Document 52eOQmOLBbVOEXRrZ4mjyqEz

&' i?` % 'ER :OIL, PAINT AND DRUG REPORTER'. Octobe Proceedings of the National Paint, Oil and Varnish A 3i Forty-fourth Annual Convention Atlantic City, N.J., October 5 to 8, 1 i Monday, October 5 '! Opening Session Monday Forenoon' (The opening session, of the forty- fourth annual convention of the Na tional Paint, OH and Varnish Associa tion was convened in the Hotel Am bassador, Atlantic City, N, J., at 10 a, m,, October 5, President P, C. Fray- eer presiding.) President Frayser: It is needless to say to you that we welcome you all here this morning. Tour presence Is a. manifestation of you Interest, and m are particularly gratified to see some of the ladies with us this morn ing--you are always an inspiration, and we hope that you will find our ; program throughout the convention : (and we believe that you will) of b u - flcient interest to attract you to our ** meetings from time to, time. . We will now proceed with our reg| idar order of business, the first of vhich la the reading of the code of ethics. We have asked William C. Dabney, president of the American Paint and Varnish Manufacturers As sociation, as well as a member of our organization, to present the code of ethics to our convention. J i : Code of Ethics Read William C. Dabney*. It Is particu Jr larly important during times of stress, I &ttch as we are now passing through, for all of us to be familiar with and to apply the broad general principles of business conduct embodied in the code of ethics. We, members of the National Paint* Oil and Varnish Association, Inc;, recog % nising our responsibilities and obligations rogatory reference, written, oral or printed, to competitors Or their products, and from the circulation of harmful ru mors regarding such competitors' prod ucts or their personal or financial reputa tion; to strive, by sincere and intelligent co-operation with our competitors, in all lawful ways to increase the efficiency and service to the public of the industry as a whole; to base our advertising exclu sively on the merit of our own products and the value of our own service, without false, derogatory reference to the prod ucts of competitors or misleading com parisons therewith. 2. To be. guided by a spirit of justice, honor and fairness, in all our relations with members of the allied trades, realis ing that the standard of ethics main tained in our Industry must vitally affect the standard observed in associated lnT duatries; to encourage the adoption by the allied trades of similar codes as guides to govern their practices; and to dis courage unfair trade practices in those trades, even though such practices might, at times, be to our* own immediate advan tage. . 3. To represent our products truthfully iti advertising, labeling and brandingj avoiding therein all false or misleading statements or descriptions. 4. To avoid and actively strive to pre vent all forms of commercial bribery or corruption by members of this associa tion and by the industry in general; and to this end we pledge our support to the Federal Trade Commission In locating and prosecuting individuals guilty of such prac tl c@3, 5. To recognize the right of employees to use all honorable and reasonable ef forts to better their conditions, but to re frain from directly or indirectly soliciting or bidding for the services of the em ployee of another member. varnishes, or other kindred products of another manufacturer, distributor or dealer. 8. To adhere faithfully to the rules of conduct herein -set forth and to inspire our fellow members to do likewise, be lieving that the Golden Rule is the only safe guide of conduct in the relations among men. &. Any violation, of this code shall be referred by the president of the National Paint, Oil and Varnish Association to the executive committee for consideration and action. President Frayser: Thank*you very much, Mr. Dabney. I hope our mem bers will all take seriously the prlnciples set forth in our code of ethics. It ia my hope also that eaoh of you will take back home a determination to inform and Interest your employees in what this Golden Rule of busi ness means. I think it is one of the most important things in our organi zation work and can be enlarged upon very materially. Our next order of business wIU be the reception of delegates from other associations, the first in order being delegates from the National Associa tion of Paint Distributors. Reception of Delegates Paint Distributors W. B. Elang*. The National Association of Faint Distributors appreciates the courtesy of this reception. We feel that we are an integral part of your organiza tion. Our two associations are very closely Linked together. Our Interests are mutual, our problems similar, and we are ever-striving for the upbuilding of this great Industry. At the 1&3U convention in Toronto, your oommittee on paint distributors made a we e intere ent p a rep furth Th tion packa conta distri since last study only maile of ou tainin of vie It ques In or assem that recom Ho sons, was d we re pleas assoc tion s the d manu equa to sp overh earne tion. feel c carrie I tha Pre Presi will your a spl Mas The tion N4831 OIL, PAINT AND DRUG REPORTER October 201 1931 7 Iread a letter from the president of ithat association, received this morn- itngr:-- . \ 1 deeply regret that I cannot keen my 'promise and go with you to Atlantic bers, and the enlargement of fellowship. The record of this association's achieve ments spells more than a mere survival. It has been 'a ` going concern." It has worked--it still wor*s- The long list of Its earlier accomplish able us to better .plan and more ade quately carry on our work In the future, believing that such modifications will be made as are wise and necessary, Finance Plan Acceptance Continuation and further develop ment of ciub programs. General acceptance .and closer application of code of ethics* Encouragement of more-'.clean-iip, paint-up campaigns for the. purpose City to the National Paint, Oil and Yarnish Association Convention* : Will you kindly convey, to the asso ciation the heartiest greeting from our [society, and express to the convention- the thought that there never was a time :when a closer tie and a better mutual Understanding was necessary than now. iThe manufacturers that supply the paint ;must have the same applied with such skill that the careful preparations of ^their learned chemists will reflect full ^credit for the efforts that they have put iibehind it. This makes us both In the ^service of the public, and in broadcasting :the marvelous products of the manu facturer, I would say, "Consult a painter ;to secure the best results," \ I would also ask you to cordially in)vlte the members to attend our conven tion In Los Angeles. We are grateful for `the many representatives of their selling force they usually send, and would like `.this year, owing to the wonderful ad ^vantage of the extended trip, to interest ?jthe executives and the officers of the asi:Boclatlon to attend, as the vast territory Rand many stops afford a privilege of ex- `jitending acquaintances more than it has Kin former years. We wLl especially feel ijhonored to have your general manager, i; George Horgan, as one of the delegates. I personally wish to express, through *>you, the' wish that the convention this i-week will be the best of the many that have ^preceded it, and that times will mend so ments has been told at th.s family coun The acceptance by the membership of cil. Today we speak of the advances oF the past year only, and hopes for its the new plan of financing, Is encourag ing, but not entirely satisfactory. There future development. . are yet members who are enjoying the The value of trade organizations Is in benefits, but they have not accepted and no sense problematical, as they definitely serve an essential purpose In the channels of commerce. As a medium of organized and coroperative effort they are Invalu- . able and well-night indispensable. For subscribed to this fair and equitable plan. I urge those who have not accepted the plan, to do so at the earliest possible date, that you may be counted among those who are whole-heartedly supporting the promoting friendly relation and fellowship organization that is serving you. m business they are without an equal. That, with proper motives and competent During my contact with the members of local clubs I have made observations leadership they form a real service-sta tion for those whom they serve, cannot and have come to conclusions, which I submit for your consideration. The knowl be challenged. It is a proven fact that edge and Inspiration I gained through my mass planning and concerted action can personal experience convinces me that the ' attain greater achievement than through contact of national officers with local any other medium. These . accomplish clubs is necessary, I find the members ments are made possible through co-op are seeking Information pertaining to the erative and unselfish membership, Such work of the national organization. They is the constituency of the National Faint, 1 are anxious to be enlightened and are Oil and Varnish Association, . enthusiastic In their acceptance and sup- We have ample cause for feeling prnud port of the plans when they know what of the place this organization has earned the. association is undertaking. More over, it is to many the only opportunity of contact with the national organization. Through' these friendly contacts interest ,1s stimulated* which is both desirable and necessary. ' Zone conventions are likewise important, as they afford an opportunity for interchange of ideas, which I believe develop into constructive work. . I also observe much Interest In, and benefit from,- the club programs supplied . local clubs '.from national headquarters. of relieving unemployment. . The coordination of the various groups of the paint, varnish and a lied industries into one national organization. ' I wish it were possible, in this brief moment, to award individually, where it belongs, full credit to a.l tnose who are entitled to it. J May I express my sincere' thanks to the zone vice-presidents and members of the executive committee? I desire to pay tribute to the splendid services performed by them. I wish to express my appreciation to General Manager George V. Horgan, who lius contributed time and labor and sound judgment, which stand today as sub stantial monuments to the future welfare of this organization, May I assure all who have assisted In this past strenuous year* that your in terest and effort are appreciated and prized, and I shall continue to appreciate and hold in memory your friendship and wise counsel and cooperation and loyalty as long as I live. It la difficult to find words to express my feelings; feeling of affection and ad miration for you and your faithfulness* It has been a great year together. It has passed with plenty of work and much satisfaction." The work has grown, and gives great promise for the future. I look back upon the accomplishments, iwe will all again prosper and thrive '^through our closer Industry.--C. H. jiDABELSTEIN. Mr. Fowler (Philadelphia): I happen These (programs are usually presented in ' an informative way and are enthusiasti cally received* ; , with thankfulness, and upon the growth and development, with pride* I believe the past year has achieved results, and the wisdom of your plans has been j;to be delegated to come her this mom- ... Code of Ethics abundantly justified by Its achievements. TM.|.lng to say a few words to you frbm Mr. 1`Dabelstein. I received a letter from Mr. ; ;i Dab el stein yesterday, I just want to J^say that it Is an' honor and it is a great ;fthing for us to get together--the manu facturer and the user--for the benefit [{Yf our Industry. One of the things we ^ jiwant to establish best is confidence. We !`j;want that all over the country. Every body wants confidence today which we ^'haven't got In one another. The banks -pare going to pieces. As I told a ^ bank rp president the other day, there was a , when we put money In a bank to ^save it--now we put it there to lose it, : [ It appears that recognition of the prin ciples promulgated in the code of ethics . is becoming more and more an essential attribute to the wellbeing of individual .! interests, consequently making inroads on undesirable business practices. Too much attention cannot be given to the greater - development d this Golden Buie In busi ness, for Its general acceptance and use will do much In establishing better rela tions among members. It is gratifying to note a desire on the part of local club members, especially v, those who have some knowledge of the Kreal purpose of the national association, I was in Philadelphia:: one Saturday. ..to cooperate In the fullest measure with h\ morning and I said to the president of -: such matters as legislation, traffic, unfair T'a bank, "How Is business?" He said, trade practices, statistical data, promo JY'Fine!" I said, "I am awfully glad you tional activities, e*c. This attitude should ?:feel that way.'' Before 1 left the bank be encouraged and developed to the full- .i; I had a couple of thousand dollars1 worth ;:of work to do, and 1 thought maybe he P. C. Frayser eat measure, that the efforts and respon sibilities of both local and national bodies I was right. _ I want to say, Mr. President, I want The- Presiding Officer.- should be closely coordinated, because the future leaders mf the national organiza ; to extend to you people the Invitation tion must corned from the ranks or local ; to attend our next convention In Cali fornia, in February. That is the "flower :-of the world" so everybody says--I : haven't been there, but we will be aw!.fully glad to have you with us. - President Frayser: Mr, Fowler, we ' enjoyed your talk very much, and I am exceedingly sorry that we didn't know that you were here as the rep resentative, I want to say that we are ! quite Interested in the interest that > your organization as well as the dis- tributors1 organization takes in our ; conventions. "We are always glad to have you with us. . Our next order of business win be roll call by clubs. (The roll was answered by thirteen in the world of commerce.' and rank Ithas attained among trade bodies. -This, ,clubs. ? It is. my opinion that the constant de velopment of yQUnger members, by train has been, to our gratification, attested by ing them In affairs local and national Is men of official standing, and by leaders ' in American business life. Let us profit " 1 `.definitely essential and sustenance pf to the future progress the association. "With by past accomplishment and press on' to greater attainments, by improved ,and beneficial service to our industry, its mem : out such talent;' available, from what Vsource are we to obtain future leadership of this great trade organization which bership, and others. ' . :has been bullded so wisely and well? I sometimes wonder If we fully realize ...The past year*' has made unusual de- the value of opportunities-that are accos-. ' mahds and required extraordinary action sible through the strong bonds of b'uslr from our members, but each has been ness friendships. Do we. use these assets accepted, and disposed of in a manner that and privileges to the fullest .measure', in Is most gratifying, a common cause, tor the benefit of-all?' Do we give In the same measure we are- .' Unemployment willing to receive? Would It not be'well The matter of unemployment has de to take an inventory occasionally - and manded much time and concern, both lo ascertain whether or not we are wasting cally-and nationally. That our members opportunities that would be conducive to have responded to. their duty in a compar The work has steadily gone forward. Increased Interest and progress have de veloped along all lines, and a spirit of cooperation has existed, May we all reflect our great apprecia tion In a personal growth, that will broaden our vision, ripen our judgment, mellow our selfishness, and draw us closer together as one big family work ing together for the good of all. Someone has said that the river has a different interest for each of us* That man yonder thinks of it as a place to fish. The boys down there think of it as a swimming- pool. The saw-mill man thinks of it as part of his work-shop. The farmer finds that It enriches his fields. You will observe that every man thinks of it from his own viewpoint. Some are idlers along the bank waiting for Chance to bring them what they want; some row aimlessly up stream and some float down j some find refreshment, others only pleasure, and some look back at the past. But you and I find it a great object lesson--a school where all the activities of men become lessons and where progress In wisdom and goodness is the chief motive In all that we do. The desires for progress in wisdom and in service have been .the two great fac tors that have uplifted mankind, and may we cjitch the vision and learn how to further enhance service to humanity. Let us consider seriously whether the hour does not. demand that-, we attain to a new "partnership In action" and find new wayB and new forms arid perfect an effective organization. . . Development Is evident on every hand, and may we not he th institution tc oolnt and lead the.way. If we are to keep abreast of the crowd it's up to us to keep ever on the ale/rt, to learn new thing* to keep everlastingly drinking at the "spring of know'edge, for It Ts a local clubs with a total representation profits and happiness? .'. able manner is an accepted fact. Our rapidly changing world in which we live. of slxty-one.) President Frayser; Our .next order of business Is your president's address, and I would like to ask Vice-President ; Maston to occupy the chair. (Mr. Maston assumed `the chair.) Address of the President In a. period of business complexities and distress we particularly need friendly association, In order that we may, to gether, discuss difficult situations, and with unity of purpose, set about to de vise ways for removing obstacles, that will result in good for all. Thoughtful consideration should be given to these and other mediums which the organization offers, that will rebound to the benefit of Its membership. national officers and members have worked closely with our government in this work. Likewise, our local club of ficers and members have contributed gen erously with their time and means in help Ing to relieve local conditions. There Is yet much to be done in this work before the Job la completed, and it la my hope that the generous assistance which has been given in the past witl he continued until this all-absorbing situation has been mastered and disposed of in such way (The audience arose and applauded at the conclusion of President Frayser's address*) Vice-President Maston: I will ask the general manager what action the executive committee has taken on the president's report. General Manager Horgan: I take pleasure in stating that the executive committee approved of the president's `President Frayser: We are assembled today to add another milestone to the history of the National Paint, Oil ana . Varnish Association. It Is indeed a happy occasion, and we rejoice that we have moved just a little closer to the accom plishment of such -high Ideals that prompted the founding of this great or ganization. It is a fine testimonial to the vision of that small group who lighted , the torch nearly fifty years ago and today continues to inspire us with the same vision and make us proud to be members of this association, , Those fotg-visioned men and all worthy -successors who have carried- high the torch, are to be commended for their energy, their faith and their steadfastness Of purpose. We who have received from their hands the torch, have dared hope 1 that the association's achievements may Problem* 'Will Be Solved ' The problems of today can. and will, be BOlved. We can ill-afford to relent, either as individuals or groups, in our determination to meet and- master these conditions. No great crisis has ever oc curred in which our people have not arisen' to the occasion. This period will be no exception. In reviewing the results of our efforts during one of the most hectic years In the history of the association, I feel a certain measure of gratification for the manner in - which we have been able to serve and carry on the various activities in our program, with an appreciable de gree of efficiency. -Working--yes--but un der difficult and perplexing handicaps. Apprehending the need of a reorganiz ation plan, a group of our leaders devised as to reestablish self-support and happi ness throughout our land. The policy of rigid economy adopted and practiced by.the National Paint, Oil and Varnish Association during this year was commensurate with the times, and deserves full endorsement and generous commendation. A continuation of such policies Is desirable until funds are avail able for greater expansion. During the year, the Washington Paint, Oil and Varnish Club has been added to our roster. .For this, much credit is due the southern zone vice-president, Frank J, Sampson, and the Baltimore club. The decline in membership during the year has been relatively small, due to the untiring effort of the chairman. John Henry Coon, and his committee. The un selfish and effective work of officers, com mittees and members, locally and nation report In Its entirety, including all of the recommendations, and sent it to the convention for such action as they wish to take. J, Sibley Felton: This very able ad dress of President Frayser is one of the best and most inspiring that I recall In the history of this organiza tion. I move you, sir, that we accept it, with our hearty thanks and appreci ation. Vice President Maston: The motion has been made and seconded. Let ua make that unanimous by standing. (The audience arose and applauded.) (President Frayser resumed the chair.) President Frayser: "We will proceed : be seen in future years to have justified and provided one which has, in the main, ally, is responsible. In no small measure, with our next order of business, which Jp sqme measure their faith. proven satisfactory. Considering that out for our strength and advancement. ia our general manager's report. Mr. ' In greeting you for the first time as president, I do so with a deep sense of : humility, and with a full realisation of 1 my limitations. You bestowed upon me plans, of operation had been radically changed, which furnished many new and untried features, I feel that we have worked with a marked degree of smooth May I acknowledges recognized debt of gratitude to those members of the trade press who have been so generous in their support and cooperation? Horgan! (General Manager Horgan presented his report as follows): -- a great honor, and a much greater re- ness and zeal. sponsiblllty, The former was. not merited, This new order of things necessitated Tribute to Deceased Members and the latter was assumed because of the removal of the general offices and 1 the whole-hearted co-operation and loy- the several activities to the Gregg Me Death has taken a heavy toll of faith ful men from our ranks, During the past Report of the General : alty you accorded me. .' _ . a s a representative of this body I 1ex tend a hearty welcome to all assembled. morial Building In Washington. This move entailed many readjustments, -with, preliminary confusion. To the commenda year four past national presidents and others prominent in the industry have "crossed the bar." The memory of them Manager I greet those present who have preceded tion of General Manager Horgan and his will come to us frequently, because they A review of the year's activities from me in this office, and pay special tribute staff, this work was executed competently impressed their personalities uipon this the viewpoint of your executive office to your able leadership and remarkable and with a minimum amount of delay. association and upon their respective com affords opportunity to comment on cer accomplishments. . The whole financial structure was re munities, and made life something to he tain features of our work which would . Has Met the Test of Time vised both as to receipts and disburse ments, This necessarily was done with remembered for Its inherent values. Va cancies thus created must be filled by men seem to be of more than passing Interest. The reorganization plan unanimously The association is assembled in its some measure of delay, as was to be an of steadfastness of purpose and courage adopted at our Toronto convention one forty-fourth annual congress. Has it ticipated: Much, credit should be given ous leadership. year ago, and which became effective on met the test of time and the challenge of difficulty? In my opinion It has. Within its lifetime the nation It serves has been rocked by the- seismic shock those who promptly and capably accom plished this work. In the equitable allocation of funds to the various activities, much thought and Recommendations For your consideration and decision I submit the following recommendations: . January 1st of this year, has now been functioning a sufficient length of time to report that it appears to have Justified the good judgment of. the men compris of wars and It has been troubled by eco consideratloh was necessary in order that A continuation of a conservative ing the reorganization committee. nomic disturbance. It is sharing with the efficiency of''each should be main and constructive program of economy. The move to "Washington was made in the rest of the world the strains and tained to the'highest degree possible, from The universal acceptance and sup May with a minimum amount of incon pains incident to the cosmic struggle In funds available. While same of the ac port -of the financial plan. venience and comparatively little inter this transitional period. Merely to have survived might have tivities have necessarily had to confine their operations to certain limitations, In Provision for greater expansion in the program of clean-up, paint-up ruption in our work. iShortly after establishing headquarters been proof of its practicality. Especially so since, in this case, survival has been my opinion usefulness has not been seri ously impaired, nor accomplishment re and save the surface activities. In Washington, It was my pleasure to Provision for greater Contact with make personal contacts with various gov ft due to such normal factors as the un tarded. From the experiences of the past selfish devotion, the fidelity.of Its mem-- year much.has been learned that will .en local clubs through visits of national officers. ' ernmental agencies; Department of Com merce, Bureau of Census, Federal Trade OIL, PAINT AND DRUG REPORTER October 20, 1931 9 Commission, Bureau of Standards,. , the officials and staff of the Chamber of Com merce of the U. S., and the Washington trade association executives. Your president and general manager have. through personal visits maintained contact with many of the clubs In the association although it has not been pos sible to do as much Held wbrk' as we would like In view of the limitations of our travel budget. The Western zone convention at Vic-: toria, B. C.p which was held In July, was fairly well attended considering ex isting conditions--approximately 125 be etantly .discourage the promiscuous selec tion of trade marks. Our special thanks are due to the men who have taken the time from their own affairs to carry on these activities In your interest. ' - The monthly bulletin now being Issued in condensed form--due to the necessity of curtailing expenses--Is apparently meeting the needs of members in keeping them Informed on important happenings.. Robert K. Shannon, of the headquarters staff, took over the editorship on June 1 and has had splendid co-operation from George G. Heckel and department heads should be reduced, made -by them, and .with that as a leader, every one feels in. line and ,we have reduced the ex penses of our joint organization from .five hundred thousand dollars a year to an estimated two hundred thous and a year, and all expenses propor tionately for which Mr. Horgan, In great part, should be given credit, (The audience applauded.) President Frayser: Thank you, Mr, Cornish. I am sure that those pres ent are glad to have that Information. standing certain unusual non-recurring expenses. ` Nine Months' Operating'Expenses Income from 140 subscribers to the new financial plan for nine months --Jan. 1 to Oot. 1.................................$108,822,ISO American P. is V. M. A., nine months' appropriation......................... 26,260,00 National P:. O. & V. A., nine months' appropriation............. 18,750.00 Miscellaneous receipts................ 680.9$ Total receipts.......................................$154,403-46 Expenditure? for Nine Months ing present. Your president and general In the preparation of material of para Are you ready for the question as to General and administra manager participated in all of the sessions mount interest. ' acceptance of our general manager's tive ........................................$63,862.14 . and exerted every effort to stimulate In terest on the part of our Pacific Coast members. Our western zone vice-presi dent, J, C. Pendray, did yeomen service in making the arrangements for and pre siding at all of the sessions. Fourteen members of the Canadian association were also present. A resolution was presented to the meet To Treasurer Rob, and to members or report? the association's staff, has fallen the task (The question was put to a vote and of carrying on a tremendous amount of carried.) detail correspondence with our member*..i. . President Frayser: Our next order of business will be the report of our treasurer, Charles J. Roh. Educational Bureau............ 39,969.92 Scientific Section.................................. . Save the Surface Campaign 7,972.83 Clean Up and Paint Up Campaign .................. 14,267.26 Unfair Competition Bu reau .........................................19,592.21 Traffic Bureau...................... 2,269.60 ----------------- 147,873.88 ing recommending biennial conventions on the Pacific Coast In future and by action Treasurer's Report Balance .................................. $6,629.00 of the convention a referendum vote of western zone clubs is being taken' on this question. Since I have prepared this report, I have received word from the president of the western zone, that the decision was to continue the annual meetings,, rather than the biennial conventions, as .sug gested in the resolution. It was felt that' the more often the members of the zone could contact with each other, the better It would be for conditions. . Charles JT. Roh: 1 am very happy :to report, notwithstanding1 that we have received nearly $1,500 leas from club and individual memberships be cause of resignations due to condi tions, and that our total income for .'the fiscal year 1930-31 was approxi mately $4,600 less than last year, our ^expenses this' year were $2,361.66 un;der our income, which increased our Increase In Subscriptions ft will be Interesting for you to know that there are seven times as many mem bers who are subscribing under the new financial plan as have ever supported ail the activities of the industry under our previous plans of separate subscriptions to the various activities. This success, and the plan jg a success, has been accomplished through the whole hearted cooperation of the membership# the officers and the staff, and in the face New Procedure . Out of the reorganization plan has come a new procedure in connection with the election of personnel on the educational bureau of the Industry, through which membership is now made up equally ot representatives from the National Paint, Oil and Varnish Association and the American Paint and Varnish Manufac turers Association (bine from each), The budget and finance committee, which allo. cates the funds for conducting the vari surplus from $46,745'.20 fn 1929-1930 to .$48,076.86 for the fiscal year 1930-1931. T Our investments remain, the, same ;aa reported last year and are In United States government bonds. - Ab the detailed statements of income .and expenditures Is read, you will note that the detailed expenses cover only three months-^from October 1, 1930, to December 31, 1930--and that we have made three, payments to the edu of some difficulties which were overcome through the whole-hearted cooperation of all. The National Paint,' Oil and Varnish Association Clean Up and Paint Up Cam paign has a surplus fund from last year, after deducting the three months' ex penses--October 1 to December 31--and deductions through the reappraising of the inventory, amounting to $25,206.09. Our accounts have been certified as heretofore by Everett 'W. Newcomb and their annual audit and certification Ji, ous departmental activities of the asso ciations, is likewise made up of equal ' representation from each association. The activities of the educational bureau will be presented to this convention as a special feature of the Tuesday afternoon George V. Horgan cational .bureau of $6,260.00 each as our part toward their expenses. You will remember we approved the rec ommendation that the plan be effec tive January 1, 1931, here for your inspection. I just want to add a word**--that a good many people like detail, and if there is any question that has occurred to you In reference to detail, I have both the audits here of- the National Paint, Oil and Var program~-Eraest T, Trigg, chairman, presiding. ' Shortly after the appointment of-'-Fresl-" General Manager National Paint, Oil and Varnish nish Association and the educational bu reau. This report covers an audit of every department. You can-see how Im dent Hoover'-s committee' on unemploy , Association ' possible it would be to read the ^figures ment relief, the services of our associa ship to fully post them on the new finan tions were offered to the committee and cial plan, the collection of outstanding Our statements ot income and ex of all the bureaus.' It givesta list of all ' delinquent accounts, all of our assets, and a number of conferences have been held dues,. from dubs and individuals, etc. penditures for 1930-1931 are as fol gives a separate accounting of every ac with Fred C. Croxton, who Is Mr. Gif The report of our treasurer merits your lows:-- tivity, and this report just covers a sum ford's assistant director, A questionnaire was sent out from as sociation headquarters to manufacturing concerns In the paint, varnish and lac quer industry in order to obtain a gur- vey of- employment and pay roll status.. Your general manager has filed the re* careful study although It cannot visualize the time and effort devoted. to this Im portant and arduous duty, . 'Function, of Trade Associations j . Trade assocJflLtlofia..repreeent the Ameri can form of business co-operation. The- . Income ,1920-1030 memberships.. Individual memberships ' Sustaining memberships 'Trade Marie Bureau..,, 1930-1931. $26,429.20 180.00 1,080.00 ISS.On 1929*1930. $27,550.00 1.460.00 4,800.00 390.00 mary. If anyone would see it and like to go over it, and if any question occurs to you that either I or the staff can an swer, we will be very glad to do It. The New Financial Plan You know about this financial plan-- suits of this questionnaire with Mr, Crox path, of the trade association, like all Interest darned............. 1.483.12 1,539.16 ton. ' . . : business-, today, has, ,bqen hard; during .Entertainment Com. Be A brief resume of this . compilation I, the trying conditions through which the .- fund ......... 1,752,22 : believe will be of interest.'- - entire civilized world has been; engulfed, Our survey indicates that on August 1,. covering *a long period of months, indue- Totals 631,043.39 $35,748.16 1931, the total number- ;pf ..ftetffions em ployed in the Industry was approximately 81 percent of the1 number employed in 1929. Incidentally 1929 was selected for comparable purposes--that being the' period during which the depression had made Itself seriously felt. The dollar pay roll of August, 1931, was 79 percent of try has beeh-eoiifronted with and still is-' Expense facing grave economic problems. Times, of business depression increase the diffi culties In this field of-endeavor; on . the ' Three Months, ------^ Salaries ......... Oct. 1, 1930, to Dec. 31, 1930 $31,043.39 $4,881.92 other hand, I believe make It possible to Traveling ........................ 48.41 draw In a larger, degree upon the initia Bent.................................. 676.00 tive and, leadership of those charged with Bulletin and Year Book 612.06 the responsibility of conducting trade as Office expense,......... 1.356.22 the 1929 period. sociations. Trade associations have beeni Depreciation .................. 250.00 Our clean-up and paint-up committee challenged, so to speak, during the period, Writeoff of uncollebtlble is stressing the opportunity for hiring idle men during the progress of these campaigns and has featured the slogan, "An Hour of Work Beats a Dollar of Dole." We have on file a letter from Mr. Crox ton under date of September 1 express ing appreciation of our association's ef forts to stimulate employment through clean-up campaigns. The activities of our save the surface department are being handled by a limited staff--comprising Miss Kent, in charge of depression, but has come renewed out of this interest and, chgarollewningge.. demonstration on the part of association executives to make its group an Impor dues ..................... .. -Convention expense.... *..Miscellaneous expenses. Traffic Committee-..... tant factor in the impending business re covery. , Appropriation to Educa- Trade associations have the unity of cation Bureau, three purpose and thought and continuity of! quarters, Jan. 1, 1031, effort and organization to place a firm - to Sept. 30, 1031..., hand on the rudder of our economic life, to change helpless drifting into a well chartered course. They should, can, and I believe, are taking over the all-im Excess Income over expenses ................. 750.00 643.50 453.77 667.95 $9,941.73 1S.75Q.00 2fi.000.73 $2,331.6 of magazine and publicity work, and Mr. Shannon handling the promotion end (such as window displays, guide books, etc.)--under the direction of Chairman Felton--and the general manager--na- tlonal magazine advertising having been . portant work of steering qur economic ship-out of troubled waters-into-steadier and safer-currents Where a normal eco nomic life for this country can be re newed. The Educational Bureau The educational bureau commenced operating under the reorganization plan On January 1, 1931. I am happy to report that the predic you have received a list of all of those who have approved the plan--we were discussing yesterday at the executive meeting as to how we could Increase the number.of subscribers to this plan, and .the only way that I know to do it---and of course, there has to be one best way-- la, If we believe in it,'.to subscribe our selves, As I remember, the way this was approved. It was just this way: A com mittee of IS- got together and formed themselves Into a reorganization commit tee. That committee couldn't devise a plan. It was delegated to a smaller com mittee to devise a plan, but before that committee approved the plan to submit to the larger committee, they themselves subscribed to It. When they took it to the committee, the committee subscribed to It, They subscribed to it Individually, When It was taken to the educational bu reau, they subscribed to It individually. One of the very satisfactory outcomes of the discussions that wo had last year is that I notice that almost all of the op position--if there was' any opposition--- subscribed to it, and that shows real as sociation accomplishment. But yesterday the question came uio as to how many subscribers we should have on this list, and how can we get them If ,we know how many there are? We figured that out of the 1,200 membership, there are prob ably 400 firms that should be on this list. discontinued. Tribute to Trade Press . tions made as to income and expenses I knew everybody's Job Is no one's job, Activities of Committees No report of your general manager' Our committees have been called upon to contribute even more Intense effort and service during the past year than in pre vious periods due to abnormal conditions. The reports of these committees which have been conscientiously prepared have been distributed in printed form and merit your careful reading. A few of the more active committees have been assigned places on the convention programs--traffic, simplification, legislation, credits and col lections are amongst the subjects which will be presented and some Important recommendations require consideration and action. The club programs have been favorably received, and while It Is felt that all of the clubs have not utilized these pro gram's to full advantage, v6ub committee believes an excellent start has been made and that the plan will gather momentum as Its purposes are better understood. Your executive committee strongly be lieves this is one of the most constructive features ever undertaken by the associa tion to assist local clubs in maintaining membership interest and to enjoy a better understanding of the activities and set1-, vices . of the parent association. Charles j. Caspar, who has - fostered this'idea, will speav r<n the subject at the third busi ness section. - would be complete without an apprecia tion of the unfailing support of the trade press In publicizing and editorially sup . porting our efforts for the common good of the industry and 'the public. There fore, I wish to renew with emphasis the deep sense of gratitude we all feel for this sort of co-operation. To the officers, directors, and many members who have so willingly and con tinuously assisted 'th,e general manager and his co-workera may I also tender pro found thanks. 4 , My associates at headquarters have been most helpful In making It possible for me to submit an account of 'steward ship, whioh It Is my hope will meet with your approval. It has often--and wisely--been said that the effectiveness of any trade asso ciation can only be as great as the cn- operation and co-ordination o the mem-, bership. On the other hand, while the National Paint, Oil and Varnish Associa tion lays claim to being an organization of real service, we must not falter at ahy time when conditions demand- the best thought and effort of everyone charged .with conducting the asaoclation's1 affairs. Your headquarters staff accepts this chal- . lenge and responsibility. May our efforts merit your confidence and approbation. It Is a tribute to the solidarity and President Frayser*. You have our value of our association that we have only suffered a net loss of seventy-three members during the year, our total mem bership nt the present time being 1,365. Our membership committee has done a general manager's report. What dis position shall we make of It? Mr. Cheesman: I move that It he accepted and spread on the minutes, real job during a most trying period. ' with thanks. The usefulness of our trade mark bu reau becomes more apparent as time goes (The motion was seconded.) E. J. Cornish: I would like to add on, 165 new names being registered dur Just' a little bit to the report of the ing the year Just closing. Your trade general manager by saying that the mark committee contemplates the issu committee .that found It necessary to ance of a new supplemental list In 1932. reduce the expenses of this organiza approximately 1,500 new marks having been added to our bureau records since the last supplemental was published. One matter to which your trade mark qommltte Is giving attention is to con- tion made a very great and radical re duction in salary whloli wag made pos sible by the voluntary request that the salaries of our higb-st officials Charles J. Roh Re-elected Treasurer covering our revised activities were found to be correct. We have had a little more Income frotp certain sources than we an ticipated and a little less from others. Our expenditures have In all cases come within the budget requirements,* notwith and that was the thing that we tried to determine, as to how to get this over to the 400. The only way that I know to get it over Is by taking a personal inter est. We have tried to build up this or ganization so that the members them selves will become enthusiastic about it through Its accomplishment. I would like to urge you to take this list, and If your name Is not on that list, that you seek more Information, If It is more Information that is needed, before you put your name down, because the of ficers of this association and the staff will be able to give you that information. That shows how these accomplishments were made and with as little effect upon the organization as we possibly could make with that kind of a reduction. Mr. Roh: If you are a member on this list, if you will just pick one or two peo ple who are npt on there and convey to them your thoughts on the situation. If you yourself don't know enough about it or feel that you are not able to approach anyone, or these people that you .know, if you will get next to one of the committee or one of the educational bureau or one of the officers or one of the staff, I am quite sure that they will be able to give you the ammunition with which to get more on this list, because the bigger this list becomes, the more effective the work is going to be for all of us. Then we will have this greater understanding that Is going to breed the confidence that we all want for greater prosperity. Thank you very much! . President Frayser: Thank you, Mr. Roh. Suggests Concerted Drive Mr. Figgis: I know the amount of work that Mr. Roh has done in. con nection with this particular work, and I know how outspoken he is. I am going to be Just as - outspoken about one of the suggestions ""fie has made. I don't think this Idea of letting each of us look It up and find out and talk !; OIL, PAINT AND-DRUG REPORTER October 20t 193f u i'toone of the staff and getJ some In formation here and there will result jiri our getting1 very far. As a result, 'probably, there aren't more than'one or Fi.two in this room who would go after S'fE'. 1 am among those who wouldn't, ^perhaps. Mr. Roh has done a very Sfiubetantial part in securing the names (that are on that list. It Beems to me Hlhat the way to get organized effort (The audience1 applauded.}--' (The motion' was seconded.) President Frayser: I hope, gentle men, that- you all listened attentively to Mr. Roh'g report. I think we have just cause for gratification of our past year's performance and those who know best about Mr^Roh's efforts con cur in what has been said by the two gentlemen speaking earlier. He de ber.-faces, and tvfeat tfe^ third thing is I can't recall." We are m-ore than glad to welcome you here, and we shall be disappointed if your sorrow on leaving does not equal, If it shall not exceed, our Joy in having had you with us. President Frayser: It Is now my pleasure to turn the meeting over to S. French Reeves, of the Philadelphia Paint, Oil and Varnish Club who is iff charge of arrangements and entertain ment and who will conduct the meeting from this time on. (Mr. Reeves then made announce ments with reference to the entertain ment, and particularly the musical pro gram of the evening and the reception to President and Mrs. Frayser which followed.) }}working for this end is to utilize the serves a great deal of credit for It. ^existing organization that we have, Lfamely, the club units, and appoint a Committee, if necessary, which will be lia man from each club, to definitely go |*tout after the particular memberships Mr. Horgan, what action was .taken . hy the executive committee on Mr. Roh's report? General Manager-Horgan;- The. ac tion of the ' executive committee on Tuesday, October 6 Second Business Session, Tuesday Forenoon 'that are available in that club or lo this report .yesterday was almost word cality, and In that way have a purpose* for word-the same as Mr. Robinette's :vful 'drive, ' . . ' resolution, They approved the report t: I presume the idea has occurred to with enthusiasm and earnest commen- i'you and you may have discarded it,. !::but even if it has been discarded, I 4think it has enough points of merit to give it further consideration,, For that 'reason, I would suggest that the mat dation of - the magnificent work. the treasurer had done. There were sev eral suggestions made' for. furthering this work. Mr, Figgis's idea; will be , (The meeting wag convened at 10 a.m,, Tuesday, President Frayser pre siding.) President Frayser: . The first order rttf our business is roll call, but we will defer that until a little bit later In the meeting. / Our next feature is "Solving the (1) The credit seeker that has a substantial investment and whose credit capacity can be established through tne available credit sources-- such as mercantile agencies, banks, letters, credit Interchange bureaus, etc. (2) The credit seeker that has a comparatively small investment, such, ter be considered either now or later now included, and all of these sugges Credit .Problem," by T. J. Kenny. Is as small hardware stores, small paint `or be'referred to the incoming Execti-* tions are-to be passed on to the budget 1 Mr. Kenny In the room? stores, painters and small' industrial | tlve Committee, or whatever proce' J dure you may deBlre to take, but at least 'It should have some consideration for and finance committee, and are also to be discussed at the mee'ttng of. the board of. directors of the/ national /Solving Credit Problems concerns that furnish little or no financial information to the agencies. Wihlle In the aggregate, class number ?: the securing of future contributors on that list. President Frayser: Thank you, Mr. Figgis. I think your remarks are timely. Has anyone else anything to association- this afternoon,'.// . /y - (Mr. Roblh'ette's. motion was put to ; ' Ti J. Kenny: Frequency of bad debt 1 losses during the past year emphasized a vote and carried.) ` ' ... . the need of a thorough survey In our In- President Frayser; Our next order, 1 dustry to determine the trend. of business Is the preliminary report' Through the painstaking co-operation of 2 purchases a smaller volume of the paint, oil and varnish products sold, it represents a much larger number of credit seekers, and presents the greater diffi culty to the credit man in establishing, credit, largely because the available eay regarding this matter at this time? of the committee om constitution and the National Association of Credit Men, credit-gathering facilities are not ade I can assure you of this:--Your sug gestions will have due consideration and be taken up at the proper time and place. . . Mr. Roh: I should like to have re ; ferred to the budget and finance com- mlttee any plan that hasn't been tried. [; I am quite sure we are willing to try It I think the budget and finance by-laws--Mr. Cheesmanl (Mr, Cheesman said that he would not read the report,..;but, would present It for publication.). / President Frayser:'L;Our next, order of business Is any announcements that we may have.,.. (Announcements by Mr. Morgan.) this survey was made possible and it , very definitely established the fact that bad debt losses have steadily increased since 192, to the point that losses dur ing 193Q (after excluding the figures of manufacturers enjoying a sales volume in excess Of $6,000,000), reached 1-1/10 percent of net sales. In some classes of sales volume It reached as high as 1-9/10 percent of net sales, quate. Limited Capital a Factor - Bradstreets' survey of failures for the year 1929 Indicated 92.1 percent of the failures in the United. States and Canada had not more than $5,000 capital and 96.4 percent had very moderate or no credit rating--55.8 percent of all falling traders failed owing $5,000 or more., committee who are considering alt ways for increasing the number of. subscribers would certainly like to give that a whirl. President Frayser: Mr. Figgis, does :Mr. Roh's suggestion meet with your approval ? . Mr, Figgis: It does, Convention .Committees General. Manager Horgan:. I am asked by the president to read the names',of the personnel .of ;the nomi nating ; committee; --E, Cornish, March Bennett, R.' A. Plumb, J. B. Keister,-E/ H. Hancock, T... F. Mony- The survey olso Indicated that while bad' debt losses in dollars were increasing, net sales were decreasing, particularly ' during the last two years. So as to crystallise the viewpoint of , the members, a second questlbnnalre was mailed to collect Information as to the trend In gross profit and to develop the opinion of what they believe should be a Credit seekers with limited Invested capital cannot afford very long periods of unprofitable operation. Balance sheet information they may furnish--and that is very infrequently--can change materally over a six months' period. The best method by ,>vhich the credit capacity and trend of this class of credit-seeker can. be determined is through a detailed in : President Frayser; Has anyone else anything to say on this subject at- this time? .' . . R, B. Robinette; I would like to move the approval of that report and say a word for the budget and finance committee. I think the members of that committee are in better position ' to know than the rank and file of this organization, the great amount of work and effort that Mr, Roh has put into perfecting of this new financial plan. It has required not days, but weeks and months of careful study on the part of Mr. Roh. He deserves a tremendous amount of credit for the .accomplishment that we have had up to date on this plan. It is the first time in the history of this industry that all of the larger units of industry have been supporting the industry's activities on an absolutely equal basis, and I think it is one of the finest ac complishments that the industry as a whole has done in the entire history of the organization, I want the action also to carry the ' thanks of tjits organization to Mr. Roh for Ms untiring efforts in bringing that about. penny, and-H,' S. Chatfield,* chairman^ l am also' asked'by, the president to announce the personnel of the com mittee on resolutions:--B. B. Robi nette, r.E.. J. Cornish,a C; I. .Caspar, chairman.' Sergeants-at-arms--All members of the Philadelphia Club;---Henry R. Dowdy,' A. P. Wetherlll, C. P. Morris, William ZintI, William H. Jarden, Jr., C. P.-Jarden, J. Sibley Felton, chair man. . ' The following members of the head quarters staff will serve .on the press committee:--Miss Kent, Mr. Elton, Mr. Emersohj chairman. I would like to read-, a telegram which just came ln:f-- -Greetings to the National Paint, Oil and . Varnish Association. Hope you will have a very successful, con structive and enjoyable convention, . ---LrUDINGTON PATTON, President Frayser; This Just, about, concludes our business session for, this morning. . . (The meeting was adjourned at 11:30 a.- m.) ` .' . reasonable bad debt loss percentage to sales, In normal years, . Slxty-slx and. two-thirds of the mem bers replying, reported reductions in gross profit (compared with the year 1928 ), ranging from 1 percent to -80 percent with a general average of 12 percent. Fifty percent of the members replying . reported ^ percent or less as a reason able bad debt loss percentage; fourteen percent reported %, percent to % percent: seventeen percent reported 1 percent; and nineteen percent reported over l percent of net sales. ' It is estimated from the data collected by means of the questionnaire that the total bad debt loss for the year 1930 was in the neighborhood of $3,000,000. It Is anticipated that the bad debt loss for the year 1931 will substantially exceed $3,000,000. If a .bad debt loss percentage . of V4 percent could be attained, it would result in a saving to the members of the Industry of from $1,000,000 to $1,590,000 through reduction In bad debt losses and there would be additional savings brought about through reduction of accounts re ceivables investment and smaller collec tion department expense. Your committee believes such savings can be- realized, but It will require the wholehearted co-operation of a majority of the members in the industry to the credit plan that will be outlined in detail. vestigation by the credit man of the credit-seeker's business and records. How ever, as that is not practicable, due to the large number of customers In this case* the credit man has to resort to the next available method, and that is by the Interchange of payment performance In formation with other suppliers. At this point, the credit man may satisfy himself with an Investigation of the references originally, furnished by the customer--and he may have secured sev eral names of suppliers from his salesman, which in either or. both instances may not represent a very complete picture. Perhaps he is a member of a local paint credit club, and through that source se-i cures the composite local paint suppliers payment information. This will no doubt; serve to develop the customer's method of meeting his obligations locally, but it may overlook disturbing obligations that exist- with suppliers in other markets, or In dustries, and it Is for the purpose of collecting not only local paint group in formation but intermarket and other in dustry credit interchange that the follow ing plan has been developed:-- Local Paint Credit Club The first step in the plan calls for the formation of a local Paint credit club in every city where a paint club is now located. ' This plan has received careful study by To members of the association who the officials of the National Association of have not participated as a member of an Formal Opening Monday Evening. Credit Men, and by prominent members of our industry,, and ft represents one of the most comprehensive "Industry credit enthusiastic and aggressive paint credit group, It is difficult to appreciate the good that can be accomplished through (The meeting for the formal open ing "of the convention convened at 10 o'clock, Monday evening, President Frayser presiding,) . President Frayser: It is indeed a happy event that we are gathered to gether this evening for the purpose of convening the forty-fourth annual conference of our organization. May we all stand and sing two verses of i , America." (Singing of "America,'/) President Frayser: Recognizing the need of the assistance and guidance of Divine Providence, may we all again stand while Dr. Durrell, of the Church ;. of the Ascension, delivers the invocar Rev, H. E. A. Durrell; Our devotions 'tonight will consist of the Invocation, / the Lord's Prayer, In which I will ask `';you to Join, please, and the collects Tor guidance. .- / President Frayser: It is my privi lege and pleasure to present to you at /this time Edgar S. McKaig, ' president 'of the Philadelphia Paint, Oil and ;;Varnieh Club, to deliver the address i of welcome. /: Welcome by Mr, McKaig Edgar S, McKaig: The Philadephla paint dub for which I speak esteems it ja privilege to act as host at this forty,fourth annual meeting; We had hoped fto welcome you to Philadelphia, but- when ->the world's workshop and the world's /playground compete for the honor, it is :-not surprising that the playground seems was told, "Ah l those angels come from Atlantic City. If we didn't keep them chained they would go right back there.' 1 It is the hope of the committee on arrangements and entertainment that this meeting will be an outstanding one, S. French Reeves, the chairman who will later give you the details of the program, has thrown himself wholeheartedly into the work with his customary vigor. He has done everything to assure a, success ful meeting. It remains only for you to take advantage of what he has done. On the business side, we will not be so ' hurried. Our friends, the American Paint and Varnish Manufacturers Association, are not meeting with us this year In ' Joint session as heretofore. Some think this a mistake. Undoubtedly, it will be the subject of discussion on the floor. Be this as It may, we have sufficient to en gross our attention. I shall not dwell on the troubled times through which we are passing nor shall I say that we. have turned the comer and can now see returning prosperity. I will eay what everyone knows, and that is that false economy 6n the part of nearly everyone, from the- smallest householder to the largest corporation, has neglected plans" so far developed. Its success will fee entirely dependent, upon the degree of . support that if' receives from the mem bers of our association, and a member's benefit will be in proportion to the ex tent of his participation. Proposed Credit Plan for the Paint* Off and Varnish Industry It is the opinion of your committee on credits and collections that excessive bad debt Josses are due largely to one or more of the following causes:-- . ' (1) Incomplete credit information upon which original lines of credit are extended, or existing lines are con tinued or increased. (2) .Poor Judgment exercised in ex tending lines of credit, where the cus tomer's known financial responsibility . and/or payment performance does not Justify it. (3) A weak collection policy, per mitting too large a delinquency either in amount and/or age to accumulate. (4) Unnecessary delay in devop- ing reduction programs with delin quent accounts. (5) Failure to furnish construc tive advice and assistance to cus such a group. A striking example is the "Paint and Allied Industries Group" In New York City. This group started with thirty-two members, January, 1931. It has a membership today of slxty-two. Its records contain over 50,000 names of paint purchasers In the metropolitan area, serviced by one or more member firms. It has Its own secretary, who is constantly at the call of the members, One feature added by this group (known as a series of "moral suasion letters") is used to collect accounts that might otherwise be placed In attorneys' hands and returns to the members, more than the total of the annual dues for the en tire group. The members of this group have learned through contact to believe In each other and that confidence has demonstrated itself, by not only improv ing the frankness In the interchange of credit information, but has developed many instances where one member volun tarily informed another of a dangerous credit situation. There are similar paint credit clubs In existence- in Chicago, Detroit, Pittsburgh, Louisville, Indianapolis, Cincinnati, St. Louis, Boston, Minneapolis, St. Paul, Mil waukee, Salt Lake City, and one now painting, so that there are more surfaces tomers in an over-obligated condition starting in Cleveland. All of the above to paint than ever before. 1 We esteem it a privilege to welcome so tnany charming ladies. For those of you who don't know precisely what constitutes and/or hindered with excessive ex penses, until their condition is beyond remedy, (6) Excessive dating terms that groups are affiliated with the local credit men's association. The local paint credit club serves to collect the composite payment perform charm, I will give you a definition which frequently lnfluen-flce customers to ance of the members' customers, but, un 1 heard. If a woman has it, she doesn t need anything else; If she hasn't it, it doesn't matter what else she has. From a long experience attending paint conventions, I know that this story was not told at one of ours. The story runs thusly: Two men meeting at a conven tion had this conversation. One said to the other,..."Why. did you bring, that divert money that should be accumu lated to satisfy the paint obligations at maturity, to the payment of other obligations, thus d-eveloplng a delin quent paint supplier account, usually, for a comparatively large amount. As delinquency increases bad debt losses usually follow In proportion. questionably it is equally as important to know the- same customers pay their obligations to paint firms In other mar kets as well as firms in other industries. It frequently happens that the members of a group may control their credit grant ing to a certain customer and feel they are reasonably safe, only to learn, per haps too late, that the same customer is i -'.to afford more attractions, However, by homely wife with you?" Said, the other, The plan ` proposed by your committee heavily indebted to several suppliers in ./right of discovery, Philadelphia has long "Better to have brought her, .than /to offers a. remedy that directly applies to other markets. /looked upon Atlantic City as its very own have kissed her goodbye."- . ! - the correction of cause number one--"in playground and Its nearness as one of Finally, may I suggest good fellowship sufficient credit Information/' but indi Irrtermarket Information the attractions of Philadelphia. on the part of all. If you want to meet rectly offers the means by which consid This leads to the second step in the To those of you who do not know how someone you don't know, make yourself erable improvement can be effected to plan, the method by which inter-market attractive a place Atlantic City is -I known ' I am Fur in this modern age reduce losses resulting from the remain credit information and credit information might illustrate by this atory. In k that not even the ladles will object to ing causes. furnished by other industries can be made . dream, a gentleman died and had gone to that. If you can't recall the name of In the promotion of sales activities in available to a member of any paint credit Heaven. He found Heaven everything someone or can't read his badge because the Industry, your sales organizations are group. that he expected. The angels were free of nearsightedness, just ask; he won't interested in many classes of customers, In this connection, the National Asso to go -and come as they pleased but he mind, and not to remember is not a thing such as Industrial users, maintenance* ciation of Credit Men have offered to con noticed a group of angels who were to be ashamed of, jobbers, dealers, painters. Individual con duct paint credit- groups in all cities chained to the throne. He couldn't un I am reminded of the man who said, sumers, etc. In the credit field, your where we have paint clubs. Each mem derstand this so his curiosity getting the "There are three things I can't remember. credit men are largely interested in two ber of a credit group will be privileged better of him, he made Inquiry and he 1 can't remember names, I can't remem classes of customers:-- - to list lils' accounts with the Inter-change October 20, 1931 13 ,imau, and will receive a reciprocal rert on every account where he has been arirect to furnish payment Information, fffcls will enable a group member to se^^cure local Interchange credit information in many instances the same day that he. 'places his Inquiry, and interchange- credit Information, from other paint markets and 1 her industries a few days later. _____Heretofore the Interchange bureau 'con tracted with subscribers for a minimum if one hundred reports, costing between $72 and $160 plus a. membership -fee to the local credit men's association, of $15 to $50, which varied according.-.-to the sri-se of. cities and costs of operating local credit units. So -as to make 'this plan ^attractive to firms in the paint industry Ilocated in smaller cities,; they have agreed ?to perform the desired services of operat- Hlng paint credit clubs and furnish national `clearance, for membership fees plus con tracts for interchange bureau sendees 'trith ft minimum cost of $35 for 25 re-, `ports. Their offer to our Industry is the first exception that they have made In ___their national program--and in the be lief of your committee, no firm in our ^ttidustry can afford to overlook this op portunity to fortify their credit aepartIneafc with a source of credit Information ladly needed, particularly at this time. Ik'1 it is only fair to mention that* the National Association of Credit Men and vtheir local units are operated entirely for Sthe benefit of their members--there is no IteQUlremertl to earn a profIt--and the lvalue of their helpfulness depends en`tirely upon the active. participation of -their members. Other Industries today r'jtteive greater national benefit from the ifacilities offered by the National Associa tion of Credit Men than our industry enijoys, simply because they have recognized tee and. the uniform credit plan the whole hearted support of the executives of the been privileged to subscribe to the national interchange bureau, which is This system provides for the coupl ing of the arteries of credit unknown to- industry. It Is only,by such support the a bureau of the National Association the debtor. It gives us an excellent' plan can be made effective and the indus try receive the benefits to be derived. of Credit Men that- collects payment* picture of that man's method of meet performance throughout, the country* ing his .obligations, and -if you have Report'Generally Approved - . We haven't had any means heretofore such a picture, from that picture you whereby, for the expense of a local can discover the elements of character President Frayser; Thank you, Mr.- credit men's association membership and the capacity and capital of that Kenny* That is a very constructive and a national interchange service, particular debtor. Apart from any ; message.- I.; inadvertently failed to we have also been able to get local other condition, a hooking-up with the stress the iriipdritarice''.of the message group service, and we haven't had any national organization like the National that Mr: Kenny has brought us this mechanics heretofore that would col Association of Credit Men gives you morning.'He and'his committee have lect the data that la accumulated at a multitude of benefits which it is ab done some magnificent work' insofar the local groups and make them avail solutely impossible to get in any other as research and* development of plans.*, for the benefit of our,organization are _ concerned The plan which they have presented.is being used and endorsed able for a subscriber to the national interchange. - Take, for instance, in New York. way, I refer to a million dollar fund they have for the prosecution of fraud ulent debtors where a^detective can be sent to any city in the United States by many of the large manufacturers In our industry. It has been presented city, If you subscribe to the national Interchange today and you are not a within twenty-four hours--a network of organizations, 132 in number, that to. the educational bureau, who ap proved it. It was presented, to. your executive committee, .who approved Itv It was.presented .to yoiir board of. <hK rectors, who also approved it," and it ia now presented to you as a conven member of the local paint credit group, the course of credit information to `you would be limited as far as New . York suppliers are concerned, to the Information that is furnished to the interchange bureau by twenty-two subscribers in the paint industry. You can apprehend a criminal overnight. In a recent failure in New York, an assignment was made by a formerly well-honored merchant. He went about telling other paint dealers that they were foolish in meeting their obliga tions--he was going to show them how tion for action. . I think this is . one of the most . Im portant features. of our - convention, would not be able to get any- informa-, tion. from paint suppliers beyond' those twenty-two subscribers, where to make a settlement of 10 cents or 20 cents on Ihe dollar, and he pro-, ceeded to buy very heavily from and we'would be glad to.`have..what- , as, if you were a member of the Paint twenty-four paint manufacturers in- ever discussion may bring out points and Allied Group, where they have a New York--I was one of them. of. enlightenment. and..benefit oh this membership of sixty-two, you would subject. I am sure Mr. Kenny will be . be able to get information thftt would glad to answer any questions that any be availed of on the particular account On Monday he was into bankruptcy* On Friday afternoon there were de tectives in Hartford, Connecticut. We of you may have. .!... . . .- you are interested in, from any one or discovered merchandise in five places ; Credit Discussed ' more of the sixty-two that 'sells that In three days. He Is now up for in account, By bringing together the dictment. He offered 50 cents on the Mr. .Yarns!!: I believe this report- sixty-two in New York with the twen dollar, but I must say this: For the /its usefulness. Today, less than one third. contains ft . great flea!' ol valuable In ty-two in interchange, and bringing .of the membership of the National Paint, ton & Varnish Association subscribe to -the credit Interchange bureau service, JJ-which in itself limits the credit Informa formation for us. It seems to me, how-, ever, that one factor tending to In crease the bad debt losses tn the paint in other firms that are. not subscribing to either service, we ought to be able to get a picture that may run any tion available within our own industry. industry la. the tendency- of tnanufac-, where from 60 to 80 percent of the jfcV To Circulate Educational Data.' . ; tutis'rs to sell r. might cite terms rather than paint,, an Instance:-- ,, ,{ . ' suppliers in New York city, and what prevails .-In; New-York city, should pre- r'fV1'It is the purpose of your committee to., :-filaaemina*e' educational data, through the 'gjalnt credit groups, furnished by well `'organized credit departments within the. I called, last month, on an. account- ; vs[jl throughout the country, In Philadelphia that .we sold reoentl^ . '. ' The only way our credit men on the and I overheard' :h' 'salesman. talKlng smaller accounts can do a reasonably industry. Such subjects as the basis for. to the' proprietor, tryIna to take an . I good job is to get as much of the establishing credit limits, the efficient : . order with' him. He had received some /payment performance information of wjmethod of operating a credit department, few little ithings. . Ha^aid, Now, I . the suppliers of a particular account the constructive assistance: a credit de:-!partment can render customers to enable jjthem to earn a better profit from their- iioperatEons, and other educational data iffill be circulated, r : * In closing.- your committee wishes to. ^stress the following.points: , . ' "> x. Regardless of whether the,bad: . , debt loss in our industry is better or worse than the average industry. want you to add-a little bit: of this . as they possibly can. The more in and that to the order, Tou to pay for It'until: January won t _10". I have . sold;- formation /`telllgently they can can get, the they render more indecisions . that man ,on .straight! 50:day terms, and 1 ;was- Just wondering how long I was going to be able to :do It when and the less guessing they will have / to do, .-Mr, Maston: Another question: :This Is brought before the convention somebody' else was coming along and for its endorsement. It has received offering that. sort, of proposition. the endorsement of the directors and first time, a united effort on the part of the paint credit men of New York was such that twenty-four out of twenty-five creditors voted to take the 100 cents on the dollar or nothing, The one Objecting debtor, was an insurance rhan who was able to caucephis policy and come out whole, . I want to say one word about re ciprocal reports which may not be clear to some here. A lazy credit man who will file the reports that come auto matically to his office will have a file in hia office equal to the most exact ing credit man in the industry. The mere filing of information received from the bureau will give you a rec ord of the paying habits of all of your customers, and all that is nec essary for you to do is to file this information which comes to you with out expense* v` there Is no reason why steps should k not be taken to reduce losses. .. . .. it certainly Is true that the longer we wait for- our money, the. .harder it of the executive committee. If the convention- endorses It, how do we go m- any mercantile agency of the country, you pay for every report you 2. As bad debt losses decline, there - Is oftentimes`to get.lt.1 ani heartily. to the club with it? In other words, $\ are many associated expenses -.that . In favor'of , the nlan and. I.Kope it will are we going to have, a paint .group in &,:&iso decrease--such- as savings by P reduction In account receivable In- . - 'vestment, reduction in legal ana co)* , , v lection fees, reduction in traveling ex- be adopted, .but merely, adopting It m / this national Interchange bureau known convention '.or having It, aonroved by as a paint group?' the board of , directors.. or the educa- Mr, Kenny: Our program Is along v ponses, and what Is .most Important,1 tlonal .bureau will .'not-.solve .our. prop- , these lines: We will next, year have i a larger dividend on salesmens ac lem. Tt- has aot to-be acted uoon Indi our credit 'and collection committee.: ; tlvitles. As the credit department . becomes better equipped to determine .... . the responsibility of .its customers, it should enable a sales organisation i s to more Intelligently direct its efforts. 3 The avoidance of one bad debt 5- loss might easily more than cover : the cost of this service for a year. vidually, by. the members, and we have got to say this:--'We will not do this and we will not do that" If we are. going to- make any real progress. President Frayser: Is there any fur ther discussion on this subject.. . We intend to make it a larger and stronger committee so that we can touch more spots throughout the coun try. We are going to aalc the local paint credit clubs to organize a credit committee, and the local credit men's association will be instructed to tie The minimum costs for th^ varlous cities are shown on the following, sched ule: Mr. Maston Approves ' .. . up with the national committee and ^thejocal paint .committee to organize Mr. Maston: I would like to express. i^the^roups locally, and the national in terchange service will tie up the receive. Under this system, you pay for only a direct report which you es tablish at your end.^ You may answer a hundred inquiries of 10 0 manufacturers one day, and you get nothing in return. This system is self-balancing. Every time you. give or impart credit Information, what ever the industry knows regarding that particular debtor comes to you auto matically for your files, and you may not be selling him today, but you may be selling him next weekj and you go to your files and you have there the information which is complete and cor rect, - One other word about speed, and I will be through. It is possibly under Minimum Costs for Group Service and National Clearance .grqups. The success of the .plan is entirely the system now operating In New York, Chicago arid other cities which Mr* L.C.M.--Tnfitcatea afllltatod with local credit^ ' Ind.-Indloatea not affiliated with local credit association. prejenl dependent upon the number of active Kenny mentioned, to obtain a tele ' niembers In the industry we can bring phone report in thirty minutes, so that New York.., Chicago ... Detroit ........ Pittsburgh . Lo u Ih v UIc . ludlanapolia '.Cincinnati St, Louis, Cleveland ,, Atlanta . < * * - Minneapolis and St. pa , Milwaukee .., Belt Lake City Kansas City,.. ` Philadelphia .. Baltimore ----Birmingham .. Buffalo ............ Byracuae ......... Denver ............. dColumbus ........ :Dayton ............ -Memphis ...... .-.Omaha ............ New Orleans... 'Richmond, ..... Rochester .. * Savannah ... A A. A A A A A B B E B B Credit . v assn. ' dues, $35,00 35.00 35.00 40-00 .25.00 . 35.00 35.00 36.00 ; " 50.00 60.00 26.00 25.00 36.00 30,00 86.00 60.00 ' 50.00 26.00 60.08 25-00 27.50 30.00 26.00 25.00 25.00 24.00 20.00 35.00 16.00 35.00 Credit groups ..new - operating. L.C.M. L.C.M. l .c .m, L.C.M, L.C.M. L.C.M. L.C.M. L.C.M. L.C.M. Ind. L.C.M. L.C.M. . L.C.M. L-C. . Ind. InO. ind. Present cost of ' group service. $200.00 10.00 40.00 coat of Inter change service. $160.00 100.00 100.00 . 100.00, ` . 85.00 100.00 100,00 100.00 100.00 100.00 100.00 100,00 100.00 ; - 72.00 - v 100.00 126.00 100.00 3.00.00 75.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 1D0.0D Proposed minimum . , cost. into the picture. Mr. Mftston: Building up that ac ceptance among the clubs, does that $285.00 135.00 185.00 come through your committee? Mr. Kenny: We are going to do a . 140.00 sales job on that, collect data and put 110.00 . 135.00 175.00 185.00 it out. J Mr. Maaton: I would like to say that personally I am very much in favor .150.00 of the plan. I know the committee has ' 160.00 done a wonderful job, and I move that ;'126.00 j 126.00 135.00 , \the plan as submitted receive dorsement of this convention, the enand its ' 102.00 ^'support. 135.00 f 176*00 85.00 (The motion wae seconded.) . . president Frayser: I' think this is - 80.00 a subject vital to all of us. We would . -85.00 ' like to have a. little, more discussion 000.0 82.50 o0o6..o00o . of it, or if there are. any Questions that Mr. Kenny can answer for his committee, I am quite sure he will be eo.oo g o .o o 60.00 55.00 70.00 glad to do so. The plan Is a very Comprehensive one, being used very successfully where it has been organ ized, and tied In with the national 60.00 service, and if there is any question 70.00 that Mr. Kenny can enlighten any of while the salesman Is appraising the worthiness of an account that he has established, you can deny with author ity the worthiness of that particular account* 1 say, gentlemen, it has taken a great many years to bring this system to its present possibilities. I am sure that many of you will ask your credit men to look Into this thing so that we might all benefit because the larger the sup port of the system, the more complete will be your credit files- Whether or not your credit man plays golf, it Is there in the files. I want to pay a very complete com pliment to Mr. Kenny for the amazing .work that has been done. This has 'given us something which hitherto we have been unable to get- I dare say that all of ua will profit highly when we get together. I was recently in New Jersey on a survey, and I found three or four failures. The dealers there were dis gusted with the methods of the manu facturers for permitting distress mer chandise to find Its way into the hands you on, we will be glad to have you of their customers. You compare that i, Nc" Terk Broup ^ tawin'* mtecV^S report. ; ^B|eErlpnXSa? jgg'M'iSS. ^rt^r^ptlns Bngalo. tthero $75 te will Proveil. i The twenty-five report contract permits a Smblr to enlist 250 enstomers^names contract permits U*t- my personal appreciation to Mr. Kenny for that very fine report. As the re port was developed In the executive committee, I tried to get a little more ' ask it. _, . I think the subject is one of eufleient Importance that it should have a thor ough discussion and that we should all take home, with us a very clear understanding of just what this com mittee it trying to accomplish for the industry. particular weakness, lack of credit or ganization in. New Jersey, with the efficiency of .the case I cited where within two or three days we located merchandise, and we had the dealers in the neighborhood of the one who failed compliment us upon our work because what interest is it to a dealer ^\$?^'SS$E8h permits list ing an unlimited number of customers names. r . j; . Recommends Strong Committee fe We recommend the contlnuaTicei of a I1;strong credit committee thoroughly repreStative of the industry: this committee to work conjunctively with the staff of l; the National Association of Credit |(Men Vtn the development of a oedure and operations ' satisfactory to the industry and the credit afaooiation* We further recommend that this com mtttee be empowered to work with the L office of your general manager tn the deyelopment of strong local credit commit- ^es, and to aid in every way the efforts |<& local units to build strong effective oted.it groups on the basis of the uniform ilan adopted by the industry. ____ We bespeak for the proposed commit- information as to Just what the indi vidual member of the individual paint club would profit by coming in under this plan. I think Mr, Kenny stressed it sufficiently so that 1 have a clearer picture than I did at the meeting. As I understand 4t, Mr. Kenny, every member of our industry is now privi leged to join the credit men's inter change bureau and the plan doesnt offer anything that we can't get hold of today, but It does offer it at a lower cost. Is that correct? ' Mr. Kenny: It does offer something today that we haven't been able to get in the past. In the past, we have all been individually privileged to sub scribe to a local credit men's associa tion, and through that we have also Mr, Uehlinger Urges Action Mr. Uehlinget; This Is not an ex periment. This committee has been able to obtain concessions from the Credit Men's Association which during the course of the last twelve years we have not succeeded in doing. Natu rally, there is competition in credit.. The mercantile agencies, sensing the need for a more elaborate and accu rate report, have spent hundreds ofthousands of dollars in order to ae* velop such a system. They have hlrea two of the best men for the National Association of Credit Men, with the idea of someone appropriating the sys tem of mechanical and automatic clearance. to pay his bills when a neighbor gets away with ten cents in ten years or nothing at all. You have got to have the backbone, you have' got to fight and you have got to stick together, and, this is the means to do it, I thank you! President Frayser: Gentlemen, is there any further discussion on this matter? Mr, Arnstein's Remarks Mr. Arnatetn; This is one of the most complete systems that has ever been presented for adoption, We have tried it without the New York or the National Credit Men's Association, as an individual group. We struggled 14 October 20, 1931 Highest Standard Lake Colors Fast Toner Lakes Fast Violets in Paste Dry and Pulp Colors Bone Black Drop Black Ivory Black Carbon Blacks Oxides, all shades Genuine Van Dyke Brown Genuine Sap Brown Crystals Genuine Chreninitz Whites Aniline Colors Wood Stains Import -- Export FEZANDIE & SPERRLE, Inc. 205 FULTON STREET NEW YORK Telephone Cortland 7-1460-1461 Cable Address "Fezan'New York'* OIL,,;PAINT AND DRUG REPORTER t- r: a.]Q,ng;.Xo.r many yejars'.'and 'it ..entirely I'r'e'^ideht; Frayier: I. kgain '.Uffifi :yotl depended./pn tfieJ k'ecretary 'eE^plpyWd t'd'be.lbrjef Jn our <3iecusaions. Thteplin at. the time, while( thb,g^oup., was Is .quite,. .'comprehensive and will. -bfi working... The miiiutfr. we rftere :abie $p . presented to all of you for-your infor- secure an efficient plan that handled < matlori. - ; the "credit system, properly, bhe 'ol the , I? ' there. 'anyone ."else ;wh'o has any two established credit Information o^- thing toi'Uay to this .sublet; briefly? gariizaitlqh& .took him away . from '.us. Mr* Ken.n'y .and .his "p'ominittee, as .well The result ..was ..[that there .weren't as .the variouk. bodies and committees enough capable .'men'.aroun^ tq'.be had of cur 'organization', are very1 anxious every t/me .It., was rekUy.jiiecessary^fo to. have .'this convention pass on this follow up. the othpr man's; ',t6plkteps. It reverte'd'.'hacic to.the committees that matter iu'& yery constructive Way, not drily tp aqc'ept/lt in;a perfunctory'sort were composed/'pf iha'nufa.cturers., or of, mariner, [J>ut.'to take .the message' in biislhess men. in, the industry,. or. jthe credit 'men, having sufficient sjich, way.,.to your: own. .organization a'nd to your local clubs, that we may wq'rk of their 'own, "dl'd ''th'e; best'they recCiye the. benefit which Mr. Kenny's could, to help./'the pniatter 'Along, `arid committee .has inade available to our after, about :hine,'y.aarp/pf jfclreteks "ef^ -organization..,. ,. . . ............... : .;fort,' and''at ;great 'expense.,to;;'oriie.;of ..Jt 'there.1$ ho qhe else who has piny*. us,.particularly;,the ones who 'Warp; m-' thing [further,to. say on, .this question? ; tereeted, iji,' carrying through, efflCfen't/ Horace Felton: I don't find' Mr. *' ly,. We footed the' bill.ourselves' a^gr'eat Kehnyjs import in the printed reports. many, .times .'while ^nbt .ha^lns,-the co Will we feceiye a copy . of "the report"*-" operation "of the entire' ltidusfry ,1'h! that Qr.jfnuUt we;wait for publication in the particular town where 1, 'h'appened. to year, 'book? , .-n. . ,' be located.,, .The.t result. itha# .'after Mr, Kenny;. The reason sit was hot careful "Study.. j and, "hqi'd "st,ru'ggle we Included, luv .the [bulletin-, was....because . decided ,,'th.At the/qnly.' way '[that 'we It :had not-been completed at .the tliqe: could';^fllcien'tty,(tHh^.;aboi2t,,a'!WcceaB- It was'-printed, j It was necessary lor fUl ,4 'credit . /.l^Urchanjje.,. ;Vot(Jd ,, bq us. to 'contact, with' every local 'credit through We' New.-York, .Crlfld.it `Men, .pr men's ''assgcia'fcfon in order to develop the,National 'Credit Jj&en's'Association. a 'particular deaT^or teaeh city, but^Mr, . It met .'With great opo'sItlbiTfr.om the Horgan, I ^Imagine, we could, arrange beginning, as- we ha^e tried it 'once " tp. :have,'copies of the report prepared before, and-. the j independent group was lost, but how'the plans have been laid perfect, and I am onIy ;sorry .that a few,.1 of the reports that we are able- . and 'sent to .the members. - General Manager Horgan: Yes. ; Mr- ^eltop; 1$ :se.ems to me it is.of much ^thppria^hce 'that we pught to 'get , l. to'/seeure In New York through, the it into .thq Hands, of . our membership. | New'York 'Crddlt- Men's 'Association, through the special -group, -through as, promptly as possible, and a year rbook not arriving until two or three*' the. special . paint'group,`aren't pre sented- to a`great many, of you'gentle months after 'the convention, doesn't _ accomplish .the,purpose, . , R!-; men, who don't'know how.'this 'thing, , Mr*. Kenny: Mr, Horgan says that*'' is: working, : \,.,K , . You may flnd..anywiiiere from twenty tfiat .will be. taken care of. . (Mr. Masten's motion to adopt Mr, to ; twen'ty-flye. 'response?.: to - that re-' Kenny's report was put to a vote and -,. port telling you how much 'the man Carried;) ; owes past .due, how he.;pays and President Frayser: We will divert whether-he. pays by notps/or.iets the from our. program just a little this notes "go . to protest. No. names are. morning and our next feature will be mentioned... It is'all sent to-you by num ber, and.I. urgently ,ask the gentlemen roll., call, . ... (The roll was answered by twenty here, at this convention please to ap prove the plan -as~outlined to you by clubg with a total representation of ninety.) Mr./Kenny./ , . ; . jt is the most, .comprehensive propo' eltion .that; was ever put before a con vention, arid rbeliev.e that if we would be called, upph ;'to . increase today our profits 'anywhere, `from 4 ;?1;600,000, to $2;OQO'OOp, .> g^eat many 'men would get .together ^and,',kit up/hours ..'and nights to .'study how to bring, about that., situation., .There 'is vput before us ready ,to accept `and; ! sincerely hope.-thai we wm unanimously ' accept the plan Us 'outlined '.by Mr. Kenny! (Announcements were made by Gen eral Manager Horgan,) - President Frayser: Our next pro gram feature will be a guest whose time is limited, and we shall have to divert from our program to put him on 'next. This. .speaker is a very intimate friend of one .of.olar very Jgood mem bers,, arid I should like very much if Mr, Trigg will . introduce our next speaker- Is Mr. Trigg in the room? Ernest T, Trigg: We are very for- . BINNEY & SMITH CO. fttdfrjfshed 1664 41 EAST 42iid ST., NEW YORK, N.Y . ' BLACKS IVO <* DROP BONE IVORY SUPER SPECTRA SUPER SPECTRA NO. 9 ROYAL SPECTRA SUPERBA MAPI CO YELLOWS:. * REDS * BROWNS - BLACK a n 1/ OIL, PAINT AND DRUG REPORTER October 20, 193f 15 'A ni p. lifiSj. nfor-a Aiiy-v. jefly ? j . well';? ttees <i\ slous this ; V ft'ot .;2 . aort-' ?e in -i atipii^ may.^ lay's our- iionfri ' m-A 'OrtaA jport'S t l not:^ aus-.;. tim&A that* Mr;i and:V| vfertril this Ah I be-is fen- v if tunate Indeed today to have a man although you may know the position of happy to have him down In Washington been grocers or hardware dealers, or even here from Washington to speak to ns on general business conditions..' Not only are we fortunate In having some- . one from our seat of government, but we are especially favored in having a man who is connected with that de partment of the government which, after all, is our department--one de partment of our national setup . to which we have the right to look and do look for constructive leadership in business affairs. Our speaker this morning has had a vast amount of experience in. triad and commerce, not only nation-wide, but world-wide. I shall not take up your time, nor bore him by telling you about his college degrees' And. the universifies he has attended and things of that kind, because I think you all know that,' but I do want to tell you that for over twenty years he has been a close student of business, commercial^ and industrial affairs throughout the world. During most of those twenty years, he has been connected with the Bureau of Foreign and Domestic Com your own firm, perhaps may have some rather accurate impressions of the status so he can collaborate closely with us. You are making a number of definite con paint dealers, an unfortunate failure to appreciate the necessity of watching the of your Immediate competitors or others, . trlbutlons.. Inventory, so far as being able to answer the ques It haB been the habit on the part of tion on how business -is in this country a lot of cynics, foreigners and a number today, we won't -know what it is for at v of -souls who describe themselves as least three, four, five or six weeks: . Americans tout who don't quite fit up.to The statistics on the position of indus that category In this country, to lament try this week will n-ot be available in the gregarloUBness of the American busi- many instances jfor weeks - and even, neasman. He loves to get together and months to come, and, for that reason when- parade himself In Rotary clubs and Ki- one hears at the1 moment expressions of- wanls and conventions and what not, to the most pessimJstio.variety, I ask directly . bedeck himself with badges and listen to on what is that gloom based; is It some dreary speeches and go to endless ban thing historical, is - it...something' that quets and so on. In the eyes -of those happened several'weeks'ago? .- Statistics ' unhappy cynics, that is just toe bad; it are being released as to the number of ^-is one of the things that show the inade- bank failures, as! to .the reports of com panies, as to our foreign trade and many quacy of American civilization and social disintegration, As a matter of cold, hard of them lie far back, .as far-back as last' fact, it Is gradually dawning on a lot of spring or even last year, ' ? ' - people that that Instinct toward organiza Let me-give you one illustration-of the tion, that gregariousness, that zeal of the misleading character, of that assumption-- American businessman to get together, that we know According to now-'what -business-is nowj! our/ statisticians- .(and i . , haa been one of factors that has the invaluable kept' ua .from saving a far don't want to stresa.ttieir flndlngs'too pHdtly; someone- very appropriately Irme-v:- marked that if all> the -statisticians and;- analyiats and buainess prognosticators were laid end to end, it:would be.a good, thing, for business) and:according.-to the . - worse plight in the last two years than we'would otherwise have had. , :One of the very reasons, I am firmly convinced, why we have been able to weather this storm with much Ic bs dls- tresa than even in 1921, and far more of r Our investigators -went down into the basement of a grocery store cut in Louis ville in the course of our survey of that trade in. that thriving city and were amazed to discover the place was just packed solid with cases of all sorts. The man really had, as a matter of face, a museum. He didn't have an Inventory down there of salable groceries but an tique speciments of all varieties, and that was, of course, one of the chief troubles dn his unhappy plight. We asked him what about it? He said, "They are per fectly safe down there, a nice dry cellar that doesn't affect me In the least bit" He was very much like that moun taineer down In Tennessee who was visited by a social worker. The social worker was horrified to discover that he had a lot of pigs down in the cellar and he asked him If he didn't think that was unhealthy. The mountaineer said. "Un healthy? Not a bit. I haven't lost a pig in. five years." The inventory can be very unhealthy to the inhabitant of the establishment without his realizing it You- have been fortunate, as I have said, in the broad, general advance" of merce; as a part of the Department of a .course than in 1907, or 1893, to take only your' industry, taking the longer view Commerce of the Government. I think the last three major depressions in our of it. The expansion of these past fifteen many of us have had occasion to come in contact with Dr, Klein In his work as the head of that bureau. I want to say from my own experience that we never went to Dr. Klein and to his bu / history, one of the major distinctions V;.that we have at this time which has been of .such great help to us, hoe been the ^.presence, of some seventeen thousand ^.business organizations all over this coun try---trade associations, chambers of com ,-years indicates clearly what a well^organized effort -can bring about You have increased the per capita consumption of your products from' 81.87 for every mem ber of our population In 1914, to $4,6S -Sa 1929, and even with all sorts of allow reau without getting prompt and ac merce, service -dub's of one.- sort or ah- ances for advance in prices, it Is xtfifl curate information, and the help and the co-operation which we desired, and now, as Assistant Secretary of the department itself, co-operating with Mr. Damont as the head of that de partment, he Is in a position to take- M/other,.better business bureaus, and eo on ;;:;;down the line--where business men have been able to get together and plan for `^'effective action. We didn't begin to have '.. that set-up in any of the preceding crises '. to which l have referred. That is `one of the very reasons why we have been very evident that you have made the American people paint-conscloua, si the same time you have laid.a ground work for a solid, enduring Industry. T'OUr products during that time have increased In gross value S28 percent. That 1b al most a record for any of the older Indus even a broader vfew and a bigger re - able to hold together as we have this tries of the country. In the meanwhile, sponsibility in the business affairs of time, with far fewer casualitiesi, and one the wages that you have paid have In this country and of the world. Dr, Klein comes to -us, ladles and gentlemen, this morning, at a' good deal of sacrifice' to himself. The de mands upon his time, both so far as of the reasons why, In my firm convlo` tion, that we are going to come out of this one quicker and more solidly than we have out of any of the' previous ones. ' - John Burns, the great British labor leader, some years ago visited an Insane creased .In gross volume 315 percent tout the number of your wage earners has 'in creased only 81 percent. Elghty-one yeo'cent is an increase in total wages ?of percent. In other words, the net -com pensation per worker haa evidently in his departmental work .is concerned, r asylum and was much impressed -by the creased substantially, undoubtedly due to and to appear at variousr places In a ,'. fact that there were very few keepers the fact that you have improved your speaking way, arg.: such that he finds around, and he asked the superintendent machinery equipment generally, and you it impossible to .match them up, but he has set aside other things to. come down here this morning to talk to us for a little while on the subject of about It,. He said, "What Is the Idea? Here you have two thousand of these un happy persons here, and only about twenty keepers. What would happen If all those lunatics got together?" And have better factory management. Example of Paint Association Your association has set an -example which I think the country as a Whole has "What Price Prosperity1' and it is with the headman said, "Well, Just count on good reason to be proud of. Right bn very great pleasure at this time that one thing---lunatics don't collaborate.*' but this present emergency, you have -gone l do' not introduce Dr. Klein to you, business men ought to, at least, some of right ahead in collaborating With the but, Dr. Klein, I want to present the paint Industry to you! them ought to. Let us hope we aren't all headed for the asylums yet. That really is of fundamental importance, as President's emergency employment estab lishment. You have been working on various schemes to keep the maximum you have observed in your own industry. number of your workers on payrolls, at Address by Dr. Julius Klein The assistance rendered to esprit de corps, to morale, is. tremendous. Remember the large part that is played in the later least part time, and I wag very-pleased to notice in the reports issued just a Tew days ago by Mr. Gifford's organization, Dr. Julius Klein best calculation's the downward trend of stages of every depression of this inten the -depression ended last January. v That sity and duration, In keeping up spirit. that two-thirds of your employers indi cated that there would probably be -ne doesn't mean the depression Is over by One of the things that caused the.whole further substantial layoff of personnel. Dr. Julius Klein : You know, in spite any means. It simply means that the sale panlo in the latter part of 1-907 and The fine collaboration which you are ren of those all too generous remarks from downward curve stopped very abruptly 1908, and even more in 1893 and 1894, dering- with our building and housing my good friend, Mr. Trigg, we bureau ' last January. Since then, we have be'en was the disintegration entirely of the work--we are delighted indeed that Mr. crats in "Washington are under no il bumping' along -the bottom ' of a rather . morale of Industry, the panic that pos Trigg of your group is able to assist us lusions as to what the taxpayer really broad valley, not a very pleasant process,' sessed. them all, and the reason, I think, down there in laying plana for that re does think of us, especially in thesis try but nevertheless, one that at least haB largely, was that there were no vehicles covery of that key industry--tho meet ing tlmea Whenever any ot us ventures the satisfaction 6f indicating that we for getting together, comparing their re ings that are being held almost dally forth from the seclusion of our red tape are in the second stage of this doleful ex spective woes, discovering that, after all, down there. will culminate in the build Jungles down on the banks of the Poto perience, the third being, of course, the . there were some things to toe thankful ing and housing conference the first week mac, he is usually asked if he has heard upward ascent. for. Let us stick togteher, so that we In December, and that is, I think, one of the one about- the government employee We didn't know that we had touched donlt fall apart and pass off one by one. the most substantial contributions that who consulted his physician about an bottom last. January, until March. It operation. When finally they came to the wasn't until statistic^ became available 'Expansion in Paint Industry can be made to the recovery not simply of our own industry, but of industry question of the effect of . the anaesthetic, the young .man said,' "How long after I take this anaesthetic will I be able to think rationally?*' The medico eyed the poor little bureaucrat rather pityingly and said, "Young man, you are expecting an awful lot of an anaesthetic," - Be that as It may, we really are very keenly conscious down in the seat of the government of the difficulties which busi ness Is having these trying times. We have been following keenly and sympa thetically the up3 and downs, mostly downs, unfortunately, of - the business curve. We have felt, perhaps, the prox imity of It rather abruptly within the last few days when some member of In the early part of March that it became, Your experience in the last six or eight quite clear that that first terrific down years is thoroughly typical of that of all ward trend had ended, and correspond- industry In passing through such a grave ingly, we probably will - not know (and trial such as this. You had In the pre this is what the Senator had in mind depression boom years an extraordinary when he said he wouldn't know-when.the ; expansion of your industry, due partly, depression would end until two months after It Was over) when that . upward of course, to the widespread growth of industrial plants all over through the trend begins, so far. as the business of boom period of 1927, '28 and '29, due the nation is concerned, until six weeks also, perhaps, to the general zeal for the or even more after it has already gotten under way. - And so, with these various progn-oetl- - cations as to the downward trend or the horrible situation of the picture at - the m-oment, just bear In-mind that fact, that , the completeness of the picture cannot be Improvement of appearances. We had gotten away, apparently, from the gaunt parsimony of the plug tobacco age, and we were beginning to think about beauti fying our homes and bringing in the very helpful, soothing stimulant of color. throughout the country, because of the vital importance of building for industries everywhere. It was pointed out to me Just the other day by Clarence "Woolley of the American Radiator Company that the curve of the building industry has a rather unusual significance when placed with that of business as a whole. The building In dustry began to be depressed several months before the stock-market crash in October of 1929. Shortage of. money which was taking these high, wide and fancy flops In the stock market drew It away from the more sober, sensible in dustries, notably building, -and conse quently building went into Its slump al Congress made the proposition that gov ernment salaries, including those of Con gressmen, would be cut ten percent.' Seme definitely established until some weeks But during that whole period there was, after any given date, - we must admit, an orgy of intemperate selling and of intemperate buying, as most a year before the -stock market break. Conversely, Mr. Woolley and many others who have been following the In wit remarked on that at once that when Need for Individual Effort well as, of course, and consequently of dustry closely tell me that the -sooner we the politicians proposed to cut their own That brings me to what seems to me production. You had frantic attempts to salaries, that is.n't depression, that is the millenium. But we watched the horizon closely to $ee whether we couldn't discover some signs of Improvement here and there. Once in awhile we have heard actually of really the nub. of this; whole-question* as to the acceleration of the recovery. "We hear much of great schemes and ..plans, and .programs, world-comprehensive in 'many cases, vast movements almost cos-,mlc in their proportions, But in the last.' keep up with.the mad dance, the muttlplication of can sizes, a variation and ex pansion of the chromatic scales which ^were so.bulging with varieties as to make the well-known aurora borealis almost fade out with shame. Our kitchens went some paint companies that were going analysis, this business situation Is going rainbow and our B.D.V.'s as well. concerns. On closer scrutiny, however, . to Improve only when, as and if we have ' You had, as a result, a hopeless In we found that they were going-but they Individual effort, effort on the part of In crease in sizes and varieties of contain didn't know exactly where. The situa tion Is frankly beclouded. Difficulties seem to pile up with monotonous regu dividual companies, of individual indus tries, to put their own houses In order. larity. Only yesterday, the public life of this nation suffered an irreparable blow, one that was felt and will be felt more and more keenly by the business com We have had, I am afraid, in the last jfew months too much of the "Let George " do it" manner -of thinking, too much of, "Well, this Is something that Washing munity of the country, because Senator ton should worry about," or "Let us pass Morrow's mind was peculiarly fitted to the -buck for some super commission or our present trials. We need more of Just some great group of all-seeing minds." the sort of calm, incisive thinking which he has been able to give and his frequent Buainess improvement, like charity, be gins at home.' . visits to Washington in the last few. Now I am quite ready to grant that weeks have bebn of immeasurable help to larger planning Is valuable: it does help. the President and to many others who We have got fco have it. We must not for were favored with hisveiy wise counsels. I can well appreciate, and. I am sure you;- a mordent think of absolving our public servants, our great leaders or Industry in can, why many of the politicians down the mass, from their responsibilities as there didn't quite understand him. They well. But, unless and until we can be can't very well understand a man who sure that each individual industry and can sit in the Senate a whole year and not each plant Is doing its best to put its own talk. He was devoted to more serious house in order, we are going to have rt efforts. delay, a costly delay, in recovery. When It Will End . That introspection is unpleasant at ' times, We are gradually getting more ers, variations of color, which made for Just one thing, and that w r s an appalling accumulation of overstocking. . We have learned at. least one lesson out of this unhappy experience, and that is, the Imperative necessity of ruthless vigilance on the Inventory, strict main tenance of that even balance as between stock and production on the one hand and outlet and market on the other. Be cause, after all, profits In business have no necessary relation' to the volume of business, The purpose of business, as X am afraid I have said all too many times, isn't busy-ness--it isn't just being busy: it is keeping the cash register busy. That Is the Important thing. Unless you have that function full time, all the rest of the activity of the rumbling trucks and loading up of order books is so much lost motion. So that the maintenance of that equilibrium between production and dis tribution is the real essence of profitable Industry. It Isn't the volume necessarily get that building curve turning up, the quicker are we likely to see the general . upward trend In bu&tTess as a whole. Hence, the efforts which we are con centrating. on that industry and In par ticular on the side of finance. The Presi dent's recent efforts are focusing more and more in that field in the -arrangement of more sensible financing. Therein lies the key spot, one might almost eay, ot the rehabilitation of that widespread and vital field in our whole buainess organiza tion. Betterment of Trade Statistics You have been making another contri bution. Two years ago, When I had the pleasure of speaking to you In Washing ton, that was Just about ten days before the bottom fell out of -things*--I don't know whether there Is any necessary re lationship between what I say in the middle of October and what happened the last week in October--but at that time I ventured to suggest the necessity of an even more Intensive effort toward the bet terment of your trade statistics, and I am very happy to say that we have noticed a material improvement on the part of your industry In that regard, because fcn many respects the consumption of paint Is a most valuable indicator not simply as to the welfare of your own establishments but as a key to the rehabilitation of busi ness as a whole. It Is an excellent index He said one of the wisest things I think ' and more of it. It Is rather gratifying of production; it isn't the volume neces of the trend of things. That was one that has been'said on the depression and down there in the listening post, In the sarily of distribution; It !s the main reason why we were most anxious to have its general prospect for alleviation, Some Department of Commerce, to hear from tenance of that invaluable equilibrium you improve your statistical facilities, so one asked him, not long* ago, when It one industry after another, of the things end that can only be possible with con that we might know more accurately Just would end. and be said, "About two that they are doing individually, to make stant, tireless vigilance on this factor of what 1b going on. months before I hear of it.*' sure that all possible preventable wastes inventory. ' Of course, as I said before, I don t Well, now, that requires a little ex planation. What he had In mind was a very serious, sober truth which right now should be much more widely appreciated than it has been. He meant simply this, that because of the enormous complexity of American. Industry, it is impossible for anyone to know the prospect, the actual status of industry- as of this moment, this day or even this -week. In other words, are being eliminated, that definite measures are taken by companies and by Industries to put their houses in order. Work of the Paint Industry You .have just cause to be proud of the effort which your industry Is making in that connection, particularly through your trade association under Mr. Horgan's valuable direction there, and we are very Watching the Inventory . We have been making some analyses of that element in the retail field where, as you can wall appreciate the necessity for education is even more acute, perhaps, than in the larger, better organized ele ments of the.business picture. We have found In all too many cases, In analyzing the affairs of unhappy retailers, had they want to overstress the value of figures. They sre utterly useless unless they are studied and carefully applied In each In dividual case. Flguee a-on't lie, but llara can figure, and we mustn't assume that the mere collection of statistics solves the problem, not a bit of it. It Is just like piling up a lot of tobls ', they are useless unless they -are put to very good purpose. Only yesterday afternoon, .1 had.a-vecy OIL, PAINT AND DRUG REPORTER October 20, }931 Ml ;fgood illustration of that very fact. We jiinade a study some time ago, as I men , Itloned, of the retail grocery business In '{ Louisville. Due to the very splendid ^collaboration of the chamber of commerce ;j&nd other agencies in that city, we were- partment have been very happy to have a very modest part. Having in mind today the stress and. trial and trouble that is on all over the- world, public disorders, civil wars, and. floods, to say nothing of .currency col back and forth and up and down, so t&at. that was a.considerable territory. EigMyfive percent of hlB business was in thxee states and he was making good motley there, but the' remaining 16 percent was; spread out all over seventeen states, and. transmitting gas ozrd toll, acdb'rtElffS ito some technicians, even-other products 3n the very near futrure, More particularly 4fhe -amazing spread of the power network la creating new centers of Industry, One of the astonish -able to carry on a complete analysis of lapses, certainly this move toward a more- he was losing there a large portion of' ing things that came out of our census r-wh&t ailed that industry. The Important [fact is that the' results of that survey, orderly and varied distribution of sources^ of raw material was very solid, far the money that he was making la the other three states. We asked him what, of manufacturers (which hasn't yet indldentally been very dully reviewed because ivital though they have been for the t grocery Industry-- and Incidentally, let me ;just give you one specific example of how .^important those results were: In 1930, the .{bankruptcies of independent grocers in '(that city were 75 per cent below what they were In the prosperous year, 1929. sighted planning, . Of -course, your domestic supplies aren't, ayet'tl^afv'^auila^bhlaeveIn'maandye'gprreoavtteqlouna'n-'taitoy,1 thbuatt. S of t least one tanoriaSt need of t o u t industry willba loss indentSpo^She vSSs of in the world he meant by that kind of: performance. He wasnt in business, he* - - ihne PphtilhaenrthhIr'oXpyi; ]eIhfeLedidlyn't know it "that he had a suspicion that somotlilbip was wone there, hut his grandfather hadt of the incompleteness of the picture) bos been the migration from the city baste Into the country of industry along these great, new power lines. And with 41ipercent of the paint ln this country soldite Industries, as offr figures have revealed, &t is of supremo Importance to your Industry That is what I mean by the application foreign. than It has boon JUthmto.;, limit"3St^S to watch the trends of these aavr in 1 of statistics. The year 1930 wasn't the very best year we have had In the last decade or two by a long shot. But here Is the Interesting thing I found out over in Philadelphia yesterday afternoon-- that those statistics have been very use,- rul to other lines of Industry and trade as well, I found a far-sighted manu- ,, lecturer of a certain type of metal equip*-.. t/tnent of value in retail establishments;^ $;Iwho by careful study of those figures, Viffirectly and on his own evidence,' had se- if'-pc1 ured In one. recent month,..5.5.0,000-.o..f. I-Jnew business which he never would have,: /.had unless he had the foresight to tackle'1 ithose particular statistics and he la go- 'Ing right after it more and more. So ithat when an anatysls If made of the wel- v'fare of any one business at this partlcu- jlar time, let us not be too sure that its 'benefits are to be concentrated in one {single line of trade. We made a study of a wholesale j. {grocery business some time ago and put Jthe resultant facte into a rather etemenT tary geography, because the task there 1 :involved, the analysis of the distribution lobservation of the wholesaling of grocer-, ilee, and we discovered the fact which ir. 'many had suspected long before,.: that ? from the wholesale grocer's point of view/ ' jthe business map of the United States jdoesn't consist of 48 states at all; it con- vjslsts of about 183 states, and many of the. .,/--c::"{political states disappear from that. map 4$ (entirely. There is no state of Nevada *M0n that map, for example. The whole saling of groceries in the area that Is {known as Nevada on the political map, consists of about four great wholesaling J/,areas, the capitals of each-of which.lie if outside the area of 'what we Know-`as: [Nevada. j: That very simple truth enables the {Wholesale grocer today to plan his mer chandising far more intelligently, instead of going blind and attempting to dlst tribute In that particular commonwealth .{from the city, we will say, of Reno, r\ (which although It may be a- center of {certain -great Industries in this country, its not a major capital for the distribution wholesale groceries). i Wide Value of Analyses ! That particular analysis which we in corporated In a perfectly elementary geography book, has been of Invaluable use to the manufacturers and wholesale distributors of groceries, but I was told .Just the other day by a big lumber opera tor that It was of even greater use to him.- He said, "After all, the grocersmay know something about their grocery business, but a lumber man has a lot more sense than a grocery man and he knows how to use that kind of informa tion." And so It goes right down the line. A careful application of specific In I must not fall at this time particularly .-.--.vwas'-any worse off than his distinguished! to commend your organization also forvA'-anoestor.- That type of ancestor-worship- the fine example that you have set m-y<ra*\., :Wa0 All rlght ln the reign of Confucfff*. efforts to curb, unfair competition, .y.Tbe^-,.,but it has no: application in pteseirts-dfcyr work which you.have launched therein., ; ,,American business.- analysing various, types of practices, par- . . Genealogy has got no direct part In, tftw ticuJarly. commercial- bribery, is a -very^vfurtherance of American business Ititwi*- ; notable, contribution,. In such times'. aa-V^gts, .. . this, of course/ the' structure of- business ; There are times when genealogy eswrbe* . . ethics- Isivery,gravely strained and impaired; ; The-' desperation,, ror- business..;. brings-.otTi the imperative . necessity- or--.- very embarrassing, I heard of the- soclal dowager--probably you have heamToff her, too--who hired one of these gen^ib*- : rather...extreme expedients, and partlcu-:-'- gljjts to go out and. get material for- the. larly for. that reason is it of the'utmost-.;--family tree.- fihe paid him a thousand'. Importance that the standards of business*;:;; dollars,He came back after a week-an* . behavior.must be maintained. Once more^.-/wanted -55,000 to keep still .about wftai. you are making' a notable contribution. he had'found out. But the old lady w a s * which other; industries might well followy,-; very curious,- of course, and inquired! aw to thelr;proflt.^;.!v1-: ,,-.v,I'/.-:.-,v1-'';,' ; -y<-;;to just what this was that had been un>- ' J/' ' +' ^rthed and unfortunately there had been; . ' l Problems;.or . Distribution , . .. v>y. one of her distinguished predecessors whs* - .The outstanding-problem/it really doeaj: had wound up by being electrocuted1 aft, seem to me'/of the industry at this time,;.;.-Sing Sing for "good and sufficient reasons;. . is the improvement . of mechanisms eC.-v'-They pondereaon that.fact for a while as; : distribution.'r I hesitate - to. harp .on .that .-^to Just how they would handle this rather topic, -but- the1 more-.one . analyzes ouh.^- unpleasant detail In' the family record,, business difficulty at this, time,-the more: ;> and finally they decided to enter it as; one is convinced that if we could match '--.-.-, this distinguished individual occupied the* in the .fleld of distribution the great ad-'', ': ?,ha}r of applied electricity in a great pub- varies in' technique which`.is evident' ln,r,-v he Institution," . . the fleld'qf production, If we can have the .;-/: As I said before, genealogy is a rather 'engineer!^ of selling, of market analysis, . Tleky- thing tt> mix, too closely with httsi- comparable ttf those whom we have very r- ness. 'Fortunately, we In America have- fortunately,' and- have had -for years, .Iff-'1j. -fibt suffered the appalling dead hand of our laboratories'-and1 in our plant man* ..'--' nepotism of that .type, such as has been agement; I think -we would be in far `. labore^d under by -m---a--n---y----o*f --ou-r Euro-pean-- better plight than we are at the present industries. We have far less of that, but time. ' here and there It does begin, to creep Remember that the picture on that m and It Is a thing which must be score has only now become rather defi watched. American business can move nitely in - focus, ' ; Up. until this year we> -forward on Its own merits and on the didn't know precisely what the character merits of ita immediate operators and of our whole ' distribution problem ,was, . executives and directors and not on the for the simple' reason that we never had merits of their venerable predecessors. had until 1930, a census of that most vital element in our whole business or ganization. We have known for years all about production, clear back to the beginnings of the Republic, about for estry and manufactures am* mining. We have known for a similar number of generations,' all about consumption and the consumers--where they were, how many there were, even what color they were, and whether they were married or not--and what not, but when it came to that most important picture of all, the tying up of thlse two elements, how the results of production are transmitted to the consumer, we hadn't the faintest ac curate Idea, We made wild guesses--we guessed on the volume of retailing, for example,' and we .missed It only by about twelve .or fourteen billion dollars, . The total was presumed to be somewhere In the vicinity of forty billion. As a matter of fact, the figures revealed fifty-three billion dollars. A thirteen .billion dollar miss is a very considerable ;one, even for a country of this size, . ' . ' . New Types of Customers There la another very vital and Im portant reason for much, closer scrutiny of our distributive operations these days, and that is that we are confronted with an entirely new type of consumer. Fru gality is the watchword today, and the ladles---who Incidentally buy about SB per cent of the commodities sold at retailhave had a throwback not sJmply aa to their millinery to the good Mid-Victor ian era, but also as to their buying habits. The women of today are buying not as their mothers and sisters did, but as their grandmothers did. They are in quiring very pointedly as to the values and. merits of products, There Is no longer the slipshod, nonchalance of "Well we will take a try at this," or "Let us try that oqt I" The consumer is In com mand at this time,' and the quicker that American industry and American mer chandising appreciate that fact, the bet ter. It can no longer Indulge Itself In the old "take-it-or-teave-it" frame of mind. ' ' ' dustrial expansions, If somebody Were to ask you-4tb'take still another change ln our business map-- what the busiest airport In -the world was in a recent month (and therair lined' are having a profound Influence again on the map of American business) you would probably well possibly Le Bourget in Faria or Croyden !n London or Chi- . cago or Roosevelt Field. As a matter of fact, It was Tulsa, Oklahoma, and Kansas City and Dallas were very dose seconds. Those are new centers,-and they are going to mean on our business map, a decade hence, ' exactly what the de velopment of new railroads meant a gen eration ago when Chicago and Detroit and St. Louis were almost frontier posts out in'the middle of the desolate wastes and then came the railroad, On the outskirts of Detroit there is a little village called Novi. Every sales manager, It seems to me, ought to have that word, Novi, right over his desk. It was called so because it was the sixth station along the old turnpike. It was a very important, .thriving little /.place where horses were changed, and the hostlers, coachmen and -others developed a thriving business. Then came the sur veyors of the railroads, and -they 'had a long time deciding as to whether "Nov4 ' would be the great Junction =point -or 4b little village of equal size a 'Short dt*tanee away called Detroit. Detroit won out, and Novi sleep's under the dust 'Of these ages, and the traders who had been pinning their all on the business Of NcwB have gone where the woodbine twineth. That same thing is happening these days, and the more vigilantly we -are on the lookout as to the Novis and the perils of our putting too much of otrr business in decadent baskets of that type, the better is likely to be our planning for the future. Shrewd, intelligent appraisal of -condi tions of that sort are invaluable for the betterment of our merchandising where our appalling business losses ane solng on right now. More Slipshod Selling And there are certain factors that are of a, more enduring' character which otherwise Intelligent sales executives ore not observing as closely as they might. I was talking to a manufacturer of little, portable oil stoves not long ago. He had been a number of years In his line, and he remarked quite incidentally, on the question of their sales plans, that around about the first of May they got out oT business ' below the Mason and Dixon Line on the theory that people didn't need any heat, -portable or otherwise, flown there after that date because the sun supplied all that was necessary and then some. I asked him If he had been watching the isothermic lines. He looked formation of that type can render invalu able service in dollars and cents to every Industry which has the foresight to apply Information of that sort to its own pur * poses. - Remember, after all, that depreciations When you add. to that fifty-three-bil lion -of retailing, seventy-three billioh of wholesaling (it Is true, of course, the same commodities are Involved, but that is a meaeure 'of our total distribution problem) you have .the' astounding total a s your "save the surface" campaign pointed out so vividly and accurately a couple of years ago, unfortunately up to that,, time paint was being bought,- not' sold, and there la a profound difference In those two operations--paint being at me as if r were a bit unduly personal In my remarks. Then we got hold of . one of these great weather maps and looked at these isothermic lines, the daily lines where the temperature variations are Indicated. And there, lo and behold, are caused by booms, Felix Warburg never said a wiser word then when he observed, when asked what to do about of one hundred and twenty-three billion dollars, ' . \ If you Assume that only 10 percent of bought, not sold--and for that very rea eon in- these days when the consumer steps .up to the counter, she is ln very clear down Into July, were enormous cool-areas in certain parts of the heart of the South, those upland areas of the - depressions, "Sit on the bulge; keep down these hectic gyrations, these Inflationary, skyrocketing performances which come, unhappily, at fairly frequent intervale-. The more we do to restrain that type of loose and careless thinking and planning, the more likely are we to minimize the . that Is waste', only 10 percent of It Is preventable loss, and.that Is a low estl-.. - mate, you have there twelve or thirteen billion . dollars tossed nonchalantly out of the window every year. If you were. to translate that amount Into jobs, at^ '' let us say--ven the'very low figure of much of a "show me" frame of mind, and - genuine effort has got to be made to pro vide service, to provide Intelligent sales manship. The drive which your "save the sur face" campaign put on at that time for the Improvement of sales personnel was Piedmont and upper Georgia where there would have been an excellent market for little, portable heaters for two solid months after he got out of the field and made a present of It to his delighted competitors. That is again what I mean by slipshod selling, by a failure to watch disastrous drop .after every such that comes inevitably inflationary expansion." : '*6 a day, you would hire ten million men for a year, and what would happen to one of the notable contributions toward the betterment of one of the appaltlng essential elements. I heard just the other day of -a tag The maintenance of ttys equilibrium, 1 our unemployment problem if we had a wastes ln our distributive mechanism. The maker assidotisly paying his salesmen keeping down the bulge. Is, as 1 said'be- ., ' more orderly system of distribution? That report on that occasion, you may recall, every year to go down and cover- a num fore, primarily a job of calm, and sober : la why It seems to me it Is of supreme was rather disastrous. The ten categories ber of cities in different parte of the coun planning to maintain the equilibrium, to importance that we focus our attention on which' retail clerks were classified, try where the percentage of Illiteracy- ba sure that we aren't exceeding ia plant' expansion the reasonable needs and .de mands of the market, ' ': *. more on that problem, . Slipshod Selling showed that in eight of the ten, the show ing, as the qommlttee said and as I re member it at that time, was from poor was so high that the people, even If they did buy the tags, wouldn't know how to write on them. That, again, was another - f heard, the other day, of a paint manu facturer, let us say, a paint and varnish manufacturer, who very proudly boasted of the fact that this was a great day, a ilg anniversary day in their plant. They were producing that day their ten mil lionth barrel of, let us say, collapsible shellac or something of that sort, where upon his friend, listening, remarked, Weill You don't say I Ten million" Bat who Is going to buy that million V* The manufacturer said, "Well, that doesn't make any difference--It is our ton mil lionth, isn't It?" r_ That kind of thinking Is the cause of it much of our -distress and, unhappily, ; it still persists'in far too many, otherwise sensible circles. Fate of the Dinosaurs But "what is It, you may say? Just . what do you mean by wastes in distrlbu- ' tion? , For one thing, slipshod selling, ' carelessness, overselling poor markets and underselling good ones, There may have been some excuse for a failure to - know what the good ones and the bad ones were before 1930, but there la ab solutely no excuse today, with perfectly mountainous piles of accurate data on consumer operations all over the country -. as the result of this census to which I . have Just had reference, There is - no excuse for such things as . this, to give you one concrete example . of a wholesale paint dealer in Upper New York State, who was very proud of the coverage that he had in that area---so proud in fact that he was quite ready to let ue have his figures for the benefit of to terrible--`those, were their words. Hap pily, there has been a material Improve ment now, but there still is room for even more intensive effort so that when a dis criminating customer comes to the counter these days, she doesn't Just simply want a can of paint, she wants information as to what it will do and intelligent Informa tion, She hopes to meet a reasonably tidy clerk. Perhaps it won't be necessary for you to canvas Hollywood and take over unemployed sheiks and put them into your paint stores, but at the same time, she is no longer going to tolerate the old type of besmeared, non-committal, lackadais ical salesman. ' Markets Are Shifting Then, too. there le this other elemenf In the distributive picture for the' manu illustration of how not to sell American merchandise, and inexcusably so. Figures of that sort can be readily ob tained;7 and shrewd, intelligent use of them ' at once points the way toward better business all around. Down Jn Texas there is a county with about 7,000 people in it, Morley County, In which there are five retailers of hard* ware and paints, about enough to take care of the business. Those five retailers are regularly harassed and canvassed by 22 wholesalers. ' That is another way of not doing it. The business isn't there, and what Js the purpose in repeatedly sending salesmen down canvassing ana recanvassing an almost barren area where the possibilities . are almost null 'and void? , As 1 think I remarked to you some' two years ago, whenever a manufacturer witn more unenlightened competitors to show them just how it should be done, and he did have an appalling coverage up there, facturer and the wholesaler particularly, of .the amazingly swift changes In our distribution map. Markets are shifting Still another illustration, and then I. must spare you from further examples of this sort. A large whoesaler ln a that state of mind comes down to Wash in fact, too much so. He covered the and anyone who bases his market pro certain line In which you are not alto ington, we try to .take him, figuratively place so well that he covered profits along grams on data collected two years ago or gether disinterested- confessed, as we Breaking, gently by the hand and march him down to our natural history museum, where we have what Mr. Hoover calls our with, everything else. One small villager even two or three months ago, may suffer where ha got $400 worth of business a' serious loss without realizing it. Con year,- was canvassed by twenty-three sales stant changes are going on in our whole went through his affairs,- with a view toward helping him discover what hie troubles really were, that he never had famous dead zoo. It is notable for its day visits by the traveling salesman distributive mechanism. carefully tabulated the size of his orders great collection of dinosaurs--the finest every year, and you and I know what Let me give you one specific illustra over a long period of time. He knew collection in the world. Thy were the a determined salesman can do In hie ex tion. Far-sighted manufacturers in a where he got big ones, he knew where original "big boys" of biology. They had pense account when he seta hia mind to dozen lines are watching vigilantly the he got little ones; he didn't know what . this idea of mass production down pat, it for twenty-three days as against the trend of these new concrete roads, the proportion of his business came In small and that Is one reason why every one of profits on -$400 worth of business, plans that are being made Incidental to orders. He was horrified when St was them has been dead-, and completely dead, That is slipshod selling. The company unemployment for the construction of new pointed out to him that 47 percent of for several million years, because all of didn't realize it because they were mak roads, because they realize that the man his orders were for $10 or less, and he the mass was below their ears. There is ing money elsewhere, but was there any who gets there first where these roads never made a dollar on any one of those a great lesson in biology there for many a justification whatever for throwing it are going and establishes a reputation for orders. That was a large concern known manufacturer--I won't say necessarily In away in the other direction? Not a bit his products is going to have a material to many of you here in this room. There the palntv\ oil and varnish field, but per of Iti . advantage over the next one who waits is no excuse for that type .of operation. haps in many others. . You made another notable contribution I toward the general elevation of your ideas, I and that was the farsighted campaign How Profits Were Wasted Still another example of slipshod sell ing ! Out in the western part of the until the road is already covered with whizzing trucks and then finds that his competitors have gotten there before him and entrenched themselves. Those are things which, perhaps we can afford in years like "28. and '29, but ,we certainly cannot afford them in these days. There is no excuse for it, futher- {which you launched some years -ago. in . country, we were asked to review the af Our whole business map is undergoing mores because, as I have said, we have I connection with your raw material re- fairs of a great wholesale hardware job the most drastic changes as a result of a very clear picture of the distributive lqutrements, 'Specifically the tung oil proj ber, covering some twenty states, and all of these new vehicles for transporta set-up of this country as we have never ect, and which we In the Commerce Do-. they grow the states pretty big out there, tion, not simply roads but pipe lines had it before. OIL, PAINT AND. DRUG REPORTER October 20, 1931 19 Collaboration of Industry each instance In the {past, because of the The discussion at the flax conference The committee of scientific advisors, ^ We had splendid collaboration In the 'tabulation of this picture from Industry, i/from trade associations. Including notably ?, your own, and as a result we are in a position to tell you pretty exactly where your markets lie. We have, for Instance, as 1 have said, that picture, that 41 per oeat of your total output Is sold to in dustry, about 23 percent to wholesalers, and is percent to retailers, and the rest in various miscellaneous ways. "We have furthermore, concentrating on that 41 per- l.oent for the first time a clear picture of ; the industrial market of this nation, the inmost important market in the whole country, even more important than the volume of our retailing. We know for j. the first time that one-half of the fac- ftorles in this country, counting as a fac tory arbitrarily anything that has an out : put of $5,000 worth a year or- over, are concentrated in Just 53 of the 3,073 coun ties. And how many manufacturers and >. wholesalers are shooting birdshot all over .that 3,073 when they might juet as well picii up a rifle and shoot at the 53 and 'get results. . j. That doesn't mean that national selling Is futile, not -by any means. But it does mean that there should be a much more . common-sense hearing of the proposal of __>' national selling to product^ and watchful ^always, of course, of the possibilities of j a greater return by more assiduous con *: centration on specific markets. Definitely ; ;Ia your own field a quarter of all the ' raw material, fuel, power sold to Amerl- can industry goes into exactly eight eoun; ties In this country. That fact again is > worthy of very careful pondering on the 1 part of any manufacturer, or .wholesaler .who Is dependent upon the industrial mar* ket, We have, as I say, therefore, a > pretty clear picture as to what the prob' Jem is, where the markets are likely to be, In great detail, and I think rather violence of .that descent; entirely uncon brought out clearly that It is generally trolled, the whole mechanism of industry recognized that flax Is a Bound, economic was hopelessly disorganized. This time crop in the northwest, and that it should . the -descent curve moved down very, very gradually. It took 11s not two months as in the previous depression, to come from retain a permanent place in the agricul tural production. . the maximum, to the minimum--this time Agricultural Betterment Train it has taken us eighteen or nineteen Carl Borgeson, of the University of months .to make the full descant. What Minnesota, started out from Minneapolis has that meant? That -has meant that on March 1 for a four weeks' trip through this time we have had four-wheel brakes out the northwest agricultural flax-grow oqtpaIrJcssdteeuhnaouulsosrgseaTpresrotptsprohinihiuatfloeareuiterodcclgnclysiount,aezmd,hmiaensege.ntabahle-ias,fzntucl,iciahaasachstewinttoiiennintnidodtohenvtgeheennrtes--.arohfw.rosrlnuaaef'ltialdbgtshlheBilweohreaadrtunefgbt,voomaeaterlewceoresbiviyovrtthn,eteeam-ie,aniprlwnelnbnrgiebnoahed-eycttslattmoach,ehtvaetocrseunaehourstscno,sau.e. hbersdtgtweehohaImceaocibfttnonpofheewtvenwhattebesithiataneteetxrhoessysrt.v%'f,^11..bwitcwdod^nhooeeifeegfrToutvfosrtedheteoentuharenlitregosreyrmsrenpnhotaaaremttterM,aMgneaespfetatiaisiininornnonsesttmnitntnrndsecaee,aw,trosaisannwampopcnr.seeletoSdrmearevploaei,sifsefrtuneeaetret,rtnyrshTham&etehwebdDneooeleayntrSauuasl,ylttkstt-,rt.ifpehoavooareteiLlnevPanlooeopdaofoawruasgifnntrimfirotselntdihatscpedhgexputseRweloctl,wIsdhiuunfoneliriartceeRtahanhhxdas,lt. fore, and whereas in previous depressions, that final upward curve spread out gradu ally over several years. In most instances, this time, I think we have reason to ex pect that it will take a far briefer, period for us to arrive on the level of substan tial normalcy,' because we are in better shape than we have been at any time in such an appalling crisis. ' As I have said so many times before, what I have been trying to do here is just.to suggest a few rambling thoughts' for your own planning, Just to give you . a little something to -think about, much like that historic rooster that Jall of you . have heard of.' You remember, out In Los Angeles, where they, have these ostrich farms, he wandered out and came across one of them, There he . saw- his first ostrich egg. He never had seen-one be fore, He was dumbfounded. He didn't know they came that big, but he satis fied himself from his professional experi consist of representatives from- the'four important .flax-growing states--and in clude; -1 Prof. H, L. Bolley, North Dakota Agricul tural College. . - Prof. Andrew Boss, Minnesota Agricultural College, - *1 Dean C. Larson, South Dakota Agricultural College. Prof. H. L. Wilson, Montana Agricultural College. Dr. A, C. Dillman, U, S. Department of Agriculture In addition there will be four or five other flax representatives from each state. The institute has no salaried officers, secretarial work being cared for by the Greater North Dakota Association at Fargo. The official organization of the Institute which includes crusher representatives of the Archer Daniels Midland Co. (T. L. Daniels) ; Spencer Kellogg & Sons Co, (J. H, Matthews); Minnesota Linseed Oil Co. (P, C. Smith) ; National Lead Co. (J. A. Johansen), ties in the interest of a group of those most interested and most affected by flax production In the north west. Three of these representatives (Smith, Daniels and Johansen) are flax development committee `members. Mr. Smith has had a great deal of flax devel opment committee experience, and Mr, Johansen, because of his years of asso ciation with Mr, Nolan, knows the work very well so that we are insured of a continuation of the desirable functions and policies of the flax development com mittee. The Institute also includes all of the agriculturists with whom the flax devel opment committee has been cooperating for ma.ny- years. We are satisfied that the good that- hag been .accomplished in the past by the flax development com mittee will not be lost through Its dis continuance. y helpfully organized, so that you can start ) operating as soon as you have made your ence, that it really was an egg. Then he pulled his coat oft and rolled it..backhand ' Purpose of the Institute application of these figures to your own Bhoved It through the fencev'ofvms' own - The chief purpose of the institute - Is particular position, farmyard. Then he summoned hie hfctr.em, the concentration of the development of ;;;T. Outlook for Business and he said, "I don't want to cast ifriy aspersions on your previous efforts; I flax work at a single Important point which will undoubtedly result in greater ^ So far as the outlook of the business just want to give you something to- think efficiency and most economical operations: f`. picture as a whole la concerned--and X ivtnu&tn't say but a- few words there so as 4 to spare you from further misery--'there iiia very little that I would dare venture to prognostication, having seen the ^appalling casualties among the prognostl,-cators and analysts and the rest of them Timing recent months; But I would ven- about." . " Mr. Trigg; President TTaysex has ' asked me to say just a word of appre ciation to Dr, Klein for coming here and for the splendid talk he has given us. I am .sure every one of us wants to have another opportunity of evi A very comprehensive program has been set up by the flax institute and as already functioning It will not only carry 'on the work that has been done in the past hut will enlarge on certain useful phases of it in a manner that will be constructive and helpful to the farmers growing flax in the united States.'-Its activities will ;,tnre to suggest two or three things. In .the first place, to beware of that bulge to f which I have already referred, .not to con centrate too much thinking on what has happened but rather on whatde happening dencing how we feel about that by giving him a rising vote of thanks, (The audience arose and applauded.) L. P. Nemzek Chairman, Flax Development include breeding work through hybridiza tion, selection, and variety-testing to de velop flaxseed of greater-^-resistance to diseases and varieties producing a greater quantity and better quality of oil. vand what should happen In the near fu$ture. We still.diave far too rmjfchln the .ItKy of fond; backward glances-at the Flax Development >,Matterhorn8 of 1929. We don't want to .do any more mountain climbing, at least /fora little while until we can get our sec Ond wind, so to speak, ; j" As Walter Gifford very aptly expressed . President Frayser; The next feature on our program is "Flax Development." This is of vital importance to our in dustry, and we `should he glad to have :1t, ther .are altogether too many woofus 3VTr. Nemzek handle this subject. . birds in this country. It is an extra ordinary creature that 'files backwards to keep the wind out of its eyes, It is In terested only in seeing where it has been . (L. P. Nemzek, chairman of the flax development committee, read from the report prepared , by the committee a --It doesn't care where it Is going. There number of- sections which he consid- are too many, of those rather weird 200- ered of special interest. The full re^. logical specimens operating in the dis guise of businessmen, and the fewer we Rave of them, the better, right now, Furthermore, let us remember that the ium In the business picture, when it does port of the committee follows;) ' The program contained In the commit tee's annual report of last year was oar- ried out completely. . come, when we come to that upward turn, ' Annual Flax. Conference tieed not be an amazingly spectacular elevator. In fact, we would rather it weren't that sort, because elevators and.' skyrockets have an uncomfortable habit, at times, of coming down, ;and. we would.; rather not have it of that variety if we can avoid it. Rather let us have a more gradual, steady turn which does not ,... quire a drastic, hectic alteration in the.' whole turn of the business cycle. In other;' words, it may be just a, variation. Sta-' tfaticians used to tell us tnat it took from twelve to fifteen percent of an improve ment before there was any appreciable, The annual flax coherence, which has been one of ihq features of .the flax de velopment committee's work for many years, was held in `Minneapolis on March 9, A very interesting meeting was held, attended by fifty representing agricul tural officials from the important flax'growing states, -representatives of large implement > manufacturers, bankers, iln`seed- crushers and agronomists and ex tension service men from the railroads operating in the flax-growing area. Rep resentatives of the Greater North Dakota enduring shift in the business picture. Association, and the Northwest Crop Im More recently, however, they have, dig-- covered that a two percent tufrn/canfrequently, In fact It has often been exactly the right drift, just a small variation. It la very much like the eggs that you have at breakfast--there is only a .small differ-' ence between a fresh egg and.an approxlaetely fresh egg, and that difference can . provement Association w$r present* Dr. .John ^Lee -Coulter of the tariff commla- aion and Prof. A, C. Dillman of the U. S. Department of Agriculture attended the meeting. Dr. Coulter made an address on the subject'of-oils of different kinds and- their. possible relation to flaxseed and linseed oil. . . ... < be very vital, .And so it is in business. Just a small difference In shade between red ink and black ink, just a few molecules and if you keep them in the black long enough you are on the way to prosperity. . `.-i A Dime a Day 4' 1931 Acreage Following a discussion of the technical and scientific devlopments at the experi mental stations, the matter of what recom mendations to make to the farmer re garding the planting of flax came in for serious consideration. For the first time l President Gadsen. of the Philadelphia. since Its organization, the committee aid Besides sponsoring scientific investiga bed, sowing wilt-resistant varieties like buda, bison and redwing, which are high yielding and high in oil content. Early seeding was stressed. It was considered highly desirable to participate In this train to further, the program of recom mending better planting rather than an increased acreage. tions.Ebb. developnient-bf-tHe flax industry, and the carrying on bf experiments in plant pathology and plant breeding, the institute will foster scientific research into possible, uses of flax and flax by-products, and will provide contact for tho United States flax growers with state Institu tions and federal - bureaus, commissions and departments. The farmer member 1931 Production ship of some of the institute's committees . Crop . calculations made early in the year were again upset because of adverse growing conditions over large sections of the flax-growing area. A planting of should prove helpful In maintaining the scope of work with consuming and pro ducing groups in the interest of better domestic flax crops,' -` ` 3,132,000 acres which, under normal con ditions, would have yielded in excess of 20,000,090 bushels, was reduced to a final crop which, when all reports are in, may not exceed 11,009,900 bushels. (The Sep tember 1 report of the U. S. Department of .Agriculture estimates 11,809,000 bush- elfl.) Severe drought and prolonged hot weather caused poor filling of seed and Linseed Oil Statistics The issue quarterly by-the cojnmittee of linseed oil statistics which hav^.been found. very interesting for comparative purposes by many linseed consumers, will be continued by the flax Institute and will appear in the trade journals as hereto fore. : forced ripening. The yield per acre was the lowest on record. In some sections like nearly all of Montana and the west ern portion of North Dakota, due to se vere drought, the crop was an entire failure--^sections of South Dakota and portions of North Dakota returned less than four bushels per acre, The Red River Valley showed a somewhat better condition, but even Minnesota, which generally produces a good crop, showed a yield much below average. On top of severe drought conditions, the grasshopper and army worm', pests completely de Argentine Survey ' For many years the average yield off flaxseed per acre In the Argentine has; been nearly 50 percent greater than the; vield In the United States. Last year' the North Dakota Agricultural College^ agreed to extend a year's leave of absence to Professor Bolley to enable him to make-! a survey .of flax: .growing In the Argen-f tine. The expense., of the survey was met: by a special fund; made up of contribu-: tlons from the linseed crushers and the; > flax development committee, ; stroyed many acres. However, In view ' A thorough fitudjHwas made of. the soil: of continued business depression with its and climatic conditfohs and Professor, effect on all grain prices resulting In the Bolley brought back 450 samples for fleld; lowest price on record for flaxseed in tests, plant breeding and laboratory ex-.; this country, together with the. unsatls-.. . aminatlons, to determine whether a more, factory growing conditions which .pre-; satisfactory strain than la now available. . vailed, it was just as well that the plant In the United States can be developed..1 ing was not greaterv ^ f There Is a possibility of breeding taller- growing, heavier-boiled types which will, '- Flax Institute of the United States ... produce more bushels, per acre. A report. At the conclusion of the annual flax seed conference there was organized the on- this project to dstte is'made separately,; entitled "The Argentine Flax Survey." . Flax Institute of the United States, as forecast In the flax development commit Finances for Flax Work Chamber of Commerce calculated some not consider it advisable to encourage an tee's annual report last year. Dr. H. L. In line `with the committee's recom-i months ago that if only 15 cents were increased flax acreage. These views were TValater, dean of the school of agricul mendaiion at the 1939 meeting in Toronto,' ; apent each day by each wage-earner in , supported by many attending the meet tils country, we would roli up, in one ` ing. The big decrease in the domestic year, two billion two hundred million dol consumption of linseed oil In 1930 with lars of new business. That in terms of indications at that time pointing to a still Jobs, would mean one million occupied further decrease in consumption in 1931 ture of the North Dakota Agriculural College, who originally suggested the idea of a flax institute, was elected president. The Institute headquarters are at the North- Dakota Agricultural College. The solicitation of funds for flax work from* individual members was discontinued. The' work under way was completed with the; balance of funds carried over from last', year. An association contribution of' .men at $6.25 a day. In other words, showed that a large crop would not be officials of the organizatibn Include repre $1,000 to the flax institute was made rep something like a dime a day will keep the required. With the farm board urging . sentatives from the colleges of the four resenting the industry's continued inter depression away, a small turn of that tort will afford exactly the right trend. Just when it will come, as I say, I am, the replacement of wheat acreage with other crops there was a possibility of an excessive flax acreage being planted. Important flax-growing states; represen tatives from the U. S. Department of . Agriculture and from different organiza- est .in the promotion of flax development.) A final contribution of $2,000 was made; by the committee to the agricultural coir; not in a position to-prophesy, for obvious reasons. There are those who are firmly convinced that the turn will come soon because the width of this valley is now getting monotonously Insistent, but that It will come there can be no doubt what , ever, In view particularly of the assets that we already have accumulated in thts . country. ' Remember that we have come through this depression, in better shape than through any predecessor of equal magni tude. Remember specifically that for the first time we have had an enormous in crease in our reserve assets, in our sav : . The final conclusion was to point out to the farmer the value of proper seed selection, seed bed preparation and tlmaly planting. -The greater per acre yield from such a procedure would net the farmer a much better return than he would be likely to obtain by merely in creasing his acreage and getting only an average or less than average yield. The subject was covered' In "Supplement to Flax Facts," which contained Information on the flax situation in the flax-growing states. This bulletin was widely dis tributed among the farmers. tlons who have previously been interested In flax development; The linseed oil crushers who have been members of flax development committees for many years, are officials of the flax institute. . , - The officer* Include; . F. C. Smith (Minnesota Linseed Oil Co,, Minneapolis. Mlsa., first vice president. T, L. Daniels (Archer Daniels Midland Co.. Minneapolis, Minn,}, second vice president. J. 3. Milloy (Greater North Dakota Assn,, Fargo, N. D.)p secretary. ,, P, W. Clemens (President, Northern & Da kota Trust Co., Fargo, N. D.), treasurer. Directors elected at the meeting ate:' leges. j .Since Ita organization-the flax Institute, has successfully obtained funds to con-, tinue flax development work and the In-, dlcations are favorable for state and fed eral appropriations direct *0 the colleges' to carry on flax development on at least as large a scale as heretofore. This ar rangement means a reduction In the con-1 tributlons of our members of about' $15,000 per year without a break in the- experimental work, besides placing the financial support of flax development work largely on the state legislatures and the U. S. Department of Agriculture, ings. They have increased In the last fif Considerable stress was placed on the George V. Horgan, Genera) Manager, Na where it properly belongs. teen years from about eight and one-half billion to twenty-nine billion dollars. That Is an increase of well over 220 percent. That has never been the case in any of our previous periods of equal proportions. With that reserve in hand, we are ready to come forward, the consumer la in a position to act just as soon as the first favorable trend takes place. * If you will recall the general trend of the last four downward curves in these major depressions, those of '93, '07 and aim of the flax development committee right' from its start, more than tweney years ago, to increase the production in the United States so that about SO percent of our country's requirements would be taken care of, having in mind that a crop so large that' some part of it will have to be exported, would force prices down to world levels, thereby nullifying the effect of the tariff, and seriously de creasing the farmer's interest in the year-in and year-out production of flax tional Paint, OH and Varnish A&en., American Paint and Varnish Mfrs. Assn,, Washington, History of the Flax Development D. C. Committee J. A, Johansen, National Load Co,, New York City, Dean W. C. Coffey, University of Minnesota, St. Paul, Minn, ' J. H. Matthews, Spencer Kellogg it Sons Co., Buffalo, N. Y. It seemed fitting 'because of the time and money expended over so many years on flax development, now that the work has been merged with the flax institute to prepare a brief history of that import . C. C. Webber, President, Deere Webber Co,, ant association activity. Minneapolis. < .. ' All annual committee reports dating Dan A, Wallace, at, Paul, Mltin, back to the Inauguration of the work were W, C. Allen, Aberdeen, S. D, - carefully reviewed and a history that we '21 all came down very abruptly. In seed, '. J. W, Schnitzler, Frold, Mont, believe will he found moat interesting to 20 October 20t 1931 OIL, PAINT AND DRUG .REPORTER. read and of considerable value for future reference, accompanies this report. The first part of the history covers the start of flax development, the conditions leading1 up to It, the purpose of the work and what it was expected to accomplish. There le then given a brief reference to the outstanding points in each year's re port. It concludes with data showing what was accomplished up to the merg ing of the work of flax development in the newly formed Flax Institute of the United States. We suggest a thoughtful reading of the history by every member of our associa tions. . Recommendations Tour, committee recommends the official discontinuance of the flax development committee and Its replacement by a flax committee to represent our associations in contacting the Flax Institute of the United StateB. The change In title is desirable in order to avoid confusion with the past efforts of the flax development committee and to avoid Interference with the future func tioning of the flax institute. * We recommend the appointment of Mr, F. C. Smith who has been active on flax development committees for years, as chairman of the suggested flax committee. Mr. Smith is thoroughly familiar and heartily in accord with the past alms and policies of the flax development commit tee. His company represents both linseed crusher and linseed consumer. What . makes his selection a particularly happy one is. his location In Minneapolis, right in the heart of the flax-producing area. He Is therefore at close range with the colleges and Individuals on whom the fu ture of flax development depends. We recommend the continuation in definitely of an annual contribution of $1,000 by our associations to the Flax In stitute of the United States. - We recommend the sending of an of ficial letter of appreciation to the agri cultural colleges of North Dakota, South Dakota, Minnesota and Montana for their splendid cooperation for so many years, thanking the men under their supervision and In their -organizations who have contributed so much of their time and effort toward flax development. The substantial and very satisfactory progress that has been made in the development of the flax crop is due in a large measure to their well-planned efforts. This mes sage should express the hope that their close personal contact with the work will continue for many years to come, so that the economic value of flax seed as a part of this country's agricultural crop may be better demonstrated. In conclusion your -committee, collec tively and individually, takes this oppor tunity to express appreciation for the whole-hearted . cooperation bo generously extended. The splendid support given to flax development for so many years served -as an inspiration .to your represen tatives and made comparatively easy an assignment that might otherwise have `Proved- difficult and not the pleasure and privilege which:it really was. (The Argentine .flax survey referred vey would not Interfere' with the con to In the above report is as follows):-- tinuation of the flax work in North Da kota, Arrangements could be made to Argentine Flax Survey carry on the work projected in. a man ner so that flax development in North The United States is still producing the Dakota would not suffer, amount of flaxseed that it 1b because of Nature of the Survey- the interest that the linseed oil crushers and consumers took in the continuation It was planned to make careful obser of the crop as far back as 1910, Actually the good work that has been done by vations upon all possible agricultural conditions and methods of cropping, to the agricultural colleges of Nort Dakota, South Dakota, Minnesota and Montana has been responsible for the continuation of this crop, the peculiarities of which gether with the results obtained under the varying conditions for comparison with cropping conditions here and to de' termlne what might be done to better are well recognized by those interested In flaxseed. Outstanding In the good work that hae been done le the North Dakota Agricul our yield, and quality production with our own varieties under our conditions. Special attention waa to bo given to observation' upon disease relations as tural College's workyon types and vari eties to produce disease-resistant seed. affected by climate, soil and variability of these factors, and finally, special ef The North Dakota College's work has forts were to be made to select samples been reflected in flax production of the other northwestern states. of lots of seed under a very wide range of different types of soil and climatic The linseed crushing and consuming industries not only recognize this fact, but credit Professor H, L. Bolley of the North Dakota Agricultural College with the retention of flax as a domestlo crop. factors. '' ' At a meeting of the flax development committee In Minneapolis In February, 1930, with a speolal committee of the crushers, plans for financing the Argen They still recall with Interest and pride his trip of many years ago to Russia, where he made a searching flaxseed study and obtained information that undoubt edly assisted him a great deal In his work on the development of dtsease- reslstant flaxseed. For years it has been a well-known fact that the Argentine flax yield - per tine survey were decided upon and Pro fessor Bolley sailed for South America ln- June, 1930. Some weeks were spent In the sub-tropical regions of Brazil sur rounding the cities of Rio de Janeiro, Sao Paulo and Santos, giving a fair concep tion of the great possibilities of Brazil ian sub-tropical agriculture associated with the great cattle resources and enor acre from year to year is 33% to BO per cent greater than the average yield in the United States. Most of thd Argentine seed, for size and oil content, possesses advantages over the major portion of the domestic crop. For some years there had been consideration of the advisability of making a study of Argentine conditions mous expanses of open territory which might come under cultivation. There, only comparatively limited areas have been touched by Intensive agriculture in any form. Professor Bolley arrived at Buenos Aires, Argentine, on July 29--midwinter for those great agricultural provinces. Ab to see if there was anything .that might be learned toward, improving flaxseed growing In this country, either by the In troduction of varieties .which - would pro duce larger yields, .greater oil content, or more dis.eaae-resl&tant Btralns. . the zones In whloh the crop is chiefly grown border on the ocean or the groat rivers Parana and Uruguay, the climate Is so tempered that essentially no frost occurs within the so-called corn, alfalfa and flax areas. The flax crop as a whole la grown under temperature conditions The discussion reached.a point where which are maintained throughout the the committee -was willing to raise funds growing season, warmer than those which to pay the 'expenses of such a .survey, prevail south of a line through St. Louis. which was; likely -to take .up about a As a consequence each of the 'major year's time, an;d in September, 1929,-the crops--corn, wheat and flax are planted officials at the North Dakota .Agricul over longer periods of time and harvested tural College were visited to' dlscuas wlth over much longer periods. In the regions them- the possibility of the North Dakota farthest north approximating within College assigning Professor Bolley-, to take charge of a study In the Argentine. This thirty degrees of the equator, planting begins as early as the flrst week of May would mean the college paying Professor and in other provinces farther south, Bolley's salary and our Industry assum continues until approximately the first of ing full responsibilities for all expenses September. : . Involved in planning the trip, the trip It self to the Argentine, collecting, shipping The flrst two weeks of August were and distributing the seed, etc. The pos sible advantages of such a study to the ' North Dakota farmer appeared to be used in arranging contacts and making preparatory for `.the ,study of-the crop ping conditions out in the provinces. sufficient to Justify the request that the college give favorable consideration to assigning Professor Bolley to this work. Professor Bolley found the business men and large estate owners open-minded and kindly In their efforts to render service to aid him in his travels over the farm The North Dakota Agricultural College ing districts. agreed to give Professor Bolley a year's The preparation of the land and the leave of absence with full pay to Conduct sowing of the seed is materially different the Argentine survey. Discussion with from that practiced in the United States. the college officials brought out that Pro As most of the flax- Is grown on large fessor Bolley handling- the Argentine sur- estates, the work Is largely done with North American types of machinery, in-, volvlng gang plows, disc plows, cater* pillar tractors, and similar power machine e'ry from Germany and England. * . Careful observations, notes and photo* graphic records were made upon char* acterlstic features of agriculture and com mercial interest at the various ports visited, with a view of better under standing the South American alms and viewpofntB of agriculture and commercial development. Co-operation of Officials Through the -officials of the ministry of agriculture and representative grain deal ers, the agents of which resided -in clow contact with the farmers. It was possible to go effectively and properly recom mended to any cropping zone which greatly facilitated the bringing about of farm contacts at local harvesting, threah*- Ing and grain storing points. Such tacts made It possible to observe con the methods of work and to procure samples at flrst hand which could have been other wise obtained. If at all, only after great cost of time and many difficulties, Professor Bolley visited southwest Unr guay, which also produces a large amount of flax. At Estanaula near Coionfa there Is a very splendidly organized experiment station officered by one of the most effi cient agricultural staffs of scientific work ers in South America. This station hag been developed by Dr. Alberta Boergcr, perhaps the most noted of agricultural Investigators In the southern hemisphere. Through his own efforts and under hl3 Immediate supervision, many valuable strains and varieties of flax have been bred, developed, and distributed to the farmers of Argentine and Uruguay. Dr. Boerger has had plots of land given over to the development cf disease-resistant varieties, and quite particularly to the effort of Increasing such varieties for di rect distribution to farmers. Besides making numerous photographic records and extended notes, Professor Bol ley was able to select approximately 45-0 samples of flaxseed. These were selected so as to fittingly give a complete picture of linseed production in Argentine. MoBt of. them were taken directly from spe cific farms or regions visited, and repre sent practically all types of soils and climatic conditions to be found In Argen-- tine, ,. Professor Bolley reports the very rapid increase in acreages of all of the small grains, but particularly In The acre age In- this crop, less than three million -acres In the nineties, jumped to approxi mately bIx million acres In the crop year of 1923-24, and has gradually increased eaoh year since then until during the year 193(Ml there was an acreage of approxl? mately 7,100,090 acres. This acreage Is located chiefly In four great maritime, provinces, on land of the finest quality. Under normal climatic conditions, these acres cannot be excelled anywhere in th world for flaxseed production. It is Pro fessor Bolley's belief, from observation of new lands or pasture lands available In these provinces! that it is quite possible for them to readily double-the acreage if it should pay them to do so. They could do this without going Into other provinces dit as sta -] At .. lai th< Tfc >to vF-ntf ar v of ,; ert V. su< :-.PA dur Ion %l- hcaaii b: wh wa ma As an na' SOI fla. fit be sel no: str fla suest of Da . mi wh a c sai in fre thi Th ate ma tht by alo me ARCHER DANIELS MIDLAND CO. MANUFACTURERS OF STRICTLY PURE Linseed Oil Soy Bean Oil : DISTRIBUTORS OF China Wood Oil Fish Oils Core Oils Our technical department is at your service to help solve your oil and manufacturing problems. Archer Daniels Midland Co. MINNEAPOLIS, MINNESOTA ' Mills at: Minneapolis, Chicago, St. Paul,-Toledo, Buffalo, New York Milwaukee, Portland, Oregon, Fredonla, Kanut . SUNDCD SPIRITS ' THE OUTSTANDING PETROLEUM THINNER ' ; ` With the . trend toward Synthetic Resins, Sunoco Spirits make mod ern finishes better, .. Has superior solvency. Easy, quick volatility. Pleasing odor. .. . High flash point. Is safe against darkening. Is equally adopted for thinning either paint or varnish. SUN OIL COMPANY --.v '.'-.-Phiiladelphta Branches and Warehouses in 100 Cities Sto Pk ' Im] Lee Cot !; sto PK Imj Lei ' Cor Sto Prc Im. Lei Cm Sta Frt Im; Lei Cm Tw U. }- y, incater-1, ichln-,. rtioto- '/ char* com ports 5 mder-. s and .reial iry of dealClOS sslble scorn* which . of -j iresh- conj the tnplea a >ther- ' great $ Una- TM nount there , Iment \ ; work- i has " >rger,`) Iturat >heref v r Ws uable been 1 > the > Dr. over stant y the : .r di-;` -4aphtc i Bol r 450 ected cture^ Most::: bps epre- , and rgen- v: .and territories which have climatic con selecting promising Individual' plants, to ditions and soil conditions Quite as good be followed later by further growth tests aa those In any part of our northwestern and selection, and increase of the prom states and Canada. ising ones for distribution and trial by Flaxseed as at present produced in actual growers. Argentine is grown upon comparatively large farming, areas which are open to . Planting of Sample Seeds the use of the finest types of machinery. All samples were carefully listed by They have sufficient skilled regular labor number. Notes include ail available in fo operate the machinery In a splendid formation relative to exact location of manner. Because of these large farming farm or point of local Argentine growth, areas, the flax is grown under conditions supposed Variety, type, etc, A hand- of highly Intelligent management, and selected sample from eg,ch was planted. In crop rotations are entirely possible upon most cases, the plantings were upon two such great areas of alfalfa, corn, cattle .pastures, etc. types of soil, one In which it is known that the roots will be attacked by known > Lack of Shipping Handicaps northwestern . types of root-destroying parasite, and the other on soil known to .'The main regions of present flax pro be not so infected. This method of plant duction which in Professor Boliey's opln-. ing whereby each planting contains an Ion can be doubled', lie within very short exact number of seede, will permit con haul distances from deep waterways and tinuation of experiments along the lines can be leaded after the short hauls previously worked to ascertain whether whether by trucks or railroad, or farm one lot may be more resistant than others wagons direct into ocean-going ships. to disease faofcors, climatic and soil con .Thus they do not have the great handi ditions with which it must come' into cap to whloh our northwestern farmers contact here. tre subjected--long distance railway The larger samples were divided so as hauls. to furnish to the chemists of the experi There Is an abundance of cheap labor ment station sufficient seed to make a aside from the regular skilled or per quantity and quality test of the oil con manent employees. Their present system tent. This should give some line on of handling in warerooms and harvesting whether climatic and soil influences there and storing entirely is burlap bags is have caused samples of the same type to extremely ectent. There are in course of vary. construction several large terminal ele Quite a number of the Argentine sam vators, and, under normal conditions, it ples show promise' of future development, will be possible for the managers of the which should prove of considerable value. Urge farms to place this crop and other Nearly all of the Argentine samples are small grain crops under economically effi of the large boll type. Some of these va cient bulk harvesting, storage and mar- . rieties if cross-bred with varieties that feting methods. . have a tall stand, should result In strains In the Argentine provinces there are many and. varying conditions of cropping. As in the United States, many soil types that will increase the yield per acre. This is one of the objects that it Is hoped the Argentine Survey will accomplish. and climatic variations exist. There are, In briefly summarizing Professor Bol- naturally, possibilities, therefore, that ley's observations it should be remem some of the varieties, types or strains of bered that the Argentine farmer has from flax .grown there may prove particularly three to four months In which to plant fitted to some of our conditions. It would his crop--`the seasons are much longer be very valuable to us if a large seeded than in our northwest--in fact, the bulk selection could be obtained which would of the flax area is in a region which for nonually .produce a higher growth of weather conditions is! more like our ex straw than the large seeded varieties of treme south, yet soil conditions are more flax are ordinarily known to do. Large or less comparable with our Red River seed In Itself would-be advantageous to Valley, thereby giving the Argentine a- us as It would permit an easier method decided advantage over our northwest. cf-cleaning out the weed seeds before we It is a fitting commentary upon Argen undertake to plant the seed. tine agricultural methods that flax is Professor Bolley returned to the North chiefly planted upon the most fertile soils Dakota station this spring in time to available, and in close association ' with make plantings of all of the samples, Argentine's major rich land crops--corn, which are being tested for disease under alfalfa, and cattle. Besides working un a quarantined system exercised over these der conditions of longer possible planting sample plots to prevent possible spread and' growth seasons, they usually have ing of disease later when flax, produced a -higher rainfall. In the exportation of from these, samples, will be distributed linseed and-the-products from associated throughout the state and northwest crops, they are greatly aided by their These samples are being used as parent short land or railway hauls to deep water stock, from which breeding tests will be ports, and by exceptionally cheap and made. effective handling facilities. - The method of procedure to determine It, therefore; behooves-our growers and the future desirability of seed for trial those undertaking to advise them,- to look ly. farmers will of necessity be along the well- to the use of effective methods and Blow but certain way, based upon experi varieties, and to the selection of suitable mental methods of planting and efforts at lands upon which to plant the crop. The chances of our farmers in competition rest chiefly upon the production of more bushels per acre on less acres than' are now used. Yet the Heeding must be made upon a large enough scale to admit of the efficient use of machinery. The North Dakota Agricultural College under the supervision of Professor Bolley will follow through the testing of the Argentine samples as a part of its regu lar work on flaxseed. Reports on the results of the field and laboratory tests of the Argentine samples In comparison with the best domestic types will be made from time to time by the College. Work of Prof. Bolley The work of Prof, H, L. Bolley, during forty years of service at the North Da kota Agricultural College, Is one of the most noteworthy contributions to Ameri can agriculture that has been made by any one man during its entire history. Professor Bolley's first contribution to agriculture was the working out of a practical method for using formaldehyde to control wheat smut, after doing earlier work with the old method of copper sul phate ptokle to control smut. He took up the German discovery that formaldehyde was a powerful disinfectant, and put it to practical use to the tremendous benefit of the farmers of North Dakota and the whole wheat-growing world, His next contribution, and one for which he was wholly responsible, was his development of a method for control of potato scab by the use of corrosive subli mate. ' The work which brought him his widest international fame was his discovery, description and Identification of the or ganism which causes flax wilt, , Processor Bolley was the first man In the United States to direct attention to the necessity for the eradication of bar berry for control of stem rust, and he fathered the law in North Dakota that compels destruction of barberry bushes wherever found. It was the law in this state, and Pro fessor Bolley's activity In urging barberry eradication which brought the matter to the attention of the u. S. Department of Agriculture so forcibly that national laws for barberry eradication followed. Twenty years ago, Professor Bolley initiated one of the first and best pure seed laws ever put upon the statute books of any state, and during the greater part of that period, he was state seed commis sioner and worked for the enforcement of these taws. History of Joint Flax Development Committee The foitowlng history of the Joint flax development committee of the National Paint, Oil and Varnish As sociation, Inc.,' and the American Paint and Varnish Manufacturers Associa tion, Inc., between 1910 and 1931 was written by L. P, Nemzek, chairman of the fiox development committee in' 1931 and dedicated to Charles T) Nolan 'Who contributed more time, Effort and vision to matters pertaining to flax de velopment than any other individual, and much of the progress that has been made is attributable to his work." Charles T. Nolan died May 11. 1929. He was (born in Tiffin, Ohio, on March 5,-1871. "Lovable, trustworthy, efftcent" are three words that naturally come into one's mind when thinking of Charlie Nolan, as he was known to his many friends. He built up an information bureau that kept him at all times fully informed of every fact that would influence his judg ment in the purchase of sale or flaxseed and linseed oil, for the National Lead Company, in whose employ he worked for thirty years. His knowledge Included not only the basic facts regarding the acreage planted, soil conditions, weather and harvesting of flaxseed, but similar statistical informa tion regarding other grains that might Indirectly influence the growing of flax seed or the market for oU meal and oil cake. He kept himself continually informed, not only as to the demand and consump tion of linseed oil, but also the use and trade conditions of other oils or fats used in paints or soap-making, that might in directly- affect the price or linseed oil. His correspondents net only in this country, but In Europe, South America and Asia, were glad to give him informa tion, which he in turn freely gave to them. He was Interested in hU work, and the consciousness of doing it well was the only reward he sought. His worth In spired confidence, He had the fullest con fidence of his employes and as chairman for many years of the flax development committee cf the National Paint, Oil and Varnish Association, he shared his in formation with ail who sought it. By reason of his trustworthiness, he became trusted by nearly every paint grinder In the United States, every crusher of linseed oil, every head of agri cultural colleges interested in flaxseed de velopment. every writer In and editor of farm periodicals, and by every United States senator and congressman and de partment officer In Washington having' to do with farm development as related to naxseed and its products. No man in the United States was more trusted than be, and no one ever regretted the trust Imposed in him. His closer associates were endeared to him by his personal charm. He wag al ways genial, approachable and happy. Mr. No an used to delight in telling how he worked as a boy in a small railroad office where hfs duties not only comprised making up freight bills, cleaning the of fice and selling tickets, but in the absence of his chief he was errand boy, station agent, freight and. passenger agent all In one. Later he was connected with the B. & o. Railroad and afterward came to Linseed Oi! Statistics (Revised to September IS, 1931) 1 1 1 5* 2~*t0J>i-iLtenop Stocks, September 30.............. Production, Oct., Nov.. Dec.... Imports, Oct., Nov., Deo.......... f Totals ...........................:............ lew stocks, Dec/SI...................., assumption, Oct., Nov., Dec., 1921. ... 9,260,169 ... 16,337,021 ... 4.895.896 ...82,612.569 10,452,160 ... 10,060,419 )' Exports . : 91,646 1022. SfotfkB, Dec. 31. 1921................, Production, Jan., Feb,, March., Import*, Jan., Feb.. March......... , 16,402,160 , 16,658,791 . 6,090.297 h Totals ............................................ Ltts stocks, March 31.................. . 89,201.236 . 20.700.310 Consumption, Jen., Feb., March....... IS,CM,928 Experts ............................ 83,794 ' Stocks, March 81............................................. 20,700.310 Production, April, May. June..............-. 0,379,827 Imports, April, May, June......,;........ 9,066,623 1922. 9,204,766 21,167,085 478.160 30,850,011 10.878,406 19.976,806 Increase ' 24.4% Over 1921 . _92.317 1923. ' 10,873)406 20,686,449 25,255 31,686,309 9.660,571 . 22,034^538 Increase 19.1% Over 1922 107,852 9,660,671 ' 23,768,970 3,471,923 i" Totals .............. 89.136,760 Lees stocks, June 80..................................... Consumption, April, May, June........ 20,198,866 Decrease 1% Under 1922 Exports ..................... Stocks, June 30.......................... ...................12,937,904 Production, July, Aug,, Sept. ................. 13,668,601 Imports, July, Aug., Sept........ ................... 3.692,359 Totals ............ ........................................... 80/806.884 Less stocks, Sept. ......................................... 9,204,786 Consumption, July, Aug., Sept., .... 21,102,078 110,108 10,880.438 20,609,126 2.174,327 83.643,839 12,220,943 Increase , 1.1% Over 1922 Exports ...................... 104,163 Twelve months' consumption-- ..... In gallons...................................... r01,952, Io bushels............................. 32,780,912 Increase 9% Over 1922 Quantity cf flaxseed -crushed In the U. 6. A. of domestic and for"''*'* origin ............................. 7J. -S. A. crops for the years...... Acres ............... .%, 1922. 1,113.000 33,805/786' 1923. 2,014.000 ' Production, bushels............... Less, sowing supply........ 1.260.000 17.000.000 2,188,000 For consumption, bushels.,... jnjaxeeed Imported (In bushels)-- Calendar years................ 14,802,000 1023. Quantity .................................... ... 14,013,000 24,832,000 * July 1, 1931, U. 3. Department of Agriculture estimate, f September 1, 1981, U. S. Department of Agriculture estimate. JBtetlmatC. . 1928. 12,220,048 . . 2,074.637' 74,723 84.869,403 12,695,2BD Increase 7% Over 1922 88,780 1924. 12,995,289 28,877,784 36,690,920 11,701,822 .24,903,698 ' Over 1923 87.191 11,701,822 23,491.504 102,672 85,296,088 9.010.271 26,379,817 Decrease' 2.1% Under 1923 9.916.271 18,648.318 1,61-6.621 30,180,101 7,509,771 22,610,330 Increase 6.5%^ Over 1928 94,382.859 37,744,944 Increase 5.6% Over 1023 85,628,218 1824. 8,469,000 31,547,000 1,924,000 20,023,000 1924. 18,589,000 1924. 7.569,771 28,280,485 21,210 36,861.408 14.269.145 21,582,321 Increase ,97% Over 1023 66,064 1.925. 14.209.145 30.076,702 691.002 45,035,009 20,161,403 24,834,411 Decrease .46% Over 1924 - ' 15,9: 28,734,217 Increase 5.26% Under 1024 76.945 16,918.400 10,507,507 58,235 86,484,751 11,624,870 24.059,272 Increase 10.4% Over 1924 98,140,221 30,256,083 Increase 4% Over 1024 40,763,250 1925. 3,078.000 22,424,000 1,816,000 20,608,000 1025, 16,610,000 1925. 11,624,870 29,006,018 ' 247,858 40,838,855 20,762,266 20,086,089 ' Decrease 6,93% Under 1924 71,281 1920. 20,752,266 25.947,006 569,008 47,209,479 5,389.492 21,879,987 Decrease 12.07% Under 1925 64,194 6,389.492 19,377/54 1,366.803 43,121,949 17,140,873 28,981.076 Increase 8.48% Over 1925 34,336 17,140,873 3.207,580 46,458 40,894,911 14,296.019 26,009,862 Increase 4.57% Over 1926 144,503 97,047,014 38,618,806 Decrease 1.1% Under 1825 1926. 14,295,049 27,532,800 34,037 41,801,392 23,213.126 IS,048,760 Decrease 7.16% Under 1925 40,250 1927. 23,218,126 20,964.074 45,160 50,213,200 27.509,194 22,704.072 Increase 8.77% Over 1926 91,400 27,509,194 22, 97,610 51,820 40,858.030 20.300.451 29,508,179 Increase o/A 79,094 20,360,451 22,669,86$ 15,078 42,986,392 16,028,219 27,307,173 Increase 4.62% Over 1926 70,777 98,168,190 39,207,276 Increase 1.16% Over 1920 1927. 15,028.219 31.738.481 14,120 47,381.826 . 26,805,862 21,675,864 Increase 13.57% Over-1926 94,520 1028. 25,805,863 9,333.409 10.902 55,650.233 31,603,953 23,981,276 Increase 6.ea% ' Over 1927 66.141 31,668,953 28.937,026 6,091 55,612,577 25,237,521 39,875,056 Increase * 2.94% Over 1627 64.712 25,287,521 IS,0l&(4S3 4,685 44.1^0,689 16,170,176 7,000.613 increase 2.50% Over 1027 68,302 103,922,808 41.669,123 Increase 5.86% . Over 1927 1029. ' ' 13.721,684 24.207.02S 438,752 ' 1830. Xl,192,6l ' 17,500,907 - 2.233 ' 43,074.740 21,033,013 38,457,864 18,781,885 38.096,701 15.146.889 22,640,833 19,075,079 13,649.872 Increase 4.03% Over 1927 Decrease . 13.09% Under 1928 Decrease 31.135% Under 1029 02.864 1929. , 88,230 1930. 48,114 1931. 21,033.918 20.683,030 28,763 18,783,385 10,462.640 223,141 15.l45.8Sfi 15,788,962 12.221 47,745,706 24,101,812 3,553,894 Decrease L7S% Under 1923 38,467,166 20,644,253 17,82^913 Decrease 21.33% Under 1929 30,947,072 16.092,210 15,864.862 Decrease. 11.04% Under 1930 73.052 . 24,191,812 24,545,014 855,840 68,431 20.644,253 17,443.645 54,092 42,286 15,002,210 17,417,956 10,611 49.592,106 16,301,631 33,147,099 32,526.777 14,501,196 10.426,041 33,200,515 23,646.60S 22,100,180 Increase 9.30% Over 1938 Decrease . 23.8% Under 1920 ' Decrease 6.54% Under 1930 64,492 16,391,651 25,169,257 6,273 67.744 24,501,193 14,431,502 3.012 ` 46,008 41.560.181 13,721,684 28,035,710 11,192,621 27,844,607 17.748.080 Decrease 0.52% Under U)2fi Decrease 33.27% Under 1929 08.085 36.603 107,239,839 42,805.936 73,833,584 81,555,433 Increase 3.10% Over 1028 Decrease 26.44% Under 1929 39,733,878 . 1926. ' 2,907.000 19.336,000 1,773,000 17,662.000 1026. 22,310,000 40,136,607 1927, 2,887,000 25,847,000 1.701.000 24,146,000 1927. 21,820,000 41,796.867 1023. 2,675.000 10,928,000 l,lKK),0UO 16.028,000 1028. 17,598.000 41,895.806 1029, 3.050.000 17,049,000 2.5U0.Q0O 14,540.000 JU2ll. 24,230,000 28.513.648 1989. *3.6112,000 21.3011,01)0 2,500,000 18,800,1X10 10SQ. , 12,680,000 2931, 73.182.000 tll.WJU.OOO 2,600,000 9,300,000 lwai. 112,000,000 22 October 20, 1931 OIL, .PAINT AND DRUG REPORTER on National Lead Company an traffic man ager and subsequently, as manager of the flaxseed and linseed oil division. Personnel of Flax Development Com- mittee ' P. M. A. of the U* S. 1810--C. T. Wetherill, chairman; M, J. Waugh, *w. A. Ramsey, N. B. Gregg, E. T, T. Wetherill, chairman; M. J. Waugh. W. A. R&roaey, N. B. Gregg, B. T. Trigg, Z. B, Martin. , 1912--C. T, Wetherill, chairman;- m. j - Waugh, W. A. Ramsey, N. B. Gregg, B. T. Trigg, Z- B. Martin. ,, 1813--C. T, Wetherill. chairman; N. B. Gregg, W, A. Ramsey, L. T. Minehart, Z. E. Martin. _ 1814-15--C. T. Wetherin, chairman; N. B. Gregg, W. A- Ramsey, L. T. Minehart, Z. E. Martin. ,, ,, 1816--C. T, Wether111, chairman; N. b . Gtegg, W. -A. Ramsey, L. T, Minehart, Z. E, Martin, 1917--L. P. Nemzek, chairman; N. B. Gregg, W. A. 'ELatn&ey, L, T. Minehart, Z. E. Martin, S. R, Matlack. ,,_ p, Nemzek, chairman;>N. B, Gregg- W- A. Ramsey, I* T. Minehart, Z, E. Martin, S. R. Matlack. ^^ igi9--I,, p. Nemzek, chairman; N. -B. Gregg. W. A. Ramsey, L. T. Minehart, Z.E. Martin, S. R. Matlack. ,, 1920--L. y. Nemzek, chairman; N. IB. Gregg, W, A. Ramsey, I*. T. Minehart. 1021--L. J, Nemzek, chairman; N. B. Gregg, W- A, Ramsey, L. T. Minehart, 1822--L. F. Nemzek, chairman; N. B. Gregg, L. T. Minehart. ,,_ _ 1823-- I*. P, Nemzek, chairman; N, B, Gregg. A. D. Joyce, L,. T. Minehart, E, T. Trigg, Ludington Patton. N. V. M. A. 1910--'W. H. Andrews, chairman; C. C. Chopp, A. L. Reis. 3 011--W, H. Andrews, chairman; C. C. Chopp, A. L. Rela. 191,2_W. H. Andrews, chairman; C. C, Chcnp, P. S. Jennings. ,, 1813--W, H. Andrews, chairman; C. T. Wetherill, C. E. Bhle, R, 0, Walker. 1814- 15--B. T, Trigg, chairman; C. T. Wetherill, C. B. Bhlc. 1918--C, T. WetherlU, chairman; C. E. Enie. J. H. McNulty. ,, ,, ,,,, 1917__t-. P. Nemzek, chairman; S. R. Mat' lack. J. H. McNulty. ,, ,, ,,,, l&lS--L. p. Nemzek, chairman; S. 'R. Mat* lack. J. H. McNulty. p. Nemzek, chairman; S. R, Mat- laek. J. H. McNulty. 1920--L-. P. Nemzek, chairmen; S. R. Mat- lack. J. H. McNulty. -C. R. Cook. lf-21--L. F>. Nemzek, chairman; S. R. Mat- lack. J. H. McNulty, .c. TL Cook. I&22---L. P. Nemzek, chairman; S. R. Mat-* lack. J. II. McNulty, C, R. Cock. 1023--L. P. Netnzek, chairman; E. T. Trigg. James B. Lord. Arthur Davis. crops which helped to take care of re quirements and kept prices from soaring. paign of education was carried on in a vigorous manner. . However, the crop of 1909 was the first to fall below this country's requirements. Up to that time, for twenty years, the production of flaxseed had been in excess of our requirements'and a considerable quantity was exported each year. It is Interesting to observe that the cause for the low production in 1909 and 1919 was severe drought. Drought has been the cause for small crops a good many years since that time. We find it again the 'cause for the serious crop failure of 1931. The linseed oil committee reported it had become-quite evident 'that.the farmer had. developed an aversion .to growing flax because it whs thought the crop too hard on his land. Flaxseed was fast becoming a new land crop with the result that the acreage, was decreasing because of lack of available new land while the conaump- tlon of Unseed oil was Increasing. At the 1919 Convention, It was reported that prevailing prices were felt to be too high for the legitimate producers of paint, varnish and kindred manufactures ana the inducement to use substitutions and adulterations was so great that thousands of barrels of such oils had -been used to the detriment of the paint sold by the manufacturers. . In his remarks following the presenta tion of the report of the linseed oil com mittee, Mr. Daniels pointed out the ad visability of inducing "the American far mer, by an educational campaign, to con tinue raising flaxseed enough to supply our needs, as we can never expect to buy foreign seed to as'good advantage as the home erown.v He recommended coopera tion with a committee that had been ap pointed by the Paint Manufacturers As . 1912 At the 1912 convention, Mr. Minehart, chairman of the flax development com mittee, reported that the farmers had taken kindly to the "educational features of the campaign, which should result In a larger acreage, and an increased yield per acre with a better quality of oil-pro ducing seed." Continuance of the work and liberal contributions were recom mended. The report went on to state that "In time we will have flax In many sec tions of our country In place of one, and while weather may destroy or injure flax in one section, were its cultivation dis tributed, we would not be at the mercy of foreign markets as we have been so very, recently. The -paint manufacturer cer tainly can appreciate a condition that will give us. ample flax raised in .the United States/' '. . The flax development work- was now well organized and carried on under the supervision of the pub-committee consist- - ing of C. T. Wetherill, chairman; Charles T, Nolan, Norris B. Gregg, L. T. Mine hart representing jointly the flaxseed crusher and the manufacturer of paint, varnish, linoleum and oilcloth and lead and zinc. Mr. Nolan continued actively in flax development work from Its In ception until his death on May 11, 1929. Mr. Minehart served on flax development committees for sixteen years, when he re tired because of ill health. Mr, Daniels relinquished his place on the committee in favor of his son, T. L.-Daniels; in 1930 after twenty years of aotive interest in every phase of flax development.. Mr, Gregg took an active part in flax develop ment for seventeen years. sociation of which C. T. Wetherill was chairman. 1913 : Mr. Wetherill reported the appointment of a flax development committee formed at a special meeting of the Paint Manu facturers' Association held in Cleveland on August 4, 1910. This committee was appointed to cooperate with a committee of linseed crushers which had already been formed and with allied trades and At the 1913 convention, Profe&aor Bol ley of the North Dakota-Agricultural Col lege and Professor Wilson of the Montana Agricultural College addressed the asso ciation upon the scientific work conducted In cooperation with the committee and made possible by the use of funds- sub scribed by the consumers of linseed oil. other linseed consumers, The committee pointed out that while The National Paint, Oil and Varnish the work was well begun, it was far from Association then adopted Mr. Daniels' being completed. It was important to the rsc^romondatlon and appointed a com linseed oil consumers that our farmers mittee on flax acreage" of which J. m. ahould continue to receive the aid -of Peters was chairman. Later the Varnish scientists to Improve the quality and yield Manufacturers took similar action. At' a of flaxseed per acre, so that the financial Joint meeting held in Atlantic City in return to them might induce the sowing , a1 sub-committee was se lected. This sub-committee was instructed to make recommendations to the whole committee at a meeting to 'be held In Chicago. of flaxseed in rotation .with other crops. Professor Wilson-apoke about the con ditions in Montana. He stated that their work had been successful due largely to the very hearty cooperation of the flax difficult to see that any headway was be-i Ing made. % Jn. 199S, It was demonstrated that to carefully selected seed could grow in the;- presence of the most disease-infeotea.s^ ground. In 190& hail destroyed essettf mittee publicit 'seed s t0..thet In the tlon In tially all the crop which Professor BolleTM yi_. ^UDil had (produced. Under the methods whiclfi K aea they worked, the rust year in 1907 praerf- tically eliminated, the increase then avalk` a&2e. It was therefore with a good deslrf of appreciation on his part that Profeasorj] Bolley was informed during February*' 1910 that a number of men interested ia' flax cropping, wanted to meet with him_____ In Minneapolis to discuss flax develop-^ ^ raent, . Professor Bolley was asked to propose some work' on plans whereby any fund* which might be raised for this purpose, could be properly handled so as to mahffv the flaxseed crop more certain and inert1 remunerative. geated: . Professor Bolley sug 1. To get the crop grown oa a larger terri-j tory than at present. . ' 2. To get such information before the farznett th&t they might gain faith in their ability to grow the crop,'and make Jt very definite as to! what they are to do in order to get the bettor: m ti mittee 'elsted. in the ..North ! fr : Mr.: Advert! paper .collects tistlcs ' had &e ;1917 w college Y. Minnefi crop, i : them c To accomplish these two ends, Professor. Bolley suggested:-- ' : 1. That every effort be made to collect S fund of information regarding the Crop. : 2. That especially planned experiments and field demonstrations he made so that those who are giving Information on the flax crop should- have always at hand the latest available Infor mation as to how to better the results of tUz; cropping, H 8. That some special effort be -made to get a' better close of seed saved for spwlng purposes! ^.'Circt ;, '3hg fla in 19li s'! aotlvit: * meat c P;the sci $ having ? aa als' with t and get It used upon the land, '\ f; flaxBee ` 4. That actual field demonstrations, partlcu-; /'added larly in aoll and seed treatment be conducted. "') `the in Funds made available by the committee;*:*-' for fla permitted Professor Bolley and hia &>: r place 1 workers to conduct 'a number of new that tl experiments and to demonstrate new Lso str< facts with regard to methods of cropping supply which might tend to improve those which _ necess: were then In use. It made possible con t ' Prof tinuation of the work to completely break s-`the 19 down opposition that there was to the. Bcrop In North Dakota, South Dakota,; c publisl Minnesota and Montana, Canada and; contini many other regions where the farmers' w:\atratio were particularly Interested. Professor; $ tated t Bolley and hie co-workers were able to V-ing pv get the proper amount and quality oi riland. seed distributed to new territories, and clsed 1 to extend proper methods over a very i duced much larger territory than could other-' ^having wise have been reached. k'North Such good work was accomplished In _j :; eleewh this line that the legislature authorized fr-.sonabl the department of botany to arrange to `v, Thei Inspect the fields, tying on lead seals on .vping i N. P. O, & V. A. 2010-J..M. Peters was chairman of what was called Committee On .Flax -Acreage. 1911-- L. T. Minehart, chairman; J- 'H, Snedaeker. C- T. WetherlU. 1912-- b, T, Mi.nehart. chairman; J. H, Snedacker, C. T. Wetherill. 1913-- L, T. Minehart. chairman; I. D, Wag goner. C. T. WetherlU. 1914-- 15--L. T, Minehart, Chairman; I. D. Waggoner, C. T. Wethorlll. 1916-- L. T. Minehart, chairman; C. T. Wetaerill. J. W. -Daniels. 1917-- L. T. Minehart, chairman; L. P. Nem zek, J, W. Daniels. 1918-- L. T. Minehart, chairman; J. W. Dan iels. S. R. Matlack. 1911 At the Chicago meeting of the whole committee In January, 1911, it was appar ent that the difficulties to oe encountered in formulating and carrying through a plan for the Improvement of the methods and enlargement of flax cropping were far greater than had been anticipated. It was therefore resolved to put the matter In the hands of a sub-committee, em powering them to collect a fund and ex pend same at their discretion. This sub committee began at once to function for al of the interests represented and actu ally to carry on .the work of flax develop ment. development committee. Montana had been considered as a ranch state, but was being transformed Into a farming state. In the spring of 1911, the director of the experimental station called Professor Wil son to his office and said--*4,I am sur prised to see how fast this land !s being taken up and how much flax is being sold." He gave Professor Wilson au thorization to go and see Professor Bol ley, and find'out from him as much as he oould In regard to the raising of flax on new lands, and also to spend some time with t>e farmers of the state to ascertain how f'f,y were performing their opera tions and what success they were having. the bags of properly pedigreed and im proved seeds, thus standardizing those seeds go that no matter-where they were sent, the final user would know he was using seed that had been grown with success. .. Professor Bolley and his associates went one step further and were sue- cessful in the formation of the North Dakota Improved Seed Growers' Associa- tion which during its first year took on a membership of approximately 209. their < farmei produc V.valley " triote, dlsapp / fluenct ' As i by th p-. which t o Ag & aided Experimental plots were also started $!! age, s to test the value of breeding for higher KV should ofl production. This work included the careful testing of all samples to deter 1919-- D. T. Minehart, chairman; J. W. Dan iels, S. R. Matlack. E. H. Smith. 1920-- Ij . T. Minehart, chairman; J. W. Dan iel*. S. R. Matlack, E'. H. Smith. Jfl21--C. T. Nolan, chairman; L,. T. Minehart, J. W. Daniels. S. R. Matlack, E. H. Smith. 1922--C- T. Nolan, chairman; L. T. Minehart, The sub-committee decided upon the plan of working through the North Da kota Agricultural College and Experi mental Station. The officials of that col lege were approached with a, proposition that it could carry out, and no time was professor Wilson found that no farm ers were treating their flaxseed. In consultatlon with Professor Bolley, they de cided they would give demonstrations at the farmers' institutes showing the farm ! ere how they could treat' their flaxseed. mine their oil-producing capabilities, both In quantity and quality, 1914 At tljo 1914 convention, the committee reported that large quantities of specially ' At ' appan how t fluenci era In for w: J. w, Daniels, S. R. Matlack, E. H. Smith, lost in effectually working it under the- At- the flax development committee bred and certified flaxseed were used by most L. P. Nernrek. direction of Professor H. L. Bolley, scien meeting held In the winter of' 1912, It the farmers for sowing.. and the results sown 19-23--C- T, Nolan, chairman; J. w, Daniels, tist, and then already world-wide recog wae decided to conduct an education cam at harvest time exceeded expectations. In 1 8. R. (Matlack, F. C. Smith. nized authority on flaxseed. paign in Montana. Numerous farmers in the northwest busiht Joint Flax Development Committees At the 1911 convention of the associa tion, Mr. Peters, chairman of the flax Professor Bolley, in his very thorough talk before the association, spoke about seeded special plots of ground with selected flaxseed, the work being done in early fitag-nf Paint Manufacturers' Association of acreage committee presenjed a resolution the origin of the work of the flax develop accordance with instruction and under the fa the United States, National Varnish ^"That it Is the sense of the National ment committee, which had been brought the guidance of representatives of the in lih( Manufacturers' Association . For P. M, A. Paint, Oil and Varnish Association that the efforts put forth during the present year by the committee representing the about by the deficiency in flaxseed both in quantity and quality, and the continual increase In the price of linseed oil. There experiment stations, with a view of ma terially increasing the supply of high grade and sound flax for distribution and especi could demai 1924--L. P. Nemzek, chairman; Harris G. Nelson. N. B. Gregg, L. T. Minehart. manufacturers and consumers of linseed oil to Increase the production of flaxseed were evidences that the crop In this coun try was becoming more and more in dis sowing for the coming season, indue tine. : 1925-28--L. P. Nemzek, chairman; Harris G. Nelson, N, B. Gregg, L. T. Minehart. - For N, V. M. A. 1&24--B. P. Nemzek. chairman; E, T. Trigg, James B- Lord. Carl J. Schumann. 1925-26--L. IP. Nemzek, Chairman; E. T, Trigg, L, T. Conklin. N, P. O, & V. A. 1924-- C. T. Nolan, chairman: L. P. Nemzek, J, W, Daniels, F, <j. Smith- H. G, Nelson. 1925- 26--C. T. Nolan, chairman; E. P. Nem zek, J. W. Daniels, \ C. Smith, H. G. Nelaon. in this country should be continued, and for this end the preslA&nt of this associa tion is authorized to designate one of Its members to serve with the representatives of all other organizations as a J-olnt com mittee for the continuance of such work." This resolution was adopted and L, T. Minehart was appointed chairman of a flax development committee of the Na tional Paint, OH and Varnish Association and the representatives of the association on the sub-committee representing all lin seed oil consumers. Professor BoUey submitted a report to favor with the agriculturist, so that it was only expected to be grown by a few farmers on new lands. It was evident that as these new lands diminished In area, if the flax crop could not become one which was looked upon with more favor by the regular farmers, who work the older lands, the supply must sooner or later fail. Previous work which had been done at the North Dakota experi ment station and elsewhere was sufficient to show that flax cropping was a question of seed and soil rather than lost fertility. One of the- first' problems which at . 1915 During the season of 1915, extraordinary' efforts were directed toward maintain? ing the acreage which was so seriously threatened because of the world condi tions, having during the previous season' created prices for wheat and other cereals ' that were most alluring to the farmers, ! Another Important fact developed was the results of early sowing, Such fields escaped the damaging effect of the early autumn frosts In August because of th full maturity and even ripened stage of the' early sown crop. of lit forelg learn* and a tics o discoi attttu north have high autun creas- splem Nolar Joint Flax Development Committees the sub-committee covering the work that tracted Professor Bolley was the fact that 1915 was a season quite unprecedented National Paint,- Oil and Varnish Asso was done during 1911, made possible by . after flax was grown upon a piece of the In the Inducements placed before the ciation, Inc., American Paint and .Var nish' Manufacturers' Association, Inc, . ,. N.-Pi-O. & V, A. .. the financial1' support of the flax develop ment committee of linseed oil consumers. This report was summarized In the sub committee's report of 1911 to the asso fertile northwest land, sometimes once, . sometimes twice or three or four times in succession, the soil finally failed to pro duce flax. After working upon the prob farmers to sow their land for the produc- , Rer tion of food and feedstuffs, and the faot appre of flaxseed' area according to c--oVVu.1n1t1s.0,, hUaUvMiUngg dM.Ve1cW1re50a0s6e1d1 sBUo official ac-'B l1i1tUtl1eB fliryoumi . catlni for ti 192T-29-- C. T. Nolan, chairman; J. W, Dan iels. '' ciation. lem for about nine years, the conclusions The report referred to the field tnspec- - finally arrived at In 1900 were that the the area sown in 1914, may be accepted as resulting In a large measure from the T-'l,i,k, ew 1939--L. P. Nemzek; chairman; J. W. Daniels. J. A. Johansen. ' tlon -of flaxseed, soil, treating of the seed before sowing, method of soil tilling, and land itself was not impoverished, but that the flax crop had something wrong with various phases of the campaign conducted in the interest of flaxseed production. increi in ac 1931--L. P. Nemzek. chairman; E. I. du Pont de Nemours Ss Co,, Pariln, N. J.; Thomas L. the extensive amount of office work in the formulation of printed -matter and its dis it, namely a disease or rather a number of diseases, the parasites of which act 1916 mitte 'with Daniels, Archer Daniels Midland Company. tribution. chiefly upon the roots and Jive primarily Bulletins were prepared by the agri Minneapolis. <Mlnn.; J. A.- Johansen, National Professor Bolley Issued a number of In the soil. . cultural colleges and experiment stations.' , Lead Co., New York, N. Y. pamphlets which were sent out under the By 1904 Professor1 Bolley-had. worked some of which were issued In tens ' - Soi A. P. & V. M- A. 1927-29--H. L. Caiman, L, P, Nemzek. ' 1830--L. P. Nemzek, chairman; F. C. Smith, vice-chairman; -H. L, Caiman. , 1931--L. P. Nemzek, chairman, E.' I. du Pent de Nemours Ss Co., Parlin, N. J.; F. O. Smith, vice-chairman, Minnesota Linseed Oil Company, Minneapolis, Minn.; H. L. Caiman, Emil Caiman & Co., Long Island City, N. Y. frank of the government to farmers. The title of one of these bulletins was--"Grow ing Flax on Old Land." A sentence is quoted from this bulletin--1"Flax Is not particularly hard on the soH, . but the methods of cropping have usually been careless and of such' a nature that the soli sneedllv becomes infected bv flax narasites, which destroy the plants." That out a method of seed disinfection so that clean seed could be sown upon clean land, but found that the soil itself retained the disease when it was once placed In it for a number of years, and that the disease could be communicated to new* land In many ways ouch as by wind-blown dust and by water-washed dirt from other In fected areas. thousands of copies. Farmers who foN v: son t lowed the instructions given in those g'.-'ment bulletins obtained a larger yield of flax-- ;' state; seed per acre than those who continued f- been in the old-fashioned way of sowing any A the seed that was available and ignored the state. . directions for proper preparation of .the $' of fl seed bed. 111'" asric The most important and valuable faeff '' small History of the Flax Development Com mittee Its Purpose and Achieve had been the trouble with the farmers who were supposed to attend to the crops in a proper manner, but they had not Professor Bolley'# means of reaching the public with this sort of Information proved rather slow In Its effect. He found determined in the systems of crop rota-!, tlon tion In which flaxseed was included v.prodi showed that wheat sown on land cra.1 ' slble ments done f o , and they thought it was the the prejudice' against the flax crop so which flaxseed was produced the precede| . from The flax development committee was started in 1910^ "Never In the history o the linseed oil business of the United States has there been such a sensational year'1--were the opening words of the fault of the land. . Another bulletin which was sent out wag ^entitled "TVho Can Help Save the Flax Crop of the Northwest?" These were sent to the business men, bankers and people of that description. A third great that with all he could do, it seemed to have but slight effect In. moving the average fanner to change his opinion. It was found still more difficult to get farm ers' institute men and the general agrlculturtsts who were directly instructing ing year, did better than wheat sown on'J ' other land on which wheat was grown th| Du previous season. ' .the 1917 ^ 'tlculi ' prodi Being cognizant of the fact that the alf relat report of the linseed oil committee which J. W. Daniels, chairman of that commit tee, made at the 1910 convention of the National Paint, Oil and Varnish Asso was "The Essentials of Flax Cropping for Seed Production" and the fourth was en titled "Growing Flax on New Lands." Nearly half a million of these circulars the farmer, to take up the fdea that the flax crop could be improved In such a manner that it would produce a pay crop. Everywhere came the response--`"But is < hut complete failure of the 1916 crop of flaxseed in the Argentine, due for harvest; , wIno-.'.uN.liod,ve.in.m. bIetsr ealnf dmDaetceerimalblyer do...if.m...t.ih.n...ai.s..t.h..y..e...ta.brj; k* ing .1 a__b_l_e_ ssuomw *i ciation In Denver. Mr. Daniels reported that the crop in the United States the previous year had been below the amount consumed in the United States but there had been a sur plus from the preceding years of big were distributed to the farmers and the railroad rpeople In the northwest, because they represented a valuable factor In dis seminating this information, Lecturers were sent to the farmers' In stitutes and to the fairs, and the cam not the flax crop a very destructive one on land?". However, the experimental work was conducted as rapidly as pos sible and the results were given wide pub licity, but the means with,'.which to do this work .were so meager- that It was world's supply of flaxseed, also the imi ? probability of securing supplies for our; markets from any sources other than1 domestic' and Canadian, during the! twelve-months' period dating, from Oo-T tober. 1916,: the .flax development ponw . age tlon not weal 1921 cedlj October 20, 193! mittee decided to conduct a campaign of sown watn flaxseed m the spring would Minnesota could not have done this fifteen publicity among the farmers In the flax* have been as large as It was. years previous, for even then the new seed growing districts, making known to them the world shortage of flaxseed .' ' - 1922 / lands were failing badly because of dis eases accumulated in. the flaxseed and rla the hope of stimulating the produo With the exception .of unfavorable con the soil. wleyji .-tton in 1917 throughout North America. T Publicity concerning the short flax ditions affecting the flaxseed crop In a few districts, the season of 1922 was 1927 hichkTM, seed supply was vigorously conducted rather more favorable than any o four The flaxseed crop season was much __r_a_c__*_t_ prior to and during the sowing season of or five years past, and1 the early sown more favorable to production than the two vva&ltl-lV*.v^i s/the spring of 1917, the war crisis making flaxseed, even In the affected - districts, preceding years, particularly 1926, the deall^ extraordinary but Juet demand upon fared quite well and produced an average total production amounting to 24,270,000 sssorfiii the farmers of the northwest for the' . crop.. bushels from 2,837,000 acres. uary'^ 'greatest possible increased production of Although, the average price for flaxseed Anticipating the probability of a great 4 food c--r--o--p--s- and -p--r-e---s--e--nted the difficult from the beginning of the 1922 marketing ly reduced acreage to flaxseed as a result him?# problem of having even as great an area season was 25 - cents to 60 cents per of conditions in 1926, and with the pur flop- ; | rnwn with flaxseed as In 1916,. bushel lower than the average market pose of moderating that discouraging In this publicity campaign the com- price for flaxseed during the sowing state of mind of our flaxseed producing poae?;:1 -aittee was very liberally and ably as* period- of the previous spring. It never- farmers and a view to stimulating- flax unda '`el&ted by the state agricultural officials thelesa was a fact that to the farmers seed sowing, a survey of the world's sup pose: In the northwest, particularly those of In the northwestern flaxseed growing ply and probable demand of flaxseed, waa cake ftorth Dakota and Montana. states, the return per acre of flaxseed made at the end of April, 1927, by the nore; Mr. Nolan did magnificent work in this was quite remunerative and in comparison flax development -committee and furnished SUg- Advertising campaign. Every country with other products of the soil the flax to the northwestern flax producing states, paper in the northwest printed materia) seed crop wag by far the best paying,, agricultural colleges, experiment stations, terrl-/;^ collected and prepared by him. The sta tistics he gathered were convincing. He auguring well for a materially increased' farm extension departments and agricul flaxseed acreage being sown the next tural economists. mers iy tc':; IstO,'!etter essor':-; ct a -,; and '-frJ who ; ` afor*:;i flex ,-et a' . poses'.V ,iad several meetings during the year of r,1917 with the heads of the agricultural Colleges, in North Dakota, Montana and Minnesota, and did a great deal to spur . them on to increase flax acreage. . .' 19TB . ' Circumstances surrounding and affect ing flaxseed production in. the northwest la 1918 permitted no relaxation In the Activities and efforts of the flax develop . oent committee. To the problems before tlfl scientists and experts In agriculture having to do with flaxseed production and as also the many farmers oo-operating with them to continue and1 Improve the season. The 1922 acreage' was 16 percent larger than the-previous.year, the crop amount ing to more than 10,000,009 bushels, us compared with 8,000,000 for 1921. "While the good weather was responsible for the large increase in bushels produced, a part of the increase both in acres and bushels was traceable to the recommenda tions made early In the year regarding the beneficial results of early flax plant ing, rather than permitting planting of this crop to be-delayed until too late to plant other grains, especially wheat. It was during this year that special attention was given to the possible eco . 1923 During the agricultural season in the northwestern states, the elements were on the whole unfavorable to flaxseed pro duction, In one particular respect they were unusual and unprecedented, and were responsible for an- appreciable dimi nution of flaxseed yield per acre sown. The particular untoward development was what IS called "red" or "flax rust." The cause was excessive moisture accompanied by high temperature. Crops tht gave every prospect of splendid results were attacked by. the rust, and yields in many instances cut one-half or more. tleu- `i f&xseed growing industry, there was nomic features of mixed cropping, that la, added for the subcommittee's solution, growing wheat and flax together. , The first wilt resistant'varieties devel oped were not as completely successful esJ.' "..` 'i ^the important Question of establishing as desired, NDR No. 114 for many years ItteO; -tor flaxseed production a standing and -' 1923 - .' the leading wllt-reslatant variety, was not co-:;- ;place that season In the general program newii ; that the national and state governments neeww;;-so strongly urged farmers to continue to ping;:1? -su_p_ply t*o .t.h...e.....u...t..m....o...s...t....t.h...e......f..o..o...d.....a...n...d.....f..e..e...d.. hlch;-: necessities under war conditions. ' The satisfactory flax price ratio In com parison with other crops resulted In an increased acreage in 1928 of 76 percent over the previous years.' As In 1922, flax seed was one' of the farmers' beat-paying sufficiently sturdy nor entirety satisfac tory with regard to yields produced. As flax rust became more prevalent, NDR No. 114 did not show sufficient resistance to this disease. con: [' Professor Bolley presented a report at reak*;.^ !,`lhe 1918 convention which brought out the ri the Importance of publishing new and re^ crops, ............ Through the Chicago (Board of Trade, cash prizes aggregating $10,090 were 1929 Due to some very good work which was :ota, ' and ners :ssor: ^ publishing old press bulletins, and the continuation of experiments and demon- ftratlons on flaxseed production necesslstated because of the old habit of the farm- awarded annually to exhibitors at tho grain and hay show in connection with the international live stock exposition, the money being procured through contribu done by the state colleges In the north west through timely circulars and bul letins, and by short flax talks over the radio, the 1929 flaxseed acreage was in e to->s ?lng public to gTow flaxseed only on new tions from interested sources. creased to 8,092,000 acres as compared r of v.) fUnd. Very beneficial Influence was exer- Heretofore flax had not been Included , with the final figures of 2,721,000 acres and^ f.cUed in not only getting a better crop pro- in the list of grains and seeds. Arrange reported for the previous year. very fs. duced acre for acre, but In a large way* ments were made by the flax development The acreage would have been still her-'"^ having the farmers of Minnesota, eastern committee to award $600 in prizes at the1- greater If the serious drought conditions . ' ; North Dakota, parts of South Dakota and 1923 exposition.* The aggregate number during the latter part of the planting 1 In: -s ^elsewhere feel that they could expect rea- of flax prizes to be awarded was sixty- season had not developed. There was Ized- $ reenable success with flax on old lands, one, ranging from $25 to $5. each. Forty ' available a good supply of seed which e to There was definite evidence that crop* of the prizes were open to exhibitors of bad been tested and reported on by the s on'-S fping methods had been so Improved by flax grown as a straight crop and twenty- stations. The availability of high quality their experiment work and Instruction to one for 'flax grown with wheat-mixed germinating flaxseed reserved for sowing hoect (termers as to cause the return to flaxseed veret^ (production on old lands of the Red River crops. . NDR No. 114 developed by the North was one of the results of the Committee's work in the past years of taking the was1. Valley, and adjacent natural flaxseed dls- Dakota experiment station proved very Initiative in suggesting the saving of with, -''frtetB, from which the crop had virtually resistant to wilt, and was being grown ample supplies of flaxseed for sowing the ^disappeared because of the destructive ln- ' almost, exclusively in eastern North Da- . following season. ates fluence of wilt , - kota, and in many of the other old flax 1930 SUC-j, As a result of several conferences held regions. Another equally, wllt-reslstant orth r by the flax development committee, at strain of 'flaxseed known as NDR No, 62 'da-^ * which members of the U. S. Department was suitable to and extensively sown in c on"v-,*: ct Agriculture wore present. It. was de the western North Dakota and Montana coded that a campaign for Increased acre- seml-arld districts. ' ' rtei'y similar to that inaugurated In 1917 These, two . wllt-reslatant strains of flax g-hef ii Should be undertaken. ' had not all the desired requisites, A larger, tethr-*| t 1919 both; At the very beginning of 1919, It was seeded variety, taller growing, more branching, having equal resistance to flax wilt and producing higher yields was de ! (Apparent that' no matter what sort or ' how much effort were to be made.to In sired. - . - .. - ,. The North Dakota Station was making -H fluence the sowing of flaxseed by farm*1 considerable progress in the development, tteeftS ers in the northwest, a guaranteed price- of wllt-reslstant strains. New varieties laiiyoi for wheat.would continue first and fore- l by;;3 i:fflost in the utilization of the land to be lUltS m ffown in the spring.. . ; : . . . ons.i-' ; In the linseed oil consuming Industries, vest-., business conditions, during midwinter and vithv, : early spring of 1918. which approached e in-. , 'stagnation, were a, barrier to advising ider-'i the farmer to sow his land with flaxseed, the*,;- ,:In liberal proportion to other grains, and especially wheat.' The observations that were, particularly more vigorous, taller... more branching and larger seeded, and all observations recorded during the growing season indicated .definite advantages for those newly developed varieties. The outstanding development in 1923 was the possibility of Increased, produc tion of flaxseed through mixed cropping, or the growing of flaxseed with wheat. It * was estimated that in the state of North could be made of seed and oil supply and Dakota alone there, were 10,000 acres and* '< demand conditions in foreign countries* Including the linseed production In Argen sown with flax mixed with wheat. The . result indicated that this practice which iary-^ ain-iv tine, also the matter of possible supplies ,of linseed and linseed oil elsewhere In foreign countries, of which little could he learned because of concealment of facts had been followed in certain sections of Minnesota with a fair degree of satisfac tion for several years, held, considerable promise of successful permanency. usly?^ And absence of trade reports and statla- .' . 1924 . ;' ' The Committee's report to the 1930 convention contained an Interesting sum mary of flax work. It reiterated the pur pose of the flax development committee to Improve and to enlarge the produc tion or flaxseed In the United States so that the Industries consuming linseed oil might have a dependable domestic sup ply of the raw material. It was not to be expected nor regarded as desirable that our llneeed oil requirements be met in full by domestic production of flaxseed. The interest of linseed oil consumers In our country may best be protected in the long run`if out annual ' domestic produc tion of flaxseed be somewhat less than tbe total domestic consumption. Such a situation will tend to make flaxseed growing.- profitable to our farmers, and result In eliminating from their minds the skepticism with whloh many still continue to regard flax as a regular crop due to their unsatisfactory experiences In the past. During the more than twenty years of its existence, It was always tne aim of the flax development committee and other Interested co-operators to Increaas the production In the United States so that at least 80 percent of our country's re quirements are taken care of by flaxseed grown In our northwest. ndl-^ isoiu:' eal's'i: *S. - was,^ elds-.? ariy^ the? 3 of,I pcs occasioned by the war, all tended to ( discourage the committee from taking the Attitude with the flaxseed farmers In the northwest, In which It necessarily would have had to virtually prophesy extremely jfclgh prices for flaxseed to obtain in the autumn of 1919. Much Credit for the In creased flax acreage wag due to tho splendid and convincing efforts of Mr, Nolan, The year 1924 showed an appreciable Increase in area sown with flaxseed over the previous year by 64 percent. The Interest In growing flaxseed mixed with wheat continued and was enlarged on In a very satisfactory and promising manner. It was estimated that In * Min nesota 45,000 acres of mixed flaxseed and wheat crops were sown, and in North Da tted'f the.;> luc- factj; ac- ronv: ited-. the.'-' 3ted^ S;. ' 1920 '. . kota it was estimated to exceed 20,000 acres of mixed crops, an Increase of 100 .V Report for 1920 showed a production of percent or more of the mixed crop area . approximaately 12,000,900 bushels, infli- of 1923. . ' . . eating a crop nearly 60 percent more than - 1925"- . ; : ' ifor the previous year. The acreage was Slightly increased over the year 1919',' tlikewise over the five-year average. These ' Increases, Instead of marked reductions In acreage, was largely due to the com mittee's efforts and work in conjunction fwlth. the agricultural scientists, The decrease of 6 percent in the area sown'with flaxseed In 1925 was all the more notable because It waa not greater. Very unfavorable weather conditions, ex-, treme cold during May and excessive,-al- ' most continued rainfall during a three . weeks' period In June, . prevented prepa The Inadvisability of growing too large a crop that some part of it would have to be exported wag pointed out from time to time* The effect of such a large crop on price might very readily destroy the eco nomic relationship between flax and other grain crops and cause the farmer to question the value of flax as part of his crop. Just as happened during the years previous to 1916. Excess production re sults in undesirable wide price fluctua tions which make for business instability. The annual flax conference which for years had become a feature of the com mittee's .activity, held In Minneapolis in February 1930, was the most enthusiastic and productive meeting ever held, sixtyseven or more than twice the number of any previous year were in attendance. Representatives from the state colleges in the important flax-growing states were present in the usual number. New factors grl ons. i of fol ios lax-" .ued 1921 . `' Some abatement appeared in the sea* __n of 1921 in the research and experi mental work to improve flaxseed In those states where flaxseed production, had not been reaching commercial proportions. In ration of soil over a considerable area - that under normal conditions would have been sown in flaxseed. . The scientists engaged In flaxseed re search work were confronted with the fact that their accomplishments of some earlier years because of conditions beyond Interested in the growth of more and better flax who had not previously at tended thesp meetings, were present In cluding representatives of large implement manufacturers, elevators, bankers, agron omists and extension service men from the railway operating in the flax-growing any tie more important flaxseed producing the states, however, there was no diminution .the of flax development work by the state r agricultural officials and scientists. No fact small portion of the research and educa tion work for the improvement of flaxseed ded * onled-^, on the production In those states was made pos sible by the financial support received front the members of the associations and others. jr. During the autumn and winter of .1920, "the market price for other crops, par- ..Ucutarly the different varieties of wheat control, showed gradual deterioration, hence the necessity ot developing new; different and better strains which were re sistant to plant and soil diseases. , ' NDR No. 114 had been the standard persistent flaxseed strain for quite a num ber of years, not only in North Dakota but it worked well in Montana and in certain sections of the other flax states. 1926 Owing to drought, a considerable aban areas. Representatives of ' the Greater North Dakota Association, the Northwest Better Farming Association, and the Northwest Better Flax Association who co-operated very actively with the Com mittee were in attendance. . It was generally conceded that the favorable position of flax today is due in a large measure to the financial and moral support given by the flax de velopment committee to the agricultural colleges. i-^produced In the northwestern states, was air -ftfirelatlvely much higher than that obtaln- oC'^aYlng for flaxseed-, resulting In an appreci- -est tf Able decrease !n the flaxseed acreage taiyIf sown in tho spring and early the y. summer of 1921, compared with the aore- lm-i-:a Age In 1920, because of the dlasatlsfac- ourfl Aon with the pries of flaxseed. nan 1 not been, for rather more If it had favorable . the'M-weather and soil conditions during the 30* 1921 sowing season than the several pre- im/, ceding, it is quite doubtful If , the^ area donment of flaxseed area took place In 1926, and the harvested area yielded but 6.6 bushels per acre or a total production of 18,592,000 bushels from 2,897,000 acres sown. .- ^,, , Evidence of the results of flaxseed re search and experimental work In the state of Minnesota was shown In the crop of that Btate for ll9261.1e6tlmatcd at 7,892,000 bushels, thus surpassing the .flaxseed pro duction of the state .of North. Dakota, for tho flrBt time In s.t least twenty years. More and Better Flax Flax is now recognized as a sound economic crop and the growth of more and better flax Is part of the program of each of the- agricultural colleges of the four important flax producing states. The flax development committee was started when it became apparent soon . after 1910 that the flax production of the United States was decreasing. Flax waa considered as a crop fit only for new land and as tho available new land be* came scarcer, the acreage and produc tion naturally decreased. When grown on old land, flax developed diseases--the most devastating known as "flax wilt"-- ' which caused the farmer to look with reluctance on planting flaxseed on any thing but new land. The dollar return to the farmer, on his flax production was usually considerably less than he got out of his wheat or other crops, and it was difficult for many years to Interest the farmer to plant more flaxseed. Besides the natural haz ards in growing the crop, the farmer fre quently faced such wide fluctuations la the price obtained for flaxseed that ho naturally hesitated to plant very much of It, when often times his much lower per acre yield than wheat paid him very little more per bushel. Flax la now more adequately adjusted in areas suited to higher production per acre. The crop Is again located in the heavier land districts of the four im portant states, and there is a distinct tendency on the part of the farmers to give the crop more of a fixed place In tho cropping series; In recent years there has been observed a distinct tendency in the direction of a permanently increas ing acreage In Iowa and Wisconsin. For the first time in twenty years, a number of favorable factors combined to give flax production In the United States substantial Impetus for Increase. The in crease In the tariff rate on flaxseed to 65 cents per bushel was a big Inducement to the farmer to enlarge his 1930 planting. This greater return to the farmer amounting to 25 cents per bushel, proved to he quite an incentive* as was shown by the increased acreage. But the ag gressive co-operation of the agricultural colleges in the northwest combined with the activity of the farm board in advocat ing the curtailment of the planting of wheat by substituting other crops un doubtedly did much to cause the farmers to plant an acreage greater than had ever before been planted In this country. The following shows United States flax acreage, production, consumption and per cent production of total consumption from tbe years 1901 to 1931 inclusive:-- Flaxseed Acreage, Production and Consumption ' Percent _ production U. S. U. 8.* of total cl 5?. pro- oonramfp- coh- Acreage. dnctloo. tlon. samp- Acres. Bushels. Bushels. tIon 11.. 1......... 23,319,000 2I.S31.636 116.0 1002.. S,740,000 29.284.SS0 25,200,338 118.2 1903.. 8,238,000 27,300,510 26,630,501 102.5 1904.. 2,204,000 23.400.634 23,591,333 99.2 1905.. 2,535,000 28,477,7-53 22,429,991 ' 127,0 1006.. 2,506,000 25,576,146 18,853,688 136.7 1907.. 2,864,000 25,861,000 21,477,135 120,4 1908.. 2,079,000 26,805.000 25,417,799 101.5 1909.. 2,083,000' 19,613,000. 24;732,003 78.0 1910.. 2,467,000 12,718,000 24,729,961 51.4 1911.. 2,757,000 19,370,000 26.331,S31 73-4 1912.. 2,851,000 28,078,000 32,726,181 85.8 1913.. 2,291,000 17.853,000 26,181,827 68.2 1914.. 1,645,000 13,749,000 24,077,121 67.1 1915.. 1,387,000 14,080,000 28,441,013 49.3 1016.. 1,474,000 14,296,000 26,252,672 M.$ 1917.. 1,084,000 9,164,000 22,052,312 41.3 191$.. 1,910,000la,369.000 21,737,020 61.5 1919.. 1,503,000 7,256,000 31,962.304 22,7 1920*. 1,767,000 10,774.000 - 27,517,012 39.21 1921-. 1.108,000 8,029.009 80,507,834 26.3 1922.. 1,113.000 10,375,000 83,806,000 80.7 1928.. 2,014,00017,429,000 35,528,000 49.1 1924.. 8,469,000 81,547,000 40,906,000 77,0 1925.. 3,073,000 22,424,000 39,716,000 56,5 1920.. . 2,907,000 IS.692,000 40,186,000 . 46.3 1927.. 2,837,000 24,270,000 41,795,000 68.1 1928. 2,675,000 19.928,00041,896,000 47.4 1929.. 2,990,000 16,838,00041,710,000 ' 40-4 1930. .*8,092,000 921,309,000 29,105.000 73.8 1931, .*3,182,000 *11,800,000 *26,000,000 45.4 i Not available. 3 July l, 1981, tJ, S. Deportment of Agricul ture estimate. * September 1, 1931, U. S, Department of Agriculture estimate, * Estimate baaed on decreased consumption to date (September 18}. * Calculated from production, Imports and exports, not considering seed requirements, While there are many factors that have bad an influence on acres planted and the crop produced from year to year, the trend of flaxseed production In' the United States is quite definitely shown by the following five-year averages beginning with 1901 to 1930 :-- Bushels. 1901*05 1905-10 1911-15 1916-20 1921-25 1926-39 .............. -...................................... ....................................................... ...................................... .............. .............. ....................................................... 23,766,635 21,892,625 18,616.000 10,971,-800 17,960,800 29,200,000 - The first four figures show the' down ward trend that flaxseed production took in this country up to 1920. From that point on,., the figures show the progress that has been made In bringing the crop back to a point more nearly meeting this country's requirements. Although the 1930 planting originally estimated by the U.' S. Department of Agriculture of 4,389,000 acres was the largest on record, unfavorable weather conditions resulted In considerable aban donment in parts of the Dakotas and Montana and in many other sections re duced the yield per acre, so that the crop was considerably below tho 1930-31 re quirements, even in the face of the de crease in consumption due to business de pression. The unusual Intensity of the drought reported as the worst in forty years In Montana and large sections of North and' South Dakota, forced too rap idly to maturity the bulk of the crop, especially the late-sown fields. Thousands of acres of late flax in North Dakota were not even cut. Had it not been for the greatly in creased acreage, our North American crop would have been so small that the supply of domestic flax would have been insuf ficient to take care of actual needs until the new Argentine flax could be imported. One thing thoroughly demonstrated again In 1989 was the value of early planting as. compared with later plant ing. The results of later planting have been so unsatisfactory that the much better results obtained by early planting should make It a standard practice in the future. The early planting procedure will have the good effect of insuring a larger crop in future years, than If flax is looked upon as it has been in the past, as a crop to fill in largely by later plant- 24 October 20, 1931 o il ; pain t an d d r u g r epo r t er - c tng if weather conditions are encountered,- which make it impossible to plant wheat and other grain crops to the extent that the farmer originally planned. In February, 1330, at a meeting In Minneapolis of the flax development com mittee, with a committee representing the linseed crushers, the question was con sidered as to whether or not it was neces sary to continue the contribution that the flax development committee has been mak ing to the agricultural colleges for many years. The question had come up In the past but much more frequently during the last two or three years. Now a Sound Economic Crop It is a generally accepted fact that flax is now recognized as a sound economic crop and work on the growth of more ana better flax Is part of the program of each of the agricultural colleges of the four important flax-growing states, namely. North Dakota, South Dakota, Minnesota and Montana. In factj the status of the flax crop was now such that it was questionable whether the ne cessity for financial support from .outside sources existed any longer, Representatives of the colleges indi cated that there would be no lessening of interest on the part of the experiment stations in the promotion of flax produc tion, On August 16, 1930, Dr. H, L. Walster, dean of the school of agriculture of the North Dakota Agricultural College, recom mended consideration of the formation of a scientific institute to be known as the Flax Institute of the United States, to be located at the college. He pointed out that there was a precedent for such an institute in the existence of the Food Research Institute at Stanford University, the Armsby Institute of Animal Nutrition at Penn State .and the then newly pro posed Animal Institute at Wisconsin. North Dakota has been the center of flax production for many years. The North Dakota College's work has not only been the big contributing factor for that state growing half the flaxseed produced In the northwest, hut its work on disease re sistance varieties has also contributed- to a very large extent to the continued growth of flaxseed in (Minnesota, South Dakota and Montana. The idea of a flax Institute was so sound that the flax development Commit tee actively co-operated in its organiza tion and at the conclusion of the annual flax conference held under the auspices of the flax development committee in Min neapolis on March 9, 1931, the Flax In stitute of the United States was formed. Dr. H. D. "Walster was elected president. While the chief purpose for which the flax development committee was organ ized to maintain flax as- a domestic crop and Increase flaxseed production has been achieved, there remains much to be done to insure the permanency of flaxseed pro duction in the United States and to place the crop on a -more attractive and re munerative basis to the farmer. None of the varieties of flaxseed developed so far is all that may be desired. Greater re sistance to wilt and rust, larger seed varieties maturing sufficiently early, yield ing more and producing larger percentage of oil, must still be sought, . It is .proposed that the National Paint, Oil ana Varnish Association and the American Paint & varnish Manufactur ers' Association have representation in the flax institute through the medium of a special committee, thereby continuing the paint and varnisH industry's co-op- eratlon In flex development. The outstanding feature of the commit tee's 1939-31 activity was the arrange ment made with the North Dakota Agri cultural College for a Btudy of Argentine flax conditions by Professor Bolley who spent nearly nine months In South Amer ica In making his observations. The Argentine flax yield per acre from year to year la S3 1-3 percent to 56 per cent greater than the average yield in the United States.' Most of the Argentine seed for alze and oil content possesses ad vantages over the maior portion of the domestic crop. The purpose of Professor Bolley's study was to determine what there Is about Argentine flax growing that produces the greater yield per acre that might be In troduced In domestic production either by the use of varieties producing larger yields, greater oil content or more dlsease- resietant strains, ' Thus concludes the history of the suc cessful operation of one of the National Paint, OH and Varnish Association's and the American Paint, and Varnish Manu facturers Association's most Important and interesting committees after twenty- one years of continuous active service. The worn was made possible by the liberal and consistent financial subscrip tions of a representative group of the two associations' membership which enabled the committee to make substantial an nual contributions to the colleges of the flax' growing states with their experi mental and technical staffs. Credit must also bo given for the co-operation and financial support extended to the flax de velopment committee by the linoleum and lead and zinc manufacturers. Outstanding in the achievement of the committee Is the time and effort put Into fts carefully- planned- work by such men of happy memory as C. T, Nolan, J, W. Daniels, C. T, WetherlU, N. B. Gregg and L. T. Minehart, Others who made notable contribution are shown on the Committee list appearing elsewhere in this history. It writes another gratifying chapter of the results of our Associations* activity 'Tn The Public Service.'* President Frayser: Thank you, Mr. Nemzek. Gentlemen, you have heard thfr reading of the report by Chairman Nemzek of the flax committee. Gen eral manager, has there been any ac tion taken on this report? Action on Recommendations General Manager Horgan: In connec tion with this excellent report, both the executive committee and the board of directors of the association took the following action in connection with the several recommendations of the com mittee The first was the official discontinue the- early days, flaxseed was grown on members of the two associations, ; to- r to ijt ance of the flax development commit the prairies as a first sod crop. It had gather with a letter stressing the ef ber ] tee and Its replacement by the* flax committee as Mr. Nemzek haa out lined, That was approved and referred to the constitution and by-laws com mittee, and in- the report of-the con stitution and by-laws committee to- this convention, that change will be made. The second recommendation as to the appointment of F. C. Smith had the approval of both executive com- - mlttee and the board of directors, but' was passed on to the incoming presi dent of the association, who has the appointment of committees. The recommendation number three, as to an annual contribution of $1,000 by the association to the Flax Insti tute of the United States, was referred to the budget and finance committee, who have charge of the allocation of all amounts to the different activities now being conducted. Recommendation number four, which was the sending of official letters of appreciation, was heartily approved and the entire report and these recom mendations are now before this con vention for its action, . P. H. Callahan: I move that the the reputation of destroying the land more or less and taking away its fer tility. The mills that were established to take care of the flaxseed and give us linseed oil-soon ran out of material, and our linseed oil supply was threat ened, It was under these conditions that the paint, oil and varnish industry took up the matter to develop flax produc tion in the United States. They con tributes money, they assisted the col lection, they worked a great deal. To- ., day, their work has borne fruit. Today the necessity of the government, the states, and the public assisting in de- vetoping our natural resources and giving to us Independent sources of supply is recognized as a proper func tion of every State and of the national government, and that is due in great part , to the work of this association. Of course, I appreciate any compliment that la made to our late Mr. Nolan, hut in doing so, permit me to state further that he was enthusiastic, bread, genial, progressive, and encouraged everybody, but under the management. of Mr, Nemzek we have had a more ficiencies and economies that result to the , industry from a general acceptance otvfj the simplification program. It is further recommended that whenever any furthsr-vi simplification measures are adopted that such agreements be made a part of this-; program and that, as a notification to * the trade, a reprint of the entire program v! be mailed, together with a suitable letter calling attention to the changes that have " been made and that, further, a copy of:' this, program with a. letter be mailed to -.; the industry at least once in each year--* whether any changes have been made or not . ' .. Third:' Oil color .packages,' It. was recommended that consideration be given to the matter of standardization on: packages for oil colors, which undoubtedly involves a- package simplification on (til paste, goods that are regularly marketed ; on a poundage basis, ... It ia felt that this Is a matter that has been a subject of more or less discussion over a t period of years but that because a complete simplification and standardize-1.. tion program in thiB regard might neces-^1 sarily involve .changes in a long estab-^i fished' custom of the basis on which such products are merchandised, it has prob- ably.been considered almost too great an undertaking, . .^ There Is probably no- manufacturer that regularly makes and sells paste goods In" Fc The ferec prod have intre taint : and of s . unai .*whi: >`.:reta -. certi .felt aeco `view and . of e ,, CUSS - a -ci who slrn] lqto report be received and the recommen dations be adopted as outlined by our general manager, as approved by the directors, to confirm the action of the board of directors, in other words, on the recommendations made,. I should like to Include also thanks to the chairman for his magnificent report and particularly for his thoughtful ness in making a timely notice of the great service rendered by Mr. Nolan, who was in this work for a great many years. Comment by Mr. Cornish . thorough organization of work, a more comprehensive view of the possibili ties of the work, and the way to de velop it and make it perpetual without our further assistance. Therefore, that part of my friend's motion commend ing his work and the accomplishment he has made, I secoijd with the great est good will. President Frayser: Shall ' we ' take action on -this committee report? The motion has been made and seconded. All in favor indicate by saying Maye"; opposed, "no/* The motion is car ried, ' .` cans that .does not recognize the element of waste, and the several undesirable ? features oonneeted with . the present methods of packing such products, and, - therefore, this matter is on that should j deserve, our qvery consideration, because " of. the many economies that could be ef fected' through certain simplification In this regard. ' Some few years ago, through simplifica tion work, the 2 and 3 pound packages In paste goods were eliminated, and thereby the manufacturers, as well as the trade, were'able to effect certain economies, re sulting principally from a reduction In the number of sizes' of cans that were re quired and a consequent smaller investmeat In stocks, This simplification meas ; E. J, Cornish: I rise to second that General Manager' Horgan: , It has ure has been quite generally accepted in'1' motion and with your permission make this comment. Our association Is not aware today of the conditions that caused the first creation of the flax de velopment committee of the National Faint, Oil and Varnish Association. In been decided to transfer the matter of simplification and standardization to this afternoon's program, because of the lateness of the hour. ' (The meeting was then adjourned at 12:30 o'clock.) . . . ., the trade and at present these products 2 are quite commonly sold in 1,' 5. igu ^ and 26 pound packages. ' .While this standardization eliminated^ a large number of special size cans that- > necessarily had to be used because of the -v great variation in the'bulking values of-* j? s' c1 paste goods, the manufacturer is still \ obliged to use quite a large number of-- Third Business Session, Tuesday Afternoon special size cans, to satisfactorily pack and sell these products on a poundage (Tile meeting was convened at 2:20 o'clock. President Frayser presiding.) . President Frayser: The next item in our program is one that was de ferred from this morning's session, the report of the simplification and stand ardization committee. Mr. Melum, of Chicago, is chairman of this committee. It is a matter that is of vital im portance to our association and in dustry. Mr. Melum and his committee have put in a great deal of valuable work and have to present to this con vention a very, very splendid plan. As probably some of you know, Mr, Melum has not been in good health for the past few months, and added to that, recently he was in Washington and was caught in an automobile accident which only added to' his troubles,. He and that no action need be taken In this regard. ' Second: Limitations pertaining to vari ous commodities. A review of the limita tions of the simplification program that waa quite generally accepted by the in dustry to become effective July T, 1926, was considered In connection with the recommendations that were made to your committee following the last annual re port of the simplification committee and the action that was taken regarding same at the annual meeting last fall. . , Elimination# Favored ' , A final compilation of the-answers to the questionnaire that was sent out In August, 1936, indicates the following: In answer to the question of eliminating the hslf-gallon-elze can for all paint products, 04.6 percent were In-favor of the elimination and 29,J. percent were opposed to It,-'with 6.4 percent voting conditionally. - basts in the sizes that are now marketed The number of these cane varies, of - course, with the different concerns, de pending upon the various combinations In . sizes in cans that are used for the pur pose. It is estimated that there are ap- - proxlmately 25 special sizes In cane used in the industry for paste goods and, when ' it is considered that In many Instances the regular liquid measure cons are also used for this purpose, it develops that. there are probably as many as 30 dif ferent slzea in cans that are used in the Industry for packing paste goods. Further more, because of the desire of manufac turers to confine themselves to as few [l special size cans as possible, many of the cans that are now sold are only partially filled because of the variation in the bulking value of the different products, and a certain waste is encountered in thte regard by not utilizing the full value of the package. , 1 . ord tha aid' the ,sho era 3 Me tal < all a: a: ou yo- has, -therefore, requested Mr. Martin, of his home town, Wells Martin, who was president of the American Paint and . Varnish Manufacturers Associa tion last year, to present the report Of : hts committee; Mr. Martin,, please, " 1 .Wells -Martin then read the report] of the committee on simplification and standardization as follows:-- : Simplification and ' -In answer to the question of eliminating the halfrgellon-Blze can for all varnishes, 66.8 per Committee Recommendations . - cent were In favor of the elimination and 32 ' Following a rather extensive Investiga percent were opposed; to it, With ' 2,7 percent tion and study of this particular subject,. rvoting conditionally., . ' . . . . your committee submits for your consld- In answer to the 'question of eliminating half-plnt-size can In house paint, 90 percent voted In favor of the elimination. - In answer to-the question of eliminating the - quarter-ptnt-alre can In house paint, 66.4 per cent .voted In favor of the elimination.... , eratlon a plan whereby standard liquid measure packages will be used for the purpose and that the sizes be limited to three--namely, the half-pint, quarter-' gallon and gallon can. The plan Is one ; that would not only permit of the reduc . The committee recommends; -therefore, tion of the number of sizes commonly that the simplification program effective July 1, 1926, as printed In our yearbook, be amended as follows:*-- '- packed and sold, but as well to permit of filling these packages to the full amount . that each would contain, which would ' pn COl xtiron bu Wf Ufl ap an so> thse> Standardization . The joint . simplification committee, representing the American P&int-and Var nish Manufacturers' Association, Inc., and the National Paint,. Oil and Varnish As sociation, Inc., has investigated practices that are followed in the Industry pertain ing to the number of and sizes of contain ers used and the number .of tints and colors marketed in the various lines of products, as well as ways and means of effecting certain economies in manufac turing and distribution through such sim plification and standardization In these practices that would satisfy the consum ing demand. ' 1. Half-gallon canB shall be eliminated from t-he following additional products:--"j . Varnish fitafns ' . . Roof paints . -. ','-J-- :Bam paints1 - :`v 11 : Aluminum - paints ' - Auto top dressing " 2. Half-pint cans Shall be eliminated from first-grade house paint and first grade fiat, paint. i. . . 3. Quarter-pint cans shall be- eliminated from all -house paint and fiat paint. 4. -Discontinue restriction covered by Item number 3 pertaining to the elimination of pint cane from. interior floor-paints, floor enamels,- and exterior porch floor paints. - ' 6. The maximum number of shades -produced In house paints be changed from 28-to 32. exclusive of black and white. 6. The maximum number of shades pro bulk standard liquid measure in the three sizes. -Because of the varying weights that would he encountered In this pro cedure, it Would necessitate that costs and selling prices be established on the vari ous cans according to the weight that each paokage 'contained, and to designate them as half-pint, quart and gallon. There is much that might be .said'about a program of standardization in this, re* plan would give the dealer a utiirorm size in his packages for liquid and paste goods and thereby very ma terially improve the appearance of the stock of paint products on a dealer's shelves. The large variation tn sizes of cans for paste, goods today surely con-*, tributes a great deal to the unattraotive- th cu W; th ar th re in tb A distinction was made in matters con sidered as between those which' pertain duced In enamels he changed from 14 to 18, exclusive of bleek and-whlte. ... , ness of a stock of paint products. Thai plan would increase the efficiency of shelf hi to- simplification and standardization In trade practices as to the number of and sizes of containers that are used, and the number of tints and colors marketed In various linos of products, and those which relate to individual choice in the selection of tints and colors and the types of containers and packages. * . The opinion is that the single container on which a price is based and the num ber of tints and colors In a line of prod ucts establishes the market and general demand, but that the style and quality of a container, as well as how the containers are packed for- shipment and the selection of the tints and colors, is something that must of necessity be left with the indi vidual manufacturer. From the! Information at our disposal, It Is the opinion o your committee that a necessarily large enough majority has not indicated a. desire for any further simplification measures'at th(g time to warrant any more extensive action. It would seem from the -past experiences that a greater Interest would be mani fested and more would be accomplished in simplification work over a-period of years If a plan would be followed of con sidering but a few items each year, on which no doubt a common agreement' could be reached.* than to attempt the adoption of a rather comprehensive pro-' gram at any speoiflo time, , . . Publicity for Program . and bin apace. It would simplify prac tices In manufacturing tremendously by eliminating many sizes of cans that a manufacturer now Is compelled to bur and that are made especially for his re quirements. This simplified program should bring about considerable economy in ' manu- J factoring In the matter of theadaptabll-J ity'of standard packing containers 'andpacking and labeling equipment, and la th matter of packing boxes ip which1 paste goods are shipped. While at pres-, ent many special sizes of. packing boxes' are carried in stock for paste goods prod ucts, it Is almost Impracticable to carry] enough sizes in packing boxes to satis-factorily. pack .orders for cans of paste] al di c< tl ti a] ci P1 <1 ti tx tl e; .c Due consideration was given to sim plification activities from the inception, of the simplification committee work in 1919, and with particular reference to the an swers received from the questionnaire that was submitted to the industry in August, 1930. As a result, the following Is sub mitted for your consideration: First: Fibre packages. It is the con sensus of opinion that this is a subject that has to do with the practices followed in the industry in the packing of con tainers for shipment ana, as such, does not directly come under the Jurisdiction of the simplification committee and that, inasmuch as the industry has quite gen erally adopted the use of the fiber pack age, it is a matter that could further well be left to the Individual manufacturer Your committee feels that much value in simplification and-: standardization practices Is lost through a lack of knowl edge in the Industry of-the limitations of the .simplification program, that was agreed upon to become effective July 1, 1926, This is accepted by many-as astandard to be governed by In the indus try, and, no doubt, it would be accepted more generally If greater publicity were given It, It would Beem highly desirable to endeavor to establish this simplifica tion program as a standard that would be generally recognized in the Industry and your committee recommends, there fore, that this simplification program be' amended as outlined above and be mailed to every pafnt manufacturer tn the'. United States, whether members or non- goods and, consequently, there is ver?"* little standardization In this regard and much of these products go out packed' lit odd size boxes where sawdust or other! packing material necessarily is used. I -Under this proposed simplification, the packing boxes that are now used for the packing of liquid products could be usedJ and thereby eliminate the necessity of any special boxes for paste goods, 7 .There is no question, too, but what the] products would be In better conditloi when packed to a full maximum capacity of the cane as against the condition where' cans are only partly filled. >? Your Committee recommends this to'yob bellev.ng that it is a subject well worthy] of the consideration of the Industry ' anf1 that this plan a submitted be aaoptei tl b t! ti b ti ,V & OIL, PAINT AND DRUG REPORTER. October 20, 1931 25 ;her|l vra.np VOlLPu.on*5-g has'fj iton-T-; us.S; m become effective on or before Septem-. |ber 3, 1932. , ^Fourth:--Additional sizes In containers. Elhe two-gallon pail has recently been of- fofered to the trade on certain painters1 products In some localities and seems to |]}ftve met with quite same favor. The ^Introduction of additional sizes In con-' &iainers Is considered to be unwarranted Band decidedly detrimental to the Interests |of simplification, and. your committee is I'utranlmously opposed to such practices. I-While it is considered rathor difficult to ifetttard any such activities on the part of ^certain manufacturers, your committee I'felt that possibly a great deal might be E accomplished through a personal inter- sr.vtew on the part of a committee member, land the manufacturer when the advantage gf of simplification .practices might be dis " cussed. It is recognized that where such jLfl.', condition exists that a manufacturer. tjyho might be in entire sympathy with simplification practices would be forced tato adopting' new sizes In containers: In iichtj > Wells Martin Reported on Simplification - jrf' J 0i ' ... WWfi ict* -ll-J nind-". 8 ift order to properly meet competition, but ....that in so doing, It Is desirable to con- $ ; aider same as a local matter and. that the new sizes adopted such conditions '"should not be offered1 to the trade gen erally. ' .President Frayser: Thank you, Mr. .{ Martin. Mr. Horgan, was any action ; " taken on thia report? . . ' General Manager Horgan: While we appreciate that thia essentially. is a manufacturers Job, this does affect' ?:';a sizeable number of the members of Sour all-inclusive- association,, and as you will notice from Mr. Martin's iV; presentation of the report, ft is a joint committee reporting for both aasocia-' & ttona* Thia report had the endorse--' merit and approval of the educational v bureau meeting In Washington last :y. week, at which all of the leading man- l .uf&cturers were represented.-It has the ; approval of the executive committee, . and the board of directors of this as- `"soclatfOR, and the matter is now before i the convention for such action as you see fit to take on tt, . Mr. Callahan:. I move we concur in the recommendations. 'L (The motion was seconded.) ; Simplification Discussed President Frayser: la there any dis- cbesion on this subject? ;Mr. Yarnetl: I would like to Inquire ' why it was felt desirable to Increase the number of colors in mixed paints and enamels. _ _ ' Mr. Martin: I belfeve that that was the result of the answers that were received to the questionnaire, indicat ing the desire of the manufacturers that there ' be thirty-two colors in bouse paints as a minimum. General Manager Horgan: I might also say that all of these recommen dations are based on the replies re ceived from that questionnaire, and the questionnaire was first sent out to the members of the educational bureau, as that body is composed of the prin cipal manufacturers and one hundred percent answers were received on the questionnaire. Mr. Trigg: I understand that thirty- two colors Is the maximum. It doesn't mean that a manufacturer must put up thirty-two colors. He can have eighteen colors if he wants to, or any . other number, but If !t is adopted it Would mean that we all agree, that thirty-two is the maximum that should be put out. I would like to suggest that if there are any jobbers or re tailers present In the meeting. It would be very interesting to manufacturers to have their viewpoint with respect to this program. President Frayser: Are there any. Jobbers or retailers here who would care to give us their opinion about the proposed program? General Manager Horgan: I might aay that the distributors who are pres ent at this convention were Invited, of course, to participate In all the pro gram, but in trying to work out a time to hold their- semi-annual directors' meeting, .-(they usually have it while they are attending this convention) it seemed- most convenient for then* to have their directors' meeting this aft ernoon,, so I don't think'they are rep resented at this time,. 1 - President Frayser: Is there any fur ther discussion of this-report? If not, are you ready for the question? (The question was put to a vote and carried.) ' Educational Bureau President Frayser:- ' Gentlemen, the next feature on our program Is that of the educational bureau,. For your information, or for .the information of. some who may be present for the first time, our organization, as the result of . our reorganization plan,, appoints, representatives to the extent of 60 per-< cent of the educational bureau. We are very fortunate in having with us this afternoon, Mr. Trigg, who is chairman of that bureau, whom all of you know and know of the splendid work he has. done in connection with the Interests of our industry and our association. If I may,: I will ask Mr; Trigg to take the chair and to conduct this topic. (Mr; Trigg assumed the chair.) . ' Mr. Trigg's Report.. Chairman Trigg.--Mr. President and gentlemen:--Your president has referred to the fact that this Is the first time that the educational bureau as such has made a report direct to a meeting of the Na tional Paint, Oil and Varnish Association, and because of that fact, It may be. in teresting to you men to have a very brief review . historically of the educational bureau and how it has come Into existence and how It- functions and what it Is try ing to do. In 1906, the Paint Manufacturers As sociation of the United. States, as . the . manufacturing association was then called, had an advertising committee, of which. Ludlngton Patton was chairman, and with his usual aggressive Ideas about things with which he is associated, he under took through that committee to develop some constructive policies which might be of benefit to the industry as a whole. It was not possible, apparently, to make. a great deal .of progress, although the committee .met- frequently and worked diligently. . . In 1907, Mr. Patton was elected presi dent of the Manufacturers Association, arid' upon hie taking the presidency of the association, he appointed, as chairman of the then so-called advertising commit tee, Norris B. Gregg. Mr, Gregg, in that thorough, far-seeing way of his, took, up the work with renewed, energy, gathered about him a group of men Interested un selfishly in the development of the best interests of the industry as a whole, and commenced to develop the plans and pro grams -for the' future, The plana and programs then developed I think turned out to be more- far-reaching and more beneficial to-the Industry than even, those men, Including Mr, Gregg, who formulated them, realized. - .. .. as an Industry, a connection and a stand ing which would not have been possible In any other manner.' Another man who was very active hi those days and had many creative thoughts was a man known to many of you, Tom Neal, of the Acme White Lead and Color Work. Mr. Neal Is no longer active in the Industry, although he Is a member ex-ofticio or the educational bureau. Mr. Neal had many thoughts and suggestions with regard to the work that this body might do In the interest of the Industry as a whole. I remember, for instance, how Tom Neal was respon sible for the Idea of the manufacturers' meeting now and then with real outstand ing representatives of the master painters craft. There were many such meetings where the educational bureau met at dif ferent places with six or eight or a dozen of the master painters of the country from different sections, where we got ac quainted, where we talked impersonally about our mutual problems, and laid a foundation of confidence between the master' painters of the country and the paint manufacturers which I think we all realize had not existed up to that time. Tom Neal was responsible for bringing the educational bureau representing the industry Into the same kind of personal contact with the architects of the country. There were a number of meetings between the bureau and groups of architects repre senting the American Institute of Archi tects at different places. I see George Heckel has Just come into the room, I am sure he will remember the meetings and the occasions that I am talking about, particularly one interesting meeting which was held in Detroit with the architects where I feel that a very great amount of good was done for the benefit of the Industry and the enlightenment of the architects. The Educational Bureau has functioned In a pretty broad way. It has carefully refrained, and does carefully refrain from encroaching upon the activities of any committee or group in our assoelatlonal activities which Is handling a specific problem, although the educational bureau Invariably has Interests in all of the problems of the Industry and places it self, morally and in every, other possible way, back of all of the activities of the industry that It considers are for its best welfare. . ` Fruits of Committee Work Out of the educational bureau have developed- a number of projects which have become matters of specific commit tee attention, which have been turned over by the educational bureau to the various committees; but always with the sympathetic, continued Interest and sup port of the educational bureau.. I refer particularly to such matters as-,the flag development committee, something which developed inside of the educational bureau as a result of Its discussion. That ac tivity was launched as a separate, Inde pendent one, but always with th$ educa tional bureau back of and supporting It In every way It could. '; I think of the question of soybean de velopment In the United States. At'XIeaBt fifteen years ago, I should Bay, the* edu cational bureau went Into the question of soybean growth In this country,,' As Promotion and Publicity I think one of the. first definite ac tivities which the committee took- up In a general, broad way for the Interest of the industry, was the creation of a .pub licity and promotion '. department.4 This department'or division of the committee's work opened ah office in Chicago, secured a list of something over' 40,009 dealers throughout the United States, to whom, for a comparatively long period of time, it mailed regularly periodical letters, cir cular letters' and reading matter of vari ous kinds* having to do with the paint industry.,,,T believe that I am merely stating a'fact when I say to you men that the foundation so laid-through educa tional' work with-over 40,000 dealers in the United States was really , the begin ning of a greater paint consciousness on the part' of dealers and merchants gen erally, the beginning of a realisation upon their part-that the paint department in their stores was, after all, something to which they should give more attention and that. it held opportunities for increased volume of business and increased.profits' to them, .. >, .. ` ' About that time,'! think in 1907, be cause of the broadened scope of the work of the committee, its name was changed to the committee on promotion and de velopment, and the committee continued under that name for, I believe, two years more, when It was then changed, be cause of its still widened scope, to the educational bureau, i- ' . . . Ernest T. Trigg Chairman, Educational Bureau Scientific Section Added ; '' ' It was about that time, that out of the fertile brains of Robert Perry, grew the Idea of a scientific section. I think per haps there are men sitting In this meet ing room today who were present In the early' discussions originated by Robert Perry, urging the thought that this great Industry should take Into Its own hands, Impersonally and Impartially, the future scientific development of the problems- of the Industry as a whole. It was recog nized by the educational bureau at that time, and has been ever since, that any thing which Is not good for the public is hot good for the Industry, and It was on that basts that the scientific section of the educational bureau was created, and Bob Perry, during the continuance of his active years in the paint Industry, directed and., fathered- that particular work. If Bob Perry did nothing else for the industry he did render it a very great service In bringing in as a young man, Dr. Gardner, to assist him with this work. I need not go Into details with you as to the value of the work which Dr. Gardner In the scientific section has done for the Industry. The work has been developed along such sound lines that today the scientific section under Dr, Gardner Is recognized as the paint authority on all matters that have to do with the industry in a broad; general way. It has given us, a result, it arranged with Mr, Nemzek to make a trip 'at that time to all of the agricultural colleges in each state of the union. Mr. Nemzek, I think, traveled seme fifteen or twenty thousand mileB on that trip, making a round-up all over the country, doubling back over his tracks In some cases,' but laying a foundation for the growth and development of soybeans in thia country. The tung oil development has con stantly had the sympathetic BUpport and cooperation of the educational bureau. The save the surface campaign came out of the educational bureau, and while a separate committee has long functioned In that activity, nevertheless It has always been under the general direction and supervielon of the educational bureau. I don't believe it would be possible, men, for any committee representing an Industry or an association to take their Jobs more seriously than do the members of the educational bureau, "While we are very excellently organized, while we have different departments which are carrying on the various routine detail work, there are nevertheless many Important problems which come before each educational bureau meeting and which have to he disposed of. That Is probably more true now than It was before, since our.reor ganization plans and the financial respon- slbillty which you have placed upon the educational bureau. Just to see what the figures were, I have looked back over the record of attendance at the meetings of the educational bureau for the laet three years. I might have gone back longer but I only took the three-year period, and during that period, I am sure you will be Interested- In knowing that the average percentage of attendance of every meet ing of the bureau for three years has been a fraction over 93 percent. I think you men who are familiar with committee work wiil realize that that shows a very keen, fine interest in the work which the bureau is doing. Tribute to Officials I have referred to the fact that the work is welt organized. It is well or ganized. Dr. Gardner, at the head of the scientific section, Is doing a master ful Job. Since the consolidation of the work of the association which occurred several years ago, we have had the close personal co-operation and intere* of Mr, Horgan in the business aspects of our work, and I want to say to you men that that has meant a very great deal for the benefit of the bureau Itself. Mr. Horgan's interest in the work, hfg knowledge of the things to be done, and his acquaintance throughout the indus try, has been invaluable to us. Then, of cours, we always have our old friend, George Hecket, sitting with us. We have him to fall back on for counsel and advice, suggestions, Inspira tion. George Heckel has been a member associated with the educational bureau from its earliest days. I don't think there is any man who has contributed more to the growth of the big idea In the educational bureau than George Heckel has. I think he has probably done more for it through his vision and through his co-operation with men in bringing about a meeting of minds, for the suc cess of this work, than the members of roe Bureau themselves realize or even George himself knows. 1 to take this opportunity to specifically refer to one of the latest real activities of the bureau, and that Is the completion of the structure which stands m Washington known as the Gregg Me morial, That idea, the Idea of taking over the property that was then being used by Dr. Gardner but which did not belong to the Industry, the idea of taking it over and enlarging It and making it a practical shrine to which the industry as a whole might go to worship, If I may use that term from an Industrial standpoint, came from one of the stalata 5. tte educational bureau, Charlie Roh.. That was hie idea. I -well remem ber when he advanced it first and the acclaim with which it was received by the members of the educational bureu, and it wa3 Charlie Roh who stayed with this proposition, who worried through the many detailed ramifications attendant upon the completion of the job and who brought it through to its successful culmi nation as it stands there today. And while I think the Norris Gregg Memorial la a mighty fine thing from a practical standpoint, because it gives ue a place where we now have housed all of the activities of the- industry--it is the home of our assoelatlonal activities-- while I think that Is extremely impor tant, I do think that it has a value from what, If I may be permitted to use the form, might be called the spiritual side of the industry's welfare that Is even greater than the practical side of It, and by using the word spiritual I mean to refer to the effect It has upon the spirit of this industry in this generation and will have, I am confident, upon the spirit of the Industry in all of the gen erations that are ahead of us. I verily believe, men and women, that this Nor ris B, Gregg Memorial, standing there as it does In Washington, is going to be an Inspiration to other generations that are going to follow along after us which will cause them to maintain and further improve and elevate the morale, the standards, the ethics, the principles of this great industry of ours. Membership in the Bureau Your preslden has referred to the In terest the National Paint, Oil and Var nish Association now has in the educa tional bureau. As he has told you, 60 percent of Its membership now comes from the National Paint, Oil and Var nish Association, being appointed by your president, and the other 50 . percent of the membership, on a carefully worked out apportionment plan, are appointed by the president of the American Paint and Varnish Manufacturers' Association, So the National Paint, Oil and Varnish As sociation has a very direct and real in terest in the educational bureau and the educational bureau has a very direct and real Interest in the National Paint, Oil and Varnish Association, and that Is as it should be. The National Paint, Oil and Varnish Association has been in existence for forty-four years. It is the parent or ganization of the paint and varnish In dustry. It is the one organization which numbers in its membership representa tives from all branches of the indus try. I think you will agree with me that in this day and time at least the only expressions which are effective In our respective seats of government, whether they be state or national, are those ex pressions which are known to come from an industry as a whole rather than from some one branch of an industry because, while a single branch of an Industry may be perfectly honest and con scientious In the expressions which tt makes, nevertheless there is the thought which cannot be gotten away from that it has selfish motives back of what It has to say. But this association, which rep resents the raw material manufacturers, the package manufacturers, the impor ters, the dealers in raw materials, the paint and varnish and lacquer manufac turers as such, the Jobbers and1 the deal ers and the master painters, represent ing all branches of the industry, gives to US a piece of machinery that 1b as nearly perfect as it Is possible for an InduBtry to set up. _ __ . We heard a wonderful talk by Dr, Klein this morning which was full of sugges tion and certainly must have caused u all to think and will cause us to do more 26 October 20t 1931 OIL. . PAINT AND . DRUG REPORTER 'M thinking when we get back hope. Dr. Klein represents, from the standpoint oi ,, all business, the Department of Commerce of the United States, just what we repre sent so far as our Industry as a whole la concerned. Dr. Klein, as the assistant Secretary of Commerce, le considering business problems of all industry Imper sonally and impartially- We, In our Na tional Paint, Oil and Varnish Association, do and should continue to consider all of the problems that are specific to our in dustry in that same kind of a fair, im partial, and unselfish manner. I don't think we have made all tne progress that we might make along that line. I think that we have had and do have opportunities for improving our own conditions, that as an industry we should be realizing on. I think that applies to all of the units of the industry as well as to the industry as a whole. For ex ample, within the last year, your whole scheme of associational activities has been very definitely and drastically re vised. It was said that it was Impossible atocticvuittietshefroemxpPe$n5Gse0s,00o0f aoyuer aar stsoo5c2ia0t0io,0n0a0l a year, but that has been done and the impossible Is a reality today. I wonder, fn considering our own individual prob lems as separate unite in the industry, if we have applied during these times ot difficulties through which we are going, if we have tried to apply the same gen eral rule- of reorganization and of econ omies in so far as our own businesses are concerned. I think the National Paint, Oil and Varnish Association, m conjunc tion with the American Paint and Varnish Manufacturers' Association, set a wonder ful example to the members of this in dustry In the job that it tackled and put through the way it did twelve monthsago. Are we taking advantage to the full or that opportunity? Necessity for Individual Action I am so full of the things which Dr* Klein said to me this morning that I can t help but refer to that one thing in par ticular. I was very much impressed with one other point which Dr. Klein brought out, namely, the necessity for individual digging Into this proposition. I was told the other day by the president or the Philadelphia Electric Company, of an Italian workman who appeared at his front door one morning while he was eat ing breakfast. He sent in word that he wanted to do some masonry work, and this man sent back word that he hadn t any for him to do. He finished his breakfast, and when he was ready to go In to town, he came out the front door and here was the Italian sitting there waiting for him. He didn't let that first "no" discourage him, and he said, Mr. Taylor. I have .got to talk to you. I think you do want some work done around here." Then he showed him some cement work which was In bad shape on the steps and sidewalk. Finally, Mr. Taylor said, "What will you charge for It? He said, "I will do it for ten dollars." Mr. Taylor said, `All right, go ahead; you can have that job." 1 So he did a good job, but when he got through with it Mr. Taylor looked it over with him, and then this man said, "Now I found some other things that you ought to have done around here." As a result of that, he got another Job, merely because he was persistent and stayed with the proposition. It seems to me we can listen to talks about the effect of the tariff and the ef fect of taxes and the effect of this and that and the other thing on business, and that this and that and something, else is responsible for it, but after all I wonder tf the real job that we have got ahead of us isn't a job of just working as hard as we can, as intelligently as we can, refus ing to take "no," and sticking to the proposition to the end that we are going to work out our own individual busi nesses. ,^ ^ . I agree with Dr. Klein's thought, that It is Better to look ahead and not be a woofus bird, but someone who is looking ahead to see what is coming instead of backward. _ I was in Minneapolis recently. You know that is the home of farming Inter ests, and everything they think of there is in terms of the farm and the farmer, I heard a story that I want to tell you. I thought it was rather good and per tinent. A man wanted to buy a new hunting dog, a beagle dog, so he went to kennels where they sola them, found the dog he wanted, and said, "All right, I will take that dog." , , ,, ... They said, "We couldn't sell you that dog alone because he has never been separated from these other two. They are all from the same litter, and we couldn't separate them," To make a long story short, be bought the three dogs and took them home. The first thing ho did was to name them. He named one Merchant, one Banker, and one Farmer. ,, ,, The following Sunday he took the three dogs out in the country to try them out. When he came home his wife said, "How did the dogs behave?" A ^ He said, ".They behaved true to form. I got out in the country a little way when Merchant hopped out of the car off into the bushes, rustled around and came back with a rabbit in his mouth. Banker oat there and saw what had happened and Immediately hopped out of the car and took the rabbit away from Mer- <So his wife said, "Well, what did Far mer do?" . t. "Oh," he said, "he acted true to form, too. He just sat there and howled." I wonder it we naven-c mayoe, some of us. been doing too much of that sort of thing, talking too much about condi tions Instead of Being like this Italian who went out and rustled for a job. and got it. - My duty today, having given you this rather rambling history of the educa tional bureau, is to present to you the active men In the organization. First, I am going to call on Dr. Gardner for the scientific section. Mr. Gardner Speaks H. A, Gardner then addressed the meeting, outlining the work which the scientific section had done along the following lines: -- 'jraollo add. A simple gloss meter. Color ohange in light tinted ipalnts. Protective coatings for pipe lines, , Properties of lacquer pl&aticlzers. Finishes for oak floors. Abrasion and Impact resistance of finishes, Because of the close relationship be tween*,the educational bureau and,- the unfair competition bureau and because- of the fact that Mr. Patton, .who is chairman of the unfair competition ion, it is as well that two avenues of approach are al.ways open, We come now to a typical case which, travels the full course from Informal ap-$ plication for investigation to a final order.4.5 of the commission. First, there is .the,): guag rules yi-:'anOaf gpubl: ^.ald i Aging of gloss oils. Glycerin phthalat resins patent search Sulphur in varnishes. . Solid lung oil, Test stations in Florida, New tang oil plantings. Inspection of quick drying bouse paints. Determination, and correlation of viscosity- data. &0i) articles and patents translated and ab stracted. Unfair competition bureau analyses. Work v?it\ publicity section, correcting arti cles. Articles prepared for association publications; National Association of Building Owners and Managers; Hotel Bulletin; Pratt Institute, etc. Co-operation, with, iumbec associations;--Oak Flooring Association; Cypress Association; Na- t:rnai Lumber Manufacturers' Association, Work with A. S. T. M.; American Chemical Society; Federal Specifications Committee; production clubs; Tariff Commission; Depart committee can't be here this afternoon, we are sort of consolidating the two activities, and I am. going to call upon Mr, Dabney, if he is present now, to report for Mr. Patton, as chairman of the unfair competition committee. Mr, Dabney has. taken a. lot of very con structive interest in this work, , and I am sure has some things to say to you of very great interest. Mr. Dabney Reports W> C^DabneyMr; Trigg has called on me to serve for ;Mr. Patton and Mr. Patton has asked me .this afternoon to make clear to you the functions of the unfair competition committee. This com mittee is set .up to select the personnel Investigation by the unfair competition.'/' :':.thB bureau. We begin, then, with the opinion* ''.imov of two men that there is at least a prituajg .'of O' facie case, or better. -If- the' matter is then `laid *be-f-o--r-e- "th-ea ?: fi.with Federal Trade Commission, a field exam-/: iner checks the facts from the original* k-y n < sources -of information. Hearsay "evidence '%varii is disregarded and original evidence only.:? is considered, It is the duty of this ex- * S'eaid f-role aminer not only to see the applicants but,. with the proposed respondent as well. The ;; name of the complaining party Is not dla-: |f-ed'Jipffge3 closed. After the facts have been devel oped from all available sources, the field" examiner makes his report and recoin- .- mendation. This is reviewed by the chief examiner, who may disagree or concur in the recommendation, or.require further;- facts, 1 Thus far, we have four opinions on g*. raisf ?.- fectl $:raen t&tlon, te we i kvflna] t-yCOUT ment of -Commerce; Army; Navy; Building and Housing Committee, Work under way In laboratories;-- Terminology--Wobater's dictionary. Quick drying pnJr.t exposures, S'udy of 'Kauri reduction, Anti-oxidants for varnishes. . [Primers -for plaster walls. Non-drying of black and blue enamels. Accelerated cycles for interior finishes. Yellowing testa on several hundred mixtures. Cellulose acetate plasticizers. . Ultraviolet light studies on oils and pig ments, of the unfair competition -bureau and to pass on the financial set-up of the unfair competition bureau. . The- unfair - competition committee has no knowledge whatever of any pending investigations that are being carried bn by the unfair competition bureau, and their first information regarding any cases that have been cited by the Federal Trade Commission is when the Federal Trade Commission places the releases concerning these individual cases on their press table. '. . matters of law and questions of fact. Doubtful or difficult cases go to the board of review, , If that board is notsatisfied that the facts have been fully developed-,' the case Is sent back for' further investigation. If it believes that'a complaint should issue, It grants theproposed respondent a second opportunity to present his side of the controversy. 1 It may be remembered that in criminalcases the defendant has no opportunity to appear before the Grand Jury, nor any opportunity to offer a defense until in t 'Uofflc v-'rant t&.-Inqv ' exei in t is i f five anti bee; Improving lung oil gel tests. Surface tension of paint liquids, Antl-^kiniiing of enamels. Organic acids for adding gloss and prevent ing settling. Developing apparatus for brushing properties --for determining hiding power. Study of-catalysts for speeding the `heat bodying and blowing of oils. Mr. Gardner: I had down here a little comment on the subjet of protection of pipelines. I really think that offers a tremendous future for the varnish and paint industry during the nekt four or five years, I think Dr, Klein this morn- The by-laws of the American Faint and VarnJstl'Tkrdnufacturers Association, pre scribe that the unfair competition bureau operate, under the general supervision of the unfair competition committee. These by-laws set forth that it is the duty of the unfair competition bureau to co-op- erate with the Federal Trade Commission and other national and state agencies in the suppression of all forms of untalr competition, especially bribery or graft' mislabeling and misrepresentation. Before introducing Mr, MoFadden and Mr. MacDonald of the unfair competition bureau, 1 wanted the members of the Na-. tlonai Paint, oil and Varnish Association he goes to trial. The..same is true In :T a civil suit. tho*. "We now have eight opinions on tUhIeQsHeV 1 J,i. - casi questions of law and fact, and in addl- ' ,r fac< titlci n, tho p--r-o-p--osed' responden1t a`lw7aayvs has. ' &&' whf one and frequently has two opportuni The ties to present a defense before a com*)' the plaint Issues, and, of course, he has full- Shi: opportunity to cross-examine and present - this witnesses at the trial of the case. As bur stated In the last annual report of the offi< commission, "Only after most careful ptrs scrutiny" ie a complaint issued. : SUET ' Many: Opinions Obtained ; we clai After the hearings, the trial examiner' ' oth to understand and appreciate the- func examines the record and prepares the 1 tions of the unfair competition committee. I wanted them to ^realize that the unfair competition committee because of Its method of operating and the very set-up of this committee and the unfair com findings, which may he excepted to by either side, and are finally passed on by' the commission. It will be seen that four teen people have now passed on the lawand the facts which have been developed. pie' Trr c : wa; : the . hae petition bureau, takes absolutely no part and' has no knowledge of any pending Investigations, Now X would like to say a word regard It is always possible in human affairs for errors to occur, but it'will be seen that every possible and reasonable pre-: caution has 'been taken to avoid un-. ori; . con Pjc tlo) Ing publicity. There has been absolutely no publicity in connection with any cases cited by the Federal Trade Commission until the commission Itself has placed' the official documents concerning that In founded complaints, ' This is the policy of the government It Is also the policy of the bureau, and It meets, I am sure, the approval of the entire industry. . ap: affl Tn I of W1 dividual case on the press .table-for re lease, r ' ........ . ' The unfair competition .bureau, recog- nixing'that the publicity w r b and is its most successful method - of correcting these abusesj has .seen to it that the trade press' receives the official bulletins of the Federal Trade Commission promptly uuon It Is perhaps owing in part, to this conservative policy that the batting average of the bureau is high. So far, of the bribery cases submitted to the commission by the bureau, not one that has been tried-on its. merits has failed.' Only one case (one which was brought against the advice of the -bureau) was :a 1 wh ISS' v , pOI . the coi me their release. ' -'7 dismissed. I am sure that I speak for the entire Owing to the commission's practice of membership'of this committee when`I say settling misbranding and advertising < that if and when the Federal Trade Com mission dismisses any of these cases, -the .committee will feel a moral obligation to cases by* stipulation. It is not always possible to determine the final outcome of such applications for investigation, but ml tw dei see that the same amount of publicity is as the same careful procedure la followed, Pa given to their dismissal as was given to we have every reason to hope, and be Co the original official Federal Trade Com mission bulletin. . . lieve that the results are comparable with those m contested cases, So: tio I now take pleasure in presenting Mr. MacDonald, counsel of- the unfair com petition bureau, who will talk-to- you about the work of-that bureau. 7 It should always be borne In mind that neither the ..bureau, nor .any member of the Industry can control official action. When formal complaints Issue from the commission, they are based solely on the Ca MS ag ad six W. C. Dabney / Mr. MacDonald's Address Reported on Unfair Competition . M. Q, MacDonald: I have'been asked to spend about five minutes in outlining very ing mentioned pipe lines and the neces-: slty of putting through different parte of the country these lines, and ultimately : that they might replace the railroads. It Is conceivable, of course, that pipelines. could be. put from Florida to New York' carrying orange juice; It is not a drearaJit Is a possibility. A pipeline might run results of the government's Independent Investigation, and the final results depend solely upon evidence adduced at a public hearing, Tho complaint, the respondent's answer, the testimony, the findings, and the final order of the commission are all public records, and It is upon these public rec ords only that the bureau bases its pub licity, Mr, Dabney. Thank you very much, I would now like to introduce Mr. McFadden, who Is manager of the unfair com petition bureau. V- .' Vi: ' e'J t:,V. tin th St) of we tic Mi ar ml yo ga ab from Wisconsin to Philadelphia to carry the dally milk supply from the dairies of Wisconsin, Pipe lines might run "from Milwaukee to New York tc carry the Bureau Manager Speaks T. J, MoFadden: The unfair corapeti- W< |t;- sti Ini 1',' . th daily beer supply. It Is not a dream. I tion bureau is in reality a legal office, m; really think it Is'coming, and we .have got to devote our energies in the future to the development of coatings for pipe- ' lines which will protect them underground from corrosion. I really believe that the amount of paint that will be used in the ' future will be three times as great on pipelines as the amount we are now sup plying to the railroads and other carriers. It necessitates the building up of a very * thick film that will permanently protect those pipelines from corrosion. When you stop to think that one running foot of a 22-Inch cast iron or steel line costs J5 and you have a thousand miles of line from Texas to New York, just one line, and that there will probably, be a, ` thousand of those lines spreading through the country, you can figure out how much ' metal there will be protect. If a pipe line costs ?5 a running foot, It is con- celvable that they would- stand as much as a dollar a running foot for a proper type of protective coating. In finishing, I would like to call your attention to this film which Mr. William son brought up from Florida because It M. Q. Macdonald shows the activities of that neighborhood in' establishing the yearly fete known as the tung oil -blossom festival. In this briefly the procedure, followed by the film you will see the parade and the tung Federal Trade Commission in handling oil trees growing in the different groves cases brought to Its attention by this around the Gainesville area. Thank you industry through the unfair competition. very much I bureau. ' ' ' '. (The showing of the film took place,) At the outset It may be.noted that al though the bureau is in the nature of a clearing house for complaints of un Unfair Competition fair competition, there is nothing to pre vent any person from taking the matter Mr, Macdonald and I constitute the bu reau. We both happen to be attorneys. This Is significant for several reasons.' One is that In all of cur dealings we try to preserve the traditional relation of confidence between the attorney and his client. That means that when people come to us with advice and suggestions and Information, anything that they con vey to us in confidence is so' respected;' tt also means that we try. in the usual manner of conscientious attorneys, to pro tect the Interests of our client and to do our public duty. Who Is our client? It is the paliit and varnish industry, not any particular com mittee, group, body or* individual. We* have been retained for the purpose of helping to guide that industry In making its own law by means of rules and regu lations, and In helping that Industry to Interpret Its responsibility to the broader public law, and more specifically we are charged to co-operate with government bodies to see that the law Is equally en forced as to all, in order that fair com-petition,may prevail. . So that, briefly, is our attitude toward our work, It Is very gratifying to us to find that that is the attitude that the in dustry as a whole haa toward us. Very simply but most sincerely I want to say, that we are and have always been very much Indebted to the leaders of the In dustry, to Mr. Horgan and the other offi cers and executives, for giving the unfair competition bureau that freedom of action that has always prevailed in legal affairs. 1" StJ S*' TiB S'.:-. Oi G-; pa m r'; ' of -. of pc-:- tu of bv j;..1. - of al ca cc CO A ' F< CO at f,r" te 1S< y< i`< fl< directly to the commission. Thus, the I want also to say that Dr. Gardner has Chairman Trigg: I wonder If there competitor who believes himself injured been of inestimable help to us, because In are any questions anyone would like to ask Dr, Gardner with respect to his work or any point that anyone wants to make on the work of the Scientific) Section, If there is no question or dis has full opportunity to present hiB case, even though the bureau is of the opinion that a complaint should not be brought. Two or three such cases were docketed and later dismissed by tho commission, and the bureau's judgment was sustained. this particular work many of our prob lems Involve an interpretation-of the law In the light of technological fact. From the point of view of paint chemistry, we lawyers are laymen, and it has been with . great patience and clarity and graolous- cussion, thank you very much, Dr. However,1 in view of the- fact that^there . negs'that-Drl'- Gardner has explained the Gardner. 5 i can always be honest differences of oplxt- meaning of the yarious terms of your lan- ich; a,pder. the: ion ion ma tho maal. ico aly mfef air iftr on he ill at is le. u] r; :? ,, J l guage and tho significance of different rales and. regulations. Of course, it would be ungracious of me end be untrue if I did not acknowledge' publicly my Indebtedness to Mr. Macdon- aid with his vast fund of knowledge about the Industry, and his many energetic' moves and brilliant Ideas in the conduct of our work. He Is stimulating to work with because he is the essence, of fairness.. Activities of Bureau Now I will Just hurriedly refer to the various activities of the bureau. I have eaid that we are the legal office, .In that role we have been trying to co-operate with the legislative committee by attend ing hearings In Order to find out what the different points of view are that are raised In connection with legislation af fecting our Interests, filing briefs and, memoranda In regard, to pending legisia- tlon, and in other ways giving what aid we can to the legislative committee. The filial Judgment in. legislative work, of course, Is theirs. . A second field of legal activity by us la In trying to provide the executives and officers of our associations with memo randa of law on various points which they Inquire about in order to help them to exercise their discretion and their duty In the discharge of association work. It Is Interesting to note that in the past year the anti-trust division of the De partment of Justice has taken action in five cases of purported violation of the anti-trust laws. Previously there had been as many as twenty a year. This year there were five cases,' Of those five, three are trade association cases; one, the Bolt, Hut & Rivet Manu facturers Association, resulted In a decree whereby the association' was disbanded. The other two, which are pending, Involve the Sugar Institute, and the Asphalt, Shingle & Roofing Institute. I mention this because if the unfair competition bureau can be of any aid In .helping the officers and executives to guide that straight course, so that there will be no suspicion of an intent to violate the law, we are doing our part to save our assor elation from the predicament of these other trade associations. ' The specific cases that have been com pleted this year through the Federal Trade Commission number, fifteen. One was a court case. I may say that in all these cases the unfair competition bureau has either requested the Investigation originally or has cooperated with the commission during the the course of the proceedings!. The court case was an ac tion In the United States Circuit Court of Appeals resulting In a court order which affirmed a {previous order of the Federal Trade Commission involving misbranding of lead and zinc, Involving the Hoboken White Lead and Color Works. You will recall that about a' year and . a half ago there was a similar court case i where one company had had such an order Issued against it and then a fine was im posed for violation of the court's order on the ground that that wag contempt of : court. I mention that to .indicate the meaning of this court case. Cases Settled In Commission Of the cases finally settled in the com . mission during the year 1931, to date two have been settled by formal cease and desist orders. They are the Rubber City Paint Company and/or the Bell Paint Company; and the other L. Wetchler & Sons, trading as the Old Gold Combina- tlon White Lead & Color Corporation and Camel Lead Color & Chemical Products Manufacturing Company, That was an v aggravated case of mislabeling .and false advertising of white lead containing but six-tenths of one percent of lead sulphate. It Is interesting to note that they call themselves Old Gpld and also Camel but. . the action was probably not a Lucky Strike because there was not one ounce of white lead in a carload. The other twelve cases filially settled were the result of the so-called ''stipula tion procedure" in the commission. Mr. Macdonald has referred to that, but there are certain types of cases where the com mission calls the party in and says, "If you will agree that you have been en gaged in these practices and agree to abandon them, we won't try the case, but we will stop it right here upon your stipulation of these facte, further stipulat ing that if there are further proceedings, the whole record will go before the com mission." ,, In some of those cases settled. by stipulation they do not announce the names of the parties: In others they do. ` Of these cases, two Involved the sale of ' paint by radio and mail-order, involving mislabeling and. false advertising, jDne ' of them- was represented as a full measure, of lead and zinc sold by the manufac turer when that was not the case. Three of these other cases were cases of djatia-/ tutors posing as manufacturers, Three of them involved the misbranding of aluminum powders, and there were other cases involving shingle paint and roof ' coating, so that there were fifteen cases = completed during the year through tho .'Federal Trade Commission. There have been certain cases where the commission hag issued a formal complaint and has scheduled hearings and the mat ters are pending. We-have given , pub licity to most of these matters so that , you might be informed as to what was going on, as to what your. bureau was doing, as to the attitude of public of- fteials toward these things. ,.. So I want to pause just a minute to remind you that these, apart from others mentioned before, are pending cases. That means that the parties to these cases still have their day in court. We must all suspend judgment as to the final ver- diet until they have had that hearing, I reiterate that the unfair, competition bureau has never Insinuated an opinion as to the merits of any case. These cases are not our cases, they are not our judg ments. As I said before, we call In the doctor and await his verdict. The pending cases are the Para Paint Company, a mislabeling case; D. T. Bohon Company, Kentucky, a mail-order house charged with mislabeling advertising; and cases Involving the Franklin, Madi son, Progress and Adams companies, all inyolvlng misrepresentation, and in these cases hearings have been scheduled for further proceedings. In bribery,- there have actually, been five eases ' this year where complaints have been Issued. For convenience. In trial they have been grouped Into two matters now before the commission. I will show you what I, mean by five cases and the grouping of two. There have been separate complaints .against Gilbert Sprpance Company, Eugene F. Cox, -and James Dillard, as one group. Another complaint has been issued against the Blackburn. division of the Cook Paint & Varnish' Company and Mark L. Jones, as the other group., These are pendlng cases. ; 'Matters Under Study That briefly Indicates the,details of our activities with the commission. Of course, there are always a number of- matters that the bureau is studying. We have a number of Inquiries under way now In various matters Including bribery. We T. J. McFadden don't form any judgment about them, and we, of course, don't speak about them until some public official has taken action anfi released public documents. In regard to bribery, we have done a new thing this year. Some people have forgotten that bribery, aside from being unfair competition, has been dubbed by sixteen states to be .a criminal matter. We therefore, Just as we have co-operated with the Federal Trade Commission, have started to co-operate with the State prose cutors. Accordingly, we went to a State prosecutor in -Virginia, gave him what Information we had, reminded him of his law, asked him If he would not take cognizance of the matter, make his own Investigation, gather hls own witnesses, gather his own testimony, and. present the matter to the grand Jury, and we gave our guarantee, as we do to. the commission and other bodies, that, if we can be of service at any time during the course of the proceedings In writing mem oranda of law, in helping to get other Information or In any way, the industry- places this bureau at the disposal of those officials... . 1 . .. ' Accordingly, the1 evidence in two cases involving salesmen in.our industry-was presented 'by . the' State prosecutor In a particular county of Virginia In July to the grand Jury, and July 7 the grand Jury brought In two indictments charging each of these salesmen with having violated the Virginia criminal statute against rthe.giving of bribes for the pur pose of. getting or holding business. ; , These are pending cases, The trials are to be scheduled In the future.. I may say-that one of these men wag arrested, posted bond.'. He. will be scheduled for trial, probably -in December. The other man. is still a. fugitive from justice, : Now, gentlemen, 1 promised to be brief. When Z finish, I will welcome any ques tions that, you have about any phase of our .work,-- We will try to give you an answer to the foest of our ability,.. . We always want ydur suggestions atid criti cism because we- are trying to do. a Job that we tblnk the Industry wants us to do.-. Your industry has set up these rules and regulations, ,It promised the Federal ..Trade Commission: gratuitously in' 1918 -that it would demonstrateits integrity1 by setting up a special bureau for this purpose. If those who are in charge of this -bureau at the present time are following' policies -entirely at odds with-'-the general wishes and desires of the 5' industry, then one' of: two . things should happen--either we should be con vinced. and = change our .policies or we should: retire as gracefully as possible and leave, you- to get counsel that agree with youas. to ; those policies and can pursue thera.' v : . ' ' ' x Sometimes1 it is suggested' to - us' that, we are-betraying our clients by going to government officials, that we should In all cases -go to the parties directly involved. There are an Increasing num ber of cases where we do go to the parties involved, but not in any case where we- think there Is a public interest. For example, if there Is a dispute between two or three members -In the industry in volving themselves almost exclusively wo do. offer our good offices to try to straight en It out by direct contact. If we are unsuccessful, wo point out the limits of our authority, point out tho other services of our association, namely, that we have an arbitration committee, whose function it Is to receive requests from each side to a controversy that they should arbi trate a particular difficulty. If the two cannot agree to submit It to arbitration, then any member of the association can appeal to the president of hls association to ask the board of directors or the executive committee to consider whether or not there has been a violation of the code of ethics. So- that there are various machineries set up. The bureau tries not to encroach on other fields and we try definitely not to set ourselves up as censors in any In stance. For example, when we co-operate* with state officials in the interpretation of the various laws affecting our industry, our attitude is, it Is not the function of the bureau to attempt an Interpretation of these laws, except, where we can furnish information requested -by the officials and aid them In making their own regulations, and so long as these various laws exist, our attitude la that they should be -equally applied to all, and it is not our function to decide whether the laws are proper. So that there are cases where we do directly appeal to the parties involved. But where there is a public Interest, we feel that it would be a very unwise policy for any association to set up a body which would be the custodian of the private conBclenceB of Individuals. Discussion of Unfair Competition Work Mr, Dabney: Thank you very much. Chairman Trigg: Are there any questions now or any discussion in connection with the work of the un fair competition activities? Mr. Callahan: I wonder if the mem bers here have been reading that series of articles in the New Republic about commercial bribery iii business. It seems the varnish and pafnt people were merely amateurs in that game compared with a lot of other industries and that it la a custom which began hack when the Venetians went sailing, before the days of Christ. I have no doubt the gentlemen who have re ported have a very hard job on their hands to clean up a custom that old. At the same time I was glad to ob serve in the opening article that our industry, the paint and varnish indus try, was given a great deal of credit by the writer for having taken this Job up themselves, established this bu*- reau, and showing the steps we had taken to clean our own house. That Is a very interesting series of articles in the New Republic. Chairman Trigg: I think there -has been a. little confusion In the minds of -some people in the industry on one point that has been brought out here, and I want to take just a minute to emphasise it. As I understand the situ ation, the industry has created an un fair competition bureau of which Mr, McFadden 1b the manager and Mr, Macdonald is counsel, in order to fa cilitate the work of that bureau, inso far as controlling its finances and dealing with assoclatlonal parts of the work, we have created an unfair com petition committee. One is known as a bureau which consists of these two men, and. the other is a committee which has no more power to regulate or direct or. interfere with the legal activities of the bureau itself than any member.of...the Industry, That is cor rect, Mr. Horgan and Mr. McFadden? (It Is.) There seems to be some confusion aft to the responsibilities in this situa tion, the committee being thought of in terms of the bureau or bureau in terms of the committee. It-seems to me It is well that we should understand this distinction that does exist and that the committee Is not taking upon it self the Investigation of any complaints and It takes no responsibility for and C, J. Caspar Reported on Uniform Programs has nothing to do with the develop ment of those complaints while Hiey arB in' the hands of the bureau and the Federal Trade Commission. Am I stating those facts correctly? (He was.) Is there any other discussion on this subject, gentlemen? It is before you now. If not, that completes the part of the educational bureau and the unfair competition committee and bureau. (At this point President Frayser re sumed the chair.) President Frayser: The next feature of our program, gentlemen, is the clos ing number for this afternoon's session and I am sure it will be very Interest ing to all of you, and I hope you will contribute your presence and attention to the man who has this in charge, "What Has the Club Program Com mittee Accomplished?" Charles J, Caspar! Club Programs Mr. Chatfleld: Before Mr. Caspar talks to tell you what this committee has done, in the-by-laws it specifically states that the retiring president will be chairman of that committee. Tho board of directors have changed that at their last meeting, and as I never have sailed under any false colors, I want to say to you that although my name is on as chairman, I have done absolutely nothing this year In con nection with this more than to read the reports after they have been care fully prepared. So that in the reports which you read, you will see the most effective committee of which my name is given as chairman and for which that is the only credit X want to take, or the honor that I am willing to ac cept--the printing of my name. Mr. Caspar Reports Charles J. Caspar: Mr. President and members of the National Paint, Oil and Varnish Association: Last year your club program committee presented its first re port, a statement that by force of cir cumstance was more prophecy than a report of performance. With the uniform constitution and by laws adopted by a majority of the clubs, your committee stated that with all clubs discussing the same important problems throughout tho year, constructive and corrective accomplishments would result. Your committee this year can do no better than to invite your attention, to the fulfillment of that prophecy and to urge your co-operation In making greater achievements possible during the coming years. Five programs have been prepared and presented since our last Annual Meeting. In the 1930-1931 series there were the following: November: "The 1930 Convention." January: "Unfair Competition": "Non Exchange Agreement"; "Code or Ethlca." March: "Clean Up and Paint Up"; "Save the Surface." May: "Credits and Collections," and In the 1331-1932 series: September; "The Traffic Committee." There are In preparation for the bal- ance of the 1931-1932 series: "Tho 1931 Convention" (to be iBaued No vember 1). ' "Tho SImpUficaton Program" (to ba issued January l), "The Local Paint Club" (to be Issued March 1), "American Tung Oil Development" (to be Issued May 1). * These programs are subject to change if topics of more timely value develop. Of thirty-six clubs in the association, twenty-four are using the programs reg ularly, and report that they find them of real value in holding the interest of their members, and In getting out attendance at meetings; three clubs state they use the programs when the material is of particular Interest to them; two clubs use the material for reference purposes only; and eight clubs do not use the programs. The success of the club program plan will depend largely on the co-operation given the plan by the membership at large and particularly by club officers and committeemen. Your committee urges your consideration of subjects for pro gram material, and your suggestions for the betterment of the presentation of this material. Based on the experience of the past year, your committee strongly recommends the following procedure in all clubs: . 1. Appoint as chairman of your club program committee a man with enough command to hold the attention of hls hearers. 2. Make a study* of the material sent out by the national association and wherever pos sible present the material In your own lan guage; do not read the paper at the meeting except as a last resort: put your personality Into the presentation--it will help you, your ctub and the industry. . 3. Encourage a general discussion of the subject as presented and have the secretary make notes on the suggestions submitted. 4. Send to national headquarters your frank criticism of the program as presented and your suggestions for the Improvement of future programs. This Is entirely a co-operative move ment; its success will depend upon tho amount of Interest and effort you put into It, . Need Guidance and Help ' Now, gentlemen, it is my desire, with your indulgence to discuss the club pro grams In a personal way. We want your guidance and help. We believe it Is an excellent thing for the clubs. We have always felt that the clubs (and I speak of those clubs that need it; we realize and appreciate that there are clubs that do not need It) are benefited by a set program to do with It as they will and handle It as they please. The suggestion has come to us that there are not enough programs. Well, the committee feels that five programs are quite sufficient to bring the national message to the clubs. We feel that the clubs have more than five meetings and their other meetings can be confined to matters of personal Inter est, of local interest, matters Involving the Industry within themselves. To satisfy ourselves how our programs were being received, we issued a question naire just before the convention, mailed It to the president of every club as well as the secretary of every club. I think we have one hundred percent replies, which I think Is a wonderful accomplish ment, and I think more than that, It emphasizes the interest which the club. J. :_.| v- -| I-- 28 October 20, 1931 OIL, PAINT AND DRUG REPORTER leaders are taking in our club program. It Indicates that tho clubs are interested. In our questionnaire, we submitted four questions. First, is your club using the program? Second, if not, why not? Third, give us your opinion of the program. Fourth, send suggestions for improving the program. In our letter accompanying cur questionnaire, we included this para graph : ' ieWe are not hunting bouquets. We want your honest personal opinion, frankly expressed. We want your criti cism. We need your help. We ask for your expression," The recipients of our letter and ques tionnaires are men who we believe are on the firing line in the club activities. They were the presidents and the secre taries of the club. I would like to quote from a few good and .bad, the replies that we received from our questionnaire which will give you a Jittle picture, a little background of not only what we have in mind but what we have accom plished. Reaction to Club Programs Atlanta reports:---"Yes, wa use them, but we prefer shorter papers." Baltimore reports;'--"Yo b, we use them. Pro grams arouse good interest, especially those having to do witti organization set-up, such as unfair competition, clean up and paint up. Suggest mere programs based on competition and co-operation, fair distribution, marketing. Play* u p 'Clean Up Thla Year.' " Buffalo replies:--"Yes, good, but a little long.- publish in brief and in full also." (I don't know what that means.) Tee secretary reports;--"Considerable Interest to the club." ,, Central New York says:--"Yes. we use them, those that interest us. Very good. No sug gestions." , ,,. Chicago;--"Programs very interesting. Send to president at least three weeks in advance," The secretary reports:--"Very interesting; no suggestions," Cincinnati:--"Programs are very good. We use them. Best programs were credit, unfair competition. Make programs monthly, pro- grama should be of interest to Jobbers, small manufacturers, material supplies." President saj4;--"Tung oil would not pe of interest." The secretary said;--"Tung oil would be of special Interest."- j Cleveland:--"Yes, -we use them. Some not applicable to our problems. Very fine for smaller clubs. No suggestions." CoIorado:"-,,Yes, we use them very satisfac torily. Hold to flfteen*mlnute presentation." Columbus:--"We use thorn; some not of par ticular Interest to local Jobbers and distrib utors." Detroit--The president roporta:--"Too much statistics, not enough time. Contain valuable information. We use the program to a limited extent." The secretary reports:--"Programs Jacking In local tiB*up." Which Is true. Golden Gate:--"Programs not suitable. Sug gest summary of Important facts. Dislike long papers. Suggest series of questions be sent for discussion." In explanation of that, the Golden Gate Club meets weekly, and we realize and appreciate that a club that meets weekly could hot very well give a luncheon hour to our pro gram. ,, Indianapolis reports:--"Yea, wa use them. Very Interesting. Urge they be studied by members or clubs before presentation." Indi cating, I think, that every member is to receive a copy. ,,,, . Kansas CJty--PresIdent reports:--"Have used soma; very good. Other matters take Up too much of club's time. National programs would bring valuable results if properly used- The secretary reports:--"Same as the preel- . Los Angeles"Yo b, we use them. Much needed. Credit especially good, as it brought out all credit men. Make programs Bhort and snappy, covering local every-day paint problems that will lead to discussion. Include short, intimate messages from national association,' Louisville reports"Yes, very satisfactory. Good policy to continue." Milwaukee--President reports"Yes. very in teresting, and this Is the candid opinion of all our members, Suggest programs on some of the commodities, such as tung oil, synthetic gum or recently adopted pigment. Issue pro grains more promptly. Excellent idea. Keep It up." Minneapolis;--"Too dry. Does not hold In terest, due to dry statistics. Not enough live Information,' " Nebraska reportB they have never Been our program and don't know what it is. New England:--"Yes, we use It. Serves to keep national affairs of routine nature before the members, but are not of sufficient interest to keep member* sold. Establish greater de gree of loyalty and enthusiasm in undertakings of national association, so that they may more readily bo attracted to these programs.'' New Orleans does not use the programs, New York:--"Yes, very good for a club of executives. New York club made up of spe cialists. Programs should be reproduced and mailed to each firm member, with request that department interested In any particular pro grant Hubralt contents to special club committee, which will then prepare ten-minute talk. Could the national association do this any cheaper 2" Oakland;--"We uee them. Not always prac tical. Like the programs and use wherever possible. No suggestions." , Philadelphia:--,rWe use them, Excellent. Very effective. Follow same Hue, but make them a little more brief." Pittsburgh*.--"Yea; excellent. Very Interest ing, This Is a pioneer effort, furnishing a need that was sadly lacking In some clubs. Urge clubs to consider program in every part of meeting." Puget Sound:--"Have weekly meetings, and our programs are too long." Richmond:--"Very helpful: most constructive. No suggestions." Rochester Club Inactive.- ,, St. Louis Club:--"Using program. Subjects very good. Too long. Good plan to present association work to clubs." Utah:--"Club too small; programs too long. ' Toledo:--"Yea, Immeasurable value. Club members discuss questionnaire. Suggest shorter program." Toronto--"Yea, we uae some: tbers irrelevant to Canada. Excellent scheme," Washington Club Inactive. Asks Suggestions 1 give you that background and earn estly solicit suggestions. In presenting this background of what our clubs report, tho committee, having Implicit confidence in the good that these programs are doing for club activities and the great diversity of opinion as expressed here, with the exception of brevity which seems to be quite unanimous, are seeking some sug gestions from the convention floor. Here are men representing clubs from all over the country who attend club meetings. What could be more Interesting, what Is of more interest, and what can we do to make our club programs of greater in terest, If such is possible? ' A resume of the questionnaire shows that 26 clubs presented programs in full or In part; 8 clubs do not use the pro grams for these reasons:- not suited for weekly meetings, not suited for clubs not holding regular meetings, not suited for a majority of members of clubs where local business occupies all their time- Two re ported that they use the material for ref erence only. Three clubs use programs they feel are suited to their members. The programs submitted for 1931-32 Is, First, a resume of the 1931 convention. Our 1930 convention program we thought was very popular, ana 1 am sure you will all agree with me that perhaps that Ib as good a selection as we can make for the next program. The second program is the simplifica tion program. It seems to me that that is a vital question and a question that might well be presented to the clubs. The third is the local paint club, In which we propose to suggest a plan for betterment of the work of the club, the local clubs within themselves, Including credit bureaus and active committees. It seems to me and to the committee that that is an Important subject to bring be fore the ciub. The fourth is American tung oil. If we are all unanimous that the first three are applicable and are well selected, the ques tion arises, what can we do for the fourth or fifth program, and if there is any sug gestion I am sure the committee would be very pleased at this time to have your suggestion either on the convention floor or by communicating with national head quarters. Discussion of Programs Horace Felton; I would like to ask Mr, Caspar if he read any comment from. Philadelphia. I didn't hear any. (Yes.) Mr. Callahan; Cleveland, Ohio, said It was small-town stuff, and then im mediately Louisville came along and said It was fine. Mr. Caspar; They are both right, programs aa prepared by the program committe are supposed to Inform the membership at large of the National Paint, Oil and Varnish Association of the work that is being done by the asso ciation through their various activities, and I think they should afford a very ex cellent background for carrying the mes sage to a great majority of the members that probably are not. familiar with these activities. It has occurred to me that it might'be a good idea to have a program commit tee appointed In ,the local dubs, and of that membership of ' that program . com mittee made up of, say, the past presi dent of. the club, of members that are supposed to be more or less familiar with the work of the national association, men probably who are regular attendants at the conventions. I Imagine that It is a small majority of the members of the various clubs that attend the conventions and have an opportunity to know of the work that fs being carried on. If that committee was appointed and the members were charged py the presi dent of the club with posting themselves and. preparing themselves to carry on a discussion, of support whoever read this program at that meeting, and amplify that particular program, and start a dis cussion so as to get the most out of that program as it is presented, it seems to me that It might prove an effective means of getting this message across to the membership one hundred percent. Mr. Caspar: As I said last year In pre senting this report, we are not attempt ing to bring messages to the- members of the national ' association who are at tending our conventions. They are hero. They know what the association, la doing. But, what a email percentage of our clud membership la here. We are trying to encourage you and induce you and enow you the need and necessity and- the bene fits accruing to your club If you who are. here, will take the message back. You can't do it; at-, the first meeting, but by your attendance throughout the year, co*. operating with the program committee,! familiar as you are with the activities of the association, taking the floor and. explaining and answering questions, show ing your Interest, and co-operating wits the national association, we will be abw to bring a greater understanding to the; members who do not attend our conven tion than is possible through any other means with which we are familiar. . . Financial Plan Program General Manager Horgan, May I say a word? At the director& meeting yester day afternoon, following the presentation of Mr. Ball's report as treasurer, and in discussing the details of the new financial frian and the number of members of the ndustry who have not as yet signed up on the approved plan, the suggestion came out of that discussion that that might well be made the subject of one of these club programs.'' 1 think It might be & good idea to just throw that Into the dis cussion at this time. Mr. Caspar: In other words, present one program of the financial plan. Thank you, gentlemen, for your at tention. President Frayser; Thank you, Mr. Caspar, for your Interesting report. I am sure we have all got a good deal out of this report. What is the pleasure of this convention with reference to it? Mr. Callahan: I move its adoption. . . (The motion was seconded by Mr. Trigg, put to a vote and carried.) President Frayser: At this time, 1 want to thank you, .gentlemen, for your at tendance at the convention this afternoon. It Is as much your duty as it Is any of us, but it Is very interesting and encour aging to know that you have been here and contributed with your presence and your patience to our work. (The meeting adjourned at 4:60 o'clock.) lYir. Felton's Ideas Horace S, Felton; In Philadelphia, after ajl the club programs, which nave been sent to ua, we found them very helpful, but the one which seemed to go over the best was the one which discussed credits. I think it is not omy a matter of the program itself, but largely the way in which the programs are presented. We "have found that if you have a sub division of the effort, and the work Is properly detailed, you seem to get far more Interest from the program than If one person either reads it or attempts to present it, I have a suggestion to make which may or may not be valuable. I believe a forum on cost accounting wouid be helpful, I know that there are a lot of people at the average paint dub meet ing who are not vitauy interested in it, but certainly the heart of each paint ciub meeting is very much interested' in that subject, and I believe It could be used. That-Is perhaps not bo Important, but here are three great groups of people< In the Industry that we matte very little attempt to contact. I am thinking now of the technical men In our industry, 1 notice that nothing has been done to date, and nothing has been mentioned regarding the scientific section, I can visualize a fine program wherein we would invite to sit wiui us, if we cared: to do so, the members of the production, clubs in local cities, or at least some dele gates from that club, and it might be their meeting in which they would talk to us rather than we to them, - I don't know how It works out In moat: cities, but in Philadelphia it Works out this way: Here are two separate groups,, and outside of an occasional expression. of courtesy whereby we might entertain the president of our production club, we really hay no contact with that organize- * tion. Then, there is the host of retailers throughout the country, organized In some cities and In some cities not. I think that we could build a program which would in some way tie in the retailer with the local .paint club, beoause he certainly ought to In some way be affiliated, if not by way of membership, then by way: of interest. . Then, there is that other great field, the master painter. There are two groups particularly who are each going their separate way, and l believe we- owe them a responsibility, we have a duty towards them, to affiliate them with, ourselves in so far as we can; to tell them about our ' problems, and to hear from them what their problems might be, and to help them. Mr. Caspar*. I think that suggestion is more valuable than the tung oil.idea.. Mr. Bennett Speaks .1 March Bennett; In line; with Mr. Fel ton's statement, perhaps. It would be interesting to know that the energetic president of the New' England^ clubs: for this year, Frank Bownes,. conceived the idea of having one meeting,, a Joint meet ing, of -our club with the paint salesmen's club and the production club In the;nelgh- . borhood. That was the meeting at which (and I think it was the unanimous opin ion of every concerned) It was decided it was one -of the most fruitful and-in teresting and stimulating meetings, we have ever had in the New England Club, I think that, possibly along the line of Mr., Felton's suggestion, it might be a good ld$a for the program committee to consider that for one Item in the program. Mr. Callahan: What is your recom mendation about suspending those eight clubs that pay no attention to it? What are you going to do about them? Mr. Caspar; We can't force them to adopt our. program, . ' Wants Credit Program Mr. Derrick: As a representative of Cincinnati, may I suggest you have an other presentation of the credit program, particularly in the light of the plan that Mr. Kenny presented. This bringing In of the production clubs Is something we have not done at Cincinnati, but I think we shall do It very soon. Mr. Hoag; As I understand it, these Wednesday, October 7 Fourth Business-Session, Wednesday Forenoon (The meeting was- convened' at. 10 plan of the industry- voted at the 1&30- o'clock, President Frayser presiding.) Toronto convention. President Frayser: We will dispense , (Composition of the sub-committee' with our roll call until a little bit on. budget and finance is also-included later, ` r '...............: in the new article V.) .. The first Item on our program Is (The section dealing with the uni the final report of the constitution and form financial plan is as follows):^* by-laws committee of which Mr. Chees- man Is chairman. We will be glad to Uniform Financial Plan have his report, at. this time, Section1 7. Income of Educational Bu reau; The following- Uniform Financial . Constitution and. Plan, based on the- domestic sales of paint, varnish, lacquer and allied products manufactured by tho subscriber, is to be By-Laws amended so as to include members of the National Paint,. Oil and Varnish Associa . Mr, Cheesman read his report, which tion, Inc., who are not paint, varnish or lacquer manufacturers, and also to in recommended that article V of the- clude contributions from outside sources. by-laws be struck* out and' a new one This scale- may be revised at any time, inserted. The new provisions stipu upon the approval of the budget and lated that "the -president shall appoint annually, at. as early a date as pos sible after his election, the following standing committees, consisting of two' finance committee, the executive commit tee of this association, and board of di rectors of the-American Paint and Var nish'Manufacturers' Association, Inc. or; more ^members: Constitution and; by-laws, credits and collections, manu facturers,'.. master painters,- member ship, ' memorial, paint distributors, and trade marks,*'-. . . . Uniform Financial Plan Based' on Domestic Sates of Faint, Varnish, Lacquer and Allied Products Maun- C lass, factured' by Subscriber. ' 1........,. * Under $75,000 $So . New Statistical Bureau .*-......... 3................. $76,000 to 160,000 to. 150,000 360,000 00 IQQ According to' the new : provisions, 4................. 230,000 to 500.000 200 the manufacturers committee shall'be 8................. 600,000 to 1.000,000 400 composed of one or more members.for. Q.. 1,000,000 to 1,750,000 each trade, group, 'and also- this^manu-: ' ,7.' 1,750,000 to 2,500,000 700 1,000 8,,4....,^ 2,600,000 to 6,000,000 8,000 9. .,,,, 5,000,000 to 7,600,000 3,000 w............ 7,600,000 to 10,000,000 4,000 ............ 10,000,000 to 12,500,000 5,000 12.12,600.000 to 15,000,000 0,000 38 ................. 15.000,000 to 20,000,000 8,00o 14.....'..,. , 20.000,000 to 25,000,000 10,000 `16L.. ...I; 26,000,000 to 80,000,000 12,000 ............ 30,000,000 to 35,000,000' . 14,000 it .. 35,000,000 to . 40,000,000 10,000 18;.,........ 40,000.000 to 45,000,000 18,000- lfl....... 46,000,000 to 60,000,000 20,000 20--l/25th of 1% over 550,000,000 plus 320,000, ' The chairman of the budget committee lft-conjunction with, the treasurer-of the educational bureau and the general man ager; of the- associations, are to have authority to adjust subscriptions based os domestic sales, as applied to allied in dustries. SP1. dues of this association shall be- collected by its; treasurer and upon au thorization of the executive- committee, remitted to the treasurer of the educa- tlonal bureau. The sliding, scale of con- trlbutiong-ahairbe-collected by the treas urer of the educational bureau. Action on. Report (The-report of the committee on con- solution and by-laws was adopted, auc tion by section,, and then as a-whole;: without1 change from the form in F. P. Cheesman . Reported By-Laws Revision which'It'was presented,) . General Manager Horgan:. The rec ommendations made by the committee on constitution and by-laws were ap facturers committee, "under the di proved by the board of directors and rection of the executive committee,, referred to -this convention for action, shall create a statistical bureau to col President Frayser; You have heard lect, digest and disseminate statistics the recommendations of the executive vital to the association, to serve as a committee and board of directors. Mr basis for legislative and tariff activities Cheesman has moved the adoption of and to have available for our members these articles. - knowledge as to the scope and extent (The motion was seconded.) of current commercial affairs of our President Frayser: Is there any dis Industry. - cussion? Those In favor of accepting Provisions also were made for the the recommendations please Indicate manner in which Joint and other com by saying "aye"; opposed "no." It is mittees were to be appointed, as well so ordered. .. as the set-up of the educational bu It would seem wise and expeditious' reau in line with the reorganization to have our'roll call at this- time. r: i I.' [ ft.: r CO-& ttee.iU lties v and',;' OW-Xr! vitK-: Ownten-'S-, !her'.!.? ent at*' ' ' gg. eint at om of 1 ere ,nd :S0 30 ee. edif- :al` Of ts be ti-- ; General Manager Horgan: Before .calling the roll I -would like to read a telegram Just received. This is from ; Victoria, B. C.:-^ ' . Please express my regrets at my in* : ability to be present at the convention (atop) Best wishes for a pleasant and successful gathering (stop) we are look ing forward with every confidence8, to greatly improved business conditions for 1932 . It* la signed J, Carl Pendray, vice president, Western zone, national associatlon.. think we will all agree that your re marks and suggestions are quite timely, and again -1 want to reiterate that your board of directors and your ^executive committee .concur entirely. In Just the thoughts that you'have advanced.. The facts are that the N. F. O. & V. A. were not the onee who Suggested the separate conventions and your board of directors and executive committee felt that it would not he opportune for us to attempt to take any action until after the meeting of the American Paint, Oil and Varnish Manufacturers Association, which will he in Chicago the first week of Decem . Roll Call - ! (The roll was answered by sixteen affiliated clubs, with a total representa tion of sixty-seven). ber.. Is there any further discussion on this matter? Mr. Caspar: I would like to modify my motion for the adoption of the resolution. Mr. Callahan: Will you reread that resolution? '' Mr. Caspar: Be It Resolved, That the Resolutions National Faint, Oil and Varnish Associa tion assembled in annual convention in Atlantic City, October, 1931, approves of _ President Frayser: We will proceed With our program, and the- next item on our program is the report of the joint annual meetings of the two major associations of the industry. I move the adoption of the resolution and that a copy be sent to the secretary resolutions committee, of which Mr. of the American Faint and Varnish Manu ' Caspar is chairman. . . facturers Association. (The motion was seconded.) ,. Financial Plan ' Mr. Caspar; Whereas, the ' National Paint, Oil and Varnish Association has a ' vital interest In the acceptance of the uniform financial plan which has been in force during the past year, and ' Mr. Wilkinson: * It seems to mo that motion, if it was put, would not perhaps clarify the divided opinions of our mem bers, and In order to do that I would like to move an amendment to the reso lution to the effect of inviting the Ameri can Faint and Varnish Manufacturers' : Whereas, the National Paint, Oil and Varnish Association believes that a more general acceptance of this plan is abso lutely essential and should be secured; therefore, be It , Resolved, That the three members of the budget and finance committee repre senting the National Paint, Oil and var Association to meet with us in joint ses sion in 1932. ' Mr. Chessman: I think that is a very Wise thing, and I would suggest also that we invite them to meet at the old home In Washington at that time. We being the parent organization should have the privilege of inviting them to come nish Association shall be constituted a back home, and let's both meet there committee of this association to co-ordi next year. ` *. nate and direct efforts to this end; that President Frayser.: I think that would committees be appointed from each con have to be left to the time and place com stituent club of the association in order to secure a complete acceptance of the mittee, wouldn't It, Mr. Cheesman? Mr. Cheesman: Not necessarily. uniform financial plan; and, be it further Mr. Kurfees: I will second that amend Resolved, That the co-operation of the ment if it has not been seconded. national club program committee be enHated so that consideration may be given Resolution Adopted to the feasibility of presenting such a program to the local clubs which will provide opportunity for discussion of this subject and afford greater knowledge of the plan; be.it also Resolved, That the committee give con- President Frayser: .You have heard the resolution as presented, with the amendment by Mr, Wilkinson. la there any further discussion on this matter? If not, those In favor of the resolution elderation to the possibility of recognizing In some suitable manner the clubs which secure the greatest percentage of accept ances to the plan. as read by Mr. Caspar, with the amendment suggested by Mr. Wilkin son, which ' received a' second, will please indicate by saying "aye"; those I move the adoption of the resolu opposed "no." It Is so ordered. tion, . Mr. Caspar: Your executive commit (The motion was seconded, put to a tee presents the following resolution: -- vote and carried.) . F Mr. Caspar: The resolutions com- . Tribute to Mr, Heckel mlttee in its meeting considered the . Whereas, wishing, to recognize and present split plan of the two -associa tions and submits this resolution for separate conventions Tor the two asso ciations:-- , .. register our appreciation' of the distin guished service rendered ' the National Paint, Oil and. Varnish Association and the industry by George B. Heckel, and .. Whereas, he has left in his reminis ' Joint Conventions . cences, a unique legacy, to the industry and to posterity, and ' Be It resolved, That the National Paint, ` Oil and Varnish Association assembled In annual convention in Atlantic City, Octo ber, 1931, approves of Joint annual meet ings of the two major associations of the industry. I move the adoption of this resolu tion. . Whereas, he has served the Industry and contributed greatly to the upbuilding of o.ur association in many diverse ca pacities with ftdelLty and devotion for a period of thirty years, and . . Whereas, he has, by his modesty and whole-hearted interest in the welfare of our members, built up a friendship that binds .us ail to him and grows deeper (The motion was seconded.) ` Discussion with the passing -years; therefore be it Resolved, that we extend to George B. Heckel, for many years an active mem March Bennett: I don't wish to crltlelze the form In which the resolution has been written but since the split has already taken place and since It is de sirable to bring the conventions together again, would it not be well to have a definite plan or invitation to the - other association to collaborate and Jointly con vene with this association again? President Frayser: Mr. Bennett, this was discussed In our board meeting* and ber of the National Paint, OH and Var nish Association, our deep appreciation and hearty good wishes for a continuance of his counsel and guidance and, be It further Resolved, that the National Paint, OH and Varnish Association in annual con vention assembled in Atlantic City, Octo ber, 1931, do hereby elect George B. Heokel an honorary life member of this association. : - ' : it was thought advisable to draft a reso lution such as has been presented to this body. We are hopeful of course, that we win have Joint conventions tn future, but I don't think it is up to this body to I move its adoption. (The audience arose and applauded.) Mr. Felton: I would like to have the honor of seconding that resolution. Mr. determine whether we shall or shall not . have, or that. It Is up to us to offer any criticism. The' separate conventions , this year was a try-out and 1 am quite pure that if it is found more desirable to have joint conventions In the future, . that the two bodies will get together Heckel is a man who is very much be loved by all members of the Philadel phia club. He is a man who has our highest ' esteem' and respect, and 1 tvould like to second the motion. President Frayser: . Gentlemen, you for Joint conventions. have heard this very splendid resolu Mr. Bennett: It is far from my thought tion, which I am sure touches the feel that this association should undertake to dictate or to do anything but to invite . a resumption of the Joint conventions. ings of all of us. I am sure we are all- glad to confer* this honor upon our Without going over the details of how old friend, George Heckel, and may I the split came about In the holding of suggest, if it meets with your approval, conventions, which might go farther than even a suggestion on the part of the National Faint, Oil and Varnish Associa tion. of a resumption of joint conventions. It la desirable for ua to realize that if another year goes past and the conven that we. give him a unanimous rising vote adopting this resolution. (The audience arose and applauded.) Mr. Heckel was escorted to the front of the room by Mr. Caspar. tion is still heM separately, it will be much more difficult again to bring them " Mr: Heckel's Thanks together, and I don't see anything in the form of the invitation by the officers of the national association to the officers of the other association, to reconvene at the same time and place with us that could be In any sense interpreted as dictation on our part or anything but a desire to live up to the efficiency which we are very considerably boasting about. We have Just approved the amendments to the constitution and by-'aws made to fit a new union of the two associations acting co-ordintelv with the new educa tional bureau, the new budget and finance plan, all of which will weld us together more tightly than we ever have been before. ' We have, as I say, just adouted by laws ratifying all of thOse things and we d pride ourselves on simplification and efficiency of co-ordinating efforts and the sooner we take some steps that will be a llttfe more concrete, it seems to me, to bring about that co-ordination In the form of eliminating the waste of sep arate conventions and separate committee reports *nd reo-'rate traveUng expenses, the better it will be for the whole in dustry. President Frayser: Mr. Bennett, X Mr. Heckel: Gentlemen and friends: It is not often that I find myself flabber gasted. I halve had the pleasure in the past of participating in many of these joyous occasions In honor of old friends, and I want to say that whatever service I have been able to render, that whatever service it may be within my power to render this organization in the future, is made possible by careful study and. fol lowing in the footsteps of those who have preceded me. 4 This Is a great association and a great industry, and while I came into It by ac cident, it has been the joy of my life to serve as I might this industry which Is the one industry with which I am ac quainted that has been able to clean its own house'without the interference of the government. It has never appealed for laws to help it to go straight. It has found within Its own membership the necessary backbone and leadership. I am thankful that I have been able to assist In some small measure in that movement. If there Is any further service I can render during the few years that are allotted to me, I certainly want to do It. President Frayser: Mr. Heckel, I am sure I voice the sentiment of every member of the National Paint, Oil and Varnish Association, all of whom are your friends who- love you very dearly and prize their association with you very highly, and I know that it is a distinctive privilege and pleasure for thiB organization and your friends in it to bestow this splendid honor upon you. Are there any more resolutions? Resolutions of Appreciation Mr. Wilkinson: From year to year it Is the regular thing for some recognition to be registered in behalf of those who have labored, not alone throughout the year, but specifically at the convention period to complete arrangements of a business nature-and of an association na ture to contribute to our enlightenment and our pleasure. I sometimes fear that these actions be come rather perfunctory, but I do hope that we all will just stop a moment to realize that these plans have been made without the participation of the majority of us. It means that a comparatively small group are devoting energy and thought and anxiety to make sure that when we leave the convention, we shall have happy and constructive and helpful thoughts registered In our recollection. So, I would like to offer a resolution to embody the appreciation of the Na tional Paint, Oil and Varnish Association, tn convention assembled, to our President Frayser and the executive officers of the association, as well as to the various chairmen of the committees and their as sociates who have labored throughout the year. We want to Include in this resolution a special vote of appreciation for the time that Dr. Julius Klein took to come and address us, and for the very material thought that was evidenced in the preparation of his address. While we are to be addressed a little later in this session by Chester Leasure and Frank W, Noxon, and as this 1b the time for resolutions, I am sure we will want to Include a vote of appreciation to these gentlemen and the contributions whfeh they are to make. We also want to Include a recognition to the committee on arrangements and entertainment, composed of Mr. and Mrs. Samuel B. Bowen, Jr., Mr. and Mrs. Hor ace S, Felton, Mr. and Mre. John V. Hast ings, Jr., Mr. and Mrs- Charles P. Jar- den, Mr. and Mrs. William H. Jarden, Jr., Mr. and Mrs. Edgar R. Matlack, Mr. and Mrs. Edgar S. MeKaig, Mr. and Mrs. Ernest T. Trigg, Mr. and Mrs, Thomas A. Williamson, and those tireless and inde fatigable workers, Mr. and Mrs. 9. French Reeves, the chairman and hostess, re spectively, together with the several com mittees on finance, registration, publicity, banquet, transportation, frolic, golf, and ladles' golf committee, whose names are registered on your program list. We 'want to offer a vote of apprecia tion for the sergeants-at-arms, Henry F. Dowdy, A. F. Wetherlll, C. P. Morris, William Zintl, W. H. Jarden, Jr., C.-F. Jarden and J. Sibley Felton, chairman. We want also to offer a vote of appre ciation to the press committee that has to get up early in the morning and stay late at night to see that, not alone- the trade papers but newspapers are provided with the appropriate and necessary quan tity of-publicity, Mies Lonore Kent, R. w. Elton, and R. W. Emerson, chairman. Ana then, we know that the hotel has exerted every possible interest on their part to provide for our comfort and to make all the arrangements required by the committee, and so we want to offer a vote of (hanks to William Hamilton, the manager of the Ambassador hotel and his staff. And then, for the opening of the ses sion, we are Indeed appreciative of the presence of Dr. H. E. A. Durrell, and for the deliverance of the Invocation. And then, this evening we are looking forward with keen anticipation to the ad dresses' at our banquet, and if time per mitted I would offer a resolution then. We can anticipate that, I am sure, by in cluding the names of Rowland S. Morris and Fletcher W, Stltea for their agreeing to come to us this evening. And in conclusion, Mr. Chairman, I would, like to have our resolution Include the Instruction for the secretary to send to the absent past-presidents of our asso ciation, Charles E. Field, C. D. Wettach, Howard Biting and Richard Moore, a tele gram extending to them our best wishes and recollection of the fine leadership which they contributed in their times of- service. 4 President Frayser: Thank you, Mr. Wilkinson. That is a delightful reso lution. . (The motion was seconded, put to a vote and carried.) Nominations President Frayser: It is customary at this time for us to have the pre liminary report of our nominating committee. Mr. Chatfleld Is ebafrman of this committee. Mr. Chatfleld: Your.nominating com mittee has the honor to present the following ticket, the gentlemen desig nated to serve as your officers and di rectors:-- Directors to serve for three years- Atlanta, J, L, Girardeau; Baltimore, John Henry Coon; Central New York, C. A. Martin; Colorado, W. R. McFarland; Dos Angeles, George Sillers; New Orleans, E. R.-Bernhardt; New York, R. M. Roose velt; Oakland, W. L. Turner; Pittsburgh, Adam E. Daum; Puget Sound, N. S. Rog ers ; Washington, D. C., T. A. Flynn. For member of the executive committee, three-year term:--D. W. Figgis, New York, N. Y. For treasurer.--Charles J. Roh. New ark, N. J. For vice-presidents: -- Canadian zone, W. W. Sehoajes; Central zone, R. A. Plumb; Eastern zone, Frank Bownes: Southern zone, F, J. Sampson ; Western zone, R. H. Oakley. For your president:--W. E. Maston, Cincinnati, Ohio. Legislative Report President Frayaer: The next feature of our program Is a report of the leg islative activities. The chairman of this committee deserves our very hearty commendation for the splendid work which he has, for a long period of years, and particularly during the past year, contributed to the protec tion and welfare of the members of this association. It therefore gives me great pleasure to present to you one whom you all know, who has been so diligent in his efforts for our welfare, Arthur S, Somers. Mr, Somers: I suppose X am getting to be such an old story that I wonder some times how much longer you can bear with the text that I offer. Sitting here this morning and looking at some of the oldtimers, reminded me that It was about 1910--1 think that year Is correct--that the committee of which I have had the honor to be chairman was organized. You will recall some of the early dis cussions, those of you who were part of the organization in those early years, and realize how difficult 7t was for the com mittee to compose itself in such manner as to reconcile differences existing be tween those using your product and those making it. Happily, however, we man aged to get through by a few compro mises, and latterly there was a better feeling and a better understanding estab lished, and we were able to sit down and discuss in a perfectly reasonable manner such differences as arose from time to time, and by a meeting of the minds and a community of Interest resolving our work into something that was not de structive, and if not entirely constructive at least was rather passive. Arthur S. Somers Chairman on Legislation Your committee takes this opportunity of expressing Its sincere appreciation to all of those who so generously and genu inely responded to the call for help in the various states of the union. The local clubs have certainly done their part as Justifying the recommendation made sev eral years ago, that after all most of this work should be imposed upon the local organizations. They have met the test,and we are very glad, to acknowledge the splendid work that they have contributed toward our success; and for those others who helped, let me also--wlthout naming them--Include them In the general note of appreciation expressed on behalf of -the chairman of the committee. With this note of appreciation, I retire with all the grace that la left me in the old. years, from which I can look back Into those memories and open their cas kets and find there revealed those splen did characters who have inspired all the work that we have but feebly attempted to do. ' President Frayser: Mr. Somers, in behalf of *your associates and friends and the entire membership of the Na tional Faint, Oil and Varnish Associa tion, I want to express our gratitude for that splendid and interesting and informative report, and also at this time to register our appreciation for the splendid service which you have rendered your associates and friends in this organization. Gentlemen, you have heard Mr. Somers* report. It 3s before the convention. What Is your pleasure? It has been moved and seconded that the report of the legislative committee, rendered by Mr. Somers, be adopted. (The question was put to 'a vote and carried.) President Frayser: In the next fea ture of our program, gentlemen, we are exceedingly fortunate in having with us this morning a man who has come into national prominence because of his constructive activity in the inter est of the public generally, The one to whom I refer is Cheater Leasure, asso ciate editor of Nation's Business. He has been kind enough to come down this morning and address us, hia topic being very unique, and I am sure will be very Interesting. His subject is "Tub-Thumpers and Panacea Ped dlers." Mr, Leasure J 30 October 20, 1931 ' OIL.: PAINT -AND DRUG REPORTER : Remedying Depression Taking his title from an episode re lated by Mark Twain to illustrate the popularity of sound and fury as sub stitutes for logic and common sense, Mr. Leasure discussed seriously, but entertainingly, the business depression and what is being done to .remedy it. He dwelt upon many phases of thB de pression as it exists in various parts of the United States and in other countries, ''and critically weighed the formulas that have been and are being offered to improve conditions. His con clusions were expressed as follows:--- This depression, like all other depres sions that we have had in the past, will begin to end the day that the majority of folks In the country begin to think of it In terms of the past tense, and not un til then. I don't want to be misunderstood here this morning, gentlemen, upon this ques tion. ' I do not for one moment want to say that there are not very real and very vital questions and problems confronting the American business communities today, because you all know now that that Is the case, and that our troubles are not all of .the mind, although the fear factor Is a tre mendously potent factor in the question of the duration of this depression. "We hear on every hand, or on many hands rather, eminent men, if you please, who tell us that this is the worst de pression we have had. Well, I remember now in my own experience back in the Cleveland times, I was just a small child and I can remember the folks talking about that terrible depression, saying, 'This is the worst depression ever in the history of this country." Wfell, of' course, this is the worst one because it Is the one we are in now, and that one was the worst one because it was the one we were In then, and so on. But, as I say, these men, taking counsel of their de spair, are telling us that, industrially and economically, America's .future ia really behind It, Well now, gentlemen, I don't believe that for one moment. Forty-five years ago, about the time I was being born, a very eminent American citizen, who was the first commissioner of labor under the newly created Department of Labor, before It became a Cabinet department, if you please, in the preface to his official re port painted a picture of deep gloom, forty-five years ago. He went on to say, after a survey of - the national and inter national business horizon/ "that 'the^economto future was very ' doubtful; that opportunity ..were ""foreshortened5; " that horizons were narrowing in both America and abroad. He went on to point out that In this country we had built great lines of railroads; that we needed no more railroads;-that we had bridged practically all of our rivers; that we nad tunneled our mountains: that we were then producing about all of the useful metals that wo could by any . stretch of the imagination use In this country, and so on for page after page, a most per fect picture q gloom. Mind you, gentlemen, that was fortyfive years ago. We all know 'what hap pened In those forty-five years. Those forty-five years after this observer had pulled down the curtain, so to speak, running down the curtain on America as a great industrial people, why at the time that report was written, gentlemen, there was not a single mile of improved high way in this country except city pave ments. There was not an automobile vehicle on wheels anywhere in the United States, Telephones and telegraphs were in their very swaddling clothes. There was not an airplane in the sky. Radio was unheard of, undreamed of, and yet 46 years ago this gentleman, in all seriouriness, and In the physical and mental depens oi an economic depression, if you please, declared that America's future was behind It, Now, folks that get into that state of mind remind'me of the story.of the spin ster --this may be an old story, prob ably is, but It 'certainly applies- to this situation, and I would like to have yojir Indulgence to repeat it to you. This spin ster lady for many years had cherished ambitions for matrimony, but age, of course, and the coming of years had taught her that her hopes were futile. And on an occasion she was visiting a friend of hers who had a very beautiful country place, an old farm that had been restored and made into a lovely country place, and in the back orchard, the old orchard of this country place, was an old well that had been abandoned many years before- This well was protected by a slowly decaying wooden curb. One after noon, the hostess had missed her friend, and she thought she had better look about and see jf she had-strayed away, so she went out Into the orchard, and' by and by she heard the most heart-breaking sobs she had ever heard in her life. She hastened on in great dismay and there she found her friend sitting beside the well, shaken with sobs, bitter sobs, and she hastened over and put her hand on the shoulder of her friend and said; "Dear, what in the world has hapened? What on earth is the matter?" And between her sobs, this very dear old spinster lady said: "Oh, I was just thinking how perfectly terrible It would be If several years ago 1 had married and had had a dear little child, and that dear little child had wandered out here in Its play and had fallen down in that well and been drowned." Gentlemen, I say to you in all kind ness, that those who tell us that we are never going to get out of this depression remind me of that state of mind of that spinster lady. Their troubles are largely synthetic, and I want to say to you that the American peole, the American busi ness. .community, has always risen above these problems, and the way to get around these problems today is not to sit down at the well curb and weep about them. Ladies and gentlemen, I thank you. President Frayser: Mr, Leasure, we thank you very much for that splendid address, and I should like to have us manifest our appreciation by a stand ing vote of thanks to Mr. Leasure. (Mr. Keister assiimed the chair.) their numbers, would go- far in assisting the manufacturer in carrying on the bur den. -' Our films, "The Romance of Paint and practical and -readable manner, method* and modes of decoration and protection of surfaces, both from an interior anti exterior standpoint. ? With -pattr! fij; erall Save the Surface Chairman Keister; The next order of business Is save the surface, and we will ask Horace S. Felton to present that, Varnish" and "Home Is What You Make It," have been widely used In the Past, but would probably come Into greater prominence If they 'were revised .and brought up to date through the addition of sound. The committee has looked Into the possibility of affiliating the campaign with films of commerce, the-Harvard Uni versity series of motion pictures on com merce and ' industry,. This organization It contains twenty interesting pages, with four full-color covers. Each issue contains a variety of timely, -practical: suggestions that possess a strong appeals for the readers and create a buying urge,); The articles stress the advantages, bot&| from an economic and decorative vievv point, of paints, varnishes, enamels anfl$ lacquera applied to every "pajntable" sui-'; face. '' D< gjc.mat ". jmax :;tota ! lnel. J. nee' jfe.able g? tain \surJ Mr. Felton's Summary has developed the showing of motion pic tures, either silently or In sound, to a At the same time, an attempt la being ! made to maintain a high standard of Mr. Felton; Tho activities of the com mittee in the past year have necessarily concerned themselves with publicity and very high degree of efficiency and I quote from their proposal the results which wo might expect through them; promotion features. The program of 'Yearly . ' - ' ' ` Cost per economy which our Industry has adopted, rendered impossible the national advertis ing which'had been carried on since-1921, You can imagine the difficulty of the com show"Frlnts.' ings, 60............ 4,000 100........... 8,000 Specta- . ' tore. t.OOCMJOO 2,000,000 ' Total apec. ' coat. tator. '$15,000 : lfto. -. 25,000 - . Ifco. mittee in trying to keep the save the surface slogan up to anything like Its former position of prominence If you can visualize what would happen if the ad vertising and promotion features in your own business were curtailed 94 percent. The printed report of the committee is before you ana we think you will be gratified with the effective work accom plished even in face of such a drastic curtai!ment_in funds. In this connection the committee de sires to express Its appreciation of the An additional expenditure' of $4,000 would give us the same picture with sound attached. Four thousand . show ings per annum Is their minimum, and If, for any reason, the minimum is not reached In the first year, the bookings are continued free of additional cost un til this minimum has been reached. In the case of the story of cane sugar, this film was unusually successful, being shown to audiences the attendance of which averaged 312 each. .' loyal and efficient co-operation which the members of the association staff have ren dered to the save the surface committee. It has been estimated by disinterested sources that the slogan value to our in dustry is something like a million dollars a word. How long this value will con tinue Is a question which we must face. It can only be answered when we ex amine what made tt valuable to this ex tent. It Is obvious, of course, that It was valuable -only because it was promoted and good hard cash Was spent to make It a household phrase. Other Industries are still aggressively pushing their slogans and appeals, all the while luring the public to the particular purchase which they are trying to influence. You will be Interested In some figures gathered by the trade association depart ment of the Chamber of Commerce of the United States. They show that 297 associations have carried on trade promo tion work; 115 have engaged in technical research; 10$ have engaged in market Use of Radio Suggested The " Philadelphia Chamber - of Com merce Is sponsoring a series -of broad casts in which they are asking Industry to co-operate, and the Philadelphia Faint, Oil and Varnish Club arc,to give a five- minute weekly broadcast on "Women's Home Hour," The Philadelphia pointclub Is offering to distribute free the "Guide Book of Painting and Decorating" to any one who will send in to the station for It. The talks have been prepated'by the pub licity department of the save the surface campaign and are available to any paint club which might like to fellow this plan in its own city. Any' ideas along these lines, however, .must wait upon-the funds which are necessary to promote -them. Until our industry, reaches ' the point again'where it finds it expedient, to co- operate in a large way, your committee will do Its best to function efflciencly and , effectively. - . : ,, Chairman Keister:' ' 'What la the research; 183 In publicity; 166 In adver pleasure of the convention regarding tising; 117 In field service; and 107 in systematised education, The following estimated figures were reported for 1930: Mr. Felton's report? . Mr, Callahan: I move that the report be received and filed. x ... ' Technical research................ $874,431 (The motion was seconded.) ' Market research.......................... 298,260 Publicity ....................................................... 606,45$.. General Manager Hofgan: ;It would .Advertising .......................... 6,816,900 seem te. me^ulte appropriate. In view PiCld service,..................................... 1,226,610 of- the 'fact that Mr. Felton has made Systematized education................416,862 some .very ponstruotiye suggestions, human reader interest that will 'make E people look forward to receiving each mil issue of the magazine, and retain It for. slofi reference use. Features of Interest to,, fi?. All. children are published and, through them..! to impress their elders; articles of special ' iraai interest to women are also Included.' ' . Eac Furthermore, an effort is being made 1 to Increase the value of this publication s&'. ted to dealers by adopting a definite plan of win sales promotion, centering around the' magazine. ' V This can be done by featuring in each Issue a certain section of the home and . giving Instructions for decorating that-] section. Thus the respective Issues of the1: magazine will have value as a handbook, This plan will afford the dealer an op portunity to build his advertising cam paign around the magazine. The plan' la decidedly flexible and lends itself per fectly to national exploitation. '' Sfr"Con T-c;: pal. act ma der ' sar : . t . ma ii'.vl co . tra In addition to featured articles on a gtv? - act specific section of the interior or exterior giV pai of the house, reader interest material ' lng will, of course, also be included. . Motion Picture Film : Since our last-meeting the film, "Homs . Is What You Make It" has been widely shown throughout the country. The De partment of Agriculture (who produced : this film at the suggestion of the save the surface campaign) reports that since Its inception in' 1929, it has been shown by them approximately 360 times to an audience estimated at. 226,000 people. : Our own circulation amounts to 10$. showings to an-audience totaling 155.000 . --a grand' total of 529 showings to 380, 000' people. Our older film, "The Ro-' mance of Paint .and Varnish," is still in use and was shown 10 times during the past' year, making a total of 566 showlngs to an audience of 435,000 people. These films are available for use by any concern in the industry and may be oby falned by communicating with the" save the surface campaign at Washington. Guide Book of Painting and Varnishing ' Over 75,000 copies of our "Guide Book of Fainting and Varnishing" have, been circularized to date. This figure reflects / the real popularity and reception ac corded thlB publication by the consuming' * an 3&>:- ind ' cor vei Ui}i;/. -she pu' fef he: i pr< , :1 iui pc bu sur " PI all -dr ba Wi Total .............................,..........................$9,827,486 Eighty-one associations reported their budgets for 1930 were increased. . Fiftysix associations reported their budgets for you might amend that motion to the effect that the suggestions made by the chairman be referred to the proper sources' for. action, because ' there are public. Single copies of- this book sell for 25 cents, while in quantity orders a price of 19% cents each is quoted. One of - the larger manufacturers In the Isduatry (having a number of retail stores sti ad te: ya 1930 were decreased; SI associations car things there that would naturally have throughout- the country) Is constantly \ ried over the same budgets. In addition to the above, 21 associations reported only totals, the sum of these figures be ing $4,686,180. On the question of national advertising, from the best source available, there seemed to be 48 associations carrying on national advertising during 1930, the last to be considered "by .the budget and finance committee, Involving outlays. I think with that amendment'It would carry out the intentions and wishes of your committee. .. Chairman Keister:'-If there are no objections, that "will be:added, to the purchasing large numbers of this book 1 for resale to his customers. The proper application of your products Is essential to good results--this book tells how your products should be applied and every manufacturer In the Industry should see . that hls dealers have copies of this publi cation available. While the number of Oi F< op st- year for which figures were available, motion. ' . 1 copies sold this year as compared with The total spent was $5,998,397. ' {Mr, Felton gave a detailed list of the organizations and their expenditures.) Thus you will note that to offset this expenditure of approximately $6,000,000 for advertising alone, to say nothing of publicity, we have nothing at present but our own publicity and promotion, Not a very effective weapon to meet such a formidable foe. You will remember that our slogan not many years ago was, "Double the Industry by 1926," I think it will be helpful to study a moment the progress which we made toward meeting this goal, The increase In business over 1921 was as follows:-- 1922 .................................................... 37.4% ' (The question wag put to a vote and carried.) '. ' (The report prepared by the: saVe the surface committee was as follows.) . Save the Surface Report With this convention is terminated the first year's operation of the save the sur face campaign since the adoption of the reorganization plan at the- 1930 'meetings in Toronto. A report' of 'the work ac complished during . that: perlod'v is sub mitted herewith, , . ..'-.C- , Editorial Service -'.' :: >' previous periods is smaller, this may be accounted for by the fact that the book was , then comparatively new. However, special efforts are being made to increase the circulation of this book. - . Window Display.Contests In line with the campaign's policy of Instituting features which popularize products of - our industry, an Invitation was sent to local paint club presidents of the National Faint, Oil and Varnish As sociation, extending to them use of sur plus copies of previous window trims for this purpose. The displays In question ' were sent to local committees having this matter, in- charge, who in turn sent the tv in he ui dc fi"! hn I pc pc rs fil . <l! hi tc 1923 ....................................................... 1924 ........................ 1925 was double. 1921. 63.0% 73.9% ' Well, then, our next objective was, I With the elimination i otT space -adver tising in national publications, the cam paign hag concentrated-fts efforts' with renewed vigor on the editorial service and trims to. dealers participatlng,'tn:'the con tests* Many clubs have already taken ad- . vantage of this offer/ which has proved an excellent business stimulant and re ir think, "Triple the Industry by 1931." We other publicity features which are now sulted in friendly rivalry throughout tho were fairly well launched on this-when our retrenchment program was adopted the principal activities carried on by the limited Btaff of the department, v-.i . local'trade. As long as surplus supply of these displays last, this offer is still open and we find ourselves doing little today, collectively, to promote the progress of our Industry with anything like our for mer zeal. Articles regarding use'.of the. prod ucts of our industry have ; been-: placed with magazines, newspapers, farm publi cations and other periodicals,!'such as to other clubs who have not previously availed themselves of this opportunity. Sales Training Courses What of the Future? Literary Digest, Popular-Science Monthly, "Specialization" Is the modern trend, Hardware Age, House and Garden, Amer and In compiling the sales training What about the forward program of ican Home, etc. The number -of articles courses for master painters, retail dealers the committee? What can be done that written by our staff totaled 79 .and were and manufacturers' salesmen and distrib will prove effective? We must continue, published In 40 different magazines, af utors, the save the surface campaign of course, our publicity and promotion as fording a circulation approximating 8, achieved a distinct success in making in the past One of the most fertile fields 199,597.- To this end, constant'contact available for study the most modern sell is the contact which we might establish is being"-, maintained with .representative ing methods. In these days of economic with the schools throughout the country . national publications by the editorial staff. adversity the practical application of the somewhat after the same fashion as has Another special feature of our work la knowledge contained in these courses can been done so successfully by the Florists the full-page Illustrated mat service- re be applied to material advantage. It has of America, They expect, based on past leased every other month to. approxi been, an undoubted truth throughout the experience, to distribute to the schools of this country and Canada, over one mil lion painting books, around which a na tional contest has been woven, based on mately 300 carefully selected newspapers for use by them in Informing their read ers concerning the use of our .products, color schemes, etc. This affords another ages that education is the most vital ele ment to the progress of a people, and this principle applies in' the same degree to the advancement of an Industry. Special artistic painting and arrangement, of flowers. Consider what a potent'-force this Is toward making "flower conscious," this vast horde of youth. Work of this nature could be effectively carried out by our industry through, the use of painting books, the idea to be stressed, in our case, however, would be one of decoration and arrangement of. woodwork and furniture. An additional value of this plan would be the tie-in which would be necessary on the part of local Interests, thus giving the Individual paint club unit some real constructive work to accomplish. exceptional medium for.consumer.contact. While no specific figures are available In dications' point to innumerable - readers of our messages. In addition, specially prepared articles have been sent to publU cations which have.requested this service. "While It is -difficult to evaluate-with any degree of exactitude the amount-of money represented' In products sold as a result of influence exerted : by these articles, It reaches . tremendous propor tions when one pauses to consider- the sum invested to conduct'this branch of our activity. . . : efforts' are belhg made to further tho use of these courses by the respective branches of our industry. . " . ' Annual Window Display `" Once again the .save the surface cam paign- scored! In presenting its window display for 1931. -unsolicited comments characterized' this trim, as one of the finest produced by. us. Make "Passers Buy Out-of Passers-by" has been the keynote of the displays presented. If one were- to' doubt the veracity of the truth expressed in this statement, the results . Some feel that our plan of financing save the surface ' was not entirely com plete In that it did not effectively tie in retailers and master painters, The Chi Save tho Surface Magazine- ' V- Save the Surface magazine ' is edited monthly by the campaign and. circulated obtained by users of our material would be exceptional evidence to the contrary. It Is an' undoubted fact that a well- dressed and sales-appealing window does cago Association of Life Underwriters by dealers throughout the, country main much.toward increasing business volume. have solved this nicely by charging 60 taining a list of prospects, . They find this The small cost of these displays justifies cents per week for each subscribing local a valuable and remunerative method of .their purchase by each manufacturer for agent, and $4 per week for each sub maintaining contacts with prospective hls respective ' dealers' use. The fall scribing general agent, which- fund pays buyers, ' " ' painting season Is at hand, and a well far the cooperation advertising campaign Thd average monthly circulation of this ' planned promotional campaign Using save now being sponsored by this organization. publication totals 25,000 copies,"amount the-surface material will go far .toward If the proper program was offered to the ing to a yearly distribution of 300,000. ' retaining to some extent the volume of two groups In our industry already men The magazine is devoted to" the task of business previously enjoyed in a more tioned, It is possible we could secure nom intensifying public interest in the products prosperous period. More than 4,500 dis inal support from them, which, based on of the Industry and to illustrating in a plays have been sold to date as compared l OIL, PAINT AND DRUG REPORTER: October 20, 193f - 31 lOds :? tlon and r : with 6,600 last year, the decrease being1 .attributable to economic conditions- gencrony. the period of the "gold rush" of the last Packard Motor Car Company, who men* few. years, has-made great progress, it . tloned Cadillac, Lincoln, Butck and a few has been possible for any well-managed . other automobile trade names in their current income, without banking too op timistically upon estimates or futurities. Inasmuch as seasonal fluctuations ren Dealer Mat Service v business to succeed and for any aggres sive organizalon to' make great forward own ad. Alvin McCauley's main thought was that the time had come to lay aside der it impractical to operate the bureau upon a budget rigidly divided Into twelve Demand still continues for advertising . mats for local ' dealer advertising, the number of mats mailed 'for this purpose ? totaling 336. This service has been genu ' lnely helpful In stimulating local painting ..needs, A series of sixteen ads are avail able for this purpose and may be ob tained free of charge from the save the ; surface campaign, . strides.; In: good- times It ls- often diffi the fad of non-buying and substitute wise cult ot determine whether a man or busi buying In ltB place, In order to provide ness, has this extra 10 .percent. . How honest labor for worth-while people, lnever, when times of stress come; the story . stead of the dole. Is quite-different. That is1 why depres ' AH our municipal governments have sions and panics wash out' the unfit and had sad experiences with their doles In allow, the fit to survive. It Is also why the past months. Practically every city so many men and so many businesses government is agreed that If money must begin their rise to leadership at times of be spent to help unfortunate people, it equal monthly parts, when practically the entire annual allowance for some items should be actually expended in a single month, it.is necessary that considerable discretion be exercised in the actual dis bursement of the funds. Similarly, currently developing oppor tunities and prompt revisions' of plans to meet them, necessitate great flexibility add lion i of. the ach. md hatthe : jok. op- . imlan ier- ia lor rial me ely Do led tve 1 tee wn an ll .69 00,0- lO-' In he xv- .le, !hy & Slogan Protection .. Especially ditlgent-has been the com- Tnittee In charge of the protection of our slogan, "Save the Surface and You Save All," While some misuses have been ' made, rectification has followed when the matter was called to their attention. Each concern should be on the alert in reporting such matters, in order to pro tect the interests of the Industry as a whole. Conclusions . ; We have briefly reviewed the work ac complished by the save the surface cam-, palgn for the past year and believe this activity has once again demonstrated Its material value to the Industry, even un der the curtailed program, made neces sary to meet our budget. The paint and varnish industry has ' manifested cognizance of the principle of co-ordinated effort In the building of its trade associations and in fostering their activities. The save the surface cam paign is essential to perpetuate our stand ing as an industry. Our slogan has been estimated to represent one million dollars a word, and If this be true, it represents an Investment which each concern in the industry should capitalize. Many are constantly using our slogan In their ad vertising and publicity matter; every one should do so and thus keep alive in the public mind the two-fold advantages in* : herent in our products--beautification and preservation. . ' Write to campaign headquarters for further information along these lines. . Clean Up and Paint Up Chairman Keister: The next order of business Is the report of the clean-up and pafnt-up committee, by Dr, R. A, Plumb, chairman, , (Dr. Plumb, after the showing of depression and panic. Such times are the acid test of character, ability and fitness, and .lt is In BUch times that It is very -easy to discover'whether the last 10 per cent is present or Is lacking. At this very hour, this industry Is being observed as at no- other time to determine if we have that extra 10 percent. .. I read an. account some months ago of an ocean liner that In crossing the Pa cific had encountered storm after storm. It was a continual contest between the strength of the sinews of steel that com prised the hull of the ship and the power and the strength. and the fury of the heavy waves that were continually smash ing against it. - This ship came through storm after storm until the last morning, when the harbor lights of the Golden Gate were almost in 'sight, and the waves won and the ship sank, The harbor in sight--Just a few* miles away---but the ship failed to reach It. The records of the next few months will either record a tremendous credit that will place our Industry In a position of respect %and prestige for years to come, or will show that with an opportunity at our threshold, , we failed, and placed ourselves in the position to justly deserve the censure and disapproval of all. I re-emphasise--there Is no single in strumentality that is available to any in dustry today that has greater potential possibilities In contributing to the re- stlmulatlon of business and to fulfill the implied obligations of patriotic service than stands before our Industry today. "Hire and Idle man to clean up--paint up--fix up and help your clty and your country" is not- an idle assembly of words. This text conveys a challenge which Implies an obligation which cannot b$ individually or collectively set aside. It contemplates the same response from hearts that are loyal, staunch and true as when Lord Nelson announced to the sailors of his fleet:--"England expects every man to do his duty!" . This Is a time of economic stress when should be spent in connection with pro viding work, even though at reduced hourly, rates. . What finer service could clean up and paint up render the country than by starting a movement in every city to organize an active "hlre-an-ldle- man" campaign to clean up--paint up-- and fix up. . There is a tremendously dramatic ele ment In that Biblical story of Belshaz- zar'9 feast. A great spectacle of feasting and making merry in the vast ball of that great palace reflecting power and domi nance that seemed secure for years to come, and then suddenly against the wall the figures of a hand that wrote Belshaz zar's doom. The king had been weighed in the balance and had been found want ing, and that' night the business of gov erning Babylon passed Into other hands. Our industry today stands in a position of enviable prestige. We are possibly overconfident and overgratifled with our sense of security. Yet I challenge you that by the very sheer dominance of our position today we are carrying a liability which, if we meet, will add to the prestige ' and security of our position; but if we fail, the very foundations of respect and regard upon which our Industry stands will be shaken with the Indictment and with the shame of the great tragedy of being near opportunity, of being desig nated by fate to fulfill a great obligation, and failed. It is a challenge that should stir the clearest thinking of our Industry. (The general report of the clean up and paint up committee was as fol lows.) Clean Up and Paint Up Report The past fiscal year has been a period of reorganization and readjustment, both financially, and physically, In our National Clean Up and Paint Up Campaign Bu reau. It Is an- impressive demonstration of the Inherent strength and prestige of the within the aggregate limitations of the budget In order that adjustments between items may be made with relative free dom--always provided that the total amount of the budget is not exceeded, for the year. The close personal attention and co operation of the general manager in the exercise of this discretion In making ad justments between items in the budgets as they have become necessary has great ly facilitated the readjustment of the bureau to the new conditions of -opera tion. There has been some degree of com pensation for the reduction in expendi tures and the reduction in personnel by the accompanying relief of the bureau from the job of soliciting money, but. this relief is only partial as far as the operations of the bureau as a whole are concerned, and cannot be expected to fully compensate for the total curtail ments, especially when considered in the light of our bureau's potential promo tional opportunities. Changes in Administration Methods Among the outstanding changes in ad ministration methods were the following: Maintenance of separate bank accounts by your committee and the bureau has been discontinued, all receipts and dis bursements now being handled- through the joint accounting office of the associa tions In Washington. Submission of bills to the chairman of the National Clean Up and Paint Up Campaign Committee for approval was discontinued, Jan. 1. Under -the new sys tem all purchases are first requisitioned on official purchase forms of the educa tional bureau and sent to the general manager for his approval. Following the actual purchase, the bills are O. K.'d by the executive secretary and sent to the general manager, who, in turn, sends them to the treasurer, who Issues checks in payment. All books are kept by the Joint accountant. slides, presented the following* ad dress) t . : Tragedy of "Near" our country has every right to call upon our great industry composed of citizen ship of the finest quality of patriotism to respond for service. - bureau, that despite the generally adverse business conditions, sharply curtailed ex penditures, and the unavoidable tem porary awkwardness occasioned by a change In our bureau's location, the long Comparison of Financing The finances actually available to the National Clean Up and Paint Up Cam paign Bureau for 1931 have been ap 3ff ll . Dr. Plumb UYou have observed a foot ball game in which a team by clever for ward passing, by skilfull end runs, by - sturdy, well-performed line plunges, has advanced the ball down the held--five, ten, fifteen yards, right up to the oneyard line. The ball stops--first down* second down, third down, fourth down, . and the ball still on the one-yard line. Opportunity just In reach but unclaimed. ' Will We Fall? - ' . Are we going to fall through the short vlsloness, the narrowness, the provincial ism. the apathy, the selnshneS3. and the lack of understanding and Imagination In the Individual thinking of our Industry? . Some of you may recall that editorial, "Don't Die on Third," which appeared In the Detroit News some years ago, and which has been referred to In various ap established and invaluable contacts and . affiliations with co-operating agencies not. only have been maintained, but that the unemployment crisis has brought em phatic official recognition from President Hoover's organization on unemployment relief of the outstanding value of the clean up and paint up campaign for the creation of Jobs and the stimulation of business activity. proximately half the amount of money whlch.^waa subscribed `in 1926, which ap proximated $-80,000 directly from members of the industry plus the return from the sale of supplies-at that time, and are ap proximately half the amount which was obtained annually, during the past several years since 1925, when direct solicitation of funds was In effect. Curtailment of Newspaper Service y Football games and conference titles are not won with the ball left on the one- yard line. ` On the very threshold of tremendous opportunity and failing to' take the last step, our Industry may be a glaring. ex ample of the tragedy of "near." In the United States there are' over twenty million Homes. If through' the' Impulse of'our campaign ' S . percent of home-owners could be. Influenced'-to.-clean up and paint up and fix' up, there is a definite potential requirement for- at least five million gallons of paint or approxl- mately fifteen million dollars. Mind you, I am basing this estimate on only 5 percent. To assume 10. percent or 15 percent would doubtless, be . more .accu rate, but would develop such staggering plications. ' It was a game between Cleve Administrative and Other Changes land and Detroit. Morlarty was on third base. He got there by the ordinary events of- the game. At the bat, he hit ' the ball and ran to first. Another player Effective January 1, 1931, our National Clean Up and Paint up Campaign Bureau came under the financial control of the educational bureau,, under the new reor bunted and sacrificed to advance Morlarty ganization plan of the paint and varnish to second. Then a long hall placed him industry. on third. Much as it meant to have ad vanced. that, far,., nothing was accom plished by it. Three-quarter run's are not marked up-on'the score board. ' Third- ' As of July 1, the. bureau was moved from its previous address in New `York, to the Gregg- Memorial Building. 2201 New York Avenue, ,N. -W,, "VVashington, base runs never raised a pennant. Third TV C,, In completion of the program to base Is not a destination, but the last place all association activities under the little way station on. the road home. direction . of.. George v, Horgan, general There is no time for self-congratulation manager. on third.- Third base has no laurels on R. W. .Emerson, executive secretary of which you can rest; It la better not to your bureau, and George Messlnger, gen .-run1 at all than to ruti to third-and "die." eral assistant to Mr. Emerson,, moved with Morlarty, by. alertness and mentality arid your bureau to Washington, where they The bureau's free mat service to news papers, which previously. has resulted in approximately four million dollars per year in newspaper space devoted to the clean up and paint up campaigns, has been held down, in order that the bureau may be assured of getting through the present year without any deficits. ' To partially offset this curtailment, your executive secretary conferred with some subsidiaries of the American 'Press Asso ciation and gave them permission to use official Clean Up and Paint Up designs In their own service to approximately 4,600 newspapers, with the provision that they would print and pay for their own proof sheets and mailings, and would furnish the newspapers with mats at their own manufacture and at their own expense. figures that you would be Inclined to . speed and ability, reached home. are continuing their work under the di question their practical correctness, . What is our Industry going to do? Put . rection of the general manager. With one By simple arithmetic; If one' million the ball over the. goal line? Reach har stenographer, they now constitute the per home-owners would employ one laborer bor? Score from third? Or become the sonnel of our bureau--a personnel of for but one day^ of eight hours, the total subject of . the Just accusation of the In three In Washington in September, as would obviously equal eight million hours dictment that- with opportunity near, we compared with a budgeted personnel of --equivalent to a payroll of at least' four . failed to have that additional 10 per cent, five in New York in January of the pres million dollars. " It lb,', however,-^difficult to conceive how any comprehensive1' Clean up and paint up that extra edge of vision , and courage to size up stalwartly to a great and un paralleled opportunity. - . ent year. In previous years, it was cus tomary to employ approximately ten people as temporary help to get over the . program-'would not actually involve the We must remember-that the paint In spring peak or the campaign. . employment of three,, four and five times dustry, as well aB other industries, has a Obviously, with such a small force, and eight million hours with a corresponding tremendous . responsibility; in ` coaxing with a sharply reduced budget, it hag be increase In value of payroll. This la the money into circulation, in encouraging come more than ever imperative to mini very simple, plain dollars and cents of that opportunity that is available to our people to give men work. "Hire an Idle man" does not only stimulate the Imme mize detailed correspondence and to con centrate stragetically upon cultivation of industry. ' And, further, there Is no competitive Industry, Including radio, automoble, steel diate sale of paint--It take more men out. of the unemployed class, thereby ener gizing our Industrial structure In general. major contacts with outstanding national and regional organizations, which, in turn are In position to more individually con or any that you can mention that has such an enormous opportunity just walt- If it is true that much of our present de pression is mental to the same degree tact with and enthuse their members through their established mediums of con lng to be claimed. that some of our previous high points of prosperity were mental, then we Improve tact at their own expense. Examples of how successful this is be ' ' Why Hesitate.? . the mental attitude of a nation In general ing done will appear in other paragraphs While there are some twelve thousand newspapers In the United States, the bu reau has confined Its own circularization to the two thousand dally newspapers, and for the first time in Its history has not sent out any proof sheets, except when newspapers have asked for them. . This le equivalent to telling them that we have an illustrated catalog of- Interesting sub jects, but are not sending them the cata log unless they ask for it. Inasmuch as newspapers are quick on the trigger, and the ordinary routine delay of business procedure Is foreign to their nature, this procedure, while It saves the bureau money In payroll, printing and postage. If continued, it Is bound to retard news paper co-operation, and result in a con siderable loss of publicity. Our only off set to this Is the service of the American Press Association, which necessarily Is limited In volume, although it does cover several thousand newspapers. Why are we hesitating? Let's face the facts--no need of complication--the an . alysls is altogether too plain. As an In dustry, we lack that TO percent, that margin, that differentiates between sue- cess and failure. ' ' ' . - You have known men--yes, dozens of them, who apparently have had equal brain capacity, ability, knowledge and personality. Yet cut of that dozen men one will rise to leadership and the others will sink into mediocrity. This Is true in warfare, In politics and In business, , The Civil War developed leaders who probably had as much military ability as either Grant or Lee. Yet Grant and Lee had this "something else"--this., last 10 percent--which made them oustanding. In politics there are probably men who have equal ability with Mussolini. There are many. men in this country who are much abler men than Roosevelt. And yet Mussolini and Roosevelt rise to great by hiring an Idle man--thus insuring a speedier recovery from the present dol drums. .1 You no doubt read . that the second largest savings bank In the country re cently sent out a letter-to .its depositors telling them that the time was ripe for them to make worth-while purchases of necessary articles rather than defer such purchases and hoard the money. In my last month's statement from a Detroit bank, a folder was enclosed, calling at tention, to the wisdom of judicious spend ing. of ' course, governmental agencies have been telling us this for quite some time, but when the .banks claim that they have .too much money , locked up In fiavr ings accounts and would rather see some of it go out into circulation to make more, money, it Is an indication that the tide of business is at, or near, Its turning point. Clean up and paint up, with its "hlre-an-ldle-man" campaign, can do much to assist in this constructive work of this report. Inasmuch as the exigencies of printing and early distribution necessitate the preparation of this report prior to the completion of the annual audit, only basic factors.In the campaign will be dealt with in this report The- treasurer will present the financial report at the convention. Budget for 1931 Effective January 1, 1931, the bureau was allotted a total budget of $24,816, including $3,860 aepro rata of administra tion, plus an estimated $10,000 to be ob tained from the sale of campaign sup plies, the budget being estimated on the basis of a full calendar year. Sales of supplies for the first three quarters of 1931 have closely approxi mated the pro rata estimate for the nine months' period. In previous years of high prosperity, sales of supplies approximated $14,000 annually. Front Page Stuff Although your bureau does not employ a clipping service, on account of the ex pense. newspapers voluntarily sent to our bureau by publishers, and which may be examined In the office of our bureau, show a great volume of front page clean up and paint up publicity, featuring our bureau's mats of headings, cartoons and proclamations, and many full newspaper sections devoted to the clean up and paint up campaign. Reduction In Promotional Material The bureau has purchased only a few new designs of promotional material since the reorganization plan went into effect. It has been and is devoting Itself to liquidating its existing Inventory, supple mented only by "hand to mouth" pur chases of certain Items of which substitu tions cannot be made. Some times, man ufacturers are lotting the bureau have heights, while the rest of their Com patriots never attain much above medi ocrity. It is this last 10 percent that analyzes into the three factors of--Vision to see, to help bring better times. It Is generally agreed that honest work Is better than charity. Recently a well- known automobile manufacturer came out with a' falUpage'advertisement in the Unquestionably our lack of a new clean up and paint up window display design for 1931 Is largely responsible for the current drop In the volume of supplies sales, which was anticipated in making upon what Is practically a consignment basis. This is bound to hamper the sale of supplies, on account of there being nothing new thls ysar, and because of some popular Items being sold out early Courage to grasp, 'Determination to carry leading newspapers all over the-country, up the budget estimate, but sold out this season, without replacement. through an opportunity. over the President's signature, pointing Items, hard times and curtailment of I challenge you--take these factors and out the advisability of making wise pur mailings to come within our bureau's Curtailment of Mailings lay `them against any men or any busi chases of automobiles. Perhaps for the present financial and physical powers, no As an example of the curtailments of nesses and you can analyze for yourself first time In the history of automobile ad doubt also are contributing factors. mailings, only 20,000 illustrated lists of just why certain men and certain busi vertising--or any other advertising--has Realization of existing business con campaign' supplies were printed this year nesses have been a success and others an advertiser mentioned the names of bis traction has been with us throughout the for distribution, In comparison with 60,000 have not. ' competitors In paid space of his own. I year, and has necessitated special caution which were printed last year, and 100, The paint and varnish Industry, during am referring to the advertisement of the in keeping expenditures within the actual 000 which were printed and distributed In 22 October 20, 1931 OIL, PAINT AND DRUG REPORTER! some previous years. Mailings of these supplies lists are being restricted to cham bers of commerce, sales and advertising managers and members of the industry, former customers and -organisations co operating with the President's organiza tion on unemployment relief. Efforts to Offset Curtailment A diligent effort partially to offset whatever lose in sales may be occasioned by the curtailment In mailings is being made by notices In trade Journals, etc. Soma concerns with large mailing lists have informed us that they were embody ing our notices in their own house organs or broadsides, The trade journals- have been and are doing yeoman service 1 in publishing our releases. These are our only present means of contact with dealers and painters to the number of approximately 100,000, who formerly were contacted with by direct mall. In view of the business depression, It is impossible to say how much effect this departure has upon the sale of supplies, but in normal times it is believed that it could not fail to be considerable. Recommendation by Hoover Organi zation On another page of this report will be found-a reduced facsimile of a letter from Fred C. Croxton, assistant director of the President's organisation on unemployment relief, which carries the following direct recommendation; "Many communities which have not already done so may well use your cam paign methods to help provide Jobs for those who are out of . regular employ ment." This direct recommendation is much more effective, significant and practical than any mere words of generalized ap proval, especially when followed, as, this is being followed, by energetic co-opera- tlon between President Hoover's organ ization and our National Clean Up and Paint Up Campaign Bureau. For example, under date of September 21, our bureau received a telegram from Paul O. Meredith, executive secretary of the Florida Association of Real Estate, saying that President Hoover's organiza tion on unemployment relief had sug gested that they secure from the National Clean Up and Paint Up Campaign Bureau mats and material for three hundred Florida newspapers, and suggestions for state-wide use in Florida home improve ment week, October 26-31, and permis sion to use the name of the National Clean Up and Paint Up Campaign Bureau in connection with the campaign In Florida. President Hoover's organisation has put our bureau in touch with 2,040 of its leading co-operators In the United States. The cartoon designs for use in news papers and as posters reproduced on other pages of this report were submitted to and received the approval of waiter S. Gifford, director of the President's organ ization on unemployment relief. The use of the line stating that your National Clean Up and Paint Up Campaign Bureau is co-operating with the government body also received official approval, Prestige Never Higher Members of President Hoover's cabinet, governors of states, mayors of great mu nicipalities, and civic organizations of the highest standing have not only endorsed the work of the bureau, but are availing themselves of its practical suggestions for combating unemployment and. helping to lift the country out of the slough of In dustrial depression. The General Federation, of "Women's Clubs, an organization which today Is taking meticulous care to avoid being the Instrument of any commercial enterprise, has openly and unequivocally endorsed, the National Clean Up and Paint Up Campaign Bureau as an agency of public service, as evidenced in the "Club woman,' official publication -of the gen eral federation, which has devoted more than a page to the co-operation of the division of community service of the fed eration, with the National Clean Up and Paint Up Campaign Bureau for 1931*--a plan which entails the enlisting of 14,000 women's clubs In the Inspiration of alt the year around clean up and paint up campaigns, in their respective home com munities. Tour executive secretary has accepted an official invitation from the General Federation of Women's Clubs to act as a member of the board of judges which will pass on the community reports, in April, 1932. , Adequate cultivation of this one oppor tunity alone would Justify a personnel and financing much greater than Is now pos sessed by the National Clean Up and . Paint Up Campaign Bureau, yet It la only one of the many avenues of service in which the bureau is much richer In op portunity than it la in means with which to cash In on the opportunity. The National Clean Up and Paint Up Campaign Bureau has truly established itself as a national Institution for public service with a prestige as high as that of such outstanding institutions as the Rockefeller Foundation or the Russell Sage Foundation--a prestige, which, in the public mind, is not associated with private gain, or considered as a specific commercial enterprise. For example, the city and county of Denver this year has voted $1,000 in money from public funds for a clean up and paint up campaign in which the offi cial letterhead of the committee carries our official clean up and paint up emblem of the National Clean Up and Faint Up Campaign Bureau. In Lubbock, Texas, this year, the city board of development appropriated $6,500, and employed 331 men from the charity lists. Certainly this could not occur, and millions of school children could not be marshaled through out the land, with the support of boards of education, chambers or commerce and government and city officials. If the Na tional Clean Up and Paint Up Campaign Bureau were registered In the public mind as a "trade association." Harry J. Krusz, executive secretary of the United States Junior Chamber of Commerce, in a letter under date of June 26, 1931, to our National Clean Up and Paint Up Campaign Bureau, says:*-- "We find that practically every Junior The Case of the Railroads andchamber of commerce In the country is the xailroads^need fs more traffic . Interested In the clean, up and paint up work," _ ,_ . _ --^ .. presumably the carriers would not.be aektj President Frayser: We ate going to jng for an Increase in charges If the dt Russell Cook, national director, na digress from our regular program mand for their services were norzr-' tional Americanism commission, the slfghtly and have an address from one Their petition is therefore urged as American Legion, in a letter under date of our visitors this morning for whom emergency measure. Immediately ships of August 31, 1931, to our National Clean Up and Paint Up Campaign Bureau, rela tive to the American Legion's co-opera tion lit the clean up and paint up cam paign, says:-- we Joel somewhat ohagrined that our audience is not larger, perhaps due to the approaching noon hour, but I hope Mr. Noxon will appreciate the fact that n^nn^tinn to'ffii proposal end your committee devoted n-J siderable time to a consideration of &Ib| question. "1 am placing this activity In the hands of C. M, Wilson, assistant national di rector, who, upon- his return from the those present will fie quite interested In his address and we shall be glad to hear at this time an address from It may be assumed that no one want*! to pay increased charges for transport^ gon $ Bast, will see that the campaign is car ried on throughout our various American Legion posts." , H. A, Hill, assistant secretary, Lions International, department of activities, under date of August 7, 1931, says: "Inasmuch as yours is a national or ganization which is not selling anything Mr Ntacon. who is secretary of the Railway Business Association. (Mr. Noxon gave a detailed and 11-, iuminatlng account of the conditions existing in railroad Circles, making comparisons of services rendered, convanities, ana costa between rail ear- petition for that which -is available Is-' exceptionally keen. And some of tie, carriers even doubt the wisdom of super-J Imposing a horizontal Increase upon the T fSdlnM 5Sn?l0^^^atE^^aTMpSStiSi . f direct, we shall be very delighted to send you our directory, to be printed in the riers and competitive methods. He next few days, giving th names of the r pictured the place of this situation in new presidents and secretaries of our the general condition of business and clubs. We should be highly gratified to concluded as below):__ have you write them along any lines that I wonder if you have any Idea that the agencies; but they are at a loss for &u I alternative for a situation that appears! to threaten- serious impairment of their I financial resources, and their capacity to il assure a continuance of effleient and ade-.J Jen fa fcet you may see fit, to stimulate an Interest revival when It comes, is going to find quate service. in anything for the upbuilding of their community." Your bureau does not have any clipping service or other means of attempting to obtain statistics on the total number of campaigns, or the personnel to compile the data If It had it, but the fact that the national organizations which are co-operat ing with your bureau and the newspapers that highways and, waterways and pipe fines and airplanes are going to be any considerable danger In that, situation? Study the. percentages. It is nothing. This great boom w. had In 1111 was a boom In stock market prices. It was not raecboorodmwians vmoaludme,e ooff cbouusrisnee,ssb. utAnontewa record percent like we expect in a boom. Net Railway Operating Income mv. _.flr -iq o i-i ownS.r acSoXnsiidnacposmdeaJS-n8n6o.r d a "SlueUa TM of lo.'6 192S atd 1931 w m looked ,orward to' with the confident expectation tKhaSt,tcivom^?pvaarirsaohniAwWithTh1e930rewtuornulsd bfoer dltshe; I aSSs !x months emng June So" $23 td mv rc md fhei reach Into practically every community If I were to predict, I would say that j j a ___ # uercent below the corrtf- ^ In the country, Jt seems reasonable to be after the recovery has got under way, Derlcd ln l"'!)! lieve that the previous estimate of 7,000 campaigns annually is distinctly con servative. For example, S. W, Ingllsh, manager of the Texas Inspection bureau, Dallas, in a letter to our National Clean Up and Faint Up Campaign Bureau under date of August 18, 1931, says: "The press clipping bureau here fur nished us 692 publications of fire preven tion week last fall and 200 In connection with spring clean up campaign this year. There are some 700 cities and towns fn Texas, and I think It is safe to say that there was some manner of observance of fire prevention week and spring clean, up campaign in most of them." 0U nYire Sjln t^*twhfiimraiuCthftflJ0fnYHVtd pressing wfil overwhelm all these faoiUties, and With regard to the highway which Is arithmetically the most importaut of these competitors, you have got some very serious things to think about, and so have the automobiles manufacturere some very serious things to think about. They have got these Jams in the cities and at the bridgeheads and other bottlenecks. They have got the compaints of private drivers'as to safety and comfort and convenience on highways. They have got this year, in state legis- laturee, a crop of legislation restricting them. Who did that? The railroads or my people? No1. The farmers with their Or to vfew the matter over a more ex Jen tended period, the net railway operating rj !tiv wincome for the al 5 years 1926 follows- 5TM5lve* was to as 1929. In* 1 iiu'r T 0WS ` J**.' <*>**Pv>Pi s?S i nja'141 c s a VwSJSB .. { Sfi ib I ....................................................... 1,274 774,189 BP- l'lWiBT'liM ........................................................................!---------- Total $5,926,038,998 . Average annual income $1,183,207.800 .. lflSO......................................................... S65 011.825 * 1991 (partly estimated)................... 598.fl20.l75 >t: ^he income for 1931 is forecast by tak- J Lthe mg the net for the 6 months ending June J jn< 30, *218,660,111), and computing the an- a ftfu Let Us Keep Our Vision When it Is considered that the Ameri can soap and glycerine manufacturers have appraised almost exactly the same field as that of the National Clean. Up and Paint Up Campaign Bureau, by appro priating -81,600,006 per year for cleanli ness Institute, $1,000,000 of which Was for pure (promotion, exclusive of paid ad vertising, and made the personnel of cleanliness institute seventy persons, It becomes patent that the National Clean Up and Paint Up Campaign Bureau, great as Its results are In comparison to Its re sources, can relatively barely scratch the surface of its mighty field of opportunity --yet even so, it is highly profitable to the paint and varniBh Industry. Its present ability to operate under its extreme limi tations Is duo to its stragetic methods, and . accumulated contacts and momentum, but It is not- a perpetual motion machine which will continue to operate success fully Indefinitely, unless it is supplied with adequate and sustained power. As cur Industry again gains In strength,. ft should strengthen the finances of our Na tional Clean Up and Paint Up Campaign Bureau, In the last analysis, the campaign must pay us in sales." It does pay. It pays ` vastly more than any one reasonably should expect from the relatively trifling amount of money which we, as an indus try, put into it. . The appended examples of 1931. results are respectively submitted for your three-ton trucks and the drivers of auto- nual returns upon the assumption that mobiles did that, and-there la a full-sized the first 6 months produce 39.85 percent of tier revolt against taxation for more highways the annual net railway operating Income, [dei or for widening these. So there la a real . amount thus computed represents a ` * limit there on the extent to whioh the further decrease of 32.3 percent under [me highway, In the immediate;-future any- 1930__a decrease of S3.Q percent under ,*cal how, cam develop, and as a reliance in 1929--and a decrease of 49.6 percent from [ini' case your railroads fall down. the 6-year average. - ipoj I hope that this Idea, which ,1 never jt ia urged in some quarters that the A cei have said out loud anywhere before--Mr. difficulties of the railways are no worse J L'hir Horgan wanted to know what I think of than other enterprises, many of which are I'cei your traffic department. I think that its experiencing heavy losses from their op- bu splrlt suggests to me .a body particularly rations__but this overlooks the fact that arr well situated, as things stand, to go over the carriers are not permitted to partlci- in c.this question at long range, and while you pate in periods of prosperity equally with . ISP are out of this particular big fight that other enterprises and, what Is more 1m- the commission *e now about to umpire portant, the -present volume of railway, Iws on these rate advances, on which I ex- earnings indicates that they axe not, as J |thj press no opinion, except "never again," a whole, earning their fixed charges, * |CO) that if you will put that on your dodket which in 1930 amounted to $690,738,124, jthi and think about It and consult with other There are approximately $12,000,000,- : Icei associations, I predict you will develop- 000-worth' of funded railway securities, of si |thi something from the agencies and the sta- which amount it is estimated that be- -k IwJ tistlcal information now standard and- tween' $5,000,000,000 and $6,000,000,000 a lse< regularly coming out which will make a -are held by Insurance companies, savings^ \thvery important contribution to the pres- banks and trusts, and any development ;! ""t: ervation for business of a railway trans- which would deprive any considerable A Etai portation system In' .the United States, volume of these securities of their statue -i lto adequate on the one side, of such effl- &g legal investment for such institutions >' ciency, such super-service as you have would be likely to entail serious conse- been using and upon which you have been . quences. Ithi basing low cost of manufacture to which , j4W8 of many' states require that Iop you have accustomed yourself. . . - the available income of corporations bear, Ian .Now, you'can neglect this or you can go ahead and do It. L If..you don't do It, and if nobody does It,, we-will have, I predict, an endless recurrence of just a definite relationship to fixed charges 10 make their bonds marketable to mBur- ance companies, savings banks and trusts, and there is a reason to fear that railway ; I Fl I be lto Ith thoughtful reading. . (This report was supplemented with a summary of the experiences and results .such incidents as are represented in this rate case at 'Washington.......... . .... I thank you very much, . < . ' bonds now meeting the requirements of state laws for Investment purposes may cease to have that status--a development lor Kell of the clean up and paint up campaigns conducted In various cities during 1931, and comment by Granville M, Breinig and :' President Ffnvnnr' Thenv mn t w v Jr* it ,, .1 T Noxon, for your eplencliu address. I the effect of which would be -likely to be telt 111 Other markets and by other asctiritles, Charles J. Caspar). . President Frayeer; Thank you, Dr. Plumb, for that splendid presentation of one of the activities In which we are all so much Interested. I am sure that our members have enjoyed your message this morning* i : Horace Felton: Tn moving that-Dr, can aTMssXure1Zyaotl0uileonf0trhyeoaTpprecHilnastironr`o;ef and making your contribution, this morning. .. ..*. We at this time want to announce, wlth our1 thanks to Mr. Levetlle for his indulgence, a short summary of a reoort btvraMJnrc LbeuvreelaUue who is tha *head Th,,e "owbwa lift toralfwr^ajy:*:m*a*n*age- ments to meet adverse conditions are very limited.- They cannot increase rates with- out the approval of the Interstate Commerce CommfBsion and they cannot reduce scales of wages without passing through tghe> lon? parorMcetrdauUreonof*"c on"fe"r*e>nceb,y mfeeadwiaa- l |th Ith | st: Ibt Plumb's report be received and filed and that with it goes the thanks of the (Mr, Leveille presented his report, which was as follows). ' - .. . They can furlough' men and they can defer maintenance and refuse to purchase convention, I would like to say that his reports are always inspiring to me, as I am sure they are to the members of the convention, I was very much impressed with certain figures which were thrown before ue on this screen HPrfl'fflf' RlTTPan PnDrt ... IdlllV-: J^ulCaLi.. JXCpun.. ` On behalf of the traffic committee, a Joint committee of both associations, this report for the year 1936-1931 is respect* fully submitted. '- The extent to which they have exercised these powers is indicated by the fact that . from May. 1930, to May, 1931, they-ro duced their forces by 264^154 mean. ^tio. their annual payroll by $616,600,000. x The average expenditures for main this morning. I have heard it said that . Your committee's activities1 during' the tenance for the 6-year period, .1926-1929, you can collect the figures of gallon- year maintained air enviable aqullibrium or the 6 months ending Jime 30^> ^ere age and of poundage In small towns and small cities, but It can't be .done In the large cities. However, he has' proved conclusively from the figures given that it can be done. You saw, with no material Interruption' of their consistent growth and they have been at- tended with- a gratifying measure of progress. ; The close contact which your committee has maintained with the memhers continued during the year,' Reliable in 1930 to $729,638,27-7 In 1931, thus,-- Expenditures for Maintenance for Four ilpnthfl, Ending June 80 . .,, . 1925-1929 average. ........................... 1936........................................................... J&'twrSS as I did, the figures for the city of information of developments Is afforded ml.................................................... ... 7.*b,x 7T Chicago, Baltimore, Pittsburgh, and through.a series dt traffic' bulletins; and The reduction of 264,164 in the number surely none of us will say that they are small cities. We have been dis couraged somewhat by the efforts which_we have put forth in our own we have also continued the policy of pro- moting a better understanding of transportatton rates, rules ' and practices through this medium. The availability of information and the promotion of under- of operatives in the year ending June, 1931, and the reduction of nearly $300,000,006 In expenditures for maintenance ana in the 6-months period sufficiently indicate the drastic nature of the meae- city and the results which have been 3tariffing are of tangible benefit to' our ures the carriers have taken to meet the obtained. We have tried rather hard for two years in Philadelphia to get such figures and as far as we have been able to go Is to have our board of education, through our chamber,, of members, some of whom have contributed gratifying expressions of appreciation and encouragement. .An increasing number of members are availing themselves of the experience and facilities of the com mittoe to their advantage. situation. - Such measures spell adversity, and when taken by an enterprise repreaent- ing $26,060,600,600 of invested capital, distributing revenues of between $6,000,- 000,060 and $7,060,000,060 annually, find commerce, distribute during clean "up In reviewing the conditions and de- reflection in other industries, Intensify week and fire prevention week blanks which really give the ten command ments of fire prevention, one of which hae to do with paint and varnish, the velopments `of the year it becomes evident that no adequate picture of your committee's activities and services can be compressed within the confines of an annual report--we will therefore submit the downward trend of industry and fur- ther impair the economic welfare of the people, t , The question of what, if any, action our industry should take In a situation of this necessity for paint and varnish in such for consideration certain topics and de-` kind is one about which minds differ, a week. That is as far as we are able to go and perhaps that spirit discour ages some of us. ' velopments of wide interest. trv in*__in Ex Parte -IU3--the 15 Percent Case . The paramount development of the year Some interests believe we should support the petition of the carrlersH-others urge that the railroads are In no more straitened circumstances than are many other indua- I think the doctor, in his fine work, was the application of the steam railroad tries and that an increase In freight rates has shown us that if we will keep at It we will win. I am very happy to make this testimony to this work. (The motion was seconded, was put carriers of the' United States, June 16, 1931, to the Interstate Commerce Commission for special permission to file percentago supplements to existing tariffs, increasing all freight'rates and charges at the present time would work a hardshfp on business, etc- The need of the carders for more revenue is not seriously questioned, but the ability of agriculture and industry to contribute additional to a vote and carried.) 15 percent with certain exceptions which revenues Is vigorously dented. October 20t 193 f 33 and the tlme the.undercharges were dia-, , (b) Execute the "no-recourse" stipula to any point to which the rate on linseed covered the consignee became insolvent, tion--It relieves you* from being held sec oil In steel packages is 70c.; and $2.25 to and the-railroad company sued the .ship ondarily liable for the consequences of the any point Jn which the .rate In steel park- ' per, ' The Central Iron &'Coal Company ' carriers', mistake .or default of the con ages Is $1,06. The use of the more eco won the case on the ground that the ship-' signee. nomical package reduces your transporta ments were made for the account of an- (c) Be particular in describing com tion charges more than 50 percent--nr other whose name was shown on the bill' . modities for transportation--the charges viewed from the other standpoint vou in of lading as consignor--but for that fact ; for services are graded according to clas the Central Iron & Coal .Company would : sification and proper classification Is de crease your transportation ; chantey HO percent by using the higher rated pack Bills of Lading ' [.Reference was made- in the last annual have had to pay the $3,463.46. Had the coal company executed the stipulation they would have : saved themselves the pendent upon correct descriptions. . (d) There is a genuine-economy in the selection of the lower rated packages. ages. This situation is not peculiar to linseed oil and applies in connection with other liquids--paints? and,- varnishes pre hpo'rt to the status of the uniform bill of expense and annoyances incidental to de Ming, the terms and conditions of which fending a-lawsult,: - Specification 6 Metal Drums sent a similar,, but not., identical,' situa tion. . . * .. , toe're in course of revision conformable ;>] to .the changes in the Interstate Com . . Certlfjcatesr^ihflammabfea" - Reference .was-made In the preceding -( annual report to a single trip metal con * *v | serce Act effected by the Newton Bill. 5 $296 approved March 4, 1927, and the intendment to section 2, April 23, 1930. The properly' executed bill' of> lading carries one or more certificates, depend* ing oh circumstances. Shippers of In i.i? 'New.;tForrriftj and ^Revision of. Terms ; t-ifooket 4844 in the Matter Of Bills flammables, for instance,' are required by law to prepare their goods for transporta tion according to regulations prescribed 'i L,..r..-.O/uZfSd^Pi_____ .. .v.;: by the Interstate Commerce Commission, tainer made of light weight CIS gauge and 19 gauge) metal. This package was initially authorized In the larger 'sizes, that is 30 and 50 gallon capacity, October 10; 1929, for paints, varnishes and lacquers--for the more volatile thinning and Removing com pounds, alcohol, etc., authority was con 5 L^Tlia new: forms were published asi.'sop- and there is the additional obligation that fined to packages of not over 6 gallon ca . | Jhrtent 'l to consolidated freight *5lassm- this fact be certified .on the bill of ladfng pacity, Many members found In the n**w j l caUon No. 6, May 23, 1930, to become ef- and shipping order In the language-pre container a satisfactory answer' to one . ,'j {active August 1, 1930, but the date for scribed In the regulations, ' of their distribution problems and your .} Using- the new. forms ' was successively Shippers' who employ fiber boxes must committee was importuned to secure an :i postponed to December 31, 1930, June 30,. ascertain that they- comply with the extension of the authority to permit the -(i 1931, and December 31, 1931, affording iri- specifications and other requirements of distribution of thinning and removing *>r 1 eresfed shippers and carriers as well,.who rule 41 of the classification and certify to compounds In the larger units. The re 5, isd large stocks of the old forms on hand, that fact.on the bill of Jading. .A separate moval of the 6 . gallon restriction was 0.6 an opportunity to utilize them. These ' certificate is required of those. who use sought and accomplished with the publica -Lacquers and .Thrrmers*;,. . . Your committee d^as; received a sugges tion from one-.of our members to. negoti ate an amendment to-the regulations to permit the distribution of these inflam mables in S gallon units .In fiber. At present the use of fiber is restricted to inside containers of not over 1 gallon each, subject to a maximum gross weight of 05 pounds for each package. Para graph 236 (b), .This member hag experimented with the 5 i gallon unit with- satisfactory results and urges this package is more economical without, it is claimed*, involving any ob servable increased hazard. The matter ts receiving consideration. . " Trtanium Dioxide :ed circumstances and the fact that shippers paper bags. .T tion of an amendment to the regulations, When titanium dioxide was specially on ii are revising their commodity descriptions These requirements would -be gestures effective July 16, 1931, provided for in the classification, October ia- i ujfl ordering the new forms as fast, as but for the fact that penalties are pro It may 'be of interest to note the bureau 15, 1930, acceptance was conditioned on ,-ho *) heir supply of the old forms becomes; ex- 0 ii taiisted afforded your committee an* op- vided for failure to comply with the regu lations, and where the application of of exp.oslves has in the past opposed these light gauge metal containers for the commodity being packed in barrels. This is a dry- pigment for which a paper *e- j portunity to distribute a bulletin submft- these penalties has been resisted the car our products for the reason the alcohol bag is a suitable container, Paper bags, ;c Jug a number of recommendations con- riers have. . invariably, been sustained, Interests had sought authority for a light in addition to being less expensive than .i! cettaing the preparation of bills of lading Permit in to cite Just one case to illus weight container for alcohol--and the barrels, are more economical to handle / ifff&s believed would he advantageous to i ear members--a belief that was subsei fluently confirmed by the demand for trate the point, . bureau felt this would' Involve unneces In the American Licorice Company v. sary hazards; and they. could not con C. M. Sri P. & P, Ry., 95 I. C. C, 626, the sistently grant our request and refuse in loading and unloading and' In factory operations. They pack solidly, are not ordinarily susceptible to damage and are (j copies of the bulletin. . .. complainant, a manufacturer of . licorice afmllar request from the alcohol inter extensively used for the transportation of ' BUI of Lading Section 2 (&) confections, shipped a carload of stick ests. The demands of these interests as zinc oxide, llthopone, whiting, ground iron licorice to Los Angeles; the shipment was well aa those of the paint and varnish ore, ochue, titanox, dry leads and other ^. Claims for Loss and. Damage ' ..'Although there are probably more bills of lading executed during the eouree^of- the year than any other single document, there Is no- form of contract about which *i *>kittle appears to be known. . The bills of/iading, among other things, possess. 4 tte-. unusual characteristic of being at *; once the evidence of the receipt of mer- 3 cliandlse delivered for transportation and 1 tie contract of carriage -- that Is, the terms upon which the shipment is ten dered and received for transportation. . : All of these terms are more or less ii meaningless until a catastrophe or near ? catastrophe occurs when the obligations Vi Imposed are found to be very definite and v positive so far as your corporation Is con- *: cemed. Every shipper should familiarize himself with the conditions that he ac- Icepis when the bill of lading Is executed, Ibat few of them do so for reasons which isre readily understood. This if Illustrated lin a decision just delivered by the United IStates Supreme Court in the case of the |C. & O, R. R. v. Martin & Porter. There liras Involved here a carload of potatoes llhat had been misdelivered by the railroad Icompany and they were being sued for their value. The railway company suc- Icessfully resisted payment on- the ground lthat the claim for Joss had not been made IffHhin the 6-months period stipulated in letion 2 (b) of the bill of Iadlng--ahd me United Stales Supreme Court held rthet the parties to a contract of an in- Iterstate shipment by rati made pursuant Ito the Interstate Commerce Act cannot ralve ita terms." ,. . Incidentally, It is interesting to note lthat the section of the bill of ladfng that leperated to defeat recovery for this cl&im- l&nt has been changed in two respects. IPirst, the period within which claims must Ibemade has been extended from 6 months lto 9 months, and, second, the- exception llhat no notice for filing of claim be re- Iqcired where the damage is due to delay for carelessness or negligence has been lellminated. packed- in fiber boxes and the charges industry are fully met by the removal of collected at the rate of $3.44, including a the 6 gallon restriction, July IS, 1931. penality of $193. The governing tariff These' drums are designed for trans provided*that tha-rate would be increased portation' purposes only---they are tested 25 percent if the requirements and speci to only 7 pounds air pressure and are not fications of rule 41 of the classification suitable for use In connection with spray were not fully compiled with. Fiber boxes equipment--the application of necessary complied with all of the specifications, . air pressure incurs the risk of personal but the certificate prescribed in section ' injury or fire hazard or both, For these 8 (c) was not placed on the bill of lading. reasons we renew the recommendation to It was urged by the licorice company emboss the legend; "Use No Air Pres that the unintentional omission of the sure" on the head of each new drum; certificate did not Increase the carrier's and stencil the same legend on present liability and that the rule was unreason stocks. Traffic bulletins No, 8 and 45. able in that It failed to Impose on the For the- purposes for which it is de initial carrier's agent the duty of calling signed the new package has several ad the shipper's attention to the rule requir vantages, First, Its use does not sacrifice ing the certificate, The commission held any essential element of safety. Second, that the law imposes upon shippers the the initial cost is lees than the returnable duty of ascertaining the rates and con steel drums. Third, they are 30 pounds ditions under which they ship, and non per package lighter and on every 1,000 compliance by a shipper With tariff rules . drums this confers a saving equivalent affords no. basis for finding the rate to the transportation charges on 30,000 legally applicable unreasonable, citing pounds of the product--to transport 30, Good-Hopkins Lumber Company v, Great Northern Ry, Co. 61 I, C. C. 99, and 00G pounds of paints, varnishes and lac* quers between Chicago and New York Joyce-Watkins Company v. Director Gen . would cost $159.50 ; with corresponding era] 66 I. C.'C. 433* This principle has since been applied In other cases, savings between other' points. Fourth, a heavy inventory in containers is avoided. Rule 8 (c), It is to be noted, has been Fifth, the expense of transportation', modified -recently so that : if convincing cleaning, accounting, and handling return proof can be adduced that the containers complied in all respects with the specifi cations and through error the certiflcatlon only fa omitted, the carriers may vol untarily remit the. penalty otherwise ap ! tdieable under the provisions of section I. able drums is avoided. Sixth, trouble some claims for leakage from wooden barrels and for loss of returnable drums are eliminated, Seventh, its use is parti cularly indicated In the export trade where it Is impracticable to return empty But It is muoh less trouble to properly drums aud prepare the bill of lading in the first In stance, and to facilitate doing so your traffic committee distributed traffic bul letin No. 27-on this subject, which many it is an addltiorial facility--only its use does not preclude employing the re turnable drum where the advantages of that excellent package make It attractive, of our members have consulted to their advantage. .,, , .. Linseed Oil .Containers . Presumption of Knowledge*: By supplement 24, effective ' July 6, 1931, the carriers at the request of your The principle that the law imposes upon ' committee amended their- classification to shippers the duty of ascertaining the rates authorize the movement of linseed oil in and conditions under which they ship and kits or palls at the same raring as pro the practical difficulties that preclude do * vlded In the barrels or drums. Under the pigments. Application has been made to authorize the movement of this titanium dioxide in paper bags and we anticipate that It will be acted on favorably. It 'will confer a saving of $50.00 per car in addition to the intangible advantages of a more easily handled package. ' Lead-and Zinc Compounds The carriers' classification, committee submitted on the April docket a sugges tion to qualify the entry for lead and zinc compounds to exclude products to which driers, reducers, solvents, thinners or colors have been added and .apply the higher ratings provided* for paints, N. O. I. B, N. There is some diversity of opinion over the definition of lead and zinc compounds and this suggestion represents an effort by the carriers' classification committee to confine the ratings to paint bases. Your committee felt that this was open to im portant objection--that differences In rat ings should be based in differences In transportation characteristics and a com pound to which reducers other than lin seed oil have been added does not present a product so different in value per pound, weight per cubic foot., susceptibility *Tto loss and damage, etc., as to warrant.the application of different rates. The situa tion is not free from difficulty and we suggested that action be deferred to see if some (satisfactory solution might be arrived at. , We have an Interesting file of corre spondence with members regarding the classification of product In this group. Tung Nuts The -development of the production of tung oil nute has proceeded to a point where movement of the nuts to the crusher may reasonably be anticipated. With that in view we approached the carriers indi vidually and also through their classifica tion committee directing attention to this and suggesting that the time has arrived , BUI of Lading Section 7 ing sc operate frequently to the embar prevailing classification a kit or pail Is for the southern lines to recognize the - Liability for freight Charges ' No section of the bill of lading has been the subject of more extended negotiations than section 7- and the "no-recourse stipulation appearing on the face of the, abill of lading and whleh we recommend fiery shipper execute* The stipulation reads as follows:--"The carrier shall not make delivery of this shipment without the payment of the fright and all other rassment and financial loss of the unsus ' defined as a container of capacity of less pecting shipper and to avert such situa than 5 gallon with a bail. The same con tions your traffic committee has prepared ' tainer without a ball is defined as a can a number of bulletins dealing with sltua- ' --and cans must be boxed--and when tions of general Interest and the favorable boxed are rated second class. Thousands reception accorded them encourages the ' of these email containers are equipped belief that they have been serviceable. with "handles" as distinguished from But the shipper who undertakes to Inform "bails," and members were experiencing himsejf will develop surprising informa ' difficulty in having them accepted for tion as to the classification and rating s transportation without boxing. This situa system. -. . . tion is corrected by supplement 24, effec- effort being made by our Industry to In troduce and encourage the cultivation of tung oil tree in this country with a view to producing domestically a substantial portion of the industry's requirements Of chinawood oil. It will be a new Industry for territory that ia apparently well suited to the cultivation of tung oil tree and will mean additional traffic In ttmg oil at remunerative rates. Appropriate rates are asked for the movement of the seed to ll&irful charges/' . tTSe difficulty of securing such a stipu Merely by way of illustration your at- 'v; tlve July 6, but this anomaly is created-- the crusher. Your committee reports tentlon is invited to the numerous chemi- :. These "cans" are now accepted un progress. lation .and the importance of.executing it cals employed in the production of nltro-! boxed at a lower rating and rate than s evident when It is realized that, even cellulose finishes. Many of these are spe-; . would have applied If boxed prior to July _.Jngh. goods are shipped f.o.b. cars, the clflcally classified and rated--among these - 1. Here is reproduced for convenient shipper or consignor Is. liable for the may be mentioned amyl butyl and ethyl reference the entry as it appears. freight an* all other lawful charges and .acetates, acetone, alcohol, btrtanoh ,naph*. . ... o, s, w, icarponly divest himself of this respons tha, 'etc. These and others . are- specific ibility by executing this stipulation. The ally provided for. There are, on the other Icarriers have so much respect for It that ' hand,, numerous compounds used in the orisDin36d-- . In glass .................... or- earthenware where it Is executed that fact is noted on production of these finishes as solvents, packed in barrels or boxes, their billing for the guidance of the agent diluents or plasticisers that are' not spe . L. C. L................................ 1 11 lat.destination---to notify him ,to be par- ticular to collect the full amount of the Iemerges from the consignee. Failure to leiflttutive the stipulation gives the carrier la.dear right to demand- from the eon* lilgtior the full amount of freight charges or-'&ny part thereof that he has not col cifically indexed; ansol, dibutyl phthalate, 'ethyl lactate, trlcresyl phosphate and per haps many others, if shipped as chemi - cals these' are classified first class, described as solvents second class, but If if . described . as "lacquer solvents'* third . class. Assuming a first class rate .of $1 In metal cans partially jacketed,. I.. C. L........ 1% m 1*4 in metal cans completely jacketed, L. C. Lr.............. Ill in metal cans Jn crates, L. C. L................................. 2 22 In metal cans in barrels - or boxes,I* C. L,,,...,, 2 83 lected'from the consignee. The carrier between any two points the transporta . In metal kits or pails, with lcfiti-proceed against either the consignor tion charges' would be- computed at $1 , or -without balls,, but loi fibipper as one who contracted for the .. ' per 100 .pounds if ^described as chemicals, / ' equipped with handles, L. IfrMSportfctlon and,: Impliedly at joast,. .j at. 85c.; per 100 pounds if r-described as lamed to- pay therefor; or . against . the - solvents and .at : 70c.* per HJ6, pounds If I'conrignee who,,Jby accepting the-delivery, described as lacquer solvents. Where any | contracts to pay for the transportation, considerable volume of those materials Purpose of Stipulation are consumed these differences In ratings and rates take on a very real significance ' v'In bulk jn barrels, L. C. . In-packages named, C. L., min. wt. 30,DOG pounds., In tank cars, C. L., sub Ject to Rule 35,............. S 5 6 3 0 6 3 5 C Chinawood, Linseed and Other Oils This case Is still pending and the situa tion briefly summarized is this:-- The Eastern lines- filed tariffs to be come effective December 3-1, 1920, naming rates on these and other vegetable and seed oils increasing charges for Interstate Commerce Commission seeking suspension of these tariffs pending investigation as to their reasonableness. As a result of this petition and. others filed by other inter ested shippers the increased rates were held In abeyance. Subsequently this pro ceeding was made a part of docket 17,000 the general rate structure investigation, part 8. Extensive hearings have been held and voluminous testimony and ex hibits submitted-. The examiners for the commission having the proceedings in charge have recently filed their report and recommendations. Exceptions are due September 26 and answers October 26, after which the case will stand submitted for decision. The present rates--those filed by the carrier--and the rates recom Tlie purpose of signing the stipulation and a close observation of these distinc ' Rate between stations vary according mended by the examiners are as fol laaot to relieve one who is liable for the tions will be well repaid in reduced bills to distance and the rates on the lower lows :-- transportation charges from the obliga tion'to-pay them, for no contract of the carrier can release from liability one who for transportation services. Even the kind of package determines the rating and rate in many cases--glass classes are related. to 1st class by pre scribed percentages. When the new class rates become effective December 3, 1931, I.C.C. exam , Carriers' Iner' Jias; assumed the obligation to pay the v. tin and packaged v. bulk, etc.j--but we the 1st class rate from Buffalo to South Present pro- charges (P. C, C. & St. L. Ry. Co. v. ' leave discussion of packages etc,, for an Bend or Cincinnati, approximately 400 ratei poaa*l. - posal. Fink; 250 U. -S. 577), but to save on who other time, , ,, t 4 miles, will be 99c*--assuming for the pur New York to Chicago... 38 Js not responsible from being secondarily For these reasons we repeat that the pose of Illustration It Is exactly $1,00, New York to Cincinnati. 33 51 44 45 40 liable because of carelessness of the car rier or default of the consignee. QuesItlons under this section of the bill of lad properly prepared bill of lading contri butes appreciably to the proper handling .of any large volume of business by avoid the rates other classes will be related to the 1st class rate as follows;-- ' (Ratings) 3^X1 class lat tslaafl 2d class 3d class New York to Cleveland. 33 36 New York to Louisville. 38 51. New York to St. Louis. 44% , 5599% 34K 44% 40 ing are constantly arising because of the ing annoyance, penalties and disputes and (Rates) $1.00 $1.00 $0.85 $0,70 The rates suggested by the examiners natural Inclination of shippers to resist 1 the payment of accounts due from others. 1 Most of these difficulties are solved by securing the stipulation. The leading 9 on this point is that of the L. & N. Co. v. Central Iron & Coal.Co., 265 f S. B9. The railroad sued the coal comiljsny as the shipper for transportation (barges amounting to $3,463.46 that IjhouJd have been collected from the conItEnee--but between the time of delivery may also contribute substantially to economical production and distribution by reducing the cost of transportation services. . ' Suggestions We respectfully, submit the following suggestions: .. fa) Familiarize yourself.with the terms and conditions of the bill of lading-- they have a real significance. The rates vary between different points but the. relationships of the classes re main constant--in other words, any article rated third class will be transported for 70c, per 100 pounds' between any two points between which the first class rate la $1,00. This demonstrates the economy of employing lower rated packages in preference, for example, to the partially jacketed can which takes a rate of $1.50 for the commission, . while somewhat higher than the prevailing rates, are at the same time appreciably lower than the tariffs filed by the carriers, which are ,now under suspension, . Class Rate Investigations Publication of the rates prescribed by the commission In 16,879 eastern clas*. rate investigation and 17,000 part 2 west** 34 October 20, 1931 OIL, PAINT AND DRUG REPORTEMp C ern trunk line class rates, deferred froTn time to time because of the physical and other difficulties, has Anally been ordered by the commission to become effective December 3, 1331, on 46 days' notice to the commission and to the pubuc. The tariffs must be published and filed not later than October 13, 1331. Pipeline Coating In docket 24,643, WaSies, Dove-Hermteton Corporation attack the reasonableness ot the rates and charges of pipeline coating from East St. Louis, Garwood, Philadel phia, Cleveland, Chicago, Tulsa, Houston and other points In southwestern terri tory, and Arizona, Colorado, Wyoming, Nebraska and Minnesota, and ask the prescription of reasonable rates for the future and reparation. The present rates were prescribed by the commission in Hill, Hubbell & Company v, A. & S. Ryn 159 X. C. C. 361, . Kalsomine . In docket 24,633. Forman Ford & Com pany, Minneapolis, Minnesota, v. C, & O, R. R. challenge the reasonableness of the rates on kalsomine from New York -and vicinity, including Harrison and Newark, New Jersey, and ask reasonable rates for the future and reparation on past ship ments. Nitrocellulose, Solvents, Etc. The reduced ratings assigned to nitro cellulose and also the solvents previously reported remain unchanged. Other Subjects Numerous other subjects have arisen as a result either of proposals initiated by the carriers or correspondence with our members. Some of these are:-- Classification of earth paint. Classification of color cards, Classification of zinc oxide. Classification.of litharge. Rating of aluminum paint. Rating of collapsible metal tubes. Rating of putty. Rating of varnish resins. Rates on lithopone. . Rates on premium articles. Rates on dry paint, Rates on ground iron oxide. Rates on titanox. Rates on ground limestone. Making delivered prices by zones. Defective valves in tank cars-*Liability for losses. Capacities of tank ears. Specifications for fiber boxes. Liability of consignor for transportation charges. Where a situation disclosed appears to affect or be interesting to other mem bers, traffic bulletins are distributed. Such a situation was that relating to de fective valves in' tank cars. Serious losses have been attributed to this source, par ticularly In the unloading of turpentine, and it was believed that all members would be Interested In knowing the. ex periences of others and the measures taken to. avoid suoh losses. -- . ' Traffic Bulletins We have, as already stated, continued the policy of distributing by means. of traffic bulletins, developments of wide In terest and of promoting a better .under standing of transportation rates, rules and practices through this medium. These have been helpful in themselves and have'resulted, among other things, in members seeking the advice and coun sel of your committee in the solution of their individual problems--a very deslrable practice that has proven, distinctly advantageous. President. Frayser; Thank you very much, Mr. Leveille. We regret exceed ingly that your comments were so brief, but I am sure you realize the approaching noon hour. General Manager Horgan: Mr. Le- vellle 'being a member of the. associa tion's staff and an employee, like the rest of us, doesn't make much poise about his work, but I want to empha size that he !s right on the Job every minute of the day watching your in terests on all these matters of proposed changes lit rates and classifications. I don't think there is any activity in the association, while we are separated by miles, that we are kept In as close touch with as Mr. Leveille's. We have various communications daily, and I am sorry that it was necessary to ask him to make such a brief report of such an outstanding and continuous and important activity, but I did want to pay that tribute to Mr. LeveiUe for the work that he is doing for you all. President Frayser: This concludes our program for this morning, (The meeting was adjourned at 1 o'clock.) . !wlth a great many members all over. New England who .could not by any means be .persuaded to take full mem competitor, we p u bs up the opportui bring to him an understanding ol losses he is bringing to himself uim the=-rest of you, frequently by isuonf bership in the national association. and misunderstanding, and.to create! That has been up many times before. At the St. Louis convention it was better fellowship bound to be helpral bringing the industry to a sounder.!** thoroughly thrashed -out . with the Your chairman appeared before* membership committee and the expla .western zone convention at Vlctorul nation was made that these additional associate memberships were . merely ' J-uly and in.his address outlined Ini tall sufficient justification for member* jn the National-Paint, OH and Varir the getting together with us and the Association, This address has been (ft sympathy .with the general movement publicity In the trade press, with eflltM .of a great many people who would not otherwise participate with us or be in harmony with what is being done. It seems to me that our experience has* very thoroughly justified these assoeiate memberships. It does no injury .to comment that invites everyone Inters in -this association's future exwta reading it as we -hope you have or,TM ' The present membership roll Is-.a* too small for an association with sour of credit to its activities and. whltesl the national association. It would be impossible to get them' In for full membership, but it accomplishes the purpose for which the club was started, to get as far as .possible everybody in New England in the business, or affiliated.with it, working In harmony with .the general spirit of J> fi* 's 1- , /v/,-1 the organization. - ' ' *'' It would be.a! very serious mistake for our club. to. change that policy, and . ,* ' " J . " *3? -r it would be-impossible to get them to do it because of our experience, I hope - that the membership will understand that the '* purpose of our associate memberships is' merely to widen the sphere of the activities and; to make more people act in' harmony with the principles of - the association than' could possibly be .accomplished Jn any other way. - .: i i. L K*> c .As T have L said,' this .has been thrashed out many times before. Mr. Caspar Is .looking at me with a very keen eye and he remembers this battle that we had in St, Louis'.on this same problem. Therefore, .it would be per-, haps desirable for the new executive ' committee -or board of directors as they ' come In to consider so far as we are concerned <and I don't know about the other clubs) the .reason! for which we established many years ago this asso- date membership and the reasons . which Impel -us to maintain It. John Henry Coon General Manager`Horgan: I think, it is only fair to say thaf the situation Chairman on Membership^ Fifth Business Session, (The meeting was convened at 3:30 o'clock, President Frayser presiding.) President Frayser: The first item on our afternoon program is "The Indus trial alcohol situation," as presented by our* distinguished friend, Mr. Chat- field, of' the industrial alcohol com mittee. (H, S. Chatfield presented the fol lowing report.) Report on Industrial Alcohol During the past twelve months, your alcohol committee has had' a full Quota Wednesday Afternoon ' .in the New England club is .quite dif ferent from that in many other com progress; or lack of U, is a dlsapjkil ment to your committee, atlji in <y on our program is the action on com mittee reports containing special rec ommendations or resolutions. munities. The New `England club has -fully met its -obligation to the national association -In that the number' of. members it: reports to tho national parison with similar organization^, have not done so badly. .Sinoe tha: ronto convention, we have lo^t 112 nt bars, but having added 40 new memfc 'i % Telegrarris of Greeting, \ ofassociation a? full-fledged members of to fho roll, we report a net loss o ">, ^ ..the . national association, they always , 'Through the efforts the soiit General Manager Horgan: Before I' pay-their dues .for, and there Is a good zone vice-president, F. j, gampsoiii Washington, D. C., club was reborn!' giye you the action on two or three reason why In that territory-they take . Its membership, starting out with sp reports requiring action I would like' in an associate membership, but what . did' enthusiasm, gives promise of '- to read two telegrams that have just .is. referred ;to .in .this particular .report t'rl-but"lng -s-u---b--s--t-a--nWtiaalllly `to th' e paren't, been received. ' Delighted to hear from my old friends. Appreciate their kindly greetings. .Every-, one .should feel more optimistic '.today. of .the membership, committee are clubs throughput the o.ountry who Just report to the national association the. minimum. number of members, which soci'atloji. In the report of last year'.s members, committee, reference was made tov so-called ''associate" membership, problem presented -remains -unchape Sjfev Remember paint industry' 1b a basic in -is five, through -which they can be a- .strongly recommend that the fncow |fl,' of activities.' Numerous perplexing prob dustry and do not sell it short. Sailing filiated wifh the national association, administration take the opportunity lems have arisen and satisfactory prog resa has been made. Following the trans fer of certain functions of the prohibition enforcement program from the Treasury to the Department of Justice, It became necessary for those two governmental agencies to Jointly revise regulations, In order to effectively carry out the pro visions of the Williamson Act. H. R. 8574, In this connection, the presence of your chairman was frequently required in Washington, and Captain McGovern, our committee's counsel In the national capital, as well as representatives of other al cohol-using industries, closely cooperated In perfecting both the legal and corameroiat phases of tho situation. 1 Ths revised regu-lati ons were offic'ia"ll-y---p---r-o--m----u'lga- t ed- --on April 1 of this year, and to date trade Interests have not encountered any seri ous difficulty in meeting their require ments. Your committee deems It proper to add that in all of the many confer ences which preceded the formal issuance of the new regulations, the officials of the Europa, October 30, for Dresden, where and they have A .great , many more . carefully consider the .entire subjects Howard Junior Is vice consul. regards to all my friends. Kindest ;; members than five which they do not report and pay for. .That is. what the' remoye the haze now enveloping it. -,?! Most -everyone has been too deeply e '--Howard Elting, . I had planned and fully expected to attend the N. P. O- and V. A, convention but owing to pressing engagements will. membership- committee-bas in mind. The New England situation-is dif . ferehtiM}bt!v, 'V-;-i; io i earned ` with his own Individual probls to be able to devote effort toward Vow . bershtp" with all that hut as.is usual, there the word mu have been ei be unable to be with you. I appreciate . '*1 am-glad to make5'thaf' explanation,' who have been unselfish In their .co-o] fully the importance of the national asBociatlon to the Industries It serves and this appreciation has been and will eon-v tlnue to be reflected through'the editorial .becausei . everybody is '` In'' full' accord wi.th .whaf.Mr;: Bennett',has said about . .that , particular: -locality, ' v>.'r , V ation >yith the membership commit and we'are happy to voice our appred tlon. . We do earnestly appeal to the prea and news pages of the Oil, Paint and' It i i:was `1 suggested,' ' although there . membership to give a more careful stu Drug Reporter. Please convey to'Presi .'wasn't a-formal resolution vch it; that to the association's need in member ' dent pFraarysseerr .anad jmiieemmubeers oif tuhie^Basssoo-- ' ; this'' matter aft1* being. discussed in and to; support the new membership piatJ0?/ ray r6r,t at baiIS unable to at. tend the convention and my beet wishes '.fh4;;cpnventiftn, be' discussed -and -res* mittee in a practical way. - for a resultful meeting and the continued ferred to,-the inooming executive ^om- success of-the association'and the-full be- '.mittee'for their consideration. 1 ' lief that it will satisfactorily meet the Pre'Bijaentr'Frayserr^ithi this Inforr challenge which ' perplexing business problems present.--Harry J. Schnell, OH, matio'n' before .you; what Is your pleas-' Paint and Drug Reporter. ^ure .with reference to this report? ' : Trademarks : General Manager Horgan: The zu committee report containing a rectu Mr/'Robinette:'' I move 'we-'concur in mendation is that of the tr&dems y. ?_ Treasury and Justice Departments mani fested a keen, desire to avoid restrictions Which might Interfere with th conduct of lawful business. To this end, Dr. James -M, Doran, the Commissioner of Industrial . the ' action'.of the board of directors Associate Memberships'. and' .the', executiye. committee,, .... '(The motion, was seconded1 and car- General Manager Horgan: There rled.)` :; s J ;; - - Alcohol, continues, his policy of keeping fully Informed through the medium of an Industrial advisory council, composed of leaders In science and Industry. The chairman of your alcohol committee was selected as chairman of such council for 1931. Regarding developments In other direc tions which have received attention dur ing the period covered by this report, your committee believes It necessary at this time to refer only to those concerning the toxicity--In connection with, commercial uses of Interest to our members -- of methanol (wood alcohol), which was the subject of preambles and resolution unan imously adopted at the last annual con vention. That the inquiry undertaken by Our association was timely and in further ance of constructive results is shown not only by the scientific data already pub lished, but by tho commendable action of are just a couple of committee reports here that require your action. The firstis that of the membership committee, In which they refer .to the so-called . ! (The report of the membership com mittee,- .J.- H. Coon, chairman,' was as follows,) ,- : ;. associate memberships which prevail ' .Membership Report:.. In sorpe clubs. There is nothing in' the by-laws of the National Paint, ' -It !la,;d4fflcult to understand why trade Oil and Varnish Association that pro- : -organizations generally; our own Included, vides for this type of membership. In', other words, every paint club conatit-. should be on the-defensive In times like these', when the closest-possible co-opera tion- between1 members of any industry is uency reporting a certain number of ' of grater importance ' now than It ever members at the beginning of the year' is required to report them as full membera and pay the prescribed amount. of dues. It seems to be a custom in a few clubs to set up an associate type of membership where they grant , has been;'-' : : ; 1 " . ' 1 ' It does seemthat very member of'tlio : association,, certainly the officers of the local dubs;'.should , recognize the need of an all-emur'aslve membership in every froup which- go to make the National `ajnt, Oil and Varnish Association. ' ' membership at about half the' rate re The last two years, have seen Industry quired by the national association, and1 r In-the throes of destructive competition the manufacturers of that chemical In those members are not paid for to the of the most vicious sort, The restraining ' submitting to restrictions arranged with officials of the United States Public Health Service which they hope may be adequate. Should voluntary concessions in that direction fall, legislation will be Inevitable. Your committee should con national body. Yo.ur executive commits tee and boar# of directors do' not' on-' courage this type- of membership; and feel, and have so gone on record,' that every club should report and pay. to hand ot trade associations, while unable to prevent old habits of destructive com-: petition,. and the Introduction .of hitherto unheard of worse forms, have-unquestion- ' ably prevented what prfiffht .have led to chaos. . ' " ' tinue its research In that field, so as fo strive for maximum safeguards In the public Interest with due regard to the de mands of legitimate Industry. President Frayser: Thank you, Mr, Chatfield. Gentlemen, what is your pleasure with reference to the report of the industrial alcohol committee? March Bennett: I move that It bo adopted. _ the national association of which they are members, the full amount of the membership dues prescribed by the by-laws. That was the action of the board of directors,' and Is before the convention for your action. March Bennett: I think the presi dent of the NW England club is not present. The New England club, being the oldest club in the circuit, estab lished a long time -ago the associate . In the upward turn of the economic cycle, constructive' effort ot thp moBt energetlc sort is necessary to offset the losses of lack- of wisdom and panicky, even stupid < practices, and =tbe ' sensible opportune way to come -to understandings among competitors, looking-to'upbuilding instead ' of . destruction, is to be found ' most easily in contacts possible through trade associations, . The notion of quality in membership toot often given your .committee by many Carl H. Black Qhairman on Trademarks (The motion was seconded and car 'membership Idea by means of which ried.). over a large area which we cover, we as it goes, liutrtoo frequently Ip the^fall-. President Frayser: The next featurehave been able to get co-operation ure to bring into" tho association some TEwBr o il ,' p a in t a n d -d r u g r e p o r t e r ^ October 20> 1931 35 rttrntt go l-have bsen ftdfled to the rite records. In-. committee reports.that wore acSoinpanleiS by recommendations have alreftfly .heotv 1 order to keep that htfok up to flats a^a- acted upon.,. For Instando, yesteraay you Brushes W. Ri Fo'*a, Chairman C andU Sgnorat eate-lt jelpfub: fler bt" jfore': j to bo of real value to the members,; InSkrd thi rhph.rt ',t thh ^att aha oouw- The paint.. and iV&mieh E ther are recommending . the iesuatibe m* /^rtltte^thh^etippaacatlo^ chra- . Miring the past twelve months has a his i?.'EY* --:v. iS3S?SenC"Aa a +ifVilU1oi AemTnbnortdnileds mttteei 'M itejtohl aftd thy verd; tory similar to. moat *bduetrlel na5!j'' -lotion In total dollar volume. How- !feo?5?ssvsfroem beet .advice 3oKbtatinoab7le^,. i , ctarlajL *d In ift unberstdi Vartrir ? Midget aiid finance committee who aap glvi editor" merest ?sleteac Bhaye the dispensing, o lands-..;: i-attr. Chatfleld: I so more you. . S;' '(The motion was seconded and car-, i or ; " Is mu report Ot the comrtiltteb./oii so mud B-trademarks, .C. H, Black, chairman, vhfle*^ E*W&S &9 follows.)' ' '.It- iB.tne usual piacu*,,., .. which.;ware,..oi,san.miormfttive !.*ysie.s&sSRa a whole. On the contrary wnen u only.;and,contained no,.re^tnm^hdations,.,. contlstent- and substantial reductions In the%rloe-of ;paint .and^yantiBh hrnshcs ia. ' ..". .................. 1 SHimltteA reports'incliiacd Vri ,tWs - over recent y4ars arSconalderedr the con- sumbtlon. In actual number of brushes has materially. Increased* Figureb computed blanket/atliirbyiil wore ah ;iolloW3.) _ ' tram the^latest available reports of the -! ''13*^01.' A&iMfen. i U; 3/-Department.. ot Commerce, bureau of census, .when adjuste&for prlco reduc- , ticns, indicate that the J^n It brushes have increased hetier than 2L , ^here hay^&een hb^atteraaubmitteMo . cent cent tino floomurjmyoaare..^ -A-t "?^e-'fhamase''tsimtieo,vtrha tfaioclated , committed. -Urtien MnOnflNr theicommittee,;,on armtraUon;.dut?hS'.HJsi#. Bdlmoroveinent and development in ^hetr,.anhual reports to Afe* SS?woiClo it can he honestly said itiona of the period , just , thfttr t^e'b 1TMshbu `yer today SDl5eoat!T(nf mendous surpluses are accumulating, No one of us wants to see that dam break, but the volume is there, and we behove that the wiser heads will soon find moans of releasing the pressure through. Its proper channels, thus generating a pur chasing power we have not experienced, in the last few years. Chemical Colors . F. L. Somera, Chairman The most recent statistics on chentfca! colors compiled by the bureau of tine-cen sus antedate the present period e eco nomic unrest and are consequently of lit tle value in determining the tread at the present time. This industry, In sympathy with all other industries, has felt tho effects of this unrest. However, close observation over the past twelve months Indicates s tendency toward Improved conditions* The advance, although slow In its prog ress, has been interrupted only by short seasonal retrenchments. laltofam, oinfethwehpitrepvroioguress.sy,ear. bsem -. itad-e. O- n t.h...i.s 'basis. the .Work u, *iv2E. ade-mark bureau has Increased .oyer, SIwssiu^ne^swHh.iamvHe;, ;Sb*e.!e^.n"a.deEveSlopJedt, bihied'`th'thao j$mP. ~ and me eiA^. of the previoiie Sm&, .both :.fn,,tiie, . depce, Ldnspfar ae. dt.,consletb..cf Written SlaSstValueirf. alt time This is sienfilSflctua^nVt t^oantdhedl^praibinuttoanr dInvtairianits'hit mmaeannns- +thheft+m the user of his e^rquickSr, products can better, and at apply lower A determined effort on the part of the Industry to adjust itself to present-day conditions has contributed largely to a return to normal. No sudden upswing is anticipated, but each succeeding day brings with it a stronger hope for a. ^E"tjtbiiroetnursfnii Ucmotlonvrgeer.idntehgtaamnilea1dr6kr5ss.p.nuoasrme-tdae.s hhyeolpusr-rmefseiibs^-iferei with us, as compared with .102 for Sts year 1530. . -. ?! i lOther detailed work of the bureau in-. Hudes the usual letter to members .of the ^association, .informifig. thorn of Unitea BStatee patent office reglstrationa Which feiplre in 1932: this in. order that steps ghiy be taken to re-reglster them with Kthftt governmental department in order to iretaln legal rights, in addition, the fimonthly- "bulletin of .the association fo.sta.reB. marks parsed for registration in IjEfuSte?'Btatef^pltcnt cffld> as .well as ffictie which have been recently^recorded ay.'tbe Basssirowc.itationh's tradce--mmaarrKk bureau. IxSir latest published list of trade marks Jprocurable from the bureau aV$3) is the to ilt ht `iAy .cohVenieht tim.6 to determine controversy do not effect a settlentent,' which .wotlliAhe Altogether more, advahta-, gsous-to th'erii and to tb'C industry if they . oould.s'efeVth,61i,./Way;.B0 .fc do., . , on Foreign Trade - Raiph Plowman, Chairmirt.- ' Our esperts of pigments,'; paint, var- niehes. enamels and taMUero -.totalled t21>689,0E9 for, the ycar.libitb as a^-inst U^ua^BT for: the year l||9or^ . crease of I'erce6nXt.. During the first six months Of lodl ex porta of these products totalled ?8,38065 against U2.M8.815 .lor the .corresponding cossOtt^vtehrantweoveyrebaersforaeg.o a group of a<n+ paint crush manufacturers, members of the American Brush Manufacturers A.ssoala- tion invested a substantial sum and inluM Itrough^ solentlflo stefly ot tts SSgSJ'Sa wen^conSIo^nS jSblfSpsrvtslon Ssrfj5 valuable practical tests have been carrlefl on with the cooperation, of Dr. Jf the Forest Products Laboratory and uni versity of Wisconsin at Madison.______ This research work is now nearlnfr co - brighter future. Containers ' A. J. Chamberlain, Chairmaff The container Industry hag suffered' from the general depression in business and on certafn types of conntainers where the total manufacturing capacity is larger than even normal business conditions warrant. Naturally, there has been con- " more decline In prices thaiv (ring costs have warranted. During the year there has been soma development made toward the end of im-*- proving the quality and appearance of: containers, and on certain types of pack-, ages- new developments somewhat reduced', packing costs, ' Bi917 trade-mark book and 1929 supple ment. These published lists serve a very Kfteful purpse in giving information as to . IfHe ownership of certain marks, as well BffB'Tor reference purposes when selecting m- new brand name. f inasmuch as it,has. Sbeen several years since the last edition i published, your trade-fnark.Commit- period In .I93&. > : -- j. . +v. As referred to in last year's report, the revised schedule of classifications to be used by the Department-of Commerce in preparing . 'Statistics covering fexpobts of paints, varnishes and lacquers was. ap proved by the bureau of foreign and.do mestic commerce and at the moment, to the best of our knowledge, these reports are being issued in | accordance with the avid it is hoped that at a later gate and With the sanction of the Ameri can Brush Manufacturers Association, a detailed summary may be presented with the& compliments* of the paint hru|h. dustry to the National Faint, Oil and Vat hin^tebrest to the Hm.enm^hboearSs nofMthMe llaatttteerr.. SSuuff-- The general tendency toward more at-- traetfve packaging that prevails on most other commodities has also Increased in*, the paint, oil and varnish Industry, and* while this has not benefited the container- manufacturers dfreetly, it la quite prov able that the -more attractive packaginghas stimulated paint, oil and varnish* sales. desires of the majority. . 4^ . At the writing of this report,' no group meetings .have .been held although your SX^cS?efl0hfthe"a?M^roi SeH-Sn inmor^nya7f Varnish Gums W. A. Pattersonf Chairman committee is now working on this subject arid expect within the next sixty days to hold, a meeting similar to that which was reported last year, . !SioIeortr?tro&%^^ During the past year these resins ln( sympathy with the raw materials and1 commodities of the world showed steadyprice declines, resulting In many In Report on Manufacturers '=%..'ft. H'oag, General Chairman eresXt'e|1gne, S and^three coat .work when applied by the stances in ,values being established onpar with the lows of the past forty years., This condition applied notably to all gums; produced throughout the Dutch* Bast In : As Representing its 'activities for the fliTWanfnfSrmatlo'n should be of 1"TM"* year, your .manufacturers' committee presents for your consideration and use, the reports as prepared .by the chairmen: benefit to the paint and varnish indJwtry because the brush manufacturers, have lone felt that many makers of painting of the. respective jsroupB, - ftlr J We think our association,/ through all. materials did not appreciate the anee olayed by the tools and mettiods Its thfembers, has indicated that we have used to apply their products. Tlmeand a great 'passion 'for facts and for the ap- plication tit thenv \ Thfee.. i-eports. have ftlf,,aRmikcl[>h!a, svetarykenfinethset Jpiaaminte, ^vfoarrnais^h oorr dies and the Malay States such as gum- damar of various types, the soluble- gums* and the Fontlanak varieties-,. Ih several) Instnces rrew all-time record low levels*, were reached, but a change for the- better- has been making itself apparent in- the- past few months, and seemingly the un precedented decline In values has at last been arrested, . . been c'acbfu'lly.-prepared-ferid, as.a .'whole.r contain 'some interesting facts, Including1 statistics'that Ve .trust ..will prove 'Of 'jn-; ^One;ot;to:,thiiigs?that^aa;causediuch; disciiss!6h;:Siid which 'presents a .great deal,;- of. difficulty . to; those ;of us -engaged; painting Job whereas the tool or metnoa of application was really at fault. Many'clalms, tests, and etatements have been made in the concerning the merits of various ways of applying PajtSr Some of these have,been made In good faith Many have been grossly xag Kauri gum likewise was adversely af fected, but not to the same extent as other natural resins, most qualities atlh selling at above pre-war levels. As to Congo gum, a five-year restrlctlon plan has recently been adopted fn connection with this resin by the Belgian producers. It is common knowledge in the gum trade that Congo gum was al ELr?aaUipa^ ^ ~ng most completely deflated in 1921 and since that time very few of the qualities have reacted upward from the low price levels * wel- coined by all branches of the trade. reached in that year, Congo gum has therefore been selling Cor the ..past ten years at less than pre-war prices and ' - - - Earth Colors according to the producers below produc tion costs. Congo gum la obtained in one E. J. Cornish ' L. K. Avers, Chairman That ths year 1931-has failed ta show a section of the globe only and that is in, the Belgian Congo In Africa, and the five- year plan referred to is an ironclad agree-- ment between the Belgian companies to- i. Chairman oil Arbitration restrict exports from Africa almost 60- 3a-r',`Siss-sssa.- is&s&jgj percent for the period named, thue re-~ during exports from about 17,000 tons to- Ik fwa recommends the issuance of another se nefl f,Sp"Sin W32. tn wtfwjto brine the - recon feasts up to date,- aa -approximately l.eoo lee --Tf-w marks have since been added to our `WrawrS. It is possible that the data iSeludea in the 1929 And Itomblned with the marks now ?n Ale and Stilus make available only one extTM Defence list in addition to the- original i in the chSslhg even the necessities. The railroad situation has grown stead- ,,,TM!r3a11`since 1930 and as a consequence their use of naturai oxide colors has Been V%Uefarme1r, toofhls'had little money 10,000 tons per annum. In view of the unsuccessful attempts made In recent, years to restrict or regulate the supplies; of such commodities as rubber, wheat, etc., the result of this experiment will Indeed prove most interesting, Based on the experience of others, one would prob ably predict failure for the plan, still the position of Congo produce is radically dif ferent In that these Belgian companies; l?Theatrade-mark bureau will'soon send BSjt a'listing blank to all members of the BEjaitry, soliciting.their co-operation in IS with ua all marks in use, not al-. geady a part of our records, . . '5S ds^ if `iao? not only control the commodity 100 per cent but their government Is more than likely ready to assist rather than inter fere with the arrangement. And In the last analysis tho impression hate and abroad is, that the object of the restric The modern trend during K&e or so has leaned perceptibly toward S^sBerlallzation," both In : the scientific [kxid economic world. In the ES find increased emphaslfl v placed on MIbeiisrlcnheafinsdtihseingtr,adaendmark has been a very Iteomlnent factor ana played a popular S^xrita. rtlcSuolatrhmatartlocdIasycoinnsimdearneyd the stand* &d-bearer of the company it -J^RPeWft gflotonly in the form of good wU Of the ^concern in reputation, quality f "Prod* ta, but accumulated wealth enhanced wroy constant usage, it If, therefore. lmipbrtant that when consideration ia jgTgn IS-the selection of a new name, one be "te'esen that combines the ttiitials of a good mark, and jJal study be given to. Its commercial and mour^tfadeiinark bufeau' Is'-'bonstantly lacouraglng promiscuous selection- of fecte marks. .Our members have availjible a "service station,' where at a llnlmum expense InfSTMatJ,. " i]e tmposib1e. of access ^elsewhere, surSrls'lngly well considering the general Sitioulp-and this outlet has been the . . E. R. Hoag . General ChairtU'an on'Manufaetufers mainatav of the Industry this past year. Tmnorted natural oxldea and ochres havePmovea In relatively fair line with domestic earth pigments, which are staple necessities in the regular paint llnThe cost of production of earth motors has increased. This la due to lesser vol ume and a Practically -unolmnged wage In the minti'faoturlnj business, Is tbs de- scale in the Industry, but, your committee can learn, dry color Pfioes scenfling trend In proilts which Is a re have shown 'no advgnc^the mariufao- flection of the Intensive Competition that , turera having assumed this extra burden our industry has Auftdred. , ... It seems-to" this 'committee that if a of higher costs because of economic con ditions. The raw materials from which continued effort on' tha. part; of the; various eroups be maintained towards jrathering at facts and-figures pertalnlng-to PTMJuo- dry earth colors are manufactured, such as ores, clays; ate., and in the production of which labor costs largely predominate, tfon aftd' consumption of'material, within their respective proups, ttiat ich in-, formation,.'.properly..- applied. .wouja TM- have fluctuated little, and there is slight hope for'saving in thW direction. Ov6r-ca.utlcusn.eES in buying, both by tribute, towards ,assurer basis Operation`of .our businesses and, help to keep our economlc position in better bal-; the individual and by many of the large businesses Is like a dam behind which tre- tions is to avoid over-production In the future rather than to materially advance values, In conclusion, a study of the conditions existing during the past twelve months indicates that all natural gums suffered* severely from the world-wide business de pression, which resulted in large surplus; stocks. Production has been sharply cur tailed, however. In oil primary markets, and when business activity is resumed temporary -shortages- and upward price movements may be expected. Lead A* E. Bendelarf, Chairman Sales of lead pigments aa reported by the U, S. Department of Commerce on June 13, 1931, shows there was a decrease- in tonnage of approximately-26 percent in`1930 as compared with the year 1929. The p o t toil value of these pigments waa also less by* approximately 19 percent. The report follows-'.-- sedition to having a 5? tS? States parent office registration 0 t^e e&rnoTth,peB''ad0ivti^deinggnaonfu'rtakcatu'"rferrips icitohnirismhulp'#In**to.- . Short tons. --------------Value- Total. Per ton. Short tone. Total, Per ton. upon their common-law rights for pro a^,^feg.0'un4-f5r'h4lpttl hodperktloh. `"imSoelng, 'dSalM to lmpress'::Hpon as^Maed'to sucCessfilly harry On ln our m Members the. f:act^ that .01tr trade-*wrk upplelur :apL ubureau is !ready.and wUling avau ttnws |to:be. of. whatever 8?Sl?av`i-iK>,amf' * Thl tlTr helping out on trade-mark prohtems. IfeSgl ^Manager Horgan: All other' tmatif ^f^gS'ciusioh.'.t'wlaii to"ihatlk'-;the tt-, ^ of'the 'various groubs'for'the oftorTMfehieh."eAch has''given':to1 the' wphk "f^fj-^^njittee'.Arid/op. their-Willingness to 'co'dperate at'alS-tlmes. or sublimated lead- Whlte ...i. Blue ........ Red lead-.....-, Oranjse mineral. Litharge............. . . , , IB,WO 1,234 43.021 era ST.eio White lead-- : Dry ............ - In oil,..... -;'42,1S9 164.&I2 42,274,01T 105,649 7.586,54 165,039 13,807,0B7 s 6.821,200 "2M79,73 t?i4e 160 179 243 137 102 226 10,308 1.210 ' 32.041 356 72.5T8 32 045 ' 60,39a 1,821,330 180,017 5,066.207 76,655 0,718,765 4,672, Bi8 1A5O3.106 5I2& 10T 154 213 134 140 m. 36 October 20, 1931 OIL, PAINT AND DRUG REPORTER M o: The Seeltna in. the consumption oi " white lead in oil as shown 'in the above table continued slightly downward dur ing the first half of 1931. Practically every industry. using lead has consumed less of the metal or of the finished lead -products during the year 1930 than for any similar period during the past ten years. . These conditions have seriously affected the mining and smelting of lead and prices have fallen steadily from $7.75 per cwt. In March, 1929, to $3,75 per cwt In May, l^l-w^the lowest price for pig lead since 1915. In June, IBil, the price turned up ward and at this writing is $1.40 per cwt Linseed Oil ' E. C. BEsbee, Chairman During the past two years, the prices of flaxseed, linseed oil and linseed cake have taken as almost steadily downward course like all other commodities through out the world. The price of flaxseed about the middle of September, 1929, was ap proximately $3.40 per bushel, Minneapo lis, and $2.78 per bushel, Buenos Aires, A year later, 1930, the Minneapolis price had declined to $1.90 per bushel, and the Buenos Aires price to $1.50 per bushel, and In 1931 the price at Minneapolis was approximately $1.39 per bushel and Buenoe Aires 75 cents per bushel; or in other words, the present price of flaxseed In Minneapolis is only about 40 percent of the price two years ago and the Buenos Aires present price a little -over 30 per cent of the price two years ago. The price of linseed oil in September, 1929, was 16,8 cents per pound, in Septem ber, 1930, 10.6 cents per pound and the price in September, 1931, 7.8 cents per pound. The price of oilcake in September, 1929, was $48 per ton for export i in Septem ber, 1930, $36 per ton, and in September, 1931, $24 per ton. During 1929 the price of linseed oil in Europe was higher than any other vege table oil excepting rape oil. In 1930 lin seed oil was higher in price than any other oil Including rape oil and in 1931, at the time of writing this report, linseed oil In Europe Is cheaper than any other vegetable oil. It is therefore to be expected that Eu rope this year will consume a relatively much larger amount of ilnseed oil than during the years 1929 and 1930, and since January l Europe has imported twenty- two million bushels more than last year during the -corresponding period, during which time, the United States has Im ported about five hundred thousand bush els less than the corresponding period of 1936, and the price of linseed oil In this country at the present time Is less than half the price of 1929. % The consumption of linseed oil and flaxseed during 1936-31 has also followed the general downward trend. In the year July 1, 1928, to July 1, 1929, this country crushed* between thirty-nine and forty million bushels of flaxseed; In 1929-30 a little more than thirty-five mil lion bushels; and in 1930-31 .only twenty- seven million, buahela or approximately 68 percent of the amount crushed in 1928-29. If this Is figured on the usual statistical basis of values In dollars, the linseed oil business during 1930-31 would be only about 34 percent of the 1928-29 business or a very close parallel to the steel busi ness at the present time. We, however, believe that the unit of weight or meas ure is a far better indicator of the vol ume of business than the value in dol lars and If statistics In all lines would show volume as well as value in dollars sentiment might not be so pessimistic as It is today. . We have to go back to 1922 to find production of oil so low or consumption of flaxseed so small as In 1930-31. The stocks of flaxseed and linseed oil on hand June 30 were smaller than at any date since March, 1923, and the price of lin seed oil today ia the cheapest It has been since 1915 and oil has sold this month lower than the average price for 1915 when flaxseed was not far from the pres ent price and ollmeal was $10: per -ton higher than at present. The price of linseed oil In the United States is approximately the same today at the time of writing this report as the average price of linseed oil for twenty- five 'years from 18SB to 1913, and this country was raising a surplus of flax seed for export. to other countries from 1889 until 1909. The last government estimate of the United States flaxseed crop waa 13,800, 600 bushels or about 10,600,000 less than the estimate, at the same time last year, which Is the smallest crop we have had for nine years. The acreage planted was large but the size of the crop has been -cut down by drought and grasshoppers. The surplus of flaxseed from the. Argentine crop is at present less than 16,000,000 bushels which, together with the surplus from the Indian crop, will likely be sufficient for requirements until the new Argentine crop [$ ready for market. The government estimate of the new Argentine crop is 8,200,000 acres or about 10 percent more than last year; how ever, planting has just been completed In the Argentine and many things can happen before the crop is harvested. It Is reported that Russia has Increased their acreage a million and a half acres or about 35 percent over last year. A large part of the Russian flax acreage la used for fibre and the flaxseed pro duced Is largely consumed in Russia. Russia has never exported a large amount of flaxseed and Is not likely to do so at the present time. The Cana dian crop is estimated at two and one- half million against 4,460,600 bushels last year. There is talk of a reduction of duty on flaxseed and Unseed oil, but It Is doubtful that anything will be done as flax Is the farmers' best crop this year from a price standpoint, and as the pres ent duty was established by influence of the farmers' representatives in Congress, it seems unlikely that Congress will have the temerity to reduce the duty on flax seed under present conditions and it fol lows as the duty on linseed oil U com pensatory that the duty on linseed oil will not bo reduced without a correspond ing reduction In duty on flax. . .. Lithopone seven' naval stores seasons, ended March nominal, the - bulk- of the seed being wsl 31, each ye^r.-, . . ' served for planting purposes. "1 R, M, Newmann, Chairman Reviewing the llthopone industry for 1930 and 1931, we find a very Interesting The serious conditions which existed in the naval stores Industry during the last season naturally caused hardships arid Soybean Oil ' To June SO/1 situation. While the consumption 'of lithopone, like Other basic paint making raw materials, has fallen.`off, the percentage is not as great as some' other products, indicating that the use of lithopdne in paint as well as in other products is in creasing. Lithopone manufacturers are constantly making improved products, and during the past two years have intro duced high strength llthoponee of various types, which have been' helpful to the paint Industry in making high grade paints and enamels with extreme cover ing or hiding capacity, A large tonnage- losseB to producers of wood products as well as to producers of gum products. In consequence, the production of wood roaln shows an average decrease of prac tically percent, with a much .larger rate of decrease during the last quarter. Notwithstanding, depressed conditions, the program of research, technical ser vice and coperation with consumers was continued In full force for the purpose of improving products, discovering new uses and ' developing new products,- thus In creasing demand, - ` , 1926, Domestic . -production Crude - Refined .. ' 7,831,263 Imports-- Crude .... 19,488,120 ConsumptionCrude ..,. 26.793.293 Refined .. - 4,940,660 Stocks as of , June 80-- 9,838.087 Refined ,. 1,996,499 1930. 14,387,400 0,026,215 1931.,d m 20,082,244'] 9.924,Wt-| 3,348,362 2,285,1m 17,599,109 16,950,583" 3,029,503 7,603,412 12,381,723 14,989,492 1 8,001,994 S,348,501 of llthopone Is still' being used in outside paints and the outlook ia for further steady growth in this direction. The fol lowing statistics have been published by the U, S. Bureau, Department of Com merce :-- Domestic Sales of Lithopone 1927.............................. 1928............................... 1929........................... Tons (2,060 15b.) 176,994 200.468 06.315 Value. $17,163,620 19.073.914 19.773.884 The tremendous potential commercial possibilities 'existing in rosin, turpentine and pine oil are being steadily developed and demonstrated. Synthetic gums, solvents, plasticizers and diluents have all been demonstrated as having great value in connection with lacquer, paints and varnishes, The uses and consumption of these special products are steadily In creasing, ` ' Particular attention is called to pine oil and its derivatives, the value and pos sibilities of which: are increasingly ap Menhaden Oil Domestic production .. 24,656,660 Imports .... 43,206,716 Consumption 80,669,728 Stocks. June 30 ........... 6,279,614 24,700.391 66.294,765 16,288.626 2,479.849 *802,391 75,200.000 9,194.3^ 3,027.632 Chinawood Oil Imports .... 119,677,718 120,822,699 Consumption 97.473,834 7,092,108 Stocks. June 66 ............. 18.617,348 34,083,177 37,890,623 48.284,6JT ': 34,192,721 i 1930............................... 164,005 1931 (first 6 months) 84,473 15,697,083 Distribution of Lithopone Sales Paints, varnish and lacquers. Floor coverings.......................... 1929 (short tons). 160,604 37,500 1980 (abort tons). 3,656 Bubber ........................................ 7,178 6.997 parent. An ample supply is now avail able. The character and properties of its constituents have been determined. This has resulted In Improved quality of stand ard and special grades, each for a special .purpose. The ample supply, high quality and low price of pine oil and its derivatles offers unusually attractive possibilities of profit'to manufacturers of paint, varnish ` and lacquer. ' . Imports----Consumption Stocks, June 36 ........... Perilla Oil 16,760,726 ta.238.000 14,000,000 t6,860,000 t.......... 77.020,000 t$.200,000 * Second quarter only, No production shc-wa for first quarter. t Estimated, .. j Not available, . Other .........................................- 10.820 8.336 - Production in Thousands of Barrels Totals........................................ 206,316 104.005 Sales of Important White Pigments 1929. 1930. Dec. Llthopone ............206,816 164,066 20% White lead (dry and in oil) 147,031 162,140 30%-. Zinc oxide (lead free).,,., 160,611 119,142 26% - 1930-31 ................ 1929-80 ..................... 1928-20 1027-28 ............. '1020-27 .................. .................. 1025-26 ............ Gum1 ' rosin. < 1,700 - : Wood . . rosin. 439 ' 467 432 . .'409 . . 363 285 Total production. 2,439 2,648 2,297 2.574 2,065 l,8Si Total exports, 1,219 1,366 1,279 1,873 . 1,129 1,083 For domestlo consumption. 1,220 1.182 . 1.01$ 1,301 986 Leaded einc oxide.......... 27,149 17,279 87% White basic lead sulphate 15,580 10,308 33% 1024-25 ................... 1028-24 .............. - . 258 ..: 202 2,023 . 2.083 1.400 1,171 663 912 Gum Kosin Miscellaneous Oils-. Paint Jlmerch g^'house. &: The $v; we th tithe pi ^vseller W- ing tl T-1931 ^ la sel I; stride ;!efflcie As Indus : In. th j^the 1 " rema. oblig j.. erad< iVfew > ;vvla t ?' Co ttstlc bring powd estin tion. It . eral W.there g.-!mitt< 'man; chas J- and Mbegh fr;the ' ^'preh.... ' Cc plasl y' > been ;< Of tl : of tl Clines 1 whic vjy.the - cove "V eral ; actii i.larg- r;'0C a ;-:calc! o and ;J;;worl F. J. Taylor, Chairman ' The gum naval stores industry is suf fering from very low prices. At present there is no relief in sight and therefore disintegration will continue throughout this season. ' The production as compared with 1930 31 crop s running around 10 percent short, based on the receipts at the three ports that publish statistics, Savannah, Jacksonville and Pensacola. The short age as a whole la probably more, because of some shipments heretofore moving to Brunswick being diverted to Jacksonvibe and Savannah, and because the western territory is conceded" to show a larger curtailment. The producers are unable to make ends meet; thus they, are going deeper in'-fhe red dally, and it would seem that there is a strong probability, of num- , bers of them ceasing operations earlier this fall than is customary. ' There is an adequate supply of both rosin and turpentine on hand at this time and probably will* be until the consump tion increases, or until the inevitable heavy decrease, forced by present condi tions, is a reality. ' There have been heavy movements for export the past two months. Domestlo demand seems to have improved consider^ ably. The call for quick, shipments ana,, pressure for car numbers, etc.. Immediate-;; ly upon orders, being placed is an indica*. tion that there is still largely a policy of' hand to mouth buying. Some buyers will no doubt look back and wish they had taken advantage of the present opportun ity to gather In very cheap supplies. Prevailing prices are no doubt to some extent Influenced by low markets of other commodities, such as cotton, wheat, etc., though such is not justified by the sta tistical position of rosin and turpentine. It could hardly be said that there is on hand more than 16 to 15 percent of a season's production over and above a nor mal stock. .. Wood Rosin . F. !W, Robinson, Chairman ; In common' with'most'commodities, the oil group haa had an almost continuous downward price trend during the past year, About,the only upward movement recorded was during the period of Initial negotiations for an European debt mora torium but these advances were not sus tained. 1 '' J' Chlnawood Oil .' '. During 1930' = Chlnawood oil : declined from a -high of 12 cents per pound, f.o.b.. Pacific Coast in tankcars, to a low of 5 cents iper pound,- The lowest price during the first seven months of-1931 ;was 6% . 3. R. Matlack, Chairman ' A retrospection of the paint Industry from the paint manufacturers', distribu tors', and retailers' standpoint should be one of, great. satisfaction to the entire industry, when a comparison is made with other industries. Wfe feel that statistics will prove that the last two months of 1930 . and the first nine months of 1931 have been fairly satisfactory to the manu facturers, While there ia no question but what " volume has. been materially cut, profits have been greatly shortened, the industry as a whole finds itself in $ very, firm, position, and . we'believe that there! have been- less failures In our Indus try than in other industries holding as an important place among the manufacturers of .the United States.^ . -. " It is a disappointing fact that the, re duction .In the prices of paint products In' the late fall of 1930 did not stimulate buying as was expected, and that the dis tributors. and retailers at thq present time are carrying smaller stocks than have: ever .been known to the Industry. This, of course; will ultimately ail work out to the benefit of all manufacturers as it will mean a buying tendency in the very near future to stock up on the part of the dis tributors and retailers. .. . -It- Is very mjioh-.to be regretted that the competition and bidding haa been so keen on the industrial line, especially on government1 and state requirements that ia prices have been cut so that there Ispractically little or no margin to be de rived by the manufacturer. However, It has enabled the paint manufacturer to keep their forces Intact and run a fairly heavy volume out of their factories. The t: 'Siftppi j:all . gftl, 1 men % ness `V: yeai |/;s h i: v.'; Aug I; .t -SHI o - etit . por .. E'en .1923 -1629 sat: so : era dui I ' she unt ' mo tioi car arr ata cor Jr E. Lockwood, Chairman ' The following statistics show production of both gum rosin and wood rosin,. also v , F- W,. Robinson ' 1 ClraT^maniv-on.;'..ly]isoellfrieouS' Oils . cents per pound.;,'s-Aii revlew 'of ^prices for this commodity ;iover the : past' twenty years ,reveals a..high of 38% cents per pound during May,-. 1923,-and-a low of 4% cents per ppuna during May. lSlB,.. As. Po do; eh( of fe^ bei ini Jet pu v ' ; r ^Penifa/Oi! < Perllla 'oil shared "in'.the- downward price trend with Chlnawood oil as did also the imported grade of soybean oil. In* ' crease of duty on the latter oil has greatly .reduced importations. Not only has cur tailed demand affected these commodities but the unprecedented 1 depreciation of sliver . exchange has been a dominant factor in depressing prices'. ITU wi fa Ini all of be In> J. E. Lockwood Chairman on Wood Rosin rostn exports and balance available for domestic consumption, for each of the last .. Tung Oil . ' : There has been a steady expansion in . the planting of tung oil groves in the South and at the present rate of Increase the domestic production should be' an'Im portant market factor within the next ten years. ; - . .. . . . Experiments, are-being continued with 1 such miscellaneous Items as safflower seed oil and. rubber seqd 'oil. However, there has been tittle incentive to use substitutes in view of the general low price level for standard vegetable oils. ,j "We are'quoting'statistics taken from reports of the U. 8. Department of Com merce. At. this time figures for 1931 are available only for the first six months of the year, ' When possible, estimates are used where the Department of Com merce does notJ collect specific Informa tion. . No attempt has been made to esti mate domestlo production of Chlnawood . oil as the quantity of oil produced Is S..R. Matlack Chairman on Paints industry as a whole is to be congratulated on being able in a very .few months to put their houses in order, to curtail their expenditures and to handle with efficiency the business which has been placed with them, and take a very energetic and de cided stand against the so-called, talk of. depression and to create gales for their fa m al fr U: m ai lb bi tor I OIL, PAINT AND DRUG .REPORTER:* October Z0% 1931 37 >301 . ,000 : merchandise and get their share of the household budget. The leading hardware magazines., are, . we think; unanimous in the statement that : the paint product has been by far the best seller In the retail hardware stores dur ing the past twelve months. As the year r 1031 Is waning we feel that the industry rls set as never before- to. make decided 'strides for the future In an energetic and ^efficient manner. . ' ' ' Plastic Paints - W, L. Pringle, Chairman . As reported a year ago the plastic paint . Industry has witnessed another reduction in the number of manufacturers during : fhe last twelve months. Many of those ' remaining- in the business have felt obliged to produce products of a cheaper ' grade to meet the competition of some ;.lew who have endeavored to gain volume -.Via the price route, . ' . Co-operation with the government Sta which ownera`should be urged to reflnish Paint, Oil and Varnish' Association, we to enhance the prospects of securing bring .greetings from the president, and tenants* there . are. particularly- many members of that association, to con corporately-owned properties, held by or gratulate you on the aucoess and progress mortgaged to insurance companies, etc., `of your organisation, and to wish you a which should, be . but are not being kept. iRpst successful convention, through this properly painted. Paint and equipment meeting in Memphis, salesmen and contracting-painters would 'TVs, as a'committee, stand ready and do' well to concertedly make a- drive willing to convey back to the National upon such owners. ' . ;. . Paint, Oil and Varnish Association your Spraying equipment manufacturers are further instructions." ' continuing their, efforts/toward mechanl- The- full courtesies of the convention cal advancement; a variety of .types of were extended to your committee and we small spraying equipment has been de .would suggest that every member of the signed,-and many, such units have been' .National Paint, Oil and Varnish Aasocia- sold. ' tlon read the papers of the meeting in We -:repeat 'the undeniable conviction . order that each member of the association that the use of more paint products will may become thoroughly familiar with the only come through the more widespread wishes of the master painters' associa use of mechanical methods because .of its tion, in. order that there may he eloser economy, speed, quality, ease and.pther working understanding for the benefit of each organization, . Memorial Report ' Our thoughts along this line Is. to sell rosin on, a net basis,-.making, it absolute ly -sure of a uniform weight to figure on. The 'fact that the 1931 convention was postponed this year gave us very little opportunity to set up any new ideas. We can report progress. The efforts cf your previous committees have helped considerably and we urge every buyer cf rosin to help standardize hia package, whether it be drum or barrel. Many buy ers would like to buy at net weight prices. Keep asking for It. . Harold Holden, your member of the rosin marketing methods committee, repre senting the American Paper and Pulp As sociation, Is of- the opinion that, in view of conditions in the industry, It would be presumptuous to make any suggestions at the.present time. The rosin marketing methods '' >*:, nuitee desires to record Itself as willing to co operate in any way possible, and if any member of the association has anythfng constructive to offer in the way of In tistical bureau has enabled that body to bring out a comprehensive report on dry -powder paints which Is extremely Jnter- eating as noted in the six months tabula tion released August 11. . It Is believed that there are still sev-. eral manufacturers of materials listed therein who are not reporting. Yourcom-, 'irilttee has been endeavoring to get as many as possible to co-operate where it has learned that they were not so doing . and urges that those not doing so begin Immediately as It is felt that the report can be made still more com prehensive. Co-operation among the members of the . plastic paint manufacturers group has been friendly during the year. Several of them witnessing the decline In the use of their product have brought out other lines of paste and dry powdered- paints which bid fair to All their niche between 230 182 018 201 the calcimine and flat Wall type surface coverings, '- There Is a feeling in the imlnds of sev eral that through the coming year the activities of the committee cap be en larged to a point where manufacturers of all types of dry powdered paint and calcimine can be included in this group . and it Is toward this end that we are ` working at the present time. i ,. ' i 'ft V A-V;?' * '* ,-Ch , " ' ' 'v* ' Georgo B.- Heckel. Chairman Death has laid a heavy hand on the National Paint, Oil and Varnish Asso ciation during the past year and removed '.many of those to whom we have been accustomed- to look -for service, counsel 'and leadership. The list includes four past presidents--George C. Morton, "Wil liam Waterall, J, W. Daniels and D. T. Mlnehart; also several other outstanding leaders in our Association work. The loss of such men as George S. Mepham, Clare H. Hall, A. D. Graves, Allen W,,Clark and J. P. Thorny will not soon be forgotten. The end of life, however long, is death, and our work on earth must be done, as it were, between the rising and the setting of the sun. It is well for those who, when the evening shadows fall, can look back on the day's work faithfully and unfalter ingly accomplished. Our Hat of deceased members numbers thirty-nir.e. It Is for us who remain be hind to bid them Godspeed on their journey "to the land of the hereafter," In the hope that when cur record la com plete, we may be accounted worthy of that goodly fellowship. (The report contained obituary items on the deceased members named below.) formation, etc., please foel free to call up on the Committee. Tariff Report S. R. Matfack, Chairman The tariff committee has kept in touch during the past year with proposed changes In the Hawley-Smoot.act which might affect our industry. Under the flexible provisions of that act, the agri cultural interests renewed their efforts to have all vegetable oils placed on the duti able list, and hearings on various Items were held by the U. S. Tariff Commission early this year. Our Washington repre sentative, H. A. Gardner, made an ap pearance before the commission on Febru ary 3.7, 1932, and presented arguments against the placing of Import duties on perllla. oil, These arguments were em bodied In a brief which was filed with the commission, and It is hoped that the final decision will be favorable to our Interests, The committee will continue its efforts to prevent the enactment of changes in the tariff, which would be Inimical to our industry. (There was also a report by E. T. Trigg as national councilor for the association In the Chamber of Commerce of the United Shellac , Belleville, Joseph M. States.) lly' ed, ' .& iat as- : an 2rs re- 1 in ; tie -; ismo j rV ia, to' 'IU :ar .J is- :fc iat SO on iat James W. Byrnes* Chairman : The Import price ; on shellac- declined approximately four cants .per.:pound, on : all grades during the fiscal year August 1, 1330, to July 31, 1931, and the ship ments out of India for the same period .were 69,500 packages less. Thus--we can reflect the* result of busi ness conditions on the article for the year Just closed. SHIPMENTS FROM INDIA TO UNITED STATES LAST TEAR Packages . (104 lira., each). Aug, 1 to Dec, 31, 1930.................. 37,500 Jan. 1 to July 31, 1931....................... 71.500 Total...;............................................. . lO^OOO SHIPMENTS FROM INDIA TO UNITED STATES PREVIOUS TEAR * Aug, 1 to Dec. 31, 1929..................... 00,600 Jan. 1 to July 31, 1&3Q....................... 112,000 Total.;..................................................... 178,500 . Owing to the very active campaign In stituted by the United States Shellac Im porters Association to remedy -the un- George B. Heckel Chairman on Memorials outstanding advantages, and the sooner this fact is fully recognized by the paint Industry, and aggressively exploited by their safes forces, the quicker will be the public's realization of paint and painting values: - . Varnish ' . ' C^.N* Seidlitjs, Chairman . The varnish industry , during the past several, years has been ^forced to bear even greater, setbacks than general buslness, due principally to the volume that was transferred from this division to the lacquer division, This tendency, I am plaesed to report, has been definitely stopped during the past year1 by the intensive and construe* tlve research that has been carried on f; Tear, Lead-free.' ,1923 ......................... 100,004 ; 1020 ......................... 200,011 1030 ........................ 119,142 leaded; 24.223 27,140 17,270 . -Total value- . /-Price per ten-* Dead-free. . Leaded. Lead-free. Leaded, 320,085,442 $2,945,323' : $129 . . - $122 20,510,240 . 3.224,544 . * - 128 110 14.890.S33 : ' 2,072,197 . 125 . 220 Brankln, Edward Burgett, James A. Clark, Allen W. ' Daniels, John W. Daniels, Willard B. Davis, Samuel H. Denton, Thomas B. Feshenfeld, L. H. Graves, A, D. Graves, Nelson Z. Hall, Clare H. ' Hemingway, Frank Kenned^, Capt, James E. Krapp, William H. Lathrop, Ellsworth F. Lewis, John B. Lincoln, Frederic W. Lumbard, Edward C. McCllntock, W A, Masury, John W. . Mepham, George S, Mlnehart, Louis T. Morton, George C. Orrlck, Murray S. Fulslfer, Nathan T. Baabe, John Heed, Edwin S. Rouse, Robert A. Rosenberg, William The Open Forum President Frayser: The next feature on our program la one which I think should prove very Interesting and very profitable to those present. It seems that In the past there has been a feeling among some of our members that they have not had an opportunity to openly discuss things which they thought might be of Interest to the members of our association. In plan ning our program this year we planned it with this definite purpose, that an opportunity for such a thing might oc cur in our meeting this year, and- in order that that might be in charge of someone experienced and entirely familiar with the needs of our organi zation, we asked Colonel Callahan, of Louisville, to accept the chairmanship Js Ce lt to 'ly he satisfactory conditions which prevailed for 20 many years in India,`the quality of all .grades of shellac has .improved greatly during the past year. .. It might be said that practically all shellac arriving is being passed on by an in the laboratories of most every plant in the fcountry as well as In a great num ber of the material house laboratories. It Is most pleasing, even to a non technical, observer,. to watch the evolv ing of a very exacting science out of an unbiased, examination committee--changed Industry that heretofore; from its Incep vmonthly.'- 'This'-coimmlttefe is'a comblna-- tion. has always-.been exclusively.an.art. Schleussner, Philip O. Smith, C. Harold Steen, John A. Thorny, J. P, Valentine, Langdon B, Waterall, William Watson, Frank L. ' tlon of importers and exporters, and It - Tne work that has been done; and is. Westerbeck, Frederic H, can be said that about 98 percent of the going on- at the-present time, on the Zummach, William F. ; arrivals pass as fully up to Association development- of synthetic, resins of all ;; standards In appearance and Insoluble types, and their application to the varnish content. and paint Industry, apparently is not only Research going to regain any lost prestige the carnlsh industhy has suffered but will open Report on Paint Distributors K,v- . The United States Shellac Importers [fo,-,Association, through, a fellowship In the fellPolytechnic' Institute of Brooklyn, is ftV doing some important research work on IT-: shellac in an endeavor to clear up some Jrof its semeingly impossible prob'ems. A Ki','few of the "whys and wherefores" have K&.been discovered, and several papers deal- IfS-ing with scientific research on this sub- ty; Ject have already bean submitted and Bftj published by . Its Fellow. . entirely new fields that have heretofore been c-osed to our .industry, as these new products will take a leading place both In industrial and trade sales. There has been nothing of a special nature that has required the attention of this., committee during the past year. ; . ' Zinc Oxide '. Howard J. Young, Chairman The consumption of zinc oxide during ft* A. White, Chairman Your committee on paint distributors has not been active this year. Perhaps the reason for this Is due to the fact that under the present set up there Is not much that such a committee can do, except to recommend to the in dividual distributors that they co-operate in the various activities of the associa tion, which has been done, and in most every case the distributor Is doing this i-" - Spray Painting ' W. F. Gradolph, Chairman I the year 193 O showed a marked decrease as compared with the year 1929, This was due, obviously, to disturbed business through his membership in local clubs. The simplification committee of this as sociation is attempting, through its work, The depressed trade conditions experi- ikl-enced by the paint and varnish and other JhVflndustrles during the past year have like- P-fewise affecteS to . some -extent the rrtanu-.. 1- ^factprers of spray painting. and flnlsh- {^ing' equipment; the same factors natur ally operate upon the affairs of both lines pHkbf trade. The decline, however, has not Kjj^been greater than in fairly correlated industries.. .. 'the industrial finishing .field there, 'ffnti doubt, has been much, planning to- wards replacement or extension of plant ^facilities, but in the end a reluctance to Stnake-the necessary appropriations or buy ^at.once has been manifest; Inquiries Efrem this market have been numerous. ^.Unfortunately, during such a..period of ^'inactivity, plant maintenance painting is Ijaoparently being neglected, yet , there J/-could hardly be a more propitious time Mi'for such work. It Is quite evident that ^managements are not "being sold on the S-. advantages of having this work done ,~.aow when to do so would go far to re V. lleving unempToyment and stimulating - business In various lines with resultant r' -benefits to- the owners, : It. Is recom- mended that paint and varnish salesmen, BJVas wdlt hs spraying equipment salesmen, Lr ; and contracting, .painters urge . this more ;y: v ivforcefully upon plant managers. h ' & In the building construction and maln- Ctenance field, the conditions are not re* Rwsuring; there Is much vacant property conditions, and was In line with curtail ment, both in consumption and produc tion in practically all other industries. , Consumption of zlno during the cur rent year so far has probably run a little under 1930, and, unless conditions im- proye, the tonnage shipped during the current year will b& below the ship ments for l93fl. The following is a comparison of ton nages and value of shipments for the years' 1928, 3929 and 1930,' as given by the Department of Commerce, on which only the true value, per 100 pounds should be taken; ., . . ' \ Master Painters ' . M.` Q Hein's*. Chairman . Your committee appointed to represent you at the convention of the international Society of Master Painters and Decorators held at Memphis, Tennessee, February 10, wish to make the following report. In the formal -request for Introduction of representatives of your association, you were represented by your chairman, who made the .following statement to the president and members:-- ''We take, this opportunity of expressing our; feelings'-that.. It- is*, an honor-, and privilege to be 'able to meet with you in this convention also to express our thanks for the courtesy extended us. . "As a committee from the National to carry out some of the things which are suggested by leading and thoughtful dis tributors, and much good can be accom plished vby a1 close: co-operation of all .In this work, which will certainly mean very definite-, economies In manufacture, dis tribution and-retailing, , Aside-from the urging'of a continuance of theses studies, the committee has no further suggestions; * , Rosin Marketing . W. L. Schwafb, Chairman *Your committee on rosin marketing methods submit their report for the year as follows' . This being an off-year, and conditions In the south very greatly handicapped, any details or suggestions along revised methods would be very much out of order at this time. The producers are unquestionably up against a serious problem. They cannot get together, it seems. Therefore, any new method we, might suggest could not be taken , care, of for the present. The tin type package .la coming into Itsown very rapidly' and your chairman noted :whlle.; traveling through the south this winter, that packages generally are more uniform, weights, gross and tares, are more in line with the thoughts of pre vious committees. P. H. Callahan Chairman of Open Forum of this open forum. I hope that each and every one of you will be frank and free., to express yourselves and we are obligated to Colonel Callahan for agreeing to serve us in this capacity, and we will be glad now to turn' this meeting over to you. (P. H. Callahan assumed the chair.) Chairman Callahan: Mr. President and gentlemen: I don't know whose thought this was. I was merely asked to preside on this occasion, but I be lieve every- well-regulated Institution, particularly those of a fraternal char acter, have an order of business which they term the good of the order, so under the heading;1 which Is very wide and comprehensive, we can discuss al most anything that occurs to us. It will only be limited to the welfare of our `association. .. We have had considerable discussion this morning from people from the outside. People from the outside 38 October 20. 1931 OIL, PAINT:AND DRUG REPORTER 'O brought us the message that plans and ty-five millionth part of the United States work and likewise increase the benefits welfare of the Industry with anythin* discussions of those on the Inside might bring about much better results than those that were brought from outsiders, so we can hear that in mind in anything that we may have to say. and did the normal thing, and would do ourselves what we expected the other fellow to do, we would very soon bring about normal conditions. He empraalzed that by saying that some fellow in Philadelphia said that If to the members thereof. -' I wifi ask Mr. 'Wilkinson to say a few words first in opening up that diecueson. ' Separate Conventions that will be held next month or the fol-: lowing month In Chicago. \ We are very happy, I know, in having; with us today perhaps the senior preal-a dent of it, nr one of the seniors, perhapsT the dean, George Watson, of Chicago. Iv The other day at a meeting of the each of us who had a Job would spend r Mr. Wilkinson; . Mr. chairman, I knew don't suppose you are the dean, are you, directors I informally asked those present if they would, bring to this session, this particular session, their reactions to the address of Dr. Klein. 1G cents more a day toward normal re quirements, that In Itself would bring it back. X couldn't quite see that picture. It probably is more vivid to him than to me. I Just couldn't figure out that .15 that there are many members In our as sociation who earnestly feel that they want to see progress from year to year, and they feel at the same time very solicitous for any developments that may George? Charley Field is ahead of you. Isn't he? Will you Just express yourself , on anything you.would like on the doings:' of the day? Mr. Watson:--In my observation cov. I am going to ask Mr. Bennett if cents a day would1 do It. But the Impres represent a backward step. ' ering a. good many years-------- he will lead in the discussion for a sion that 1 got was that If each individual I wae just speaking at noon time, ' Chairman Callahan:--You were presi few minutes on that Julius Klein ad would do his part and then use his in casually, with one or two of the men dent before they played golf? dress. Give us your Interpretation of it and give us the benefit of a survey of it. ` influence on the small group that he was responsible for--and that happened In all the communities of the United States-- we would soon be on the way to normal about one thought that has impressed it self upon me, that perhaps it might bo well t<y bring out Into the open. It was characterized by' one as a whispering Finds Programs Crowded Mr. WatsonYes, that was before we Mr. Bennett on Exports times. I didn't read between the lines as to . what he did or didn't say. I think that campaign, -but for years after conventions or during conventions, in the hall, we hear one member or another, either played golf, I think we try to crowd too much Into the-short time that we are here, that is, Mr, Bennett;--I listened with a great deal of Interest to Mr. Klein's remarks, and I -hav listened with interest to hia he Is put In a very tough spot right now because of what happened before. Be fore I went into the meeting I heard through timidity, or lack of knowledge, or. perhaps a little bit of knowledge, which is a dangerqua thing, question the actions of business and the social end. While t think there should be a certain amount of entertainment provided, I think we remarks in previous years. Mr. Klein is a man of vast experience in unraveling the difficulties, especially of export com good comments in reference to Dr, Klein, and some that reflected upon some of his past predictions. But what I got out of that have been taken by groups of the as sociation who are authorized to carry out its programs. They wonder whether the sometimes go to extremes, and particularly when we come to a resort like this. Take, for example, the entertainment merce, and I was disappointed that Dr. Klein did not refer to the diminution of it was that he was trying to give us a few constructive suggestions that we could actions have been unselfish or whether they have been for the best interests-of of last night. I think that was entirely superfluous. Of course, I may be getting export business of this country, because apply to ourselves,' without committing all. They think that perhaps a number sere and yellow and don't care for that if our exports could have been main himself in any way. of things are rammed down the throats, sort of thing as much as the younger tained during these last two years we Horace Felton;--I was very much in to use the very wordB of the membership, members do, but it seemed to me more would have felt very little of the so- terested in what Dr, Klein had to say without sufficient opportunity . for! the or less of a wasted evening, and a great called business depression. Our exports, regarding sitting on the bulge. X just' meeting as a whole to' participate.- many of the members Of.the association especially exports of manufactured prod wonder how you are going to do that. It Well, none of us are going.-to.question were not present this morning because ucts, as against raw materials that we seems to me we are all more or less the motives of the men who are elected they were up to a very late hour last formerly- exported, show a shrinkage of bound down by circumstances. Take the or appointed to positions of authority, but night at that entertainment. fom to percent to 5 percent, and question of wages and salaries--we must at the same time I think perhaps It opens If some other form of entertainment this has had a tremendous Influence upon the business of this country. I listened several times to Mr, Cornish, go along with what happens in our par ticular community. I do wonder how you can sit on the bulge. I would like some an. avenue for some program- such ad this in the future so that pqrhaps .some. ' ex planations that may be given, :-that are could be provided which would be inter esting both for the ladles and for the members of the association, and yet in private discussion upon matters that were germane to this subject, and I am sorry that Mr. Cornish has had to return to New York, because I think ho would be delighted to expound hla theories here. He foresees that the abandonment of the gold standard In Great Britain, ac complishing as it does a reduction of 20 percent in wages .paid to workers ail over, a reduction which could not have been made by merely cutting the wages-- he foresees that It is going to start prac tically every industry in Great Britain again upon a basis which will restore in large part the enormous export business of Great Britain. The business that, ever since the time of Adam Smith--and Adam Smith wrote "The Wealth of Na tions --has been the very heart of the prosperity of Great Britain. We in the paint and varnish industry are affected just exactly as the other in dustries are by such action as that body to explain that to me. perfectly apparent to those who perform the acts, may not be apparehttothe mem Would Correct Waste bership at large. . . Someone a.while ago said .-that" a'sman Mr. Caspar:--I do not think that I can help Mr, -Felton in tnat respect, but I would like to register the impression tnat I have from the doctor's remarks, and what he had in mind when he suggested that we be getting our house- in order. Does it not occur to you that the example that he submitted of a -distributor check ing up the work of his representative and hnding that he had visited towns twentyfive different times during'the year and' his sales in that town`were J400--if.-I remember the figures correctly--in other words, the waste. X thing the doctor had. in mind when' he spoke of getting our . house in order, the waste, and X think we can take that thought home with us *--&' checking-up, a territorial analysis of is very-often down on a : thing that he Is' not up on, and It is Just.-merely'; a matter of Informing them, ; ' Now;''shall we be specified and refer a little bit to the discussion .this, morning ' with regardvto, the*separation ;of the two. conventions?.' Perhaps. It isnft known it should be known,- that'following the'con vention a .year, ago, the- directors of .the manufacturers' 'association met- and serlously considered the effectiveness- of hav ing .a-convention-.-with.' the'vnational. as sociation, ; and.-; as T get LL - n'ot' being on official'-- of:';elther-- assoclatvon,1'-1that ques tion was largely based upon the Incom patibility of a strong Bocial program with a business .program, and again determin ing to test that, they moved to separate wouldn't be quite so diverting, X think it wou'd be a good thing. In other words, I think that we spend altogether too much time at the conventions in that class of entertainment, and that is one reason why I have always felt that a convention could be better controlled If it wae at some neutral point where there wasn't quite so much entertainment go ing on. , . . . I remember particularly the convention which we held at White Sulphur Springs, which, I. thought, was one of the best con ventions that X ever attended. There was Just enough there to entertain us all, golf and the country around, but there weren't these diverting things brought in the same, as have been done here and in other .points where we have held conventions. I think that the entertainment committee should take that very seriously into con sideration in the future, of providing a As I said before, if we could have maintained our exports 'of manufactured products, our business conditions would be vastly improved over what they are today, and we must face the fact that we have got the greatest competitor in ex port markets, -rehabilitated now In Great Britain. It'Js a part of the whole sys tem of getting down to somewhere near the os sis from which we were carried away by that beautiful orgy of business for five years, the like of which the world had never seen before and which it is very doubtful it will see again. Chairman CallahanMr. Robinette, wl 1 you let the gathering hear your in terpretation of Mr. Klein's suggestion that we clean our houses? In what' di rection was your interpretation of what he had in mind? Mr. Robinette Speaks Over-Production ,Mr. Bobinette :^Gn that particular sub ject. I And now that I am in much the same position as my good friend Bennett Was the other morning when I got up in support of one of our activities here that Mr, Boh had handled, and I said a few kind words about him, and Mr, Ben nett .sot up Immediately and' expressed the thought that I had said the things he had in mind, and that all that I had said had come out of the executive com ; . More on Over-Production -mittee. Now, Mr. Bennett, X think has answered Pretty much the question sc far as this unfair competition is concerned. I think : Mr. Checsman Speaksthe thing that Dr. Klein had in mind and what he intended to say to this group was that he complimented us on the fact that this Industry has led the way In taking steps within our own or see eviganisation to clean our own house rather than to be forced to do it by some gov ernmental agency. . I interpreted his expression on that subject as ,being complimentary to this industry for the thing we were trying to ao to ta^e care of our own situation. .1 think ho feels tnar' way. Chairman Callahan:--Is there any one elre who was at that meeting the other day who would like to say some thing? Mr. Roll's Reactions some,Mr. Roh .--X,- of course, think Dr. Klein's remarks were more or- less gen eral. I don't think that he or any other nv*n could, make them any other way. When I came out, after hearing DrKlein's talk of an hour, just naturally I wondered what X was going to take home to my boys, because when I get back home they say, "Well, you went to the convention and spent three days--what did you get out of it?" And the-y say, "They certainly ought to be able to give us something down there." So, knowing that they would hear about Dr. Klein, I just--in a few sentences--summed it up in this way. I felt that he came here and gave us a pat on the back for what we were try ing to do through our various activities, particularly unfair competition and clean ing our own house and taking care of our own ethics; that, after all, this whole situation was brought about through cur own attitude toward business--domeslc and foreign--and that we were now suf fering the reuslts of inflated values and all the things that we did in the five years that Mr. Bennett referred to. The thing that X thought he was try ing to tell us was, that after all, we were responsible to ourselves,, and while he didn't minimize the government's position in reference to these particular times, he . our respective territories, and the results that we achieve 'in the different sections of our respective territories, and what it ie costing us to get that business. If there is economic waste tnere and there Is a larger volume of business with lees ex pense in another direction which can be increased, I think we are reducing waste' and getting our nouse in order when we are more effectively, more economically . and more profitably covering our respec tive territories, which means nothing more or less than the exploitation, of our produces and our wares, ana d think that is a message that was wen worth the time we gave to Dr. Klein, I think we would all pront by taking it home and1 giving it serious thought from this hour untu we reach our respective destcs, V Mr. Maston:--The Doctor failed to hit the very serious thing tnat we are facing todayi which is over-production. I think that is the trouble with most people that are talking today, and maybe I will be in that group before I get through. The truth oi it is, we are talking about over production, and they don't touch on It. We all know that we are working un productive fields. Every, sales manager here knows that, and he is doing it be cause he is trying in some way to extend his business, the company's business. He knows that he is handling it at a loss, but he figures that in some magic way he is going to put it In one pocket and show a profit. It Isn't going to be done very successfully in the future. It is going to crowd some of us back into our natural territories. That is the answer. You are getting a lot of competition in your various fields today because men are marketing merchandise in markets that they are not entitled economically to go into, and they are making prices in those markets that would mean a Joss to the man in that field if he attempts to meet them. Now, when a man Justifies those prices because he says, "If I get enough produc tion, I can get by by taking this market," there is something weak in our business structure. How to get at it, how to cure It, I don't know, because you are getting back to the Individual, the individual company. . It Is fine to "Let George do it" and let him pull out, and after, I am sure he is out, I will take my time getting out. Mr. Bennett: I know-that Mr. Maston . had a long experience in the save the surface salesmen's campaign in the Chi cago district, and especially In the effort that was made there to educate the retail salesman, the man who actively contacted our customers, and I think that-experi ment was carried oh for quite a long while in Chicago, and perhaps Is still being car ried on. Dr. Klein spoke of that. It is the weakest point in our whole structure, the character of retail salesmen who actually hand our goods out to the peo ple who are buying them, >1 was hoping that Mr. Maston would say something about that feature, and I wish he would. Chairman Callahan; I would like to make a trifling correction there. That particular survey and study of retail mer chandising was done . in Louisville, Kentucky. Our city was taken ae:.;an American city of the beet average to make a study and a dose survey of all retail conditions. I think It took the gentlemen three years to do it. Of course, it has nothing at all to do with conditions now, and the retailers, I guess, are not re sponsible for our depression. I think we have given enough time to Dr, Klein's address, and' we will step I think, personally. It'was a.mistake In not submitting the facts of their con sideration to the membership of both as sociations, so as to have them come here determined to .khow that they can carry on a business- convention and a business meeting while at.-the same, time having their pleasures, ' . . Social Program Too Great It has been my personal opinion that there Is too much expenditure - of effort and too much:expenditure of money upon' the social program of . the national asso ciation. It is .hard'.to- break1 away. from precedent, but perhaps, nowise thetime- . to determine, if we havebe'en-unsuccesa- ful in -having representative business meetings during a week that "is crowded . with social pleasures, thact we- must bold ly make an attempt to - 'BUbpierge the social and enlarge-upon the.,business, Whether that wilt have;: to be ' dofte by meeting when, the snow flies, or just merely by saying that we are-noticing ;.to arrange ..for; any pleasures, I' don't , .know. But.it is something that heeds to be threshed out, nevertheless. 1' Now, that same thought, can.:-bei ap plied,-Mr. Chairman,..to other of the In dividual experiences. -: just leave that point, if you want the discussion- opened. ,'. Chairman Callahan:--We have Mr. Cheeaman' over here on. the -left. That, .generally, is a very courageous side of the house. will -you give- us a- few words, Mr. .Cheeaman? ; ; 'J' Mr. Chessman think Mr. Wilkinson has touched on a very vital question. I have for several years broached the idea of not having our conventions at a, pleas : ure place, ,-We tried It last year in Can ada, and we had pretty warm weather "-we didn't go there late enough in the year--but' we had a good convention. I also started the Idea of chartering a steamer and going to Bermuda, which was approved by some. The steamship lines have taken it up. That-also has a very good'point; I think that- might be dwelt upon by the people who are not - Inclined to seasickness, which wilt be guaranteed . on a trip to Bermula-all right. But, however, as it doesn't affect the head too much, perhaps a little eeo- Bickneas wouldn't bo a bad thlng*~at -least, we could try it one year. ' The Idea of dropping :all .pleasures-- while I don't golf any more,. I am still ' inclined t.n look upon a golfer with the eyes of mercy--at our-conventions would be'a serious error. I have" also'men tioned that, as X perhaps was one I of the original proponents of having the asso ciations meet together, and assisted them quite materla'ly in bringing it about. I have been disappointed with the results. I found that we were crowding too much, attempting to crowd, too much Into one week, and when ,we had prac tically four conventions In the week, It was just' two too many. So, I was rather glad, although I didn't have' any say In the present matter of separation again, /that. we,- were - going to try it again, and. I shall to,ok with considerable , interest on what is accomplished at Chi- ybfego. ; ' " ; /. ' , ;.;,.:`Chairihan ' ''CaUahan'':-^']^e ''.i-chairmari `.'.might..be .'allowed- to,; make,' ani>'Oto&erva- tlon. I have to sav that under the leadership of our president; Mr, Frayser, we have had a business program here, Monday, Tuesday,, and Wednesday, that will compare very favorably with, Bolld meetings that have heretofore been given by the paint and the varnish people in dividually We couldn't have crowded , In any more business, and more elements certain amount of legitimate - entertain ment but getting away from a good deal of the frivolity which we are very prone to >ret into in places like Atlantic City, . Chairman CallahanI believe my friend, Mr, Kurfees, has some fixed opin ions on that matter, . Mr, KurfeesThe members of our or ganization, and the members of our local club especially, have expressed themselves quite freely along that line, that we spend too much money on conventions, and I suggest that we g;et somebody like Charley Roh, who put over the wonderful financial plan of the association, to think of these .things very seriously and, -if possible, re-, ,duce the expense in some way, if it meant cutting off some of the social features. , .1 think most of us come here for bust-! Kr ? ness purposes! and I believe that we could Tv? get more out of it If we paid more tentlon to business and lass attention to golf and such entertainment as we had last night, spoken of by Mr. Watson. But, this may be all wrong. I think our sec retary this morning said that there were quite e number .of people here thftt were taking on the entertainment that hadn't even registered. For some reason or other, they don't register. Maybe the price is too high,, 'll so, we might think of that as we go along, * *- met amour tndica than : jircuh ndiap bat h tog m Tha fear, strong - Onp asked in wi ' Chairman Callahan--One of the gentle* mnr. who will occupy a prominent part in the leadership -of our Industry during the coming year made reference to over- pro duction. I am e-olne to tell you that I was invited to the White House about a month or six weeks ago to discuss over production. The President said to' me. mown j i saf believi thing while am tic-n is V It u "You gave an address down in Tennessee at the Industrial congress and spoke on actual over-production. That Is a matter I don't get very much information on. I am more interested In that aspect of our case than any other. . I would like to know how far you have gone into it and how much Of a survey you have made, and how much of a study you are able to report on U/` - I told him from the data I was able to procure I felt that we had a production capacity in this country that would be of a tl were r they s though movini were i I-. see exagge square get in some, ] able to make and produce 50 percent in excess of what we consumed In the peak winter of 1928-29. I think that particular ly applies to the paint and varnish indus try of the country, that If everybody was working at their peak with the improve ments we have p 11 made and the enten- s Io t ia we have all made--X felt that ap-; plied to steel. I knew that It more, than applied to the mining of coat, either hard or soft, ; He rather acquiesced In those conclu sions of mine, but he said: "What would' yon do about it?" I outlined a plan very much like Mr. Swope presented at that electrical con vention a couple of weeks ago, except 1 went farther and said that we would have .to limit production and likewise exercise jther with : Then, Wo ge wester earth's tng.. i ipeakii >roduc javen1' Peop >y fea; jxd th 'ear, a elves ' So ll :he m orse wondei a moratorium on the introduction of any new machinerv on labor-saving machinery .'.tratll we. would catch up, which he at once . Jealdr M'would . bring about a rebellion in '; the minds of industrial leaders." And along the lines of each organization and association being organized, as Swope outlined, I said: "Quotas ought to be jhls tn- ). the i.s ev :hls -or Tor .hb ;ot a >xampi "if the given, and ask people if thev would be satisfied' If business could be restored .and confine their output to a 60 percent capacity for two years, or Until that Fear,' IHope. tptlmls >rueh i agency.- through its officials* lax that Instruction." would re Inintr whethe He said, "Do you think you sociations tight enough to make have such a afes-*". evered didn't think it was all the government; that what he felt would bring about bet ter business was that if we all went home over to the other and wider subject, , of entertainment and enlightenment than . quest that would .be obeyed?" - namely, the good of the association, which he has provided us with. I really think can be frank, and give us some Ideas and : this meeting will ' compare very favor- . I said, "I don't think so." Mr. Swope hadn't yet given his plan and acted a? one one-hundred and twen suggestions that will add to our field of ably in the way of a contribution to the But, MeAdoo had outlined a plan, and' OIL. PAINT AND DRUG REPORTER October 20, 1931 39 thlng.l|M8ernard Baruch had plan, but lt: was what I am'trying to" express, and then-. very, well and must have been master Let us make good resolutions, but when . fol-K^^Marlng the war when everybody took It would be most disastrous if you at- fully delivered, and which must be the Dr. Klein tells us to sit on the bulge, will -|*rcerg, and It Was at that time to In- tempeted, to do It. If we were to make result of a tremendous amount of work to we have the courage to resist overselling ivlngrlfHcrefise production rather than decrease `a survey of; the industries of America, which only ex*presldents probably can at at that time, or wm w again fool our iresKtfSBlli'ao. that the Baruch experience wasn't' we prbbably-.would be amazed at the In test, The amount of work that-la given selves with the "old army game" that this haps.^KB very much value. We then had a war crease in. the , coat of .plants during the without stint, the amount of time, the boom Is different from the last one and o. I flWMiltlon, an Increasing demand as against ' lost twenty years, the last .fifteen years. :expendlture of private funds, the work will last forever? That was my interpre yoti/Oaw: decreasing consumption and purchasing That represents an Investment of capital, ' that is done by a president, certainly I tation of what I think he meant by sitting you.'^^fewer. . of money, that must be employed, and if do not believe is ever half appreciated, on the bulge, reelf x was just wondering if this .trade we curtail' production it means .the clos and .1 believe that President Frayeer Next came the simplification committee rfng&^Brg&Tueatlon of ours would be s&tiefled - do 50 percent of the business that they re doing in 192-S and 1929, and work ____long that basis until the association resI-.`>Kpuld allow orders to be increased. 'TTfcOf course, Swope, as you know, rec- "mends that the Federal Trade Commls- \ be made an agency to tell each line industry how much they should make id when they should make It, or that is Department of Commerce be clothed - 1th that authority to instruct organized sedations of each kind of an industry rnue inn1' ^4 so-and-so, ount.4 i! Wl, that fs going a very long distance we arty frith the free competition and free rein that we have always had, and -I will say l&njoyed for generations. So, the Prsal Eoent' rely, ient was enough interested to ask me jo make some study of the Sherman act ting 3 bid Clayton act to see what Interference that- Mild be had in that particular direction. Jger 3 flora ' The gentlemen wanted something said i-..the matter of production, and .1 reftt tion nought X would just give you my little experience at the White House, I am go luse ing to call on a man to discuss that sub* last A let who, I know. Is very capable of doing it, Arthur Somers, ing of those plants and the loss of every dollar Invested, and perhaps the rulna- tlon of many-,who have,- invested their, money. ; , , ' " .' 1 think our .slogan should -be to increase consumption and to do everything in our power, and the way was Indicated this morning by your bureau, by increasing consumption among the people who have and can afford to expand their consump tive powers, and try that in the hope that it may quickly bring about a better and a more cheerful, and a more pros perous condition. .Let us, Mr. Chairman, be optimists.-from today 1 . ' . Value of Clean - Up >.1. Mr'. .McGregor :~Z have surely-been in terested fn what has been said both this morning and. this afternoon. I have felt that we might be able to sum up. Into a concrete .form some of the ideas ex-. pressed. I think many of the rest of uS. have-felt Just like Horace Felton there when he stated he would like to know what Dr. Klein meant when- he said, "Sit on the bulge." . 1 .think the-Idea was that in time of prosperity we restrict our ex-, worked, and President Frayser's address certainly Is deserving of the highest praise because of the great amount of thought he gave to our problems. Mr. Horgan'8 aiddress also read very well. I think Mr. Horgan has done a tremendous amount of work- As some one expressed it yesterday when I was really here, if you can reduce from $500. 000 to $200,000 in one year, you are going some. And in addition It was necessary to- move the organization, move the peo ple not to a foreign city, but probably away from their home city. That is something that should be very much ap preciated by ua all. The headquarters office .do a tremendous amount of work, and they are probably doing more than --following Dr. Klein's suggestion that we get down to simplify our work--but I must say when I heard, the report of the simplification committee, that adding four, eight, or ten colors wasn't adopting either their title or Dr. Klein's recom mendation. I don't quits remember--my notes aren't very full on this--but I think they Cut out the pints and the quarts which are the big sellers today. At this) particular juncture, before Mr. Horgan could get up, Mr. McKaig warned everybody that banquet, tickets would have to be exchanged for permanent tickets. Then the very important educa tional committee report went in with the best story of the day told by Mr. Trigg. As I remember that story, there was a man who wanted to buy a hunting dog and when he went to buy. this dog, they said, rrWe won't sell you this dog because he comes from the same litter with two others, and we will sell only the three dogs." So the man bought the dogs and he went home with them. The next day he went hunt ing. He didn't know what to name them, so he named the first one a. conscientious lent ,ter- the yet link rds, too a :hat^ one ta l if iere S go- s! t The Rule of Fear , Mr, Somers: I haven't any more ex perience, I am quite sure, .than many of the men In this room with this very seri ous question, and it would be a bold man Indeed who would stand, In this presence and attempt to offer a program that would Indicate a solution of our problems and show the path out of our difficulties, in yiew of the fact that this very matter has engaged the minds of what we are pleased to regard as the most competent men in Eton ' United States and in the world. :iigeo*ssn>- / gif our present ltwe confined condition were local, to the United States If of was America, w might very well properly sit down and turn the searchlight upon our an't # Inner selves and endeavor to ascertain the : her v >ns. , :tea . on- : f .a iln;eal v one jraat Is wrong with us, but when we Jk abroad through the world and find existing everywhere, I repeat. It ffould be audacious for one to attempt +o .solve the problem. .1 was very much interested (and we are getting back now to the subject of onr opening discussion) In the address delivered by Ur. Klein the other day, and wnilfl I accepted most of it as an obeerva- my | gained by his experience In an of- iln-1 trial capacity, and general in its tone, ' i " 8aie time we could hardly expect that he, as a result of hia constant study, iud tell us Just exactly what we ought [0 do, 1 There are so many things that are Inrolved in this discussion that one would [scarcely know which was the most im portant to dwell upon. I was at a meet ing the other day (and this Is not in con- l&denee) at which the financial situation panslon. I think he left unsaid, but Im plied, In time of' depression' there Is-no bulge to-sit on and then we- should'aif on a tack, and you know-how uncomfort able that is. He expressed that further by stating that .the way- out was work. It Is a most unpleasant way out. I have occasionally tried it. ' ' r ' The second speaker talked' of the clean up and' paint up movement. 'It is one that addresses itself to1 general improve ment. That means -general work. The figures he has submitted are astounding. They show that riiany have been em ployed in that, activity. Dr." Plumb, I believe, has a net of $21,000 with which to direct this activity, which is one that comprises the coordinated, organized ef fort of several million. That is a big movement; $31,000 will not go far. . In our organization I Arid it Is 111 un derstood. I find in our national life that there Is consideration of the dole. Many of us object to the dole. We find, I think, the objection largely due to the word be cause we are collecting .funds to be dis bursed to help out the unemployed' this William Zinsser fall. I am sure that no very definite, generally understood procedure has been Cohventfon Reporter evolved to handle the disbursement of . that money that will eliminate It from what may properly be called a dole. their share with limited facilities forcedupon them, as they have been upon all Dr, Plumb has developed an organiza of us,' by a leaser staff, tion ready-made that can be fastened on Then we come to Charley Rob's address. any community that will result, in a . I tell you, we talk about Secretary Mel large amount of work .that will result in lon, but we don't need him In the paint disbursing, funds .so that they will be of industry. > Anybody, that can publish a benefit .to a community, so tthat no one report where he says he has less mem will be receiving a dole, ' bers and less money and then have .a I am sure that our whole country is greater surplus, can tell us how to get now looking-for a Moses, one who will out of this depression. show the way out, and I am sure that , member of the asociatlon; the second one he named a regular member of the as sociation, and the third he named a stayat-home member of the asociatlon, and they ran true to form. The conscientious member came to meetings and helped and worked and tried to find out what really was at the bottom of our troubles and see If we could get some optimism into our souls. The regular member ran true to form, too. He went out on the golf links. He read about it in the Conven tion Daily or when he came home he said, "I suppose they had the regular `bunk' today I" The stay-at-home member didn't come. He Just stayed at home and howled! Praises Educational Committee Seriously speaking, that educational committee (for somebody who doesn't know about it, as I don't) seems to me to have done the greatest piece of work of any one body of our association. They started In, as I understand It, .many years ago, when paint waa Just paint, and they started In to try to teach each other what good paint was, and when they had good paint--I may have the sequence a little wrong, but I am trying to develop a thought*--they went around to see the architects and told them that there was a difference between paints and a difference between varnishes. Then they went- out Into the field and started to raise flax, and when the agricultural col leges here, according to the linseed oil committee, were so hipped on the sub ject of flax that they didn't have to be taught any more, they went to see what they could do with the soybean, and when they got through with the soybean, they pu s being discussed, and I was amazed the clean up, paint up, fix up movement "Whereas" and "Here's How" started to go after the tung question--I it a statement made by a president of jne of our largest financial Institutions lid --to Y&tah *1* that the reports made. a.t-1 * fly* ^Seral Reserve Bank, who have t_;1 1 method of knowing approximately the . 'ai3?iihiingnoJiMcuanlatetHdof!t h>m.<ao+tntehyerien wcaosns.st.ao.n_m_t e1c_th_ir_ic_n_ugl_a_mt_i_oo_nre:, than *700,000,000 of federal .notes out of droulatlon, and It Is a well known and ' fort!aputed fact that the amount of gold -.a that has been removed from the circulate "j j T i tog market is enormous, is ,3 . means that people are ruled by inaugurated over the country, will help that situation,, f Chairman Callahan:--We' hdve con sumed all the allotted time. The closing note of Mr, Somers I would like to leave with you, that we step out of this cloud of ` pessimism - and bring optimism wherever you go. Of course, that is a* platitude and wo hear that every, so often, A few of us at home have been practicing different slogans because a slogan may get farther than a book. We hear on all sides everywhere we elt now Another highlight that ehould be men tioned Is Frank Cheesman's address. He thrilled and moved his `audience again by the first of his several exciting appear ances, In which he suggested that section D, article 49, be changed by adding the word "whereas" right after r'here's how," This was enthusiastically adopted with wild acclaim. Mr. Horgan then rhade an announce ment that banquet tickets if not already exchanged ehould be turned In for per manent tickets. don't know whether that Is oil or mineral or what, but they went after It. Then, they started to educate the trade, Just this way, in an association. When they had educated the trade, they went out to educate the people, taught them to save the surface, and that paint wasn t a luxury, and I think it can be almoe-t said that in our Indutry we haven't been a luxury, and previous depressions haven t hit us half as hard as the rest of the inwlde depression, we have been equally dutries, but, of course, with this worifl- iat[far knd they no longer trust even our adays, "We are going Into ons hell of 5 rtrongest institutions. a winter this year, this is one of the Only today, In this very hotel, I wasr worst winters that ever was." Well, In fBsed whether a man would be Justified the White House we wore discussing just to withdrawing hie money from well that verv same Subject, and it was agreed- le- fcnown commercial banks- and putting it It should be met In this way---whenever in , to safe deposit vaults. I could scarcely It is said and on all occasions, answer it WIeve my own ears, but that Is the in this way:--There la no occasion In this o- i totog that has been going on for a long country of ours for anyone getting cold t -*3 *s contributing, to my mind, in this winter or going hungry. There Is a tt small degree to this calamitous condi- plenty of coal and there is plenty of food, jy. i w In which the world finds itself. Therefore this country, fundamentally is ie. % It is true that everywhere we go we ee r rte evidences of an utter disregard of the on * wttiaj conditions that exist. I don't know still in good shape, I thank you all for your-attention and the co-operation of-those who spoke. ' i't' & time when our streets in large cities (President Fr&yser resumed the re5 in w; ch i wre more congested by automobiles than war are today. I know of no time, al- . though I am not a patron, when our ttovJng picture hohses, the larger houses, chair.) :. . President Frayser: Thank you, Colo nel Callahan. The next feature of our Then we come to the credit problem which Mr, Kenny so ably delivered, and this really was a masterful report, and In case any were not here. It is not in the printed reports but It will be printed. It means money for you. It is a real job for your local club, and any local - club should be ashamed to have to wait for Charley Caspar's committee to tell them how to do It. Your local club, forming their own local credit club, with a local affiliation that they, can get from the National Association of Credit Men, will do a work thoroughly, will do a work well, and can be correlated with the other clubs to give you a credit service that Is not 100-percent bunk but 100- percent efficiency. Now I come to Dr. Klein. What I think really wrecked us was our over Then the Gregg Memorial was put through. After that, Mr. Horgan got up and announced, "Don't forget vour ban quet tickets have to be exchanged for real tickets before 6 o'clock. Then we called on the scientific bureau. If you men weren't here, you missed an awful lot. That -is what I am trying to bring out to you slackers who weren t here* the other day. The are here all the time. Look at the won derful discussion they gave us'. And Dr. Gardner told us that work was going on all over the world in the paint and var nish field, work of a. serious nature^ work turning our efforts Into new channels and new ways and new processes, and That our association was not satisfied main Idle and think that we were going Sr with methods and with ways that ws j w -j were more crowded than they are today. Mi'-i I-s.w-in our own cities, and I am not ; exaggerating, lanes of people, half a to:; square long, awaiting an oipportunlty to in - w to see what appears to them'to be tsane fascinating, and to me some grue- r , Mms, revolting picture. Many: f our : other places of amusement are crowded with'young people, all pleasure bent, rheii, you ask, where Is all this gloom? Wa get our crop reports and find in the western country an abundance of the DKarUi's produce, and yet people are starv- IfCng., AH the money In the world Is here. Ticking in general terms, all the food [products, and yet we hear of people who Jhaven't either. ItPeopls are afraid, they are dominated Id4 piT fear. Those that have will bid those that would spend, I not spend; very much r Wi are getting ready to possess them- lelves of it. I So It seems to me, Mr. Chairman, that Ihe.-more we discuss these things the nwre.-the picture seems to cet, and I program is a summary of the conven tion highlights, William Zinsser, of New York, kindly consented to give us a resume of the highlights of the con vention, ... As Mr. Zinsser Saw It . Mr, Zinsser:---I very much agree with Mr* Somera, that a note of optimism Is not only required hut necessary. I am not among some of the sponsors who thinks that by next spring we will con sider Gandhi a well-dressed man. Any thing that I now have to say I want you to take' with a great deal of seriousness because this Bumming of the convention highlights is a very important problem, and I will tell you how the Job was wished on' me., George Horgan telephoned a couple of weeks ago and sold, "Bill we would like you to discuss the highballs and the lowlifes of the convention," I said, "What was that you. said, selling doctrine. Dr. Klein warned us about that. We were told that to buy anything and everything was our duty In life J buy them and throw them away while they are still good and buy some thing else Instead. Where was your appreciation of American business sagacity and infallibility If you did not buy a new car or a new radio every year? You didn't buy more soap every year, you didn't buy more paint every- year. The house was deserted, as Mr. Somers- said, and how was the money spent? The reckless lived well, made money, took Mediterranean trips, went to Florida and played the races. The wise and the thrifty were very much wiser. They bought common stocks eo that in a few years they could live twice as well as the reckless, occupy the Prince of Wales suite on the "Berengarla" Instead of. tourist cabins. Al! of this was going to happen when radio went to 300. We heard this, morning that the busi ness man and the farmer were at last had eone on with for a hundred years., ItBernS to me our sctenUfie Dureau keens us up to the minute even if we don't want to b& kept up to and if we don't It Is our own fault. - They have got the stuff if you-want it Then Dr. Gardner told us that he had a great new use for. paint-- Well, that kind of discouraged my theory of economics a . because it ems to me that if we could get a paint that would dos the plpelnes of oil for the time being, we would do a eretelLj?e; fit than having oil flow through and not be rusting. We ought tr? to TMake a lot, of this--we have got too much of it. But perhaps that Is what Dr. Klein meant when he said f, 1A^,blrfvb we Thft.t gave me a great Idea. Mayoe we can find som and 'bust atl the Then Dr. Gardner showed us a motion picture, and you missed it, boys. When that motion picture was over, we were asked. "What question to asit Dr. Gardner?" and nobody had wader, after listening to Ur. Plumb George?" . ' equal, that they were both flat on their nerve- enough, to ask him who those good jJilff-Tnorning in what I regard to be one fcfithe most valuab'e contributions that pto ever been made to any meeting of Kila-'organization. and with deeo respect or hip eminent nredecessors, if this !s He said, '! want'you to discuss the highlight's and the lowlights of the con vention," . -- . .. I said, ''That-la air right with me.", ' George says that P always say. that I backs. But so are the reckless ,and- -,the ^looking girls were and where he met wise; they are both fiafi^rbk'^htc'ictherV v >jthem1 % I am not so sure,JaEfc.g&bkfeds ' ipJr have the^3au^i^n'yaftod ~ t OttfwlCdmbetrtton:;)''..'; nift-time for this ps^oclatlon to pet an leave-my golf-clubs .home,. and I do. He . xample to other industrial organizations thinks I rent, them down here, but I Tithe Country and to w'ne out the word. don't. ,' . But all tnm-'is' overr- w6*'-ha;Ve-been'' to the circus. We are now back at work. made progresB; we are making more [Fear," and let us substitute the word, In reporting on the first day's session, .. We have learned that we Iprobably know progress; we are looking for things to TSftpe," and eo forward with a spirit of I am going to do a remarkable feat be-: . as much as some of those wise men In do, but one of the most important things pjttfmism. determined that we shall cause I wasn't here the first day. George . all lines, including tatesmen whom we all on the whole program of events, when Tbrnsh away the clouds and pee the silver said to me, "Bill, If you have lunch with idolized as all-seeing, that a salesman is we have spent all of our money to edu- Eton? that must -be there, that one day, me sometime for a half hour I will tell a salesman even if he is' a hank presi cate in science and publicity and adver pbetlier In our time or not. we will stand you all we-did In twenty-four hours.'' - dent. . . . tising, is to Bee that bribery and-graft hvered, and let us contribute every ef- We are talking a lot about over-pro- ' In the next boom, people are going to and misbranding and false advertising Vl that we nosslbly c-'n toward those riu>- ere seeking an opportunity to ex- ductlon. . I think what Is wrong with this spend more wisely, and when they have country Is not much `over-production as ' it we will not have the paradox of today are stamped out once and for all. There Is no publicity, as X understand imd their effort. over-prediction. ' . of too much money everywhere but where It, in our association on the subject of T don't believe in minimizing Prnduc- But anyhow let us start.' We start . it Is needed and urging people to spend unfair competition, until the complaint , because that would be contrary to with' the president's address which read ,, what they haven't got. has been passed unnn 'by a series of four- 40 October 20, 1931 OIL, PAINT AND DRUG REPORTER teen different men, or channels,' and by the time that these fourteen men believe that there Is something-ia-the complaint, publicity is given. And .what could be fairer? I said at Toronto just a year ago that the bad egg Is not one that should be welcomed or hidden under the protec tive mantle of ah ethical association, and I sometimes feel if the bad egg were put out of the basket of fresh eggs, it might be as good a deterrent example as any number of litigations, costly and long-drawn-out in courts, , After that we heard from Mr, Cas par's program committee. That is a tough Job. Just imagine the predica ment Charlie is in when half of the peo ple tell him his program is fine and the other half say it is no good! He doesn't know what to write. Who is going to do that next year; you,Charlie? Charlie, in going over all those cities, you didn't tell me what Hoboken thought. It seems to be, on local clubs, there Is too much looking for the central body for direction which may, however, be the result that, not having any* local direc tion, the central body Is supposed to guide itself to erring footsteps, I think that local initiative should be able -to develop subjects for that parti cular locality to interest the members, and I sometimes feel that the problem of the local clubs is that there are so many contradictions of memberships. You have the manufacturers, you have the dealers, you have people who are trying to sell you goods, not particularly related to your own problems, all trying to- iron out one particular problem which the mass of the membership cannot work out because it is not properly subdivided. Recognition of Mr,,Hecke[ Then we heard from the resolutions committee, and one of the high spots was the recognition of the faithful, un biased service that George Heckel has given this organization for so many years that I can't remember and he probably doesn't, But to me Mr. Heekel's example should be an Inspiration that fair dealing and sailing square to the wind counts for more with our member ship than accaslonal gyp tactics, and he gets further following iMr. Heckel's ex ample. . Then resolutions were passed on to the workers who had done so much for this association--whether their work was criticized or not--that hasn't anything to do with It; they did their jobs. They did what they set out to do for this year, and they certainly deserved all the recog nition they got. Some time was spent by March Ben nett telling the president how the reso lution should be worded. The president told March that it was all right, but March came back with another idea- Then the president told March Bennett again what the executive committee said, and March again gave hts Ideas. Finally the president said, "The resolution will remain as it is and the executive com mittee decided it should be this way," and March was overruled and subsided. After that Mr. Horgan again said, "I want to remind youJI (this was the sec ond day) "if you haven't--------" And,' by the way, George, I have forgotten to do It still. Then we heard from the nominating committee, .who made an excellent choice in Mr, Maston, showing us that our presidents are getting younger but not handsomer. . Then Arthur Somers spoke for th$ legislative committee, which, as he ex plained, works while we sleep, and they have done it for twenty-one years. Finally, and in . conclusion, we have just had an open forum which has been a subject dear to my heart for a good many years. I sometimes feel--and I think you men in the open forum proved it--we get outside talent In here to Lell us how to run our business and we have enough leaders--as was shown in this forum, we have six or seven presidents and six or seven coming presidents and six or seven presidents of local clubs-- to have ufl feel that sometimes in' our own number, if we sit down'and, discuss our own problems and hear each other's views, we may get further because we have the specific data that an outsider would have only in general. There is just one final' thought that I want to leave on what I believe is ond of the things that has retarded the plclcuo of business In paint and every other line, and this is uncalled for hysterical price reduction. You have only to scan the dally papers to see one person offering more than the next, offering to be under sold by the next, betting the next, day we will undersell him. You have the spectacle of men who have been in busi ness long enough to know better say "We are taking orders to keep ourselves busy, but we are taking a loss," If they put up the prices we would encourage the public. Eve*-y time we put them down, they wait for still lower ones to come. It seems to me with the return of op timism and optimism in our hearts, and the right foundation, that we have a right to make money and that we needn't ape the fellow`who ie jumping off the bridge and selling goods at a loss, and we will go a great way toward curing one of the most important ills of our In dustry and every other. Gentlemen. I thank you very much ! '. President Frayser: Mr. Zinsser, we, I assure you, ali appreciate your inter esting message. If I had anything to do with it, I would say that you will be elected for'life as the man to re port the highlights of our convention. Your message wag not only interest ing, but very, very amusing. Mr, Horgan, is there any unfinished nated to serve as your Officers- and trial and tribulation to the secrets business? , General Manager Horgan: There Is no unfinished' business that has been brought to my attention. Possibly someone here at the convention may. have something to bring up. at this time. Mr. Chessman: While the conven tion is in good humor, I would like to read the following motion, to ratify all actions, appointments and resolutions of the executive committee and board of directors'of the association during the fiscal year now closing. I make that as a motion, (The motion was seconded.) President Frayser: Is there any dis cussion? (The question was put to a vote a,nd carried.) Directors:-- Directors to serve for three years* Atlanta, J, L. Girardeau. Baltimore, John Henry Coon, Central New York, C, A. Martin. . Colorado, W. R. McFarland. Los Angeles, George Sillers. New Orleans. E. R. Bernhardt. New York, R. M. Roosevelt. . Oakland, W. L. Turner. Pittsburgh, Adam E. Daum, Puget' Sound, `N: S. Rogers. ' "Washington, D. C., T. A. Flynn. For member of the executive commit tee, three-year term:--D. W. Figgis, Hew York, For treasurer:--Clarence J. Roh, New ark, N, J. For vice-presidents:-- Canadian zone, W. W. Schoales. Central zone, R. A. Plumb. Eastern zone, Frank Bownes. Southern zone, F. 'J, Sampson. " Western zone, R. H. Oakley. For your president:--W. E. Maston, Cincinnati,- Ohio. " of this association, first, because^ kind of stuff I don't handle very ? at all. I am sure you are going to ft a very poor parliamentarian here, ti ing to guide your meetings, but, aft all, I am going to try to do my bit help you get somewhere this coml year. I am particularly interested In flh .was said here, especially, in the op forum. Bill Zinsser told us fiis things in a kindly, happy strain,-i there- was a lot of truth in it U pretty sure that he brought out ma truths that we are all conscious and I hope that during the year, ii can develop some of those things 4 follow the fine work that has b laid out, that we may come thron the next year possibly feeling a lit bit better about business conditio -than we do right at this moment Nominations and " ; Election . President Frayser: The next feature on our program, is one that I approach with considerable reluctance, because I ' realize that through practice and precedence, with the inauguration of the next feature of our program, I am passing on to the presidential morgue President Frayser: You have heard the report of the nominating commit tee, Mr, Chatfield, as chairman. What is your pleasure.? . Mr. Callahan': I move' that the re port be concurred in. and the secre tary be Instructed to cast one ballot for the election of those named. (The question was put to a vote and carried.) (Mr. Maston was conducted to the All presidents have an official fai ily. It seems to be quite the right fill to introduce them to you persona! and that is the first privilege I hs Mr. Schoales, I understand, Is not the room. Therefore, the first get man that I will ask you to meet,' though you have had the pleasuri hearing him this morning, and he? a real message to you, is Dr. R Plumb, .central zone vice preside! of our association. I am' conscious of 'rostrum by Mr. Caspar and Mr. Wat the fact that just one year ago you son.) . Officers Introduced \| handed to me a commission. How I have discharged that commission, how carefully I have guarded, it, how faithfully I have served you remains to be seen and for you to judge. .- I President Frayser: Mr, Maston, I congratulate you upon being selected by our organization to assume charge and direction of its affairs during the next year. With it you are assuming, I assure you, duties and responbllltles which you recognize. May I also assure Dr. R. A. Plumb: Mr. Fresiflet assure you of my very best effort! the very best of my ability and? fullest degree of my capacity, to n your, administration a success in e; way`you may ask or command jr you that along with those duties a . President-elect Maston: Dr. Fh great deal of pleasant activities which .will you come right up here? I uni will undoubtedly broaden your -vision . stand it. is the proper thing to Uoj and increase your usefulness both to ' the officials up here so the boys' your, industry-. and your associates. get a look at us. <; And now,-as I turn-over to you this The next gentleman ft gives & gavel,-which is the .emblem of author . great deal of pleasure to introduci ity of this association, I-do so .with, you, so you will know him more i the.very.best wishes for a successful , mately, is Frank Bownes, Eastern | and:splendld careerr-as the head-of the vice-president,. .-I .National Paint, Oil and Varnish Asso- Mr. Bownes: Mr, President''*! , elation.-With my . best wishes. . members of the National Paint,; and Varnish Association: I havefc : r New President Speaks - coming to these conventions nowj1 quite a few years. The first one ft* . President-elect"-.Maston:' Mr: ex . ever attended was held here Itu President now,: I:suppose it is,'.and lantic City. I have always felt tbs delegates to the . National Paint, Oil , got a -real inspiration by attend and Varnish Association: I am at a these meetings, and I attribute a & loss to know just what is expected-of deal of the progress that I have n a man. who;-baa - received the: high in, the' industry to attending tl honor.-to serve this -trade association meetings. .. as president. "Watching, the others in .. Mr. President, I pledge my win ducted into this- office .has just-been hearted support to you next year. I 'the run. of business -to me. heretofore, alize that there is a good deal of v but.it is all different and'very-much ' to be done. . ii more important now that I stand here President-elect Maston: I anY Wondering Just what I can do in some ; small measure, at'least, to Justify your faith and confidence. It has been a real pleasure to serve in' the rank and file of the industry, and I confess to feel ing very much out of place up here ac going to introduce the next man; cause he has had the honor of bi re-elected. You all know him well is. the Southern part of this coiu tion--E, J. Sampson, Southern, x vice-president. >' H. S. Chatfield' Reported. Nominations assure you this,`that, with my llmitations, I have given you the best there was in me. I am not going at this time to attempt to again express my thanks to those who have worked with me and assisted in other ways, 'but I do want to say.this 'to you, that I have gained a broader vision, a riper ex perience, a greater degree of loyalty, and dome Invaluable friendships that makes the honor which you conferred upon any man selected from your ranks very much richer for having knowledging and accepting the respon sibility to act as your president for the coming year. ' ' \ During my -term as vice-president I visited, quite a number of -Central zone. : That gave insight into the duties of clubs in the me a little a president, .: . Which'was so admirably handled last .year by Philip.Frayser. It was a high privilege to serve with . :group of last year. the -executive ... To take - up - your time lauding the -association-or Its officials or member ship seems -quite unnecessary. The National Paint, Oil and Varnish Asso ciation stands high -in the group of American trade bodies.-who are. striv ing for higher - and finer Ideals in _ American business, believing that by doing go .they can contribute much to the happiness, and security of the in dividual, ' . . .' . . . Mr. Oakley, the "Western zone M president, is not here. I understs that Mr. Figgis is not here. I wo like to have Charley Roh, who been re-elected treasurer, come iif think we are going to have a lot conferences with Mr. Roh this a ing year. Mr. Roh, will you come and just let us get the official b together? And, Mr, Horgan, you come on here, too. We are going to.worry a lot, too, this year. ' /i This is the group, gentlemen. ' other members that were elected not here. It is going to be mighty to work with these gentlemen, an know I am going to have the sup; of each of them, I am.going to trj plan wherever possible to keep men around so that they will visit s clubs in these zones. We have he served you to the extent of his ca If the National Paint, Oil and Var a lot here about the fact that we b pacity, be that much or little. ' nish Association has been well, built, got to keep in touch with you, and It has been a pleasure to work with and I think it has, or we. would hot be are going to try it. those in the association, and I wish it were possible that every member of the national association could be as sembled In this room, that I might in a way manifest my appreciation of what has been done, it has been a job, to be sure, but what is worth while that isn't a Job? There is no question but what- It has taken its toll, but with that has come compen sation, and again I say to you that it . has been a real pleasure to serve you to the best of my ability, and it shall be a life-long tnemory well filled with deep appreciation for the honor which was conferred upon me by the Ha-' tional Paint, Oil and "Varnish Associa- here, we should come through this tor nado of business and social strife with our equipment intact.' Our stability, however, in a real storm Is now being tested. Never before in our history as a trade association have we needed the assistance of each company and every individual to keep our business ship'in safe '. waters^ As- we do now. Your officers,- as you might expect, will do everything in their power, but they will need a hardy crew, and' that crew must be made up of every able-bodied man who depends upon the success of the paint and varnish business for his livelihood. The call Is hereby given, every able, and willing man on deck! I am not going to bore you more, I hope that we will have ent to do to keep you occupied and If I sible . bring some new slants, j ideas, see if we. can't pick up somi the things that were left here wifi by Dr. Plumb today. That seems ti a good time to put them to-use..; Then again- we want'to .talk to membership. We need your sups Without it we will have no clubs.. National Paint, Oil and Varnish A elation can't go along without the t who are at the front, so we ask that support, and I am confident are going to have It, Thank yoi tlon. .. . At this time, ma#; we-have'the flh0-! Stand' by! 'J Now, gentlemen, that was just a lit (Announcements by Mr. Horgan President-elect Maston: If thef report of the nominating committee? tle prepared talk: I knew I would have no further business, the convert Mr. Chatfield: Your nominating com to have something like that, I just had stands adjourned. - . <? mittee has the honor to present the to have something to hand the stenog (The meeting was adjourned at; following ticket, the gentlemen desig rapher. I think I am going to be a o'clock, " U Business Is Buildin Manufacturers of Paints, Varnishes, and Lacquers are throwing off the "Burden of Fear" and going after business. This industry looks-to the Oil, Paint and Drug Reporter for information and advice every week. There is no better medium through which you can tell manufacturers how you can help them get business. Sendfor Rates - - - - - - 12 GOLD STREET, NEW YORK PAINT AND DRUG REPORTER October 20, 1931 41 IThe Entertainment Side of the Meeting ^Atlantic City is known as the "playiwund of America," and, without in Ladles' Golf--Mrs. John V. Hastings, jr,, chairman; Mrs, T. E. Aiwyn, tie slightest neglecting* their business. She delegates to the forty-fourth con-, fcsmtion of the National Paint, Oil and Annual Banquet Ifamlsh Association enjoyed It so(tkih. However, it was less the city The annual banquet waa held in the Renaissance room ' of the hotel, tod more the entertainment whfeh had sen specially provided by a hard Wednesday evening, following by the annual ball in the Venetian room. working and much he-thanked com mittee that made life so worth while, Mr, .Frayser Retires .. wives, daughters and friends who were Sot honor-bound to sit in on business Sessions had the well-known time of President Frayser;--It is Indeed fitting; that this inspiring scene should be the ` culmination of our week's activities. The . [heir lives. week has been ; spent In business ' and ^President Frayser's luncheon to di pleasure, and I am sure that we .have rectors started the social side, Mon- _ . all been greatly benefited by our com-, Iky, October 5, the affair being held ' fo the Japanese room of the Ambassa ing together, shaking hands and extend-, itig friendships that have been made on . previous occasions, .. . . dor. J. B. Keister and E. J, Cornish, As I am now about to perform the V last official act of my administration, X would bo remiss If I failed to register at this time a recognition'of a'debt of' gratitude and. appreciation which I owe ; the members of this great body for the :' splendid co-operation, for the- splendid recognition, for the splendid assistance in every way which' you have contrib- 1 uted, not only to me but the members of your organization. It is always a privilege for the op- portunlty of service. Service, taxes its. tolls, but It as. well returns, dividends. Service broadens our vision, me.lows our selfishness, and makes us better in every way -because of the privilege to serve, ' I would be remiss indeed if I failed to ex press the appreciation of the splendid attendance, of the splendid attention, of . the splendid entertainment and activities which we have enjoyed during this meet ing this week. ,' As the final act of my administration . as president of the National Paint, Oil and Varnish Association, I now turn the . gavel over to . my good friend, R, B. Robinette, who -will now Herve us . as toastmaster. ' . .. nection with tills affair that we have at tended this week. I have bee ntold that our immediate pdbt president, Mr. Frayser, was caught between floors in an elevator today, and was obliged to ciimb out of the roof and slip onto a floor. If you want my' opinion, I think that la letting him out easy. This is the close of the forty-fourth annual convention of the National Faint, Oii and Varnish Association, an - organ ization that every ono of us who has had anything to do with during these years have learned to love. It has been the basis of the formation of many close friendships, many attachments that we will carry with us to our dying day. I can well appreciate the feelings of Mr.. Frayser this evening, because it isn't so many years ago that I, too, served this association as Its president, and I 4. ' \* ' ! V /- . 'As , ' ' .Vt'vVr- ' A Ks*' . Sf V/ . S. French Reeves I'Chalrman for Arrangements and En- Cj' tertainment Mr. Robinette Presides Toastmaster Robinette;--First of all, I think it is only proper Bor me to make an explanation as to why I am serving as your toastmaster this evening. There are two good reasons why I want to make this explanation. First of all, I think that the man who waa to have been toastmaster tonight la entitled to an explanation as to why he is not here. Ernest T, Trigg, of Philadelphia, a man who has occupied every position of im- U.. . R. B. Robinette Toastmaster at Banquet Jfoimer presidents, paid tribute to Mr. well remember the feelings of mixed, re (Myser's work. A meeting of the di- morse and pleasure at the culmination Irectors followed. That afternoon the ladies were entert&Ined at a reception and tea on the ft-''<! toof the Crane building, with Wilbur of that service; remorse because I had to step down and out from the position that I had been honored with during the year--pleasure at being relieved from the - duties that the office naturally in n Evans, baritone, as soloist. volves. bSI nVj ?! ^Monday night the formal opening exercisea were held, an account of which fc to be found elsewhere in this issue, (Ms being followed by the reception But, after all, I think every one of us appreciates that this is a trade organiza tion which occupies a position among the trade organizations of this country of which may all well be proud. >:s to the President and Mrs. Frayser and I .recall' very well the year that I was the president's ball, ' retiring as president, when the then. As rsta t- _ . . sistant Secretary of Commerce made the !& Pajamas Were in Vogue statement at a little luncheon meeting that we were holding during that con up ?`Then, Tuesday night, after a day of. loti iu&cheong and bridge for the ladies, co tame the "Celestial Pajama Ball" in vention that he ranked the National Paint. Oil and Varnish Association as one or perhaps three or four that he might name of the leading organizations, the leading .ne l toe Renaissance room of the Ambassa- . trade organizations of this country. He b< dor. Of course, what with modern l Bodes and feminine custom of wearing- on; pajamas of brilliant design and' color ryj it bridges, teas, cocktail parties, din- placed us in that group on the basis that we were -doing real constructive work, end he enumerated a number of things that this Association is Interested in, with which you are all familiar, that . q nere, etc., this could not have had such ! caused him to place us in that position. A fe great thrill for the ladies as It did . I felt that that was a great honor to :y jj awl tpi3 tor some of the men, who'seemingly ' had spent much time and thought on the creation of . their costumes, Others, more blase, simply dropped into the this Industry, and X am sure that we are all proud to have been placed In a posi tion as high as that among the trade organizations of this country. Another thing that I am pleased about trj mfln'fl shop of the hotel, bought some* noy thing or other for a couple of dollars Mrs. S. French S. Reeves is that in this organization we have seen fit to have with us during this week of , : yj and announced to the world that they hel were dressed--or undressed--for- the a h party, Good time? Had by all. Dancndj tog? Until the wee sma.' hours, Hostess for the Convention portance practically In this industry, was to have 'been toastmaster tonight. He business collaboration, our wives and sweethearts and daughters, and so forth, because it adds much, I feel, to this sort of an occasion. "We are in business ses sion during the day, but every evening }} The delegates worked hard at two U ;i business sessions Wednesday, but the not ladies adjourned to the Seavlew Golf .f jS Club for their tournament, returning , a :in lime for rest before the annual ban- was called to the service this afternoon by the President of the United States, through the Secretary of Commerce, Mr. Lramont, for a conference this afternoon in Washington. When that developed, It was necessary for them to find some we have the opportunity of mingling with the ladies, and I think all of us appre ciate the influence and value that they have been to us, I am speaking now for the men, in every accomplishment that we make, whether it is In business or mid quet that night. one to pinch ,hlt, and that is why I am industry or- the professions. They do dthi ii. Following are the committees which ; to* had charge of entertainment and other arrangements for the convention:-- here tonight. , That Is the first reason why I make that explanation. The second is that I' am not willing yet to admit that I have contribute a lot and it surely Is a beauti ful flight to stand here, as I do tonight, and look over this great gathering, in an industry in which color seems to be the arrived at that position of antiquity in predominating note, and it certainly is ip Committees in Charge * [['General Committee--S. French Reeves, chair* hnein, and Mrs. Peeves, hostess; Samuel B. f BoTren, Jr., and Mrs, Bowen. Horace 9, Felton liad Mrs. Felton, John V. Hastings, jr., and Mr*, Hastings, Charles P. Jarden and Mrs. Jarfieu, William H. Jarden, jr., and Mrs. Jar den, Samuel K. Haflack and Mrs. Matlack, nBifg&r S. MoKalg and Mrs. MeKalgv Ernest T.' this organization where I should be called upon to serve as toastmaster at the annual banquet, - I have gone up through the line. 1 have been a president, and I have occu pied this speakers' table at the annual banquet, but I hardly expected that I would yet be called upon to serve as toastmaster at the annual banquet, So, reflected here tonight. It is my privilege to present to you the first speaker of the evening. There was handed to me a note as to this man's accomplishments, history, and so forth, and I have read it over this evening with considerable Interest. I find something unique about it; coming from Ohio as I do, I find nothing mentioned with refer Tries* and Mrs. Trigg, Thomas A. Williamson with these two explanations, I am occu ence to the speaker that indicates that he uii'Mre, Williamson. pying the position tonight. ever heard of the State of Ohio. He was ''iftknee--Samuel R. Matlaelc, chairman:' C. tanning- French, vice-chairman; Dr. Frank S. Bmns, Walter Yamall, Frank Donahue. i'Keglstratlon--C. H. vlckerman, chairman; David R. Ramsey, W. O. Stolk, W. Fred Stoer, 3,'L. Garflnkle, Wm. B, Wallace, James B. Hides!. iPaWlclty--D. J. Healy, chairman; Dr. M. P. Ttownbaoh, H. R. iDowdy, George B, BeckeJ, Jr* Claries P. Jarden, ,. Jranaportatlon--William H. Jarden, dr,, chalr- oa; Fred L. Meyer, S. Lederez*, W. H, Davis, Banquet--Edgar 9. Mcftals, chairman; Albert CSuehnle, J. Sibley`Felton, Abel P. WethsrSU. a. folic Night--T. A. Williamson, chairman; ! t&. Bowen. Jr., I>. 'J. McCmdden, Lyman ff&ttwr, William A. Smiley, Philip J. White* Ijg-V, Houston B. Almond. Mrs. Edwin A. Svjbtroua. i/sW--John V, Hastings, Jr., chairman; Law*, ee Bowen, Courtland P. Morris, T. E. f want to compliment the local com mittee on the details of their arrange ment in connection with this conven tion, and to disclose to you in that con nection one little incident which was whispered Into my ear tonight, which perhaps some of you are not familiar with, ` You know, those of ua who have had the experience of heading up this great organization as Its presidents have gone through that great year of service and inspiration, and we have come up to the point where we have been eased out of the position, as my good friend Frayser is being eased out tonight, to make way . for some one to succeed him. But I wonder If you appreciate the details that this committee on arrangement and en tertainment have looked after In con born in the State of Washington on March Hi, 1*874. He received his education In New Jersey at the Lawrencevllle school and at Princeton university from which he was graduated in the class of 1896. He studied law at the University of Pennsyl vania law school, and was admitted to the Philadelphia bar ana is a member of the well-known firm of Duane, Morris & Heoksher. He Is one of the rare com pany of Pennsylvanians, who la of the Democratic political persuasion, and you will notice again the effective and ef ficient provisions of the local committee when they seated him beside our good friend, Colonel Callahan of Kentucky. In 1917, he was appointed1 by President Wilson as Ambassador to Japan, where he made a distinguished record for him self, having to deal with the breaking up of the old Russian Empire, and having to travel across Siberia to Omsk to con fer with Admiral Kolchak of the White Russians. He served as a special com missioner to Siberia in -1948. 1-919, and was later assistant Secretary of State. He has been the recipient of many de grees from universities and honors from foreign nations. Ladles and gentleman of the National Paint, Oil and Varnish Association, I have the distinction and honor and priv ilege of presenting to you our first speak er of the evening, Honorable Roland Morris. Address by Roland Morris Dr, MorrisMr. toastmaster, members and guests of the National Faint, Oil and varnish Association, I confess that is a rather appalling biographical introduction to which to reply, and I am very grate* ful to the toastmaster for the kindly re marks which he has made in commenting upon it. It contrasts very pleasantly and favorably with an introduction that I re ceived from a toastmaster somewhat more than a year ago, when I was invited to speak at a Christmas luncheon gathering of a very large Rotary dub. Well, they were having a perfectly gorgeous Christ mas luncheon. They had presents which were being thrown around and a good deal of noise and all the spirit of the Christmas time. When the toastmaster arose and rapped with his gavel and at tempted to Introduce me, nobody took any notice f him at all. The noise went on and the singing continued and he rapped and he rapped. Finally he turned to me with great solemnity and said, fT think If you would just get up and begin to talk that would stop all the fun." I sometimes feel that in gatherings of this character, when you meet at the close of serious sessions to have a cele bration of your national convention, that serious speeches are very much out of Place, and it was a dangerous thing on Hie part of your committee to call upon a Philadelphia lawyer to come down here and talk to you, especially,. If like the Pennsylvania Quakers he has what the cal1 "* mcern" on his mind, which he wants to discuss. But I prom ise you one thing, that X will be reason ably brief In what I want to say this evening on an opportunity so Interesting as I d,eem this to be. Then I will turn you over to my fellow Philadelphian. Sen- J?ver there, and guarantee that he will give you ail the fun you want. Of course, when we gather In these days and especially if you happen to be coming just from Philadelphia, where every morning we wake up to hear that three or four or more banks have closed their doors, one's mind naturalty turns to the very difficult and perplexing condi tions which our business and social life are facing. We all realize how very seri ous it has been, the restriction of credit which has taken place, the freezing of assets, the vast army of unemployed who have challenged and won, I know, the sympathy of all of us, and have. I know won the generosity of the American peo ple in a marvelous degree, not only in the past year but now as they face this com * Ing wJnter. Unusual Situation of Today I think we also appreciate fully now what President Hoover placed in the very forefront of the statement which he issued this afternoon in setting forth cer tain remedies that he was recommending to the American people for their consid eration, and that Is, that the situation that we face in the business world Is not the normal condition, limited within our own borders, which has happened in the past almost in cycles, as we sometimes say, but that what we are facing today is a wopld-wlde depression. I think of my friends over in the Orient, in China and in Japan, in whom I, of course, after four years of experi ence, will always be interested, and of the conditions which they face there, far more serious than anything that we face here, Japan, industrialised as she Is on the one hand, and China In the throes of a revolution on the other, but still, as in India, under the burden of thla world wide depression. Then when you turn to the European countries, you find the same general conditions, each government be wildered by tack of revenues and credits' restricted as they are here and assets frozen. In other words, not limited to any one nationality, but all over. Of course, while we realize all that, I sometimes wonder whether we have stopped to try and understand what It means, because- It must have some very real significance when It Is so widespread. It Is an awfully dangerous thing for any one Individual to try to think out a. situation with so many complexities as the one in which we are living now, and probably when the experts have finished, and the economists have told us all they can, and the historians have thrown light upon it, we will find that hidden away somewhere is some significant fact that we overlooked that may be the solution of the whole thing. I know, ever since the days when X first began reading that brilliant French writer, who recently died, Anatole France, I have always been haunted by the idea that was very much In his mind and that was that a generation living In a period of great change and transition is the one that Is less likely to understand what really is happening. The historian looking back upon our time will probably tell us that we lived in a most* significant age and ws never will have known It. We have only thought of the complications and per plexities that it gave to us, I remember (and I am tempted Just by way of parenthesis to refer to it) one of the stories that he wrote on that theme. He wrote a number of them in perfectly gorgeous French prose in which he gave a description of a group of Roman Sen ators gathered at a dinner one afternoon in Rome In the time of the early Roman Empire, just about the time of Nero .42 October 20, /P3/ OIL, PAINT AND DRUG REPORTER;! They were discussing among themselves, after dinner (they were all scholars and men of affairs), what would probably be the future religion of the Roman world. One of them said that he thought it would probably be the cult of Jupiter, because power was the dominant note in the Roman life of his day. Another man thought that it would be a revival of the Greek mysteries, because there was so much fondness for Greek civilization and Greek thought. And so they went on. While they were discussing it, they were interrupted by a noise In a building across the narrow streets of Rome, of those days, by a voice that was evidently quite loud, and most earnest, that almost drowned their discussion through the open windows. Finally the host sent the slave out. He said, "You go over and see what all that trouble is across the street.' The slave went over and came back and turned to the host and said, "Why, that is a Jew by the name of Saul of Tarsus, who has a group of slaves to whom he is talking about the kingdom to come." In other words, the religion that was to be the religion of the future was right across the street; the one that was going to dominate European civilization, inherit Roman tradition and Roman law and Roman ethics was over there in the per son of one of the great missionaries of the Christian faith, and he was simply disturbing their discussion on the future religion. Our Limited Vision How often that la apt to occur, that when we are living in a generation we kind of miss it a 1, and we are so held down to the limited field of our own ob servation that we can't get high enough up in some aeroplane of thought where we can look down and see it in its larger implications. And so, the only thought that I want to leave with this gathering coming from all parts of the United States, the only question I want to suggest to you in this question:--What does this wide-world condition in which we find ourselves seem to imply? Because I think if we can see It in its larger aspects, away from our personal Inconveniences, it will give us a renewed confidence and hope and faith in the future, because if you can only see widely enough one can catch something of the meaning and signicance of the period in which ye live. t want to suggest, In answer to that question, Just this thought, which I ven ture to leave with you. It seems to mii that what apparently is happening is that we are moving from a period of antagonistic, aggressive nationalism into a period of International co-operation, ` and that we are right in the midst ol ' that transition before the readjustments have been made. May I take you back fust a moment over the history of our own European civilization, because we must never for get, we Americans, that' we are trans planted Europeans, and that we brought with us all the traditions of Greece and Rome and all the achievements and beauty of the Midd'e Agee, and all the traditions of the modern world before we came over here, and we have re established them under new conditions, but our traditions go right straight back through the medieval times . into the Roman times and into the Greek and Roman civilization. You would be amazed how much, of your every day life la governed by traditions which reach away back to the creative civilizations of the past. If you will consider from the time of the fall of the Roman Empire, the whole struggle in European civilization has been the gathering together of th se racial units into national units, and with the limitations that existed in trans portation and communication and in methods of living, nations were concen trating on being nations. They wanted territories. They wanted trade. They wanted power. They wanted to grow, and out of that aim and purpose of na tional1 progress which has characterized Europe ever since the fifth century, vaguely at first, more definitely up through the Middle Ages until what we call our modern times, all through that was that intense conflict of the nations. It resulted In racial wars and religious wars, in the shedding of blood, in terrible times of pressure and imperial aspira tions that were satisfied and then dis appointed. As one in his school days reads the history of Europe, It seems to be the ris ing and falling of dynasties, but always with the struggle for national expres sion, national life. No moral conceptions, I take it, have primarily changed that but the thing that has happened within the period of our grandparents, and which is close to ourselves, is the tremendous change that has taken place through machinery, and through new methods of transportation and through Inventions and new methods of communication. Does it give you any hope, any con fidence that that readjustment Is just as surely to be accomplished as all the re adjustments of the progress of the past have been accomplished? That we are coming through this into a bigger, larger, nobler world than ever before, with many trade barriers removed, with Intellectual sympathy and cooperation as the very foundation of any other kind of coopera tion. developed? With this larger life of the world--nationality will not be de stroyed*--never--but nationality will be transformed into a richer, broader, larger thing than we have ever had before. And so may I .ask you, as my message tonight, to go forth with the confidence that although we are in a period of transi tion that Is bound to affect many of our old business relationships and organiza tions, yet beyond is the promised land of a larger and a better day, and if we ' can help to bring it about, we will be doing more than anything else for the gen erations that will follow us. Thank you so much I Toastmaster Robinette r Mr. Morris, I think that the applause that you received at the conclusion of this very Interesting message, will express to you very much better than I can, the words of this group. There la one thing that I intended to say in my opening remarks, and that was to call your attention to the fact that there is a continued and enduring inter est in the progress of this organization of ours, that is evidenced this week by the fact that there was in attendance at this National Convention, thirteen out of seventeen living ex-presidents of this as sociation. '1 I want also to state that they are not all at the speakers' table. The oldest man in years and point of service in this or ganization, Mr. George Watson, Is seated letters. She was a young girl 17 years nld and Washington had just left the Presidency, and was retiring to Mount Vernon, and she gave the description of the Journey' since she said goodbye in Philadelphia and was telling how they went by various stages. It took him to get to Mount Vernon with his family, eight days. He went in a lumbering old coach, drawn by three horses and a fourth like the sermon?" and the other bsJ! `Well, there is just one thing I want a say, - and that is, thank God he wastfl talking on the Massachusetts Institute tf* Technology!" * . Not Too Gloomy These are very, very gloomy tlm we Philadelphians realize that perhaps ill much as-you do. I came down here to# by choice over here toy the orchestra. horse was added. He carried his luggage night, not entirely free from the blue^l Many of the others at the speaers' table with him. She spoke of mud and the but when I got here and saw this wont! are ex-presidents of this great organiza character of the roads and the rains that derful gathering, 1 just felt a bit differ*! tion. Our speaker, in the opening part of his remarks called attention to the banks, which recalled to my mind a remark that a friend of mine mads the other day when he said that It is not the bann.s that are c.osed that is worrying me, it is those that are open. ' I have just been glancing over the in formation that has been given me with reference to the next speaker, and again I am d;sappointed to find that ail of his connections and so forth are still sur rounded by thjs State of Pennsylvania. So I decided that a better way to fit my self into this situation was to state to you delayed them, and how they had to stop here--a Journey that will be done in al most an afternoon's motor ride from Philadelphia if you drive fast enough, and they took over a week to do it, 'then I suddenly recalled to my mind that the way "Washington traveled in that journey was not unlike the way the rharaohs had traveled on the. roads of Egypt, five thousand years before. There had been practically ho change--Just a little improvement. But, in the century and a quarter that followed that, think how the world has changed--how we can listen tonight to Ramsay MacDonald speak to the English ent. You know, nowadays, even as wtll as heretofore, nobody likes the grouch,! nobody cares much about that fellow wtn slammed down his desk the other nighil and said, "I am going home and If sup-1 per isn't ready I am going to raise haD,l and If it is I'm not going to eat a aamiutfl bit!" `I But when I came In tonight and sail your happy faces and the fact that ycil had abandoned dull care and were hnf for an evening at least of profit in lieten-l ing to that very forceful and eloquent! address of my good friend Mr. Morris, ll just felt that the man was right whet! he said:-- , that I have among one of the prize treas electors and they will hear it in Toklo ures of mine, the copy of a land grant and in New Yorkl How every word'Is Sure the world Is full of trouble; deeding to my ancestors five hundred flashed over the world the moment that I ain't' said. It ain't; . acres of undesignated land In the William It is uttered I How every event travels Skies were always gray. &-.in Instantly! How - all our business and Thorns and brambles have beset me on tbt] uansportation and selling has jumpted road, hut say. air' these national boundaries, way ahead Ain't St hue today? - ,|j of our. political and our social .organize- tion! ; . If you look down the list- of stocks and see' tne International this and the Inter national that,'as you think of the great corporations that are spreading out and considering' national boundaries not at What's the use of always weeping. Making troubles last, ' What'a the use of always keeping Thinking of the past? Each must have his tribulations Weather is net always fine . Lite--ft ain't no celebration-- . - all--I think it has come so fast to us in' Trouble--I've had mine. our generation^ that it has sort of stunned us.' - We don't realize what It implies, The thought I want to leave with you Is that it Implies this1That these na tions now tied so closely together by all the-modern inventions of! machinery and transportation and communication, are : simply compelled to co-operate in the fu ture, in trade and In social life, and In It's today that I'm allying-- Not a month ago Havin', losln', takin1, giving' Ab time wilts It so, . Yesterday a. cloud of sorrow Fell acmes my.-way, ' ' It' may rain again tomorrow, But--ain't It fine today! , . . %<, , Intellectual- life, and In all that makes I think that is the spirit that animate* our modern civilization, ' .us here tonight. I was impressed when I May I take just one more illustration ' came in, not so much by your number, and' leave that thought with you from because figures don't mean anything nec- my experience in' the Orient? '. taaarny1 today--ugures are rather out of , . t was' very much1 Interested In the his . place today I think. They fool us a bit tory of the relationship between the sometimes, ' Orient and the Occident. It has had a speaking of figures, I was down - curious history--i-how for one period there South Garolina the year before last and wou.td be an lmpenetratlon by the west I heard what .I thought was a sound of a ' ern world into the eastern world and then oaijgame going on, Having been very ' It would alt be suddenly thrown back, much Interested in that sport In my un and for generations there would be prac-. dergraduate days, I walked - around th tically no contact between the orient and , the Occident,, only'. occasionally. Then corner- and found that two colored teams \i were having a game. I walked ttarougb ; there: would be a new movement like the a hole la the center field fence, rigi ro< *. movement of the Spanish and Portuguese past a center fielder. His face was blacl ho missions, and In Japan and .China, Then cs the ace of-spades*--so was his score; 5 again they would; be driven; away and a- When he told me the score, I said, "Yoi nil great silence would fall. between these are taking an awful trimming." -i it two portions of the globe--long distances, "Boss," he said, "I can't just exactlj W. W. Schoales no communication,' no method of contact,- say that yet cause we ain't had our bat; . and. the wall was. put` up and ltle only 1 You can't always be sure of your fig New Canadian Vice-President . within rthe last jcentury; X know, that we : ures. > We talked a lot about discount! we broke down the Isolation-of China along; the other day. I had lunch with Captali tre Penn colony and signed by William Penn' himself. So, instead of claiming honors for Ohio, I am going to c aim some con- . nection with the State of Pennsylvania. . Our next speaker is transplanted from ' New Jersey, having gone to Pennsylvania for his education at the University of. Pennsylvania, where he later studied law and was graduated from the University of Pennsylvania Law School in the clas3 : her coast: and , brought. Japan Into, the* society of' nations and realizes that under- ; neath the organization -that was being; established ' over In Europe - were - these millions of people with their ambitions and ' their ideals and thetr purposes,, who were ? expressing/ -themselves today ; through GandhLat.the conference In London, . ; ' But that never can' happen again !' We can't withdraw from the Orient and the n,ddie Rlckenbacker the other day. Hi shot down twenty-six planes over tin German lines' In France. I said to hint "When you got up there, flying in tin . air, what did you dor* -He said, "When i got up there and found how they reall) fought,. J came back thinking i had i pretty .soft job. . , ' One difficulty I had when I was `front" .was that a colored orderly keS sic str he wr Ic wh ] of 1904. He was admitted also to the. ' Orient can't withdraw- from. us. Men can ; atter me to take him up for a flight. Hs rer Philadelphia bar, where he continues to. cross the ocean as -they did the other day, ' kept after me so much that I finally sail practice, living in Montgomery county, /In airplanes in a.-little over twenty-four ; -Well, you come back next Wednesdaj He became an active participant in hours,' Cables are laid* radios are over and I'll take you up for a flight.* " politics and was elected to tho State ' in China and Japan and India. We are Afthe appointed hour .on the followku senate from that district where he served all tied in, and you see the conflict that Wednesday the darky boy came In sight with distinction. I am also advised by- we; are going through, and this is the Rlckenbacker ' said there was a great these notes that as baseball Is very much . thought that again T emphasize--the old crowd around. He said, "J strapped thi to the fore, It Is only appropriate to men- " tradition-'.of Isolation la- the . struggling,: boy in the front seat and got in the bad tlon the world series now being In pro- , I thlnk, utterly, unavalllngiy, against the seat myself and turned the nose of tin gress, that he was a mighty baseball new- conditions that force co-operation. . plane up and shot on the juice and for tb player, having captained the varsity \ And In that struggle, which Is always next twenty minutes I made that'machifii baseball team, and immediately after, a struggle characteristic of any forward do everything on earth I could think ol hei Wf lad I^ ren I Is ' ant tfa.li yoi graduation, became actively interested in movement, business has : to ' readjust it I did tne maple leaf, the side slip, tto amateur baseball. . self.-credits have to readjust themselves,1 double reverse and all the tricks I hean He waB elected president of the New nations have to readjust themselves, and' of, Finally, I got the machine about 1,6! Jersey Society of the University of Penn-; it Is that-period of -readjustment that we teet over the field and turned her nose sylvanla, which office ho now adorns, r are going through; Vv down and let her drop all the way dowa have also been advised that our previous He picked up the menu card, adjusted Then just as I was about to alight, speaker gave us the substantial and dig- - his glasses and looked the card over. Hie shot her up in the air. I called to thi nlfied, If you please, part of our program . this evening, and that our present speaker has a little bit of an Inclination to the wife saw that he was somewhat per plexed. She said, "Hiram,' what is the matter?" .. colored -boy and said, `I guess 90 parcel ,of those people down .there thought yoi ' were a goner thenl' 1 humorous a remark side, that which calls to my mind I heard our good'friend, He said, "Amanda, listen to this! Ox , tall soup! Ain't that going pretty far Strickland Gilliland make the other day.. back for soup?" ' Strickland, of course, claims to be a pro I just have a feeling' that your toast fessional humorist, and he lives in the . master in going back to William Penn to City of .Washington. . establish his connections with Pennsyl In opening a talk Jn Cleveland recently, he told us that a professional humorist. vania is Just a little bit far back for soup, "4Yessuhr* he answered, 'and Maste Rlckenbacker I want to tell you that 5' percent -of us up here thought the sari; thing 1* " . And so I am quite confident In sayliii ito you that figures don't mean so mud ' ' In this day and generation as they did. " ' had very little opportunity in the City . Carrying out this idea of pride in state- ` of Washington, especially when Congress hood, I am highly gratified that this year' was in session. you chose the State of New Jersey as . Not Worried About Banka Reference has been made- to the ua I have great pleasure and honor In the place where-this wonderful conven-' fortunate banking situation* in Philade! presenting to you at this time, Honorable tlon might meet.. I must tell you some phta. I met a friend of mine on th. Fletcher W. Stites, thing about your convention of last year. street today. He didn't seem to be wo1, I heard of your visit to Torontcn--a friend ried about the fact that the bank on tb Mr. Stites? Talk : ' ; of mine lives innorthern New York state. corner had failed, and I said to hln He said to me; some time ago that the What is the reason you don't seem t saj sto nai 9 to Ide: Thl his Mn .I hap . fae rat had Jus? not you the late gan Doe tior pap tha like Mr, Stites: Mr. Toastmaster, ladles paint and varnish convention that went and gentlemen: There seems to be a up to Toronto last year must have been considerable pride in statehood here to . happy because when they came back to night. Your toastmaster from Ohio goes a long way back to cast luster upon him self by referring to the fact that Wfi- : the states, somebody up in northern New York state made a recommendation about them, and this is the way it ran:-- liam Penn granted some land to one of . be Impressed by that?" ^ "Well," he said, "you know, I have feeling--I won't say of elation--that may be the gods are adjusting things bo ths some of those fellows are getting wha they are entitled to," . Arm In t And And And For his ancestors. It makes me think of the . old farmer who went u p from my home town of Cape May, New Jersey, to the Bellevue Stratford hotel. In Philadelphia',1 some time ago, taking his old wife with him. It was the first time he had . ever , been surrounded by any metropolitan.; "Pour and twenty Yankees feeling pretty dry Went up Into Canada and bought a case of rye. When the rye was opened the Yanks began to sing, To hell with the President,' God Save the King!" . 1 ' '`Why do you say that?" I asked. He said, "Let me tell you somethin! in that bank' down there, there 1b a fej low who lives down the street from me Last year my next-door neighbor fell U of a very serious disease. He was so W that the doctors finally said there wa He . Aa i We We Tire Tire atmosphere, and after he had registered, and gone up to his room, they went down . to dinner, ' ,. Changes in a Lifetime : I promise you tonight,' as my good friend, Mr. Morris did. that you shan't be .held over long by the remarks that I might make, because I don't want' to get into the position a friend of mine got into only one thing to be done to save thl man and that was a blood transfusion They looked around to get a quart o blood. This banker down the street wa a very healthy man and he came forwan > Tom To i But, And Just think for a moment what hue hap the other day. He was invited to address and said he would give a quart of blood Arot pened In the lifetime, I will say, if I' . the students of Hobart-. College. He may be personal for the moment of my . thought he would make a great hit if he own mother, who Is approaching ninety took, the name of the college, spelled'It So the transfusion was made. The docta went out, leaving the patient in the hand: of a nurse. The nurse went down to tit . Here And years of age, and what has happened In out and spoke on the various letters of kitchen for something and came quiekU Invention and development in the period the tame. So he spelled out Hobart*-- back upstairs, but when she got back, til of one life! Think of how the world has H-O-B-A-R-Tt J . patient had frozen to death." been pulled together, Why, I had the He spoke of ,H "for Humility, O for Your toastmaster tonight paid a veij most striking illustration of It myself he Obedience, B for Beauty, and so on. He deserved tribute--to the beautiful part other night when I wae going over an went on down through the letters of the this asembiage tonight*.. I was very mud old bundle of letters that were wrlten by name and covered the subject rather fully. interested in his very kind and generonr Nellie Custis. he adopted granddaughter Going out of the chapel, he heard two tribute to the women, and It certainly wai of George Washington, to one of her students talking on the front steps, One' deserved. He said that all the lnspfratlm friends in Philadelphia---moat interesting of them said to the other, "How did you. that these men got came from- you goo er I OIL, PAINT AND DRUG REPORTER - October 20, 193! 43 r aaldS rant tw wasn't! tUt6 Of! ^ladles and no doubt that la true- He per * ; wag going a little strong there. That reminds me of a friend of mine Kwho left his home town at Gape May and jtwent to Philadelphia to cash in his forJltone. He stayed there three or four you way along. I noticed on one of the downtown crossings a boy fourteen or fifteen years of age shoveling the snow. He had holes In his stockings about this big. Just in front of me was a great big red-faced man. I know he belonged to Wmonths and then he wrote down to his TSfather at Cape May and said, "Dear dad, tiroes^! lap? j ` ere to'4 bluest s won* differ^ Sl have met the most loving girl I think the world ever made--(Mary Brown. I . determined to marry her if I may ,f:liaYe your parental blessing. Will you .write back and tell me if I may have it?" His father wrote: "Jim: I got your is wettl grouchy? w wiipr i- tnalugphwtlf jo hell^| lamnet]; j&letter, I noticed the encomiums you have SUpwed upon Mary Brown. I have no Xdoubt they are deserved. You want to B;know if you have my parental blessing, gf'Of course you have. All the Inspiration TVt have had in my life hag come from your fcmother. Every good thing I have done some association. Maybe it was like this one, because when he got up to this boy he reached into his pocket and gave the boy a quarter, and said to him, "Hun across the street and get yourself a bowl of hot soup." The little boy looked at the quarter and then he looked at the man and tears began to run down his cheeks. The thermometer read about four de grees below zero. He said to him, "Son, I guess you are cold, aren't you?" Then, the little boy delivered himself of a real sermon, and the big fellow said, "I guess you are cold," the little fellow said, "I was* sir, until you spoke to me." id ST[ at you o heref listen-T oquont' :>rris/ ~ ; when: eye the result of her example and her suggfaestion, I can't say too much of the help TpI have received from her. God bless you, SfOf course you have my blessing, ' ,rP. S, Your mother just gone out of j&the room. Don't be a damned fool !" In spite of that, t have an idea that ". good women here don't feel at ail Isn't there a great deal In that? Wc learn as we go through life that all this tinsel and chasing after dollars, while It may be Interesting, it doesn't touch the 1 jratout their husbands as the girl who Rllves next door to us. The other day she Twld to a friend, "Mary,, do you believe :ln the devil?" / Mary said, "Why, Jennie, I think I be- Epave in the devil--don't you believe In devil?" - ,, Jennie said, "No, I don't believe in the . jhievll. I think the devil is like Santa Hf/Ctou^-it is Just father dressed up I" . J am sure there isn't any feeling of kind, because mention has been made , tonight here of the splendid feeing of J&yalty, both that you have toward each Other and that you have shown by the ^remarkable fact that your ex-presidents 'have come back, year, after year to not .only attend the convention here, but to iwork throughout the year for the benefit "of this splendid organization. That Is loyalty and It Is a fine thing. We all illlis to see our own particular interests i'itand out in front. We like to see our ffiparticular business or our particular as .tmatej sociation take* no back seat, but take the whenul tliad. And we don't like to be at all like umber* fa -friend of mine who owns a horse down iff nee$! out-triS1 i a blj wn If gfct Havre de Grace. The other day, not rifale to go to the track, I said, "Now, you Wind: out for me where iriy horse .finished cln the race." In a few minutes the telephone bell ' st and, .d of/ i Ten ay un^, ad thfifl teams! irou^hl ing. The Irishman was at the 'phone. "Where did the horse finish?" . "Your horse finished eleventh." f The owner said, "Why you darned foot, -- couldn't finish eleventh--there were Inly four horses in the race." , The Irishman said, "But there was room for seven horses between the third . R. A. Plumb Chairman, Clean Up- and Paint Up Central Zone Vice-President _ - true fundamentals of life. It is love, i bla * ecofi horse and your horse." ! Mr. Caspar has been telling me all eve- plug about this association and how far sacrifice, and our families and friends that really matter. ' I just for an instant want, to refer to ' ^It stands out In front. I know there is some of these fundamentals that we lose have local option in slavery." Then he said, "I appreciate your interest in my political fortunes. It is a matter of no concern that Abraham Lincoln goes to the United States Senate, but it Is a matter of the deepest consequence that Abraham Lincoln should be true to himself and to the cause he believes In." And when, after four long years he had carried upon his heart the burdens of the South as well as of the North, had stricken the shackles from four millions of slaves and laid down his life In the cause of Liberty and Union, and as the last breath passed from his body, Stanton, who was nearby, turned to Seward and said, "Now he be longs to the ages." He had forgotten himself Into immor tality. Isn't It possible that we will get back upon our feet in these days to come, as we learn that true service and sacrifice and devotion, we may forget ourselves back to that broad level of well-being and prosperity which we all feel is essential to us? I spoke of service and devotion and sacrifice. You hear men getting together today In public affairs discussing great public questions. One man talks about compensation for the injured workman. Another man talks about the prohibition of child labor. Another man speaks about equal suffrage. And still another man talks of prohibition of the liquor traffic, and some fellow comes along and he says, ``Oh, that is all politics/' But another man, more thoughtfully Inclined, says, ,"Oh, no It Isn't. That isn't politics. We are thinking a lot differently from the way we thought fifty, seventy-five or a hundred years ago. That is a great pro gram of humanity we have today/' and he sort of lingers on those words--"that Is a great program of humanity/' And this man of politics still Insists, "Well, Roosevelt first talked about those things. Then another fellow comes along and says, "Oh no, he didn't. Bryan first talked about them." Finally an old fel ter manhood, you get the thing that will bring us back to the heights we want, because you hear the great Carpenter of Nazareth say, "A- new commandment I give unto you that you Jove one another Do ye, even so, unto them." I say to you tonight that the future of our great country and yours and mine Is safe and secure just as long as you and I remember that for every happy circum stance we enjoy, some man or woman in days gone by forgot himself Into Immor tality. Aa you and I get faith and cour age and trust in each other, surely the tide shall roll back and we shall go on. *1.11 ?iosin toniffht, may I leave with you this thought In your hours of discourage ment. Christopher Columbus was a rare ? character. An American poet has told how rare he was. He had a funny Idea. He said, "I believe the woTld Is round. If I turn the nose of my boat westward and sail on long enough, I will started. t0 Place from whence I ' . The boys in his native village, as he walked along the streets, used to tap their heads with their Ungers like this Gnaicating) to show that they thought Columbus was cracked. But Columbus nad two rare virtues, virtues that every American must have in this day now. The first one was that he started for some place, and the second was that he kept on until he got there! Behind him. lay the- great Azores Behind the gates of Hercules Before him not the ghosts of shores Before him only shoreless seas The good mate eaid, "Wow must we ni-ay, For Io.r the stars are gone! Brave Admiral, speak' What shall I say?" He said, "Sail on! And on!" My Men grow mutinous, wan end weak . The stout mate thought of home As the spray of sea smote h!s cheek "Brave Admiral, speak! What shall I say?" Why you shall say, at break of day, "Sail on! And on! And on! low steps up and he says, "I am the orig inal populist. I- used to talk about those things out In Kansas forty-five years ago." Well, so far as the element of time is concerned, maybe he Is right,' But you go to Mr. Roosevelt and you say to him, "Mr. Roosevelt, where did you They sailed and sailed aa winds might blow The blanched mate said, "Now not even God Would, know If all my men fell dead. These very winds forget their ways For God from these dread sees Is gone." Brave Admiral, speak! What shall I say? He said. "Sail on!" get your Inspiration for this thing that you call the square deal, this insistence upon equal justice and equal opportunity for everybody?" And Roosevelt says, "Why, don't you know? I have always told you that I was a Lincoln Republican, a Thomas JefEereon Democrat." They sailed and sailed, then spoke the mate "This mad Sea shows his teeth tonight ' He curia hts Up, he lies in wake As'if to bite. Brave Admiral, say But one good word, "What shall 1 say When hope is gone?" The words lept as Leaping sword, "Sail on! And on!" a And you go back to the great emanci pator and yofj say, "Lincoln, where did you get your inspiration for your ideals? How is ft th'at you can carry on when everybody calls you evil named?" Lin coln says, "Oh, I have always made the*, battle for things like this from the be ginning. Don't you know that la what Washington prayed In the snow for at Then pale and worn, he kept his deck He peered through darkness on that night Of all dark nights and then a speck A light! A light! A light! It grew, a= starry flag unfurled It grew to be time's burst of dawn . He gained the world, he gave that world Its grandest lesson, "On! And onj" ' ixactlil toothing like the Irish horse about this : bat.il ^organization. . or flgj county aptaiJE, ' I said a moment ago that these times were troubled times. They are so jjtroub'ed that m*>n feel the strain phy- ' HS jgalcally and mentally. sr thdj I$v'. A "Bad Memory . o hin: in thfs I&, I met a friend of mine on Chestnut Hien u Ifeatreet In Philadelphia the other day and really [--he said to me, f,l don't know what is had; Jy-wrong with me. I Just seem to be ail in. If-'i can't remember a thing. I hardly know sight of, just a hit, I suppose our lack of ' prosperity now la a serious thing with most all of us. It may. not be fair to say that we deserve It, but fcaffte time ago I read in an ancient book this verse: "A nation Is in the hour of its greatest peril when It is in the hour of its greatest prosperity," - ,, Perhaps out of this depression we shall get the fundamental, that service and sacrifice are, after all, worth while. I think It was Wendell Phillips who once said this: "What Imprudent men the bene 'as upl ^whether It Is Tuesday or Wednesday," factors of the race have been; Most men ' fcfff ^ I said, "How do you mean you can't ^remember anything---that seems funny." r saldijj 1 `'Well," he said, "You know I live down prudently sink Into nameless graves, but now and then a few forget themselves into immortality." leads ' bhere at fifteenth and Chestnut streets. Forgetting Into Immortality ___b Well, I honestly can't remember my landlowingWflady's name. I met her this morning as sight*-;:'! was coming downstairs and I couldn't great /remember -her name." ed thaM'v- I said, *T imagine thb trouble with you e backw^ta that you don't associate one Idea with of another. That ia the way to remember 'or theS&thlhgs. Get yourself together. "What is achineMJftyour landlady's name?" nk o9k'.. "Her name is Mrs. Crummiok. ' n, thfl& "All right/' I said. "Why don't you heardwviay this: 'Mrs. Crummick fills my 1,600*1'stomach/ and you will never forget her Now and then, a few forget themselvea into immortality! When Lincoln was de bating with Stephen A. Douglas before the Civil `War,-in -that; series of debates that had so much to.do with the settling of slavery, Mr. Douglas said to Mr. Lin coln, `Tf you continue to take the position that Nebraska and Kansas haven't the right to say for themselves whether they will come into the. Union, slave or free, you will lose your chance to go to the United States Senate." Lincoln turned to his friend and said, "My dear friend, ? noaeM-ftame." , , lit_ . dovraS:^ The friend went home saying that over ght, vJ.(o himself. He thought that was a great slavery is right or wrong,. - I think It Is wrong, and. if It- Is, then/no State can to theWS'iaea. "Mrs, Crummick fills my stomach. ercentKThe next morning he got up and he met it you< his landlady and he said, "Good morning, Valley Forge?" _f ^ And you go back to Washington and you say, "How is it you can fight the cause of these colonists? Don't you know that your men are dying on the Icy slopes? Where did you get your inspira tion?" Washington says, "Oh, I have always made the battle for things like this from the beginning/' You ask, "Why have you always made these battles from the beginning?" He says, "Don't you know? That is what Miles Standish talked about In ' the early days of the colonies." The Golden Rule You go back to Miles Standish and you say to him, "Miles Standish, what Is it that leads you to come three thousand miles to an inhospitable mission to worr ship God in your own way? Where did you get your Inspiration?" Miles Stand ish says, "Haven't you heard how man kind fights its way up through the gloom of the centuries?" You go back beyond the days of Cromwell fighting concessions from a reluctant king. Finally, you come back 'way beyond It all. You pafls down through the tunes of Palestine, you pass John the Baptist, you come to Paul, on the road to Damascus, and away beyond it all you come to a hill called Calvary. And right there, where the, great Car penter of Nazareth gave his life to a bet- Lincoln's Recommendation Toastmaster Robinette: Again, let me say, Senator Stltes, the expression from this crowd says to you more than I can say to you Jn words. We appreciate very much your message. . In the last speaker's talk he made ref erence to Abraham Lincoln which re called to my mind a little incident that one time happened in Lincoln's life when a young man came to him that he knew not at all. He knew nothing about him. He asked Abraham Lincoln If he would give him a letter of recommendation to someone with whom he wished to make a connection. - Abraham Lincoln In his usual graciousnesa wrote a letter of rec- ommendatlon for this younff man, telling him of all his fine qualifications, signed it Abraham Lincoln and then put on a P. S,, "I know that all I have said is true because the young man has told me so himself." Both speakers have referred to our present conditions that we are going through,* the times that are worrying us all, and that called to my mind a little Incident that happened on the streets of Cleveland recently. A friend of mine was seated in his automobile waiting for a friend who was making a call In one of the stores, when one of the meh we fre quently meet today came up to his auto mobile. The man wore fairly good cloth ing, handn't had a shave perhaps for a week or eo, at least ten days, and looked pretty dirty and shabby. He asked him ' Hash, lat 5 i?, Mrs. Kelly." , ,, ' I do know this, that you would per- ttWs think me guilty of an excess of L facetiousneas if I .continued on at this if he could let him have enough money to get a shave. He said, "I am seeking em ployment. I can't go in looking like I do today. Won't you help me out?" ..--n/rate, after the wonderful address you This friend of mine reached in hie gavinH&kftd preceding mine. I do want to leave, 9mayuiPcaMl fJut for an instant, a slightly serious did. ,1! with you. Both of the officers of j- your organization who spoke referred to pocket and the smallest thing he hap pened to have at the moment was a flvedollar bill. He said, "Brother, I have only a flve-dollar bill. I have no change, nha splendid spirit of friendship that ex- Otherwise I would gladly help you out." ie u* ll&del' n thi f, lated between the members of this or ' e&nization, their wives and their friends. Doesn't that after all make the associa tion worth while? I picked up the news This man walked up Euclid avenue a little ways, turned around and came back, and as he passed this same machine again with my friend sitting in It, he s wor m th1 hi: . em to] paper the other day and .1 saw a couplet 'that Impressed me very much. It ran like this: ' i&Amund the comer I have a. friend ave aj . may^ T&ln this great t And the days city that has no ead go by and the weeks ruati on o that] what -s And before I know it a year's gone fc Aed I never see my old friend's face /pur life la a swlfe and pressing race , stopped and said to him a thing that I have thought about a lot since he told me It. He said, "I started up this way, but I turned around and came back. It's a hell of a long road when you have no piace to go." I wonder If we today appreciate, those of us who are etui In business and out of the receiver's hands and able to enjoy the things that we have enjoyed here this I&09 knows that I like him Just as well Kl* In the' days when I rang- his hell ujf and he rang mine -Sffe were younger then, but now week, how much more fortunate we are than the man that is on the road with no place to go. . Now It becomes my great prfvtlege to #i-Te are busy, tired men, iiTired of playing a foolish game jXllred of trying to make a name present to you a man that X am sure you will all be glad to greet. I have on one aide of me the man that has Just retired, feTomonow I say I wilt call on Jim fTc show him 1 am thinking of him fiBtt. tomorrow comes and tomorrow goes the distance between us grows and grows with great honor to himself, as president of this organization. I now have the great pleasure of presenting to you the man that this association has just hon ored with Its presidency, Willard Maston, ground tire corner, yet miles away. ' of Cincinnati! . Iffere's a telegram, sir--Jim died t^day. Bind that Is what we get and deserve in the [jAround the corner a vanished friend. /Isn't it true that occasions of this kind . very3 J&elp to bring nearer that day of 'which art of| iTennyson, spoke when he referred to the mu(` llarger heart and the kindlier hand,. serous? ":;l Was over in New York four or five y w ' flrlntera ago, in that very severe winter ration] Trhen the snow was piled In hills In downi good! fcwn New York. You could Just squeeze Convention Group Goes Home by Air , This bar tv of N P O. & V. A. conventloners hastened bank to business In an airplane, getting from Atlantic City to New York In^flfty-five minutes. It I.ncrlud. es'W--. --B,'Birch, Philadelphia;. tI>t rC-> Boggess, New York; D, J. Heaiy, Philadelphia, and S. C. Murray, Buffalo. New President Speaks President-elect Maston: Mr. Toast master, ladles and gentlemen: It seems like an anti-climax for me to attempt to make any serious -talk after being placed In the position of following these two in spirational speakers of the evening. They have brought a message to us that has upset everything which I had in mind, and which I would have liked to have said, 44 October 20, 1931 . . OIL, PAINT AND DRUG REPORTER '! I wanted to talk a little bit about the number of ex-presidents that are here to night, because I envy them very much indeed at this present moment. We have Just allowed one of them to slip into his new office of ex-president. H is a happy, jovial-looking man, and he Is entitled to it, after the wonderful administration that he has Just finished. I refer to Philip Frayser. ,, ,, I feel that this state of mind that I am in will last for about a year, and then I, too, might have the opportunity of feel ing a little more comfortable at this board. There are some men I know who would be willing and are willing to come a long distance just to see a man take this initiation. . '. I have been placed here between two Philadelphia lawyers, and I would like, you to know that it is a pretty tough spot. The only thing that has kept me on my chair was the fact that I thought if the worst came to the worst I could Jump out here among my Philadelphia friends, and possibly they would take care of me. X am awed by the great responsibility which has been placed upon my shoulders. I hope, in fact I am quite confident, that I am going to have the hearty and full co-operation of every member of this as sociation. I would like to talk something about the association work, but these fel lows have taken everything, and besides the members and the delegates have been in session for three days, and there is not much I could talk about. The fact Is, I don't think It is a time for reminiscing. There is very serious work to be done, if we hope to hold our place In the business world. ,, i_. It would be a fine thing <1 have thought about It since I have had this responsi bility thTUst upon me) if I could come here and plant a milestone that might direct us on the way back to some of the things that we think we have lost. 'Earn estly and very patiently I have traveled the highways of business thought, as ex pressed by speakers, business men and those I have come in contact with, hop ing that by some magic way I might learn of the germ which is causing our business body so much trouble, and I am sorry to have to tell you that I have nothing very definite to offer. I believe we have wasted much time hoping to find a lone man, p Moses per haps, to whom we could turn over all of these troubles, and that he would lead ua out of this wilderness of misery. I don't believe that such a man can be found. Finding a needle In a haystack as large as this hotel would be a comparatively simple task as compared to finding a man, or even a group of men, who know the way out of this business tangle. Many of you have been In traffic jams, but I doubt If very many have been in that kind' of a Jam that happens on a narrow, busy highway, with the driver going in and put trying to outsmart his fellow driver, and the climax comes when another man with the same genera! Idea, only coming from the opposite direction, meets him. That Is Just a rough and workable idea of the business tangle that we are in. Now, if you were elevated over a traffic Jam of this kind, you could readily see that no single man untangles it. The hospital crew usually comes and takes care of the worst casualties. The indi vidual driver maneuvers his car out of the tangle and attempts to go forward more carefully, and many times some of them turn around and go back the way they came. And this, too, I think, is about what will happen with some of this business tangle that we are in. Business has made many errors of omission and commission, and I believe that they and we are beginning to recognize that gen erally we have outsmarted ourselves. It has been very Interesting over the years to get reports of business experts who make nice little round charts divid ing up In pie-shape form the consumer's dollar, but apparently nobody gzyve any serious thought to the dollar Itself, be cause it has evidently found a very flhe hide-away. ,, For the paint and varnish business, I believe we have much in prospect and great promises. The paint and varnish business Is one of the solid, staple Indus tries of the world, and it will remain that kind of an industry just so long as we can co-operate with associations of this kind. Uncle George Heckel, who you all know and love so dearly, and who by the way today was made a life member of the National Paint, Oil and Varnish Associa tion, recently printed in his paper, or rather it was a reprint of an article which he published many years ago, and which he titled "The Bridge." 1 liked it im mensely, and I hope you will, too, I shall not attempt to give it to you in full, rather picking out those parts that I be lieve apply to this present business situ ation!-- The safety of a. bridge depends upon three factors. First, the manufacturer of the steel must be trusted to supply dependable Bteel. . Secondly, the engineer must he trusted for a design that will give the necessary margin of safety, A&nd thirdly, the erector must he trusted for careful, conscientious construction. Betrayal of trust by any of these three may, entail consequences. Here we have a flashlight Impression of tue complete Interdependence of our social organi zation. The dependable bridge of today Is a product of cumulative thought and services of those dead and gone whose names were never known to fame, No man invented the bridge. It developed like civilisation out of the needs and servicable intelligence of man kind. No one of ua invents anything. We take from the vast storehouse of knowledge here a fact, there a .hint--the items we need, set them up in new relations, and lo! human ity is enriched with a new comfort, or a con- venlence. Freely ye have received, freely given, We all belong to society, We are not asked to submit letters of recommenda tion, We are elected before we are born. We are members by right of inheritance and as members of this human nature club, it is our duty to be good fellows, paying our dueB reg ularly, and honoring our fellowmen. The first requisite is fair play; the second is houeaty, and the third, la co-operation. The man -who looks upon himself as an Isolated Individual bound only to serve himself is a sorry mis fit In a world where he is safe and comfortable and happy only because others have been will ing to be unsafe, unhappy and uncomfortable, so.that the future might be better than the present. ' It seems that something like this spirit should be prevalent in our association, and we, too, like the previous speaker so marvelously portrayed to you, can sail on.' Tostmaster Robinette: This concludes our program of the evening, with the ex ception of an announcement which I wish to make. Before doing that, I want to express on behalf of the delegates and their ladies who have attended this wonderful con vention this week the great appreciation of all of those of us who have come from other sections of the country and have enjoyed the hospitality and the arrange ments in connection with the business meetings we have had this week. Suit able resolutions were passed today at the business session, and I think It is only fitting at this time that on behalf of all of us outside this district that I express at this time our great appreciation to the Philadelphia crowd. That concludes the formal program of the evening. Immediately following this, there will be dancing in the Venetian room. The meeting is now adjourned, (The meeting was adjourned at 11:20 o'clock.) Golf Tournament Albert McGhee, McKees Rocks, Fa., won the 1931 golf championship of the National Paint, Oil and Varnish As sociation in the tournament play at the Northfleld Course, Atlantic City, . Thursday, October 8, the day after the convention proper adjourned. Last Flight D First low gross, G. Watson.........101 Second low gross, A. P. Wetherlll... 101 Third low gross, Fred Geer,.................105 ' First low net, R. M. Rooaevelt............109-42-67 Second low net, M. A. Rosen..,106-31-75 Third low net, H. E. Webster..............1O0-3O76 Kickers' handicap, H. S. Chandler. * Ties decided by draw. 1 Tied with G, W. Knapp; committee drew. Special Prizes High gross, J. A. Hongler, 146. ' After drawing ' from tie with-- Most 'e--1 of them--J, B, Denarciore., ' Harold Rowe A. L. Opper Most S's--4 of them--Harold Rowe.A, M. Banks MoBt 4,s`--fl of them,,-r-G. H. Pushes.. E3, EmraonS Most 5's--8 of them--R, F. Lindsay... F, Bownes J. B. Kolater Floyd Coates Most 6's--9 of them--P. C. FrayBer.... ' C. H, Praeger ' J. W, Fitterer . . M. J. Eberhart Most 7'a--7 of them--H. E. Whiting... Alan B. Thomas ' . . : ' . <r.M. Ferguson H.S. Chatfield . . ; ' ' ' C, K. Williams G.B. Heckel, Jr; Most 8'e--6 of them--J. Sanderson. ' Most 6'e--4 of them--R. O. Walker.. . Most 10's--S of them--L. M. Rice, ' . , . Herewith are the complete scores:-- Flight A';;: ' ' ' Anderson, D. <3.,.',V,,.,,,.AW-H-68 Banks, tit. `U........................... 93- 0-64 Bownes, Frank M............. 65-12-83 Condle, H. D.........;*<*..............105-32*98 Densmore, J. B....., ,100-18-87 Dunning, H. B.................................. 89-11-78 Emmons, Thornton .V.... 94- 6-89 Fleming, J, p. .......................104- 6-09 Frederlok, G, W.........................................108-14-04 ' Hanline. ,L. S............................................... 86- 7-79 Hastings,- j. V., Jr...................................92- 7*35 Hemingway, H, ' J.. . 00-6-87- Hughes, M. A................ 88-4-34 Kurah,. Robert .............. ,,, .106-12-94 Jensen, Fred A..................... 89* 5-34 Lindsay, OS. W............................. 93-13-85 McGhee, Albert ......................................82- 2-80 McGhee, Walter ...........................80- 0-7T McKay, R. S.,............V...95-14*81 Mangln, J. A. ..........v........v.. 89- 8-81 Peters, E. V............................. 98-13-85 Puffer, H. B.................V...........................96- 8-88 Pushee, G. H...,...................................... 89- 6-83 iRa u , F. C................ 8T-12-86 Robbins, Clarence .......................... 94-12-32 Roettker, J3. H.........;................................104-10-94 Ross, -Bruce .............................................. 86- 6-76 Rome, Harold ............ ...,88-6-83 Schlnke, C. H........ ...........................,,, 06- 9 87 SklarZ, Leo ........................................ .107-14-05 Van Vranken, F. J............................ 98-14-81 Zimmerman, E, B..................... 93*6*92 Ariisteln, M. .......i(..................' .*. ..110*20*80 Bowen, L. .........................;...........* .... .100-16-84' Charles V, Hastings, Jr. Director of Golf Tournament Howard, H. M.............................. Mangln, J. ............... .........110-16-94 year's champion was Harold Rowe, New York. Mr, McGhee's prizes were' one leg on the New Jersey Zinc Com pany's permanent trophy, and a silver pitcher presented by the Philadelphia Paint, Oil and Varnish Club. Walter McGhee, the champion's brother, with a low gross of 86 in flight A, took the prize in that class, because of Albert McGhee's ineligibility through capturing the major prizes. A draw established the standing of Walter McGhee, Bruce Ross and L. S. Hanline in this flight. Other ties were deter mined in like manner. Miller,. W. A............................... .....101-15-86 Nemzek, L. P................................. Neumann, R. M........................ .........98-17-81 Opper, A. L.................................... .....114-20-84 Reilly, `Hugh ...................... Ritchie, W. A..................... .........108-15-83 Simpson, J. J................................... ........96-10-30 Stewart, S. A................................. ......... 88-17*70 Warner, F. A.................................. ........191-10-85 Webber. W. V............................... Whiting, H. E................................ Williams, C. K................................. Contestants in flight'A and B played on the Northfleld course and those in flights c .and D on the Seaview Club course. . The committe plan of two courses with 8 minute headway worked admir ably. The flrst match on each course started at 9i00, and the last off at Sea- view at 11:26 and 11:10 at Northfleld, with very little congestion on the course or waiting on the tee. . Participating were 131 players, and it is interesting that only four prizes were won with net scores under 76, and that in classes A and E,* net 81 won prizes. : . Incidentally, an analysis of the scores shows that sixty-four players out of thB: 131 who played were within five strokes of winning a -prize. We believe that this indicates unusually good hand!-; capping, and, of course, the high net scores that won prizes, indicates' that' all handicaps were less than, the play ers expected, as- they were based on' 75 instead of par, . . " The winners of the four flights were as follows: : Flight A ' ' .: 'First low gross, Walter McGhee.... 86 Second low gross, Bruce Ross............SC Third low grosa, I>. S. Hanline.......... 86 First low net, H, EJ. Dunning.............. 89-11-78 Second low net, R. S, MoKay.............95-14-81 Third low net, J. A. Mangln..............89- 8-Sl Kickers' handicap, M. A. Hughes. 1 Flight B . First low gross, L, P. Menzek...,,,, 36 Second low groBs, s , H. Stewart.........BS . Third low gross, F, J, Derrick..,,*,. 65 . First low net, J. r. SimpBon.......,, 96-16-80 Second low net, R, M. Neumann..., 88-17-81 Third low net, John R. MacGregor.. 98-17-81' Kickers' {handicap, G. H, Priest, Jr. , ,. Flight C First low gross, H, IF. Colcord..........91 -' Second low gross, H. A. Finney,,.,, 9i' ' Third low grosa,-H, W. Pearson..., iH First low net, D. E. Morton.................7*28-80 Second low net, G. W. Knapp..............64-23-71 Third low net* S. French Reeves.........95-22-73 ' Kickers' handicap, G. B. Lockwood. , E. A. Leveille . Diroctor/'Tr&ffio. Buroag Flight C Alwyn, T.' E.Vi.................., v,..,. 105-21-84 Baeohle, ` E.....,.,...,110-25*36 Brown, R. N.............v,..',,.,121-28^3 Chatfield, H, S^114-29^6 Coates,. Floyd 109-24-76 Colcord. H. F...-,,...................................81-24-67 ' Dell, W. A.....'............................ ...........99-21-76 . . Frayser, P. C,................. 191-23-76 Hallett, R. L................................. .100-26-74 Henry, C. S. A.................. 100-24-76 Howard. O. EMcG.................................102-24-76 HunJoke, R, a............114-21-90 Hunter, V. H-..........................117*24-98, Johnson, H. G.;. i, V;, .109-23*36 Johnson, H. M.....V................ ,.111-23*88 'Knapp, G. W. 94-28-71 Lockwood, J. E............... 104-27-77 Loud, F. E....................................................10S-21-S2 Morrfa, C. P.,........;...............................105-21-84 Morton, E. E,,................. 87-23-69 , Murray. 6, ............................... ,106*24-62 PearBon, H. W.,........ 84*22-72 Pine, M, <K................... ,.101-24-77 . Pinney, H. A............................................81-*l-70 Tobey, D; M.................................... UehltngOr, H..................................... Wakefield, H. L................................ Wittenberg, A. J...,.......... Babcock, Flight D C...........................................118-80-33 >4 Ferguson, G, M..,,...................... .,,..123-3067 .'ll Hayt, W. H....................................... Hongler, J, A,............................. JacobB, A. E.................................. .........128-32-96 ' ! Riley,. M, H..................................... .........123-35-88 ] Rockwell, F. W............................ .........111-30-81 J1 iRoosevelt. R. M............................... .........109*42-67 1 RoBen, M. A...,,........................... ...,,100-31-75 \ ).&- Ba6l J"Ba< g&^'} BaCli Pl Igiv Be< C IfiSif Bel Somers, F. L..................................... .........115-S6-79 1 Thomae, A. B,,.............................. .........117-30-37 A WatflDn, G. B.,.............................. Watson, H. E.................................. .........114-SO-M : Wetherlll, A. F............................... .........101-30-71 Wietintck, R. I................................. ...V-' Be JgWfrM.&ifS'B-Beert &>- ' C gi* Bir fITe-...l,;; B1yb !-3lQ Ladies' Scores Following are the winners in the ladles tournament which was held "Wednesday at the Seaview course: -- Eighteen Holes Mrs. Clarence B. Robbins--Law gross. . Mis, R, E. Zimmerman--Kicker's handicap- 123-25*93. Mrs. Fred L. Somers--Six blind boles--32. Nine Holes Mrs. T. E. Alwyn--Low gross. Mrs, Moritz Arnsteln--Kickers' handlcaj 71-20*51. Mrs, H. E. Webster-Three blind boles--21, Putting Contest Mrs. F, J. Derrick--First. (Won in'jjlayoff of tie.) Mrs. D. A. Kohr--Second. Mrs, W. W, Sime--Third. Mrs. Frank Bownes--Fourth. Mrs, H. G. Edwards--Fifth, There were no handicap matches in the ladies* tournament. The following Eighteen Holes ,..125-27- 96 Bownes, Mrs. Frank.............. Burnside, Miss M................. Colcord, Mrs, H. F., Derrick, Mrs. F. J,,........................ ...125-82- 93 Ferguson, Mrs. J................................ Hastings, Mrs. J. C................. ...137-20*117 Kohr, Mrs. D. A.............. ...107-29- 73 Robbins, Mrs. Clarence.............. ' Boi Boi . Bopli ' P Bo\ BrCli Brc Bui N I Car T Car ! C] W- ft- CaCst ' Calcy Che Cha ; C< Che ' CJh?i'5. Coa 'N -' CbTht Con Ct Con . Y< Cra: Ni Cra: Crica Zimmerman, Mrs. E. E........... ...123-25- 98 Nine Holes ... 68*12- 66 Webster, Mrs. H. E............... ... 78-12- 61 Golf Prize Donors The donors of prizes awarded in the golf tournaments were:*-- Allied Asphalt St Mineral Corporation. . American Can Company. . American Commercial Alcohol Corporation. American Cyanamld Company. Anaconda Zinc Oxide Department. International Lead Refining Company, , Baker & Gaffney. ' 31bn & Wolff Company, Blnney & Smith Company. BSabee Linseed Company. '. Frank Bownes Company. ' Continental Can Company, Cook Paint & Varnish Company. E. I. du Pont do Nemours & Co. Eagle-Plcher Lead Company. Enterprise Stamping Oompany, . 'General Nava] Stores Company. . Hastings & Company, Hercules Powder Company. Krebs Pigment & Color Corporation. John D. Lewis, Inc. McCloakey Varnish Company. MoMurtry Manufacturing Company. Joseph A. McNulty. Mao-Leo-K&Bebler-ChatfleM Corporation, ' M&ntroee Corporation, i Murray Oil Company, ' : National Lead Company. -. :New Jersey Zinc Company. .. Ohio Pall Company. . Pecora Paint Company, - Philadelphia Paint Oil and Varnish Club, - - PlttBburgh Plate Glass Company. Power Oil Company.' J. C. Pushes & Bone, Inc. . R. . H, Lacquer Base Company. Relchaid Coulston, Inc. ' Rubberset Company. Werner G. Smith (Werner <$. Smith Co.). Southern Mineral Products Corporation. : Spencer Kellogg & Sons Sales Corporation. Thompson, Welmann & Co. . U. S. Color Card Company. United Color & Pigment Company. R. T. Vanderbilt Company, . A. F. Voss. Wetherlll & Brother. Whltlng-Adams Company. . Use the-- Dab Lc DaiJ clr Dar Dau PI Day toi Day DeL Den, Co Den DCidl: Dog; To Dow Dral Dli Dres DrTooi Clf Dun AI> DuTno. Dwii Isl East Co: East Pe; . Eber ' Cb - Ebre Edw ; - ca( - Elde ' Col Eltoj EIw e Va Eme Emtt bus Enge Tor Evar par Ever. Felto deli Felto deli Fergi ' Che ' Piggl Tor '"Flttei . FlemJ >Flynr <y ingt jJFoss, SA-FoWsso;t Ss'p. rWayost Con R OIL, PAINT AND DRUG: REPORTER October 20, 1931 45 Those Who Attended the Atlantic City Meeting 30-8$ : W-T5 a-85 vo-53 . H-81 18-87 ' :0-82 ;Y-S2 0-01 0-70 . 6-77 2-104 2-06 7-88 4-02 , 10-79' 4-ST . 5-S8 0-S1 32*87 1-75 0-04 0-S5 0-91 6-79 0-87 8-94 0-71 0-94 : 0-78 0-71 5-87 s in. ring1 7- 98 . S3 5-107 - OB 2- 88 5-110 S-H7J-101' Frederick. G. W., Smith-Alsop Paint & Varnish Company,' Terre Haute. , Adams, R. F., Paint, Oil and Chemical Re- French, Holland H., Chemical Solvents Com* view, Chicago. pany, Naw York. g! AHegaert, John, United Coior <& Ftematit Com- Fuller, A. G., Bushwick Can Company, Brook "V pany, Newark. lyn. . . Almond, K. B,, McCloskey Varnish Company, f,- Philadelphia. li.!Alpera, W, A., Cleveland Paint & Color Com !. pany, Cleveland. ft'AIwyn, T. E., American Can Company, Fhlla- f delphia. .' f. Anderson* Dean C., Brooklyn Varnish Company, f; Brooklyn, .. 5 Amateln, Mrltz, Arneeto. Paint Company, t New York. * AuchlaclosB, W.. S., Oil, Paint and Drug Re-. 5: porter. New York. , . . 5- Ayrault, John, Jr., Larkin Company, Buffalo. Gardner, H. A., E. B. -A, & V, Aasociatlon, Washington, ' Gates, D. H., J. M. Gates & Sons Company, Charleston, W, Va. . George, P. D., P. D. George Company, St. ijoula. . Gibson, H. O., The Gibaon-Hom&ns Company, Cleveland. - - Goldecbmltt, Chao,, Chicago, 111. Graham, Frank D,, Wm. Graham & Co., Bal*. timore. B Graves, Nelson M., MoDougall-Butler Company, Babcock, Stephen C., John D. Lewis, Provi dence, R. I, Buffalo. GrlfBn, C, W., Colonial Works, Brooklyn, B&echle, J. e ., American Can Company, Chi* . cago. v-Baldwin, C. M., Charleston, W. Va. . .. H ' Banka, R. M., New York. Beer, Fred A., Western Dry Color Company, Chicago, BeJdler, William, Whiting--Adama Company, v Boston. Bendejarl, A, El., Cincinnati. Bennett, March G., Samuel Cabot, Inc., Bos ton. 1 Bennett, J. C., Wilson & Bennett Company, * Chicago. Birch, Wm. R,, Schnele Company, Buffalo. Black, C. H., American Can Company, New y York. iv Bloch, Jacob, Fred L>. Lavanburg Company, Chicago. Boggess, Robert C., Spencer-Kellogg & Sons Sales Corporation, New York. Boise, R. W,, Paul Uhllch & Co., New York. * Bowen, L... Pecora Paint Company, philadel phia. Bowen, S. B., Jr., Pecora Paint Company, ;j Philadelphia. 1-Bownes, Frank, Frank Bownea Company, >3 Chelsea, Mass. . KBrice, J, R,, W, H. Kerbp Company, New York. w Brown, R. N.. Philadelphia. s/Burnelde, F. W., McKesson & Robbins, Inc., New York. Hallett, R. L., National Lead Company, New York. Hancock, E, H,, Louisville Varnloh Company, Louisville. Hanline, Leon S., Hanllne Brothers, Baltimore. Hastings, John V., Jr., Hastings & Co., Phila delphia. . . Havey, M. L,, New Jersey Zinc Company, New York. Hsyt. W. H., Eagle*Floher Lead Company, Chicago. Healy, D. J,, Bpencer Kellogg & Sons Sales Corporation, Philadelphia. Heckel, George B., secretary Amerlean Paint & Varnish Manufacturers' Association, Phila delphia. Heckel, George B.., Jr-, Philadelphia. Heckel, J. E., R. T. Vanderbilt Company, Inc., Philadelphia. Hemingway, H. J,, R. V. Lacquer Base Com pany, Bound Brook, N. J. Henry, C. S. A., Power Oil Company, Phila delphia, '' Higgins. Wm. W., United Carbon Company, New York. Hoag. E. R., DIt'zler Color Company, Detroit. Hock, K. W., Hock Paint St Chemical Works, Inc., Phoenlxville, Fa. Hoefle. Emil, C. K. Williams & Co., Brooklyn, Hongler, Joseph A., Murray Oil Products Com Callahan, P. K., Louisville Varnish Company,. pany, Philadelphia. Louisville, Horgan, George V., general manager N. P. O. . Carter, p4 m., National Lead Company, New Se v. A., New York. . York. Hough, W. J., Wm. J. Hough Company, Chi . Carthaue, w. J,, Deep Rock Oil Company, cago. Chicago. . Howard, H. M-, The Thlbaut & Walker Com Caspar, Charles J., Pittsburgh Plate Glass pany, Long -Island City, N. Y. f Company, Pittsburgh. pavanaugh, J, F., Thompson-Hayward ' Chem ical Company, Kansas City. Howard, O. McG., Paint, Oil Chemical Re view, Chicago. Hughes, M. A., E. J. Shannon Company, Cln- . Chandler, H. F., Toronto. . ' clnnatl. ., Chatfield, H. S., Mae-Lac-Kasebler-Chatfield Hunt. J. W., Washington, D. C. r Corporation, New York, Hunter, V. H., Warner G. Smith Company, .-Chessman, Frank P., Cheeamau-EllJot Com- New York. __ pany, Brooklyn. . Hursh, Robert, New Jersey Zinc Sales Com . Childs, Sam D., J. C. Ptiehee & Sons, Boston. pany, New York, . Coatee, Floyd S., Trade-Way's Corporation, New York. . - Coleord, H, F., American Can Company, New r York. . Ingram, J. E,, Pittsburgh Plate Glass Com Candle, H, D,, Condle-Bray Glass & Paint ; Company, St, Louis. . Cornish, E. j,. National Lead Company, New . York, Crary, Arthur V, Continental Can Company, pany, Pittsburgh. Junes, O. G., Innes & Co,, 7nc., New York. Irvin, H. J., National Lead & Oil Company of Pennsylvania, Pittsburgh. New York. Craig. M. JO., New York. J 51-- TM08 2- M 5- 2- 58 ' )- 51 >- 68 5- 56 ?- 47,: 2- 81 the . -Crawford, Wilmer H., W. H, Crawford Chem leal Company, Cincinnati. D Dabney, William C-, Jones-Dabney Company, : Louisville, ..'Dali, W. A,, National Lead Company, Cln- .. clnnatj. -Darby, Chaa, A., Jr., Whitlng-Adame Comv pany, Boston. Damn, Adam E., Impervious Varnish Company, . Pittsburgh. . Davies, E. G,, C, K. Williams Company, Eas-. ton. Pa. Davis, Meyer, Meyer Davis Company, Chicago. DeLore. c. P., C. P. DeLore As Co., St. Louis, Dflnsmore, J. B., Roseville Commercial Alcohol Corporation, Philadelphia, - Derrick, F. J., perry & Derrick Company, Cincinnati. Dickens, e . -S., Beck-Kohler Company, Detroit. Doggett, S, H., Stanley Doggett. Inc,, New York. Dowdy, H, R., Dowdy Bros., Philadelphia, Drake, u. R., National Association of Paint Distributors, Chicago. Drescher, N. W., Valentine Company, New -York. . Droulllard, J, C., J. C. Drouillard Company, Cleveland. Dunning, Harry S., American Commercial Alcohol Company, Chicago. Dunning, Stanley E., Mnralo Company, New York. Jacobs, A. B., H. W. Peabody & Co., New JaTden, Wm, H., Jr., MeCloakey Varni3h Com pany, Philadelphia. Jarden, Chats. F,, Sherwin-Williams Company, Philadelphia. Jensen, Fred A,,. Fred A. Jensen, Chicago, Johnson, Hugh G., The Ohio Pall Company, Mlddlefleld, Ohio, _ ... Johnson, H. M., Beck Kohler Company, Detroit. K Keister. James B., National Lead Company of California, San Francisco. Kelly, R. E., Advance Paint Company, In dianapolis, ' ; . _ . . Kempf, Joseph, Wilson Imperial Company, Newark. _ Kenny, T. J., Devos & - Rayt>lds Company, New York. , ,_ , Klngsborough, Harry, Krebe Pigment & Color Coloration, Cleveland. . , __ Klein, Samuel, Calc Chemical Company. Bound Brock, N. J. _ , _* Knapp, Georgs S., Imperial Co Io t h Works, Inc., Glena Falls, N. Y. . Khapp, George W,, Paterson, Boardman & Knapp, New York. Knoke, F. W,, American Zino Sales Company, St. Louis. _, Kohr, * D. A., Low Brothers, Dayton. L Dwight, Maitland, Edward Smith & Co., Long Island City, N, Y. LeCava, L. J., Continental Can Company, E LaneT Franklin* J., Boston Varnish company, LevMllo)'"-Edward A., Traffic. Committee,. Chl- Eastman, Whitney H., William O. Goodrich . - Company, Milwaukee. ; Eastwood, Charles W,, United States Gutta , Pereha. Company, Providence, R. I. Eberhardt, M. J., American Can Company, ' Chicago, Ebrey, c. E., Hastings & Co., Philadelphia. 5. Edwards, H, G., American Can Company, Chi cago. 1 Bide, A. C., American Zinc Sales Company, * Columbus. : Elton, R, w.. New York. ' Elwang, W. B., Sanders Brothers, Richmond, - Va. Emerson, R. W., New York. 1* Emmons, T., American Zinc Company, Colum- jn - bus, Ohio. K Engerfi, John A.. General Plasties, Inc., North Tonawanda, N. Y. ; Evans, Ray M., Evans-Wallower Lead Com ; pany, charleston, W. Va, K; Everett, R. H., Brooklyn. I' Pelton, Horace S., Felton, Sibley & Co., Phila- J$ delphia. E- Felton, J. Sibley, Felton. Sibley & Co,, Phila delphia, Ferguson, George M., National Pigments & Chemical Company, New York. Figgis. D. W., American Can Company, New i York. j Fitterer, -John W., DuPont, Parlln, N. J. I Fleming, j. P., J. Lee Smith * Co., Now York. Flynn, T. A,, Eutler-Flynn Paint Co., Wash- of 1,- ington, [ Foss, Walter R., Wooster Brush Company, Wooster, Ohio, TS.-vi I'Foss; Walter D., Wooster Brush Company, Lewis,' Georg A., Martin Company, New Lindsay, R. W,,' Pratt Lambert, Inc., BufLtttirV P. iH., E.. H. Litter Company, New L^kwood, -J. E., Hercules Powder Company, Wilmington, - - .. _ Loud, Fred El , Murray Oil Products Com pany, Philadelphia. _ ... Lovill, C. L., American Can Company, Baltl* Lukens, F. LaVers, C. H. Howell & Co., Phil adelphia, _ Lundy, J. H., New York. M MnComb, William R., Flexwood Company, New McCoride, G. A., Krebs Pigment & Color Corp., Newark. McDonaugh, *R. A., New York. McFadden, Tbos. J., Washington. McGhee, Albert, \EnterPrlee Stamping Com pany, McKees Rocks, Pa. McGhee, Walter, Enterprise Stamping Com pany, McKees `Rocks, Pa. McGovern, Cfcpt. James Alcohol Commit tee, -Washington, D. C. ,, MacGregor, John R., Eagle-Rioher Lead Com pany, Chicago. ,,,, ., Mclnnes. James, Jr,. Hossvllle Commercial Alcohol.Company, New York. McKay, R. S., Dean fe Barry Company, Co lumbus. ,,^ _ McKalg, F. a., Samuel H. French & Co., Philadelphia. ,, McNulty, John A., Joseph A, McNulty, New A Wooster. EFraysor, P. C., Mound City Paint & Color Company, St. Louie. York. Monhafl, W. W., C. M. Athey -Paint Com pany, Baltimore. McLanthlen, A. Irving, Carpenter-Morton Com pany, Boston. Malott, C. M., IndianaipoHa Paint & Color Company, Indianapolis, Manglft, J. J., United Color & Ffgment Com pany, Newark. Mangin, J. A., United- Color & Pigment Com pany, Newark. Mason, A. P,f Spencer Kellogg & Son Sales Corporation, Cleveland. Martin, Georg A., Sherwin-Williams Com pany, Cleveland. Martin, Wells, Martin Varnish Company, Chi cago. Martin, Z. E., Martln-Senour Company, Chi cago, Maston, Willard E., Eagle-Ficher Lead Com pany, Cincinnati. Matlack, S. R., Geo. D. Wetherill lSt Co., EPhil- -.adelphia. Maxwell, F. R., Elder St Jenks, Philadelphia, Melville, W, R., National Lead Company, Buffalo. Metzger, R, S., Proer Oil Company, Phila delphia. Meyer, Fred L., J. Meyer & Sons, (Philadel phia. Miller, Ward A., Southern Mineral Products Corporation, New York. Miller, Leon W., New York. Morpe&h, William R., GrairseUi Chemical Com pany, Newark. Morris, C. P., Binney St SmiHh, Haddonfleld, N. J, Morris, B. Haddonfleld, N, J. Morton, E. E-., Carpenier-Morton Company, Boston. Moses, Fred L., Fred. L. Moses, Boston. N Nemzek, L, P;, du 'Pont Company, Westfield, N. J, Neumann, R. M., New Jersey Zinc Company, Chicago. O'S-haughnessey, Eu A., New York. Outcault, Harry E., St, Joseph Lead Co., New York. p Pearson, H, W., U. 3. Kalsomln Company, New York. ' Peters, E. v., St, Joseph Lead Co., New York. . Phillips, L., Valentine Company, New York. Pino, Milton K., The Muralo Company, Chi cago. Plnney, H. A,, American Can Company, Chi cago. . Piatt, Walter F., Jr., Archer Daniels Midland Company, New York. Plumb, Dr. R. A., Truscon Laboratories, De troit. Pope, Harry A., Archer Daniels Midland Co,. New York, Priest, George H., Jr., American Paint Jour nal Company, St. Louis. Pragor, Charles H., Bradshaw, Praeger & Co., Chicago. , Pringle, William L., U. S. Gypsum Company, Chicago. Puffer, Bruce, American Commercial Alcohol Company, Philadelphia, Puehee. Geo. H., J. C. Fu$hee& Son, Boston. Pyo, R. C., J. Lee Smith =& Co., New York. Q Quincy, Lyman, Sun Oil Company, Philadel phia. R Rainey, R. F., 'Pittsburgh Paint Supply Com pany, Pittsburgh. Ramaey, David p., Philadelphia. Rau, Dr. C. F., McCloskey Varnish Company, Philadelphia. Reeves, S. French, J. t . Louis & Co., Phila delphia. ' (Raid, C. D., New York. Reilly, Hugh, JrM Washington. : Rice, Wilbur L,, u. S. Gutta Peroha Company, Providence. Rice, M. L., Now York. RBe^ Ji H,, Jr., Hercules Powder Company, Riley, M. H., Eagle PJoher Lead Company, Baltimore. Ritchie, William A., Standard Ultramarine Company, Huntington, w. Va. Robbins, Clarence A., Robbins Varnish Com pany, St. Louie, Robertson, Wm. J., Hiller & Merz Corporation, Ne-w York. Robertson, Wm, A,, Hanlon ufe Goodman Com pany, New York, Robinette, R. 'B,. Tropical Paint & Oil Com pany, Cleveland. Roettker, B. H., -B. H, Roettker Company, Cincinnati. Rockwell. Fletcher W., National Lead Com pany, Greenwich, Conn. Rub, Charles J., Murphy Varnish Company, Newark. Roosevelt, -Ralph M., Eagle-Pleher Lead Com pany, New York. Rosen, M. A., Montrose Corp., Brooklyn. Rcsenbach, M. P., Denny, Hllborn & Rosen- baoh, Philadelphia. Ro s b, Bruce. Toronto, Rowe, Harold, National Lead Company, New York. Rutherford, J, J., Bradshaw, Praeger & do,, Chicago. s SampHon, -F, J,. Sampson Paint & Color Com* .pany, Richmond, Va. Sanderson, John M., American Cyanamld Com pany, New York. Sanders, Stuart, Sanders Brothers Company* Richmond, Va. Schauta, J. M., Hercules Powder Company, Wilmington. Schafer, A. E,, Ozark -Smelting & (Mining Com pany, Cleveland. Schlnke, Carl H., Rlsbee Linseed Company, Chicago, Schoalee, W. W-, Harris Company, Toronto, Schumann, John. HtJ Hilo Varnish Corpora tion, Brooklyn. Schumann, Carl J., Hilo Varnish Company, Brooklyn. Shannon. Robert K., National Paint, OH & Varnish Association. New York. Sid-forti, Henry G., National Lead Company, New York, Simpson, j. I,, Canadian Industries, Ltd., Montreal. Sllberman, L., Paragon Paint Varnish Cor poration, Long Island City, >N, Y. SLme, W. W., U. S. Color Card Company, Chicago, Sklarz, Leo, United Color Pigment Company, Newark, Smith, Werner G., Cleveland. Sinclair, G. D., Har&haw Chemical Company, Cleveland. Smith, H. C., Southern Shellac Manufacturing Company, Memphfe. Solincky, R. S., Continental Can Company, Chicago, Somers, Fred L., Fred L, Lavanburg Com pany, New York, Somers, Arthur S., Fred L. Lavanburg Co.. New York. Stewart, S. H., S. H. Stewart & Co., Chicago. Sterwart, James K., Anderson-Prlehard OH Corporatin, Chicago. Stoik, William C., American Can Company. Philadelphia. Sullivan, Thomas V,, Federal Color Labora tory, Cincinnati. .T Thomas, A. B., W, H. Kemp Company, New York. TObey, D. M.. Anaconda Sales Company. New York. Trimmer, M. R., American Cyanamld Com pany, New York, Trigg, Ernest T., John Lucaa & Co., Philadel phia. u Uebele, F. L., Savannah. Uehllnger. -31., Egan & Long Island City, Hauaman ' Company, v Van Vranken. F. J., J. S. & W. tR, Bakina, Inc., Brooklyn. Vickerman, C. H., -Eagle-Pleher Lead Com pany, Philadelphia. Voss, A. F., American Paint Journal Company, St, Louis. . w Wakefield, H. A., Imperial Color Works Com pany, Philadelphia, Walker, Randall O,, Thlbaut & Walker Com pany, Long Island City, N. Y. Wallace, Wm. B., Eagle-Picher Lead Com pany. Philadelphia. Walton, J. 'Em Jr.. Aluminum Company of America, Pittsburgh. Warner* F. a ,, jr., Wm. Graham Co., Balti more. Watson, Geo, E., Geo. E, Watson Company, Chicago. Wotscn, Harold E., Chicago. Webber, W. V., Evans Lead Company, Cleve land. Webber, R, l,, Evans Lead Company, New York. Webster, H. E., Pratt i& Lambert Company, Buffalo, ' West. H. T., H. T. West 'Sc Co,. Boston. Wethenn, A. P.-, Wetherfll * Brother, Phila delphia. Whiteway, P. j., Geo. -D. WetheriiL Haddon- field. N. J. Whiting, H. E., Blsbee Linseed Company, Philadelphia. Wlesel, J. Boiseau, Hercules Powder Company, Wilmington. Wilkinson, Horatio L., -Debevolse Company, Brooklyn. Williams, C. K., C. K. Williams & Co.. Easton, Pa. Williamson, Thomas A., C. H. Howell & Co.. ' Inc.. Philadelphia. Wishnlck, Robert, Wlshnlck-Tunvpeer, InC., New York. Woodlock. H, J., Schroeder Paint & Glass Company, Detroit. Wright. Walter E., Harshaw Chemical Com pany, Philadelphia. Y Yarnall, Walter P., Yamal! Paint Company, Philadelphia, ' z Zimmerman, E. E., E. E. Zimmerman Com pany, Pittsburgh.* Zinsser, William H., Wm. Zlnaser & Co., New Yr-rk. Zinsser, Rudolph. New York. Ladies Present A Almond, Mrs. H. B., Philadelphia, Alwyn, Mrs. T. E., Philadelphia. Anderson, Mrs. Dean C., Brooklyn. Amstein, Mrs. Moritz, New York. Ayrault, Mrs. John, Jr., Buffalo. B Babcock, Mrs. Stephen C., Providence. Baldwin, Mrs, C. M., Charlestown, W. Va. Banks, Mrs. R. M,* New York. Bendeiari, Mrs. A. E., Cincinnati. Birch, Mrs. William R., Buffalo. Black, Mrs. C. H., New York. Bownee, Mrs. Frank, Chelsea, Moss. , Brown, Miss Edna, Washington. Burnside, Miss Margaretta, New York. c Callahan, Miss Edith, Louisville, Campbell, Miss Claire, St. Louis, Caspar, Mrs. Charles J., Pittsburgh. Childs, Mrs. Sam D., Boston. Colcord, Mrs. H. F., New York. Crary, Miss Mary, St. Louis. . D Dabney, Mrs. W. C., Louisville. Daum, Mrs. Adam E., Pittsburgh. Davies, Mrs. S. G., Easton, Pa. Derrick, Mrs. F. J.* Cincinnati. .Doggett, Mrs. S. H., New Y<rk. Dowdy, Mrs. H. R., Philadelphia. E Edwards, Mrs, H, G., Chicago. F Felton, Mrs. Horace S., Philadelphia. Ferguson, Mt b. Geo, M., New York. Figgis, Mrs. D. Ws, New York. Frayser, Mrs. P. C.. St. Louie. French, Mrs. Holland Is., New York, c Gardner, Mrs. H. A. Washington. Gates, Mrs. D. H., Charleston, W, Va. George, Miss Helen, St. Louis. George, Miss Mary, St, Louis. H Hallett, Mrs. R. L., New York. Hancock, Mrs. E. H., Louisville. Hastings, Mrs. J. V.. Jr., Philadelphia. Hayt, Mrs. W. H., Chicago, Heckel, Mra. George B., Philadelphia. Heckel, Mrs. J. E., Philadelphia. Hendrickson, Mrs. H. E., Winterbourn Com pany. Npw York, . \ 46 October 20. 1931 Hofstatter. MJss Ruth, Blnney & Smith Com* pany, Now York. Howe, K. J., Chicago. Hughes, Mrs. M. A.. Cincinnati. Hunt, Mra. J. W,, Washington, j Jacobs, Mra. A. E., New York* jardin, Mrs, C. P., Philadelphia, Jardin, Mra. 'William H., Jr., Philadelphia, K Keiser, Mias Laura, Cincinnati. Kent, Miss Ignore, Washington. Klein, Mrs. Samuel, Bound Brook, N. J, Knoke, Mrs. >F, W,, St, Louis, Kohr Mrs. D. A., Dayton. Kurfees, Mrs. J- F,, Louisville. L Lane, Mrs. Franklin J., Boston. Lindsay, Mrs. R. W,, Buffalo. Llpphartit, Miss Marion, St. Louie. Litter, Mrs. P. H., New York, Lovell, Mrs. C. L., Baltimore. M McDonough, Mra, R. A., New York. McGregor. Mrs. John R,, Chicago. McKaig, Mm. E, Philadelphia, McLauchHn, Miss Muriel, Boston. Martin, Mrs. Geo, A., Cleveland. Maston, Mrs, Willard E., Cincinnati, Matlack. Mrs. S. R., Philadelphia. Meyer, Mra. Fred L., Philadelphia. Millar. Mrs. Wm. W., New York. Morris, Mrs. B. B., Haddonflold, N. J. Morris, Mra. C. P., Haddonfleld, N, J. Morton, Mra E. E., Boston. N Nemzek. Mra L. P., Wetetfleltf, N. J. P Peters, Mrs. E. V., New York, Finney, Mrs, h . a ,, Chicago. R Rau, Mrs. C. F,t Philadelphia. Reeves. Mrs. S. French, Philadelphia Rile, Mrs. J. H., jr,, Wilmington. Riloy, Mrs. M. H., Baltimore. ' OIL, PAINT AND DRUG REPORTER S Robbins, .Mrs, Clarence, St. Loula. Robinette, Mra. R. B.r Cleveland; Rockwell, Miss Elizabeth, Greenwich, Conn, Rockwell, Mrs.. Fletcher-W.. Greenwich;, Conn, Roh, Mt h . C. J., Newark, Roh, Mias Helen E,, Newark. .. Roosevelt, Mra. R; "M., New York. ' RoaOn, Mre. M. A., Brooklyn. , - S' Sanderson, Mrs. J, M., New York, Schlcnke, Mrs. Carl H,, Chicago. Slme, Mrs. M. W., Chicago. ', . Somers, Mrs. Fred L.. New York, . Stewart, Mrs. James 'K,, Chicago. , Stewart, Mrs, S. H.P Chicago, . Stilling, Mre. S. K., Buffalo. .L Stalk, Mrs. W. C,, Philadelphia. Sullivan, MIbs Laura, Cincinnati., .: Sullivan, Mrs. ?. V., Cincinnati. . u Uehele, Mrs, F. L., Savannah. V Vlckerman. Mrs. C. H., Philadelphia. Vlckerman, Mias Helen, Philadelphia. Voss, Mrs. A. F-, St. Louia. w Warner, Mrs. F. H., Baltimore. . Watrous, Mrs. B. A,, Watrous Varnish CW pany. Philadelphia. Watson, Mrs. George E., Chicago, Watson, Mrs. H. E,, Chicago. Webster,- Mrs, M, B,, Buffalo. : \j Whiteway, Mrs. P. J., Haddonfleld, N. J. -' 3 wiinamaon, Mrs. Thomas A., Philadelphia,};^ Wlshnlck, Mrs. Robert, New York. " t Thorneas, Mrs. T, C., Chicago, , Trigg, Mrs. Ernest T., Philadelphia. z Zimmerman, Mr*. K. E., Pittsburgh. Index to N. P. 0. Sc V. A. Convention Proceedings ' Addresses:-- Case of the Railroads (Noxon)............ 32 Inaugural (Maston)................................. 43 Morris, Hon.'Roland................................. 41 Presidential (Frayser)............................. 7 Remedying Depression- (Leasure).......... . 30 Review of Convention (Zinsser)............ 39 Tragedy of "Near" (Plumb)................... 31 Stites, Hon. F. W..................................... 42 What Price Prosperity (Klein)............ 15 Attendance List ............................................. 45 Banquet .................................................. 41 Code of Ethics Read..................................... 5 Election . ..................................................... 40 Entertainment Features.......................... 41 Golf Tournament..................................... 44 Maston, W. E., Biography.................... 5 5 Open Forum:-- Correction of Wastes. Crowded Programs . . Export Trade............ Value of Clean Up and Paint Up. 38 38 38 38 39 38 39 Reception of Delegates........ ............................... 5 Reports, Committees;-- . Arbitration.............................. 35 Clean Up and Paint Up.................... . . 31. Constitution and By-Laws........ ............ 28 Uniform Financial Plan.......... ;, . . .28 Credits ................................................. ;; 11 Flax Development............ .................... 19 Argentine Flax Survey.................... 20 History of Committee.......... .. 2T Linseed Oil Statistics.......... ............. 21 Foreign Trade-.................................... 35 Industrial Alcohol .......................;... 34 Legislative ....................................... ... 29 Manufacturers....................................... 35 Brushes.............. .............. ............ 35 Chemical Colors.............. ............ .. 35 Containers ...................... ................ 35 Earth Colors........ . ........ 35 Gum Rosin...................... Lead ................................. Linseed Oil................. ................ 36 Lithopone...................... .. ........ ",. . . 36 Miscellaneous Oils.......... ____ 36 Paint ................................. 36 Plastic Paint............ ...... ................ 3? Shellac ....................... ...... Spray Painting................ . Reports--Continued ' Committee, Manufacturers--Continued Varnish .. ... ............................................ . Varnish Gums.......................................... Wood Rosin............................................ . Zinc Oxide..................... ......................... Master Painters .......................................... . Memorials ..................................... .............. Membership ................................................. Associate Memberships.............. .... -. Nominations..................... ............................ Paint Distributors..................................... Rosin Marketing.......................................... : Save the Surface.......................................... Simplification and Standardization, ... . Tariff ............................................................. Trademarks ............................................... Uniform Club Programs.............. ........... Kducational Bureau........................................ . ' General Manager............................................ Traffic Bureau,,............................................... ..Treasurer..................... .................................... "Unfair Competition ..;................................ ' Macdonald's Report................................... McFadden's Report................................... Resolutions:-- . Appreciation ................................................... .. " Financial Plan................................................... . Heckel Tribute................................................. , Joint Conventions............................................ \c American Can Co........................................... 48 Archer Daniels Midland Co......................... 20 Binney & Smith Co....................................... 14 " Chemical & Pigment Co., Inc..................... 8 Commercial Solvents Corp.......................... 4 Felton-Sibley & Co., Inc................................ 18 Index to Advertisements . Fezandie & Sperrle, Inc. ..... ,14- Furness Bermuda Line.............. . 16 Lavanburg, Fred. L,, Co. ....... .. V 6 Murphy Varnish Co............ ............. ............ .18 National Lead Co. . 1...... ,12 , R. B. H, Lacquer Base Co;, .......... .. 10 St. Joseph Lead Co.......................Front Cover Sherwin-Williams Co....................................... 6 Sun Oil Co........................................................20 VThibaut & Walker Co.................................... 10 Thompson-Weinman & Co,, Inc................ ,6 United- Carbon Co.........;.......................... .2 ' U. S. Gutti Percha Paint Co.......... . 47; Williams, C. K,, & Co.............. ................... 10