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About Eugene register-guard. (Eugene, Or.) 1930-1983 | View Entire Issue (April 13, 1962)
Page A EUGENE REGISTER-GUARD, Friday, April 13, 1962 Aid Formula May Settle School Issues N.Y. Teacher Strike Called Off Thursday NEW YORK Uft The state's Republican governor and the city Democratic mayor huddled for 3V4 hours here Thursday night and came up with a for mula that will give city schools an additional $13 million and possibly permit final settlement of the dispute that led to a one day teachers' strike. The strike by the United Fed eration of Teachers (AFL-CIO) was called off Thursday follow ing a court order. Charles Cogen, president of the union, said Thursday night that with the additional funds "we think we can go back and negotiate." The formula by which the state gives aid to city schools has been a bone of contention between Gov. Nelson A. Rocke feller and Mayor Robert F. Wagner, with Wagner charging that the state had shortchanged the city and Rockefeller calling Wagner a buck-passer. Caught in the middle, the Board of Education said it could not possibly offer the city's teachers more than a total of $28 million in raises for the next fiscal year. The UFT, demanding $53 million but in no case less than $33.8 million called the strike. The agreement by Rockefel ler and Wagner enables the city to borrow the $48.6 million it needs for current school opera tions from the $62 million it is to receive next September. After the city repays the $48.6 in September, it will have $13.4 million less interest charges. It will then keep bor borrowing from year to year, under a plan of deferred payment. (AP Wlraphoto) Chairman Roger M. Blough of the U.S. Steel Corp. points a finger, talks and adjusts his glasses during a press f j conference in New York Thursday L6I6nClS afternoon at which he refused to back down on the $6-a-ton rise in the j- , price of steel. His refusal was firm JjOOSt even in tne face of President Kenne dy's denunciation of the raise and in the face of a pending federal grand jury investigation of the increase. Justice Dept. Files Suit Against CBS NEW YORK MV-The Justice Department in an antitrust suit Friday charged the Columbia Broadcasting System with forc ing affiliated television stations to take nearly all their after noon and evening programs from the CBS network. The civil action, in U. S. Dis trict Court in Manhattan, was announced by Atty. Gen. Robert F. Kennedy. Kennedy said the suit accused CBS of using a new compensa tion plan to force its programs on affiliated stations. Tearful Elizabeth Taylor Leaves Night Glub Alone ROME W rJiiabeth Taylor went home alone from a night club date with Richard Burton early Friday and an onlooker said the film beauty had tears In her eyes. An unidentified friend es corted the actress to her car. while Burton remained at their table. Later the actor, who has been Miss Taylor's leading man both on and off the movie set since she parted from singer Eddie Fisher, walked out of the club alone and went to a nearby bar. One photographer said Bur ton had a bruise and swelling on his forehead which had not been seen there the night be fore. Brought Dogs Along The couple arrived separately earlier in the evening at a hotel cocktail lounge and then went on to the night club together. Miss Taylor, 30, brought two of her pet Yorkshire terriers along. The dogs went home with her. Burton today was reported at work on the set of "Cleopatra," in which he plays Marc Antony to Miss Taylor's Cleopatra. The studio said Miss Taylot was not at work but might be on the set Friday afternoon. A Vatican weekly newspaper meanwhile attacked Miss Taylor for her marital record and warned that she may end up an "erotic wanderer, forever wltn out a safe haven." Wouldn't Comment A studio spokesman said the actress would not comment on the editorial lashing given her by L'Osservatore Delia Domen ica the Sunday Observer. Miss Taylor was reared a Christian Scientist but converted to Juda ism after the death of her third husband, producer Mike Todd. The Vatican City weekly, in a blistering letter addressed to "Dear Madam but leaving no doubt that it was meant for Miss Taylor, said she was not fit to be the mother of her own three children and an adopted flaxen-haired German girl of 14 months. Steel Chairman Replies to Critics Price Hike Held Negligible The suit asked that the plan be declared a violation of the Sherman Antitrust Act and that CBS be ordered to abandon it. The government complaint said CBS affiliates, under the plan, are required to take more programs from CBS in order to receive the same amount of rev enue, d. As a result, the government said, independent program sup pliers and non-network adver tisers are denied the most de sirable broadcast times on the CBS-affiliated stations. There was no immediate com ment from CBS. Before the new compensation plan was adopted in January 1961, the complaint said, most CBS affiliates presented five hours of network programs a week without compensation, but received 30 per cent of their normal time rates for each ad ditional hour of network pro gramming. Under the new plan, the gov ernment said, the affiliates re ceive 10 per cent of their nor mal rates for the first 60 per cent of network programs which CBS asked them to show and 60 per cent of their normal rates for each additional hour. The suit said this eliminated competition in the production and sale of programs by inde pendent producers and sup pliers and by the affiliated sta tions. CBS has about 200 affiliated television stations and owns and operates five, In New York, Chicago, Philadelphia, Los An geles and St. Louis. NEW YORK (UrD Board Chairman Roger M. Blough of U.S. Sfeel answered his critics from President Kennedy to the man in the street by calling the announced increase in steel prices "almost negligible." Blough read a 1,500-word statement at a jammed news conference Thursday afternoon and declared the $6 per ton hike in steel prices would ultimately benefit the nation. The statement did little to stem the tide of criticism flow ing from the White House, al though some government eco nomists said privately the price rise would not hurt business expansion. , Secretary of Commerce Luth er H. Hodges held a news con ference of bis own in Manhattan and said the men responsible for the price increase "said in effect that United States Steel comes first, the United States of America second." Blough, 58, closely guarded by city detectives and other se curity guards, opened the na tionally televised news confer ence with an obvious reference to Kennedy, who has called the price increase "wholly unjusti field and irresponsible." Deeply Concerned "We do not question the sin cerity of anyone who disagrees with the action we have taken," he said. "Neither do we believe that anyone can properly as sume that we are less deeply concerned with the welfare, the strength and the vitality of this nation than are those who have criticized our actions." Blough said the "almost neg ligible" price rise was necessary to modernize steel plants. He said this would create more jobs, taxes and make the United States stronger in worldwide economic competition. Blough said U.S. Steel had never given the administration a pledge not to raise prices. "No assurances were asked and none were given regarding price action as far as I am concerned or any other individual con- (ScottsSS Your Medical Pharmacy .. IS A MEMBER OF OUR COMMUNITY HEALTH TEAM Both doctor and pharmacist ate pledged to a single purpose to safeguard and Improve the health of you and your community. SEE US FOR SICKROOM SUPPLIES AND WHEEL CHAIRS Your prescription service pharmacy MEDICAL PttARMACV 199 EAST BROADWAY "on the corner" A greener lawn is up to you I Wishing won't make grass Jk'recner. turf builder will! lU steady-feeding granules give vour lawn the balanced diet It I needs for true beauty without burning, without causing extra I mowing. Stroll on odorless, clean TURF BUILDER with the work- luvlng Scotta Spreader, your year-round way to a better lawn automatically! Buy Both $190 IU OPPOSITE EUGENE HOTEL 0 'Your Friendly Pharmacists- JOHN DAYTON RITCHEY RUST VANCE VAUPEL 24HR. PRESCRIPTION SERVICE AVAILABLE J No Charge (or Delivery In Eugene Area DI 505-1S Save $5.00 I TURF BUILDER life Riving nutrition, builds thicker, greener lawn, 1 Ibag, 5000 sq. It 4.991 ! Spreader for SCOTTS precise application of every product needed to insure t better lawn 1 6.95 if bought separately 2 1 .901 ugene ardware lllroadway &bak PI 5-3112 nected with our corporation," he said. Blough, who earns about $300,000 a year as U.S. Steel board chairman, said that steel costs since 1958 "have gone up far more than the announced increase of yesterday." Blough expressed surprise at an estimate that the steel hike would add $1 billion to defense expenditudes. Direct sales to the Defense Department, In cluding sales through subcon tractors and everybody else, would account for only about $20 million extra, he said. The increase, he said, adds almost negligibly to materials costs in every-day products. As typical, he mentioned 65 cents for a small refrigerator, $10.64 on a standard-size car, three cents for an electric toaster, 70 Welfare Commission To Meet in Medford SALEM (fl The State Pub lic Welfare Commission will meet April 27 in Medford for the second series of regular re gional sessions in the six dis tricts of the state. The regional meetings are de signed to give the public, as well as persons connected with the county welfare commissions, a chance to ask questions and make suggestions. The first of the regional meet ings was held in Eugene. Others have been scheduled for As toria, Pendleton, Hood River and Klamath Falls. cents for a domestic 4-burner range, five one-hundreths of a cent on a common-sized food can. Foreign Imports Blough spoke throughout In calm, deliberate tones, some times hesitating, and with ap parent reluctance to generate any new friction by use of strong terms. He said foreign imports of steel were a very serious prob lem, and stressed the role of up-to-date machinery and equip ment in meeting their chal lenge. Without such improvements, he added, "no sales will be made, no work provided, no taxes available and our inter national competitive positions, our balance of payments, our gold reserves and our national growth will seriously suffer." Hodges, former North Caro lina governor, met with news men about 30 minutes after Blough made his defense. He said that "any firm or in dustry is free to set prices as it sees fit." But he added that "it is free to make mistakles and I believe the steel indus try's mistake is a tragic one. "It's action is a disservice to the country and to the business community as a whole." First in Four Years Hodges admitted that while steel prices have not risen in four years labor cost per ton of steel did not increase "essen tially" during the same period. "As a former businessman," he declared, "I am confident that the business community as a whole is disturbed by this de velopment." Hodges said he did "not en joy criticizing a major Ameri can industry." But ne aeciareu th. Knuanim0iii ha "a clear re sponsibility to speak out when private actions are laneo which mav wpii ipnnarHi7A the contin uation of a healthy free enter prise system. 'The SECRET WRITINGS of the EGYPTIAN GNOSTICS' A free public lecture by Mr. Frank Linton of Portland at the Theosophical Library, 1471 Patterson St., Eugene. Sunday, April 15th at 8 p.m. MOSAIC TILE Exciting new hobby See big selection at . . . McDaniel Lumber Co. !40 RI.er Rd. DIS-33S! Water Supply Cut BERLIN U) The West Ber lin water company cut oft the water upply Thursday to tht north railroad station, close to the Communist's Berlin wall. They found that East German authorities, who control the rail roads, were using water from the station to repair the wall dividing the city. 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