Opening Pages
THE IRON AGE New York, November 2, 1922 ESTABLISHED 1855 VOL. 110, No. 18 BF “@ ose “if apg: ae i % on 0 ie J 4 te Me gt sees i - : Bors 2 , ov Future Buying of Railroad Rolling Stock Purchases for 1922, Though Fairly Large, Have Not Come Up to Estimated Requirements of the Carriers and car builders, and to a certain extent the tives; in 1906 they ordered 310,315 cars and 5642 manufacturers of machinery, have this year locomotives. felt the stimulus of railroad buying of freight cars Thus it will be seen that in years when the rail- and locomotives, together with the large volume of roads were not handling nearly so heavy a traffic repair work that has been done, the total of such movement as now exists there was considerably railroad buying has not come up to the expectations larger buying of rolling stock. In 1905 the rail- of those who have studied railroad rolling stock re- roads carried 186,463,109,510 ton miles of freight quirements in the light of statistics covering the with a total of 1,731,409 cars, while in 1920, a heavy past 20 years. This leads to their conclusion that traffic year, they moved 413,698,749,000 ton miles if the railroads are to restore their rolling stoc…
THE IRON AGE New York, November 2, 1922 ESTABLISHED 1855 VOL. 110, No. 18 BF “@ ose “if apg: ae i % on 0 ie J 4 te Me gt sees i - : Bors 2 , ov Future Buying of Railroad Rolling Stock Purchases for 1922, Though Fairly Large, Have Not Come Up to Estimated Requirements of the Carriers and car builders, and to a certain extent the tives; in 1906 they ordered 310,315 cars and 5642 manufacturers of machinery, have this year locomotives. felt the stimulus of railroad buying of freight cars Thus it will be seen that in years when the rail- and locomotives, together with the large volume of roads were not handling nearly so heavy a traffic repair work that has been done, the total of such movement as now exists there was considerably railroad buying has not come up to the expectations larger buying of rolling stock. In 1905 the rail- of those who have studied railroad rolling stock re- roads carried 186,463,109,510 ton miles of freight quirements in the light of statistics covering the with a total of 1,731,409 cars, while in 1920, a heavy past 20 years. This leads to their conclusion that traffic year, they moved 413,698,749,000 ton miles if the railroads are to restore their rolling stock to with 2,322,122 cars (this total applying to Class I its normal condition, buying of cars and locomo- roads only). The average carrying capacity has tives will continue throughout the next year or two, increased, however, during that period several tons at least, on a fairly large scale. per car. Figures com- An analysis PeRinumperor peg Of car and loco- cENTIOM RETIRED CENT motive pur- 930 60 sus) chasesfora ten-year pre- war period, from 1902 to 1911, inclusive, shows an aver- age annual pur- chase of 177,025 cars and 3704 locomotives. The subsequent de- cade, which in- cludes the war years, during which _ there was compara- tively little rail- stock it does not road buying, compare with # Estimated! shows an aver- some of the age per year of good vears be- The Chart Immediately Above Shows the Number of Freight Cars in Use 1 106,469 cars and fore the war. the United States Hach Year from 1559 2151 locomo- In 1916, for ex- : | a5 a _ tives bought. It 1'(0,054 seen at a glance cars and 2910 locomotives YEAR DOMESTIC —s FOREIGN, , that in the ten years end- ordered; in 1912, another {is 5890c—— 5,9088 04,6 ed Dec. 31, 1921, the rail- g00d year, railroads or- |9? |: — S254e roads had not replenished dered 234,758 cars and |9% ier scone — their rolling stock at a nis Going |° pcre loa 7AiI more than 60 per cent of _ ‘ ! further there a 147 18.016 the average buying in the "* ~ " higher records stain : 235 preceding ten-year period. oo oe 1906, the two nahn £2 833 955 Theoretically, the rail- ner years of two de- ) —_— é roads of the United ei railroad buying. 46784 60 States are supposed to be 1905 the railroads of 9759 mam “4S actually short several \ LTHOUGH the steel companies, locomotive the country ordered 341,315 cars and 6265 locomo- he ie tee on ho \ piled from oOffi- ,,.,1 TOTAL CARS, INCLUDING CARS ASSIGNED TO FAST FREIGHT LINES AND CARS Cial SOUTCES cece LbEASED NOT INCLUDING COMPANY CARS AND CARS OWNED BY PRIVATE COMPANIES , : * (188S” “1,068,555 |e show that up to ['890 ad 1189 152, Oct. 1 there had {1892 1,149,315 } 693 1,199,645 yeen ordered | 894 1.20516 this year a to- |'895 |)'96,!!9 =r D 28 E opps" re = = D whi + 4 > ow c b= ies ow Fj ia Fs a ¢ + ag ¥ Pr f 4 3 =C > oy 5 no & E75 ac >POw I~ e> ‘ If SOS B96 tal of 125,000 |'897 freight cars and 899 Railway Age es- 501 timates the /'% number of loco- motives ordered up to Oct. 21 at 1848. While 1922 will rank as a fairly good year in railroad buy- ing of rolling > 2 baw & tic 22 BG s~s-- eye 3 . Y 2» © s ¥ BALERS RRSG SESS “Terre apy yee w 6665566 G6 ~ ww o a =) 6 @ cades jy In Ss) 1 1124 hundred thousand cars of what past experience has proved presumably to be their requirements. Whether more efficient handling of traffic and the gradual in- creasing in car capacity will permit the railroads to operate efficiently during years of large freight move- ment with a fewer number of cars than statistics in- dicate to be necessary is still to be fully determined, but the present traffic situation points clearly to a shortage of cars. The carrying capacity of cars has been increased somewhat and the pulling power of locomotives is now considerably larger. Those who have based their estimates of probable railroad buying of rolling stock during the next few years on statistics kept for the past 20 years or more argue that 200,000 cars a vear should be built to keep railroad rolling stock in normal condition, taking care of cars retired and providing for normal growth in the volume of traffic to be moved. On account of the present actual shortage of cars, it is further argued that the railroads should buy fully 250,000 cars dur- ing the next year to place themselves in good condition. As each car requires an average of about 10 tons of steel (the range being from about 6 tons for box cars to 17 tons for heavy steel cars) railroad purchas- ing of 250,000 cars during 1923 would mean a demand for approximately 2,500,000 tons of steel. Locomotive purchases over a period of 20 years have averaged close to 3000 per year, requiring a total, roughly, of 250,000 tons of steel. These figures on possible steel requirements do not include the large number of car and locomotive accessories, which involve considerable foundry and machine-shop work, but which do not run into exceptionally large tonnages. The actual condition of railroad rolling stock at the present time becomes more readily understood when the 1921 figures on purchases are taken into consideration. In that year only 239 locomotives and 23,346 cars were ordered, which brings down the average for 1921 and 1922 to such a low figure as to give a ready explanation of the present so-called “car shortage.” Figures on freight car purchases for 1922 are not complete, however, without reference to the contracts let for car repairs. Orders booked by car companies up to Oct. 15, this not including work done in the railroad companies’ own shops, total 93,000 cars. As each car repaired probably requires at least 5 tons of steel, this activity accounts for close to 500,000 tons additional steel orders going to the mills this year. In all of 1921 the car companies repaired only 48,782 cars, which shows quite a gain for repair work this vear. Another factor of interest to the steel trade is that a larger percentage of the cars ordered in the past few years has been all-steel or part steel construction, while the average capacity of each car has grown steadily, from 28 tons in 1902 to over 45 in late years. As the movement of such heavy commodities as coal, coke, ore, pig iron, scrap and steel products has in- creased very heavily in the past ten years, the need for cars of larger capacity built of steel is readily ex- plained. The accompanying table, compiled from figures ob- tained from official sources, shows the volume of car and locomotive buying in this country since 1900. Car and Locomotive Purchases Locomotives Yea Number 1901 1.340 1902 1903 1904 2.538 36,561 1905. 6,265 3 ,ol5 1906 642 3 sold 1907 3,482 711 1908 1909 .3860 1910. . 024 Reak. 2,85 33,117 1912 515 d 758 1913. 3.46 »732 1914. 1,265 ,264 Cars, Number 193,439 195,248 3,283 936 1.665 .669 1915.. 1,612 ,792 1916 2.910 .054 +448 2.704 79,367 1918. . 2,593 113 1919 . 214 22,062 99 998 207 4320 I cs 84,207 1921 235 23,346 No estimate of probable purchases of railroad roll- THE IRON AGE November 2 ing stock within the next few years can prope: reached without due consideration of the figures ing the growth of traffic. Even in 1921, which year of general industrial depression, the rai carried 309,443,050,000 ton miles of freight, slightly over 100,000,000,000 ton-miles short of carried in 1920, which was the heaviest traffic y record, exceeding even the war years of 1917 and The figures showing the increase in traffic since follow: Year Ton-Mileage 1900... 141,596,551,161 1905. : 186,463,109,510 Pee , °255,.016,910,4 1915. 276,830,302,7 1916 365,771,824,7 51 3 ] 9 } 1917. 2028... 1919. 1920. 1921. 394,465,400,493 405,379,284,206 364,293,063,017 413,698,749,000 309,443,050,000 Reed-Prentice Co.’s Plans for Becker Whitcomb-Blaisdell Companies The stockholders of the Reed-Prentice Co., W: cester, Mass., have ratified the recommendation of the board of directors to purchase the business of thé Becker Milling Machine Co., Hyde Park, Mass., and the Whitcomb-Blaisdell Machine Tool Co., Worcester including good will, trade names, patents, etc., and certain machinery and equipment, raw materials and the entire inventories of finished machinery and cutters and such portions of semi-manufactured products as the new owners consider worth moving. The and Whitcomb-Blaisdell plants will be sold and the business concentrated in the Reed-Prentice plants in Worcester. In a statement by the Reed-Prentice Co. it is brought out that “in combining the business in a few plants it is proposed to simplify the lines in an important way, retaining only those which seem the most desirable from the standpoint of the machine tool market. The Becker line will be reduced to some extent, but th standard models will be retained, of course. So, to will other lines be curtailed, including engine lathes upright and radial drilling machines and planers.” The statement further says: “While the conten plated consolidation would be considered a fundament ally sound business proposition under normal cond tions, the board of directors believes it advisable at this itme in view of the abnormal con ditions with which the machine tool industry is now confronted. For two years or more the machine industry has been practically stagnant. Owing to th lack of orders the company’s losses have been extremel heavy and there is every prospect of continued losses from operations unless additional business can be se cured. In the judgment of the board of directors th plan offers an opportunity to the company to secur additional business in lines which are consistent wit! and supplementary to the company’s present lines The three companies have had a joint operat! yarious departments for two years or more, anno ment being made in THE IRON AGE of July 8, 192 that their sales, purchasing, accounting and executl departmnts had been combined and that various selling agencies throughout the country had been disp! iced by direct factory branches. and Becker Is especia 2 f ( unce- American marine engines recovered from woodel hulls originally built for service against Germa! are now to be shipped to Germany and installec ™ steel hulls built there, according to a statement !rom a salvage company in Portland, Ore., which is “s¢T®! ping” the wooden ships. There are 162 triple-expa™ sion engines, of 1400 hp. each, involved in the propos*" deal which would provide the rapidly growing Germa” fleet of freight ships with motive power at less °°" and in less time than would be needed to build ne* engines. 1 iy d Members Look Forward to Period of Prosperity. but I ; Optimism Prevails at Institute Meeting Do Not Ignore Unfavorable Factors—Large Attend- ance and Notable Addresses general meeting of the American Iron and Steel Institute, held at the Hotel Commodore, New York, last Friday, were the opening address the president, Judge Gary, who expressed the hope that another conference would be held at Washington for a discussion of the financial, com- mercial and industrial questions and advocated greater publicity in the affairs of business compa- nies and labor unions; the presentation of papers of great excellence; the dinner speech of Rear Admiral Carl T. Vogelgesang, who made a vigorous argument for a strong Navy; the address of Dwight W. Mor- row, New York attorney, and the delightful infor- mal remarks of Charles M. Schwab, in which he noked fun at Judge Gary as a farmer and told why he wanted to live 20 years longer. An amplifier in- stalled in the banquet hall enabled all of the ban- jueters to hear the speeches distinctly. The attendance of 1350, while 200 short of the record made in November, 1921, when Marshal Foch was the guest of honor, was considered excellent for time when there was no extraordinary attraction. The drift of sentiment as expressed in the lob- es was optimistic, although it is of course recog- nized there are still some disturbing features of present conditions. Further recessions are expected n pig iron prices and possibly in finished materials. At the meeting of the directors of the Institute, Willis F. MeCook, president Pittsburgh Steel Co., was elected a director to fill the vacancy caused by the resignation of George F. Downs, formerly presi- lent Lackawanna Steel Co. () TSTANDING features of the twenty-second The 12-Hour Day In his preliminary remarks before beginning his formal address at the opening morning session, Judge Gary said that the committee appointed to vestigate the 12-hr. day was not ready to report. | very much regret that this is true,” he said. “I wish to urge all interested to furnish the special mmittee and sub-committees at the earliest pos- ble moment any information that would be of ilue on this important subject. Many have ne- ito do so. We have been urged to act in re- gard to this matter by the President of the United tates, who has been fair and reasonable, and in ‘airness to him, who is carrying such heavy bur- ve ought to help in every way in our power.” Papers Presented exceedingly varied range of subjects was by the nine papers on the technical pro- ‘he principal activities of the industry from electric furnaces were discussed, only the rnace having no place on the program this \bstracts of some of the papers follow, and included here will be published in later ' THE IRON AGE. Absent Members Honored ening the post-prandial program in the Judge Gary spoke with much feeling of :. Butler, Jr., of Youngstown, and Willis L. Pittsburgh, vice-president Jones & Laugh- Co. “IT am extreme!y sorry,” said Judge Gary, “that Uncle Joe is not with us to-night. He is still ill, but in fine spirts, and we trust that he will live for many years. Another good friend, Willis King, has been in poor health for several months, but is im- proving rapidly. We earnestly hope that both of these men will be restored to health, and, as a slight tribute to them, I ask that you all rise and stand for a moment.” This request was complied with. The Navy and the Steel Industry After referring briefly to the fact that Friday was the birthday of Theodore Roosevelt, and therefore Navy Day, Judge Gary introduced Rear Admiral Carl T. Vogelgesang, commandant of the Brook- lyn Navy Yard. He spoke of the Navy as the foster parent of the steel business and the backbone of industry and the life of the nation. He said that the recent conference for limitation of armament at Washington had the effect of weakening that back- bone to some extent and had proved a stimulus for fanatical pacifists, who are a positive danger to the country. He said that so long as there is a desire to make progress implanted in the heart of man there will be competition, and that in seeking the goal of ambition a national sacrifice is sometimes necessary, for war is the ultimate expression of eco- nomic strife. The nation must be productive and progressive. In order to be progressive, it must ex- port about 20 per cent of its products which it can- not use itself. For this reason this country is on the threshold of economic strife. The Navy is the bulwark of defense and is necessary unless we are to sink into decay. To have a cheap Navy is to cause unjustifiable waste. If we are to have any Navy, it must be the best. The Navy has been maintained by about 8 per cent of the Federal bud- get. This expenditure is not only a provision for insurance, but has done more for science and com- merce than any other branch of the Government. Building the New Navy The admiral told how in 1882 the building of the new Navy was started when Congress voted to con- struct four cruisers from domestic steel and of how manufacturers protested that the steel could not be made in this country. Wrought iron was used almost entirely, while the little steel used came from England. These manufacturers hesitated to invest in the large plants necessary, but the steel plants were built, steel men learned how to make good steel, and in a short time the price of steel plates was reduced from 8c. to 4'4c. per lb. Then steel began to supplant all other materials. Andrew Car- negie gave credit to the Navy for being an influ- ence in improving steel manufacture. The speaker told of researches that had been made for which the Navy had paid, whereby the deleterious effect of sulphur in steel was shown. He spoke of how the Navy had contributed to progress in the electric field—in propelling ships by elec- tricity, in developing radio plants and in other im- portant fields. He also spoke of the contributions of the Navy in personnel service and of the splendid work that is done in machine shops of naval ves- 1125 , ‘e ; . 3 o ’ -) ‘ 7 ” , : , a , “ ; ; , , ; ‘ ; " * : a .} * ~ . > batt His ; 7 7 » ’ Hy ' } } “v ' * f - q “ ‘ ,? ‘ ; Se { i Ht re i * ; sw yt Po ag : a Bry ae -< ‘pa . a rs q ; ; ns p 4 as . « * y o a “ * ‘ *\ = ee ‘ : , ” ‘ | . > ot ’ é -, cape mes : 5 ee "e ee of sgrte t a . . J’ eh gs - mn TAP. % ww et Bed © “ * « PO why 4P ¢ : ; yee ee > . + ei ; 4 4 4 . , 1126 THE IRON AGE sels. He referred to the protection given by the Navy to trade and to American citizens in foreign lands. In closing, he made a strong plea for a big Navy of 100 per cent efficiency and declared that the small appropriations made by recent sessions of Congress had interfered with efficient operation. He vigorously denounced “political opportunists and misguided pacifists,” who in his opinion are in- terfering with the progress of the nation. Mr. Morrow on Modern Progress Dwight W. Morrow, an attorney of the firm of J. P. Morgan & Co., New York, held the closest at- tention of the audience as he discussed develop- ments in the progress of the world. He said he was not certain that in future years, when we get a better perspective on the advance of the past 20 years, the World War, great as it was, will over- shadow what he considered to be one of the greatest achievements in all history—quantity production. With clear vision and an impressive array of facts and figures, he described how this quantity produc- tion affects the lives of the people. Taking sugar as an example, he told how 200 years ago only 1500 tons were used in England in a year, while in the United States last year 4,500,000 tons were con- sumed. This he said was only one example of how November 2, 1929 quantity production has contributed to the and enjoyment of millions of people. He spi of the tremendous fluctuations in busines: early days and of the frightful loss of life famine and disease, which in recent years | checked to a large extent. He looked fory the time when the capitalist-laborer would owner of industry. He said that one of the o things Judge Gary had accomplished was crease the number of employees who w: stockholders. Charles M. Schwab was the last speake: evening, and, as usual, delighted the audie; said that since he last attended a meetin; Institute he had passed his sixtieth birth: had now been in the business longer than a) member—43 years. He said that the mos valued dividends were not those that money, but in the friendship of members o{ stitute, and for those friendships he woul: change all that came to him in the way of n success. He wanted to live 20 years mor tinue to enjoy those friendships and all things of life. He said that he had never plant which had been big enough to meet th: quirements of the time of prosperity. a President Garv Makes Plea for Publicity should Be Treated Alike—Places Savs Business and Labor Unions $ Blame for Interference with Prosperous Conditions N opening his address, Judge Gary said that his remarks would relate to economics and would be spoken from the standpoint of the public interest. He said that in consideration of all economic questions, every one should endeavor to determine the final effect upon. the people as a whole. Personal or private gain or advancement or political advantage must be sub- ordinated to the general public good. He expressed the opinion that labor, constituting 85 per cent of the cost of production, is not as a rule paid more than is proper, owing to the high cost of living. He deprecated the tendency to believe that everything objectionable can be overcome by the adoption, amendment or repeal of laws. He said that a combination calculated to con- trol business or production either as to quantities or prices, by the employer's or by the employees, interferes with the natural course of business and results in hard- ships upon all who are outside of the combination, who may be termed the consumers. Referring to demands made upon the Chief Execu- tive of the country, Judge Gary said that “the patience, perseverance, wisdom, ability and honesty of a Presi- lent like the one now administering the affairs of this country” are required. “We should strive to hold up his hands; we should pray for him and not find fault r condemn,” said Judge Gary. “He is doing better, much better, than any one who unjustly criticizes him would do if in his place.” A strong plea was made for publicity, saying its practical results and its necessities in all departments f economic life without discrimination or exception have not been given due consideration. The full expo- sure to the people of business methods and management on the part of public and private institutions and or- ganizations will, he said, create and firmly establish a powerful, effective and satisfactory public sentiment, which, on the average and for the long run, will be more potential than penal statutes. Judge Gary ex- pressed the opinion that investigations by legislative committees sometimes have been of great benefit and have resulted in correcting existing evils, but more fre- quently they are harmful because unfair, politically partisan and managed without regard to rules which f f govern legal procedure. He added: “The committees are often made up largely of lawyers, some of whom are inclined to deal in personalities, are vindictive and arbi- trary, and as the witness or other person subject investigation is not usually permitted to have a law) to represent and protect him, great injustice to result.” Referring to the recent industrial confi Gary commended the national administrat added: “There is nothing to be said at this time labor organizations or their leaders; certainly or should be no personal animosity. But to p group, and this representing only a min branch of industry, to be exempted from publ! injustice and a wrong to the general public.” Judge Gary talked emphatically in rega! great debt owing by certain foreign natio! United States, saying that to cancel these debt part of them would be forced charity, wh agreeable to the donor, and, as a rule, equally 4 able to a self-respecting person or nation. H: the hope that there will soon be held in Wa another peace conference for the full and f cussion of all unsettled financial, comme! dustrial questions in which our people ar‘ directly or indirectly, to be participated open-minded, well-disposed representative different nations, such as those who app recent limitation of armament conferenc« Business Conditions In conclusion Judge Gary spoke of bu tions, saying: “There are no obstacles to continued | the iron and steel business of the United 5! such as may arise from interference wit! course of supply and demand. There is 4 £! ance of high quality iron ore; steam, £as coal; limestone and other raw products, a!: reach; also furnaces, mills and shops grades, railroads and ships for transpor' variety of experts of pronounced ability, and systems equal to any in the world; anc ' Lort y kind and character of steel is far in excess acity to produce. Steel is needed immediately ‘ildings and other structures, for railroads, for for pipe lines, for canning, for equipment of -ind, for guns, tools and implements of thousands ties, for wire, ranging from the finest watch and piano springs to the largest cables, for itomobiles, aeroplanes and other vehicles for tation of property and persons, and many other ler books are well filled, finished steel, aggregat- y thousand tons, is stored at the producing .dy for shipment, and this notwithstanding the yy troubles at the mines and in transportation Unfortunately there has been an interference mining and delivery of coal and with the trans- \f finished iron and steel, and there is an in- ipply of labor. Who Are Blamable? natural course of business had not been we wonld now be enjoy ing success and pros- industry greater than ever before, so far s concerned. Who is blamable? The answer who by word or deed has interrupted or e operation of the natural law of supply i: or has interfered with the full, free and ght to work, to operate and to produce. is necessary to prosperity in the United he legitimate utilization of our stupendous We can produce here everything to supply itants their necessities and their comforts; s and even delicacies. We can produce with- fuel, food, clothing and shelter; everything comfortable and happy, and then have left ther countries whenever they are in need. ell for cash or work or on credit; or when ecasioned by calamity, furnish supplies with- eration except a continuance of friendly and response. We are no better than the people tions; and we are no worse. for lack of continual prosperity in a be laid at our own doors. If so, then let st of our ability overcome our faults and adopt and practice reasonable and con- Too Many Tinkers nany places no doubt exists. There are nkers, too few experts. Many individuals, f political position or other limited success, w a good deal about matters, particularly erning which they have little information, from study or experience, and these gen- the loudest and longest on these subjects. i desire to control or create antagonisms or sonal profit, attempt to interfere with the reasonable course of business, sometimes foree and brutality. We must keep our own search our own hearts, remain true and Role of Clean Steel | e been generally overlooked by the nat this year, 1922, marks the ter-cen- naking in the Western Hemisphere. In ron was made at Falling Creek, Va., year the plant was destroyed and the red by the Indians. It is a far cry hearths and forges to the consideration furnace—the latest development in steel ,Ses Crucible Steel Co. of America, New an abstract. THE IRON AGE BY JOHN A. 1127 loyal and above reproach, and then openly proclaim the truth at proper times and places. “Just at this time it is generally recognized there is a shortage of labor, although now and generally there are considerable numbers of idle men who do not ask for or desire steady work. For various reasons many workmen have returned to their homes in foreign coun- tries. Business here was dull, and besides, these men on account of very large wage rates had accumulated money and believed themselves to be independent. The shortage in labor, however, has come principally as the result of the percentage immigration laws which have limited the number of workmen who would now come to this country if not prevented by the laws referred to. After some experience these laws are now believed by large numbers to be unreasonable. Ostensibly, at least, they were aimed at the sudden and large increases in the foreigners who were locating here, many of them entertaining views hostile to the ideas of our Govern- ment. These laws ought to be promptly changed. The restrictions upon immigration should be directed to the question of quality rather than numbers of foreigners coming to this country. Measures for limiting the num- ber of immigrants to those who are clearly shown to be healthy, morally, politically and physically, ought to be clear, strict and enforceable; but the number allowed to come here should be equal to the necessities of our industries. The administration of the law could be under the control of a competent and impartial govern mental commission or department, to be managed for the benefit of the general public and not for the pro tection of any special class or the exploitation of any impractical or injurious theory. This is one of the most important questions now being debated throughout the United States. Will Soon Get Back “In spite of the difficulties which have confronted industry and appreciably frightened investors, the manufacturers of steel are now producing, on the aver- age, about 75 per cent of their estimated capacity. This is more than double the total capacity 20 years ago. We are making a better quality of steel, are increasing diversification of shapes for additional uses; and in many ways we are extending capacity and effecting economies, although selling prices have not kept pace with larger costs. We shall soon get back to a basis of business that will yield fair profits, if per- mitted to proceed without unreasonable interference. “As to general business conditions, in addition to what has already been said, great significance should be given to the publications concerning the enormous sav- ings bank balances. These show conclusively a disposi- tion to economize, whatever may be the reasons. Econo- my and saving are fundamental] to thrift and prosperity. “In this greatest, richest, most admirable country, there should be the continuance of prosperity without prolonged depressions. The iron and steel industry can he a decided influence toward progress and stabiliz- ation.” The Electric Furnace in Refining [ron and Steel Present Status and Reasons for World-Wide Expansion Flexibility of the Process MATHEWS The rapidity with which electric furnaces have been installed within the last decade all over the world calls for some analysis as to cause. After 10 to 12 years of invention and pioneering there were about 125 fur- naces in the world in 1912. At this time, Germany led with nearly one-third of the total number. To-day, as nearly as may be estimated, there are 1000 furnaces, 388 of them being in the United States according to THE IRON AGE figures for Jan. 1, 1922. Accurate sta- (Continued on page 1130) & ". Bann BAL “ta SOM Ee ane OP 4 gn ty Cyt owe fapege es one ee, es y . %, 1128 THE IRON AGE DR. H. F. BAIN DR. J. A. MATHEWS November 2 E. F. ENTWISLE G. H. JONES Authors ot Papers Kead at the Meeting of the American Iron and Steel Institute H FOSTER BAIN, director Bureat. of Mines, Wash- e ington, author of the paper on “Modern Methods of Mining Coal,” has had extensive experience in mining operations, for after graduating from Moore’s Hill Col- lege, Indiana, and taking graduate work at Johns Hop- kins University, he became associated with the Iowa Geological Survey, and leaving the Survey in 1900, went to Colorado, where he spent two years in Cripple Creek, managing a mining property. Later he was con- nected with the United States Geological Survey, the Illinois Geological Survey, was editor of Mining and Scientific Press, San Francisco, editor of Mining Maga- zine, London, and engaged in exploration work in South Africa. When the United States entered the war, Dr. Bain returned to the United States and became assistant director of the U. S. Bureau of Mines, giving particular attention to the speeding up of mineral production. At the signing of the armistice, Dr. Bain went to the Far East in exploration work for American interests. He returned to the United States, and on Jan. 1, 1921, was made assistant director and acting director of the U. S. Bureau of Mines. He was confirmed as director by the Senate in May, 1921. R. JOHN A. MATHEWS, president Crucible Steel Co. of America and author of the paper on the “Present Status of the Electric Furnace in Refining Iron and Steel,” was born May 20, 1872, at Washington, Pa. He received degrees from Washington and Jefferson College, Columbia University, and attended the Royal School of Mines, London University, London. After serving for a time as instructor in chemistry at Co- lumbia University, he became a metallurgist at the Sanderson works of the Crucible Steel Co. of America. He was made assistant manager two years later, re- maining there until 1908, when he became operating manager of the Halcomb Steel Co., Syracuse, N. Y. He later became general manager and in 1915 president of the company, and at the same time was made presi- dent and genéral manager of the Syracuse Crucible Steel Co. He was elected a director and first vice- president of the Crucible Steel Co. of America, and was transferred December, 1919, to Pittsburgh, holding that position until November, 1920, when he was elected president of the company, which position he now holds. He was the first recipient of the Carnegie gold medal for research from the Iron and Steel Institute (Great Britain) in 1902. DWARD F. ENTWISLE, whose paper was on the “Economic Importance of the Power Plant in the Steel Industry,” gradaated from Cornell University in 1906. During 1906 and 1907 he was on power plant construction work for Ford, Bacon & Davis of New York, at Nashville, Tenn. In the fall of 1907 he went to the Duquesne plant of the Carnegie Steel Co., working successively in the master mechanic’s department, steam engineering department, and again in the mechanical department in charge of the installation of six Snow gas engines. After their installation he was placed in charge of their operation and also the operation of al steam power, blowing and water supply equipment. In 1914 he became mechanical engineer for the Mary- land plant of the Pennsylvania Steel Co., and in 1916, upon the active acquisition of that company by the Bethlehem Steel Co., he was made mechanical engineer of the Steelton plant. During the latter half of 1917 he was appointed general superintendent of the Donagh- more division, comprising Bethlehem’s blast furnac and ore concentration operations at Lebanon, and in 1918 he was again moved to the Steelton plant as assistant general manager, which position h¢ W holds. P. CHANDLER, JR., who read a paper on “Heat e ing Furnaces for Blooms, Slabs and Billets,” was born in Wilmington, Del., in 1889, and after attending the public Schools of that city and the Penn Charte! School of Philadelphia, entered Cornell University 1906, graduating in 1910 with the degree of mechan engineer. He then entered the employ of the Carnegi Steel Co. at Clairton, Pa. After doing various work the rolling mills and inspection department, he wen' into the steam engineering department and was steam engineer from 1914 to 1917. The following year he '4 charge of the boiler hovse for the Cleveland Furnac Co., Cleveland, leaving there to become assistant and experimental engineer for the Carnegie Co., at Duquesne, Pa. In August, 1922, he was moted to become fuel and experimental eng that works. G H. JONES, president Hillside Fluorspar Mines * cago, who presented a paper on “Fluorspa! Its Uses,” has been identified with the iron 1 business for 50 years, more than half of which was the Inland Steel Co. Mr. Jones was one the ganizers of the Inland Company in 1893, markable progress was due in no small mea efforts. He resigned his position as first vic and general manager of the Inland Steel Co 1922, and has since devoted his attention side Fluorspar Mines, Chicago, whose mines “© Rosiclaire, Il]. He was born in England, Ja! came to this country in 1871 and for 22 years ciated with Hall, Kimbark & Co., wholesale steel merchants, Chicago. November 2, 1922 w. P. CHANDLER, JR. G. R. MCDERMOTT Y KINNEY, JR., who with G. R. McDermott pre- ( . sented a paper on “The Thermal Efficiency of the ' Hearth Furnace,” was born at Wareham, Mass., \ug. 4, 1876. He graduated from Massachusetts Insti- e of Technology, class of 1899, and was chemist for Tremont Nail Co., Shickle Harrison & Howard Co., i Illinois Steel Co., South Works, 1899-1901. He was nploved in the open-hearth department of the [llinois steel Co., South Works, in various foreman positions - assistant superintendent from 1902 to 1911, and been superintendent of open-hearth plant No. |! of ime works since 1911. Y R. McDERMOTT, assistant engineer Illinois Steel (y, Co.. South Chicago, who was associated with C. L. ney, Jr., in presenting a paper on “The Thermal iency of the Open-Hearth Furnace,” was born in ; isgow, Scotland. He received his degree as mechan- engineer from Sibley College, Cornell University, { f 1905. Upon graduating, he became associated th the General Electric Co., Schenectady, N. Y., in am turbine engineering department. He re- ned to Cornell University two years later for post ¢ iduate work, also acting as assistant professor of! dynamics as applied to heat- power engineer g for a year and a half. Next he entered the em- of Westinghouse, Church, Kerr & Co., (now W. P & Co.) and the New England Engineering superintendent of construction. In 1913, he ac position in the engineering department of the Steel Co.; appointed steam engineer in 1917, ted to his present position in 1920. Mr. Me presented a paper before the 1921 convention e Association of Iron and Steel Electrical Engi- entitled “Utilization of Waste Heat for Steam neration.” He is a member of the American Society Mechanical Engineers and the Association of Iron Steel Electrical Engineers. R HELM, author of the paper on “The Use of ve | d Fuel in Metallurgical Furnaces,” received nical education at the Pennsylvania State Col- ge, graduating in 1913. He took a position in the | laboratory of the Pennsylvania Steel Co., Steelton, Pa., for a short time. In the latter part of 1913 iccepted a position in the physical laboratory American Steel & Wire Co. as a laboratory as- nd was engaged in the study of various prob- iting to the manufacture of both steel and cop- becoming later first assistant in the same itory. For the past four years he has been in irge of the Worcester district physical laboratory 4 \merican Steel & Wire Co. Requirements of the Automotive Industry,” f the younger men who made valuable contri- to the meeting. He was born in 1890. He spent at the University of California, three years Hé NRY T. CHANDLER, author of the paper on the Vas or hi) Itior tw THE IRON AGE 1129 Cc. L. KINNEY, JR H. H. STOEK at the Massachusetts Institute of Technology, one year at the Sorbonne in Paris and one and one-half years at the Polytechnic Institute in Zurich, Switzerland, spe cializing in physics, chemistry and mathematics. He was for five years with the Ford Motor Co. in its re search laboratory, and has been employed by C. H Wills & Co. as metallurgist for the past two years. ARRY HARKNESS STOEK, professor in mining engineering at the University of Illinois, who read a paper on “The Storage of Bituminous Coal’’ was born in Washington, on Jan. 16, 1866 and was graduated from Lehigh University in 1887. In the following year, he was awarded a degree in mining engineering by that institution and in the same year was appointed assistant engineer with the Susquehanna Coal Co., Wilkes-Barre, Pa. Later he became instructor in mining, metallurgy and geology at Lehigh University. In 1893 he was appointed assistant professor in mining at Pennsyl- vania State College. For two years he was editor of Vine and Minerals, Scranton, Pa., being named as head of the department of mining engineering at the Uni versity of Illinois in 1909, a position which he still holds. Mr. Stoek is secretary of the Illinois Mine Rescue Com mission, and a member of the Illinois Mining Investiga tion Commission, American Institute of Mining Engi neers, Institute of Mining Engineers of Great Britain, Lake Superior Mining Institute, Western Society of Engineers and ex-president of the Coal Mining Insti tute of America. Among his writings are found: “The Anthracite Coal Field,” “Economic History of Anthra- cite,” “Education of Mine Employees” and “The Storage of Coal.” Mr. Stoek’s home is at 1203 West Illinois Street, Urbana, Il Br V. FREEMAN who appeared with Prof. H. H. © Stoek, of the University of Illinois in presenting the paper of “Storage of Bituminous Coal” was born at St. Ignace, Mich., in 1885, graduated from Ashland, Wis., High School and Chicago School of Assaying, later specializing in industrial organic chemistry at the University of Chicago. For three years, he was chief chemist of Lake Superior Iron & Chemical Co., now the Charcoal Iron Co. of America, at its Ashland plant. He became chemist to the coal and coke committee of the United States Steel Corporation in 1908, which posi- tion he has since held, working on the technical features of all coal and coke problems coming before that body, especially on questions regarding the by-products of coking coal and coal treatment processes. He is also a member of the Corporation’s chemical committee com- piling standard methods. Under an order of the Wayne Circuit Court of Michigan, the receiver offered for sale Oct. 31 the Detroit Structural Steel Co.’s plant at Newburn Ave- nue and Six Mile Road, Detroit. The plant is only a few years old and was fully equipped for the fabrica- tion of structural steel. nn atleast ati ladda ae e ans oy amare Re og ined be tthe Boro DE OE NE My Aa LA DT a Si eB oe a eden oe ey ee Se ee ctr se oe ay ned waco ee * ° _— co Paes oae “! a 4 ‘ 4 a. , ] 4 % . ‘ « . : > : ee Ff % te : : =e ¢ , ‘ ° . . ‘ ej af w. , ‘ ‘ ; . * ’ ; ” n ‘ ‘ ” , ¢ : wt. ; ‘ MA 7 . : oF sige } . | é 5 y. ’ , a ti . : ~ ‘ > ‘ aS A : h, . 7. . ie . e. ’ 4 “ : rw > iv ‘ ’ » t "is See 4 Qe , ns! . a } 7 * 2 3 § eg ° i. ie. ee Bye ee as 3 7 Ny } . ‘ et) ts 5. wey 4 ; > 4, 3 . 7 ‘ ‘ ‘ e a4 2% o eee) : ; ey . feet ~* * vg Be iS ale 8 BS tae 7¥ 0: ' > eet . ss 2g RES e ie a , y * wi, oe ¢ Sy : (Continued from page 1127) Mn) Te tistics have been extremely difficult to secure during late years, but according to Dr. Richard Amberg* there are 65 furnaces in Germany engaged inthe manufac- ture of ingots, with a yearly productive capacity of 430,000 tons and an unknown number of furnaces mak- ing steel castings with a capacity estimated at 300,000 tons per annum. I think we may estimate the total number of electric furnaces in Germany as about 100 to 110. Reasons for Expansion The reasons for the world-wide expansion of electric steel making are three: 1—Cheapening of wholesale power rates, due to hydroelectric and improved steam plant developments. Thus it is now commercial to use electricity for melt- ing, whereas the original promoters of arc furnaces felt that their use would be of necessity confined to refin- ing of metal premelted by the older processes. 2—The extreme flexibility and adaptability of elec- tric furnaces to a wide range of uses. It has been shown by experience that they may be successfully used for melting cold charges or refining liquid charges, for making ingots or castings, and for melting ferro- alloys. They may be used alone, or in conjunction with the Bessemer or open-hearth, or both. They may be operated acid or basic. They may be used in conjunc- tion with the blast furnace or cupola for making gray iron, malleable and semi-steel castings. For foundry use particularly, the small units are advantageous for making frequent small heats of steel or iron castings. The most popular size of electric furnace in this country is of 6 gross tons capacity, but furnaces from % to 40 tons cz apacity have proved equally successful. In furnaces of 6 tons, or a little larger, hand charging is general, but in the larger sizes either mechanical charging of cold materials or the use of hot metal charges is usual. Duplexing of open-hearth steel is practiced in many of the larger units, while triplexing is done at the great installation at the Illinois Steel Co., as described at the institute a few years ago by T. W. Robinson.} All of the manifold methods of operation are pos- sible with the use of are furnaces, which are by far the most frequently used, here and abroad. Of the dif- ferent types of arc furnaces in the United States near- ly one-half are of the Heroult type and considerably more than one-half of the productive capacity is repre- sented by them. The electric furnace has small possibilities in this country for the manufacture of pig iron from the ore, but during the war period several furnaces were used to make so-called synthetic pig iron from turnings and borings and other light scrap, in the United States, Canada and France. In Sweden, Norway and Italy, where metallurgical fuel is very dear and electricity is cheap, electric smelting of ores is an established indus- try. The world’s production for 1921 is placed at 377,900 tons, and most of you will recall that the year 1921 was not a good year for high records. 3—Quality of products. A new process to succeed must be cheaper in operation or produce a better qual- ity. The cost of electric steel is rarely lower than open-hearth and never lower than Bessemer and there- fore its success is presumably due to its producing a generally superior product. Of course there are espe- cially favored localities or peculiar market conditions which warrant the installation of small electric furnaces where open-hearth and Bessemer installations would be out of the question. In the same localities and mar- kets electric furnaces do operate successfully alongside of large tonnage plants and under such conditions qual- ity must be the principal reason for success rather than low cost. It is quite obvious that this country has not installed 1,500,000 tons of productive electric capacity to compete with the present crucible capacity of one-tenth that vol- *Electric Furnaces in the Iron and Steel Industry, Helios, vol. 28, p. 169, for April, 1922 ; +The Triplex Process of Producing Electric Steel] at South Chicago, Yearbook, American Iron and Stee] Institute, 1918, p. 115. THE IRON AGE November 2 - 1999 ume. In an address several years ago I said: “It dom that a process is discovered that cannot be im; upon. Crucible steel is an exception to this rule earliest process makes the best steel and has never }ec, surpassed.” The superior lasting qualities of Ger) guns were often ascribed to the use of molybd zirconium, uranium or other strange alloys, but m» ow, idea is that the use of clean, well-melted crucibjc o, electric steel is a more probable explanation. Cryej)), steel was employed for many submarine crank: and apparently the Germans recognize that when cating and machining costs are far in excess of ma cost, and where dependability is a vital necess is a poor policy to save at the spigot and let out ; bunghole. Quality depends upon the selection of materials, the process of melting and subsequent in forging and heat treating. The electric furna provides a reducing atmosphere in which sulph readily removed and with it goes one of the gener recognized inclusions, manganese sulphide, a same condition serves to eliminate oxides. ved Importance of Clean Steel The electric furnace, therefore, is a potential ¢ of clean steel which is more highly appreciated tha: formerly, and the electric product is opportune to meet the new and exacting requirements for ordnance, auto mobiles and airplanes, and other devices in which a ternating stresses are very severe. The importance clean steel has been observed in the course of extensiv: investigations of the fatigue of metals under the direc- tion of Prof. H. F. Moore. It is not too much to ex- pect that the higher the elastic or proportional limit resulting from heat treatment, the more serious would become defects such as non-metallic inclusions and seams in parts made from inferior steel. Dr. McCanc confirms this in stating that fatigue failure under re- peated stress is a progressive failure, starting in al! cases in some defect or irregularity either of interna structure or external surface. By way of illustrating the freedom from inclusions in electric steel I might mention the result of actual count of hairlines, due to inclusions, in the ground sur- face of steel to the same chemical specification—a chrome-nickel steel for aeroplane crankshafts. As t! result of tests on several heats of this steel by the basic, and acid open-hearth and basic electric process, the average count ran in the ratio of 8 to 4 to 1, and tl in the steel of open-hearth manufacture. Anethee illus tration from my own experience may be convincing In one of the races at the Indianapolis Speedway few years ago, about one-half of the cars starting did not finish because of failure of vital parts. Th: following year nine or ten cars, which I knew co! tained our electric furnace product in their important parts, all finished the race without mishap, and cluded the winning car. A _ practical demonstratio! of this kind is more eloquent than columns of figures of laboratory tests. The recent paper by W. J. Priestley* outlines t splendid results of electric furnace ordnance steels mad at Charleston, W. Va., in the largest furnaces !n ¢ United States. He shows that the results are du clean steel and freedom from oxides, sulphur phosphorus. These results show that large units, W!' proper handling, can produce very high quality ste and we see no reason, now that larger electrodes can made of dependable quality, why a 60 or 80 ton furna cannot be expected to give relatively as ar results. The electric steel rail is still a desired pos sibility. The increased demands made upon mater of construction call for new methods for meeting thos demands. As I stated here six years ago, the elect! furnace was opportunely invented to meet a new mand rather than to replace an old process. It would be mere repetition t