t
Capita!
THE WEATHER HERE
GENERALLY FAIR tonight and
Tuesday with slightly cooler
temperatures. Lowest tonight,
43; highest Tuesday, 74.
Maximum yesterday, W: minimum to
day. A3. Total 24 -hour precipitation. 3;
(or month. 131; normal. 13. Saaon pre
cipitation, 1 51; normal. S3. River hwirtt,
-3 3 ltt. (Report br U.S. Weather Bu
reau )
HOME
EDITION
If
61st Year, No. 223 EZfjruEftZZ Salem, Oregon, Monday, September 19,
a Pages)
Price 5c
ffl! lI(TP
Coal Mines of
Nation Closed
By Walk-out
Diggers Strike on
Their Own Crying "No
Pension, No Work"
Pittsburgh, Sept. 19 Wt Coal
mines shut down across the na
tion today as John L. Lewis'
diggers struck again on their
own this time crying "No pen
sion, no work."
Production of anthracite (hard
coal) and bituminous (soft coal)
is being choked off by anger of
tht United Mine Workers over
President Lewis' suspension of
pension and welfare fund pay
ments. Actually, miners' pent-up feel
ings are aimed at southern coal
operators who refused any more
20 cent per ton royalty pay
ments into the welfare fund un
til a new contract is signed.
The refusal prompted Lewis'
suspension of welfare benefits.
480,000 to Be Idled
Most of the UMW's 480,000
members in 20 states are expec
ted to be idle by nightfall.
Lewis said the welfare pay
stop is due to the fund running
low on cash. But it's all part.of
the UMW fight for a new con
tract. He's deadlocked with op
erators after prolonged talks.
Walkouts started last midnight
and gained headway over the
coal fields today as come-to-work
whistles blew In vain
UMW leaders Insisted the un
ion's rank and file is acting on
its own initiative, that Lewis has
Issued no strike call. He never
does.
West Virginia, biggest soft
coal producing state, reported
its 120,000 miners joining the
stoppage.
Pennsylvania, No. 2 on the
producing parade, saw miners
refusing to show up at pits
across the state.
Pennsylvania Hit
The western Pennsylvania
coal operators association said
no miners were working in the
rich bituminous belt employing
56,000. All big mines in central
Pennsylvania, employing 45,000
also were down.
Onlv a few of eastern Penn
sylvania's 80,000 hard coal
miners showed up for work.
They sat around and talked for
a while and then went Home
The great majority never reach
ed the mines. Many industry
leaders had expected the hard
coal mines to continue working
since the operators have con
tinued royalty payments. The
anthracite pension fund is ad
ministered separately from the
bituminous fund.
The United States Steel cor
poration said all its coal mining
operations in Pennsylvania, West
Virginia and Kentucky were
closed with 16,000 men idle. The
steel corporation's mines have a
daily production of 90,000 tons.
Lewis Silent
On Shut-down
Washington, Sept. 19 Wl
John L. Lewis today kept silent
on the shutdown of the coal
mines.
The United Mine Workers
' leader sent word to reporters
that he would have no statement
of any kind today.
Lewis would not say definitely
whether he would attend the
resumption of negotiations with
the Southern Coal Producers as
sociation at Bluefield, W. Va.
tomorrow.
However, It was considered
likely that he would remain in
Washington and skip the Blue
field session. He is expected to
attend the negotiations with the
northern and western operators
at White Sulphur Springs, W.
Va.. on Wednesday.
Meantime, neither the White
House or Cyrus Ching, federal
mediation chief, had anything
to say about the coal walkout.
Ching is tied up with nego
tiations in the steel dispute. He
took the position that "we have
to deal with one thing at a
time."
However, Joseph E. Moody,
president of the Southern Coal
Producers association, saw
Ching and Attorney John C.
Gall, counsel for the coal asso
ciation, during the noon recess
in the steel talks.
First Effort at
Mediation in
Steel Strike Fails
Another Peace Meet
Scheduled Later
Strike Called Saturday
Washington, Sept. 19 U.R
The government failed today In
its first effort to mediate in the
steel strike set for midnight Sat
urday, but another peace confer
ence was scheduled for later In
the day.
After nearly three hours of
discussion, first with both union
and management representa
tives and then with the industry
group, Federal Mediation Direc
tor Cyrus S. Ching admitted he
had failed to break the deadlock.
Both Sides Stand Pat
Ching said the steel companies
were standing by their previous
refusal to accept as the basis for
negotiations the pension and in
surance benefits recommended
for the steelworkers by presi
dent Truman's fact-f i n d i n g
board
CIO President Philip Murray.
leading the union's delegation,
announced at the start of the
meeting that 1,000,000 steel
workers would walk out Satur
day night unless the companies
started bargaining "here and
now" on those recommendations.
When the first conference
broke up, both sides were stand
ing pat.
Ching told reporters, how
ever, that he planned to meet
separately with the management
and union negotiators later today.
(Concluded on Pare S, Column 7)
Ford Strike Set
September 29
Detroit, Sept. 19 (UKThe
CIO United Auto Workers to
day set a strike 1 deadline of
Thursday, September 29, against
the Ford Motor company . un
less fourth-round economic de
mands are met.
UAW President Walter P.
Reuther gave Ford notice of in
tention to cancel his union's
contract at that time.
A strike of Ford's 115.000
production employes would shut
down 33 plants across the na
tion, idle tens of thousands of
other workers in a short time
and choke off production of 6,
340 cars a day.
Cancellation of the contract
meant a strike under the UAW's
traditional "no contract, no
work" policy.
However, there was no break
off in negotiations and settle
ment of the UAW's pension
health insurance and other de
mands still was considered
likely before the strike dead
line.
Termination of the contract.
extended on a day-to-day basis
since July 15, was taken as a
bid by Reuther to strengthen his
hand at the bargaining table.
Reuther is seeking company
financed $100 pensions for
workers over 60 with 25 years'
experience.
jr 3XV . i.l
aLM.(
: s - ,""Vy tiaiiianiii(iiiiii n'm mi ewinraiieiwiM.i.w.e
U U A l i - K . a
British Pound Devaluation
Cheapens Other Currencies
Salem Company Takes Airport Above, men of Company
B, 162nd infantry regiment, Oregon National Guard, from Sa
lem unload from troop carrier planes of the air force at the
Medford airport in the first airborne operation of the Oregon
National Guard since the war. Below, Company B men move
on the Medford airport to take the airport, using blank ammunition.
All Schools
In Operation
All of the units of the Salem
school district were in opera
tion Monday as pupils congre
gated for their second week of
class work. Parrish junior
high, Lincoln and Washington
elementary schools that were
delayed a week because of con
struction work were functioning
although under somewhat of a
handicap.
The office of the superinten
dent reported total registration
of 7492, just eight shy of the
predicted 7500.
The total enrollment includ
ed 3764 in the elementary de
partment with Hayesville, the
latest suburban area to be added
to the consolidated district, pro
viding 99 pupils below the sev
enth grades. The balance are
being transported to Parish jun
ior high.
Slight Increases were shown
in registration at eight of the
elementary buildings over a
week ago. Bush has the larg
est enrollment of the grades
with a total of 545, including
119 first graders.
Another congested spot is En
glewood where 471 pupils were
registered. Highland has 375
with 94 of them being in the
first grade.
Senior high's registration
Monday was 1704, a jump of
113 over a week ago. Leslie
junior high's registration of 708
was up 30.
At Parrish junior high where
Carl Aschenbrenner said "some
of the teachers may be a bit
surprised to find carpenters or
other mechanics in their rooms.
reported a preliminary enroll
ment of 963. This number is
approximately 20 more than a
year ago.
Price of Gold Hiked
London, Sept. 19 flJ.m The
price of gold was fixed officially
today at 248 shillings per fine
ounce. The old price at the
week-end before devaluation
was 172 shillings and three
pence.
0NG Gets First Airborne
Operation at Medford
By MARGARET MAG EE .
Oregon's National Guard had its first airborne operation since
the War Sunday, when Salem's Company B, 162nd infantry regi
ment captured Medford's airport.
The Salem Guard troops, numbering 55 enlisted men, and five
officers, left the capital city at 11:45 a.m. aboard three C46s from
the 2343rd air force reserve
training center, at Portland.
Turmoil Caused
All Oyer Globe
By British Action
London, Sept. 19 P A 10.5
percent cut in the dollar value
of the pound sterling hit the
British public today like a blow
In the fare. There was financial
turmoil the world over.
The labor government, in a
desperate gamble to save the
nation from threatened bank
ruptcy, hunger and misery,
slashed the worth of the pound
last night from $4.03 to $2.80.
Banks were closed. The Lon
don stock exchange and those
France, Holland, Greece,
South Africa and many other
countries were shut down. For
eign exchange trading was for
bidden in much of Europe and
the sterling area. In London,
harried brokers traded stocks
and bonds on the sidewalk.
Business at Standstill
Business was at a virtual
standstill in this great . city
which once was the financial
and economic heart of the world.
Eleven nations of Europe and
Asia auickly cheapened their
money to match the British
move. Cabinets In other world
capitals held emergency sessions
to decide what to do,
It was the biggest financial
turmoil the world has seen since
Britain went off the gold stan
dard on another September
Duncan Upholds Flagg's
Phone Budget Rejection
Circuit Judge Duncan in an opinion handed down Monday in
the case of Pacific Telephone & Telegraph company vs. George H.
Flagg, utilities commissioner upholds the commissioner in reject
ing certain budget items in plaintiff's contract with the American
Telephone & Telegraph company -
The court holds that the plain
tiff must establish a reasonable
need for the services rendered
and to show that it is not dis
proportionate to the value of the
services to the plaintiff.
The court modifies the com
missioner's order by eliminating
that portion which requires the
plaintiff to order or requisition
service from the American com
pany as, he says, "the statute
is not deemed to confer author
ity on the commission to pre
scribe for utilities the method of
their doing business."
The case arose over the plain
tiff in its 1948 and 1949 budgets
setting up certain items which
to furnish to plaintiff and pro
vides no guide for determining
in any detail the extent of the
service or its value to the plain
tiff. Evidence of expenditures of
American in carrying on its ac
tivities, which are the basis of
the service charge, is valuable
only Insofar as the same is of
aid in determining the value to
the plaintiff of the proposed
service. It is incumbent upon
the plaintiff to establish a rea
sonable need for the services
and that the amount budgeted
is not disproportionate to the
value to plaintiff of the services
The court is of the opinion these
facts have not been established
it proposes to pay to tne Amer-and ,hat the finding, and order
ican Telephone & Telegraph,-. tn. commissioner reiectine
the budget Items in dispute are
company under a license con
tract based on the gross earn
ings of the plaintiff for certain
rviri rpnriprpd.
The license contract provides! holding the budget items con-
for a rate not exceeding 2H per trary to public Interest held that
reasonable and lawful.'
The commissioner's order
King Cancels Moose Hunt
Stockholm, Sept. 19 King
Gustaf V of Sweden today can-
Alla,4 harftiiH nf failinff health
his scheduled participation in'cent of plaintiff's gross earnings'the money paid to the American
tomorrow's traditional royal totaling $363,000 for 1948 and Telephone & Telegraph compa-
moose hunt A court announce
ment said the 91-year-old mon
arch if suffering from Increased
$317,000 tor 1949.
"The contract is general In
its terms." says the decision of
hortnes of breath, wearinessjJudge Duncan, "as to the serv-
and cough.
ices which American Is required (tract.
ny should be based on the value
of the actual services rendered
rather than on an arbitrary ba
sis as set up In the license con-
Airport Road
Being Paved
The county oiling crew start
ed work Monday on paving the
extension of 25th street from
Mission street into the Salem
airport two days ahead of schedule.
Start of the work had been
set for Wednesday, but rains the
latter part of last week took the
crew and equipment off the
county roads and set them back
into the shops and while here
it was decided to get in the air
port improvement at once and
a shovel was sent to a local
gravel, plant while the rest of
the crew was sent to the airport
road.
The road now has a 40-foot
width which doesn't make much
difference as the city owns the
land at one side of it and can
widen it out as much as it
wishes.
The present plans call for an
18-foot two-lane pavement
which eventually is to be doub
led into a four-lane road and
nrobablv an 80-foot right of
way when funds are available
About half the road is in the
city limits and the other half
of it a county road. As a result
under an agreement between the
city and county the city did
grading and preparation work
on the entire road, the county
will use its crew to oil rock it
and pave it and they will charge
the work done by each back to
the other party.
Reject Plea for
2nd Fireman
Washington, Sept. 19 Wi A
presidential emergency board
today rejected a union demand
that railroads assign a second
fireman on diesel locomotives.
Saying there is no need for
an extra ureman on any type
of diesel locomotive now in use,
the board turned down the re
quest made by the Brotherhood
of Locomotive Firemen and En
ginemen. The board also rejected union
demands for:
1. A fireman on rail motor
cars: and
2. Equalization of pay for
firemen on oil-burning and elec
tric locomotives with pay scales
on coal-burning and diesel loco
motives.
Recently the same board had
denied a plea of the Brotherhood
of Locomotive Engineers for a
second engineer on diesels.
The firemen's union had con
tended an extra fireman on die
sels was needed from a safety
standpoint and also because the
more efficient diesel engines
were eliminating jobs of fire
men.
Shortly after 1 p.m. they dis
embarked at the Medford air
port and immediately began
preparations for their attack on
the airport.
Under the command of Capt
Burl Cox the men inched for
ward, staying close to the
ground, and moved up on the
apron and hangar area of the
Medford field. Supporting the
riflemen were 60 mm mortars to
the rear. Other company B of
ficers making the airborne trip
with the men were First Lt. Joe
Meier, and Second Lieutenants
Roger Todd, Waldo, Gilbert and
Louis Osborn
The airborne attack on the
Medford airport was part of the
program of the Air day cele
bration in that city attended by
approximately 15.000 persons
The event, held on Air Force
day, in addition to being held to
stimulate interest in the airport
and travel by air commemorated
the 20th anniversary of the Med
ford airport and the 23rd anni
versary of the beginning of air
mail flights. Airmail flights are
of especial interest to that town
because Medford was the first
city in Oregon to have regular
air mail stops.
Prior to the departure from
Salem of the company B troops
in the air force planes a Na
tional guard C-47 left the Salem
airport for Medford carrying Sa
lem newspaper people and Capt
John H. Neilson, .public informa
tion officer for the adjutant gen
eral's office, who coordinated
the National Guard's part in the
program. Pilot of the plane was
First Lt. Homer P. Groening,
and co-pilot was First Lt. Allen
Stevens. Crew chief, engineer,
was Sgt. Don Beevers. That
plane returned to Salem Sunday
evening at 5 p.m. with Gov.
Douglas McKay as one of the
passengers.
Main speaker at the Medford
show was Gov. McKay and also
there from Salem for the occa
sion was Maj. Gen. Thomas E.
Rilea, adjutant general for Ore
gon. The three air force planes from
Portland bringing the Salem
, - -
f f sr , 1
I 'jU!intcrnat
I VI with
I any
Chain Reaction
To Valuation Cut
Of 30.5 Percent
Sunday nieht almost 18 years
ago to the day.
Devaluation of the pound was
intended to solve Britain's grave
financial crisis by selling more
and cheaper goods to America.
A treasury spokesman said
devaluation of the pound would
have no effect on Britain's strict
currency controls.
(Concluded on raise I, Colama I)
Aim to Increase
British Exports
London, Sept. 19 UT Sir Staf
ford Cripps said today the Brit
ish must "redouble all our ef
forts" to export goods now that
the pound has been cheapened.
Reviewing the reiulcs of tne
Washington dollar talks, the
chancellor of tne exchequer
told a news conference:
"We agreed to create incen
tives to export to the dollar ar
eas and maks a vigorous attack
on production. Well, we have
created the incentive, all right."
The pound is now officially
worth only $2.80, compared with
the previous $4.03. The British
hope this will stimulate exports i kicking.
by lowering me sluing price oi
British goods.
"If we are to succeed in reach
ing a long term solution of the
dollar-sterling problem," Cripps
said, "we must rct-ard it as a
joint one requirinK joint action."
And that, he added, was the
object of the Washington conference.
Washington, Sept. 19 (ff
The chain reaction of British
pound - devaluation which
cheapened numerous other cur
rencies overnight - today was
expected to sweep rapidly over
l.urope, the pound-using areas
elsewhere, and Into Latin America.
There was every sign that the
ional monetary fund.
which 48 nations must clear
currency change, will have
eavy work in the coming days
and weeks.
American officials welcomed
the 30' percent cut in the
pound from $4.03 to $2.80, and
the corresponding cuts by other
countries.
For Britain and for others
Washington officials felt that
further measures are necessary,
Sterling Balances
They hinted that, as an early
step, Britain must make some
agreement on th so-called "ster
ling balances" actually, war
debts held by India, Egypt and
others.
Payment on these last year
cost Britain $400,000,000 worth
of goods, with no goods received
in return. Some officials felt
this drain should be cut to one
fourth that amount, if possible.
while Britain concentrates on
selling to the areas which pay In
dollars.
They forecast Improvement in
Rritich .vnnrli tn iWm TTm141
- i states, because Americans ean
Beating Victim Earl
Adams, constable of the Mar
lon county district court, is
shown here as he appeared
Monday after a slugging by an
irate Salem couple. Both of
Adams' eyes were blackened,
and his face shows puffinrss
from the pounding he received.
Brutal Beating
For Constable
Complaints were signed Mon
day for the arrest of a Salem
couple who administered a bru
tal beating to Earl Adams, 50-
year-old constable of the Mar
ion county district court.
The assault took place at
about S p.m. Sunday night in a
where Adams had gone to pur
chase a package of cigarettes.
He explained that while he
was there, a woman approached
him and berated him for acting
as an agent of the court in serv
ing papers which attached her
wages as a cannery worKcr.
"Without a warning, the man
with her struck me," Adams
pointed out. A blow to the
stomach felled the groy-haired
constable, leaving him dazed.
"When I went down, they both
went to work on me." the vic
tim related. "I was kicked and
punched. There was nothing I
could do but lie there and take
it. They both went at me before
I had a chance to explain that I
serve papers as part of my duties
under the law."
After signing the assault and
buy in Great Britain for $2.80
what used to cost $4.03. T h a
should spur a buy-British move
ment.
It should also put som eco
nomic forces at work behind Si
Stafford Cripps' don't-buy-Am-prican
campaign. U. S. goods
will cost more In England; many
British buyers will cut orders or
buy elsewhere, if possible.
(Concluded on Pan (, Column t)
Bradley Key
Defense Figure
Washington, Sept. 19 t&)
Gen. Omar N. Bradley, chair
man of the American joint
chiefs of staff, appears certain
battery complaint, Adams, i "" ... ....
whose face and head wpre swol ..Atlantic pact military organiza
len from the many blows and,"""- .
whose both eves were blackened. The(. mil;lr!"r .organization.
went to a physicians office forconsls "'"ST"
u . J., i committees, is to be created here
X-ray photos to determine lfl ,u n i. ,j
J . j . , . . ,K October 5. It is expected t
ribs had been broken by the! ... . ... , n,fi,
defense plans for the whole
western European-North Amer
ican. Atlantic ocean area in
about six months.
Speed in laying out at least
the general plans of unified
strategy is considered essential
now by the slate and defense
Salmon Prices Skiddy
Seattle, Sept. 19 (UB Salmon
brokers today predicted a price
drop of 12 to 14 cents per tall
can for pink salmon. The whole
sale price of pink salmon h a -departments. One reason is con-
skidded from $19 to $17 a casei,.rcss may make full-scale Amer-
(f.o.b. Seattle), they said.
Lower Dollar Prices
Loom Around World
company to Medford, along with :riolar prjces of goods produced
in these countries could fall a
maximum of 30 '-4 percent if the
reduction is caused solely by de
valuation. But prices will not
fall that far. Some may come
down only a few cents.
How long these lower prices
may prevail is unpredictable.
American business men in
their first reaction agreed prices
will be lower on foreign goods
priced in devalued currencies
and sold in America for dollars.
ican arms aid to Europe at least
partly deppndent on the exist
ence of such plans. That is one
of the maior new points in the
hill now before the senate.
While the American member
of the 12 nation military organ
ization has yet to be designated
by the president, defense and
riinlnmatic officials said there
New York. Sept. 19 lP) Lower dollar prices around the world ?opmpd , b(1 no ouM that he
are looked for today as an early major result of the week-end wm,id be Bradley. The 56
devaluatinn of foreign currencies. year-old general Is noted for
Still more countries may have to follow the devaluation pa tnttins, along with people and
rade which began last night with Britain's cut in the pound from ; jetting things done.
$4 03 to $2 80, a slash amount- hp is already regarded high-
ing to a surprise 30 percent. Tn announced purpose of ly by Europeans.
The flevaiuauon means
the I
three more C-46s carrying the
234th army band and other per
sonnel of the armed forces were
led by Col. Jackson Lewis, com
mander of the air force reserve
training center in Portland. The
fighter protection was given the
big planes by 12 F-Sls of the
123rd fighter squadron. Ore'in
Air National Guard. Leading the
fighters was Maj. Gordon Doo
little. Another National Guard unit
taking part In the program was
the Medford unit Company A,
British devaluation is to lnwerj
prices on British goods sold in flrOflrtn fifja Pifii
America. Britain hopes to get U UlCyUII VJIICJ WCI
more dollars through increased A P..- ! - -
n 7 reuem iui in u
Six Oregon cities got a 9 per
Mn nn knows vet however.
how far prices will go down on'rnrkpl-
186th infantry regiment, which , individual commodities or man- Rubber
Dut on a drive. nfartured soods over the next down and
tries cutting their currencies In
Brnains train nope ior w.r ...inr; . ,. . ,
"" da v.
Historically, lower prires! TnP. ,Prvcd by the Call
have followed devaluation. The fnrnia-Parifir Utilities company,
British devalued their pound in w t, it-h reduced Its rates because
September, IBM, by cutting II prices of liquefied petroleum gas
loose from gold and lettinR It dropped. This gas is the bsse
drift lower in foreign exchange (nr lriP ued by the si
i cities.
immediately went; Public Utilities Commissioner
continued its fall George H. Flagg, who ordered
,u. a ,.. i.. ...I:, r mnnihi I Wool broke sharnlv but rcrov-lthe reduction, sain li imminn
from up and down the coastj An Important secondary effect;ered a good portion of its loss to $113,600 a year
were at the show to participate lis the impact of devaluation on i American cotton was hard hit The cities, and the amount of
t- d on. II.... In Irnm Pa.t P.lh. nr rp of snorts nrnrtucetl n. initially Dill a year lau r n .. mmura .n win, ......
Under railway labor law. the Field. Calif., with on. of themlAmeric. for sal. abroad. Amer- climbed back to sn even higher Falls $25000, Rosebur. $18,900
firemen's brotherhood must con- landing. Fiv. jet plane, of the ican export, m.y have to be, pr.ee t n a nn en re n, ... . 'a!, 7 U
.iH, in. rpnort fnr sn d.v. h.. California National Guard cameUold mor. ehe.ply to encourage American wheat shot up but fell 4,nnn. Ashland $12,600, L
for. taking any strike action. In from San Bernardino, Calif. talcs.
back later.
(Grande $9,600.