Document J3zY7O5dVEMG63je3vM2V8zMa
rot for Publication
REPORT OF THE PRESIDENT
TO THE EXECUTIVE COMMITTEE
July 23, 195U
O'-1- u ION
In r_y limits with i./::v;:-rs of the Assoc:* -.iion I find very fa;v co.-y':-* ::ts of y .r res:'r.css xr.d an exceptionally large nrr.ber of reports of increasing soles*
It should ca particularly encouraging to note the constant increase in re w c:as true tier., Consur.or inccrae is still at a record peak, latest erpleyr ant fig'-nos ore above predictions and retail, sales are only Z behind last parr's. Tits r.onns good business for us*
I am confident our sales this year will exceed those of last year*
OyYPLAL
rbfii.llKGS: Since the last Executive Co::r.ittc.e nesting I have had several confer ences in Washington; attended the following nestings:
Southwestern Paint Executives, Dallas, Texas Scnthv.e-torn Paint Ccn.-ention, Dallas, Texas President Eiserhewer's Conference on Occupational Safety Executive Ccr.rittce, New York Paint, Varnish and Lacquer Association,
New 'fork Annual hinting, New York Paint, Varnish and Lacquer Association, Yew iVM< Annual P. : aid nt* s Day, Cincinnati Paint, Varnish and Lacquer Association,
Cincinnati, Ohio Louisville Faint, Varnish and Lacquer Association, Louisville, Ky* Executive Co- -.ittce, Chicago Paint, Varnish and Lacquer Association,
Chicago, 111* Chicago Paint, Varnish and Lacquer Association, Chicago, Illinois St, Louis Paint, Varnish and Lacquer Association, St, Louis, Ho, Milwaukee Paint, Varnish and Lacquer Association, ;ilwaukee, Wis, National Trade S-'les Corrittec, Chicago, Illinois Technical Subccmnittc-e, Industrial Product Finishes Steering Corr.ittee,
Chicago, 111, Industrial Product Finishes Seminars, Chicago, Illinois Convention Hospitality and Entertainr.ent Corrittees, Chicago, Illinois Steering Coraaittse, Industrial Product Finishes Division, Chicago, III* District of Columbia Conaissioner Sc Tennessee Senators, Clean Up Paint
Up - Fix Up Trade Mark Corr.ittee, Washington, D. C, Industry Suppliers' Ccnrdttee, Washington, D. C. U. S. Chanter of Cornerce, Washington, D. C. Subcoraittee of Cornittee on Model Labeling, Washington, D. C, Keep Ar.erica Beautiful Directors, Ke.v York, "sw York Cincinnati Agreerent, Chicago, Illinois Weed Finishes Manufacturers, Chicago, Illinois
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President Eisenhower's F.ehabilitaticn of Africa Program
American..Legion Officials, Washington, D C*
Officials'National Lumber Manufacturers Association, Washington, D. C. Scientific Section Subcommittee - U. S. C-cvsrnment Paint Specifications,
Washington, 0. C. Subcommittee on Model libeling, New York, Ys-.v York
Scientific Section Subco.m.ittee - Fire Eetarcant Paints, Via suing ton, D.
Scientific Section Subc: ..rit-tee - Test Methods, Washington, D, C.
STtY S.: LMS: Total sales for the paint, varnish and la coxier industry for N:-y, as rcvcried by the Pureau of the Census, v.re 6125,019,
decline of 1*3 pci cent from April and 6,1 percent lees than Nay of 1>'53*
Era's Sales of ..77,765,000 were virtually the sane as April and 1,1 percent less than hay of last year* Industrial sales of 615,251;,0-00 were 3,3 percent loss than April and 13*5 percent under last lay*
` ccumulated sales for the five months to date are 6570,101,COO which is lg*li pares.', -ss than for the same period last year* Trade sales are less then 1 percent her 1553 with 6351,uS5,000 while industrial sales for the five norths are
. 213,616,000 which reprasents a decline of 9U percent from last year*
CNN-.lYflOY; The 66th Annual Convention 'will be held at the Palmer House in *"* Chicago, November 15, 16 and 17* The Federation will n:et November
16, 19 end 20 at the sane place. The Entertainment and Hospitality Steering Co-niticas net in Chicago on June 3 and made plans for social and hospitality activities*
: AVY PALM? IiA: br-AACTU?JNS: At a nesting vdth Navy officials in June r;e offered the full cooperation of the industry to assure an
-Jo .-note supply of quality paint, I suggested that a Committee composed of lers of the industry and officials of the Navy Department be appointed to
study .-polity control, inspection and other phases of paint procurement. In addition, I wrote Secretary of the Navy Thomas offering to place personnel of the Navy paint plants in our industry and to buy their paint manufacturing machinery, equipment and raw materials so as to assure disposal in an economic and orderly manner* The Department of Defense Directive reqixires the Navy to justify its continuance of Navy paint facilities not later than Axjgust 8*
C-DV'p-N:
< Average monthly obligations continue above three bill ion
dollars vdth a slight tendency to rise. No reductions
in this rate are contc-plated at the present.
Ni YI''SHIP; As approved by the Executive Cc-nittae at our last mooting, we have dropped twenty-one nectars because of r.cr.-payuont of dues, or resigns
tion* During this sane period v.e gained fourteen now members, giving a net loss of coven --rubers.
TECHNICAL
PAN :AVI~IA15: linseed Oil - A 195U flaxseed crop of 50,359,000 bushels is fore cast, 37 percent more than the 36,313,000 bushels produced in
1753 mod 35 percent above rarge. If tlds for-oast is correct the 1??U crop vo 11 be th.e rreend largest cn record eroded only in 1 9!.'3* Yield per acre is expected to be higher than last year, 91 bushels co. pared with 8,U bushels,
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CCC has sold -210,000,000 Its. of lir.saei cil for eigport at 60 per pound, essential
ly cleaning up the surplus oil on hand Iron the 195*2 and earlier crops. CCC c-vns
about 7 nillion bushels of the 1953 crop, scae of which is being toll crushed.
Mens of this oil is currently offered for sale, except to the crusher at prices
ecu''valent to the 1953 siruport price,
05, Minneapolis. At real prices thus is
ah cut 160 a pound. Stocks of oil at this price are r -pie to last until the 1?5U
ciop ccr.es to market. Price should then go to the equivalent of the 195'u sup::rt
price, This will be about 130 at present support price.
Flaxseed is being offered for errport sales by CCC at $2,27, unlikely that there v.lll be : "ch business at this price.
.th, but it is
ntly ISA asked for bids on 32 tons, about 2530 gallons, of fed 1 bilitation of Korea. The paint is being purchased by Foreign Cp. str-rtien. Kids were received fion 31 American ranufadorers and 4. -- ~r- -
. v C-------
d Frir ati nns v:o f or
i or .:n
Che aval' d was race to a Dutch corpany on a lew bid basis. It is not kr.cwn that the suoc essful bidder purchased lino:a d oil which CCC had e:xcrted at 7 cants par pound, However, at that tine the Amerlean price was around 1U c:nts, which accountyd for the approximately 23 co-nts por gallon spread in the cost of foreign paint as cer.uared to American uanufactv.red products.
ng Oil - As a result of oar request 'to "resident Eisenhower regarding an i.ruport 'ota'o'f 10,855,000 lbs. of tung oil, he hrs dirc-cted the United States Tariff C: ..unissi on to investigate the effects of tung nuts and oil imports on the donestic Ice support program. The Association will appear at a hearing scheduled for shir.gtcn c-n August 10.
The Senate Agricultural Committee, ccntraiy tc Piusider.t Eisenhcwer' s recc.u- n-'sli.on, voted to retain price supports on tang nuts between 60 and 90 percent of p srity.
SCIENTIFIC SECTION; Subcommittees of the Scientific Section Committee to advise on specific projects have been appointed. Meetings have
to an scheduled and each subcommittee will r.:eet prior to the main committee's aeeting in Sc-pte-mber.
Fire Retardant Paint - Studies of test r.ethcds are uude-rway to devise a snail cale practicable portable test and also to develop more information about the Stick and 'ick Test. These snail scale tests r.ai:e use of id ding power paper charts and other surfaces.
Moisture - The Hidden Menace - Study to improve laboratory methods of determining transmission of water vapor"through regular and so-called breather paint films is in progress. The director spoke at Moisture - Hidden Menace casting at Greens boro, North Carolina, in May. Two officials of the Public Housing Administration and the director inspected the paint jobs on defense hor.es at Aberdeen, Maryland,
vi fevud that tha bad pa:-l: :g was due to a combination of yellow pine siding rod ch: o crawl s:aces.
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Publicatlons - Supplement 16 to Circular 751, U. S. Government Paint Specifica tions- appeared in May, Circulars in preparation include: Storage of Paint; 1'te:: Paint Testing; Caulking Compounds Manual; Clear Finishes for Exterior 'wads; P.elation Detween Dispersion and Gloss; Complete P.evisicn of the United S rates Government Paint Specifications; P.evisicn of Index of Driers, Plastic::. _s end C*'.3..;ic3l Specialities,
Hi so --'l am earns - Investigation of problems of color r ensvrement has acen.mlr.ied c--. . = : darable'data, A series of publications on this sublet ''11 ' s ire. sued,
TICH.ilC'iD I DU l-.T I1CM: A technical educational bulletin for eiwcaticr.al ccr: .itl * :s of the Association outlining successful local plans end
display materiel to be 'used in high schools ar.d simple paint tests for high school rherds try students is under-.ay. More than 9200 copies of the present Educational I.-ochure have boon distributed,
JdlISLATIOlI
Federal - A boll authorising a 199$ Census of Manufactus es is new law but the '?s cenio-d a supplemental appropriation requested by the President, It is
unlikely the Census will be taken,
I have urged the Senate and House Cor::.ittees on Government Operations to give crly ecusi deration to companion bills introduced by Senator Hendrickson and Pr-pros:-ntaiive Osmsrs to terminate or limit government competition with private industry* Representative Clare E. Hof.fr.an, Republican, Michigan, Chairman of the Her.re Co:nittce, in a letter published in ''Coatings" acknowledged support of
y request no the Committee started hearings on the Osners' bill, July lL., The /-r.. ociatic:: testified in support of the bill and pointed out the need for an a inist: ative agency to recommend positive action by the President on govorr.- uvt -private enterprise matters* An amended bill, favorably reported July 21, and passed July 2bt declares a policy of encouragement of private enterprise; designates the Secretary of Commerce to receive industry and public protests, and authorizes the President to terminate any government activity found after investigation to be competitive with private business* A similar bill will be introduced in the Senate*
The appropriation for the United States Office of Education contains permission to expend ^900,000 for vocational education in distributive occupations instead of a previous li50,000 limitation* This will help increase our "Faint Fewer" activities.
State - Air polution control statutes authorizing the establishment of regulations "are enacted in Massachusetts and New Jersey*
A Rhode Island, bill requiring placarding of all trucks carrying fl.'-m-able liquids was not passed*
A Louisiana general contractor's licensing bill i3 being investigated*
T.-.c: ...lital of a New Jc:mey texic finishes bill, A-395, was ecu.. pU sh:-4* T* 3 bill, general in mature, amended the criminal code to make the use of lc--i ; .--'ut c:a toys and children's furnilvre a crisre, The bill would relieve rr-r-ufact-:. era
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of criminal responsibility provided they guaranteed their finishes free of suhrtances harmful to children# I expect the recommittal will delay action on the bill for this session^
The Michigan State Supven Court nued unanimously that painters* unions cannot ban the urn a of paint roll s in collective bargaining contracts#
Municipal - The Mew York City Department of irealthi has ruled that warning labels
oil "paint .toducts coni d.r.g load are required, tut delayed my legislative action until after Scpte: bar .1 in cider to permit the industry to subr.it su.-^este-d label.s# The A isoc-Uticn* s Model Labelling Low Srb o-rxifcVse is v.crkiuj c-n this problem# A pcstpon- scent of any official action to allow completion of cur study is co.p acted#
The Maw York City Fire Tep-artr.:ent regulations relating to products flashing bilcw 300?., and the necessity of warning labels are under discussion with city offi cials# Froducts marketed and labeled as paint, lacquer, enamel, lacquer thinner, varnish and turpentine are exempt from the warning label# Shellac, linseed oil, boiled oil, raw oil, white lead, red lead, shirgie stain, oil stains, bulletin colors, colors in oil, toner colors and sign writer's colors are also exempt. Faint products packaged in pressurised containers and all other industry products y eluding roof coatings and roof cements, v.axns, polishes or polish
removers w- ich flash below 300F# rust carry the certificate and `warning label#
This information was sent to menberso
Urfsir_Ccr petition - The Federal Trade Commission decided to call mastic coatings jvfnufactnr -rs to" a trade practice conference instead of handing complaints m an : r.o'ivi l-.'. ?1 bareso The cost of separate investigations was a controlling factor in the Com i salon's decision# The proceedings will be followed by the Associatien's Go:: r-rel Counsel#
The Federal Trade Commission postponed until fall a foimal hearing on the ccnpl*? \t against Mary Carter Faint Organization, Linseed White Company and Flastiq Finishes Company#
DIVISION ACTIVITIES
i:~?UST?J-AL FFODUCT FINISHES DIVISION: The Annual National Industrial Froduct Finishes Seminars were held in Chicago,
June 3rd# All Class A members were invited and attendance c-xccedod that of last year# Lacquer Subcomiiittee and Industrial Product Finishes Steering Commit'ze quarterly meetings were in Chicago, June 2 and Ii, respectively# The name of the Lacquer Committee, a subcommittee of the Steering Comrittce, was changed to "Technical Subcommittee1* to indicate the broader functions of the subcommittee approved in September 1953# These are* "The functions of this committee are to ?.nclude the technical aspects and the development of father uses and breeder markets for air-drying, baking and all other types of industrial finishes includ ing methods of applic ation and raw materials#"
i Mood Finishes Manufacturers group met in Chicago, June 2l>#
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INDUSTRY ?-YLATIONS~DFvISION: Black and white prints of the "Here's How" film have been completed and are be;ng furnished to
televisicn stations. It has already been seen on '.3C network shcv.'s, "Tex and Jinx" and "Kencrama". These progra: s have ten million viewers. Here than 150 stations, including those serving farm areas, are making pi ans to use this
as a public service film duri ng the next year. Pamphlet for fa:rm distribution is being propped.
T;part-.-r.t of A gif culture, at cur "Painting on the Tara" from Cover tained outdated iriformation.
qv.:st, has cih acted r:-r:vrl of the b? nt Printing Office stacks because it
t
IbLiC II TOR MOTION PIVIS.iCIT: Special article on interior painting was pre"r-rod for the soring issue of the "Farmer".- Artie'as
country.
CT "AN UP - PA Ihi UP - BIX UP DURKAU: The film "The House in the Middle" is now
...........
* being distributed throughout the country.
The Bureau has made available on a lean basis twenty-five color prints and ten
black and white IV pi 5..its. This film was recently shown at the annual conv-ntio
of the I'atimal Fire Protection Association, and was extensively used in the
promotion of the first comprehensive statewide Clean Up - Paint Up - Fix Up
program in the state of Washington where 67 local campaigns were hold. FBC
is '-'Ow screening this film for proposed use over 35 of their affiliated TV
stations. A special folder has been prepared and is being distributed to our
more than 5600 local committees. Special promotion material is being mailed
to all TV stations.
Special pi -ns for the "Keep America Beautiful" group, the Junior Chamber of Coramerce of the United States, the General Federation of Women's Clubs and the American Legion are in progress.
The Pennsylvania Stat9 Chamber of Co.--orce will soon announce an depressive "Community Development Contest" open to the 989 cities, towns and incorporated 1 :roughs of the state. Among incentives are cash awards totalling $15,000. Clean Up and Beautification programs are iiighly recommended as projects for communities entering the contest.
STATISTICAL DIVISION; Credits^and Collections - Credits and Collections survey report was tYbufated end sent to members for Kay and
Jure. A study to ascertain the accuracy of credits and collections reports is \n hr: ay.
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Enel oyse* s Report,- Released Employee's Report covering 3liO reporting companies for the period, Kay 31, 1953 to Ecvenber 30, 1953.
I'.-.iustr: al Injuries Report - Surveyed reporting reenters to caterrir.e the usefulr.Vfs'of this report and~fEeir suggestions for improving it. Majority found little use for the report as is since the Industrial Hacards Branch of the Bureau of labor Statistics releases the sane type of infer nation v.ith a larger s:..v! ? Me -..111 discontinue car collection of data and use RtS data available to ns g'srt:-rly, tabulated cn a a curly basis. Info:....3ticn in these repeats v.-.li be p. cinched an "Coatings" and all sabers will be furnished an annual sc ary.
Color Survey - Couple ted the t-.aviation on the color survey "Percentage by Color of Paint Sold by Faint Manufaclurers" - 1950, 1951 end 1552. lew tabulating 1953 survey.
'Eaticral Corfu-or Survey of Fainting Habits" - Charts are ?0 percent completed and cur publication will be : ailed to all members in August,
'iPAr FlCjDiVISION: The Associate on, in oral argument before the entire Interstate Co.vr.-rce Ccauaisuion, \urgod the adoption of the Examiner's Re
vert and irradiate cancellation of the $1,50 surcharge on ship-rents under 5,000 pounds in Central States Territory, A decision is expected within 90 days.
The Cc: r-ir-sicn has denied our request to exeo.pt paint products frem cancellation cn not or carrier I'fL cc.c.odity rates in the New England, 1'ew York area.
Our request that arbitrary rates on flammable liquids shipped via uot-or carrier from Mew .-.-i coy to Mow York City be removed resulted in a suspension order by lie Inter.-t.vte Cc:arcs Comnission end cancellation of the rates by the carriers.
The ICC denied our petition to suspend a 10 percent increase of all motor carrier rates in Middle Atlantic Territory and ordered an investigation. We will present testimony at the hearing this fall.
The Association has requested Cc-ntral and Southern motor carriers to establish reasonable truck lead rates on paint products in that area,
1 PAPE I-AP.KS: A letter on trade mark listings will be cent to -rubers asking them to review the narks they use currently and delete these -which
have been discontinued.
V'e are preparing a pamphlet for distribution to members outlining means to avoid use of sirrdlar r.arks and methods of choosing proper types of narks.
Future editions of the Trade Mark Directory will designate those narks which are registered ini the United States Patent Office and will include the r.onth and year cf first use. In addition, --cabers vail be supplied information on .marks which have been removed from the Bureau's files with the supplements to the Trade Mark Directory,
I'AJE PALIS ILL vTflCU: Trade Sales 5bcaring Ccm.-.ittea end rational Com-ittee ret in June, Plans axe new vmif erway for possible inauguration
of Trade Sales "SALES SEMI'*AIS11 to be held regionally loginning in winter, S:*:: 'h sen son of Faint Fewer Sales Training progra.es r.cw being planned and pro ot-ed, 27,it71 conies of the took "Faint Power - And Kc.v to Sell It" have been distributed.
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