Kennedy Administration, Business
Are Coming Closer Together Today
By SAM DAWSON
AP Business News Analyst
NKW YOKK (AH) The Ken
nedy administration and business
are getting closer together today
on at least one disputed issue:
Tax allowances for the wear and
tear on machines and plants.
The President has been urging
speedier modernization of indus
try to promote economic growth.
Industry has been charging it is
held back by obsolete tax rules.
The Treasury now indicatea it
will be more liberal as many
businessmen have been asking in
allowing quicker depreciation
writeotls for tax purposes.
It has taken the f'rst step by
rutting the writeoff time for many ;
kinds of textile machinery to as i
low as IS years from the previous I
2i years. It is studying other in-!
duslnes burdened with plants and ,
machinery made obsolete in re
rent years by the big speedup in
technology. i
In return for this promised
shortening of depreciation time
schedules where found justified.
business leaders indicate they II
look with more favor on a Ken
nedy administration pet scheme:
A tax allowance as a reward for
the purchase of new equipment.
Unander Opens
Portland Office
PORTLAND (AP) Temporary
headquarters for Sig I'nander's
campaign for the Republican Sen
atorial nomination have been
opened in Portland in the Failing
Building.
Robert Elfstrom. Salem. Repub
lican state representative, is
Inander's campaigr chairman.
L'nander will have at least two
opponents and peihaps more in
the primary electior next spring.
Robert F. Cook. Silverton farm
er who has unsuccessfully sought
other offices in the past, has an
nounced. So has Glenn Biixey,
Corvallis.
Dr. Harold Livingston, Oregon
State University speech professor,
is mentioned as another possible
candidate.
Each hopes for the nomination
which would pit him against Sen.
Wayne L. Morse in the fall election.
At first the President proposed
a sliding scale giving the biggest
tax allowance to firms making un
usually heavy investments. This
was changed by the House Ways
& Means Committee to a flat re
duction of 8 per cent of the equip
ment cost. The modified bill,
which Treasury officials indicate
the administration will accept, is
docketed for first order of com
mittee business in the new session
in January.
But businessmen aren't primar
ily interested in this untried de
vice. What they have sought is an
updating of the depreciation rule3.
last revised in 1SH2. Today they
are cheered by the concession to
the textile industry and the as
surance of Henry F. howler, un
dersecretary of the Treasury, that
other industries are being studied.
This is how the shorter depreci
ation time works: If a company
must write off a million-dollar
equipment purchase over 25 years,
it can take a depreciation allow
ance for tax purposes of $40,000
a year. But il it can write off the
cost in 15 years, it can deduct
about $67,000 a year.
With the corporate income tax
rale at 52 per cent, this difference
of $27,000 means that the company
has about $13,500 more cash avail
able each year.
The U.S. Treasury would get
less taxes during the faster write
off period. But business spokes
men a'rgue that shorter or longer
schedules work out in the long run
to the same total payments, as
suming the machinery is in use
throughout the allowed deprecia
tion period.
Businessmen also contend that
today machinery becomes obso
lete much faster than in calmer
eras when the tax rules were
made. A number of industries
have told Congress they are stuck
with obsolete machinery valued
for tax purposes at the originrl
price but which can't be replaced
at even twice that cost.
Steel made a point of this in its
dispute with .President Kennedy
over prices, saying earnings must
rise to pay for costlier plants.
Railroads bemoan the lack of tax
aids in replacing their obsolete
equipment.
Other L'.S. industrialists note
that most other nations permit
faster writeoffs and that many
grant other tax incentives in the
year of a new purchase. American
companies complain that their old
plants cant compete with the
modern ones recently built in
western Europe and Japan.
SECOND SECTION XOSEBURG. ORE. TUESDAY, OCTOBER 17, 1961 244-61 1
I
Educational Aspects Aired
At In-Service Discussions
Gen. Walker Heads
For Pacific Staff
WASHINGTON (AP) Maj.
Gen. Edwin A. Walker, the con
troversial former commander of
the 24th Infantry Division, is
headed tor a statf job in the Pa
cific command.
The Army in a terse announce
ment Friday said that Walker
would go to Hawaii next month
to become assistant chief of staff
for operations, plans and training
in the Pacific command.
Walker was officially admon
ished by the Army in June. He
was relieved of command of the
24th Division in Germany in AprU
and returned to the United States
recently to await reassignment.
Secretary of Defense Robert S.
McNamara told the Senate armed
services committee in September
that Walker was admonished for
two reasons:
1. Conducting an indoctrination
program that included "inflam
matory and derogatory state
ments" about former public offi
cials, including former President
i Harry S. Truman.
2. Attempting, tnrougn anicies
in the division newspapers, to in
fluence the troops' votes in the
1960 congressional elections.
Oregon Senator
Visiting Ghana
ACCRA, Ghana (AP Sen.
Maunne Neuberger. D-Oie., ar
rived in Ghana Sunday for a two
day visit.
She was accompanied by Sen.
Albert Gore. D-Tenn., his wife.
n.l rarl Man- rhipf of staff for
I the Senate Foreign Relations
Committee.
Gore said the purpose of the
visit is to learn more about Ghana
and reinforce U.S. policies in the
I area.
Kefauver Opens
New Drug Meets
WASHINGTON (AP) Sen.
Estes Kefauver, D-Tenn., opened
a new series of drug hearings Mon
day with a renewed charge that
drug prices are too high. Repub
licans disagreed.
Thus the Senate Antiturst and
Monopoly subcommittee, headed
by Kefauver, began three days of
testimony on patent aspects of a
Kefauver bill which he said should
lower drug prices.
Before testimony could begin,
the chairman clashed with two
Republican members over his re
view of the hearings.
"One fundamental fact dis
closed that by an; test and under
I any standard, prices and profits
in the ethical drug industry are
i excessive and unreasonable," Ke
Ifauver said.
Senate Republican Leader Ev
erett M. Dirksen of Illinois called
the chairm n's statement "very
unfortunate." He said it "gave the
impression of a subcommittee
conclusion" rather than one sen
ator's views.
Sen. Roman R. Hruska. R-Neb..
said he was confident that when
the subcommittee drafted its con
clusions, it would not decide drug
prices and profits are too high
"by any test and under any
standard."
Kefauver's bill would require a
drug company to license a com
petitor to use a product after
three years instead of the pres
ent 17.
U.S. High Court Upholds
State Ruling On Prisoners
SALEM (AP) Ally. Gen.)
nuueu i. morion said recent
ly that his office has been up
held by the U.S. Supremo Court
decision which declined to review
a lower court order saying Ore
gon State penitentiary prisoners
are not denied access to court.
The Supreme Court left un
changed a previous decision of the
Ninth Circuit Court of Appeals in
San Francisco. The Circuit Court
ruling had reversed a Federal
District Court injunction holding
Many Attend National
Indignation Convention
DALLAS. Tex. (AP)-The first
meeting of the National Indigna
tion Convention furmAf t nr.
test the training of Yugoslav pi
lots oy the United States drew
about 1.200 persons this week.
Frank B. McCeheia chairman
of the group, told a cheering
crowd "the entire inited States
is looking to see how indignant
and resolute we are."
Mctiehce, a garage owner, was
one ot several persons who drove
to Pernn Air Force base neari
Sherman Fridav mpht In nmlnd :
the training of Yugoslav pilots I
w
SAVE THIS AD PRICES GOOD THROUGH SAT., CCT 21stE
BLACK CAT VALUES!!
GET-READY-FOR WINTER SPECIALS!
Come and Ger Them Buy Where You Save More
Friday, October 13th through Saturday, October. 21 sr.
ATCO FIBRATED I DAP Caulking Gun I CHEX RUST
Asphalt Emu!$ion And Cartridge METAL PRIMER
wot $1A4
msJNOwl05 $229-.T..Nr 1 NOWONLV'255 .
SKIL MODEL 533 j 4 Pounds Fuller Asphalt Asbestos
5Vi" COMPACT SAW Wood Sash Putty Fiber Cement
$39.95 NOW
'2995
66c NOW ONLY 62c . NOW 38'
-IN. EXTERIOR FIBER-PLY OVERLAY PLYWOOD
Good For Sign Painting Work,
Sub-Flooring, Sheathing, Exterior
Siding, Form Work, and 101
Others Uses $4.75 per sheet
U Sheet
25 Sheets or more
TREMENDOUS SAVINGS on FIBERGLASS INSULATION
70 sq. ft. Roll, 3" Thick was $6.30 NOW $4.48
140 sq. ft. Roll, U" Economy - was $8.40 NOW $6.16
25 sq. ft. Bag Pouring Wool - was $1.75 NOW $1.37
2 in. Putty Knife
was
$1.15
now 76c
Plastic Drop Cloth
51'
wot
$1.10
NOW.
HIGHEST QUALITY FULLER
2020 Outside White
was
$7.6S NOW
is
2?
Gol.
The Finest of Roofing
Materials Made . , .
JOHNS -MANVILLE ROOFING
215 lb. Composition 3-Tab Shingles - were $9.95 . . NOW $8.42
90 lb. Roll Mineral Surfaced - was $4.45 NOW $3.89
45 lb. Pilot Smooth Surfaced - was $2.95 NOW $2.44
4 in. FLAGGED GRE-SOF ssi'-storing fri-hung
NYLON BRUSH IZ'Jr STORM DOORS
$7.95 NOW 40c NOW ONLY $34.65 NOW 29"...
.JH lYLE ' K" 27 6,L Gjrbae C,n 17 Ft. Weatherstrip
10 FT. CALV. Gutter u.-,-... c.,i.
Put tt Out Of S.9M " w.. MU
"ot $129 o J1095 w0 I44
$1.70 NOW $24.75. NOW 1 $1.80 . NOW
Buy Where You SAVE The Most ALWAYS On Building Materials
BUILDING SUPPLY
COMPANY
FLEGEL WAREHOUSE 1 block off Diamond Lake BUd , ot the stop light
OR 2-2636
W. German Forces
To Appear In Film
PARIS (AP) Seven hundred
troops of the U.S. 8th Infantry
Division will be brought to Nor
mandy from West Germany next
neck for filming o'. a motion pic
ture. A spokesman for the U.S. Eu
ropean Command said Monday the
Department of Defense approved
a request for the troops made by
producer Darryl Zanuck. The
spokesman said the approval was
quite proper because the troops
will be considered on a training
exercise.
Allied invaders stormed ashore
at Normandy June 6, 1944.
The movie company recently
waa supplied about lSO LI.S. Army
Rangers for scenes depicting tho
oiooay assault ot the then Nazi
held Normandy.
At that time there was tome
criticism in Congress.
Zorin, Stevenson
Meet Again Soon
UNITED NATIONS. N. Y. fAPl
Soviet Deputy Foreign Minister
: Valerian A. Zorin and U.S. Am
' bassador Adlai E. Stevenson are
expected to meet again soon in
an effort to break the deadlock
over appointment of an acting
U.N. secretary-general.
! Zorin told I go-between over the
weekend ho would like to see
Stevenson again on the matter.
Stevenson lately has preferred
to talk to Zorin through inter
mediaries. But the intermediaries
feel they have done about all they
can and Zorin and Stevenson now
must work out an agreement
themselves.
1 Since their last previous meet
ing, last Tuesday, both men have
made public statements pinpoint
ing the issues that have arisen
in their negotiations for an inter
im successor to the late Dag
Hammarskjold to serve until April
I 1963. '
Humanitarian Awards
Given At Sutherlin High
Edna Williams, senior, and Ron
Heatnn, junior, were named as
recipients of Sutherlin High School
FHA humanitarian awards for
September.
F.dna was chosen for her par
ticipation in school activities and
her scholastic ability. She is presi
dent of the newlydormed Drama
Club.
This is F.dna's third year as a
varsity cheerleader. She was a
junior varisty cheerleader her
freshman year. She is a member
of Honor Society. Pep ( lub. CAA.
Girls' League, Student Council and
Drama Club.
Ron Heaton. was selected for
his cooperative spirit with students
and teachers alike.
So far in his junior year he has
concentrated on band and drama
club.
that penitentiary resulutions un
constitutionally deprived the in
mates of access to the courts.
Seven convicts at the state
penitentiary instituted the origi
nal legal action in Juno of 19.S8,
asking relief in federal District
Court under the federal civil rights
statutes.
The purpose of the proceedings
was to stop the warden from en
forcing penitentiary regulations
which limited the tunes anil
places in which inmates coulJ
engage in legal research and
preparation of legal papers.
The Circuit Court held that
there had been no showing thai
tho regulations denied access to
the courts and that in fact access
was allowed.
The court cited many previously
filed legal actions of the petition
ing convicts.
Thornton represented the
warden, deputy warden, the pen
itentiary and the State Board of
Control composed of the gover
nor, secretary of state and state
treasurer in tho action.
Thornton also extended con
gratulations to Peter S. Herman
and Lloyd G. Hammel. assistant
attorney generals for their work
on the case.
Sutherlin Hmh School teachers
took part in lour major activities
at the District 130 C In Service Day
held recently. J
Teachers from the senior and
junior high schools met with the
Sutherlin School Board. Some
ureas discussed were: Attracting
and retianing competent teachers,
improving instruction in the class
looms, needs for special education
teachers, improving instruction in
the classrooms, needs for special
education teachers in the Sutherlin
sclool district and aspects of
teacher welfare such as .irofes
sional growth, opportunity and re
sponsibility for graduate study,
workshops, leaves-of absence and
in-service training.
At the Sutherlin Eduraiion As
sociation meeting, goals fur the
1 school year were adopted. These
goals were: To improve publio re-
Nationalist Chinese
Reward Two Defectors
TAIPEr. Formosa. (AP) The
Chinese Nationalist air force to
day presented $22,500 worth of
gold bars to two members of the
Chinese Communist air force who
defected and brought a small
crop-dusting plane with them Oct.
1-
The Nationalist air force has a
schedule of payments it makes to
Chinese Communist airmen who
defect and bring along a plane.
I.ition. In up grade instruction in
the district, to develop an orien
tation program to heip new teach
ers in tlie district; to revise the
constitution in order to take an
advantage of the Oregon Educa
tion Association work being done
at the state level They also plan
to establish closer relations be
tween the Future Teachers of
America and the SEA. Represent
atives from the DougCo Credit
I m m and the Horace .Mann In
surance Co. were present at tho
meeting.
At the high school faculty meet
ing educators discussed four nine
week grading periods instead of
the present six-week grading pe
riods: the policy of student make
up work; and the self-evaluation
program being carried on in tho
Inch school.
Through the day, different eval
uation committees met. The self,
evaluation is part of the require
ments for membership in the
Northwest Accrediting Association.
The study was started last year.
During the last week of March,
a Visiting committee from the de
partment will be at Sutherlin to
evaluate the self evaluation program.
Buckaroos Win First
The Portland Buckaroos. de
fending champs of the Western
Hockey League, got the circuit's
new season started Friday night
hv whinntnff lit 1 n, Anonla.
'Blades 7 3.
Foreign Trade Institute
Accepts Roseburg Man
James Fritz of Reseburg has
been accepted as a member of
the 1961-62 class of the world I
famed American Institute for ror-'
eisn Trade at Phoenix. Am. )
Fnti. son of Mr. and Mis. O
Fritz, 326 W. Hazel wan graduated
from I niversity of Oregon as an
academic major in the field of
business, lie is taking the school's
intensive ninetnonth post graduate
training course in preparation for
a career in American business or
government abroad.
If certified for graduation. Fritz
will he awarded a bachelor of lor- j
eign trade degree in May of 1K2 . .
NEW FACE, SAME SPORTING HEART
We might as well tell you straight off: Corvair's the car for the driving enthusiast. Think
that 1pm you out? Mayba. Maybe not.
Until you've driven one, you really can't say for sure, because Corvair'a kind of driving is
like no other in the land. The amazing air-cooled rear engine seos to that. You swing around
curves flat as you please, in complete control. You whip through the sticky spots other carl
should keep out of in the first place. (Especially this year, now that vou can get Pom traction
as an extra-cost option.) You stop smoothly, levelly with Corvair's beautifully balanced,
bigger brakes.
And Corvair's found other new ways to please you this year. A forced-air heater and
defroster are standard equipment on all coupes, sedans and both Monza and 700 Station
Wagons. So are dual sunshades and front-door armrests and some other goodies. You'll note
some new styling, inside and out, Nice. And safety-belt installation is easier, too, and cheaper.
Another extra-cost option well worth considering is the heavy-duty front and rear suspension:
it turns a Corvair into a real tiger.
So you ran see we haven't really done niUeli to Corvair this year. Why on earth should we?
If this car, just as she is, can't nuke a driving enthusiast out of you, better take a cab.
A New World oj Worth
M here's America's only thoroughbred sports car, the '(2 CORVETTE. We warn you: If you drive a Corvette after
jour first sampling of a Corvair, you may well end up a two-car man. And who eould blame you?
See the '62 Conoir ovd Corvette at your local aulliorized Chevrolet dealer's
HANSEN MOTOR COMPANY
OAK and STEPHENS ROSEBURG ORchard 3-4446