FRIDAY. JUNE IS. 1962
MEDFORD MAIL TRIBUNE. MEDFORD. OREGON
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Edited by the Mail Tribune Advertising Department
RETAILERS EYE STOCK MARKET FLUCTUATION. Wall street worriment has not
been reflected in consumer buying, indicates study by Fairchild News Service. Most
observers point out that rarely, if ever, has there been a correlation between retail sales
and sharp stock market plunges. At wont, some retail executives are beginning to
wonder whether their fairly bullish outlook on 1962 business may not have been too
rosy. Some fear a tightening of consumer expenditures on big ticket and luxury items
if the market slump should continue. In New York, Ray E. Jordan, executive vice-president
of J. C. Penney Co., said: "We see no reason to alter our prediction of a sales gain
exceeding 7 during the first half of 1962." David Yunich, president of Bamberger's
New Jersey, commented: "So far we don't see any correlation between the slock market
and retail sales." He added that he had detected no consumer resistance or change in
consumer attitudes. In San Francisco, store executives felt, generally, that the slock
market slump was a temporary condition, and reported sales unaffected thus far. Robert
Lautcr, senior vice-president of Macy's, New York, commented: "When there is uncer
tainly in the stock market it makes people hesitate about committing themselves on
big-ticket purchases." In Milwaukee, Detroit, Washinglon, Pittsburgh, and St. Paul, re
tailers also tended to minimize the direct affects of slock market upsanddowns on retail
sales, and planned no change in current merchandising plans. Dissenting from the gen
eral view was a Minneapolis departmcnl siore executive, wno sam: iviy own lucim is
that the stock market slump is going to put a four-wheel brake on buying. People are
going to freeze."
SHELL OFFERS GUIDE TO WORLD'S FAIR. Persons
planning lo drive to the Seattle- World's Fair can receive a
free World's Fair Guide and Touring Service information
at all Shell stations. Touring experts plot a choice of the
fasieit and the most scenic routes to the Fair for each motor
ist. Each touring package contains area road maps, informa
tion about points of interest along the way. accommodations,
terry boat schedules and upon request travel accessory tips
that will appeal to the most discriminative woman traveler
and interesting features that would be overlooked by the
ordinary tourist. The Fact Kit is available at any Shell sta
tion in the Northwest. The guide contains information about
the Fair, routes to end location of the fairgrounds, a map of
the fairgrounds, location of parking areas, the monorail
route, location of Shell stations and answers to the most
iktd. about questions concerning the Fair.
mm
ate on a three-year cycle. This should give y
and the opportunity to editorialize gagaciou
in the last three model years, Plymouth in
successive year, while the Chrysler passenge
for four years in a row." This line of resear
-copy. Consider Valiant which has stayed wl
with Valiant for 63 with this type ol aeau
seem to know everything their neighbors ar
discreetly mum on their own stuff. 4. Forg
copy for a couple of years, but this rumor h
concerned about accuracy in predictions. No
to date haven t been all right, although the
foggy rose-colored glasses. For example, th
in predictions on Valiant. One said there wo
there would not be. And we re not telling
Olympia follows the fun Bright swuhine and Itjfai
refresh mem rc traditions! summertime pleasure companions. ..end rdVorunj
Olympii fjtt the tunc perfectly. A rare annua brewing water a responsible tot
the diwux trvc flavor and dianctr that have made Olympia Beer a natural Wcswm
famritt.y the Water
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FRED COLEMAN OF CRATER LAKE MOTORS
HOME VACUUM CLEAN
ER VOLUMES RISES. Sales
of electric home vacuum
cleaners rose 9 in April to
290,740 units from 265,032 a
year earlier, the Vacuum
Cleaner Manufacturers Asso
ciation reports. Sales in the
first four months of this year
totaled 1.226.500. up 10
from 1.115.449 in the like pe
riod last year, reports The
Wall Street Journal. The asso
ciation also reported sales of
electric home floor polishers
increased 17.3 in April lo
92,362 from 78,759 in the
1961 month. Volume in the
first four months, however,
decreased 1.8 lo 350,377
from 356,941 units in the like
1961 period.
COLEMAN WINS TRIP TO
ROME. Crater Lake Motors
of Medford recently was
named as one of the top win
ners in a national Ford Di
vision sales campaign and
was awarded an eight-day all
expense trip for two to the
Riviera and Rome. Crater
Lake Motors, which has heon
a Ford dealership since infill,
was one of 18 winners in the
San Jose distrlct-which in
cludes northern California,
southern Oregon, western Ne
vada and Hawaii. Fred Cole- ,
man, dealership manager, re- , '
ceived a personal letter from O. F. Yando, Ford Division's general sales manager, which
cited the dealership "for outstanding sales accomplishment."
DON'T BE A REFORMER ON FATHER'S DAY. If you want your Father's Day gift
on Sunday. June 17, to score a bulls-eye, don't be a reformer. On the other hand, do
give Dad something that will appeal lo his masculines tastes. That's the advice of Ray
Baker, manaoer of Pennev's,
AW,!,"-.""," IJ,I,I who savi the b.st nresent is
one showing that you know
and respect Dad's preferences.
This befuddled Dad seerrts lo
be asking whether his family
is "for or agin me". At front
and center the two "reform"
gifts-a sprinkling can and a
shovel-designed to be nol-too-subtle
hints that more help
with gardening chores is de
r.iad. Although the lamp and
flower vase resting on the
floor undoubtedly will look
nice in the house, they really
don't seem tailored to meet
Dad's dearest wants and
needs. The same is true of
the glass bowl on the table.
And what will Dad do with
those two gimmick-type gifts
on the table? The ball point
pen with the flamboyant
feather is hardly suited lo a
lover of baseball and the out
door lite. And that paper-clip
in the shape of an animal
head is calculated to give
Dad a start each time he
looks at it. If you're at a loss
tor a Father's Day gift, re
member that Penney's has an
thought to his present before
1 6i
i J 1 1st rrSaWuSi jab.
WATCH FOR "OLE" ADS.
During the summer months,
active Westerners move into
the sunny outdoors looking
for new ways to have fun.
And Olympia Beer, a refresh
ing old favorite, follows the
fun, adding an extra measure
of pleasure to these light
hearted days. This summer,
Olympia's big mid-year pro
motion highlights the latest
water sport-surf sailing-an
exciting contest between
wind, sea and sailor. Through
the realism of colorful pho
tography, you can picture
yourself at the tiller of a 10
foot fiberglass board, feel the
taut lines steady the sail
against an aluminum mast . .
enjoy the moment that a tall,
cool glass of Olympia Beer
rnmnlftpR. Tn bring this ITlos-
k j 1 i sage to you full color, full
f i , i page, newspaper ads, plus
I 1 I f'w rf dominant-size black-and-white
I: i fcf I '"'"'" ' """"ia. . hl3 ones will bring the Dromotion
Wl-ar-ra'. - .1 Ulr !, I ,, . nlh.r re.
minder that "bright sunshine
and light refreshment are tra
ditional summertime pleasure
companions, watch Tor the ad snown nere to appear in lull color in me man irioune on
Wednesday, June 27. And if you re planning on bringing your family to the Seattle
World's Fair this summer, don't miss the "It's the Water" ski show in the stadium. Twenty-two
performers and nine boats will keep you on the edge of your seat at any of
four shows daily. No admission charge.
BEER 3
THIRSTY. GIANT SIZE TOWELS NEWE
ers and extra guests your towel supply gel
the lime to start filling your linen closet wi
lo Mail Tribune readers by Sego the doubl
three lovely pastel colors these king-sized 2
77c each with six Sego Evaporated milk co
and pink whisper. You'd expect to pay $1.3
you see them we're sure you'll want a half d
of Sego Evaporated milk and towels can b
stores. In Medford the Sego redemption Stat
DISTINCTIVE FURNITURE SALES UP
According to Dick McGuire of McGuire's
Home Furnishers, demand has increased for
furniture and acessorics that are keyed to
more luxurious living. This demand has meant
greater sales and an opportunity for the store
to increase its floor inventory. Until recently
acquired by McGuire, the store was well
known as Lippert's. It was operated by Mr.
and Mrs. Ed Lippert, while McGuire was
store manager. He has expressed to Memo his
gralilude to area residents for their support
ol his efforts to merchandise high quality
furniture. Among the outstanding lines fea
tured by the firm are Drexcl, Fine Arts and
Metropolitan furniture, Karaslan carpel and
Stiftel lamps. Tribune readers are becoming
increasingly familiar with McGuire's distinc
tive newspaper ads. The store is located at 220
N. Barllclt in Medford.
BUS TOURS ANNOUNCED. Continental
Trailways has announced that a series of
specially planned individual lours lo the Se
attle World's Fair and sixteen others of the
nation's leading vacation areas will be avail
able this season to American travelers. D. A.
Scott, director of Tour Sales, said that the
tour offerings include the Colorado Rockies,
Grand Teton and Yellowstone National Park,
British Columbia, Black Hills of South Da
kota, New England. Canada, Mexico, Grand
Canyon. Southern California, Glacier Nation
politan Eastern U.S.A., Great Smoky mount
Mississippi Gulf Coast in addition lo the Wo
"have been planned lo provide the vacatione
ure-lirra at a reasonable cost. Each tour
modern Continental Trailways highway cru
ditioned, plus hotel accommodations, sights
rr.iny meals at an all-inclusive price that a
traveler can obtain free lour planning from a
mireau.
ST SEGO MILK OFFER. With swims, show
s plenty of use during sumrrar months. Now's
th these famous brand name towels offered
e-rich "premium" milk. Offered in choice of
4"x44" bath towels are a real buy at only
upons. Colors are firefly yellow, green mist
9 or more foi towels of this quality and once
ozen or more. There's a coupon on every can
e obtained at authorized Sego Redemption
ion is Hubbard's Hardware at 310 E. Main st.
::
abundance of Items that will tell Dad you gave a
making a selection. Baker reminds gifthunters
until 9:00, and all day Saturday.
lot of
that Penney's will be open tonight
EVERYONE LOVES THE "BEETLE". M"re Volkswagens were sold in the United States
in May than during any other month in the company s history, according to J Stuart
Perkins, vice president of Volkswagen of America. Perkins said May sales totalled 20,
3B1 Volkswagens, making it the second month in a row that sales in the U. S. passed the
20,000 mark. The previous peak for Volkswagen was in April when 20.lt 1 H VWs were sold
In this country. May sales included 17.0110 V W sedans and Kanminn Ghia coupes and 3.343
trucks and station wagons. The station wagon and truck figure exceeded a two-year-old
record set In April lHliO when 3.15H were sold. Total Volkswagen sales for the first five
months of the year were 114.573 new vehicles, 22 (i per cent ahead of the 77,125 cars, trucks
and station wagons delivered lo customers by authorized VV dealers during the same
period last year. VW dealer for this area is Morse Motors, Sixth and Ivy.
HERCHER AT GE MEETING. W. E. Hercher of Pacific Power and Light Company
here was among 32 top electric utility engineers who recently participated in the General
Electric Company's 12th Distribution Sytte m Planning Conference recently. Held at G-E's
Hudson Falls, N.Y, and PiUsfield. Mais, plants. Iha 5-day meetings are intended to
"stimulate a mutual exchange of ideas so that General Electric and its utility customers
are constantly aware of new trends and developments in the distribution system area."
THE NEW VOLVO 122-S
TWO-DOOR SEDAN. A styl
ish five-passenger sedan that
combines the excitement of
sports car performance with
comfort and elegance of de
sign, the new Volvo 1U2S
two-door sedan features a
new "Ml hp H-lltn engine,
disc brakes In front, a 12-volt
electrical system and all the
other quality engineering and
design characteristics for
Inch Volvo has become fa
mous throughout the world.
Top speed is in the ncichhor
hood of 100 m p It, and fuel
. available now at Stevens Auto
al Park, Banff and Lake Louise, the Metro
ains. Redwood National Park and the Florida
rld's Fair tour. "Our lours," Mr. Scolt stated,
r with a maximum of sightseeing and pleas
eludes transportation for the entire trip on a
iser which is rest room equipped and air con
eeing and guide services on side-trips, and
n individual cannot match." The individual
ny Continental Trailways ticket office or tour
LOCAL MAN'S PICTURE FEATURED.
An article in the June issue of Better Homes
& Gardens, "Recipes from the best cookout
chefs we know," carries this-picture of Harry
L. Jewctt, 525 Barnes Avenue, Medford. Jew
ell is among winners of 100 top prizes-elaborate
wagon-type barbecue grills in the maga
zine's Cookout Contest for Men, which opened
last June. Jewell is saluted in Better Homes &
Gardens for his recipe, "Barbecue Sauce,
Alaman." Jewett's recipe can be found on
page 100 of the June issue of Better Homes
St Gardens.
Pp 111 p!!1
i,ib -" : :i : .t .... .. 1 vslf
i. si y. ,
consumption Is ruled at between 23 and 30 mpg
Sales, 503 N. Central In Medford
It
WILLYS OFFERS ADVANCED ENGINE.
A. C. Sampietro, chief engineer of Willys
Motors, Inc., inspects the dual down draft
carbuelor on the new Tornado-OHC engino
being introduced in five models of the 'Jeep'
line of vehicles. The 140-h. p. 6-cylinder power
plant has advanced design features offered for
the first time in a mass-produced American
automotive engine. Mr. Sampietro heads the
Willys design staff which developed the new
high-efficiency unit. The engine features an
j overhead cam and unique spheroidal corcbus
tion chamber design which produces excep-
I tional fuel eonomy. It is available on 'Jeep'
vehicles at Medford Motors. 225 S. Riverside.
wet""' W WHAT TO EXPECT IN THE 1963 CAHS?
Well, frankly. Business Memo hasn't the
slightest idea. The car shown here will prolv
ably not, alas, join the ranks (it's a Corvette
SS research car built years agol. Prediction
stories ate a lot of fun to write, though, and
so perhaps this year we'll follow these five
helpful hints passed along to newspaper auto
editors by the Chrysler-Plymouth division.
They suggest we do the following: 1. Check
your New Yot or l.os Angeles agents. For
some inexplicable reason, these two centers
claim more auto experts than Detroit We
beliexe it due to the definition of the term
expert: the man from out of town, who after the third drink sees thiOwhole Industry in
clear perspective. 2. Scan the cycle of yearly model changes. The industry used to oper-
r imfc r -tatT MS 1
ou a lot of room for speculation in your story
sly. thusly: "However, insidera point out that
troduced three completely new moaeis in eacn
r car line has maintained the same basic body
ch, we warn you, is a cul de sac, albeit good
th the same body style for three years, wnat s
ction? 3. Ask the competition. Competitors
e planning at this time of the year but are
et about sub-compacts for '63. It made good
as already been defrocked. 5. Don't be overly
body else la. The half-dozen speculative stories
y have been all read. Not color-blindness, just
e last two we read were 50 percent accurate
uld be a '63 Valiant convertible; the other said
Your Money's
Worth
By SYLVIA PORTER
Copyright, Hall Syndicate, Inc.
PROFIT MARGINS A KEY SIGNAL OF BUSINESS TURN
In 17 of the 19 business upswings and declines since the
end of World War I in 1919, a change in trend of profit margins-meaning
the percentage a corporation earns per dollar
of sales-has flashed the signal of an economic turn months
ahead of the actual turn.
Well in advance of eight of the nine business downturns
in this 44 year period, shrinking profit margins of manu
facturing companies have warned that the boom was dying.
The one instance when it was not a startlingly prophetic sign
of the end of a business rise occurred way back in 1920. Then
the indicator lagged behind the start of the 1920 slump, but
by only one month.
On average, profit margins have turned up or down four
months before a new business cycle of upswing or down
swing has appeared. Buried within this average, of course,
are "leads" ranging from more than 12 months to only a
few weeks.
Business costs "have a dominant influence on the cyclical
behavior of profit margins, which, in turn, dominate the
swings in total profits."
Profit margins "affect the prospect of profit, which re
mains one of the strongest incentives in a private enter
prise economy."
In this single area of profit margins may be found one of
the most crucial factors impelling booms or bringing them
to an end.
These are the primary findings of a new, pioneering
study of the business cycle made by Dr. Geoffrey H.
Moore, world-respected research economist of the National
Bureau of Economic Research, and released today under the
title. "Tested Knowledge of Business Cycles," as pari of
the NBER's 42nd annual report.
The National Bureau of Economic Research is among the
world's leading economic research organizations. Since 1920
it has specialized in scientific reports and it has rigid safe
guards against its becoming either a profit-making group or
"an agency of propaganda." The great research directors of
this bureau-the late Wesley Mitchell, Arthur Burns, Geof
frey Moore-claim a place in history for identifying the busi
ness cyce in the U. S. and developing the "indicators" which
are now so widely used both by government and private
sources 'to spot business changes before they occur and to
trace them as they emerge.
It was Mitchell who as early as 1913, to quote Moore,
"viewed the encroachment of unit costs on prices as one of
the critical factors that brought a boom to an end, just as
he viewed the reduction of costs relative lo prices as a signifi
cant factor in the revival in business that followed reces
sion." It was Burns who in 1952 uncovered new evidence
to support Mitchell's then revolutionary judgement.
Noow comes Moore with; the most exhaustive analysis
yet made of the role of profits in the business eycies. In
brief, Moore has found:
The ratio of prices to costs and profit margins fluctuates
sharply in business cycles "but with significant leads at
both peaks and troughs."
These "leads" can't be attributed to early downturns or
upturns in prices of goods. In fact, in recent pre-recession
cycles, the price-cost ratio and profit margins have turned
sharply down "even while the price level was rising."
The evidence is that "movements of unit costs, particular
ly unit labor costs," determine the timing of profit margin
changes. Early in a business upswing, for instance, unit
costs usually decline because of a rapid rise in a worker's
output per hour and a slower rise in his wage. Late in a
business upswing, though, unit costs usually increase be
cause a worker's output per hour is climbing mora slowly
while his hourly wage is rising more rapidly.
During each of the post-World War II upturns, this has
happened, and in each case the shrinking profit margin
foretold the subsequent downturn in the general economy.
URGENT NOTE: As reported in this column Monday,
profit margins recently have been narrowing. In a private
talk Moore remarked that, "While, of course, there's no
gurantee, I suspect this narrow will continue."
Plans for Marine
Sciences Lab Are
Reviewed by OSU
Corvallis - Plans for a Ma
rine Sciences Laboratory on
Yaquina Bay have been pre
pared by Oregon State univer
sity, in cooperation with tha
city of Newport, and will go
to the state department of
planning and development for
consideration under the pro
posed federal redevelopment
program.
The federal program now
before Congress would pro
vide funds for new public fa
cilities that would contribute
to the economy and welfare
of the states and the nation.
Members of the state board
of higher education reviewed
the plans recently at their
meeting in Eugene and ap
proved a proposal that OSU
petition the Area Redevelop
ment Administration for funds
to build the $921,650 labora
tory. President James H. Jensen
said the laboratory would sup
plement the extensive pro
gram of research that Oregon
State university now has un
der way in oceanography,
fisheries and water resources,
including waste disposal in
coastal streams and the ocean.
It would be available for use
by research workers from
stale and federal cooperating
agencies and research workers
from other institutions, he em
phasized. The proposed laboratory
would be constructed on 32
acres of land leased to OSU by
the Port of Newport. The land
is situated on the south side of
Yaquina Bay, close to the en
trance of the Bay. The OSU
research vessel, Acona, would
be docked there.
The building as now planned
would contain 39,120 square
feet in three wings of approx
imately equal size. One wing
would be devoted lo oceano
graphy; one to fisheries and
water resources research; and
the third would house com
munity facilities including a
museum-aquarium and a library.
is youe
MOBILE?
Money for a tune-up, re
pairs, accessories, other ex
penses. One-visit service.
IDCAL IOAN
S3S E. JACKSON UVD.
Madltrd Shvppini Cinlar
Phom: 773-7456 Dick Wtbb. Mjr.
Omr Friday Evaila 'Tit 7
Mr. & Mrs. George L. Gaskell Win
703 Cottage St. Salem, Oregon
FREE (2ILR 17..
m.iiinumi a.'t'tp.TOsiMil'.a
Mr. & Mrs. George L
Gaskell, Salem, Are
Shown Here With
the Color TV Set
They Won al
Super-Save Service
Slalion's May 17
Drawing!
,-NEXT FREE DRAWING
ON JUNE 21 AT 8:00 P.M.
Enter Today -Nothing to Buy or Write!
Get Your FREE T.V. Ticket Today
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Across From V.A. Entrance, White City