The Weather
Forecast: Fair and mild to
night and Saturday.
Temperature:
Highest yesterday . 11
lowest this morning . 46
Precipitation past 24 hrt. T
Friday Again
Vei, It If Friday again. Time
to write that Classified Adv.
for the Sunday morning edi
tion. Advs. In before 3:30 p.m.
Saturday will be properly
ruuslfled. Ad,, ttcrepted until
S o'clock Saturday evening.
Medford
Tribune
Full Associated Press
.'nil United Press
Thirty-Third Year
MEDFORD, ORKGOS, FRIDAY, APRIL 29, 1938.
No. 33.
mm
I WIT m M1M SNOT
I i i i ..
r
The
Capital
Parade
By Joseph Alsop
and
Robert Kintner
Copyright 1037, by The
North American News
paper. Alliance, Inc.
DRIVE FOR BUSINESS
AMITY WITH WHITE HOUSE
INDUSTRIALISTS' STATEMENT
LAUNCHED CAMPAIGN (
SOME EXECUTIVES REFUSED
TO JOIN FRIENDLY GESTURE
KI8S-AND-MAKE-UP RADIO
PROGRAM IS PLANNED
WASHINGTON. April 29. The
president's Interview with Henry Ford,
the fundamentally more significant
plea for cooperation from 16 business
leaders, are only the first Incidents
of a broad program. The object of
the program Is to get business and
the White House to kiss and make up.
And the program's success Is vltaliy
Important, because. If business and
the White House don't kiss and make
up this time, they probably njver
will.
At the start many difficulties have
confronted the moderate New Deal
ers, like SEC Commissioner John W.
Hsnes. who are the program's spon
sors. The statement of the 16 busi
ness leaders, for example, would have
been the statement of 25 or 35 busi
ness leaders If every man who was
asked to sign It had consented.
Among others who are understood
to have refused to Join In the frlend
, ly gesture toward the New Deal are
the heads of the three largest In
dustrial companies. In the United
States Walter S. Olfford of Amer-
lean Telephone and Telegraph. Alfred
P. Sloan of General Motors, and Ed
ward R. Stettlnlus. Jr., of U. 3. Steel.
Too much Importance should not
be attached to the absence of Indi
vidual names from the list of 18 co
operators. The Important thing Is
that a fair number of men who were
sounded out about the statement did
not wish to touch It.
Moreover, the fact that a number
of business leaders have now refused
r. friendly gesture does not at all
mean that they will refuse one In the
future. Take the case of Mr. Stet
tlnlus. Possibly the forceful new chair
man of big steel's board would have
liked to sign the statement; possibly
not. At any rate, his excuse was
quite valid. He pointed out that he
was a comparatively young man,
(Continued on Page six )
L
STUDY IS URGED
WASHINGTON. April 29. ( API
President Roosevelt asked the social
security board today to study meth
ods of Improving the 'social security
act Including liberalization and ex
tension of the old age benefit system.
The president told a press confer
ence he hail written A. J. Altmeyer
of the board asking that the revised
program be put In shape for action
at the next session of congress.
Asked If any plan was being made
V reduce the social security pay
ments Into the reserve fund, the
president said that was one of the
things the board was studying.
Chairman Altmeyer said later the
board had been working on plans for
liberalizing the old age Insurance sys
tem and would continue to work on
them. The board, he added, would
have "something to submit to the
president" before next January.
SIDE GLANCES
by
TRIBUNE REPORTERS
Alvin Lucas looking forward to
moving Into his new home after the
public get through Inspecting it to
day and tomorrow.
Howard Hamilton not caring to
have bis monicker appear In thta
pillar of playfulness, he threatening
naughty reprisals If so.
Bruce Baur plotting exciting en
tertainment for tiie Crater eruption.
Ward Spatz toting Carl Donaugh
around town in a truck.
Bernlr Cameron uvlnr the CofC'S
prehistoric animaJ nead didn't in-
Test hr
r besu-e it waa too old.
Wk Pry rrot:.rri:i: iv new Pord
baa It was a week-old baby.
CONCENTRATION OF
PO WER
long-Awaited Message Also
Proposes Immediate En
actment of Brake On
Bank Holding Companies
WASHINGTON. April 39. (AP)
President Roosevelt recommended to
congress today a $500,000 appropria
tion for a "comprehensive study" of
the "concentration of economic pow
er In American industry and the ef
fect of that concentration upon the
decline of competition."
In hts long promised message on
anti-trust law revision, the president
also proposed for Immediate enact
ment the following legislation:
To "effectively control the opera
tion of bank holding companies."
To "prevent holding companies
from acquiring control of any more
banks, directly or Indirectly."
Would Ban New Branches
To "prevent banks controlled by
holding companies from establishing
any more branches."
To "make it illegal for a holding
company, or any corporation or en
terprise In which It Is financially
Interested, to borrow from, or sell
securities to. a bank In which It
holds stock."
"I recommend," Mr. Roosevelt said,
"that this bank legislation make
provision for the gradual separation
of banks from holding company con
trol or ownership, allowing a reason
able time for thia accomplishment
time enough for It to be done in an
orderly manner and without causing
Inconvenience to communities served
by holding company banks."
Ho declared the program was not
the beginning of "any Ill-considered
trust busting" activity whicb lacks
proper conalderaion for economic re
sults." but was a program to "pre
serve private enterprise for profit
by keeping It free enough to be able
to utilize all our resource of capi
tal and labor at a profit."
Concentration Growing
"Concentration of private power
existing today was without- equal
in history," and was "gTowing," the
president said.
He announced he would ask a de
ficiency appropriation of $200,000 for
the department of Justice to provide
for the "proper and fair enforcement
of the existing anti-trust laws" and
added the study he proposed, to be
conducted by the federal trade com
mission. Justice department and the
securities commission, should not be
confined to the anti-trust field but
should cover the "effects of tax, pat
ent and other government policies."
"There should be an examination
of the existing price system and the
price ' policies of industry to deter
mine their effect upon the genera)
level of trade, upon unemployment,
upon long term profits and upon
consumption." Mr. Roosevelt asserted
Enumerating some of the Items for
study, he said the anti-trust laws
should be made susceptible of prac
tical enforcement by "casting upon
those charged with violations the
burden of proving facte peculiarly
within their knowledge."
Probe Power Needed
."The Justice department and trade
commission ." he added . "should be
given more adequate and effective
power to Investigate whenever there
is reason to believe that conditions
exist or practices prevail which vlo
late the provisions or defeat the ob
jectives of the anti-trust laws.
"If any Investigation reveals border
cases where legitimate co-operative
efforts to eliminate socially and eco
nomically harmful methods of com
petition In particular Industries are
thwarted by fear of possible techni
cal violations of the anti-trust laws,
remedial legislation should be con
sidered." As deterrent to personal wrongdoing,
he suggested where corparatlon is
enjoined from violating the law the
court be empowered to enjoin it for
I a specified period from giving any re
I muneratlve employment to any per
son found to bear a responsibility
for the wrongful corporate action
The government, he added, might
also be authorized to withhold gov
ernment purchases from com pan lee
guilty of unfair or monopolistic prac
tice. Further Items for study listed were
mergers and interlocking relatlon
ahip. financial controls, Investment
trust, trade aasocatlona. patent laws,
tax correctives and others.
SEEN VERY FAVORABLE
WASHINGTON. April W. (AP
Dr. Oeorge W. Calver. capital physic
ian. ?ald yesterday the chancea for
recover? of Senator Reames D. Ore. I
a priftrnni su.'Jerer. were "very fa- Scotta proposal that violators of the
vorab'e " althourh he waa not en-j Kelloig pact be identified a "aggrea
lire. j out of danger. .'
Railroads Will
DieinPlane
f k
tf
6
7
J
it
Dorothy Davis (top) and Mrs. Frank
Blofn (below) were among the four
persons who lost their lives when
privately owned airplane crashed Into
an fl.ino-font peak during a flight
from Death Valley to Vltalla, Cal.
WAGE AND HOUR BILL
SUNK FOR SESSION BY
COMMITTEE'S ACTION
WASHINGTON. April 29. (API
The house rules committee. Ignoring
President Roosevelt's Insistence on
enactment of wsge-hour legislation
at this session, refused today to
grant the revised wage-hour bill
right of way to the house rloor.
This action, which house leaders
said virtually meant the death of
the measure for this session, came at
the close of two days of hearings
during which tr.e committee heard
the bill defended as necessary to bait
a "vicious spiral of deflation" and
denounced as "arbitrary and capri
cious." The bill would have fixed mini
mum wages at 38 cents an hour for
the first year, scaling up to 40 cents
at the end of three years. Hours
would start at 44 per week and drop
to 40 in two years.
Chairman O'Connor ID.. If. T.)
said the vote was 8 to 8 against let
ting the bill reach the floor.
ITALIAN EDITOR ASKS-
IF U. S. SEEKING WAR
ROME. April 29. i AP, The au
thoritative fascist editor, . Vlrglnlo
Oarda. criticising the United Stat
for what he termed "hostile manifes
tations' toward Italy, today demand
ed whether the American people de
sire "war" with Italy.
In a three-column, front-page edi
torial In II Olomale DItalia, the
widely quoted writer took particular
exception to Representative Byron
La Follette Launches
New Party Pledged to
Freedom and Security
MADISON, Wis., April 29. (AP) A new party pledged
to the goals of ensuring freedom and security for the people
stood forth today upon the national political scene.
The National Progressive Party of
America, dedicated to those ideals.
was offered to the nation last night
by Philip P. La Follette, governor
of Wisconsin, who widened breach
with President Roosevelt, Junked
political thoories of other parties and (
set a new course In tills direction:
In Lists to Stny I
"Definitely and Irrevocably we arc i
in the lists to stay until the Ameri-
can people recapture their heritage." ,
This heritage he defined as the !
right of every American "to earn his ,
living by the sweat of his brow," I
security "founded on a definite, de
cent annual Income for all." and j
freedom of conscience and control.
To attain these ends. La Follette
declared for public, and not private, J
control and ownership of money and
credit, "without qualification or res- j
ervatlon." a staunch defense of the
"basic concepts of American govern
ment, snd, in particular, that grants
of power should always be safe
guarded against abuse."
Flatly the governor opposed "every
form of coddling, or spoon-feeding
the American' people." declaring that
"whatever It may cost so help ua
God we shall use the power of these
United States to restore to every
American the opportunity to help
himself." After that, said La Fol
lette, "he can sink or swim."
' ' ' ' Second Party Birth. . '
Thus was born the second politi
cal party to be conceived and nur
tured in Wisconsin. In 1864 the Re
publican party came Into being at
Ripon. Wis.
At that time the Democratic and
Whig parties were dominant. Last
night. La Follette rejected not only
the leadership of present day Repub
licans and Democrats, but character-
lzed as useless for recovery of the
nation any form of capitalism, so
cialism, fascism or communism.
Sound Investment of capital again
will create Increasing demand for
what the nation produces, La Fol
lette said, adding that capitalism
did the Job well in frontier days.
"We have not yet provided the
machinery to do It for the new
-frontier." he continued. "In this
sense old-fashioned capitalism Is gone
forever. . . . The old-fashioned capl-"
tallst falls to see that the world In
which we live has changed
The governor begins welding the
new party Into effective organization
at Dea Moines. Ia., today, where he
Is scheduled to make a radio broad
cast. Tomorrow he will speak to a
farm labor group at Cedar Rapids,
la.
Thousands Hear Plan.
His graying thatch of hair dlshev-
eled and his face moist with per
spiration, he outlined his plan for
two hours last night to 6000 in the
University of Wisconsin stock pavil
ion and an overflow crowd of 2000
outside who listened by loudspeaker.
A. A. Bene, assistant secretary of
state and representative of Mayor
La Guardla of New York, was the
only national personage who ap
peared,, but the governor's brother.
U. 8. Senator Robert M. La Follette.
Jr., sent a message of support from
Washington.
The names of "important leaders"
of other states, said to have en
dorsed the movement, were with
held for the time being by the gov
ernor and his associates.
La Follette, declaring American
freedom la rooted in' American
abundance, warned his audience "the
rise of dictators, the destruction of
democracy and the spectre of an
other world war have one underlying
cause: The failure to produce enough
real wealth to support a secure and
high standard of living."
Day of Reckoning Faced
"If there Is plenty to go around,"
he said, "there Is security, happiness
ana woierance tn rougn the nation.
bui wnen there is not enough, peo
ple reluctantly turn-to some public
authority, which . . . uses Its- con
trol to divide what there la. But
dividing or charing wealth la not a
solution ..."
He warned that the nation faces a
day of reckoning.
It may not come this year or the
next, be said, but "the cold. Ines
capable truth stands before us. The
American standard of living today
la supported by an enormous mass of
outworn public and private debt."
The new party will fight under
the symbol of a blue flag embla
zoned with a circle, containing a
cross. The cross stands for the voter's
ballot mark and the multiplication
of wealth, La Follette said.
PORTLAND. April 29. ( AP) The
Unless traffic system struck at the
police department itself today. Mu
nicipal Judge Julius Conn signed a
warrant charging Detective Pat Ke
gan with, failure to appear on a
Lparkinj offense
Cut All
F. R. Sees Benefit
WASHINGTON, April 29. (AP)
President Roooscvelt told re
porters today he would stand on
hi s comment of Inst Tuesday,
when asked his reaction to for
mation of a new progressive party
by Governor Philip F. La Follette
of Wisconsin.
At his Tuesday press conference
the president said the more liberal
lorccs organized to promote pro
gressive policies and action the
better It would be for the coun
try. He had been asked at that time,
aside from the La Follette confer
ence, whether he felt libera)
groups should organize for effect
ive political action.
AIR FLEETS STAGE
MONSTER BATTLE
IN HANKOW AREA
HANKOW. April 29. (AP) Forty
Japanese planes raided the Hankow
area today. Jnpnneso Emperor Hiro
hito's 37th birthday, but more' than'
a score of Chinese planoa counterat
tacked and tonight Chinese head
quarters announced its greatest aerial
victory. ,
The headquarters said the defend
ing airmen brought down 20 Jap
anese planes. Including eight bomb
ers, during the spectacular after
noon battle.
Air headquarters reported finding
the wreckage of 13 Japanese planes
and admitted loss of three of their
own craft, in addition to one which
made a forced landing and four
missing planes.
(The Japanese also claimed victory.
A navy communique, issued at Shang
hai, said there were 60 planes In
the raiding fleet and that these
shot down fil of 80 counter attack
ing planes. The communlquo added
that only two of the Japanese craft
failed to return to their base.
(An official Chinese announce
ment reaching Shanghai said that
In anticipation of a raid on the
emperor's birthday the Chinese had
concentrated a large aerial armada
for the defense.)
Unofficial Chinese sources report
ed 400 civilians were killed or wound
ed. Other Investigators estimated the
casualties at less than 100.
The battle kept most of the Han
kow area's million and a half' popu
lation cheering, gasping or scatter
ing for cover for a half hour.
The combat showed both aides
ready to fight to a finish. With only
15 minutes' warning, 23 Chinese pur
suit planes rose to meet a force of
enemy heavy bombers which reached
the area through a barrage of anti
aircraft fire.
Two planes collided and fell. Three
others came down in flames.
Six airmen took to parachutes.
Three came down safely. Oho fell
Into the Yangtze river and his fate
was unknown. The chute of , one
failed to open. That of the sixth
man collapsed on the way down.
4
THEFT OF COACH
A 1935 Chevrolet coach owned by
Oeorge Bateman of the Riverside
market was stolen from 1U parking
place opposite the market early this
afternoon, and because of a strange
coincidence, state police were given
a red hot tip as to the direction
taken by the car and lta thief.
At the precise moment Bateman
was reporting the theft, W. K. Mann,
operator of a service station at Four
Corners, came Into the- state police
office and told officers that the ma
chine and lone occupant had a short
time before driven Into his station.
obtained six gallon! of gasoline and
raced away without paying for It.
Mann positively Identified the car.
stating he formerly owned It, and
told police It headed toward Bams
Valley on the Midway road. It was
described as .a blark Chevrolet with
Oregon plates 348-36U
Wages Fifteen Per Cent
SLIGHT DECLINE
IN REGIS!
Jl
1730 Fewer Republicans
Democrats Gain 2180
Less Miscellaneous
G.O.P. Has Lead of 940
SALEM. April 29. iP) Primary
registration records fell today as 493.-
015 persons in 33 counties were elig
ible to vote In the May 30 primary
election, compared with the previous
record of 478,188 set two years ago,
It was expected that the total regis
tration would be about 630.000 after
the three remaining counties. Baker,
Umatilla and Grant, file their re
ports with the secretary of state.
Republicans were certain today to
lead the Democrats after all coun
ties have been reported. Today they
had a margin of 16.310, leading the
Democrats 351.369 to 334.943.
Jackson county registration for the
May 30 primary totals 17.361 voters,
with 8.991 Republicans, 8.051 Demo
crats, and 319 miscellaneous regis
trants according to figures completed
today by the county clerk.
Total registration shows a decrease
as compared to the 1936 primary,
when it was 19.151. The' decline Is
attributed to the removal by the
county clerk of about 1600 names
from the rolls. The Republican party
shows a decline of 1,730 voters, the
Democratic party a gain of 31 voters,
and there were 80 less miscall a neoua
voters, -
The Republican party now leads
the Democratic party registration by
940, about half what It waa two years
ago.
The current registration in the 21
Medford precincts totals 8.856 with
2.901 Republicans. 3,774 Democrats,
and 02 miscellaneous. Ashland's ten
precincts show a registration total of
3,609 voters, with 1.534 Republicans,
1.012 Democrats, and 64 miscellane
ous. The Republican majority In
Medford la 317, In the Ashland Pre
cinct 612.
Registrations show the Republicans
made slight gains In the rural pre
cinct, or reduced the Democratic
majorities of the 1936 elections.
The Democrats have small majori
ties In the following precincts of the
county: East Ashland. Butte Falls.
Central Point, North; Gold Hill. How
ard, Jacksonville, South; Orchard
Home, . Phoenix, . East: . Plnehurat.
Rogue River, Roxy Ann. Sams Valley,
Trail, Wlmer and In Medford, North
Main, North Central, South Central,
North Riverside, North, Southeast,
Southwest, and South.
(Continued on Page pira.)
DONAUGH 10 SPEAK AT
DEMOCRATIC RALLY IN
L AT 8
A large attendance U expected at
the Democratic rally to be held at 8
tonight In Townsend hall, 123',4 West
Main street.
Principal speaker will be Carl 0.
Donaugh, primary candidate for
United States senator. Mr. Donaugh.
who Is on leave of absence from his
position as United States attorney
for Oregon, arrived from the north
this morning end registered at the
Hotel Medford for an overnight visit.
Earl A. Nott of McMtnnvllle, dis
trict attorney of Yamhill county and
primary candidate for United State
representative In the rirst congres
slopsl district, will also be a spesker
at tonight's rally. He arrived here
yesterdsy.
Local candidates attending the
meeting will bs Introduced ts the
sassembly.
Mr. Donaugh and Mr, Nott war.
guests this afternoon at a luncheon
In the Plata cafe, Ashland. At 8
tonight Mr. Donaugh Is to be honor
guest at a dinner In Valentine's eafe,
all Jackson county Democratic lead
ers to attend.
Mr. Donaugh will spend tomorrow
In Josephine county. Mr. Nott. who
Is accompanied 'by P. B. Wlllert of
Dayton, will also continue his cam
paign In aoulhrm Oreron. Mr. Nott
Is chairman of the Yamhill county
planning commission and a member
of Oovernor Martin's committee on
revision of Oregon's parole and sen
tencing system.
4 '
ALBANY, Ore., April 39 (AP)
Circuit Judge L. H. MrMahon sen.
tenoed Howard Wells to five years In
the state penitentiary and his son.
Lester, IT. to th sum Industrial
school at Woodburn on a cattle theft
count- .
BASEBALL
National
OHICAQO, April 3D (AP) Dlszy
Dean, the pitcher for whom the Chi
cago Cuba paid the St Louis Cardi
nals S185.O00 and three players, pulled
a muscle In his salary arm and had
to be taken out of the Cubs-Clncln-natl
Reds game in the fourth Inning
today.
Dean said In the dressing room he
hurt his arm pitching to Lou Rlggs,
but expressed the opinion the injury
would not prove serious.
Cincinnati ... 4 7 1
Chicago 6 8 3
Derringer and Lombard!, Cascarella;
Dean, Russell, Bryant and Hartnett.
(13 lnnlnssk
Philadelphia - 4 13 3
Brooklyn 5 8 3
Passeau. Smith. John. Johnson.
Kellaher and Atwood. Clnrk: Posedel.
Hoyt. Pressncll. and spencer. ,
New York at Boston. St. Louis at
Pittsburgh; postponed, cold.
American
R. H. E.
Washington 6 11 0
Philadelphia 7 9 0
Weaver, Kohlmann, Krakauskas,
Phebue and R. Perrell; Ross, Smith
and Hayes.
R. H. E.
Chlcsgo .................................. 17 0
Detroit : 8 10 1
Rlgney, Brown and Sewell; Poffen
berger and Tebbetts,
R. H. E.
...4 8 4
... 8 8 0
Boston
New York
Ostermeuller, McKatn, Wilson and
Berg, Pescock; Donald, Murphy and
Dickey. . '
E
E conce;
TO HELP ANGLERS
O RANTS PASS, April 3D. (AP)
Josephine county gold miners have
agreed to close down operations to
provide week-end fishing for salmon,
Earl K. Nixon, state director of the
department of goology and mineral
Industries, announced here todaq.
Nixon planned to 'contact larger
operations In Jackson county this af
ternoon to urge them to Join ths
agreement which Is offered as the
compromise settlement of the two-
year leglalatve and court battle be
tween fishing and mining Interests
along. the Rogue river.'
Now In the midst of the mining
season peak, Josephine county op
erators have agreed to close down for
five of the 31 shifts each week, start
ing with the end of the Friday after
noon shift May 8. Operations are
not to resume until the Sunday
morning shift. Some Grave creek
miners in addition will not operate
Sunday shirts, Nixon said.
Decided Concession
Miners are making decided con
cessions In closing down for nearly
30 per cent of the time," Nlxnn de
clared. "The mining season Is' al
ways limited, and water which flows
on through flumes and pipes cannot
be saved for future vise.
"This afternoon I plan to visit
Evans creek and ApplegaM river min
ers In Jackson county to urge them
to accept the ad vice of the state de-t
partment.
"We have no power to compel com
pliance, but t am carrying out the
promise made when the Curry coun
ty court dropped Its Injunction sul
to closs down all mining."
Because of the unceraln speed of
the river, the variable flow, and ex
pected dilution, the period of clear
water at various placet along the
river Is uncertain, Nixon pointed out.
Help Seen
Anglers, miners and business men
contacted before the decision was
reached generally agreed that the
compromise offered would be. of great
help, Nixon reported. He said he
had telephoned Curry county the
program adopted and invited county
officials to Inspect the upper river
mining area after the program gets
under way.
Curry county, with the encourage
ment of the Jackson County Cham
ber of Commerce, after an unsuc
cessful attempt in the last legisla
ture to regulate the amount of min
ing mud In the Rogue river, brought
suit a year ago to dose down Jose
phine county mines. Oovernor Mar
tin aided In bringing about an armis
tice whsreby surveys, not yet com
pleted, would be mad, and whereby
tome attempt at compromise would
be offered.
Should miners not abide by the
agreement. It waa Indicated today,
revival of the Injunction ault
against offenders might be consid
ered .
REVENUEDECLINE
AS
Saving of $250,000,000
Yearly Seen Inadequacy
of Recent Freight Rate
Increase Also a Factor
, CI.EVKLAND. Anrll 29. (AP
D. B. Robertson, president of the
rirotnerliood of Locomotive Fire
men and Englnemen, declared
lodn.v: "There will be no wage
reduction by railroad employes.-
WASHINOTON. Anrll 90 r API
Opposition of railroad labor to th
whku cut proposed Dy me Associaion
of American Railroads was carried
to the White House today by Oeorge
Harrison, head of the Railway Labor
Eexecutlvoa' association.
"I am disappointed." Harrison said
as he entered the presidents' office,
"that the railroads would undertake
to cut wsges and dry up purchasing
nower in view nf th .fnrf nt
president to Increase purchasing
power.
CHICAGO, April 39. (AP) The
Association of American Railroads
adopted today a resolution under the
railway labor act to serve notice of a
18 per cent wage reduction effective
July 1 for all classes of labor. .
The act would represent a saving
of $230,000,000. annually to member,
roads, the association said.
In a memorandum, the association
stated the wage out was necessary
because of loss of revenue and In
creases In operating costs.
Revenue losses the association laid
to a decline In traffic, diversion of
trafflo to compottng forms of trans
portation and Inadequacy of the re- .
cent rrelght rate raise allowed by the
Interstate commerce commission.
Operating Costs Up
Operating costs were higher, the
memorandum ssld, because of ad
vanced payrolls due to the 1087 wagt
lncreasea and. adjustments, costly
and restrictive Interpretations placed
on working rules by a Judgment
board particularly, for employes In
the transportation group, legislative
expenses accrued In opposing regula
tory measues, tax expenses, and the
Increase In materials and supplies
costs. i
The memorandum said that In de
termining the amount of the wag
reduction to be sought for approxi
mately 1.000,000 workers serious con
sideration was given the present fin
ancial condition of the carriers,
Whlcb It said was "even more ties-
perste than It was In January. 1933,
when a deduction of 10 per cent In
pay checks was accepted voluntarily
by the employes."
income ivoso nives
Tn the four -months ended In Jan
uary, 1938, the net operating income
of class 1 railroads, the statement
said, waa $19,710,833, or 10 per cent
below that earned In the four
months ended In January. 1933.
Even more significant," the mem
orandum continued. "Is the fact that
net railway operating Income In Jan
uary, 1938, fell 38 per cent below
that of January, 1933. Tn this con
nection It must be remembered that
the carriers' 1983 request for wag
reduction was prompted by the In
adequacy of railway net earnings ra
the latter -part of the year."
The railroads announced tney
would give formal notice of th re
duction to th 31 brotherhoods at
once.
f-
DIG UP FOR BEAUTY
PORTLAND, April VVP BtaU
highway commissioners who opened
bids on seven road projects totaling
approximately 8270,000, this morning,
dug Into their personal pockets for
an "appropriation" to am a cam
paign to beautify highway routes.
Chairman Henry F. Cabell advised
an Oregon roadside council delega
tion, headed by Mrs, Jessie M. Honey
man of Portland, that the commis
sion was In accord with the beautl
flcatlon movement but doubted th
legality of allocating a requested
83800 to finance It.
Mrs. Honeyman thereupon request
ed, and received, personal contribu
tions from the chairman and Com
missioners I. B. Aldrtch and F. L.
TouVell.
ONTARIO, April 29, (AP) Coy
otes virtually live In the city's bock
yards. Ror-rt Long trspped a coyot
and 11 cubs In a cave lea than
half mil from town. ,