Register-Guard, Eugene, Ore.,
rage 2Q wed., May 21, 1952
Newsprint Cost
Up in Canada
$10 a Ton Added
By 2 Producers
NEW YORK m Two of the
large Canadian newsprint pro
ducers raised their price $10 a
ton Tuesday to the highest news
print price in history.
Consolidated Paper Corporation
the second largest producer, and
Abltibi Power and Paper Co., the
tmra largest, notified their cus
tomers of price increases.
INTERNATIONAL Paper Co.,
the largest newsprint producer In
the United States and Canada, has
made no announcement concern
ing its prices thus far.
- The price varies according to
the section of the country, but on
a New York basis, the Increase
brings the cost to $126 a ton.
This is the second price increase
within a year and it compared
with a low of $40 during the de
pression years of the yearly 30's
nd the previous high of $120 in
the early 20's.
IT ADDS about 50 million dol
lars a year to the costs of Ameri-i
can publishers, who already are
finding themselves in an increas
ingly difficult cost squeeze in get
ting out a daily paper. '
The price increase becomes ef-.
fective in mid-June.
Just what the United States
newsprint producers might do was
uncertain.
The general feeling was that un
der the price stabilization act they
would have to go to Washington
for approval to hike their price
tags.
THE ANNOUNCEMENT of the
Canadian increase had been .ex
pected since last week when the
Canadian government gave per
mission for it in the face of higher
costs and the increase in the value
of the Canadian dollar compared
with the United Statei dollar.
The United States government
immediately asked Canadian, au
thorities to reconsider and rescind
its permission for the increase.
Newsprint accounts for as much
as 50 per cent of the costs of get
ting out a large metropolitan daily
and ilnoe the war's end the price
has advanced 192 per cent.
Lebanon Firm Bids Low On Grove Sewage Plant
COTTAGE GROVE The City
Council Monday night opened and
considered 12 bids from contrac
tors for construction of a sewage
disposal plant; . opened the only
answer to 21 requests to banks for
bids on bonds for the plant, and
also considered three replies for
bids on a central heating plant
for City Hall.
Recorder Don Allen opened and
read to the Council the total lump
specifications for construction of.
the same plant, snieias Dia ns,
307 and $177,774; Watts bid $125,
404 and $123,070.
Roderick commented that he
was pleased with the number of
contractors submitting bids, and
said all bids were somewhat lower
than the going price for similar
construction a year ago.
The only bid for the city's sew
age plant bond issue was sub
mitted by the First National Bank
sum bids for construction of the j of Cottage Grove. Conforming to
plant itself. Then representatives ; city's specifications, the proposed
of the bidding contractor's firms j bond issue calls for payment of
retired with Ralph Roderick, of j the $300,000 issue to be spread
the firm of consulting engineers i over a 25-year period. Under the
retained by the city, to check i terms of the bid the city would
compliance of bids with specifics- pay an average of 3.495 per cent
tions. The Council has deferred
until Thursday at 7:30 p.m. any
action on the bids, at which time
Roderick will present an analysis
of all low bids after checking
them for arithmetic and conform
ity with the city's needs.
THE THREE lowest bids were
submitted by Henry Den Herder
of Lebanon; W. H. Shields Con
struction Co. of Eugene; and J. G,
Watts of Portland. Den Herder's
lump sum bid for construction of
the plant was $110,407.90 and
$109,241.40 for "alternate B"
Businessman
Hits Red Tape
NEW YORK UP) Government
If now the dominant partner in
all business enterprises "and I
dent mean silent partner either,"
C. M. White, president of Republla
Steel Corp., told a businessmen's
convention here.
Addressing the annual meeting
ef the American Steel Warehouse
Attn., White declared:
"When I wat a little boy I
(bought company presidents were
big thott who made final deelaions
up in the front office. H--L I can't
deoide anything any more until I
heck with Washington."
The problem, he said, it to "get
Washington to deoide anything
ea faotc rather than politics and 1
teen stay out.
"First they deoide on wage sta
bilisation rules. Then they buckle
down to find ways and means to
get around these rules. This finag
ling would be a fascinating pro
cess if it didn't cost us a million
dollars per finagle."
AM ON TAUGHT HERB
LAFAYETTE, Ind.(U.R There
wat apprehension in some quar
ters when Purdue University an
nounced the inclusion of an arson
chool in its ourrioulum. Visions
ef young arsonists graduating
"aura laude" were quiokly dis
pelled, however, when the univer
sity revealed enrollment in the
tchool would be confined to police
men and firemen and only courses
Jn arson detection would be
oiierea.
Only
CREAM OF
KENTUCKY
gives you
DoublM
biib
taste!
30
$o 70
KENTUCKY WHISKEY A BtENO
M KOOf 70X GRAIN NU7ltA4 SPICffS
tenant OtM. JNC Hi. &
HICKEY-FREEMAN
CLOTHES
tretf i im &
McDonald Theater Bldt.
interest on the bonds. Average
payment per year on interest and
principal would be $18,221.
Members of the Council in
dicated in discussion that they felt
the proposed interest rate was too
high. Various reasons for this
were offered. One councilman said pared to the nearly Vk asked
failure of the city's proposed
budget was probably regarded by
(he banks as an unhealthy sign.
It was decided to submit the city's
prospectus for water and sewage
improvement to the banks in an
effort to get additional bids. This
will be discussed at the special
meeting next Thursday.
COUNCILMAN Richard Twing
noted the prospectus was prepared
by the city's engineers as con
siderable expense and should have
been sent out with the call for
bids, for banks' consideration..
On inquiry from one council
member Roderick said that in his
experience, cities were paying
from from 2H to 4 as com-
bv the Cottage Grove Bank.
The matter of the proposed
water sale contract with the
Woodard Lumber Co. was again
brought up. Councilman Twing
read a letter from the bureau of
Municipal Research in answer to
his query on the proposed con
tract. (Woodard's proposal calls
for a 10-year agreement with a
constant rate being charged for
each of two five-year periods.)
THE LETTER stated that the
right of a city to enter into a con
tractual agreement was a recog
nized part of its governmental
function. But a contract extending
beyond the term to be served by
of the "proprietary functions of the
city" the letter stated. The bureau
also advised that the proposed con
tract contained no clause provid
ing for service should the city suf
fer a water shortage. The council
decided to refer tlje matter to the
water committee to see if another
agreement can be worked out with
the Woodard company.
The matter of bids on a central
heating plant for City Hall was
referred to the property committee
after a reading of the three bids
submitted. H & S Plumbing and
Heating Co. of Eugene was low
with a bid of $1942.90 for installa
tion and purchase of the plant J.
J. Walker Co. of Cotttage Grove
the council, would be a violation was next low with a bid of $2035
Next was the bid of Roberts and
urury or Cottage Grove with a
bid of .$2450.
Aslin . UN-U
rea of S aL ' H
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