Medford mail tribune., January 01, 1958, Image 1

abson Sees
Price 10 Cents
52nd Year
HIGHLIGHTS OF 1957
A roundup of local new
stories which made headline!
in 1957 appears on page 6 of
today's Mail Tribune.
MEDF0ED
Tribune
Intensification
18 PAGES
MEDFORD, OREGON, WEDNESDAY, JANUARY 1, 1958
No. 216
Noon
Edition
Of
old
Roger W. Babson, business and financial adviser, be
lieves that Russia does not want World War III and will go
to great lengths to prevent it. He also predicts money- will
continue "tight" for new borrowers and sees a downward
trend in the stock market during the next year. Following
was Babson'j predictions for the coming year:
Next to the Russian situation, President Eisenhower's
condition will be of supreme importance. What its influence
upon Russia will be, nobody knows. It probably will not af
fect general business. I believe that for some time our Presi
dent has not been making important policies-and, much to his
disappointment, his recommendations have been largely ig
nored. The major effect of the president's condition will be
political. Those close to the president, for both friendship and
political reasons, are hoping for his recovery both in health
and in memory. Others in charge of the Republican party,
anxious about his possible incapacitation or death, would
like to see him resign and drop out of the picture in order
to give Vice President Nixon a good buildup in the hope of
reelecting the Republican party again in 1960.
For evident reasons, the Democrats are hoping ':hat Vice
President Nixon will not have an opportunity to f jnction as
President before the coming election. Therefore, President
Eisenhower's condition could greatly influence the political
situation during the next few years. This would cause un
certainty and retard large corporate expansion programs as
well as consumer buying.
I cannot believe that Russia wants World War III; in
fact, I am confident that Russia will go to some lengths to
avoid World War III. In case of any retaliation by us, Russia
would suffer great losses. Moreover, if Russia has any hope
of conquering our country, she certainly wishes to preserve
our cities, industries, and other valuable assets. Russia has
land enMgh now; it is our industries which Russia wants.
This also applies to England and Western Europe as well as
the United States. Therefore my forecasts for 1958 are as
follows:
Cold War Will Be Intensified
1. The present cold war will be intensified during 1958.
This will increase fear of war, which could greatly affect
retail sales.
2. Russian policy will be aimed at securing control of
the United States, the countries of Western Europe, and the
Middle East by infiltration.
3. The cold war costs the United States billions of dol
lars annually. This can be paid for only through increased
taxes or inflation, or by the adoption of the Hoover Commis
sion's recommendations for radical economy.
4. Profits will be further squeezed during 1958, as a
result of higher costs and pressure for lower prices.
5. Competition at all levels will increase during 1958.
6. Only more advertising by both manufacturers and
retailers will enable them to keep up their present gross
volume during 1958.
7. Failures will increase in 1958. These will apply mostly
to small concerns, but some one of the big companies in the
Dow-Jones Averages may collapse.
8. Predicting a lower total volume of business for 1958,
compared with 1957, I forecast a moderately lower trend,
on average, for wholesale commodity prices. Except a grad
ual decrease in the cost-of-living during 1958.
9. Wise labor leaders will hesitate to fight for higher
wages, but will try for shorter hours, pensions, and other
"fringes."
10. European countries will have less to spend for Ameri
can goods, and foreign trade will decline in 1958 compared
with 1957.
Money To Continue 'Tight'
11. Money will continue to be "tight" during 1958 for
new borrowers who have not established a satisfactory line
of credit.
12. Owing to declining demands for funds, interest rates
wil? decline in 1958.
13. Concerns with large numbers of employees will re
ceive first consideration both by banks and by the govern
ment. 14. For fear of World War III, and due to declining
business, many plans for expansion of plants will be post
poned. 15. Money rates may be "fixed" during 1958 by an
economic dictator.
16. Lower money rates will make it easier to sell long
term bonds during 1958.
17. " The supply of non-taxable state, municipal, turnpike,
and other "Authority" bonds will increase during 1958.
18. I forecast higher prices for many corporation bonds.
19. Investors will continue, during 1958, to switch from
stocks to attractive bond issues; fear of war will rule all
markets.
20. Bankers will fear that the government as a part of
the cold war will appoint a dictator to- direct the policies
of all national banks, the leading stock exchanges, and in
vestment dealers.
Taft-Hartley Law More Sever
21. There will be a general fear that the government
as a part of the cold war will fix wages in many industries
and prevent further increases during 1958.
22. The revelations brought about by the investigation of
the Teamsters Union may lead to important new labor legis
lation. 23. The Taft-Hartley Law will not be repealed in 1958,
and may be made more severe. Much, however, will depend
upon President Eisenhower's physical and mental condition.
24. Congressional attempts will be made to eliminate the
present exemption of labor unions from anti-monopoly laws.
25. 1958 will be a sad year for labor leaders. I forecast
.that there will be an increase of unemployment during 1958.
26. I forecast that with the possible exception of the
auto industry, there will be no national strikes during 1958.
27. I forecast that automation will slowly increase during
1958.
28. If wages should be fixed as a part of the cold-war
program, retail prices will also be fixed.
29. All workers, especially office workers, will be more
efficient in 1958. It will be more difficult for the next group
of college graduates to get good positions at high wages.
30. For the past few years labor has been sitting in the
driver's seat. Many industrialists and political leaders have
feared that the country is headed for a socialist or labor
government. A cheerful sign now is that such fears may,
temporarily at least, be forgotten. The American working
man is himself becoming disgusted with too powerful labor
leaders. This should be good news to all honest employers.
Outlook For Real Estate
31. Land adjoining cities and towns will increase in value
during 1958. This especially applies to small farms.
32. Large commercial farms will continue to prosper dur
ing 1958, but the small farmer will continue to suffer if de
pendent on farming.
33. Under an economic dictator, farmers would receive
no increased price supports. If farm prices are fixed, they
will be at lower levels. .
34. Large cities may continue to lose population. Large
city real estate will sell for less, for fear of Russian missiles.
35. The growth of suburbs will continue, although many
houses now occupied by well-paid executives will be forced
cn the market as their owners lose their present high-salaried
positions.
36. Construction activity in many communities will de
cline. Older houses will come on the market.
37. In many sections of the country there will be a great
er demand for cooperative modern apartments than for
single houses, although eld apartment houses will sell for
less. More young people and old people will insist upon
every modern convenience and upon locations not absolutely
dependent on automobiles.
(Continued on Page 3)
War
Ike Replies To
Soviet Message
Seeking Peace
Heads of State
Exchange Greetings
Gettysburg, Pa. (IP) Pres
ident Eisenhower today sent
a message to the leadership
of the Soviet Union pledging
the United States to "every
effort" toward world peace.
Eisenhower, on an early and
frosty New Year's morning
at his farm home here, sent a
cable to leaders of the Soviet
Union in reply to a Mew
Year's message of greeting.
"I earnestly trust that the
new year will bring a firmer
and better understanding be
tween the citizens of the So
viet Union, the American peo
ple and those of other na
tions," Eisenhower cabled to
the Russian leaders.
"You may be assured that
the government of the United
States will extend every ef
fort to that end," the Presi
dent said to the Russians.
Message From Russia
The occasion of Eisenhow
er's message was a cable he
received Thursday night
through normal commercial
channels from . Chairman
Vorishilov of the Supreme
Soviet Presidium; Soviet
Prime Minister Nicolai Bul-
ganin and Nikita Khrushchev,
the real boss of Soviet Russia
and currently the secretary of
the Communist party. ,
The Russian message, sent
from the Kremlin on the
night of Dec. 30 and receiv
ed here at the temporary
White House on New Year's
Eve, said:
Year of Strengthening
"On the eve of the New
Year we ask you, Mr. Presi
dent, to accept personally and
to' transmit to the people of
the United States of America
best wishes from the peoples
of the Soviet Union and from
us perspnally.
"We express the hope that
the forthcoming year will be
a year of strengthening of
friendship and cooperation
between the peoples of the
Soviet Union and of the
United States of America; a
year when the great princi
ples of peaceful coexistence
receiving ever greater inter
national recognition will be
come the basis of mutual re
lations betweeAi our states."
Holiday Traffic
Tell Starts Climb
By UNITED PRESS
Americans greeted the New
Year with festive night club
celebrations, quiet home
parties, church watch services,
and death - dealing accidents
on snow-slicked highways.
It was a safe and sane holi
day observance for most cele
brants, but a snow storm
made driving hazardous
throughout the nation's mid
section and the traffic death
count was running slightly
ahead of the National Safety
Council's predictions.
A United Press count at
7:30 a.m. (PST) showed at
least 44 persons had been
killed on the nation's high
ways since 6 p.m. Tuesday.
New York reported five
traffic fatalities, Illinois and
Ohio four each, and California
and Kentucky three each.
The National Safety Coun
cil had predicted 130 traffic
deaths for the New Year holi
day period which began at 6
p.m. yesterday and ends at
midnight tonight.
Two Babies Born
At Sacred Heart
Are First in '58
Two babies, both it Sac
red Heart hospital four
minutes apart, were the
first new arrivals in the
valley for 1958.
Born at 6:41 a.m. was a
boy to Mr. and Mrs. Mi
chael Fazio, 2802 Crater
Lake highway, Medford. n
fourth child for the couple.
Fazio is a partner in "Buil
der's Service" in Medford.
A girl was born at 6:45
a.m. io Mr. and Mrs. Ed
ward Pentkowski, 416
Bridge st., Ashland, to be
the second arrival in the
New Year. The baby' is the
second child for the Pent
kowskis. The father is a
lineman for Pacific Tele
phone and Telegraph com
pany. Both babies, according to
hospital officials, weighed
6 pounds, 15 ounces, each
and measured 21 inches in
length.
Tit
U
lev 1
SIG UNANDER
To Emphasize Issues
Sig Unander To
Be Candidate in
Governor Race
Portland (IP) State Treas
urer Sig Unander announced
Tuesday that he will seek the
Republican nomination- for
governor in the May 16 pri
mary election.
Unander," state treasurer
since 1953, said his decision
to run' came "after long and
careful study."
He added that "there were
many considerations, includ
ing my family."
Since .he polled 416,410
votes in the 1956 general elec
tion, Unander has been prom
inently mentioned as a gu
bernatorial candidate
Sprague To Be Chairman
Unander announced that
former Gov. Charles A.
Sprague, publisher of the
Oregon Statesman at Salem,
would be his campaign chair
man. Mrs, Paul Patterson,
widow of the late governor,
will be vice chairman.
In the Democratic primary
will be Gov. Robert D.
Holmes and Portland insur
ance man Lew Wallace.
Unander, 44, said he would
visit every section of the state
before May, stating "issues,
not personalities, will be em
phasized in my campaign."
Closer to People
A campaign stressing "or
derly development of our re
sources and payrolls, the
strengthening of the State
Board of Control and realistic
spending of tax dollars" was
promised by Unander.
"It is my sincere belief that
the governor should be close
to all local problems and
needs," Unander said, adding
that he would "bring Oregon
government closer to our peo
ple." The GOP candidate was
executive assistant to Gov.
Sprague from 1939 to 1941
and was first elected state
treasurer in 1952. He was re
elected in 1956. '
'Year of Promise'
Predicted by Quarles
Washington IIP) Deputy
defense chief Donald A.
Quarles said today that 1958
is "a year of promise" for the
United States despite the
challenge of Soviet military
might.
Quarles stressed the nation
must not lose sight of the fact
that meeting Russia's mount
ing military challenge "calls
for our best efforts."
"How Did I Get
i
u
is
Ca
Tax P
3- y
thfc -i many
Ami .e this year
will I -tie reminder from
the Internal Revenue Service
that last year's taxes are still
with us.
The service cheerfully an
nounced that its usual New
Year greetings 56 million
income tax forms are speed
ing your way.
A few lucky citizens al
ready have received their
1957 forms. But if yours
doesn't come right away,
don't worry.
April 15 Important
The Internal Revenue Serv
ice said some taxpayers may
not receive their forms be
fore Jan. 10. The important
day anyway is April 15, the
deadline when they are to be
filed. '
Frank Thatcher, Internal
Revenue publications chief,
said the mailing, largest in
the- service's , history, began
the day after Christmas.
"We like to give the Post
Office Department a chance
to get its Christmas mail out
of the way," he said, peering
from his desk over a pile of
returned forms whose recipi
ents are dead, moved or in
terestingly missing.
He also suggested the aver
age citizen does not look upon
a tax form as an appropriate
Christmas card.
Actually no income tax
forms are mailed from the
capital. They are all mailed
from central distributing cen
ters at Ogden, Kansas City,
and Lawrence, Mass.
135 Carloads of Paper
"The Government Printing
Office starts turning them out
here in " October," Thatcher
said.. "Takes 135 carloads of
paper and thousands of
pounds of ink. ,
"Then we ship them out to
the distributing centers where
Hearing Scheduled
On District Change
A hearing on a proposed
change in the boundaries of
Phoenix school district 4, and
Medford school district 549C
has been scheduled for 10
a.m. Jan. 21, at a meeting of
the county district boundary
board.
The proposed change is
sought in a petition to the
boundary board which has
been filed with the office of
the county school superinten
dent, school officials report
ed. It asks for transfer of cer
tain properties from the
Phoenix district to Medford
district 549C in order that
property for the new elemen
tary school to be erected be
tween Siskiyou blvd. and Del
wood St., be located in the
Medford district.
Any objectors to the trans
fer may appear and state
grievances1 at the Jan. 21
meeting in the courthouse, ac
cording to Alf. B. Mekvold,
county school superintendent
and secretary of the board.
New York (IP) A boy beat
a girl by seconds today to be
come the first baby born in
New York in 1958.
In This Box?"
mm
y
w
aiSed;
.fjiil 15
they are addressed and pack
aged." Thatcher said the new
forms are just about the
same as last year from an ar
tistic point of view.
However, he said a flashy
new form printed in maroon
is being tried out on an ex
perimental basis in, Philadel
phia and Camden, N.J.
"One of our experts thinks
it might be easier to check a
form printed in maroon," he
said.
British Plane
Vanishes Oyer
Eastern Europe
London (IP) A freight
carrying British DC4 Sky
master disappeared over
Eastern Europe Tuesday
after radioing it was being
intercepted by jet fighters.
Today, the British Foreign
Office said it had been in
formed Communist fighters
. forced the plane down' in
Albania for "violating Al
banian air space."
London (IP) The British
Foreign Office reported today
that a British freight plane
vanished over Eastern Europe
Tuesday after reporting it was
being intercepted by jet fight
ers. A Foreign Office statement
hinted that authorities believ
ed the plane might have gone
down in Albania.
The DC4, with six crew
men aboard, failed to arrive
at Damascus on a flight from
Duesseldorf, G ermany,'jo
Singapore. 1
Athens Check Missed
The Foreign Office said the
freighter, belonging to Inde
pendent Air Travel, Limited,
radioed to the Italian Airways
radio that it was being inter
cepted by jet fighters.
After that, the plane failed
to check in over Athens, its
next checkpoint on the flight
across the Iron Curtain.
-.IThis was the first apparent
incident involving a western
commercial plane since Bul
garian fighters shot down an
Israel Constellation in July,
1955. In that disaster all 58
persons aboard were killed.
British diplomats immedi
ately went to work seeking
news of the missing DC4.
President Said To
Be 'Feeling Fine'
Gettysburg, Pa. ! Presi
dent Eisenhower was report
ed to be "feeling fine" today
as he began a new year that
was certain to bring new and
heavy pressures on his physi
cal and emotional stamina.
Eisenhower still has an
other medical examination to
undergo before he is given a
clean bill of health for the
mild stroke he suffered Nov.
25.
The President made what
appeared to be a speedy rec
overy and has maintained a
steady, but at times abbrevi
ated work schedule since
early December.
The "feeling fine" report
came from Press Secretary
James C. Hagerty who was a
New Year's Eve dinner guest
at the Eisenhowers' farm
home last night.
Motorist Takes Shots
At Miami Pedestrians
Miami (IP) An unidentified
motorist, apparently drunk,
drove through the streets of
downtown Miami early today,
taking potshots at pedestrians
with a pistol or rifle. At least
two persons were injured.
Terrified witnesses told the
Miami homicide bureau the
gunman picked his targets at
random as he drove slowly
through the darkened streets
filled with New Year's revel
ers. A citywide manhunt was
ordered.
Eugene 31P) A 28-year-old
plywood worker, Lemuel
M. Davidson, Eugene, died of
injuries suffered when a stack
of green plywood fell on him
Tuesday afternoon at the Multi-Use
Panel corporation plant
just north of here.
PLACING CROWN on head of Trudy Wood, 17, John Big
gars Jr., president of Pasadena Tournament of Roses, inaug
urates her reign as queen of spectacle. (International)
Three Mothers Start
Trip To Red China
To Visit With Sons
New York HP) Three
middle-aged mothers carrying
handknit wool socks and pic
tures of the family took off
today for Communist China
to visit their three impris
oned American sons.
"I feel wonderful," said
Mrs.. Hugh . F Redmond.of
Yonkers, N.Y. "It will be a
happy New Year for me."
Mrs. Redmond, Mrs. Mary
V. Downey, of New Britain,
Conn., her son, William
Downey, and Mrs. Philip G.
Fecteau of Lynn, Mass., were
scheduled to leave Idlewild
Airport aboard an American
Airlines plane for Los An
geles. There they will board
a Pan American World Air
ways flight for Honolulu and
Hong Kong, arriving in the j
Chinese border port on Mon
day, Hong Kong time, to be
gin a two-week visit.
Sentenced To Life
Mrs. Redmond has not
seen her only son, Hugh F.
Redmond Jr., 38, since 1946
when, a decorated veteran of
World War II, he went to
China to work for an export
import firm. He was sen
tenced to life imprisonment
in 1954 as an American spy
and is now under house ar
rest, with two Roman Catho
lice priests, also Americans,
in Shanghai.
Mrs. Redmond said her son
was married in Shanghai to
an American girl in 1949.
15-Year-0!d Boy
Arrested by Police
Medford police arrested a
15-year-old Medford boy on
charges of petty larceny Tues
day afternoon after the youth
admitted in a signed statement
of taking two transistor
radios from Medford firms.
Police said the youth told
them he first took a radio
from the Western Thrift drug
store, 30 North Central ave.
He took another radio from
Purucker's Piano house, 111
North Central ave., when he
did not like the first one.
The youth is being held in
the Jackson county juvenile
detention home pending ac
tion by juvenile authorities,
according to police.
WEATHER
Forecast: Considerable cloud
iness this afternoon, to
night and Thursday with
occasional light rain this
afternoon and tonight and
a few showers Thursday.
Occasional ' gusty southerly
winds. High today 48-50,
low tonight 3. high Thurs
day 48 degrees. Temp.
High Yesterday 44
Lowest this Morning 32
Our Skies Tonight
Sunrise 7:41 a.m.
Sunset 4:49 p.m.
Moonsct Thursday 4:28 a.m.
Full Moon Sunday
Highlight of the phenomena
in the skies above this year
will be the continually grow
ing brilliance of the planet.
Mars. It is now nearly 215
million miles from the
Earth: in November it will
be less than 46 million miles
away.
Far
', ,- ,
His wife came to the United
States in 1950 "when the
trouble started" and is now
living in Wisconsin, "eagerly
waiting" for the husband who
was refused an exit visa to
follow her home, Mrs.' Red
mond said.
John -Thomas- Downey,-23
and Richard George Fecteau,
30, disappeared in 1952 on a
flight between Japan and
Korea, where they were serv
ing as civilians with theU. S.
Army. They were later found
to have been captured and
were also sentenced as spies,,
Downey to life imprisonment
and Fecteau to 20 years in
prison.
City of Burbank
Float Top Winner
Pasadena, Calif. (IPI The
city of Burbank won the
sweepstakes prize today with
its entry in the 69th annual
Tournament of Roses Parade,
a floaat entitled "Burbank's
Dream."
With a crowd estimated at
more than 1,600,000, the
largest ever to witness the
annal spectacular, lining the
parade route, Burbank was
judged the top winner of the
62 entrants just minutes be
fore the parade got underway
at 8:50 a.m. (p.s.t.)
Other top winners were the
Standard Oil float, "Dream
Gardens," winner of the
grand prize; the Sierra Madre
float, the theme prize, See's
Candy, winner of the presi
dent's trophy; South Pasa
dena, the queen's trophy, and
Belgium, the international
trophy.
Wellington,- N. Z. Iff)
Deep, almost impassable snow
was reported today to" be
slowing Sir Edmund Hillary's
overland dash to the South
Pole.
Home-Made
Hurts Two Roseburg Boys
Roseburg (IP) Two
teenage Roseburg area boys
were recovering in hospitals
today after being treated for
leg injuries when their home
made rocket exploded after
being dropped on a concrete
garage floor.
Garry R. Kenny, 15, Rose
burg, and Gary Shinn, also
15, Winchester, suffered the
hurts when Shinn accidental
ly dropped the rocket on the
floor of the carport at his par
ent's home Monday afternoon.
The missile was made from a
foot-long piece of galvanized
pipe.
Tendons Torn
Kenny was taken to Sac
red Heart hospital in Eugene
with torn tnedons in his right
leg. The Shinn boy was in
Douglas community hospital
here recovering from leg la
cerations which required 22
stitches.
Nalion-To-Nalion
Level Suggested
For Peace Talks
NATO Conference
Draws Criticism
Belgrade, Yugoslavia (uV
Marshal Tito called today for
an East-West summit meeting
in this "eleventh hour of
history" to -save mankind
from extermination by
"atomic, hydrogen and other
up-to-date instruments of
war."
He said the talks should
take place on a nation-to-nation
level to end the "division,
of the world into blocs con
trary to the idea of coex
istence." He made the sug
gestion in a New Year's state
ment to his people.
"Good will and conversa
tions" between the East and
the West must be the aim now,
he said, with the eventual aim
of "peaceable competition be
tween social systems."
Raps NATO Conference
Tito criticized the recent
NATO summit conference and
said the Western leaders were
seeking "positions of strength
before bargaining with Russia.
However, he praised Presi
dent Eisenhower's speech at
the Paris meeting for its "con
structive words" on aid to
underdeveloped countries.
The Yugoslav leader said'
the world needed and interna
tional settlement by the East
and West if it is to survive.
"The new, atomic era and
the first intimations of man's
penetration into outer space,
instead of filling man with
immeasurable pride and joy
in this triumph over nature,
cause peoples to fear these
achievements of the human
genius," he said.
Instruments of War
He decried the fact that "it
is intended to use them as a
means of intimidation and as
instruments of war, which can
result in the most terrific
catastrophe and turn the
world into ruin."
He said the "positive pro
posals" by Indian Prime Min
ister Jawaharlal Nehru and
Soviet Prime Minister Nikolai
A. Bulganin were "countered
with a meeting of the Atlantic
Pact at that highest level at
which discussions were held
about distributing atomic
weapons, building bases for
guided missiles and so forth.?
"This is by no means the
way toward relaxing and find
ing points of agreement in the
world today," he said.
Explosion Heard
In City Tuesday
Medford police reported to
day they were unable to lo
cate the cause or location, of
an explosion in Medford about
6:20 p.m. Tuesday.
The blast, heard in several
sections 'of the city, resulted
in several telephone calls to
police asking the cause. Police
said the explosion apparently
was dynamite and was de
tonated above ground.
The location of the blast
was near Fourth and Front
sts., judging from directions
called in by a number of
people, police said. They re
ported no damage was found
when inspecting the area last
night or this morning in day
light. Rocket Blast
They told police they made
several small rockets this
year and were preparing to
fire the footlong one when it
exploded.
The boys, sophomores st'
Roseburg High school, and
both good students ' in
science" would not comment
on the type of fuel used in
the rocket, but the Kenny
youth said it was "pretty sen
sitive." 'Controlled Conditions'
Garry's parents, Mr. and
Mrs. Robert Kenny, said the
boys worked on the rockets
under "controlled conditions."
Garry said he was eager to
get to work on a six-foot
rocket of his own design that
he hoped would go 2000 feet
into the air, and fall to earth
by parachute. The Shinn boy
said as far as he was concern
ed his career in rockets was
ended.