Opening Pages
5) ws — ’ ne eee se Bes ht % ESTABLISHED 1855 THE IRON AGE New York, April 23, 1925 VOL. 115, No. 17 “Dirty Steel” Under the Microscope Precautions Necessary in Preparing and Judging Specimens—Rusting, Pitting and Scratches May Mislead BY GEORGE F. COMSTOCK* NGINEERS are realizing more and more that BK steel intended for important uses, where serious stresses of various kinds will be encountered, must not be full of non-metallic inclusions if a reason- ably long life is desired. It is even being stated in specifications for some of the more troublesome parts of machinery, such as locomotive axles, that the steel may be re- jected if found with the micro- scope to be “dirty.” The recognition of such a cause for rejection of material makes it necessary that the m e t allographic test for “dirty steel” should be carried out in a skilful and reliable manner, The pur- chaser of course wishes to be sure that the steel ac- cepted is reason- ably clean, but the steel maker must be protected, also, from the results of the incompetent m e t a llographist, who can easily make any good commercial steel look exceptionally dirty to the unin- itiated eye. It is the object of this paper to describ…
5) ws — ’ ne eee se Bes ht % ESTABLISHED 1855 THE IRON AGE New York, April 23, 1925 VOL. 115, No. 17 “Dirty Steel” Under the Microscope Precautions Necessary in Preparing and Judging Specimens—Rusting, Pitting and Scratches May Mislead BY GEORGE F. COMSTOCK* NGINEERS are realizing more and more that BK steel intended for important uses, where serious stresses of various kinds will be encountered, must not be full of non-metallic inclusions if a reason- ably long life is desired. It is even being stated in specifications for some of the more troublesome parts of machinery, such as locomotive axles, that the steel may be re- jected if found with the micro- scope to be “dirty.” The recognition of such a cause for rejection of material makes it necessary that the m e t allographic test for “dirty steel” should be carried out in a skilful and reliable manner, The pur- chaser of course wishes to be sure that the steel ac- cepted is reason- ably clean, but the steel maker must be protected, also, from the results of the incompetent m e t a llographist, who can easily make any good commercial steel look exceptionally dirty to the unin- itiated eye. It is the object of this paper to describe some of the precautions necessary for the proper estimation of the degree of dirtiness or cleanness of steel, and to show how easily various accidental surface appear- ances on a polished section may be mistaken for evi- dence of “dirt” embedded in the metal. In the first place it must be clearly understood that *Metallurgist, Niagara Falls, N. Y. 1185 the term “dirty steel” is of purely relative significance. No attempt to place a definite limit between “clean steel” and “dirty steel” has yet been made. Further- more, it is safe to say that no ingot of steel was ever cast, even from the highest grade of crucible prod- uct, in which there could not be found some traces of non-metallic inclu- sions by examina- tion at high mag- nification. Steel is proper- ly considered dirty, not just because it contains such _ in- clusions, but only if an abnorma|! number of them are present. Fur- thermore, the kind of inclusions pres- ent also enters in- to the question, since a steel inten- tionally high in sulphur and hence containing numer- ous sulphides, but practically free from other inclu- sions, should net be considered dirty in the same sense as a poorly refined steel full of slag Fig. 1—Fairly Clean Steel with Numerous Pits Due to Rusting, or oxidized im- Giving the Appearance of Dirty Metal. All photomicrographs show lengthwise sections of rolled bars of soft steel, unetched and magnified 200 diameters purities. It is clear, therefore, that a bare state- ment to the effect that a given sample of steel is clean or dirty does not give more than a very indefinite suggestion of the actual condition of the metal. Selecting Samples: The first step in the determina- tion of the degree of cleanness of a mass of metal is of course the sampling, and much more attention should be given to this matter than it usually receives. The non-metallic inclusions in steel are seldom if ever uni- formly distributed so that, to get a proper idea of their Li cenit tt ek, ere te CCC a ~ ~ 4 2 : : Cea Site trae rere Ee tele te es capvpaicad aimicd ead ttc, .cie tt hla ‘ | ' 1186 THE IRON AGE size and number in the entire mass to be tested, it is essential that enough of it should be examined to in- sure that the judgment is not based on either abnor- mally clean or dirty portions. A single small sample may be fairly satisfactory for a chemical analysis or even for examination of the microstructure, but it is entirely futile to attempt an accurate estimation of the irregularly distributed in- clusions in a heat of steel, or even in a large forging like a locomotive axle, by inspecting merely a single half-inch square specimen as is too often done. Three specimens at least should be used for each examination of this kind, and they should be cut from widely sepa- rated locations in the ingot or forging. If the mate- rial to be examined has been rolled or forged, these specimens should preferably be cut in a lengthwise di- rection, as the inclusions are generally more prominent and more easily identified in such sections. Preparing Specimens: Scarcely less important than the sampling is the method of preparation of the speci- mens for microscopic examination. Text-books are apt to state that such specimens must have a final polish without scratches or other defects. That is a good April 23, 1925 ideal to aspire to, but with most fairly soft metals it is impractical and unnecessary. Leaving a jey scratches on a specimen does no harm provided the observer knows what they are. Of course, the scratches on the finished specimen must not be so deep and nu- merous as to hide the inclusions or interfere with the proper development of the structure by etching. It is much more important, however, for the study of the in- clusions or dirtiness of the steel, that there should be no pitting or incipient rustiness of the polished sur- face. It is impossible to get a proper idea of the in- clusions when the specimen is rusty or pitted, and these conditions can be corrected only by grinding away the defective surface and polishing the specimen over again. Incipient rusting of a polished specimen is a very annoying trouble. It is the result either of not drying the specimen quickly enough after wet polishing, or of polishing too long without enough polishing-powder in the water used. This defect is especially hard to avoid in hot, damp summer weather, particularly with steel rather high in silicon. It may be promoted by the use of a new polishing-cloth, from which some chemical employed in finishing the fabric was not com- Fig. 2—Segregated Streak, Showing Numerous Gray Sulphide st g greg clusion, Well Pollina’ Inclusions, and One Darker Slag In- Fig. 3—Same Streak as Fig. 2, Badly Polished, with the Inclusi, , . possible to Distinguish the Sulphide nclusions So Pitted as to Make It Im- 8 From the Slag Fig. 4—Clean Steel, Showing Very Small Sulphide Inclusions Fig. 5 Same Steel as Fig. 4, Showing Pits Produced in Polighj ng, Giving a Very Dirty Appearance April 23, 1925 Fig. 6—A Thin Streak of Alumina Inclusions, Well Polished Fig. 7—Same Streak as Fig. 6, with Inclusions Badly Pitted in Polishing pletely washed out. It causes black specks to appear all over the polished surface, and especially around the sulphide inclusions. The specks may grow into irregu- lar blotches if the rusting becomes excessive. Extreme care in drying the specimens at once, or as soon as they are taken off the final polishing wheel or the preceding wheel if it also is wet, is necessary to avoid this trouble. Fig. 1 shows the appearance of a badly rusted specimen. It is easily seen how this might be mistaken for dirty steel. Pitting of Inclusions: Pitting of the inclusions, so that they all look like rough black spots, is a rather common fault in metallographic work. The erosion of the non-metallic particles, leaving holes in the polished surface, usually occurs during a wet grinding or abra- sion step in the polishing process. For this reason abrasion with dry emery papers, rather than with emery powder suspended in water, is to be recom- mended, although it takes more time. Between the finest emery paper and the final polish, however, the writer has found it advisable to use a wet abrasion with a very fine material suspended in water. This step must be made as brief as possible and the cloth used is preferably not fuzzy like broadcloth, but harder and coarser, like canvas or duck. The wheel on which this operation is performed should not revolve too rapidly and must be kept thoroughly wet. With a fast, powerful wheel, a soft fuzzy cloth, heavy pressure, and an abrasive material of a pasty consistency, serious pitting is almost sure to occur. Even with the greatest care there is apt to be some pitting of hard inclusions, like alumina or titanium nitride, in this step of the process unless the scratches left by the emery papers on the specimen are so fine that the wet abrasion will remove them in a very short time. Sulphide, silicate, and oxide inclusions, however, should never be pitted if the polishing is properly car- ried out. Unless the specimen is rotated around the wheel during the final polishing, pits may be enlarged or even produced in this operation, and they then take the form of black streaks or “tails” extending in the direction of polishing from each inclusion. The effects of the pitting of inclusions in a polished section are that all the inclusions, including sulphides which are present in all steel, become indistinguishable and are taken to be dirt, and that their apparent size is much enlarged, so that the specimen appears much dirtier than it should. Figs. 2 and 3 illustrate how bad polishing makes it impossible to identify inclusions, and Figs. 4 and 5 show how a reasonably clean stee! containing small sulphides may by pitting be made to appear very dirty. Figs. 6 and 7 show alumina inclu- sions, well polished in the former and badly pitted in the latter. It is evident that Fig. 7 does not give a fair idea of the actual degree of dirtiness of this steel. It should also be noted in this connection that the pits formed in a polished surface may appear larger in relation to the other features of the specimen when it is examined at a low magnification than when highly magnified. This point was brought out clearly by S. Epstein in Chemical and Metallurgical Engineering for March 14, 1923, page 482, and is probably due, as he stated, to the optical properties of the lenses and illuminator used and to the slight curvature of the steel surface around the pits. The illuminator used with the lower power lenses causes too much of a shadow to appear where the steel surface is curved close to the inclusions. This effect introduces still another variable in the estimation of the true degree of dirtiness of a steel, especially where there is any trace of pitting. Of course, the pits may be made to appear much worse by throwing them just a trifle out of focus. Judging Scratches: Returning now to the subject of scratches on a polished specimen, it is important, as was stated above, that the metallographist should realize clearly just what a scratch looks like in all its forms. Fig. 8, for instance, shows two kinds of scratches on the polished surface of a specimen of soft steel. The fine thin lines are, of course, easily recog- nized as scratches, but it is not so well known that the streaks of dark specks are also a form of surface defect originating entirely in the polishing operation. Such specks might easily be mistaken for small inclu- sions and, if photographed discreetly, it would not be hard to convince a layman that they represented dirty steel. Fig. 9, however, shows the same spot, identified by the slag inclusions, with all evidence of the scratches and streaks of specks removed by proper polishing, thus proving that the latter did not represent any defect or dirt that was actually present in the metal. There are still other things beside rust, pits and scratches that may under certain conditions give a false impression of dirtiness to a specimen of normal steel. Grease spots, from the fingers or some other source, are one of these, but generally their appearance is fairly typical so that there should not be much danger of mistaking them for anything else. Specks of dust, rouge, ete., have a bad habit of attaching themselves to a polished surface, even after it is carefully wiped off, and sometimes they are quite difficult to remove. They often look very much like inclusions in the steel, ~ 28 ae nt rec ee 1 eae rg a ete 1 mere 2 hl pee ets 1188 and inexperienced observers are very apt to mistake them for evidence of dirty steel. Changing the focus slightly during close observation of such specks is a good way of discovering their true character, for they usually come into sharp focus when the steel is a little blurred. It is also a good idea to try to dislodge them with a fine camel’s hair brush applied between the objective and the specimen while looking through the microscope. The hairs of the brush can be seen sweep- ing across the field of view, so that it is certain that the speck in question has been touched, and if it does not belong in the steel it should be dislodged in this THE IRON AGE April 23, 1925 photomicrograph is taken at such a low magnification that a truly representative view of the total number and distribution of the inclusions is obtained, it is im- possible to distinguish clearly between the sulphides and the true dirt or oxidized particles. If the magnification is high enough to allow the kind of inclusion to be recognized, then it is a matter of personal choice of the photographer whether a clean or a dirty spot is shown to represent any given speci- men. The best way to solve this problem is to use the photomicrograph merely as an illustration of the type and form of inclusions present, and to report their Fig. 8—Slag Inclusions in a Badly Polished Specimen, Showing S i i ven, S g Scratches in the Fo - of Specks Looking Like Fine Inclusions eS Re Fig. 9—Same Slag Inclusions Shown in Fig. 8, Well Polished, with Both ‘ ‘ . 8, V : | the Line 5 8 of Specks Eliminated by Proper Polishing meer Soe Fig. 10—A Row of Grease Spots on the Surface of an Otherwise W i ; s 0 ell Pre ( i ok Speck of Dust Also Having the Appearance of an ieee Speelinity ener way. Fig. 10 illustrates the appearance of grease spots on a polished specimen, and also shows a speck of dust that looks like dirt in the steel. Other Possible Errors: Up to this point the sub- ject of dirty steel has been considered from the stand- point of the observer who estimates the dirtiness or cleanness of the metal by looking at specimens through the microscope. In such an estimation, of course, all parts of the polished surface should be examined by moving the stage past the objective. Occasionally, however, a photomicrograph will be offered as evidence of dirty or clean steel, and other chances of error be- side those discussed above are then introduced. If the number, or the relative dirtiness of the specimens in question, by a system of grading the entire polished 7 on the basis of the slag or oxidized inclusions only. By grading” is meant calling each specimen in turn “good,” “fair,” or “poor,” ete., or assigning a arbitrary number to each one, according to the amount of slag observed to be present. Photomicrographs are useful as evidence that such analog was intelligently carried out, with specimens at really showed inclusions and not merely poor polishing. To judge whether a given illustration indi- ernie eveeuenvenvocnevuovegey eevrvocenanunnanneverevenveroenserenssarn vaeguacevenrevenraneeuasnsenTesaté i! (Concluded on page 1244) Millions Involved in Claims—Charles M. Schwab Attacked and Defended—Ex-Sec- War Controversy Taken to Court Bethlehem Corporation and Government File Suits retary of State Colby Discusses Historic Scene at White House—Edward N. Hurley Pays Tribute to the Steel Manufacturer—President Grace Analyzes Allegations HE controversy between officials of the United States Government and the Bethlehem Shipbuild- ing Corporation, which had been pending for sev- eral years, culminated in two lawsuits filed last Friday in the Federal courts of New York and Philadelphia. The controversy grew out of differences relating to contracts between the Emergency Fleet Corporation and the Bethlehem companies during the war, and efforts were made to reach a compromise. When these proved unsuccessful, the legal proceedings were insti- tuted simultaneously by agreement of the parties con- cerned. The Government’s case was examined by Attorney General Daugherty and later by Attorney General Stone, but neither ordered any action taken. It is announced that the final proceeding was taken by direction of Attorney General Sargent. The Govern- ment’s suit, filed in Philadelphia, demands the return of $15,000,000 from the Bethlehem Steel Corporation, the Bethlehem Shipbuilding Corporation, the Bethle- hem Steel Co., the Fore River Shipbuilding Corporation and the Union Iron Works. It is charged that Mr. Schwab as head of the Fleet Corporation had failed to keep the profits of his own companies down to the cost plus basis adopted for war work—10 per cent plus the cost of construction— while he had forced other shipbuilding companies to comply with this restriction. It also alleged that false representations had been made as to the necessity of using the cost plus system, that the Government had been billed for permanent improvements to the Beth- lehem works and that overcharges had been made for wages and bonuses. In addition, the Government’s action asked for an accounting of $8,000,000 advanced by the Government to finance shipbuilding. The Bethlehem Suit The suit filed by the Bethlehem Shipbuilding Corpo- ration against the Government demands judgment for $9,744,889 on its claims plus interest and the costs and disbursements of the action, which will be large. The total amount, approximately $10,000,000, is claimed to be due on war contracts, there being 62 separate claims for money. Thirty-three demand money alleged to be owed by the Government under separate contracts, while the other items claim damages on account of “unreasonable” delay by the Government in making audits of the cust vader these contracts. The com- plaint, with contracts and other exhibits attached, makes a document of more than 800 pages, weighing several pounds, and containing about 200,000 words. Typical of the claims under specific contracts is the first cause of action, which demands $154,070, which it is claimed is due on the building of three tankers at the Fore River Shipyard. The complaint explains in great detail the reasons for the amount claimed being greater than the amount paid by the Government. Knowledge of Mr. Schwab—Ignorance of Others The Government brief declares that at the time of the organization of the Bethlehem Shipbuilding Corpo- ration and at the time of making contracts for building the ships, the defendants “were all thoroughly familiar from practical experience which had extended over a period of many years with the cost of building the URUEMAREEUAELETAAATAEOAA TUNE AOUAEA RGA CGAL CARE AER UMMM kT a Former Chairman Hurley Tells of Schwab’s Great Service—Regrets His Sincerity Is Questioned OMMENTING on the Government’s action against the Bethlehem in- terests, Edward N. Hurley, former Chairman of the United States Shipping Board, issued the following statement at Chicago: “Charles M. Schwab entered the services of our Government at a criti- cal period in the World War. If my memory serves me correctly, all of the contracts with the Bethlehem Steel Corporation for ships were made before he was appointed Director General of the Emergency Fleet Corpora- tion. “I appointed Mr. Schwab Director General with the hearty approval of President Wilson. “When the appointment was announced it heartened our people and the Allies, at a time when it looked as though the Germans were going to win the war. It had a remarkably depressing effect upon the Germans. “IT am not familiar with all of the details of the Bethlehem Steel Cor- . .- a = 4 : bi poration’s claim, but I am sorry that our great Government, in presenting its side of the case, should question the sincerity of purpose and the meth- ods of a man who rendered a great service, and whose integrity and hon- esty are believed in by the American people. es MA AA LT Te TT TT S| a ee eS ee a ec ee. ea ey 1189 ; : | 1190 THE IRON AGE April 23, 1925 various standard types of steel vessels which had prior thereto been built by said respective corporations at their respective yards, and each of the said shipbuilding corporations then maintained a large, efficient and well equipped organization engaged in the building of steel vessels.” On the other hand, the bill of complaint states, “neither the complainant nor its said agency, the Fleet Corporation, nor the United States Shipping Board, nor any members of the organization of said bodies (except Charles M. Schwab) had any such knowledge or means of acquiring the same.” Assertions as to Improvements It is also cited by the Government that the Fleet Corporation advanced $4,832,212 to the Bethlehem Cor- poration for betterment and improvement of its Ala- the said defendants of the amount so expended, paid without warrant of law, under a mistake of law.” An offer to compromise this $4,800,000 for $1,349, - 000 was made, but the Government declined and asked the court to make a decision as to what the settlement should be, Estimates Alleged to Be False The Bethlehem Shipbuilding Corporation repre. sented to the Government that it was not possible to estimate the actual cost of constructing vessels “sim- ilar to those heretofore constructed at the various plants” it operated, and proposed a cost plus contract, with a provision to take care of wage increases. But while the shipbuilding concern submitted estimates, these, the Government says, were knowingly false, in that the Bethlehem Shipbuilding Corporation, Ltd., as hereinbefore set forth, was in a position to know what would be the approximate cost of constructing said gunvsuvaruneunegngsunsnuagvaggu tzu cusuiiiusnussugnsnuagngegrneienantgrenerenngdarnsneneenenennenocsoevatsi esate atts AAA AT ATA NT MMMM LM RE Mr. Schwab’s Agreement with the Government R. SCHWAB made public a copy of a letter he wrote to the Emergency Fleet Corpora- tion in 1918, in which was contained the under- standing under which he took office. “Those connected with the Shipping Board and the Fleet Corporation,” he added, “know that I sedulously observed the arrangement that I. would keep hands off relations between the Fleet Corporation and Bethlehem. The charge now made that despite this understanding I should have affirmatively interfered in the re- lations with Bethlehem speaks for itself.’ Mr. Schwab’s letter to the Fleet Corporation follows: April 30, 1918. To the President and Trustees of the United States Shipping Board Emergency Fleet Corporation. Dear Sirs: The United States Shipping Board Emergeney Fleet Corporation, of which I have been appointed director general, has, or may in the future have, contracts or other busi- ness relations not only with the Bethlehem Steel Corporation, of which I am an officer, director and stockholder, but also with certain of its subsidiary companies, in which I am directly or indirectly interested. SHVMANOEMANNOMNNNMANUNUULUNANGOUNUUUOUUNUUUUNUANALAPTOUANEONAALSLAQE9MAAENNASOANNOANAT TANNA gata HNNeLA yi meda, Sparrows Point and Harlan plants and an office building at South Bethlehem, but that contracts in this regard were “improvident, unreasonable and unconscion- able in the following respects: The moneys so advanced were in fact expended by the defendant Bethlehem Shipbuilding Corporation, Ltd., for the greater part in making permanent and beneficial improvements in and about the said plants. “Such improvements included the dredging of chan- nels, the erection of piers and shipways of concrete, and other permanent structures, none of which had or have any salvage value and none of which are capable of removal, so that the terms and provisions in the said contracts contained whereby, under certain circum- stances, the complainant was given the right to remove the same are unconscionable and of no benefit whatever to the complainant. “On the other hand,complainant avers and shows that the said improvements have been and are of great value to the defendant Bethlehem Shipbuilding Corporation, Ltd., and hence to defendant Bethlehem Steel Corpora- tion, and that the same have been, since the completion of the vessels under the contracts herein alleged, and now are in constant use by the defendant Bethlehem Shipbuilding Corporation, Ltd., and Bethlehem Steel Corporation in their private shipbuilding work. With respect to all such expenditures, the amounts of moneys of the United States so advanced constituted a gift to I am of the opinion that it would be inad- visable for me to participate, as such director general, in the transaction of any business be- tween the Emergency Fleet Corporation and any of the said companies, with especial refer- ence to the making of contracts with or the giving of orders to such companies, and there- fore request that all business between the United States Shipping Board Emergency Fleet Corporation and the companies named below may he handled entirely by such other officers or agents of the Emergency Fleet Cor- poration as you may designate. Bethlehem Steel Corporation. Bethlehem Steel Co. Bethlehem Steel Bridge Corporation. Bethlehem Loading Co. Fore River Shipbuilding Corporation. The Detrick & Harvey Machine Co. Bethlehem Steel Products Co. Ore Steamship Corporation. Saucon Land and Improvement Co. Bethlehem Securities Co. Bethlehem Shipbuilding Corporation, Ltd. Union Iron Works Co. Union Iron Works Dry Docks Co. Yours very truly, C. M. SCHWAB. {VVDIUUGOUUGSUOAV4ACC0G000000E A EOOE0R AONE EGAN vessels, and the said amounts stated in said contracts were known by the said representatives of said corpo- ration to be very greatly in excess of any costs which could reasonably be anticipated, based upon the wage scale then in effect and the existing costs of material. . Complainant avers that said estimates and repre- sentations were made for the purpose of enabling the Bethlehem Shipbuilding Corporation, Ltd., to derive > "aAcciva Ine i excessive, unreasonable and unconscionable profits from said contracts.” Testimony of General Manager of U. S. Shipping Board A epnise Piez, former general manager of the United ates Shipping Board, testified before the “Walsh Co . ,?? Cc — of the House of Representatives, on Jan. “4, 1921, as follows: “ ’ ® iia Chairman: Now at some time during your ac oe in office Charles M. Schwab was associated as Director General, was he not? Mr. Piez: Yes, os hairman: Can you state just when he came?” <— ~~ to fix a few of these dates. Pao es lez: I am not certain, Mr, Chairman, but tink € came about April 5, 1918 We felt that ; ; : we needed some help. . . . We felt that we ought to call on Mr. Schwab for aid in this * 2 . ey 5B 3 3 4 April 23, 1925 emergency, and we asked Mr. Schwab to come down, and we spent one Sunday trying to convince him that he ought to take this position. “He was very reluctant to do it, because, as he said, he had in the neighborhood of $500,000,000 of contracts from the Government; that if he met those in the time requirement imposed he thought he was discharging his full duty. “That because of the connection between his several concerns and the Government he would be naturally the subject of attack later on, and he did not want to undergo the embarrassment of being charged in his official Federal position with favoring concerns in which he was interested and which were doing business with the Fleet Corporation. “The Chairman: What do you mean by saying ‘in matters in which Mr. Schwab was interested’? : “Mr. Piez: In which his concern was interested. I retired as a member of the board of trustees. Mr. Schwab, of course, was never made a member of the board of trustees. And it was arranged, and the records THE IRON AGE M91 will so show, that all transactions between the Emer- gency Fleet Corporation and any of the companies in which Mr. Schwab was interested should be handled by other members of the Emergency Fleet Corporaiton than himself. I will read into the record the resolu- tions on that subject: Resolved, That all contracts of the United States Shipping Board Emergehcy Fleet Corporation, after they are approved by the vice-president and secretary, whether for the oper- ating or construction divisions, be submitted to the board of trustees for their approval, and then approved by the officers of the corporation authorized by the board of trustees and formally executed. “It was finally arranged by resolution of the board that in all matters relating to concerns in which Mr. Schwab was interested, reference should be made for final decision to the board of trustees. That program was followed absolutely. We merely made recom- mendations. The board of trustees approved of, or took final action on, all contracts relating. to concerns in which Mr. Schwab was interested.” Ex-Secretary of State Colby Adds Important Chapter to the History of the Great War Ex-Secretary of State Bainbridge Colby, who was also a member of the Shipping Board, made the follow- ing statement: “Any one familiar with the facts must experience a feeling of great surprise that this suit should have been thought of, much less instituted. “I was a member of the United States Shipping Board, at the times referred to in the suit, and among the first to suggest to my associates on the board that Mr. Schwab’s help in our work should be secured. I took the matter up very promptly with Mr. Schwab himself and I well recall the weeks spent in earnest discussion with him, in an endeavor to persuade him to put his great energies and abilities at the service of the Government. “When the United States entered the war every competent shipbuilding firm was loaded up with naval work. They could take no more contracts. The Ship- ping Board was accordingly faced by the necessity of improvising a great technical industry. We had neither shipyards nor shipbuilders nor plans nor drawings; and that inestimable thing called the “know how,” which gives to British and German ship designers and workmen their great strength, was almost entirely lacking. It is to the vast credit of the earnest men who constituted the Shipping Board, and the executive and technical staffs of the Emergency Fleet Corpora- tion that this giant task was so resolutely undertaken and so well carried forward. But the actual delivery of completed ships lagged. We were falling behind our expectations. The submarine destruction was gaining on us. War Crisis Was Serious “The serious movement of troops to France was about to begin with the aid of ships belonging to the English. It was apparent that when the casualty lists began to reach home public opinion would become aroused and exacting and that there would be little patience with excuses. It was also fully realized that there is something in American psychology which makes us believe that no emergency can arise for which we do not possess some man of adequate power to meet it. This has often proved true in the past and yet not always. It seemed to me that in view of the critical situation the Shipping Board should call to its service the outstanding man in the country whose name stood for success in large scale production. That man was Charles M. Schwab. “He was very loath to undertake the work. He felt that his companies were doing all that they could. They were working overtime and at top speed on war work. Mr. Schwab felt that he should not withdraw any part of his energies from the prosecution of the important work already in hand and it required persistent and earnest effort to persuade him that it was his duty to heed the call of his country and undertake the direction of the vast and vital work of restoring the Allied ship- ping, which the German submarines were sinking at the rate of 1,000,000 tons per month. “In our determined effort to bring Mr. Schwab into the work I had finally made an appointment with him to meet President Wilson on a certain day at the White House at 2 o'clock in the afternoon. Up to that time we had failed to be convincing, and I well remember the luncheon I had with Mr. Sehwab and his associate, Mr. Grace, at the Hotel Washington, prior to our ap- pointment with the President. Mr. Grace earnestly protested that Mr. Schwab should not take up the work and I quite as earnestly brought forward such counter arguments as occurred to me. Impressive Interview with President Wilson “We had reached no agreement and the hour came when we had to keep the appointment with Mr. Wilson. I vividly recall the interview. The President, with whom I had fully discussed the question, and who was entirely in sympathy with the effort to ‘requisition’ Mr. Schwab, came out of an inner room assuming that the matter was settled and that Mr. Schwab was willing to undertake the work. He put out both his hands to Mr. Schwab and spoke in acknowledment of his sacrifices and of his patriotism in a way that would have moved any man. It affected Mr. Schwab, and in that instant his doubts and hesitation were gone and he agreed to be drafted. “With the reaching of a decision, Mr. Schwab threw himself into the work with all the ardor and energy which so remarkably characterize him. He visited the shipyards, traveling from the Atlantic to the Pacific Coast and at once infused a new spirit into the work- ers, quickened the work in every branch and began to turn out finished tonnage which at that time was the most vital need of the world. There is not a man from top to bottom, who was connected with the shipbuilding phase of our war effort who did not admire him and was not grateful to him for his incomparable aid and leadership. “During the entire period of his connection with the Fleet Corporation he scrupulously abstained from any participation in any matter affecting his companies, with which the Government was in the least degree concerned. As a matter of fact, the contracts out of which the present suit of the Government grows had all been entered into some time before Mr. Schwab was invited to accept the direction of the Fleet Corporation. + eer memanes: (Concluded on page 1245) AS a Premerenr yay PA as cme aermemerar 7 esate 1192 THE IRON AGE IMPRESSIONS OF AMERICA Swedish Metallurgist Relates Some of His Feel- ings After a Two-Months’ Lecture Tour Dr. Carl Benedicks, director of the Metallographic Institute, Stockholm, Sweden, and one of the leading metallurgists of Europe, has just completed an ex- tended tour of the United States. He sailed for En- gland on the America, Saturday, April 18. Primarily he was invited to deliver the annual Institute of Metals lecture in February, one of the features of the annual winter meeting of the American Institute of Mining and Metallurgical Engineers. An abstract of his ad- dress appeared in THE IRON AGE of Feb. 26. Since that time he has delivered eight or nine different lectures before various American universities and sev- eral chapters of the American Society for Steel Treat- ing. His last lecture was delivered Friday evening, April 17, before the New York chapter of the Ameri- can Society for Steel Treating, just prior to his sailing. His subject was the “Nature of High-Speed Steel.” It was listened to by a large and attentive audience of metallurgists of the New York district and proved to be highly instructive. Dr. Benedicks after this meeting consented to give to a representative of THE IRON AGE a brief outline of the impressions obtained during his stay in this country. “It is with much hesitation,” he said, “that I at- tempt to make a statement of my impressions during my two months sojourn in the United States. The visit was planned and arranged for most ably by W. M. Corse (National Research Council, Washington). An intense feeling of- gratitude toward the many per- sons who have contributed to make this sojourn a most delightful one may be detrimental to a really impartial analysis. Praise for Research Laboratories “The strongest impression obtained from a visit to several, large industrial laboratories in the United States is that the plant does not take the work of the laboratory merely as a help. In many places it is considered fundamental to the industry which it serves, and I need not say how well founded I discovered this to be. The excellent research work conducted by the General Electric Co., at Schenectady, by the Bell Tele- phone Laboratories at New York, and by the Union Carbide & Carbon Co., at Long Island City, N. Y., is based on thoroughly scientific procedure, with the re- sults made public, as far as I have been able to learn, in a rather unrestricted way. The publicity feature of these laboratories at least is more extensive than in my own country. I consider this a decided ad- vantage for the industry, enabling it to secure the best brains obtainable which might otherwise go to the universities or into other channels. “Tt is natural that in a country known to excel in new and efficient tools the laboratories are equipped in a most effective way. The principal aim in an Ameri- can laboratory is that efficient equipment should be at hand. Less importance seems generally to be accorded to the general location and arrangement of the labora- tories. The difficulty in their operation might be found in their considerable size, which must render quiet re- search work more difficult than in the smaller labora- tories. “The physical laboratories at the Astronomical Laboratory of the Carnegie Institution at Pasadena, Cal., stand out prominently among my impressions. An excellent laboratory, particularly on new lines, is the Experimental Station of the Bureau of Mines for ore dressing at Minneapolis, to cite only two examples of excellent American laboratories of this character. The Ford and Other Plants “The scientific organization of the operations of several large plants which I visited also stands out in my mind. Thus the almost complete perfection of the well known Gillette activities was really amaz- ing. As something unique, the organization of the April 23, 1925 Ford plants impressed itself upon me, Their orderly arrangement and cleanliness everywhere are features, the introduction of which into industry is quite re- markable. “My visit to the works of the American Rolling Mill Co., at Middletown, is one of the most interesting among many. The excellent metallurgical results ob- tained appear as the triumph of the rational and ex- cellent cooperation of a large number of individuals inspired by the same ideals. Tribute to American Business Integrity “In Europe, one often hears the expression ‘Ameri- can Humbug’ as signifying an endeavor to obtain an end in an unduly abbreviated way. This conception appears to me to be essentially derived from an earlier period. During the two months of my travels I have, at least, not come into any contact with anything of this character. On the contrary, it has struck me that there exists an uprightness in all general business mat- ters which may be taken as a model by other coun- tries. The belief that a customer is entitled to fair dealing is a conspicuous feature. Just as prominent is the great. helpfulness and hospitality one meets everywhere. Sometimes it is almost embarrassing to learn how desirous people-are of helping a stranger without the slightest consideration of the time spent. “The American has a delightful faculty of con- cealing his criticism, which I presume does exist in spite of not being shown. To a foreigner, there is an excessive heating of hotels and other public buildings amounting to serious discomfort at times. I think that rest at night would be much more restorative if proper temperature control were established. I expected to find automatic temperature control. It is frequently found in industrial furnaces but not in those for ordi- nary heating! “In passing let me say that there is no modern country where the art of printing has reached such a high’ plane and been’ #6 SKilfully developed as in the United States. A contributing cause may be the deep veneration for the classical art which one encounters so often in your country. _ “A Swedish anecdote runs something like this: ‘It is horrible how time passes quickly; it is already much more than 400 years since Columbus discovered Amer- ica.’ My first impression is likewise that it is extra- ordinary how my time in your country has passed quickly. Unfortunately, there is no opportunity for further analysis of other favorable and interesting impressions received as the result of meeting your leading metallurgists and scientists and addressing many scientific societies and university groups.” Seamless Tube Mill in Operation The seamless tube mill at the Gary Tube Co., plant, Gary, Ind., has commenced operations. It produces drill pipe and casing in sizes ranging from 4 to 12 in. in diameter. The first unit of the Gary tube works to get into production was its No. 4 lapweld mill which made its first pipe on Jan. 8. None of the buttweld mills has yet gotten into operation. The plant at present embraces five buttweld mills, four lapweld vs and one seamless mill, besides coupling, job, ma- a and blacksmith shops and a galvanizing plant. Also under construction are a 14-in. continuous skelp mill, a 16-in. continuou i : ; s skel F . versal plate mill. p mill and a 42-in. uni eS a ee wage disbursement at Youngstown, cov- middl ; — from the middle of February to the = ey March, totaled $6,476,668, representing a de- © of $889,376 from the preceding month and com- coe Pcp a distribution of $7,622,669 in the cor- to fies toon on of 1924. The decline is attributed intermitte - February is a short month and to some de meen ima in employment. For the first three months Wages, consustties at Youngstown paid $20,074,882 in ieee paring with a disbursement of $21,257,655 rresponding period in the previous year. ' 7 f peer Machine Tool Exports Gaining Every Year Since 1921 Has Shown Increases, Says Department of Commerce, and the European Market Particularly Is Expanding WASHINGTON, April 22.—American exports of metal-working machinery to all countries amounted to $14,589,511 in 1924, according to statistics from United States customs returns, representing an increase of over 20 per cent in comparison with 1922 and of approximately 8 per cent over 1923. Although the foreign demand for American machine tools may never again equal that experienced during war years, the increase in this trade since 1921 is highly satisfactory, especially when it is recalled that European competi- tion has been particularly vigorous for the last three years, Europe Most Important Machine Tool Market Exports of metal-working machinery from the United States to Europe (except Balkans) last year amounted to $7,350,146, or slightly more than 50 per cent of the total, and in 1923 to $4,853,729—represent- ing an increase of 52 per cent in our exports in 1924 over 1923. Practically every country of Europe with the exception of Belgium showed decided increases in machine tool purchases from the United States last year. Exports of this equipment to France nearly To Repair War Ravages and Lean Years, 1919 Showed Heavy Machin- ery Purchases from Abroad; Europe’s Per- centage of the Total Fell Sharply from 1915 to 1922, Since When It Has Advanced Steadily to 50 Per Cent in 1924 eeeE LEGENDS SAME AS BELOW 1910 1913 1915 (919 1920 1921 PERCENTAGES 100% 100% 100% 100% 0% 00% ASIA ——PF777 ae 44444 T77 y y , y ; y CANADA &. NEWFOUNDLAND | 1g Yy OTHER COUNTRIES — EUROPE — LATIN AMERICA~ , yy . tj ‘ / , is Y vy y , , if, _ ‘ \ 4 / A Sih 7 . _— 1922 1923 1924 DOLLARS 5,975,503 16.0975 26162968 SASOTS42 44,312.235 19,635.62! (2.117957 19104.986 14.989,51) 100% wWO0Z 100% doubled in 1924 and Germany's purchases gained by an amount well over 100 per cent. Both Spain and Italy also showed an expanding market for American metal-working machinery last year, trade with the former increasing 17 per cent over 1923 and with the latter by nearly 115 per cent. Last year Russia bought metal-working machinery valued at $227,972 from the United States, as against less than $3,000 worth in both 1922 and 1923. South American Trade Gains Practically every South American country with the exception of Brazil absorbed larger quantities of Amer- ican machine tools in 1924 than in the preceding year. Trade with South America as a whole in this equip- ment showed a satisfactory recovery after the slight decline in 1923 in comparison with 1922—metal-work- ing machinery exports amounting to $940,515 in 1924 against $852,927 in 1923 and $857,377 in 1922. Con- sidering the Latin American market as a whole, a decrease in exports amounting to approximately 7 per cent occurred last year, declines in the West Indian and Central American markets more than offsetting the gain made in South America, Asiatic Market Shows Little Expansion Asia bought American metal-working machinery valued at $2,386,220 in 1923 and $2,580,792 worth in 1924—a gain of less than 1 per cent. Practically every Asiatic market with the exception of Japan, the Philip- pines and the Dutch East Indies showed declines in American machine tool purchases last year. The gains made in those markets, however, slightly more than offset declines in exports to China and British India. Exports of metal-working machinery to British India declined from $717,757 in 1923 to $336,914 in 1924 and to China from $76,095 in 1923 to $51,345 last year. African and Australasian Trade Shows Gains Shipments of machine tools to Africa from the United States last year amounted to $247,599 and in 1923 to $158,982. This gain is obviously due to the increased demand for industrial equipment in British South Africa —the most important market on the continent. Trade with Australasia last year also showed an increase in value of equipment exported, but a decline of about one-half of one per cent in percentage of total metal- working machinery exports last year as compared with 1923. The first table gives exports of American metal-working machin- ery to all countries for selected years from 1910 to 1924, arranged by continental groups. United Kingdom Now Leads as Buyer Great Britain ranked second as a purchaser of American metal- working machinery in 1922 and 1923. Last year England ranked first, buy- ing $3,128,208 worth of this equip- ment. France rose from fourth place in 1923 to second in rank in 1924 with machine tool purchases amount- ing to $2,058,521. A feature of last as Pete, | | | THE IRON AGE April 23, 1925 United States Exports of Metal-Working Machinery (In Thousands of Dollars) 1194 1910 1913 1915 Canada, Newfoundland, etc..... $336 $2,328 $1,814 Europe (except Balkans)...... 4,831 12,2638 25,127 South America .......eseeeee. 305 572 165 Mexico and Central America.... 126 98 49 i ee ae 45 129 107 Total Latin America....... $476 $798 $321 Asia (except Asia Minor)...... 156 199 534 AMWMETAIOABIA 20 cccccccccscccccce 154 463 304 BEE” ose bserbee ovr secooress 19 37 42 Other GOUMtFIOS 2... ccccccccccns 2 9 20 Total, all countries........ $5,976 $16,097 $28,163 year’s trade was the decline in exports of this equip- ment shipped to Canada—$1,751,892 worth, a decrease of more than $1,000,000 as compared with the 1923 figure, when Canada stood first. The following table gives American exports of metal-working machinery to the twenty-one leading markets of the world: United States Exports of Metal-Working Machinery Destination Rank 1924 Rank 1923 Rank 1922 United K’gdom 1 $3,128,208 2 $2,451,499 2 $2,133,440 France ...... 2 2,058,521 4 1,091,967 5 1,021,942 SRE. tetina > 3 1,981,033 3 1,484,618 4 1,469,394 CE. sands 4 1,751,892 1 2,956,589 3 1,630,584 Australia 5 639,749 6 638,618 7 413,542 Germany ; 6 545,315 11 209,474 17 77,120 BMOEICO ..cics 7 352,279 7 585,728 6 446,920 CUBR cecssiesc 8 345,761 8 382,640 9 236,724 British India.. 9 336,914 5 717,757 1 2,404,384 en ST eee 10 324,020 9 280,350 11 228,815 TUNE. sonunnet 11 304,376 15 142,263 15 $2,157 Russia in Europe .... 12 227,972 <o) oo reenbe co ath abails British South AGFIOR. co vvce 13 222,765 16 139,353 21 61,234 Argentina .... 14 214,889 12 204,321 14 158,090 CD: ockunness 15 213,494 14 187,977 12 200,001 Netherlands .. 16 201,532 17 123,859 23 52,562 Belgium ..... 17 192,488 10 220,680 13 160,221 PAM oc cec008 18 187,082 13 199,889 10 233,891 Sweden ...... 19 155,492 18 111,591 24 30,832 OEE cen cvcce 20 119,749 20 79,011 18 73,636 New Zealand... 21 106,686 19 85,962 20 69,455 Total, to all countries. . $14,589,511 $13,104,586 $12,117,957 SUPevneneanenananenenepnanennanenssnnsnneseeseepeneeentUAADUOneROneNtann co OSeNTANUNELLONHOUERSDHOREONASONANETOEREOORELAGONAUOELAGETOEAOTABDUDNALANOGEAALOD MANEGOARIFEMUBEAON UE Portland Cement Output High During March 11,034,000 bbl. of Portland cement was produced, according to figures of the United States Geological Survey. This compares with 8,255,000 bbl. in February, a seasonal increase, and with 10,370,000 bbl. in March, 1924. The production in the current month was the greatest ever recorded for that month. Correspondingly the production for the first quarter, at 28,145,000 bbl., was the highest for the first quarter of any year, exceeding by 1% per cent last year’s record-breaking total of 27,746,000 bbl. As the active season has begun, high production figures are expected in the next few months. Stocks at the end of March aggregated 20,444,000 bbl., and represent about two months’ shipments at the March rate. New Sheet Mill of Tennessee Company BIRMINGHAM, ALA., April 20.—Additions to the new sheet mill of the Tennessee Coal, Iron & Railroad Co. now under construction will materially increase production and cost upward of $1,000,000. The plant will be finished within the next four to eight weeks. “Metal Statistics, 1925” has just been issued by the American Metal Market Co., 11 Cliff Street, New York. In addition to the usual tables and statistics contained in previous editions, this one offers several new ones not heretofore published and covers a wider scope than previous editions. 1919 1920 1921 1922 1923 1924 $4,041 ,830 $1,226 $1,635 $2,965 $1,768 40,982 5,267 8,569 3,914 4,854 7,350 2,033 1,952 1,764 857 853 941 421 752 871 506 707 495 808 1,364 725 284 433 408 $3,262 $4,067 $3,361 $1,647 $1,993 $1,844