The Iron Age 1917-12-20: Vol 100 Iss 25

STABLISHED 1855 VOL. 100: N gS Full Steel Production of First Importance Trade Commission Makes It the Chief Fax ip y tor in Price Fixing—Contract Abrogatior ; Not an Issue—Pomerene Bill Will Wait { WASHINGTON, Dec. 18 The Federal Trade Commis he omy loes not intend to be held responsible for the t dos nsideratior f some 8.001 t sheet failure of the War Industries Board t evise the “The meeting with the steel produces a : schedule of controlled prices of iron and steel whic! was he pursuant t the general practice f the econ will expire on Jan. 1. In order that the war board mis P to the finding f its costs upor mbe may have the matter entirely in its own hands ex ment ppe ( ind othe ommoditic each traordinary efforts have been made to complete the nstance the mmis ha 7 o with the investigation of costs undertaken in August, and th industrv involved f ritical d ssi f it final report, based on data covering conditions in the before ibmit ¢ the results to the pr od dustry up to Oct. 31, has been finished and will be The meeting with the steel men wa e purp transmitted to the board forthwith. Notwithstanding f genera \ th reas ‘ the expeditious manner in which the commission ha lecrease tra ths « s completed this important work and the fact that its June and July 1s of ene} haracte | i ost sheets were submitted during the past week to the tation was ¢ opined tho : accounting experts of a number of the largest of the lust Y } steel manufacturing concerns, the impression is gaining to costs he records or any othe it strength here that there will be no important revisio: tions affe } ‘ } f of the existing schedules on Jan. 1. It has also become t tha an absolute certainty that the Pomerene steel contro “1 ; Steadily Rising Steel Costs bill cannot become a law by Jan. 1 and it is more thar likely that it will not reach the Senate before February \ he result opments the det : even should the Committee on Interstate Commerce have not yet been fu i osed, the mn ! ew : lecide to report it favorably. oncerning seve! nase tne tee] price |! ; The session between the trade commissioners and lestion Ni nae mport I the chief accountants of the steel men held on Dec. 14 the compiet r it t sneets en GQ) the Octobe proved fairly harmonious. There was no discussion eturns obtaine expert Che ta ga e : whatever of prices and very little concerning the effect yy the con now stead mounting : li which the cost findings of the commission’s experts productio1 t nth, throughout the eriod Hi might have upon the standing schedule promulgated ir from Apri late and covering | t ever id September. In order that there might be no misunde! ten f expe! ne exceptiol ws = H standing regarding the purpose of the meeting ar 4S nonintegrate er nave be¢ ‘ ‘ i especially that it might be fully comprehended that n it controlled price © the Sepremn — i extraordinary efforts are being made by the commissio1 ied hese increases have not bee Hi to bring about a revision of the existing prices, Con months nor have tl ff aul rn re i missioner Davies made a formal statement regarding iucer 5 e pepten ‘ ontro i the conference xercised an important fluence upen all prod Commission’s Meeting with Steel Accountants. te te sii di esti: Ghai: Witin ite §) ‘The Federal Trade Commission,” he said, “upor plaint of the small “spread” between pig and plates and fy the direction of the President, made an exhaustive hapes, nevertheless the influence of the fixed prices ha investigation into the costs of production of iron ore, been potent In its report to the War Indu es Boar coke, pig iron, steel and numerous steel products for the commission will freely acknowledge the general uy the first half of the year 1917, including the months ward tendency of costs since last spring Whether it of June and July. These cost figures were furnished will attempt to draw any conclusions therefrom remai! ; to the War Industries Board for consideration in con- to be seen, although the commissioners assert ver nection with the agreement on prices which the War positively that their function has nothing whatever t& ; Industries Board made with steel companies early i do with price fixing and that their reports as t ost the autumn, and which prices under that agreement are absolutely colorless and made without accom; were to continue until Jan. 1, 1918. The commissio ing suggestion of any kind ' ontinued its investigations of steel costs sinc Another development in the situatio rked ; that time. The most recent available records at the change in the commission's attitude with respect to the present time are for the month of October, which were reasonableness of the schedule of controlled prices pre generally available until the end of November mulgated in Septembe Up to a very recent date these : 1469 1470 figures have been sharply criticised by members of the commission, not only as being too liberal but as not being justified by the costs of production as determined in the commission’s preliminary report transmitted to the President and laid before the War Industries Board as the basis of its original conferences with the steel men. One member of the commission recently expressed the opinion that the commission’s figures were wholly ignored by the War Industries Board and that the steel scored a decided victory in the contest with the The suggestion was also made that the relation men board. of prices in the September schedule was distinctly fa- vorable to the big producers. Full Production More Important Than Prices All this is now changed. Any reference to the pre- vious attitude of the commissioners is met with an em- phatic disclaimer and it is declared that “the Federal Trade Commission and the War Industries Board are doing good team work in the task of winning the war.” No further criticisms of the September schedule are heard. It is perhaps significant, especially with refer- ence to the work of the commission in “winning the war,” that commissioners are now emphasizing the fact that any form of price fixing must be a failure that “does not accomplish the Government’s purpose of developing maximum production.” In this connection attention is being called to the fact that the well in- tegrated concerns can furnish material of all kinds at prices that cannot be met by smaller concerns, especially those which must buy their pig iron. The fact that a living price to the small producer must necessarily in- volve a very generous profit to the completely inte- grated concern appears now to be accepted by the com- mission with a fair degree of philosophy. The commission’s original attitude, as expressed by Mr. Davies before the Senate Committee on Interstate Commerce, in favor of the abrogation of outstanding ‘ontracts made at prices differing materially from the ‘ontrolled schedule, has also undergone revision. In fact, members of the commission are now disposed to contend that Mr. Davies’ statement to the Senate Com- mittee did not go so far as to constitute a definite recommendation for the cancellation of contracts. This modified position is probably due to two causes. The first is the fact that the bulk of the contracts referred to by Mr. Davies in his statement to the Senate Com- mittee, covering a period of six months, will expire in the near future, thus reducing the issue to an academic question that will speedily work itself out. The other reason, however, is more significant. Some time ago the commission sent out a circular to a large number of producers and consumers of steel products asking views as to the advisability and the probable effect of abrogating existing agreements. Many an- swers to these inquiries have been received, but in spite of every effort that has been made to classify and digest them the commission finds itself unable to draw any con- clusions therefrom except that each individual replying is moved solely by his personal interest, according as he is or is not at present the beneficiary of a ravorable contract. It is not even possible to deduce from the replies received whether the abrogation of existing agreements would assist or injure the majority of the producers and consumers either taken as a single group two separate interests. Under these circum- stances it is not surprising that the commission should place no special emphasis at this time upon Commis- sioner Davies’s former remarks on this subject. or as The Pomerene Bill’s Prospects The prediction recently made in this correspondence that the Pomerene bill would not be passed before Jan. 1 has now been practically fulfilled. Congress to- day will take the usual holiday recess, reconvening on Jan. 3. During the two and a half weeks of the session THE IRON AGE December 20. since convening on Dec. 3 the Senate has de time chiefly to the consideration of the Webb trade bill reported from the Committee on Int Commerce in the custody of Senator Pomerene ; the leading members of that committee have , their undivided attention, as the result of whic} been passed by a decisive majority. This wo precluded the giving of any time to the conside; of the steel control bill and the subcommittee ha in charge is understood to have deferred devot time to it until after the holiday recess. Approp bills will then demand almost continuous consid and it will require vigorous work to bring the Po. bill into the Senate. Its place on the calend: necessarily be unfavorable but that disadvantag: be fully offset should the President determine t} passage of the measure is an essential part of t! program. The eyes of all interested parties th« are on the White House and any conferences the P dent may hold with the War Industries Board o: matter will be followed with the deepest interest W. L. ¢ Steel Specialties Companies Are Consolidated The Edgar T. Ward’s Sons Co., with offices in Bx New York and other cities, has been incorporated ur the laws of Massachusetts with an authorized capita $2,500,000 and the following officers: Edgar Wa Newton, Mass., president; John Ward, Lynnfield, Mas treasurer; Herbert W. Lockwood, South Orange, Ma secretary; James S. Winn, Evanston, IIl., vice-pr dent; Leslie Edgcomb, Philadelphia, vice-president Arthur J. Lockwood, Glenridge, N. J., chairman; E. P Hall, Collingswood, N. J., assistant treasurer; Willian E. Adams, Boston, clerk; Frank K. Biggs, New York director; E. B. Lapham, Evanston, IIl., director. Th: company is a consolidation of the following concerns George Nash Co., New York and Chicago; Field & Co Inc., Philadelphia; Dilworth-Lockwood Co., New Yor! and Newark, N. J.; Edgar T. Ward’s Sons, Bosto: and Boston Steel & Wire Co., South Boston, Mass Offices and warehouses are still maintained at th former addresses, but the entire business is under on name and management with head office at Bostor Stocks include a wide range of steel specialties, cluding tubing, shafting, tool steel, electric sheets a: alloy steel. Abell-Howe Co. Expanding The Abell-Howe Co., 565 Washington Boulevard Chicago, distributor of American high speed chain Howe tongue elevated trucks, electric cranes and hoists has established branch offices at 30 Church Street, New York, in charge of J. R. Shays, Jr.; at 5086 Jenkins Arcade, Pittsburgh, in charge of C. W. Wheeler and Wayne Paulin, and at 803 Ford Building, Detroit, i charge of H. G. Bates. The company is also repre sented, in connection with the sale of Howe trucks, at Boston by the Boston Steel & Mfg. Co., and 1 the Atlantic Coast States, Pittsburgh and Cincinnati territory by the Howe Scale Co. and J. S. McCormich Co. In addition it is represented in New England }y the Watkins Engineering Supply Co., Boston, and 1 the Northwest by Frank J. Rose Co., Minneapolis, for the sale of American high speed chain. Nine ships, aggregating 45,115 tons, were launched during September in Japanese yards, constituting 4 record. These are part of a program for building ship- ping amounting to 300,000 tons during the fiscal year ending with April, 1918, of which 35 vessels aggre gating 154,727 tons have already been launched The Nagle Corliss Engine Works of Erie, Pa builder of air compressors, vacuum pumps and engines has opened an office in the Bourse Building, Phi'a delphia. er 20, 1917 THE IRON AGE 1471 \NES FOR FLEXIBLE LOADS ry Girder Supports Carrying Beam— [Transverse Travel on Roof Trusses VES designed to handle long, flexible pieces of reyuiring supports at various points and to sswise of the shop have been installed in the ‘ating shop of the Ferguson Steel & Iron Co., They were made by Pawling & Harnischfeger waukee, and are of the type illustrated. They supported by the roof trusses and the spacing _ 7) the bridge spans to 17 ft. 114% in. The HE ; = —. »s*——_ : tb neil mania 4 > j eel | i+ — iy Le — Se 7 T T TS SF ik | | i> ' 1 ‘ ~ “3 SS. ws oa Cranes Are in Alternate Bays and Travel Across the beams have sufficient span material handled, however, makes desirable a etween pick-ups of approximately 33 ft. and accomplished by an additional box girder sus 1 from the crane bridge and supporting the carry eam. On the girder are mounted the hoist mech ind controllers, which are operated from the ne being for the trolley and the other for the As many trolleys as necessary can be mounted carrying beam. When picking up a load the ind trolley are lowered so that chains can be | beneath the load and hooked to the trolley. The ire located in alternate bays and are of 3 and apacity. ne side of the assembling end of the shop is ped with two traveling jib cranes for handling s, and also for handling material from the bug r trucks. These traveling jib cranes have re- ble motors operated from the floor. Their runway ft. in length. Cantilever cranes for various es and other machines are located along both of the shop. These and the jib cranes were made he Ferguson Steel & Iron Co. Longitudinal movement of material is by buggies h run on 3-ft. gage tracks extending the full length the shop. The tracks are laid with a down grade the warehouse to the assembly shop, so that the VU . a es Auxiliary Girder Below the Bridge Are the Hoist ge Motors. This girder also supports the contr ipparatus which is operated from the oor ioaded trucks go down grade al t é grade rhe trucks are fitted with 1 } > , , move along easily when fully loaded Strength of Oxy-Acetylene Welded Joints \ es of tests t tne treng xv ‘ welded nts in mild steel plates | mplet the Engineering Expe! ! t Sta f | ‘ of Illinois under the dit m of H. F. Moore professor of eng er y te! ‘ its B n No. 98 witl quent treatme! ‘ g ‘ t t ‘ stat te I 100 pe > , ° a , A She p TY ] to ervée 1a) ning pilates % in. in thickne I and to decrease f thicker plates. For sta tension tests, the effi of the material in the ints welded with ni quent treatment was found to be of not greater 75 per cent. The joints were strengthened by wor! the metal after weldir nd were weakened by nealing at 800 deg. C For static tests and for repeat stress tests, the joint efficiency metimes reached 10 per cent; the efficiency of the material in the joint wa ilways less. This, the bulletin points out, indicate the necessity of building ip the weld to a thicknes greater than that of the plate The impact tests ir dicate that oxy-acetylene welded joints are decidedly weaker under shock than is the original materia For joints welded with no subsequent treatment, the strength under impact seems to be about half that ! the material In general Professor Moore believes that the t results will tend to increase confidence in the tati strength and in the strength under repeated stress of carefully made oxy-acetylene welded joints in mild ste« plates Life Insurance at Electric Controller Plant The Electric Controller & Mfg. Co., Cleveland, has presented policies of life insurance to some 330 met and women in its employ. These policies range fr $300 to $3,000 and all employees as soon as they have been in the employ of the company for six months wi be insured with the Travelers Insurance Co., Hartford for an amount equal to one-half year’s pay. Thi increases by one-eighth of the annual pay every year until at the end of four and one-half years the policy has a face value equal to a full year’s pay. Thes policies are not intended to take the place of any bo payments on the part of the company or payments du under the workmen’s compensation laws for accidents A remarkable array of posters was recently i by the National Association of Manufacturers, copies may be had by addressing the industrial pul licity department of the association at 30 Church Street New York. They have to do with the conservatior American industry and in that connection unwise labor agitation, and are designed to inform all classes of citizens as to their true relation to industry and the effect of the movement on their own prosperity Crozier Tells of Great Progress Made Despite Delays and Many Obstacles, Preparedness Has Advanced Further than Investigators Expected—De- tailed Report of Testimony Taken by Senate Committee WASHINGTON, Dec. 18 There is a distinct note of optimism in the comment of Congressional leaders as disclosures made during the first week of the comprehensive the result of the investigation now being conducted Committee on Military Affairs into the Ordnance DY the Senate war preparations of the Bureau, which will be speedily followed by inquiries into the progress made Office Department. by the Quartermaster General’s and other im Wal The testi- mony of Maj. Gen. William Crozier, Chief of Ordnance, portant branches of the which has occupied four days, partly spent in executive pointed, if not actually hostile, questioning by members of the com session, and which began under the spur of mittee, has developed an advanced state of prepared- ness as to the provision of small arms, machine guns, that light and heavy artillery and ammunition the even the most member of sanguine committee had not dared to hope fo. The inquiry has made it plain that the basic fallacy nderlying most of the criticism of the Ordnance Bu reau—even that of experienced officers of the regular army is the impression that appropriations by Con- gress can be transmuted into vast quantities of avail- able war material in much the same way that single typical art les n ay be pro ired As a matter of fact. nas been made to appeal that the Ordnance Bureau had no funds of substantial amount, nor authority to make contract int the country lally became in olve in the w Owing to the niggardly policy of Congre the rst running at low speed, o1 were Closed dow I ganization disbanded, and the equests of the Chief of Ordnances for money with which to eau p private plants to co-operat« with the Government manufacturing estab I ! had re eated]) neen rejects Great Lesson of the War Phe gre: esson of the Europea var early recog nized by Gener ( r and h i and pointed out in their official reports published during the past two years, W he stupend itilization of artillery and machine gut hich s undreamed of in any previo va Realizing what the United States would be calle pon to meet, the Ordnance Bureau planned for quantity production on a huge scale and in accord ance wit! e most l ed methods of modern manu facturing practi Upportunit) Wi afforded for these preparations because of the time which must necessarily elapse in the training of a large force to be sent overseas, and because there were on hand half a million rifles of the best-known model for the equip ment of the regular army and National Guard contin gents first to go to France; and further, because the sritish and French governments were turning out a large surplus of machine guns and three and six-inch field guns with which they had offered to provide all the troops that ore could reach France bef the spring of 1918 The work of the Ordnance Bureau began with the standardization of material to secure the interchangeability being kept constantly in mind. the best possible results and smallest practicable number of types, The next step was to interest the largest possible number of private establishments in the work of manufacturing machine guns, and all forms of standardized rifles, ar- tillery, from the 3-in. field gun to the largest Any manufacturer will readily appreciate ties of this problem, especially in view of th: no contract of any kind could be made until | had appropriated the money therefor, and how to appraise correctly the results obtai: flected in the following summary of the press ¢ of the ordnance preparation Summary of Things Done (a) Every soldier sent to France has bee with a Springfield rifle of the most approved 1 has been trained in the use thereof, includi target practice. Each of the cantonments wher men of the National Army are now being tra been supplied with 10,000 serviceable Krag-Jor rifles and 11,000 of the latest model Lee-Enfi chambered to use Springfield ammunition, thus each infantryman a good rifle. Three large est ments formerly making Lee-Enfield rifles for thé ish government are turning out approximat per day of the U. S. model Enfield, accurately ized, and the rate of production will soon reach 1 per day, insuring that every soldier sent to Frar will be provided with an Enfield rifle, the ammunit of which is interchangeable with the Springfield with all the machine guns that will be sent to Fra Ample reserves and spare parts are included ir calculations Supplied by French Government. (b) The American troops in France have bee supplied by the French Government with machin¢ of the heavy Hotchkiss type and the light Chau type. The National Army men in cantonments been furnished a considerable number of machine ¢ for training rapidly purposes, and this equipment is Vicken purchased, increased. A large number of Lewis machine guns have been be used for both training purposes and for fight machine-gun The great factor in however, will be the new France. equipment 3rowning gun, of both he and light types, an American invention, declaré the leading ordnance experts to be the existence, for the manufacture of which half a best gun of large private establishments have been fitted. Q ; “11 hoo tity production on an unprecedented scale will beg early in April, and will proceed at a rate that will kee] pace with the transporting of troops to the theater war. Co-operation of Allies (c) The American troops in France have bee! vided, through the co-operation of the British French governments, with a full equipment of (0 + LO and 155-mm. field guns, corresponding roughly 3-in. field piece and the 6-in. howitzer of U. 5. models The surplus capacity of the British and French fact ries will supply all these guns needed until next sprine In the meantime, the Ordnance Bureau, as heretoior announced in THE IRON AGE, has enormously increas the capacity of the Watervliet and Watertown sv! factories, and in addition has financed the equipment of more than a dozen large private establishments ! forging, treating, machining and assembling some 1472 iber 20, 1917 THE IRON AGE 1473 ; s, ranging in size from the 3-in. field piece to in. howitzer. Large deliveries of these guns } : ymised for the early spring, and production ter will be on a very large scale. e carefully seeking to avoid criticizing even the ehensible course of Congress in postponli! o tine of adequate appropriations until months afte ited States became involved in the war, Genera when pressed as to why deliveries of material ot forthcoming at earlier dates did not hesitate are that the results desired could only hav btained had Congress provided the money wo years before. He also frankly placed upor ‘retary of War responsibility for such delay irred in selecting a type of machine gun, a sibility which Secretary Baker has since cheer ssumed. The Secretary’s unqualified indorsement eral Crozier’s course is indicated by the fact nmediately after the Chief of Ordnance made tements referred to his renomination for anothe1 ears’ tour of duty at his present post was sent t White House and promptly transmitted by th: ent to the Senate for confirmation Mistakes Are Admitted some mistakes have been made, and that de ild have been avoided had more businesslik prevailed in all branches of the War Depart General Crozier freely admitted. There has beer xtravagance through the operation of cost-plus ontracts, but this has been minimized so far as e, and adequate steps taken to protect the Gov nt Time has also been lost because the Wat tment has had no authority to use war appropria for the housing of labor in the vicinity of privat on factories. Inadequate laws have permitte ticing of workmen away from Government a1 and private munition plants, and much preciou is been lost in building up organizations in thi previously running at part capacity or closed or lack of appropriations All these draw however, are now in a fair way to be overcome, ighly satisfactory progress is now being mad production of all forms of war material understood that General Crozier’s testimor e followed by a statement, possibly in executiv } bY Secretary Baker. The Senate committes eguarding the interests of the Government by secret certain important facts that would bs e to the enemy through the disclosure of ths lepartment’s detailed plans, but the feeling that the public should have as much knowledg« war preparations as possible, and everythings be given out with propriety will be freely pub It is probable that the information obtained he officials of the War Department will be supple by an inquiry couducted by the Senate commit the activities of the Council of National Defenss Advisory Commission Object of the Investigation the opening of the investigation, Senator chairman of the committee, announced that was to ascertain from the War Department the that had been made in the matter of providing nance, small arms, munitions, etc., for the pres and to determine the further needs of the ment with respect thereto. At the instance o retary of War, the chairman said, General Wil rozier, chief of the Ordnance Bureau, had first immoned and would make a general statement ning what has been accomplished in the way of preparation and with special reference to the facture of small arms. beginning his testimony, Gen. Crozier reminded mmittee of the situation at the time the Unite ‘ state \ \ } } | ‘ ¥ 1 ) ‘ n « 4 { ‘ I ‘ 5 1 F } i ‘ } t iid é ‘ ] ‘ y ‘ Q p e | ‘ S } ne? ‘ r r y equl) { U ( yea \ no I e! T esel vi < Vrie ne ro Ve < ; } PITTLE > re é S : = ei Mle =e Beaders Genel ( é ‘ he 1 iri efore the H = ate M ‘ ittees upon the est py ‘ the W ¢ partment immediately after the leclar } ind which resulted such de that it w t June 165 17 } ‘ rr sane A An \ppropriation Insufficient t mme< ite ‘ t the ' t * © that s : nat apt ) I ip} } i illion men or vas t We ore tn Sup! juld e Di red ic! ‘ te " et t e ft D ley +i/ ds that |} ea e¢ ny ted , . ew estimate } nanu ictu T rye iciit y 4 ty hat we knew ¥ eded } ' é te rt f é ‘ £ ' nuta ire 5 rhe prog rt lering ne ler t of time t ry ‘ u 1 irtiller’, no fT i! { t the ‘ \ nad nave a eT r y rie hye ‘ q } j ‘ . ‘ ‘ f 10 j b ‘ { CoOuUult ‘ re | tnat t ve would ! e thar on mé¢ ~ anotl t of est t } ¢ na j ‘ let Ol DT ‘ ry ‘ tine ’ : i i l} ( j ( ] é ie t art ' | | ; ¢ : é re ne j é , i har j ; 1 ‘ ‘ tn re W a 4 ‘ : ent War er e | rt i ree no r nar ? | ; $ y TT} } ' ‘ . i ePce Y r ‘ C ‘ rie eT her | nother ‘ timate f all the ‘ : ot} tn the 1 t tn et est et pete { ngres ' \ me ra +} ‘ t } ‘ } r f ] ' ‘ ‘ or e TT re ’ ar : f é f ‘ i ‘ r ‘ ade i? tatement i nir , eived. There was no d re tnat w ed tr f ) } er } me tl t r ‘ 1D t t 1 iw rf (jet + ‘ , ; “ » , 4 ! . Did Everything Possible ‘Now. ct é < ‘ ed that Congre priate the mone for t? ‘ was no ign of position to as we proceeded as earl : we : re do evel thir 4 “ ‘ t, or et the mar fant ener . ila iring ; o ri S 1474 establishments of the country going on war material in anticipation of the appropriation of the funds, and we met with a great deal of good will and a great willing- ness on the part of the manufacturers of the country to take what little risk was involved. But we met something else which was more of an obstacle. The manufacturers did not care to actually expend money yut of pocket and in many cases they found difficulty in securing loans and otherwise in financing the spend- ing of money in advance of the actual passage of the ll, which meant in advance of the possi- ility of making contracts or of receiving any money. “Now, the President, when in his judgment it is It is not lawful, but he has many times done it in placing an order for the xecution of which there are no funds appropriated, ut he cannot insure the payment of a single penny out of the Treasury on such an order. Now, as to all the many cases in which the contractors would need money to go on with their work, we were helpless and they vere helpless, for the money could not be paid in ad- vance of the appropriation and mere confidence that the appropriation would be made did not meet the situa- tion. That, of course, was the cause of very consider- ible and very serious delays “There were also delays owing to the fact that we had to make our purchases in accordance with a dif- ferent system from that which we normally employed In normal times we make known our wants and we lip into the resources of the country as an inexhaustible reservoir to supply them. The different departments of the Government do not have to take any particular care to keep out of one another’s way, because there is nough capacity to supply our wants, and we are pro- tected as Government officers handling public funds by the acceptance of the lowest bid in a competitive situa- tion. But with the expenditures that have had to be made for this war, that situation was changed. In the first place, there was no time for competition othe han of the most informal kind. There was no time for ‘ompetitive bidding and the public opening of bids ippropriation bi necessary, can take a certain risk. The General Munitions Board “Now, partly for the purpose of protecting the Gov ‘rnment officers in handling public funds under these ‘ircumstances and partly to secure a broader judgment, 1 board was appointed called the General Munitions Board, one of the functions of which was to pass judgment as to whether the prices that were proposed to be paid for materials purchased in accordance with the existing method were reasonable and proper. The necessity, therefore, for first negotiating purchases and then for submitting them to the judgment of another ody, which naturally wanted to be informed, occa- sioned additional delay in the placing of orders. The instructions were that if supplies had to be had imme- liately, such as rations, etc., the Chief of Staff of the Army could go ahead and get them, but all of the large and important orders for material were submitted to the General Munitions Board to secure “heir business judgment as to whether the terms were reasonable. I lo not remember any case where an adverse determina- tion by that board resulted in the order not being placed, but there were cases in which a difference of ypinion resulted in a good deal more discussion and negotiation.” At this juncture, General Crozier called attention to the fact that the committee was sitting in open ses sion with numerous press representatives present and 1dded that later on when he came to discuss figures showing the supply and prospective supply of war ma terial, he would prefer to proceed in executive session “T think,” he said, “the Kaiser would pay a good deal for such knowledge. It is the kind of information we would like to have in regard to the enemy and presum ably the enemy would like to have it ourselves.” General Crozier then told the committee of another ‘ondition that confronted the Department at the out- break of the war, namely, the slender personne}! for ‘arrying on the business of procuring equipment and supplies. At the outbreak of the war he had in his ‘ffice 10 assistants; to-day, in his office in Washington, regard to THE IRON AGE December 20 there are more than 6UU ordnance officers these additional men were brought to Washi other stations in the service, but 95 per increase has come from civil life. Splendid Body of Men “They are a splendid body of men,” Genera continued. “Of course they had to learn the | for we had selected business and professional chanical engineers, chemical engineers, and lawy: even lawyers were required in the drafting of and to handle the legal phases of our great It would have been impossible to find these me: service, and besides we could get practically from the army. The line of the army itsel! tremendous problem of taking new forces and t: them and getting them in shape and it was like ¢ blood out of a stone to get an army officer det from the line into the staff. “T had to create in my office a great supply d for taking custody of this enormous amount of rials, as they began pouring in, and to také account of it that it could be most a tageously placed in the hands of the troops division alone now comprises 140 officers and mors 600 clerks. In charge of that division I have plac regular ordnance officer, and gave him as one principal assistants a man who had been the ma: of a great mail-order house accustomed to dealing miscellaneous articles and getting them manufactw stored and distributed on mail orders. He gave w salary of $15,000 a year to come to us for the of a major, which, including allowances, means $3,500. We have a number of instances of that “My total force of officers, both in Washingtor at the arsenals, and on private inspection duty on oth kinds of work at the outbreak of the war, was 85. That force is now over 2100 and these people are working day and night and find it impossible to keep up with tl work. Everybody goes to bed every night, and man) of them late at night, leaving a great deal that he wou like to do that night if he could stay there. Many them have not had a Sunday to themselves since outbreak of the war. This is not a complaint, for the: is no complaint in these divisions. These men doing their work cheerfully and I only mention th indicate what we have to do and the tremendous ex; sion that has been necessary in order to do it.” Contracts for Material General Crozier then took up the subject of the cor tracts made for material and discussed the reasons the policy adopted by the department. He said: As another had to be prices for illustration of the kind of wor provided for in the absence of ability things in a changing market, with lab materials leaping in every direction so that nobody predict what they would be, your attention should be to the fact that it was almost impossible for manufact to state what they would make things for This result in very many instances in contracts of the cost-plus where the Government pays the actual cost plus vhich was sometimes fixed as a percentage and cases as a specified sum to be paid per unit I erta instances there was a provision for increased or de compensation dependent upon whether the actual cost fall below or go above the estimated figure with part 1dvantage of economies going to the contractor and par the Government, but with the penalty for greater cost upon the contractors Cost-Plus Plan tne Replying to a question as to the experience of department with the cost-plus contract, General Crozie! said: It has worked fairly well in a number of izes is good as the fixed price method where there are suf means of forming a judgment as to what a reas price should be I feel that it should not be used ex eases of emergency, as in this instance 1 ibsolutelv been driven to it because nobody could fix (Continued on page 1510.) \ er 20, 1917 THE IRON AGE 1475 liminating the Switch Engine teresting application of the small caterpillar strial tractor built by the Cleveland Tractor land, and illustrated in THE IRON AGE, July Carload of Pig lron Having a Total Weight of with a Small Caterpillar Type Industrial Tractor was recently made. One of these tractors, n use at the plant of the Enterprise Company, ina, Ohio, has replaced the switch engine or a workmen with pinch bars for spotting or g cars. As the engine is railroad property it ible for only a comparatively short time each e the tractor, which is always on the premises, itilized at all times. Some idea of the powe1 d is apparent from the statement that the car being spotted contains pig iron and weighs together with its load. tractor, which is of the conventional caterpilla: extensively employed for agricultural purposes, ginally designed as a substitute for narrow gage il railroads operated in connection with large It does not travel on wheels, but lays its ow: i consequently can pass over obstacles and erial from one department to another without ‘ the surface over which it travels. The over-all the tractor is 50 in. and it is but 2 in. more so that it can pass through ordinary sized loors easily. In addition to transporting mate tween the different buildings of a plant, the may also be used for bringing material from tory to the shipping room or to cars that are to ed. Another application is the unloading of g shipments ; 4 New Type of Chain-Driven Concrete Mixer hain-driven concrete mixer has been placed on market by the T. L. Smith Co., 1125 Thirty-second et, Milwaukee. The chain runs underneath the instead of passing entirely around it as was erly the case. The length of chain is thus mate- decreased and the weight of the drum resting the chain keeps it taut at all times. The num- f teeth in contact with chain is small, and the od of the chain riding off the teeth, it is pointed eliminated. The mixer is furnished with the power loading arrangement or a low charg- p itform. The discharge chute is of the self- ¢ type which tends to eliminate any tendency of ite to flip, due to the weight of the concrete n that portion of the chute which extends in drum. This is accomplished by a system of which automatically lock as soon as the chute ted ganese ore exports from India for the fiscal led March 31, 1917, were 631,083 gross tons as ed with 472,563 tons in the same period in 1916 ‘ritain is credited with having received 459,150 nited States, 63,912 tons; France, 61,940 tons; 8,400 tons, and Japan, 17,480 tons Magnetic Chuck with Rectangular Top A magnetic chuck equipped with a removable gular faceplate has been brought out by the Heal Machine Co., Worcest« . Mass. In addition to tl feature it is also possible to shift the chuck betwee 110 and 220 volts direct-current circuits at the w the user. Large holding power and low | sumption are two advantages claimed for the ch The top plate of the chuck is attached to the body | closely spaced cap screws which are relied upon t draw the plate tightly down to the chuck body These screws enter the plate from beneath, thus eliminatin screw holes in the working surface through which might be possible for water or grit to work i interior. The front edge of the plate has a T-slot the reception of straps, fingers, etc., according to th class of work to be handled, and adjustable side ar end stops are also provided. The removability of th: top plate makes it possible to replace an old plat that has become worn with a new one and use the o body and a complete set of coils, thus considerably r ducing the chuck expense In this connection, it emphasized, however, that the top plates are compara tively thick, so that a long life can be secured from on before it has to be removed. The working surface of the chuck measures 15% x 40% in. and the holdin power is about 200 lb. per sq. in. In the body of two coils to each pole piece in the working surfac« the chuck there are two cores an and the coils are made up of large gage wire wit! enamel insulation, it being pointed out that this pr: vides a longer life than would be possible with silk covered wire. With a view to reducing the possibilit of short-circuits as much as possible a large space provided in the interior of the chuck between the co This arrangement also eliminates any necessity for ventilation so that the chuck can be used either wet o: dry without change. The coils are wound on the unit system which, in addition to giving great holding power with small power consumption, approximately any watts, is also relied upon to give a pra tically unifor pull over the entire magnetic surface At the right end of the chuck a volt box whicl enables the user to change the voltage of the supply circuit from 110 to 220 or vice versa without returning the chuck to the factory forms an integral part of the body. Access to the box is provided by removing the pipe bushing, which is screwed in place after the change 4 Recently Developed Magnetic Chuck with a Rectangular Top Has a Receptacle That Enables It to Be Used on Either 110 or 220 Volt Circuit in the voltage has been made, this arrangement being relied upon to give a waterproof connection The lead wires are protected by a heavy armored conduit and the end of the cable terminates in a standard attaching plug. <A special form of demagnetizing switch is provided. J. C. James, Lancaster, Ohio, is interested in a firn that has purchased the former plant of the Kylr Mfg Co., that will be fitted up for making auto trucks The Bowlus Mfg. Co., Springfield, Ohio, will add to its present lines a building and hardware specialty for which some special equipment will be required Sera “ Opens the Way for Foreign Commerc Webb-Pomerene Bill to Permit Combination of Manufacturers to Engage in Export Business Passes Senate—Will Probably Reach President This Month WASHINGTON, Dec. 18.—The Webb-Pomerene bill, exempting the operation of the anti-trust laws combinations of American manufacturers and mer- chants made for the exclusive purpose of extending their foreign trade, was passed by the Senate Dec. 12, and, having passed the House last June, was imme- diately referred to a conference committee to consider the Senate amendments and harmonize the diverse pro- visions of the House and Senate drafts. While the modifications in the House bill insisted upon by the Senate were not of great importance, their adoption has had the effect of postponing the final enactment of this important measure, although it is believed it will reach the President for his before the end of the current calendar year. As the result of securing the advantageous position of the “unfinished business” of the Senate at the special session held last summer, the Webb bill was promptly taken up when Congress reconvened Dec. 3, and was kept continuously before the Senate until its passage. The measure was vigorously opposed by the same small but industrious coterie of Senators, led by Cummins of Iowa and Reed of Missouri, who succeeded in pre- venting its passage at the special session notwithstand- ing the fact that it had run the gantlet of the House and had been unqualifiedly approved by the President. While Senator Reed’s opposition to the bill took the form of a direct attack on the ground that it would emasculate the Sherman and Clayton anti-trust laws, Senator Cummins adopted more insidious but not less effective tactics, urging in the form of a so-called amendment a complete and comprehensive substitute hedging the measure about with such restrictions and qualifications as would have rendered it valueless for the purpose for which it was designed. The object of Senator Cummins’ substitute was fully recognized by his colleagues, however, and after several days’ debate, his so-called amendment was decisively defeated by the vote of 48 to 18. from signature Trust Fighter Favors Bill The Cummins substitute having been disposed of, the bill as amended by the Senate Committee on Inter state Commerce was then strongly urged by Senators Pomerene, Myers of Montana, Weeks of Massachusetts, Saulsbury of Delaware, Townsend of Michigan, Poin- dexter of Washington and Kellogg of Minnesota. The appearance of Senator a champion of the measure was of special significance in view of the fact that he has on more than one occasion been employed as a special assistant to the Attorney General in the prosecution of cases brought by the Government against various corporations under the Sherman anti-trust law. Mr. Kellogg made a convincing argument as to the necessity for the passage of the bill, emphasizing the fact that even if, as has been contended, the Sherman law does not specifically prohibit combinations in the foreign trade, the difference of legal opinion and the uncertainty of the situation are such as to make it highly important that should clear up all doubts by the enactment of an affirmative measure that will guarantee the privilege and enable ex porters to secure the necessary financial support to de velop their projects on a large scale. Kellogg as Congress desired Export Trade Defined The Webb bill as passed by the Senate defines the term “export trade” in the first section, but modifies this provision as adopted by the House as follows, the language inserted being shown in italics while that stricken out appears in brackets: That the words export ft ae Act mean solely trade or commerce merchandise exported, or in the United States or any nation; but the include the for consumption or for resale, within the Unit iny Territory thereof, of such goods, course from the Territor foreign words “export trad: deemed to production, manuf ware or any act in the course of such producti ture, or selling for consumption or resale. The essential provision of the bill exempting combinations from the operation of the Sherma contained in the second section which, as ame) the Senate, reads as follows: Sec. 2. That nothing contained in the ict to protect trade and commerce against straints and monopolies,’’ approved Jul 2, 189 onstrued as declaring to be illegal an associat into for the sole purpose of engaging in export actually engaged solely in such export trade, or ment made or act done in the course of export such association, provided such association, agre¢ act is not in restraint of trade within the Ur trade of provided f either in the agreement, ind is not in restraint of the export and ompetitor of such association; such association does not, United S elsewhere, enter into any underst conspiracy, or do any act which artificially or [int and unduly] the effect of which presses prices within the United States of commodit natural enhance class exported by such association Under the terms of the third section, it is provid that nothing in the Clayton anti-trust act “shal construed to forbid the acquisition or ownership by a corporation of the whole or any part of the stock other capital of any corporation organized solely the purpose of engaging in export trade, and actua engaged solely in such export trade, unless the eff of such acquisition or ownership may be to restrai substantially competition within the | States.” lessen Important Provisions The prohibition against “unfair methods of petition” contained in the act creating the Fed Trade Commission is extended by the terms of sect 1 of the Webb bill to “unfair methods of competit used in export trade against competitors engaged export trade, even though the acts constituting suc! unfair methods are done without the territorial j diction of the United States.” Carefully formulated restrictions are imposed the operations of export combinations by the terms section 5 of the bill, which prescribes the conditions under which associations may be formed and clothes the commission with power to take drastic actio! prevent abuses. This section is as follows: That trade association now engaged sole after the every association entered into hereafter which engages every within 60 days passage of this trade, within 30 days after its creation Federal Trade setting forth the and the names and addresses of all it in export With the Statement Commission a_ verified location of its offices /usiness, and of all its stockholders or members, and if a cor] certificate or articles of i COp) of its incorporatior laws, and if unincorporated a copy of its articles and on the first day of Jar thereafter it shall make a like offices or tract of association, each year statement ocation of its places of business and and addresses of all its officers and of all its stock! r members and of all amendments to and changes rticles or certificate of incorporation or in its ontract of association It shall also furnis! ommission such information as the commission may req inization, husiness onduct, pr is ft ts ore ber 20, 1917 relatior ther associatior orp ations ind individuals Any association whi hall shall not ave the benefit of the pr sions 1d section 3 of this act, and it sl ted States the sum { 9 the continuance of s failure wi ! for- be payable into the Treasury f the United shall be recoverable ir a civi suit n the United States, brought in the strict where tion has its principal office rin any district 1 do business It shall be the duty of the var ittorneys, under the direction of the Attorne the United States, to prosecute for the recover feiture. The costs and expenses of such prosecu be paid out of the appropriation for the the courts of the United States er the Federal Trade Commission shall have rea eve that an association or any agreement madé ne by such association is in restraint of trade United States, or in restraint of the export trades mestic competitor of such associatior or that on either in the United States r elsewhere has any agreement, understanding, or conspiracy act which artificially or intentionally and unduly enhances or depresses prices in the United State lities of the class exported by such associatior nmon such association, its officers and agents, t fore it, and thereafter conduct an investigatior leged violations of law Upon investigation, if ide that the law has been violated, i