The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
eview Busin F in a n c e , In d u s tr y , Agriculture, and Trade Fourth Federal Reserve District Federal Reserve Bank of Cleveland Vol. 28_____________________ Cleveland, Ohio, June 1946____________________No. 6 RECENT FINANCIAL DEVELOPMENTS Further Decline in Industrial Deposits T he A pril 1 issue o f this Review contained an analysis o f the ownership o f demand deposits in the Fourth District in which was described the extent to which cash balances o f industrial con cerns had declined during the first six months o f the postwar period to January 31. On the basis o f in formation obtained more Tecently, the contraction has continued since then. Early in M ay this bank conducted an interim survey as o f April 30, o f the IS largest member banks in the District, the results o f which indicated that deposits of mining and manufacturing enterprises at those banks had declined approximately 29 percent since July 31, 1945, to a point considerably below the cash balances held at mid-1943, the earliest for which comparable data are available. In terms o f dollars, industrial cash balances have fluctuated as follows in recent years: Demand Deposits of Mining and Manufacturing Concerns 15 Largest Fourth District Banks (A ccounts o f 3100,000 and Over) July 31, 1943....................................... July 31, 1945....................................... January 31, 1946............................... April 30, 1946 ..................................... 3 979,700,000 1,052,300,000 806,200,000 748,600,000 The depletion o f such deposits at the 15 banks was $58 million during the January-April period. At all banks in the District, the shrinkage since the wartime peak o f last July is probably in the neighborhood o f $400-$450 million. The degree o f contraction was not uniform among all 15 reporting banks. The percentage changes in the three months ended April 30 ranged from an in crease o f 1.9 percent at one bank to a decrease o f 17.0 percent at the other extreme. The median change was a decrease o f 10.4 percent. O f the reporting banks, five are located in Pittsburgh, three each in Cincinnati and Cleveland, two in Columbus, and one each in Dayton and Toledo. The resources of these 15 banks constitute approximately 50 percent o f all member banks in the District. There is significance both in the cause and effect o f this postwar shrinkage o f cash assets o f industrial concerns. During the nine months since the Japanese surrender, industrial enterprises raised substantial sums through the sale o f new securities. Millions of dollars were obtained by borrowing from commercial banks. Cash redemptions o f tax notes and the sale or redemption of marketable Government securities also should have mitigated the drain in cash reserves, as should have the taking up o f unused excess profits tax credits. Effect of Lower Earnings Some o f the decline, which occurred despite these several offsetting factors, is attributable to expenditures for addi tional buildings and equipment and to the payment o f accrued taxes. Some funds were absorbed in the moderate increase in inventories since last October, although according to the latest Department of Commerce reports, manufacturers’ inventories are still noticeably below the record levels of 1943. It is believed, however, that the major cause has been the relatively low rate o f earnings under adverse operating conditions. There is consistency between this trend in cash balances and the scattered dividend reductions and omissions which have come to public notice recently. Until such time as a high level o f operations on a comparatively profitable basis will result in cash accumulation, the demand for loans from commercial banks and the offering o f securities to the public will probably continue. After nine months o f erosion the cash position o f many industrial firms is inadequate to finance a major expansion either o f facilities or of operations. 2 THE MONTHLY BUSINESS REVIEW Effect of Deposit Shifts For the District as a whole the contraction o f manufacturers’ deposits represents largely a shift from one type o f depositor to another. Balances in checking accounts of individuals, and perhaps o f distributive trades, as well as time deposits show gains commensurate with the drop in manufacturers’ deposits. Only a small portion o f the decline in industrial balances represents an outflow o f funds to other Federal Reserve Districts. Thus, banks whose deposits are owned in the main by individuals, retail and wholesale businesses, and other nonindustrial accounts, have continued to gain deposits during the very period when large banks in metropolitan areas were experiencing a perceptible shrinkage. The extension o f deposit growth into the postwar period was not generally anticipated by country banks, nor by many larger banks. It was rather widely assumed that the entire deposit structure would shrink somewhat after the end o f the war. There was con siderable divergence o f opinion as to the amount of probable contraction, and the alleged motivating forces were not too clearly comprehended. But it was taken for granted in many quarters that a sharp re duction in war orders, employment and payrolls would tend to bring about some shrinkage in total deposits. In the case o f most large banks those expectations have materialized, particularly since the turn o f the year. But banks outside the industrial centers (and many o f the smaller banks within large cities) are still gaining deposits. Expansion has continued in those sectors because o f the predominance o f non industrial and noncorporate depositors. As long as this movement o f funds from manufacturing firms to other depositors persists, one group o f banks will gain deposits at the expense o f another. Probable Duration of Trend Although such shifts within the system are far from unknown— witness the historic westward flow o f funds during the crop moving season— the present episode is susceptible to erroneous interpretation. Cash resources o f industrial enterprises are nearer a work ing minimum that they were nine months ago. The decline may have nearly run its course. If so, deposits o f large city banks may exhibit more stability in the coming months than in the recent past. Conversely, if the time is not far off when consumer goods become available in greater volume, both in dollars and in physical quantities, deposits o f indi viduals, distributive enterprises, and other nonmanu facturing deposits may diminish perceptibly. The once anticipated shrinkage may have been delayed by the slow resumption o f many consumer items. Once production approaches current demand wherein dealers, retailers, and wholesalers find it possible to carry adequate stocks, and consumers are not handi capped by shortages o f salable merchandise, the shift o f deposits may turn in the opposite direction. In June 1, 1946 any event, it is unsafe to assume that there will be no postwar contraction in deposits in many areas merely because it has not yet put in its appearance. Effects of Public Debt Reduction In addition to these actual and potential deposit fluctuations, another development o f some consequence is the Federal Government’ s current policy of public debt reduction out o f cash reserves accumulated from wartime borrowing. During March, April, and May, Treasury issues to the amount of roughly $6,400 million were paid off at maturity and retired. Involved were three issues o f certificates of indebtedness, a Treasury note issue, and a small Treasury bond issue: Marketable Treasury Obligations Retired at Maturity (M arch, April, and M a y 1946) Certificates o f In debtedness............ 34,600,000,000 Treasury N o te s .................................... 1,300,000,000 Treasury B on d s.................................... 500,000,000 36,400,000,000 The $4.6 billion o f certificates o f indebtedness retirement represents approximately eleven percent o f the amount outstanding on the eve o f the redemp tion program. The $1.3 billion note issue was less than seven percent o f all Treasury notes outstanding at the end of last February, while the Treasury bond redemption was less than one percent o f all outstand ing bond issues. During the time that the various segments o f the public debt were being reduced by the above per centages, the 41 weekly reporting member banks of this District reported the following changes in their composite portfolio o f U. S. Government securities: Changes in Holdings of U. S. Government Securities 41 Weekly Reporting Member Banks (F eb. 27, 1946 to M a y IS, 1946) Increase Certificates o f Indebtedness Treasury Notes Treasury Bonds 350,000,000 Decrease Increase 3205,000,000 82,000,000 Decrease 19.2% 12.8% 2 .2 % The 19.2 percent reduction in certificate holdings over the three months was nearly twice as great as the decline in the amount outstanding. The 12.8 percent drop in note holdings likewise was pro portionately about twice as large as the amount retired, while with respect to Treasury bonds, hold ings actually increased despite a nominal contraction in total supply. These diverse movements are de picted in one o f the adjoining charts entitled “ Post war Fluctuations in Investments.” Absorption of Reserves The sharp decline in certificate and note holdings since mid-February was both a direct and an indirect effect o f the debt reduction program. Much o f the contraction was due to the act o f cash redemption, but a consider able volume o f certificates, especially near-by maturi ties, was sold to offset a decline in legal reserves. June 1, 1946 THE MONTHLY BUSINESS REVIEW Some were purchased by the Federal Reserve System for the purpose o f supplying needed reserves, and some were taken by nonbank buyers. This pressure upon legal reserves, also a by-product o f debt retire ment, was reflected in Treasury bill holdings which on M ay 1 stood at only 311 million as against a record 3418 million in June 1943 and 365 million on V-J Day. Treasury bills have all but disappeared from the portfolios o f most o f the 41 weekly reporting banks. The virtual nonexistence o f excess reserves among reserve city banks o f this District may also account at least in part for the fact that few corporate and municipal securities were acquired in recent weeks after a rising trend o f several months. On the other hand, holdings o f Treasury bonds, chiefly o f the 6-10 year maturities, increased to a new all-time high. Some o f these bonds were probably acquired from borrowers in the closing out o f collateral loans secured by U. S. Government securities. However, regardless o f the causes o f this concurrent liquidation o f short term securities, and acquisition o f longer-term maturities, the net result was a further increase in the ratio o f Treasury bonds to total assets. On M ay 15, 35 percent o f the total assets o f the reporting banks consisted o f Treasury bonds as against 31 percent two years ago, and barely 28 percent three years ago. Decline in U. S. contrast to these changes Government Deposits lTL t^ie asset structure, the effect o f the current debt reduction process upon the deposit structure appears to have been limited almost wholly to one type o f account. Government deposits at the 41 banks have declined around 3300 million since late February, as shown on an accompanying chart, to the lowest point since before the Eighth War Loan. Concurrently, commercial demand deposits have risen to a new high since December, but the increase has been only nominal. The expansion in commercial accounts has been far less than the reduction in Government balances. One reason is that a considerable portion o f the war loan withdrawals was used in redemption o f securities held by Federal Reserve Banks and by the member banks, which represented a contraction o f bank credit and bank deposits. Commercial demand deposits were augmented only where the redeemed securities were held outside the banking system. Since nonbank holdings were decidedly in the minority in the five redeemed issues, adjusted demand deposits have been inflated only slightly by the process. Moreover, some o f this increase was canceled by the concurrent repayment o f collateral loans secured by U. S. Government obligations. During March, April, and the first half o f May, there was a contrac tion o f 335 million in these secured loans. This liquidating movement— which presumably still has some distance to go— was somewhat instrumental in retarding the rise in privately-owned demand deposits. Time Deposits Rising Less Rapidly Until late in M ay time deposits were the only category to show any net gain over the past nine months. The increase since last August 15 has been 3136 million or about 113^ percent at the 41 reporting banks. Although the trend has been quite steadily upward, and relatively free from fluctuation, savings by individuals are lagging behind the rate in effect a year ago. That tendency is reflected in a third chart entitled “ Time Deposits o f Individuals and Corporations.” By the middle o f M ay in 1945, such savings had increased 381 million from the first o f the year. Over the same period in the current year the accumulation has been only 346 million. Since the lag has been most noticeable in such localities as Akron, Canton, Cleveland, Dayton, and Toledo, it may be concluded that reconversion difficulties o f one sort or another are a factor o f some degree in the modified trend of savings. There is no conclusive evidence, however, that a resumption of the 1945 rate o f increase is imminent. Under conditions o f more regular employment, the rate o f savings might move in the direction o f the wartime pattern. But the availability o f a wide range o f durable goods ultimately may make considerable inroads upon savings balances. Here again is an instance where the trend o f the first nine months o f postwar experience is susceptible to a reversal when full production is attained. Postwar Fluctuations In Investments Postwar Fluctuations In Deposits Fourth District Weekly Reporting Member Banks (Cumulative from August 15, 1945) Fourth District Weekly Reporting Member Banks (Cumulative from August 15, 1945) MILLIONS OF DOLLARS 300- MILLIONS OF DOLLARS 400 250 200 S O N - 1945 tA S T BATE <n.0TTCB-M AY *2 ,1 *4 6 .3 l AST - 1945 DATE PLOTTED-MAY JZ, 1940 THE MONTHLY BUSINESS REVIEW 4 Importance of The only function o f banking Commercial and w hich apparen tly has been Consumer Loans wholly unaffected by the con traction o f the Federal debt is that o f lending. As depicted on a fourth accompany ing chart, commercial loans and “ all other” loans are both considerably higher than they were at the close o f the war. As a matter o f fact, because o f the recent decline in loans on U. S. Government securities, the $76 million increase in commercial loans since last August has become the largest single factor in the growth o f total loans in the postwar period to date. Moreover, since it is likely that collateral loans will continue to decline, the burden o f maintaining, or in creasing, the present loan portfolio falls upon the commercial and consumer categories. The former is entering a period usually characterized by some seasonal dullness, but this year may prove to be an exception. Consumer loans, the chief component of “ all other,” while up 23 percent since last August, are still far below prewar peacetime levels and may eventually move much higher and may be an import ant factor in any further increase in bank loans. Elimination of On October 27, 1942, this bank Preferential Rate in conformity with Federal Re serve System policy, established a new low rediscount rate o f ^ percent for advances to member banks when secured by U. S. Government obligations callable or maturing within one year. The purpose o f that preferential rate was to en courage banks to make more effective use o f their excess reserves as an aid to wartime finance. At that time reserves held by member banks in the Fourth District totaled nearly $300 million, or 43 percent in excess o f legal requirements. The period o f greatest effectiveness o f this low rate occurred during the first eighteen months o f its existence. By the middle o f 1944, Fourth District member banks had increased their holdings o f Treasury bills and certificates o f indebtedness by $800 million, Postwar Fluctuations In Loans Fourth District Weekly Reporting Member Banks (Cumulative from August 15, 1945) June 1, 1946 or an increase o f more than 140 percent. Thereafter, member banks began to exhibit a growing tendency to invest available funds in longer-term Government obligations. In the course o f time this preference for higher yielding securities gradually came to bear upon the broader problems of bank earnings, liquidity, and the general effects o f continued bank credit inflation. With the close o f the war, and particularly in the light o f developments in connection with the last two War Loans, it became apparent that the preferential rate had outlived its usefulness. Access to Federal Reserve credit at such a relatively low cost undoubtedly permitted the use o f com mercial bank credit for speculative operations in U. S. Government securities both by banks and their customers, which in turn resulted in a further ex pansion o f the money supply at a time when the need for monetary expansion had entirely disappeared. On the contrary, inflationary forces have become so strong as to call for a reduction in the money supply as a means o f reducing the upward pressure. In order to eliminate one o f the minor sources of inflationary pressure, this bank along with other Federal Reserve banks, and with approval of the Board of Governors, revoked the }/>. percent pre ferential rate as o f M ay 3, 1946. The effective rate on advances secured by U. S. Government obligations of any maturity is now one percent. At the time this action was taken, rediscounts and advances at this bank totaled around $40 million. Because such borrowings may have a maturity o f as much as 90 days, the effect o f this change in rate may not become fully evident for another two months. NEW MEMBER BANKS The Bridgeville Trust Company, Bridgeville, Pennsylvania Peoples Bank, Science Hill, Kentucky Time Deposits of Individuals and Corporations Fourth District Weekly Reporting Member Banks (Cumulative from January 1) MILLIONS OF DOLLARS June 1, 1946 THE MONTHLY BUSINESS REVIEW 5 THE ASHTABULA INDUSTRIAL CORPORATION Ashtabula, Ohio, provides an interesting case study o f a small community’ s method o f attracting new manufacturers to provide additional employment and higher payrolls for its people. Although the success o f the program has been due largely to the energy and determination o f individuals connected with it, the pattern could be used by other communities. Early in 1941, the owner o f a local automobile agency, and several other business leaders became convinced that the traditional Industrial Committee within the Chamber o f Commerce did not command sufficient resources and freedom o f action to promote effectively the advantages o f the city and to provide inducements for manufacturers to locate there. This small group was also concerned over the continued vacancy of several well located factory buildings. Without a formal organization, or any funds in hand, the Cleveland owners o f the old Aetna Rubber Company plant were approached by this group to determine if they would sell the property which had been idle since 1936. A satisfactory price was agreed upon, and the committee returned to Ashtabula to devise ways and means o f raising the necessary money. After considering several plans, it was determined to charter the Ashtabula Industrial Corporation as a profit corporation with a wide range o f powers to engage in nearly all forms o f activity. Authorized capital was 350,000 divided into 1,000 shares. The charter was granted April 1, 1941. An aggressive stock selling program was launched by the Chamber o f Commerce and within a short time enough stock had been sold to consummate the pur chase of the Aetna plant. Th e entire capital stock has now been subscribed for and paid in full. There are 170 shareholders and none owns more than five per cent of the issue. Numbered among the stock pur chasers are the Chamber o f Commerce, chain stores, local banks, utilities, independent retailers, business and professional men representing nearly every interest in the city. The stock was sold as an invest ment in the future o f the community, and not upon promises o f profits and dividends that might arise from the operations o f the corporation. Organization Each share o f stock carries one vote and the elected officers and directors have been drawn from all walks o f life. The president is the owner o f an automobile agency; the vice-presi dent, a partner in a large department store; the treasurer, the cashier o f a bank; the secretary, a local attorney; and the auditor, a newspaper accountant. The officers are also members o f the Board o f Direc tors. Other directors are the respective partners or proprietors o f a sheet metal company, a bottling company, a retail furniture store, a construction company, a motor parts company, a lumber business. One of the directors is an architect. In order to achieve close cooperation with the Chamber of Commerce, the by-laws provide that the President and Secretary o f the Chamber shall sit with the Board of Directors at all meetings but they do not have an actual vote in the corporation’s affairs. There are no paid employees. Expenses have been kept at a minimum. All business is transacted at the Chamber, or the officers’ places o f business since office space has not been rented. The corporation has no telephone nor printed stationery. The directors meet only when required to approve actions of the officers or to establish or change major policies. As a consequence, they may hold several meetings in a single week and then not again for a month or more. The Corporation has proceeded on the theory that it can function to best advantage when it has some thing definite to show or offer a prospective manu facturer. Therefore, from time to time, it has ac quired or built factory buildings and assembled promising industrial acreages through purchase or options to buy. With these in hand, it can make definite commitments to a prospect as to the terms o f purchase or lease upon which the property is available. The danger of private owners raising the price o f property that is desired for a specific purpose is thus eliminated. Adequate utilities, water supply, sewerage system, and access to transportation agencies can also be guaranteed in advance. Inquiries concerning Ashtabula as a possible factory site are handled and screened by the Chamber of Commerce. If it appears that a tract of land will be needed, or that it will be necessary to provide a building to close the deal, the transaction is turned over to the Industrial Corporation which handles the direct negotiations. The president is given a free hand to do everything necessary to achieve success. In fact, during the past five years, he has devoted at least one-fourth o f his time to administering the affairs of the Corporation. N ot all types o f producers are encouraged to settle in Ashtabula. Preference is shown for companies that will utilize skilled employees to manufacture an end product. At present, companies that will largely employ common or female labor are not encouraged because the primary need is jobs for skilled and semi skilled men. Likewise, if the Corporation will have to provide a building, operations are preferred which will provide a large number o f jobs per square foot o f space provided. 6 THE MONTHLY BUSINESS REVIEW The Record The Ashtabula Industrial Corpora tion’s first action was to ratify the agreement o f its promotors to acquire the Aetna Rubber property which contained 83,000 square feet o f floor space in three buildings, a water tank, and a power house. The plant is served by two railroad sidings. A contractor was employed to repair the roofs of the structures and to clean up the premises. Un needed machinery and boilers were salvaged and sold. The first prospect was the Mercury Equipment Com pany with headquarters in Cleveland which was looking for additional space, but could not use such a large plant. This company, however, agreed to buy a part of the plant and was sold 33,000 square feet o f space in which to manufacture automobile aerials. During the war, a variety o f antennas was produced for the armed forces. Initial employment was about 100 people and during the war reached a peak o f approxi mately 300. Another 3,000 square feet o f space was leased to the Ashtabula Hide and Leather Company for ware house space. On June 1, 1941, the Ashtabula Corru gated Box Company leased 30,000 square feet for five years to be used for paper storage. This latter contract freed an equivalent amount o f manufactur ing space at the Box Company’s main factory, and enabled them to expand their manufacturing opera tions and employ an additional 50 people. June 1, 1946 carried on, and it was agreed to enlarge and modify the plans to suit the needs o f the company in return for a three year lease o f the property. The completed structure contained about 36,000 square feet o f floor space. Since the Corporation did not have sufficient funds in hand to complete a struc ture of that size, a 314,000 bank loan was negotiated with four banks in Ashtabula county in equal partici pation. Rental income retired the loan in 1944. The American Fork and Hoe Company occupied the plant until March 1, 1946 when its lease was canceled. The Industrial Corporation had negotiated the sale o f the property to the Nelson Machine and Manufacturing Company o f Cleveland to expand its production o f popularly priced electrical household items such as toasters, electric irons, waffle irons, and sandwich grills. Initially employment will be pro vided for about 200 people compared with a peak wartime employment as an ordnance plant of about 325. The third venture of the Ashtabula Industrial Corporation involved an old mill built in 1892 by the Ashtabula Worsted Mill Company and abandoned in 1912. The property, although well constructed o f brick and heavy timber, had remained idle since that time except for intermittent use as a warehouse. In 1943 the remainder o f the available space was sold to the Seat Cover Corporation, which is allied with Mercury Equipment Company, and now manu factures automobile seat covers. That part o f the property under lease to the Box Company, was finally sold in 1945 to the owners o f the Seat Cover Corporation, subject to existing leases, to provide needed space for expansion. At the end o f 1945, the Seat Cover Corporation and Mercury were employing 300 people. A manufacturer’s agent of men’ s clothing who de sired to obtain a factory for Brenel Textiles, Inc., for the production o f a high quality line o f men’ s sweaters, was quietly shown the property by the Chamber o f Commerce in late 1944. He expressed satisfaction with it, provided it could be remodeled and obtained on a lease basis. The Industrial Corpor ation thereupon negotiated for the purchase o f the mill and obtained it at a low price in January 1945. Remodeling was accomplished, and sweater produc tion commenced in July 1945 with about 30 em ployees. The Brenel Textiles, Inc., is now planning to take over the second floor of the building to expand operations as soon as additional machinery can be obtained. The second major venture embarked upon by the Corporation was the acquisition in mid-1941 o f a 48 acre tract o f land which had been the site o f the old Empire Steel Company. It adjoins the New York Central Railroad on the northeast side o f town and at the time o f purchase, the old mill buildings were being dismantled by the Sheffield Steel Company of Kansas City for shipment to Houston, Texas. The 10 year lease agreement is looked upon with favor by both landlord and tenant. Annual rental is fixed at 10 percent o f the original cost o f the structure to the Corporation plus 12 percent o f the remodeling cost. Depreciation is being charged off at the rate of 3 percent o f the building cost and 5 percent o f re modeling cost. The lessee has a 9 year and 6 months option to buy the mill and will receive credit for all depreciation charges if it chooses to exercise the option. The officers undertook to erect a modern steel and concrete block factory building on this site in the belief that a satisfactory buyer or tenant could be found for it. When the building was started in Sep tember 1941, it was intended to provide about 16,000 square feet o f floor space. While construction was in progress the American Fork and Hoe Company ob tained a substantial contract to manufacture bayonets for the Army, and needed a factory for the purpose. Negotiations with the Industrial Corporation were Post-War Developments About a year and a half ago, it appeared that the C orporation would no longer be needed to pro mote employment in Ashtabula. The General Electric Company had announced that it would build a $4 to 35 million plant in the city on a 140 acre site that had been assembled, and would employ from 1500 to 2500 people as soon as the buildings could be erected after the war. Since a project o f this size June 1, 1946 THE MONTHLY BUSINESS REVIEW would absorb all conceivable post-war unemployment in the county, the Chamber o f Commerce advised subsequent inquiring manufacturers that the labor supply would be very short and discouraged other new developments. Three months after V-J Day, General Electric cancelled the Ashtabula project because it had acquired government surplus war plants operated during the war and would not now need this additional facility. With the employment picture changed overnight, and faced with a labor surplus o f about 1200 men, instead o f a shortage, the Chamber and the Corpora tion went to work in earnest at the end o f 1945 to obtain new industrial plants, and to broadcast the information that Ashtabula was again in the market for new employers. In January 1946, the Corporation acquired a 20 acre tract along the Nickel Plate Railroad to offer as an industrial site. It also assembled a 60 acre tract on Benefit Avenue, with access to the New York Central. It is on this latter location that Ashtabula’s latest industrial development is now being planned and aggressively carried forward. The Corporation is erecting on 3.5 acres o f this tract, a 12,000 square foot factory for the Fibro Form Corporation which is a new producer of moulded pulp and moulded plastic fibre products. The building will be leased to this corporation and about 50 people will be employed. Despite uncertain building costs, the long term lease provides for an annual rental charge o f 20 cents per square foot o f floor space. The Corporation pro vides the building shell and brings in necessary utilities. The lessee will install necessary interior partitions and special facilities. The lease also gives the lessee an option to buy the property on terms similar to those used in the woolen mill contract. An existing local manufacturer has outgrown his present quarters and the Corporation has sold the company a 17 acre site in this development upon which the company will construct its own buildings contain ing 160,000 square feet and double its present employ ment. T o facilitate the transaction, the Industrial Corporation is buying this manufacturer’ s present plant with 69,000 square feet o f factory area, and as soon as it is vacated will endeavor to find either a tenant or buyer for it. The recent sale o f 26 acres in this plat to the Reliance Electric & Engineering Company o f Cleve land probably represents one o f the Corporation’ s greatest triumphs. Reliance will erect factory build ings containing 120,000 square feet o f manufacturing floor space. Building and equipment costs are esti mated at about # 1.5 million and it is anticipated that 500 employees will be needed. The company will manufacture one to fifteen horsepower electric motors and a prewar development in electrical industrial driving equipment. The Civilian Production Admin istration has approved this construction and work is getting underway. The addition o f this plant should 7 go a long way in absorbing any surplus labor in the Ashtabula area. The Industrial Corporation has donated the neces sary right o f way for a railroad siding to serve the entire development, and the railroad is extending its facilities to these new plants. It also has cooperated with the proper public authorities to obtain necessary street paving, water, sewerage system, and utilities. Land in the tract is sold at cost. It is apparent from the review o f these activities, that an outstanding job has been done in Ashtabula to promote industrial employment. These enterpris ing activities have benefited not only the community but also the original sponsors, for the total net worth o f Ashtabula Industrial Corporation has grown from #47,900 as o f December 1, 1941 to more than #80,000 in December 1945. M ost o f this accumulation has come from rental income. Substantial amounts have been paid as income taxes since operating costs have been virtually zero. All earnings in excess o f taxes have been plowed back into the enterprise and no dividends have been paid to stockholders. In fact, there has been no demand for dividends since the stockholders feel that a larger capital provides greater freedom of action and opportunity for better things to come. The citizens of Ashtabula have shown an aggressive and enterprising spirit in an era when local com munities are all too prone to appeal to the state or Federal Government for aid in meeting purely local problems. It is an adventure in private enterprise, boldly carried on by a group o f men who believe in the future of their community and who are willing to back their judgment with time and privately owned capital. Their work has been rewarded by the estab lishment of new manufacturing enterprises that should provide employment for several thousand people and has made the community problem of the returning war veteran a minor one. Although abundant employment opportunities are apparently assured for the near term, the Corpora tion will continue in business to manage its present holdings and to attract new employers whose activities would be an asset to the city. Officers and Directors o f the Ashtabula Industrial Corporation: Robert S. Morrison, President Theodore F. Carlisle, Vice President R. E. Graham, Treasurer W. J. Webb, Auditor G. E. Carlson Fred J. Knuebel John Laird C. V. Martin C. W. Miner Nelson J. Pinney Charles H. Sanborn Chamber o f Commerce Representatives: M. H. Ritchie, President Castle M. Smith, Secretary-Manager THE MONTHLY BUSINESS REVIEW June 1, 1946 INDUSTRIAL SUMMARY Tire Production Automotive pneumatic casing production appears to be headed toward a new record in 1946. Passenger car tire output in March amounted to 5.3 million units or an increase o f about 16 percent over the short month of February. Truck and bus casing production in March was 1.4 million units, up 13 percent from the previous month. Continued production at these rates would yield about 63 million passenger casings and 16.5 million truck and bus casings or a total o f 79.5 million units. This compares with the total 1941 record out put o f 61.5 million units o f which 50.3 million were passenger tires. First quarter production o f casings this year is compared in the following table with the same periods in 1945 and 1941: — In Thousands— Passenger Truck First Quarter Car & Bus T ota l 1941............................... .......................... 13,750 2,580 16,330 194 5 5,000 5,370 10,370 194 6 14,600 3,850 18,450 Source: T he Rubber Manufacturers Association. While retail inventories o f passenger casings are still very low, the supply situation should substantially improve by late summer or early fall. The truck and bus casing inventory situation is much nearer normal and prices are reported to have weakened in several cities. Meanwhile, the industry is struggling against a wide variety o f material shortages. The coal strike has again reduced the supplies.of bead wire to a hand-tomouth basis. Textiles are difficult to obtain in suffi cient quantity as are casein and resin. Several un authorized strikes in Akron tire plants have also recently disrupted production schedules. Iron and The iron and steel industry has exhibited Steel an amazing ability to maintain produc tion in the face o f the coal famine. Fourth District producers have maintained' a better rate during the past month than the national average. In the third week o f M ay, the national production rate was estimated by Magazine Steel at 49 percent of capacity as compared to Youngstown 43 percent, Cleveland 77.5 percent, Cincinnati 84 percent, and Pittsburgh 40 percent. Current use o f coal and coke stocks, however will probably prolong the period re quired to return to the pre-strike rate o f production o f about 90 percent. The effect o f the coal and steel strikes is reflected in steel ingot production which totaled 17.8 million net tons for the first four months o f this year as com pared with 28.8 million net tons for the same period in 1945, or a loss o f 11 million tons. The steel scrap supply is very tight with steel makers seeking all they can obtain for use when conditions return to normal. Lack o f fuel has also cut pig iron production sharply, causing many foundries to close. The shortage o f finished steel has now reached virtually all steel consumers with adverse effect upon the production o f industrial and consumer durable goods. Machine Since January, machine tool shipments have been maintained at a steady rate between 327 and 328 million a month. April shipments are estimated at 328.1 million, up nearly 31 million from March, according to the National Machine Tool Builders Association. Unfilled orders at the end o f April amounted to 3180.3 million as compared to 3178.1 in January. About 28 percent o f total unfilled orders are for foreign account. T ools The industry has been hampered by shortages of steel and electric motors as well as adverse price ceilings during the first four months o f the year. The latter factor was largely eliminated during April when price ceilings were suspended on six broad classes of the heavier types o f machinery and equipment. A 20 percent increase in manufacturers’ ceiling prices was also authorized for all other classes o f machine tools except manually operated portable tools. Market prices are being adjusted slowly by manufacturers and few have increased prices by the full amount permitted. Iron Ore Movement o f iron ore on the Great Lakes j|s getting away to a very late start this year. Principal factors are abundant supplies now on the docks, continued strikes in some o f the iron ore mines and pits, lack o f coal cargoes for Canada and the upper lakes, and fuel shortage for the lake vessels themselves. The coal strike has reduced the quantity o f iron ore needed and has also shortened the season during which it can be moved. Consump tion for this year is estimated at about 20 percent below last year’ s 75 million tons. Stocks The accompanying graph indicates the estimated stocks o f iron ore at blast furnaces and on Lake Erie docks at the end o f each month for 1942, 1945, and 1946. Stocks on hand closely reflect the seasonality o f the lake shipping season which normally does not get underway until April and ends in November. Enough iron ore to operate the blast furnaces 12 months o f the year must be moved in about eight months. Lake Superior Iron Ore Stocks at Furnaces and on Lake Erie Docks MILLIONS OF TONS June 1, 1946 9 THE MONTHLY BUSINESS REVIEW The accumulated stock at the end o f November, 1942, o f 53.7 million tons was the greatest on record and a result o f the wartime needs o f the steel industry and anticipated record output. As of the same date in 1945, iron ore stocks were about 9 million tons below 1942. In 1945, stocks on March 31, amounted to only 17.3 million tons or the lowest since 1937. They were rapidly replenished, however, and by the end o f the shipping season were comparable to the previous year. If the end o f the war had been foreseen, it is likely that a smaller tonnage would have been accumulated. The coal strike last fall also resulted in a greater movement o f iron ore than anticipated, since lake vessels were kept busy past the normal season by carrying coal to upper lake ports, returning loaded with iron ore instead o f mere ballast. The steel strike this winter reduced iron ore con sumption about 9 million tons below the first quarter o f 1945. This factor, alone, largely explains the present size o f iron ore stocks. office in Cleveland, press reports, and reports from industrialists in this area. IRON AND STEEL Steel and Steel Fabricator— 18^2 cents per hour, national pattern. Steel Foundries— 18}/£ cents on basis o f national pat tern for steel. Steel Products— 12 to 1 8 ^ cents per hour. RUBBER MANUFACTURERS 183^ cents on the basis o f agreements between the union and companies. ELECTRICAL MACHINERY, APPARATUS AND SUPPLIES 1 8 ^ cents national pattern; increases in Fourth District range from 4 cents per hour to $2 a day. VEHICLES AND PARTS Average increases in this area are about 10 cents per hour but several companies have met the national pattern o f I 8J/2 cents per hour. WAGE INCREASES— FOURTH DISTRICT CLAY PRODUCTS By Executive Order (9697) on February 14, it was provided that pending applications for wage increases were automatically approved if they conformed to the general pattern o f wage adjustments that had taken place between August 18,1945 and February 14, 1946. Approval was also to be given wage increases that eliminated gross inequities and substandards of living. Where no general pattern o f wage increase was apparent, higher wages could be approved when found necessary to correct a disparity between the 33 percent increase in the cost o f living, and the in crease in wage and salary rates between January 1941 and September 1945. The process o f adjusting prices to partially offset wage increases was to be speeded up. Pottery— about 10 to 18}^ cents per hour. Structural Clay Products— 10 to 1 8 ^ cents per hour. The Wage Stabilization Office subsequently in cluded additional classes o f wage increases which do not require pre-approval in order to constitute grounds for seeking price relief, and extended the time limit for general pattern adjustments to March 15 to relieve itself o f an overwhelming workload. On the other hand, any proposed wage rate in a new plant, wage changes in the construction industry, or wage changes for agricultural employees subject to control by the Department o f Agriculture, continued to re quire prior approval. Procedures to be followed to obtain price relief were also amplified. Sufficient time has now elapsed to gauge the trend and level o f wage increases that have taken place since the promulgation o f the new policy. National wage patterns have been generally fol lowed in the Fourth District. The fact that the patterns have been modified to some extent, reflects the peculiar characteristics o f each particular area. The following table depicts the pattern which Fourth District wage increases have assumed since V-J Day. The information has been estimated on the basis o f records o f the Cleveland office o f the Wage Stabiliza tion Boards, the regional Bureau o f Labor Statistics GLASS N o patterns established. Increases ranged from 4 cents per hour to 12 percent. Average increase since October is probably around 17 cents. PETROLEUM REFINING 11 cents to 15 percent for companies in the area is typical. National pattern is about 23 cents per hour. OTHER METALS Aluminum— 19 cents per hour, national pattern. Silverware— 15 cents per hour. Metal Products— 10 to 15 cents per hour. BUILDING CONSTRUCTION About 15 cents per hour. FOOD Bakery Products: Cincinnati area only, 12 cents per hour. TEXTILES Rayon mills in Pennsylvania— 5 cents per hour. National pattern for several textiles range from 10 to 15 cents per hour. TRANSPORTATION Akron Transportation System— 12 cents per hour. Cleveland Transportation System— 133^ cents per hour. PRINTING Cleveland only— 15 percent for one commercial print ing shop. Cleveland pressman— about $14 to $15 per week. TELEPHONE Cincinnati only— 17 cents per hour national pattern. Mid-Ohio— three companies— 15 cents per hour. 10 THE MONTHLY BUSINESS REVIEW Juiie 1, 1946 SUMMARY OF NATIONAL BUSINESS CONDITIONS By the Board of Governors of the Federal Reserve System (Released for Publication May 27, 1946) Industrial output declined somewhat in April and the early part o f M ay owing to the coal strike. Em ployment in the economy as a whole, however, con tinued to expand in April. The value o f retail trade was maintained at record levels and commodity prices rose further. Industrial Production The Board’ s seasonally adjusted index o f industrial production declined 2 percent in April and was at 164 percent o f the 1935-39 average. The drop in coal output after April 1 and the resultant curtailment in operations in some industries were offset in part by substantial increases in activity in the automobile and electrical machinery industries following settlement of wage disputes in the latter part of March. Production o f durable manufactures as a group rose 3 percent in April. Iron and steel production declined about 6 percent; decreased output o f pig iron and open hearth and bessemer steel was partly offset by a sharp rise in electric steel production. In M ay activity at steel mills continued to decline as a result o f coal shortages and during the past two weeks has averaged only about 50 percent o f capacity. The number o f passenger cars and trucks assembled in April was 80 percent greater than in March, and there also were substantial increases in activity in the railroad equipment industry and in output o f many types o f electrical equipment. Production o f lumber and stone, clay, and glass products was maintained at the March level, which was above the same period last year. Output o f most nondurable goods was maintained in April at about the March level. Activity at cotton mills declined slightly, owing to reduced coal supplies, but output at other textile mills advanced further. The number o f animals slaughtered under Federal inspection continued to decline sharply in April. Output o f flour and bakery products decreased some what in April and is expected to decline substantially in M ay as a result o f the stringent wheat supply situation. Minerals production declined by a fourth from March to April, reflecting primarily the drop in bituminous coal output. There was also a further reduction in output o f metals, while crude petroleum production increased in April and early M ay. On M ay 13 bituminous coal production was resumed under a temporary work agreement, and during the week ending M ay 18 output was 70 percent o f the pre-strike weekly rate. Value o f construction contracts awarded rose sharply in April, according to reports o f the F. W. Dodge Corporation. The increase reflected a very large expansion in awards for private residential construction to a record level; awards for most other types o f private construction were maintained at recent high levels. Employment Nonagricultural employment continued to gain in April notwithstanding the bituminous coal strike, and unemployment decreased by about 350,000. Manu facturing employment rose by about 400,000 largely because o f settlement o f major labor disputes, and construction employment showed a further large gain. Commodity Prices Price ceilings on grains were increased substantially on M ay 3 and ceilings for a number o f nonagricultural products have also been raised during the past month. Recent price increases for industrial products have usually been between 10 and 20 percent. Recent advances announced for automobiles were smaller than these amounts but they were in addition to price increases made earlier this year. Retail prices o f most groups o f commodities con tinued to show small advances in April and the con sumers’ price index increased one-half percent to a point 3 percent higher than in April 1945. Distribution Retail sales continued at a high rate in April and the first half o f May. During the past four weeks department store sales have been one-third larger in value than in the corresponding period o f 1945. Freight carloadings declined sharply in April, reflecting chiefly the drop in coal shipments. Ship ments of most manufactured products continued to increase until the week ending M ay 18. In that week interruptions in freight service resulted in large decreases in loadings of manufactured products but bituminous coal shipments were resumed, and total loadings increased slightly. Bank Credit Treasury deposits declined, reflecting disbursements in excess o f receipts, and deposits subject to reserve requirements increased during April and the first three weeks o f May. Reserve balances increased less than required reserves, and excess reserves declined to about 700 million dollars on M ay 22. Federal Re serve holdings o f Government securities, which de clined substantially in the early months o f the year, have increased somewhat since the middle o f April. Member bank holdings of Treasury bills, certificates, and notes declined in April and the first half o f May, while holdings o f Treasury bonds increased further. Loans at member banks in leading cities declined, reflecting largely reductions in loans for purchasing and carrying Government securities. In the latter part of April the Reserve Banks, with the approval o f the Board o f Governors, eliminated the wartime preferential discount rate o f about onehalf o f one percent on advances to member banks secured by Government obligations due or callable in not more than one year. The regular discount rate on advances secured by Government obligations or eligible paper remains at one percent. Yields o f Government securities, which declined in the early weeks o f the year, rose sharply in the latter part o f April and early in May. June 1, 1946 11 THE MONTHLY BUSINESS REVIEW Indexes of Department Store Sales and Stocks Fourth District Business Statistics (000 o m itted ) (D a ily A v era ge fo r 1935-1939 = 100 % W ith o u t Seasonal A d ju stm en t A p r. M ar. A p r. 1945 1946 1946 A d ju ste d for Seasonal V a riation M ar. A p r. Apr. 1945 1946 1946 SA LE S: Y o u n g stow n (3) 243 279 269 207 290 229 227 255 221 225 256 236 289 329 284 250 308 287 271 296 255 283 304 271 203 235 192 151 224 194 163 209 175 • 182 201 174 264 290 275 238 292 245 243 268 241 243 282 253 247 256 252 220 274 239 233 260 225 224 255 237 201 217 177 162 200 189 155 195 174 164 189 171 178 174 153 183 168 158 STOCKS: Bank Debits During April F ou rth D istrict U nless A p ril O therw ise Specified 1946 Savings D eposits— end o f m onth: 39 banks O. and W . Pa............................. 21,458,515 R etail Sales: D epartm en t Stores— 98 firm s................. 2 62,105 W earing Apparel— 16 firm s.................... ......... 2,107 Furniture— 72 firm s.................................... 2 4,430 Building C on tracts— T o t a l .......................... 2 68,328 — R e siden tial............... 55 31,024 34 C om m ercial Failures— L iabilities.............. 2 — N u m b e r ................. ............. 3 P ro d u ctio n : Pig Iron— U. S............................ N et tons 3,614 Steel Ingot— U. S....................... N et tons 5,877 B itum inous Coal— O ., W . Pa., E. K y ...................... N e t tons 774 C em ent— O ., W . Pa., W . V a . . . . Bbls. a E lectric Power— 0 , P a . , K y ........... T h ou san d K .W .H . a a N o t available. D ebits reported b y Dayton banks rose to a record high o f 3176 m illion during A p ril, for a nearly 19 % increase o v e r a year ago. T h is was the largest percentage increase am ong the ten m a jo r cities. Toledo debits o f $275 m illion for A p ril exceeded last y e a r’ s total b y m ore than 1 7 % as against a D istrict average increase o f abou t 7 % . Columbus w ith 19 Smaller Centers: F or the fourth con secu tiv e m on th , Zanesville's three banks report the largest percentage increase (4 5 .8 % ) o f all re p o rtin g cities in the D istrict. T o t a l for the three m onths was o v e r 256 m illion, o r a new all-tim e high. Lexington, (K y .) show s the secon d-la rgest percentage gain, and is next w ith a 3 5 .8 % increase. Lorain (I n th ousand s o f dollars) % change 3 m onths % change e nded from from year ago A p r 1946 year ago 214 ,289 ,55 9 + 7 .2 1.8 + 10 L A R G E S T C E N T E R S : A k r o n .............................O h io C a n to n ...........................O h io C in cin n a ti.....................O h io C le v e la n d ..................... O hio C o lu m b u s..................... O h io D a y t o n .......................... O hio T o l e d o ............................O hio Y o u n g s to w n .................O h io E r ie ................................. Penna. P ittsb u rg h ....................Penna. T o t a l........................................ 19 O T H E R C E N T E R S : C o v in g to n -N e w p o r t. K y. L e x in g to n ..................... K y. H a m ilto n ...................... O hio L im a ...............................O hio L o ra in ............................ O h io M a n s fie ld ..................... O hio M id d le t o w n .................O hio P o r ts m o u th ................. O hio S prin gfield....................O hio S teu b en v ille.................O hio W a rre n .......................... O hio Z a n e sv ille ..................... O hio B u tle r............................ Penna. F ra n k lin ........................Penna. G re e n sb u rg .................. Penna. H o m e stea d ................... Penna. Oil C i t y .........................Penna. S h a ro n ........................... Penna. W h e e lin g ...................... W . Va. T o t a l ........................................ + 8 .7 579,730 220,320 1,904,150 3,662,115 1,111,274 493,945 773,642 265,085 179,994 3,807,978 24,697,061 + 6 .3 212,998,233 $ + 3 0 .6 + 4 2 .1 + 1 6 .2 + 1 2 .5 + 3 5 .8 91,821 162,638 74,766 87,000 32,855 74,825 69,639 4 2,937 102.865 51,278 71,116 56,394 63,620 19,840 41.880 17,222 48,039 49.730 132,861 2 196,562 78,661 658.715 1,323.045 404 ,106 176,304 274,558 94,933 62,419 1,427,758 32,214 46,501 25,895 31,596 11,692 25.842 22,953 15,614 36,556 17,972 27,697 19,718 23,090 6,633 14,654 6,142 18,028 18,724 47.519 3 449 ,040 + + 5 .2 5 .9 6 .4 1 .9 +11.0 + 18 .6 + 1 7 .3 + 9 .0 + 0.2 +10.8 +22.6 + 3 4 .6 + 1 7 .5 + 1 4 .2 + 8.2 + 4 5 .8 - 4 .2 + 9 .7 + 1 7 .7 + 2 0 .3 + 5 .2 + 1 1 .7 + 9 .1 + 1 7 .8 1,449,228 57,855 2,767 3,318 75,677 32,296 149 2 -2 4 -1 9 4,424 6,507 -9 5 22,098 966 2,690 Percentage Increase or Decrease S A L E S S A L E S ST O C K S A p ril First 4 A p ril 1946 M o n th s 1945 10 Largest Centers: A L L 29 C E N T E R S .................. +18 +54 +24 +48 +231 +697 -7 8 -6 3 (1946 com pared w ith 1945) In all but three cities, ban k debits were higher this A p ril than a year ago. T h e m argin ov er 1945 contin ues t o be w ider in th e sm aller cities than in the larger m etrop olitan areas. A p ril 1946 35,146,101 M arch 1946 Wholesale and Retail Trade (29 Fourth D istrict Cities) T h e volu m e o f debits has also held well a b o v e last year in a 3404 m illion total for eight banks in A pril. change from 1945 2 1,291,326 - 2 .4 -1 0 .5 + 2.1 - 2 .5 + 1 5 .7 + 1 4 .5 + 8 .3 + 4 .7 + 3 .6 - 1 .4 + 1 .1 + 2 7 .7 + 3 .9 + 1 5 .4 - 1 .3 + 3 0 .5 + 8 .3 +22.1 + 2 7 .1 + 6 .5 +11.8 - 4 .4 + 4 6 .1 - 3 .1 + 1 1 .7 + 1 7 .4 + 1 6 .3 - 2 .4 + 0 .9 + 1 0 .9 + 1 0 .0 D E P A R T M E N T S T O R E S (98) A k r o n ............................................................................... ......... + 3 6 C a n to n ............................................................................. ......... + 3 9 C in cin n a ti................................................................................ + 6 1 C le v e la n d ................................................................................. + 5 3 C o lu m b u s ................................................................................. + 5 2 E r ie ................................................................................... ......... + 3 5 P ittsb u rg h ...................................................................... ......... + 6 3 Springfield...................................................................... ......... + 4 3 T o le d o ....................................................................................... + 4 4 W h e e lin g ......................................................................... ......... + 5 4 Y o u n g s to w n ............................................................................ + 5 5 O ther C itie s................................................................... ......... + 5 4 D is tr ic t............................................................................ ......... + 5 4 +12 +12 +27 +21 +23 +13 +29 +13 +14 +25 +18 +25 +22 +11 a +16 +21 +13 +14 +14 a +20 +23 a +7 +15 W E A R I N G A P P A R E L (16) C a n to n ............................................................................. ......... + 3 3 C in cin n a ti................................................................................ + 4 9 C le v e la n d ................................................................................. + 8 4 P ittsb u rgh ...................................................................... ......... + 9 1 O ther C itie s ................................................................... ......... + 3 5 D is trict............................................................................ ......... + 6 0 + 2 + 7 +28 +21 + 6 +14 + 4 —21 — 8 + 4 + 3 — 3 +41 +53 +38 +51 +76 +49 +54 +71 +61 +51 +5 +30 +23 +30 a a a a +27 +23 +46 + 4 +39 +18 a a + 8 +24 +20 +40 — 3 +16 +58 a a a +38 + 8 +36 +17 +21 +10 -4 4 a a +64 +97 +16 + 6 a +14 a a +37 —65 a +72 a a +48 + 8 +16 F U R N I T U R E (72) C a n to n ............................................................................. ......... + 3 6 C in cin n a ti................................................................................ + 4 3 C le v e la n d ................................................................................. + 4 0 C o lu m b u s ................................................................... ..............+ 5 5 D a y t o n ............................................................................ ......... + 7 6 P ittsb u rg h ...................................................................... ......... + 4 0 A llegheny C o u n t y ............................................................... + 6 0 T o l e d o .............................................................................. ......... + 6 0 O ther C itie s ............................................................................. + 5 3 D istrict...................................................................................... + 4 8 W H OLESALE T R A D E ** A u to m o tiv e Supplies ( 6 ) ........................................... ......... + 5 5 Beer ( 6 ) ........................................................................... ......... + 3 C on fection ery ( 5 ) ........................................................ ......... + 4 9 D rugs and D rug Sundries ( 4 ) .......................................... + 2 0 D ry G oods ( 3 ; ...................................................................... + 3 0 E lectrical G oods ( 4 ) ................................................... ..........+ 5 2 Fresh Fruits and V egetables ( 1 3 ) ......................... ......... + 5 G rocery G rou p ( 3 5 ) ............................................................. + 3 3 T o ta l H ardware G rou p ( 2 1 ) ................................... ..........+ 2 4 G eneral Hardware ( 5 ) .....................................................+ 4 6 Industrial Supplies ( 7 ) .......................................... ......... — 7 Plum bing and H eating Supplies ( 9 ) ............... ..........+ 2 5 Jew elry ( 8 ) ..................................................................... ..........+ 5 0 Lu m ber and Building M aterials ( 4 ) .................... ..........— 3 M ach in ery, Equip. & Sup. (exc. E lect.) ( 4 ) . . . — 2 M eats and M eat Products ( 3 ) ............................... ..........+ 9 0 Paints and Varnishes ( 5 ) .......................................... ..........+ 5 0 Paper and Its Products ( 5 ) ................................................+ 7 T o b a c co and its Products ( 1 4 ) .........................................+ 4 8 M iscellaneous ( 1 8 ........................................................ ..........+ 2 6 D istrict— All W holesale T rad e ( 1 6 1 ) .................. ..........+ 2 8 * * W holesale data com piled b y U . S. D epartm en t o f C om m erce, Bureau o f the Census. a N o t available. Figures in parentheses indicate num ber o f firms re p o rtin g sales.
@FedFRASER