Document M4zbwpO3r2zGBvv88Vq5GdQKx

MINUTES REGULAR MEETING - EXECUTIVE COMMITTEE National Paint, Varnish St Lacquer Association, Inc* Drake Hotel -- Chicago, Illinois -- July 20, 1955 Call to Order The meeting was called to order at 10t30 A#M# by the Chairman with the following in attendances DAVID H. MORAN, Chairman JOSEPH F. BATTLE!, President JAMES BECKETT WM, C. DABNEY To L. DANIELS H. BRAITH DAVIS HORACE S* FELTON S. U. GREENBERG LEO S* GUTHMAN A. J. KNAPP BERNHARD MAUTZ D. A. MERSON E. S. NICKERSON T. SPENCER SHORE WM* M. STUART ERNEST T. TRIGG Advisory Members* WM, E. HOdD HARRY E. STONE FEED G. WEED Regional Vice Presidents WILBUR L. RICE J. V. THOMPSON G. R. SEIKLITZ R W* BLAIR, JR# Guests T. Eo ALWYN ROBERT G. KENLY MILES M. ZOLLER ' LEO SILVERSTEIN L. YVILSAKER H. B. WOODMAN Staff DANIEL L. BCLAND LAURENCE KIEFER JOHN C. MOORE M. VANDENDRIESSCHB Absent LUCIUS D. CLAY JOSEPH A. HAGER GEORGE W. JENKIN H. S. MARCETTS WALTER S. HANNA, JR E, Do FECK Minutes of Last Meeting The Secretary reported that the minutes of the last nesting had been mailed to all members* It was moved, seconded and voted unanimously that the minutes be approved without reading. Report of Treasurer - Budget and Finance Committee The Treasurer reported that he and the other members of the Budget and Finance Com mittee had reviewed carefully the Association's financial statement for the nine months ending June 30, 1955 and found the Association's financial condition excellent. -2- He reported, income exceeds expenses by $15915*U9 and that expenses have been $l5,8U6*28 below the approved budget for the nine months* period* Furthermore, the treasurer reported that the Budget and Finance Committee had thoroughly reconsidered reinvestment of Association excess funds in shares of open and closed end mutual investment trusts as they had recommended to the Executive Committee on January 26, 1955 and authorized by the Committee the same date* The Treasurer said the Budget and Finance Committee, after careful and serious discus sion and further consideration, voted unanimously to recommend that the Executive Committee reverse their previous action and that the Association continue the traditional policy of investing any Association surplus funds in Government securities* This was approved by the Executive Committee* On proper motion, the Financial Report (copy attached) was approved unanimously* Report of the President President Battley presented his report (copy attached and previously mailed to members of the Committee)* President Eattley discussed in detail the Association's efforts regarding Section 638 of the Defense Appropriation Bill and its possible effect on Navy paint manu facturing plants* He praised the President's courageous stand against the pro visions of Section 638 giving Congress veto powers over the Executive Branch of the Government* He expressed the view that Section 638 does not necessarily apply to Navy paint plants since they have been operating on funds furnished by the Navy* s Revolving Supply fund system* Such funds are not necessarily from 1956 fiscal year appropri ations* Funds other than 1956 can be used since Section 638 applies only to that year* President Battley reported the Departments of Justice and Defense are studying the law in view of the President's message and that he felt sure that the Defense De partment would terminate the Navy's paint manufacturing operations* He commended highly Louis Fisher of the Association's staff for his outstanding work on this matter* Finally, President Battley referred to Congressman Vinson's proposal to sponsor a bill declaring Section 638 invalid and asked for the Committee's advise on what should be the Association's position* He expressed his belief that the Associ ation's interests would be better served if Mr* Vinson's bill was not supported* It was the unanimous opinion of the Committee that the Association should take no action on this* Seles and Gallonage Figures President Battley said Mr, Wurtele questioned whether or not gallonage had increased in proportion to our increased National economy* He stated that as 16 percent of the most important of the sample companies reporting to the Census Bureau do not submit gallonage figures, the Census Bureau wall not publish gallonage figures ad justed to represent 100 per cent of the production and therefore, nothing we have to date is accurate. President Battley outlined his efforts to have our container suppliers give him the percent of increase or decrease in sales of containers to the paint industry N?C 009692 -> since 19U7* Information from our suppliers of other materisls as to their volume increase would be very helpful* Mr* Nickerson inquired whether the 16 percent would report total gallonage if the breakdown of industrial and trade sales figures was not required* He thought the total figures would give a picture of the industry as a whole and indicate how our volume compares with other industries* President Battley said he doubted that this l$ would report anything but sales* Mr. Mautz suggested that the Regional Vice Presidents could assist by finding out what companies in their areas report gallonage figures to the Census Bureau* He also felt that the Bureau could obtain a gallonage figure for 191*7 from the Census of that year and compare that against the 195U figures* This, he said, would give them a fair idea of what the increase in gallonage had been. President Battley said we would do this upon the completion of the next year*s Census* Report of the Scientific Section Mr. Hoore presented the Scientific Section material in the Presidents Report (copy attached) and outlined what work of the Scientific Section appeared to be of value to the Industrial Product Finishes manufacturers* President Battley said that the article on Fire Retardant Paints had been completed and would be sent to Committee members for comments prior to its release* Tung Oil President Battley said the Association has discussed with the Commodity Credit Cor poration their weekly sales of tung oil on a bid basis and feels that we can be assured of an ample supply under their policy* Furthermore, he outlined the desire of the American Tung Grower Association to do everything possible to stabilize the supply and market* They have protested the CCC selling any tung oil for export since this will eventually effect adversely our supply. Argentina has already ship ped about 18,000,000 pounds of their 25,000,000 pounds yearly maximum quota* Stocks on hand plus imports should be sufficient for our needs until the 1956 tung crop is harvested* Report of Legislative and Legal Mr. Boland presented the Legal and Legislative material in the President* s Report (copy attached)* Mr. Stuart asked about the present situation on the slack-filled container problem* President Battley explained that he had appointed a special committee to meet with State weights and measures officials to discuss a practical solution and hoped to have them agree to our labeling of net content color base tinting containers* Industrial Product Finishes President Battley asked Mr* Thompson in Mr* Hager*s absence to report on the Indus trial Product Finishes Seminars held in Atlantic City on May 15-16-17* Mr. Thompson stated that the Seminars had been worth while and successful and his only regret was that not near enough people attended* The location, he believes, was the main factor for such small attendance* N?C 009693 Membership The Budget and Finance Committee recommended the following resignations be accepted* Class A FRISCH St COMPANY, INC., New York, N. Y. HEADQUARTERS PAINT St VARNISH CO., Brooklyn, N. Y. THE MODENE PAINT CO., Chelse% Mass* HARRY G. SARCENE PAINT CO., Indianapolis, Inc. SBC MANUFACTURING CO., Miami, Florida UNITED PAINTS, INC., St. Petersburg, Fla. Class B SUN CHEMICAL CORPORATION, Harrison, N. J. The Budget and Finance Committee recommended the following members be dropped for non-payment of dues* THE GIBBS PAINT MFG. CO., Euclid, Ohio LONG ISLAND PAINT St CHEMICAL CO., Glen Cove, K. Y. PURITY PAINT PRODUCTS CORP., Brooklyn, N. Y. ROACH PAINT COMPANY, Dallas, Texas MARTIN TRSNKLE, INC., Blytheville, Ark. The Committee approved unanimously* the Budget and Finance Committee recommendations. The Secretary reported that since the last meeting, applications for membership of the following concerns in the classes indicated were approved unanimously by mail vote of the Executive Committee* Class A KEVILO PAINT St VARNISH CO., North Kansas City, Ho. TAUSSIG PAINT CO., INC., Philadelphia, Pa. Class B ASHLAND OIL & REFINING CO., Ashland, Ky SNYDER CHEMICAL CORPORATION, Bethel, Conn. STROBHIDGE LITHOGRAPHING CO., Cincinnati, Ohio Nominating Committee President Battiey stated that Article VIII, Section 13, of our By-Laws provides "At least three months preceding the annual convention, the President shall appoint, sd>ject to the approval of the Executive Committee, a Nominating Committee of seven members." In accordance with that provision, the following nominees are submitted for appoint ment on the Nominating Committees Class A - JEROME J. CROWLEY, JR., (Chairman) - The 0Brien Corporation Class A - C. BURCH ATHEY - The C. M. Athey Paint Company Class A - FOSTER MILES - Smith-Alsop Paint St Varnish Company Class B - 3. K. HEAD - Shell Chemical Corporation Class E - STUART SANDERS, II - Sanders Brothers Co., Inc. Class A - MERTON E. WILLIAMS - Wilbur St Williams Paint Corporation JOSEPH F. BATTIEY The Committee was approved unanimously* N PC 009694 -*5- Convention Registration President Battley outlined the registration fees charged by other Associations and Federations and recommended registration fees for our 1955 convention as follows* Ladies $25*00 Men*.* o ..................... $35o OO This represents only an increase of $5*00 over last year*s fees and it was estimated would bring in $6,000 additional income which will be needed to finance the 1955 Convention* Kr. Sulzberger said that from the latest financial statement it looks like the Association will have a good surplus this yesir and expressed uncertainty about an increase. It was his feeling that the Association could carry any deficit this year* President Battley explained that he feels expenses cannot be reduced this year even though the convention is in Washington* He expects to have a very colorful affair with outstanding exhibits and speakers and feels sure that we will have widespread publicity for our industry* Hr* Stuart said that he feels the convention in Washington presents a real opport unity to secure nation-wide publicity for the industry and he feels those attending should pay their way as there is every indication this year*s industry* s sales will be very good. Hr, Trigg made a motion that the matter be referred back to the President to be handled as he feels necessary This motion was seconded and approved unanimously* President Battley advised that.1955 convention room reservations to date indicate the largest attendance on record Location of 1957 Convention President Battley stated reservations for the 1957 Convention at the following hotels are held by the Association* Chalfonte-Haddon Hall, Atlantic City, H* J* and the Hotel Traymore, Atlantic City, N* J* - Statler-Mayflower, Washington, D*C* and the Hotel Fontainebleu, Miami Beach, Florida* He explained that a firm contract must be made very soon and asked Committee members to express their opinions on where the 1957 convention should be held* Hr* Trigg asked President Battley what he would recommend from the industry* s viewpoint* President Battley said that Washington is an excellent convention city and would recommend that the 1957 convention again be held there instead of Atlantic City or Florida* Mr* Guthman moved that the 1957 Association Convention be held in Washington, D*C* Mr, Davis seconded the motion, which was approved unanimously. Use of "Mildew1* and Painting Manual President Battley reported that the Forest Products Laboratory, with the assistance of the national Retail Lumberman* s Association and the National Paint, Varnish and NPC 009695 -6- Lacquer Association, is ready to publish and distribute a "Painting Manual for Exterior Siding"* Also the Scientific Section is ready to publish a circular on "Finishes for Natural Woods"* He said that the technical men who have reviewed these publications are of the opinion that they are incomplete without reference to "mildew"* He pointed out that as the Executive Committee, by previous action, had directed that any of the Association's publications on mildew or use of raildewcides in paint be approved by the committee before publication, he would send copies to the members of the Committee for their comments and suggestions* Mr* Sulzberger asked that the Association submit proposed wordings to the Executive Committee when sending anything to them for consideration and approval* Mr. Hood stated we should recognize that mildew is a definite problem for members of our industry* Mr. Stuart said he thought the Association should submit suggested wordings to the Executive Committee. President Battley stated that this would be done. Mr. Mautz reported that the lumber people are excited about the loss of wood siding sales and they are very interested in having the manual published. President Pattley confirmed Mr. Mautz* report and added the lumber people tried to blame paint entirely for their loss of sales but have changed since our meeting with them* He stated that release of the manual without Association cooperation would have resulted in many unfair and unfounded statements* Sale of TV Films to Members President Battley reported that he felt that the Association has obtained almost all the free time possible for our various films* He asked for the Committee's approval of the sale of prints on films to members at cost with the understanding that the Association must approve all individual manufacturers opening and closing titles* These prints could be used by manufacturers and dealers for TV, group meetings^ in door and outdoor movies and other showings* Mr. Mautz voiced approval and thought the sale and use of these films throughout the industry would help the entire membership. President Battley said that before tte film - "Moisture---the Hidden Menace to Homes" can be sold to members, approval for the use of their negatives for the purpose must be secured from the DuPont Company* Mr. Nickerson explained that his company has made several twelve and fifteen minute films costing about $1,000 a minute, which is considerably mare than the low price of the films offered by the Association. Mr. Mautz moved that the films be made available to Association members at cost, with the provision that each individual member's opening and closing titles must be approved by the Association. Mr. Knapp seconded this motion, and it was ap proved unanimously. Liability of Odorless Paints President Battley asked the Executive Committee members if they knew of any trouble or claims arising from the increasing use of odorless paints. He explained that he NPC 009696 7had been asked if members are aware of the implications and liabilities that may arise from the use of odorless paints. Mr. Wickerson said his company had sold such paints, but no complaints had been received, Kr0 Weed also reported no such difficulties with use of these paints in Canada* Program on "How to Work vdth Architects" President Eattley stated that he will send members of the Executive Committee a program on "How to Work with Architects" within a short time# He said that the Association will work and look for every way to stimulate the use of paint in plans and specificatLoas for new buildings as well as for maintenance* He thinks the "Interest of End Users Committee" of the Industrial Product Finishes Division '.'dll do a very good job aLong this line for product finishes* Adjournment The meeting was adjourned at 12*30 P*M, Respectfully submitted. Secretary NPC 009697 7had been asked if members are aware of the implications and liabilities that may arise from the vise of odorless paints* Hr. Nickerson said his company had sold such paints, but no complaints had been received* Hr* Weed also reported no such difficulties with use of these paints in Canada* Program on "How to Work with Architects11 President Battley stated that he will send members of the Executive Committee a program on "How to Work with Architects* within a short time* He said that the Association will work and look for every way to stimulate the use of paint in plans and specifications for new buildings as well as for maintenance* He thinks the "Interest of End Users Committee" of the Industrial Product Finishes Division will do a very good job along this line for product finishes* Adjournment The meeting was adjourned at 12t30 P*K* Respectfully submitted* Secretary N PC 0096S8 COMMENTS ON BALANCE SHEET AND BUDGET AND EXPENSE STATEMENT October 1, 19$h - June 30, 1955 BALANCE SHEET - ASSETS AND LIABILITIES - Page 1 ACCOUNTS RECEIVABLE :- (As of July 12)a Dues:- Have teen reduced to $1$,8$77$Clean Up Display Material:- Has been reduced to $1,63U.19. Miscellaneous:- These are outstanding invoices on "Paint Power", "Guide to U.S. Paint Specifications" and U.S. Ordnance Contract. Reduced to $1;, 883.19* CASK - SECURITIES:- $25,000.00 from matured Government bonds now in Riggs Agency account for reinvestment or cash reserve. MARKETABLE SECURITIES:- Book value $309,500.00. Market value $30^,385.11 as of ---------- 3SyTETT955r INCOME AND EXPENSE STATEMENT - Page 2 At the present we have an excess Income of $15,958.1;9 over Expenses. Expenses are $15,81;6.28 below the Approved Budget for the nine-month period. How ever, the following budgeted amounts totaling $ll;,i;50.00 with actual expenses of $1,65.7U, leave a net balance under the budget of $1,396.28. Administration:- Audit $1,250.00 Doubtful Accounts 1,000.00 Scientific Section:Raw Material Indexes Noise, Dust and Fumes 10,000.00 2,200.00 $ll;,l;50.00 ALL DIVISIONS TRAVEL AND MEETING EXPENSES:- Travel, meetings and conferences reflect increased hotel prices as well as additional meetings. ADMINISTRATION- SCHEDULE #1 POSTAGE AND EXPRESS:- Large mailings to the Industry on Model Labels during first and second quarters. TEIEPEONE AND TELEGRAPH:- Model Labels and New York Regulations and Regulations for Color Systems Containers required excess use of telephone and telegraph services during first and second quarters. CONTRIBUTIONS AND MEMBERSHIPS - SCHEDULE #2 MISCELLANEOUS MEMBERSHIPS:- Membership this year only "Building Officials Conference of America, Inc." in connection with Government competition. BUILDING MAINTENANCE - SCHEDULE #U SUPPLIES AND REPAIRS:- Replacement of hot water storage tank complete with insulation and safety valve during first quarter. The ancient tank should have been replaced during building remodeling. It finally rusted and burst in November 195U. N37883.01 N PC 009699 INDUSTRY RELATIONS DIVISION - SCHEDULE #6 PRINTING, COATINGSt~ Supply of Mastheads. CLEAN UP - PAINT UP - FIX UP - SCHEDULE #7 MAT SERVICE:- Unusually heavy demand for newspaper mats and proof sheets. TRAFFIC BUREAU - SCHEDULE #10 TRAVEL, MEETING AND GENERAL EXPENSES:- Unanticipated ICC Hearings on Middle Atlantic Class Rate investigations. New England Motor Carrier rates and Paint Carload Classification. TRADE SALES DIVISION - SCHEDULE #12 PRINTING:- 2,000 copies "Industry Simplification Programs". STATISTICAL DIVISION - SCHEDULE #11; POSTAGE & EXPRESS AND PRINTING:- Sales of "Survey of Consumer Painting Habits" will offset this excess cost of printing and mailing. NPC 009700 tr* > co M CO > ttf W H *-3 CO tr* M H CO HATIOLAL PAIi.T, VAHAISH AKD IAOiUSE ASSOCIATION, Ji.C. COIiiAfi/uTVA EAIA1.CS SiiSET AS 0? 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CD & CD fcj s 03 I I I tI oI--I fo-J Io--i |o_J o|J DCO) 0S) 0P3 v03) fMl) CO CO Ci CO CO td tJ a ttf > 525 o o fcd NATIONAL PAINT, VARNISH AND LACQUER ASSOCIATION, INC. -INCOME AND EXPENSES FOR THE PERIOD October 1 , 1953-1951; June 30, 1954-1955 e %-c 4-4 ^4r* Ov OWi> Hooro-ovo-40-*jvn SVJT. 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' OO vo CD rv VO --g IV mu VO NV-g V Plx uw vo O row vn. qo ovnvo o co vnvo -4 4^5V-v0o -4g5-OO OCoCvnS o vn*a pa (D 8ONp- On v o -g ro -o vo -<1O45-O0 OOn r-Jft-gft-tgf-tg VoaoJ OOn UfOt O) vOoO voOnOvooo nog pr CD vn^a o vn rv o n On q -4vou po rop* CC CO - 2- $ CD 3 8 IV I a ro <3 5 vn -4 ~g oooc vrj vo IV Ov 0(5* Nga^ OO (Oft N <d* vp- oOO s w in ) o o vnvnONO o M IVvOn vn ^ vo _ own u<i#v WowWnWvo vo oo On vo 45* oovgvnO vo -g Ov-os3 ro rv vn iv own-si o vnvo o vn vo i N PC 009702 October 1, 1951* -- June 30, 1955 SCHEDULE #1 ADKIinsmTIOlI Budget Executive Salaries $38,916*68 Office Salaries Travel Expenses B,l59.55 3,750.00 Meeting Expanses 3,000,00 Stationery A SurKLies 2,500.00 Furniture & Fixture Maintenance 1,500.00 Furniture A Equipment Purchases 6,500.00 Postage St Express 2,625.00 Telephone St Telegraph 1,500.00 Printing it Publications: Labeling Laws C-. Regulations 1,125.00 Miscellaneous Printing 1,125.00 Subscriptions & Publications 800.00 General Expanses 1,500.00 Insurance -- Miscellaneous 600.00 Taxes: D.C. Personal Property Social Security 750.00 3,300,00 D.C. Unemployment 150.00 Federal Unemployment. 375.00 Suretj'- Bonds 100.00 Audit 1,250.00 Bank Commissions St Charges 187.50 Legislative Committee i,l*5o;oo Doubtful Accounts 1,000.00 $12*7,163.73 Less: Met Credit from booklet. Miscellaneous Sales, and Trade Mark Bureau 1,500.00 Expenses Expenses Over (+) or Under (-) Approved Budget Budget 038,916.68 62,670.28 it, 796.13 U,U71.36 2,598.53 1,161.92 6,320.18 3,065.26 2,102.62* $ -0- 10,2*89.27 + 1,01*6.13 * 1,2*71.36 + 98.53 mm- 338.08 179.82 f 2*2*0.26 602.62* P5li000.00 97,660.00 5,000.00 2*,ooo;oo 2,500.00 2,000.00 7,5o o .o o 3;5oo;oo 2,000.00 1,062.2*2 1,020.50 868.69 1,1*30.33 1j62*.37 + -- -- 62.58 10l*.50 68.69 69.67 135*63 i,5oo;oo 1,500.00 800,00 2,000.00 800.00 698.56 2,925.32 12i*.09 37U.69 100.00 ~o~ 219.71 1,2*2*9.68 ~o mm + mm 51.2*2* 372*.g 25 Ja .31 -01,250.00 32.21 i32 1,000.00 1,000.00 2*,1*00.00 2oo;oo 5oo;oo 100.00 1,250.00 250.00 1,750.00 1,000.00 $136,81*201* mm $10,321.59 $192,230.00 u 1,2*61.81 38.19 2,000.00 $11*5,663.73 $135,380.33 $10,283.2*0 $190,230.00 3NPC 009703 October 1, 1954 - June 30, 1955 SCHEDULE #2 CONTRIBUTIONS & MEMBERSHIPS Budget Agricultural Associates, Inc. $ 600.00 Building Research Advisory Board 250.00 Chamber of Commerce, U.S.A. 700oOO Flax Development Committee 1,000.00 Flax Development - Special Contr. 3,000,00 National Fire Protection Association 100.00 National Industrial Council 100.00 Painting & Decorating Contractors of America 1,000.00 The Producers' Council 200.00 Miscellaneous Memberships 100,00 $7,050.00 Expenses Over(+) or Under(=) Approved Expenses Budget Budget $ 600.00 250,00 700.00 1,000.00 3,000.00 100.00 100.00 $ *0 -0- -0-0-0-0-0- $ 600.00 250.00 700,00 1,000.00 3,000.00 100.00 100.00 1,000.00 200.00 400.00 -0--0" + 300.00 1,000.00 200.00 100.00 $7,350.00 + $300.00 $7,050.00 Pensions - Not Under Plan Annual Insurance Premium Surety Bonds SCHEDULE #3 RETIREMENT EXPENSE Budget Expenses Over(+) or Under(-) Approved Expenses Budget Budget $19,530.63 $19,530.63 21,075.00 20,9U5.81 25.00 25.00 $ -0- - 129.19 -0- $25,275.00 28,100.00 25.00 $1*0,630.63 $1*0,501.1*4 - $129.19 $53,400.00 - 4- NPC 009704 October 1, 195h -- June 30, 1955 SCHEDULE BITrLDL'G ii'VJ-TEirAlTCE Budget Salaries Insurance - Building Real Estate Taxes Water Rent Gas Meat Elevator Expense Supplies 2: Repairs Trash Removal Painting & Decorating Electricity $ 3,lH7.56 Contents 1,500.00 2*535*00 700.00 37*50 1,500.00 356.00 3,750.00 337.50 1,875.00 2,100.00 017,838.56 Less: Rent from Apartments 5U0.00 017,293.56 Expenses 0 3,1147.56 1,587.92 2,53l:-.UO 639i75 27JiO 1,583.12 3U2.00 7,375.U2 331.50 l,881icU5 2,059.75 021,563.27 U70.00 021,093.27 Expenses Over (+) or Under (-) Approved Budget Budget $ -O + 87.92 - .60 10.25 - 10.10 + 83.12 -- H4.OO + 3,625.1t2 - 6.00 + 9.U5 - ltO.25 0 14,200.00 2,000.00 3,375.00 700.00 50.00 1,500.00 -ii75.00 5,000.00 i45o.oo 2,500.00 2,800.00 03,7214.71 023,050.00 + 70.00 720.00 03,7914.71 022,330.00 -3 NPC 009705 October 1, 195k -- June 30, 1955 s c h ed u l e #5 SCIENTIFIC SECTION Budget Salaries Travel Expenses 051i595*58 2,625*00 Meeting Expenses 375*00 Stationery Supplies 1,000.00 Postage & Express 975*00 Telephone L-. Telegraph 375.00 Printing: Raw Material Indexes 10,000.00 U.S. Guide to Fa:mt Specifications Abstract Review Circulars iti 500:00 3,500.00 2,050:00 Other Publications 300.00 General Expenses 187*50 Electricity Laboratory Supplies 375.00 500.00 Laboratory Apparatus Fire Retardant Study Other Investigations 150.00 375.00 75.00 Technical Library: Subscriptions & Publications '600.00 Noise, Dust, pluses Project 2,200.00 MOISTURE names PROGRAM: Travel, Experimental Work li,000.00 85,758.08 Less: I'Tet credit from Slide Sales & Circular Sales ' and Subs* 6,375.00 79,383*08 Expenses licenses Over (+) or Under (-) Budget Approved Budget 051,595.58 ' -0^ !*,10lt.56 + 1,U79.56 6U2.00 + 267.00 991*1;2 - 8.58 956.68 -- 10*32 U06.96 + 31*96 1,668.95 8,331.05 0 68,800.00 3,500.00 500.00 iiOco;oo 1,300:00 500.00 ' 10,000.00 1;,693.85 3,282*98 2,082.U5 227.59 231.17 37li.03 510.3U WI*Qm 286.30 62.55 + m + - -- + - -- 193*85 217*02 32*i 72.1a U3.67 *97 10*31; 150.00 88.70 12.U5 l;i5C0:00 3,500.00 2,500:00 1;00.00 250:00 500.00 500.00 200.00 5oo;oo 100.00 591.U3 -- 26.79 -- * 8.57 2,173.21 3,201.99 -- 798.01 075,937.62 - 9,820.1i6 600.00 2,200.00 u,000.00 105,350.00 11,952.21; 63,985*38 * 5,577.21; 015,397*70 8,500.00 0 96,850.00 -6- NPC 009706 October 1, 19$h - June 30, 1955 SCHEDULE #6 ruusroi EELATIOIS Budget Salaries >8,687*53 Travel licenses 187*50 Meeting Expenses 750.00 Stationery L Supplies 500.00 Telephone 6 Telegraph 75*00 Printing: Year Book 2,250.00 Coatings 7,125*00 Miscellaneous Printing 150.00 Subscriptions . Publications: 75*00 Postage L Express li, 875.00 General Expenses 225.00 Promotion of "Here's How" Film 9,000.00 MOISTURE IIEimCE PROGRAM: Publicity and Promotion . Ii,000,00 t S, ;37,900.03 Expenses Expenses Over (+) or Under () Approved Budget Budget 08,687*53 ft 3U8.50 + - 161.00 950.87 200.87 520.81 + 20.81 61*86 -- 13.Ui 580.93 mm 1,669.07 8,35U*99 + 1,229.99 233*76 83.76 66.50 - 8.50 5,028.96 + 153.96 197*67 27.33 9,002.28 + 2,28 3,606.62 mm 393.38 0ii,6oo;oo 250.00 i,ooo;oo 5oo;oo 100.00 3,000.00 9,500,00 200.00 *100.00 6,5oo;oo 3oo;oo 9,000.00 ll,000.00 037,6ia*28 0258*75 0U6,050.00 - 7- NPC 009707 October 1, 195h - June 30, 1955 SCHEDULE -57 c l e a t u p - ia .it ? u p - f ix u p Salaries Travel Expenses Meeting Eicpenses Stationery A Supplies Postage A Express Telephone & Telegraph Printing Campaign to Industry Editorial Service Mat Service Trophies A Awards Radio Spots Expert Art A Layout Service General Expenses Display Material - Cost "House iii the Middle" Program Less t Sales Budget $13,U28.U3 2,2go;oo 600.00 1,500.00 1,500.00 225;00 2,000.00 1,125.00 -3oo;oo 3,5oo;oo i ,o o o ;o o n2 ;5o 112.50 300.00 i7i5oo;oo 5,oooBoo $50,li53J 17,500.00 032,953.1;3 Expenses Over (+> or Under (-) Approved Expenses Budget Budget C13,U2G.1*3 $ 2,961-. 29 + 775.14; + 1,665.93 + 1,386.96 318.53 + 1,966.58 lii2.5o '295.12 -- 3,86it.88 1,053.39 + 92.59 9m 51.52 - 292Jj 7 lGiU3ii.08 5,036.30 + -p71ii.29 175.104165.93 in;oL 93.53 33ili2 982i50 U.88 361i.88 53i39 19.91 60.98 7.53 93U.OG 36.30 018,000.00 3,000.00 800.00 1,500,00 i,5oo;oo 300.00 2,0 0.00 1,500,00 '3oo;oo 3i5oo;oo i,oco;oo i5o;oo i5o;oo llOOiOO I7i500.00 5,ooo.oo $51,771.01 f $1,317.58 $56,,600. 00 20,336*02 + 2,836.02 i7,5oo.oo 031,h3b*99 mm 01,5180(2; 039,100,00 - 8- N PC 009708 October 1, 1954 - June 30, 1955 SCL'AUIS ,;'S UNFAIR GOliPLTITIU" BUREAU Salaries Travel ;jxpenses Telephone Telegraph General licenses Budget 3spensoc Over (+) or Under (-) Approved Expenses Budget Budget 6,471.14 300.00 3 7.50 75.00 8,471.14 250.65 37.17 95.50 i -- hjsmjfy .33 + 20.90 ? 11,300.00 400.00 50.00 100.00 6,083.64 8,051}. 86 - 28.78 0ii,85o.oo &m SCHEDULE #9 I-/HCLESALE - DISTEHUTQES B17ISIC Salaries Travel Bfcpenses Stationery & Supplies Postage Sc Express General Expenses Budget 01,52':.57 75.00 200.00 10.75 37.50 1,355.32 Expenses 'vcr (+) or Under (- ) Approved Expenses Budget Budget 0l,52!:..57 78.95 171.27 11.37 102.90 $ -0- 3.95 - 28.73 - 7.30 + 65.'}8 2,100.00 100.00 200.00 25.00 50.00 1,005.11} + 033.32 2,475.00 SCHEDULE #10 mAFFTC BEIFl S&H Salaries Travel Expenses Meeting Expenses General Expenses Budget 03,103.00 75.00 75.00 75.00 03,Ko G.OO Expenses Over ( ) or Under (-) Approved Expenses Budget Budget 1 ? 03,163.00 3':-9.35 203.27 51'7.20 + 274.35 + 123.27 + 472.28 4.300.00 100.00 100.00 100.00 04,282.90 + 074.90 4,600.00 - 9- N PC 009709 October 1, 1951* - June 30, 1955 SCHEDULE #11 INDUSTRIAL PRODUCT FINISHES DIVISIOIJ Salaries Travel Expenses Meeting Expanses Postage .A Express Telephone S-. Telegraph Printing General Expenses Stationery Ct Supplies Budget 011,666.68 li875.00 1,500.00 300.00 150.00 525.00 75.00 300.00 016,391.68 Expenses Expenses Over (+) or Under (**) Approved Budget Budget Caii666.68 2il73i31 2,520.55' 335.05 21*3.56 1*36.50 08.65 301.78 0 --0+ 258.31 + 1,020.95 + 35.05 + 93.56 88.10 + 13.65 + 1.78 016,000.00 2,5oo;oo 2,000.00 1*00.00 200.00 7oo;oo ioo;oo 300.00 017,766.88 + 01,375.20 022,200.00 Salaries Travel Expenses Meeting Expenses Postage St Express Telephone Telegraph Printing Genex-al Expenses Stationery St Supplies SCHEDULE #12 TRADE SALES PIVTSIOI! Budget 01*,798 .33 525.00 l*5o.oo 75.00 75.oo 150.00 75.oo 300.00 ;;6,1*1*8.33 Expenses (il*, 790.33 1,109.26 626.65 168.91 82.1*6 312.96 152.57 310.13 07,561.27 Expenses Over (+) or Under (-) Approved Budget Budget 0 -0+ 581**26 + 176.65 + 93.91 + 7.1*6 + 162.96 + 77.57 + 10.13 06,1*00.00 700.00 600.00 100.00 100.00 150.00 100.00 300.00 + 'a.,112.91* 08,!*5o.oo --10-- NPC 009710 October 1, 1951* - June 30, 1955 SCHEDULE #13 PUBLIC INFORMATION DIVISION Budget Salaries Travel Expenses Meeting Expenses Stationery & Supplies Postage & Express Telephone & Telegraph Daily Newspapers Weekly Newspapers Radio Magazines Organized Groups General Expenses $ 9,193.1*0 150.00 75.00 250.00 18.75 75.00 l*,5oo.oo 600.00 U, 5oo.oo 1,125.00 375.00 75.00 PAINT POWER: Salaries Travel Expenses Promotion Expenses Printing General Expenses 2,579.17 375.00 375.00 3,150.00 37.50 $27,1*53.82 Less: Sales of Publications 3,375.00 $21*,078.82 Expenses $ 9,193.1*0 131.U1 31*. 50 11*8.79 10.22 86.20 l*,l*63.5l 520.88 1*, 291.93 860.51 313.1*1* 1*1*. 70 2,579*17 381*. 25 361.73 3,328.63 33.27 $26,786.51* 1*, 538.1*2 $22,21*8.12 Expenses Over(+) or Under(-) Approved Budget Budget $ -018.59 - 1*0.50 - 101.21 8.53 + 11.20 36.1*9 79.12 208.07 - 261*.i*9 61.56 30.30 $12,300.00 200.00 100.00 250.00 25.00 100.00 6,000.00 800.00 6,000.00 1,500.00 500.00 100.00 -0~ + 9.25 13.27 + 178.63 U.23 - $ 667.28 - 1,163.1*2 - $1,830.70 3,1*00.00 500.00 500.00 3,150.00 5o.oo $35,1*75.00 1*, 5oo.oo $30,975.00 - 11 - NC 009711 October 1, 195k - June 30, 1955 SCHEDULE ''Hi. STATISTICAL Dr/ISIOl'T Salaries Travel Expenses lieeting Expenses Stationery 1 Supplies Postage C: Express Telephone ? Telegraph Statistical Reports Printing General Scpense Budget 03,703*32 225*00 150.00 250.00 525.00 75.00 75.00 2,500.00 37*50 7,5k5.8i j&cpenses S^enses Over (+) or Under (-) Approved Budget Budget 3,708.32 0 -0- $5,000.00 26k*02 + 39.02 300.00 naJt2 - 8.58 200.00 168*13 - 81*87 250.00 1,03U.2h + 509.2k 700.00 iku *ek + 73.8k 100.00 -0- - 75.00 100.00 5,675.2k + 3,175.2k 2,500.00 I69.kk + 131.9k 5o.oo $11,309*65 + $3,763.83 9,200.00 Less Sales --0-- $7,5k5.82 3,335.51 3,335.51 7,97k.lk + $ k2G.32 -09,200.00 -12- NPC 009712 October 1, 193k - June 30, 1955 SCHEDULE # 15 COilVENTIOK Budget .expenses Expenses Offer (+) Gr Under (--) Approved Budget 3udget Administration CU, 000*00 03,761.21; - 0238*76 Olt,000.00 Scientific Section 2,500*00 2,987*39 + 1;8?*39 2,500.00 Industry Relations Div. 2,000,00 2,lil).3*93 h hk393 2,000.00 Clean Up -- Paint Up -- Fix Up Bureau 1,500,00 l,7f?O.U7 250*1;7 1,500.00 Unfair Competition Bureau 500,00 61;8*10 + 1148*10 500.00 \ Iholesale-Bistributors Division 500,00 651.60 151*60 500.00 Industrial Product Finishes Div* 1,500,00 2,029*15 + 529.15 1,500.00 Trade Sales Division 1,500,00 1, 72l+*2l|. 22-U.2U 1,500.00 Public Information Division 2,000,00 2,U60.31 + U68.31 2,000.00 Entertainment : Hospitality 23,000*00 30,871*1;6 + 7,871.k6 23,000.00 $39,000.00 0U9,335*89 + 010,335*89 $39,000.00 Less: Convention Receipts 32,000.00 36,65)4*60 - U,65U*60 32,000.00 0 7,000.00 012,681.29 + 0 5*681.29 0 7,000.00 -13- N ? C 009713 WO? FOR PUBLICATION REPORT OF THE PRESIDENT TO THE EXECUTIVE COMMITTEE July 20, 1955 INTRODUCTION After six months of 1955, auto production is at a record High, housing starts are estimated at 1,300,000 for the year and employment is at an all time high. There is no cause for alarm on the business horizon. Our sales are continually making new monthly highs. I predict a record year for our industry. GENERAL MEETINGS} Since the April meeting of the Executive Committee, I have had many conferences in Washington, in addition to the following meetings: Chamber of Commerce, Washington, D.C. Lumber Manufacturers and Forest Products Laboratory, Chicago, 111. Advertising & Sales Promotion Steering Committee, Atlantic City, N.J. Trade Sales Steering Committee, Atlantic City, N.J# Industrial Product Finishes Technical Subcommittee, Atlantic City, N.J. Industrial Product Finishes Seminars, Atlantic City, N.J* Industrial Product Finishes Steering Committee, Atlantic City, N.J. Joint meeting of Representatives of Toy Manufacturers, New Jersey Assembly and otor Association, Atlantic City, N.J. Officers Chicago Association, Chicago, Illinois Officers and Class A members New England Association, Boston, Mass* Masonry Waterproofing Committee, Washington, D.C. Technical Representatives of National Lumber Manufacturers Association and Forest Products Laboratory, Washington, D. C. Manufacturing Chemists Association, Washington, D. C. INDUSTRY SALES: Total dollar sales in May amounted to $lU3,397*000, a 16*5 percent increase over sales in May of last year, and made the total for the first five months of 1955 625,616,000, an increase of 9.7 percent over the same period last year. Industrial sales for May broke all previous records with sales of $5U,Ui)-3,000. Industrial sales were 20*2 percent higher than May 195U. Five months sales are 1U.8 percent above the same period of 195U and total 250,991*000. Trade sales were $88,951:,000 in May, lU.3 percent above May 195U. For the first five months of 1955* trade sales show'a 6.6 percent increase over the comparable period in 195U and total $37U,625*000. MEMBERSHIP: For the quarter ending June 30, 1955 we showed a gain of two and a loss of five Class A members. In the Class B classification we showed a gain of two and a loss of one and in nCn classification a gain of onej a net loss of one member. The losses were concerns no longer manufacturing paint products or materials. N37883.03 N?C 009714 -2- NAVY PAINT: Mien Congress passed the Defense Appropriation Bill (H.R. 60U2) it included Section 638 which vrould give either the Senate or House Appropria tion Committees the right to veto the discontinuance of any manufacturing activity by the Department of Defense. The Association claimed that this invaded the rights of the Executive branch of the Government and was in direct conflict with the aims of the present, and previous administrations. In a history-making message to Congress, the President supported the Associa tions's stand. He said that, although he was signing the Bill, he had been ad vised by the Attorney General that Section 638 violated the Constitution and would disregard it. On passage of the Bill, the services called an immediate halt to the phasing out programs, pending further decisions. The President's message removes this obstacle and the Defense Department has re-instituted the program. No serious opposition is expected from Congress. The government employees unions have been the principal antagonists to curbing government competition. Our offer to the Navy, to employ any civilians in the Navy paint plants who might be dislocated gives us relatively clear sailing. I am expecting a request from the Navy to discviss the phasing out of Navy paint plants. They will make available to us the specifications and manufacturing processes of the ship bottom paints which will be purchased from industry when current inventories are exhausted. I wish to personally thank the members of our industry who supported us in the effort to close both Navy paint plants and I am more confident than ever of ultimate success. TECHNICAL RAW ?*ATERIALS: Linseed Oil - Forecasts sure for another large crop of flaxseed this year. However, the export demand remains high and prices may remain above the support level of $3.18 at Minneapolis. The CCC acquired about ten million bushels on April 30, but much of this has been sold and covered by toll-crushing agreements. Very little will be carried over into the new crop year. Soybean Oil - The largest crop in history will be harvested unless serious weather damage occurs. For the first time in several years CCC has purchased soybeans under the price support program, but these beans are being marketed in an orderly manner to prevent disturbing the trade. Prices continue stable. Tung Oil - Our most serious supply problem is tung oil. The 1955 domestic crop will be less than ten percent of our needs. For this reason I protested to De partment of Agriculture against the sale of any CCC tung oil for export purposes. CCC stocks plus imports are just barely sufficient to take care of both 1955 and 1956. However, the situation can become acute if another long and severe frost damages the 1956 crop. Selenium - Selenium for use in making certain pigments is not ample for present needs. The world price for Selenium is higher than in the United States and im ports can not be expected unless our price is increased. NPC 009715 -3- The Bureau of Mines is now operating a pilot plant to extract low grade ores eco nomically, This appears promising for the future. We are encouraging the Bureau of Mines to continue their efforts in developing an economical extraction process. Two manufacturers are interested in building a large plant based on the Bureau of Mines pilot plant. ARM? ORDNANCE* The first contract between the Association and the Amy Ordnance to prepare painting manuals and modernize paint specifications for ordnance material is completed, A new contract for another year continues this beneficial work. SURVEY OF AMERICAN COLOR SPECIFICATIONS* Our twenty-five page technical bulletin on this subject covering all the known methods of color determination for commercial use was made available to all members on July 5, "Glazing for Iletal Sash" - The Putty, Glazing and Caulking Compound Technical Sub committee has recommended additional accelerated tests for evaluating the quality of glazing materials required by Federal Specification TT-P-781A, Painting Manual - Representatives of the National Lumber Manufacturers Association, Forest Products Laboratory, and the National Paint, Varnish and Lacquer Associ ation met in Chicago, on May 10 to consider the National Lumber Manufacturers pro posed manual for painting exterior wood siding. As a result of this meeting a manual was drafted and it has been carefully reviewed by technical representatives of the three groups. Their final draft is now being considered by 'members of the Joint Committee, GOVERNMENT PROCUREMENT* In response to my recommendation. Navy Aviation Supply Office revised their "Preliminary Notice of Award" to include a provision which is binding on the Government as well as the contractor that authorizes start of production pending receipt of formal contract, NASO has advised that ny recommendation for the removal of Government testing time from contractual delivery date and other suggestions for elimination of delivery delinquencies, has been forwarded to the responsible Navy Technical Bureaus for consideration in conjunction with their studies to develop new inspection and test procedures. We have received splendid cooperation from the Navy and I feel confi dent our recommendations will be adopted. General Services Administration regional procurement offices have a long established practice of buying supplies, including paint products, by means of open-end con tracts, On June 2li I conferred with GSA*s purchasing Division Director, SamuaL A, Snydero I pointed out the increased cost to the Government resulting from this practice, and gave Mr. Snyder information he desired to work out a more equitable procedure for the Government and our industry. SCIENTIFIC SECTION* Fire Retardant Paint - A publication on fire retardant paint Including legal aspects as well as the latest types of test methods is now in preparation. N PC 0 0 9716 --u-- Noise, Dust and Fumes - Preliminary determination of noise levels in four factories has been made. Plans are completed to collect representative data from a suf ficient number of plants for a proper stucty- of this problem. Miscellaneous - Two circulars, one showing the relation of gloss of film to the dis persion of pigment, the other discussing types of natural finishes for exterior wood are being reviewed by Committee members. The accurate determination of small amounts of lead in paint covered by New York City label regulations is being studied in conjunction with the Departments of Health of New York and Chicago, A paper on "Vernacular in The Paint Industry" was presented at the American Chemical Society in Cincinnati, Copies are available from our Headquarters, LEGAL AND LEGISLATION Federal' - Ah amendment of the Sherman Act increased the maximum fine for violation to .tbp00,000. An amendment of the Clayton Act creates a Federal Government action for actual damages resulting from an anti-trust violation, and a uniform four year statute of limitations. Proposed laws being followed through by the Associations Government Competition bills; Tung Oil Act; Tax writeoffs for air pollution equipment; Revision of Philippine Trade Agreement; Revision of Robinson-Patman Act on price changes made in good faith; Minimum wages. Customs Simplification Act and Amendments to Flammable Fabrics Act, A Federal Air Pollution Study bill has been enacted. State - Labeling of Hazardous substances bills were enacted in Massachusetts and Minnesota, These are acceptable and regulations will be issued after public hearing. Unsatisfactory labeling bills in Michigan, Connecticut, and Delaware and Contractors' license bills in Delaware, Maryland, Oklahoma, Oregon and Wiscon sin died in Committee, Toxic finishes law (Criminal) relating to toys and children's furniture still pend ing in New Jersey House Committee, I met with Toy Association members and a member of the New Jersey House Public Safety Committee in Atlantic City and presented our reasons for urging a practical and workable bill. Net Content Labeling - The Committee on Methods of Sale of Commodities of the National Conference on Weights and Measures reversed their previous position and urged the Conference to require that containers for base color tinting systems be filled to full measure. We were successful in presenting reasons why the Conference should not adopt this proposal. The matter was referred to their committee on Laws and Regulations for report next year. At this Committee's request, I have appoint ed an industry committee to work with them. This Committee will meet in August, Virginia Paint Law - Virginia Supreme Court of Appeals upheld the constitutionality of the Virginia Paint Law as a proper exercise of state police power. The Court also denied paint manufacturer right to recover selling price of paint sold in vio lation of Virginia Law. Therefore, failure to register paint makes the sale illegal and collection cannot be enforced in court. Municipal - Revisions of the New York City Fire Department regulations relating to warning labels for combustible and flammable materials are now in final draft following several conferences with Manufacturing Chemists Association, Chemical Specialties Manufacturing Association, our members, a special Committee of New York Paint, Varnish and Lacquer Association and our General Counsel, N pC 009717 - 5- PRODUCT LIABILITY INSURANCE: Association representatives have conferred with Lukens, Washburn and Savage, Insurance Brokers of Philadelphia, Pennsylvania concerning possibilities of extended and improved coverage for product liability. These brokers have submitted a proposal of im provement of coverage and cost and clarity of extent of coverage. The proposal embraces an industry survey of insurance risks, needs and losses. It is Tinder study. TARIFF: The Association appeared before the House Ways and Means Committee on State Department sponsored bill (H.R. 605>9) to amend the trade agreement with the Philippines. After calling the Committee's attention to the Philippine ban on paint imports, the Association urged enactment of the bill with amendment to prevent the Philippine Government from banning imports without a six months advance notice. A revised bill adopting our recommendations has passed the House and is before the Senate. It provides for a consultation period prior to any import ban and limits the reasons for banning imports. Enactment is expected. The Dominican Republic is seeking an increase in paint duties which we are opposing. TRAFFIC DIVISION: As a result of our testimony the Rail Uniform Classification Committee has withdrawn its proposal to increase the carload classification rating on paint products. We filed a brief with the ICC urging cancellation of Middle Atlantic Motor carrier class rates which are based on the rail rate structure. A decision is expected this Fall. As a result of our efforts the ICC will amend its Dangerous Articles regulations to exempt trucks carrying flammable paint in small containers from placarding. The Commission declined to suspend a 20% increase in motor carrier rates on ship ments under two thousand pounds in the South. UNFAIR COMPETITION: The Federal Trade Commission has charged the Retail Paint and Wallpaper Distributors of America, Inc., six New York City and New Jersey Paint and Wallpaper Dealer Associations, certain of their officers and and undetermined number of member dealers located in New York City area, with a conspiracy to suppress competition in the sale of paint, wallpaper and related products. According to the Commission's complaint, the defendant associations and their of ficers and members conspired to force paint manufacturers to sell their products only to dealers recognised by the associations. The charge is made that the de fendants reactivated the Pal nt Dealers Institute to present % united front of dealers against paint manufacturers who sold to retailers not recognized by re spondents as paint dealers". Kail Fraud proceedings against National Titanium Company resulted in the company filing an affidavit with the Post Office Department agreeing to discontinue claims that its product covers solid more than 650 square feet per gallon in one coat and dries to a high gloss finish* As a result the Postal authorities dropped fraud proceedings against this firm* However, the Federal Trade Commission has again initiated investigation of this Company for a new cease and desist action* FTC cease and desist proceedings have been started against the American Antimony Company of Los Angeles, California* This Company's mail literature, which refers to a public warehouse and claims the paint is identical to nationally sold brands at twice a $2.75 gallon price is charged as false and misleading. This FTC action is the resuit of our complaint to and discussions with the Commission* NPC 009718 -6- The Federal Trade Commission has not taken further action on a mastic coating Trade Practice Rule. he still urge prosecution of fraudulent applicating concerns under existing law. INDUSTRIAL PRODUCT FINISHES: The Industrial Product Finishes Technical Subcommittee met in Atlantic City, May 17, 1955. Attendance was excellent. Three technical papers were presented (1) Lacquer for Plastics: (2) A Fancy Formula for Finer Films and (3) Review of New Vivid Tinting Colors for Automobile and Industrial Finishes. Copies are available at Association head quarters. The National Seminars were successful and well attended on Kay 18, 1955. It was recommended that future seminars be scheduled for one day only. Discussing the Interest of End Users, the need was indicated for a generic term for "Industrial Product Finishes" which will be concise and have meaning for the public. The Association's Paint Statistics Committee will consider and determine the most effective survey to implement the End Users program. In connection vlth our program for quality upgrading of furniture finishes, I recommended to John Snow, Executive Secretary of the National Association of Furni ture Manufacturers, that NAFM establish a Finishes Committee. T:e would provide representatives to attend meetings of that committee when furniture finishes are discussed, and NAFM would appoint a representative to attend our meetings under similar circumstances. JUNIOR EXECUTIVES COMMITTEE: I organized a Junior Executive Committee, composed of management personnel immediately below the rank of President or Chairman of the Board, or their assistants. A group of junior executives, present at the Seminars in Atlantic City, met on May IP, 1955, to discuss purposes of the committee. In general, the objectives will be to provide opportunities for the industry's junior management to meet and discuss mutual problems through a junior executive's perspective. PUBLIC INFORMATION DIVISION: News releases have dealt with the painting of masonry and wood. The advantage of repainting automobiles at frequent intervals has been pointed out, advances in can linings and electro static finishing were stressed. Tying in with FHA program, the idea of using the monthly payment plan on painting homes has been widely publicized. At our suggestion and with our guidance the Department of Health, Education and fkelfare is preparing a pamphlet on causes and symptoms of lead poisoning for (^nationwide distribution through Federal, State and municipal channels. 6,200 copies of the booklet "Painting Toys and Children's Furniture" have already been distributed. Copies are being requested for distribution at Child Health Conferences, for use by members of clinical and nursing staffs, for infants* and children's clini.cs and maternity clinics. They are also being distributed in connection with home safety campaigns and are being sent to doctors' offices, to foster parents homes and to cerebral palsy centers. Good Housekeeping Magadne has been assisted in an article for their August issue. Another "How To" book, along similar lines, is to be published shortly by "Living N?C 009719 -7- for Young Homemakers". Four articles on various phases of paint for beauty and protection were prepared for "Horae Builders Monthly". Articles and suggestions were prepared for Pathfinder Magazine. Also "Better Living" and McCall's have scheduled a social feature on kitchens and we have forwarded them suitable material. A quantity of material on the paint industry was furnished for Ripley's"Believe It Or Not". The University of Maryland used much of our material in their summer courses for women. CLEAN UP - PAINT UP - FIX UP: The expansion of the national program was empha sized by the presentation at the annual convention of the United States Junior Chamber of Commerce in Atlanta of a special award for Distinguished and Unique Service to the Jaycees. Plans have been made for three separate mailings to local Jaycee Chapters by the Jaycees headquarters for the 1956 programs and an article in Jaycee magazine (Future) has been prepared. The Ernest T. Trigg Trophy was won by San Antonio for 195k, During the past three months the Director of the Bureau, Mr, Kiefer and I have participated in U2 meetings in 18 areas. STATISTICAL DIVISIONt The Credits and Collections Report for April, May and June has been mailed to participating members. The Survey "Percentage by Color Paint Sold by Paint Manufacturers for 1955" and "The Survey of Color Card Usage" has been issued to all members. Demand for the "National Consumer Survey of Painting Habits" continues strong -- 6,000 copies have been distributed as of July 1. Tabulations on the Employees Report for the period June 1, 195k to December 31, 195k have been made and reports were sent to members. TRADE SALES: The Trade Sales Steering Committee and the newly created Advertising and Sales Promotion Manager's Steering Committee met in May. As a result of a directive of the Executive Committee a committee was appointed at the meeting of the Trade Sales Steering Committee to determine reasons for loss of trade sales and to recommend action to regain these sales. Stress was laid on the promotion of time payment selling by dealers and contractors and several plans have been presented for our information. The use of color in sales promotion was also a major topic and the Color Promotion Subcommittee is developing a color program for the Association. The need for further work by the Association in intensive sales training was dis cussed. It was felt the need is now greater than ever before because of newly developed and modem paint products. It was recommended that regional meetings be held for trade sales and advertising managers so more" could participate in Association programs and such a meeting will be called after our Convention. NPC 009720 -8The Joint Paint Industry Coordinating Committee wj.ll meet July 21 to consider an educational program to encourage consumer use of time-payment programs. Appren tice training plans will also be discussed. FILE? PROGRAM; A total of 3h9 color and black and white prints of the films "Water - The Hidden Menace to Homes", "Here's How" and "The House in the Middle" are now being circulated. Ninety percent of these prints are being used effectively at all times. A total of 2ljl television stations in JUiU states, the District of Columbia, Alaska and Hawaii have used the "Here's How" film, featuring Norman Erokenshire. "The House in the Middle" has been shown by 75 stations in 3ii states and the District of Columbia. The first six months of 1955 total of all film showings was 2,377 with audience figures of over 25,000,000. Many repeat requests are being received for all films and there is an ever in creasing interest from all sources using these films. NPC 009721