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Final Edition
TH URSDAY
i"
>
In 2 Sections
Section 2
-
iV.\T«
(>
Beg. XJ. S. Pat.
Volume
156
Senate
Number 4104
New
Group Votes 45% Normal-Surtax Rate
York, N. Y., Thursday, September 3, 1942
The
Senate
tax
new
on
excess
provided in the House bill.
as
post-war credit refund
taxes
and
than
voted
80%
of
that
Page
80% Ceiling
its
profits tax of 90% for corporations
Senate group also approved a
excess«*>
Treasury
Committee
to
mal-surtax
rate
had
urged
increase
to
the
55%
the
nor¬
with
a
post-war rebate of 12%. ;;
It was estimated by Committee
:
members that these actions would
reduce
corporation
revenues
about:.;
$800,000,000
below
by
the
House-approved schedules, most¬
structure
the
on
corporate
virtually
was
pleted,
although the
technically tentative.
votes
The Senate Committee
% Taxes on
dated returns of affiliated
$300,000,000,
stood
the
Senate
it
is
bill's
under¬
yield
is
only
$5,171,000,000.
The
House-approved bill was designed
now
to
yield
$6,271,000,000,
while the
Treasury
was seeking to raise the
yield to $8,700,000,000.
V,
:
However, the Senate Finance
Committee also acted to raise the
yield by from $50,000,000 to $80,,
000,000
when
it
reduced
$10,000 to $5,000 the flat
profits
tax
exemption
by the House.
1
Senator
George
Chairman
of
from
excess-
approved
f
:
(Dem,,
the
,
Senate
Ga.)
809
Yields....
819
Items About Banks and Trust Cos...
824
Trading
On
5
Brokers'
permitting
General
addition
proved
and
its
The
the
Fertilizer
is
group
on
*
ap¬
Pig Iron
*
losses
Finished
of
the
all
on
in
year
of
certain specified exemptions.
Under the program, the spend-
(Continued
group,
on
of
Section
(See
2
in
icie.;')'.;
notice
Aug.
first
on
27,
1942,
Mere
page
"Chron-
Prepared
to
Assist
i
United
Nations •..810
Speakers
Mtge.
at
Bankers'
ference
Con-
•
810
........,
Explain Tax
Deductions
for
Adver¬
iterations of
812
..
Spartans
Conference
AHEAD OF
NYSE Survey Notes Inflation Brake 812
Workers, Farmers Absorb War Profits 812
Savings and Loan Assets Higher. .812
"Labor""" Arbitration
in
.Wartime";
NEWS
Booklet
New
Payment
"•
By
CARLISLE BARGERON
; ;
/
Interest
NYSE
In
it is fascinating to watch a "problem" develop in
Washington and then move towards a solution.
The "problem" of
meat appeared a few weeks ago in the Eastern States.
In a coun¬
try which a few years ago was killing little pigs, housewives be¬
gan experiencing an inability to get certain kinds of meat.
First,
a
way,
housewife
one
got around
the
had
experience, then another
the word has a way $>•
as
The word
one.
War
.....:.
812
Buy Scrap Metal.v.
818
...
British
San
on
.
.
Agency to
Gibson Heads
"
-
812
v;..
.
Red
Paulo
Cross....
7s
818
818
......
Pernambuco 7s
on
818
Changes Trading Units. ....,• 818
Appropriations Exceed $220,-
000,000.000
.....
818
.......
Willkie to Visit Russia
A ^ 818
E. Boards Ask Owners'; Coopera-;.-'".^;
R.
XXX* Xt%;y ;.;%,;:,v,%818
tion
Export Advertising Tax Deductible..
Remove
••
Price
Services
NYSE
Ceilings
818
Retail
on
»■•„;; ;
823
,
Reports Lower Corporate Earn-
■
of
cause
the so-called shortage is
something; the housewives have
knew,
there
was
a; collective already ; been
experiencing and
housewives' squall that landed in Mr. Roosevelt's explanation of the
the headlines.
A meat "problem" possible. necessity
for
meatless
getting
wives,
and
around among house¬
the first thing you
.
had
in
landed
the
laps of the
bureaucrats,
those
fellows who know all, see all and
solve all.
In this instance, they
had a ready explanation.; It was
Washington
that the wholesale and retail meat
had
dealers
run
into
a
price
days is that we can save tonnage
by this country's supplying all the
meat
tions
also
needed
by the United
instead
of
from
their
Australia
Na¬
getting
and
the
it
Ar¬
gentine—something for the future.
that tonnage
We aren't thus saving
Ings
them
but
price ceiling being
not over
ducers.
the
over
meat pro¬
i;;.1'.:. •;':■■■•J';'';'::
Well,
would think in these
you
circumstances that the thing to do
would
be
something
price squeeze.v'■
But the next thing
about
the
will
hear is
we
have
to
a
meatless
The so-called shortage and
days.
the
have
proposed meatless days can't
possibly
have
any
ready existing problem to another
problem. - The first one is solved
by the second.
Instead of doing
something
suggestion by Mr. Roosevelt that
we
now, it*is a plan that may be un¬
dertaken; later.
But you can see
how we have jumped from an al¬
relation,
be¬
about that price
squeeze, let's get up another prob¬
lem and settle it by meatless days.
Aside
from
intrigued
this
by the
phase, we are
President's ex^
planation of how we can save toncontinued on page 815)
>'
Construction .' Volume
July
Record'
"The Financial Chronicle has been
so
useful that
had the copies bound and kept for reference."
Running through
we
have
'
correspondence, we find a subscriber
whose file of bound copies dates back to 1887—another to
1906—and still another to 1880.
Can there be any doubt in
your mind
about the value of binding your copies of the
Financial Chronicle, of having at your finger tips a complete
record of all important financial developments?
The new
Financial Chronicle was designed for binding.
With the larger
page size, bound volumes will he thinner, will open flat and
our
will be easier to handle.
This is
we
want
suggestion—passed along to you because
to get full value from your subscription to the
merely
you
a
Financial Chronicle.
.
demand that
we
all
act
Rent Control
"..
817
817
War
Connecticut
Property
•
want
:
Exempt
of it. i
more
no
%
they do insist upon is that those in positions of
authority and responsibility in Washington, whether at one
end of Pennsylvania Avenue or the other, act as if
they
themselves
believed
what
they are forever shouting.
They well know without being told morning, noon and
night that we have undertaken a task which in magnitude
and difficulty makes anything we have ever done in the
past appear almost trifling.
They are precisely as well
aware as is any
one in Washington what the penalty of
%
(Continued on page 811)
"V,
■
FIC Banks Place
.
.
.
.
Debentures.
.
.
...:;.
.
.
Adjusts Retail Sugar Price in East..
Supplies
Lend-Lease
Says
Checked
Coffee
Associations
to.
Increase
Discuss
.
i
.
.
v.
.
.
in
V..
.
.
816
816
816
815
815
%
815
istic
815
.
.1.........
,
late
815
still
,v.
815
of
815
Expand War Risk Insurance Cover-
{
"i
.>'■
815
Chicago Reserve Bank Promotions.; 814
Treasury Objections to
Ruml In¬
come Tax Plan.,.... i.,..
814
Money in Circulation... 814
NaVy Priorities Powers.. 814
Laws Would Kill In¬
Patent
........
.....,....i'V'S -■.814
Illinois Industrial
Employment Rises
Drop in Furniture Sales...
War Bond.Payroll Plans Increase..,.
July War Production Up 16%......
Predicts
814
814
813
813
813
New Typewriter Rental....
Building
Permit
Valuations
51% ...............;..
813
War Industry Strikes Lower in July 813
Cotton Spindles in Operation....... 813
Capital Investment Set Record in ' ■■
Ban
on
July
Down
1941
.
.
.......
..
.
.
v..824
Savings, Loan Associations' Receipts
Increase
Enlistment
Age Raised
to
must
stop.
dous
obstacles.
without
It
must
put
minute's delay.
one
choking
our
We
American industry has proved again and
again that it has the skill, the know-kow to win
the skill to work
It must find
all the way down thp line.
means
over
now,
tremen¬
quickly,
of substituting
''"+
must forget self absolutely, must forget that it
knew peacetime rivalry.
It must remember that a single
hoarded sheet of steel, a single unused bin of bolts, may mean
Industry
ever
the death
It
must
not
on
action
the
by the
on
forget that
lose
continue" to
here
Americans
of
until
home
same
Yes, all this and
tion is not
one
is
are
guided in his every thought and
our soldiers dying on the
spirit that inspires
more
Somervell.
needs badly to be done, but the situa¬
which is likely to prove
824
824
824
and
What is
battlefronts.
losing the war, that we will
unite, unselfishly, until each of us
we
front
distant
we
battlefront.—Lieutenant-General
peals to the public.
....
are near,
attempt to win, it is not yet too
rubber
824
Cotton
every
our
problems.
America still wastes steel.
unnecessarily.
our
our
50 Years.
From WPB
Exchange Closed.;..
ODT Restricts Taxicab Operations.,
CCC Extends Cotton Shipment Time
Calls for "Victory—C. O. D."..,.
Food Purchases Included Dehydrated
Meat
This
that the shortages
now
York City
Houghton Resigns
FDR's
But
solve
to
wear
824
More Conventions in New
Mobile
enough.
victory, smothering
Y.
...;
centive
The Army, the Navy, and American industry must share the
many of these shortages. Perhaps we were not real¬
blame for
>815
....
.
N.
Stabilization
Wages
816
816
Being
v. ..t.
Loan
District
FDR
"
Importing Pact......
Insured
Wanted:
x 8i6
.....
Working Clothes
Import Agreement
CCC Controls Vegetable Oil Products
Nelson Urges War Plant" Operation
on Labor Day...A
i.
.•>
Cut Coffee Consumption...;%.;...
Canada Crop Conditions Favorable.,/
Raise Ceiling Price on Mexican Silver
Coffee
amenable to
mere
ap¬
;
lacking is able over-all management and intelligent
intelligible leadership.
*
819
819
819
">•
819
Speech at Bethesda, Md.811
as
What
Tax-
Restrict Yardage for
Announce
re¬
can
817
*■,..
Mexican Banks Control Silver Sale..
Says
V
familiar
now
Corporate Tax Change Held Essential 817
Extend Rent Freezing Areas
817
Says Mortgage Bankers Must Aid
Curb Ax-my,
Says#
the
Breaks
....;...,...>■
......
Amount of
One Reader
Speech-Making Will Not Helo
.
Says Tax Bill Endangers Utilities.817
.
squeeze, a
821
„.»v........
about
scarcely fail, standing alone, to make the sit¬
uation worse instead of better.
The people of this coun*
try, or certainly those who follow current events intelli¬
gently, are sick unto death of being preached at.
They
Urges Wages, Farm Price Ceilings.. 812
Tri-State
Savings Bank Insurance
L
FROM WASHINGTON
now
of what failure may mean, or additional
some, accounts
tising
—....A;.v.\AV...... 8io
Manufacturing
Facilities
Increase
Effectiveness
Chief Executive is
future to disclose,
quite safe to assert before the event that no mere
speech-making—not even by the President himself-—will
help matters greatly.
The reason is simple.
The trouble
lies not with the
people, their morale, their willingness to
sacrifice if need be, or their lack of
understanding of the
gravity of the situation by which the country is faced to¬
day, but with Washington.
Further solemn warnings of
the trials ahead, more
graphic, we had almost said grue¬
v,::>Miscellaneous %■;.
Brazil
the
but it is
'
,
this
What he will say remains for the
/•
t......X,., v>;£'
Board.
ship
819)
page
*
Production
*These statistics omitted from "Chron¬
icle'' at direction of the War Censor¬
money
excess
Institute
Zinc .Sales
individual in the
an
Zinc
To all
respond.
Having some time ago directed his subordi¬
nates to cease
sniping at one another, he, himself, will next
week speak directly to the American
public.
Steel Shipments*
Daily and Weekly Copper, Lead and ■•• •
ex¬
to
Ginning to Aug.
American
;
now
tive effort.
to
r.,"V: 820
v.
.
820
consideration
apply
paid out by
...
820
newly-proposed
Senator George
Aug. 30 that the spending
would
confusion of counsel apparent on almost
people, bolster their allegedly wavering morale, and some¬
how stimulate the rank and file to
greater and more effec¬
Non-Ferrous Metals Maiket......... 822
N. Y. Reserve Bank July Business
Treasury's
"spending tax."
tax
the President has been un¬
"reassert" his leadership.
every side in Washington have been insisting that the Presi¬
dent personally come to the
microphone and reassure the
821
Summary.
Copper Institute Summary
to
said
Index....
16.........
the
course
Price
Cottonseed Receipts Continue Lower
pected
give
to
pressure
program and the
.
excess-profits * cred¬
Senate
little while
past
some
considerable
Many of his well-wishers and others who have grown
gravely uneasy in the face of the faltering war production
810
.................
Cotton
two-year period.
a
.
der
Trade
Weekly Coal and Coke Output
821
Weekly Steel Review
820
Moody's Dally Commodity Index... 819
Weekly Electric Power Output...... 820
Weekly Crude Oil Production........ 822
corpo¬
Committee
of
of
Domestic Index. 821
Commodity Prices
Carloadings.
823
Weekly Engineering Construction
733
Paperboard Industry Statistics., A, 823
Weekly Lumber Movement.......... 823
consoli¬
"carry-back"
a
unused
for
Review
For
820
Stale
rations, including the 2% penalty.
In
York
Balances
Index
Provisions
New
and
Exchanges,. 822
Odd-Lot Trading.... 821
NYSE
personal holding com¬
vious
809
the
.
Aug.
31 approved several other provi¬
sions of the House bill including:
Rates for corporations with net
incomes of $25,000 or less.
on
panies.
about
were
V
•
ly accounted for in the post-war
credit provision. Taken with pre¬
Senate group reductions of
com¬
of
....
—
tax
Ahead
........
....................
Moody's Bond Prices
10% of surtaxes and excess-profits
corporation should be forced to pay more
taxable
Situation1...
Wasnington
News
The
profits income to the Government. J said that action
The
From
equal to
no
Copy
Regular Features
Financial
Committee, continuing- its drafting of a
Aug. 31 to retain the combined normal and
45% and the
a
■'
Finance
bill, voted
surtax rate of
Price 60 Cents
GENERAL CONTENTS
>
1
■
Excess Profits Tax Passed With
Office!
Such
management
things have.
and such leadership
we
must
above all
Tax Deductions Made ;
The State Of Trade
reached for business' activity last
week.
A new all-time peak was reported for electric output, and
carloadings, petroleum runs-to-stills, steel operations ana Detroit
inaustrmi activity showed considerable, improvement;
•
More
electric power was consumed, last week than in., any
V'
'
>
A
current
new
period
previous
high
ended
at
717,000 kilowatt hours, compared
with 3,654,795,000 in the previous
week
and
3,230,750,000 a year
Pacific
The
Coast,
other
and
war
where air¬
manufactur-
quantities of elec¬
used 27.1% more than
tric power,
in the like week a year ago,
while
used
19%
Southern
than
more
the
For
"states
ago.
year
with
npirpfi
:
1941
is
ago
of 315%.
27
The
.
v
have more
purchasing pow^
and more
niu\
1
the preceding
over
•
they
week this year,
were
$70,000,000,000.
Employment is at
30,384 cars under the corresponding week in 1941 and 108,296 cars
;
record
a new
same
period two years
a„0
.
.
'■
'
„
;
-
over
f°
5. 1uinfTs
a, survey rer
le®sec! b> 'he National Association
will- total of Manufacturers.
r'
' .r;-compared
The number; of -strikes com7
ing to estimates of the American
'
& Steel Institute.
Iron
'
.' Production this week
-
around
-
with
I
_
1,669,600 tons,
1,664,500 tons last week and
Pared with 192 m June and 27 In
January. The "wildcats walkouts,
the majority of which impeded
year
ago on a smaller capacity production in vital war material
for the industry was 96.3%, or plants, were reported for the most
about 1,591,100 tons of steel. J::
! Paft to be over "trivial issues. ;.
Department store sales on a '•
"While the number of men involved and the number of man-
.1,639,200 tons, or 95.8% of capacity, a month ago.
The rate a
'
•
".
country-wide basis were down 3%
22, com¬
hours
for the week ended Aug.
with
pared
the
same
week
lost
during
July
' were
slightly more than those lost in
a
the increase in the number
of actual walk-outs, coupled with
the
location and type of production
Federal Reserve System
I disturbance, served to emphasize
Department store sales in New I the growing rebelliousness of laYork City in the week ended Aug.! bor minorities which continue to
22 were 7% less than in the same ignore the appeals . of bothMabor
it was shown in the
made public by !
Board of Governors of the'
ago,
year
figures
weekly
,
:
•
)
,
,
week
last
year,
and in the four
Aug. 22, were 10%
.below those of the same 1941 peweeks
-
: riod,
serve
ended
report
Affairs of Brazil.':
"The,advent of
finds
war
the
states' "The
must
be
helped
i
v
,
.
;
.
7"
"
;
ured relations between the United
States and Latin America.
.
continents
i
..
standing and cordiality that feat¬
Survey," which was
Aug. 31.
"Both American
issued
,
:
Nations,"
United
other
.
Brazil®'
"Manganese—an essential metal
for
now
basic
in
operations
our
war
ingredient
that
'puts starch in steel'—is increas¬
harmonizing
of
national
econ¬
ingly drawn from Brazil. As com¬
Bureau of Internal Revenue fully omies. 7 Each is gaining increased
pared
with
less - than
200,000
appreciate the important part ad¬ appreciation of the necessity and metric
tons of
ore
exported in
vertising plays in Our
national the promise of the new reaches
1939, the country's shipments of
of cooperation now attained.
economy and there is no intention
And the
product in 1941 reportedly ex¬
to restrict reasonable? and normai
there is an inviting opportunity
ceeded
twice
that
amounLV A
advertising by disallowing it as a for reaping the benefits that wili
further rise of 50% this year is
deductible expense." -.1 ;
be assured:.by destruction of the
indicated.
Production
was
re¬
Based on the results of recent present menace to the foundations,
cently reported at a rate six times
of
conferences
orderly
living.
'
between, 'representa¬
the output at the beginning of the
"The acute shortage of rubber
tives of the'Bureau and the Asso¬
war in Europe.
'•
in
the
United
States
(where,
it
is
ciation,
the
memorandum
says
that.' advertising resulting ■ either estimated, more than 800,000 tons
"Exports of iron ore amounted
The
directly or indirectly from, the war will:be required this year) has to 420,000 tons last year,
emergency, will be treated by the aroused unusual interest in' the country has large deposits of the
Bureau
in each case on its in-r potentialities of existing sources highest grade, but extraction has
dividual merits.
In, general, the of
The
supply in tropical America. not been greatly developed.
Bureau will be rational and fair, Apparently
it is generally ex¬ annual capacity of the steel plant
recognizing that advertising is - a pected that only relatively small now being established at;Volta
and in the, future by
the
industries,
their current
.
,
.
,
•
-
,
and legitimate expense
necessary
of
doing business as long as it is
not
carried
to
an
unreasonable
extent
becomes
or
Board,'*
association
the
OUt;''-;;
'
pointed
:r?J
an
.obvious at?
tempt to avoid tax payments, Mr>
West said.
■ •<.
:'- ?r -f-,-'•<- ;;p
*:■;_; •
The Bureau recognizes
have been forced
upward- by increased space and
time rates, .increased cost of print¬
ing, engraving, art work and othest;
advertising production; costs, .Mr.
West. said. In this connection, the
Bureau
that advertisers
suggests
their cost records
plete as possible.
keep
It
also
was
com4
as
•
stated .that the Bu¬
recognizes that in many cases
reau
gasoline rationing and tire restric¬
tions
have
calls
on
and
thus-, throwing
advertising
dealers,
burden
.added
an
since
salesmen's
down
cut
on
expenditures for direct mail
organs must be
dealer house
boosted,
With
need
V.... ■//
-j-
the increased
advertising
resulting
effort, -the following
to
respect
for
from the war
As¬
matters were discussed in the
1.
Salvage
of additional supplies
natural
rubber
will
Redonda
of
made
gions,
however,
are
considered
capable of development as pro¬
ducers
few
of
material
the
within
ous
Brazil
a
actual
work V is
There,
progressing
as
all
planned under a program for ex¬
pansion of production, organized
jointly by Brazil and the United
States with
the
that
tures to be deductible must bear a
direct relation to the business car¬
the
industrial dia¬
products
large supplies
vegetable products.
"The country has
ing an .emergency need and to
preparation for continuing com¬
mercial importance after the war.
"Rubber is the most important
of
listed
needs also have consideration.
view both to meet¬
a
are
crystals.
Not
covered by the
present series;; of special agree¬
ments are wanted primarily, for
use
in
war
industries; civilian
for tapping.
trees
reach
to
the essential supplies that
is providing; they include
chrome ore, mica,
monds and quartz
Brazil's forests pro¬
greatest concentration of
mature
minerals
other
among
years.
vide the
calculated
is
750,000 tons, ten times the entire
Brazilian output in 1937.; Numer¬
Several re¬
available.
promptly
be
of oil-bearing
The export trade
and
castor
in cottonseed oil.
beans, best known, of
the materials
urgently needed materials
can help supply. t By
supplied by agricul¬
ture, has been considerably
Brazil
devel¬
oped. The output of uncultivated
agreement with the United States, sources is
assuming commercial
the entire Brazilian output in ex¬
importance.
Substantial quanti¬
cess
of minimum local needs is
ties of oiticica oil, now replacing
reserved for this country for a
tung oil : in the preparation of
period of five years.
Portions of
painti and having other uses, have
the. locally manufactured rubber
been exported.
The babassu nut
products also are to be sold here,
is among .the forest products hav¬
and
manufactures
domestic-
essential for
hot
purposes are re¬
war
Of
the
comparatively
small amount of natural rubber to
expendi¬
campaign
amounts
stricted.
\y.%7-
sociation's letter:
Booklets. Ready On
sales in New
War Work Training
that adr
costs
vertising
^
union leaders and the War Labor
the New York Federal Re¬
Bank reported.
•;
Department store
a
x
j^h of $54,000,000, according to
Works-Projects - Administration
,
. j figures. Since July, 1940, employThis total was 125.80% of aver- "fit has . increased by 6,400,000.
age loadings for the corresponding There still
are 2,800,000 unemweek of the 10 preceding years.
■, I Pl°yad> - including
young people
The
nation's
steel mills will seeking jobs forthe first time.]
operate at 97.6% of capacity this ■
Labor strikes in July numbered
week, an increase of 3/10ths of 1% '???'n.n„v0
®
? men, withl,the previous week, accord- 868,912 man-hours lost, .according
the
above
ister of Foreign
by the Association of National
with
President Roosevelt
by
information contained in
especially compiled for it by direction of Dr. Oswaldo Aranha, Min¬
missioner of Internal Revenue.
people ,tpday
money
figures
article that is based in part on
an
by no means unprepared for the
fullest
economic
collaboration
mounting
(
of New York in its monthly review, "The Guaranty Survey,"
in
Inc.,
with the- ap¬
proval of the Office of the Com¬
it at about $175,000,000,000
com-
pany
Advertisers,
freight' f.r than; at any time in the nalion s history.' -Income payments
taled 869,404 cars, according to re- > individuals this year are exports filed by the railroads with'Pjcted to reach the all-time top
the Association of American Rail$ t«i
r!i'!i?r!nn "1
lafd
roads and made public recently.' were $82,000,0001)00, and 111 1989,
This was an increase of 559 cars tbe year in whichi the war started,
■
Revenue
ing expenses on corporate incometax returns "was released on Aug.
Carloadings of revenue
for the week ended Aug. 22, to-;
'
Internal
of
deductibility of advertis¬
toward
importance of Brazil as a United Nations' ally and as a
strategic supplies is discussed by the Guaranty Trust Com¬
of
source
it was ap¬
the end of the war.
electric power
nation,
consumption was up 13.7%
a gan
debt
year
July 1, 1943.
sees
a
ago,
The
explanation of the attitude
Treasury Department and
Bureau
the
debt at close ta$125,000,000,000 by
'
the
shows
A
activity
produc¬
against
year
the
Collaboration With United Nations
The explanation, issued in the
proximately $50,000,000,OOQ.
To¬
form of a letter signed by Paul B.
day it is around $81,000,000,000,3a
West, President of the Association,
rise of more than 60%. Washing¬
sets forth the general policy that
ton
estimates place the national
"the Treasury Department and the
ing take great
i
a
national
The
rapidly.
earlier.
craft
time
this
tion today
1
;
Edison Electric In¬
in United States history, the
An
of
iSays Brazil Is Prepared For Economic
Advertising
was
reported.
Output for xne*>
when- measured
Aug. 22 was 3,673,-
stitute
-week
For
Thursday, September 3, 1942
CHRONICLE
THE COMMERCIAL & FINANCIAL
810
be
expected
from all
in
sources
the, near
future
still available to
ing outstanding prospective ^im¬
portance.
Its oil has been in¬
creasingly used abroad in the
manufacture
of
soaps,
'perfumes,
Brazil's, babassu palm
trees
could support commercial
exploitation on a broad scale."
etc,; j? and
Nations, the Brazilian
supply holds the most
promise.
13% smaller than in the
During its period of greatest ac¬
corresponding "week of last year, Ion "Advanced Blueprint Reading'; expectation that its business will
tivity, about 30 years ago, the
according to a preliminary estim- has been added to the list of edu^ be benefited by an increase in ma¬ Brazilian
industry produced ap¬
;
ate issued by the New York Fed-I national
literature available for terials essential to its operations, proximately 40,000 tons annually,
eral Reserve Bank.
) war production training of work2. New products resulting from
about 60% of the total world out¬
Sales of all retail stores during ers> according to O. Wv Winter, priorities, the cutting off of ma¬
put at that time.
4,
\ ;:.y-v
Senator Harold H.
Burton of
v the month of July aggregated $4,President of the American Society terials, new research and the de¬
•"Organization of working forces
r389,000,000, according to the latest of Tool Engineers and national velopment of substitutes. The Bu-f for the Brazilian rubber enter¬ Ohio, John B. Blandford, Jr.. Ad¬
ministrator of the National Hous¬
•.estimates of the Department of chairman of.the society's Educa- reau will take into consideration
prise is progressing,'. with tech¬
ing Agency; William Trufant Fos¬
Commerce.
..
.
...
Ition and.. Training. Committee. all' hdrmal factors incident, /to nical
direction
and
rpeans
of
ter, President of the Pollak Foun¬
This was a decrease of only 1% 'From the announcement .in
the launching a new product, if they
financing supplied partly by the dation for Economic
Research, and
i from June sales;'", indicating that matter we quote:; ;;
'
*r
;; are reasonable in amount.
United States.,
The task involves
Frederick P. Champ, President of
retail trade was strongly mainThe book, with a few other
3.
Added
lines
acquired
by the migration
of thousands of the Mortgage Bankers Association
tained
in
July, the department, monographs, will complete the na^ manufacturers to
keep, dealers in workers, the provision of housing of
America; will be four of the
; said.
Before the war the "average -tional defense training project >'of
business.
The Bureau* recognizes and a variety; of installations for
principal speakers at the Associa¬
t seasonal decline from June to July
educational literature prepared that manufacturers must merchan¬ the
protection
of
their
health,
ex¬ tion's
Conference
on
Wartime
was
much greater than 1%, and under the supervision of the New
dise these, to the dealer, and pub¬ tension of roads into forest areas,
Mortgage Finance and 29th an¬
therefore
the department's sea- York State Education Department
the assembling of equipment for
lic; through advertising.
V
nual
business
meeting
at
the
sonally adjusted index increased and distributed with the coopera4.
Changes ,in., buy ing .habits. transportation by" water and by Edgewater Beach Hotel in Chi¬
: 6%
to
144
(1935-39—100), the tion of the A.' S. T. E. The!State
For example, beverage manufac¬
land, etc.
Tappers already ' at cago, Sept. 30 to Oct. 2. The Con¬
highest level since January.
" I Education Department at the same
work
turers attempting to educate the
reportedly number about ference replaces the 29th annual
Class I railroads of the United time
has announced that herepublic to use large instead : of 40,000, with half as many more to MBA convention cancelled earlier,
States had an estimated net in- after/copies of any of its defense
be equipped by the end of this
small size bottles because of short¬
as indicated
in our issue of July
come, after interest and rentals, of
training books and monographs
year.
;
-•
age of plate for metal caps will be
23, page 274.
Mayor Edward J.
$376,500,000 in
the first seven may be obtained directly from the
rubber - enterprise illus¬ Kellv of
allowed deductions for reasonable r :,"The
Chicago will open the
months of 1942, it was announced Department.
Previously,.,
the
trates
numerous
steps
taken
re¬
advertising expenditures.
Conference.
Senator
Burton, a
by the Association of American books have been handled through
cently to link more closely the member of the sub-committee of
5. Advertising to speed war pro¬
Railroads.
The same railroads in private publishers.
:
economic activities of the Amer¬ the Senate Truman
Committee, is
the corresponding 1941 period had
Still pending publications under duction through campaigns using
And no part of the now in Alaska with certain mem¬
media
in
offices
and ican peoples.
a net income of $233,521,909.
j the
project and scheduled for various
unified action is more significant bers of the Senate
Military Affairs
Total
war
production, despite publication within the next two plants will be recognized as a jus¬
than the cooperation of these two Committee on an
inspection tour.
criticisms
in
recent
weeks,
is months include the balance of a tifiable expense so long as it is
countries.
His
address
will
be
"America
moving steadily forward.
Treas- series on the Training of-Women reasonable, whether that expense
"This
attainment
Looks
Ahead."
by southern
Subjects of the
ury figures on outgo for all war
to add to the booklet on "Light is listed as a production or a sell¬
and northern neighbors is an out¬ other addresses will be announced
activities will reach a new high Machine Operation" already is- ing (advertising) cost.
York City in the week ended Aug.
,
29,
were
A
instructional
300-page
book
ried
must
on
be
by
the
made
a
the United
and
corporation
with
reasonable
!
Speakers Announced
For MBA Conference
,
,
-
1
,
.
.
.
.
close
to
$4,760,000,000 this sued; Part II of a two-volume
(August), or more than book on Aircraft Assembly; an
double the amount spent in Jan- instructional book on "Layout" in
of
t
month
Currently, war *be sheet metal series; a book on
production is proceeding at the "Measurement" for the Electrical
rate of $57,000,000,000
annually,'series, and a Teacher's Laboratory
uary
as
of this year.
against
the President's goal of
$40,000,000,00 for 1942.
Organization Manual for Aircraft
Moreover, Inspection.
6.
the
New
companies organized for
sole
production
terials will be
for-
of
war
ma¬
allowed deductions
reasonable
advertising
,
ex'~
to promote their names so
that when the war ends and they
penses
turn
to
neacetime' activities > the
public will recognize them*: ""
The Conference program
growth of their long-time friend¬ later.
ship,
notably
strengthened
by is being devoted entirely to pres¬
their unity of purpose in the war- ent-day
wartime
activities
in
which mortgage bankers, real es¬
jtirrie emergency. Preparation for
j the current harmony in facing a
common
recent
marked
-
menace
was
extended in
pre-war
years-- by
the
growth of mutual under¬
tate men,
bankers and builders
are
engaged. ; All of the non-essential
convention
eliminated.
activities
are
being
Volume
156
Number 4104'
'
THE COMMERCIAL & FINANCIAL CHRONICLE
THE FINANCIAL SITUATION
(Continued From First Page).
failure
stream
would
be.
There
is
no
need
for
i
v
•
this
!'
•
continuous
of gruesome
"drama" mingled with Alice-in-Wonexhortation, which pours from the radio almost
without
cessation.
The
people are aroused, / but they
derland
sometimes wonder
•that
be
if the authorities
are—or
if the powers
really aroused, whether they are not like a
group of school children caught in a fire, running around
with but the vaguest idea what to do or how to do it.
are
Too Much Talking; Too Little Management
v
been'adjourned despite the desperate need of the nation
the war tasks by which it is con¬
for concentration
upon
fronted. ;
The President's unfortunate
part in the
York Democratic
party situation was but a symbol of
is .taking place in national affairs
the
cause
the
upon
situation
that
day is heard the assertion that this
every
done, but
everywhere
that should be
or
not be
can
done,
as
the weakness of
precisely those who are eternally badger¬
ing the public to wake to the seriousness of the situation
by which we all are faced.
If the President is prepared to give
convincing assur¬
that these things will be corrected without
delay—
•,
ances
and his
assurances
quickly followed by effective action
nation will really be
helpful. Other¬
are
any sort of speech-making.
but in action, intelligent,
The cure lies, not in words, —his words to the
vigorous, effective action, and it
wise, he had better remain silent.
'"V-will be found nowhere else.
The public is frightened, se¬
riously frightened, perhaps too frightened about the pros¬
"The cornerstone of this hospi¬
pect of rising prices—made so in part at least by doleful FDR Vows Defeat Of
tal was laid by me on Armistice
prophecies from Washington.
They do not need any fur¬
Day of 1940, less than two years
ther
ag°.
"scaring." The
more
Washington
"scares"
the
President Roosevelt declared on
"We were then at peace.
greater the doubt becomes as to whether it either can or
But
Tyrants; Praises Navy
v/ill
do
anything effective.
The public is not afraid of
taxation, but informed elements among the people can find
no evidence that
Washington is willing to lay tax burdens
in
a
way that
even
approaches equity,; or courageous
financial statesmanship, and that is a serious cause of
worry and want of confidence at a time when faith and
even
dedicated to
few
of
tyrants—German, Italian
and Japanese" — and to the re¬
to
the defeat of "a
inhuman
moval
from
justices
the
earth
are
wars.
determine.
It
may even be doubted if the War Produc¬
tion Board itself is able to obtain a clear
picture of the
ment in
Heads have been falling about the Board's of¬
late, and Washington dispatches describe Mr. Nel¬
son has
having grown "tough," but the public well knows
that problems such as those
facing that organization are
Mr.
Roosevelt
>
No
Mystery, Really
>,
and
A great mystery is being made of the precise nature
cause of the breakdown, but in the larger and most
important sense there is no mystery whatever about it.
Washington has grown under the Roosevelt Administration
to be a wholly unattractive place for meh of proved indus¬
trial experience and ability, and when they have put all
personal considerations aside and gone there to work they
have found it next' to impossible to be even half effective,
so overwhelming are the back-biting,
the sniping, the in¬
trigue, and the anti-business attitude on the part of vir¬
tually all groups with real influence at the White House.
Mr. Nelson has just found it necessary to accept one resig¬
nation by reason of the activities of the Department of
Justice in the anti-trust field.
If he were obliged to staff
his
organization with men whose companies and who per¬
sonally are free of serious and often quite unfair attack by
the Department of Justice, he would be hard put to it in¬
deed.
This, however, is but one aspect of a situation
which permeates the entire Washington scene, and which,
if it is permitted to continue, must continue to be the
heaviest sort of burden upon the war production effort in
its entirety. 1 The Kaiser episode superbly illustrates and
personifies this state of affairs.
>
"
,
v
in
Navy's history."
"Where is
our
the
As
question
States
said
our
past year, particularly, perhaps, since Pearl Harbor
last December.
The wonder is not the war production
program is faltering, but
as it has in the actually
that it has been able to do as well
existing circumstances.
/
the
The
adverse
minds of the
mg
on
all
affect
that
all this
is
having
upon
the
people is not alleviated by the obvious "stallsides
until
after the
autumn elections.
It is
iltogether too evident that politics has not for a moment
They were
destroyers Kearny
James, patrolling the
of
the
North
Atlantic.
ships
at¬
were
tacked by
Nazi submarines many
before their partners
in
the
Japanese,
launched
their attack
Pearl Harbor.
on
Solomon
Islands.
added:
.
He
•>_.■;?
"It is there where it has always
been.
It is in there
fighting. It is
carrying out the command to hit
our
enemy,
and hit him again,
wherever
whenever
and
find
we
him."
The
President
"brave
and
women"
of
also
praised the
skillful
the
and
men
of
Bureau
Med¬
icine and Surgery for carrying on
their
unending fight "to keep as
men at
as many
guns as
many
days
many
his
In
cast
talk,
possible."
which
Naval
to
forces
as
broad¬
was
medical
bureau
throughout the world, the
President further stated that there
contained
—
in
out of
the
beginning of the answer to that
question, mentioning specifically
the Atlantic, Coral Sea, Midway
the
1941
commission, and
killed
men were
"In
the
the months
months
darkest
Navy's history.
our
without
wounded.
that followed—
our
—
with the ques¬
us
work
tion, 'Where is the United States
Navy?'
of
condi¬
meet the demands of this
Men
be
must
per¬
their
minds
and
hearts,
for
the
progress
has
fierce test of battle.
"That
remarkable
been achieved
be
attested
mies who
battle.
in
this science
by those of
have faced
But this
cure
ited
armed
to
the
of the
our
our
can
ene¬
in
men
in
progress
vention and
pre¬
must not be lim¬
forces
simple fact that
because
whole
population is involved in winning
our
this total war.
"There
today far too
are
many
casualties among our civilian pop¬
ulation. The number of fatalities
from automobile accident last year
40,000.
was
deaths
accidents
"In
How
of these
many
preventable?
The
people injured in such
were
number of
almost 1,500,000.
was
industry last
ber
of
was
19,200.
fatalities
accidents
the
year
from
How
were
number of
num¬
accidents
of
these
preventable?
The
many
people injured in such
considerably in ex¬
was
of 2,000,000, including over
100,000 permanent disabilities.
cess
"Among
killed
those
who
disabled
or
have
were
been
men
and
who could have
women
build
planes,
tanks,
guns—who could have
civilian defense
industrial
helped to
ships
and
served
in
in many other
or
As
accidents
result of
a
alone,
apart from those which
quite
fatal,
were
the time lost last year reaches the
almost incredible total of 42,000,000
than
more
or
victories
enemies taunted
In¬
in
and blood could not
essential services.
"That day of Pearl Harbor—Dec.
hour
3,000
know
man
days.
"It is not only our enemies who
kill
valuable
lessness
ways
or
chines
Americans.
driving on the high¬
in the operation of ma¬
factories
in
cost
can
lives needed by
many
Care¬
in
us
country
our
in using every resource most ef¬
"Today, those enemies know the fectively.
beginning of the answer to that
"And we must remember that
question. They learned in the At¬ there is a national
shortage of
lantic, they learned in the Coral doctors and nurses.
Every pre¬
Sea, they learned off Midway, ventable
civilian
accident
di¬
they are learning now in their at¬ verts sorely needed
medical, sur¬
tempts to recapture that which gical and nursing care from the
was taken from them in the Solo¬
imperative requirements of our
mon Islands.
*
1
Army and Navy.
It is not going
"Where
is
the
United
States too far to say that any civilians
Navy?*
^
in the United States
who, through
through fail¬
proper safety meas¬
is carrying out the command to ures in industrial plants, kill or
hit our enemy, and hit him- again, maim their fellow
citizens, are
doing injury to
our
wherever and whenever we find definitely
sons and brothers who are fight¬
him.
",
"Battles cannot be fought and ing this war in uniform. And sim¬
ilar injury to our armed forces
won
without cost—and the cost
is done by pedestrians or work¬
may
be heavy in ships and in
ers
who, through thoughtlessness
men.
The brave and skillful men
••
"It is there where it has always
been.
It is in there fighting.
It
reckless
to
ure
driving
or
take
,
are
far too many casualties among
civilian
the
vealed
last
that
population.
automobile
caused
He
re¬
accidents
fatalities
1,500,000 injured and that in¬
year
and
dustrial
40,000
accidents
accounted
19,200 fatalities and
injured, including
for
2,000,000
over
100,000
per¬
manent disabilities.
Pointing out that
killed
of those
many
disabled by industrial ac¬
or
and
cated
to
freedom.
disclosed
that
the
time
.
against disease and disability and
death.
■:t
"Those who
tle here
this
anonymous
war—the
and
Surgery,
brates
officers,
heroes of
men
and
of the Bilreau of Medicine
women
are
are
;>
fight this vital bat¬
its
which today
100th
birthday.
On
land
and
sea
the task
of reducing
as
fighters for the
In
the
cause
they
lives
that
are
risking
other
their
lives
have
In
never
before
Army
striking
are
from
widely
at
as
many
possible.'
guns
as
many
of
all
the
us
saving
our
can
of
en¬
partici¬
our
man¬
"Three
ago
years
tomorrow
morning, bn Sept. 1, 1939, Hitler's
the
at
these
died
three
and
years
nations
have
have
men
been
tor¬
of.
separated
tured and
lust
brutal
inhuman
and
enslaved, to satisfy the
for
power
of
a
few
tyrants—German, Italian
Japanese.
"To
defeat
the
of such
tyrants
striking together.
To —to the removal from this earth
carry such battles to
successful of the injustices and inequalities
conclusion men who fight on land
which
create
such
tyrants and
bases—and
and in the air must work in per¬
fect
unison
with
above the
sea
under the
sea.
men
and
on
who
the
fight
sea
and
split second lost in timing by one
individual may cost innumerable
lives.. Therefore, it is not enough
the
doctor
must work out
ods
breed
wars—this
new
to
work
entirely
of preparing
men
out
new
new
He
meth¬
for unpre¬
is
nation
wholly dedicated.
"Let this hospital
methods of healing and cure.
as
we
the southwest Pacific
for
days
participate
krieg against the people of Poland.
been
unending fight 'to keep
men
can
against
power.
In
the air, they have carried on their
many
but
in
pate
us
.
extraordinary physical alertness
as well as exceptional daring.
A
in
emies,
of
action
legions launched their first blitz¬
the ships and planes of our fleet
and the long-range bombers
of
enemy
themselves
be
"Today, in the distant places,
fighting battles the like
our
put
own
may
are
known.
all
direct
sickbays of all
saved.
which,
"Not
in
of
the ships of our Navy, on all the
seas,
carelessness,
in harm's way.
the
They
and
as
of
dedi¬
are
"Such warfare requires men of
scientists
technicians, who are part of a
service extending throughout the
-
Bureau
cele¬
surgeons and nurses,
world.
and
the
Surgery
turrets—alleviating suffering, re¬
storing
the
wounded
to
their
planes, tanks, ships and guns, the
President called for participation
"in the saving of our manpower."
also
and
cost in men, saving lives on deck,
in the engine room, in the gun
duties
He
of
women
Medicine
cidents could have helped to build
and
Politics, Politics!
of
killed in action in
American
enemies
our
of the
men
Atlantic.
the
lanes
sea
These
Navy?" the Presi¬
t
right men to the tasks in hand. Very seldom if ever
history has. Congress set up a record comparable in
sheer destructiveness and small-minded perversity to that
of
later,
famously attacked, seriously dam¬
aged, ships of our fleet were put
to
•
the
North
year
this
war,
deaths
a
were
and Reuben
to
Congress, too, must bear a substantial share of the re¬ lost by industrial accidents, apart
sponsibility for all that has gone wrong with the war pro¬ from those producing fatalities,
duction program.
It has permitted few opportunities to reached the "almost incredible"
total of,42,000,000 man days last
pass for sniping indiscriminately at everything that has
year.'.
been taking place,
good, bad or indifferent.;* Its com¬
The text of the President's ad¬
mittees have not only employed opportunities, but have dress follows:
created them, for making the lives of Mr. Nelson and all
"In this hospital which we dedi¬
his staff as miserable as they could—and of impairing their cate in this green, peaceful Mary¬
effectiveness as well as rendering it impossible to attract land countryside, our Navy battles
in
meet
hour
and
'
tribute
paid
to
7,
root of the trouble.
it has caused.
The occasion also
scale
the Navy for the fight it has made
since Pearl Harbor—"the darkest
dent
public hard, and no effective radio delivery is
likely of itself to ease the pain, doubts, or dissatisfaction
the
weeks
merely by lopping off heads or getting "tough."
daily announcements of changes in methods and
technique come from Washington, but to most observers it
is highly questionable whether mere
procedures are the
American
Navy
crime,
Almost
situation which has hit the
at
vast
a
conditions
fectly attuned in their bodies, as
they are perfectly prepared in
the designs
see
had already begun
we
on
our
100th
United
a
Center
could
"Less than
establishment
not solved
Here is
dedicating the
we
foes;
arm
men
state¬
anniversary of
of the Navy's
Bureau of Medicine and Surgery.
the
situation.
fices of
the
v
this
Medical
Bethesda, Md.
marked
made
address
an
Naval
new
'
•
The President
then
our
their attacks.
in¬
inequalities which
create such tyrants and breed new
most essential.
Then, of course, there is the war production program
that has gone
awry.
Precisely how badly it is out of gear,
no one outside of the inner circle in
Washington is able to
the
of
and
.
enthusiasm
.
Aug. 31 that this country is wholly
"Without
knows is found in
every one
combat
New tioning, flesh
not be expected until after the election. The
can
it
reason
r-
public in this country is suffering,
it,'and the cure can not be found in
of
commentary
cedented
submarines, planes and tanks.
what possibly
It is indeed modern
generally.
sad
a
If the morale of the
here is
811
all
to
men
as
years,
the
human
to work and to fight
time
race
comes
can
climate of
when
shall have that
health in body and
which
the
monument to our de¬
a
termination
until
then stand, for
throughout
see
be
the
true
mind and spirit
realized only
equity and faith."
in
a
.THE.;,COMMERCIAL & FINANCIAL CHRONICLE
v-
.since August,,. 1939,,has been. 3.0.%.
weekly
iasmfaduring FaestlHss lore Effectively
Employed Than Ever, Oosfereitce Board Finds •actually buy
In
real
I been
American industry is now
employing its plant and facilities
more
that
increase has
more I do not
Once
11%.
to
wages—that is,, in
some of this
effectively than in any pervious year—far more than in 1929—ac¬ increase
has not been fair, much
cording to the Conference Board, New York.
of it justifiable.
My point is not
In a survey made available Aug. 30 the-Board finds that capital
io belabor increases that already
invested in manufacturing in the United States was 8% less in 1941
have been made or to attack in¬
than in 1929, while manufacturing output in 1941 was 46% greater
creases that are equitable.
than in 1929 and averaged 65%•
—
"I say to you once again in all
more:-than in 1929 over the first 'Twenties the comparable ^capital
seriousness, however, that> if we
si£ months of 1942. Similarly, the requirements per dollar of wages are to win this
fight against in¬
amount of net income produced were
about $6,'or
almost 50% flation-' increases of that sort in
in manufacturing per person em¬ higher, while in
1936-1937 they, the income of
any one group must
ployed averaged $2,120 in 1941, as averaged about $5.
After rising not continue!"
against $1,970 in 1929, The lower to $5.78 in 1938, the capital-wage
figure for capital employed, and ratio dropped to $5.24 in 1939,
hence the improved ratios.of out¬ $4.79 in 1940, and $3.78 in 1941." put and earnings to capital in¬
mean
suggest that
.
Tri-Stats Savs. Bank
vested, are in part the result of
reduced valuations and prices, but
the
"dominant
element,"
the
finds, "appears to be im¬
Board
in
provements
and
in
capital
accompanying tech¬
niques of production and manage¬
ment."
The Board also says:
..-•Net earnings from
.
-
manufacture
percentage of capital invested
sharply
reflects < this
favorable
as
a
operational background.
of
return
for. 1940
The rate
mounted
7.19%, the highest level
tained
in
the
The
previous
'Thirties
in
Board's
:
v ;
for
the
:
,
to
at¬
ever
Conference
long-term series.
peak
5.69% in 1936, while
was 6.43%.
was
1929 the rate
The
ings
tentative
for
1941
estimate of
further
rate
of return
ings
were
to
as
ufacture
about
$4
in
more
the
on
the
earn¬
1941
more
in
per
1940
and
$5
$100 of capital
rate of
invested than the average
earnings
In
the
over
presenting
1925-1939.
years
a new
Speaking before
prevailed
over
Henderson
Mr.
commodities that
same
rate
the
past
said
are
its
effective
employment
of
capital brought net earnings from
more
that
the
under price
control have gone
the
on
are
part of
enjoying
war
New
York
on
costs
not
from Norfolk
"Herald
Trib¬
une" further quoted Mr. Hender¬
son
Mr.
'
saying:
as
What
must
morning of Sept. 13.
Among the speakers, presiding
officers and guests of the Associa¬
tion will be:
/ '
r
:
,
Gov. Robert A. Hurley,
of Con¬
^ v 7YY7
from
on
now
;77'::
ings
Life
Bank
John C.
Insurance
Fund;
of Insurance of the State of Con¬
necticut;--;,,. ;
-Vf
back
to
must
for
A.
Richards,
Savings Bank
Life Insurance Fund of New York;
take less
Judge; Edward
of his President of the
many
products.
"I do not feel that it is too much
at
$3,600,000,000,
Charles
an
amount.
sur-
Thus, while
capital invested in corporate
mittee
the
or
that
wage earner—when I
this war has so far not
say
on
National
Life
Insurance
of
the
Savings Banks Associa¬
de¬
tion, and. cy
manded from these groups what it
$10,Leigh Danenberg and George
will—and must—'demand if we are
000,000,000, or 17%,:lower than in
Woods, Trustees of the Connecti¬
to win this battle'.'o
v
1929, net earnings fell short of
'.*• "Let us look, first, at the picture cut Savings Bank Life Insurance
this previous high by $300,000,000,
'' Y
of farm income; in this year of Fund, and YOr Only.7.6%.
t\;
;
y .,
manufacture remained fully
,
war.
In
1942
farm .'income
-
in
Charles Whitehead of
the Bos¬
rt'TThe net return from manufac¬
America, it is estimated, will reach ton Five Cents Savings Bank."
turing operations before Federal
$15,100,000,000!
That
compared
In connection with the confer¬
taxes
was
actually
greater
by with
$8,700,000,000, including gov¬ ence, it is announced that the
$400,000,000 in 1940 than the com¬ ernment cash
payments in 1939. Savings Banks Life Insurance sys¬
parable total for 1929.
Over the
represents an increase of nearly tems of Massachusetts, New York
years
in question corporate in¬
75%!
I do not mean to suggest and Connecticut now have a total
come and excess profits taxes col¬
that some of this increase has not of
$250,000,000 of life insurance
lected by the Federal Government
been fair, much of it justifiable. in
force, most of which has been
were
than doubled.
more
direct
Federal
taxes
manufacturing
taled
In 1940
levied
on
corporations
$1,236,000,000,
$544,000,000
as
to¬
against
in
1929, $652,000,000
in 1937, and $634,000,000 in 1939.
"Under the impetus of the rec¬
ord
year
addition
and
the
of
capital
new
further
last
economies
of,volume
ings
rose
ployees
production, net earn¬
to an all-time high for
the years covered.
On the basis
of past relationships between the
I
say
to
in
you
all
seriousness,
however, that if we are to win this
fight against inflation, increases of
issued
lives
in
of
small
persons
amounts
the
on
of moderate
come.
:"f
rf
in¬
-
that sort in the income of any one
group must not continue!
be
He must
prepared to enlist in the offen¬
sive which I
"Let
us
proposing.
look at the picture
am
now
of the workers' income.
recall
that
at
the
1942
will
of
The
traceable
savings
War Bond
tions
subscript
of
in-
time
You will
President
Mrs. Herrick Leaves NLRB
To Join
Mrs.
Shipyard Company
Elinore
M.
Herrick,
New
York regional
Roosevelt
director of the Na¬
tional Labor Relations Board, has
program
tendered
launched
his
7-point
to combat inflation, one
important clause called for the
her
effec¬
tive Sept. 15, in order to become
director of personnel and labor
relations for the Todd Shipyards
Corporation.
resignation,
\
V
3,000,000,000
'
4,200,000,000
bogganed" since 1941 and they
reveals
__
a
clearly defined trend
though the figures for 1942
are estimates,
as are some of the
figures for 1941.' These estimates,
even
-Y
posits
3,500,000,000
retired
HOLC debt retired-
however,.
140,000,000
,
Reporting a balance of $4,240,000,000 after traceable estimated
earnings, the article in
change Magazine says:;
securities
in
balance
in
new
several
'
"Wages and salaries'
higher than they
Ex¬
of corporations
published statements
for
stabilization of wages.
.
are
now
in
were
1939, based on national income
figures of the U. S. Department of
Commerce. ' ' Y." 7'•X.dY.i'-;•
"Gross
above
corporate
higher
is
income
farm
this
than
year
it
51%
in
was
of the
1939, due largely to the high
1920's.
It is possible that an ad¬ prices
farmers
are
getting for
ditional $2,000,000,000, or there¬ their products.
abouts, of War Bonds may be / "The 'profit toboggan' is due to
added to the tabulated
$10,000,- the increased taxes called for in
the bill now pending before the
000,000.
; :f.r".:-; 'v
A
Congress.
considerable part of the $4,-
240,000,000
tjiis
years
is
being
invested
in
and older
corporate securities
And there are items of
year.
considerable
trace in reliable
which
should
be
counts
.
.
the
.
,
under
tabled
thrift and savings.
From the article
of
in
based
are
;:Y"
•
.
we
,
also quote:
the
on
as¬
'Y"*
■—'ii
Home Loan Members Up
Besides the obvious constructive
article
course,
ac¬
The 74 Federal savings and loan
;■
results of thrift which the
of this
in 1942—a
These estimates,
sumption that the present tax bill
items coming will pass the Congress with little
v : J
/ >
*
Y
the heading; of modification."
connectionf with
definitely
$4,590,000,000
decrease of 26%.
statistics,
considered
gross
mated
size, although diffi¬
cult to
In spite of the increase
profits, the net profits,
after
taxes,
will decline from
$6,250,000,000 in 1941 to an esti¬
Jn
figures
help visualize, the
associations in the Second Federal
Home
Loan
Bank District report
totaling $217,025,457 as of
June 30, 1942, according to an an¬
ing and general investment is nouncement made
by Nugent Fal¬
significant. From the proceeds of
lon,
President
of
the
Federal
this year's disposable income! the
Home Loan Bank of New York.
reduction, or elimination of debt This represents an increase of
$3,is going to make the situation of
457,411 during the six months'pe¬
implication of personal debt pay¬
ments
toward future
war
assets
financ¬
hundreds of thousands of citizens
riod since Dec.
comfortable than it has been
more
for years
The
of
payment
works, two ways
the investment
personal
A
1
;
debt
in strengthening
resources
of
year
were
loan
associations
the
in better
ating
as
high
New
in
position to buy Govern¬
number
this
taxes, so long
rates
of
under
1941
Jersey
associations oper¬
Federal
District has
assets have increased
plication, too, to the securities in¬
the State of New York.
lending
237.
,/Y
■
in
charter
grown
of income prevail,
institutions will be
made more liquid and better able
to support the. vyar effort finan¬
and
■:
71 Federal savings and
totaling
$199,036,220. Thus, since that date
nation: the former debtors will be
ment bonds and pay
31, 1941. v
June 30,
at
ago
there
and New York with assets
the
by 3 and
by $18„989,-
.
Of these 74 Federal savings
and
associations, 9 with assets to¬
taling $10,090,648 are located in
cially.;;;;;;;:';;-';
Y; ..y,t
The broad indications of debt New Jersey while 65 with assets
liquidation evidently carry an im¬ totaling $206,934,809 are located in
dustry
and
as
debt
v
;
vested in the purchase
sale
Viewing
loan
of
the
which
corporate i j issues.
Labor Arbitration in War
of personal
difficult years
scope
past
Booklet Available
acted to create, it is conceivable
Yet, what
which
that dull securities markets have,
are
has happened?
Wages and sal¬
available and all
in part, reflected it.
While it has
manufacturing aries paid out to American wage
been a pat phrase all along that
corporations, the net return from earners
during 1942 will total an
Mrs.
Herrick
has
been
with
the
manufacturers in 1941 is tenta¬
"the country is full of investment
estimated
$75,000,000,000!
That, NLRB and its predecessor for nine
tively placed at slightly above
money," the thought behind it has
compared with $43,700,000,000 in years.
■■ ;r'' ',
•,
$4,500,000,000. This represents an
been refuted by the balance sheets
1939, also represents an increase
increase of 28% over the reported
In a letter to Harry A. Mills,
of over 70%!
Look at it another
of a host of people who formerly
Chairman
of
the
earnings for 1940.
NLRB, Mrs. Her¬
way:
Average hourly earnings
rick said she was resigning "with had
"More effective use of the na¬ in
surplus capital or income
manufacturing industries which
tion's accumulated manufacturing stood at 63.5 cents an
regret" but pointed out that her with which to buy securities.
hour in
"new
work
is
an opportunity and
plant under conditions approach¬ August, 1939, by June of this
year
They have been too much pre¬
a challenge to do another kind of
ing full-scale operations is also had reached 84.0.
Weekly wage
occupied with outstanding loans
apparent in the relationship be¬ rates had risen from $24.52 in Aug¬ pioneering job in a vital war pro¬
duction industry."
to devote attention to stocks and
tween capital invested and
wages ust, 1939, to $37.99 by June of this
paid. Every dollar of wages paid year.
"It will be
a
privilege," she bonds.
out in manufacturing last year re¬
"Let us look at it still another added, "to work with a company
With the debt account growing
quired an investment of $4 on the way: Wage increases during the which recognizes the importance
easier,
the securities industry may
average in the tools of production. last year have amounted to
$1,- of good labor standards as basic to
find a more receptive field, first
When compared with the number
high efficiency, and which is will¬
200.000,000 a month.
employed in combination with the
"At the same time—and mark ing to face the important changes for its efforts in aiding Govern¬
size
of
manufacturing payrolls this well—the cost of living has entailed by the need to upgrade ment financing of the
war, and
these capital resources can be said not even
begun to catch up.
On men to more skilled jobs and to
performance
official
oix
The NAM further reports:
72%
greater than the $4,240,-
"floating"
invested
was
the
based
are
figures. '
120,000,000
•
.
sum
are
likely to drop still further in 1942.
A chart, prepared by the NAM,
Farm mortgage debt
A
Profits
corporations, largely because of
greatly increased taxes, have "to¬
'
"
Individual bank de-
000,000
profits out of war,
the National Asso¬
to
of
insurance pre¬
miums
the
em¬
getting
are
ciation of Manufacturers.;.
:>
;
farmers
and
according
Y'Y
sales
and salaried
earners
of
most
con¬
-w_—';-„._:$10,000,000,000
accounts
Life
-
•
Wage
are
estimated at $20,960,000,000,
sisting of the following:
-!;..
the
passed only in 1929.
the
000.
new
♦.
Granville H. Beever, President
done, and soon,
of the Massachusetts Savings Bank
said, is to put a
Life Insurance Council;
farm prices. The
the end of 1940
Diehl, President of the
to ask," he said. "I do not feel that
Savings
Bank,-. Life
Insurance
high level of the
it is too much to suggest that no
Council
of
New York;
'Twenties, f. Preliminary tax re¬
single group be exempt from the
turns indicate that net earnings
Robert F. Nutting and Clarence
demands of war. Nor do I feel that
from
B. Plantz, members of the Com¬
factory operations totaled
I am being unfair to the farmer—
manufacture
disposable in¬
Wage Earners, Farmers
Taking War "Profits"
Blackall, Commissioner
be
Henderson
the
be $110,000,-.
which $84,800,000,000
will be the outlay for goods and
services,
leaving
an
estimated
balance for savings of
$25,200,000,-
000,000,
until the
.
the
that
for
come
,
down somewhat, necticut;
;
but it was so far merely "a ledger
Senator Michael V. Blansfield,
achievement," since it - has been President of the Connecticut Sav¬
to
indicate
a mass
continued to rise "at the
has
a threat to the goods'price structure is
supplied
by the people's wartime income than many believe to be the case."
Based on calculations drawn from Department of Commerce esti¬
mates,
the
"Exchange"
studies*^—1—
stallment
meeting Cohference to be held Sept. 11-13
of war workers at Norfolk, Va.,
at New Londori, Conn.
The Con¬
Mr. Henderson pointed out that,
ference will convene the night of
despite general maximum price Sept.
11, at the Hotel Griswold,
regulations, the cost of living has Eastern Point,
Conn., and continue
as
gested "that less of
Liquidation
workers who
substantially
in¬
creased earnings, together with a
ing that wage earners must be further extension of
low, cost life
prepared to accept stabilization of insurance under war
conditions,
wages:;and farmers must accept will be
the, themes of the In¬
less for their, products.
/
state Savings Bank Life Insurance
findings, the
Board has the following to say: w ceiling on many
farmer, he said,
;
"Full scale operations and the
*
Leon Hen¬
Aug. 20 i tailed for*
offset, by "the rise
Corporate man¬
controlled." Advices
earned
average
more
Administrator
on
In an analysis of 1942's estimated
income, outgo and balance re¬
maining for savings, presented in the August issue of "The Exchange"
magazine, published by the New York Stock Exchange, it is sug¬
appre¬
"offensive" against inflation, say¬
twelve months."
rapidly
than investment, despite the un¬
precedented expansion of the lat¬
ter item last year.
Price
derson
earn¬
raises
8.25%,
increased
Wages, Farm Suitings
Analysis Of Income, fefgo led Balance
ciation of the anti-inflationary ef¬
fects of life insurance, particularly
More widespread public
facilities
the
Life BsiSu Ocnference
Advocates Stabilized
I3YSE
Thursday, September 3, 1942
'
812
The American Arbitration Asso^
ciation announced
on Aug. 31 that,
public service, it has made its
recently published booklet en¬
as
a
titled "Labor Arbitration in War¬
time"
,
without
available
cost
to
corporations,
unions, and attor¬
Union executives/corpora¬
neys.
tion
officers
interested
in
labor
relations, and attorneys may ob¬
tain copies at the organization's
administrative
feller
offices, 9 Rocke¬
Plaza, New York City.
in the publication is
Included
a
series of
clauses
seven
which
labor arbitration
are
recommended
„
to
these
to
have been better used
any
previous
year.
In
than
the
in
late
weekly earnings in money the total gain for the American
recruit
and
train
women
to re-
wo,rkeif .place men who are drafted."
then
for
normal
the
of
furtherance
activities.
,
its
'
labor
agreements,
having been prepared after
group of Im¬
serving more
largest industries.
partial
Chairmen
than
20
of the
Also
included
approximately
ances
'
\
to
consultation with
„
.
parties
a
are
summaries
200 typical
of
griev¬
that have been submitted to
arbitration,
..
,.
Volume
Number 4104
156
THE COMMERCIAL & FINANCIAL
balance which
More Buy
War Bonds
On Payroll Plans
r
million
Two
;
American
production
now
aside
set
re¬
particularly
realignment of
further "develop¬
basic
our
,
almost
$200,000,000
for war bond buying, as compared
with deductions for payroll say¬
ings in June of approximately
$150,000,000, . the
announcement
said, adding:
,/. ? •
/-•
job.
device
plan-
for
con¬
to: help
do
us
this
:";;■;/% ?'// Z'/■'•■ /1 -Z/%
"The
War
Department, 4 Navy
Maritime: Com¬
Department
and
mission fhus'dar
have, scheduled,
production ; semi - independently.
This has resulted in some sched¬
,
.
/'The increase
amount
of
only
the
to
in the
deductions
uling ahead of overall productive
Forecasts of production
aggregate
is
due
capacity.
not
have been increased several times.
gain in the number
signing up for payroll,} Now, since it will be a difficult
task to meet all, schedules; it is
savings, but also to the larger pro¬
more L than
ever
necessary- to
portion of earnings being devqted
reconcile our needs with our re¬
to this purpose.
Aggregate de¬
ductions authorized. have moved sources, necessitating the adjust¬
ment of schedules, reducing some,
up steadily month by month from
4.1% of total earnings in Decem¬ and, perhaps, increasing others.
of workers
ber, 1941, to 6.0% in July, 1941%
y
"Nearly 14,000 additional pri¬
"Continuing month-to-month in¬
creases
in munitions production,
payroll sav¬ despite difficulties in the supply
ings plans during the month, con¬ of some raw materials and semi¬
tinuing the steady gain in the finished products, reflect the de¬
number of participating organiza¬ termination
of;
the :/ American
tions.
This 'means, that in apr people to overcome all obstacles.
statistics
show
that
proximately 122,000 firms a total Available
of 22,000,000 workers had been plant shutdowns and stoppages so
given an opportunity to invest far. are :only;sporadic, not gen/
firms»installed
vate
class
shot
-
upward
.
,,
-
all. designed
;
of an¬ ,27%, as compared with the cor¬
$363,000; Alexandria, Va., multf50%— responding period of 1941.
Per¬ family dwellings to cost $3,352,mit,
valuations for new residential 000; Arlington
exceeding schedules
County, Va/ multiby a wide margin.
• V.
buildings- for
the
first
seven
family dwellings to cost $2,413,./The production of ammunition months
of
the
current
year 000; • Huntsville,
Ala.,
1-family
and explosives also was in excess amounted to
$563,656,000, a loss of dwellings to cost $387,000; Tulsa,
of goais, set at. the
beginning of 37%, as compared with the first Okla., 1-family dwellings to cost
the month, with exceptions in a seven
months of
the
preceding $451,000; Chula Vista, Calif., fac¬
few classifications.
I.
to
cost
// year, v Over the same period hew tories
$461,000;
Long
The record on heavy artillery non-residehtial
buildings showed Beach, Calif., 1-family dwellings
was. mixed, some classes of these a decrease of
cost
14%, and additions, - to
$922,000; Los Angeles,
weapons
showing much
better alterations and repairs a decline Calif.,
1-family'dwellings to?cost
gains than others.
Some types Of 24%,7
;;■/•■;% $656,000, hotels to cost $500;000,
expected to come into production
From - the Labor Department's factories, to cost
$2,781,000, and
announcement we also quote:
miscellaneous
buildings to; cost
,/// .:-;// Merchant Ships
Tabulations of the Bureau of
$824,000;
San
Leandro,
Calif., 1The Maritime Commission re¬
Labor Statistics include contracts
family dwellings to cost $462,000;
ported the delivery .during July of awarded4
by Federal and State San Francisco, Calif., multi-family
merchant vessels weighing 791,667 Governments in addition to
pri¬ dwellings to tost $536,000; South
deadweight tonsrS compared with vate and
municipal construction. Gate, Calif., 1-family dwellings to
vessels of 747,900 deadweight tons,
For July .1942, Federal and State cost
$325,000, and Spokane/Wash.,
in\ June—anincrease of ' almost construction in the
2,409 reporting institutional buildings to cost $1,6% • and nearly bri schedule for cities totaled
$42,326,000; for June 800,000. , •
•'
•'
;
:the .month.Zj'jpZ'':
1942,/ $51,086,000, "and for- July
Contracts were awarded during
Navy Vessels,' vV 1941,
$49,521,000.
;
July for the following publicly
A gain' of about 22%
in con-:'
Changes in permit valuations in financed housing projects con¬
the 2,409 reporting cities between
struction
of; naval £. vessels
was
taining the indicated number of
made in July—overall production July
1942, June 1942, and July dwelling
units:
New ' Britain,
being nearly. one-fourth greater 1941-;. are summarized below: k 'ZZ Conn./ $741,000 for 250 demount¬
than in June.
able units; South Portland,
J
;• i/.
i • *' Change from July,
Maine,
vv.V:
/,:-v:.:a941, to J,Uly, 1942
Deliveries of major combat vesi
$1,628>000 for 500 units; New York
*. / ::/ Excluding
selg were ahead of those .in June ; .Class of /v/;/ /
City,
Borough
of
Manhattan,
Construction— /. All Cities
$3,N. Y. City
and' considerably ahead of fore¬ IJiew residentian-^^^ -hS8..9%
V i—6.9.2%
128,000 for 960 units; Greenville,
Newcasts.
Marked progress over June
nonrresidentlaL .—24.7%
—22.6%
S. C., $328,000 for 88 units; Annisi
Additions, alterations,.
•
production of minor naval vessels
ton, Ala., $241,000 for 84 units,
.v/attd .repairs
^
was i
and San Diego, Calif., $7,000 for
reported,,r although output
All
oonstruetion^— —50.6%
2 units, j.,/./
was "materially
•—49.9%
behind expecta¬
■■ / ■ Z /,;
/' / v
/% /.
'/
•
tions, VV ■'' 5
"
v'
Change from June,
; •other
•
of the
use
requirements
trolling Industrial operations—are
[■/ / /•■. '/•:
During the month these work¬
ers
recent
-
production, while output
813
both of them
spots, if we are to
goals by the year's end,
our
the
mUst
we
ment of
Staff of the Treasury. Department
i
that
efforts,-
WPB, plus the
scheduling and
July,
ticipants in payroll savings plans
up to 18,000,000, the War Savings
:
low
and
Savings' - Bonds during
bringing, the. total of par¬
reports, ■ / ■?'1//;
the
ad^
y;"-«>ri-/,'-
.
means
our
make
.Wdr
r
double
on
pledged
part of their pay for the purchase
of
"This
;
marks part of
now.
program" is" brought' into
justment.-
in
more", workers
organizations
the
CHRONICLE
.
,
.
,
.
'
.
.
r
.
.
.
•
-..
,
.
1
-
■
•
«
:■
1942, to July. 1942
;
Class of
•
■
OPA Places Ban On Rental
regularly in War Savings Bonds eral. Any inference that the war
through- payroll
savings plans, efforts as a whole is slowing down
and
75%
of
this
number
had is unwarranted, although difficult
ties
already signed up.,H M/;
in. maintaining, such , Jargq
•
?
"Including ) Government... agen¬ monthly incfeas0$ ^..wiUv-'.'fee'corpo.
cies, Federal, State and local, in greater as we approach maximum
these '" figures, 1 payroll /. Savings output.* This will mean increased
plans have now been installed in planning, increased effort) and
•ri
:;Of New Typewriters -J;
organizations which employ nearly
25,000,000 people, and ' 73%
of
use
Office
tration
of
Price
announced
trols
and
these
have been
,
workers
r
participating,"
are
V
*
•
L
..
t
i f.',::
'
V->.;:-H;
a
July War*Prcclisdion Up 16% Nelscsi Hepls,
j'ivfunitions production increased
16% last month, continuing recent
months' expansion in the output
!•
;
ban
on
materials'controls
developed.
;
;*
July
production
In
some
a
,
;
which
subsequent
are
now
The purpose
on
to
7.1%
/
.
-
•
Decreased During July
/
7.7%
—
,
Man-days lost from
•;
;
u-tf.
,
'
/ jr,
■
war
produc¬
.
machines for purchase by the
curement division Of the
Class of
>'(/•;
Treasury
approached. Even with¬
in'" certain
categories,
such / as
ordnance, we find unequal prog¬
use/
and
the
recall
of
planes, guns,
repairs
the
—
.-^1 '■—24.2%
^
to
9.7%
—21.2%
ered
■
////, /"":t*
,:,
308,000,000 in July,
by
'
committee
All, construction.-^^,—27.2.',w,v ,,,7^-23.9%.
an
June
/??;'/
gath-*
interdepartmental
•.
on
ap¬
in,
/v
The strike statistics
///"■
^
,
from
rose
proximately ,275,000,000
34-4%>
; v
':
»:i
233,614 in July. At
time, the number of
same
man-days, worked'
'
,
added:?
of ; man-days'
653 in June to
N.Y. City
—37.3%,/;
also
number
lost
fell approximately' 8 %' from 254;%
Excluding
All Cities.
"
The rental bah/on new-ma¬
chines
/ The
7 Months of 1942
non-residential- —14.1%>
and
nouncement
following-
•"
Additions, alterations,
for- Army; Navy and .Government
not
; *%
•
Construction-—
New
•
Change from First 7
^
New residential
pro¬
the
Months of 1941 to First
'
/
ex¬
plained, is to make: available more
cases
outstripped, the
' tion by strikes in
July dropped to
8/100 of 1%' of total man-days
'
c
•
:
'
.
shown ■ in
are
table:
v
Henderson
7.4%
—
and
1942
of the orderr .Price
Administrator'
•
cgnstryction-^.i-^ 9.1%
.—10.9%!
worked from 9/100 of 1% in June;
;/ Comparisons of permit valua- the
National War Labor Board an¬
in cities reporting for the
nounced
on
Aug.; 19.
The an¬
first/ seven months' of '1941
that,, date
loan,
were
strike statistics
war
consisting of representatives of the
In the 2,409 reporting cities perr:
manufactured ' typewriters
War, ; Navy and Labor Depart¬
does mits were issued in
July 1942 for
not affect persons eligible to pur¬
ments, the War Production Board;
new
housekeeping- ;dwellings
the Maritime Commission and the
chase ; machines • under
existing which will
provide 14,164 dwelling
War
Labor ' Board.
The
term
regulations, w
units, or 12% fewer than the 16,recently
ress as between various types of
tanks, ships and equipment. Particularly is it im¬
other war equipment, Donald M. portant to keep the production of
Nelson,
Chairman of the War .finished weapons and their com¬
Mr. Henderson is quoted as say¬
Production Board, announced ; on ponent parts in step,
; % ing:
I p
%'\Z.
■:,
Aug. 22 in. his second war- produc¬ i "Analysis of .these factors sug¬ ;■ ."The rdriye recently launched
tion report "i ' • :
~--r gests":. that the war production by the War Production Board for,
It was explained in a statement effort has entered a new
phase- 500,000 machines for the Army
issued through the Office of War one in which more -careful bal- and
Navy has not' turned: up, a
Information that although prog¬
ancing' of requirements will ,be4'. sufficient number. - The need Is
ress
was uneven, and efforts
are come increasingly important.
critical.
Both the Army and the
For
of
•-—
—16.a/
tions
15 of typewriters manufac¬
tured
that
forecasts; in others the forcecasts
were
25
used
1935/ and ordered the return by
Sept.
"Study of the results reveals
that production is uneven in rela¬
tion to schedules."
Aug.
new typewrit¬
non-portable ma¬
chines manufactured; since Jan. 1,
J
.1
Adminis¬
the rental of
on
ers-and
the.:production:" £6iif~
of
non-residential-
Additions, alterations,
:
and repairs'-^10.2%.
War Industry Strikes
N. Y. City
■
The
.
fifm;
/ Construction—
All Cities'
Ue.w reiidential_^____ —-l 1.6%
New
,
Excluding
.
;
,
.
-
being
directed
about
balance
•
bringing
between
produc¬
toward
tion
be
a
close,
effective
control/of
July to 350 (preliminary)—three-
control, to make certain that the
right materials get to the right
places at the right time.
•'
times
great
as
as
in
November, 1941, the month before
Pearl
Harbor,;,
index
is
upon
based.
;
The
(revised) was 303,
/■
likewise said:
But
of
on
-
which
the
index
June
prehensive
Taken
picture
The statement
lows:
?—•
'
......
July output
-
was
system
item
of
by
war
of
an
-
June
a
com¬
production
item, the July
production fol¬
ri-.zvr*
Aircraft
7% short
ing the number of machines
re¬
palaafiiis Down SI %
,
that
'
.
...
'
-
*
■.
in
addition,
slow
of
items
the
fast
we
must speed
and
ones
slow
so
up
down
that
the
some
the
un¬
Pttts/t>C>)ftiV;:/'/'
during July, compared with June
The
of this year:
centers ! "of : various
types of building construction for
been
Jiiy Building Peimit'
excluded
confidential
because
of
^'
■/
;•
-
'/V':/'//riri'V-:;/ '.-:'/?/'''■'?,■/
'..
were:
,■
July, 1942
June, 1942
233,614
254,653
Man-days lost
Man-days \vorked_v 308,000,000 275,000,000
(estimated)
Percentage
"■'■../■??,;/'/'iZ
—
Time
■
1
os
t
t o.
t i
m e
worked
,
In
■'•:
.•-'/•%/' //,/*///-./"
.>\(•:.//:•
8/100 of 1% 9/100 of 1%'
Number of Strikes:
%
/ /
,
222
Beginning
in
198
Men
%/;•,//
? s"'/'/'
■:
Involved:
:. %
/ :
171
y;'%
'.■'/y?/
%,?i
'/v?
Strikes in progress
80,722
84,775
Strikes beginning '
74,812
78,627
.
'
/ :,/. 192
:»
:
month
Number of
i
'/
•
in///;/ <,:;:/• v/y:.?/
progress,
month
their
East
Paterson, N." J., factory to cost
$400,000; Niagara Falls, N.
1family dwellings to cost $332,000;
Philadelphia, Pa., 1-family dwell¬
ings to cost $1,364,000 and fac¬
tories
to
cost $2,949,000;
Upper
Darby Township/'-Pa., 1- and"2family dwellings to feost $329,000';
Chicago, 111., 1-family dwellings
to :v cost
$662,000,: multi-family
dwellings to cost $317,000; fac¬
tories to cost $1,225,000, and pub¬
lic-utilities to cost $593,000; Rockford, 111., factories to cost $327,000:
East Chicago, Ind., factory to cost
$856,000: Dearborn, Mich., 1-fam¬
ily dwellings to cost $336,000; De¬
troit, Mich., 1-family dwellings to
cost
$1,997,000
and
2-family
dwellings to cost $516,000; Akron.
Ohio, factories to cost $4,503,000;
Cincinnati, Ohio, factories to cost
$368,000; Cleveland, Ohio, 1-fam¬
ily dwellings to cost $329,000; Co¬
nature,
all
include
to
tailed picture of the strike situa¬
tion as it affected war production
,
performance, indicating pectations. •'
corresponding month of 1941, Sec¬
progress / is being made in
For{the next few months air¬
retary of -Labor Frances Perkins
working up toward scheduled ob¬ craft''production is
not expected reported on Aug. 28. "This is the
jectives. /n v/I
'
■ to reach the
production planned fifth consecutive month in which
/ In brief, the score on war pro¬ earlier in .the
year, due in part to construction
volume
has
been
duction for July
(measured by the difficulty of
balancing so vast lower than in the corresponding
the index) was as follows:
a
;
program.
Vigorous efforts1 are month of the preceding year," she
Aircraft production: Up 11%
being made to improve this con¬ said.>
The most pronounced de¬
over
Jurte'/.//>'^
dition, and production in the later cline, .69%, was in the value of
Ordnance production: Up 26%
part'of the year; is-expected to new residential buildings.; .New
pver June.
; ?%//%/,; .///-///;/
show a marked increase.
//;%•?/ non- residential
buildings
de¬
Naval ship production: Up 22%
creased .25%, while additions, al¬
/Z?//':/--'' Ordnance ;? ? Z %/ ./-,/';.
over June,
;//?•/:'?
terations, and repairs to existing
Overall ordnance production in
Merchant ship tonnage:. Up 6%
structures. were 41%. lower than
over June.,?/' /?"/.
increased 26 %.... over J une
•'- • ;/// //■•/ J uly
during; July, 1941. :; Miss Perkins
% "The big job ahead of us right output and was very close to
added:; •
now," .said Mr, Nelson, "is. to schedules.
./ ?:/;:'%;/////'': t
"Permit valuations for July de¬
Production of medium
tanks creased '
bring our program into balance
9%, as compared with
and make sure that we use our
(measured numerically) was 35%
June, all classes of construction
materials and facilities as wisely greater
than
in
the
previous being lower during July than dur¬
as
possible.
This-is one of the month and considerably ahead of
ing the preceding month. The de¬
principal
tasks
on
which
the schedules.
%
crease
for new residential build¬
WPB is engaged.
Light tanks showed a somewhat ings ? mounted to
We must make,
12%, for new,
sure
that we produce promptly smaller percentage of gain—15% non-residential
7%, and for addi¬
those
most
important
fighting —but also were ahead of sched- tions, alterations, and repairs 10%.
"
weapons the services- must - have; ules.
/ "During the first seven months
over
used
/, The following table gives a de¬
.Principal
quired for each of their units, and
which permits were issued or con¬
Federal agencies have agreed to
tracts were awarded in July 1842.
pare down their requests wherever
it is possible. / Even so, there just except those awarded by the War
and Navy Departments, Maritime
aren't enough typewriters in sight
Commission, / and / the
Defense
to go around."v •
J
'
Plant
Corporation
which
have
IZ Aircraft production increased in
July11 %:;.;over ; Junev output,
Although - combat-plane produc¬ A July building permit valuations
improvement tion rose
6%, it was not up to ex¬ were 51% lower than during the
the production forecasts made
the first of the month.
It was,
nevertheless,
Navy have co-operated in reduc¬
is
stoppages of work due to labor
disputes" whether strikes or: lockf;
,
.
the flow of materials and
and-a-half
dwelling,,units provided in the
previous month/and 63% less than
the number provided in July 1941.
Dwelling /units- in ; publicly fi¬
nanced housing;;projects included
in theses totals - numbered ~ 1,884 in
July 1942, 4,623 in June 1942, and
3,202 in July 1941.. •
,
long-range solution there must
a
items, the WPB index of
munitions production advanced in
■
■
"strike"
016
Cotton Spinning Industry
v
:/'/For July, 1942
•; The Bureau
nounced
to
on
of the Census
.an^
Aug. 20 that according
preliminary figures,' 23,967,762
cotton spinning spindles were in
place in the United States on July
31, 1942, of which 23,111,848 were
operated at some time during the
month, compared with 23,090,569
June, 23,120,666 for May, 23,%
100,202 for April, 23,096,479 for.
March, 23,077,722 for February,
and 23,028,082 for July 1941/ The
for
aggregate number of active spin¬
dle hours reported for the
month-
11,484,372,745.
Based on an
activity of 80 hours per week/the
cotton
spindles
in
the
United
lumbus, Ohio, 1-family dwellings States were operated during July
1942
at 130.2% capacity. This per/"
to cost $445,000; Euclid. Ohio, fac¬
tories to cost $980,Odt); Milwaukee. centage
compares,
on
the same
Wis., 1-family dwellings to cost basis/with 133.2 for June, 138.4
for
$477,000; Washington, D. C., multiMay, 135.3 for April, 134.3 for
family dwellings to cost $1:051,000. March, 135.9 for February, and
and temporary office building to 123.0 for July 1941.
The average
of active spindle hours
cost $860,000; Baltimore, Md., 1- number
production of anti-aircraft of 1942, permits were issued in re¬
guns leaped upward, one class of
porting cities for buildings valued and 2-family
guns showing a gain of 64% in at
$1,282,579,000, ' a- decrease of $458,000, ' and
dwellings
was
to
cost
per
"factories v to
cost
was
spindle in place for the month
479/
'
THE COMMERCIAL & FINANCIAL CHRONICLE
814
S.
C.
the
tative
if,
announced
on
is
now
the
on
computed
rent
of
basis
1942
his
appointed Manager of that depart¬
ment March 9, 1942.
Prior to be¬
coming associated with the Fed¬
eral Reserve Bank, Mr. Langum
in Economics
lecturer
was
position
assuming
that
he
member
was
a
the
at
have
1943:
As Assistant Vice
of
He
income
1944:
to his first official posi¬
tion in 1931, as Manager of Loans.
As Assistant Cashier he will be as¬
pointed
sistant to A. T. Sihler,
is
who
dent
in
........
324
3,000
Tax
computed
.
the basis of a
$10,000
Adjustment for the difference
between tentative tax
paid
Vice Presi¬
of fiscal
charge
1943
in
1943
treasury Objections To
In
actual
tax
Pay As-You-Go Tax Plan
respect to the so-called
"pay-as-you-go" income tax
plan, which has figured in the
study of the pending tax bill, a
statement was made by Randolph
With
Ruml
Paul,
Aug. 24, in which he
that the Treasury De¬
on
indicated
partment is opposed to the
the
in
preceding
has
he
the Treasury's views, as
by Mr. Paul, was made
in these columns Aug. 27, pages
722 and 726.
Mr. Paul, is General
Counsel of the Treasury Depart¬
for his overpayment in
Jones-will
to
is
Ruml
Bearsley
while
ment,
of the Federal Reserve
Chairman
of R. H. Macy &
Co. In his state¬
24, Mr. Paul called
of Aug.
attention
Ruml
•
to
a
fact
the
>
tions
press
the
criticized
pay-as-you-go tax plan, directing
ms
comments principally at two
points, viz:
(
(1) The
statement
Treasury's
plan would be unaccept¬
without
collection
at
the
able
(2)
the
modified
tax cancellation sug¬
source
and
method
of
well
went
Paul
Mr.
Ruml's
Mr.
on
to
statement
say
misunderstanding
serious
that
reveals
a
There would be
the
of
Ruml
plan
or
no
as
is
truly
is
Collection-at-source
a
$49;850 out of a total
or
existing rates of $345,350.r
with
man
"Often
of
of
wil
time
net
move
in
announced
was
Under-Secretary of War
is
$850 cancelled
Munitions Board.
In
order
control
ment he
*
exercise
to
the
over
tighter
of
assignment
the
program," WPB will send its
priority specialists to dis¬
pediting
war
own
trict
particular
from
:
•
-
present all Army and Navy
procurement
officers
and
in¬
10
curement
of
pounds
officers,
nails.
pro¬
conclud¬
upon
contract, will have to apply
a
WPB
authorized
official,
will issue the priority rating.
an
Thus
WPB
the
stant check
terials. ;V,. '
will
have
a
•
.
"
ma¬
-'."VV
Invention Incentive
legislation
would
which
largely
destroy the incentive to invention
and
development of
erroneous
for
does
statement
not imply
approval
be
into
taken
in
account
ideas
new
advanced
being
indus¬
the
on
belief that valuable
is
'put
are
indicated
vention,"
new
the shelf.' "
on
in
This
and
"Patents
In¬
booklet of questions
and answers on patents, the war
and " industrial
progress
made
a
available
by the Association
In its announcement
Aug. 26.
garding
to
the conclusions
"In
trial
1939
o
d
Mr,-
Continuing
understood.
ly
Paul had the following to say:
;
The basic objective
of the "payas-you-go" plan proposed by Mr.
Ruml is to get taxpayers on a
current basis.
This objective has
deservedly met widespread public
approval. The present method of
collecting income taxes is poorly
suited to a mass tax at high rates.
The amounts individuals pay in
any
year
their
depend
income
rather
on
the
ceding year.
in
not
that
at
all
year,
income of the
on
but
pre¬
The taxpayer is al¬
ways
in the process of catching up
with
himself
and
never
succeed¬
The
Ruml
plan
as
originally
proposed fails, however, to ac¬
complish its objectives. A change
in names does not change facts.
Under the Ruml plan, the amount
paid
in
1943
"tentative
tax
would
on
be called
1943
income."
But it would be computed
a
by as¬
at
combined
the
first bracket surtax
and
sential not
only to
venience of the
the
serve
ing
es¬
plan
Under
as now, a
would
change in tax rates
collections
following calendar yeat.
collection-at-the-source, a
the
almost
can
original Ruml plan
in
be effec¬
immediately.
national
as
Under
now, a
income
will
not affect tax collections until the
following
calendar
With
year.
collection-at-the-source,
it
will
affect tax collections immediately.
The other major defect in the
after
and
time
change in tax rates
tive
banks
show
until the
With
-
this
tax
in
deducting.' the
agents.
are
for
The figures
July 31, 1942,
in cir¬
that the money
manufacturing
>
were
inventions.
find
no
July,
cultural
any
en¬
sup¬
reached
It
would
be
instance
most
It
cases.
of
a
total
sup¬
ing
establishments
is • weighted
manufacturing in¬
dustries, the "all reporting indus¬
tries"
changes are not entirely
representative of. the employment
trends
for
all
lines
to
prevent
developed.
"Many inventions
used because there
ate
market
for
-
is
may
no
them.
industrial
of
activity within the State.
;
Sees Furniture Sale Drop
year
more
of
furniture
New
R.
Trost,
York
Retail
By
next
the
furniture
Bronxville, N. Y.,
the end of 1943.
least
of the;
National
manager
office of
Furniture Association,
Westchester
at
stores
cannot be expected to equal
than, 50% of 1941 volume,
one
out
of
5.000
from
Bronxville
told(
merchants
Aug. 25.
he said, at
four, of
on
every
furniture
be out of business.
fully
State.
of report¬
heavily, with
about
the shelf' wil¬
it from being
on
non-agri¬
the
Since this sample group
had
'put
in
employees
pressed useful inventions-one that
been
approximately
or
the
re¬
Indus¬
was
of
on
inventors, engineers,
who
in
sons
stores,
will
This is learned
advices
to
the
"Times" which
New
York
immedi¬
upon
Edison's
Trost
merchandise limitations, Mr.
said other factors included
be
added;
Basing his prediction primarily
un¬
electric lamp had to await the de¬
higher
velopment of economical methods
bonds,
of
purchasing of war
the general uncer¬
tainty in the mind of the public.
taxes,
•
plus
generating
current. The
"Whether a furniture merchant
Wright
Brothers'
invention
of
warped
wings, ' which
enabled will be able to remain in business
of
course,
that
held in " bank
will
early airplanes to fly, was of little
depend on his capital struc¬
vaults of member banks of the value until a motor was
developed ture, his ingenuity and aggressive¬
Federal
Reserve
that
would
ness
and his wholehearted desire
System)
was
provide dependable
culation
$12,739,478,258,
866,2C6
on
and
as
•
(including,
against $12,382,-
June
30,
1942,
July
31,
and
power
for flying.
the purpose of a
on
Oct. 31, 1920.
outbreak
of the
Just before the
World War, that
is,
ing all 1941 liabilities.
only $3,459,434,174.
on
June 30, 1914, the total was
to exist.
"Retailers
"Many times
new
invention
is
better
accom¬
1941, plished by something already
There are dozens
comparing with $5,698,214,612 the market.
$9,732,083,411
on
date
at' that
original Ruml plan is the clear
and striking injustice of cancel¬
Mr. Ruml
money
Treasury and by Federal Reserve
and
affect
not
of
amount
original Ruml
the
in
held in the United States
moneys
to make the income tax a flexible
needs.
the
circulation
con¬
taxpayer but also
instrument to meet war-time final
pressed
could
has
products
Sales
Board
likely to know of such
issued the cus-r
tomary monthly statement show¬
rate.
is
Treasuryr Department
Washington
normal
Collection-at-the-source
change
ing.
The
less it is linked with collection-atsource
there
and .others
Money In Circulation
V
and in building construc¬
one-third
the
un¬
v
""V
reporting
establishments
employed a total of 818,566 per¬
and that the basic issues be clear¬
that
Department of Labor*
mainly in the metals and
machinery, transportation equip¬
ment, leather and allied products;
paper
goods and printing, and
reached,
National
the
Conference
hundreds of
Ruml
of
Director
The increase in employment oc¬
as
propriate part of the 1942 tax bill.
Aug. 24 by
Murphy,
curred
It is "cur¬
as
B.
The advices state:
rent" collection in fact
ap¬
issued
statement
a.
Francis
the Illinois
suggested by Mr. Ruml, said
Paul, it is essential that this
misunderstanding be cleared up;
be
;i
a sample group of
6,505 Illinois industrial establish¬
ments indicated that employment
increased 0.8% and payrolls 0.7%
between June and July, according
Mr.
an
is not
<
...
Employment Rises
received in that year.
should
experience
Reports from
that
that
put¬
prac¬
Illinois Industrial
the Association says:
judging the plan, and to indicate
modifications
to
The
According to the National Asso¬
ciation of Manufacturers, "patent
.
provisions
develop¬
tion.
"
noted
do not need to
The
use.
uncommon."
groups,
tries ' is
advance
tical
f-o
ities under higher surtax rates. As
make
and
preparatory
ting Diesel locomotives into
con¬
the outflow of
on
work
Aug.
At
to
research
in
Press
Washington
.-.C' V*
said:
27
Associated
offices.
accounts
of
parts
than $1,000,000 was in¬
more
ment
ex¬
out of a to¬
/
that
vested
of
whether
plan completely unacceptable
The
F, Kettering, one of America's
outstanding inventors, has said
gaged by the NAM to determine John
the
what then appears to
uses
other important reason why some
preference ratings and to separate
would
$450 to be paid during the
must
paid on the basis of actual income
reason
he
patents
Committee should deem it
finds
When
be the best of the solutions.
that function from the job
$1,305,' leaving
of
liability
he
of the Ruml
plan.
Its purpose is rather to
clarify
the
considerations
that
computed and
It is for this
the
ways
ready for commercial develop¬
the
Treasury
he finds.
the solutions
made in it if the Senate Finance
name.
more
solving it, not knowing which
eventually prove most prac¬
He obtains patents on all of
in any year can be
in
or
are
unused.
It is esti¬
Patterson, Under-Secre¬ mated that it cost $200,000 to make
tary of the Navy James V. For- the tools and machinery neces-^
restal
and
Ferdinand
Eberstadt, sary to put a typewriter on the
Chairman of the Army and Navy
market at a salable price. Charles
the
ignoring
credit
income
Treasury
prac¬
well
the solution
work at
two
on
Inventor
or
tical.
ceeding with any changesL in the
income tax
so
revolutionary as
Before pro¬
will
problem
a
same
ticable way by which the tax paid
Treasury's position.
scientist
a
who devotes years to
system
new
taxable income
Again
$8,500.
income
$10,000
of
This
"
,
the
Robert P.
who
be
have all their liabilities cancelled.
"pay-as-you-^
-;
The
letters to
10%
taxes, and hence
Collecting as much of the
possible from income as it
earned
is
of
officers
Mr. Nelson said the
would
cancelled
a
to
with collection at the
go."
"
to
above, persons subject to
these higher rates are most likely
any
The best way to cure this defect
source.
un¬
Treasury's suggestion' .ap¬
plies equally to all taxpayers; but
it does not permit high income
taxpayers to . cancel their liabil¬
in the Ruml plan is to couple the
Ruml plan
contracting
The
The
other plan for current payment.
the
of
enough.
need
$498,500
next two years.
the present
year,
and
hat
mechanical
a
tipping device, are patented with¬
out serious intention to develop
them commercially.
armed services.
exemptions.
would have
about
method of tax collection would do
tax
gested by the Treasury.
after
this
tal
necessary
year
ists instead of by the procurement
ing
existing
have
and that the
is designed to cure. If
everybody's
income stayed
the
same
after
net taxable income of
earned
Ruml plan
the
tnat
to this example
that most taxpayers do not
payment
that " Mr.
exercised
be
Hereafter, the inspectors and
A
fluctuations that make current tax
release Aug. 23
Treasury's objec¬
to his (Mr. Ruml's) original
in
answer
no
will
7 by WPB priority special¬
down
in¬
experience such wild fluctuations
in income.
It is precisely such
Bank of New York and Treasurer
ment
It is
tracts
$500,000 income in 1942
(ignoring, for simplicity
the earned income credit) have a
tax at
come.
to say
priority ratings. Author¬
ity to assign preference ratings to
individual Army and Navy con¬
would
of
But
reduced
his
of
out
Production
to grant
Sept.
Many novel inven¬
as
,.
Nelson, Chairman of
Board,* ,on
Aug. 27 removed from the Army
and Navy field officers the right
War
dents with
amount
in 1944 he must finance this extra
payment
first
the
The cancellation
existing rates.
der
True, Mr.
1944.
Power Over Priorities
Donald M.
the
such
tions,
$2,000 of net taxable income.
have authority to
It would apply to the entire net spectors who
taxable income but at only the sign contracts have power also to
first bracket rate. : For example, assign automatic priority ratings
for the necessary materials, even
a married person with no depen¬
receive credit
in" 1945
4%
tax—or
rates-^-plus
first
This is current tax
payment in name only.
normal
entire
not, as Mr. Ruml erron¬
eously stated, apply only to" the
adjustment to
because his income was low
two years ago.
existing
would
In addi¬
year.
the
at
only
big
a
be
at
would
bracket rate of the surtax—or 6%
methods of income tax
payment. In 1944, Mr. Jones must
pay almost $4,000 out of a $3,000
income.
He has a high tentative
tax because his income was high
pay
outlined
1,828
pays
plan
unless revised in certain
respects. Brief reference with re¬
gard
-
existing
tion
Ruml
amount
The part to be cancelled
,
on
$10,000 income—the
he would pay under
a
would be greatly im¬
1942 liabilities.
to
.....$3,980
1943,- Mr.-Jones
that the
suggested
has
,
.($2,152—$324)..
income
v.-
.
simplicity, the cancellation .refer
2,132
of
and
$324 out of
same
.
on
Total
E.
/■
out
wipe
which;to
with
of
amount
proved if only part of tax liabil¬
ities be cancelled, and that, for
■*
income
1943
unfortunate as to
substantial
Ruml plan
: ;■>.
;
'.o.V'iV;;,
on 1941 income
payments:
Tentative tax
cancelled, although
To meet this obvious defect the
0
.........
The
liability of al¬
tax
a
debt.
the
'
1942
on
,v.....
payments
Income
functions.
agency
capital
•
♦...........
fortunate..
so
or are so
no
Treasury
Total
ap¬
was
tax
........
have
324
,
other taxpayers who
been
have
ceived;
$3,000......:
of
actual
and
1942
was
bank.
the
.
the basis of a
on
Adjustment for difference between tentative tax paid in
employed in
1918 and served in various depart¬
ments
1
1943 income
on
income
1942
Chicago Federal Reserve
Turner
$10,000
computed
District.
Mr.
original
the
Income
Tax payments:
Tentative tax
the research activities of the Bank
the
under
pay
Cancelling his 1941 lia¬
a pure windfall,
already have.
& Navy
patents on the alternative methods
his income in 1942 and later years
may be unused,, The inventor is
is a
step toward much stricter entitled to
patents on these'al¬
may be much lower and although
checks on the flow of critical ma¬
ternative inventions although he
the $500,000 may be traceable di¬
terials to guarantee the most ef¬
does not use them, because they
rectly to the war program.
ficient
possible
use
of
"every are his
developments and no one
Moreover, such a taxpayer is
ounce
of
scarce
material
and
else should be permitted to pirate
unlikely to need the cancellation
every critical sub-assembly."
them for unfair competition.
in order to wipe out his debt to
1
Thi3 step, it is stated, is in line
"In a recent study of 710 invent¬
the Government.
Few men who
with
Mr.
Nelson's
recently an¬
have such an income are so im¬
ors, lack of financial support was
nounced
"get-tough" policy on found to be the inventor's
great¬
provident as to make no provision
war
production.
1
'
est obstacle.
In this fact lies an¬
for the tax as the income is re¬
How much will Mr. Jones
to
higher income in
other years of
a
most
most $350,000
$10,000 of
on
admirable.
Many an
who in 1941 received $500,000
would
Ruml plan?
President Mr. Langum will direct
for
$2,152
not.
are
Curbsi Army
objective,
windfall that would have to be
man
us
His tax liabil¬
passed by
$324 on $3,000 of
are
and
life.
had not
rates
new
House
income.
of
an
than in
made up by
1942, $10,000 in 1943,
the
at
income
Minnesota, which position he held
for five years.
and
a
$3,000 in 1944.
the
of the faculty
University
and has
1941
ities
of the School of Business Admin¬
istration
ents
1942
on
bilities would be
depend¬
income of $3,000
is married with no
and
at the
Mr. Jones, let
say,
in
Before
in 1940,
of California.
University
actual tax.
1941
his
is
immediately
individual had
in¬
As¬ come.
sistant Vice-President, and I. J.
In many cases the problem is
Petersen and W. W. Turner as As-: made
even worse than it now is,
sistant
Cashiers.
Mr.
Langum since under the Ruml
plan a tax¬
joined the staff of the Federal Re¬ payer will have to settle in the
serve Bank on July 1, 1941, as As¬
following year for any difference
sistant Manager of the Research between his "tentative" tax and
and Statistics Department and was
Once again the
But the results
Langum as
K.
John
of
tion
tax
namely to bring all taxpayers cur¬
it
as
that
order
in
tentative tax
a
as
income.
1943 income
in the original Ruml plan,
as
the amount paid is
Aug. 24 the elec¬
on
treated,
paid in 1943 a "ten¬
on 1943 income"
does
tax
this
do
payments made in 1942 could be
amount
not make it a tax
Federal Reserve Bank of Chicago,
Calling
1942 income.
as
same
the
President of the
Young,
would
suming, that 1943 income would be
Chicago Reserve Bank
Promotes Employees
Thursday, September 3, 1942
Unused
lawn
patents
mowers,
machines
were
on
of
generally
can
and
will survive, at least temporarily,
they did in 1935, when furni¬
ture store sales were only 46% of
as
Such a volume
impracticable the 1929 level.
for instance.
If shrinkage, however, involves a
made according to tremendous operating loss which
on
specifications they would be onlv those merchants with a sound
inferior to the lawn mowers we capital structure can withstand."
their
Volume
Number 4104
156
Canada
THE COMMERCIAL & FINANCIAL CHRONICLE
OP A
Crop Condition
of
the, Dominion for above-aver¬
/'-"In the Prairie Provinces/gen¬
erally
fair
weather, except in
some sections,of
Alberta, has stim¬
ulated ripening of crops and en¬
abled operations to proceed unin¬
terrupted.
Harvesting of
barley is general,
rye
and
A considerable
amount of wheat has been cut in
Manitoba
sections
and
of
in
the
southern
some
other
provinces,
but elsewhere operations will not
be. just the other
around.,
way
alternative
new
of
6Yz
cents
f "The// Lend-Lease Administra¬
tion retains title in the United
maximum; price
ji States on all materials delivered
sold
sugar
pound for refined '.here
a
in
retail
at
10
Atlantic seaboard States.
representatives
of
lend-
lease countries and h?s always re¬
served the right to divert them for
North
Retail¬
'
to
in this area may use the new
jVital
United
States
or
other
their March United Nations use whenever such
ceiling under which they .have use is. more important for the war.
"I wish to emphasize
been operating previously, which¬
again that
ever
is higher./
The announce¬ these controls are being applied
in
the present situation, as here¬
ment by the OPA added: /
v;
The Office of Price Administra¬ tofore, in accordance with produc¬
tion estimates that -only about six tion/ and -strategy / determinations
out. of every 100 retailers doing made jointly by the United States
ers
6y2-cent
price,
or
and -Great Britain.-
in Maine, New Hamp¬
They are flex¬
Vermont,., Massachusetts, ible/enough to meet changing sit¬
uations
as
they
Rhode Island^ Connecticut, New
develop.
Their
York, New Jersey, Pennsylvania, purpose is to make sure that crit¬
business
shire,
and
Delaware—who
had
ical
March
materials available to the
raw
United States
allocated where
swing, until about Sept. ceilings on refined sugar of six
they will be most effectively used
1.
High yields are expected ex¬ cents per pound—will be affected
for/ the war*,, whether it be / to
cept in the Peace River country,, by the upward adjustment to 6^
be in full
where
below-normal returns
reported.
ported in
Sawfly
are
damage is
western
cents. "
This
re¬
Saskatchewan,
the
;;4'4///'4' —Z/4/4
adjustment will not raise
general
Province,
conditions
have been generally favorable and
while
harvesting has been re¬
tarded by rain, crops continue to
make good progress and yields are
satisfactory.;,;; Moisture
>
appears
or more
price
ceilings of these
changed
by
be
not
Amendment
No.: 10
94%
will
the
new
to
Supple¬
ample. A better - than - average/ mentary Regulation No. 14, effec¬
of hay has been stored.
In tive Aug. 31, 1942. ! //'■: /'4/:;':; v;/;/
Ontario, threshing, of fall wheat
is practically completed/ with the
yield well above average and the Stettinius On British Use
quality good. Harvesting of
Of Lend-Lease Aid
spring grains is well advanced and
In a statement issued on Aug.
satisfactory returns are in pros¬
R.
Stettinius,;/Jr/;
pect. Corn, sugar beets and other 16, / Edward
Lend
Lease Administrator,
roots are making rapid
dis¬
progress
jointly,
of
under
tions.
favorable
weather
condi¬
Harvesting of tobacco is
;
general, with
slightly less-thanaverage crop anticipated.
In the
Maritime Provinces, recent rains
a
have proved beneficial and grow¬
ing conditions generally
factory.
The
outlook
satis¬
for'
an
are
above-the-average
harvest
tinues promising, although
moisture
tricts.
is
needed
con¬
/
more
most
in
dis¬
In British Columbia/ good
grain and fodder
harvested
crops
under
are
ideal
being
weather
conditions, and the prospects for
closed that all lend-lease commit¬
Mexican
modity
contracts
Warfare, the Office
Administration, the War
Board
Credit
partment
of
"Herald
York
porting
and
the
Com¬
Corp." of the De¬
-
Agriculture.
The
Tribune," re¬
from
Washington,
this
added: ; /
"The announcement follows the
terms,/ previously disclosed, of
a
special
coffee agreement under
which coffee acquired by import¬
are
under
Already, we are hearing around
the New Dealers that the
splendid job which industry is
among
doing under Washington
proves the need for a
now
trol
tinued
regimentation
:■
1
"The
that
plan
announced
the
argument is arousing
plenty of concern in industry gen¬
erally and particularly among the
the
or
become
executives.
apparent
go
they
are
worried
It
but
provides
about
is
that the accompanying revolution
them after the dura¬
tion.
as
industry
war
rough
a
example, just
vice president of an
a
working
altogether
on
contracts do these
days? Par¬
president
in
of
fice
Price
nounced
J
' It
Administration
Aug. 24.
on
said
was
that
move
one
pur¬
Mexican
silver
increase
the
he
-of both
.
countries out of available
he
visted many British war
factories and
lend-lease ,aid are
scrutinized and pared down to a
fore
United
States, with lesser amounts
coming
from
Canada,
Peru
and
•
marked
FIC Banks Place Debs.
Banks
on
placement
banks.
The debentures
were
sold
Of the total, $22,725,000,
par.
dated
Sept. 1, 1942, and due July
1943,/carries a coupon rate of
0.90% and a special offering of
$5,200,000 dated Sept, 1, 1942, and
Dec.
the
1,
1942, bears a coupon
0.50%.
The proceeds of
of
rate
sale
together with $6.2.20.000
cash will be used to pay
145.000
next.
He
further
British
of
At
debentures
the
close
off $34,-
due
of
Dec.
1
business
Sept.
1, 1942 t*e b^nks will have
outstanding
$297,825,000
deben¬
tures.
are
re¬
pro¬
including housing, transportation*
storage ' warehouses Z and.
other
services.
many
;-%*/;
/;? Vu:/?Z
Aug. 16, Mr.
Stettinius
reviewed
which
being applied to lend-
are
supplies
in
the
controls
order
to /meet
the needs of the present situation
and
pointed out that the prime
objective of lend-lease is "that
materials,
raw
as
well
as
other
supplies, should be supplied
to thosg places where they can do
most to help win the war in the
war
shortest time."
Mr.
1,
due
the
viding many things for American
personnel on a lend-lease/ basis*
lease
Aug. 18 made a success¬
of $27,925,000 de¬
bentures through Charles R. Dunn,
New York, fiscal agent for the
at
aid.",
that
In his statement of
The Federal Intermediate Credit
ful
by British officials be¬
application is made to us for
lend-lease
Chile. /:
/
particularly, im¬
for
requests
minimum
Mexico, it is pointed out, is the
largest exporter of silver to the
was
pressed by "the care with which
been
<:
the
investment
Loan
have
their
pro¬
savings
accounts through
facilities of the Federal
Sav¬
Insured associations
tion.
serving
York
126
and
New
nouncement
A
Jersey.
that
reveals
insured
savings
ciations
with
labor
leaders
and
Washington; the whole industry is
rigid Washington control;
under
the factor of competition is not
present; the books and earnings of
the
industry are supervised by
Washington.
We know of many
time
their
on
seeking
armed
their
presidents
hands, and of
commissions in the
services
in
the
belief
that
an¬
figures by
there
and
105
are
loan
asso¬
of
$290,539,943 operating in the State of
New
92
resources
York, while New Jersey has
insured savings and loan
ciations
with
645,524.
crease
resources
This
of
represents
asso-
$96,in¬
an
of 13 in the number of in¬
sured savings and loan associa¬
tions, and a gain of $41,221,297 in
the first half of the
for
year.
-
One year ago, at June
there were
178 insured
4
30, 1941,
associa-,
tions in the District with assets of
Home
the
by
New
The
added:
breakdown of the
States
are now
communities in
$319,985,040.
savings and loan
associations in the Second Federal
Loan
Bank
District, 123
$170,160,010 operate
supervision, while 74
having assets of $217,025,457 are
with assets of
under State
under Federal supervision.
Flexible Stabilization
Of Wages & Farm Prices
.
the CCC at
a
price which does not
increases
since
Dec.
8,
1941, for ocean freight, marine
and war-risk
insurance, and cer¬
tain other items
of special
ex¬
pense.
As a result, the CCC will
.
dustrial
users,/who have largely
precluded/ from
obtaining
silver
in
competition with
the
statutory price of 71.11 cents an
ounce paid by the Treasury.
and
Home
which
dled
the
include
lhat
sliver available for American inr
Federal
tele¬
said, "are being adjusted along
similar
adjustments
in
ap¬
mining and thus
supplies of foreign
Second
T Of the insured
the
July 30, page 377. Z Mr. Stettinius,
j
upon his arrival ori Aug. 10, said
parently .is designed to encourage
the
importer shall become everything is going to pot and
President Roosevelt will outline
agent
of
the
Commodity that, being in the service is the
pose of his recent trip abroad "was
to the Nation on Labor Day his
best way to survive.
to bring into closer harmony the Credit Corp. to purchase and imnew
program to stabilize wages
for; its
account
specified j
joint efforts of Great Britain and port
The labor leaders are becoming and farm
prices in order to com¬
and
more
vociferous
in
the United States toward adjust¬ quantities of green-, coffee from | more
bat the rising cost of living.
ing lend-lease requirements to the foreign countries. Stated broadly, telling Industry what to do and
;
In
a
press
conference discussion
the plan provides that importers what not to
do* in matters of no
developing shortage of raw ma¬
of the inflation problem on Aug.
It was
terials. Lend-lease requirements," will-repurchase coffee, upon ar¬ direct concern to them.
28, the President said that the
rival in the United States, from labor leaders who forced the
Mr. Stettinius said that
an¬
;
the
with assets of $387,185,of June 30, 1942, located in
as
ticularly, / a
vice
charge of sales.
There is
nc
of sales, z Labor is han¬
problem
graph
companies
to
discontinue
their
singing telegrams and other
bargain services.
It so happened
that the companies were beseech¬
ing '/their patrons to /use their
services only on essential business
materials."
*
1
"Z, • * '
ynited States and Mexico have
Mr. Stettinius returned to New absorb these increased war-time and it goes without saying that
agreed in principle to an increase York on Aug. 10 aboard the Pan posts."v. V
;.-.■/••
/A-Z4 the feature telegrams were not
effective Aug. 31 in the price at American clipper after a trip from j,.Previous reference to the agree¬ being transmitted until all of the
ment was made in these columns more important business had been
which silver may be imported into
England, where he /studied the
the United States from 35% cents British war effort and the work¬ of Aug. 20, page 644.
cleared.
:
Presumably they hadn't
an
ounce
to 45 cents an ounce,
wanted to definitely stop the fea¬
ings of the lend-lease program. He
f:o.b. New York or San Francisco, had been in
ture services because it takes time
England since July 16;
the State Department and the Of¬ as was noted in these columns
and
money
to reestablish them
.
ciations
467,
resources
Just
what does
actual instances of vice
effort."
were
con¬
after
with
war
con¬
The
war.
raw
bined
Home
York, there
197 savings and loan asso¬
ings and Loan Insurance Corpora¬
termine whether the
that
Federal
New
insurance for
by the Board
contract
entered
into
being rechecked to de¬
use of critical5 before July 2, and not loaded for
materials is the "most vital shipment by that date, may be
could be made for, the com¬ Imported into-the United States.
ments
requirements with a
view
to
obtaining the greatest
possible combined /war production
Imported Silver
18
New
ers
American
U. S. Raises Ceiling On
Aug.
on
Production
with
tree fruits remain favorable."
under
Economic
of Price
crop
-
States
the
of
vided
gentlemen are being stead¬
ily shelved for the duration, and
made after July 2 were announced
of
Bank
right these days by just as¬
suming that
everything is
the
bunk.
•//:. / 1
''/•■// /'..// ;./;./
nearer
will-shelve
Retail sugar
Loan
District,
United
at that time.
i
All in all,
President
Bank
what
selling at 6V2 cents during March
and 50% were selling at 7 cents
4
According to an announcement
Aug. 28 by Nugent Fallon,
made
have decided that you can be
we
Terms under which coffee may
be procured and
imported into the
some
the cattle
needed Argentine beef.
Coffee Importing Pact
consumer,-
de¬
raising states, that Congress re¬
the prohibition against Ar¬
gentine
beef
coming
into
this
country.
It was removed, as a
good neighbor gesture, not that we
managers
.
was
move
those
44% of the retailers already were
Quebec
our
of representatives from
/
In EL Y. Dish Increase
few
a
manding against the loud protests
because
be considerable in
In
to
months ago Mr, Roosevelt
Ensured Loan Ass'ns
us even
the fact that only
hasn't
and,damage to flax from rust will
localities.
or
is
more
level of sugar prices
to
some
the
are
United States production
Allies.";
But what fascinates
nage.
•
In its Aug. 27 report on the con¬
age crops of the main staples. The
Bank further reports: . ;■
// /
fished munitions hpre rather than ;fact that we don't see what we've
5elseWhere^ Or it may turn out to 'got to do with Argentina's ton-
Price. Administrator Leon Hen¬
derson established on Aug. 25 a
dition of Canadian crops, the Bank
of Montreal says that with har¬
vesting well under way, prospects
continue favorable in all provinces
Sugar jPrice In East
4
Continues Favorable
*.
Adjusts Retail
815
Stettinius'
/ ■;'
/,
statement
>
(Continued from First Page)
nage.
We
are
*
closer to the United
Nations,, he said, than the other
two
sources
from which
they
are
accustomed to get meat, Australia
and the Argentine. Z The only one
of them
But: it is doubtful if the demands
pn our food output from the Brit¬
ish are/ to be any more exacting
than they
have been in the recent
/
I southern
Committee,
in
some
cases
the
rapidly changing strategic sit¬
uation may make it more advis¬
able from the standpoint of all the
•,
successful.
>
/
i
-
>
.•
•
.
I):
lieved wages should be kept with-/
in a fixed ratio to the cost of liv¬
ing,: He added that
a
similar ratio
might be worked out for stabiliz-Z
ing farm prices.
The President plans to send an
explanatory statement to Congress
on
the anti-inflation program on/
Labor Day and deliver a "fireside
chat" to the people that same eve¬
ning./ It is understood that he will;
not ask Congress for new legisla-Z
What was the motive of the
tion to make the program effec¬
labor leaders in this instance? Not
to help win the war, not to help tive, initiating it instead by execu¬
tive orders.
Mr. Roosevelt had
their employers.
It couldn't have
previously
remarked
that
time,
been either
because they didn't
was the important factor.
A////
take it up quietly with their em¬
ployers. The first heard of it was
a blast by the labor leaders in the
There is the additional fact that
quite
a
few
which
of
our
New
member
demand
York
banks
and
deposits
Chicago
hold against
must
from
26%
sessions of the United States;
"(2)
Coverage
on
goods
>
ship¬
24%, the New York State Banking
ped between ports; /■ :/ /
:///.■'•
"(3) Coverage on goods sold by-
Board it is learned from the "Wall
the
Journal"
Street
reduced the
of
state
of
reserve
banks
banks
vate
in
to
Aug.
25, has
requirements
and
trust
com¬
panies, industrial banks and
Manhattan
pri¬
from
It is
pointed out that the change
affects
17
are
banks
under
in
Manhattan
the
jurisdiction
of the State Banking Department
and
brings these institutions'
re¬
requirements
into
con¬
formity
with
Federal
Reserve
serve
member
banks.
assured
prior to or during;
shipment, and
.//-v.
>
"(4)
Coverage on goods im¬
ported by an agent for account of
third parties."
•
It
is
order
26% to 24%.
which
citizens, our
meat eaters, have recently moved
United Nations to convert certain 'to Australia.and other places in
lend-lease raw materials into fin- the vicinity; the further additional
:■
a
we are closer to, it would
is Britain/ and it is a com¬
mentary on something or another,1 newspapers,
Expands War Cargo Ins.
Similarly, we find
that just before Pearl Harbor, Sec- 1 labor leaders now
demanding a
The War Shipping Administra¬
retary of Agriculture Claude rationing of telephone calls. Great tion announced on
Aug. 12 that it
Wickard, with an eye to helping ' goings, my friends.
Z' has
expanded its war risk insur->
the prosperity of the farmer, was |
—
ance
to 'cover
four
additional'
having an awful time getting the
cargo categories/ The supplement,/'
British to take more of our agricul¬ N. Y. Federal Reserve
effective Aug. 1; takes in the fol¬
tural output.. They succumbed to
Requirements Cut lowing, according to Washington *
his blandishments when they real¬
/; Following the recent action of advices to the New York "Herald
ized / that 4; agricultural
products the Board of Governors of the Tribune":;/ ■;'•14/'/,.
/;.///;;/ // /;
"Z'
were mostly what they could get
Federal Reserve System in reduc¬
"(1)
Coverage on goods •/. ex¬
under the benefits of Lend-Lease.
ing
the : reserve
requirements ported to the territories and pos->
seem,
route, and when you
/■/, /'/■■/•'■•'
"Despite the fact that all these I realize that our convoys to Archmaterials are part of requests al¬ ; angel and Murmansk have been
ready screened by the Lend-Lease catching literal hell, the southern
Administration and the Require¬ route is likely proving the more
ments
will
than
again.
Manifestly, both / Australia and
• /'/; Argentina are closer to China/and
con¬
they are closer to Russia by the
cluded::
involve a flexible
rigid freezing of
either wages or farm prices.
Mr.
Roosevelt
declared
that he
be-Z
program
rather
also
stated
that
the
new
also
provides that
open
cargo policies issued by the WSA
do not cover shipments of specie,
securities, valuable
jewelry,
precious
stones, gold and silver and other
precious metals, or any articles
transported by means of ordinary,
or
registered mail or parcel post.
currency,
documents,
THE COMMERCIAL & FINANCIAL CHRONICLE
816
Thursday, September 3, 1942
:
Christmas Mail For
Armed Forces Abroad
OCD Insignia Barred
For Political Purposes
Landis, Director of the
Defense, made
public in Washington on Aug. 21 a
ruling prohibiting the use of the
official OCD
insignia with any
printed matter for political pur¬
poses.
Mr. Landis said:
"This1 ruling does not interfere
with the personal political activi¬
ties of our volunteer workers, who
have the same rights as any other
private citizens.
The distinction
between such activity and the use
of the insignia of a war service
organization to promote the inter¬
Arrangements have been made
by the Post Office Department in
cooperation with the War and
Navy Departments for the accep¬
Christmas
of
tance
of
members
serving
the
outside
States.
United
parcels
armed
our
for
forces
continental
(For the
purpose
of these instructions Alaska is in¬
in
cluded
the
United
continental
that
order
"outside
term
the
States.")
such
In
parcels
reach the addressees
may
time
on
and
in
good condition, postmasters are
requested to bring the following
requirements to the attention of
mailers:
"Time
of
Mailing.
Christmas
parcels and Christmas cards should
be
mailed
during the period be¬
Oct. 1 and ending Nov.
ginning
1942,
1,
the
earlier
Patrons
should
endorse
each
be
made
the
better.
encouraged
gift parcel
Parcel.'
mas
be
Special
effort
will
effect
to
delivery of all
all Christmas parcels mailed dur¬
ing
that
period
in
time
for
Weight.
transport
materials
essential to the
present
York
"Herald
hibit
or
inches
in
such
and
publication
it
would
directly
girth
com¬
War
that
of
misrepresent
organization.
Connecticut's
an
Attorney
tion
and the
7
the
Armed
Forces
Aug.
"Attorney
are
who
clothing, and the public is urged
nounced
that
property
of
not to
food
include such matter in gift
parcels.
Not
than
more
one
Christmas parcel
be
one
or package shall
accepted for mailing in any
week when sent by or on be¬
half
of
to
cern
the
same
person
for the
or
or
ment
A.
Francis
Sept.
on
11
an¬
personal and real
British Govern¬
the
not
was
ad¬
tax-exempt,
said
hat his attention had been called
since
to
agreement between
Secretary Hull and Lord Halifax
an
threw
which
con¬
addressee.
same
a
new
light
the
on
matter.
international
"Under
law, Mr.
"Preparation.
Owing to
the Pallotti
pointed out, 'a sovereign
great distance this mail must be
State may not impose a tax upon
transported and the handling and
;he personal property of another
any storage it must undergo, it is
sovereign State devoted to the
absolutely necessary that all ar¬
public service of .that State.'
ticles be
packed in substantial
"However, he said, Connecticut
boxes
ered
containers
or
with
strength
only
other
be
cov¬
of sufficient
wrappers
not
of
sure
and
resist
to
mail
in
statutes
such
themselves
in
have
no
Pointing
that
out
claim that at least 90%
United
States
packages
hard
candies,
of
tents
WPB Restricts
part:
further
Secretary
* r
■.
"War
•/
mount
and
as
the
The
con¬
packages should be
packed,
in
order
that
several
articles
may
not
loosened
in transit damaging
contents
of
the
parcel
be
the
iteslf
or
causing damage to the covering of
the parcel. Christmas boxes should
be inclosed in substantial contain¬
Candies
ers.
boxes
in
should
thin
be
pasteboard
inclosed
in
wood, metal, or corrugated paste¬
board.
Sealed packages of
cigars,
cles
may
tobacco
and
candy,
toilet
arti¬
simplest mercantile
be
inclosed
within
form
in
without
affecting
Yardage
The War Production
Board, in a
order, decreed
limitation
recent
ciated Press reporting this Aug. 7
said:
"Unlike
previous clothing or¬
this one contained a mini¬
ders,
mum
well
as
regulation
own
par¬
knives,
etc.,
must
have
their
points or edges protected so t.hey
through their coverings
cannot cut
and
damage other
mail
or
injure
postal employees.
"Perishable Matter.
No perish¬
able matter should be included in
any
parcels.
"Prohibited
"
for
Intoxi¬
plained,
which
stitutions,
but
and .poor,
"You
that
or
wear
and
for
have
but
do
not
freedom."
i— *ccm
The
Bureau
nounced
interfere
freedom
of
with
action
a
and
out in
a
short time
as
a
"The WPB
estimated
the order
of
Aug.
on
that
20
an¬
provi¬
another,
are
must be
or
damage
the
unmailable."
nointed
out
that
Time, 10
Time,
and
Time.
Coffee
Mountain War
a.m.,
Pacific War
a.m.,
9
The
Bureau's
announce¬
ment further said:
fully prepaid.
to
its annual Labor Day ob¬
servance this year in such a way
that there may be continuous op¬
arrange
eration
and
of
all
mines in
industries,
which
plants
shut-down
a
would be injurious to the war ef¬
fort. In letters to President Wil¬
of
Labor
and
President
Philip Murray of the Congress of
Organizations, Mr. Nel¬
son recognized the special signifi¬
cance of Labor Day and remarked
Industrial
that "there
are-
plants
many
m
Aug. 21,
No.
8863,' of
allocating for the
1941,
production schedules in
way that Labor Day may
range war
such
a
celebrated
the
and
stimulated
if
He
of
labor
workers
unity-
will
take
be
one
to review the contribution
they have made to the war effort,;
to
discuss
the
to
Coffee
Agreement
countries which are not signa¬
termi¬
stake
that
free
labor has in the world-wide
ter-American
Agreement,
national
our
morale
vided for in Article VII of the In¬
the
holiday.
a
"Wherever this is possible, I am
flict in which
of
as
added:
day
-
Order
present quota year the quota pro¬
participation
State
nates
andj
times
many
total
a
That
war.1
make
their
plans
efforts
con¬
engaged, and
we are
for
intensifying
toward
increased-
output."
v-
on
one can
no
es¬
"The acceptance of entries will
authorized
within
the
quota
limitation in the order of the time
of
their
form
presentation
the
at
proper
customhouse
in
the
port where the coffee has arrived.
tribution to the total
This
sented at the time specified above
fotfght by'armies and
on
Sept. 1, 1942, cover a total
quantity of coffee the produce of
non-signatory countries in excess
wards
not
navies
alone.
It
is
fought
economic
weapons
fought
the farms
on
effort.
with
It ; is
in the
too.
and
factories, in the mines and
on
the
merchant
it
ships and railroads, but
fought too in the homes
is
where
and
men
curtail
women
If
of the quota
tity
and materials vitally nec¬
our
time
fighting
men.
not
are
to
you
for the
pay
war,
of
but
you
limited
needed
for
materials
production
war
supply. Every time you buy
thing that is not absolutely
without
the
which
that
mate¬
on
time
and
only
not
front
but
the
on
the
on
the
you
unpatri¬
otic spending you help to win
war,
the
economic
fighting
front
for
time
a
enough
like
this
it
is
not
to
buy War Bonds with
may have left over
from
our
normal
budgets.
We
must cut these budgets drastically
v/hatever
we
disposal of our Govern¬
to pay for these materials.
at
ment
the basis
for
No.
beginning
year
can
our
of
afford to
thoughts
are
the
or
in
our
daily lives.
us
to put
the buying
the family
Bonds first
The
budget.
place
put the war last in
It is time for
who
still
us
on
millions
of
people
on
payroll savings
doing precisely that. In
they are making the pur¬
now
are
this way
chase of War Bonds
a
first charge
shops.
planned
all other
In
holiday would
be
announcement
desirable.
believed
The
that
of the War Production Board also
stated:
*
•
•
'
■■ ■
in the year, Mr. Nelson
had called on labor to give a full
day's production in all
war plants
Washington's
Birthday, Memorial Day and In¬
dependence Day. "The' letters to
New Year's Day,
Mr.
Green and
written
after
Mr.
a
Murray
number
of
were
labor
leaders and local uniorts had writ¬
ten to Mr. Nelson
asking whether
Day parades, picnics and
holiday observance should
Labor
other
be canceled this year.
Cut Coffee
Oct.
1,
A
further
amount
of
American
the
at
the
The War
be
cases,
he said, he
observance of the
on Sept.
1,
order will be issued
;n
^
Production Board has
allocation
other
and
Consumption
reduction
coffee
in
the
available
consumers
beginning
War
nounced
to
will be made
of
September,
Production
Board
an¬
Aug. 21. The base
quota for wholesalers, re¬
tailers, and other wholesale re¬
on
coffee
ceivers
Commodity Credit
Corp. in respect to vegetable oil
seeds
and
their
products, WPB
is reduced from 75% to
65% effective Sept. 1, by Amend¬
ment
No.
1
to
Supplementary
Chairman
Nelson
Order
Aug.
This
the
to
powers
18.
announced
was
on
indicated
in
Street
Journal"
"Farmers
grown the
which
have
largest
said:
this
crops
The
season
in history
these important oils, replacing
oriental imports and filling lend-
reported that the program
by the CCC, to move
supplies with least delay, may re¬
quire crushers accustomed now to
was
advanced
one
type of seed to take
other kinds.
emphasized
importance of this delegation
Board ;
has
of
war
He said that while the
item.
"One
ing
reason
United
South
States
and
countries.
from
comes
Central
American
The WPB further said:
amendment, the base
quota is set at 65% of the average
monthly
roaster
that
amount
delivered
of
or
a
coffee
a
wholesale
receiver accepted during the cor¬
responding quarter of 1941. This
quota will be in effect during
September and for each subse¬
present
under
WPB
is
duty,
of
population
increase
tinue to receive
will
con¬
larger quotas, but
their quotas will be based
on
ihe
base rate.
giv¬
The
the
coffee
some kind
financing may be required to
keep prices up in face of the big
output.
Depressed prices would
monthly quota, provided
Supplementary
Order
M-135-c,
is
75%
of
the
base
period. Counties which have been
granted additional coffee, because
new
this particular
spokesman said, is that
up
the
quent month, unless changed. The
"A WPB spokesman
spheres
be¬
necessary
Under the
price, storage and
crushing facilities have come up.
on
is
the
shipping situation,
the WPB stated,
explaining that
practically all coffee consumed in
>
"Problems of
handling
reduction
of
cause
of
lease needs.
M-135-c, issued by the Di¬
Operations.
rector General for
Washington advices to the "Wall
previously delegated
authority to Army,
buying of War Bonds last in our Navy, OPA, etc., this is the first
time it has given CCC the job of
family budget for the month, yet
we have passed the time when we
going down the line with a big
"Millions
the
brief:
suggested,
effective
no
the
he
should
8863
Vegetable Oil Products
the materials needed
conserve
to
1942."
It
too.
"At
Order
places,
within
allocating the non-signatory quota
cannot
we
every
unnecessary
and
neces¬
for
Remember,
war.
hand,
forego
forces
on
presented
some¬
competing
actually
are
armed
be
1942, and
quan¬
admitted
V''.
delegated
the
of
store
quantity
to
ceases
are
"We simply do not have an un¬
other
the
"Executive
own per¬
your
be
pre¬
you
well.
as
limitation, the
may
entry..-',-.
only helping to protect the
value of your dollar,
which
such
celebrations
on
consumption
entry will be prorated
their normal expenditures to save
to supply
for
entries
mines should have continuous op¬
eration through the holiday.
In
Earlier
in
his own personal responsi¬
bility to make his maximum con¬
cape
olans
postage
Aug.!
on
labor
confident that
be
heard
is
simply that
means
of War
is
Nelson
American
War
of power.
injure
M.
on
be
for
American
ings
or
called
Agree¬
ment, on Sept. 1, at 12 noon, East¬
ern
War Time, 11 a.m., Central
-
the
kill
24
Inter
for the war, and to place our sav¬
may
Donald
man
which it will be possible to rear¬
to
which
Pointing cfut that "the battle of
production is not yet won," Chair¬
consumption
covering coffee the produce of
countries
not
signatories of the
entries
present
of
thread, through the elimination
of triple stitching; 150,000,000 but¬
tons and 12,000,000 buckles; and
29% of the normal shipping space
involved in the shipping of work
shirts, since the order prohibits
the shipping of these in boxes."
i
Operation On Labor Day
eration
Customs
sion will be made at customs ports
of entry to enable importers to
would
of
Nelson Urges War Plant
liam Green of the American Fed¬
—
Coffee Agreement
tories
every
have
rials
tight-fitting garment.'
It
to
individuals, ithe quota as of Aug. 15 was ap¬
children, rich i proximately 15,500,000 pounds. '
and
in
this
each
defeat the conservation purpose of
mails,
or
like
actually need, and to put our
earnings into War Bonds instead.
It is high time for all of us to cut
deeply into our accustomed ways
of living so that we can help our
country in this war for survival
for
county of the Nation.
our
the order by making it necessary
for a worker to buy a larger size
and
poisons
now
from
women
you
would
worker's
(in-
and
from
of funds.
with
provided,' the "WPB ex¬
'to
prevent
skimping,
was
cants, inflammable materials
fluids),
harder
much
the final
sary
yardage
type of gar¬
'The minimum yardage restric¬
tion
rinding matches of all kinds
lighter
would
continue ?•' to
fighting front increases in
source
win
compositions
Articles.
urgent
*
Local representatives of the
Sept. 1; 1942. Therefore, j<
armed services, Mr. Nelson said,!
extent and intensity.
To pay the any
unentered
portion
of
the
bills
that
will
come
in
everover-all quota for coffee the pro¬ will be prepared to tell manage¬
increasing volume we shall have duce of non-signatory countries at ment and labor in various locali¬
to
draw
upon
every
available the close of business Aug; 31, 1942, ties specifically which plants and
on
maximum
as
ment.
par¬
the
al¬
buy a War
Bond you too are fighting on this
economic front. You are not only
result in an annual saving
21,000,000
yards
of
cloth,
cel-post
classification
of
such
packages. Sharp-pointed or sharp- enough to provide 7,000,000 addi¬
edged instruments, such as razors, tional garments; 125,000,000 yards
cels
have
unprecedented
will
our
"j'v
..
is
We have got to discipline our¬
to do without things we
"Executive
in
It
do likewise.
us
the home front have got
selves
;
said,
.
expenditures
reached
For Men,s Work Clothes
helping
articles,
such
tightly
the
etc.
soaps,
includ¬
this
\1
The
"
sonal future
toilet
is
em¬
follow
will
helping to protect
miscellaneous
of its
lead.
"Every
in handling may be mini¬ that in the future men's work
by securing the covering of clothes will have fewer pockets,
parcel so as to permit ready fewer buttons and buckles and no
inspection of the contents.
unnecessary yardage.
The Asso¬
ing
"Roanoke
ployees are buying War Bonds
regularly out of current earnings
through a payroll savings plan,"
Mr.
Morgenthau ' expressed
the
hope that all communities of the
delay
combination
interest."
the first city in the United States
in
which
every
company
can
the
; "Many
thai
fight
on.
no
War Bonds and at 2.9%
mized
will probable be made
up,
Roanoke, Va.,
longer
be necessary for the Treasury to
come
to every American, hat in
hand, to ask for subscription to
essary
same
sack, but to withstand the weight
of other sacks of
mail, which in
the
long transit may be piled
thereon.
Furthermore, as each
parcel is subject to censorship,
at
designating
declared that "it should
money
provision."
pres¬
the
War
city as the first "Treasury Flag
Ciiy" in the War Savings Bond
campaign, Secretary Morgenthau
men,
General
Pallotti,
with
Hartford
in
said:
and
provided
buying
to
on
Congress will, in shall be open to the entry for con¬
analysis, determine how sumption of coffee the produce of
000,000, is exempt from taxation much we must pay in taxes. The any non-signatory country at the
under international law.
.balance we shall have to borrow, hour specified above, on Sept. I,
With regard to the ruling, the
not only from banks and other in¬ 1942.
The unexhausted portion of
vices
of
General
like, having an esti¬
valuation of $25,-
have pointed out
amply
address
an
ceremonies
o
heignts,
assessed
Press
mem¬
"by
country
In
at
v v «■
in that State, such
airplane parts, guns, ammuni¬
Associated
bers
or
sonal property
ordinary shoe box, and the weight
to 6 pounds.
These Departments
also that
cases
has ruled that Great Britain's per¬
mated
to
repro¬
in
Exempt From Taxation
partments to cooperate by volun¬
tarily
restricting
the
size
of
parcels
or
Property In Conn.
as
Nevertheless, the public is
urged by the War and Navy De¬
his
Bonds—until it hurts."
ready
bined.
Christmas
Tribune" may pro¬
space
of 11 pounds in
18 inches in length or 42
length
by the Di¬
duction of these symbols
limits
weight
regulated
rector, who according to the New
effort, Christ¬
war
or
usb' of the OCD in¬
Commercial
signia also is
parcels shall not exceed the
mas
individual candidate
should be apparent.
The
insignia represent the organiza¬
tion, not the individual.
It is ob¬
viously improper to use the or¬
ganization for political purposes
or
to attempt to make political
capital from the use of its in¬
signia."
T'
In view of
shipping
lorgenthaii
Secretary of the Treasury Morgenthau on Aug. 20 made an ur¬
gent appeal for every American
to lend a part of his earnings to
,
party
discredit the
and
the urgent need for
to
ests of any
where
Christmas.
"Size
,
to
'Christ¬
It Hurts":
Civilian
of
that all of
"We
James M.
Office
their income.
upon
"Buy War Bonds Till
order
will
reduce
civilian
consumption in the United
States to about
110,000,000 pounds
month, compared with 125,000,000 under the previous order. An¬
of
a
discourage needed production, he
unrestricted basis is approximate¬
declared."
ly 147,000,000 pounds
nual
coffee
consumption
a
on
month.
an
Volume 156
Number 4104
1
THE COMMERCIAL &
FINANCIAL
CHRONICLE
817
Tax Bill
Endangers
be
tne
"Mr.
that
beginning
the
New
was
Public
Jersey
hearings
the
Committee.
that
40%.
Corp. of
the recent
Senate
It
time
reduced
Service
during
of
was
that
reported
at
George,
Chairman of the Senate Commit¬
tee, indicated his approval of the
suggestion
made
by
C.
W.
45%
to
maintained
normal
and
rate
a
surtax
not
without
vania).
able
the chaos that will result
Senate
utility
which
to
the
Kel¬
drastic
Press
he
he
is
ity industry agreed with Mr. Mc¬
as
Carter that
counts added:
tem
lather than
in the
a
New York "Journal of
of
Washington bureau Aug. 12 fur¬
ther said:
7
7')
expanding industry With a
large investment per dollar of
order
to
alleviate
hardship arising from the
added
had
the
use
of
a
stationary base period in de¬
termining what constitutes excess
said,
'if
this
through
of
simple
a
similar
excess
tov the
formula.'.
committee
readily
come
shown
materials and manpower."
to
Commerce^ said
the
"Journal
of
in part:-bV.
"Mr. McCarter pointed out that
;:
public utilities, regulated
'practically can have
as
are,
no
gestion
they
that
Chairman
7
surtax
"Preston
dent of
old
system
list of utilities' representatives
op¬
under which normal and surtaxes
posing the 'confiscatory rates' in
the pending tax bill
asserting that
if
the
pending tax ' bill were
adopted in its present form, the
be
deducted
in
profits income
excess
in the
1940 Revenue
computing
provided
as
Act.
"To
the
extent
that
any
ab¬
normal increases have occurred in
utility
incomes,
said, in
may
tax
upon
would
be
expansion programs
seriously hindered."
McCarter
hey added,
enormous
S.
Arkwright, Presi¬
Georgia Power Co., led the
utilities'
be proper to place a
such profits.
"However,"
additional
Mr.
'when
burdens
Construction yolujtne
Broke Record In July
>
in
Record
-
the
breaking
construction
guise
of
so-called
excess
volume continued Through
July,
profits taxes, which they are not,
according to a special statement
are
placed upon a corporation released by the F. W.
Dodge Cor¬
such
as
ours, which
is striving poration on Aug. 14.
under
of
war
difficulties to
its
share
work, it is thoroughly in*
equitable,
just.' 177
"Mr.
do
uneconomic
and
7.'7: 7•77777'7;7McCarter
said
that
un-
lined
in
his
statement
to
Building and engineering
tracts
37
awarded last
eastern
States
month
con¬
in
amounted
the
to
$943,796,000; while this was 21%
the underi the all-time
high of June,
pending bill does not fulfill Sec¬
retary, Morgenthau's objects out¬
the
declared,
to
deducting normal
to
5%
on
and
excess
at
45%,' he Continued.
'With maximum
earnings lim¬
thus
drastically,
average
earnings would fall below 1%;' he
declared,
survive
'and
such
no
an
industry
average
can
rate
of
net
capital gains.'
"Mr. Davis said it
larly
1942, it
was
far larger than
other contract total
ever
any
recorded.
was
particu¬
when buildings and
other improvements to lands
were
included with capital losses.
He
rooming houses.
lations will
next
day
tions:
777, ,77-77;7":7.7777
"Tenants
tember
than
rent
the
...v 7"
paying their Sep¬
oh
to
are
rent
pay
which
no
same
accommodations were bringing on
March 1, 1942. The
only major
exception to this
comes
accommodations
have
character
such
of
the
the
as
living
addition
room, completion of
attic of a
house,
sidewalks
where
before.
none
and
on
Sept.
Leon
nounced
Aug. 18.
on
1,
Price Ad¬
Henderson
am
This order,
the fourth issued by the Office of
Price
Administration to
reduce
rents in its
Will
fight against inflation,
establish
rents
is
in
added
over
Federal
one-third
in
the
of
control
the
of
nation.
announcement
6,500,000 persons live in
brought under con¬
the areas to be
Sept. 1. By that time
a
total
45,500,000 will be living in de¬
fense
rental
areas
under
Federal
rent
then
sub¬
"
.
mate¬
scarce
In
his
message
Mr.
Champ
stated members should
"give OPA
a
a
bath¬
room
in the
installation
there
cooperation on the part of land¬
lords and
property owners, it will
become another leak in the * dike
at this time when controls on
quarters,
of
had
Ordinary
in¬
of
flation
the
rent to
repair
be paid on
are
necessary."
Mr. Champ also said:
been
"If
the
certain
the
approval
agency
from
his
cut,
to
with
consult
nor
landlord
to
does he have
his landlord be¬
fore making it.
Such a reduction,
where one arises from the roll,
,
,
j issuance
lations."
.
,
,
,.
of maximum
...
rent
...
regu¬
;.;7'7"7:7: ;• 777777", 777 7.7\ v7
-
Military Rank For
President
13
Roosevelt
a ;
of
vetoed
bill
authorizing
appointment or
of
commissioned
'Coast
the
Survey in time of
and
on
the
ad¬
offi¬
Geodetic
war or
national
emergency.
In his veto message
to the House, the President voiced
his
objection to the far-reaching
provision in the bill that "officers
on
the active list of the Coast and
the
for
property
proper
have
may
erred
instances—it
would
enal
did
if
they
in
be
not
some
phenom¬
in
view
of
the
extent of their
job and the
limited time they had for it.
Es¬
pecially in the cities, with 'roll¬
back' dates—those
prior to March
1, 1942—is the need great for ac¬
curate
and
full
"More than
of
Geodetic Survey Officers
freezing dates in
procedure is
lay all facts before OPA.; This
7
No
part,
are
treatment
owners,
In
thought to be
dates and have meant
wrong
to
make this
rent
cities
unjust
Sep¬
war
a
data. : 777 77 7 77
million and a half
7 workers
defense
centers
will
into
move
in
the next 712
months and well over half a
mil¬
lion
probably will have to be
housed in private homes.
Mort¬
gage men can do nothing more
patriotic
effort
than to
now
to
that
see
help in the
workers
war
get
comfortably
and
decently
housed in existing
housing be¬
cause
it
the maximum
means
sav¬
ing of critical materials which
desperately,
guns,
Geodetic Survey in commissioned
shall be deemed to be in
needed
planes and
for
77
tanks."
are
ships,
■
;
Mr. Champ said this new
de¬
velopment
in
housing will be
active military service." His mes¬ given a
prominent place at the
sage added
7; 777.7' 7 > 7.777 777') 7 Conference on Wartime
Mortgage
7:7 ,"I am informed that under this Finance the Association will hold
latter provision all active com¬ in connection
with its annual busi¬
missioned :7 service,
wither
in ness meeting Sept. 30 and Oct. 1
time of war or peace, in the Coast and 2 in
Chicago.
' 7
7 ^7
and Geodetic Survey, would be
ranks
considered active
and
that;
personnel
ignated, 134 will be
and
would
military service,
there
consequently,
flow
to
all
its
Two Mexican Banks To
commissioned
pension,
Control Sale Of Silver
insurance
other rights and privileges to
Compared with the figure for July control on Sept. 1. Mr. Henderson which
military
personnel
and
in his advices said:
of last year,;
'$577,392,000, there
7;7"*77777777.7;;.77 their dependents are entitled; The
was an increase of 63%. "
"Federal
control
of
rents
is committee
7-7-.., 7:;7
reports and the debates
i Ninety-three per cent of the working.
In the 96 areas Where do not indicate that these results
'A tax which absorbs excess
large July, 1942, total was for pub¬ we made maximum rent regular were foreseen
by the Congress.
profits still leaves the corporate licly owned
projects, indicating tions effective in June, July and
"It would be different; if the
taxpayer with a sufficient margin the extent to which war construc¬ August, the rent index has shown
majority of the functions of the
of
income
for
dividends
and tion has blacked out
This decrease per¬ Coast and Geodetic
private work. a sharp drop.
Survey were
safety. 77
'77
Industrial building contracts were centagewise has been as
;-7-'_. 7; 7 7
high as clearly military or naval. On the
7
" 'On
the
other
hand, a tax nearly three times as large as in 11.8.
This means a tremendous
contrary, in time of peace, its
which dips too deeply into the in¬
July,
1941;
heavy
engineering saving in the nation's rent bill. It duties, and functions are normally
comes of low earning
corporations contracts more than doubled the means a complete stabilization of
civilian; and in time of war most
may
seriously, affect their debt July.
1941
figures;
residential one of the most important items of them continue to be civilian.
paying capacity, if not their very building contracts ran
in
the
cost
of
38% be¬
living.
I repeat:
"I am, therefore, unable to find
hind the
existence.;' 7 777 '.77..
corresponding month of rent control is working."
7;
7
any reason which would justify
" 'There can be no fair
quarrel last .year. -7.^77,7:77 ;,777': 7".'-From the advices of the OPA
placing all of the active commis¬
with the imposition upon corpora¬
The cumulative total of con¬ we quote:
sioned personnel of the Coast
tions of a substantial proportion of struction
and<
contracts
for the first
"The 38 new areas, all with a
Geodetic Survey into the category"
the increased load of taxation re¬ seven
months of this year
has March 1, 1942, freeze date, are of 'active
military service.'
quired by our national peril. We amounted to
$4,667,521,000, corn- scattered throughout 21 States,
"And it should be remembered
are fighting for the maintenance
j pared with $3,127,354,000 in the and include such cities as New that, under existing law, officers
of the very system of free entercorresponding period of 1941, an Orleans. Kansas City. Tampa, Fla., of the
Coast and Geodetic Survey
prise
which
makes
corporate | increase
of
49%.
This
year's Des Moines, Iowa, Essex County
actually serving under military or
profits possible.
At a time like seven-month contract total
is. the in the Boston, Mass., area, Allen- nav^l
command are now entitled
this, I am confident that incor-' largest ever recorded for the
first town and Bethlehem, Pa., Chatta¬
to the benefits of the laws which
porated
business will
willingly seven months of any year.
nooga, Tenn., Jackson, Mich., and
apply to the armed forces."
House Ways and Means Commit¬
tee on March 3,
1942, when the
Cabinet officer said:
of
for guns,
planes, tanks and
ships is not going to permit con¬
tember 1 cuts back to what it was
on March 1.
The tenant needs no
regulations,
Of
the
396
defense-rental areas thus far des¬
under Federal
need
rials
viously inaugurated.
Reasonable
control, it was pointed out,
major capital improvement.
7 "If no change has been made,
cers
brought under Federal
ministrator
increasing
—
is necessary, and if
fairly admin¬
istered will be a
deterring influ¬
a
temporary
back
development
getting war
workers properly housed in
pri¬
vate homes.
Mr. Champ said:
"It is
plain that the rapidly
and maintenance is not considered
vancement
regulation
ing
.
cause endless
Residential rents in 38 more
defense-rental areas will be cut
also be prepared to
assist in the next
great war hous-
rent
when the
been
-
More Rents Frozen
possible, and said that
must
stantially changed by a major ence on inflation. If rent control
capital improvement. .', [f
gets out of hand and is defeated
'This change must be
either by unreasonable or
one, how¬
inept
ever, which materially alters.the administration
or
selfish
non-
arbitrary split of buildings
fixtures;would
rent control
they
assistance along the lines of the
MBA program of
cooperation pre¬
more
the
-
urged
two, and will have as struction of much of the war
Sept. 1, 1942. housing previously planned and
means further that
these
new
existing hous¬
areas, one over-all guiding prin¬ ing must be utilized to accommo¬
ciple is set forth by the regula¬ date war workers."
I
trol
Both regu¬
within the
issued
22,
or
Aug.
of
be
Aug.
their effective dates
"For
tenapts
in
litigation."^;,,
that
rent regu¬
on
statistical data
necessary to make
the constructive
administration of
make
onerous
an
from
It
ocmpleted,
Mortgage Bankers AssociaAmerica, in a report to
of
members
them to continue
extending OPA
their assistance in
assembling the
operating personnel
of two maximum
invested
ited
a
prof¬
should
be
could
7%
industry
by limiting the
credit
"
George
subcommittee to prepare
sound program of war taxes for
name
a
ex¬
excess
taxes,
the
law
changed back to the
heavy
3%%.
and
capital over $200 million and then
by further levying the normal and
profits,' and urged that if this public utilities, stating that the
industry, because of its peculiar, present method .is 'unsound, in¬
nature, cannot be altogether re¬ equitable and destructive.' 77.;.777.v7'. Said
its
before
profits
utility
industry
had
necessity for [ revising
cess
lieved from so-called
allow
rates of 8
earnings.' ':7..■ 7;7:777• ■:■;<■.;..■;>,7:v;7:7/the entire excess
profits tax law. 77 "He assailed provisions denying
Mr. Dawson replied:.;•
7777}7,7. 7,7777 all net capital losses and including
"'If we have shown the
light buildings and., improvements
in
for justice to be done to
others, capital assets, contending it was
I'm very glad we made the ef¬ 'an
arbitrary restriction of valid
fort.'., 7 77,77.7;;,: 7.77; >7 77 7777777;
deductions to deny, the
deduction.
77 "Mr. Dawson also made the sug¬ of net capital losses while :
taxing
necessary but can't be
out because of shortages
advices
the
1941
surtax and
agreed
>
a
only 3 or
'"This 3% earning results from
computing excess profits net in¬
Dawson, s Presi¬
regulatory bodies.
Dawson
as
,
earn
"Mr.
,V. Regarding Mr. McCarter's
pre¬
sentments to the Committee the
some
capital
task
the
accommodations other than hotels
and
industries,
production,
remark
trolled by
main¬
invested
for
lations, one for hotels and room¬
ing houses, the other for housing
8, 7, 6
of
con¬
the
ance
ac¬
industry to survive after
war,' Mr. Davis's statement
would'
tion than other industries because
rates and profits are con¬
is
carried
of
where
cases
oil
war
should be retained.":
7 "The House
bill, he
growth
let
Pennsylvania's
said. 'The
/
in
tenance
full
of
"Control of rents in the 38 new
areas will be
effectuated by issu¬
..7
necessity for revising the entire
profits law for all corpora-;
tions.' 7,;;Y7777 .■.' 7,
77
77 ..:-7
7 "The Ohio Senator made this
F.
Frederick P. Champ,
President
of the
plant, and a second inmigration of thousands take
place.
of
or
in-migration
their
ers,
must
;
is
A.
the
of
the
The press
and
to
5%
the
'there
,7/::7
7V'777,77 with Senator Taft that
numerous
"The Senate Finance Committee
other corporations would be seri¬
Chairman also seemed
favorably ously affected by the excess
prof¬
impressed with the suggestion of its
rates in the pending tax bill
Mr. Kellogg that some allowance
and to Senator Taft's observation
be
given for deferred
mainte¬ that
the
nance
member
f
heavy
industry
their
amendment
a
excess
as
that
against excess profits net
income is entirely too low to
allow
Co., was testifying that the utility
industry was in a different posi¬
profits
present
utilities
tion
tremenous
way
Asso¬
credit
dent of Cincinnati Gas & Electric
constant increase in
earnings is
peculiar to the utility industry, it
might be used as a fair basis for
computation
the
the
and
■
profits.'
[ "Senator. George
that
shown
locations of this type
production activity. Ordnance
plant areas are those which see a
work¬
feared the effects of the House
bill
on future lean
years.
7 - 7
"
'The graduated scale of
...
we quote:
7 V
"Senator Taft (Rep.,
Ohio), said
he was 'most sympathetic to the
problems
of
the
Utilities'
and
an
the
Committee
men.
coal
geared
Also from the "Journal of Com¬
tax bill 'provide an allowance for
in
increased taxes."
to
stated
Davis said
steel,
of the burden
merce" advices
7; 7
"Mr. Kellogg suggested that the
sales
greatly
some
and
arms
"Mr.
profits
1940 tax bill would relieve
the utilities of
Commerce,"
reporting this in advices from its
excess
containing
ordnance
Nearly one-half of the
are
struction workers once
ground is
broken for a plant.
These
new
on Aug. 19
by
(Rep. of Pennsyl¬
Finance
upon constant increase of
computing
busi¬
uttered
Davis
Institute, that perhaps the excess
profits of utilities could be based
of
of
proposed
the nation "face defeat on
this im¬
portant front," as vital to
victory
reversion to the sys¬
Bankers Urged To
Aid OPA Rent Control
action might be
against high rents
areas
areas
years
change the House approach
.
earnings
stationary base. The
the
According
ciated
"All representatives of the util¬
a
post-war
revision
in
was
Senator
industry if some
such relief is not given to the util¬
ity industry. 7
V'v'<.y 7
lean
levies
by the Government, as a result of
the changes
suggested,' Mr, Mc¬
Carter said, 'would be
incompar¬
in
logg, President of Edison Electric
survive
tax bill
lost
1
move
plants.
warning that industry could
not
exceeding
of revenues
Sept.
a
war
A
ness
amount
in
Survival 07 Business
'
.
.
"'The
Finance
Senator
the
also
"This
termed
Held Essential For
pending tax bill is 'uneconomically high' and should be
given by Thomas N.
McCarter, Chairman of the Board
of
McCarter
Utica-Rome, New York..
Gorjsorafe Tax Change
rate in the
of the end of private operation of
utilities*'
will,
before 1940.'
A warning that if the
pending
bill is passed in its
present
tax
will
which
after all, leave it in the
aggregate
same amount of income
After taxes as during the years
*
"it
taxes
About the
Private Utilities Gos.
form,
additional
pay
The
sale of Mexican silver in
the domestic market will be con¬
trolled jointly in the future
by the
Miners & Merchants
Bank, Mexico
City, and the Bank of Mexico,
central Government
bank, accord¬
ing to Associated Press Mexico
City advices.
The dispatch fur¬
ther said:
"The large silver producers
now
sell
directly to the United States
Government,
while
the
small
ones/ representing about 20% of
Mexican
production,
have been
the 7 domestic market.
supplying
Prices
to
in
this
nearly
in
the
market
double
United
hardship
on
have
risen
the
price paid
States,
working
small
silversmiths
here.
"The bank said it and the Gov¬
ernment
institution,
as
well
as
other
be
agencies which might later
permitted to deal in silver,
would
■ounce
sell
at
the
35%
cents
an
price fixed by the United
States Government.
'
THE COMMERCIAL
Thursday, September 3, 1942
CHRONICLE
& FINANCIAL
818
performed
Willkie's services to be
and a director of many
New York
Corporation
New Govt.
important corporations.
'
Chairman Davis declared: "In
view Of the growing importance
of the American Red Cross pro¬
Buy Scrap Metal
To
gram
of Commerce Jesse
Jones announced on Aug. 27 com¬
Secretary
and collecting
Directors are:
Bridgman, Executive
.in buying
metal.
The
scrap
G.
operations in that area. This fol¬
lows the precedent established in
the last war when the American
Com¬
Metals Reserve
for
agent
of
form
pletion of the organization of War
Materials, Inc., which will act as
pany
it has been
commission
organization
covering
in Great Britain,
decided to establish a
Red
sent
Cross
groups
Temple
Vice-President
commissions
of important Americans
of
to
countries.
extensive
experience. In the last
France and other
Metals Reserve
Co., Washington, D. C.
A. C. Clarke, Chief Engineer Baltimore & Ohio Railroad, Balti¬
"Mr.
Gibson
Red Cross
has had
successively as
Chairman
of
the
New
York
more, Md.
County Red Cross Chapter, gen¬
L. D. Greene, Assistant Purchas- eral manager of all Red Cross ac¬
ing Agent Bethlehem Steel Co., tivities in America, a member of
Bethlehem, Pa.
the War Council, Commissioner to
war
served
he
.
NYSE Changes
Trading
Unit For 9 S Stocks
are
Schram,
Unit of
truth
Hopwood, President,
impress
win
would
and
from
come
what
results
a
United Na¬
Trading Reduced
From 100 to 10 Shares
Charge
Hagan
U. S.
of Purchases,
Pittsburgh, Pa.
L. Morris Mitchell, Chief Engi¬
neer Merritt, Chapman & Scott,
Steel Corp.,
W.
N. Y.
Nichols,
Metals
Reserve
New York,
C.
ton, D. C.
H. E. Pape,
Vice-President
Co.,
Washing¬
General Purchasing
Agent The Stanley Works, New
Britain, Conn.
S. R. Tyler, Vice-President La¬
clede Steel Co., St. Louis, Mo.
...
'
American Can Co., pfd.;
at
the
office in Pittsburgh
9th and Liberty
Building,
estab¬
regional offices to be
lished at strategic
locations in the
future.
near
explaining the
In
purpose,
corporation's
the Secretary's announce¬
ment said:
will
"It
Materials,
be
the
Inc.,
to
policy of War
dis¬
acquire,
the
mantle and make available to
of
bridges,
consuming industries, all types
6%
Paulo
made
party in the
pref.; Rensselaer & Saratoga
RR.
Co.,
now
000,
total
further stated:
than $220,000,000,-
more
the
.
selling
the
figures are available.
"The monthly bulletin
are
aggregated
$191,739,987,588,
while contract
authorizations amounted to $14,290,870,225 ($467,872,846 of these
contract authorizations are dupli¬
cated in the appropriation figure),
priations in this period
now
and
reflect an experi¬
determine wheth¬
»
selected stocks at
in units of trading
smaller than 100 shares will im¬
er
to
in
dealing
active
the net total of
and other
mental effort to
it
•
posts
eral
structure'
affecting
*
For
corporations.
of the
of the
branches
appro¬
authorizations
and
priations
•
.
„>
..
i
i-L
jL>
.
f
■
M-'
i '
by
government was
However, it was indicated
that most of the contract authori¬
given.
possible for the Board of Gov¬ for naval construction
to effectuate changes
in in the next few years."
.
>
f>
r
I ;
I
i
'
'
r
;;
.
-
1.
i
.
I
cooperation to this end, it
throughout
asks real estate boards
the
nation
in
bringing
about
organization of property
seems
owners
initiative
the
take
to
month
this
whatever
suited
best
locality.
the
to
;
.
the two was
breakdown
"No
agencies concerned with the1
effort, points out that if we
whole civil¬
ian strength in this effort, the re-:
sponsible authorities must have
before them the necessary facts,;
including the necessary facts in the
real estate field, upon which to
shape our war measures equitably.
to draw upon our
are
the market for such issues,
a recent amendment
zations which have not yet been
the Constitution which makes translated into appropriations are
v
:
war
follows
'
7 '
tax
property owners in our
defense areas are immediately put
scheduled
has re¬
Holders of the March 1, 1940,
War Materials, Inc., to coupons may obtain payment of units of trading. This amendment
during the rest of this the amounts prescribed upon pre¬ also established uniform minimum
Duke Of Kent Killed
and
clearance
year not less than 5,000,000 tons sentation
and
surrender of the commissions
of such materials, and the assis¬ coupons at the office of the special charges, irrespective of the size of
The
Duke
of Kent, youngest
the trading unit."
(The amend¬ brother of King George VI, ;was
tance and cooperation of every¬
agent, 48 Wall Street, New York.
ment
was
referred
to
in
these
one
is earnestly requested to re¬
No provision has been made for
killed on Aug. 25 when a Sunder¬
port to War Materials, Inc., the unpaid coupons which matured columns of Aug. 20, page 623.)
land flying boat crashed in the
existence of any such scrap metals
The
odd
lot
dealers
at
Post
30
north of Scotland. The Duke, who
prior to April 1, 1934, but they
or
useless structures or objects should be retained for future ad¬ announced that, effective Aug. 24, was 39 years old, was on the staff
containing metals.
the
differentials
charged
on
odd
of the Inspector General of the
justment.
"At the request of Metals Re¬
lots of stocks dealt in at that post Royal Air Force and was en route
serve Company, E. A. France, Jr.,
were changed to correspond with
to Iceland on active service as Air
and John Levinson have been re¬ Interest On Pernambuco 7s the differentials
to be charged, Commodore, the Air Ministry's
leased from their
duties at the
effective Sept. 1, on odd lots of announcement said, This was the
Holders of State of Pernambuco
Office
of
Price
Administration
10-share unit stocks dealt in at first death of a member of the
(United
States
of
Brazil)
7%
ex¬
and will be located at the cor¬
Posts 1 to 15, inclusive.
British royal family in the war.
ternal
sinking
fund
loan
due
poration's central office at Pitts¬
The Duke was fifth in the line of
March 1, 1947, are being notified
burgh."
succession to the throne.
that interest due March 1, 1940,
Burial took place on Aug. 29
Willkie To Visit Russia
will be paid beginning Sept. 1 at
in
the royal tomb
beneath St.
the rate of $4.89125 per $35 cou¬
Gibson Heads Red
As FDR's Special Envoy George's
Chapel
of
Windsor
pon, upon presentation to White,
Cross Post In Britain
Wendell L. Willkie, 1940 Re¬ Castle. The funeral services were
Weld
& Co.,
special agents, 40
attended by most of the members
The safe arrival in London of Wall Street, New York.
Unpaid publican Presidential candidate,
of Britain's royal family.
Harvey D. Gibson of New York interest
coupons
of this issue, will soon leave on a trip to Rus¬
King George. Queen Elizabeth
was reported on Aug. 28 by Nor¬
namely those maturing from Sept. sia, China and the Near East as a
representative of Presi¬ and Queen Mother Mary attended
man
H. Davis, Chairman of the 1, 1931 to March 1, 1934, inclusive, special
the with the widow, the former Prin¬
American
Red
Cross,
who an¬ and on Sept. 1, 1937, must remain dent Roosevelt to explain
cess Marina of Greece.
Also pres¬
nounced that Mr. Gibson has been attached to the bonds for future progress of the United States' war
effort. Mr. Willkie and the Presi¬ ent were King Haakon of Norway,
appointed American Red Cross adjustment in accordance with the
Commissioner to
Great Britain. Decree of the Federal Government dent had conferred about the trip King Peter of Yugoslavia, King
Mr. Roosevelt George of Greece and Queen
Mr.
Gibson is President of the of Brazil dated Feb. 5, 1934 and on Aug. 20 and
of the Netherlands.
gave
out
the details
of Mr. ! Wilhelmina
Manufacturers Trust Company of modified March 8, 1940.
f <
"War Production Board
'
Advices to this;
Unless
stocks $205,562,984,967.
quested
acquire
.
meeting just closed in
a
State and local tax structures.
the
ernors
■)
at
Federal
To this amount
must be added about $15,000,000,innnovations to be effected 000 of authorizations for the RFC
Tuesday
on
on
of
Treasury showed that war appro¬
25c a share
price is under
and 50c. a share
selling $75 and above.
"The
Cor¬
Finance
and other government
corporations for which no exact
than 10 shares will be
$75,
Reconstruction
poration
serviced, with the main exception
that the differentials; charged by
odd
lot dealers on lots smaller
when
for
military purposes.
An additional
billion or two has been spent by
announcement
100-share-unit stocks
as
and
thereby.
*
1942, total $37,000,000,000
31,
:
pfd.
1940, when spending for
began, until July
the war program
"Specialists and odd lot dealers
at the active posts will service the
entire 28 stocks that are involved
prove
!
National
a
March 25,
Penn
West
cap.;
Exchange's
The
who is in possession of payment if accepted must be for
metals or objects containing full payment of the coupons and
iron and steel which are serving of claims for interest represented
useful purpose.
gtd.
Co., 4M>%
Power
scrap
I
Realtors',
the
of
Washington, D. C.
thorizations for the war program
$-3
Co.,
Philadelphia
cum.;
cum.
everyone
~
the
a
urgent,
Association of Real Estate Boards;
Appropriations and contract au¬
Co.; Norfolk & Western Rv. Co.,
Liberty Insurance Co., The Sperry
4%
non-cum.
adj. pfd.; Pacific
& Hutchinson Co., and the U. S.
Telephone & Telegraph Co., pfd.
Realty & Improvement Co.
abandoned
no
the
Treasury compilation in a position to assist real estate'
boards and their Realtors' Wash-'
showed on Aug. 28.
bank, and has been Vice-Chair¬
Although this amount is larger ington Committee in working with
American
Ship Building Co.;
man
of the Board of Directors
the Federal Government to avoid
Carolina, Clinchfield & Ohio Ry. than all the money spent by the
since 1931.
Mr. Von Elm is also
mistakes and injustices in matters
Co.; Cleveland & Pittsburgh Rail¬ United States Government from
President of the Manufacturers
now under way very directly af-5
road Co., gtd. 7%
capital; Corn the inauguration of George Wash¬
Safe Deposit Co. and a Director of
Exchange Bank Trust Co.; Corn ington as President until the at¬ fecting real estate, property values
National
Dairy Products Corp.,
and equities may in many cases
Products Refining Co., 7% cum. tack on Pearl Harbor, most of it
General Cigar Co., Inc., McKesson
remains to be spent, the Associ¬ be
destroyed,
the
Committee
pfd.; Morris & Essex RR. Co.; New
& Robbins, Inc., Baltimore Amer¬
states.
The Committee, which is
York, Lackawanna & Western Ry. ated Press reports, further stating:
ican
Insurance
Co.,
National
in
constant
conference
with Fed-"
"Treasury
expenditures
from
material such as
buildings, etc., which
for commercial or other reasons
Payment On San
7s
are
not
moving in the normal
J.
Henry
Schroder
Banking
channels of trade.
Materials so
Corp., New York, as special agent,
obtained will be allocated by the
is notifying holders
of State of
War Production Board and sold
San
Paulo
(United
States
of
to consumers at ceiling prices es¬
Brazil) 7% secured sinking fund
tablished by the Office of Price
gold bonds external water works
Administration.
loan of 1926, that it has received
"The success of this
program
funds to pay on or, after Sept. 1,
will depend in large measure on
1942, 15.05% of the face amount of
the cooperation and support of tfie
the coupons due March 1, 1940,
iron
and
steel
scrap
industry
appertaining to these bonds. The
whose facilities will be used to the
payment will amount to $5.2675
greatest extent possible. There is for each $35 coupon and $2.63375
thus given to the iron and steel
for each $17.50 coupon.
scrap industry the opportunity of
The acceptance of this payment
rendering an invaluable service to is optional with the holders, but
the country in this its greatest
pursuant to the terms of Presi¬
emergency. Nevertheless, however dential Decree No. 23829 of Feb.
great the effort, success can only 5, 1934, as modified by Decreecome
with
the
cooperation of Law No. 2085 of March 8, 1940,
scrap
is
of
committee
lems
$220 Billion Mark
Mr.
Von Elm has been con¬ pfd.; Tide Water Associated Oil
Co. $4.50 cum. conv. pfd.; YoungsHopwood was made Pres- nected with Manufacturers Trust
institu¬ town Sheet & Tube Co. ser. "A"
ident and other officers will be Co. and its predecessor
tions since 1903.
He has served 51/2% cum. pfd.
elected at the next meeting.
The
corporation as agent of as Chairman of the Executive
Removed From Post 30 To
Metals ' Reserve
Company
will Committee and President of the
Active Posts
with
to
economy
War Commitments Pass
Mr.
have its main
our
That
recommendation
victory.
leader of the minority
in
Washington Committee, war-prob¬
Mr. Roosevelt re¬
marked that Mr. Willkie, as the
tions
of
basis.
was
Axis
if the
like
be
board,
out
conversion
he
comparison of what the
would
should
to
be
local
with governmental
agencies the important questions
Of procedure constantly arising in'
countries
the
upon
visits the
world
Mr.
task,
will
explained,
the
of
members
working
other
Willkie's
boards, either
associate
affiliated groups or as
as
Ameri¬
effect made available Aug. 29 said:;
United States, would carry great
France and, finally, Commissioner can Smelting & Refining Co., pfd.;
The
Committee
reviewed
re¬
weight in his words concerning
to Europe.
He is, therefor, par¬ American Tobacco Co., 6% pfd.; this country's unity to defeat the ports from major cities over , the
Consumers Power Co., $4.50 cum.
ticularly fitted to render the same
country
indicating the growing
Axis.
General Cable Corp., 7%
service to our soldiers abroad in pfd.;
Mr. Willkie is scheduled to leave urgency to property owners in de¬
this war as he did in the last cum. pfd.; Hazel-Atlas Glass Co.; on his
fense
areas
of
matters ; arising
trip in three weeks and is
International Harvester Co., 7%
from the
war."
' ";.f: ' "
change-over to a war
expected to return by Oct. 15. He
At the bank it was stated that cum. pfd.; Liggett & Myers To¬
will' carry
letters to American footing, including rent control and.
its administration, maintenance of
the Board of Directors had given bacco Co., 7% cum. pfd.; Norfolk
representatives and to the heads
& Western Railway Co.; Northern
Mr. Gibson an indefinite leave of
and the- difficulty it;
of various governments, including buildings,
States
Power
Co.,
cum.
pfd.
$5
absence for foreign service with
meets under priorities for plumb¬
Premier Stalin of Russia!
cum.
the Red Cross, and that during ser.; Philadelphia Co., 6%
ing
and
other
materials, and
his absence, Henry C. Von Elm, pfd.; Public Service Corp. of N. J.
equipment, expected restrictions
7%
cum.
pfd.;
Public
Service
on
the use of fuel, particularly
Vice-Chairman of the Board, had
been designated as
Chief Exec¬ Corp. of N. J. 6% cum. pfd.; Pub¬
oil, for heating purposes, and pro¬
lic
Service
Corp.
of
N.
J.
$5
cum.
utive Officer.
posed important changes in the
Corp., Pittsburgh, Pa.
C, R. Miller, Jr., Vice-President
in
their local real estate
stoppages and strikes.
.
J. M.
operate in an organized way with
and Iran, about American
war production and to correct er¬
roneous
information about work
Mr.
Cooperation
diately be put in a position to co-.
Iraq
Roosevelt
:
Property owners should imme¬
and
the leaders
to
Owners'
Mr.
will be to
people of Russia, China, Egypt,
Arabia, Palestine, Syria, Turkey,
follows:
as
the
tell
R. Ei; Beards M
press
that
said
President
The
•
Willkie's principal task
President of the
New York Stock Exchange, an¬
nounced on Aug. 25 that, effective
at the opening on Sept. 1, the unit
of trading in 16 comparatively in¬
active and high-priced stocks will
be reduced from 100 shares to 10
shares, and
12 stocks presently
traded
in at
Post 30 will be
moved to active posts, the unit of
trading in the latter group to re¬
main at 10 shares.
The stocks
which will undergo these changes
Emil
the
government at his
conference on Aug. 20.
for
r
.
"
t
A •!
Treasury Rules Export
Advertising Deductible
Export advertising expenditures
by American manufacturers in
Latin-American countries
ductible
if
for
restricted
income
to
tax
reasonable
Assistant
amounts,
recently in
of
Secretary
the Treasury John L.
ruled
de¬
are
purposes
Sullivan
so
letter to Nel¬
a
Coordinator of
Affairs, according
Washington advices Aug, 22 to
Rockefeller,
son
Inter-American
to
"Wall
the
Street
Journal"
quoted Mr. Sullivan
"Expenditures
for
the
are
not
as
which
follows:
advertising
if they
and out of
for
stated,
purposes
extravagant
proportion to the
pany
pize of the com¬
to the, amount of its ad¬
or
vertising
in
the
American
other
Republics in the past and bear
a
reasonable relation to the business
activities
is
in
engaged,
nary
which the
ordi¬
considered
are
and necessary under existing
conditions
Federal
and
are
deductible for
tax
income
Assistant
Secretary
ruled.
purposes,"
Sullivan
'
This
type
taken
a
of
decided
been
advertis¬
export
Rockefeller
ing, Mr.
has
enterprise
drop
that
feared
stated,
has
because
good
it
will
or
institutional type of advertising
on
products unavailable for deliv¬
might be construed to be
ery,
means
a
of reducing taxes.
"This fear has
now
been dissi¬
pated by the Treasury in the spe¬
cial ruling," Mr., Rockefeller said.
j
.»
1
r
,
♦
•
;fli
;
*.■
,
,
•!
;
Volume 156
THE
Number 4104
COMMERCIAL & FINANCIAL CHRONICLE
meat dehydration program de¬
signed to increase capacity to
60,000,000 pounds annually by the
a
Moody's Bond Prices And Bond Yield Averages
■
Moody's computed bond prices
given in the following tables:
MOODY'S
(Based
1942—
.!
Daily
Averages
Sept.
U. 8.
Avge.
Govt,
Corpo¬
Bonds
1
bond
and
.
yield averages
end of October,
Average Yields)
Aaa
Aa
A
Corporate by Groups •
Baa
R. R,
.
P, U.
Indus
dehydrated
pork
in
quantity this fall when market¬
ings of the new pig crop make
larger meat supplies available.
AMA does not plan to enter the
117.84
106.92
.116.80
113.31
108.16,
92.06
96.54
111.62
117.84
106.92
116.80
113.31
108.16
92.06
96.54"
111.62
114.08
29
117.82
107.09
117.00
113.31
108.16
92.06
96.54
111.62
114.08
beef in the immediate
106.92
116.80
113.31
108.16
92.06
96.54
111.62
114.08
cause
113.31
96.54
needs for beef.
—
117,08
High
129
117.85
1942.
118.41
107.09
Low
1942—
115,90
106.04
120.05
108.52
118.60
115.89
105.52
116.22
119.14
107.80
115.71
103.64
Aug. 21
-
—_
114.08
'
•
28
'
.•
,■
27
—„
26
—
25
>•
'
'•
117,89
117.89
117.89
—
■
'
—
117.93
107.09
117.00
113.31
108.16
92.06
96.54
111.62
114.08
117.93
106.92
116.80
113.31
108.16
92.06
96.38
111.44
114.08
bought
92.06
96.38
111.44
114.08
during
July.
92.06
96.38
111.44
114.08
amount
for
91.91
96.38
111,44
114.08
somewhat lower than in the pre¬
—
—
117.94
106.92
116.61
113.31
117.93
106,92
116.61
113.31
108.16
117.88
106.92 1
116.80
113.31
108.16
116.80
117.88
106.92
113.31
108.16
91,91
96.23
111.44
114.08
—
117.92
108.92
116.80
113.31
108.16
91.91
96.23
111.44
114.08
14
„^
117.92
106.92
116.80
113.31
108,16
91.91
96.23 '
111:44
114.08
116.80'
113.31
108v 16
91.91
114.27
117.97 * 106.92 i
—
12
■—*
11
—
—
—_
3
—
1
—
—
24
—
17
117.98
106.92
116.80
117.97
106.92
116.80
/
113.31
108.34
91.91
96.23,. 111.44
96.23
111.44
113.31
108.34
91.91.
96.23
111.44
108.34
91.91
;96.23
111.62
114.27
modities.
108.34
92.06
96,23
111.44
114.27
117.97
91.91
96.23
111.44
114.27
compared with June, was attrib¬
uted partly to the decision, made
106.92
116.61
113.12
108.16
117.89
106.92
116.61
113,31
108.16
91.91
96.23
111.44
114.27
117.86
106.92
116.61
113.31
108.16
91.91
96.23
111.44
114.27
117.90
106.92
116.61
113.31
108.16
91.77
96.07
111.44
114.27
118.03
106.92
116.61
113.31
108.16
91.77
95.92
111.44
114.27
106.92
116.61
113.31
108.16
91.77
96.07
111.44
114.27
products.
118.11
106.92
116.41
113.50
108.16
91.77
96.07
111.44
118.22
106.74
116.61
113.31
107.98
91.77
95.92
111.62
114.27
114.08
for 'the
113.12
107.98
91.62
116.41
113.31
107.80
91.62
116.22
113.12
107.98
118.14
106.39
116.22
112.93
107.80
91.05
118.33
106.39
116.22
112.93
107.62
91.19
a-
118.33
106.21
116,02'
112.75
107.44
91.19
118.38
106.21
115.82
112.93
107.27
91.34
118.35
106.39
116.02
112.93
107.44
91.77
118.33
106.56
116.02
112.93'
107.44
91.91
117.89
106.74
116.02
113.31
107.62
92.06
—.
117.79
100.74
116.22
113.12
107.63
92.20
—
117.90
106.56
116.22
113.12
107.44
92.06
117.80
106.74
116.22
113.12
107.62
92.06
118.20
100.74
116.22
113.50
107.62
91.91
110.34
106.39
115,63
113.31
107.62
91.62
106.92
116.22
113.70
107,80
92.06
117.00
114.08
108.34
92.50
115.43,
112.75
107.09
90.63
116.02
109.60
92.50
112.00
100.04
89.23
118.40
114.85
108.88
91.77
116.22
112.56
103.47
85.85
15
—
8
1
Apr. 24
Mar, 27
—.
27
30
High
1941—
Low
1941
...
1941-
MOODY'S
BOND
on
"■
Daily
1
f
r.
•'
•
•
'
f
3.97
.08
2.95
3.27
3.97-
.08
2.95
3.27
4.26
3.97
.08
2.95
,2.99
2.99
—
3.33
—
3:33
2.80
..
—
20
1
—
———
'
>
——
——
3.33
2.80
2.99
3.27
2.80
2.99
3,27
2.81
2,99
3.27
——
-
7'———
.-
4
,
,
^
'3'
1
.
,
3
———
June
26
:
19-—.
••
.
,
■
12
,
2.95
2.95
09
2.95
tation on
order
4.27
3.98
09
2.95
4.27
3.98
09
2.95
3.34
2.81
2.99
3.27
4.28
3.98
09
2.95
3.34
2.81
2.99
3.27
4:28
3.99
09
2.95
3.27
4.28
3.34
2.81
3.99
09
2.95
3.34
<2.81
2.99
3.27
4.28
3.99
.09
2.95
3.34
2.81
2.99
3.27
4.28
3.99
,09
2.94
2.81
2.99
3.26
4;28
3.99
09
2.94
2.94
2.81
2.99
3.26
4.28
3.99
09
3.34
2.81
2.99
3.26
4.28
3.99
08
2.94
3.33
2.81
2.99
3.26
4.27
3.99
09
2.94
3,34
2.82
3.00
3.27
4.28
3.99
09
2,94
3.34
2.82
2.99
3.27
4.28
3.99
09
2.94
3.27
4.28
3.99
09
2.94
2.82
2.99
3.27
4.29
4.00
09
2.94
2.82
2.99
3.27
4.29
4.01
09
2.94
4.00
09
2.94
——
——
*
.08
.08
2.82
—
——
3,97
3.98
3.27
2.99
,
3.34
2.82
2.99
3.27
4.29
3.34
2.83
2.98
3.27
4.29
4.00
09
2.94
08
2.95
3.35
2.82
2.99
3.28
4.29
4.01
3.35
2.83
3.00
3.28
4.30
4.02
09
2.94
3.35
2.83
2.99
3.29
4.30
4.02
10
2.95
3.36
10
2.96
2.84
3.00
4.32
4.02
3.37
2.84
3-01
3.29
4.34
4.04
12
2.96
3.37
2.84
3.01
3.30
4.33
4.04
12-
2.96
3.38
2.85
3.02
3.31
4.33
4.03
12
2.98
3.38
3.28
'
;
5
—i.—-
May
29
—
22;——
—
—
■
8
1
,
—
Apr.
24
——*
Mar.
27
-——
Feb.
27
——
Jan.
30
2.86
3.01
3.32
4.32
4.02
3.37
2.85
3.01
3.31
4.29
4.00
13
2.97
3.36
2.85
3.01
3.31
4.28
4.00
13
2.98
3.97
12.
2.97
——
.
2.99
3.30
4.27
2.84
3.00
3.96
13
2.97
3.00
3:30
3:31
4.26
2.84
4.27
3.96
13
2197
3.35
2.84
3.00
3.30
<
4.27
3.35
2.84
2.98
3.30
,
4.28
2.85
.
3.96
13
2.97
3.94
15
2.98
3.37
2.87
2.99
3,30
4.30
3.95
16
2.99
3.34
2.84
;2.97
3.29
4.27
3.92
14 ;
2.97
2.88
3.02
3.33
4.37
4.05
Xl9
3.02
2.80
3.26
4.24
3.91
3.08
2.93
1942-
Low
1942.
3.33
Hlgh
1941
3.42
2.86
LOW
1941.
3.25
2.72
.
2.99
3.35
3.39
High
13
3.36
3.35
15——
.
2.95
•
shipments
viously sold under the program.
The registration of sales under
bought
in
July
be
mailed
,
"Viclorj-C. 0. D." Is
Held Vital To Freedom
to
Group Votes
.
3.06
3.39
4.47
4.03
3.20
3.08
3.19
4.24
3.89
3.03
2.83
produce
a.
On
Aug. 29 issued a general
placing the taxicab indus¬
revenue
bill the capital stock tax
declared
value
excess
A.
M.
Chairman
said
„
that
"if
Americans
try, beginning Sept. 1, under strict
regulation. The order, ODT Di¬
rector
Joseph B.
Eastman ex¬
really understood the
profits tax on corporations, an ac¬ desperate danger of inflation, they
tion which would reduce potential would volunteer their earnings as
dollars in war savings
revenues approximately $74,000,- fighting
plained, is designed to
ooo.
save
tires,
and
the
bonds
.
.
try.
■;
;
,
:
A taxicab is defined by the Or¬
pany
makes more than 10% of its
profits. It
declared stock value in
is distinct from the regular excess
"any rubber-tired vehicle
propelled or drawn by me¬ profits tax figured on a corpora¬
chanical power; (2) having a seat¬ tion's earnings.
"At the same time, Chairman
ing capacity of less than 10 per¬
George said the Committee had
sons ; (3) used in the call and de¬
mand transportation of passen¬ agreed to revise the basis for com¬
gers for compensation to or from puting excess profits taxes to give
relief to corporations using the
points chosen or designated by the
passenger, and (4) not operated on average-earnings method.
"Under this revision, corpora¬
a
fixed schedule, between fixed
tions which had; low earnings' in
der
as
(1)
termini,
•
Some
or over
scheduled routes."
provisions
of
the
order
Are:
Establishes
national
a
limit of 40 miles
an
speed
hour.
cruising to pick up
and commercial deliv¬
ery of property.
and
would not have to
we
.
gasoline and vehicles. It prohibits
Regarding this action, the Asso¬
cruising for passengers, entrance ciated Press reported:
of any new vehicles into the taxi"The capital stock tax is $1,25
cab service and also limits speeds. per $1,000 declared value of stock.
The order is expected to cover The declared value excess profits
the operation of an estimated 50,- tax, which is linked to the capital
000 vehicles throughout the coun¬ stock tax, operates when a com¬
Prohibits
1 Year ago
also
amount of revenue."
The Office of Defense Transpor¬
'
2.85
substantial money to spend and less goods to
buy."
Calling war savings bonds
Aug.
28
the
Committee "the field artillery in our grim
voted to eliminate from the new battle against inflation," the N.
would
3.97
3.27
..
ate Committee's tax revisions
ap¬
gives exporters an
peared in these columns of Aug.
days to complete
27, page 721.
r
'■
against
cotton
pre¬
to the program
additional 60
in
ODT Restricts Taxis
4.27
2.99
v
be exported prior to incomes."
Previous reference to the Sen¬
The amendment
1942.
.
4.27
2.99
u
for
A copy of the
"Commodities
4.27-
2.82
2.99
decline
2.99
3.34
17
10
"
08
3.34
1—
24
•.
3.97
4.27
V 3.34
•
—
July.; 31
4.27
2.82
"
-
:' ";
V
4.27
3.34
3.34
—
——
4.27
-
3.34
12,———'
■
;
3.34
3.34
*
5
Baa
3.33
:
10.
^
4.27
4,27
25
8
■
3.27
2.81
2.80
11
;
3.27
2.99
i
26
14
■:
3.27
2.99
2.80
15
,
2.99
2.80
3.33
23
:
3.27,
3.34
18
j
3.27
2.99
3.33
V-.v-i7
••:
A
2.99
2.81
„
V 19
■
Aa
2.81
Aaa
•:
r,j-
21-
Prices)
3.34
——
22
.■■•.'
Closing
3.34
rate
«
27
24,—
'■
•
'•
2R
29—
,
,'
'■
——
31'———.
Aug,
Individual
AVERAGESt
Corporate by Eatings
Corpo¬
Average
Sept*
YIELD
Sales
Program of Commodity
Credit Corporation will be given
low
incomes subse¬
Randolph E. Paul, Gen¬
eral Counsel of the Treasury, said
on Aug. 31
that the Treasury is
opposed to it, because it is too
complicated, would not, in fact,
put taxpayers on a current basis,
and involves forgiving a year's tax
liability "with the greatest benefit
going to those with the biggest
quently.
80% Excess Profits Tax
2 Years ago
Aug. 31, 1940-
registered
Export
Senate
1 Year ago
Aug. 30,
Cotton
very
amendment will dustry-Labor Conference on War
participants in the Savings Bonds at the Hotel Astor,
first time included—in
Cotton Sales for Export Program. New York
95.77
111.44
114.27
City, the N. A. M.
addition
to
dehydrated
beef- Others
111.25
114.08
95.77
may obtain copies of the Chairman asserted:
95.77
111.25
113.89 processed raspberries, frozen pork amendment
"Too many Americans are not
upon request to Com¬
95.47
110.88
113.89
livers, frozen beef kidneys, frozen modity Credit
Corporation's re- investing the dollars they are
95.47
110.88
113.89
pork kidneys, dairy and poultry
95.62
110.88
113.50
gionaL office, New Orleans, La.
making out of war production in
95.77- 110.70
113.31
feeds, dry salt fish, chicory seed,
the cause of democracy. We can¬
96.07
110.70
113.70
caraway oil, cod liver oil; halibut
not barn victory cheaply.
There
96.071 110.70
113.50
liver oil, sassafras oil, green coffee
are
no
96.54
110.88
113.70
bargains at the victory
96.69
110.70
113.70
beans, dispentin and pinene.
counter.
We stay-at-homes are
96.69
110.70
113.70
"Among the larger July pur¬
either going to pay the full price
96.69
110.70
113.70
chases
were 132,144,492 pounds of
97.00
110.34
113.50
quickly today and tomorrow and
canned pork meat at an f.o.b. cost
96.85
110.15
113.31
(Continued from First Page)
secure
immediate results, or we
97.31
110.52
113,70 of
$48,346,217; cured pork meat, ing tax would apply to the bal¬ are going to have to pay and pay
97.47
111.62
114.46
37,012,500
pounds
at
$6,600,730;
de¬
ance
of an individual's
109.60
112.75
•95.32
income on the instalment plan, with in¬
hydrated potatoes, 1,600,000 pounds which would be left after allow¬ terest, over all the years of our
97.78
112.58
116.41
at $459,175; dry skim milk, 29,95.62
109.42
111.62
lives.
If each of us
does
not
ance for personal exemptions and
136,545
pounds
at
$3,587,291; deductions for dependents, capi^ speedily see the wisdom of victory
97.16
112.00
cheese,
18,339,315
pounds
at
C,
O.
$4,D.
we can easily wake up to
tal
investments, payment of life
115;^
182,568;
dried
eggs,
13,800,925 insurance premiums and purchase find that we are not going to win
91.91
109.24
mis pounds at $14,341,217;
at all."
cornstarch, of war bonds.
55,120,000 pounds at $1,547,638;
"Such a tax," the Senator de¬
Pointing out that investing dol¬
oleomargine, 17,977,000 pounds at clared in a statement, "is intended lars in war bonds will also help iri
$2,610,663; laundry soap, 16,532,- to serve a dual purpose. It would the fight against the country's
Corporate by Groups
000 pounds at $1,050,928; wood
place a check on consumer spend¬ other great enemy—inflation, Mr,
R. Ri
Indus
P. U.
rosin, .18,415,780 pounds at $451,- ing and would thus help to meet Fuller warned that inflation "will
2.95
3.97
.08
260
and
2.95
3.97
.08
dry
salt fish, 497,868 the increasing danger of a fur¬ continue to increase so long as we
2.95
08
3.97
pounds at $71,353.'V
ther rise in the cost of living.
It American have more and more
91.34
12
—_
The
118.10
116.41
have
under the
had
and
"Victory-C. O. D," through War
July, Act for the 1943 fiscal year of the Bond
purchases, was called for
Department.
[Purchase
orders on Aug. 27 by Walter D. Fuller,
Covering'sales registered prior to Chairman of the Board of the Na¬
early in July; to halt temporarily that date were
accepted by the tional Association of Manufac¬
the purchasing of
certain pork CCC until July
turers.
31, 1942,
Addressing the joint In¬
113.31
106.56
sales
be; a "windfall" to those
large incomes for 1941
who
,
113.31
106.74
who
exporters
vious month, because of smaller
the Cotton Sales for Export Pro¬
purchases of dairy products and
gram
was
terminated July 21,
meats. Meats, however, continued
1942, in order to comply with the
114.27
to lead among the various com¬
114.27
provisions of the Appropriations
116.80
106.74
—
was
116.80
118.09
5
commodities
107.09
118.26
22
The
all
quantities
total dollar
106.92
118.22
—
increased
117.97
3
„„
in
were
117.97
10;
June 26
!
-
15
31
Jan.
108.16
The U. S. Department of Agri¬
culture announced on Aug. 25 that
that cotton
22
-
Shipments Of Cotton
"Vegetables, fruit, fish, fats and Sept. 30,
oils and vitamin concentrates
4
Feb.
114.08
114.08
6
May
114.08
111.62
111.62
5
July
111.62
96.54
,96.54
' 7
.
96.54
92.20
92.06
8
.
114.08
92.06
108.16
108.16
10
"
111.62
108.16
113.31
113.31
13
':
92.06
113.31
117.00
117.00
17
V
108.16
117.00
107.09
18
.
117,00
107,09
117.93
19
*'
107.09
107.09
dehydrated
would
CCC Extends Time For
until Nov. 30 to complete
ship¬
future, be¬ ments. The announcement states:
large Army and Navy
The previous requirement was
of
—
20
r-:
.
market for additional
24
21
•
'
•
AMA expects to
purchase
BOND PRICESt
on
Corporate by Ratings •
rate •
are
'819
one of the base years, from 1936
through 1939, could substitute 75%
of the average for the other three
years for the low year's total."
Although the Senate Committee
on Aug. 26 rejected by a 13 to 3
vote the Ruml plan for "pay-asyou-go" income tax collections iri
favor of the 5% withholding tax
resort to
price ceilings,, wago ceil¬
ings and a frozen economy to pro-^
tect ourselves from ourselves."
Mr. Fuller dismissed
"defeat¬
as
ists" those people who say we are
going to have
sion.
post-war depres¬
a
He continued:
"There
is
must have
we
post-war depression
a
in America.
why
reason
no
Instead
we
can
have
long and happy era of prosper¬
ity, if we use our common sense
and our tools of ingenuity and en¬
terprise.
We wil have new and
a
better methods of
will have
new
products,
production.
We
inventions and
new
And
will have our
we
great tools of selling and market¬
ing and advertising to inform and
stimulate trade and commerce.
"Will
power?
that.
we
Yes,
And
dous
have
you
we
can
can
purchasing
be sure of
have tremen¬
in the
but put
extra dollars now in war
purchasing power
hands of everyone, if we
away our
savings bonds. Thus, they will not
only become the fighting dollars
of today's crisis but they become
Aug. 31, 1940_
3.53
2.84
3.03 . 3.54
4.72
4.28
3.21
3.10
Limits to 25 miles the distance
•These prices are computed from average yields oh the basis of one "typical" bond
voted by the House, it is believed the effective weapons to defeat
which may be traveled in any one
inflation and any possibility of a
(3% % coupon, maturing in 25 years) and do not purport to show either the average
likely that some reconsideration
level or the average movement of actual price quotations.
They merely serve to trip,, '
•.
v
will be given, possibly proposing post-war depression."
illustrate in a more comprehensive way the relative levels and the relative movement
Establishes a 10-mile limit on
'llll—Ml—
a combination of the two.
pf yield averages the latter being the true picture of the bond market.
the distance a taxi may be oper¬
tThe latest complete list of bonds used in computing these indexes was published
Under the plan, sponsored by
In the issue of Oct. 2, 1941, page 409
ated beyond the corporate limits
Beardsley Ruml, Chairman of the
of the municipality in which the
Board
of
the
Federal
Reserve
Marketing Administration for the trip starts.
Aug.
'•
30,
1941-
2 Years ago
3.29
—
2.73
2.91
4.29
3.23
3.93
3.06
2,89
•'''''
passengers
'■■■
.
July Food Purchases
Include Dehydrated Meat
Bank of New; York and Treasurer
Allied Nations and other require¬
Forbids the
use
of taxicabs for
also states "social or recreational purposes of
that total purchase of all food¬ the driver or operator."
The Department of Agriculture
stuffs
amounted
to
$137,900,000
The ODT announcement added
announced on Aug. 22 its first
during the month; more than that exceptions to the order in¬
purchase of dehydrated beef for $1,540,000,000 since the start of the clude the carrying of passengers
United Nations' fighting men and
other wartime needs.
An 80,000-
pound
purchase
of
dehydrated
beef is included in the July report
on
purchases by the Agricultural
ments.
The Department
program
The
last year.
Department's
ment further said:
to and from
announce¬
tion
with
of
ajEuneral; transporta¬
passengers
in
connection
emergencies, such as acci¬
"AMA officials said the beef dent, sickness, death, public ca¬
purchase marks the beginning of lamity or military necessity.
of R. H,
Macy & Co., the tax clock
would be moved ahead
so
that the
present system of year-behind tax
■
I
.
Moody's Daily
Commodity Index
Tuesday, Aug 25
■
Wednesday, Aug. 26
collections would become current
Saturday, Aug. 29
collections. Mr. Ruml's plan would
Monday, Aug. 31———,—
write
and
on
off
taxes
on
1941
incomes
apply the money already paid
these
taxes
to
levies
due
on
Month
ago,
opposed to the
the ground that it
The Treasury is
Ruml
plan
on
Aug.
1
—
_
Year ago, Aug.
30
High—Sept. 9
Low—Feb.
•
.—
Tuesday, Sept. 1,
Two weeks ago, Aug. 18—-——-—.
1941
1942 income.
—
,——
Thursday, Aug. 27—————
Friday, Aug. 28
—
1942
,
17
High—April 9
Low—Jan.
2
.
231.2
230.7
230.5
231.1
231.8
230.9
230.6
230.4
229,6
214.2
219.9
171.6
234.0 '
220.0
of the Federal Reserve System an¬
member firms of the New York Stock Ex¬
borrowed by the reporting firms.
year ending July 31, 1942, customers' debit balances de¬
$137,000,000 and money borrowed decreased by $81,-
of $2,000,000 in money
decrease
During the
creased
by
The number of active consuming cotton
the month
23,111,848/'
has
follows:
*„
.
'/•"
,
i{
.
"•
'
balances—,—.:
.
debit
Credit Balances:
'
'
172
:+
7
_
8
/
^
307
—■—1!——1_
4.
■
/'
and
■"
'
/
81*
+ .1 '
5
-
185
—
4
36
—
Index
production and trade^-.—--a—i
of
goods—total
—;
-
114
115
118
116
121
123
126
123
148
152
156
168
',177-;
185
125
124
124
127
Alabama
78,234
Arizona
Arkansas
476,263
r__—
California
158,887
__
268,898- /
Georgia
568,924
215,397
276,740
240,145
233,290
Carolina
Oklahoma
122,230
Carolina i
South
All
i.
...
other States
include
not
'Does
400,235
1,097,210
140,261
120,035
->
tons on hand Aug.
and 39,507
120,529
.
275,236
a.
983,008
398,328
Tennessee
Texas
200,263
80,249 "
518,128
198,156
400,589
85,893 *" 133,108
*
566,931
•
502,290
222,024
270,614
236,219
238,266
124,540
272,744
409,803
380,693
974,814
1,085,763
142,078
117,148
499,802
i—
14—-.
Mississippi
North
133,380
86,094
Louisiana.
"
•
\
Crude
v
:
1
oil
Cake and meal
)
v
(tons)
July 31
1310,433
1.344,451
294,005
1,752,663
1,724,197
192,910
1,953,589991,356
1,868,646
164,444
79,501
.
" 151,439
1,107,222
1,183,871
1,207,929
1,263,562
43,463
1,214,115
32,961
123,154
20,914
123,154
1940-41
129,340
)
1941-42
1,834
31,353
37,113
1,834
&c.j 1941-42
1,215
6,183
37,732
55,319
38,298
23,204
1940-41
12,449
50,005
56,271
6,183
1940-41
(
-J
'
upon
,
:■.'/■*
't
can
that
esti¬
and
29,1942,
was 3,639,961,000 .kwh., which compares'with 3,261,149,000
kwh., in
the corresponding period in 1941, a gain of 11.6%.
The output for the
week ended Aug. 22, 1942, was estimated to be 3,673,717,000 kwh., an
*
increase of 13.7% over the,
,
Coast
Pacific
226
8.8 ;
States
Mountain
Rocky
■/"
5.9
Atlantic____^._^__-i
Southern
6.2
6.2
10.9
9.7
6.2
Central
West
/
„
8.7
15.6
19.0
;.;;■/.
that
had
United
Total
States
DATA FOR RECENT
Cottonseed Products
■
-
■'
'
fun
6
Jun
13
'
7.0
-
7.5
4.3
4.8
21.9
23.5
,
7.6
changes incident to
H.6
13.7
12.9
12.5
quota system and PRP. Although
application of new ratings is be¬
WEEKS
~
,
,
(Thousands of Kilowatt-Hours)
ing
from the in¬
dividual returns of the ginners is
"Number of bales of cotton
ginned from the growth of 1942 prior
1940
1941
1932
V
1929
'
'/
States
United
,
.
—
— „—
Alabama
.'.
—
Florida
Georgia
All
—■
other
in
—
States—-.--
•Includes 48,626 bales of
the supply
crops
28,269
35,064
1,445
3,283
193,335
1,352
108
19,110
2,100
5
166,282
—
J-—
837
247
15,600
2,099
^
——__
Texas
669
the crop of 1942 ginned prior to Aug. 1 which was counted
for the season of
1941-42, compared with 1,969 and 32,187 bales of the
of 1941. and 1940.
The statistics in
for 1941 and 1
this report include no round bales for 1942; none
9.6
2,598.812
1,435,471
■4,689,925
the top.
3,463,528
3,101,291 ;
+11.7
2,664,853
2,653,788
1,441,532
11,699,227
+
find it. increas¬
ingly difficult to make definite
delivery promises and some do not
attempt it on receipt of the order,
even
under AA-1 ratings.
This
presents difficulties for consumers
but producers insist that' short' of
definite directives .or allocations
they can not know what they will
-
1,702,501
3,625,645
3,220,526
+ 12.6
2,760,935
Aug
1"
3,649,146
3,263,082
+ 11.8
2,762,240
Aug
8
3,637,070
3,233,242 V
+12.5
2.743,284
1,415,122
(729,667
Aug 15
3,654,795
3,238,160
+
12.9
2,745,697
1,431,910
f, 733,110
3,673,717
3,230,750
+J3.7
1,750,056
3,261,149
2,714,193
2,736,224
1,436,440
3,639,961
1,464,700
1;761,594
H.1
3,457,024
3,156,825
+
9.5
3,424,188
2,903,727
+
17.9
July 11
3,428,918
+
7.9
3,565,367
3,178,054
3,199,105
+
11.4
2,681,071
.
2,659,825
2,425,229
,
+\T1.6t
2,651,626
1,723,428
1,592,075
1,711,625
1,727,225
1,723,031
,728
1942 in this report are subject to revision when
"
•
-J-,
^
be able to do.
OGlps! Bssilinues To %m—Mirny: yf
Schedules Uncertain—WPi's Sessstrustivi Step
Steel
"
'
"Steel producers
..
/L
"There is not only
"In
some
steel-making areas there was concern
another change at
.:....
the matter of
reratings, which- continues • a dis¬
turbing factor, but uncertainty at
the moment as to September pro¬
duction directives under the
system and the
-s
f-
i
•
t
t
i
•
o
4
'■
,
>
promise
this time would
quota
question of special
on
acceptance
of
be
a
constructive
Nelson has
step.
Mr.
already, set Sept,.. 7 as
the
date
on
"Various
that
which
steel
.
the
of order but of giving no assurance
of
shipment until the order is
the Army and Navy Procurement
Officers to assign priority ratings definitely scheduled, which may
Thereafter mean as late as within two weeks
such a new procedure may come," in the field will end.
of delivery.
'
»
continues the "Age," which fur¬ all contracts placed by the armed
"Scrap collections continue to
services will be rated by priori¬
ther goes on to say in part:
ties specialists in the regional and supply material to. sustain opera¬
"Steps to centralize issuance of
tions of steel mills at a high rate
district offices of WPB.
priorities in WPB's hands is taken
disrupt efforts at common-sense
scheduling of shipments to vital
war
factories and shipyards; yet
to
for 1940.
The statistics for
represented
when A-l-a
+
over
3,433,711
date
1.071
4,705
—
V-.-—
Louisiana
case
1941
3,076,323
,
.
•
,
the
1942
this week lest directives
and, allocations,
al¬
changes' in WPB personnel mark the beginning of an entirely new though it is claimed these will be
RUNNING BALES
procedure for establishing the sequence of deliveries from steel plants greatly reduced or eliminated. /.
(Counting round as half bales and
to war fabricating plants," says "The Iron Age" in its issue today
excluding linters)
"Some
mills have
adopted a
1942
1941
1940
(Sept. 3.)
"With the industry only beginning to emerge from the
of not only making ; no
•232,016
•74,079
•169,465 convulsions of the PRP and allocation classification changeover, policy
1942, and comparative statistics to the corresponding
in 1941 and 1940.
State
done selectively the upper
is nearly as crowded as was
3,372,374
4
....
applying the
range
1942
20
....
month ago,
24.6
27
Aug 22
one
8.3
Jun
...
compared
tons one week ago,
25.5
V
»
Jun
July 25
to 1,664,509
1,639,200 tons
and 1,591,100 tons
one year ago.
/
/
.
"Steel" of Cleveland, in its sum¬
mary of the iron and steel mar¬
kets, on Aug. 31 stated in part:
"Delivery schedules are in a state
of flux as a result of rerating and
castings,
8.9
1,440,541
1,456,961
1,341,730
1,415,704
1,433,993
1,440,386
1,426,986.
...
capacity
27.1
IS
to Aug. 16,
companies
industry
8.1
3,091,672
July
the
„
3.9
% Change
July 18
national defense, the Department of Commerce
issued "on Aug. 24, compiled
shown below:
announced
31
Aug.
24.8
...
•Week Ended—
1,239,494,000 pounds of crude oil/
report
s on
telegraphic reports which it
received indicated that' the
will'be 97.6% of
capacity for week beginning Aug,
31 compared with 97.3% one week
ago,
95,8% one mdhth ago and
96.3%. one year ago., This repre-/
sents an increase of 0.3 points or
0.3% from the preceding week.
The operating rate for the week
beginning Aug. 31 is equivalent to
1,669,600 tons of steel ingots and
of
Aug. 8, '42
7.3
9.4
■
10.4
••
Aug. 15, '42
Aug. 22, '42
Aug. 29, *42
Central Industrial
Aug 29
The census
allocations of scrap
arranged." / -•;> /-/
*
Iron and Steel
American
Institute
;//
corresponding week in 1941;.
:■ PERCENTAGE INCREASE OVER PREVIOUS
YEAR
-Week Ended-
>
Major Geographtcal Divisions—
New England
Middle
for the week ended Aug.
industry of the .United States
power
y,
'
further notice the publication of
statistics concerning imports and exports.
•
be
The
operating rate of steel
•
Ediso^n Electric Institute, in its current weekly report,
the production of electricity by the electric light
The
discontinue until
to
126
'
Exports and Imports of
decided
14(*T.
Government
-":.r
request.
mated
and
and
3,903,000 and 1,232,000 pounds in transit to manufacturers of shortening, oleomar¬
garine, soap, etc.- Aug. 1, 1941 and July 31, 1942 respectively.
'
has
124
—r-tr"
and
In the interest of
124
Electric Output For Week Ended Aug. 29,1942
Shews 11.6% Cain Over Same Week In f 941
and July 31, 1942 respectively." •
•
1 .
7,268,000 and 3,795,000 pounds held by refiners, brokers, agents,
warehousemen at places other than refineries and manufacturing establishments
from
102
111
: 87v &
;
having 91% of the steel
tlncludes
JProduced
83
Composition and weights are shown on a sepal-ate release/"Composition of>
and Trade Indexes." See description in "Journal of the American Statistical
Association," June, 1938, pp. 341-8/and September, 1941, pp. 423-5.
Reprints available
1941
1,
Aug.
services
24,236,000 pounds held by refining and manufacturing
and 7,859,000 and 2,118,000 pounds in transit to refiners and consumers
13,192,000
85
143
request.
151,439 -
976,697
107
scrap
Production
44,463 "
1,098,332
111
f 137
.hunt.
Scrap supplies
points,/including Chi¬
cago and Cleveland, fell to a dan¬
gerously low point'jfoj: some mills;
"arousing fears "that openhearths
Would have to be^ dropped until
steel
at several
;
preliminary: * v
• ■
\
1
Series are adjusted individually for estimated long term trend and'seasonal variar
tion; those reported in dollars arc also adjusted for price changes.
Tabulations (from 1919, monthly) of the ihdexes given above are available upon
29,708
1,425,471
tl, 157,527
t-—,
consumer^—
"138 *
111
136
,n
116
of salesmen
102
-
had turned its hundreds
loose on an iron and
company
44
102
in many plants,
shortage and the
scrap
spread of strikes are causing con¬
cern.
This week one large steel
are
*Indexes
•34,167.
1,250,690
1,430,142
37,352
1941-42
(500-lb. bales)
establishments
Shipped out
Aug. 1 to July 31
July 31
l
„
fiber
Grabbots, motes,
(500-lb. bales)
.
-V
On hand
|
bales)
•Includes
*
1941-42
7 v
1294,005
493,658
164,444
j 1940-41
—
Linters
(running
;
1941-42
—( 1940-41
,
\
Hull
;
1 nor 68,845 and 62,209
,,
.
1,249,846
029,708.;
1941-42
1940-41
Hulls
-
1
1 to
to
August 1
11,173
217
24,930
6,495
18,916
" 528
4,026
9,736
532
3,008
20,668
" 27,194
3,108
SHIPPED OCT, AND ON HAND
Produced Aug.
On hand
.
1941-42
|
(thousand pounds)
(tons)
-
.
pounds).] 1940-41
(thousand
Refined oil
,
-
Season
'
/•.
/
MANUFACTURED,
PRODUCTS
COTTONSEED
Item—
■;
:
3,589
»
331
11,871
1,175
.3,520 .'
727
- 6,019
3,109 4,458
698
9,187
35,388
1,291
Does include 665 tons destroyed for
tons/reshipped for 1942. and 1941 respectively.
194l
1941
130)529
81,423
230,245
80,458 • '
78,060
537,503
489,322
201,582
164,207
418,373
284,234
210,854
222,661
to
:
the
both
83
88
101
132
111
distribution
Primary
Distribution
r
123
-A—
Nondurable
Miscellaneous
1942
1941
1942
4,008,436. 4,398,011-
4,489,698
105
.
..•45
45
114
.goods^v^w^—AV
goods—total
goods—total
Durable
"
••
July 31
Aug. 1 to July 31
nondurable
871
107
Consumers'
Consumers'
v
.120
plate
/
with
shutdowns likely to be
the difference in
set aside this year
'July
113
goods—total
durable^ goods^^_-_L.^,„U———r--
Consumers'
On hand at mills
Crushed
1941
1942
3,959,330
up
Labor Day
•June
-—
goods_-,/,-i-;,-—^
nondurable-
Producers'
'
(TONS)
CRUSHED, AND ON HAND
goods
Producers'j durable
<
.
•
United States—__
make
will
output and demand.
"As
September
begins,
-1942-
May
July
Census issued the following state¬
ment showing cottonseed received, crushed, and on hand, and cotton¬
seed products .manufactured, shipped out, on hand, and exported
for the twelve months ended with July, 1942 and 1941:
.
,
*'•
Aug-. I to -July 31
September
as
LONG-TERM TREND
TRADE—1 (MISESTIMATED
INDEXES OF PRODUCTION AND
On Aug. 13 the Bureau of the
~
permit an increase
pipe output
tonnage,
bar
lower
the June levels."
goods held at approximately
able
13
.
?'"'-'"Cottonseed ieeeipls Continue Small
RECEIVED,
for
producers' dur¬
increase in the output of
*
Received at. mills*
steel
in
a
Producers'
.
"In order to
•
1 ■
.
1941
balances
COTTONSEED
it
• •
classification which includes many, types of war ma¬
Production of non-durable gbods and of consumers' dur¬
goods,,
terials.
—-28
,
,
••
• ?' r
.
Production
-
Peak
■
'
20
accounts.—
—r__
in capital accounts
:
—
trading
.
ing a' further substantial
17
—
-■
Credit
y.
,
5
..
—
;
investment
and partners'
.
T
,
'—2
57
in firm
/'
•'
..
.
•
;• .+
.
2
•
238
balances
number of steel consumers
will not be able to get
steel.
' ' *•; *»•''/
!'/"/ •' "
is likely to be
production of re¬
inforcing bars.
There are few
changes in the sheet and strip
allocations for this month.
Sep¬
tember plate allocation was ap¬
Vance between June and July.
proximately 10% below the July
"The rise in
the group index of distribution to consumer, total, making the current month
which followed five months of decline, resulted from less than the second in which plate output
Plate inven¬
seasonal decreases in sales of department stores .and mail order will have declined.
tories
at
some
shipyards and
houses...
,• •,
...
' ■/ i
,■
,/,' /J
/. /' 1" ... / .
"Productive activity in July was at a new high level, reflect¬ warehouses are being called on to
able
Customers' credit balance's;
Credit
i
the
-
"
,
borrowed
Money
1941
—137
.5
•-102
and
hand
on
491
—
"■
1942
1942
•'
■
ir
1
accounts—
—
in banks..,-——
;
/;•
trading
and
,
Cash
..
partners" investment
and
in'firm
balances
'
Since'
of demand resulting from
up
monthly index of, production and trade com¬
puted at the Federal Reserve Bank of New York ro?e three points
to a/record high of 118% of estimated long term trend, the Bank
announced on
Aug., 26/ The previous
peak, . 116, occurred in
August, 1941, it is noted by the Bank, which adds:,.'
f'Each of the major components of the "index—-production, pri¬
mary distribution, and distribution to consumer—shared in the ad-
Dollars)
•,
'
•'
to¬
accounts,
margin
carry
,,
Debit
backing
During July the
Increase or decrease
Customers'
orders.
This is believed to be the
priority downgrading under PRP,
and the realization by an increas¬
being omitted from this re¬
' "
•'
M. Y. Reserve Bank Index M Hew
the month and year ended'July 31, 1942,
(Ledger Balances in Millions of
Debit Balances:
new
of
ing
.
Exchange, that
Stock
York
New
the
obtaining de¬
equalling
tonnage
5%
than
more
that they
Semi-annual figures will be
published hereafter,, but this monthly release on brokers' balances
is'being discontinued.
>
"
*" •
^
The Board presents the following summary of the customers'
debit balances and principal related items of. the member firms of
gether with changes for
such
porting
'u
.
companies showed little
change from July.' Cancellations
have increased, with one mill re-*
•
conditions and the difficulties in
Because of war
intervals only.,
„
,
World-Statistics
'
,
followed by
products,
Piling and shapes are
the 'very' critical list.
most steel
be collected from all but a few of these
will hereafter
ffrmsr at semi-annual
'
"
pendable. world statistics such data are
port for the time being. :
'
which have been released
change that carry margin accounts, and
spindles for
-
,
imports and exports.
"
lected monthly from
monthly
.
rated as the tightest' of
Shipyard demand for plates is
increasing.
.
"Volume of incoming orders for
the Department of Commerce
decided to discontinue until further notice the publication of sta¬
tistics concerning
of brokers' balances, which have heretofore been col¬
all member firms of the New York Stock Ex¬
'figures
was
on
now
In the interest of national defense,
The Board added:
000,000.
plates.
amounted to
632,193 bales.
are*
steel
all
United States
—
month of July, 1942,
consumed during the
Cotton
.stilly
995,041 bales.
Cotton on hand in consuming establishments on July
31, was 2,252,690 bales, and in public storages and at compresses 7,-
carrying margin accounts for customers reported for July
decrease of $5,000,000 in their customers' debit balances and a
change
a
"r
•
Consumption and Stocks
Governors
of
Board
The
nounced on Aug. 24 that
'•
'
'
by mail.
being transmitted
" '"''l
*** '
individual returns of the ginners
clicked. against the.
Brokers' Balances
Federal Reserve Reports
Thursday, September 3, 1942
FINANCIAL CHRONICLE
THE COMMERCIAL &
820
authority
centers
report
but
the
electric furnace alloy steels .eases."-
margin is close in many,
!
-,
Volums 156
Number 4104:
THE COMMERCIAL & FINANCIAL CHRONICLE
(*), however, must be considered as preliminary £jid-subject to such
adjustment and "revision *as required by lMer and'moTe complete
Weekly Goal and Goke Production Statistics
TKe Bituminous Coal
in
Division, U. S. Department of the
Interior^
its latest
report, states that production of soft coal in the'week'
ended Aug. 22 is estimated at 10,850,000 net tons, a decrease of
380,000
tons,
3.4%, from the preceding week.
Output in the corre¬
sponding week of 1941 amounted to 10,974,000 tons. Total production
of soft coal to date shows an increase of 18.9% Over the same
period
or
reports.
'
'
'
•
and
ago,
a year ago:
'
.
to date shows
gain of 7.3%, compared with with the
a
same pe¬
Commodity Groups—
.i
1942
All Commodities
Farm productB—
The U, S. Bureau of Mines also reported that the estimated .pro¬
duction of byproduct coke in the United States for the week ended
Aug. 22 showed
decrease of 5,100 tons when compared with the out¬
a
put for the week ended Aug. 15. The quantity of coke from beehive
ovens increased 13,300 tons
during the same period.
;
UNITED
' •
.
..
•
Total,
.
and
■.
'
'
•
STATES
ON
mine
'
OF
NET
PETROLEUM
TONS
(000
WITH
OMITTED)
—January 1 to Date—
■
tAug. 22,
Aug. 23,
1942
1942
1941
10,850
11,230
10,974
1,808
1,872
1,829
.6,362
'6,237
6,368
Aug. 23,
1942
366,428
',1,864
,
86.7
+ 0.4
+ 0.9
+ 22.7
87.0
+ 0.3
+ 1.9
+ 15.9
118.9
118.8
118.8
118.8
110.8
96.5
96.5
96.5
96.8
87.3
79.6
79.7
79.6
79.5
79.8
—0.1
"103.9
•103.9
'103.9
'103.9
98.6
0
110.3
110.2
110.2
110.1
105.2
96.4' '85.9
*
96.2
•96.3
96.3
104.1
104.1
104.4
'Total
1,424
the
-Yearbook,
of
1939.
PRODUCTION
/.
\
OF
199,924
183,938
PENNSYLVANIA
,-
1942
..
AND
The
Calendar Year to Date
§Aug. 22,
Aug. 23,
1942
1941
Aug. 23,
1942
Aug. 24,
1941
1929
"Total, incl. colliery fuel
1,179,000
1,261,000
1,305,000 38,560,000 35,930,000
1,120,000
1,198,000
1,240,000 36,632,000
149,400
136,100
♦Includes
operations.
4.8
+ 12.0
+
+
88.6
89.0
88.9
89.6
83.6
—0.4
—1.1
100.8
100.4
99.8
86.9
+ 0.2
+ 1.2
92.6
92.6
92.6
89.4
0
*99.1
*98.9
*98.8
91.8
0
+ 0.3
—*97.3
*97.3
*97.2
*96.9
90.7
0
+
*95.8
*95.7
*95.9
.
7.5
throughout
6.0
gain of
+ 16.2
*0
i
come
last
8.0
+
7.3
90.9
—0.1
—0.2
4-
5.3
165,600
5,057,500
4,064,400
showing
total
washery
and
tExcludes
coal,
dredge
colliery
t
1,214,400
fuel.
coal
and
shipped
JComparable
revision.
%
39,445,800
and
"But
data
truck-from
by
not
available.
'
of
all
•.'
scored
a
heavy
war
in
train
felt
the
heavy-
collector
tax
along
increases
odd-lot
dealers
and
York
acted
slow
to
rail
net
last
year's.
STOCK TRANSACTIONS
"The
table
ON
THE
NEW
ACCOUNT
YORK
Week Ended—
OF ODD-LOT DEALERS
STOCK
In
•
to
of
orders
Number
of
shares™
Dollar
value
*,
7,280,159
.
£
9,360
7 255,816
198,492<
.
every
Aug. 22
7,518
™,
_.™__™_—
disclosed
450
cor¬
less
no
listed
in
the
corpora¬
For the initial half of
+
,.l
Aug. 15
was
by groups offers an almost
reversal of last year's
earnings' picture as of the end of
June.
"
'
f
Purchases)
Number
■
:
the
of
pace
1940's
over
period
results
of
the,
compared with
the first half of
complete
AND
EXCHANGE
;
into
went
tions
■
FOR THE ODD-LOT
down
income
1941 the increase
Stock
.
which
effect in the later months of 1941
Exchange Odd-Lot Trading
Exchange, continuing a series of current
figures "being published by the Commission.
The figures are based
upon reports filed with the Commission by the odd-lot dealers and
specialists.
'
'■
authorized
7-
the
responding
New
(Customers'
SSubject
ar¬
six months of
economies
railroads
of
than 379%.
the
t
.
period,
same
reflecting
year,
hand
Odd-lot Sales by Dealers:
*-,.1,209,300
groups
than 42% in net in¬
the
over
specialists who handle odd lots
4,474,700
"
of
leading. The article adds:
44,445,000
34,134,000 31,245,000
the
the
more
3.6
0.4
issue
magazine,1'pub¬
Among
traffic
*95.7
SPECIALISTS
total-—
By-product coke—
States
+
—0.3
and Exchange Commission has made
public a
for the weeks ended Aug. 15 and 22, of complete figures
the daily volume of stock transactions for the odd-lot
Beehive coke—
United
+ 0.2
—0.2
0
Securities
summary
account
COKE
tCommercial production
States
+ 0.1
—0.1
96.8
August
ranged by industries, it is pointed
out in the article, the
rails, despite
wage
increases
that
applied
0.3
5.4
104.4
92.6
.
"United
+
the railroad?, ac¬
.
the
Exchange"
change.
+ 10.5
—
0
.
7.3
+
0.1
101.0
Hew York Stock
on
Week Ended
§Aug. 22, Aug. 15,
Penn anthracite—
ANTHRACITE
(In Net Tons)
.
—
,,
207,136
produced during the week converted into equivalent coal assuming
barrel of oil and 13,100 B.t.u. per pound of coal. Note that most
petroleum products is not directly competitive with coal (Minerals
page 702).tSubject to current adjustment.'
i ''
ESTIMATED
+
.
the
:
notable
a
lished by the New York Stock Ex¬
wage
_™
per
supply
0.1
—0.3
,
was
with industrial companies and the
barrels
£•,000,000 B.t.u.
of
+
0
1942 with
the
on
Exchange
expected; during
as
half of
'The
taxes
corporations
Stock
exception
cording to
9.9
•Preliminary.
Petroleum—.'
output
+ 0.1
*99.1
products and foods
Coal equivalent of
weekly
•
0.5* +
279,621
.
1,574
/■
1941
+
York
first
All commodities other than farm
1937
308,116
1942
98.9
Manufactured products— ,™_!—
All commodities other than farm
Aug. 21,
1941
.
99.7
commodities—.
products-^.--
___Week Ended
fuel-
IN
COAL,
CRUDE
OF
Aug; 22,* Aug. 15,
,
average
"Crude
PRODUCTION
PRODUCTION
coal-
incl.
Daily
i
,
Bituminous
lignite
DATA
0
100.5
Semimanufactured articles
ESTIMATED
1942
90.0
100.8
,
COMPARABLE
1941.
"98.4
105.4
goods—,
Raw materials™.
>t,
8-23
*98.6
Chemicals and allied products™
Miscellaneous
1942
7-25
105:4
Building materlals_l,_Y_v._l_,_
Housefurplshing
,1942
8-15
*98.9
lighting materials!
Metals and metal products
1942
8-23
higher
of
stocks listed
common
heavy,
'
7-25
106.0
Hides and leather products:™™
Textile products
Fuel and
8-8
of
net income
New
Percentage changes to
106.4
!
Foods
8-15
impact
upon
'
'
"98.9
c
.
;
The
Aug. 22, 1942 from—
8-22
*
.
20% In First Half
principal
with
'
>
(1926=100)
*
vania
riod last year.
the
"
,
■
i
year
for
,
of commodities for the past 3 weeks, for July
25, 1942 and
Aug. 23, 1,941 and the percentage changes from a week ago, a month
,
According to the U. S. Bureau of Mines, production of Pennsyl¬
anthracite for the week ended Aug. 22 was estimated at
1,179,000 tons, a decrease of 82,000 tons (6.5%) from the preceding
.week.
When compared with the output in, the corresponding week
of 1941, there was a decrease of
126,000 tons or 9.7%. The calendar
■
■
groups
'
■
Co.'Earnings Sown
.
The Bureau .makes the
following notation:
The following table
shows index numbers
-
last year.
821
,
1
9,162,790
percentages
1941,
showed
one
of
net
in-
While the rails then stood
e.
J
except
group
in
s
and
shoulders
above
all
1
ESTIMATED
WEEKLY
(The current weekly
estimates
PRODUCTION OF
COAL,
BY
"
[In Thousands of Net Tons]
ments and
are
or
-
.1.
'
Aug. 15
'
State—
Aug. 8,
1942
Alaska
-
1—
Aug. 17,
6
380
Aug. 14,
avge.
1937
H1923
1940
4
:
331
271
257
87
84
85
80
58
143
144
107
105
82
Noift^ Cajolinp~r :.c>
Illinois™!—
L
t
*
1,135
T
tt:
*
•*7-
1
*r
463
1
•
**
1,102
1,058
1
Indiana
"
458
**'
'
sU":
446
40
—
Kansas
and
Missouri
.
:
40
„
162
168
....
147
953
213
<103
Maryland.
'■
—
Michigan.——
(bituminous
36
•
«...
6
4
77
78
-
•
:
100
-145
ioo
694
126
1
14
10
54
v
Number of
shares*
Short- "sales
-
:
765
33
:r
.
'
'
22"
11
'•
7-'
J ,;'%v
»•
South
and
Dakota
(Ugnite)
-
24
,
'•J:
—-,
678
Texas
nite)
and
■
1+20
'19
**20
',
2,724
2,696
2,802
2,336
2,077
3,734
147
133
149
120
6
8
-
111
.
89
84
316
32
26
2,180
2,364
855
832
140
122
1
,38
2,277
1West Virginia—Northern.™
"Wyoming
....
tOther Western States—_—
916
157
10
407
402
38
Washington—
•West Virginia—Southern
111
402
Virginia.._—...
v
'7'
21
24
52
83
269
248
30
47
1,982
1,729
1,515
639
523
875
96
83
154
tt
1
'
..
'
•
,
7,086,686
300
150
76,860
Total
65,430
77,010
higher
by
iron
and
.
.
67.1%
last
.
.
™_t™-.i
Purchases
*
by Dealers:
™/V'
:*5ales marked, "short
customers'
lot
odd-lot
are
exempt"
reported
are
orders
and/ sales to liquidate
with "other sales.'!
reported
a
*"'
'
55,700
•
with
'other
sales."
■
"
tSales
long:-position which is
to
V
year
over
The steel,
this
year
*
.
period of 1940.
same
in calculating
tax
*;•••:
statute
still
ac¬
fig¬
profits
excess
taxes and surtaxes.
offset
;
As the
remains
1942
to
be
prepared in exact terms, it appar¬
ently has been assumed that rates
prescribed by the House afford
view of the maximum
National ' Fertilizer Association
burden
a
on
corporate incomes for this year.
Commodity Price index Unchanged
The
.
department of the
40.2%
76,560
lfess than' a
.
was
.
upward to the extent of
in the first 1941 half-year
the
over
.
of 1940.
coke
The
group
year
59.1%
off
.
...
year.
"The corporations took into
sales
weekly wholesale commodity price index compiled by the
National Fertilizer Association and made public on
Aug. 31, remained
77 ft
unchanged at a high level last week. This index, in the week ended
Total bituminous and lig¬
Aug. 29, 1942, stood at 129.0% of the 1935-1939 average, the same as
nite !
11,230
9,062
10,940
10,983
7,738
11,538
in the preceding week.
It registered 129.3 a month ago, and 115.3 a
r
952
634
f Pennsylvania anthracite
;
1,261
1,227
1,218
1,926
year ago. The Association's report went on to say:
12,491 '
10,014 '
Although there were fractional declines in several industrial
Total, all coal
!,
12,201
8,372
12,167
13,464„
•Includes operations on the N. & W.; C. & O.; Virginian; K. & M.; B. C. & G.;
groups as well as in the farm products group, the advance in the foods
and on the B. & O. in Kanawha, Mason, and Clay counties.
tRest of State, including
group was enough to hold the general index to the same level as it
the Panhandle District and Grant, Mineral, and Tucker counties.
^Includes Arizona,
was in the preceding week.
The food price index advanced to a new
California, Idaho, Nevada, and Oregon. §Data for Pennsylvania anthracite from pub¬
high level; last week price advances took place in butter, eggs, corn
lished records of the Bureau of Mines.
fiAverage weekly rate for entire month.
"♦•Alaska, Georgia, North Carolina, and South Dakota Included with "other Western
meal, prunes, veal, lamb, and chickens. This index is now 12% higher
States."
ttLess than 1.000 tons.
;
'
than at the beginning of the year.
The farm products index turned
tt
this
lower
swung
118
87.;
lig¬
6
6,209,558
65,130
round
871
.
256,065
tOther sales
Round-lot
-
416
—
U tah—.......
24
""252,844
217,714
list
49
486
i™—-n
(bituminous
y\':
/'
.
ures
642
*
Tennessee^
'
25
.
last
50
683
Ohio
;^.™.™_™
Pennsylvania <(bituminous)__
:
,
215,397
9
+
32%
gained 5.6%
group
.
half
21
'
North
fa
Number of
29
..
first
count the House revenue bill
"
6
44
'■
.'•v+v..'
33
44
*
46
•
,__i
.—
sales__
217
-
27
;
sales__:_
the
34.7%
'3,221
2,317
Round-lot Sales by Dealers:
■'
7
in
chemical
this year
building construction
;
—„
™r.rr._5^.'r_
>
"
881
other
total
foliar value
44
164
28
.
it.
v
New Mexico™
34
3,7
and
t
9,708
lower
■>»
440
"
234
Montana
923
221
937
~
8,701
"The
the first half
Customers'
'
Kentucky—Eastern—
Kentucky—Western—
„
short sales
•Customers'
ft
too
,7
...*
,
"
261
56
40
r
,
89
9,619
81
"
Iowa
•
72
8,629
'
173
"■
!
7
343
sales™
shares:-,
Customers'
397
•
Georgia and
of
sales
other
total sales
Customers'
« if
3
1940.
short
Customers'
Number
Sales)
orders:
of
Customers'
August
■
1941
5
,
•
385
Arkansas and Oklahoma—__
j.
Aug. 16,
1942
5
Alabama
,
Number
*
7
Purchases by Dealers:
(Customers'
.
are
on
-Week Ended
Colorado
Odd-lot
based on railroad carloadings and river ship¬
receipt of monthly tonnage reports from district
of final annual returns from the operators.) *
-
subject to revision
and State sources
':
*
STATES
.
:
"Despite
the
large
allow¬
tax
ances, no less than 437 of the 450
corporations
the
decline
to
report
half-year;
and
abrupt and substantial
some
reversals
able
were
for
profits
while
occurred,
of
net
the
average
income
of
the
"
downward, due primarily to lower cotton and grain prices.
These
than offset an advance in livestock quotations.
Other declines
were recorded by the indexes
representitng the prices of textiles and
building materials.
,During the week changes in the index were quite evenly bal¬
more
Wholesale Commodities Continued
At
High 9926 Level, Labor Bureau Reports
The Bureau of Labor
nounced
on
Statistics, U. S. Department of Labor, an¬
Aug. 27 that prices in primary markets continued at the
anced, with 10 price series declining-and 9 advancing; in the pre¬
ceding week there were 17 advances and 8 declines; in the second
preceding week there were 16 advances and 13 declines.
highest level in nearly 16 years in the week ended Aug. 22, and the
WEEKLY
Bureau's index of wholesale prices remained unchanged at 98.9% of
the 1926 average.
'
:
•;
.
WHOLESALE
markets where prices of such important farm products as livestock,
poultry, butter, and eggs, which are not subject to price control, con¬
tinued at levels approximating those in the boom years of 1920 and
1929.
The grain markets weakened on reports of unusually large
crops, and there were seasonal declines in prices for fresh fruits
and vegetables.
With the continued high level of prices for farm
products, prices of foods not under the Office of Price Administration
regulation advanced further both in wholesale and retail markets
in
mid-August.
Meanwhile, prices for industrial commodities, which are largely
subject to control, continued stable. Only a few price changes were
reported during the week, and those were for the most part down¬
ward.
During the period of rapid changes caused by price controls, ma¬
allocation, and rationing, the Bureau of Labor Statistics will
terials
attempt promptly to report changing prices.
The indexes marked
as
whole
a
than
20%.
This showing went far in
countering the prophets of gloom
who, a year ago, were decidedly
doleful about the chances of many
companies to make
all
any money
during the first full
A 20%
decline from
ings' level,
months
from
of
such
1941
as
a
war
earn¬
the first
produced,
at
year.
high
six
is
calamitous."
far
1
Open New Women's Hotel
The
new
Meridian Hill Hotel in
Washington, built to house
workers,
opened recently
cially
Compiled by The National Fertilizer Association
'[♦1935-1939 = 100]
less
was
Government
COMMODITY PRICE INDEX
women
was
by
offi¬
Mrs.
"
Eleanor
.
During the week the principal activity was again in agricultural
groups
%
Latest
Bach Group
Bears to the
Group
Foods
Fats and Oils
Cottonseed
23.0
Month
Year
Week
Ago
Ago
Aug. 22
July 25
Aug. 29
Total Index
25.3
Preceding
Week
Defense
1942
1941
a
129.7
127.6
112.5
Finance
-
141.2
139.1
122.0
158.4
159.6
143.6
Homes
Corporation,
cost
Corporation,
the
for
at
structure
139.6
140.0
137.1
118.3
grounds of $1,750,000.
178.0
181.2
156.9
Grains
rentals,
111.4
112.2
111.4
105.2
Livestock
140.9
140.4
135.4
114.2
Products
Cotton
...
17.3
Fuels
10.8
Miscellaneous
—
commodities
8.2
Textiles
7.1
6.1
Metals
Building
1.3
Chemicals and
-
„T_
materials
drugs
;
118.8
125.4
110.6
126.8
127.5
124.4
More
146.9
147.4
147.8
136.9
women
104.4
104.4
104.4
103.8
151.4
151.5
151.6
119.5
120.7
120.7
120.7
106.3
Fertilizer
117.8
117.8
117.9
112.7
Fertilizers
115.3
115.3
115.3
107.1
.3
Farm
104.1
104.1
104.1
99.3
machinery.-
a
on
126.8
.3
materials
$9
a
and
total
the
The room
at $7.50 to
orginally set
weekly scale,
$8.75.
are
now
fixed at $6.50 to
118.8
.3
the
built by
was
174.9
Farm
of
wife
The hotel
subsidiary of the Reconstruction
1942
130.0
158.4
_
the
1942
141.3
Oil
Aug. 30
Roosevelt,
President.
are
800
than
80%
of
the
600
already living in the hotel
earning yearly salaries of $1,less.
or
Previous reference to the build¬
ing
of
another
hotel
for
women
workers, with funds advanced by
100.0
•Indexes
All
on
groups
combined-
1926-1928 base
were:
129.0
129.0
129.3
115.3
Aug. 29, 100.5; Aug. 22, 100.5, Aug. 30, 1941, 89.8.
the
RFC,
umns
was made in these col¬
May 14, page 1864.
Exchange Commission has
showing the daily volume
made public fig¬
Stock Exchange and
New York
These reports are classified as
respective members.
their
N. Y. Stock
Exchange
Exchange
Weeks Ending
Reports
3.
Reports showing
floor
Aug.15
971
967
683
680
167
158
79
76
off
:—
119
117
146
131
610
625
v
-
12
29
554
564
reports received because a
ber of
Oklahoma
Beginning
Aug. 1
August
415,500
415,500
Kansas
281,900
+
Central
East
Texas
Stock Exchange and
Members* (Shares)
t Per
Total for
tPer
Week
Cent
Week
Cent
Short sales
tOther sales
§1,396,700
1,687,880
111.
Total
initiated on the floor—
purchases
—_—
_
sales
Short
tOther
—
sales
;
Total purchases
—
'
,
Total purchases
' 1
tOther sales
.
32,440
209,315
4.06
r
3.75
for Account of Members*
limited
2.90
50,580
7
27,320
Transactions of specialists in
13.64
219,770
Exchange and Stock
Total
purchases
tPer
Cent
2,065
1,045
243,507
254,915
245,572
255,960
72,400
74,350
48,000
4,500
+
450
—
77,850
385,600
+
1,350
—
20,600
110,000
97,150
63,300
+
200
97,350
62,800
90,800
66,800
95,000
90,450
■f
2,750
90,200
83,200
22,700
22,900
300
20,300
*
.
6,800
+
100
95,300
+
21,850
77,500
113,700
3,236,400
75,550
3,340,850
735,300
2,700
3,091,050
713,600
78,250
3,804,650
3,975,450
§767,200
—
state
and
+
grades of zinc are now in
Group 1 of the scarcity list of the
conservation division of WPB. In
month ago,
3,900
was
position. Prime Western was un¬
changed pricewise at 8%0, East St.
634,600
Louis.
-i1
:
• ..
Short sales
tOther sales
Total
sales
3. Other transactions
Total
—
__
—
w-'.
at Re-
Stocks
fineries
Finished
and Un-
Inciud.
tStocks tStocks
of Gas
Oil and
% Op- Natural finished
porting Average erated
and
Total
____
sales
0
0
10,675
10,675
.___
purchases
12,070
4.63
—
„
_
tOther sales
Total
C. Odd-Lot
-
12,070
2,055
570
38,295
38,385
40,350
sales
Transactions for the Account of
Inland Texas__
Okla., Kansas, Mo.___
of m!
1942
Of M,
basis, Aug. 15, 1942
U. S. Bur. of Mines
basis, Aug. 23, 1941
Tot.
,
14.67
38,955
U.
S.
of Residual
Distillate
Fuel
Fuels
Oil
20,125
18,284
Blended Gasoline
3.91
U.
S.
•At the
/
;
:
'
.
.
r
.
2,440
88.2
1,685
69.1
4,882
38,405
176
84.8
83.3
80.1
48.0
167
757
372
89.9
654
94.9
94.2
89.4
59.9
80.0
403
2,591
1,301
307
1,771
2.854
14,584
6,981
2,016
15,603
85.6
3,723
85.6
3,711
804
; 416
147
817
8$
!
B.
basis, Ang. 22,
31,860;
31,705
___
sales
Short
North
Arkansas
California
7,950
TotalTotal
-
Appalachian
Ind., 111., Ky
0.53
1,100
Tot.
4.
Gulf, LouislGulf,
Rocky Mountain
_
sales
Texas
Louisiana
1,100
1.49
12,050
sales
tOther
5,310
initiated off the floor-
purchases
Short
9.39
25,785
0
75
5,235
0
0
19,881
20,306
19,881
20,306
10,308
11,270
Total
•The
sales
term
.
_——
13.83
4,800
B.
~
~
~~
77.6
11,255
t80,443
4,800
'
77.3
11,125
80,708
•
transactions
includes
only sales.
cent of twice total round-lot volume.
In
total members' transactions is compared with twice
the Exchange for the reason that the total of members'
tRound-lot
both
purchases and sales,
while the Exchange volume includes
-
.
short
rules are included
sales which
are
exempted from restriction by the Commission
with "other sales."
{Sales marked "short exempt" are
2G__
included with "other sales."
spot, 51.1250
99%
tin,
all week.
Quicksilver
There
develop¬
new
no
were
13,577
81,194
outside of the United States were
40,416
78,007
York
to 450 an ounce,
f.o.b. New
San Francisco.
The trade
or
believes that this action will result
a
general price advance in for¬
eign silver to encourage produc¬
40,041
77,422
46,081
92,996
tion
aid
and
the
from
in
move
higher
price
Aug. 31.)
On
Increased
various ways
silver
financially.
became
market
to
benefiting
countries
strengthen
in
(The
effective
London
with the price un¬
changed at 231/2d. The New York
steady,
Official
prices
and
were
351/8 0 and
Censorship
and other data have been
direction of the Office of
production and shipment figures
omitted for the duration of the war.
from
ounce
545
53,639
The
Editor's Note.—At the
item
news
a
Washington to the effect that the
governments of the United States
and Mexico have agreed in prin¬
1,305
12,131
72,030,000 barrels; unfinished 8,413,000 barrels.
J At refineries, at bulk terminals, In transit, and in pipe lines.
certain
in
interested
3,723
'
of Petroleum Coordinator.
operating
silver
of
Producers
in
/•
4,041,
.
request of the Office
.
imports Of Foreign Silver To Be
calculating these percentages, the
the total round-lot volume on
25
Chinese
52.000
52.000
52.000
52.000
52.000
52.000
5,423
1,716
425
•:
,
Non-Ferrous Metals—Price Ceiling
including special partners.
tSbares in members' transactions as per
24
Aug.
52.000
52.000
• 52.000
52.000
52.000
52.000
ciple to an increase in the price at
which silver may be imported into
the United States from 35%0 an
fFinished
"members" includes all regular and associate Exchange members, their
'firms and their partners,
22
Aug.
Aug.
was
sales
Total purchases
Aug.
Oct.
52.000
52.000
52.000
52.000
52.000
52.000
511
Special¬
gcustomers' other sales
short
21
596
5
ists—
Customers'
20
Aug.
Sept.
Silver
Production
Crude
Daily
% Re-
tial
Rate
District—
1,630
2,010
—.—
Aug.
Aug.
Gasoline
.
Runs to Stills
Poten¬
570
25,215
ana
transactions initiated on the floor—
Total purchases
___—
follows:
livery was nominally as
for in the original order of the Texas Railroad Commission, this is
1 calculated on a 31-day basis and including shut¬
exemptions for the entire month.
Shutdown was ordered for Aug. 8, 9, 15,
22,280
8. Other
quality tin for future de¬
Straits
allowable as of Aug.
v:;
8.55
shows no, change.
situation
19.
'■
of tin continues
The trend in use
proration.
.
24,365
sales
preceding list, issued about a
only High Grade zinc
classed as being in a critical
the
production of all downward, owing to the conser¬
recovered vation program of WPB. The price
allowables represent the
i
High Grade and the com¬
Both
mon
♦Combin'd: East Coast,
Total
Zinc
Tin
3,971,700
4,038,500
42,000
22,750
6,700
97,300
.
100
—
Louis.
York, and 6.350, St.
21,000
118,300
Daily Refining
Capacity
1,980
22,385
333,100
327,300
be
consumers
quicksilver situation.
CRUDE RUNS TO STILLS; PRODUCTION OF GASOLINE; STOCKS OF
Production is being maintained at
FINISHED AND UNFINISHED GASOLINE AND GAS AND FUEL
a
OIL, WEEK ENDED AUG. 22, 1942
high
rate,
trade
authorities
claim, and supplies are ample for
current
needs.
Quotations
in New
(Figures In Thousands of Barrels of 42 Gallons Each)
continued
at
Figures in this section include reported totals York
$194.43
to
plus an estimate of unreported amounts and are
$198.08 per flask.
'V'v
'
therefore on a Bureau of Mines basis-:
1
;
17,645
+_
249,000
required to fill the needs
than the tonnage
released in August. The price sit¬
uation was unchanged,
common
lead
continuing at
6.500, New
of
ments in the
Week
_—______
.
236,250
+
72,100
1,456,700.
Total for
—
tOther sales
78,300
4,300
240,050
271,450
18,150
3,271,300
767,200
stocks in which
sales
Short
1,441,400
96,850
+
with WPB
27 in reference
Aug.
on
September allocations, as a lit¬
more
Metals Reserve metal
will
A revised order was issued, effective Aug. 8, increasing the
allowable to approximately 1,482,433 barrels and lifting the shutdowns in certain
fields for Aug. 8, 22, 23, 29, 30 and 31.
§Recommendation of Conservation Committee of California Oil Producers.
HLater press reports indicate that this figure was revised upward to approximately
(Shares)
they are registered—
1,293,950
200
+
97,050
72,072
Members:
1.
17,550
298,200
1,401,300
1,150
of
Account
the
289,250
19,700
'
for
Transactions
B. Round-Lot
369,600
218,750
265,500
6,900
tle
16, 22, 23, 29, 30 and 31.
Cent
.
165,950
+
+
recommendations
by pipeline
and
downs
t Per
—
339,600
+
to
tAs provided
Week
sales
300
16,100
—
7,200
Aug.
a.m.
______—
tOther sales
84,600
198,100
337,100
97,300
the net basic
Total for
Sales:
131,050
273,150
87,650
officials
to be less than the
Aug. 8 and 15, 1943
Weeks Ending
138,600
208,050
5,650
360,000
Lead
Actual State production would, under such conditions,
allowables. The Bureau of Mines reported the daily average
production of natural gasoline in May, 1942, as* follows:
Oklahoma, 28,100; Kansas,
4,600; Texas, 97,500; Louisiana, 17,900; Arkansas, 2,700; New Mexico, 5,200; California,
40,000; other States, 20,700.
tOklahoma, Kansas, Nebraska, Mississippi, Indiana figures are for week ended
192,450
14.49
1,550
2,900
274,700
;
*0. P. C.
240,624
241,755
-
Transactions
Total
44,980
Sales on the New York Curb
Total Round-Lot Stock
A. Total Round-Lot
72,105
196,610
sales
Total
5,600
1
-1-
75,000
prohibited.
Producers conferred
petroleum liquids, including crude oil, condensate and natural gas derivatives
from oil, condensate and gas fields.
Past records of production indicate, however,
that certain wells may be incapable of producing the allowables granted, or may be
47,154
'
sales
Short
Short sales
-■
.
.
88,600
t76,550
___
Total United States
"
59,420
7,120
79,225
sales
Total
Total—
6.99
54,680
3.10
43,560
"
.
3,450
850
manufacture
254,550
'7,350
:
50,000
Mexico
prove
_
tOther sales
4.
4,740
off the floor—
_____
sales
Short
67,180
4,340
48,010
—
Other transactions initiated
3.
______
Total East of Calif.
109,770
45,810
43,670
—__
sales
Total
Ind.)
California
7.33
281,000
—
16,980
92,790
93,540
2, Other transactions
New
126,290
114,520
6,250
100
—
has been
289,300
Colorado
sales
Total
.
alloys
copper
Aug. 23
1941
—
of copper or
Ended
427,400
(not includ.
&
Montana
20,980
on
parts for fuses
other than current carrying parts
382,400
•—
350,600
81,600
.
Wyoming
tOther sales
+1,388,021
332,600
Michigan
_______,___.—107,240
Total purchases
Short sales
or
expected.
Quotations
domestic metal continued on
first
than
Use
3,400
89,250
___
Louisiana
Eastern
Except for the Odd-Lot Accounts of Odd-Lot
Dealers and Specialists:
1. Transactions of specialists in stocks in which
■.
137,300
'M
'.
Louisiana
Illinois
of Mem¬
they are registered—
yesterday,
to
1942
'
Mississippi
bers,
.
"V".'
.
Arkansas
1,512,240
__________
-K
224,550
Indiana
Total sales
B. Round-Lot Transactions for the Account
allocations
directions
several days later
copper
began to move in some
.
1,650,250
—1,474,910
_____________—
Texas
Total
37,630
37,330
.».
_.
"
____
Coastal Louisiana
Total for
Total Round-Lot Sales:
Texas
Total
North
<:
.■
V'.fij'. r..
-f
Coastal
Round-Lot
8 and 15, 1943
Weeks Ending Aug.
t3,300
;
Texas__
Southwest Texas
+
f297,000
!
i
North Texas
East
+
93,900
West Texas
Ended
Aug. 22
Week
t380,150
Panhandle Texas
the num¬
carry entries in more than one
From
Previous
1942
281,900
4,100
Nebraska
classification.
Total Round-Lot Stock Sales on the New York
Stock Transactions for Account of
Aug. 22
dations
classifications may total more than
single report may
Copper
September
Week
4 Weeks
Change
Ended
ables
Recommen-
they are registered and the
in the various
part:
(FIGURES IN BARRELS)
Week
Allow-
*O.P.C.
of
The number of reports
during the last- week.
The pub¬
lication further went on to say in
—Actual Production—
♦State
"'
•;'
■
handled solely by
round-lot transactions
specialists resulting from such odd-lot transactions are not segregated from the
specialists' other round-lot trades. On the New York Stock Exchange, on the other
hand, all but a fraction of the odd-lot transactions are effected by dealers engaged
solely in the odd-lot business. As a result, the round-lot transactions of specialists in
stocks in which they are registered are not directly comparable on the two exchanges.
specialists in the stocks in which
"
CRUDE OIL PRODUCTION
AVERAGE
DAILY
■i.
Curb Exchange, odd-lot transactions are
Note—On the New York
i,
—
transactions
Reports showing no
11
41
'
—._
—
___
other transactions initiated
floor
the
Aug. 8
specialists--—-.
showing other transactions initiated on
2.
4.
Aug. 15
showing transactions as
1. Reports
the
Aug. 8
crude oil production for
the basis of 120, Valley, with for¬
4,800,000 barrels estimated daily potential refining capacity of the eign copper moving to Metals Re¬
United States, indicate that the industry as a whole ran to stills, on serve at 11.75, f.a.s. United States
a Bureau of Mines' basis, 3,723,000 barrels of crude oil daily during
ports.
■■
'
'
the week ended Aug. 22, 1942, and that all companies had in storage
Adjustments to the power-ex¬
at refineries, bulk terminals, in transit and in pipe lines as of the
pansion program were announced
end of that week, 80,443,000 barrels of finished and unfinished gaso¬
by the War Production Board last
line.
The total amount of gasoline produced by all companies is esti¬
week.
Projects
not
urgently
mated to have been 11,255,000 barrels during the week ended Aug.
needed will be given lower prior¬
22, 1942.
ity ratings to conserve on copper.
follows:
N. Y. Curb
Weeks Ending
Institute estimates that the
The American Petroleum
age gross
and smelters, the domestic
situation
showed
little
change
mills,
daily aver¬
the week ended Aug. 22, 1942, was
3,971,700 barrels, an increase of 78,250 barrels per day over the pre¬
the volume of round-lot stock transactions for the account of all
ceding week.- The current figure, however, showed a decline of 3,750
members of these exchanges in the weeks ended Aug. 8 and Aug. 15,
barrels when compared with the output for the corresponding week
continuing a series of current figures being published weekly by the of 1941, and was also 66,800 barrels below the daily average figure
Commission.
Short sales are shown separately from other sales in for the month of August, 1942, as recommended by the Office of
Petroleum Coordinator.
Daily production for the four weeks ended
these figures.
Aug. 22, 1942, averaged 3,804,650 barrels. Further details as reported
The data published are based upon weekly reports filed with the
by the Institute follow:
New York Stock Exchange and the New York Curb Exchange by
Reports received from refining companies owning 85.6% of the
ures
the mines,
at
force
labor
full
a
HVtf-Ufa
,
of total round-lot stock sales on the
the New York Curb Exchange and
for
of
strategic metals and maintaining
Except for exploring methods
increasing
domestic
output
Week
Daily Average Crude Oil Production For
WUSU1VW IV)
Aug
Trading On New York Exchanges
The Securities and
Thursday, September 3, 1942
FINANCIAL CHRONICLE
THE COMMERCIAL &
822
the
U.
also
S.
Treasury
unchanged
at
350, respectively.
Daily Prices
The
daily prices
of electrolytic
Markets," in its issue of Aug. 27. copper (domestic and export, re¬
finery), lead, zinc and Straits tin
stated: "With demand for silver for industrial uses expanding, the
were
unchanged from those ap¬
authorities in Washington hope to stimulate production outside of the
pearing in the "Commercial and
United States and raise imports by lifting the price of foreign metal
"E. & M. J. Metal
100 an ounce to the
and Mineral
Francisco. (The
the last day of August—Ed.)
basis of 450, New York or San
higher import basis became
effective on
Financial
Chronicle"
1942, page 380.
of
July 31,
Volume
?
"HE COMMERCIAL & FINANCIAL CHRONICLE
V
Loading of revenue freight for the week ended Aug. 22, totaled
869,404 cars, the Association of American Railroads announced on
Atlanta, Birmingham & Coast
This
decrease below the corresponding week in 1941
3.4%, but an increase above the same week of 1940
was a
'
of b0,384 cars or
of 108,296 cars or 14.2%.
'
Loading of
559
cars
!
freight for the week of Aug. 22 increased
revenue
0.1%
or
above
Miscellaneous
the
preceding week.
•
,
,
freight
loading totaled 402,713 cars, an increase
preceding week, and an increase of 25,786
above the corresponding week in 1941,
<.
,
Loading of merchandise less than carload lot freight totaled
89,547 cars, a decrease of 441 cars below the preceding week, and a
decrease of 67,555 cars below the corresponding week in 1941.
Coal loading amounted to 160,711 cars, a decrease of 6,334 cars
'below the preceding week, and a decrease of 8,980 cars below the
corresponding week in 1941.
'
.
■
■/;,
;
:
•
Grain and grain products loading totaled 49,672 cars, an increase of 4,988
cars above the preceding week, and an increase of
:
6,047 cars above the corresponding week in 1941.
In the Western
Districts alone, grain and grain products loading for the week of
Aug. 22 totaled 35,033 cars/ an increase of 4,456 cars above the
preceding week, and an increase of 4,308 cars above the cor¬
responding week in 1941.
;
\
:
Live stock loading amounted to 14,731 cars, an increase of 1,■252 cars above the preceding week, and an increase of 2,717 .cars
•above the corresponding week in 1941.
In the Western Districts
v
of
5.785
above the
cars
Railroads
*
,
Southern
Alabama,
Atl.
&
:
' "
.
Coast
R.
&
Line
Western
'
cars
<
"
.
'
"
Durham
1941
1940
1942
Lumber Movement—Weele
Ended Aug. 22, 1942 ;
1941
442
218
415
253
889
700
2.508
1,814
746
874
874
1,232
1,078
11,485
10,866
9,045
9,011
6,710
less than the previous
3,532
4,705
3,948
4,142
3,771
ments
392
474
435
1,393
1,588
2,495
2,738
1,712,
...
Southern
&
Connections
650
Carolina...
Clinchfield
Received from
315
of Ala
Central of Georgia...
Charleston
Total Revenue
Freight Loaded
1942
Tennessee & Northern
W. P.—W, R.
Atlantic
f
District—
Columbus & Greenville
'
823
Total Loads
Revenue Freight Gar Loadings During Week
'
Ended Aug. 22,1942 Totaled 869,404 Cars
Aug. 27.
>
Number 4104
156
223
190
400
the
187
164
567
610
turers
;
870
457
402
1,565
793
;
32
35
28
98
108
1,360
2,559
Gulf,
1,252'
.......
Mobile
Illinois Central System....
Louisville & Nashville
il_
868
466
651
3,169
5,308
3,765
26,680
23,529
20,597
16,731
14,229
8,103
25,507
24,737
22,585
11,080
170
202
133
645
197
200
125
539
385
3,295
3,406
1,072
3,020
4,269
3,315
Southern...
Southern'
System
Tennessee-
reports to
Manufac¬
Association
from regional
covering the opera¬
tions of representative hardwood
and
softwood
6%
were
mills.
Shipments
production; new
above
orders 2% above production/ Com¬
pared
with
1,476
479
359
1,105
1,404
business
5%
404
382
9,234
5,502
stood
9,952
10,246
8,904
126%
7.509
6,085
18,994
962.
665
1,499
week of
24,591
20,660
22,696
532
561
454
1,018
848
165
294
146
929
1,932
117,031
120,262
101,177
109,603
89,138
...
....
to
Lumber
267
22,450
Central....
Winston-Salem
according
National
429
959
i
....
Line
week, ship¬
3% less, new business
the
corresponding
1941, production was 13%
less, shipments 11% less, and new
Piedmont Northern...
Richmond, Fred. & Potomac
Seaboard Air
during the
Aug. 22, 1942, was 3%
associations
1,921
665
4,326
Macon, Dublin & Savannah
Mississippi Central
Nashville, Chattanooga & St. L
Norfolk
1,388
500
4,389
Ohio....
&
production
were
less,
1,416
280
85
Florida East Coast
Georgia
3%
1,903
468
Gainesville Midland.:
Georgia & "Florida
Lumber
week ended
Southbound.......
at
production
week
of
The
less.
industry
the average of
the corresponding
of
in
1935-39
and
139%
of
1935-39 shipments in the
average
week.
same
■
■.
Northwestern
Year-to-Date
District—
Comparisons
..
.
Chicago & North Western
Chicago Great Western..
Chicago, Milw.; St. P. & Pac
Chicago, St. Paul, Minn. & Omaha_.r
julutli, Missabe & Iron Range
Juluih, South Shore & Atlantic.....
«alone, loading of live stock for the week of Aug. 22 totaled 11,131
increase of 1,135 cars above the preceding week, and an
; cars, an
;
increase
2.257
of
Forest
above
cars
the
corresponding week
the corresponding week in 1941.
Ore loading amounted to 85,997
:
below
.
the preceding week,
week in
corresponding
Coke
but
1941.
an
above
cars
'Y'SY11''
cars,
/■■■;
decrease of 2,427
a
increase of 8,978
cars
*vY
cars
above the
:
T
.
Five
weeks
of
Four
weeks
of
January_.i_'_^,_-i-.i—
February.—.—.
I
Four weeks of April....—
!
Four
weeks of June..
Four
weeks
'
weeks
of
of
of
Aug.
Week
of
Aug.
Aug. 15...
Aug.
29,633
27,219
27,666
5,981
Bay &
...
Western..
bake Superior 6c, laiipeming.
Minneapolis & St. Louis.:
Cub
;.
Minn., St. Paul & S. S. M
t
Northern Pacific
Spokane
International
Central
....—
Western
3,215,565
&
Eastern
3,122,773
2,866,565
2,465,685
3,171,439
3,066,011
2,489,280
Denver & Rio
LOADED
FREIGHT
OF
^
7
■
/
V
AND
District—
'
■'TvV^'
■'
&
Lackawanna
•
869,404
899,788
761,103
Southern Pacific
20,2y4
19,192
14,666
11,480
10,701
•:
_
1,228
1,323
922
735
632
13
11
7
0
32,598
31,022
25,477
10,889
7,372
340
369
294
1,811
1,650
16,423
17,638
14,957
15,182
11,945
656
466
352
3
10
Gnion
Pekin
Peona
Pacuic
.....
...
(Pacific)
&
Western..
....
System.^.—.
b.u—u.
Western
Pacific._ub.fi_.
Southwestern
1,491
1,213
'
'
1942
1941
1,350
.
,■
10,923
Lines.......:
/
289
2,703
13,525
16,361
14,954
2,613
2,379
379
2,329
26
51,892
41,985
55,398
12,361
9,550
21,092
.
1,224
2,421
2,326
15,989
13,980
331
1,654
1,600
,7,905
8,667
7,460
9,601
9,266
5,784
5,872
715
■'
579
420
369
304
1,023
3,310
2,662
659
657
996
,,1,218
6,161
6,235
5,329
13,152
10,222
.5,979
3,946
5,022
4,470
& Lake
160,187
.181,618
151,319
228,558
208,221
Erie—.—___—..—:
;
& New
W. & N.
—
u
—
Ohio...
&
41,755
,42,807
35,031
Lake
&
Creek
&
•v
i—
Erie
Indiana
:
1
Cornwall
•
273
R'. of New Jersey.——
330
1,952
1,843
7,438
9,104
-
6',033 '
6,725
6,559
Gauley
608
722
252
305
320
'
.Cumberland
Pennsylvania—
&
Ligonier Valley
Long Island..
Penn-Reading
Pennsylvania
133
126
i;i28
984
j
♦Previous
week's
—h——
Seashore
Lines—
System
Reading
Co
.Union
(Pittsburgh)
.Western Maryland
—
...
Totai
1,053
1,089
26,883
22,430
2,569
2,537
3
0
16
1,647
13
6,801
19,828
688
6^
74
237
12
'43
»
93
^78
37
3,731
16,031
S
47
3,222
1,884
2,132
1,598
2,249
2,101
83,484
90,097
70,479
65,681
58,155
14,145
18,193
14,528
21,033
19,301
4,033
4,642
198,096
185,395
28,283
23,789
19,332
7,322
6,1°3
3,608
13,769
8,974
161,683
171,495
144,703
'
Pocahontas
District—
Chesapeake
& Ohio—
Norfolk & Western
J.L.
—
—
■<
———
——
23,170
2l\249
25,883
13.707
13.161
21.377
25,316
21,300
6,727
6,276
4,305
4,526
4,759
1,973
1,763
•51,942
22,407
21,200
•V
'59,091'
current
AND
week
1,686
3,088
2,05',
2,57,
226
1,125
1,054
2,940
2,83.-.
3,727
2,535
1,922
2,121
1,971
287
372
385
1,121
1,42,
697
849
.4:504
217
29£
205
161
152
343
37/
4,769
4,031
17,268
13,978
■.
5,342
3,72/
20,664
12,501
•,
61
129
59
237
142
9,580
8,852
7,100
8,397
5,670
1942
1942
1941
Week
Mills
448
5,836
3,326
2,707
2,215
448
464
Production.
262,418
300,809
269.448
276,879
: / 312,564
285,021
Orders
267,616
268,860
275,596
Softwoods
Order3
Office
it
Price
4,162
mum
4,48S
sumer
134
114
118
28
50
18
*30
62
47,899
63,838
46,893
the
to
us
of the total in¬
dustry, and its program includes a statement each week from each
member of the orders and production, and also a figure which indi¬
activity of the mill based
advanced to equal 100%,
are
shoe
on
so
the
time
operated.
These
that they represent the total
revised
the
Production
Received
Tons
Tons
Ordzrs
Percent of Activlti
Remaining
Tons
Current
Cumulattvi
1942—Week Ended—
Apr.
11____.
Apr.
18
Apr.
25
2
May
,
;
■;
...
,
.
l
l
9.^:.'r~~j
May
....
May
23-_-_.
May
June
30___. ^i...
June
13
........
6—_
.....
June
20
June
27____
;
.....
169,249
436,029
100
145,000
153,269
428.322
93
101
129,834
153,442
404,199
94
101
139,026
156,201
388,320
93
100
135,273
152,569
371,365
90
130,510
143,427
360.221
86
119,142
141,745
336,530
82
120.224
140,650
316,443
81
.
101
99
99
.
98
97
113,059
132,901
288,516
77
96
110,226
120,374
283.390
69
95
115,300
125,016
274,512
72
94
98,766
117,924
248,594
69
93
104.178
120.359
231.368
72
92
July
4_
94,257
100,337
223,809
59
91
July
11.
92,481
77,996
236,538
52
90
103,559
114,917
July
18
hold
maximum
try
generally
with
ment
226,341
71
90
at
the
.
Associated Press
mission
bagging,
by
the
new
repair
and
basis,
as
car
of transportation
equipment,
sand - blasting
and
steam cleaning of buildings."
loading,
rental
89
121,035
208,769
75
88
Aug.
15
120,262
122,735
208,206
73
88
ices
went
into
Aug.
22
124,763
119,299
213,890
74
87
the
third
step in
The
price ceilings
of over-all
to
in
orders made for or filled stock,
orders.
quote:
on a custom
and such industrial services
114,969
prior week plus orders received, less production, do not
we
selling, grinding, mixing,
fumigating
and
sam¬
8
Note—Unfilled orders of the
agree¬
pricing
From the
pling of grain
89
necessarily equal the unfilled orders at the close. Compensation for delinquent reports,
and other items made necessary adjustments of unfilled
in
same
automobiles, bicycles,
business
machinery,
store
and
kitchen equipment; development
and printing of photographs; such
consumer services as shoe repair¬
ing, dry cleaning, hat blocking
and cleaning, picture framing, re¬
pairs to radios and knife sharpen¬
ing; such agricultural services as
repair of farm machinery, com-v
74
_■
for the
of
76
;
-
include
219,700
Aug.
rates
covered
213,443
j...
prices
methods used in March.
120,982
;
controlling
$5,000,000,000 retail service indus¬
125,653
1
time issued
quires firms offering the services
to
112,513
25
living."
61 groups of serv¬
revised regulation re¬
119,023
July
Augr,
con¬
"little
of
The
rental
Vn/illed
May
price
ices.
same
regulations
regulations
REPORTS—ORDERS, PRODUCTION, MILL ACTIVITY
161,888
of
shining, watch repairing,
"Services
a...,
had
cost
Among the services for whiefcr
price ceilings have been removed
industry.
4
25
that
horseshoeing, etc.
The members of this Association represent 83%
Apr,
Adminis¬
on
Regulation
services
relation
are
figures revised.
Price
Aug. 13 that
exempted from the Maxi¬
had
4,525
23
of
tration announced
*5,212
59,260
15,134—119
For 25 Retail Services
The
7,007
52
14,525—114
Price Ceilings Removed
3,564
70,235
101
12,726—100CJ
252,482—101
8,40.9
We
figures
1942 Week
249,692—100'
7hinments_- 262,354—105
3,872
Paperboard Association, Chicago, 111., in relation to activity in the
paperboard industry.
the
Hardwoods
361
...
Production.
4,689
,
Previous
Wk. (rev.)
Shipments-
11,527
Weekly Statistics Of Paperboard Industry
give herewith latest figures received by
from the National
cates
HARDWOODS
Week
The OPA at the
.
53,852
2,452.
figure.
'
'
.
173
2,102
W._.u—.
Period
510
155
236
.2,726
....
—
>
785
3,334
72,303
'2,874
17,388
Orleans
Pacific...—
&
'
688
3,955
89,689
312
Orders
i>
Allegheny District—
'
4,912
Francisco....
Note—Previous year's
472
v
••5,719
379
2,727
5,896
Lines_.^."„_h_
__^h„u.".
St. Louis Southwestern..
30
V
•V.
ft, 184
•
Pacific.....
Louis-San
6t.
6,349
,
19
847
3,781
2,134
t^uanah Acme & Pacific
52,244
16,452
5,851
357
4,415
2,894
Arkansas..
Missouri-Kansas-Texas
38
481
1,075
gross
Hardwoods
the
SOFTWOODS
378
'
1,210
■
ago;
less.
and
for
18%
were
year
ended Aug.
2,444
/
7,174
'
Record
orders
a
28%
were
(.'
2,535
933
5,695
105
u.u:.
Weatherford M.
377
5,767
h—
3,536
8,046
.
'
15,711
3,495
4,953
•175
...
''8,712
8,401,
2,004
,
:__l_Cu.
;
1,290
8,712
9,337
Dcks
than
/
733
Wiciiita Falls & Southern..
10,808
7
&
Texas
2,537
2,432
Missouri
Texas
15,002
6,458
Valley
83
194
3,233
;
1,214
1,745
Midland
8,631
1,792
2,227
49,210
1,948
109,040
Island
Lines....
Coast
Missouri
2,634
2,436 '
187
6,176
2,139
129,310
Litchfield & Madison:
260
2,458
2,276
—
I..—..—.
2,235
131,001
Kansas City Southern
Louisiana & Arkansas_._._._._._.u__
191
10,412
to
on
1S42 Week
District—
Kansas, Oklahoma & Gulf___u.
2,168
9,020
Unfilled
eater
Mills
Gulf
65
15
,
20
Pacific....
.' 192
-
25
Union
'
868
723
&
84
.
4,455
Western
2,509
:
1,627
5,774
Peoria
13,235
345
1,970
North
1,917
4,913
648
5,065
727,07?
13,713
15,583
862
3,747
743,050
1,448
.312
913
4,0 77
orders
Aug. 22,
1942, compared with 44% a year
Softwoods
12.
7,239
4,675
.
2,941
800
1,730
11,919
3,944
83
1,292
157
;
2,480
379
9,090
1,895
3,067
1,622
\ .861
1,442
1,04.
10,704
2,469
1,011
Connections
,
612
11,242
—
838
11,441
International-Great Northern
1940
14
2,209
12,281
1,969
916
■
2,423
13,580
1,102
Received from
-
2,379
12,814
1,390
1,533
Akron, Canton & Youngstown—
Virginian
63
Northern
,-T
,
90
2,015
5.953
_.U—'•
&
521
Nevada
ENDED AUG. frl
10,198
—
*
Central R.
656
Western
STATISTICAL
Cambria
629
Missouri-Illinois
FROM CONNECTIONS
417
Total
Buffalo
3,173
717,927
22,686,143
26,814,819
8,433
......l...———1.,—
Bessemer
8,403
4,886
72%
thousand board feet:
""5,612
River—
Central
.Baltimore
12,351
3,028
unfilled
was
2,822,450
•
'
j
18,176
3,343
of
1,136
320
_
Wheeling
22,608
3,522
ratio
stocks
2,15'.
7,053
;N. Y., N. H. & Hartford—
New York, Ontario & Western.—
New York/Chicago & St. Louis..
-N. Y., Susquehanna & Western...—;
; Pittsburgh & Lake Erie...
,Pere Marquette....—
Pittsburgh & Shawmut:,.—
Pittsburgh, Shawmut & North...
Pittsburgh &'West Virginia—
'
23,087
The
CT-Oss
1,771
9,972
Central........——_.T_—'
Rutland
63,268
2,082
411
England—.._______
.
•■'Wabash
65,835
894
7,501
dhore Line—
Hudson
New
York
138,048
1,759
6,238
Western.....
Monongahela
.■,Montour,
-New
152,151
734
878,505
24
Lehigh" Valley.:
Maine
151,703
1,979.
...C._
Ironton
&
Toledo
Trunk
&
Supply and Demand Comparisons'"
42 2
2,543
1,077
& Western...
Hudson.
Toledo
'Lehigh &
5,373
679
3,133
688
-
•Lehigh
5,219
14%
1,225
890,337
563
Mackinac..!
&
11,917
were
above production.
2,006
868,845
972
Delaware
Detroit
13,639
Lalce.^
Salt
849,752
,1941
Vermont
Delaware,
; Grand
11,826
22% above pro¬
was
duction, and shipments
2,896,953
&
883,022
321
Indiana————.—..—....
.Detroit,
3,451
pe¬
1942,
fort Worth & Denver City...
Denver
3,413,435
1942
...—...
Maine..
&
3,457
of
Illinois Terminal
.
L—iL,;
& Aroostook—
Detroit
8,360
1941
weeks
2.495,212
833,528
RECEIVED
of the
33
3,351,840
3,321,568
•,
the
3%
4,160,060
Total Revenue
•
Chicago, Indianapolis & Louisville...
;
8,561
.7
for
was
2,793,630
Freight Loaded
*
7,804
the
business
new
744
362
_h.
........
Grande
3,510,057
CARS)—WEEK
:
Arbor..—
Central
2,248
825
1942
22, 1942, for the cor¬
responding week a year ago, and
for the previous week/follows in
Total Loads
Railroads
Central
85
2,248
2,143
...
Illinois
& Southern
3,385,769
„
(NUMBER
■*
55
2,356
259
....
of
orders
For
;o.
Burlington & Quincy
Illinois Midland...
Burlington-Rock
&
491
3,028
2,415
3,204
Rock Island & Pacific...
.
Boston
638
3,083
District—
&
Colorado
22———.11—
REVENUE
Bangor
above the
1,779
Garfield
&
weeks
corresponding
weeks
of
1941; shipments were 6% above
the shipments, and new orders 7%
riod.
4,58.
262
Uch., Top. & Santa Fe System
Bingham
33
171
,
2,717
.....
Mton
railroads and systems for the week ended Aug. 22, 1942
During this period only 51 roads showed increases when compared
with the corresponding week last year.
y.
.
452
555
10,04
2,633
...
Spokane, Portland & Seattle
The following table is a summary of the freight carloadings for
.
260
160
3,454,409
—27,833,102
Eastern
4,926
398
912
the separate
Ann
4,504
10,379
Otali
Y
4,550
21,540
756
i'oiedo,
j
4,440
24,671
1,182,
first
production
below
4.037
31,213
547
3,858,273
4,170,713
8—
Week
Total
3,375
10,705
9,802
Chicago,
Chicago
Chicago,
Chicago
3,351,038
—.
July.;
Week of
of
3,161
10,470
540
1940
May_.-...i-—
.Week
•
2,622
20,825
1,629
1941
'
"
Five
3,083
25,223
10,439
1942
•'
.;Four weeks of March—
'
2,491
21,649
566
Northern
Reported
13,775
loading amounted to
,
•
14,254
10,871
Great
.
•
21,033
......
■
14,003 cars, an increase of 303 cars
above the preceding week, and an increase of 1,062 cars above the
corresponding week in 1941.
All districts reported decreases compared with the correspondVing week in 1941, except the Centralwestern and Southwestern but
ail districts reported increases over 1940.
23,103
Dodge, Des Moines & South......
Hlgin, Joliet & Eastern.....
Ft.
Green
products loading totaled 52,030 cars, a decrease of 2.567
below the preceding week, but an increase of 1,561
/cars
;
1941.
in
22,588
...
109).
these
on retail serv-.4
on July 1—
the application
effect
price control (referred
columns July
9, page
THE COMMERCIAL &
824
Thursday, September 3, 1942
FINANCIAL CHRONICLE
selves
Increased k\ Hew Record Rate In 1941
Capital invested in manufacturing in the United States increased
Miller, a Vice-Presi¬
Bank of New York,
Robert E.
the
of
war
of $62,200,000,000, but$
the vast expansion of factory plant
and equipment authorized under
the war program will bring the
total into new high ground during
not be
long illness in application, as well as attainment.
It has been estimated that there
the Harkness Pavilion of the Co¬
lumbia-Presbyterian Medical Cen¬ are more than 3,000 women work¬
ter. He was 57 years old. A native ing in Chicago banks who were
of New York City, Mr. Miller be¬ not in the banks a year ago, and
who are called upon to take over
gan his banking career as an em¬
ployee of the
Fourth National quickly positions which normally
Bank of New York.
In 1907 he require long service and training
after
died Aug. 29
a
joined the Bank of New York and
after serving in various depart¬
ments
of
its
organization
was
elected a Vice-President in 1919.
ures.
worker
per
a
Rave
and
to
of the ordinary
save
the
Francisco, various parts of
in San
In 1899 Mr.
China and New York.
Green
transferred to the
was
con¬
had reached its head did the flow
System, has converted into
national bank under the title
serve
a
Temple National Bank,
d
joined the International Banking
Corporation as manager of its Ja¬
panese branch and in 1909 estab¬
several branches in China.
lished
followihg
The
year
York
New
came
Mr. Green be¬
Manager
of the
corporation and in 1912 was made
General
and
President
Manager.
After the absorption
of the Inter¬
national Banking Corporation by
City Bank, he was
Vice-President of the
National
the
elected
a
organization and was placed
in charge of the Far Eastern divi¬
latter
He retired in 1931.
sion.
Bankers
invested continued to
one
of the Canadian banks which
1937 than at the trough of the de¬
has
expressed its intention to con¬
P.
ability
"4. Any plan for ■ student war
American
training must take into considera¬
$500,- tion the possibility that the Selec¬
netted by tive Service Act may be amended
so
"5. All those
colleges, universi¬
professional and technical
schools assuming direct responsi¬
bility for the training of students
for war
purposes must be pre¬
pared so to readjust their instruc¬
tional programs and procedures as
to enable them promptly and ef¬
ficiently to meet the new and
varying needs of the war ends. '
ties,
"6. Throughout
profits
over
plus
margin
or
which
paper
four
should
has been
Co. Inc., New
He attended
Paris.
College,
Honor by the
that the increased ex¬
says
tax
which
leaves
corporations with
banks like other
70%
only
of their average earn¬
four-year standard
period is obviously responsible for
ings
for
general
the
cuts
in
and
was
a
French Government.
Grace
de
Co.,
Havre
Banking
de
Grace,
Md., has been admitted to mem¬
bership in the Federal Reserve
The bank is in the Fifth
(Richmond) Federal Reserve Dis¬
System.
trict.
Chicago
The
Clearing
of
tion
system
a
of
honors to the students
stitute of Banking, for
achievement in the standard study
course.
For
the
purpose
of
en¬
couraging completion of education
in banking studies at the A. I. B.,
the Clearing House is recognizing
special problems created for
personnel by current condi¬
tions and providing direction for
the bank people of the Chicago
the
bank
•
especially for those newcom¬
ers
in banks, who, through the
emergency created by the draft of
area,
for war, are called up¬
take over exacting and re¬
manpower
on
to
sponsible duties, in order to keep
system
with full efficiencv.
our
.
banking
The
added:
year
16
functioning
system established
any
of
dollar vol¬
that
this
ume
of thrift than had been pre¬
greater
was
experienced by a great
of the managers of these
and home financing insti¬
for any similar
period of
time.
dividend
on
funds
total amount
and
pays
of War Stimson an¬
Aug. 27 that the max¬
age for skilled
Secretary
nounced
this
on
enlistment
imum
ing
placed in reserve to¬
with premiums paid for
treasury
tice
stock,
issued
has safeguarded
to
not only the
position of the bank's depositors
but the shareholder's investment
as
-
remained
8%
lower
in
than in 1929 and fully 15%
after
adjustment for
population.
The
1941
lower
per
its
low
On
More Conventions In NYC
the
There will be 33%%
merce
more con¬
of
Asked at his press
whether
a
the
of
shortage
said
Mr.'. Stimson
the
a
big
army
and
it
prudently
manpower."
about $5,600 in
men
and Industry Association of
New York. These additional meet¬
move
indi¬
going about
not to waste
added that "if
as
He
will, be
they
equipment, plant and other oper¬
have
been
ically.
ber's conventions in New York.
the
the
increased
reasons
set forth for
number
is
the fact
that several groups
of
superior
hotel
have, because
transportation
and
facilities, moved their an¬
conventions to New York
City.......
-
required for
effort, financial assistance
war
be made
available to per¬
training."
Resigns WPB Post
Amory Houghton, Director Gen¬
eral
for
Operations
Production
Aug. 29..
Board,
:
In his letter to
Donald
said
WPB
Chairman
M.
Nelson, Mr. Houghton
was
taking this step to
he
Mr.
save
of the War
resigned on
Nelson
and
the
WPB
from any possible embarrassment
which
might arise as a result of
company's conviction on an
his
anti-trust charge.
Houghton and the Corning
Works, of which he is board
chairman, along with a number of
other glass companies and offi¬
cials, were convicted in Federal
of
violating
Sherman
the
Anti-
Trust Act.
Mr.
Houghton,
a
$1-year-man,
also said that the directors of the
Corning
Works
that
return
the
he
new
were
"insistent"
to
participate in
decisions confronting the
business.
fit for combat duty,
used
for
combat
duty."
was
accomplished
Despite
degree of
One of the
the
Mr. Nelson
accepted the resig¬
nation "with very real regret" and
"a
deep
of disappointment."
sense
each wage earner
will bring 31% more dele¬
gates than attended last Septem¬
ings
."9. To qualified students whose
additional training is
manpower,
we are
so
are
con¬
ruling
new
trying to raise
cates that "we are
these
ating facilities
do not con¬
Federal subsidy to
District Court in Toledo last week
meant
period of armament
average
any
institutions.
assigned to service command or
Department overhead units
where they can release younger
enlisted men for general military
available for
At the same time, Paul V. Mcengaged in man¬
Nutt, Chairman of the War Man¬
ventions meeting
in New York ufacturing last year. Through the power
Commission,
announced
City during September than ' in effective use of labor at high-level that all able-bodied male students
the same month last year accord¬ production the marked replenish¬ in
colleges and universities are
ing to the New York Convention ment and expansion of manufac¬ destined for the armed forces and
and Visitors Bureau of the Com¬ turing assets last year appears to instructed the
youths to prepare
i
template
Mr.
ference
$352 in 1935, months after the up¬
turn in general business activity,
and increased only slowly there¬
after until the
plans for the war
of students
Glass
service.
expansion.
well.
The above
"8.
training
Secretary
them
War
the
reached
It
'Twenties.
desirable.
nor
Stimson said these men would be
make
!
growth
capita
average last year was only $432
as against $512 at the end of the
of
institutions
of
provide for the implementation
of such plans.
program
Capital invested in manufactur¬
been
gether
government
The Board further reports:
a
only $6,000,000, the
of capital issued.
Surplus earnings over dividends
have
expension
utilization
should
financed men in the Army has been raised
alone from 45 to 50 years.
Under the
of capital, rest, and involved additions of $13,500,000,- new War Department ruling men
consisting
000; the accompanying expansion who reached their 45th birthday
profit and loss account.'
from private funds is estimated before Feb. 16, 1942, and who, at
The paid up capital is $6,000,000,
at $3,000,000,000. Only $1,700,000,- the time of application, have not
the rest fund $10,000,000 and the
undivided profits $2,500,000, a to¬ 000 of war plant expansion had reached their 50th birthday, are
been
completed by the end of eligible for
enlistment if they
tal of $18,500,000.
This means the
1941."
have
skills
or
aptitudes which
bank has, all told, $18,500,000 of
the
plan
of 1942-43 to formulate
some of the plans for
the details of
Army Raises Enlisting
Age To Fifty Years
corresponding total
high ground. At
year
specified period of time.
any
mit them to receive that
program
first half of
for
to
1929 peak of
war
mitted to remain in the institution
chasing power, and thus neutral¬
ized in its inflationary aspects,"
said Mr. Cannon.
He indicated
thrift
new
of the
of
student that he will be per¬
the
tutions
close
volume
recog¬
of the war
make it possible to assure
not
any
withheld from the stream of pur'
many
!
will bring the
should
students
demic year
through 1929.
yet equal to its
"7. In order to avoid misunder¬
standing,
savings and loan institutions alone
concrete evidence, of $625,000,000
viously
authorized under the
regular dividends of 10%.
This
rate
represents a yield of
3.24% on the shareholders' funds
nual
for-the
than in
greater
physical fitness of stu¬
dents.
bonds sold to the receipts on
previous years for which
data are available, but it exceeded
by almost $1,000,000,000 the com¬
bined
expansion for years 1925
$62,200,000,000, the vast expansion
of factory plant and equipment
awards and
of the Chi¬
Chapter of the American In¬
distinctive
cago
last
the
not
share¬
holders,
the
average
price
at
which capital stock was issued be¬
House, ing $167.80 per share. This prac¬
through its President, Bentley G.
McCloud, .Senior Vice-President,
First National Bank of Chicago,
announced on Sept. 1 the institu¬
$5,900,000,000
in
the expansion
"Although the total amount of
investment
in
manufacturing is
dividends.
bank
"Financial Post"
The
shareholders'
Havre
Trust
The
be
complete
Furthermore, it should be recog¬
both savings share accounts and nized that it will not be possible
on
loan accounts we have in the prior to the opening of the aca¬
war
Not only was
the
Vice-
Captain in the First World War;
he was awarded the Legion of
and
1941.
sur¬
charges
reserve.
of
increment
years,
a
for 1942 into
Cie,
The
left
all
over
carried to
was
profits
cess
pre-war
1939 inclusive,
1936 to
tinue
Mr. Kennedy
Dartmouth
able to do this because its average
amount to enable the bank to con¬
Assistant
York, for the past year and prior
to that was associated with Mor¬
et
the bank is
dollar
the
"Adding
the net annual increase was
stepped up from $2,000,000,000 in
1939 to $2,300,000,000 in 1940 and
then to an unprecedented annual
Co., New York,
as
with J. P. Morgan &
gan
Post" of Aug. 22,
the preparation
provision
made for securing the
services
wartime
for
do
in new money
was $142,912,000.
net gain
Selective
service, under the
Service Act, to 18 years.
tracts.
for the half year
how¬
1938,
lower, the age of liability
to
as
for
nize that the exigencies
3. The
ever,
According to the Toronto "Finan¬
cial
Following
pression.
regular dividends.
the election of Horton
Kennedy
President.
tinue to pay its
be
war effort, including essential
supporting activities.
ments ahead of schedule and con¬
down¬
move
ward and remained lower in 1936-
Accordingly, with earnings be¬
ing maintained, 7Qi% of pre-war
profits # still
leaves a • sufficient
Trust
announces
-
manufacturing
The Bank of Toronto is the only
Manager.
London, Paris and American Bank
in
San
Francisco.
In
1906 he
in
begin to pick up momentum.
In
the early recovery years the total
,
cern's London branch as Assistant
He left the Hong Kong
and Shanghai Banking Corp. in
1901 to become associated with the
investment
of
should
the
,
later served at the bank's branches
there
forces
armed
the
In presenting its findings made
in its stand¬
commencing available Aug. 28 the Board said: ing to Fermor S. Cannon, Presi¬
dent of the United States Savings
"To satisfy foreign and domestic
Sept. 28, designed to meet the
and
Loan
League.
During the
problems of new employees in demand for armament and related
same period, he cites, the associa¬
banks, in the recognition that ef¬ materials of defense and war has
Harry Thomas Sinclair Green, a
tions have issued to their custom¬
ficient operation of our banks is required
sharp increases in the
former Vice-President of the Na¬
ers
an
estimated $120,000,000 in
essential in our economic life and amount
of
capital
invested in
tional City Bank of New York,
war
bonds.
He points to three
successful prosecution of the war. American
manufacturing. enter¬
died on the Isle of Jersey, in the
salient details of the savings and
Chicago
Chapter,
through
its prises. From 1938 through 1941,
English Channel, on April 29, ac¬
loan inflow of funds:
stepped-up educational program, the total capital invested in the
cording to word received in New
1. New money which came in
as
well as the Chicago Clearing nation's
factories
mounted
by
York on Aug. 28.
Mr. Green, who
from savers and investors in June
House, through its positive en¬ fully $10,000,000,000 to reach $57,was 77 years old, had been living
was $116,834,000,
a fifth again as
hopes to improve 500,000,000.
By the end of last
in the islands under German oc¬ couragement,
much as in the same month of
the working efficiency of a large year just short of three-fourths of
cupation for almost two years.
1941.
■
of the 12,000 people who the $17,500,000,000 shrinkage in
A native of Hong Kong, China, part
2. Repayments on the principal
work in Chicago banks.
the dollar value of manufacturing
"v,
Mr. Green, after being educated
of
home
mortgage - loans
were
assets
from
1929
through
1935
had
in England, entered the employ of
$360,825,000
for
the
first five
The
Farmers
State
Bank
of been restored.
Hong Kong and Shanghai Bank¬
months this year, and a sizeable
Temple, Temple, Tex., a State
"Not until the European crisis
ing Corp. at its London office. He
part of this sum represents pay¬
Federal Re¬
and
not to serve in
are
the most effective contribution to
the
000,000 cash receipts
savings, building and loan associa¬
tions the first half of 1942, accord¬
many special classes
ard
study program
member bank of the
who
citizen is illustrated by the
■■■';■
A
..
instincts
thrift
to
has done both to
stu¬
the armed
for
"3. For those students, men
women,
Large Receipts
war
destined
are
developed through the War Man¬
power Commission plans of guid¬
ance which will help the students
to determine where they can make
Savings Loan Ass'ns
What
able-bodied male
All
forces.
—-
On both a per
basis
capital invested in manufacturing
is
still
substantially below the
level prevailing in the late 'Twen¬
ties, according to the Board's fig¬
and
capita
The A. I. B. will present
in banks.
peak
current year.
the
"2.
dents
the aggregate of capital so invested remains 8% below the
years
1929
given purely on class
grades attained, but will be de¬
cided on the basis of progress and
will
dent
Awards
institutions.
educational
48 years of service.
tired after
for
participation in the war effort and
supporting civilian activities.
'
$5,900,000,000 during 1841, a gain larger than during any of the pre¬
ceding 16 years; larger, in fact, than the combined expansion from
1925 through 1929, according to the Conference Board, New York.
The Board estimates that despite the expansion in recent defense-
Assistant Cash¬ Chicago Clearing House Honor
ier and Manager of the Elmhurst Awards will be radically different
office of the Bank of the Man¬ from that under which honor stu¬
hattan Co., New York City, has re¬ dents are generally determined by
William E. Fee,
must be preparing them¬
active and competent
women,
Capital Investment In Manufacturing
new
the
econom¬
physically and voca¬
tionally. for appropriate war ser¬
themselves,
unparalleled
capital burden entailed in
Mr. McNutt made these re¬
vice.
investment in 1941
marks
pro¬
pared
in
by
releasing a report pre¬
a
special committee on
viding each worker with produc¬
"Utilization of Colleges and Uni¬
tive facilities
versities for the Purposes of
Capital
earner
were
in
at
was
per
wage
President
their
as
in 1929 and 1937,
lowest point
The
in its
immediate cycle of recovery years.
Exchange
Closes For The Duration
The
Mobile
Cotton
Exchange
Sept. 1 for the duration
closed
on
of the
war.
said
that
President G. C. Dixon
unsettled
tions and the
to
world
condi¬
Exchange's inability
export cotton caused the clos¬
ing.
He added that the organiza¬
War," tion, now in'its 124th year of op¬
headed by Dr. Edward C. Elliot, eration, will be kept intact for
not increased.
facilities
1941,
Mobile Cotton
follows:
'
"1
trl
of
Purdue
University.
report's chief points were as
All
resumption of business after the
war.
The Exchange did not close
..stu de n ts,. .ipm. anq during the,last,twar.
@FedFRASER