Sunday
Edition
Partly Cloudy
Weather Report, Page BA
LANE COUNTY'S HOME NEWSPAPER
95th Year, No. 363
SEVEN SECTIONS 80 PAGES
Eugene, Oregon, October 21, 1962
Second Class Postage
Paid at Eugene, Oregon
Sunday, 15 Cents
Football
For Details, See
Oregon ...
Air Force . .
...35
...20
Oregon State ..40
I Pacific 6
I Washington 14
i, Stanford 0
I Wash. State .121
f Indiana 15
? USC .. 32
k California 6
Business Was
But
By BOB NEWCOMB
Of the Register-Guard
Although the economy of Eugene, Spring
field and Lane County remained in apparent
good health during the year's just-ended third
quarter, judging from a number of indica
tors, and although businessmen are hope
ful this trend will continue, the future ap
pears somewhat uncertain.
Bank deposits, loans and debits all were
up during the quarter. Retailers say bus
iness was on the uptrend and employment
building permits issued and postal receipts
bear out the contention.
In a random survey last week, all area
businessmen interviewed reported business on
the increase during the third quarter. Motel
owners and downtown Eugene retailers cred
ited the activity at least in part to the
increased tourism resulting from the Seattle
World's Fair.
Each of several motel owners contacted
reported their lodgings were filled to capacity
during the three-month period. One motel
proprietor reported that business was 33 per
cent above the same third quarter of 1961,
due apparently to the World's Fair traffic.
One large Eugene retailer reports increases
of 6.5 per cent for July, 16.4 per cent for Au
gust and 6.87 for September above those same
months last year. For the first nine months of
the year, he said, sales were 11 per cent ahead
of the first nine months of 1961.
Other large stores In Eugene also reported
steady percentage increases for those months
compared with 1961 figures, and most mer
chants were agreed that with the approach
ing Christmas season always a busy time
for the retailers business would continue
good, although they do not necessarily ex
pect similar percentage gains in that period.
Several other factors indicate that the
just-ended third quarter was a period of in
creasing financial activity on the part of Lane
residents.
Eugene Postmaster Ethan Newman said
postal receipts in the city for July, August
and September totaled $366,819 4 or 5 per
cent above receipts for the same period of
1961.
Receipts in July this year actually dropped
off from the July, 1961, figure $116,297
compared to $121,847 last year but in
creases in August and September brought the
total up to its higher level. It was an all
time high in receipts for that period, Newman
reports.
In the months of July, August and Septem
ber, construction throughout Lane County
continued generally higher than recorded for
those months a year ago. Lane County issued
permits with valuations totaling $425,905 in
that period, racking up increases for each of
the three months compared to year-ago figures.
Eugene's totals reached a valuation of
$5,360,760 for the three months, compared to
$4,169,177 for the previous year's period.
Third-quarter building permits issued by
the city of Springfield totaled $1,168,205
approximately $678,000 more than the valua
tion in permits issued in the same period of
1961.
The rate of unemployment in Lane County
during the three-month period further re
flects a steadily improving picture of the
county's economic health.
The unemployment rate indicating the
percentage of persons covered by unemploy
ment insurance was 3.1 per cent in July;
2.3 per cent in August and 2 1 per cent in
September. Compare those rates with the same
months a year ago 3.3 for July; 3.3 for
August; 3.0 for September.
Total employment in Lane County in
September reached 61,800, according to the
State Employment office in Eugene an in
crease of about 2,700 over the same month
a year ago.
Another economic indicator bank debits
(representing the dollar volume of checks
Contempt Cases Postponed
Against Barnett, Johnson
NEW ORLEANS, La. I They were found in civil con
Contempt cases against Missis- tempt last month for their ac
o,iv.mnr and lieutenant ; tion in preventing Meredith's
governor were put off Satur-1
a. ..nn thi. work as a federal
appeals court failed to act. The appeals court Friday is-j Officials scurried to find a
The 5th US Circuit Court of sued sweeping preliminary in- s stand in for Kennedy, who can
Anneals is considering whether , junction, blocking Barnett, a ecled a weekend visit to Seattle
to fine or imprison Gov. Ross number of other slate officials and flew bark to Washington
Barnett and LI Gov. Paul B. ! and their successors from inter- because of a cold.
Johnson Jr for their actions i fering with Meredith so long as I The fair broke I weekday al
n ihe lame's H Meredith into-! he remains a student at Ole ; tendance record Friday with
iration case I Ml5S- 1 n,ore ,h,n 9i' on hand-
Scores
Sports Section
Pitt ...
UCLA
8
6
Northwestern ..18
Ohio State 14
Texas 7
Arkansas 3
Alabama 27
Tennessee 7
Wisconsin 42
Iowa 14
Future
drawn against banking accounts) seem to veri
fy that Emerald Empire business continued
active in the past quarter.
In Eugene, bank debits in July totaled
$116.3 million 20 per cent ahead of July,
1961; 122.1 million in August, 14 per cent
ahead of last year; $115.4 million in Septem
ber, 12 per cent greater than last year. The
figures are reported by the Federal Reserve
Bank of San Francisco.
Eugene's three banking institutions
Citizens, U.S. National and First National
banks have just released figures for the
third quarter, showing a general increase
compared with the same period a year ago.
Citizens Bank, with offices in Eugene and
Springfield, reported deposits totalling $13,
042,953 and loans of $8,090,535 as of Sept.
28. Figures reported by Citizens one year ago
were $12,149,990 in deposits; $6,552,479 in
loans.
U.S. National Bank, with branches in Eu
gene, Cottage Grove, Junction City and Spring
field, reported in nearly all eases gains In
both deposits and loans.
Combined totals for U.S. National's Eugene
branches reached $37,082,710 in deposits at
the end of the quarter, $21,088,765 in loans
and discounts. Comparative figures for last
year at the same time: $33,477,038 in de
posits; $19,288,170 in loans.
In Springfield, deposits for that firm this
year were down-slightly compared with the
year-ago figures $7,683,750 this year as
compared to $8,147,067 last year, for a $463,317
dip. But loans this year reached $3,332,312
compared to $2,875,158 a year ago.
Figures for the two other U.S. National
branches in Lane County:
Cottage Grove Deposits of $2,662,707
Sept 28 as compared to $1,799,948 last year;
Loans of $1,225,148 this year compared to
$815,613 a year ago.
Junction City Deposits of $3,435,450
this year, compared to $3,340,759 last. Loans
were $1,176,962 this year, $882,770, in 1961.
Eugene area branches of the First Na
tional Bank of Oregon reported third-quarter
deposits of $72,543,564 and outstanding loans
of $42,495,465, according to M. O. Dahl, vice
president and manager of the main Eugene
branch.
Comparable totals for the previous year
were $61,054,146 in deposits; $33,852,624 in
loans.
At Springfield, S. H. Peterson Jr., manager
of First National's branch there, reported in
creases in both deposits and loans. At the end
of the quarter this year, deposits stood at
$9,873,103; loans at $4,539,720. Last years
figures $9,469,215 in deposits; $4,083,544
in loans.
First National's Monroe branch, managed
by G. E. Ruby, had $1,245,178 in deposits and
$786,578 in loans, this year compared to the
previous year's figures of $1,076,314 in de
posits, $630,270 in loans.
First National Bank, on a statewide basis,
experienced an all-time high in both loans
and deposits during the just-ended quarter,
according to bank president R. J. Voss of
Portland.
Whether the business activity reflected in
some of these statistics can be expected to con
tinue on the uptrend will depend on many
factors, not the least of which is the general
health of the state's leading industry lumber.
The Oregon Business Review, published
monthly by the University of Oregon Bureau
of Business Research, offers this comment:
"Despite the favorable trend of current
statistics on economic developments, many
observers are concerned about the future.
This concern is based on the slowing of the
growth rates shown by most economic in
dicators." Regarding the lumber industry, the Re
view adds: "Although employment and produc
tion figures appear reasonably good, prices
and profits are not satisfactory and there is
little prospect for improvement."
enrollment at the University of
i Mississippi.
Heavy Casualties Reported
Indians Recoil
NEW -DELHI, India WV
Wave after wave of howling
Red Chinese troops firing
burp-guns under thundering
mortar cover drove Indian
soldiers back on two fronts
Saturday along their disput
ed Himalayan border. Both
sides reported heavy casual
ties in the battles that began
before dawn and continued
after dark.
The Indian government said
the Chinese threw one, possi
bly two divisions into an at
tack on Indian positions along
a 15-mile front two miles up
in the snow covered Hima
layas on India's northeast
frontier. Three Indian out
posts were reported captured
Qood
-
?
Fair Prepares
For Final Day
SEATTLE, Wash, ifl Big
crowds pushed into the Seattle
World's Fair Saturday as the
exposition prepared to end its
six-month run Sunday in cere
j mony and solvency but without
President Kennedy.
as the Chinese drove south
across the Nam Kha (Kechi
lang) River.
Indian troops retreated to
positions as much as four
miles south of the line India
claims as its borders. India
had maintained outposts with
in a mile of that line.
On the other fighting front,
in the Chip Chap Valley of
Ladakh 900 miles to the north
west, Indian soldiers fell back
from one and possibly a sec
ond outpost before the Chi
nese onslaught. '
Indian troops were said to
be regrouping in both areas
and Indian Defense Minister
V. K. Krishna Menon, fre
quent champion of Red China,
vowed that India will "fight
on, come what may, until the
aggression is vacated."
"For every Indian soldier
the Chinese kill, we will kill
many," Menon declared in a
speech to a cheering crowd in
New Delhi in which he fre
quently used the word "war."
"Every war has its reverses,
its good and bad days, but
these are the test of a na
tion's mettle," he said. "This
is war where every tiller in
the field, every worker in the
factory is a frontline soldier."
Despite New Delhi's recent
warnings that it would drive
the Chinese out of territory
India claims, Menon admit
ted that Indian troops were
surprised by the proportions
of the Chinese attack.
He told newsmen at a brief
ing that Indian troops put up
stiff resistance before retreat
ing, and inflicted heavy losses
Catholics
Pledge Work
For Mankind
VATICAN CITY 11 The Ro
man Catholic Ecumenical Coun
cil pledged itself Saturday to
work for the welfare and broth
erhood of all men and all na
tions. At the same time it named
seven key commissions reflect
ing broad international repre
sentation. Many of the council fathers
seemed generally satisfied with
the outcome, although there
were indications of some excep
tions. Of the members elected to
the proposal-drafting commis
sions, 64 bishops about 57 per
cent were among those recom
mended by a reformist coalition
of west-central Europeans.
But the more conservative tra
ditionalists also showed strength
in the procedural maneuvering.
In its declaration of purposes
and hopes, the worldwide as
sembly of 2,700 Roman Catholic
prelates ' pledged their efforts
for the unity of all people as
brothers, "irrespective , of the
race or nation to which they be
long." They voiced their determina
tion to oppose injustices and in
equities that blight mankind so
that the "life of man may De-
come more human."
And they appealed to "all our
brothers who believe in Christ
and all men of good will" to
join in the struggle "to estab
lish in the world a more oracrea
way of living and greater broth
erhood." The election of the members
of the seven commissions, the
first of 10 in all, climaxed a
week of suspense over the re
sult. Pope John XXIII changed
council rules to require only
pluralities rather than major
ities on the basis of a first bal
lot cast last Tuesday. Each com
mission is to have 16 bishops
elected by the council and eight
appointed by the Pope.
Traditionalists so far appar
ently could claim at least I stra
tegic score. But the makeup of
the commissions seemed to lean
somewhat toward the reform
ists. No hard-and-fast lines could
he drawn.
INSIDE TODAY
Births 3A
Editorials 8A
Sports 1.511
TV Previews ...6B
Classified ..Sec. C
Theaters
Women's News ...
Drama and Arts
Books and Hobbies
Home and Garden.
6D
....3,4E
..-6,7E
9E
..10, HE
on the Chinese. Indian losses
were heavy too, he said. He
gave no figures but expressed,
certainty that Communist loss
es outnumbered Indian cas
ualties 4-1.
A Red China broadcast
heard in Tokyo said the Chi
nese had suffered heavy loss
es "under the fierce shelling
of Indian troops."
The broadcast by the New
China News Agency gave no
figures.
Prime Minister Nehru last
week ordered Indian troops to
drive the Chinese out of the
U.S. Watches
Foes' 'Limited Objective'
Cited as Safety Factor
By JOHN M. HIGHTOWER
Of the Associated Press
WASHINGTON State Department officials kept a
close watch on reports of heavy fighting between Indian
and Red Chinese forces Saturday. But they said both
sides probably have limited objectives which should keep
the conflict from exploding into a big Asian war.
The Kennedy administration is evidently prepared to
sell Prime Minister Nehru's government military equip
ment if he requests it for his forces in the face of the
Red Chinese pressure. How-
ever, oflicials said tne In
dians have not made any
such requests.
Official thinking here is that
the scope of the conflict should
be known rather quickly. With
the onset of winter in the high
mountains of the India-China
border regions, heavy snows
and freezing winds within the
next 10 days or two weeks
would normally put a halt to
all military operations.
The private view of U.S. of
ficials is that while India and
Red China have long disputed
the border division in the re
gion, the Chinese Communists
bear responsibility for stirring
up the current struggle.
Behind the so far sharply
limited conflict, however, are
powerful conflicting forces
which give it a much greater
potential significance
Leaders of both the Eisen
hower and Kennedy administra
tions have consistently con
ceived of the cold war struggle
in Asia as being determined in
the long run by the results of
the rivalry between India and
Communist China. India has
concentrated on building up its
civilian economy; Red China
has focused on generating mili
tary power.
Chinas pressure on India, if
sufficiently intensified, could
force Nehru to devote more re
sources to creation of military
power.
Water: j
U. S. Crisis
About 40 per cent of '
the U.S. population drinks
re used water water that
has been through the sew-
crs of some other city be-, i
fore purification. For in-
stance, Pittsburgh's sew- .i
age plants empty into the t
Ohio River, Cincinnati
takes the water out for
drinking purposes and in
turn dumps its sewage
back into the river, Lou
isville repeats the process,
and so on down the river.
Some Ohio River towns
use water that has been
flushed down the sewers
of ten other communities.
A housewife on Long
Island draws a glass of f
water and grimaces at the
two-inch head of froth .... t,
As the bacteria count f
soars, Rensselaer, N.Y., or-
ders its residents to boil S
all drinking water ... jf
Typhoid fever breaks a
out in Kccne, N. H. "Sew-
er worker's fever" sudden- r
ly crops up in the Mis- '
souri River Valley.
These are the warning
signals cropping up across v
the nation. The disaster
they forebode: That the
nation blessed with re- ;
sources which are the en
vy of the world may one I
day die of plain, simple '
I thirst. ;
I While the continent still
j has the generous supply '
of water nature endowed j
it with, the use and '
' abuse of that water has
Increased drastically. Just
how drastically is made
clear in a disquieting re
?, port on Page 7D today.
Before Chinese
disputed zones. He set no date
for action, however, and with
winter approaching it had ap
peared that both sides might
dig in until spring. India must
supply its troops there by air
or porters, while Red Chinese
trucks can drive from the Ti
betan plateau almost up to the
McMahon Line, which India
recognizes as its border.
Each side blamed the other
for the outbreak of fighting,
the heaviest in the three-year
border dispute.
At U.N. headquarters in
New York, Indian delegation
Berlin Danger
Now Seen
Early in 1963
WASHINGTON Wl The
Kenned? administration appears.
to be revising its estimates of
the Soviet timetable for a show
down with the Western powers
over Berlin. The period of max
imum danger is now expected
to come early next year rather
than before Christmas.
How the situation actually de
velops will be determined in
part by Soviet Premier Khru
shchev's decision on whether to
visit the United Nations and
have a Berlin crisis conference
with President Kennedy in the
next few weeks.
Administration policy makers
said Saturday that however the
timing develops they are more
than ever convinced by last
week's diplomatic developments
that the dangers of U.S.-Soviet
conflict are not diminishing and
that there is no prospect in the
predictable future of an East
West accord on West Berlin's
future.
Primary Concern
President Kennedy, Secretary
of State Dean Rusk and other
administration spokesmen have
been expressing grave concern
over the Berlin situation for
several weeks. Officials say pri
vately that their primary con
cern is to make Khrushchev un
derstand there will be no West
ern concessions on vital inter
ests in Berlin even if the West
has to fight to protect those
interests.
At the same time some offi
cials privately agree that i re
lated purpose of the administra
tion's campaign is' to emphasize
to the American people that In
the administration's view Ber
lin presents i far greater dan
ger than the Communist mili
tary buildup in Cuba.
Administration authorities in
sist that the line will not change
after the Nov. 6 election.
Exchange of Views
Last week brought what
amounted to a long distance ex
change of views between Ken
ncdy and Khrushchev through
Ambassador Foy Kohler in Mos
cow and Foreign Minister An
drei A. Gromyko, who came to
Washington.
The results of this exchange
arc primarily these:
Khrushchev advised Ken
ncdy that he wants to continue
East-West talks for awhile in
stead of letting the Berlin diss
pute come to a quick climax.
Khrushchev made It clear
through both Kohler and Gro
myko that he was considering
a visit to the United Nations in
late November.
Gromyko and his advisers
told Kennedy, Rusk and other
American officials emphatically
and without qualification al
though with full diplomatic
courtesy that Russia intends to
make a separate peace treaty
with East Germany; also that
Russia cannot understand why
the United States insists that
Western forces must remain in
West Berlin.
sources said India has no in
tention of complaining to the
U. N. Security Council about
the fighting. The sources said
that despite the hostilities,
India remains in favor of ad
mitting Red China to the Unit
ed Nations.
By Indian account, the bat
tle flared at 5 a.m. (6:30 p.m.
Eastern Standard Time) Fri
day, when the Chinese opened
fire on Indian outposts in the
area.
The Indians were forced to
pull back from Khinzemane
and a place called Tsangle,
Border War
n
Trip
Off
, '! '
Tanker, Oil Barges Collide;
Six Known Dead, 13 Missing
LUTCHER, La. Wl The list
of known dead from the colli
sion of a Norwegian tanker and
string of oil barges on the
Mississippi River climbed to six
early Sunday as rescue workers
removed five charred bodies
from the disabled Bohcmc.
Heat and fire still kept coast
guardsmen and other workers
from some sections in the stern
of the ship. Thirteen other per
sons, including a woman, are
still missing. All are crew mem
bers. The bodies were burned be
yond recognition.
The Boheme carrying high
ly-explosive chemicals and oil
collided with four drifting
barges early Saturday.
Coast guardsmen battled
flames in the stern of the 13,-500-ton
tanker, hoping to keep
the fire from touching off the
cargo of nitrate solvents in the
vessell's midsection.
Retarded Find a Haven I
For one little 8-year-old Eugene boy, life isn't half bad. 'J
He lives with his mother and father, his two brothers and j
his sister. He attends school Monday through Friday, and ,
his place in the world is secure. '
But had his parents taken some advice eight years ago, i
when Freddy was born, he would have B V,t""f.J
been separated from his family placed Jfl - f
in an institution. Ho was born mentally p t m
retarded. And today his development is . ' " J 1
less than half that of t normal child his fc
own age. yt l ';
Despite his handicap, his parents loved ' "it ?,
him as they did their other children, and
decided ho should live at home to be given the chance to ,
live as normal a life as possible.
For the first two years of his life, Freddy was In 111
health, contracting pneumonia three times. His develop
mcnt was slow. He sat tip at ten months. When he was 2
years old, he learned to walk. At 4, he began to talk.
Today his speech Is understandable only to those who :
are with him a great deal of the time. Yet not unlike a .
normal child Freddy longs for friends, affection and self- ( i
confidence. j
He has found those things at Eugene's Pearl Buck :
School, along with 47 other mentally retarded boys and :
girls In Lane County who are learning to get along with ;
other children and to acquire simple skills that will help ;
them become useful persons In a sheltered environment. ',
Pearl Buck is operated by the Assn. for the Help of
Retarded Children, Inc., one of the 35 agencies in Oregon .j
receiving support through the United Appeal. i
outposts at either end of a
Chinese salient.
This left the Indians fight
ing three to four miles south
of the McMahon Line.
Khinzemane is between
Thag La Ridge, which India
says is the McMahon Line at
that point, and the Nam Kha
River to the south, and is on
the west bank of the Nyam
jang (Manas) River.
It is 10 to 15 miles north
east of Dhola (Che Dong),
chief Indian post in the area
hugged in a close corner by
the Tibet and Bhutan borders.
(AP Wlrephoto)
Donning hat and coat, President Ken
nedy leaves a Chicago hotel Saturday
to return to Washington rather than
continue the remainder of his trip. His
physician advised the Chief Executive
to cancel the trip because of a slight
cold. He was to have been in Seattle
Sunday.
The impact of the collision
set off a scries of explosions
and fires on the tanker and also
on the four oil barges, which
had broken loose from a tow
boat. An officer of the Norwegian
ship, who declined to be named, -said
he was certain the missing
13 including one woman were
scaled in the burning stern.
"Of course they're dead. We
won't know until tomorrow
(Monday) when the fires are
out and we can get in there."
Coast Guard firefighters'
sprayed water onto the drums
containing the dangerous solv
ents, hoping to keep them cool
enough to.prevcnt an explosion.
"If that stuff goes, there
won't be anything left of the
ship," said a representative of
American Cynamid Co., from
whose Luling, La., plant the
nitrate solvent was loaded
aboard the Boheme.