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SIX MEDFOHD (OREGON) MAIL TRIBUNE
Sunday, January 2, 19S5
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By Jimmy Hatlo
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Stock Market Hike Top Finance News
New York (U.R) The rise
In industrial shares to a new rec
ord high after the 1929 peak
had stood for 25 years topped
the list of biggest stories in the
world of business and finance in
1954.
Other big stories of 1954 were
listed by the United Press Fi
nancial Department as. follows:
Robert R. Young's spectacular
proxy battle ousting the man
agement of New York Central
Railroad biggest proxy fight
in the history of finance.
Nuclear energy released for
Industrial use. Experts predict
atomic energy will be used with
in a year for producing electric
ity. First tax reducation in 20
years becomes a reality, helping
business maintain good profits,
and giving moderate relief to
individual tax payers
Automation, gaining strides in
1954, is expected to revolution
ize industry within a few years.
Department of Justice frowns
on proposed merger of Bethle
hem Steel Corp. and Youngs
town Sheet and Tube Co., as a
prelude to what might be the
big merger battle of 1955.
Jail Escapee Arrested
By Sheriff's Deputies
Ronald Edward Snyder, 21,
Box 296, Prospect, was arrested
Thursday by Jackson County
sheriff's deputies as an escapee
from Del Norte county jail at
Crescent City.
Snyder was being held at
Crescent City on a burglary in
vestigation, according to Howard
Gault, Jackson county sheriff.
The escape took place on Dec. 21.
Dulles Sees War
Danger Receding
Washington U.R) Secretary
of State John Fester Dulles said
Friday "the danger of general
war" is receding as the free na
tions develop their unity and
strength.
Dulles said that events of 1954
enables us "to face the new year
with confidence." But he added
quickly that the free world must
beware of overconfidence.
"Hostile forces remain strong
and implacable and they are
operating with even greater
guile than heretofore," Dulles
said.
, "In face of that undiminished
power and guile we cannot ex
pect an unbroken series of suc
cesses," he added. "Instead, we
cannot hold our own, much less
increase our net gain, unless we
maintain our vigilance and our
efforts on a basis of national
unity." ,
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Booming Oufput
Of Steel Expected
DuringComingYear
: New York (U.R) America's
steel industry, which saw 1954
production of 87,000,000 tons
rate as the second highest in
peacetime, expects booming out
put in 1955 to topple the 100,-000,000-ton
mark.
Barren inventories and
healthy business prospects will
provide the one-two punch for
steel in the coming year.
Customers used up 7,000,000
more tons of steel during 1954
than the industry produced. This
calls for a heavy replenishing of
inventories all along the line.
The only peacetime year top
ping 1954 was 1948 when output
came to 88,600,000 tons.- Six
other years recorded higher pro
duction, but every one of these
years spanned part of either
World War II or the Korean
war.
Earnings reports made good
reading in 1954 and some comp
anies boosted dividends to stock
holders. 1954 Rale 71 Per Cent
Paced by demand from con
struction and auto manufactur
ers, steelmaking furnaces oper
ated at a rate averaging around
71 per cent during 1954, with
the heaviest production taking
place in the final three months.
Steelmen sxpect the operating
rate for the first quarter of 1955
to come close to 85 per cent.
A record-shattering year for
construction and increased auto
mobile output up to an esti
mated 5,800,000 cars from 5,300,
000 in 1954 should account for
almost 40 per cent of all steel
production in 1955.
Another bright spot is' the
peak demand for steel contain
ers. The oil industry, farm
equipment makers and appliance
manufacturers all are expected
to consume steel at a high rate.
A new wage boost for steel
workers in 1955 is held likely.
Until a new contract is signed
around mid-year, industry sourc
es forecast base prices will re
main firm.
Wage Hike Granted
The steel industry avoided a
strike in 1954 by granting a five-cent-an-hour
wage hike and oth
er benefits to steelworkers. Then
companies raised the price of
steel products an average of
$3.25 per ton.
Just as re-stocking of inventor
ies will provide a bright spot in
1955, proved a headache to steel
producers, as it stretched out
through the first half of the
year. '
By the end of 1954, consumers
had "lived off the shelf" for so
long that stocks of steel were as
depleted as if there had been a
strike.
Premium prices went out the
window' during 1954, reflecting
competition, freight absorption
continued heavy by all produc
ers. Although 1954 marked a sharp
drop from the all-time high of
111,600,000 tons produced in
1953, the elimination of over
time pay and the idling of less
efficient facilities helped to cu
shion profits. The end of the ex
cess profits, tax also was a factor
in sustaining the favorable earnings.
Louisiana Liar
Named Champion
Burlington, Wis. (U.R) Louisi
ana swamp rabbits are so fast
you can't hit them with a shot
gun. You've got to use a high
powered rifle.
"To kill these rabbits on the
run, you have to aim fast, shoot
and then let out a shrill whistle.
When you whistle, the rabbit
stops and the bullet has a
chance to catch up with him."
That yarn won for Shelton R.
Day of Baton Rouge, La., the
"world champion liar" award
Friday.
The Burlington Liars' Club
decided Day's lie was the cham
pion of those submitted during
1954 in competition for the covet
ed prize.
The Liars' Club, which started
25 years ago when two newsmen
here needed a year-end featura
for their papers, also chose the
best li. submitted in a quarter
century of prevaricating. Bruno
Ceresa, Langeloth, Pa., won the
"champion of champions" title
for this classic that won the
1933 prize:
"My grandfather had a clock
so old that the shadow of the
pendulum, swinging back and
forth, had worn a hole in the
back of the case."
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Malenkov Declares Soviet Union Prepared
To Work for Peace; Interview text Given
Moscow (U.R) Soviet Pre
mier Georgi Malenkov said Sat
urday the Soviet Union is pre
pared to "go on doing every
thing in its power" to ensure
peaceful relations with the Unit
ed States.
He said Russia is prepared "to
reject certain differences provid
ing the U.S.A. displays the same
readiness."
Grave Threat to Peace
But the Soviet leader said in
an interview published in the
Soviet press that "The threat to
peace is becoming graver and
the danger of war is growing
because of the western powers
which have signed the London
and Paris agreements" to rearm
West Germany.
Malenkov's views appeared in
Pravda, Izvestia and all Soviet
newspapers in question-a n d
ar.swer form. They originally
were given in answers to ques
tions submitted by American
newsman Charles Edward Shutt,
Washington Bureau Manager for
the television and newsreel com
pany, Telenews.
The text of the interview:
Q. Would you welcome
diplomatic negotiations with
respect to settling agreements
in hm Far Cast?
A: Yes, negotiations between'!
interested powers with respect
to Far Eastern questions must
be welcomed. Experience of the
Geneva Conference, wherein the
Chinese Republic ' took part,
shows such negotiations bring
beneficial results.
Q. Would you welcome dip
lomatic negotiations leading'
to a conference between the
heads of the governments of
France1, Great Britain, the
U.S.S.R. and the United
States?
A. In this connection it must
be said first of all that recently
everything is being done by the
United States, England and
France to exclude the possibility
of a positive solution of the ques
ton of a conference of the heads
of the governments of the four
powers. As is known the western
Salem U.R) Gov. Paul L.
Patterson has reappointed Carl
W. Chambers of the State Tax
Commission and Frank J. Healy
as state corporation commissioner.
powers are trying to solve sep
arately the most important in
ternational questions and parti
cularly questions relating to
Germany. Surely it is clear that
such a policy cannot be followed
while at the same time illusions
of a four-power conference are
scattered among the people. The
point is, therefore, that a con
ference of the heads of the gov
ernments of France, England, the
U.S.S.R. and the U.S.A. should
not be confronted with these and
other separate actions on ques
tions which demand explanation
at a four-power conference.
Q. Have you anything to say
to the American people? '
A. I send the American people
hearty greetings and best wish
es. All the grounds for develop
ment and strengthening of
friendship between the peoples
of the United States of America
and the Soviet Union exist. I ex
press my conviction that the
American people will play a
worthy part in the great and
noble effort strengthening peace
between peoples.
All peoples must now be es
pecially vigilant against any of
the aggressive circles. There is
at present no more important
task than unification of forces of
the peoples of all countries in
the interests of guaranteeing
peace and international security.
Q. How can peace best be
maintained?
A: The first requirement for
peace between the Soviet Union
and the U.S.A. is that both sides
should sincerely desire peace
and strive for it and in rela
tions should be guided by the
possbility and will for peaceful
co-existence with N one another
and by consideration for each
other's legitimate interests. As
far as the Sovet Union, is con
cerned, it does act on these pre
ceipts and is prepared to go on
doing everything in its power to
ensure firm stable relations of
peace between the Soviet Union
and the U.S.A. and to reject cer
tain differences providing' the
U.S.A. displays the same readi
ness. Q. What in your opinion Is
the main reason for tension
between the Soviet Union and
the USA?
A. It is the policy pursued by
certain quarters in American re
establishing the revenge-seeking
West German army, piling up
armaments and encircling the
Soviet Union and other peace
minded countries with American
military bases, which can only
be viewed as preparation for
another war. It is commonly
known that the threat to peace
is becoming graver and the dan
ger of war is growing because,
of the western powers which
have signed London and Paris
agreements. -
If the tension between the So
viet Union and the U.S.A. is to
be eliminated and a solid foun
dation laid for successful devel
opment of peaceful cooperation
between the two countries, an
end must be put to the policy of
re-establishing German militar
ism which has caused humanity
so much disaster. Arms piling
must be terminated and the pol
icy of ringing peace-minded
countries with military bases
must be stopped.
Q. How do you feel about
international atomic control?
Do you think a successful plan
acceptable to all the parties
' concerned can be evolved?
A. The Soviet Union's position
on . atomic weapons is well
known. The Soviet union favors
an unconditional ban on atomic
weapons, their , complete re
moval from national armaments,
and institution of strict interna
tional control to enforce corres
ponding agreement. Other coun
tries should be as much interest
ed as the Soviet Union in pro
hibiting atomic weapons, elimin
ating the menace of atomic
war."
(See story on Page 1)
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