The Iron Age 1925-04-02: Vol 115 Iss 14

APR 3 1925 Vol. 115, No. 14 “NEW YORK, N. Y., APRIL 2, 1925 Single Copy, 25 Cents Published Weekly eee under the act ot March = com Six Dollars a Year in U. S. RETAINING WIRE GREASE PLUG HOLE FOR SEMI-ANNUAL LUBRICATION STANDARD QUALITY FAFNIR BEARING WITH LONG INNER RING GIVING FIRM SUPPORT ON SHaFT f Set Screw ‘a ( LockiING CoLLaR To Swarr SeEtF-LOCKING COLLAR AND BEARING GIVING Positive DRive DOUBLE Box ExTREmeE SimPticity ED Steet Dust Caps mentee tienen in AND Dint Our FITTING ALL OF CONSTRUCTION; NO STANDARD FRAMES ADJUSTMENTS NECESSARY FAFNIR DOUBLE BALL BEARING HANGER BOx Note:—The entire Fafnir Power Transmission Line is of this same simple, sturdy design HE savings that any plant can effect with Fafnir Power Trans- mission Equipment on shafting and Fafnir Ball Bearings in machines have been proved beyond doubt by our own tests and the tests and experiences of our customers. Power bills reduced 15%, lubrication costs cut 50%, less maintenance, uninterrupted service—these economies are all demon- strated facts. With such savings available, any execu- tive who does not take advantage of these easy profits is deliberately letting money slip thru his hands. His must be the responsibility. THE FAFNIR BEARING COMPANY DETROIT New Britain, Conn. CHICAGO Contents - - - Page 982 THE IRON AGE April 2, 1925 —in any size or shape —in any quantity — shipped immediately — from our nearest plant Bars Shapes Structurals Rails Shafting PLANTS: Tubes Reinforcing Steel Plates Firmtread Plates Sheets Strip Steel Billets Forging Bars Babbitt Turnbuckles Write for the Ryerson Journal and Stock List the ‘‘ key”’ to immediate steel. Josep T. RYERSON & SON tc. ESTABLISHED 1642 CHICAGO ST. LOUIS DETROIT BRANCH OFFICES DENVER HOUSTON TULSA Boiler Fittings Alloy Steel Tool Steel Small Tools Machinery—etc. NEW YORK MILWAUKEE CINCINNATI BUFFALO NEWARK MINNEAPOLIS SAN FRANCISCO JERSEY CITY THE IRON AGE New York, April 2, 1925 ESTABLISHED 1855 VOL. 115, No. 14 Net Profits from Modern Equipment Lowering Production Cost to Get Lower Selling Price and, in Turn, Increased Consumption and Better Net Profits —Some Examples of Progressive Policy BY COL. FRANK A. SCOTT* 6é HINKING and plan- ning never become au- tomatic. When we can let down, we do. And that is the reason why manage- ment tends to let down in efficiency in periods of pros- perity.” This statement by Col. Leonard P. Ayres, statisti- cian and economist of the Cleveland Trust Co., Cleve- land, known nationally for the accuracy of his business thinking, is a note of warn- ing, worthy the attention of every executive in the metal- working industry. Such an assertion con- tains a note of challenge and while perhaps the charge can be refuted, study discloses there is much to sustain it, at least so much that it can not be repelled by mere assertion of its falsity. What standard can be used with justice to deter- mine efficiency? The short and popular reply is, “re- sults.” However, results tell only a part of the story. Un- HE Executive Who, For the Moment, Pockets His Natural Pride in His Own Factory, and “With the Blinders Off” Goes Through His Plant, Will Find His Reward in the Net Profit Expansion of industry has been an accepted doctrine in our country since the be- ginning; then came the World War with an impetus for production that over-ex- panded industry to a degree which we have not yet been able even to measure. If mere production were all, this would be a most welcome state of affairs; but produc- tion must be related to con- sumption and these to net profits, and here the trouble begins. Competition, both inter- nally and internationally, is present in its fiercest forms. If Darwin had not already familiarized the world with his theory of the survival of the fittest, it would have be- come a familiar doctrine now. The problém is not, Can we produce the goods? The problem is Can we increase the consumption by lowering our price, and can we accom- plish this by decreasing our cost? If the possible con- sumers of the given article fortunately, for the ease of the one who would furnish the true answer to the challenge, the standard must be, “results related to opportunity.” On results alone the palm for efficiency may be awarded to American manufacturers without further discussion. When “results are related to opportunity” and the American then compared with his English and German brethren, a wider field of controversy is reached. America has had, and continues to have, raw ma- terials; a population brilliant in mechanical resource- fulness and apt in mechanical work; the largest home market in the world; in short, every requisite for mass production and every incentive to utilize it. The Amer- ican manufacturer has utilized his opportunities, too, and the automobiles, sewing machines, electrical equip- ment, transportation facilities and countless other needs and comforts enjoyed by millions of his fellow- citizens, prove this. *President of the Warner & Swasey Co., Cleveland; chief of the Cleveland Ordnance District. 957 be represented by a pyramid, it is evident that the apex of the pyramid will contain those whom price affects but slightly. The farther we go toward the base of the pyramid, the larger the number of possible buyers and the greater the influence of price. In seeking to lower cost and thus lower prices, the mind naturally turns to the buying prices of our re- quirements, either of labor or material. This is a proper field for economy, to be sure, but very limited. Our real chance lies in lessening the cost of producing the article by means of better methods or machinery. Inefficient Machines and Obsolete Methods Not Rare Volumes have been printed on the inefficiency of the worker, and doubtless he responds to education, stimu- lation and reward. The inefficiency of machinery, also, has not passed unnoticed. However, it still is not rare to find an American factory furnishing a comfortable home for machines and tools that are scandalously in- efficient and “pointing with pride” to methods that make the dodo look like a newcomer. Recently we discovered 958 HIS Investment Earned More Than 119 Per Cent Per Year. In studying his equipment problem in _ co- operation with a machine- tool builder, a manufacturer of fire apparatus found that he could reduce the machin- shafts from 80 min. to 30 min. The initial expenditure for the new equipment seemed large, but at the end of the year the investment showed a substantial net profit ing time of certain a lathe operating in Salt Lake City that had been car- ried there by ox team before the railroad was built, and certainly was not producing one-third of the output of any oneof a dozen modern machines. The time wasters in our plants are far too often our machines and tools; they, more frequently than the worker, are employed and then, regardless of efficiency, are given a life job. In their attempts to lower costs and obtain net prof- its, how far do American executives tend to exclude THE IRON AGE April 2, 1925 outside ideas from their productive program? To what extent do they welcome outside thinking from those whose work and studies cover a field different from their own? Answering this question from the experience of American machine tool manufacturers, we can give the American executive high rating. He is willing to be edu- cated; he is receptive, he has a nose for fresh opportu- nities; he is prone to look upon his present methods with an eye of suspicion as concealing from him, per chance, some possible profit. “Greater net profits” sounds Net Profits Statement The Investment No. 3-A turret lathe with standard equipment cost................00.00- $4,144.00 Second-hand value of turret lathe replaced................00 cece eeeeees 850.00 Cash, or additional investment, required for machine equipment.......... $3,294.00 nen UNIS. «og, 5 edit Poe nix n/c wis Ais Re ee RU Th eect ee seen 161.00 RF PE ee ee. ee ee $3,455.00 The Gross Profit Former cost—80 min. x 2%c. (with direct labor at 60c. and overhead 90c., a total of $1.50 per hour, or 2c. per minute)........... cece cece $2.00 Cost with new equipment—30 min. K 24%6C....... cece eee cece eee e ee eeeees 0.75 ee es oy agit Ae Fd RRR AS Me BG KOE Pa eT ES $1.25 Production per day using “48-minute hour” to be conservative 48 min. x 9hr._ 44 pieces 30 min. ee ee ee Erne $17.50 Gross profit per year—$17.50 x 280 working days.............00eeeeees 4,900.00 The Net Profit From this gross profit must be taken depreciation as follows: 20% of added investment in machine and standard tools, or 20% of $3,294 — $658.80 Ee re re er ee er er er ere 161.00 i thea eS a nbs i eceieek nk bb bb shindees she theneeekereheans $819.80 rr COED tea ie ah cee ACK SRE Ae EE MER see 4,080.20 Net profit on the investment is $4,080.20 (net profit ) $3,455.00 (added investment) Net Profit on Investment of $3455.00 is 117.8% per year. eussshieeeiigetniansisepibiaienininee April 2, 1925 THE ANDIS Hydraulic Traverse Grinding Ma- chine, Which in Replacing an Older Landis Machine Cut Production Time One- Third and Earned a Net Profit of 182 Per Cent (Above) ee NDREW CARNEGIE said: “It is surprising how few men appre- ciate the enormous dividends de- rivable from investment in their own business. There is scarcely a manufac- turer in the world who has not in his works some machinery that should be thrown out and replaced by improved appliances; or who does not for the want of additional machinery or new methods lose more than sufficient to pay the largest dividend obtainable by invest- ment beyond his own domain. And yet most business men whom I have known invest in bank shares and in far-away enterprises, while the true gold mine lies right in their own factories.” IRON AGE 959 B Paeny Special Fixture Provided for This Kearney & Trecker Milling Machine Cut Production Time From 1% Min. to % Min. The net profit on this investment was 193 per cent. This is a good example of the service machine tool builders render users by adapting standard machines to special purposes HE Substitution of a Modern Planer for an Older Type, Without Change of Method or Tools, ' Cut Machining Time from 325 Min. to 181 Min. 960 Y Substituting a Multiple Head, as Shown at the Right, for the Previous Tools, Shown Above, the Machining Time Was Reduced to 1 Min. , This tool paid for itself in five days, and is a good example of proper standard tooling alluring and he reacts promptly and vigorously to the impact of this idea. The executive who, for the moment, pockets his nat- ural pride in his own factory and, “with the blinders off,” goes through his plant, will find his reward surely and certainly in the net profit column. Production cost can still be reduced and the record of good man- agement is always written in larger figures. The fol- lowing examples of increased production, expressed in terms of “net profits,’ are all taken from American plants and illustrate the wide variety of possibilities still existing in plants generally regarded as well above the average in machine tool equipment. One manager of a large New Hampshire shop in- vestigated his grinder equipment and found that a new hydraulic type of grinder would cut the production time from 1% min. to % min., a two-thirds saving. In order to install the new grinder, a cash investment of $1,500 was required, but results show that the investment earned a net profit for the year of $2,724 or 181.6 per cent on the investment. The possibilities of increased net profits through up-to-date machinery and tools are not confined to any particular kind of work or quantity of manufacture. Sometimes savings arise through installing a more modern type of equipment for a given kind of work. In other cases, a change in the existing type of equip- ment produces large returns. A well-known manufac- turer of motor-driven fire apparatus studied his equip- ment problem carefully. In the case of some shafts made in lots of only 50, a machine tool producer prom- ised to reduce the present time from 80 min. to 30 min. At first thought the cash expendituge of $3,455 ap- peared a tidy sum for one machine and tools. The new machine, however, showed a net profit for the year of $4,231.21, or a return of 119.4 per cent. Opportunities In Use of Proper Tool Equipment Another possibility of increasing production with a modest expenditure of cash lies in the use of the proper tool equipment. The great development of high- speed steel in recent years has made possible much heavier cuts, and the manufacturers of machine tools have been quick to redesign their machines to provide power and rigidity necessary for heavy and multiple cuts. The majority of standard machine tools may now be equipped with tools designed by the manufac- turer to cover a wide range of work efficiently and with a low investment. A good example of this is a jobbing shop in Cleve- land which was having difficulty to break even on a run of bushings for a prominent automobile company. THE IRON AGE April 2, 1925 N the F er Method Employed in the Production of an Auto- mobile Part at a Jobbing Plant in Cleveland, Three .Téols Were Used. and the Machining. Time Was 2.1 Min. *). The existing tools consisted of one standard tool manu- factured by the maker, and two home-made tools, in all requiring three positions of the turret. An enter- prising shop foreman discovered the possibility of sub- stituting one multiple turning head, manufactured by the machine tool maker. This tool took four cuts simultaneously and reduced the time from 2.1 min. to 1.0 min., a saving of more than half. The tool paid for its cost of $65.60 in five days and was then used for a large variety of work which followed. The adaptation of standard machines to special pur- poses provides another opportunity for net profits from modern equipment. The resulting production is high and yet the large expense of entirely special machinery is avoided. If the nature of the work is changed sud- denly, the machine may be adapted to other work, changing only the special fixtures. A case of this kind is a standard milling machine with a special 17-in. rotary table which holds five work pieces and is suitable for several sizes of work. The standard machine method held the piece in a vise, milling one at a time. The special fixture reduced the time from 1% min. to % min., a saving of two-thirds. An investment of this kind is justified only by reason- ably high production because the special fixture cost $1,200 and, of course, must be charged off either in the first year or during the life of the design of the work. In the case of these pads the investment re- turned 192.9 per cent annually, including writing off the fixture during the year. Studies of many lines of machine tools show that, on the other hand, large savings are realized on small lots of work because little attention has been given to determining accurately the possibilities of modern equipment in this regard. Equipment of Many Plants Is “Worked Out” The majority of plants which are liquidated and sold under the hammer show an amazing assortment of obsolete machinery. Plain milling machines are found where the universal type is absolutely neces- sary for economical production. Home made turret lathes, awkward and usually inaccurate, are discovered. In general, extremely light construction of engine lathes and planers is found. The fact is that, in a more or less acute degree, many plants in the United States are “worked out,” so far as equipment is con- cerned. In many cases manufacturers and executives do not know that they are oblivious to facts and thus keep down the net profits of their enterprises. Have we demonstrated that the American metal working executive is getting results commensurate April 2, 1925 with his opportunities? We have not undertaken to prove that all executives are up to date, but do we stand a Chinaman’s chance of being able to prove it if we tried? And yet the examples of production which have been cited would have been regarded as fantastic a few years ago. New and better ways of performing old operations are continually being developed. THE IRON AGE 961 Following Andrew Carnegie’s advice, as it is ap- plicable today, the industrial executive who will go through his factory with his plant executive, who will receive suggestions with an open mind and make in- vestments that the experience of others has proved sound, will open the “true gold mine” that lies right in his own factory. Effect of Consolidations Considered Witness in Bethlehem Hearings Gives His Views—Hearing Adjourned for Present, but Will Be Resumed PHILADELPHIA, March 28.—The Bethlehem merger hearings in Philadelphia were concluded on Wednesday of this week. Adjournment was taken at the sugges- tion of Attorney B. B. Bane for the Federal Trade Commission to “a place and time to be later set, which will be approximately two weeks from the beginning of this coming week.” The last witness at the hearings here was John D. | Landis, purchasing agent of the Philadelphia & Read- ing Railroad Co. He said that he purchased rails mostly from the Bethlehem Steel Co. both before and since it acquired the Midvale Steel & Ordnance Co., and the Lackawanna Steel Co., although small lots had been bought from the Cambria Steel Co. Purchases also were and are made from the Carnegie Steel Co., Mr. Landis said. Other material is bought from various producing companies. : Charles P. Soden, vice-president and treasurer John Illingworth Steel Co., Frankfort, Pa., manufacturer of crucible steel and alloy steel’'merchant bars, said that he finds it more difficult to buy billets now than before the war. He declared that previous to the war it was possible to contract*for three years ahead, but now mills will not. make a contract for more than three months. Purchases are made from a number of sources, including the Bethlehem Steel Co. Replying to a question by Attorney Frederick H. Wood, the witness said the Bethlehem Steel Co. recently took some large accounts from his company because of low prices. He told Mr. Wood that the Bethlehem prices were lower than he could afford to sell at. Attorney Bane asked Mr. Soden what he had found to be the effect of consolidations in the steel industry. “The only thing that I can say is that we are in a progressive age and I can only compare the present age with almost ancient history, going back all the years that I have been in the business,” said Mr. Soden, “Con- solidations mean higher prices, probably more stable prices, elimination of individuality, but it is a condi- tion. That is all I would say about it. * * * * * I cannot condemn it because God knows what we are going to have in the next hundred years. Maybe we have only started.” Mr. Bane urged the witness to supplement his an- swer as to the effect of consolidations. Mr. Soden de- clared that when the United States Steel Corporation was organized prices were very low but since its forma- tion have probably advanced 100 per cent. He said, however, he believed the Crucible Steel Co., since its consolidation, had reduced prices. The Steel Corpora- tion, it was stated, has undoubtedly made prices more stable. The witness said he did not know any- thing about what the policy of the Bethlehem Steel Corporation will be. Milton Ray Mackell, assistant purchasing agent of Morris-Wheeler Co., Inc., Philadelphia, iron and steel jobber, formerly associated with the Cambria Steel Co., and the Midvale Steel & Ordance Co., was ques- tioned about competition between these companies and other producing interests, including the Bethlehem Steel Co., and expressed the opinion that it applied principally to shapes made by Cambria. Barton Hoopes, Jr., manufacturer’s agent in Philadelphia, formerly vice-president of Hoopes & Townsend Co., manufacturer of bolts, nuts, rivets and iron and steel bars, told of purchases and sales made by that company when he was associated with it. William Henry Courtright, purchasing agent for William & Harvey Rolland, Inc., manufacturer of au- tomobile leaf springs, said that material is bought from Bethlehem in large quantities, while smaller ton- nages had been bought from the Cambria Steel Co. before it was acquired by Bethlehem, and also were and are purchased from other producers. Milton S. Hager, vice-president, secretary and assistant treasurer Penn Seaboard Steel Corporation, and secretary and assistant treasurer Tacony Steel Co., said that the dis- armament conference had made it unprofitable to operate the plant of the Tacony Ordnance Co., built during the war. Elimination of Varieties of Sheet Metal Considered WASHINGTON, March 31.—Consideration of elimina- tion of hundreds of varieties of sheet metal ware hag been taken up by that industry, according to an an- nouncement by the Division of Simplified Practice, De- partment of Commerce. Meetings of committees se- lected for this purpose were held in connection with sessions of the Sheet Metal Ware Association last week at the offices of the Chamber of Commerce of the United States. Conferences were also held with representa- tives of the Federal Specifications Board and the Bu- reau of Standards. The studies of simplification possibilities are being taken up in three divisions, one being devoted to en- ameled ware, one to black iron and galvanized ware and one to tin ware. The first is headed by W. Top- ping of the Columbian Enameling & Stamping Co., Terre Haute, Ind. Fenton Lawson of the F. H. Law- son Co., Cincinnati, is head of the second group, and E. M. Blake of the Central Stamping Co., New York, is head of the tinware committee. Prize for Foundry Devices The S. Obermayer prize of the American Foundry- men’s Association will again be awarded at the 1925 convention and exhibition in Syracuse, Oct. 5 to 9, for any device which shall be developed for the purpose of increasing the production of castings and facilitating the handling of equipment. The association announces its wish that every member call attention to this com- petition in order to bring out as many good ideas as possible. Any jig, piece of equipment, or description of a method that can be used in molding, core making, casting or in handling operations will be accepted. The C. F. Pease Co., 813 North Franklin Street, Chicago, manufacturer of blue printing machines, is offering a prize of $100 to the person who submits the slogan best adapted for promoting the use of blue prints accompanied by the best explanatory letter. The contest is open to everyone. A daily exhibit of modern motor driven machine tools all under power will be given by the Motch & Merryweather Machinery Co. in its demonstrating room 130 Seventh Street, Pittsburgh, from April 17 to 25. 962 IMPROVED JIG BORING MACHINE Column Made Heavier and Spindle Gear Box More Compact—Measuring Devices Simplified Improvements recently made in the jig boring ma- chine of the Pratt & Whitney Co., Hartford, include a heavier column, a redesigned spindle speed gear box, and larger spindle head. The measuring devices for the transverse and longitudinal movements of the table have been strengthened and also simplified. Although particularly adapted for the very precise work of mak- ing jigs, the machine may be used also for a variety of other tool-room work requiring close accuracy. The new and heavier column is intended to with- stand vibrational strains and to provide the rigidity necessary for accurate boring. The column head has THE IRON AGE April 2, 1925 tion, by means of which the entire spindle head is locked in position, while the quill furnishes the vertical feed motion, is stressed as facilitating very close ac- curacy. The table of the machine measures 16 x 30 in., and is accurately scraped on the top and four sides to exact alinement with the column and spindle. The table is equipped with transverse and longitudinal slides, each of which are traversed by a screw equipped with both a slow motion and a rapid traverse handwheel. The measuring device for each slide consists of a combination of end measures, an inside micrometer and an indicator dial. The end measures give even inches, the inside micrometer gives thousandths of an inch, while the indicator dial provides for ten-thou- sandths of an inch. After having set the spindle of the machine over the first hole to be bored, either by means of a proving bar or a “button,” it is a simple The Heavier Column Adds to the Rigidity Necessary for the Closely Accurate Boring Required of the Machine. The column head has been made changed and the spindle head made larger and given greater bearing sur- The devices for the transverse and longitudinal face on the column face. measuring movements of the table, a detail of which is shown above, have been strengthened and slightly simplified PTT TOCHELCCAHDO CEL UO OEOOORENTROEEEOONRE NOTE CUReEnERERNORSERONRASRENNS ||! wenenemnans been changed to conform to the new column, these two changes improving the appearance of the machine as well as providing additional mechanical advantages. The spindle speed gear box has been made smaller and more compact, adding to the strength of the drive and reducing the floor space occupied by the machine. The spindle head has been made larger and heavier and has greater bearing surface on the face of the column. The machine is intentionally equipped with belt drive to the spindle in order to limit the power avail- able, so that the accuracy of the machine cannot be affected by the heavy strains caused by careless hand- ling or overloading. The drive may be by belt from a countershaft or by belt from a motor mounted on the side of the head. In either case, the drive is to a pair of tight and loose pulleys on the rear of the gear box. From the speed gear box the drive is to a large pulley on the rear of the bed, and from there to the spindle pulley by means of a belt running over two idlers. The spindle pulley is equipped with a hand-operated fric- tion clutch which controls the power to the spindle and spindle quill. Power is taken from the spindle to drive the spindle gear box which is contained in the spindle head. Speeds and feeds may be set by convenient levers on the two gear boxes and the spindle may be fed either by hand or power. The spindle quill construc- matter ‘to move to the next hole by means of the right- angle dimensions, although the movement is easily held to the desired dimension within a small fraction of a thousandth of an inch. Eight spindle speeds, ranging from 22.2 to 300 r.p.m. are provided and the feed gear box gives four feeds ranging from 0.0025 in. to 0.010 in. per revolu- tion of the spindle. The longitudinal table traverse is 24 in., and the transverse travel 18 in. The floor space occupied by the machine is 5 ft. 10 in. x 7 ft. lin. The height is 8 ft. 10% in. Shipments of steel furniture in February are re- ported by the Department of Commerce at $1,556,937, being lower than the $1,653,284 in January or the $1,605,409 in February, 1924. Except for January and December, however, the present figure is the highest since last April. The Delaware River Joint Bridge Commission, Widener Building, Philadelphia, will open bids April 15 on 360 net tons of steel reinforcing trusses for the roadway of the Delaware River bridge. These trusses are to be of medium steel, 4% in. in depth and 30 ft. 2 in. in length. There will be 23,880 of them. The Coming Conflict in Foreign Trade American Manufacturers, in Strong Position, Have Made Heavy Gains in Past Decade—Long-Term Credits, Properly Administered, a Factor BY JULIUS KLEIN* productive capacity within the United States are among the best indices of our competitive powers in international commerce. We hear much of mass production and of its vast powers in determining com- petitive ability, but we do not always realize the tre- mendous advantage which the United States actually has in this connection. Our manufactures were valued at about $25,000,000,000 in 1914; their value in the recent census of 1923 was indicated at approximately $60,000,000,000—a most impressive increase, even after allowance is made for liberal price changes during the decade. In pig iron, for example, the gross tonnage produced by the United States in 1913 was 30,600,000, which was practically the same as the combined output of the United Kingdom and Germany, at 29,300,000 tons. By 1924 this predominance had been almost doubled; that is to say, the American output was 31,000,000 tons, whereas the combined British and German output was only 15,600,000 tons. A similar situation prevailed in steel ingots, in which the American production in 1913 was some 31,300,000 tons, against the British and Ger- man combined total of slightly in excess of 26,000,000 tons. By 1924, however, the American production had risen to 37,800,000 tons, whereas the production of our two European rivals was slightly under 17,000,000 tons. On the side of coal production, likewise, we have more than maintained our pre-war supremacy, having reached more than 573,000,000 tons in 1924, or consider- ably in excess of the combined output of the United Kingdom and Germany. Our consumption of the world’s crude rubber production, to take another index of industrial expansion, has arisen from 43 per cent of the total world output in 1913 to 77 per cent of a much greater output in 1924. Similar figures might be cited in many lines to indicate the truly impressive pre- dominance of industrial America, a mastery which is bound to determine ultimately the direction of the world’s commerce. GS rect advancing prosperity and growth of Quality Goods to Prevail Against Cut Prices Fundamentally, the issue between the American exporter and his rival would seem to be one strictly of whether quality or cut prices should prevail. As be- tween the two there is to be no question as to the ulti- mate decision of the American merchant or manufac- turer. <A _ strict adherence to those high standards which have long given American wares their standing in overseas markets would seem to be the best and, in fact, the only foundation for a lasting edifice in our foreign trade. It is probable that this may mean a loss in certain lines and trade centers, but there is some comfort in noting that European price cutting seems to be decidedly on the wane for several strong reasons, First of all, the high rates of interest now being required by all lenders of capital, whether native or American, to European enterprises will present an m- creasingly serious problem for the European manufac- turer. Secondly, he faces the inevitable accumulation of heavy taxes, from which relief might not be avail- able for years. Thirdly, there is every indication of a steady upward climb of wage rates which in Germany, for example, are still 25 per cent below pre-war pur- chasing power. Fourthly, with recovering exchange *Director United States Bureau of Foreign and Domestic Commerce. This is the concluding portion of an address made before the American Manufacturers’ Export Associa- tion, New York, March 25. 963 rates, as a result of stabilized currencies, one of the monetary advantages enjoyed by our competitors after the war is being wiped out. There can be no doubt that recovering European industries are in need of capital, but it can be frankly questioned how much of the amounts sought are de- sired for legitimate purposes and how much as a means of satisfying the obsession for excessive long credit terms to their customers, so conspicuous a feature of pre-war Continental, and particularly German, export- ing. One of the grim truths which our German com- petitors ought to have learned as a result of their ex- periences in 1912-13 was the extremely unstable posi- tion which inevitably results from overextensions of credit. The first tremor of international difficulties in the Balkans and in Tripoli at that time was enough to send a quaver through many German overseas opera- tions, because of the precarious inflated credits upon which they were based. It might well behoove those responsible for the supply of capital to the revival of Continental industry to scrutinize closely the precise character and stability of the overseas operations made possible by such extensions of capital. Administration of Long-Term Credits Long-term credits have a well recognized place in all business, whether export or domestic. The difficulty lies in their proper administration; and in this field it might be well to dispose of the absurd fiction that American firms are amateurs in the matter of proper credit extension. For nearly two decades all sober minded and well-informed European exporters have admitted the superiority of long-time credit systems of such well-known American lines as agricultural imple- ments, sewing machines, ete. If Germany proposes to resort to such dangerous short-cuts to temporary export inflation as excessive credits, or prolonged price re- duction, she will be building a house of cards which will collapse at the first flutter of international uncer- tainties. Let us leave the extraordinary risks of price-gam- bling to our competitors and adhere to those sound principles which have always been the basis of success- ful merchandising at home and abroad—good quality, just terms, implicit compliance with commitments on delivery, and development of the best production technique. Let us, above all, keep our heads and not be stampeded by any sudden or momentary shift in the trade current or by temporary advantages of our competitors. A useful chart on copper and its alloys has been prepared by Charles H. Hughes, 2681 Amboy Road, New Dorp, Staten Island, N. Y. It is logically arranged for ready reference, having three wide vertical col- umns headed, copper, alloys and tables. Under “cop- per” there are paragraphs on copper ores, methods of extracting copper, the grades, commercial forms, physical, chemical and electrical properties, etc. The column designated “alloys” contains chemical propor- tions and properties of alloys such as Admiralty bronze, aluminum bronze, Babbitt, brass, Muntz metal and many others. Under the column “tables” are data on copper and brass sheets, pipes, tubes, comparison of gages, etc. The chart, printed on bond paper, 17 x 22 in., is available at $1 per copy including postage. It can also be secured printed on cardboard for $1.25, suit- able for hanging on the wall. 964 Skilled Labor Coming to the United States from England WASHINGTON, March 31.—Industrialists and econo- mists alike are studying the streams of emigration of skilled labor from England, their source, destination, and the causes of their movement, which are a matter of grave concern to British observers, according to T. R. Wilson, of the European Division of the Depart- ment of Commerce. A close study of the composition of the streams of emigrants shows that over 50 per cent of them are young men and women between the ages of 18 and 30. The United States was the leading destination in 1923 for all classes except agricultural. Of this class 16,898 went to British North America. Of the 52,533 skilled workers departing in 1923, the report says, 28,827 came to the United States. Un- doubtedly, the increase would have been greater had it not been for the restrictions provided by the American immigration law. One of the main reasons for the exodus of skilled workers is the disturbed and unsettled industrial situation, particularly in the engineering and building trades, coupled with the high proportion of unemployment. Employers Will Hear Lecture of Dr. Dyer by Radio INDIANAPOLIS, March 30.—Dr. Gus W. Dyer, head of the department of social service and political econo- my at Vanderbilt University, Nashville, Tenn., will speak at a meeting to be held here April 2 under the joint auspices of the Indianapolis Foundrymen’s As- sociation, the Indiana Manufacturers’ Association, the Associated Employers of Indianapolis and the India- napolis Branch, National Metal Trades Association at the annual meeting of the latter organization. Dr. Dyer will speak on “Economic Effects of Industrial Relations.” The meeting will be held at the Shortridge high school building and the public has been invited. Arrangements have been made by A. J. Allen, sec- retary of the Indianapolis Foundrymen’s Association, to broadcast the speech by radio. Bulletins have been sent to a number of cities in the Middle West urging employers to “tune in” on the speech on station WFBM Indianapolis. Replies have been received from a num- ber of industrial associations saying that they had notified their membership of the program. Standardization of Cast Iron Pipe Representatives of the sponsor body for the stand- ardization of cast iron pipe (the American Water Works Association, the American Gas Association and the American Society for Testing Materials) held a meeting recently to arrive at a plan for representation on the sectional committee and to get the work under way. The importance of standardization of materials was one of the matters to which the representatives at the meeting gave special consideration. On account of the lack of definite organization of the producers of cast iron pipe, the matter of representation of such producers at the sectional committee presents some difficulties, and this matter is one of the topics that conferees have taken under consideration pending their next meeting. Ruling on Rates to Southern Points WASHINGTON, March 24.—Passing upon the com- plaint of the Traffic Bureau of Nashville, Tenn., Exam- iner R. N. Frezise has recommended to the Interstate Commerce Commission that it find the rate of 26c. per 100 lb. on iron and steel articles in carloads from Bir- mingham, Ala., to Nashville, is not unreasonable but is unduly prejudicial to the advantage of Chattanooga and Knoxville, Tenn. The examiner held that the rate of 26c. should be found unduly prejudicial to Nashville to the extent that it exceeds 3c. per 100 lb. more than the contemporaneous rate on like traffic from Birming- ham to Chattanooga, and 4c. less than from Birming- ham to Knoxville. THE IRON AGE April 2, 1925 Serious Competition from German Manufac- turers of Methanol Manufacturers of charcoal pig iron are being con- fronted with a serious economic problem because of the foreign competition that has developed against their principal by-product, methanol, better known as wood alcohol, which is now being produced in Germany and Sweden by a synthetic process, by which it is said that a practically pure methanol is being made at a cost 87 per cent less than that of the average process based on the destructive distillation of wood. Methanol is distilled before the wood is converted into charcoal for use in charcoal blast furnaces, and has been a prof- itable by-product for operators of charcoal furnaces. The new process of synthesizing methanol is re- ported to have originated in Sweden, but the greatest commercial development is in Germany. A number of shipments, estimated at 90,000 tons, have come into the United States since the first of the year. It is stated that importers are offering the imported meth- anol at approximately 10c. per gal. below the price of the domestic product, which is around 48c. per gal. The duty on methanol is 12c. per gal. Were this increased the full 50 per cent permissible under the flexible tariff provision, it is declared that the additional duty would fall far short of offsetting the 87 per cent difference in the cost of production. However, efforts will be made to secure an increase in the tariff and this matter has been placed in the hands of a committee of wood chem- ical engineers. This committee has little hope of se- curing early action because it is stated that, out of 1500 applications for tariff readjustments made last year, only about 200 were reached for hearing. Planer Builder to Erect New Plant The G. A. Gray Co., Cincinnati, will shortly begin the erection of a new plant which will be one of the largest in the world devoted exclusively to the manu- facture of planers. It will be located on a seven-acre tract in Evanston, a part of Cincinnati lying north of the center of town, between Walnut Hills and Norwood. It will be on the Cincinnati, Lebanon & Northern divi- sion of the Pennsylvania Railroad. The plant will consist of a steel frame building with walls of steel sash and glass, 420 ft. long along the railroad and 210 ft. along Woodburn Avenue. The main bay, which will run parallel to the railroad, will be 60 ft. wide. Adjoining and parallel to this bay is a second one of the same length and 50 ft. wide. Alter- nate high and low side bays, 100 ft. long and 40 ft. wide, run at right angles to the main bays. The north wall will be of glass 420 ft. long and 22 ft. high. The construction will be such that every part of the build- ing will have daylight. The main bays will be served by two 20-ton, 3-motor cranes, with a clearance of 25 ft. under the crane hook. The adjoining bay will have a 15-ton crane with 19 ft. clearance. The side bays will have 3-ton cranes. Space will be reserved for the foundry, which will not be moved from its present location until the new ma- chine shop is in operation. The company’s office will be housed in a two-story brick building at the eastern end of the shop. The engineering and production departments will occupy the second floor, while the sales, accounting and ad- ministrative offices will be on the first floor. The Austin Co., Cleveland, will be in charge of the construction of the new plant which is expected to be in operation early in the fall. The McWane Cast Iron Pipe Co., Birmingham, Ala., is shipping 10 miles of precalked joint 6-in. pipe for water mains to West Palm Beach, Fla., 24- and 6-in. pipe for Coral Gables, near Miami, 21,000 ft. of 2-in. pipe to Highland, IIl., and 16,000 ft. to Fredericktown, Md. This company is also completing an order for 10 miles of 6-in. precalked joint pipe to Mauri, Hawaii, and tonnages to Cortland, N. Y.; Chester, Pa.; Mead- ham, Mass., and Gallup, Mexico. Its addition to the plant will be completed by May 1 and it will add 200 men to its working forces. April 2, 1925 EVERAL Wheel- Shaped Vallon (Walloon) Furnaces for Making Bar Iron Appear at Right, with Power Hammer in Background for Form- ing the Blooms. As the process is quite expensive, only a good quality of pig ‘ron (nearly always charcoal) is used for the charge Swedish lron and Steel Plant rive photographs grouped above show some of the operations of the Gimo-Osterby Co., in the province of Upland, a few miles north of Stockholm, Sweden. The iron works at this point have been in operation since 1335. Among the photographs particular points of interest are covered in the double pouring of open-hearth steel from a ladle which has two nozzles and two stoppers; the run of iron from a small blast furnace, in which the photo- THE IRON AGE 965 of In- Poured from Shown WO Rows gots Are Simultaneously the Ladle Below. It requires two steel pourers, each handling a stop- per of the usual type, and, of course, results in unusually quick completion of pouring, thus permitting a lower average pour- ing temperature and perhaps a more uni- form ingot quality graph shows the arrangement of bustle pipe; the peculiarly shaped Vallon forge furnace for bar iron, operated by one man to each furnace; the unusual structural arrangement in the rolling mill building, where deep concrete arches are carried across from wall to wall to support the roof, while the crane rails are carried on projections of concrete columns. A general view of the smelter at Gimo is given in one picture. Under normal conditions the company has an annual output of about 18,000 tons of ingots. 4500 tons of Vallon iron, 2000 tons of crucible steel and 12,000 tons of rolled and forged steel. 966 Machine for Reconditioning Friction Saw Blades A machine intended to facilitate the sharpening of friction saw blades, reducing the cost of reconditioning and renewing the blade, so to speak, is shown in the accompanying illustration. The usual method of sharpening such blades is by forming teeth in the periphery with a hammer and cold The Hob Revolves the Blade and Mills the Grooves chisel. This, it is claimed, seldom produces a blade that is nicked uniformly and to proper size, the metal being merely displaced by the chisel, widening the rim, which tends to increase the power required for cutting and also to increase the amount of waste on each cut. With a mushroom edge there is considerable chipping and burrs are often left on the work. It is also pointed out that with the hammer and chisel method the blades sometimes fail in service because the nicking often causes small cracks between the teeth. To overcome the difficulties cited, and also to reduce the cost of re- conditioning is the purpose of the machine illustrated, which has been placed on the market by Joseph T. Ryerson & Son, Inc., Chicago. In this machine a centering and leveling frame holds the blade in a horizontal position. The milling and serrating hob, shown at the right, revolves the blade and at the same time mills the grooves, trim- ming the rim of the saw so that the periphery is left true. At another point on the circumference of the blade a pair of milling cutters remove the slight mush- room effect from both sides of the blade. The cutting is rapid and the teeth are spaced evenly at the proper angle to the radius of the blade, and it is claimed that they have the same strength and resistance as those on a new blade. Ease of operation is a feature of the machine, it being designed for operation by unskilled workmen. The machines are installed in each of the seven Ryerson plants where their performance may be seen. The company also intends to recondition friction saws, for those having only occasional work of this kind. Operations of Ohio Foundries The report of the Ohio State Foundrymen’s Asso- ciation for February shows a slight increase in opera- tions as compared with January. The percentage of operations in February was 71.4 of capacity while January was 70.7 and February, 1924, 74.1. Stocks received show a decline, the percentage for February being 57.8, for January, 72, and February, one year ago, 60. Stocks on hand are higher than at any time in many months, being 106 per cent, as compared with 94 per cent in January and 78 per cent in February, 1924. The continued increase of stocks on hand from month.to month for the past three months indicates that business has not increased to the extent that many of the members had expected. At a meeting of the board of administration of the association held in Toledo, March 19, safety work was considered at length and renewed efforts will be made by the members to promote safety. It was decided to THE IRON AGE April 2, 1925 hold the annual meeting at Cedar Point, Ohio, the latter part of August or early in September. The next meeting of the board will be held in Dayton. New Gleason Spiral Bevel Gear Generator A spiral bevel gear generator rated as a 25-in. ma- chine but capable of handling larger diameters has been added to the line of the Gleason Works, Rochester, N. Y. The machine is intended for cutting gears or pinions having a cone distance of not over 16% in., which permits the gears of 8 to 1 ratio combination to be 32% in. in diameter and those of 3 to 1 ratio, 31.2 in., those of the 2 to 1 ratio, 29.5 in. pitch diameters. The largest pitch for which the machine is recom- mended is 1% d.p. It will be noted from the illustration that the ma- chine is equipped with an overhead tie for bracing the cutter and the work together. The cutter is set in the cradle running in an entirely inclosed housing. This construction is stressed as providing maximum rigidity, and it is claimed that in roughing out cast- steel miter gears of % d.p. full depth 4-in. face, a speed of 1 min. 50 sec. per tooth was obtained with a cutter of 0.400 in. point width, without distress to the ma- chine. The indexing mechanism, which is of the stop- wheel type, is also a feature stressed. The index change gears are placed in the constantly moving train of gearing that drives the generating movements of the machine. There are no dead gears in the generating train and close accuracy of indexing and tooth profile are obtained. In the design of the cutter spindle, which is another feature, the adjustment for end play and radial play can be made independently and without dismantling the spindle. The generating roll ratio is obtained by means of change gears, the ends of the train being worm wheels. These worm wheels are split into two pieces and are hobbed by the Whitworth method in which the hob Spiral Bevel Gears or Pinions Having a Cone Distance of Not Over 16% In. May Be Cut drives the wheel and the errors are continually halved by changing the relative positions of the two sides of the wheel and rehobbing until there is no mismatching of the teeth when a shift is made. Cutters of 18, 12 and 9 in. diameter can be used. Lubrication is effected on the cutter head by a unit system, which provides for all points except the spindle bearings. The latter have their own self-contained system which is intended to safeguard against the en- trance of foreign matter into these bearings. A separ- ate system provides for all points requiring lubrication from the work spindle. Arrangement is made for am- ple supply of coolant to the work. The machine can be arranged for either belt or motor drive, a 74%-hp. constant-speed motor being used for the latter. The machine weighs 14,000 lb. net. April 2, 1925 HIGH PRODUCTION PLANER Selective Dial Feed to Heads and Single Turn Rail Clamp Among Features Improvements intended to permit of material in- crease in production have been incorporated in the new Hyro planer of the Cincinnati Planer Co., Cincinnati, which is avail