

Large shopping crowds, intent on
holiday purchasing, lifted retail

at

13, marking

over

rise

a

it

Nov. 10,

on

ago

the output of
to

since

The

1.0%

and

1.2% is shown.

son

highest
1932.

181.56

corresponding

week

t

ber, 1944, but
August, 1945.

Inc., moved sharply upward this

Thursday, November 22, 1945

2% gain over Aug.

a

Collections on accounts

receivable dropped from Septem¬

of American Railroads
announced.
This was a decrease of 13,744
cars,
or 1.6% below
the preceding week

year,

& FINANCIAL CHRONICLE

foods to be grown.

now

harvesting,
the

as

kinds' of

Volume

THE COMMERCIAL &

Number 4440

162

United States

The Atomic Bomb

of

pm.....

governments.

(Continued from first page)

'

enduring and effective pro¬
tection against the atomic bomb.
no

-V.

the. is that up to a certain rather adscientists
that
an
atomic
bomb vanced point the so-called knowhow of production is
was an immediate practical possi¬
the same
bility. At that time x was asked whether atomic energy is to be
stored in bombs of harnessed as
-to serve as the President's repi
:ii. resentative on the committee, un- power for a peaceful industrial
\
'/ .
,/y der the chairmanship of Secretary purpose,
And so it was necessary for the
of War Stimson, which laid- the
plans for the New Mexico experi- conferees to determine in the light
of this fact how soon information
became

clear

to

will

There

.

'Atomic energy is a new
ment that has been

He

.

may

and

the Atomic Bomb

Despite tills experience, I knovr
that i cannot presently evaluate
the true impact of this discovery

-

;

the future of the world. But
from the day the first bomb fell

upon

Hiroshima, one thing has been
to all of us: the civilized

on

i clear

4

survive

cannot

world

atomic

an

'

'

war.

This

:, I

yy y v

the

is

challenge

*

to

our

generation. ' To meet it we must
our minds be bold.
same
time we must not

the

At

let

t

imagine

wishfully that overnight there can
arise full grown a world govern-?
ment wise and strong enough to

protect all of us and tolerant and
^democratic enough to command
willing loyalty,

our

v?
'

If

the con-

to preserve

are

we

Hinuity of civilized life, we must
work with the materials at hand,

improving and adding to existing
until

institutions

'

of

C the stern test

j

of

Ministers

•

scientific

toric

;

undertaking

/

the

taken
to

that resulted in the
energy—have

atomic

of

release

i

first

step in

Operate armament

their

In

iv

a

des-

race.

statement

they

de-

their

^exchange

for

formation

I

basic

of

scientific in-

peaceful

purposes,

Much of this kind of basic infor-

v

y

ment

essential to the develop-

mation

y

atomic

of

has

energy

al¬

ready been disseminated. We shall

.continue to make such
these

addition to

In

immediate

the conference

proposals
'•

informa¬

available.

tion

recom-

mended that at the earliest prac¬

ticable date

commission should

a

under

established

-"fee

the

United

j,:Nations Organization.
This
J be done within sixty days.
be

would

It

the

duty

of

can

this

Commission to draft recommenda¬

tions for extending the interna.) tional exchange of basic scientific
t>;

information for peaceful purposes,
for the

,

uito the
its

use

control

in

of atomic energy

extent necessary to insure

of -the purposes and
principles of the Charter. The sug¬
gestion that we are using the

atomic
and of all other weap¬

weapons
ons
1

"

would recom-mend effective safeguards by way
"of

commission

inspection

protect

other means to

or

complying

states

the hazards of violations

against

and eva-

"sions.

"?

Such

forded

would be af¬
by having the work proprotection

a

char¬

of the inherent

one

democracy that

our

can

No' President in the absence of a

Con¬
gress could authorize an
atomic
bombing
without
running
the
risk of impeachment. 7 ■

declaration

No

of

who

one

the

by

war

the

knows

peace-

loving temper of our people can
believe that our Congress would

declaration of war con¬
trary to our solemnly undertaken
obligations tinder the United Na¬
a

tions charter.

'

•

'

to 1917 and
convincing

The history of 1914
of

1939

1941

to'

is

proof of the slowness of Congress
to declare war.
There is surely
no reason to believe that it would
be

we

in a fu¬

eager to engage

more

ture

terrible than any

more

war

have known.

While

we

necessary,

for

;

consider it proper and
therefore, to continue

time to hold these produc¬

a

need

trust, this period
unnecessarily pro¬

in

secrets

tion

:

be

not

applications of atomic en¬
and of other scientific dis¬

ergy
coveries.
we

is

This

objective

the

It is

our

and grave duty

purpose

other

to act in our relations with

with

nations

generosity
demands

that
of

age
officials of

No

have

and

atomic

the

us.

Government
called

boldness

the

ever

been

energy.

-

•

!

successful

our

manner

safety

a

or

the safety

The Application
v

of Atomic Energy

A very serious

question- arises,

however, when we reach the stage
exchanging detailed informa¬
tion about the practical industrial

of
•

application of atomic energy. The
thought to be borne in mind here

.v;




arid

other

of atomic weap¬

capable
will have
progressed toward achieving free¬

of' mass

weapons

destruction,

dom from fear.

we

-

Must Abolish War and Trade
V

Blackouts

•

But it is

atomic

We

.

not enough to banish

bacteriological warfare.
must banish war. •' To that
or

goal of humanity

great

rededicate

ever

our

we
hearts

must
and

strength. ?7
.
?
n *4
To help us move toward that
goal we must guard not only
against military threats to world
security but economic threats to
world

well-being.

Political

Our declaration of willingness
immediately the basic

scientific

information

and

our

plans for the setting up of a com¬
under
United
Nations
sponsorship have been sent by me
United Nations

to members of the

to

We

look

forward

their'cooperation.
No

than

one

appreciates more keenly
who have advanced

those

proposals that they repre¬
sent a very modest first step ift
what is certain to prove a long
and difficult journey.
I wish to
emphasize our conviction that the
creation and development of safe¬
guards to protect us all from un¬
speakable destruction is not the
exclusive

responsibility

of

in

of

for

markets

increase the

course

be

country.1'

we

American

products,
the dollars we

for in the long run
can

loans

foreign

.7 V

.

The countries devastated by the
war;-want

to

to

back

get

work.

They want to get back to produc¬
will

which

tion

them

enable

to

themselves.
When they
this, they will buy goods
from us.
America, ■>,. in helping
them, will be helping herself.
support
do

can

Nations

that

and
long

will not

not

one

another

,r

world, but

the

we can

Governments

to

make loans
credit

whose

is

good, provided such Qovernments
will make changes in commercial
policies which will make it pos¬
for

sible

us

to increase

been

applied by all nations in

see

the

for

goods

foreign

purchasing power to buy abroad.
Without aid they cannot see their
way to buy as they used to abroad,
not to speak of the
additional
things they need from abroad to
rehabilitate their shattered arid
devastated economies.
In
can

a

ply

a

so

the

same

many years.

They are based on the convic¬
tion that what matters most in
the buttressing of
competitive positions
of productive
employment, the increase of pro-1;
is

trade

not

increase

the

but

eral

situation of this kind what

th" liberal principles of trade

permanent prosperity.
draw in its belt.

It

can

of any

Or it can
reduce the

living of its people,
conserve in.every way the foreign
currencies that it finds hard to
standard

of

may
;

be made.

reasons

hunger

no

are

of

ness

nature.

and

poverty

for

longer the stingi¬
Modern

,

f

We intend to propose that, the
of all countries to main¬

employment

by the rule that
no
country should solve its ddmestie problems by measures that
would prevent the expansion of
world trade, and no country is
at liberty to export its unemploy¬
ment to its neighbors.
1

knowl¬

edge makes it technically, possi¬
ble
for
mankind
to
produce

Or-.

Trade

International

ganization y,-7 ;,va

intend

We

to

...

'

that an
organization

propose

trade

international

created, under the Economic
and Social Council, as an integral
be"

the

of

part

■.y

intend to

Nations

United

propose

that the

call

interna¬

conference

tional

the

of

structure

United Nations.

an

and

trade

on

employment to deal with all these

problems. ]

y

,

In preparation for that confer¬
ence
we
intend to
go
forward
with
actualy negotiations
with
y

several

trade

of

reduc¬
under the.

the

for

countries

tion

barriers

Reciprocal Trade Agreements Act.

negotiations will

Just when the

has

commence

prosperity.

The

that the

efforts

duction and the increase of gen¬

been

not

deter¬

announced
required by
the Act, and due notice will be
given in order that all interested
persons may be heard before the
mined.
in

will

They

usual way,

the

be

as

detailed offers to be made by

enough good things to go around.
world's present ^capacity to

United States

produce gives it the greatest op¬
portunity in history to increase
the
standards of living for all

will

be

for

the

the

The

peoples of the world.
Must Expand

World Trade by

Removing Restrictions

~

-

Trade between countries

the

of
the

is one

use

these

of

tremen-:

dously expanded productive pow¬

\ the; iwcfrld,
ipse this
opportunity to improve the lot of

er

imposed by Government decree;
by
private combination.
They must be removed if we are
to have full employment.

others

To

do

this it will be necessary

general rules
and to apply them in detail. We
shall shortly submit to the peo¬
ples of the world our views about

to agree upon some

these matters.

that com¬
embargoes be
few really neces¬

We intend to propose

mercial quotas and

restricted

to a

cases,

tion
in
avoided.

and that discrimina¬

their

application

be

in

Success

are

settled.

those

negotiations
preparation,

the, soundest

general conference we
hope will be called by the United
Nations Organization.
^ ;,
/
;
-

proposing

By

that the United

Organization appoint a
to consider the sub¬

Nations

■

greatest forces leading, to

fuller

sary

country do?

propose

consuming countries should have
equal voice with producing
countries
in
whatever decisions

We

liberal prin¬
ciples which my friend and pred¬
ecessor;; Cordell Hull, urged for
are

,

needs

to

an

post-war world.

These

her peoples if their countries; do,
war;.."y
-not learn to trade as neighbors
"
Britain's Dilemma
and friends.
If we are going to
Many countries, and not least
have a real people's peace, world
Great Britain, had to sacrifice
trade cannot be throttled by bur¬
their foreign
earning power to densome restrictions.
win the war. They have sold most
Some of these; restrictions are

Their

intend

We

An

discussing with Great
Britain the principles of commer¬
cial relations—principles we want

likely in the long run to be

tack.

ing the commerce of the world.
special problems of the great pri¬
mary
commodities
should
be
studied internationally, and that

trade

our

additbn to loans, lerid-lease
settlements, and the disposal of
our
surplus war materials, we

to

by in¬
restrict¬

from

action

In

have

that iomonopo-^"

bev prevented

ternational

with them.

or

present-day conditions and prac¬
tices,- largely growing out of the

and

should be guided

We cannot play Santa Claus to

the

do busi¬

good neighbors.
Trade blackouts, just as much
as other types of blackouts, breed
distrust
and
disunity,
Business
relations bring nations arid their
peoples clo3er together and, per¬
haps "more than anything else,
promote good-will and determina¬
tion for peace;
14
r
Many' of the existing restric¬
tions on world trado result from

propose

cartels

should

lies

to

tain full and regular

Not Santa Claus to World

;

try to
exclude one another from doing
business with other countries are
with

ness

intend

ternational

this

in

only

spent

excessive

opoly of imports to give

protection to their own producers.
We

particular

economic
warfare
cannot
exist
to¬
gether. If we are going to have
peace
in this world, we must
learn to live together and work
together. We must be able to do
business together.
peace

which- must be the basis

these

-stage.

will

make

lench

conditions

discrimination

trade.

needs, which will enable it to ap¬

a

Organization.

>'

completion of
each stage would develop the con¬
fidence
to
proceed to the next
The

the manufacture
ons

that will not

will act in

undermine

make

mission

the release of ^atomic

If we can move gradually but
surely toward free and unlimited
exchange of scientific and industrail information, to control and
perhaps eventually: to eliminate

It can seek to
borrow the foreign currencies it

.might be the sharing of knowl¬
edge about the raw materials nec¬

to

win

decision
fraught with more serious conse¬
quences.
We must act. But we*
to

upon

to exchange

essary

it to

great and pressing but they
lack
foreign exchange, that is,

i

recommened the wide
■exchange of scientists and scien¬
tific information. The next step
"

use

are

seek.

Seriousness in Situation

starting point the commis¬

sion might

may

longed.
•
'*>■■ yy
As experience demonstrates that
the sharing of information is full
and unreserved, it is to be hoped
of their foreign stocks and bonds,
that the exchange for peaceful
borrowed heavily abroad, let their
purposes can be extended to some
foreign commerce go, and
lost
and eventually to all the prac¬
ships and factories to enemy at¬
tical

of the world.;

yceed by stages.
As

a

fight a war only with the
genuine consent of our peoplewe

of

adaptable to mass destruction.

The

as

and people.

V It is

only for peaceful purposes,
elimination from pa¬

armaments

bomb

diplomatic or
military threat against any nation
is not only untrue in fact but is a
wholly
unwarranted
reflection
upon the American Government

-and for the

ctional

the;

support

atomic

he

Or

obligation.

Charter ; ofy the
United Nations we have pledged
ourselves not to use force except

adopt

willingness to make
immediate .arrangements for the

clared

t

international

Under '

effort

The Washington Agreement

>,

;

an

from

world

the

rescue

engineering

and

.

and

the his-

in

partners

safeguards can be
developed, in the form of interna¬
tional inspection or otherwise, the
secrets of production of know?
how must be held; in the words
of
the
President, as
a -sacred
trust—a trust in the exercise of
which we are already under defi¬

acteristics of

4

Britain

Great

-Canada—the

•

time.

our

meet

can

Accordingly, the President of
the United States and jthe Prime

-

•

they

Until effective

nite

it to destroy himself

use

removing

breed

ter and more abundant life.

possible.

answer was

man.

2503'

Whatever

for himself new dignity and a bet¬

disseminated.
one

given to

civilization which centuries

a

built.

concerning the practical applica¬
tion, of atomic energy should be
Only

instru-l

of sweat and toil and blood have

-

The Future and

protection

no

against bacteriological warfare, an
even more
frightful method of
human -destruction.
j

'

*4 ment.

be

in

nations
which

world

.

'

/

;

or

responsibility

nations of the world there will be

C.yi

it

Great Britain

the

unremitting cooperation of all the

■:^w

service,

all

or

is

a"; Without the united effort and

■*v:7

.i'i (

It

Canada.

CHRONICLE

FINANCIAL

commission

ject of atomic energy and b,y pro¬

posing that the organization like¬
wise call a conference to enable
nations to consider the problems
of international trade, we demon¬
strate our confidence in that or¬
ganization as an effective instru¬
mentality for world cooperation
and

world

peace.

first

the

After

;

World

War we

rejected the plea of Woodrow Wil¬
and refused to join the League
of Nations.
Our action contrib¬
uted to the ineffectiveness of the

son

League.

-

the

Now

-

v

situation

J

is different.

sponsored the United
Organization. We are giv¬
ing it our whole-hearted and en¬
thusiastic support.
We recognize
our responsibility in the affairs of
the
world.
We shall not evade
that responsibility.
V
With other nations of the world
we
shall walk hand in hand in.
the paths of peace in the hope
that all peoples can find freedom
We

have

Nations

and; freedom

fear

from

from

want.

Wants Tariffs Reduced
We intend to propose

that tar¬ President

and tariff prefer¬
eliminated.. The Trade
Agreements Act is our standing
offer to negotiate to -that end.
iffs be reduced

ences

be

Plant

Signs Aluminum
Disposal Bill
y ;

the time
Surplus Prop¬
erty Administration is prohibited
The

during

bill

extending

which the

that sub¬
from
disposing of
Government
general, should be the
aluminum plants was signed by
get, and transfer its foreign trade subject of international discus-,
President Truman,
Oct. 22, ac¬
by Government decree to coun¬ sion, and that subsidies on ex¬
to
Associated
Press
tries ; whose currencies are easier ports should be confined to ex¬ cording
to obtain*
ceptional
cases,
under general Washington advices. The Sur¬
In the latter way lies increased rules, as soon as the period of plus Property Act generally re¬
quires that in disposing of war
discrimination and the division of emergency adjustment is over.
We intend to propose that Gov¬ plants there can be no action un¬
the commerce of the world into
til 30 days after the Administra¬
exclusive blocs. ; We cannot op¬ ernments conducting public en¬
pose

exclusive blocs if we do not

help remove the conditions which
impel other nations, often against
their will, to create them.

these
trading blocs but we
cooperate with other

We must not only oppose

exclusive
must

also

We intend to propose

sidies, in

terprises in foreign
agree to
give fair
the
commerce
of
states,
their

trade should
treatment to
:

all

friendly

that they should make
purchases
and
sales on

purely economic grounds, and that
they should avoid using a mon¬

tion

has

reported to Congress on

plans. Under the new legist
lation, offered by Senator O'Maits

honey
(D.-Wyo.), according to
the Associated Press, the period

days in the case
plants and facilities.

has been made 60

of aluminum

THE COMMERCIAL & FINANCIAL CHRONICLE

2504

possible.

President Truman's Message & ]
On Federal Health Insurance

ternal

*

shown
the

of

the

war

had

health of all

condition.

But

last

same

Service

Selective

System has
There

which

understand;

can

us

if
Cites Defects of Draftees

•

-

•

;

30%

about

those examined.

all

of

The

percentage
lower in the
younger age groups, and higher
in the: higher age groups, reach¬
ing as high as 49% for regis¬
trants between the ages of 34
of

rejection

of

number

was

and 37.

and

and

partments

bill

distribution

of

most

of

local

doc¬

United

the

rate

recent

States

live

still

of

the

'

If

The United States has been for-?
tunate with respect to physicians,
In proportion to population it has

nities

must

places

large country in
and they are well
trained for their calling. It is not
enough, however, that we have
them in sufficient numbers. They
any

in

be

live

to

ics.

communities makes it diffi¬

some

rected

at

an

prevented

early age.

or

•

cor¬
;

y

■

Medicine has made great strides
in this generation—especially dur¬
ing the last four years. We owe
much to the skill and devotion of

the
of

medical

profession.

great- scientific

each

ever,

year

In

spite
how-

progress,

lose

we

many

f rom A preventable
and premature deaths than we lost
more,, persons

in

battle

from

or

during the entire
We
in

are

ductions
from

have

public

community
been

<

But these

come

1

less

and

benefits

in

medical

of

other

We

effective
all of

re¬

principally

health
services.

available to
the

*

proud of past reductions

death rates.

our

injuries

war

war.

have

making

our

people the
progress
in

cai^e and treatment of individ¬

uals.

\

'

Government Must Act
In the past, the benefits of mod¬
ern medical science have not
been

enjoyed b.y our citizens with any
degree of equality. ]Nor are they
today.
Nor will they be in the
future

—

unless

bold

enough

about

Government

is

People

with

incomes
medical

do

low

high incomes. The

or

areas

amount

or

tention

as

do

the

same

as

those

with

poor have more

not

get

the

same

quality of medical
those

who

live

in

new

should

all,

at¬

tion

economic bill of rights

mean

health

regardless
or

of

of

this

in

for
sta¬
the

iyJM'p-iv

.

We should resolve

health

security

residence,

race—everywhere

United States.

now

nation

that the

is

a

na¬

tional concern; that financial bar¬
riers

in

the

way

v
Unfortu¬
nately, unless we act rapidly, we
may expect,to see them concen¬
trate in the places with greater fi¬

nancial resources and avoid other

places, making the inequalities
even greater than before the war.
,

:

Demobili zed doctors cannot be

of

attaining

health shall be removed; that the




gains

3.

The third basic problem con¬
cerns
medical research and pro¬
fessional education.

we

is

fessional

ahead of them pro¬

opportunities, and

Inequalities in the distribution
of medical personnel are matched
by

inequalities in hospitals and
other health facilities.
Moreover,
just

too

few

hospitals,

clinics and health centers to take
of the people
United States.
proper

care

even

the

national

The

of the

areas

minimum

standards

of

professional associations.

deficiencies

in

severe

and

rural

in

have

cannot

long recognized

are

and

those

especially
semb-rural

cities

that

be content with what

already known about health

disease.

We must learn
more

about

or

and

un¬

health

and

how to prevent and cure disease.
Research — well directed and

Hospital Shortages

are

We

derstand

eco¬

nomic assurances.

there

in

where

continuously

supported

—

can

do

much

to develop ways to reduce
those diseases of body and mind
which now cause most
sickness,

tuberculosis.

And

do much toward

research

teaching

to

keep well and how to
healthy human life.
; Canper is
among; the
causes

for
a

of death.

leading

It is responsible

160,000

over

recorded

deaths

year; and should receive special

have the National Cancer Insti¬
tute of the Public Health
Service,

•I want to
emphasize, however,
that the
basic problem
in this

we

field cannot be solved merely by
building facilities.
They have to
be staffed; and the
communities

and

to

be

able

to

pay

services.
Otherwise the
cilities Will be little used.

^2. The second basic

for
new

the
fa¬

Though

need still

search

coordinated

re¬

the cause, prevention
of this disease. We need

on

cure

moro

more

already

we

financial

search

and

support

to

for

re¬

establish

special
clinics and hospitals for diagnosis
and

treatment

of

the

disease

es¬

pecially in its early stages.
We
more physicians for
the highly specialized services so
need to train

problem is

the need for
development of pub¬
lic health services
and maternal
and child care. The
Congress can
be
justifiably proud of its share
in making recent
accomplishments

essential

for effective

cancer. ■.J

'v

control

p;""

Mental Cases Large

There

is

also

of

"";"
•

special need for

to

been

disabled

>

many
of them
be disabled for

remain¬
*

•>

year four or five hundred

million

working
days
are
lost
productive employment be¬
of
illness
and
accident

mental-disease

need

out-patient clin¬
services

more

for
we

number

of-days lost because of

on the average
during the
ten years before the war.
About
,

nine-tenths of this enormous loss
is due to illness and accident that
is not directly connected with
ployment p and is therefore

tant

Also,

have many
trained and qualified doc¬

more

we must

tors in this field.

It

is

done

clear

our

have

not

peacetime

for

we

in

research

in view of

and

that

enough

medical

and

education

Iaws«V.::i$\

These then

not

-• *-.p •

■

the five impor¬
which
must
be

are

problems
solved, if we hope to; attain our
objective
of
adequate
medical

care, good health, and protection
from the economic; fears of sickli¬
and

ness

disability.

our enormous resources

Program for Congress

national interest in health

progress.

The

research

pays

dends.

em¬

covered by workmen's
compensa¬

tion

If

divi¬

enormous

any

doubts

this,
think of Penicillin, plas¬
ma, DDT powder and new reha¬
bilitation techniques. one

To meet these

invested in

money

let him

ommend
a

problems, I rec¬

that the

Congress adopt

comprehensive

health

and

for

program

moderij

the

nation,

consisting

of five major parts—
which contributes / to ail
the others.
each of

Individual Cost Prohibitive
4. The fourth problem has to do

First:

high cost of individual
medical care.
The principal rea¬
son why people do not receive the
care they need is that
they can¬
not afford to pay
dividual basis at

for it
the

on

in¬

an

time

they

Construction

of

Hospitals

and Related Facilities

with the

The Federal Government should

provide financial and other assist¬
for

ance

needed

the

construction

of

hospitals, health centers
medical, health and re¬

and other

habilitation

facilities.

With

This is true not only for
needy persons. It is also true for

help of Federal funds; it should

a

be possible to meet deficiencies in

need it.

large

proportion

self-supporting
In

of

normally

persons.

hosiptal

,

the

aggregate,
all
health
services—from pubile health agen¬
cies, physicians, hospitals, den¬
tists, nurses and laboratories—
absorb only about 4% of the na¬
tional income.
We can
to spend more for health.

afford

is only an average.
It
is, cold comfort in individual
cases.
Individual
families
pay
their individual
costs, and not

with

economic

disaster.

Many
families, fearful of expense, delay
calling the doctor long beyond
the time when medical
do the most good.

care

would

now

in

most of

nearly

all

of

our

our

cities and

rural

Each of

work

of

knows doctors who

endless days and
expecting to be paid

never

their

services

because

many

their

patients are unable to
pay.
Often the physician spends
not only his time and effort, but
part of the fees he has col¬

even

lected from patients able to pay,
in order to buy medical supplies

for those who cannot afford them.
I

am

sure

that

there

are

thou¬

sands of such

physicians through¬
They cannot,
and should
not, be expected to
carry so heavy a load.
out

our

with loss
ness

of

financial
not

aid

only

where

should

to

problem has to do

earnings when sick¬
Sickness not .only

doctor

bills;

it

also

cuts

have.

Economic

oM

facilities'

•

In

to
we now
•

-

an

Effect

average

7,000,000
Kxr

of Disability

day

there

persons

ciolrnoco

nr

J

<pp;

carrying out this

there

should

be

program,
clear division

a

?

of

responsibilities
between
the'
States and the Federal Govern-'1;
ment.

the

The States,

Federal

localities and;

Government

should;

share in the financial responsibilities.
The
Federal * Government
should
these

not

construct

or

operate

hospitals.
It should, how¬
lay down minimum national

ever,

standards

for

and *

construction

operation, and should; makesur&p:
Federal

funds

Federal

aid is needed

and

allocated

are

areas

approving

projects where *
most:'

In *

State

plans and indi¬
vidual projects, and in fixing thenational
standards, the Federal"
agency should have the help of a >
strictly advisory body that include$ both: public and profess ^
sional members.

^

Prevent Disease

.

emphasis should

Adequate

so

thllirV

are

disthat

,

;

be p

to facilities that are par- >
ticularly useful for prevention o£o

given

diseases

;;—

physical

—

tion

of

ties.

It

mental:
and

various

should

well

as

as /

the coordina-

to

kinds, .of

p

facili-p

be

possible to go v
a
long way toward knitting to-.;,
gether facilities
for prevention
with facilities for cure, the large
^
hospitals of medical centers with
the

smaller

the

institutions

for

-

sur-,^

the facilities forp
civilian population with the

rounding

areas,

facilities for veterans.
The

general policy of Federal-.

/

State partnership which has done
so
much to provide the magnifi-^,
cent

States

highways
of
the
United M
can be adapted to the con.

struction of hospitals in the com-

munities which need them.
Second:

Expansion

Our

of

Maternal

Health Services.

about

available'

but ^also
modernize those

Health,

income.

On

be

needed,

or

<

new

build

...

strikes..

brings
off

country.

The fifth

5.

so

both

areas.

through

nights,
for

us

for

—

we

taxpayers' money in the
form of free services, free clinics
and public hospitals.
Tax-sup¬
ported
free
medical
care
for
needy persons, however, is insuf¬
in

facilities

services

to those

low

use

ficient

health

the

prevention and cure
.can be accessible to all the pebpl^ Federal

that

For some persons with very
income or no income at all

and

that modern

large

But 4%

can

how
^prolong

srreat strains
ties.

have

to, institutions.

more

more

We

us

attention.

community facili¬

need

disability and premature death- This deficiency cannot be met by
diseases of the heart, kidneys and private charity or the kindness of
arteries, rheumatism, cancer, dis¬ individual physicians.
eases
of childbirth,
infancy and
Plight of Doctors
childhood, respiratory diseases and

changes in population have placed
on

admitted

reducing our maternal
and infant mortality, in control¬
ling tuberculosis, venereal disease;
malaria and other major threats
average costs.
They may be hit
to life and'health,
We are only
by sickness that calls for many
beginning to realize our poten¬ times the
average cost — in ex¬
tialities $in
achieving
physical treme cases for more than their
well-being for all our people,
f annual income.
When this hap¬
Research Essential
pens they may come face to face

be able to

see

con¬

trols—have become comparatively
rare.
We must make the same

assigned. They must be attracted.
In order to be attracted,
they must

our

cities.

Our

ing. biv^a large scale,

moderate

sickness, but they get less medi¬
cal
care.
People who live in
rural

tors, and of the tens of thousands
of other professional personnel in
the armed forces is now proceed¬

15,000,000 people, have either no
local hospital, or none that meets

get

attention

for doctors
who practice there to make a liv¬
ing.
p pp.\.
pipVP/ !'■
£ The demobilization of 60,000 doc¬

something

do

not

if not impossible

About 1,200 counties, 40 % of the
total in the country, with some

it.

to

cult

for which there are effective

than

more

disabled work¬

years, and some for the
der of their lives.

down.

.

be

occupy

these

already
months;

continue

Every

early diagnosis, and especially

•

can

will

need much more research to learn
how to prevent mental break¬

.

which

six

strikes

hospitals,

through

In addition, after actual induc¬
provision of safe water systems,
tion, about a million and a half
sewage disposal plants and sani¬
had to be discharged from
tary facilities.
Our streams and
the Army and Navy for physical
rivers must be safeguarded against
should
be located
where their
or mental disability, exclusive; of
pollution. In addition to building
services are needed.
In this re¬
a sanitary
-wounds; and an equal number
environment for our¬
had; to be treated in the armed spect we are not so fortunate.
selves and for our children, we
The distribution of physicians
forces
for
diseases
or
defects
must provide those services which
in the United
States has been
which existed before induction. ;
prevent
disease
and
promote
grossly uneven and unsatisfac¬ health.
/
Among the young, women who
tory. Some communities have had
Services for expectant mothers
[applied for admission
to
the
enough or even too many; others and for
Women's Army Corps there was
infants, care of crippled
have had too few. .Year by year or otherwise
similar disability. Over one-third
physically handi¬
the number
in
our
rural areas
of those examined were rejected
capped children and inoculation
has been diminishing. Indeed, in
for
the prevention
of commu¬
for physical or mental reasons.
1940, there were 31 counties in nicable diseases are
These
men
and women
who
accepted pub¬
the United States, each with more
lic health functions.
So too are
were rejected for military service
than a
thousand inhabitants, in
are not necessarily incapable of
many kinds of personal services^
which there was not a single prac¬
such as the diagnosis and treat¬
civilian work.
It.is plain, how¬
ticing physician.
The situation ment of wid
espread infections like
ever, that they have illnesses and
with respect to dentists was even
tuberculosis and venereal disease;
]■ defects that handicap them, re¬
worse.
A large part of the population to¬
duce their working capacity, or
One important reason for this
shorten their lives.
day lacks; many or. all nf these
disparity is that in some commu¬ services.
1 It is not so important to search
nities there are no adequate fa¬
Our success in the traditional
the past in order to fix the blame
cilities for the practice of medi¬
public health sphere is made plain
for these conditions.
It is more cine.
Another reason—closely al¬
by the conquest over many com¬
important to resolve now that no lied with the first—is that the
municable diseases. Typhoid fever,
: American
child
shall
come
to
earning capacity of the people in small
pox and diphtheria—-diseases
adult life with diseases or defect
men

for

among those working or looking
for workr-about forty times the

We

healthful

made

which

have

of their) lifetime.

cases

of

ers

cause

cases

that

agree

disabled, would be working or
seeking employment.•> More than
one-half

from

progress

the national
health
must
be
improved, our
cities, towns and farming commu¬
we

period in the

some

about their usual

go

these, about 3.250,000
who, if they were not

—practicaly all of it coming out
of taxpayers' money.
Each year
there
are
125,000
new
mental

in

nation.

whole

mentally

Of

r

persons

one-half of the hospital beds, at a
cost of about $500,000,000 per
year

in devel¬
oping such service, it would take
more than a 100 years to cover

personnel — doctors, den¬
tists, public health and hospital
administrators, nurses and other

than
world,

many

communities lacking full-time lo¬
cal public health service.
At the

adequate health service i3 profes¬

the

skeleton

of

in the United States who

illness for

are

are

million

tasks,

Mental

of these have
organizations, and
approximately 40,000,000 citizens

sional

more

units,

two

they cannot

A great many of these
persons
would be helped by proper care.

counties

only

hospitals.

experts.

tal

maintained by
and other

are now

18,000

some

ill¬

doubt that

no

least

at

are

course

Although local public health de¬

with the

and

done

ill, and that as
many as ten million will proba¬
bly need hospitalization for men¬

Only Skeleton Organization

vigorously

has to do

there

communities,.

One of the
important requirements for

tors

are

problems

economic

our

The first

1.

examined and

was

attack

persons

;•

.

have

about mental
Accurate
statistics

lacking, but there is

rural areas; but it
is true also in far too many urban

rights.

000,000 male registrants between
the ages of 18 and 37 had been

service

must

we

But

true among our

deserves

basic

five

are

nesses.;

diseases

We

pitifully little

large needs remain.. Great areas
of our country are still without
these services.
This is especially

would reach the health ob¬

we

jectives

i; As • of April 1, 1945, nearly 5,-

classified as unfit
for military service* The number
of
those
rejected for military

citizens

Basic Problems

brought it forcibly to our atten¬
tion recently—in terms which all
of

its

mental

on

abnormalities, y-

programs

tributions to national health.

the help of all the nation.,

the

health

child

already have made important con¬

(Continued from first page)
statistics

research

Public health and ma¬

and

Thursday, - November 122, 1945

programs

4

'

and
>

*4

j t,

.

t.

Public

?

Child'

'

?

for public health

and related services should be

en¬

larged
and
strengthened.
The
present Federal-State cooperative

-

.

jVolume
t

health

162

Number 4440

"

deal

programs

with

THE

gen-

f.eral

public health work, tuberculosis and venereal disease
con-~

>

t
*

trol,

maternal and child health
services and services for
crippled
children,
>./'.■■■■/

institutions. Medical research
should be encouraged i and

These programs

^/developed in
the

i

and

war

were

the

10

especially
before

years

have been

extended

Vin

some
areas
during the war.
-They have already made impor¬

tant

j

...

*

contributions

health,

a

rural

.L

to

national

but

reached

7they

they have not yet
large proportion of our

and, in many cities,
only partially developed.

areas,
are

•,-'?V*:No

in

area

$ continue

ices of

to

the

nation

should

be

without .the serv¬
full-time health officer

a

rand other essential personnel. No
area
should be without essential

,

also,

order

sup¬

and

ported in the Federal agencies and
by grants-in-aid to public and
non-profit private agencies.

i

vi,>r

COMMERCIALS FINANCIAL CHRONICLE

In
of

my

to the Congress
I made various

message

Sept. 6,

1945,

recommendations
Federal
cal

research

research

—

for

general

a

Medri

program.

dealing

with

the

broad fields of physical and men¬
tal illnesses—should be made ef¬

fective

for

stable

doctors

where.

continue"

to

Medical

istrative
vide

health

services

ices

-»/-health
>"

No

health

maternal

as

be

serv¬

and

child

carer*

Hospitals,

,

should

area

community

such

clinics

and

-

health

-centers must be built to meet the
needs of the total

-

population, and

'must

make adequate provision for
•the safe birth of
every baby, and
ibr the health - protection of in¬
fants and children.

Present laws

/

,

.public
and

relating to general

health,

and

childhealthy

to

maternal

have

built

a

solid foundation/ of Federal
coop¬
eration with the States in ad¬

ministering
Services.

community

The

the

wives

men-r-a

and

infants

of

service

great wartime service auby the Congress — has

materially

increased

the

experi¬

of every State health
agency,
has provided much-needed

ence

and

'dorev So too have other wartime
programs such

control, industrial hygiene, malacontrol, tuberculosis control
other services offered

in

war

Essential communities.
Financial

Aid

to

; The Federal Government should
cooperate
by
more
generous
grants to tfoe> .States than are pro¬

vided under, present laws for
pub¬
lic health services and for ma¬
ternal and child health care.
The program should continue to
be partly financed by the States
themselves, and should be admin¬
istered by the States.
Federal

grants should be in proportion to

should
with

also

the

expenditures, and
in <. accordance

vary

financial

ability of the

respective States.
The health of American

chil¬

dren, like^ their education, should

foe recognized as a definite
public

responsibility.
In

the

conquest

of

dis¬

many

prevention is even more
important than cure.
A * welleases,

roun ded

national health program

should, therefore, include system¬
atic and widespread health and
physical education and examina¬
tions, beginning with the young¬
est

children

community
cal

and

and

extending into
organizations. Medi¬

dental

examinations

school

children

quate.

A preventive health

are

of

inade¬

now

pro¬

to be successful, must dis¬
cover defects as early as possible.
We should, therefore, see to it
gram,

that

health

our

pushed

most

youngest

programs

are

vigorously with the

section

of

the

popula¬

Of course, Federal aid for com¬
munity health services—for gen¬
eral public health and for moth¬
and children—should

comple¬
ment and not duplicate
prepaid
medical services for individuals*
proposed

by

the

fourth

recom¬

mendation of this message.

/Third:

sibilities for high grade medical
services and for continuing prog¬
ress.
Coordination
of
the
two

is

programs
to

obviously

efficient

assure

eral

funds.

medical
health

use

necessary
of Fed¬

Legislation covering

research

in

a

national

should

program

provide

for .such coordination..

Fourth:

Prepayment

of

Medical
•

,

-

j.

Everyone should ha ve ready/ac¬
to
all
necessary,
medical,
hospital and related services.

cess

I recommend

solving the basic
problem by distributing the costs
through expansion of our exist¬
ing compulsory social insurance
system.
This is not socialized
:

<

,

Everyonewho carries fire
knows

surance

is

averages

how

made

the

to

law

work

so

in¬
of
as

to

spread the risk, and to benefit
the insured who actually suffers

If instead of the costs
of sickness being paid
only by
those who get sick, all the people

tionally, policy

and

Medical

Research

the key¬

and

Subject

created

would

insurance
funds thus

enable all who

do

fall sick to-be adequately served

without

A

required prepay¬
ment would not only spread the
costs of medical care, it would
also prevent much serious disease.
Since medical bills would be paid

insurance

the

by

would

when

fund,

often

first

be

signs

doctors

consulted

of

disease

instead of when the disease

occur

has

more

the

become

serious.

Modern

undertake

Education

and

such

would

living

a

should

be

insurance

an

include

wage

themselves, professional

families.

and

persons

should

groups

be

covered

through

appropriate
premiums
paid for them by public agencies.
Increased
Federal funds should

doctors

also

should

be

be

adequate,

choose

should

their

remain

free

expenditures
made by the States in
paying for
medical services provided
by doc¬

to

physicians and

own

hospitals.

The removal of finahbarriers between patient and

cial

tors,- hospitals
cies

enlarge the present
freedom of choice.
The legal re¬
quirement on the population to
sion

over

decide

compul¬

no

services

first

$3,000 of earnings in a
It might be well to have all

year.

patient
heeds. People will remain free to
obtain any pay for medical serv¬
ice outside of the; health insur¬
ance system if they
desire, eyen
though they are members of the
system; just as they are free to

for

premiums,1 including
health, calculated on a

what-higher
$3,600..'
A

broad

total

private in¬

come/

re¬

of

from

pa¬

eral

They must be; allowed/to
decide for. themselves/ whether
they wish to participate in the

participate in the
extent they
case they must con¬

whatever

In any
to retain

wish.
tinue

their

tive independence.

administra¬

'

Voluntary organizations which
provide health services that meet
reasonable

standards

of

quality

should be entitled to furnish serv¬

insurance

ices

under

the

and

to

reimbursed

be

system

for

total
ji

them.

-

a

in medical and related fields, and
to encourage and support medical

^'

research.

>:'&>>■

Professional; education
strengthened

where

should

necessary

through Federal grants-in-aid to
public and to non-profit private

■..

/.




con-

Cash

Benefits

Urged

Insurance against loss of wages
from sickness and disability deals
with

cash

with

services.

benefits,

ordinated

It

with

rather

has

the

to

than

be

other

co¬

cash

benefits under existing social

Such

systems.

surance

tion

should

be

in¬

coordina¬

effected

when

other social

security measures are
shall bring this
subject again to the attention of
the Congress in a separate mes¬
re-examined. ; I

security.

strongly urge that the Con-.,
give careful consideration to
this program of health legislation

fund

Y

now.

;

-

the

to

in

.

will

such

care

cept

for

armed

and

forces

hospital

longer be eligible for
as a matter of
right ex¬
their service-connected

no

disabilities.
tinued

our

the

medical

best

care,

,
- '
veterans,

; ./

Many millions of
accustomed

They /deserve

adequate

and

sive health service.

con¬

comprehen¬

And their de¬

pendents deserve it, too.
/
/
By preventing illness, by assur¬
ing access to needed community
and personal health
services, by
promoting medical research, and
by protecting our people against
the loss caused by sickness, we
shall
strengthen
our
national
health, our national defense -and

should

insurance1

economic

our

productivity.
We
the
professional
and economic opportunities of our
shall

on

how much

revenues

is

pre¬

from

increase

-

physicians,
We

shall
of

dentists
increase

and

the

nurses.

effective¬

hospitals and public
We shall bring
our people.
:
We need to do this especially at

ness

our

health
new
•

agencies.
security to

this time because of the return to
civilian life of many doctors, den¬
tists

gen¬

matter for

a

the

young men and women:
■

.

,

strengthen the nation to meet fu-'

they have received

in peacetime
The payments of the doc¬

years.

and

the

lems; and
important

doctors would

be spared
uncertainty of
from
individual

fees
patients.
- The
same' assurance
would apply to hospitals, dentists
and nurses for the services' they
render./
'
•
Federal aid in the construction

of

hospitals will be futile unless
is current purchasing pow¬

there
er

that

so

people

can, use

Doctors

drawn

sections

to

them without

they
costs

can

with

sure

which

living.

a

be

need

that

some assurance

make

can

nation-wide

these

cannot

Only

a

spreading of sickness

supply

such

sections

and sufficient purchas¬

Voluntary

and social prob¬
shall make a most :
contribution
toward

we
.

freedom from want in

the annoyance and

collecting

economic

ture

tors^ Jbills^ wbuld be guaranteed,

hospitals.

'

_

care

the

and

through

and
nurses,
' particularly
/■'
/
Y
Appreciation of modern achieve¬
Congress to decide.
ments
in
medicine
and
public
'$4hi
//' 'ri'./i'
' '*'■.)
_;'
*, •"}; Doctors' Bills Guaranteed
to I health has created widespread de¬
mand that they be fully applied
1; The plan which- I' have sugand
universally
available.
By
gested would be sufficient to pay
that demand we shall
most doctors more than the best meeting

miums and

tients.

of

the

readily

provided

expansion
of
our
present
social
insurance system, with
appropri¬
ate adjustment of premiums.

for- sickness /care;How

comes

system

„

prepay¬
would need

approximately

spending,

much

free to accept or reject

as
-

,

the average,
nearly this percentage of their in¬

~

physicians should

*

of

program

amounts

•

been

Doctors Free to Act

Likewise

>.

those
some¬

such

equal to 4% of such earnings. The
people of the United States have

of
to public
schools, al¬
though they must pay taxes for

main

v

amount,
v ;, 4

ment for medical

stead

public schools.

:

be

can

„

agen¬

such

his

send their children to

other

to

the

the doctor's freedom to

what

and

needy persons. • \v
-.Premiums for present social in¬
surance benefits are calculated on

doctor would

j contribute involves

made

ance programs to reimburse
the
States for part of such
premiums,
as well as for direct

quali¬

are.

be

available/by the
Congress under-the public assist¬

and

appropriately adjusted

upward for those who
fied specialists.

tection

(veniently

gress

addition, needy

other

standards,

and

should

during the period of sickness and
long-term disability.
This pro-.

I

"

hospitals should be ad¬
justed locally. All such rates for

tors

1

sage on social

Pay Premiums for Needy

cooperative, organiza¬ ing power to maintain enough
tions concerned with paying doc¬ physicians and hospitals. We are
a rich nation and can afford many
tors,
hospitals
or
others
for
health services, but not providing things. But ill-health which can
adequacy
of
care.
Prepayment services directly, should foe en¬ be prevented,or cured is one thing
we cannot afford.
of medical care would go a long titled to
participate if they can
way toward furnishing insurance contribute to the efficiency and
Fifth: Protection Against Loss of
against disease itself, as well as economy of the system.
Wages from Sickness and Disagainst medical bills.
None of this is really new. The
ability.
Such a system of prepayment American
people are the most in¬
What I have discussed hereto¬
should cover medical, hospital, surance-minded
people
in
the
fore has been a program for im¬
nursing and laboratory services. World* They will not foe frightened
It should also cover dental care— off from health insurance because proving and spreading the health

hospital, specialist and labora¬
tory services, as needed, would
also become available to all, and
would improve the quality and

land, ri

our

FEPC Offices Closed
Malcolm

Chairman

of the

Ross

Fair Employment

.

Practices Com¬
that, due to
shortage of funds, field offices in
New York, Philadelphia, Atlanta,
San Francisco, San Antonio, Los
Angeles
and
Washington
will
close Dec. 15, the Associated Press
reported from Washington, Nov.
14. Congress gave FEPC $250,000
last summer to operate until next
July.
This
was
half the sum;
which had been sought. ■■■■■■■■"''[YV.#
Last September President Tru¬
man
urged
Congress
to
make
FEPC permanent, and, the Asso¬
ciated Press stated, enabling legis¬
lation was approved by House and
mittee has announced

Senate
House
holed

Senate

committees.

labor

Rules

Committee

the bill.

still

It

calendar.
is

"FEPC

is

1

The

pigeon¬

/

/

reluctant

to

on

the

lose

the

-

as
fully and for as many of the
population as the available pro¬

people

some

have

misnamed

resources

/

j

I

repeat

mending
cine.

The ability of our people to pay

—

what I

not socialized
Socialized medicine

that all doctors work

medi¬
means

as

employees

The

they

regularly into a common
health
fund, instead of paying
sporadically and unevenly when

such system is here proposed.

thev

medical and hospital services just

are

should

be

sick,

j

built

This
up

health

fund

nationally, in

people want
Under

people
as

no

such system.

the

plan I suggest,
would
continue
to

they do

But
ness

now—on

the

No

no

wages.

a

of

course

brings
'

the

na¬

efficient
system of

an

' v;:..

matter what

will of

Sickness

American

of

pay

facilities

providing

burdensome

less

paying for them.

for adequate medical care will be
increased if, while they are well,

Government.

and

and

tion,

recom¬

am

is

services

and

Not Socialized Medicine

of the system per¬

A Common Health Fund

it

"socialized medicine."

fessional personnel and the finan¬
cial

'

broad; program to
strengthen professional education

-

for

all

persons, farmers, agricultural la¬
bor, domestic employees, Govern¬
employees and employees of
non-profit institutions and their

must be free to

system of

under

for

are

overburdening
anyone.
That is the principle upon which
j' health insurance system full time,
all forms of insurance are based. part time, or not at all. A physician
During the past fifteen years, may have some patients who are
hospital
insurance
plans
have in the system and some who are
taught
many
Americans, this not
Physicians, /must- be per¬
magic
of
averages.,
Voluntary mitted to be represented through
health insurance plans have been organizations of their own choos¬
expanding during recent years; ing, and to decide whether to
but their rate of growth does not carry on in individual practice or
justify the belief that they will to join with other doctors hi group
meet more than a fraction of our practice in hospitals or in clinics.
people's needs.
Only about 3%;
Our
voluntary hospitals and
or
4%
of our population now our
city, county and State gen¬
have insurance providing compre¬
eral hospitals, in the same way,
hensive medical care.

work

insur¬

that

ment

methods and rates of paying doe-

mit.

be

national

this

salary earners, those in busi¬

In

to

replace at least
part of the earnings that are lost

,

There

believe

dependents

This

ness

con-

professions

I

who

their

plan.

for

coverage

persons

as well as nar
and administra¬

medical

profes¬

now.

depend on how much
afford to pay at the time.
favor of the broadest

system.

and

represented.

an

The Federal Government should

.v

the

same

as

ment of benefits to

with

in

covered

tion should be guided by
advisory
committees in which the public

—sick and well—were required to

pay premiums intof
fund,
the pool of

Locally

People

Costs.

medicine.

editions.

deal

not

can
am

ance

adaptation to local needs and

the

and

hospi¬

,

tion.

ers

essential

the j loss.

States

'

State and local

an

part of any national health pro¬
gram, if it is to meet its respon¬

venereal disease

as

.ria

and

^nd education is also

health
mater-

emergency

Chity and infant ^care program for

.thorized

sential part of a general research
program to be administered by a
central Federal research
agency.
Federal aid for medical research
,

tion facilities.

-/without

sanita¬

or

with

possible

■

public

I

;

''

be

continue to

freedom

would

they

services

must

and

patients get the services
they need

the

unit

voluntary decisions

would, however, be this all-im¬
portant difference: whether or not

of the system so as to
pro¬
for
local ' services
and

stone

es¬

2505

Our doctors

would

sional

State

cross
,

own

disease

every¬

we

general coverage. Meanwhile
health service would continue to
be
grossly uneven, and ? disease

health and

an

hospitals

tals

any

:';#r
-t'-- ''
Federal aid to promote and sup¬
port research in medicine, public
is

their

choices.

are
personal.
nationwide system
must be highly decentralized in
administration.; The local admin¬

pro¬

fields

and

If

Therefore

gram;

allied

broadest

basis for spread¬

were! to rely on
State-by-State action only, many
years would elapse before we had

'

the

health

most

the

boundary lines.'1 *T

part through that gen¬
eral program and in part
through
within

establish

ing the costs of illness, and to as¬
sure
adequate -financial support

would

in

specific# provisions
scope of a national

to

do, sick¬

we

tor many.

come

with

it

loss

'

of

Yvv

Therefore, as a fifth element of
comprehensive health program,

the

workers

of

the

nation

and

our

their families should be protected

get

against loss of earnings because of

basis of

illness.

program

A

health
the pay¬

comprehensive

must

include

able workers in the

seven

offices

to be

closed," Ross said in a state¬
"The
personnel of these
during the years of actual
war
performed a notable ^Service
in
keeping the war plant gate
open to all American workers ir¬
respective of race, creed, color or(
national origin."
/
He suggested that "those plants

ment.

offices

(

which

are

reconverting to peace¬

time production ought, as

a mat¬
play and common sense,
to offer work opportunities to all
ter of fair

workers

without

or

dis¬

Detroit,

Chi¬

favor

crimination."
FEPC

offices

in

and St. Louis have been left
in operation., cago

:

The Steel Wage
ruly shock of black hair and the
stocky build of an athlete.
His
father
was
a
coal
miner.
He
worked in the steel industry as a

\

mill

superintendent, surveyor, and

and do their
share of providing jobs and steel
there must be substantial price
increases to compensate for past
cost increases. Furthermore, if there
business

ther wage increases
upon

Suppose, Ken, I let
the figures speak for themselves.
In August of this year average
straight time pay for steel work¬
Mr. Fairless:

ers was $1.15 an hour, or about
is any wage increase another price
is President
$11.25 more per 40-hour week
increase would be necessary. OPA
Steel Corp.
than In 1941.; Now that figure
has not yet acted on our long¬
He's a man who got to the top the
doesn't count overtime.
hard way. And his name is Benja¬ standing initial price request.
Actually there is still a lot of
Announcer: I suppose then, Ben,
min F. Fairless.
He is also Viceovertime being worked in the in¬
President of American Iron and that you have refused to discuss
dustry,
and
it
will
be
many
/ Steel
Institute,
for which he this wage issue with the Union months
yet before steel companies
until OPA acts.,
;
'
speaks tonight.
"
can
find enough workers to get
v. Mr. Fairless: That's enough about
Mr. Fairless: That is not true,
back to the normal 40-hour week.
Ken. We have discussed these is¬
me, Ken. There are a lot of ques¬
Because of the very nature of the
tions people want answered about sues with the Union. Since I am steel
industry there will always
this situation, so let's get on with most familiar with our own case,
be some overtime.
let me tell you about the collec¬
them.
I said a few minutes ago that
! Announcer;
6. K. Here's the tive bargaining conferences be¬ straight time hourly earnings rose
Mr. Murray's group and
first.
Some people say that you tween
34% between 1941 and* 1945. That
fellows in the steel industry are representatives of United States was more than the advance during
Steel.
In our very first meeting
opposed to paying high wages.
this same period in the official

engineer. .Today he
of the United States

,

,

.

.

*

Absolutely not.
believe
in high

Fairless:

Mr.

makers

Steel

Steel workers are among
the highest paid in any manufac¬
turing industry.
Announcer: Are you refusing to
wages.

bargain collectively on

the Union's

demand?

wage

No, we are not
bargain collectively.

to

refusing

Negotiations are being blocked
and

Union

the

by

Govern¬

the

by

ment,
Announcer:

they

What do you mean

blocked

being

are

Union?

the

by

,

Fairless: The President

Mr.

?

of

Union, Philip Murray, said
flatly in the very beginning that
his demand for an increase of $2
the

,

,

Government

The

Fairless:

Mr.

leave it" basis.

"take it

a

on

pre¬

To use his own

partment of Labor.

promise."
In
our
opinion this
high-handed attitude is not what
is commonly thought of when the

statements,

bargaining"

"collective

term

is

how

Well,

Announcer:

call it
frank
and
open
discussion be¬
tween both parties in a "give and
take" spirit of fair play.
In my
opinion it must be a two-way
street in which labor and man¬
agement

each

eration to the

I

would

must give consid¬
problems and opin¬

ions of the other.
Announcer: What was

the out¬

company's confer¬
Ben?

of

ences

with the Union,

your

Well, Ken, since
that he would

Fairless:

Mr.
Mr.

said

Murray

staind for

it

blocking

no

dickering or compro¬

by

.

Isn't

Announcer:

it

possible to

this wage increase without in¬
creasing prices?
vr*

pay

,

Fairless:

Mr.

I

wish

we

could,

some

seen

have

which

to

is

That

a

industry. What do you have
about it?

to say

Fairless:

Mr.

I'd

like to

know,

what sort of crystal ball
people
who
make
that
charge use to find those so-called
"hidden
profits."
Maybe
if I
could borrow it, I would know
how to operate a business where
costs were greater than income,
and still make a profit. Seriously,

meetings with his group on Octo¬
ber 10 and 11, we held another
meeting with them on October 23.
At the October 23 meeting we told

these

and I and everyone who is
listening to us tonight knows that
are
government agencies

you

there

quick

be

tp detect
concealed profits, no matter
would

which
any

how

hidden

well

after

Year

they

might be.

steel

every

year

has been checked by the

company

agencies for
renegotiation of contracts. Other
government
agencies have
re¬
viewed our reserves for deprecia¬
official

government

lion dollars

a

At

least

225

mil¬

Ben.

year.

That's

Announcer:

given by your corporation,
How does it apply to other

swer

a

lot

of

steel companies ?
Mr. Fairless:

Mr. Fairless: Yes—and it's

more

than all the companies in the steel

industry combined

are

now

earn¬

ing.
Announcer:

need

you

at

even

not

You

Ben, that
in prices
levels. Is it

say,

increase

an

present wage

that the industry gen¬
is earning a profit at the
present price and wage levels?
true

erally
Mr.

entire
items
not

Fairless:
war

were

Throughout the
period, the profitable
the

special items and

the

regular items of -steel
Today we are back
to
making
regular
peacetime
items. Many of these are selling
at an out-of-pocket loss.
manufacture.

Announcer:

these
Mr.

facts

you

placed

facts before the OPA, Ben?
Fairless:

months
went

Have

to

Definitely. Many
the steel industry

ago

OPA

before

and

it.

laid all of the

We

pointed

out

that if steel companies are to con¬




Well, United States

Steel is

only one unit of an in¬
composed of many com¬
panies, Many of the other com¬
panies also have met with the
Union
in
collective
bargaining
conferences
and
their
situation
dustry

has

been

After

much

all,

the

Announcer:
sertion

that

-

What, about the as¬
are
trying to

you

bludgeon the Government into a

'■

money.

price increase?
Mr.

the

same

as

Government

The

Gov¬

ernment and mine. It does not be¬

long to Mr. Murray. Since when
has it become improper for citi¬

ours.

economic facts of

Fairless:

of the United States is your

zens

life apply to every business, large
or small.
The American Iron and

present their position and

to

rights

publicly

to

our

Govern¬

ment?

Announcer:

Well, Ben, I see the

time is getting short,

statement today said, "Proceeds
from sales of steel .provide the

Mr. Fairless: Okay.

give

only fund out of which wages can
be paid. Today the ceiling prices

imposed by OPA do-not provide
return

to

pay

a
current

us

a

Would you
quick summary of the

facts?

a

one,

Here it is in
two, three order. The steel

industry is today losing money on
many
products.
The OPA has
frozen prices at pre-war levels,
but costs have soared for four long

costs of steel

operations, let alone
increase in wages."

any

Announcer:

interested

are
our

In
in

own

we

living

war

is

radio,
people.

Ben, we
Though

audience may be numbered in

millions,

costs

years.

among

earners

the highest paid wage-

ing $11.25 more
January,

individuals.

counting

as

The steel worker today

in American history, earn¬

talk to people in their
rooms

of

any

President

operations,

steel

increase in wages.
Truman said re¬

cently, labor must realize, too, that
business is entitled to a fair profit.
"We must not kill the goose

which

lays the golden egg."
Provisions

the

of

Act

which it

gress under
make it the

of

Con¬

created

was

duty of OPA to set

ceiling prices which yield a fair
profit. Until OPA fulfills its duty
in authorizing fair prices the in¬
dustry cannot pay higher wages.
We are anxious to avoid, if pos¬

interruption in steel
production, which is so vital to re¬

sible, any

and

conversion

peacetime

jobs

The answer lies

prosperity.

and

per

1941,
overtime

week than in

even

without

which is

still

Mil. Training
While

Unlikely
Con¬

members of

some

inclined to favor the dis¬
posal of the highly controversial
subject of universal
military
training before Christmas in or¬
der to keep it out of next year's
elections, the prospects for accom¬
plishing a House vote on the legis¬
lation on Nov; 17 when Chairman
Andrew J. May (D.-Ky.), of the
House Military Affairs Committee,
expressed doubt that the commit¬
gress are

finish hearings before
stated, according to
AssociatedPress ■ which

could

tee

1946. Mr. May

the

ported the situation from Wash¬
ington, that day, that there were
still many witnesses to be heard

not as rapid as
for. The press ac¬

and progress was
had been hoped

counts added.

Representative May blamed op¬

with OPA.

ponents for the slow progress on
President
Truman's request for

Murray's Letter to
The letter,

dated November 13,

of President Philip Murray of the

United Steel Workers of America,

CIO,
to
Secretary
of
Labor
Schwellenbach* referred to above
by Mr. Fairless and dealing with
negotiations of the Union with the
United States Steel Corp., follows:
November

"On
dressed

U. S. Steel

you

suggesting
collective

to

ad¬
the

Corporation and to the
of

Steelworkers

United

which

3rd

communication

a

America

that we resume our
bargaining conference
under considera¬

had had

tion the request
a

wage

of the Union for
increase of $2 a day.
Steelworkers

United

"The

of

suggestion

America accepted your
advised

you
that we were
ready to meet the representatives
of the U. S. Steel Corporation at
an early date that may
be desig¬
nated by Mr. Arthur S. Meyer,
who had been named by you as a

and

Special Conciliator

represent

to

the Labor Department

at the con¬

ference.
"You very

the President's emphasis
need, in the interest of
avoiding a deflationary spiral; to
of

to

the

protect wage earners against se¬
vere losses in earnings which have
occurred since V-J Day.
"The U. S. Steel Corporation,
however, arrogantly rejected your
request. The Corporation, through
Mr. Benjamin F. Fairless, its Pres¬

that it would
not resume collective bargaining
with the Union until the OPA
acted on the industry's request for
ligher price ceilings and simul¬
taneously gave assurance that fur¬
ther price relief would be granted
to compensate for any wage in¬
creases
which might result from
the present demand of the Union.
"The Corporation is obligated
by law to engage in collective
bargaining with the United Steel¬
ident,, advised

workers

you

The Presi¬

of America.

dent, in his recent message to the
nation, and you, in your letter to
both parties, pointed to the solemn
obligation of management and laHor to engage
in genuine collec¬
tive bargaining on this all-impor;ant Wage issue.
'Yet the U. S. Steel

Corporation

the unmitigated gall to

tional

to

licans,

of committee Repub¬
failing by a
three-vote

margin

to postpone the

A

group

hearings

has

objected to

afternoon Committee

sessions, de¬

next

until

year,

hold hear¬
afternoon.

feating earlier plans to

and

morning

ings
There

be

can

no

afternoon

ses¬

meeting
—and it has been meeting almost
daily—if any member of the com¬
sions while the House is

mittee

objects.

Only three witnesses, Secretary
of War Robert P. Patterson, Gen¬

Dwight D. Eisen¬

eral of the Army

hower

Fleet Admiral Ernest

and

King, have been heard.

J.

Waitr

ing to testify are Navy Secretary
James V. Forrestal and spokesmen

organizations, labor

veterans'

for

unions, industry, educational

In addition, the

committee wants

testimony from the Army .and
Navy on details of how they pro¬

have

witnesses

three

All

a

program

Department was
was no alrternative to universal training to

tee that the War

convinced

that

there

national security. "In
the time be¬
ing anyway, it's military power
that
talks."
Mr. Patterson
de¬
clared. On Nov. 15 General Eisenr
hower made it clear to the com¬
mittee that he thought universal
military, training of vital impor¬
tance, and on Nov. 16 Admiral
King asserted that the Navy joins
the Army in full support of peacer*
safeguard

the world today, for

time training

for young men, the

Associated Press reported.

industry in 1946 due to the elim¬
of overtime, downgrading

ination

of workers,

increased productivity

costs resulting from the
elimination of obsolete equipment
and lower

and

of excess profits
conservative estimate

repeal

the

taxes, it is a

anticipated net profits of
industry — after taxes — for

the

1946 will be

approximately $500,-

four times

000,000, or more than
the peacetime level.

the basis

"This is the record on
of

demands

and

which

tne

industry

is wailing

pleading for increased

prices.

the basis OjE
Iron and

the industry
for immediate
price relief and a guarantee that
for any wage increase that may be

which

agreed upon in collective bargain¬
ing there will be additional price

vertisement today said 'Until

*

call to
the
cold facts: In 1944 the
profits of the steel in¬

"At this time I wish to
;he

attention

OPA these
actual net

en¬

of peacetime
military training. On Nov. 13 Sec¬
retary Patterson told the commit¬
dorsed

uncondi¬

;

if

to operate the program
Congress gives the go-ahead.

pose

to

Of

increases.

and

religious groups and miscellaneous
organizations.

the

agrees

surrender

#

of age.

years

that the

advise
the Government
of the
United
States that it will not perform its
legal and public duty unless the
las

legislation to re¬
quire every able-bodied male to
undergo
one
year
of military
training before becoming twenty

prompt action on

Secretary Schwellenbach

Government

Institute,
whose
member
companies employ 95%
of the
workers in the steel industry, in

Steel

sufficient

a

alone

ring

,

Fairless:

sufficient return to pay

provide
current

As

Vote This Year en

steel

of doing business in the steel in¬
dustry. Now there is no mystery
about such things as depreciation.

we

Mr.

— it depends
price policy of
Present steel prices do not

the

OPA.

let

to fur¬

aptly set the frame¬
work of the conference by refer¬

and

?

c

There is only one answer

amortization and have
found them to be a normal cost
tion

him that existing ceiling prices
just can't. We're selling
Machines Wear out. Unless they
for steel products, together with
many steel products at a loss to¬
are
replaced, the workers who
the Government's wage stabiliza¬
day, Mr. Williams. The prices we
operate them will have no tools
tion policy, do not enable United
get for steel are generally less
with which to work. Therefore
States Steel to grant a wage in¬
than steel prices in 1937, in fact
these reserves iare just as impor¬
$3.53 a ton less than the scheduled crease at this time. That is the tant to workers as they are to
steel prices of 1937.
That is be¬ situation today.
management.
cause
the government-controlled
Announcer:
What
about the
Announcer: Ben, did you read
ceiling prices have been frozen by Government's suggestion that in¬
Mr. Murray's letter to Secretary
OPA
at
pre-war levels.
Costs, dustry grant wage increases on a
of Labor Schwellenbach published
however, have not been frozen, six month' basis, and then discuss
this afternoon?
and wages certainly have not been the price situation with the Gov¬
Mr. Fairless: Yes, I have seen it
frozen during the war period. The
ernment?
and it is full of bare-faced mis¬
average straight time hourly earn¬
Mr. Fairless: I don't have to
statements of fact.
For example,
ings in the steel industry rose 34% wait six months to give you an
he states that the net profits of
between January, 1941 and, Au¬
answer.
I can give it to you in
the industry after taxes in
1944
gust, 1945. And remember, that is six seconds. We would have to
without
counting any
overtime sell many steel products at a were $407 million-. The actual fig¬
ure
was
less than half of that
pay.
much greater loss. You can't pay
;
j
|| { i
amount.
This is typical of many
Announcer:
What
would
this wage increases out of thin air.
misstatements made by Mr. Mur-.
new increase amount to?
Announcer;, That was the an¬ ray.

but

many

take-home pay.

Ken,

Fairless:

Mr.

have

Ben, that steel com¬
hidden profits with
pay
increased wages.
serious charge against

panies

bargain¬

"collective

define
ing," Ben?

you

would

I

Announcer:

your

keeping steel mise we were compelled to answer
prices frozen. Wages cannot con¬ him strictly on the basis of • his
tinue to go up when prices must
demand for a $2 a day, or $£0 a
remain at their present level.
:'<;z week wage increase.
So after
is

government cost of living index
compiled by the United States De¬

words, and I quote, "the demand
is not subject to dickering or com¬

come

Well, how is the
Government
blocking collective
bargaining, Ben?
,'
;
'
Announcer:

:

demand

his

sented
or

to dicker-

day was not subject
ing or compromise.
a

"

Union Mr. Murray

used.

Fairless;

i4'vMr.

the

with

How about it?

workers'

steel

than before the war?

Impasse
in

to

Therefore, I'd like to know some¬
thing about the present wages of
the individual steel worker. Is he
or she
better or worse off today

(Continued from first page)
tinue

adding

22,1945

Thursday, November

THE COMMERCIAL & FINANCIAL CHRONICLE

2506

of yourself and

This is the record on

the

American

Steel Institute in a

nationwide ad¬

OPA

authorizes, "fair" prices, nothing
can
be settled through collective
bargaining.'
"The

steel

industry

is

clearly

attempt .to
the Government of the

dustry—after taxes — were $407,531,000. The average annual net

engaged in a brazen

profits of the industry—after taxes
—during
the
peacetime era of

United States.

$115,000,000.
"Bearing in mind the financial
benefits which will accrue to the
1936-39

bludgeon

.

-

A

"Sincerely yours,

were

(Signed)

"PHILIP MURRAY,
"President."

•

Volume

162

Number 4440

Trading

THE COMMERCIAL & FINANCIAL
CHRONICLE
been aggravated
b.y heavy use
the cars in the Middle West

New York Exchanges

on

The

i? the

volume

of

round-lot

stock

transactions

for

the

of

account

the week ended Oct. 27, continuing
figures being published weekly by the Commis¬
are
shown separately from other sales in
these

series of current

a

■

sion.'.Short

sales

^figures.
\vv
H-Trading on the Stock Exchange for the account of members
(except odd-lot dealers) during the week ended Oct. 27 (in roundTot transactions) totaled
2,140,881 shares, which amount was 15.19%
.

-

of the

total

transactions

the

Exchange of 7,047,490 shares.
This
trading during the week ended Oct. 20 of
.2,693,929 shares, or 13.01% of the total trading of 10,353,030 shares.
On the New York Curb
Exchange, member trading during the week
tended Oct. 27 amounted to
1,008,690 shares or 14.06% of the total
volume on that Exchange of 3,586,670 shares.
During the week ended
Oct. 20 trading for the account of Curb members of
1,319,510 shares
was 14.36% of the total
trading of 4,595,405 shares.
on

"

with

compares

,

member

v--oy vv

,,

-Total Bound-Lot

Stock

\

Sales

the

on

Transactions

for

New

York

Account

•/i

Stock

of

Members*

WEEK ENDED OCT.

27,

and

Bound-Lot

y,

Stock

(Shares)

209,580

tOther sales

Appalled

by their inability to
delivery promises on steel

secure

for

months

are

attempting with little or no
to place blanket, orders

for-delivery
in order to

I

6,837,910

Total sales

i

«. Round-Lot

7,047,490

Transactions

for

Account

Except for the Odd-Lot
Dealers and Specialists:

;

of

Accounts

640,750

tOther sales

at

naces

strike

Other transactions initiated

126,240
16,300

tOther sales

144,310
-1-—

Total purchases-—
Short sales—

——,

or

tion in order to prevent

!

Total sales

!

291,326

Total purchases
Short sales

the

on

for

WEEK

New

Account
ENDED

of

York

Curb

Members*

OCT.

27,

:

of

17,445

212,130

-

the

on

floor—

—-ijg

Total purchases
Short sales

63,355
33,500

tOther sales

134,400

Total sales

167,900

-

Other transactions initiated off the floor—
Total purchases
Short sales

Total sales
,

85,145
512,560

■,.

O.

Total sales

497,705

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

'

-

ICustomers' other sales

tin
the

these

twice the

percentages
total

tRound-lofc short sales which

rules

v

.

-. f

total

of

volume

on

members'
the

are

included

with

"other

purchases

and

Exchange for the

sales

reason

is

that

exempted from restriction by the Commission's

are

are

•;

included with

"other sales."

y:y:

'■

-

Steel Operations Continue to

Production Fails to
In

v

anticipation of

future, most steel

Rise—Larger
Balance Heavy Demand

possible general steel strike

a

the

in

near

this week were frantically
attempting
shipments stepped up, states "The Iron Age" in
its issue of today (#Iov. 22), which further adds:
,
?
There was no chance, however, that steel customers over the
consumers

to have their steel

,

next several weeks would receive
any more, steel
been the case in the past few3>
■'weeks.
Most

.

active

steel

the

application of

the

steel

pressure

-

in

upon

industry for better

supplies than has

to

pheric

draw

from

houses
for

tions
own

steel

tinplate

them.
steel

mills

storage

company

ware¬

being held there

Under

normal
retain

tinplate

condi¬

in

which




their

has

The

rush

this

by

tinplate

material

to

users

their

to

own

plants in order to provide a work¬
ing backlog when and if the steel
strike

occurs

hasi caused

shortage at
ducing centers.

car

a

box

tinplate pro¬
This shortage has

some

in

19

Steel

which it
that

the

99.906, equivalent rate of
discount
approximately
0.376%

up

resume

and

-

per annum.'

the low

behind

on

current

than
in

usual, causing
Great

of

production for all
major lines.
This now extends
even to plates,
and premiums on
this product set up during the war
by OPA to relieve some producers
are reappearing.
excess

"Indications

are

Administration

will

increase in

some

in

or

week

Office of Price
authorize

an

steel prices with¬

ten

days. tJnder in¬
to act on steel¬
makers' request for an advance up
a

creased

to

$7

pressure

ton, entered several
months ago, it is reported that ac¬
tion

per

deferred

for

weeks

will

be

taken

as

soon

top government
policy and details

as

are
was

worked out.

Some time ago it

indicated OPA favored grant¬

without

distribution

con¬

of the

iron

funds

supply for actual needs
inventory accumulation."

tion

The

will

not

take

into

wages

costs

and

consideration

possible wage increase which
may stem from the current wage
controversy in the industry.
any

"Steelmakers

have

controlled

15, 1941, at
for each $25

$4.82

and $2.41 for each. $12.50
"■

'

_

death

The
12

of

was

■,".

r

the

of

Scott

Paper Com¬
which had charged the Mar-

calus

Manufacturing

Co., ' Inc.,

Martin,

tucky, the Associated Press re¬
ported from Catlettsburg, Ky. Mr.
Martin

said to have been ap¬

was

pointed to the Senate by Former
Governor A. O. Stanley in 1918 to
of

remainder

the

serve

NYSE Odd-Lot
Securities

The

Trading

a

at

Philadelphia
ruled, against
Scott, and the company appealed
to
the high court.
The patent
claims relate to

a

machine which

daily

the

New

Stone's

opinion

held

infringing machine was
based on an expired patent which
had been granted to another in¬

Stock Exchange,

York

♦

1

.

ethical

of

fair

dealing

should

hostile to

law.

But

if

any branch
the principle

be
of
of

dealing as between the as¬
signor
and
the
assignee
of a
patent that has for so long been a
part of the patent law is to be re¬
pudiated judicially, it is better to
do so explicitly, not by circum¬
locution."

,

'

*

Total :
For Week

Odd-Lot Sales by Dealers—

(Customers' purchases)
Number

7 Dollar

of

38,243

orders—.——*—

of/ shares—1,110,615

—$46,384,888

value_

Odd-Lot Purchases by Dealers—

(Customers' sales)

'

'

"

•

,

'7;7>-.

..

Number of Orders:
Customers'

short

sales—_

169

"■Customers'

other

sales——

32,212

total

sales-

32,381

Customers'

Shares:

of

Number

Customers'

short

sales.

6,411

Customers'

other

sales.

905,005

Customers'

*

standards

hitherto unquestioned prin¬

EXCHANGE

STOCK

.

from

divorced

v.77■

Week Ended Nov. 3, 1945

Number

Frankfurter, in attack¬
ing the majority finding, said,
"The principle whereby
an as¬
signor is held to his bargain with
the assignee has been part of the
texture of our patent law through¬
out its history."
"Congress
,
has respected this
principle and left it untouched,"
he stated. "Happily, law is not so

the odd-lot dealers and

by

7

*v

Justice

con¬

STOCK TRANSACTIONS FOR THE ODDLOT ACCOUNT OF ODD-LOT DEALER#
AND SPECIALISTS ON THE N. Y.

alleged

ventor.

special¬

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

sion

Justice

account

odd-lot

handled odd lots on the

specialists.

that Marcalus had a complete de¬
fense in its contention that the

stock

of

volume

for

of al lodd-lot dealers and

ists who

The Associated Press account fur¬
,

for the week ended
figures show¬

summary

performs an operation for mount¬
ing paper cutters on box edges.

therreported:

Exchange

Nov. 3 of complete

transactions

Court

and

Commission made public on Nov.
14

which

Circuit

the term

of the late Ollie James.

ing

Third

former

Senator from Ken¬

States

with

The

'...

,

announced Nov.

B.

George

United

total

sales.

911,416
$36,660,407

Dollar value
Round-Lot Sales by DealersNumber of Shares:

fair

higher

of

rate

Former Sen. Martin Dies

Supreme Court rejected the

claims

distribu¬

the coupons due Nov.

cumlocution.".

past

production

for

additional payment on

an

coupon.,,7

Frankfurter, who told his col¬
leagues that if they wished .to
repudiate the principle of fair
dealing in patents, they should
do so "explicitly" and "not by cir¬

the

accumulated

available

are

as

coupon

Supreme Court upheld, 6
2, the ruling of a Philadelphia
Circuit
Court in a basic patent
decision,, on Nov. 13, the Assor
dated Press reported from Wash¬
ington. The majority decision of
the highest court, given by Chief
Justice Harlan F. Stone, was crit¬
icized by Associate Justice Felix

ciple

in

$1,310,616,000.

14
of
External Se¬
cured Sinking Fund Gold Bonds,
Series A, due May 15, 1963, that

to

a

23

Panama 35-year 5%

High Court Patent
Ruling Criticized

that

sim¬

a

Nov.

on

as fiscal agent, on Nov.
notified
holders
of Republic

the

deemed

other

bills

The National City Bank of New

assure

ing increases averaging $2 to $2.25
per ton.
Whatever increases are

and

maturity of

York,

some

care

Scott.

rate far

of

issue

accepted.)

was

a

Holders of Panama Bonds

enter the winter with far less pror

mar¬

commitments,

with present demad at a

was

the amount of

pinch is lessening. However, sup¬
ply still is short and melters will

sum¬

as

price

There
ilar

-;y.

;•

of the- amount bid for at

(56%

the

infringement of a patent
previously had been as¬
signed by a Marcalus official to

Nov. 19 stated in part

vv>"v-f::r> ■;./\

per annum,

Funds for Distribution to

blast furnaces to

pany

\

V Low,

"Pig iron production is increas¬
ing as fuel supply allows more

week

Cleveland, in its
of the iron and steel

per annum.

High, 99.908, equivalent rate of
approximately
0.368%

The

and

announced

as

discount

base.

allowed will be to compensate for

rosion,
move

Iron

Nov.

on

officials decide

keep 'it under atmos¬
conditions retarding cor¬

order

de¬

can

current

are

Range of accepted competitive
bids:7v'7
•; 7 '■ ■■■• ;

nessee
Coal, Iron & Railroad Co.
making Birmingham basing points
on
tobacco hogshead and slack
barrel hoops.
Prices will be those
formerly quoted at the Pittsburgh

.

been bought and paid for in large
tonnage blocks by customers in

making industry. Strong efforts are being made
by tin can manufacturers to with¬

liveries is the

v

customer

the

Nov. 19.

on

issue

lent rate of discount approximate¬

ly 0.376%

ac¬

been

of this

applied for $2,178,513,000.
accepted,
$1,302,105,000
(includes $59,970,000 entered On a
fixed price basis at 99.905 and ac¬
cepted in full). *
Average price, 99.906; equiva¬

basing points has been taken,
Carnegie-Illinois Steel Corp. es¬
tablishing Youngstown and Ten¬

were

"In spite of accelerating steel
production backlogs continue to
with present demand at a rate far

in

sales."

§Sales marked "short exempt"

the

on
follows:

Exchange volume includes only sales.

1

v

the

round-lot

American

kets,

97,211
107,202

calculating

compared with

into

"Steel" of

*The term "members" includes all regular and associate Exchange members, their
firms and their partners, including special
partners.

:v;

not

details

Total

new

to

npt belong.

mary

97,211

Total sales

;

14.06

0

,

Total purchases
;v

4.37

410,985

Short sales

tOther sales

have

the

7 Total

of actual

tinues

beginning Nov. 19
is equivalent to 1,509,300 tons of
steel
ingots and castings, com¬
pared to 1,472,600 tons one week
ago* 1,192,400 tons one m'onth ago,
and 1,716,200 tons one year ago.

.

Total purchases

bookings

costs

operating rate of steel companies
having 94 % of the steel capacity
of the industry will be 82.4% of
capacity for the week beginning
N'ov.
19, compared with 80.4%
one week ago, 65.1% one month
ago and 95.4% one year ago. This
represents
an
increase
of
2.0

for

217,675

•

accumu¬

points or 2.5% from the preced¬
ing week.
The
operating rate

34,200

183,475

Total—..

■

3.22

99,785

tOther sales

?.«?.

6.47
—

initiated

included

that telegraphic reports
had received indicated

194,685

transactions

but

demand where it definitely

The

251,845

Total sales
Other

I.

does

are

Short sales

further

request

Institute

JOther sales

action

The

rapid had it not been
difficulties already en¬
The
question arises

tection

wage

Members:

registered—
Total purchases

to

such

on

tual

that

follows:

in reconversion to

perhaps

19

Federal Reserve Bank

more

labor

countered.

Nov.

on

$1,300,000,000 or there¬
abouts of 90-day Treasury bills to
be dated Nov. 23, and to mature
Feb. 21, 1946, which were offered
on
Nov. 16, were opened at the

civilian production since the war's
end, progress which would have
been

Secretary of the Treasury

tenders of

cir¬

stimulates undue demand.
"A further step in
setting

shipments

over

higher steel prices after

served

price

;t%

Transactions of specialists in stocks in which

they

of orders

ing good on its promise for a price
adjustment has tied the industry's

3,499,820

Account

tor is progress

apprehension.

3,586,670

Transactions for

present

The

announced

.

86,850

Total sales

2.

»■

Total for week

tOther sales

1.

buying continu¬

necessary for financial stability.
The tardiness of the OPA in mak¬

Exchange and Stock
(Shares)

Treasury
Bill Offering

requirements, as
some trade leaders
believe, on the;
theory that shortage in supply

higher level, though low¬

a

wage
arid material
which the industry claimed

1945

Total Round-Lot Sales:

Round-Lot

steel

lated
15.19

Results of

ac¬

cumstances that they are out of
the market. In other
products re¬

to do with the current wage con¬

1,106,836
Sales

under

means

troversy,

174,910

Transactions

B.

3.96

931,926

Total sales

Short sales

strike.

a

new

original request by the industry
for higher steel prices had
nothing

1,034,045

tOther sales

which

for

damage to

complicate
the steel wage-price picture. The

Total—

great

by quotas, relating
previous consumption by
buyers. In sheets, which are most
in demand, various
producers are
refusing to accept tonnage for
shipment
beyond first quarter,

excess

of

case

has

252,626

a

order

ceptance and

whether demand and

repeated promises

38,700

tOther sales

Stock

the time of the coal
who have had blast fur¬

relining or repairs
holding them out of produc¬

are

announce

2.04

267,055

—

—————

Bound-Lot

roll¬

Continued reluctance of OPA to

160,610

—

Other transactions initiated off the floor-

Total

on

f

amounting to.50%. This does not
include a large amount of busi¬
ness
being refused because
of
filled rolling mill schedules.

9.19

the floor—

on

Total purcnases
Short sales

4.

'J

down for

naces

excess

654,900

I.

place

large
producers who have encountered
production difficulties report an

119,910
534,990

Total .sales--

a

1947

than wartime peaks, order vol¬
for 1945 Will probably exceed
that of 1944 by 15%. Some

Short sales

3.

assure

as

ume

they are registered—
Total purchases

v

far ahead

as

to
on

sales to

users

er

Odd-Lot

1. Transactions of specialists in stocks in which

f

some

situation

Fear of a general strike is
put¬ strictions sharply limit order ac¬
ting the brakes on further ex¬ ceptance.
pansion of steel production even' ,■ "In view of the
menacing labor
though operating rates in most situation, not only in the steel in¬
districts
have climbed
back to
dustry, but in various consuming
pre-coal strike levels. Some steel industries, pressure for steel is as¬
producers who banked blast fur¬ tonishing.
Undoubtedly one fac¬

ing at

Members,

of

come,

ing mill schedules.

With
;

to

success

buying

extent by restrictions

7

in

Total for week

Short sales

'

linings which might result from
returning them to production and
then shutting them down
again

1945

A. Total Round-Lot Sales:
C ?

-

Exchange

movement.

all

y- members of these exchanges in

the

of

grain

Securities and Exchange Commission made
public on Nov.
-J4 figures showing the volume of total round-lot stock sales oh the
/•New York Stock Exchange and the New York Curb Exchange and

2507

Short

Total

—

sales^

200

a.:

sales

tOther

173,770

sales

173,970

—.

Round-Lot Purchases by Dealers—

Number
•Sales

of

382;100

shares——

marked

"short

exempt"

are

re¬

ported with "other sales."
tSales to offset customers' odd-lot orders

which
reported with

and sales to liquidate a long position
is

less

than

a

"other sales."

round
.

lot

are

'??'■■'vA•

Moody's Bond Prices And Bond Yield Averages

Corporate Bond
A??&

'???]??

Aaa

T

Chesapeake & Ohio 4'/2S, 1992
Cincinnati Union Term. 23A$, 1974
Term.

1390

Pacific B 3s,

Union

•'

P

120.84

119.61

117.00

110.52

113.50

117.00

116.80

120.84

119.61
119.41
119.41
119.41
119.41
119.41

116.80

110.52

113.50

117.00

110.52

113.31

116,80

116.80

110.52

113.31

116.80

120.22
120.22

113.31

116.80

120.84

116.80

120.84
120.84

So.

& S.

Top.

N.

Marquette 3% s, 1980
Southern Railway 5s, 1994
Texas & Pacific 1st 5s, 2000
Wabash RR. 3'As, 1971
-V
Pere

UTILITIES

PUBLIC
''"iit

y.'£?

./■

1997

4s,

Pacific

16.61

Louis 3'/4s, 1980

Chicago & St.

Y.,

Northern

.•

5;;ii

Appalachian Electric Power 3 Vis. 1970
Arkansas Power & Light 3'/«s, 1974
Central N. Y. Power 36, 1974

1970
Cincinnati Gas & El. 234s, 1975
Cleveland Eiec. Ilium. 3s, 1370
Edison 23 is.

Boston

Edison

3s,

Louisiana

Edison 23As,

Ohio

1975

Aug.

1975

Gas & Electric 23As,
Potomac Edison 3s, 1974'

Oklahoma

1981

Bell Tel. 23As,

Illinois

& L. 3'As, 1970
Power & Light 3s, 1974

Indianapolis P.

1977
Connecticut Lt. & Pr. 3s, 1974
Cons, Gas E. L. & P. Bait. 2%S, 1976
Commonwealth

Electric Co. 2%s, 1971
Public Service Electric & Gas 3s, 1972
Southwestern Bell Tel. 23,is, 1985
Philadelphia

Electric 3'As, 1970
1971

Southwestern Gas &

Public.Service 3'As,

Wisconsin

fuly
Baa

Aa

■.

Edison

Detroit

Power

Alabama

1973

3s,

& Power 2%s, 1974
Metropolitan Edison 27/8s, 1974
New York Power & Light 2%S, 1975
Ohio Power 3s, 1971
Pacific Gas & Electric 3s. 1979
Southern California Edison 3s,
1965
Union Electric Co. of Mo. 23As, 1975

Virginia Electric & Power 2 3As, 1975-

Utah

Illinois

Central

Light

Houston

3'As,

Electric

California

1970

3s,

g-v;

June

.

Light

&

Power

Delaware

Empire District

May

1972

3'As, 1968
& Gas 3s, 1975

Power

Electric

Electric 3'As,

Light 33As,

&

Power

Swift

Co.

&

Texas

Corp.

23As,

California

Oil

Jan.

1975

Firestone

Shoe

General

1959

3s,

1964

1965

23As,

Union Oil

of

v

.

Morris

Philip

1960

Phillips

Oat3

,

Eastern

&

Gas

&

Seagram

Wheeling

3s, 1965

BONDS USED IN MOODY'S
;..■•■:?";• 7; :■•••

23As,

...

Texable Bonds

2'As,

2'As

6/15/1969-64

21/28,

2'As, 12/15/1969-64

12/15/1968-63

3'As,

1961

-

:

1215674—

3'Asi. I960

W '

AVERAGES
'•?
' I
!

110.15

113.12

116.61

120.02

Harbor

116.41

110.15

113.12-116.61

120.02

the Japanese struck the

120.02

120.63

119.41

116.41

110.15

113.12

116.80

120.63

119.20

116.41

109-97

113.12

116.61

120.84

119.20

116.22

109.79

112.93

116.41

120.02

120.63

.119.20

116.22

109.42

112.75

116.41

119.82

119.20

116.41

109.60

112.56

116.41

'/

* W:

120.84

119.00

116.22

109.24

112.37

116.22

120.02

120.84

118.80

115.82

103.88

112.19

116.02

119.82

116.02

2'As,

'

■

120.84

118.80

115.82

108.88

120.43

118.80

116.02

108.88

112.19

116.02

120.84

118.80

116.02

108.70

112.19

116.22

119.61

.3/15/1970-65 V
3/15/1971-66

2'As,
2'As,

6/15/1972-67

116.02

120.63

119.20

116.22

108.52

112.37

116.02

119.61

120.84

119.00

116.22

108.52

112.56

116.02

1

15.82

120.63

119.00

116.02

108.16

112.56

119.00

116.22

108.16

112.56

that trans-Pacific shipping

15.82

120.84

116.02

121.04

119.20

116.02

108.34

112.93

a southern

120.84

119.20

116.02

108.16

112.93

120.84

119.20

115.82

108.16

112.93

115.63

121.04

119.20

116.02

108.16

112.93

115.43

119.41

120.63

118.80

115.43

107.44

112.19

114.85

119.20

120.84

118.40

115.04

107.09

112.19

114.27

119.20

114.85

121.04

118.40

114.35

106.04

111.25

114.27

119.20

114.66

120.02

118.60

114.46

106.04

110.52

114.08

119.41

113.89

119.41

118.00

113.70

109.24

113.89

118.60

when the transfer of some ships to

116.80

121.04

119.61

116.80

110.52

113.50

116.80

120.22

the Atlantic was ordered

113.50

118.80

117.80

113.31

104.48

108.52

113.70

118.20

194L

112.93

118.80

117.20

113.12

103.64

107.98

113.54

117.80

110.70

120.55

;
-

118.60

116.02

110.88

98.73

103.13

113.50

115.82

119.61

U.S.

Avge.

Govt.

i-.,

Vi;

Institute, in its current weekly report, esti-f

electricity by the electric light and
power industry of the United States for the week ended Nov
17
1945, was approximately 3,984,608,000 kwh., which compares with
4,450,047,000 kwh. in the corresponding week a year ago, and 3 948 of

024,000 kwh. in the

week ended Nov. 10, 1945.
The output for the
week ended Nov. 17, 1945 was 10.5% below that of the same week
in 1944.
/ v ??;?!??}
PERCENTAGE DECREASE UNDER SAME WEEK LAST YEAR

Major Geographical Divisions-

Nov. 17

New England—-

Nov. 10

6.4

™

,

12.3
:

West Central

Nov. 3

4.8

2.67

2.81

3.14

2.98

2.80

2.68

2.81

3.14

2.99

2.81

2,68

2.81

3.14

2.99

2.81

2.64

1.52

2.81

2.68

2.81

3.15

2.99

2.81

2.64

2.63

2.82

3.15

2.99

2.81

2.65

2.68

2.81

3.16

2.99

2.82

2.65

1.52

11.8

??

-

2.62

Exchange

"

?

?

1.6
0.8

I2.J

11.2

'12.1

7.9

10.2

10.5

9.7

1.0
,

,

.

over

similar

DATA FOR

week

in

\

2.82

2.63

2.68

2.82

3.16

3.00

2.82

2.65

1.53

2.82

2.62

2.68

2.82

3.15

3.00

2.81

2.65

3.00

2.82

2.65

3.00

2.82

2.65

2.65

1.53^:

2.68

2.82

'2.62
2.68
Stock Exchange Closed

2.82

3.17

1.53'

—

2.82

;v

'

2.62

2.68

2.82

3.16

3.00

2.82

2.62

2.68

2.83

3.16

3.00

2.82

2.62

2.68

2.83

3.16

,3.00

2.81

2.65

1.55

■2.83

•

2.62

2.69

2.83

3.17

3.00

2.82

2.66

v:.

2.61

2.69

2.84

3.18

3.01

2.83

2.65
2.66

1.56

2.83,

1.55

;

2.84

2.62

2.69

2.84

3.20

3.02

2.83

2.69

2.83

3.19

3.03

2.83

2.61

2.70

2.84

3.21

3.04

2.84

3,940,854

+

1.0

3,919,398

1,415,704

1,711,625

—

1.9

4,184,143

1,433,903

1,727,225

+

0.1

4,196,357

1,440,386

1,732,031

+

1.0

4,226,705:

1,426,986

.1,724,728

0.7
0.5

7
14

3,978,426
4,295,254

July

21

4.384,547

July

28

4,380,930
4,434,841 / 4,390,762

1944

1943

1929

1932

2.61

2.71

2.86

3.23

3.05

2.85

1.63

2.85.

2.61

2.71,.

2.86

3.23

,3.05;

2.85

1.65

'

2.85

2.85

3.23

3.05

2.85

3.24

3.05

2.84

3.25

3.04

2.85

2.67

2.70

2.84

3.25

3.03

2.85

2.68

1.67

2.86

2.70

2.85

3.27

3.03

2.87

2.68

2.86

2.61

■2.70

2.84

3.27

3.03

2.86

2.68

1.65

2.85

2.60

2.69

2.85

3.26

3.01

2.86

2.68

2.61

2.69

2.85

3.27

3.01

2.86

2.70

2.61

.2.69

2.86

3.27

3.01

2.87

2.70

2.86

1.60

.s-

2.69

2.85

1.64

2.88

2.62

2.71

2.88.

27—,

.2.89

2.61

2.73;

2.90

31

1.66

2.91

2.60

2.73

2.91

3.33
3.39

2.85

^

1.69

1.52

2.72

2.93

3.39

3.14

2.95

2.75

2.97?

3.44

3.21

2.96

2.72

2.76

2.99

3.48

3.25

2.97

2.74

2.67

2.81

3.14

2.98

2.81

2.64

3.53

3.28

2.98

2.76

3.12

3.83

1944..

20,

2.72

313

1943-

computed from average yields on the basis of one "typical" bond
years) and do not purport to show either the average
level or the
average
movement of actual price quotations.
They . merely serve to
Illustrate in a more comprehensive way the relative levels and the relative movement
•These prices are
coupon,

maturing in 25

if yield averages, the latter

Pearl Harbor
;

7, 1941, according to Associated Press Washington dispatches.
remotely connected with the events leading up to that fateful

day is to be spared the scrutiny of the. Committee, it is stated.
Information uncovered in the second day of the investigation
ordered
convoying of merchant shipping
in the Pacific twelve days before
showed that the Navy

1,729,667

the

1,733,110

ciated Press reported on

1,436,440

1,750,056

25—

4,116,049

4.418,298

—

6.8

4,322,195

1,464,700

6ept.

1__,

4,137,313

4,414,735

6.3

4.350.511

1,423,977

Sept.

8

3,909,408

4,227,900

7.5

4,229,262

1,476,442

1,806,259

Sept. 15__„___>—

4,106,187

4,394,839

6.6

4.358.512

1,490,863

1,792,131

Sept. 22

4,018,913

4,377,339

8.2

4,359,610

1,499,459

1,777,854

Sept. 29

4;p38.542

4.365.907

7.5

4.359.003

1.505.216

1,819,276

7.9

4,341,754

1,507,503

1,806,403

9.6

4.382,268

1,528,145

1,798,633

Oct/

6—

4,028,286

4,375,079

Oct.

13—

3,934.394

4,354,575

Oct.

20

3.914,738

4,345,352

Oct.

27—-

Nov,

3!

—

3.937,420

3,899.293'

4.358,293

—

—

—

—

according to the Associated Press,

4,415,405

1,533,028

1,824,160

9.7

4.452,592

1,525,410

1,815,749

that

4,413,863

1,520,730

1,798,164

4.482,685

1,531.584

1,793.584

4,513,299

1.475,268
1,510,337

convoys in the Pacific
of Pearl Harbor.
The

—10.2

Nov.

10

3.948.024

Nov.

17

3,984.608

Nov.

24

-*-4,368,519

4.403,342

Dec.

1

4,524,257

4,560,158




attack,. the

9.9

—

4,354,939
4.450,047

1,674,588

Asso¬
Noy. 16,
adding that, Rear Admiral T. B.
Inglis put into the record of the
investigation a copy of an order
issued Nov. 25, 1941, by Admiral
Harold E.
Stark, then Chief of
Naval Operations. Admiral Inglis,
a naval intelligence officer, stated,
Japanese

—10.5

—

4.396.595

-

1,761,594
>

—10.5

1,518,922

1.818,169

1,718,002
*

1,806,225

Norwegian

However, as

banks

are

co¬

change control, such permission
can always be assumed to have
been received by

the bank even

though not explicitly

stated in.

wish to

he

Press

believed

also

stated.

there

.

were

two

at the time
Associated
?

:

During the investigation on the

ef¬
requested by
Norwegian banks regardless of
whether it is stated or not that
Norges Bank's permission has
that U. S. banks may

fect all payments

The joint tenrman investigating committee inr Congress on Novf
its formal inquiry into the Pearl Harbor military disaster

1,431,910

—

the

state

Investigation Under Way

15 started

1,415,122

—

wegian banksr when ordering
payments are usually adding
that Norges Bank's permission

the

4,264,824

—

'to my letter
concerning the Nor¬

reference

23

payment request.
"I, therefore, now

being the truer picture of the bond market.

4,240,638
4,287,827

Aug.

fol¬

operating with Norges Bank in
the execution of the foreign ex¬

2 Years Ago

20,

Oct.

has been obtained.

1 Year Ago

—11.5

I_;

2.68

2.69

2.60

2.81

1945

i

4,451,076

18

2.69

'2.69

2.65

2.98

3,939.195

Aug.

2.94

.

2.71

2.96

1.80

4.415,358

—

2.94

2.68

2.92

1.77

4,399,433

4—
11

2.91

'

'

.

3.00

23

26

4,395,337

Aug.

2.88

3,05
3.10

3.31

1.63

2.68

3.01
3.05

3.27

2.60

25—

High 1945

"With

2.67

2.84

■

the

received

letter dated Nov. 9,
1945, from the Norwegian Em¬
bassy, Washington, D. C.:
by

lowing

2.67

2.85

2.69

2.62

Reserve Bank, o£

has

York

wegian foreign exchange Con?
trol, I wish to refer to the fol¬
lowing period at the end of my
letter: 'For payments requested
by a Norwegian bank by letter
or telegram to a U. S. bank it
suffices that the communication,
states that Norges Bank's permission has been" obtained.'; vj?
"I believe that at present Nor¬

2.?t
2.71

1.67

:

Pacific

of

2.62

•

the

2.66

2.61

2.35

1.65

—

Federal

The
New

'

2.63

2.85

1.65

2.65

2.61

2.86

1.66
'

in

Norwegian Embassy on
Exchange Control

2.66

■

.

4,432,304

Aug.

had

2.65

1.61

2.85

2.83
2.84

2.86

of Dec.

Change

have

not

States

United

the

sixty-three ships of the categories
down to destroyers in the Pacific,
compared with Japan's 109. . ■■o-.f

2.65

2;62

1.58
1.57

3———

No one

4,377,152

July

v

,

'

1944

0Ver

2.62

4*

2.82

2.82

*3.3

(Thousands of Kilowatt-Hours 1

had

transfers

made,

Closed

1.53

3.17

0.9
16.6

j;

1945

July

—

>
,

previous year.

RECENT WEEKS

V"
Week Ended—

16.3

*0.6

t

3.4

?-?■ 14.2

to

that

calculated

Inglis
those

if

even

12.2

10.5

T_„

Increase

v

2.1

0.5

Total United States
*

■V-

14.8

Rocky Mountain

2.62

2.82

Stock

2.61

2.82

1.52

:

1.64

Nov.

Pacific

the

from

2.64

2.61

1.64

Nov.

bat¬
aircraft carrier, four

one

Admiral

would

2.61
2.61

-

Lew

in May;

cruisers and nine destroyers were

been

2.81

|

July 27iw.—...

Feb.

Japanese

The Californian said three

tleships,

2.64

2.81

7^.i

Jan.

the

to

numeri-*

was

•.

2.80

2.81

(3%%

.

.8

—~~

Southern States.—

Pacific Coast

: 7

Oct. 27

4.9

? 4.2

12.3

4.4

Central Industrial

•

4.9

'

Middle Atlantic

ir

-"-Week Ended-—

1

2.98

3.14

Indus

1.52

2

Mar.

.

P. U.

1.51

June 29—:

-

2.80

R. R.

1.52

Sept. 28_»—

Apr.

the Pacific

inferior

cally

American

the

that

witness

Under Mr. Gearhart's direction.
Corporate by Groups*

Baa

A

2.67

2.61

2.81

1.51

23———-

May

the

fleet in

the Atlantic.

.

Aa

Aaa

rate*

Bonds

Aug. 31-^-,--i-*

10.5% Below Thai for Same Week Last Year
production

-

Corporate by Ratings*

Corpo¬

follow

route and that the fleet

"provide necessary escort."
Mr. Gearhart brought out from

Prices)

(Based on Individual Closing

-i"

directing

by Admiral Stark,

transferred
MOODY'8 BOND YIELD AVERAGES

30^,*

■

date

• <■

119.99

; 2

was

Electric Output for Week Ended Nov? 17,1945

the

105.17

2.82

'

question¬

Under Mr. Ferguson's

ing, Admiral Inglis read an order
which he said was issued on that]

116.02

2.82

9/15/1972-67

the Pacific convoyed.

119.61

1.55

r

base.'
Senator Ferguson,
(R.-Mich.),
developed from Admiral Inglis, a
witness, that the Navy on Nov. 25,
1941, ordered merchant ships in

119.82

112.19

116.02

10—.—.

that

120.02

120.63

1.54

' ''

list

The Edison Electric

119.82

1.54

Oct.

before

hours

two

116.61

2.64

6

•'

almost

119.41

5_———

K

Testimony that the carrier En-*!
terprise launched eighteen scout
bombers 200 miles west of Pearl

119.41

3

1965

previously used in compiling the averages
given in the Jan. 14, 1943 issue of the "Chronicle" on page 202.

mated

120.02

15.82

14——.

Note—The

116.61

16.02

9——

6/15/1967-62

113.12

7

1965

(Jos. E.j & Sons 3'As,
Steel 3'As, C. 1970

Bonds
'
6/15/1963-58

Tax-Exempt

23As, 12/15/1965-60

2'As,

109.97

8

3'As,

Asso.

U. S. TREASURY BOND

.••rA Partially

•.-.

109.97

116.61

attack.

Closed

16.02

.10

-

,

•

116.61

120.02

120.63

12

>

.

1964

Fuel

Laughlin

York Corp.

■

120.02

116.61

propitious for

120.63

13

1964

Cudahy Packing 3s,

1964

2%s,' 1964

Jones

■

120.02

116.80

113.12

16--——

Paper & Fiber 3s, 1965
Continental Baking Co. 3s, 1965

-'

23is,

116.61

113.12

19

1970

Champion

1965

Petroleum

Quaker

3'As,

Ashland Oil & Ref;

1963

113.12

110.34

17

■V"

1965

California 23As,

Co.

&

Armour

1970

1965

3s,

110.15

116.61

s

16.41

.

14

23is,

116.61

.

16.22

Nov. 20

Baa

Co.

nized as the most

recog-'

hour, he said, which was

12002

116.22

Averages

1963

Dairy Prod. 3'As,

Skelly Oil

Daily

a

*

(P.) Co. 3s,

National

&

120.02

116.61

116.41

1945—

2%s,

F.i

(B.

Co.

Lorillard

National SteeL 3s,

116.80

113.31

116.61

1943-

20,

1969
Tire & Rubber 3s, 1961

Koppers Co. 3s,

Deere

113.31

110.15

116.41

1944-

20,

Tobacco 3s,

American

1966

1965

SteeJ 23As,

110.34

116.80

116.61

1 Year Ago
Nov,

120.22

significant" that radar on the]?
Hawaiian island of Oahu was or-»
dered shut down at 7 a.m., an.

116.61

1945

Nov.

Goodrich

Bethlehem

120.63

1945.

Low

1968

120.63

Stock Exchange

120.22

2 Years Ago

1961

23As,

3s,

Mar,

High

INDUSTRIALS

Standard

Apr.
Feb.

1969

Kentucky Utilities 4s, 1970
Mississippi Power 3'As, 1971
Portland General Electric 3'As,
South Carolina Power 3s, 1975
Southwestern P. S. 3'As, 1974

120.63

116.61

Indua.

116.61

Closed
120.43

123.27

110.34

116.80

U

119.41
119.41
119.41
119.41

120.63

16.61

Baa

A>

Aa

Aaa

,

116.80

Chicago, Burl. & Quincy 33/4S, 1974
Clev., Cin., Chi. & St. Louis 4s, 1993
Erie 3!'as, 2000
<
N. Y. Central & Hud. Riv. 3'/2s, 1997

3'/iS, 1967
Pe gen. 4s. 1995
Indianapolis Union 3V2S, 1936
Monongahela Ry. 3'/is, 1966
Pitts., Cin., Chi. & St. L. 4^5, 1964
Virginian Ry. 3s, 1995
Gf.

Philippines not to fire on the'
Japanese until they fired first, r??
A
further suggestion
by itiey
Californian that it was "strangely

120.22

116.80

rate*

Baa

Atch.

Corporate by Oroups*
H. R

116.80

Bonds

Averages
I.'c

120.63

Ala.

yields)

Corporate by Ratings*

Corpo-

Govt.

2000
27/bs, 2003
N. Y. Connecting RR. 2%s, 1975
Pennsylvania 3 Ves, 1985
Piedmont & Northern 3%s, 1966
Pitts., Cin.. Chi.. & St. Louis 3%s, 1975
Reading 3l/8s, 1995
& Nashville

Louisville

234S, 1974
Norfolk & Western 4s, 1996
Teiminal RR. of St. L. 2T8S, 1985
City

Kansas

PRICES

vge.

Northern 3'/8S,

Great

1999

Hocking Valley 4'/is,

\

.

BOND

<BwMi on Average

& Nor. West 3s,, 1989 •/'-.«'
Erie RR. Ohio D1v, 3j/4«, 1971
Chicago

'

-

MOODY'S

'

before the Japanese attack.
A suggestion by Representative
Gearhart(J.t.-Cal.) * that
General
MacArthur was
ordered in the

days
•

table.

RAILROADS
•

chant vessels" in

and bond yield averages are

bond prices

computed

Moody's

J

Yield Averages

convoying of mer¬
the Pacific twelve /?

the

.ordered

Bonds Used in Moody's

1945

Thursday, November 22,

CHRONICLE

TUT? COMMERCIAL & FINANCIAL
THE (

been

obtained."

(Text of the
Oct. 23

•

-

'

Embassy's letter of

given in the "Chron¬
15, on page 2372.) ■?

was

icle" of Nov.
:

Boise's
prePearl Harbor movements, said the
Associated Press became a top
I6th

the

question

Cruiser

for

Congressional

in¬

vestigators after Republicans sug¬
gested that-its crew sighted at sea
the Japanese fleet which attacked
the

stronghold,
but
report it because of or¬

Hawaiian

failed

to

ders for "radio

silence."

The Boise angle was
after

Democrats

brought up

and Republicans

vigorously over procedure
the second day of testi¬
mony which also brought the fol¬
lowing developments:
Disclosure that the Navy had
clashed

during

•

—

;

??"<*

Moody's Daily
Commodity
Tuesday,

Nov.

Wednesday,

13,

Nov.

1945
14—

15
Friday, Nov. 16_.
Saturday, Nov. 17__
Monday, Nov. 19
Tuesday, Nov. 20
Thursday,

Two

Year

1944
'

1945

ago,

—

263.8
263.8
—

263.8
—.

263.6
—

Nov. 5——

20_;——
1944—
High, Dec. 31
—
ago.

ago,

Low.

Oct.

Nov. 20,
Nov.

l_^_u-u-.—

High, Nov. 14———

Low, Jan. 24_

263.9
263.8

Nov.

weeks

Month

263.6

262.8
261.3
248.1
254.4

245.7

263.9
252.1

—

•

JVolume 162

Number 4440

THE

COMMERCIAL &

FINANCIAL CHRONICLE
,

if

Weekly Goal and Coke Production Statistics

The total production of bituminous
coal and lignite in the week
ended Nov. 10, 1945, as estimated
by the United States Bureau of
-

1944,

the
cur¬

tailed by a partial observance of Armistice
Day, was 10,820,000 tons.
For the period from Jan. 1 to Nov.
10, 1945, production amounted to

494,640,000 tons, a decrease of 8.8% when compared with the
542,£54,000 tons produced during the period from Jan. 1 to Nov. 11, 1944.
Production of Pennsylvania anthracite for the week ended Nov.
10, 1945, as estimated by the Bureau of Mines, was 1,172,000 tons,
an increase of
323,000 tons (38%) over the preceding week.- When

tion

of

1944.;;7/7!:777/7;7:77.777007'';

week

Nov.

ended

3,

1945; but

output for
38,500 tons less than for the

was

report:

BRODUCTIOlToF

BITUMINOUS COAL AND LIGNITE

(III N«t^JPoris):.'
Nov. 10.

Bituminous coal is
incl.

lignite:

fuel

mine

Nov. 3,

1945

Nov. 11

1945

•Nov.

1944

Nov. II;;,

10,

1945

12,470,000

10.820,000

' 2,077,000

2,078,000

1,967,000

1944V

•

-

494,640.000

542.154,000

1,867,000

2,024,000

-

"Subject to current adjustment.
*

;

'

r.

v

-

-

-7■

tistics will attempt
promptly to report
must be considered as

1945

:

1945

1,172,000

849,000

tCommercial produc.

1,125,000

10i

NOV. 11, •

Nov. 13;

,

1944

1945

1944

815,000

The indexes

preliminary and subject to such adjustment
by later and more complete reports. ;7
i;
;:The following tables show (1) indexes for the past three weeks,

for

Oct. 13,

1945 and Nov. 11, 1944""and (2)
percent changes in sub¬
indexes from Nov. 3, 1945 to Nov.
10, 1945. 7 77'7'7/ ;,7'

group
."

WHOLSALE PRICES FOR WEEK
ENDED NOV.
r

10,

*

1945

1945

ioe.l

AH commodities—
Farm

products—

11-3

10-13

1945

1945

1945

1944

105.9

129.5

—

10-27

105.7

105.3

104.1

127.7

129.1

10, 1945 from—

11-11 i-v 11-3

10-13

1945

11-11

'1945

1944

+0.2 1

+0.8

+1.9

126.3

124.4

+ 0.3

+ 2.5

+ 4.1

107.0

106.6

106.0

105.2

104.9

+ 0.4

+ 1.7

+

119.1

Hides and leather products
Textile products

119.1

119.1.

118.4

116.7

7-0,7

+ 0.6

been
tee

+ 0.5

100.0

2.0

ated,

47,692,000
45,787,000

55,994,000

The

99.9

+ 0.6

+ 1.6'

83.5

0

0

+ 1.2

104.8

103.8

+ 0.1

+ 0.5

+ 1.4

H8.6

118.2

118.1

118.0

116.4

+

0.3

+ 0.5

+ 1.9

ator

95.5
106.4
94.6

118.6

118.2

95.5

95.3

94.7

0

+

0.2

+ 0.8

106.3

106.3

106J

7 0

+

0.1

+ 0.3

94.6

94.6

93.4

0

117.4

116.6

114.3

;

+ 1.3

+ 0.3

+1.7

+

3.8

0.9

+

96.7

96.7

95.9

94.7

+0.1

+

101.9

101.9

101.9

101.1

+ 0.3

+ 0.3

101.0

100.8

100.8

100.7

99.7

+0.2

+ 0.3

+ 1.3

100.2

100.1

100.1

100.0

98.8

+ 0.1

+

0.2

+ 1.4

Beehive coke—

United States total♦Includes
operations.

V::;»V*jyV

PERCENTAGE CHANGES IN SUBGROUP INDEXES FROM
NOVEMBER 3, 1945 TO NOVEMBER 10, 1945

75,900

115,900

WEEKLY

current

• ;

PRODUCTION

OF

4,603,100

BITUMINOUS

00 V BY STATES, IN

weekly estimates

-,//.*
6,253,000

2,944,900

authorized

COAL

AND

Dairy

and

materials..;

l.i

-

-

building

Other

<

Paint

0.5

0.3

and

paint

0.1

materials—

0.1

Decrease

Cereal products

Nov.

3,-

Alabama-

Oct. 27,
1945

,

1945

409,000

•

—

-

-

.

109.000

.

-

;

155.000

Georgia and North Carolina

1,516,000
566,000
47,000 '

II

Indiana

*

Kansas and Missouri...

:

.

-

.1,000

•

563,000

,,-4

■■

;

-

930,000

534,000

- r

55,000.

.432,000

"

1,528,000

'•

58,000

.

445,000

^

156,000

,4

/ x

1.035,000

:

382,000

318,000 for the week ending Nov. 15, 1945. This volume is 67%
higher
than last week's and 159%
higher than the corresponding week last
year. The .week's total is also 14% greater than the previous fourweek moving average as reported to
"Engineering News-Record."
The report-issued on Nov. 15, added; ,
v;C0000000

32,000

77,000

62,000

greater

786,000

637,000

2,777,000

2,713,000
132,000

2,691,000

i

"

43,000

3,000

,

v

Pennsylvania (bituminous)
Texas (bituminous & lignite)
Utah
;

,

2,000
89,000

30.000

150,000

—

35,000
'

;

93,000

31,000

North & South Dakota (lignite)
J„

155,000

2,000

H

-

1.000

1,000

131,000

Virginia
Washington
:
tWest Virginia—Southern
dWest Virginia—Northern

120,000

127,000

335,000

357,000

396,000

33,000

31,000

30,000

2,223,000

2,097,000
1,-135,000

2,143,000

■

195,000

thgn last year's week.« State and municipal construction
dropped 1% below last week's figure but is 100% greater than a
Federal construction is found to be 140%
greater than last
week, but this does not present a true picture of federal construction,
trends as last week was a short (four-day)
week; the more repre-.

year ago.

sentative figure is found by noting that
is 39 % below that of last year's week.

; 1,114,(300

218,000

1,0^8,000

,ni7n

.

f Other Western States

r:

216,000

-kz- ■■■•'

5'

*■'

y '■■■

■■

'

1,000

12,470,000

—

&

the

*-»•

vj*

Panhandle

stnd Oregon.

in

xYctjid,wild,

District

W.;

ividbuii,

and

;

$1.845,634,000

C. &

anu

Grant, Mineral,
*Less than 1,000 tons.

*

12,130,000
o.; Virginian;

oiay

counties.

and Tucker

K.

+rcest

counties.

12,019,000
&

M.;

01

B.

oiaie,

C.

&

G.;

including

{Includes

Arizona

this week's federal volume
v

over

of

for the 464week period, a 23 %

1944.

Private

last year, and state

The decrease in
29%

public

construction's cumulative volume is 170%
and municipal volume, 49% over last year.
construction of 16% is largely due to the

decrease in federal work.

Civil

cumulative; volume
gain over the like

tabor Iteparlntenf Reports Wholesale Prices
For Week Ended November 10,1945
For

the eighth consecutive week, primary market
prices ad¬
during the week ended Nov. 10, 1945, said the U.S. Department
of Labor in its report on wholesale
prices issued Nov. 15.
Higher
prices for both agricultural and industrial commodities resulted in

prepared

in the index of commodity prices in
primary markets
by the Bureau of Labor Statistics/U. S. Department of

Labor, bringing the index to 106.1% of the 1926 average, equal to
point reached during the war.
Average prices for farm
products, foods, fuel and lighting materials and chemicals, still were
slightly below wartime peaks, but all other major commodity groups
the high

at, or above, the highest level reached during the war.
The
index for all commodities other than farm products and foods
moved up during the week to 100.2% of the 1926
average, the high¬
est
point since the beginning of the war. : Average commodity
prices during the week ended Nov. 10 were 0.8% above a month

were

group

Private

Construction
Public Construction
State & Municipal

fied and

rose

of

subsidies.. In addition, quotations for
higher ceilings allowed for the 1945

under

pack to cover increased costs. , Prices for wheat flour dropped with
the increase in subsidy payments to millers.
Other Commodities — Average prices for other commodities

slight

a

"gain in public buildings. Industrial arid commercial

fractionally during the week.
Quotations for some cotton
goods aind artificial leather rose, following ceiling increases al¬
lowed by OPA.
Mill realizations for western pine lumber aver¬
aged fractionally higher and turpentine quotations advanced. Higher




/Vv

in

the

Fed-;
Housing
Administrator
to,
mortgages up to 95%

eral

guarantee
of the

appraised value
The interest

low-cost

on

rate

could

exceed

insurance charge), and amor¬

4%

could

(plus one-half of
for

run

was

in

have

to

what

powers

this

could not be

costing

more

Senator
tice

would
as

"low-cost" home

cluded

he

as

'

;

'

administrator

a

long

as

years.

be

to

in¬

but it
applied to any home
than $5,000.
program,

Talt said that

in prac-;

thought this would work

out

so
that the program would
apply to homes costing $5,000 or
less in areas of high building costs
but that the "ceiling" might be

$4,500

or

in

less

where

sections

building costs are lower.
% 2.
Mortgage guaranties
95%

of

ing"

yalue

-constructed

40-year loans.
a

form

a

have
It

up

"mutual

on

3V2%,

under

The

to

hous¬

here is

idea

g£pup
of persons might
co-operative, buy land and

homes

built for

themselves.

is argued

that the lender, hav¬
ing to deal with only a single
cooperative,
could
handle
the
less

with 40

or

cost

than

if he

50 individuals.

dealt

An

in¬

charge of Vz of 1% would
be made on such guai^nties.
3.

.;

to

Guaranties

of

of value

90%

mortgages

rental

on

up

hous¬

ing where the builders accepted a
scale approved by the Fed¬
Housing Administrator. Such;

rent

eral

loans would have to be at
than 3Va%
would

be

no more

of 1%

interest and Vz

charged for the insur¬

ance/'''

■■
„

Senator

whole

Ellender

program

those who

are

aimed

as

a

described the

to

aid

little too well off

.

for

1945 volume to $1,737,749,000, a 3% increase over the $1,681,178,000
reported* for the 45-week period pf 3944.
-

said,

4

As

rough rule of thumb, he
public housing now takes

a

of

care

Bank Debits for Month of October
The Board of Governors of the Federal Reserve System issued
Nov. 13 its usual monthly
summary of "bank debits" which we

on

give below:
BY

FEDERAL

s

';■ Oct.
Federal Reserve District—

:{•■

»—+^44;

—

4,806
;

City

2,519

7,998

7,582

2,141

'V

11,794

1,689
'

9,239
14,128

8,657

2,749

10,871

—

—

88,484

9.559
13,624

7,378

•

2,254

—

1,522

;

31,091 ,.'■

/
■;-/

33,626

6,189

6,069
•

4,778

4,316

Francisco

2,389

7,578

7,185

2,092

6,332

6,185

7.209

—

2.536

!:■ 2,199
San

6,439

20,801

19,271

—

Total, 334 centers.—-—-..j ./;4i.v.,,/
"New York City

*140
193

other
other

♦Included

up.

>

"

,

centers—

81,614
;

—*

centers

in the national

73,891

225,991

213,405

series

covering

34.984

28,553

92,917

81,584

39,004

38,336

111,489

111,432

7,620

—

;

,■

6,997

21,585

20,389

141 centers, available beginning in 1919.

mortgage guaranties now
not exceed 90% of the value

may

of

a

the

9,525

99,657

3,132

Oct.
1944

10,144

30,907

2.694

Minneapolis

'

1945

3,403

3,457

$ 3,082

:

Atlana

Kansas

i-

4,667

Vi

i

:Oct.

1944

37,346

Philadelphia

Louis

$40 and

pay

FHA

Oct.

1945

3,610

;

■

Cleveland

St.

no

;; "This should close the gap," he

►'
■3 Months Ended-

Chicago

pay

DISTRICTS

RESERVE

(In millions of dollars)

,

Richmond

can

month for hous¬
ing and the present FHA program
is
geared for persons who can

'

York

who

said.
SUMMARY

■

those

than $20 a

more

.....

moved up

features
-

for

public housing and are not
financially able to take advantage
of present FHA programs.

New

removal

.

chief

for construction purposes this week totals $14,627,000 and is made up of $8,834,000 in corporate securities issues, and
$5,793,000 in state and municipal bonds. The week's financing brings

Boston

the

en¬

surance

New capital

1944.

tomatoes

>

Nov. 8,1945 Nov. 16,1944
$76,318,000
$45,828,000
$29,400,000
56,070,000 M 30,452,000; / " 9,650,000
20,248,000
15,376,000
19,750,000
11,762,000
11,843,000
5,861,000
8,486,000
3,533,000
13,889,000

and waterways and unclassified.

0.3% during the week with higher prices for grains and fresh
vegetables.
Quotations for grains were generally higher,
With their usual seasonal movement accentuated by a shortage of
shipping space. Cotton quotations advanced and prices for eggs
and apples were fractionally higher.
Price movements for live¬
stock were mixed, with steers and hogs remaining close to ceiling.
Quotations for lambs -dropped.
Average prices for farm products
were 2.5%
above four weeks ago and 4.1 % above mid-November

canned

'

buildings showed large gains oyer the week last year; other classes
that gained over the week last year are: bridges, highways, earthwork

tose

Higher prices for fruits and vegetables and butter raised the
index for foods' by 0.4% during the week.
Quotations for
butter in most areas completed their adjustment to higher ceilings

week,

k*

In the classified construction groups, seven of the nine classes
showed gains over last week as follows: sewerage, highways, earth¬
work and waterways, industrial and commercial buildings, unclassi¬

fruits and

group

.4—.

—

_

•

<

4-,

Federal

earlier and 1.9% above the corresponding week of last
year.
Farm Products and Foods—rAverage prices for farm products

following

years.

its

Authorization

loan at

current
,

Nov. 15,1945

Total U. S, Construction—

vanced

rise of 0.2%

at

■

engineering construction volumes for, the

iast week and the 1944 week are:;

a

1.

that'

,

The current week's construction brings, the 1945
to

period
Total bituminous & lignite

10

are

discretionary

United States totals $76,-

78,000

,3,000
90,000

.

Ohio—

MUU

engineering volume in continental

i
Private - construction continued to climb'this week and is 84
%
greater than last week's volume and 840% greater than the week last
year.
Public construction is 32% greater than last week and 2%

39,000 ' ;:

•

+

Montana (bitunu&lignite).
New Mexico
11
r
"

aimed

program

next

The

'M 803,000

Michigan.^.—

V/ >

■

general administration

a

the low-cost field:

32

$76,318,000 for Weak
Civil

°

X..„,

fea¬

low-cost

fresh attempt, too, to im-,

a

tization

Engineering Constriction Totals

99,000

152,000

1,486,000

1,060,000

-

"

108,000

—

Wyoming--—

.

.

120,000

—

Kentucky—Easterns
Kentucky—Western
Maryland-ii^ltL-iVV-—::

Tennessee

,

Civil

4,

7,000
: •

159,000

V -l.coo

Iowa—_

5,000

97,000

'

Colorado

for

couraging construction of 1,250,000
dwelling units a year for each'of

.359,000

»

to
in¬

to

1%

1944 -/

,

li 394,000

6,000

Oklahoma

Arkansas and

Nov.

4 ;.-44

and

additional

some

an

bill

by Sen¬

not

Week Ended

*

others

homes.

0.2

,

Estate—

and

r

It is

plement
housing

0.4

—„

—V.*.--*—

revision of

a

advanced

particularly

Here

products—.-.

products...
steels.

'Lumber

0.6

0^ 7

carloadlngs and river ship¬
ments and are subject to revision on receipt of
monthly tonnage reports from district
mad State sources or of final annual returns from the
operators.)
'
■'
*

Iron 'and
■

,.4—0.7

vegetables.

textile
farm

.is

homes.

the

0/00^:0

Other

1.5'

:

■Grains.
Fruits

LIGNITE,

1.9

goods

railroad

on

Increases -*•'/

products

Cotton
Other

NET TONS

based

are

Taft

.

V

.

washery and dredge coal and coal shipped by truck from
colliery fuel.
JSubject to revision.
gRevised.

V /:.//

(The

5

77,400

V.

tExcludes

ESTIMATED
-

;

,

advices,-

Wagner-Ellender

corporate

■

r

less.

to say:

on

criticism

tures,

+ 1.1

All commodities other than farm
products and foods

42,484,000

earlier

2.2

96.8

102.2

Washington

>

measure

meet

44,720,000

53,754,000

Press

which went

1-84.5

95.5

and

F.

Robert
A.
Taft
(R.¬
Ohio) and Allen J. Ellender; (D.La.) are said to concur on all ma¬
jor points, according to Associ¬

99.9

94.6

$5,000

Robert

Senators

84.7

106.4

costing

Wagner (D.-.
Y.), committee Chairman, and

105.2

Housefurnishing goods;
Miscellaneous commodities
Raw materials—.i.-.

had

new

homes

84.5

.

con¬

the commit¬

housing legislation
covering special inducements for
private
builders
to
construct,

105.2

1

Banking

reported after a
12, that accord

Nov.

on

84.5

Chemicals and allied products

Republican

Senate

reached within

105.3

98.9

and

the

Committee

+ 2.1

ico.5

of

ference

N.
Nov.

ii-io

>

leaders

Senator

$ $ I friififie"M100 y '0:00

:' 7

Percentage changes to

K///-./.;.. ...
Commodity Groups—

1937

1,145,000
1,099,000

f

•Total incl. coll. fuel

Nov.

Sta¬

and revision as .-required

Manufactured products

Calendar Year to Date

—

Nov. 11,

■

changing prices.

Banking Group
Supports Housing Plan
Democratic

con¬

All commodities other than farm
products

(In Net Tons)

»

Week Ended—1

+Nov. 10, ,'f jNov. 3,

Penn. Anthracite—

,

Semimanufactured articles

ESTIMATED PRODUCTION OF PENNSYLVANIA;
ANTHRACITE AND COKE 7

S,

;

■

Senate

Building materials

—Jan. 1 to Date

,v

—

12,460,000

average

;,.;

„

priced houses.
included in the Labor
Department's
' 7
77

was

Fuel and lighting materials—
Metals and metal products..

f,

Week Ended

Total,

;■

medium

Note—During the period of rapid changes caused
by price
trols, materials allocation, and rationing, the Bureau of Labor

—

^00 •7-'"

Daily

following notation

Foods

Corresponding week of 1944.
ESTIMATED UNITED STATES

and

under

the produc¬

encourage

for low

7'7

The Bureau also reported that the estimated production of bee¬
hive coke in the United States for the week ended Nov.
10, 1945
showed an increase of 1,500 tons when compared with the
v

the

materials

The

compared with the output in the corresponding week of 1944 there
Was an increase of 27,000 tons, or 2.4%.
The calendar year, to date
shows a decrease of 14.8% when
compared with the corresponding

period of

u

.

>

Mines, was 12,460,000 net tons, a decrease of 10,000 tons from
preceding week.
Output in the corresponding week of

2509

•\
;■
~
; r;■
" '
7
prices jwere reported for some
types of builders!-hardware
ceiling- increases granted earlier b|y OPA to

a

home. In effect, that means
buyer must be able tc make
payment of 10%.

down

The

95%

would per-;

guaranty

mit much smaller down payments.

The
lic

retains

pub¬
housing and urban redevelop¬
features of the Wagner-El¬
new

measure

ment

lender bill.
Under

the

proposed

urban

re¬

development program, the Feder¬
al
Government
would
extend
financial
aid
to
cities
which
bought up "blighted areas," razed
and redeveloped them.

.

Daily Average Crude Oil Production for Week
Ended Nov. 10,1945 Increased 132,850 Bbls.
daily average gross crude oil

consecutive week, the

For the fifth

Petro¬

production showed an increase, according to the American
leum Institute which estimated daily output during the week

ended

barrels. This was a gain of .132,850 bar¬
rels per day over the preceding week, but was 276,200 barrels per
day less than the production in the corresponding week of 1944, and
148,800 barrels below the daily average figure of 4,600,000 barrels
recommended by the Bureau of Mines for the month of November,
1945.
Daily output for the four weeks ended Nov. 10, 1945 aver¬
aged 4,319,850 barrels. Further details as reported by the Institute
Nov.

1945 at 4,451,200

10,

follow:

..

that the
approxi¬

received from refining companies indicate
whole ran to stills on a Bureau of Mines basis

Reports
industry as a

of crude oil daily and produced 15,793,000
barrels of gasoline; 1,724,000 barrels of kerosine; 4,851,000 barrels
of distillate fuel, and 8,587,000 barrels of residual fuel oil during the
week ended Nov. 10, 1945; and had in storage at the end of that week
52,471,000 barrels of civilian grade gasoline; 25,717,000 barrels of
military and other gasoline; 12,739,000 barrels of kerosine; 45,126,000 barrels of distillate fuel, and 45,936,000 barrels of residual fuel
mately 4,789,000 barrels

r

oil.

OIL

AVERAGE CRUDE

DAILY

Kansas

Nebraska

w

Texas

North

27,350

+

1,950

256,150

+
—•

800

85,500

94,150

138,900

151,200

Cottonseed Oil

147,100

7,300

457,750

35,300

17,300

34,500

425,450

553,400

166.8
129.8

Livestock

17.3
10.8

347,100

Fuels

Miscellaneous

—

1,990,000 $2,016,198

8.2

Textiles—
Metals

2,132,300

1,774,450

+104,200

1,894,200

6.1
1.3

Building Materials
Chemicals and Drugs

74,150

Louisiana

700

71,750

71,850

293,650

North Louisiana

4,950

288,100

291,300

——

-

365,000

398,000

367,800

+

5,650

359,850

77,311

76,100

+

1,050

75,350

48,000

53,500

350

52,950

51,500

Mississippi

550

400

200

.3

300

300

150

50

1,500
250

208,450

63,350

65,950

600

29,300

30,350

Farm Machinery

163.1

168.4

164.6

204.1

166.0

Louisiana—

Total

161.6

Alabama

—

+

150

Florida

215~666

207,200

+

13,500

Illinois

13,900

+

—

Indiana
Eastern—

incl. 111., Ind.,

(Not

Ky.)

65,200

-L—

-

61,450

28,000

——

Kentucky

28,900

—

47,000

850/

99,050

19,550

+

50

19,900

130.4

132.8

21,400

+

650

19,800

+

137,450

3,485,850

4,600

834,000

+132,850

4,319,850

i—

Colorado
New

12,000

•

-

of Calif.

East

California

♦These

oil

of

Bureau

are

Mines

—

834,900

14,451,200

calculations of the requirements of domestic crude
and natural gas derivatives) based upon certain

requirements

premises outlined in its detailed forecast for the month of November.
As
may be supplied either from stocks of from new production, contemplated withdrawals
from crude oil inventories must be deducted from the Bureau's estimated requirements
to determine the amount of new
crude to be produced.
In some areas the weekly
estimates

includes

several

net basic

the

is

shutdowns

fields

and

which

allowable

exemptions
exempted

were

ordered

were

from

for

1

13

to

entire

the

days,

state

ordered

was

month.
,.

.

.

STOCKS OF FINISHED
UNFINISHED GASOLINE, GAS OIL AND DISTILLATE FUEL AND
RESIDUAL FUEL OIL, WEEK ENDED NOV. 10, 1945

RUNS
AND

PRODUCTION OF

STILLS;

TO

GASOLINE;

(Figure* in thousands of barrels of 42 gallons each)

Buying

silver

was

159.0

154.1
126.1

118.3

118.3
119.9

119.9

104.9

104.7

therefore on

\estimate of unreported amounts and
-Bureau

of

are
basis

Mines

jpart as follows:

Refining

Pro-

a

tStocks tGasollne Stocks

of

at Ref.

Gas Oil

Mill-

& Dlst.

sidual

tary and

vilian

Fuel Oil

Fuel oil

Other

Grade

6,876

5,039

11,933

200

811

1,605

200

129

640

% Op-

Inc. Nat.

porting

Coast

age

erated

Blended

816

103.2

2.178

15,405

97

66.4

373

626

54

108.0

186

129

99.5

;

> Ci-

of Re-

ity Re- AverDistrict—

East

_

Appalachian—
1

76.8

District No. 2

81.2

District No.

'

93.9

3,084

6,479

3,334

3,936

356

75.9

1,346

2,857

1,140

1,261
1,041

59.8

70.0

1,011

487

1,018

95.7

3,772

6,078

5,365

300

115.4

946

2,093

1,607

5,245
851

55.9

<fc Arkansas

231

1,184

96.8

Coast

Louisiana Gulf Coast.
No. La.

805

78.3
89.3

Texas

Texa& Gulf

:

87.2

Ind., 111., Ky
Okla.. Kan., Mo
Inland

1+

58

46.0

174

506

352

26

12,373
5,765
1,733
V 7,657
2,041
1,751

No.

3

17.1

District

No.

4___.

72.1

la^joo.o
773

79.9

85.7

4,789

88.6

36

20

413

519

739

2,272

9,930

Copper
Institute revealed that deliveries
of refined copper to customers to¬
taled 104,214 tons, of which 110
tons was exported. That October
deliveries would be larger than

45,126

v?,-

Nov.

10.

Total U. 8. B. of M.
basis
U.

Nov.
B.

8.

Nov.

still

of

11,

-

1945.

3,

4,807

4,682

88.9

15.234

$44,810
47,281

,

52,471

*25,717

46,128

25,858

$50,693

64,122

38,946

38,927

Remain? in^the^namJ S^h1^ gaaoli,ne' Wished and unfinished, title to which

,prod"clng company; solvents, naphthas,unfinished
blending
ultimate use,, and 8 739 0 00 barrels
gasoline this week, compared with 11,947,000 barrels
year ago
These fiSures do
not include any gasoline
which title to which has already passed
which the
military forces may actually have in custody in their
leased Hto'rnpp
tppuiced
in East Coast.
IStocks at refineries, at bulk terminals
ii? transit fnHf»i• Sed
siocks
stocks

cifrrentlv indeterminate
indetermLtP
currently

«
as

to

a

on

or

own

SNot
fuel

Nov.

including
oil

and

or

1,724,000 barrels of kerosine, 4,851,000 barrels of
barrels of residual fuel oil nrodnrpd

gas

Note-Stocks

ofl

rinrf™ IvL

8,587,000

and
,

dfstilhfte
distillate

bafrels anlT? 922 000
4 476 onnh«r'S?ii

1945, which compared with 1,622,000 barrels, 4,986,000
barrels, respectively, in the preceding week and 1,528 000 barrels
and 9.460,000 barrels, respectively, in the week ended Nov
11, 1944.
10,

at

kerosine

of

Nov

10,

1945

ammintPd

against 12,705,000 barrels a week earlier and 14,133,000 barrels
.

;




v,

•

'

•;

■

•

4'476'000 barrels

io™Ma
a

52.000y

Nov.

—

12
13

52.000

52.000

52.000

Nov.

14...

52.000

52.000

at

Chinese, or 99% tin, continued 5
51.1250 per pound.

Quicksilver
Though the market was inactive !
throughout the week that ended
Nov.
14,
there was no selling *

either • domestic"
importers, and the
price was firm at $107 to $110 per
flask, depending on quantity» This
is $1 per flask higher than in the
preceding week. Domestic con- sumption at present is able to ab- J
from

pressure

producers

or

foreign metal is again of¬
fered
at
concessions,
a
fairly v
stable market is thought likely for,v
the remainder of the year.

Nov. 14—Market

San Francisco,

According to a San Franr
dispatch dated Nov. 14, the
market wris quiet, with December
shipment metal quoted at $106
per flask, New York basis.
quiet.
cisco

in

originated out¬

,

I

70 3/40

ounce.

an

reported

London

ket, with the price
44d.

a

quiet mar-A

unchanged ater

ounce.

an

-

_

"

Zinc

Western

Special High Grade. Except
for the disturbed labor situation,
demand for zinc would have been

There

Under

unsettled

present

for

ceiling

an

prices,

conditions, and that higher prices
are
necessary for profitable op¬
erations.

Sales

do

on

Nov. 14 that all out-

battery mak¬

'year

v.

before?
-■ i

&S
.

r

Demand for antimony

amounting

20,000

and

25,000

tons

v

j'm-

% ■

u

>•+

■

i

as

is hereby given?,

outstanding 2'Ak%

bonds of 1946-56, dated

Treas¬

March

15, 1926, are hereby called for

Before

the

war,

when

»

March 15, 194-3, on>
interest on such bonds t

on

will cease.
2.

Holders of these bonds

in advance of

offered

may^t

the redemption date, ;

the

privilege

of

ex-j

changing all or any- part of their-l.
called bonds for other interests,

United

an

and]

official circular governing the

-

presentation and surrender of
redemption un-y

17,000 tons..
Authorities in
Washington continue to list anti¬

■

'

exchange offering will be issued.
3.
Full
information regarding
the

partment Circular No. 666, dated
July 21, 1941.
V
,

to

r

no-s$

production averaged around
38,000 tons of antimony a year,
China's contribution totaled close

world

of

4 i'.t

con^ t

bearing obligations of the

market.

to

tp .me,et the needs of cqn.•

1. Public notice
that all

Treasuryv

-

,

States, in which event public
tice will hereafter be given

supply situation is
tight in all directions.
World supplies are not expected
to increase appreciably until China
again becomes a factor in the

foreign metal will be needed next
month,

,

viewed

roughly 44,000 tons a month, be¬
tween

remains

2%%

of

1946-56 and others
:

active and the

With domestic production
lead

holders

cerned:

be

98%;
consequently
interest
at
present centers largely in De¬

refined

To

bonds of

which date

Antimony

notice t

3%% Treasury Bonds of 1946-56
Notice of Call for Redemption tb

tons

met¬

formal

of call is as follows:

demption

amounted to 128,780
against
134,523
tons
in
August and 121,113 tons in Sep¬
tember last year, the American
Iron and Steel Institute reports.

the

of

text

The

in September

cable makers,: and manufac¬
pigments. November re¬
quirements
of consumers have
been
covered to
the
extent of

of

industry believe

of these,?

•

ury

turers of

cember.

growing

the

,

1946. There are nOw |

March 15,

on

might open up the whole
premium price controversy.
Production of galvanized sheets

been in a position to
anxious far

lead included

are

sidies

in

Consumers

so.

consumers

Sa

standing 3%% Treasury bonds o£-i
1946-56 are called for redemption ■}

that hasty action on smelter sub¬

lead

6f

were

was

members of

Lead

week

most

interest
among smelters in the possibility
thajt the subsidy now paid for
treating "Tri- State concentrates
may end Dec. 31. So far as cart be
learned, nothing definite has been
decided on this question.
Some

upward revision of
holding that pro¬
duction for the peacetime market
is more
costly than under war
OPA

.

The Secretary" of the Treasury :':
announced

bonds.

to

;•

Treasury Calls Bonds
For Redemption I t

outstanding $489,080,100

appealed

of
at

The New York Official price
foreign silver was unchanged

metal.

have

and,

production,

domestic

limiting their purchases to nearby
mills

^

52.000;

and

better.

-

Holiday

Nov.

conditions

more

14,687

'/

52.000

<ll<5
,

ers,

•

52.000

country increased from 45,145 tons
in
September to 70,363 tons in

have sold substantially more

;;i-v.'-"v.\(;\
85.7

10

Silver

terest centering in Prime

refin¬
eries and consuming plants.
Pro¬
duction of refined copper in this

with labor troubles at both

5,758

•

basis

M.

1944

structure

Buying of zinc during the last
week was in fair volume, with in¬

: 88
1,127

15

28

45,936

Nov.

* *

;■

.

September was beset

the fact that

al had they

1945

52.000

of-this country.
x*—

during the last
good volume, in¬
volving 8,249 tons. Demand was
active throughout the week and
producers report that they could

Total U. S. B. of M.
basis

side

preceding month was

those of the

price

which >10,642 tons

7,017

25,077

15,793

-64»2

86.5

California

102

52.000

52.GOO

unless

of lead in ore and
scrap
by smelters amounted to
44,554 tons in September, against
41,132 tons in August. Receipts of
lead m ore totaled 37,587 tons, of

346

.

Rocky Mountain—
District

52.000

sorb

i Receipts

The October statistics of

•Brass

fStocks

duction

to Stills

Capac- Dally

52.000
52:000

lead is strong.

\

SGasoline

% Daily Crude Runs

*

The

*

8

9

104.0

125.8

Deliveries Up—-

sumergv-;

Jan.

Doc.

Nov.

(

Nov.

155.1

109.6

154.7

an<§>

flask." The pub¬
in

lication further went on to say

.

pound for Straits quality tin. Forward quotations follow:

ActiveM)uii|(silver Price Firm

quiet, but firmer at

advance of $J. per

"

unchanged.
Quotations!
on the basis of 520 per

October.

Figures In this section Include reported totals plus an

:

;

T

i

expected, particularly in view of

SRecommendation of Conservation. Committee of California Oil Producers.

CRUDE

Nov.

"

Copper

week ended 7:00 a.m. Nov. 7, 1945.
as of Nov. 1 calculated bn a 30-day basis and
for the entire month.
With the exception of
entirely and of certain other fields for which

shut
down for 6 days, no definite dates during the month being specified; operators only
being required to shut down as best suits their operating schedules or labor needed
to operate leases,
a total equivalent to
6 days shutdown time during the calendar
shutdowns

Lead

the,Held.

tOklahoma, Kansas, Nebraska figures are for
tThls

base were:

"

*

indeterminate amounts of condensate which

include small but

however,

do,

is mixed with crude oil in

108.7.

consuming countries.

The tin situation in this country

an# Mineral Markets," in. its issue of Nov. 15,
104,900
state: 4'Metal producers last we6k were moFe concerned with the de¬
mands of labor in key industries than in"their/own affairs. Work
3,847,100
880,300
stoppages would have a direct bearing on consumption of non-ferrous
metals. So far, the demand for copper, leafeand zinc has been better
4,727,400 than
generally expected for the early reconversion period. Quick¬

condensate

of

deductions

(after

§824,000

4,600,000 ,,;vi

United States

Total

3,616,300

3,740,000
860,000

1926-1928

on

1944,

and

"E. &. M. J. Metal

9,800

97,050

94,200

104,000

102,000

Mexico

Total

1,100

+
—.

11,

while, the British paper holds,
though it would have to be sane-cb
tioned and supervised by the gov¬
ernments of the major producing

133.2

-

Non-Ferrous Metals—Copper

92,150
21,350

Montana

23,200

♦Indexes

50,000

92,000

47,200
95,500

44,900

Michigan

Wyoming

100.0

Nov.

>

tin scheme would seem worth

war

161.0

129.7

142.0
141.7
140.6
139.5
Id;-1945,^10.6; Nov. 3, 1945, 110.4, and

All groups combined

gravel

by

157.3

13,150

4,850

i——

145.1

218.2

126.2
118.3
119.9
105.0

T26.2
118.3
H9-9
105.0

—

were

Nov.

163.1

154.7

„

obtained

was

11,

205,000

13,750

Fertilizer

Fertilizers

80,750

Arkansas

78,000

154.7

Materials

.3

363,150

——-

-

-

.3

—

132.8
160.5
109.8

Commodities

7.1

Total Texas

Coastal

—-

Grains.

144,600
367,900

—

Coastal Texas

118,900

307,000
280,650

464,250

Southwest Texas

5,800

8,000

300,100

East Texas

Cotton...

damaged.

properties

modern

1944
143.7

145.2

163.1
172.0
224.2
165.8
166.1
129.9
132.8
160.1
109.8

173.1
226.6
167.6

Products

Farm

23.0

473,950

418,050

128,000

316,000

Central Texas—

Oils

and

Fats

Nov.

142.3

144.6
146.6

145.0
146.6
103.1

Food

25.3

1,000

50

4,000

t750

—

/

Ago

Ago
Oct.-13,
1945

the

with

pumping, and the remainder was'5
won by various methods.
A post-'1

Year

Week

1945

rotal Index

266,000
;

tons

continued

Nov. 3,
1945

Week
Nov. 10,

Group

been

have

all

not

remains

Month

it"

and

dredges.
In 1940, little more than half the
output of 80,700 tons was ex-: ^
tracted by dredging. Some 28,30(K^

National Fertilizer Association

Bach Group
Bears to the

359,400

370,400

But

PRICE INDEX

WHOLESALE COMMODITY

issue,

recent

a

stallations

series in the index advanced and none
declined; in the preceding week 7 advanced and 4 declined; in the
second preceding week 12 advanced and 2 declined.

to

1944

in

is feared that many of the 122. in¬

During the week 3 price

Ended
Nov. 11,

1945

81,000

Texas

West

East

390,000
249,000

Texas—-

Panhandle

Ended

clared

unchanged.

composite index remained

de-.'

of the dredges, the publication

foods were responsible
products, group showed
the largest gains and reached a new all-time peak$ with its three
subgroups, cotton, grains, and livestock, sharing in the advance and
continuing their upward trend to new high peaks.
The foods index
advanced fractionally, also breaking through to a new high point.
Higher quotations for eggs and potatoes were responsible for this
advance.
The textiles index continued its advance, this being the
eleventh consecutive week that this index has risen.
All of the re¬

Latest Preceding

Nov. 10

hard facts about the condition'

no

equipped

1935-1939=100*

from

production (in Malaya)
quickly, if oil a:,
scale,
"The
Economist,";
London, reports. There are stilt

for the rise in the

maining groups of the

is good reason to believe

tin

small

prices for farm products and
general index.
The farm

Increased

r

.v1
wfil Tin ■
•>:?v«
:

be resumed

can

'

Compiled by The

Week

t390,150
t243,800

'■

:S

WEEKLY

Prevtous

10,

1945

Nov. 1

390,000
270,000
800

Oklahoma

Nov.

Begin.

November

to say:

on

•

There

wholesale commodity price index compiled by The
Association and made public on Nov. 13, advanced
for the week ending Nov. 10, 1945, from 141.7 in the preceding week
to a new all-time peak of 142.0.
The index broke through from its
previous high level which it had reached in four previous weeks, in
June, August and November.
This new high point that the index
has reached is only 1,4% higher than it was at the beginning of 1945.
A month ago the index stood at 140.6, and a year ago at 139.5, all
based on the 1935-1939 average as 100.
The Association's report went

the metals in light

among

mony

supply.

that

National Fertilizer

Week

4 Weeks

Change

Week
Ended

ables

Calculated

Requirements
V

v-

Through to New High Peak

Index Breaks
The weekly

Actual Production

State

Commodity Price

National Fertilizer Associalion

PRODUCTION (FIGURES IN BARRELS;

Allow¬

"B. of M.

Thursday, November 22, 1945

FINANCIAL CHRONICLE

THE COMMERCIAL &

2510

the bonds for cash
der

this, call will be found in De-^1

...

,

-

Volume

162

Number 4440

THE COMMERCIAL & FINANCIAL CHRONICLE

,

,

Revenue

Freight Gar Leadings During the Week

Railroads

Southern District—

fEnded Nov. SO, 1945 Decreased !3,744 Gars
Loading of

totaled

cars,

nounced

on

week of

1944 of

Nov.

This

15.

a decrease
below the corresponding
0.2%, and a decrease below the same
week in 1943 of 9,754 cars or 1.2%.
•
v
Loading of revenue freight for the week of Nov. 10 decreased
13,744 cars, or 1.6% below the preceding week.
Miscellaneous freight loading totaled 366,347 cars, a decrease
(of
2,505 cars below the preceding week, and a decrease of 28,139 cars
below the corresponding week in 1944.
Loading of merchandise less than carload lot freight totaled
116,493 cars, an increase of 264 cars above- the preceding week and

1,286 cars,

was

or

.

ah

increase

of 8,288 cars above the corresponding week in 1944.
loading amounted to 183,684 cars, an increase of 3,000 cars1
aboye the preceding week, and an increase of 28,180 cars above the
corresponding week in 1944.
/
Grain and grain products loading totaled 57,340 cars, a decrease
of 1,730 cars below the preceding week, but an increase of 5,829
cars above
the corresponding week in 1944.
In the Western Dis¬
tricts alone, grain and grain products loading for the week of Nov.
10 totaled 30,276 cars, a decrease of 1,098 cars below the preceding
week, but an increase of 2,947 cars above the corresponding week in

Coal

1944.

Livestock loading amounted to 25,942 cars, a decrease of 1,888
below

cars

the

preceding week but'an increase of 3,495 cars above

corresponding week in 1944. In the Western Districts alone load¬
ing of livestock for the week of Nov. 10 totaled. 20,821 cars, a
decrease of .2,228 cars below the preceding week but an increase of
3,259 cars above "the corresponding week in 1944.
Forest products loading totaled 33,727 cars, a decrease of 2,281
cars below the preceding week and a decrease of 6,224 cars below
the corresponding week in 1944.
v
Ore loading amounted to 42,143 cars, a decrease of 9,456 cars
below the preceding week and a decrease of 11,411 cars below the
corresponding week in 1944.
•
;
Coke loading amounted to 12,542 cars, an increase of 852 cars
above the preceding week, but a decrease of 1,304 cars below the
corresponding week in 1944.
:
All districts reported increases compared with the correspond¬
ing week in 1944 except the Allegheny, Northwestern and South¬
western.
All reported increases compared with
1943 except the
the

'■'"r;:"..■..T:

?r*>-

^

/'

Southwestern.
1943

:

1944

iy45

4

Weeks

of

January

3.001,544

Weeks

of

February

3,049,697

Central of

3,154,116

Weeks

6

March—

of

4

Weeks

of

Weeks

of

May

0

weeks

4

Weeks

4'018,!?oo

r-

April——,

4

of June———
of

July—

*

—

—

——

a*

4

Weeks

of

5

Weeks

of September—-—-———--——

4

Weeks

Week

August

of

of

—

r—

November

;

3.1

Week of November 10-^—-,—.——w*—,

4.116,728

:

October—

3,275,846
3,152,879
3,441,616
3.363,195
4,338,886 *4,003,393
3,459,830^1
3,455,328
3,576,269
^.554,694

3,374,438
3,452,977
4,364,662
r 3.378,266
3,240,175

--.3,150.712
;
851,962

,

838,218

■

3,598,245
®93,069
-

Germany Economically

——

Georgia

Charleston & Western Carolina_.
Clinchfield

Byron
Price,
special
investi¬
gator for President Truman, told

'

Columbus & Greenville_:

Durham & Southern-"-—;
Gainesville Midland

White House reporters on Nov. 15
that French policies are

Georgia

to

Florida East Coast

leading

—

Georgia & Florida

Germany contrary to the aims of

Gulf, Mobile & Ohio——.

the

Illinois Central System

,

3,607,851

,

070

^

847,972

839,504

37,008,427

38,076,833

36,838,006

-

of the freight carloadings for

The following table is a summary

,

railroads and systems for the week ended Nov. 10, 1945.
During this period 71 roads reported gains over the week ended
Nov. 11, 1944.
*'
5
*• :
the separate

s

AND RECEIVED FROM CONNECTIONS
(NUMBER OF CARS J WEEK ENDED NOV. 10
7
*11 - Total Loads

•

;

'

Railroads

xx

xr* Total Revenue.

dispatch
from
Washington,
on
Nov. 15, which also had the fol¬
lowing to say about the remarks

Mississippi Central
Nashville, Chattanooga & St. L.¬
Norfolk Southern

Piedmont Northern

of

;

Richmond, Fred. & Potomac

;

1943 | #

^ 1944

1945

-1,362

1,459

310

,-v,,

888

317

1,814

2,667 •£.<•&"

7,019

6,382

8,848

1,389

1,241

1,350

42

34

42

36

-1.116

1.031
5,002

1,016
6,177

.2.391

2.473

4,785

10,251

12,215

7,453

7,771

7,627

'7S2

369
1,932
339
13,286

251
2,054
324
13,161

8,727

—.

Centra! Indiana

Ce£!v"rmont~r:u:„;„..-.-Delaware & Hudson

—-

Delaware,; Lackawanna & Western

Mackinac—U—

Ironton—.
Detroit & Toledo Shore Line
Toledo

505
l,r31
375
11,724

&

Erle

—

;*-*»-

;_——***

Grand Trunk Western-——

— *-»-

L^hleh

J-

197

J87

Southern System—;

President

Tennessee Central

refused

Winston-Salem Southbound

Chicago, Milw., St. P. & Pac
Chicago, St. Paul, Minn. & Omaha.

Mr.

^Snongahela—Z—-----------

»

6,313
3,064

Montour—

.

New York Central Lines-

4K?i
6,347

*?

865
6.46G

;

consent

Spokane, Portland & Seattle

Rutland

/

i.

,

,1

,i

330

-**-*

;

-

■u-*******-...

meelinF&L^e"Erte--J---------.

5J31

5,531

'

157,222

'

155,214

13,914
2,091

Mr.
until

Bessemer &

Lake Erie

Buffalo Creek & Gauley*.—..—
-Cambria

St

636
43,988
4,654

£
*

.

*

Ind'ana—1,669
6,360

Central R. R. of New Jersey-*-*—..

Cornwall-—-

Cumberla'nd

&

PennsylvaniaJ——

1 Iffnnipr Vallev

Island

500
289

——

——

•

—

—

50

•

1,604
1.756

-

731
44,313
4,686

.

-

1,879
7,688
6,339
13
197

^

1,935
6,999
6,969

,

;

1,920

2,793
12,015

3,630

4,326

1,197

192,364

217,474

;

101
1,788

Pennsylvania System

82,580

Rpariine Co

14,426

15,407

16,207
4,401

tsburgh)

-

-

B

*

12
15,742
62
11

7,320
625
232
141

,

'

3,924

;

8

6
19,444
40
;

,

.

•

w

J

41

Southern Pacific (Pacific)

trol

i-'y '

•*

i

Ch'sap^akJ" Ohi^C—Sorfolk

& WMtern

here

on

begun

France's
con¬

the

industrially valuable
' ;
V'
Couve
de
Murville,

Ambassador, has opened
negotiations with-State Depart¬
representatives, but Ameri¬

Southwestern District—

ment

Burlington-Rock Island

officials

can

Gulf Coast Lines

not,

are

ences

expecting

a

speedy solution.

Kansas City Southern

at

London

and

Moscow

and

agreement is needed in each
instance before a policy decision
can
be made.,-

.itcniield & Madison

Vlidland Valley

Separate confer¬
being
held
the
by

are

French

Louisiana & Arkansas

;

Missouri & Arkansas
Missouri-Kansas-Texas Lines.
Missouri Pacific——

St.

Louis-Southwestern—

Texas & New Orleans

Texas & Pacific*——
Wichita Falls & Southern..

of

member

•Not

reporting,

Note—Previous

year's

"Times," to have died on Nov. 12,
sixty-second birthday.
Mr:

figures

Mott

revised.

war

We give herewith latest figures received

by

us

the
188

from the National

Paperboard Association, Chicago, 111.* in relation to activity in the

paperboard industry.
The

members

of

this Association

industry, and its program includes
member of the orders and
cates the

figures

a

of

the

total

statement each week from each

production, and also

activity of the mill based

83%

represent

the

on

a

operated.

These

advanced to equal 100%, so that they represent the total

are
■

MM-

'•

STATISTICAL

v

Period

;

:

Aug.

4

Aug;

18—r

Aug.

25.

——

—

1.—————,

14.665

23,780

28,170

Sept. 22

18,649
4,194

4,792
10,119

5,588
12,523

Sept. 29

Oct.

27

21,608

6,843

7,013

4,920

1,850

55,951

^ 22,578

2,587

488,289

r 99

173,322
160,857

128,061

494.699-

159,653
V-

r

125,683

•:

160,303

'

Percent of Activity
Current Cumulative

515,295 V
489,702

151,365
155,428

97'

.'

94

80

v

93

r

96

93

96

93

—

*

*——

154,147

533,087

95

160,031

506,935

97

134,324

4

93

93

492,880

*

,

94

'

527,938

i;;

193,674

Ncv.

18,541

93-'

161,763

131,952

Remaining

135,756

20—.—

22,058

67

162,065

Oct.

3

94

532,186

150,029

6—

10

94

94

109,034

4*.

169,599

Nov.

577,024
582,785

94

153,368"

——

13

13,406

Tons

153,694

157,653

82,362 >

8

Oct.

Tons

-223,467
——

Production

Tons

*

Aug. 11:

Lumber Movement—Wefek

Ended November 10, 1945

155,723

489,971

96

140,583

156,551

468,549

98

201.060

156,223

511,022

97

162,023

157,617

509,984

97

According to the National Lum¬
ber

Manufacturers

Association,

lumber shipments of 451 mills re-,

porting

the

to

were

National

Lumber

10.1% below pro¬

duction for the week ending Nov.
^

Unfilled Orders

Received

1945—Week Ended

Press, his death leaves
with
241
Democrats,
Republicans, two members of
House

Barometer

REPORTS—ORDERS; JPRODUCTION, MILL ACTIVITY
Orders

Navy.

frequently--at.
the needs of the post¬
According to the As¬

other parties and four vacancies.

figure which indi¬

time

presided

on

sociated

Weekly Statistics of Paperboard Industry

Sept. 16*.

■

had

hearings

65,668

13.885

Naval Af¬

his

tIncluded in Midlahd Valley Ry,

62,304

29.423

House

Committee, was reported in
special advices to the New York

Sept.

25.361

of the

fairs
Total.

Sept.

^0.681

Representative James W. Mott
Oregon, ranking Republican

*

Weatherford M. W. & N. W

5,214

152,540

3,581

United

have

French

2,558

182,544

5,023

over

Rene
Total.

1,638

»■

the

that

France

Ruhr and Rhineland.

Western paciflc-*.*---ii**»«*.

4,371

182,810

179,120

and

proposal to strip Germany of

Union Pacific System
Utah

Oct.

■

known
-

conversations

*_.

Toledo, Peoria & Western

2,013
80.726

:

Total—i-—-"-—-

is

from

he

States

Peoria & Pekin Union

1,480

/

19,411

Un iontPi t

—.

1,192
27.445
■
1,702
•

,

1,054

1,503
6,178
586
172

1,855
82,161

•Penn-Reading Seashore Lines

1,113,24,494
1,790

365

>

President

came

City

North Western Pacific

^34

233

4,584

•

it

it with

over

Nevada Northern-

2,919

13,776

,

1,014

803
45,364
4,911

go
The

Truman.

Missouri-Illinois—.

Fort Worth & Denver

Illinois Terminal

industry.

-Baltimore & Ohio-*

of

publication
finishes a study of it.
Mr.
Price
gave
his
informal
summary to reporters as it be¬

Allegheny District—

"Akron, Canton & Youngstown-4--^---'.

to

withholding

18,148

11,149

162,033V

today

Colorado & Southern
Denver & Rio Grande Western.

290

341

.

zones

days ago and called at the White
House

3,871

281 ~

1,435

6,082

any

cials and the German population.
He made his formal report several

;

Chicago, Burlington & Quincy.
Chicago & Illinois Midland—
Chicago, Rock Island & Pacific.
Chicago & Eastern Illinois

1,602
13,646

6,181

^ -

303

6,972

veto

French and Russian

can,

20

632
7,534
5,370
777.,
372

can

occupation surveying relations be¬
tween military government offi¬

Atch., Top. & Santa Fe System.

5!'il1

6,854

Wabash

1,565

7,987

3,476
18

:

power

passed two months in the Ameri¬

;

—

Central Western District—

Bingham & Garfield

one

plan favored by the other three.
Mr. Price, who was the Ameri¬
can
chief censor during the war,

Spokane International

n'?n«

SS

1,101

He remarked that under

four-power Control Council
system of operating by unanimous

Minneapolis & St. Louis

2,402

1,713

356
7,253
5,500
678
306
1,094

,.

2,392
16,512

2,252

5,939
10,153
1,199.

448
6,720
Pere Marquette
—5,846
Pittsburgh & Shawmut——
902
Rtttsburg. Shawmut & North——*.
185
Pittsburgh & West Virginia—--—- '
965.

132

I*187

-MS

.

•

6,715

9,922

Hartford--—:
—
New York, Ontario & WesternuiLi^iL^
New York. Chicago & St. Louis
——
N: Y., SU5(juehanna & Western
—
Pittsburgh & Lake Erie——
N. Y,, N. H. &

45

'

v

120
1,198
2,556
14,671

1,553
8,248
2,208

:

particularly

Quanah Acme <fc Pacific—

207

,

referred

the

Ishpeming

Minn., St. Paul & S. S. M
Northern Pacific..;

Alton—*

Price

systems.

Bay & Western

Total—********

had

plans of

any

portation, postal and crop-control

Ft. Dodge, Des Moines & SouthGreat Northern

.

to

agree

to France's refusal to agree to any
over-all plan for operating trans¬

Duluth, Missabe & Iron Range
Duluth, South Shore & Atlantic
Elgin, Joilet & Eastern

y:r

call to see the

result, he said, critical conditions
can be expected this
winter, with
starvation, riots and disease a dis¬
tinct possibility.

Northwestern District-

Lake Superior &

to

a

that .France

the Allied Control Council to keep
Germany an economic unit. As a

—

Chicago & North Western.,
Chicago Great Western

Green

said

St. Louis-San Francisco

x

8>8^8

1,491
7,808
2,022
5,745
,2.281

2,304
8,464

' 2,741

-

•

1,907

;

,

3,828

o

-

iSine CehtraCtlC

.

4,166

,

Lehigh & Hudson River-—'
Lehigh Sz New England
-—
ValleV
!

Total

f

2,223

Boston & Maine

Chicago, Indianapolis & Louisville

Detroit,

403

463

.

Bangor & Aroostook

Detroit &

/.,! 1944

1945

Eastern District-

Ann Arbor—

Mr. Price:

Mr. Price after

Seaboard Air Line

Total—

an

Kansas, Oklahoma & Gulf

Received from,;
Connections
;

H Freight loaded

agreements This is
Associated Press

learned from

Macon, Dublin & Savannah

tnternational-Great Northern.

LOADED

REVENUE FREIGHT

Potsdam

Louisville & Nashville.

'

"''"Total ——I

"economic dismemberment" of

Denver & Salt Lake—

2,910,638

3,158,700

4

Will Dismember

Atlanta, Birmingham & Coast—.
Atlantic Coast Line

.

Eastern, Allegheny, Centralwestern and

Says French Policy

:

,

Atl. & W. P.—W. R. R. of Ala.„.

freight for the week ended Nov. 10, 1945,
the Association • of American Railroads an¬

revenue

838,218

:.';i

Alabama, Tennessee & Northern

93
*

94

10,

1945.

orders

of

In the
these

week

same

mills

were

new

7.7%

less than production. Unfilled or¬
der files of the reporting mills
amounted to

80%

of stocks.

For

reporting softwood mills, unfilled
orders are equivalent to 28 days'
production at the current rate,
and gross stocks are equivalent to
33 days' production.
For the year-to-date,
of

reporting

shipments
identical mills ex¬
4.1%; orders

94

94

:

ceeded production by

by 6.5%.
Compared to the average cor¬
responding
week
of
1935-1939,
production of reporting mills was

94

94

Notes—Unfilled orders of the prior week, plus orders received, less
production, do
not necessarily equal the unfilled orders at the close,
Compensation for delinquent
reports, orders made tor or filled from stock, and other items made necessary adjust¬
ments
of
unfilled
orders.
'
,

Tntnl




57,762

?47,483 ^

»

23,006

29.2% less; shipments were 29.0%

less; orders

were

27.2% less.

Thursday, November 22, 1945

FINANCIAL CHRONICLE

THE COMMERCIAL &
2512

of of the Mercantile-Commerce Bank

Bank

National

First

The

of

The National City

Rocky River.

I and Trust Company, St. Louis;

Fletcher Named V.-P.

acquired the assets Entering the Armed forces in July,
1942, Major Walker was assigned
and the business and assumed the
liabilities of The First National to the Flying Training Command
Bank of Rocky River, subject to as Squadron Commander. In Jan¬
1944, he joined the Air
the approval of their stockholders uary,

Bank recently

Items About
Trust
meeting

a

Craig S. Bartlett;
Alfred K. Fricke;

John J.

regular meeting

City

al

of the

appointed Assistant Cashier at

of the Nation¬
Bank of New York held
20, E. Theodore Gardner,

Nov.

on

formerly

an

appointed

wa 5

President..
;•

,:.rP.'V1:. —

•:

<■

■.

.?./.*:* >:• 9,-. fr#

in

last assignment

is the
policy of locating
number of banking of¬
a

River,

has

made

Chair¬
Urner-Barry

National Bank & Trust
York has announced
that it has inaugurated personal
loan service, with loans ranging
from $60 to $5,000, repayable in
12 to 24 month installments.
This
marks an extension of the bank s
service
in the consumer credit
of New

Reid.
Five years
became associated with

Whitelaw

der

Ray. M.

Mr. Fletcher

succeeds Reu¬

Correspondent Bank Di¬
of
Mercantile-Commerce

ben

resigned to

represent the bank in his

and will

previous territory of the Southern
and Southeastern states.
The stockholders of

a

the Anglo-

vide funds to retire

the banks $15

! million prefered stock, which is

New York and at
Boulevard
near
63rd
Drive, Rego Park.

1930

as

Vice-

become

Cincinnati.

Luther

J.
of

the

has announced

Reidar E.

Gundersen as As¬
of the Com¬

Treasurers

sistant

its stockholders of record
Nov. 14, 75,000 additional shares
of common stock on a share for

ing

the
appointments of John R. Currier
and

Trust

and

Company of Philadelphia is offer¬

Cleveland, President
Trust Company

Guaranty

of New York,

Bank

Title

Land

to

share

the

stated

bank,

ommend

nual

111., on Nov. 13 declared a
quarterly dividend of $3 per share
payable Jan, 2, 1946 to stockholders
of record on Dec.. 19, 1945.

President of

he

increase

an

dividend

would
in

the

on

the

rec¬
an¬

common

plan will

of

time to time reserves were

The
net income of the Company for
1944 was $1,419,641.58.
For the
first 10 months of 1945 net income
is about 20% above the first 10

share.

subscription basis at $35 per
The proceeds will be used

retire

all

of

the

bank's

and undivided profits.

months of 1944.

,

p

pany,

pre¬

fred W;

S.

Fletcher

of

Inc., of Washington
Hollywood, is now in Wash¬

Company
Nov. 15, the

Trust

of New York held on

following elections

wpre

ized, effective Dec. 1.
^

/tinues

as

G.

'

-

<

-:

Kimball,

executive

chief

officer

of the bank.
John M.
President
was

Budinger, Senior Vicesince
January,
1944,

elected President.

William

T.

Taylor,

who

was

formerly President

of the Union
of Springfield,
Mass., and more recently VicePresident of the Guaranty Trust

Trust

Company

Company of New York, was elect-




against

its

"Other Real Estate.",

holdings

of

V

author¬

President
since January. 1939, was elected
Chairman of the Board, and con; Walter

serves

Bodman, until re¬
the staff of Lt. Gen.
Levin H. Campbell, Chief of Ord¬
on

It is learned from the Philadel¬

Northwestern

National

•

Bank

Minneapolis, with promotion
Assistant
Vice-President,
J.

&
of
to
F.

Ringland, President, announced on
Nov. 16, the Minneapolis "Jour¬
10 that the directors of the First
nal" reports.
The item in the
National
Bank
of
Philadelphia
paper indicated further said:
have voted to transfer $500,000
"Former Assistant Secretary of
from undivided profits to surplus,
the bank, he will serve as loan of¬
thus increasing the amount of the
ficer.
He has been' employed by
surplus
account
to
$6,000,000.
the
bank
since
1930
following
Capital remains unchanged at $3,graduation
from
University
of
111,000 and undivided profits will
Minnesota."
-. ' ;
be slightly in excess of $3,000,000.

phia

On

"Evening Bulletin" of Nov.

Nov.

19, the Rocky River
office of The National City Bank
oi

Cleveland

as

a

opened for business

continuation

of the

Major J. Carroll Walker has re¬
turned,
after
more
than
three
years

Fletcher

H.

William

the

has

brought

of

a

very

officers

bank

throughout

directors

and

Federal

Fourth

the

work

,His

into personal
large number

him

contact with

departments

Bank.

Reserve

Reserve District and he has a wide

acquaintance among bankers and
business men.
He had an impor¬
part in handling the banking

tant

of

problems

holiday;

bank

the

period.

JJ

'

Fletcher

Mr.

ington

participating in President

Athens, Ohio, and was graduated
from Ohio University in 1907 at
the

After three years
Athens

of 19.

age

assistant manager of an

as

business

he

concern

became

He

1910.

in

a

was

when
Reserve
of its account¬

examiner in February, 1918,
he

Bank

Federal

the

joined

manager

as

ing department.

M

later

time

short

A

chief

and,

for

examiner

bank
the

he

the

became

Reserve

his- return from
1919, Mr. Fletcher

upon

in

Army

organized and operated the
For

bank's

department.
months during 1920-21

Examination

Bank

seven

assigned

was

tional

U.

;;.vU;

1

■" '

Trust & Savings Bank of Los Angeles, Cal., will inaugurate its
34th office serving

the greater Los

Angeles area with the-opening of
its newly constructed Morningside
Park Branch.
H. D. Ivey, Presi¬
dent of Citizens

menting

on

the

National, in com¬
new

branch office,
citizens of

said: "For many years,

Park
area
have
convenient banking fa¬

S.

He

to

assist in

as

conducted by the

a survey

of Insular

Bureau

an

Na¬

P. I.,

at Manila,

Bank

ference.

'

an

examiner
National Bank

assistant National Bank

part of

Mr, Hale, isf another of the Pa¬

;

in

born

was

he

Affairs..

assistant Federal Reserve

was

from 1923 to November
1934, and acting Federal Reserve
agent from that date to the. time

agent

election

of

his

on

Vice-President

Aug. 1, 1936,

as

.

.

Fletcher

became
Vice-President
the
number
of
state member banks in the Fourth
District has been increased from
105 to a record- high of 229 at
Mr.

Since

is

and

present,

tinual increase.
al

showing a con¬
Including nation¬

member

banks,

the

banks in

District now total 720.

China to Get U. S.
States

United

Credit

from the
post-Lend Lease

receive

to

is

? China

a

approximately $50,000,000, with "no munitions included,"
the Associated Press reported it
credit

of

informed by a Govern¬

had been

Washington, Nov.

ment official in

13, who stated that the transaction
was
designed to allow China to

goodsv ordered
under
but not delivered by

procure

Lend-Lease
V-J

Day.

said

to

Most of the items are
machinery, machine

be

tools, textiles and some
raw materials.

of

ager
has

the

office

main

Bank
in

trucks and

of Montreal's

London,

England,

appointed as Assistant
Manager at the head of¬

been

Morningside

General

wanted

fice of the bank in Montreal. Mr.

a

pleased that we
have, at last, been able to erect a
modern bank in. the area to fill
cility.

We

this need,
be

used

to

are

and our resources will
promote the develop¬
community."

ment of this

in the Armed Forces, to his

business 1 former position as Vice-President

Discounts

Loans and

examination of the Philippine

„

and

Bank

the

Distributors,

which position he
places

Bank

has

been in charge

and

Stocker

tional

•

c e-

President, Mr.

Truman's labor-management Con^

Col. Henry T.

cently

cently appointed President of the
Motion
Pictures
Producers
and

and of John J. Moran, Al¬
cific Coast's succesful and
pro¬
C. Spindler and Kenneth ferred
stock,
after which the
gressive
young
business
men.
nance, has been re-elected ViceBoard expects to resume dividend
as Assistant Secretar¬
Born in San Francisco in 1902, he
ies.
Mr. Currier and Mr. Moran payments on the common stock. President of the National Bank of
began his career as a stock boy in
have
recently
returned
to the The subscription rights are evi¬ Detroit. He has been on leave of the San Francisco store of Hale
absence from the bank since Jan¬
by
Warrants
and
are
Company from military leaves of denced
Bros., Stores. Inc., in 1926. He be¬
transferable by assignment.
absence.
The uary, 1941, according to the De¬ came
general manager of Hale
subscription period will end at troit "Free Press" of Nov. 15,
Bros.; Inc., in. 1938. Five years
which also stated:
John E. Bierwirth, President of noon on Saturday, Dec. 1. The ad¬
later he was elected President of
"With the bank since its organ....
the
New York Trust
Company vices from the
company
also
announced on Nov. 15 the election state:
ization, Mr. Bodman was elected: {J1® concern,
"A number of holders of com¬ an officer in 1935 and promoted, ,h°lds today. In taking: his
of Lieutenant-Colonel William H.
on
Gambrell as a Vice-President in mon stock who own in the aggre¬
to Vice-President in 1938.
tde Bank of America board he fills
./T
wi" ..iJ '» the seat occupied by his father,
the Personal Trust Division.
gate more than 50% of the out¬
.Raymond
J.Hodgson was also Marshall Hale;, Sr„ many yean
Colonel Gambrell practiced law standing shares have agreed' to
elected a Vice-President of the Untu his death ten days ago.
in New York City, prior to the purchase from the bank, at $35 a
bank. ;. He was assistant examiner
war, with the firm of
Cravath, share, any shares which may not of the Michigan State Banking
Thomas J. Flynn, recently re¬
deCorsdorff, Swaine & Wood, spe¬ be subscribed for by holders of
Department, 1928-29; with Detroit turned from military leave, has
cializing in trusts and estates. In Subscription Warrants. They will Trust
Co.,
1930-32; the Detroit been elected Assistant Vice-Presi¬
September 1942, he was commis¬ buy the shares as an investment RFC, 1933-41, (manager 1938-41); dent of Bank of America and
ap¬
sioned
in
the
Judge Advocate and will charge no commission.
and President of Graham
Paige
pointed to an administrative post
General's Department, Army of
"When the financing has been
Motors Corp., 1942-45.
He will with the business e^dension " de¬
the United States, and was as¬ completed the bank's capital funds
direct
the
bank's mortgage de¬
partment, Los Angeles headquar¬
signed to contract work in the will be common stock $3,750,000,
partment.
ters, the Los Angeles
"Times"
service of supply.
1
surplus $3,750,000 and undivided
T,
n
tu
hit
u
j
stated on Nov. 6.
.
profits approximately $1,000,000.
Lt.
Comm.
John
Moorhead,
At a meeting of the Board of About
$1,000,000
will
also
be with his release from naval duty,
Dn Nov;' 24, Citizens National
Directors of The (Commercial Na¬ added to the bank's valuation re-1
to

V i

As

of

quote:
"W. H. Thomson,

cago,

serves

..

of

.

Na¬

also

,

York.

c e-

First

tional Bank of

^

New

exec¬

V i

utive

President

Examination, *
Bank Relations, and the/Credits/

almost

owned

created and Marshal "Hale,
Jr., to the
out. of current and
accumulated board of directors of the Bank of
President, and served in that po¬
It is now possible, it is
sition until his retirement in 1942. earnings.
America, of San Francisco, is anstated, to measure more accurateCity Bank Farmers Trust Com¬
ly the'need for certain of the re- nounced by A. Mr. Johnston, now
J Gock, Chairman
Franklin H. Gates, retired Viceof the Board.
pany of New York has been ap¬
President of the Chase National serves created and the board has completing
his fourth
year
as
pointed Transfer Agent for 5,000
authorized the transfer of $2,000,President
of the
United
States
shares Capital Stock of $100 par Bank of New York died on Nov.
000 to surplus from released re¬
8 at the age of 57.
■ ;
• |
Chamber of Commerce and
re¬
value, of The Merchants Bank of
in

National

Chase

Hays,

entirely by the
RFC, it was stated in the Wall
Street "Journal," frcni which we

and

unallocated

Queens

B.

the

I

ington Avenue,

bank.

the

of

stock to $1.50 a share after the financing has been completed. The
sonal loans on st0cksy.bonds>say¬ the Urner-Barry Company, Pub¬
J current rate is $1 a share.
ings account passbooks and on lishers, and in .1928 was elected The directors have recommended
j
"The plan contemplates giving
new and used automobiles.
It also President. For 48 years Mr. Taber
to stockho.ders that at the an- stockholders the right to purchase
makes
FHA Property Improve¬ served as a Trustee of the East
nual meeting to be held Jan. 14, Qne new sjjare 0f COmmon stock
River Savings Bank. - He was a
ment loans ranging from $50 to
the shares of st°ck be increased at ^3Q a shai.e for eacjj two shares
member of the Executive Com¬
$2,500, repayable in monthly in¬
from 120,000 to 600,000 and the noJJ, held
stallment? over a period of one to mittee and the Chairman of the
par value be reduced from $100 i
1
'
three
years.
The new personal Examining Committee.
to
$20. Upon approval
by the
/'Consummation
the
loan service is being made avail¬
stockholders each stockholder will f^e the bank $15 million of capCharlton Bagley Bunce, retired j
able at all three offices
of the
receive five new shares in lieu'ltal< $5
milium ot surplus and
Sterling National Bank & Trust Vice-President of the Chase Na¬
$4 million of undivided
tional Bank of New York died on of each share now held. The com- 3^out
Co., at Broadway and 39th Street,
reserves,
Nov. 8 at the age of 65. Mr. Bunce pany announces that during the (Proflts and
New York, 42nd Street and Lex¬
first became connected with the 1 depression and war years, from1
Election
of Eric A. Johnston
he

later

also extends per¬

The bank

field.

GidPresident

ney,

vision

Assistant
lyn, New York.
Cashier respectively of The Na¬
Mr.
Taber, born in Flushing,
tional City Bank and will continue
Long Island in 1857 went West at
with the Rocky River Office.
the age of 15, settling near New¬
town Kansas. In 1877 he came to
The Directors of the Chicago
New York City, as Market Editor
Title and Trust
Company, Chi¬
of the New York "Tribune," un¬
Vice-President

H.

1945,
it
was
announced by

The

formerly officers of the
Rocky River bank, are now Assist-

William

fective Dec. 1,

with the

Brown,

Cleve¬

of

Fletcher First Vice-President, ef¬

San
National California National Bank,
City Bank of Cleveland and will Francisco will vote on Dec. 14 on
prosposal to
issue 250,000
be in charge of the Rocky River. the
Office.
Frank Mitchell and F. W. shares of common stock to pro¬
of

of

Bank

elected

today

the

directors

Reserve

ation, Marietta, Ga.
Mr. Walker
has
resumed his
former, duties

located out¬

been

being Contracting
Bell Aircraft Corpor¬

at

Officer

district.
Hoag, formerly President
First National Bank of

Vice-President

ant

Sterling

Co.

Rocky

the

Company died Nov. 13 at the age
of 88 at his residence, in Brook¬

5

;

of the Board of

The

of

William Clarkson Taber,
man

branch operation

places of business are
"John

land

of

board

The

Federal

Contracting Officer at three air¬
craft
manufacturing plants, his

side of the downtown

main' office.

Assistant Cashier^
an Assista nt Vice-

-

Gersten,

Burge, recently, re¬
turned from the Navy, has been

Board of Directors

limited

busi¬

throughout
the
Greater
Cleveland area, in order that The
National City Bank might better
serve
its many customers whose

Alton J.

ant

step

Bank

of its

at

By Cleveland Reserve

Wright Field, Dayton, Ohio. Prior
to receiving his discharge, Major
Walker served as Army Air Force

fices

President
of The Public National Bank &
Trust Company of New York, an¬
nounced on Nov. 19 that Lieuten¬
Chester

E.

as

a

Vice-

General

Presidents of the bank.

Richard S. Carr;
G. K. Handley;

'

At the

designated

been

a

ness

this

of

continuance

first

have

Norman, Jr.,

acquiring

the

and

Martin, George S. Mills

Bradford

and

Toensmeier;
Harvey Weeks, and Porter L. Willett.
Charles F. Mapes was apptifoted Assistant Treasurer.
<

"The

Vice-Chairman

Director and

a

Command

Service

Technical

which approval was given at a
meeting held on Nov. 15. Advices
from the bank Nov. 19 stated:

of the Board.

Johnson; J. A.

E.

J.

Companies
ed

of the Board of
Trustees of Central Hanover Bank
and Trust Company of New York
held on Nov. 20, the following
were
elected
Vice-Presidents:
At

Banks,

Edward

Pope, for 12 years man¬

Pope

has

been

connected

with

the bank for more than 20 years,

serving

in

Canada,

England and

France. His duties in London will
be

taken

over

by

the

Assistant

Manager, Allan D. Harper.

.