Document 448R7wRN0pNnKr67Ko2o1zzOR

MU JUTES EXECUTIVE COMMITTEE MEETING National Paint, Varnish & lacquer Assn., Inc. Palmer House - Chicago, 111. July 11th .1939 ***>*** A regular quarterly neeting of the Executive Committee of the National Taint, .ra:7ush and Lacquer Association, InCo convened at ten-thirty A. M. Tuesday, July 1939, in the Palmer House, Chicago, 111., with the folLot. ing in a t tc-:: J' - T. J. Campbell E. A. Foy E. D. Griffin Howard Kellogg D. A. Kohr cel'r.cey Kountze S. R. Matlack H. A. Me3.ua J. V. Reardon C. J. Poh Harold Rowe C. N. Seidlitz F. L, Sulrbcrger Ernest T. Tri?g H. E. Nebster Val Uortele W. M. Zintl ASSOCIATION STAFF H. A. Gardner M. Q. Macdonald F.suel W. El ten D. 'H, Figgis W. I, Lougsworth ABSENT E. E. Morton Benjamin Patterson CALL TO ORDER The meeting was called to order by Mr. Charles J. Roh, Chairmen. MINUTES OF LAST MEETING The Chairman stated that the minutes of the preceding meeting had been nailed to nil members of the committee, and that the agendum of this meeting would take care of any unfinished business carried over from the lest meeting. It was moved by Mr. Zintl, seconded by Mr. Melua, that the minutes of the meeting of the Execu tive Committee of April 26th, 1939 be approved without reading. Motion carried. REPORT OF TREASURER AND OF BUDGET AND FINANCE COMMITTEE The Treasurer, Mr. Matlack, reported that the Budget and Finance Committee had net at breakfast this same date and had found the financial situation of the As sociation in good shape. He referred to the comparative balance sheet as of June 30th, 1939 and 1938 and to the statement of income end expense for the period October 1st, 1938 to June 30th, 1939 (copy attached) and pointed out that the item "expense over income" had been nyiuced from approximately $24,000.00 as reported at the end of the last quarter, to approximately $10,000.00 as indicated in the present financial statement! he expressed the opinion that this item would be fur ther reduced before the end of the fiscal year. In answer to a question by Mr. Zintl Mr. Matlack stated that the Increase of expense over budget in schedule 5 "Clean Up c.nd Paint Up Campaign" was due to the greatly increased demand for Cl?7n Up promotion material thi3 year, and in further explanation of this item he raud the following memorandum. NCR 0 02SbC N 3593 "We have had a practice of carrying inventories of Cleon Up .:atc-j *al on items. we have for sale. These we carry as the Clevn Up Display U^tcrial Inventory. Clean Up prepares a large quantity of print?! natter for use in l->csl campaigns. One large iten of these is the Han abac!-:. This is the in struction of hew to run a local campaign. This season 10,0-00 cor.ies wore printed at the cost of *1,556,28. In a normal year these would have been sufficient for two full seasons. Y.'ith the mutually ' ;rge compaign now over, we have 2,256 on hand valued at 351 *03 -Tn p~-:t practice, it has been found uneconomical to print for cno see son c'ly, and so the printed matter has usually been for two seasons. The full cost has appeared in the year the purchase was made. The nat service is on a two year basis also. Each set of cats is used for two years. One half of the to tod mats offered c-ach year is r.cw that year, and one half is the prior years now aa^s 'used for a second ye-ar. In this way the stock is freshened each year and additional use is nude of last years mats. A large part of the cost of a new mat is the art work, shop composition, end original cuts. The entire cost of this occurs in the year purchased, the second year bears only the cost of the reordered impression of the mat. The mats on our shelves which are carried ever represent a considerable value, which night be inven toried. However, we expect to reorder next year many of this years mats new out of stock. It would be difficult to carry over the full propor tional cost of the mats wo have sold out and do not have on cur shelves. Since each year bears the full cost of one half of the mats offered, the total yearly costs tend to be in balance as to basic costs. Each years demand causes most of the yearly variations over the basis costs due to reordering to fill orders." Mr. Matlack stated that the excess of expedse over budget in Schedule 10 "Trade Sales Division" had been due in large measure to the promotion of "Faint Styling", and he stated that this schedule would be nore nearly in balance by the end of the fiscal year." Mr. Roh stated that one of the interesting points brought out in the meet ing of the Budget and Finance Committee was the fact that the Clean Up and Paint Up Campaign had an actual record of definite campaigns conducted in ^ more than twelve hundred communities during the year, and that this repre sented an approximate cost of (17.00 per campaign. It was moved by Mr. Zintl, seconded by Dr. Kohr that the report of the Treasurer and of the Budget ana Finance Committee bo approved, Motion carried. Mr. Matlack stated that the Budget and Finance Committee recommended to the Executive Committee that the National Paint, Varnish and Lacquer Association contribute 500.00 to the flax development committee of the Flax Institute -----p for the furtherance of flax development work. It was moved by Mr. Trigg, seconded by Mr. Zintl, that the appropriation as recommended bo approved. Motion carried. REPORT OF THE SCIENTIFIC SECTION Dr. Gardner, Director of the Scientific Section, presented the following ntk 0 02381 ng conducted by the Scientific Section 1, 1939: Scientific Section Circulars have he-:: :n, Circular No. 569 570 571 572 573 574 575 576 577 578 579 530 581 582 583 Putty Iavv3tis`-ti;. Reagent Rests tones Ferilla and Chia E: Too L'uch Moisture Faint Tests on Lap: Recent i'ildow Test Yc-llcring of Flat ' Preparing Panels f< Hiding Per. cr of Pa: Freparing Panels f< Mildew Prevention Testing Blistering Insulated' Improved Abrasion . Ferilla Experiment; A Portable 60 Clo; Abstract Review No. 57 No. 58 In addition to the above, the Special Circular entitled "Tung Oil Culture" has been reprinted to meet the continuing demand for infer no tic.n on this subject. The scientific Section is continuing its v.ork in advising with var ious government organizations which arc required to purchase paint products on specification. Notable instances of this kind in the pc3t six months have been the U. S, Maritime Commission and the var ious housing organizations. Private organizations also frequently call on us for advice in connection with their painting problems. Kithin the Association, the Scientific Section is cooperating with the Industrial Division in the testing of railroad finishes, acoustic paints, color standardization, etc.; with the Unfair Competition Bur eau on the examination of products suspected of misbranding; with the Save the Surface Campaign in the technical editing of bulletins. Tbo Scientific Section is also cooperating with various groups in the Association membership, such as the manufacturers of furniture fini shes, manufacturers of roof coatings, manufacturers of caulking com pounds, etc. Talks have been given before advertising executives in the industry, suggesting new sales possibilities. Representatives of the Scientific Section have attended meetings of production men, technical organizations such as the American Chemical Society end American Society for Testing Materials, and Funn Chemurgic confer ences. Active cooperation with all these organizations is being con tinued. Dr. Gardner stated that a special meeting had been called for this evening to discuss "Proposed FHA Specifications for two-coat paint systems", which had teen prepared by Dr. Bro.vru of the Forest Products Laboratory, and which wore ready -3- $C \ Q G2382 for railing to all Federal Housing Administration representatives throughout the country^ Dr. Gardner stated that he and President Trigg had called upon repre sentatives of the Federal Housing Administration in hashington and had requested that the nailing of these proposed specifications be held up until the industry hid had an opportunity to consider the subject at its r.c-eting tonight. He statod that a second nee-ting for the consideration of these proposed specifications .old be held tomorrow morning, raid that Dr. Srcv.no h?.d been invited to attend that session. In explanation of the situation Dr. Gardner read the following -o~.orandum regarding "Proposed fHA Specifications"}- "Twc-coat paint systems shall be acceptable only hen they c reply with the following require;vents which have been estafcli. hod ns the only em iitions under which the Forest Products Laboratory will roe on end such paint systems for two-coat work: 1. Both priming paint and finish paint must be'made by the same manufacturer for use together in two-coat initial painting and shall be currently offered by him to the paint trade under his established trade brand. Both priming paint and finish paint must bear labels identifying the brand ard manufacturer together with the formula in accordance with the National Paint, Varnish and Lacquer Association's special circular on 'Nomenclature for Formula Labeling'. 2. The priming paint, when thinned for applie .ion according to the manufacturer's directions, shall contain not 1 as than 0.15 gallon of opaque pigments, 0.24 gallon of total pigments, and 0.60 gallon of nonvolatile material per gallon of paint, calculated by the procedure for volume analysis of paint formulas of the Forest Products Laboratory. (A complete description of this procedure is contained in 'Industrial and Engineering Chemistry', Vol. 29, page 1018, issue of September, 1937) 3i The finish point, when thinned for application according to the manufacturer's directions, shall contain not less than 0.20 gallon of opaque pigments, 0.25 gallon of total pigments, and 0.89 gallon of nonvolatile material per gallon of paint, calculated by the procedure named in requirement 2. 4. In one gallon of priming paint plus one gallon of finish paint there shall be a total of not less than 0.43 gallon of opaque pigments, cal culated by the procedure named in requirement 2. When the question of acceptability urises, the local office shall in form the manufacturer of the above and request him to write to the Forest Products Laboratory at Madison, Wisconsin, for an opinion as to whether or not his paint complies with their requirements. Such requests shall be accompanied by sample labels revealing the brand name, name of material, formula, and directions for application. The set of sample labels shall include all tint3 of the colors, both of primer and finish paints, for which consideration for acceptance is re quested. This is necessary because white, tinted, and color paints differ in formula, often very materially. In many cases, some paints in the brand will meet the requirements while others will not. There fore, approval of a whole brand on the basis of tho white primer fnd finish paint alone cannot be made. here the white paint is acceptable -4- N C A 0 'but the tints are not, however, it v.i.11 often be ; ssibie to let the pnSnter tint the white paint to rake acceptable tints. Yihen the above material has bac-n examined by the Forest Prodacts Laboratory, they will infera the Technical Division of their recomm-undat ions, v,he.will in t-jm advise the local office." Mr 'inti expressed the opinion that this association should oppose the 3 -- tablish it of any general specifications for the products of the iniust. 7- President Trigg expressed the belief the t this proposed activity has im plications beyond jthe technical field and he e pressed the h:pe that as ~-~- born of the Executive Co:.mittes ns could conveniently co so would be present nt the special sessions for the consideration of the subject this evening and tonorrow. In answer to a question by Mr. F.oh, Dr. Gardner stated that the fifteen v ve already indicated their intention to be present at the rooting this eve: ing are all technical men. :o Dr. Kohr suggested that a compromise with Dr. Brounerather than dirc-ct opposition to his proposal might be the best policy for the industry, and President Trigg expressed agreement with that suggestion insofar as it did not threaten a vital issue. Ur. Kountse expressed the belief that this situation is a serious one, and that the carrying out of the proposed plans would tend to place the members of this industry under the control of Dr. Browne of the Forest Products Laboratory. Mr. Sulzberger expressed the opinion that this matter is one of policy rather than one of a technical nature, and he expressed the hope that a3 many of the Executive Committee members would attend these special sessions as possible; Mr. Zintl said he was of the sane opinion, and Dr. Kohr expressed the belief that the question of "volume specification" was not as important as the question of policy involved in this situation. Dr. Gardner stated that two of the technical men had advised him that they believed that it was too late to take any action on this matter, and that it might be advisable to let the proposed specifications go through. President Trigg stated that it was quite possible that some of the technical men had dis cussed with Dr. Browne the question of specifications and have been convinced that the proposed specifications would not adversely affect them, but at the sane time overlooking the broad effect the proposal might have on the entire in dustry. Dr. Kohr stated that Dr. Browne had expressed to the technical men of his company a desire to have help from the paint industry. Following a discussion as to the proper procedure for this evening'3 meeting, it was moved by President Trigg, seconded by Mr. Melum, that the members of the Executive Committee present at this evening's session be constituted a committee \ to represent the entire Executive Committee with power to draw up a proposal for the Executive Committee to be presented to Dr. Browne at tomorrow's session. Motion carried. In answer to a question by Mr. Griffin, President Trigg stated that he had no information regarding any other products which cay be under consideration for "PHA specifications". -5- tJCA 0 02384 / LEGISLATION P.-Hnters License Bills: President Trigg reported that painters license bills hud been pvcc.r.tai in 22 state legislatures this year, and that all of the bills had bean killed v'.h the exception of Texas, where the legislature adjourned and immediately re convened; he expressed the belief that the bill will be killed in Texas giving the paint industry a perfect score for the year on this subject. President Trigg complimented Mr. Pitt, Vice-Chairman of the National Legislative Corr.ittee, for the exceptionally fine work he had done in bringing about the defeat of these many bills. <, Painters License "Model" bill; President Trigg referred to a petition received from Painting and Decorating Contractors of America requesting changes in the Model Painters License Bill to provide for the establishment of examining boards. He stated that he had advised the representatives of the painters organization that this association had been constantly opposed to that particular item, and that it would not be pos sible to comply with their request. He reported that the pointers had suggested that if the manufacturers would not consent to this amendment to the bill it might be necessary for the painting contractors to join up with organized labor in or der, to get state laws acceptableto them enacted. The natter is new in the hands -- uf the painters representatives for further consideration. President" Trigg referred to the protest which had been made by the Louisville Paint, Varnish and Lacquer Association to the acceptance by the Executive Committee of the so-called "Model Bill"; he stated that there was no indication that any other local association had taken similar action to that taken by the Louisville ^ Association, but that several of the local associations had op'posed the stand taken by the Louisville Association. Other Legislation: Mr. Macdonald stated that 55,000 bills had been proposed in the present ces sion of Congress, and in 20 of the 44 state legislatures which are in session. He read the following memorandum regarding various legislative matters: Status of 1939 Legislation as of July 5. 1939. LICEMSTNC-ECAMINATION OF CONTRACTING AND JOURNEYMEN PAINTERS. ETC. North Carolina New Hampshire Indiana New Mexico Washington North Dakota South Dakota Utah Oregon HB 138 HB 4 KB 454 HB 193 (HB 88 (HB 223 HB 164 SB 265 HB 172 KB 280 Dead Michigan Nebraska Ohio Maine Misscurl _ Florida Illinois Texas Pennsylvania Colorado New Jersey Minnesota V.isccnsin HB 173 Mo. 477 Dcsh d 1!HB 124 IIHB 915 ItHB 126 ttHB 1125 nSB 395 ttSB 174 it(HB 173 (Model Bill) tt(HB 517 it(HB 11 (Model Bill) " tt(SB 564 " K3 555 (Model Bill) No action - int reduced 5/l/;9 n * n _(HB 1116 (To repeal Act of 1937 - (SB 353 11 withdrawn Adjoui *.od before actio (HB 540 (To amend Act of 1937) - Dead (SB 493 It n(SB 59 (To repeal 1935-37 Acts) (HB 254 11 tt w nIt HB 434 (To amend Acts 1935-37) Hearing 6/27/39 MISCELLANEOUS BILLS Connecticut Ohio Nevada Illinois New York North Dakota California HB 1664 To require repair end painting of advertising signs Passed HB " 1 Liquid Fuel Tax. Continues exemptions of raw materials for Paint and Var nish Industry Pa s s ed HB 202 To prohibit use of certain type of point sprayei-3. Dead SB 31 To require registration of Trade Mirks and payment of fee or rick of ap propriation by end validation of title in others v.ho nay register Sana. Dead KB 299 Formula Labeling. Dead SB 167 To require periodical painting of courts cad shafts of multiple dwellings. Dead HB 262 Requiring registration of Brands of Paint and Varnish and payment of annual fee of $50.00 on each - Brand. Dead HB 2513 To prevent load poisoning. Dead Alcohol - Shortly before the last meeting of the Executive Committee, Senator Gurney (S.D.) offered an amendment to the salary taxing bill, v;hich would relieve manufacturers of gasoline from the fede ral tax when the gas aline contains 10JC or nore of anhydrous ethyl alcohol produced from domestic agricultural crops. The amendment 7.as withdrawn at the request .of the Chairman of the Senate Finance Corraittce in order not to complicate consideration of the salary taxing bill. On June 22d, it /as again offered as an amendment to the Revenue Bill and defeated by a vote of 33 to 28. -7- N C A 0 02386 TKe purpose was to afford a partial solution of the agricultural probit's tlirough the consumption of surplus grain and ether farm products. There vras nothing objectionable in the amendment itself, but if it had passed there was the danger of another supplementary proposal to place a tax on blackstrap molasses, thus increasing the cost of alcohol used by this industry. It would have been difficult, if not impossible, to have op posed such an amendment as it as offered on the floor of the Senate aftsr all hearings had closed, and s disposed of in less than an hour. Another alcohol measure is H.F.. 6CS8 entitled "A Bill to reduce the tax on ethyl alcohol int--nded' for cc-rib average purposes? This title was not calculated to alarm users of industrial alcohol, but it v.ould. Impose- a tax of 1.10 on that used by this industry. The bill provides that "noon all ethyl alcohol withdrawn and used for other than beverage purposes the tax shall be $1.10 per proof gallon." The existing law provides for tax-free withdrawal and denaturing of alcohol "for use in the arts ana industries" and for use in scientific research and hospitals. This proposal resultc-d in a legislative b-.xllotin to cur industrial alcohol users. It is believed that a change in the status of tax-free alcohol was not intended. As a result of the protests the bill is being recast. I nave Seen a redraft, and am not satisfied that it is any improvement on the original, but there-is no chance of any action by this Congress. "Buy American" - S. 1720 introduced by Senator Bone of Washington would pro hibit the use of funds granted, lent or insured by the United States, for the purchase of materials which are not of domestic origin. It v;as inspired by the Northwestern Shingle manufacturers who are in compe tition with Canadians. They are attempting to coordinate the efforts of every interested group of manufacturers and labor 'anion in the country. This bill reverses the theory of the Flannery and Boughton bills, which require marks indicating foreign origin and assumes that unmarked goods are of domestic origin. The Bone Bill on the other hand provides that only such goods shell be identified as of domestic origin as are branded or labeled to indicate that they are produced in the United States. The Director of Procurement may publish a list of articles which do not have to be so identified if he determines that the cost of such identi fication would materially increase the cost of the article, or that the fact of domestic origin is obvious. The purchase of foreign articles may be authorized if "like" domestic ar ticles cost 25$ more, - if imports of such articles amount to less than 1% of domestic consumption, - or if the article or material is not produced in the United States in sufficient quantities and in satisfactory quality. , Much would appear to depend on the broad or narrow interpretation that may be given to the words "like article". Uhethcr perilla oil and tung oil are "like" linseed oil because they are all drying oils is a question. It is unlikely that the bill will come up during this session, but it appears to have a rather favorable legislative background and active proponents, and being an extension of legislation that is in effect today, it may be difficult to oppose. A companion bill, H. R. 6696 has been introduced in the House. -8- NCA 0 02337 Flaxseed and Tur.g Oil Ir. vest if a Hon - An item in the Department of Agri culture appropriation bill providing for the cultivation and breeding of flax for seed purposes, including a study of flax diseases, was in creased by -the Senate by $20,000 but vas reduced by $10,000 by the Con ference Committee. This was part of an appropriation for investigation of cereal crops and diseases ana flax and broom corn investigations. The total amount non allocated to flax is $25,145. T.hile considering this bill in the Senate Finance Committee, Senator Russell asked Dr. Auchter, Chief of the Bureau of Plant Industry, how he is getting along v.ith the Tung Oil investigations. His reply u_s:- "Very excellently. Tie have research groups established at rog'lusa, La., right close to Mississippi that handles those two states and some in Alabama; - then vs have another at Gainesville, Fla., that handles the western Florida and part of the eastern Alabama area; and at Cairo, Ga. that handles Georgia, and parts of Alabvaa and Florida; wo have some twelve scientists employed in the work, ar.d I believe that we have itade very excellent progress on that work to date." Flaxseed Prices - Senate Resolution 167 of the last Congress ordered the Sucre tary of Agriculture to investigate the factors keeping the price of flax seed under parity, and particularly to report on the effectiveness of the existing tariff on flaxseed and linseed oil, and of the tariff or excise -- taxes on perilla and other competitive oils and oil seeds. This report was made available in May as Senate Document 62, - 30 pages of considerable interest to those having to deal with oil legislation. Among other things tho Department reported that "the present duty of 4.5 cents per pound is more than compensatory in relation to the duty on flaxseed", end that "the present tariff on flaxseed during the years in which it has been in effect has brought about an increase in domestic prices equal to about 90% of the net tariff rate". The report shows that in 1938 flaxseed prices, while below parity were higher than prices of all fara products combined and considerably higher than wheat prices. The report is entirely factual and no recommendations are made. Indications of Foreign Origin - On April 25th, Congressman Flannery intro duced H. R. 5985, "to require informative labeling of imported articles." This is a revision of his H. R. 3582 discussed at the last meeting of the Executive Committee. At that time it was not believed that the bill would be reached during this Congress. Since then, however, it has been referred to a sub-committee of the House Committee on Interstate and For eign Commerce, and is said to have labor and agricultural support. The bill is drastic, and ambiguous, and whenever applied to the products of our industry would be extremely troublesome. Compliance would be ex pensive ana of little benefit to the public. Detailed comment on the bill is contained in a letter from ?Ar. Trigg to the Chairman of the Com mittee, copies of which were sent to every member of the House Committee and to the Secretary of State and the Secretary of the Treasury. The Secretary of State had opposed a rathc-r similar proposal in Hew York State which -was nevertheless passed but later vetoed by Governor Lehman. The Secretary of the Treasury is charged with the enforcement of the Customs .0. N C A 0 023 88 Administrative. Act which we believe adequately deals v.ith the subject of labeling foreign products. A cz~y of the protest was nailed to members of the Executive Committee -amd duplicate copy is attached. It is the intention of the sub-c omit tee to hold hearings in the near fut Other industries will oppose the bill. Another nropocr.l along ls j-ine is 308 introduced !'uy 2?th by Co: ginsiuun Doughton and referred to the Committee cn Ways and Moans of \.hich he is Chairman. This is an Administration measure proposed by the Treasury to define "the true intent and nooning" of Section 304 of the T..riff Act which requires such narking of imported articles in such runner as to indi cate to "an ultimate purchaser" in the United States the country of origin of the article. The courts had held that the ultimate purchaser v;rs the im porting manufacturer of tooth brush parts. The pending measure defines "ulti mate p'-urchascr" as "the last purchaser in the United States who could be in formed of the country of origin". It is not intended to apply to articles, the narking of which would necessarily be obliterated or destroyed by treat ment. Notwithstanding the expressed intent of the Treasury Department, I am not satisfied with the language of the resolution and the some is true of others interested in the natter, he till attempt to clarify the language in conference with the Customs officials. Painters1 License - At the last meeting of the Executive Committee, litigation pending in Sheboygan, Wisconsin, involving the validity of a local painters' and paperhangers' license ordinance was discussed. Mrs. Christ Bolds had be an convicted in the Municipal Court of paperhanging without a license. An -appeal had teen t< ken to the Circuit Court, but she was fin-incit lly unable to prosecute the appeal. It was suggested that it might be desirable for this Association to authorize, up to a certain limit, the financing of the appeal if further investigation indicated such procedure desirable. The President was "authorised to take s\ich action as may be deemed advisable, and to make such expenditures as may be necessary in connection with this sit uation." Mr. Pitt was authorized to go ahead, with five hundred dollar limit of expen diture, provided the appeal be so framed as t-o avoid possibility of a decision oa unimportant technicalities and to place the- issue of constitutionality squarely before the court. Subsequently, Mr. Harlan Kelley, the attorney who defended Mrs. Balde and is reported well qualified, wrote to Mr. Pitt ad vising that he had arranged to try the case in the Circuit Court at a time to suit the mutual convenience of the attorneys, and that it would be carried by the losing parly to the State Supreme Court. He assured Mr. Pitt that he had our objectives thoroughly in mind and that they correspond with his own. Although it makes little difference under this arrangement whether the decision of the Circuit Court was for or against the defendant, I have not so far boon advised of the result of the 3econd trial. 'Ae have asked Mr. Pitt to check with Mr. Kelley. State Trade carriers - At the last meeting of the Executive Committee it was sug gested that a report bo cade on State Trade Barriers insofar as they may affect tho paint industry. r g 02389 -10- TherVic nothing in this field specifically directed at this industry. !\o general subject has attracted such attention during the last 2 years, and the most hopeful development is the place it occupies in the periodical conferences of State Governors. The Governors are in a position to recommend legislation and to veto it,. The opposition to lavrs of this kind is heeding up rapidly. The Department of Agriculture recently released a comprehensive report cn the subject, and last month a conference on Interstate Trade Barriers, held in Denver, was sponsored by 11 of the Western States. The subject appears to be too broad to receive special attention by any one in dustry and I would suggest that we merely continue what we have tesn doing rime this trend in legislation was brought to public notice - keep us close tr-ok of the movement as possible and cooperate when it seems advisable with the U.S. Chamber of Commerce, the National Association of Manufacturers and similar groups concerned with the problem. The trend dees justify close observation. Along the line of the Flannery bill in Congress and the Bono ''Buy American" bill are laws in 9 states requiring the state of origin labels on food containers. Bread made outside of Oklahoma rust show the day and hour of baking. In Arizona "fresh eggs" are defined as those laid in Arizona. These laws fit into the "Buy at Home" campaigns. They are b'sod on the sane principle us the Flannery bill which covers all products and not merely food. The difficulty in stepping or reversing this trend lies in the fact that the laws all are designed to benefit the people in the states that adopt them, and the opposition, coming from the outside, supplies an argument for the propcr.sr.ts Strategic end Critical ?teterials - On April 26th (the date of the last meeting of the Executive Committee), the President signed a bill appropriating *100,000,000 for the purchase over the period of 4 years of such strategic anu critical -ut.r ials as may be determined by the Army and Navy Munitions Board. Strategic materials are those essential to national defense for the supply of which in time of war dependence must be placed in whole or in large part on foreign sources, and for which strict conservation and distribution control measures will be necessary. No raw material for this industry is classified as strategic. The Munitions Board included Flaxseed, Titanium end Toluol in a list of twenty critical materials. Critical materials are those essential to national defense, the procurement problems of which, in war, while difficult, are less serious than those of strategic materials, but for which some degrees of conservation and distribution control will be necessary. A list of 35 essential materials includes Acetone, Alcohol, Lead, Shellac and Zinc. As to these, no procurement problems in war are anticipated, but they would be under constant surveillance because future developments might ne cessitate reclassification ns strategic or critical materials. Transportation Cost3 - Another proposal which was introduced and defeated cn the same day with no chance for consideration or opposition was an amendment to S. 2009 by Senator Shipstead to amend the Federal Trade Commission Act by rr.-.king -11- MCA 0 02890 it Unlawful to charge as part of the price of a product, a rail ru*,,s '.hen in fat the product is transported by water or truck. It was defeated 51 to 21 but largely because it was not germane to the bill under ccr.siderr.ticn. Ct>r.r Legislation - As typical of the work which is continually going on at headquarters in_connection with examining, -'nalyzing and, where r.a cossary, protesting against proposed legislation, President Trigg present= d a co--unicaticn sent to the Hon. Clarence F. Lea, Chairman, Cc.vr.it tee on Interstate and Foreign Commerce, House of F-epresentativas, Washir.V_-'t-'*n f n- runder date of June 15th, the material for which he stated was supp lied by Macdonald. (copy attached) China Vood Oil Situation - Mr. Kountze stated that representatives of our industry had held several -.actings with representatives of the Universal Trading Corporation and h-.d recommended to the Trading Corporation that they work cut a plan so that dealers (inporters) would know in advance what China Wood Oil would be available over a period of two weeks or a month so that they night go to their customers to sail China Vood Oil, and so that the industry might be protected. He stated that representatives of the Universal Trading Corporation repertod that sene trucks are now in operation on the Buzma road and that some oil is being shipped that way though .an adequate supply is not yet assured. He statc-d th^re v. is some hope of getting action through the State Department for the release of ap proximately 10,000 tons of China Wood Oil owned by American interests but held at Hankow under Japanese control. Ho suggested that all companies interested in the release of this oil at Hankow could be helpful by indicating their in terest to their representatives in Congress. President Trigg stated that the importers have advised that they i._ve no China >*ood Oil not under contract and must depend on the Universal Trading Corporation for their supply. He expressed the belief that importers are better qualified to determine who should receive China Wood 'Oil than are repre sentatives of the Universal Trading Corporation, and he expressed the hope that a plan would be developed whereby the Universal Trading Corporation would be able to tell importers the amount of oil they can expect to receive for resale for a period of a month. He expressed the further hope that the Universal Trading Corporation might ba successful in establishing the price of China Joed Oil for a period of at least tea days so that there could be some stability in the market. President Trigg stated that the Universal Trading Corporation is now receiving approximately 55% of the oil brought into this country - the other 45% being brought in by importers; he expressed the belief that that situation will change and that the Universal Trading Corporation will control practically all of the China Wood Oil coming into this country, not including the 10,000 tons now held in Hankow, President Trigg stated that importers have been as sured that if they will make a request to the state department for the release of the oil owned by then but held at Hankow, this Association will ask consumers to urge their representatives in Congress to take such steps as may be necessary to bring about the relcaso of that oil. In answer to a question, Tir, Kountze stated that he did not believe that oil was being held up at the present time to stabilize price, and be stated it was apparent there was not sufficient oil to supply the demand. -12- N ZA 0 0239! Kellogg :hat liia company had not :sen able to get any oil t0 sell iA several months. Ke stated that the Universal Trading Corporatiar. does not seem to follow any particular plan and that at the present tine there did not seen to be any v.ny to determine what oil vo'ild be available from day to day. Mr. Kellogg stated that the organisation handling the distribution of China Wood Oil in China - the Chinese Vegetable ^il Corporation - was practically a goVermont company operating with State money, and that between that company and the Universal Trading Corporation they could rather effectively control the - rkc He stated that his company has only 1500 tons of China Wood Oil in narJcc?. and that they had offered to sell the oil to the Japanese who are apparently opyr:ed to having the oil moved down the river. Hr. Kellogg stated that their repre sentative in China had expressed the belief that the Japanese pl5n eventually to take the oil without pay-cat. President Trigg stated that it is particularly desirable to have the present distributing system retained so that snail manufacturers can get their supply of oil whether it be for a drum or a tank car. In answer to a question by Mr. Matlack, President Trigg'.stated that the Universal Trading Corporation dess not establish the price at which importers must sell their oil, but that the price is controlled by competition. In answer to a question by Mr. tuxtele, President Trigg and Mr. Kountze stated that the Universal Trading Corporation had made no statement recently re garding the subsidizing of the cost of distribution of China Wood Oil, but that they did hope to create some savings through their method of handling the sit uation. In answer to a question by fr. Sulzberger regarding substitutes for China Wood Oil, Dr. Gardner stated that the importation of oiti oil had increased from five million to ten million pounds a year, and Mr. Kellogg stated that the use of dehydrated castor oil vas decidedly on the increase. Mr. Campbell stated that he had heard that substitutes are now being used for approximately 65% of the demand for China Wood Oil. Mr. Kountze stated that the Universal Trading Corporation have expressed the hope that by November or December of 1939 they will have a reserve supply of China Wood Oil. President Trigg stated that he aid not believe that representatives of the Universal Trading Corporation take ser iously the statement made regarding the use of substitutes for China Wood Oil. In answer to a question by Mr. Melua, Mr. Kountze stated that he believed the representatives of the Universal Trading Corporation had sincerely intended to subsidize the transportation of China tood Oil, but that apparently those plapfrliud UUIlf UUligu^^^ Toxic Materials - President Td*igg read the following memorandum regarding jho subject, and the copy ofif proposed letter which it is suggested be sent to alt^lafiaBA><ambers>i5-t1ble^fssjciation.(copy attached) Our Industrial Sales Steering Committee has on numerous occasions discussed our responsibility to the public and the protection of the industry itself with respect to the use of toxic materials in the industry's products. Reports re ceived indicate that there is an increasing recognition on the part of seme con sumers, more particularly in the industrial field, of the fact that seme paint products cay or do contain toxic ingredients. The Steering Committee felt it desirable to have this subject considered by a special committee, which was duly appointed, consisting of - -13- nc a Q 02392 L. F. IHEUF.rJl (Chaims. n), Pittsburgh Plats G\ C. F. EEAITY, Socouy Paint Products Company Vi. C. DaBNEY, Joncs-Dabney Company H-. . LACKEY, E. I. du Font ds Nemours & Co. H. E. Vt3STEh, Pratt & Lambert, Ir.c. 3,, rw y At a meeting of the Toxic ! 'ittriols Ccrr.itteo hold on May 17th, ii.c- V, ject r.a very thcroly discussed and it v,r.s the unanimous opinion that it uld bs -ise for tha Association to prepare a ccnfidon.tial, core-fully -..-.rde * L> u. 7 ,to be sent to all Class A rooters to be strictly infer`.a^ivc ;.::d not hi It was the*feeling that perhaps a good many roar.ufhetursrs '-.ro r.ot os C' - ' r* v;ith materials that are or .nay be under sons cirorastanccs toxic and that for their cun information and guidance t.q should give then the best in for.a at ion available and step there. Such a letter in the C omittce's opinion oh culd be, given no other publicity but should be sent as a confidential co:..runic at ion to the Class A members only. Accordingly, such a lett.-r v.us prepared with extreme care end after it v,as prepared a copy ?:as. submitted to each member of the Toxic Materials Committee for his ecc-oonts. There is j.ttacht hereto a. copy of the proposed letter and copies of the correspondence regarding it from the members of the Toxic Materials Committee. After clearing this thru the Committee, it was then submitted to the num bers of the Industrial Salc-s Steering Committee for their consideration at a meeting hold in New York on June 27th. There is attacht hereto copy of a letter which accompanied the submission of this matter addressed to the members of the Industrial Sales Steering Cc'-rittce. The Industrial Sales Steering Committee unanimously approved of the com munication and felt that it should be dispatched as promptly as possible. '.Yhile it was their feeling that the matter is of primary importance to industrial finishes manufacturers, they nevertheless recognize that it is important to all types of paint manufacturers and understand accordingly the whole subject will be submitted to the Executive Ccnznittce for its consideration and action at the meeting on July 11. P.S. Since the above was dictated, Mr. Lackey of the Du Pont Company has sub mitted some slight changes or additions to the original letter and Dr. Gardner has considered and incorporated those changes so far as he deems advisable in the copy of the proposed letter attacht. - It was moved by Mr. Zintl, seconded by Dr. Kohr, that a letter similar to the letter presented on the subject of toxic materials be sent to a31 Class A ~U members of the Association. Motion carried. There was considerable discussion regarding the responsibility of paint manufacturers in connection with the use of toxic materials in their products. -U ra rv fr,. 02 0 v , z Trmie Sales Products 'lade on or to ''-:-et Government Specifications: President Trigg reed the following memorandum regarding the subject: In the last two or three years there have tcc-n isolated cases of r.r.nu facturers of trade sales goods advertising certain products as "comply ing with", "made to meet", "made on", etc. government specifications. ..here these things have occurred and they have been brot to our att&r.ti or., wo have promptly discussed then with the mc-nufacturc-rs involved, explai ing that such procedure, if eventually generally followed by the i..:ust o > .-'aid result in all manufacturers making the sere claims for their prod lets and create a situation where salesmanship, prestige, quality end other srf.ling arguments mould be displaced by price only. Furthermore, that smart buyers would expect manufacturers to furnish such government sp;c Hiohtion goods at the same prices similar specification ^roducts are bc:r. sold for to the government itrc-lf, which prices to the government as is ..ell known leave little, if any, margin of profit for the mr.nufr.cturc-r. In all cases up to recently manufacturers with whoa we have walked have recognized that such a practice v.a3 ill-advised and have discontinued it. Recently, however, the Baltimore Paint &. Color ^erks of Baltimore started out on a rather ambitious progran of that sort and I find on talking to them that they considered it as a practical way to get the interest of pros pective customers, admitting frankly that the volume of business they ob tained on such government specification material was negligible. After some considerable conversation, they agreed that by not later than October -- 1st of this year they v:ould discontinue the practice explaining that they had some literature nor* printed which they felt they must make use of. The day following my talk with them, however, they wrote me calling atten tion to the fact that in .Montgonery-Ward's catalog, spring and summer issue of 1939, which was mailed out about a month ago, they list on page 736 "a government approved house paint which is guaranteed to meet TT-P-101A". They also advised ne that they had just talked to Sears-Roebuck over the tele phone, who gave them a price on Master Mixed House Paint, which they stated cs on the label was "guaranteed to aeet government specification TT-P-10LA". As a result of tbi3 situation, they now state they feel that if Montgoaeryard and Sears-Roebuck are going to continue this practice, they will feel justified in doing so* This is the first time we have had the Mcntgomary-Ward natter brot to our attention, but we did take up the Sears-Roebuck procedure with their Mr. D. M. Nelson last fall and under date of September 27, 1938, he wrote me that they were ui3continuing this practice and that "there are now some publi cations in circulation that carry this statement, but in the future they will be unitted". Promptly on receipt of the information from the Baltimore Paint & Color Works, wo ducked up on the natter hero and find that Sear3-Roebuck are offering this particular paint so labeled from their Washington retail store* I have, therefore, written to Mr. L. 3. Logan of the Sears-Roebuck Coupany, who is in charge of this department now, and shculd have his reply before cur meeting. (This memorandum is being dictated on June 23d). -15 NCA C 02394 In the June issue of the Pointers Magazine is a full page ndv5rt.isc.-c-nt cf KaClostfey Varnish Compnny of Philadelphia on "wuseal", which they state in large type at the head of the ad "Meets U. S. Bureau of Standards specifics tions for exterior spar, interior rubbing, and floor varnish". In the suae r.agazine, sane issue, is a half-page advertisement of John W. Masury & Son on Vesurite Karine Spar, which'features ?ai illustration at the top of the ad : nd states "It meets all government specifications for marine varnish". </e hove taken up the natter with both -'cClosky mid sury but have not as received their replies. These ittVelopnents would indicate that there is a growing tendency to r. erchr.n- disc products as being made on government specifications and it is believed that the subject is of a nature ?nd of importance which justifies the e..ofitera tion of the Executive Conceit tee. President Trigg stated that since this memorandum had been written, hr. Jarden, President ->f the :`cClos!:ey Varnish Company, had advised that he did not knew .his company had been using tjiis type of advertising and that it would be discontinued. President Trigg read a letter received from Sears, Roebuck Company stating that ".As far as w know none of the retail stores end certainly none of our control stores are advertising our house paint as conforming with any government specifications x x x On the label of our Vaster Mixed House Paint a statement docs appear that it 'conforms with U. S. Government Speci fication TT-P-101A*. This will bo deleted on the next printing of labels." -- Mr. Reardon stated that this was a very general practico in the water paint group and he- believed all members of the group should be requested to abandon the practice. The-di3Cussion which followed indicated that the committee felt that adver tising which referred to products as meeting, or Conforming with, various government specifications would prove detrimental not only to the industry but to those who have made use of it in their promotional activities. Although not unmindful of the reasons which have prompted the use of such descriptions, the Committee, after full discussion and careful consideration of all aspects of the problem was of the opinion that any possible temporary benefits are far out weighed by injurious results which are summarized as follows: The development by this industry of consumer demand for products made on government specifications emphasizes the value of such goods in comparison with other formulations developed by each manufacturer. It depreciates the value of the good will in individual brands that each manufacturer has built up through years of effort, by fair treatment of customers and large expenditures. If it is sound advertising theory and is as successful as the advertiser hopes it cay be, others of necessity will adopt and advertise the same specifi cations. Lxiividual selling arguments will be eliminated, and of competition built on quality, service and price, price alone would be the determining factor. Price competition would be further intensified by consumer comparison with bids on identical specifications cade to the government. It is common knowledge that the average manufacturer could not long exist if all sales were made at prices quoted to the government. .-16- NCA With price competition alone remaining, manufcctreer distribution of their products would find markets sharply portation costs, and such reduced distribution would of r. their cost of production. act -n The creation of widespread crr.ru: or dorr-r.d for government spa ci i '' n products would render it unprofitable for the industry and its men in laboratory and technical research in no?/ a.nd imprcvc-i materials cesses. Initiative in the development of imp.roved products would be left with the government which lacks the incentive encouraged in privet.e Ey emphasising the value of government formulas, cor. catc-d by the industry itself to reject products that have government saneticn." it as yel Tho abandonment of competition in the development of individual formulas, trade names, and brands in favor of competition in the sale of'standardised formulations r."ild be a long step toward v ` untary regimanV-.tion of the- Indus* .y. It was moved by Mr. Zintl, seconded by .'dr. Campbell, that the following resolution be approved: RESOLVED tint for the reasons above set forth the Executive Committee strongly deprecates the use of advertisements which tend to create con-racer demand for products made c-n government specifications. HEADQUARTERS building situation President Trigg reported that the special committee appointed by the T.y tive Committee to handle the situation had, at the request of the Federal'Cov er: ament, offered the Association property at $165,000.00 - the book value bovig $132,000.00 less depreciation. He expressed the opinion that while this is probably just the opening of negotiations, it looks now r.s though the sale of the property might go through. In order to clarify the records, President Trigg presented the following resolution: "WHEREAS, On January 27, 1937 this Committee appointed a committee consisting of Er rst T. Trigg, Charles J. Roh and Herbert W. Rice to take care of interim details regarding the purchase and sale of property between meetings of this Committee, and 7HEREAS, The authority of such committee was continued by the Execu tive Committee on July 14, 1938, and pursuant to such authority the committee acting through Ernest T. Trigg submitted an offer to the United States Government, Procurement Division of the Treasury Department, to sell the property new occupied by this Association at 2201 Hew York Avenue, N. f*, Washington,' D. C., for the sum of $165,000.00; HOW, THEREFORE, BE IT RESOLVED, That the said action of the committee be and it is hereby approved, ratified and confirmed." It was moved by Dr. Kohr, seconded by Mr. Zintl, that the resolution, as .vesented, be approved. Motion carried. -17' NC* 0 028S6 President Trigg presented the following resolution cppoi: authorized to negotiate the sale of the Association property! 3e. - X V "iiHEREAS, pursuant to Acts of Congress, stops are being taken byagencies of the United States to acquire sites for now public build ings in Washington, including the land and building ccr:----.-d as h iquarters of this Association at 2201 New York Avenue, N. W'., end WHEREAS, it is considered by this Committee r.ec sssaiy in servi c test interests of this Association to be able p romptly to deal h such situations as may from tine to tine arise in connection th the acquisition of the said property, end to th at end to acpsi ,t a committee for such purpose, be it RESOLVED, That a committee consisting of Ernest T. Trigg, Charles J. Roh and Herbert W. Rice be, and it is hereby appointed to serve vn+i! discharged, with full authority to negotiate the sale of said pro perty to the United States, and as agent for ana in the name of the National Paint, Vanish and Lacquer Association, Inc. to cf:'-_r or to accept such price as the committee nay deem just and reasonable, to cause such abstracts of title or other documents to be prepared and incur such incidental expanses in connection with said negotiations as nay be deemed necessary, and, by one of its members with the ap proval of the others, to execute a valid contract of sale of the said property; and IT IS tURTHER RESOLVED, That in the event of the inability of any member of the said committee to serve when required, the _then Ch~iu *n_ of the Executive Committee shall be fully authorized to appoint another member of the Executive Committee"to act'in his'place and steed," It -vrs moved by Mr. 2intl, seconded by Mr. Reardon, that the resolution as presented be approved. Motion carried. President Trigg presented the following resolution authorizing the appoint ment of a committee to arrange for association headquarters in case the Federal Government takes ever the present association property: "WHEREAS, it is anticipated that the United States government will acquire the property now occupied by this Association at 2201 New York Avenue, N. Washington, and nay not demand immediate possession, BE IT RESOLVED, That a committee be appointed by the Chairman, to serve until discharged, with full authority as agent for and in the name of the National Paint, Varnish and Lacquer Association, Inc. to rent or lease the said premises on such terns and conditions as nay be mutually agreed upon, and by one of its members with the approval of the others to execute such lcasa or rental agreement as may be appropriate, and BE IT FURTHER RESOLVED, THat the committee is authorized to con sider other property, improved or unimproved, for occupation as headquarters of this Association, and is instructed to report developments end moke its recommendations to the Executive Com mittee. -15- NC& 3 Q289? Ip v7as moved by f>'r, Sulzberger, seconded by Mr. Melun, this resolution be changed to read: t RESOLVED, That a committee consisting of Ernest T. Trigg, Charles J. Roh, and Herbert Rice be, r.nd it is hereby appointed to serve until-discharged, with full authority 03 agent for and in the name of the Natl:nal Paint, Varnish and Lec-uc-r Association, Inc. to rent or lease the said premises on c-uch terns end condi tions as cry be mutually agreed upon, and by one of its members with the approval of the others to execute such lease or rental agreement as ray be appropriate, and" Motion cai'ried. It was roved by Mr. Melun, seconded by as amended be approved. Motion carried. Reardon, that the e *> 1 \ ;an -~.-A.:;ci;co non-exchange violation President Trigg reported that a rather seritus r.cR-exchcnge case on the Pacific Coast had been referred to the Association involving an exchange of the products of six manufacturers by a representative of the Bay City Hardware Company, distributors for the Glidden line. He stated that when the situation was called to the attention of the Glidden Company they sent their ViceFresiuent, Mr. Hcrsburg, to the West Coast to investigate, and that Mr. Horsburg had reported back to the Association that he had interviewed nil manufacturers affected, end that the matter had been settled to the satisfaction of ell parties concerned. President Trigg stated that he sent a copy of Mr. Horsburg's statement to -all parties affected and asked them for their commentsj he stated that seme of those affected had indicated that they were not satisfied and that they -..ere tmrpecting some action from the National Association to prove whether or net ihe Nan-Exchange Agreement is a vital instrument. Fresident Trigg stated that the Glidden Company d.ld not deny their responsibility in the case, but said that they had incurred considerable expense in connection with the investigation, and had suggested that they be permitted to accept responsibility - cake a small taken payment of not core than $100.X - and sign an agreement against any repetition of the situation. Following sone discussion it was moved by President Trigg, seconded by Mr. Griffin, that this matter be referred to a small committee of three members _ _ of the Executive Committee with power to act. Motion carried. The Chairman subsequently appointed as the members of this committee T. J. Campbell, Chairman, DeLancey Kountze. and E. A, Foy, Jr.__ ' In answer to a question by Mr. Sulzberger, President Trigg stated that thougi it is not the usual custom to refer Non-exchange cases to small committees, this action had been taken in the past, and that where no complications arose, the President individually representing the Executive Committee, has handled carvs. PROCUREMENT DIVISION CHANGE IN PURCHr.SItKl METHODS Mr. Kountze reported that he, with President Trigg, hed called upon C-apt ain Collin3 of the Procurement Division of the Treasury Department and had >r>.' ri * G 02358 -is bean assured that the Procurement Division would change their system of- reouastia^ bids so that the period covered would be for three months ir.st-ad of for twelve months, and so that only the successful bidder would bo required to submit samples. He stated that in the near future with President Trigg he hoped to have a conference with representatives of the War Department in an ef fort to get thc-m_to change their method of advertising for bids. President Trigg stated that he' 'had worked for three yoars with representatives of the Procurement Division in an attempt to bring about this result - working on the m.-rits of the case - but that Mr. Kountze because of his entree to the present -''ministration in Washington had been successful in getting results in a few CONVENTION : ;*rkuc. w -vv w.. . - - * O President Trigg explained that the By-laws provided that ''the assess at +he annual ccnvc-ntion shall not exceed $20.00 for each person attending the ... , 'cnvcntion; the amount to be determined by the Executive Committee prior to the cning of the convention." He moved that the registration fee for the 1939 -onvonti.cn be established st the same rate as for last year - vlC.00 for men and CO.00 for women. The motion was seconded by Mr. Sulzberger, and was carried. nominating co;.:.:iiTj-:s President Trigg stated that the Ey-laws provide that "at least three months preceding the annual convention the President shall appoint subject to the ap proval of the Executive Committee a n:minuting ec.-mittee of 7 members - 4 to be selected from Class A membership, 2 to be selected from Class B, Class C or Class E member ship-, and the President". President Trigg recommended the appoint rent of the following committee: C, J. C.r.SPARj Pittsburgh Plate Glass Co., Pittsburgh, Chairman W. H. GERXE, The S.argcnt-Gerke Co., Indianapolis C. K. STGDDER, The Savogran Company, 3oston E. T. STILLE, Stille-Young Corp., Chicago A. J. WITTENBERG, Stroock & Wittenberg Corp., New York WERNER G. SMITH, Werner G, Smith Co., Cleveland ERNEST T. TRIGG, President It was moved by Mr. 2inti, seconded by fir. VTurtele, that the appointment of the Nominating Committee as suggested be approved. Motion carried. MEMBERSHIP The Secretary presented the following list of firm3 fro;a whom applications for membership have been received: Class "A" Members V. J. DOLAN AND CO. Chicago, 111. INDUSTRIAL MARINE CO., Inc. New Smyrna Beach, Fla. Class "B" Meober F. 0. PIERCE 00. New York, N.Y. WHITING-ADAMS CO., Inc Boston, Mass. / AALFS PAINT & GLASS CO. Sioux City, Iowa COITAL Vi ALL PAPER CO. "ashington, D. C, IV,FILE KAISER CO. Buffalo, N. Y. Class "E11 Members ..iCPJiS BROS. CO. Milwaukee, it is. STANDARD GLASS & P/.IM C Des Moines, Iowa FLilrjC'N-jOfLE PaINT CO. GEO. E. VATSOIv CO. Sioux City, Iowa Chicago, 111. THE ROE/filLDT CO. Dayton, Ohio WISCO HARDWARE CO. Madison, V.'is. It v.as moved by Mr. Zintl, seconded by Mr. Campbell, that the firms ferred to te elected tc membership in the classifications indicated. Muti carried The Secretary presented the fellovring list of firns with the r that their msmbcrsh.ios be cancelled: Class "A" Members Finishing Specialties & Service Co Chicago (out of business) Industrial Chemical Co. Ffeirlnwn, N. J. (bankrupt) E. 0. Gillen Corp. Milwaukee (business being liquidated) Class "B" Members U. S. Gypsum Co. Chicago (claims rate of duos tco high) Cliffs Dev.- Chemical Co. Marquette, Mich, (not supplying paint industry) J. C. Pushee and Sons, Inc. Boston, Mass, (business in liquidation) It w._s rr.evvd by Mr. Reardon, seconded by Mr. Seidlitz, that the member ships referred to be cancelled. Motion carrivd. ADJOURNMENT There being no further business to come before the members of the committee, the meeting adjourned at three-fifteen P. M. -2.1- Q 02900