[Victory : Official Weekly Bulletin of the Agencies in the Office for Emergency Management. V. 3, No. 19]
[From the U.S. Government Publishing Office, www.gpo.gov]

VICTORY
OFFICIAL WEEKLY BULLETIN OF THE AGENCIES IN THE OFFICE FOR EMERGENCY MANAGEMENT
WASHINGTON, D. C.
MAY 12, 1942
VOLUME 3, NUMBER 19
IN THIS ISSUE
Review of the Week_____________ 2
On the Home Front_______________ 3
INDUSTRIAL OPERATIONS
Ban on iron and steel__________	1
Auto parts limited______________ 6
Copper out for 100 more items___	9
Priority Actions_______________ 14
LABOR
Two big firms give in to WLB____ 4
Lower building wages raised_____	5
PRICE ADMINISTRATION
Ceiling on used refrigerators_ 18
RATIONING
Rubber, gasoline, sugar.______24,25
TRANSPORTATION
New division to plan Nation’s use of transport______________ 26
Control of tank cars established_27
CIVILIAN DEFENSE
75 millions allocated for equipment 30
Iron, steel banned for over 400 products in common use, from tubs to pie plates
Thousands of manufacturing plants were ordered May 5 by WPB to stop using iron and steel in the manufacture of more than 400 common civilian products.
Limited production for 90 days
The list of products to be banned includes such common iron and steel items as bathtubs, pie plafes, cash registers, wastebaskets, cigarette lighters, clock cases, mail boxes, and fountain pens.
The sweeping order—General Conservation Order M-126—affects not only the manufacturing plants but also thousands of wholesalers, distributors, jobbers, retailers, employees in all these businesses and the consuming public.
Limited production is permitted for 90 days, but after that manufacture must stop, even for many items customarily used by the armed forces.
Gold, silver only substitutes allowed
Manufacturers have 15 days to deliver or accept delivery of iron and steel to be used in the manufacture of any of the products listed in the order. For 45 days iron and steel may be processed for the manufacture of the items listed, up to an aggregate weight of 75 percent of the average monthly weight of all metals processed by each manufacturer during 1941 in the making of each item. The processing must be completed within the 45 days. For the next 45 days he may assemble items on the list. After that date all use of iron or steel in the manufacture of items on List A of the order must cease.
Manufacturers who have been making items on the list out of iron or steel may
not turn to any other metal except gold or silver to make that article. During the 90-day period when fabrication and assemblage is permitted manufacturers
PETROLEUM CHART
Chart on this page shows increased use of high-cost transportation to move petroleum and its products to the Eastern Seaboard, which has caused Office of Price Administration to permit higher prices in that area (see Victory, May 5). What chart cannot show is that this huge proportional rise in use of tank cars does not compensate for sinking and diversion of tank ships, hence depleted stocks and supply, and hence rationing registration beginning May 12 (See Victory, April 28, and page 25 of this issue). Also, consequent shortage of tank cars, which are needed to carry vital chemicals as well as oil, moved Office of Defense Transportation to inaugurate Nation-wide control, of tank cars effective May 15 (see page 27). ■
may sell iron and steel to others engaged in the same line of business. They may not sell iron and steel from inventory otherwise except on preference ratings of A-10 or higher for other than alloy steel and A-l-k'or higher for alloy; to the Metals Reserve Company or its agencies or with the specific authorization of the Director of Industry Operations.
Also included in the order is a list B, which applies only to Army, Navy, or Maritime Commission orders. These may be processed, fabricated or assem-(Continued on page 8)
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May 12, 1942
Review of the Week
While millions of Americans breathed a sigh of relief over the simplicity of their registration for sugar rationing under the auspices of the Office of Price Administration, and prepared for the gasoline registration which was to begin on May 12, the War Production Board last week did some rationing of its own at the other end of the industrial scale. The WPB action was the other half of its blanket program to cut off all non-essential civilian production—an order forbidding the use of iron and steel for more than 400 articles in common use. Not only that, but the only metals permitted as substitutes are gold and silver.
Further, WPB put an end as of May 15 to the manufacture of replacement parts, except a few specified “functional” ones, for civilian automobiles and light trucks. Copper and its alloys were forbidden for any except essential operating parts for automobiles, and in another sweeping order about a hundred items were added to the general list of those which must not be made of this metal.
Retailers preparing for May 18
As the over-all price ceiling went into effect May 11 for manufacturers and wholesalers, OPA urged retailers to get their records together and survey their prices quickly in preparation for imposition of their ceiling on May 18.
At the same time OPA placed a separate ceiling over used mechanical refrigerators, to bring about savings for householders now that new ones are hard to get. OPA also continued to round out its control of textile prices, prescribing maximum charges for “back-filled” sheetings used by families of low income.
The WPB Production Division revealed that metal-working machinery shipped in March totaled $108,600,000 in value as compared with $84,355,000 in February. The Division of Industry Operations placed all new critical machine tools under limited allocation. The Materials Division announced that increased production is slightly easing the crucial steel plate problem, but held that only tke operation of new plate mills will bring a permanent solution. WPB told
suppliers that deliveries for construction of aluminum and magnesium plants must proceed on schedule, even if later orders from other sources bear higher ratings.
Still searching for materials
Still searching out supplies of vital materials for the war effort wherever they may be, WPB forbade the use of scarce metals for “demonstrator” incendiary bombs; asked an end to extension of street lighting systems except where necessary for public safety; eliminated all but the most essential use of rubber tires on hand trucks; ruled out feeding nipples of the type using extra amounts of rubber; banned all metals except iron and steel from pencils; put strict regulation on the consumption of scarce materials in safety equipment; cut deliveries of gasoline and light heating oils 50 percent on the East Coast; and limited the delivery of brass mill, wire mill, and foundry copper products to high-rated orders.
OPA, meanwhile, issued a maximum price regulation to cover all machines and parts not already subject to ceilings.
Warning that restrictions on passenger travel are imminent, Transportation Director Eastman set up a division of transport conservation under authority of a Presidential order, to formulate measures for adjusting services to the war, and if necessary, for restricting them to essential uses. Mr. Eastman also banned grain exports over the Great Lakes, except by special permit, to give, preference to movement of iron ore; and Set up a Nation-wide system of tank-car control.
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Imports of cashew nuts curbed
Restriction of the importation of cashew nuts was ordered May 9 by the Director of Industry Operations.
The purpose of the order, M-147, is to insure maximum extraction of oil from cashew nut shells in the exporting country.
Deliveries of principal imported spices placed on monthly quota basis
The WPB May 8 placed restrictions on the distribution of black and white pepper, pimento (allspice), cassia (cinnamon) , cloves, ginger, nutmeg, and mace.
Such spices are the principal imported seasoning commodities used by United States industry and consumers.
The order places a quota on the amount of each spice a packer may deliver monthly, and on the amount an industrial or wholesale receiver may accept.
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Production of incendiary bombs banned for “demonstrator” use
Because their manufacture calls for the use of scarce material's, including magnesium and metal containers, the production and distribution of incendiary bombs for use as “demonstrators” by civilian groups has been prohibited by Limitation Order L-115, issued May 7 by the WPB. Qnly permitted exceptions are to fill orders authorized in writing by the Army or Navy.
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Cottonseed oil prices
Price Administrator Henderson May 6 established specific “cents per pound” maximum prices for various grades and qualities of actual spot cottonseed oil and set ceilings on the same commodity for future delivery on the organized exchanges at the identical price level.
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UwAR EFFORT’S PROGRESS TOLD VISUALLY
The charts appearing every week on the front cover of Victory tell the story of America’s battle as it is fought here at home. One-column mats are available for publication by newspapers and others who may desire them. Requests .should be sent to Distribution Section, Division of Information, OEM, Washington, D. C.
VICTORY
OFFICIAL BULLETIN of the Office for Emergency Management. Published weekly by the Division of Information, Office for Emergency Management, and printed at the United States Government Printing Office, Washington, D. O.
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May 12, 1942
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On the Home Front
We have battened down the hatches of the ship of state, we are set to ride out, the gales of war.
Price control and rent control were the first steps to that end, the third step came last week when the Federal Reserve System moved to tighten controls over consumer credit.
Charge accounts discouraged
Federal reserve’s action means heavier down payments on installment purchases, it means that installment balances must be paid off sooner, it means that charge accounts and personal loans up to $1,500 incurred for the purchase of “listed” goods have been placed under strict control. The control over loans even includes bank loans.
The reason for this action, of course, is that unrestrained credit is quite as dangerous as unlimited cash, quite as likely to send the cost of living and the cost of war spiraling upward. Whereas payment of debts and saving of surpluses helps us now and creates a cushion for the postwar period. As President Roosevelt put it: “We must discourage credit and installment buying and encourage the paying off of debts and mortgages.”
Bootlegging of goods unpatriotic
With $4 in cash competing for every $3 in goods in the . American marketplace, it is obviously to our advantage not to aggravate the situation by applying the pressure of additional purchasing power based on future earnings.
'‘So vital are the benefits of these restraints to the American people,” remarked Price Administrator Leon A. Henderson of the Federal Reserve move, “. . . that support . . . becomes a matter not only of self-interest but of patriotism.” The selfish individual who turns to the “bootlegger of goods or money” is a “menace to the welfare of all,” he said, while the patriot will buy nothing “not essentially needed” and will try to invest his surplus in “debt retirement and savings for future use.”
Gasoline rationing in 17 Eastern States
Gasoline rationing becomes a fact this week in 17 Eastern States and the District of Columbia. The War Production Board has already cut deliveries of gasoline and light heating oils to 50 percent of normal, an indication of what’s going to happen to the individual motorist when he drives up to his filling station on May 15.
While the eastern automobile owner Is getting the heavy end of the stick, the rest of the country should not congratulate itself on its escape. Gasoline is a national problem, not a sectional one and, as has been emphasized before, it Is a problem of distribution, not production. The transportation difficulties of the Atlantic seaboard have a direct effect on the Midwest and the Far West. The
REPRINTING PERMISSIBLE
Requests have been received for permission to reprint “On the Home Front” in whole or in part. This column, like all other material in Victory, may be reprinted without special permission. If excerpts are used, the editors ask only that they be taken in such a way that their original meaning is preserved.
death of merchant sailors and the destruction o^ tanker tonnage are equally the loss of the Southwest and the Northwest. Sooner or later the sorrows and problems of one section become the sorrows and troubles of all sections in total war.
Steel Age suspended for duration
As still another forfeit to victory, the War Production Board has suspended the Steel Age for the duration as far as the civilian is concerned. After a period of 90 days the use of iron and steel in the manufacture of more than 400 household, office, factory, and farm products comprising many hundreds of everyday items will be banned. When the present supply is gone, the housewife must do without her pie plates, the business man. without his cash register, the glamour girl without her lipstick, and the manabout-town without his cigarette lighter—if they are made of any metal except gold or silver.
Against these inconveniences and irritations, we can rejoice that unnumbered thousand of tons of iron and steel, the very stuff of war, will be diverted into the stream of victory. No one is apt to grumble at the loss of bathtubs, wastebaskets or fountain pens when he knows that they are going pound for pound into the machine guns, tanks, and submarines which will speli the overthrow of the dictators.
Darkened Main Streets release power
The growing need for power to operate new aluminum and other war material
plants is indicated in another WPB order. Electric utility systems have been asked to discontinue all street lighting extensions except those indispensable to public safety. Suspension, of street illumination would not apply to heavily-traveled areas surrounding war factories, airports or military centers nor to essential traffic control signals elsewhere. If one end of Main Street is dark these spring nights it may mean that an extra American pursuit plane is aloft over the Caribbean.
War Ration Books a best seller
Donald M. Nelson, chairman of WPB, has personally appealed to the lumber industry for greater cooperation. He has asked logging and sawmill operators to step up the production of soft-wood construction lumber to the maximum to meet the imperative and immediate needs of the armed forces for housing.
Boy will meet girl in Hollywood from now on against a background costing not more than $5,000 . . . Amplifying a previous conservation order, WPB has specifically authorized that much and no more for the construction of new motion picture sets . . . They used to cost between $10,000 and $150,000 . . . Industrial diamonds have been brought under the price ceiling by the DPA ... They’re vital in the operation of machine tools .. . 57,670,453 persons or 44 percent of the eligible population walked away with War Ration Books in the first 2 days of the 4-day registration^.. . Those who did not register must wait until May 21 to get books unless they can prove illness or present an equally good excuse . . . The Bureau of Industrial Conservation has seized 200 junked cars in an automobile graveyard in the Washington, D. C., metropolitan area because the owner refused a fair offer to sell...
WPB cracks down on violators
WPB suspended a division of General Motors Corporation for 3 months for violation of priority regulations on the grounds that it used quantities of chrome steel and aluminum in the manufacture of automobile parts .., And three Puerto Rican rum distillers have been penalized on charges that they continued to distill rum from molasses after January 15. Motorists in 17 Eastern States and the District of Columbia are warned not to hoard gasoline to beat 'rationing ... It is not only unpatriotic but it may lead to a serious fire ...
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May 12, 1942
LABOR ...
Federal Ship and General Motors yield to decisions of Board
America’s two largest corporations, which had questioned the National War . Labor Board’s authority and threatened its ability to settle wartime disputes, last week agreed to comply with Board orders.
The Federal Shipbuilding & Drydock Co., Kearny, N. J., wholly owned subsidiary of the United States Steel Corporation, agreed to sign a maintenance of membership contract with the Industrial Union of Marine and Shipbuilding Workers of America, CIO, which a majority of the Board had ordered on April 25.
This announcement came on the heels of a dramatic public hearing at which the General Motors Corporation reversed its position and agreed to a Board order it had resisted and apologized for charging that the Board made one-sided decisions.
Compliance by the two great corporations greatly enhanced the Board’s prestige and strengthened it in its wartime job of settling labor disputes by peaceful means in the interest of uninterrupted production, it was reported.
Federal Shipbuilding announcement
The announcement by Federal Shipbuilding ended months of controversy during which the yard was taken over by the Navy last August after the steel corporation refused to comply with a maintenance of membership recommendation by the peacetime National Defense Mediation Board. The plant was returned to the corporation on January 6 with the understanding that the issue was to be settled by the War Labor Board. However, the position taken by the corporation at the public hearing before the Board March 30 had led observers to conclude it intended to challenge the government again.
In notifying the Board of its compliance, L. H. Korndorff, president of Federal, stated, “This action has been taken solely because of the war emergency, and this country’s great need of ships in order successfully to prosecute the war.” “Happiest effect on production”
Chairman William H. Davis of the Board promptly sent a telegram to Mr. Korndorff expressing the Board’s appre
ciation for the action by the United States Steel Corporation subsidiary.
“Please accept this expression of my appreciation for your letter of today,” Mr. Davis wired, “in which you convey to the National War Labor Board the acceptance by the Federal Shipbuilding & Drydock Co. of the Board’s directive order of April 25. I believe that this acceptance, which finally determines a long dispute, will have the happiest possible effect upon the war production in which we are all so deeply concerned.”
The maintenance of membership clause ordered by the Board requires all present members of the union to maintain their membership in good standing as a condition of continued employment. Any union member, however, who wishes to withdraw from the union may do so by agreeing, to have his union dues deducted from his salary for the duration of the contract (about a year).
“To increase production”
The Federal Ship clause will go into effect within ten days, as soon as the company and union formally sign a contract embodying the provision. During the interval before the contract is signed, employees have the privilege of withdrawing from the union without any penalty
Board’s hand strengthened
Federal Ship’s compliance gave added weight to the Board’s use of the maintenance of membership formula as one means of protecting unions from disintegration under the strain of,wartime responsibilities. The shipyard was the third company to announce its acceptance of a mairfienance of membership order within a 10-day period. The other two concerns—International Harvester Co., Chicago, Ill., and the Walker Turner Co., Plainfield, N. J.—announced their compliance after more than 2 weeks’ delay in each case.
In the Harvester case, the Board ordered an election among the members of the majority union in each of eight plants of the company on the question of incorporating a maintenance of membership clause in the company’s collective bargaining contract. This election, which will be held shortly, will be the first intraunion election ever held under government auspices.
In the Walker Turner case, the Board decided that union members in good standing on November 27 of last year must remain in good standing to retain their jobs. As in other union maintenance clauses ordered, employees who join the union in the future will be bound by the clause. All three decisions were reached by eight to four votes, with the employer members of the Board dissenting.
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GENERAL MOTORS YIELDS
A 3-man panel of the Board began to mediate the dispute between the General Motors Corporation and the United Automobile Workers of America, CIO, last week after the corporation dramatipally ended its defiance of the Board by agreeing to comply with a Board order at the conclusion of a tense two-hour public hearing called by unanimous vote of the Board.
Charles E. Wilson, president of the corporation, admitted that he misunderstood the meaning of an order of the Board extending until May 18 all the provisions of a contract between the company and the union including a controversial clause providing for the payment of double-time for Sunday work. At the same time he apologized for having charged that the Board made its order after “ex parte” consideration of the case and stated that he was satisfied that the Board had taken no “unfair advantage of the corporation.”
The disputed clause was extended by the Board to provide time to apply the President’s formula ending double time for Sunday to the complicated shifts of the more than 85 plants of the General Motors Corporation. A total of 200,000 employees are involved.
The “ex parte” charge
Prior to the hearing, the corporation had announced to the press that it would not comply with the Board’s interim order. At the hearing, Mr. Wilson at first reaffirmed his earlier position, but unexpectedly reversed himself at the end of. more than two hours of acrimonious debate.
When the order was originally announced by the Board, Chairman Davis said, in part: “I want to say at the outset that I would vote for the order for one overwhelming reason—because I think it
May 12, 1942
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5
will increase production of ships and help win the war. This issue has been disturbing the relations between management and the workers at Kearny for just about a year. It is time to put an end to it.”
Dr. Frank P. Gjaham, public member of the Board, had urged the Steel subsidiary to accept the decision to help win the war.
“In the midst of this total and desperate war,” Dr? Graham wrote, “is no time for defiance of the government by any labor union or corporation. It is the time for the acceptance'of a decision carefully arrived at in accordance with the national agreement between labor, management and the government of the people of the United States. The war is wide and desperate, but the time is short. The time is too short for any further delays in the settlement of a dispute in a plant where are built the ships which carry the men and armaments and supplies to support American boys as they fight for the future of America and the future of freedom in the world.”
With respect to the ex parte charge, Mr. Wilson finally stated: “I don’t know what an ex parte hearing is myself.”
Then, the following dialogue took place:
“Mr. Davis. Now the trouble is that the American people do know what an ex parte hearing is, and you don’t, and you went, out to the American people and said it was an ex parte hearing which means exactly one thing, and that is that there was a hear-ing at which one party was present and the other was not.
Now I don’t want to press the thing, Mr. Wilson. I think you have come along nicely now, and if you want to say that you didn’t understand what ex parte meant, or did not intend to say that there was a hearing in which one party was represented and another was not, and you are not asserting that the union was represented at this hear.-ing before the Board when the company was not, why, say so. It is Just for clarification.
Mr. Wilson. Are we going to settle it on a technical basis or on a practical one?
Mr. Davis. I say on a practical oné, Mr. Wilson, right away.
Mr. Wilson. I would like to say that the ex parte business did not mean that we thought that «anyone had taken an unfair advantage of any position that they might have had, that after a view of the whole matter, that I was satisfied that that was so. I think that is better than for me to ask you to make public the minutes and have a technical discussion over whether it was or was not an ex parte hearing. Technically, I don’t know whether it was or was not.
Mr. Davis. I think the thing, gentlemen, in which the American people are concerned is whether or not t£e General Motors Corporation thinks that an unfair advantage was taken of them. Now Mr. Wilson says they do not think so, and it seems to me that is satisfactory.
Stand taken by Morse
Earlier in the hearing, Wayne L. Morse, public member of the Board and Dean of the Oregon University Law School, denounced the refusal of General Motors
10 lower craft wage rates raised, 14 of highest unchanged by decision in Detroit building trades dispute
The Board of Review of WPB’s Labor Production Division announced May 6 a decision in the Detroit building trades wage disputes, under which 14 of the highest craft wage rates remain unchanged and 10 lower craft wage rates are increased.
Decision final and binding
The decision was made by a Board of Arbitration made up of John P. Coyne, president, Building and Construction Trades Department, AFL; Major James T. O’Connell, chief, Labor Relations Branch, Corps of Engineers, War Department; and Louis K. Comstock, chairman, Board of Review. The Board of Review approved the Arbitration Board’s decision and therefore under the Building Trade Stabilization Agreement, the decision is final and binding. This was the agreement entered into between the Government and the AFL Building Trades last August under which all war construction strikes were banned and all
disputes were to be settled by peaceful means.
The 17 building trades unions involved all asked considerably higher wages.
Principal changes in lower levels
The statement announcing the decision said as to this point :
Throughout the discussions in the executive sessions of the Board of Arbitration and the Board of Review, the thought has been ever present that in these days of war emergency, necessitous high production, and extreme care for the preservation of our institutions, and as a helpful hedge against inflation, there should be no attempt to alter the wage scales more than to stabilize them and to bring into line some wage scales that seemed definitely out of line.
Two things stand out in these wage determinations: (1) The highest scales of wages have not been changed and (2) the principal changes have been in the lower levels where the rise in the cost of living (whatever it is) bears a relatively greater ratio to the income received than in the higher levels.
The unions and employer associations involved jointly signed agreements binding themselves in advance to abide by the decision of the arbitrators.
to comply with the Board’s order as a “sit-down strike against the best interests of this country at war.”
“I want to say that as a lawyer, T think I know when parties stand in contempt before a tribunal,” Dean Morse said.
“There is only one issue before this Board, and that is whether or not the tribunal which has been set up by the President of the United States to settle labor disputes, including labor disputes of the General Motors Corporation of America, shall settle them by this Board, or whether they shall be settled in accordance with Mr. Wilson’s judgment as to how they should be settled.
“I have no doubt, Mr. Wilson, as to what- the American people or what the President of the United States will say to you in answer to the contemptuous position you have taken before a tribunal created by the President of the United States,” Dean Morse said. “I want to plead with you as a public member of this Board and as a citizen interested In the successful outcome of this war that you do what every party is supposed to do when he stands before a tribunal and finds that he has misunderstood and mistaken the action of that tribunal . . .
“I ask you in the interests of the suc-
cessful prosecution of this war to express to this tribunal your apology, which is due, and say that you Will abide by the decisions of this Board and abide by the decision of May 1.”
Near the close of the hearing, Dr. Frank P. Graham, public member of the Board, turned to Mr. Wilson and pleaded with him to change his stand in the interest of the war effort.
“I cannot understand that such a big issue should be made out of this point with the whole world crashing around us, when we ought to be not stirring up things to divide labor organizations from corporations, not raising issues to undermine the influence and value of this Board,” Dr. Graham said.
After the hearing concluded with Mr. Wilson’s agreement to comply, the three-man mediation panel sat down with the parties to start the business of mediation. Considerable progress was reported at the first meeting.’ Other issues in the case besides double time are the question of union security, wages, and the negotiation of a new collective bargaining contract to replace the one between the company and union which expired on April 28.
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May 12, 1942
INDUSTRIAL OPERATIONS ...
Production of spare parts for civilian autos, light trucks sharply curtailed
The WPB May 5 ordered a sharp cut in the present high rate of production of replacement parts for automobiles and light trucks for civilian use.
70 percent production quota
Only specified functional parts may be produced after May 15, and in curtailed quantities designed to satisfy actual demand but eliminate surpluses.
Applying to spare parts for passenger cars, station wagons and taxicabs, and trucks under 9,000 pounds gross weight, WPB’s action supersedes, during the period April 1-June 30, the provisions of Amendment No. 1 to Limitation Order L-4-a.
Under the new order, Supplementary Limitation Order L-4-c, producers may make during the period April 1-June 30, and during the period June 30-Septem-ber 30, 70 percent of the total dollar volume of replacement parts sold by them in the corresponding quarter of 1941. This production quota is accompanied by certain restrictions on inven-^pry of finished parts.
Parts permitted
Effective May 15 (the date was postponed from May 1 by amendment on May 8), producers may manufacture only the following replacement parts:
Engines, clutches, transmissions, propeller shafts, universal joints, axles, brakes, wheels, hubs, drums, starting apparatus, spring suspensions, shock absorbers, exhaust systems, cooling systems, fuel systems, lubricating systems, electrical systems (including generators, lights, and reflectors), gauges, speedometers, rear view mirrors, windshield wipers, windshield wiper motors, control mechanisms, and steering apparatus.
In the manufacture of the specified functional parts, producers are subject to all restrictions on the use of materials covered by M orders issued by WPB. It is estimated that a relatively small amount of additional materials will be needed to produce the permitted quota of parts.
Can maintain low rate to September 30
R. L. Vaniman, deputy chief of the automotive branch, said that as a result of its conversion studies, the branch has found that parts production facilities probably will not be completely taken up by war production, and that, therefore, a
low rate of production may be maintained at least until September 30 in order to make available an adequate supply of essential parts to meet estimated needs for the rest of this year and 1943.
“The branch, in its present and continuing program, is laying particular emphasis on the reconditioning or repairing of replacement parts, such as rewinding of starters and generators, rebabbitting of connecting rods, more extensive reconditioning of engines and other items,” Mr. Vaniman said.
A distributor requiring a replacement part for the emergency repair of a designated vehicle which cannot be operated without such part must file with a producer a “Certificate for Emergency Order” specifying the make and engine number of the vehicle involved. A producer to whom such a certificate is submitted must give the order precedence in shipment over other orders not of an emergency nature.
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Deliveries of gasoline and light heating oil are cut
50 percent in East
Acting on the recommendations of the Office of the Petroleum Coordinator, WPB on May 5 ordered deliveries of both gasoline and light heating oils -cut 50 percent beginning May 16 in 17 Eastern States and the District of Columbia.
The 50 percent cut will reduce deliveries of both products to half of the normal demand.
The cuts in gasoline deliveries will apply to service stations and to bulk consumers. The cuts in heating oil deliveries will apply to deliveries to suppliers.
Gasoline deliveries, under Limitation Order L-70, are already cut one-third in the 17 States and the District of Columbia.
The fuel oils covered by the May 5 decision are of the type generally used for space heating and central heating, including domestic heating plants. This means, therefore, that the quantity of such fuel available for household purposes will be restricted and controlled under the plans being worked out.
Copper banned from autos except in essential operating parts
WPB on May 6 prohibited the use of copper or copper base-alloy products in 'the manufacture of all but essential operating parts of motor vehicles. The limitation order, L-106, is effective immediately.
The restrictions do not apply to the production of parts for the Army or Navy where use of copper or copper base alloy products is required by the specifications of the prime contract.
Permitted uses listed
Unless specifically authorized by the Director of Industry Operations, producers are prohibited from using the restricted products except in the following:
Radiators; cooling system control devices; electrical equipment; tubing and fittings; bearings, bushings, thrust washers, and similar parts; carburetor parts; plating; gaskets; certain types of transmissions; brazing materials; powdered copper for briquetted bearings; as alloying elements in certain parts, and in some miscellaneous parts,' including keys and lock tumblers.
The extent to which the restricted products may be used for the purposes listed is set forth In detail in the order.
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Wheeler heads New England regional office of WPB
Walter H. Wheeler, Jr., has been appointed New England regional director of the War Production Board, it was announced May 7. Mr. Wheeler formerly was chief of the contract distribution branch of the Production Division.
The New England regional office will have its headquarters in Boston and will be responsible for the administration of all WPB field offices in the six New England states. Other regional offices have been established in Cleveland, Atlanta, Philadelphia, Detroit, and Chicago.
Replacing Mr. Wheeler as Chief of the contract distribution branch of WPB is C. E. Hallenborg, formerly assistant chief of the branch.
May 12, 1942
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Supplies to build aluminum, magnesium plants to go ahead of higher-rated but later orders
Suppliers of materials used in the construction of vital aluminum and magnesium plants were advised May 6 by WPB that deliveries should be made on schedule even though subsequent orders assigned under Preference Rating Order P-19-i carry higher preference ratings.
The ruling was made in Interpretation No. 1 of P-19-i which covers materials used in essential civilian construction. It was necessary, the board said, to prevent any delay in delivery which might result from a misunderstanding of the original order.
The Interpretation ruled, however, that this provision does not require or permit a supplier to make deliveries on an order to which a rating has been assigned under P-19-i in preference to deliveries on earlier-accepted orders bearing equal or higher ratings.
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WPB forbids rubber tires for most hand trucks
WPB on May 7 ordered elimination of all but the most essential uses of rubber tires on hand trucks. It is estimated that these required more than 500,000 rubber tires last year.
Limitation Order L-lll, effective immediately, prohibits any manufacturer from delivering rubber-tired hand trucks, any person from accepting delivery of such trucks or of rubber tires for replacement purposes, and any person from delivering rubber tires except on authorization to a hand-truck manufacturer for use on such trucks. Alt other uses of rubber in the manufacture or assembly of these trucks is prohibited.
Exceptions are granted where the use of rubber tires is necessary to prevent explosion hazards, and to avoid accidents in the handling of explosives, damage in transporting unbaked grinding wheels or green foundry cores, or damage to delicate instruments which are an integral part of the truck. Persons receiving delivery of a truck or a spare rubber tire must certify on the purchase order that the equipment is required for one of the specified essential purposes.
★	★ ★
Indian kyanite, furnace lining, under complete allocation
Indian kyanite (including andalusite and sillimanite), a superduty refractory used in furnaces where extremely high temperatures are necessary, was placed under complete allocation control May 6 by the Director of Industry Operations.
WPB tightens control over all types of rubber-tired construction equipment
The WPB, acting to save substantial amounts of rubber, May 3 assumed rigid control over the production and distribution of all types of rubber-tired construction equipment.
Over 70 items affected
More than 70 items of construction equipment normally equipped with rubber tires are affected by Limitation Order L-82-a.	t
At the same time, WPB, in Limitation Order L-82, placed restrictions on the sale and production of power cranes and shovels, which are greatly in demand for military and essential civilian activities.
In its order applying to rubber-tired construction equipment, WPB prohibits the future sale, lease, trade, loan, delivery, shipment, or transfer of any new equipment without specific authorization of the Director of Industry Operations, except for orders placed prior to the issuance of L-82-a which carry a preference rating higher than A-2, on which shipments must be made on or before June 1.
Between May 1 and June 1, no rubber-tired construction equipment can be produced except to fill Army, Navy, Maritime Commission, and lend-lease orders, to fill orders for specified items of equipment needed in the war program for which steel wheels or other substitutes for rubber tires are impractical, or on production schedules specifically approved by the Director of Industry Operations. The specified items are: self-propelled earth moving graders, carrying and hauling scrapers, and power cranes and pov^er shovels.
WPB must approve schedules
The order provides that after June 1, each manufacturer’s production schedule, regardless of whether or not it is designed to fill war orders or orders for the specified items, must be approved by the Director of Industry Operations. Proposed schedules must be submitted to WPB on form PD-446. This will provide a means of preventing any manufacturer from using'^critical material to produce equipment that would be useless without rubber tires and of preventing production for nonessential uses.
As defined in the order, construction equipment takes in many items, including snow plows, drilling machines, crushers, excavators, mixers, street sweepers, and others set forth In Schedule A attached to the order.
In order to obtain release of equipment frozen by the terms of the order, a producer, dealer, or an authorized distributor may apply to WPB on form PD-448, unless delivery of the item involved has been assigned a preference rating higher than A-2, in which case no application is necessary. However, such preference rating must have been issued before May 2, must designate the person seeking to purchase equipment, must be issued directly to that person, and shipment must be made on or before June 1.
The order places no restrictions on repossession of equipment in case of a breach of installment contract or other form of conditional sale. Equipment actually in transit to the ultimate consumer on May 27 is exempt from the terms of the orders.
Before May 15, producers, dealers, and distributors must file with WPB on form PD-445 a statement detailing inventories of rubber-tired construction equipment aS of May 2.
L-82, covering power cranes and shovels, which can continue , to be mounted on rubber tires, contains production and distribution restrictions similar to those set forth in L-82-a. Effective immediately, sales and other transactions are prohibited except upon specific authorization by the Director of Industry Operations and to fill orders placed prior to the issuance of L-82 which carry ratings higher than A-2 and on which shipments must be made on or before June 1. Application for release may be made on Form PD-448.
★	★ ★
Feeding nipples modified to use less rubber
Specifications for the manufacture of feeding nipples, designed to save approximately 45 tons of crude rubber annually, were ordered by the WPB May 6 in Amendment No. 5 to Supplementary Order M-15-b-l.
The specifications, effective on May 15, set forth the maximum amount of rubber which may be contained in each thousand nipples.
The amendment will eliminate the production of the so-called “breast” type nipple, which consumes three times the amount of rubber required to manufacture a nipple, conforming to the specifications.
8
★ VICTORY ★
May 12, 1942
List of articles for which iron and steel will be forbidden by new WPB order
Following are the over 400 articles for which the use of iron and steel will be forbidden under WPB order of May 5:
List A
Access panels, except as required by underwriters code; accoustical ceilings; advertising novelties; air-conditioning systems—except for hospital operating rooms and industrial plants; amusement park devices and roller coasters; area walls; ash sieves; asparagus tongs; atomizers, perfume-boudoir; attic fans; autographic registers; automobile accessories—except as required by law; automotive replacement parts, non-functional; awning frames and supports.
Bag, purse, and pocketbook frames; barber and beauty shop furniture; baskets—except for commercial cooking and manufacturing uses; bathtubs; B-B shot for air rifles; beds— except hospital; bed spring frames—except for hospital link fabric spring type bed; beer kegs—except hoop and fittings for wooden kegs; beer mugs; beer stands; beer steins; bench legs—except Industrial; binoculars— except U. S. Government Agencies; bird cages and stands; bird houses and feeders; biscuit boxes; blackboards; blade stroppers, mechanical; bleachers and grandstands; book ends; bottle holders; boxes and trays for jewelry, cutlery, combs, toilet sets; bread racks; bridge splash guards; building ornaments; butter chips; butter knives.
Cabinets—except: (a) Hospital operating and examining rooms; (b) Office furniture as permitted in Limitation Orders L-13-a and L-62; Cake cutters; cake tongs; candy-display dishes; canopies for electric brooders; canopies and supports; cans or containers for: anti-freeze, under 5-gallon size; artist supplies; bouillon cubes; candy; caviar; chalk; coffee; gloves; incense; lawn seed; nuts; pencils; pet food; phonograph needles; playing cards; razor blades; sponges; staples; tennis balls; tobacco products; toilet water; yarn. Carpet rods; carving-set holders; cash boxes; cash registers; casket hardware; cattle stanchions—except hangers and fasteners; ceilings; cheese dishes; chicken crates; chick feeders; Christmas-tree holders; Christmas-tree ornaments; cigar and cigarette holders and cases; cigarette lighters; cigar slippers; clock cases-—except on recording and controlling industrial instruments; clothes-line pulleys; clothes-line reels; clothes racks and dryers; clothes trees; coal chute and door, household; coal pans; cocktail glasses; cocktail sets; cocktail shakers; coffee-roasting machinery; compacts; cooking stoves, commercial electric; copy holders; corn cribs; corn poppers and machines; counter tops; croquet sets; crumb trays; culverts; cupboard turns; cups of all kinds, drinking; curb guards.
Decorative iron products; dictaphone racks; dinner bells; dishwashing machines—except hospitals; dispensers, hand, for hand lotions, paper products, soap, straws; document stands; door chimes; door knockers; door closers—except fire-prevention as required by Underwriters Code; door handles—except shipboard use; door stops; drain boards and tub covers, household; drawer pulls; dress forms; dummy police; dust-collecting systems and equipment—except on A-l-j or higher.
Ediphone racks; egg slicers; electric water coolers—except on PD-la or PD-3a certificates; enamel store fronts; erasing knives; escalators; feed troughs; fence posts—except on A-2 or higher; fences, chain link—except on A-2 or higher; fences, ornamental: finger bowls; fireplace equipment—except dampers; fireplace screens; fish aquariums; flagpoles; flashlight tubes; floor and ceiling plates for piping; floor and counter covering trim; floor
polishing machines; flour, salt and pepper shakers; flower boxes, pot holders, and vases; flower shears; fly traps; foot baths—except hospitals; foot scrapers; fountain pens—except functional parts; fountains, ornamental; furniture—except: (a) wood furniture; (b) as listed in Limitation Orders L-13-a and L-62; (c) hospital operating and examining rooms; (d) hospital beds and cots.
Garage hoists, car lifts, and racks; golf bag supports; grain storage bins—except strapping, hardware, and reinforcing materials; grass shears; grilles: ornamental; sewers— except on A-2 or higher and reinforcing for concrete sewers; gutters, spouting, conductor pipe, and fittings for single family dwellings; hair curlers, non-electric; hair dryers; hand mirrors; hangers and track for garage doors for private use; hanger rings on brushes, brooms, etc.; hat frames; hat-making machinery; hedge shears; helmets—except on A-2 or higher; hose reels—except: (a) firefighting equipment; (b) industrial uses in direct fire-hazard areas; house numerals; icebox exteriors—except portable blood banks; ice-cream freezers, household; ice-cube trays; inkwell holders; incinerators—except industrial, commercial, and as allowed in Defense Housing Critical List; insulation, metal reflecting type; jam boxes; jelly molds; jewelry; jewelry cases; kitchenware of stainless steel; knitting needles.
Lard or vegetable oil tubs—except 5 pounds and over and straps for wood containers; laundry chutes; laundry trays—¡except reinforcing mesh; lavatories^—except hangers; lawn sprinklers; letter chutes; letter openers; letter trays; lighting poles and standards; lipstick holders; lobster forks; lobster tongs; lockers—except: (a) oil refinery use; (b) office equipment as limited by Limitation Order Ir-13-a; looseleaf binding wire, rings, posts, and metal parts; mail boxes—except as required by U. S. postal regulations; mailing tubes; manicure implements; marine hardware for pleasure boats; marquees; match boxes; material for housing not otherwise specified in this order—except as allowed in Defense Housing Critical List; mechanical bookbinding wire; measuring pumps and dispensers for gasoline station, garage and household use, including but not limited to: gasoline dispensing pumps, grease pumps, oil pumps, except barrel pumps and lubesters;
kerosene pumps, air pumps; menu holders; milk bottle cases; millinery wire and gimps; mop wringers; music stands.
Napkin rings; necktie racks; newspaper boxes or holders; novelties and souvenirs of all kinds; office machinery used for: change making, coin handling, check cancelling, check cutting, check dating, check numbering, check signing, check sorting, check writing, envelope handling, envelope opening, envelope sealing, envelope stamping, envelope mailing, folding contents of envelope; ornamental hardware and mouldings; outdoor fireplace parts.
Packing twine holders; pail clasps; paint spray outfits—except Industrial; paper rollers, household; park and recreational benches; parking meters; pencils, automatic; pen holders; permanent wave machines; pet beds; pet cages; pet dishes; phonograph motors, hand wound; phonograph record blanks; photographic accessories; physical reducing machines; picture and mirror hardware; pie plates—except commercial or institutional; pipe cases; pipe-cleaner knives; plant and flower supports; pleasure boats; pneumatic tube delivery systems, except industrial; polishing-wax applicators; polishing-wax sprayers; portable bath tubs; posts for fencing—except on A-2 or higher; poultry Incubator cabinets; push carts; push plates and kick plates, doors; racquets; radiator enclosures; radio antenna poles—except on ratings of A-2 or higher; refrigerator containers and trays, household; rotary door bells.
Salesmen’s display cases and sales kits; salt and pepper holders; sample boxes; scaffolding; screen frames—except industrial processing; scrubbing boards; service food trays; sewer pipe, exterior installations—except for vents and within 5 ft. of buildings; sheet iron or hoop iron packings for cookies and sweet goods; shirt and stocking dryers; shoe cleaning kits; shower receptors—except frames; shower stalls—except frames; show window lighting and display equipment; sign hanger frames; sign posts; signets; silos— except strapping and reinforcing; sink aprons and legs; sink metal drainboards, both integral and removable; sitz baths; skates, roller and ice; ski racks; slide fasteners; snow shovels and pushers, hand and power propelled—except A-l-j or higher; spittoons; sporting and athletic goods; spray containers, household; stadiums; stamped bakery equipment; stamps and tablets; starter shingle strips; statues; steel wool for household use made from other than waste; store display equipment and show cases; structural steel home construction; subway turn-
Iron, steel banned for
(Continued from page 1) bled for 90 days from May 5 without restriction. At the end of the 90-day period manufacture of all these items even for Army, Navy, and maritime uses except with special authorization by the Director of Industry Operations must cease.
A special restriction is set up with regard to roofing and siding. This may be manufactured for the Army, Navy, Maritime Commission and certain other Government agencies; for delivery on a preference rating of A-l-k or higher assigned by a PD-3-a preference rating certificate or by a preference rating order in the P-19 series; for defense housing; for the manufacture of railway freight cars, streetcars, buses,«trucks, or trailers;
over 400 products
or for delivery to a consumer for maintenance and repair purposes regardless of rating. Total manufacture of roofing and siding is restricted for the remainder of this year to 20 percent of the output of the individual manufacturer in 1940, and in 1943 and subsequent years to 25 percent.
An entirely new appeals system is set up in the order. All appeals must be made on Form PD-37 and must be filed with the field office of the War Production Board for the district in which the plant to which the appeal relates is located. No appeal will be considered that is not filed in accordance with this requirement. Administration of the order will be moved out of Washington to New York City.
May 12, 1942
* Wgyi It
9
stiles; sugar cube dryer trays; sugar holders; swivel chairs.
Table name-card holders; table tops for household use; tags: identification; key: name; price; tanks (strapping excluded) » dipping—for animals; watering—for animals; feeding—for animals; storage, beer) storage, water—except: (a) in tropical climates; (b) heights in excess of 100 feet; (c) boilers, hot water and storage; (d) pneumatic pressure tanks under 31 gallons. Teapots; telephone bell boxes—except bases and where required for safety; telephone booths; telescopes—except U. S. Government Agencies;^ terrazzo spacers and decorative strips—except hospital operating rooms; thermos Jugs and bottles over 1 qt.; thermometer bases, household; tile, steel-back; tongs, food handling and household use; tool boxes—except industrial; tool cases—except industrial; tool handles—except power driven; urinals.
Wagon bodies, frames and wheels, all metal—except for construction; voting machines; wardrobe trunks; wastebaskets; water color paint boxes; weather stripping; wheelbarrows-—except wheels; whiskey service sets; window display advertising; window stools; window ventilators—except industrial and hospitals; wine coolers; wine service sets; wire parcel handles and holders; wire racks and baskets—except (a) industrial, (b) scientific laboratory equipment, (c) animal cages for biological work; work benches— except shipboard and industrial where required for safety.
List B
9
Access panels; acoustical ceilings; air-conditioning systems; area walls; ash sieves; attic fans; automobile accessories; automotive replacement parts, nonfunctional; awning frames and supports; barber and beauty shop furniture; baskets; bathtubs; B-B shot for air rifles; beds—except hospital; bed spring frames; beer kegs—except hoop and fittings for wooden kegs; beer mugs; bench legs; binoculars; bird houses and feeders; biscuit boxes; blackboards; bottle holders; bread racks; butter knives.
Cabinets; cake cutters; cake tongs; canopies and supports; cans or containers for: antifreeze, under 5 gal. size; candy, chalk, coffee, nuts, pencils, tobacco products; cash boxes; cash registers; ceilings; cigarette lighters; clock cases; cfothes line pulleys; clothes line reels; cocktail shakers; coffee .roasting machinery; cooking stoves, commercial electric; counter tops; culverts; cupboard turns; cups of all kinds, drinking; dishwashing machines; dispensers, hand, for: paper products, soap; door closers; door handles; door stops; drawer pulls; dust collecting systems and equipment;
Egg slicers; electric water coolers; erasing knives; escalators; feed troughs; fence posts; fireplace equipment—except dampers; flagpoles; flashlight tubes; floor and ceiling plates for piping; floor polishing machines; flour, salt and pepper shakers; fountain pens; furniture; garage hoists, car lifts and racks; grass shears; grilles—sewers; gutters, spouting, conductor pipe, and fittings for single family dwellings; hand mirrors; hat-making machinery; helmets: hose reels; ice box exteriors; ice cream freezers, household; incinerators; insulation, metal reflecting type; Jelly molds.
Kitchenware of stainless steel; lard or vegetable oil tubs; laundry chutes, laundry trays; lavatories; lawn sprinklers; lighting poles and standards: lockers; looseleaf binding wire, rings, posts and metal parts; mail boxes; mailing tubes; measuring pumps and dispensers for gasoline—station, garage, household use, including but not limited to: gasoline dispensing pumps; grease pumps; oil pumps; kerosene pumps; air pumps; millinery wire and gimps. Office machinery used for: change making; coin handling; check cancelling; check cutting; check dating; check numbering; check signing; check sorting; check writing; envelope sealing.
Paint spray outfits; pencils, automatic; pen holders; photographic accessories; picture and mirror hardware; pie plates; pneumatic tube
WPB forbids copper and its alloys for a hundred-odd more civilian products
The War Production Board on May 7 prohibited the use of copper and its alloys, including brass and bronzy in an additional hundred-odd civilian products; curtailed other uses after June 15, and ordered a number of other restrictions designed to conserve supplies of the red metal.
The action was taken in a revision of Order M-9-c, issued by Industry Operations Director Knowlson. M-9-c originally was issued on October 21,1941, and has been amended frequently.
New ban applies May 31
The May 7 order maintains the list A of the previous order in substantially the same form. Use of copper in the manufacture of articles on this list was prohibited after March 31, 1942.
A new list, A-l, is added. Items on this list must not be manufactured, assembled or finished after May 31.
Probably the greatest dislocation the order will cause will be by the ban on manufacture of the common household pin. Approximately one-third of the pins manufactured in 1940 and 1941 were made of brass, with the' remainder of steel. There is no ban on steel pins, but the rate of production is limited.
Among other items on list A-l, are bulbs and neon and fluorescent tubes for advertising and.display purposes, bulbs and cords for Christmas trees; dog collars, fountain pens and musical instruments.
Unlisted items restricted later
Beginning May 7, manufacturers may not further process copper, brass or bronze plate, sheet, strip, rolls, coils, wire, rod, bar, tube, pipe, extrusions, ingots or powder to make items on list A-l if
the- materials are in substantially the same form in which they were acquired.
Manufacture with copper of every article not on lists A or A-l must stop on June 15 if any copper is used which was obtained before February 28, 1942, unless the article is being made to fill a purchase, order rated A-l-k or higher, or its manufacture has been specifically authorized by an application filed on Form PD-426.
If the raw material has been obtained since February 28 and is being used to make articles not on the lists, it is the attitude of WPB that the copper was properly allocated and no further restriction is necessary.
The previous exemption for parts to conduct electricity is removed. If an article appears on list A or list A-l, use of copper in its manufacture is prohibited for any purpose, unless a specific exception is made in the order.
Plating also restricted
Copper plating of all articles, mentioned in the lists also is prohibited after May 3l.
The restrictive provisions of the order do not apply to Army, Navy, or Maritime Commission contracts, where the contracts call for copper, brass, or bronze, until August 1.
Form PD-426 is provided to permit manufacturers of items not specifically prohibited to request permission to continue after June 15. It is not an appeal from the order in the usual sense, but an opportunity to review specific cases. It is the intention to grant such request when the circumstances justify this action.
PD-167, as revised, continues to be the regular appeals form.
delivery systems; portable bath tubs; push carts; push plates and kick plates, doors; radio antennae poles; refrigerator containers and trays, household.
Salt and pepper holders; scaffolding; service food trays; sewer pipe, exterior installations; shoe cleaning kits; shower receptors; shower stalls; show window lighting and display equipment; sink aprons and legs; sink, metal drain boards, both integral and removable; ski racks; slide fasteners; sporting and athletic goods; stamped bakery equipment; stamps and tablets; sugar holders; swivel chairs; tags—identification; name; tanks— storage, water; teapots; telephone bell boxes; telescopes; thermos jugs and bottles over 1 quart; tile, steel-back; tongs, food-handling and household use; tool boxes; tool cases; urinals; wagon bodies, frames and wheels, all metal; wastebaskets; wheelbarrows; wire racks and baskets; work benches.
Rug, carpet makers allowed to use up jute yarn on hand
Restrictions of the jute order (M-70) were relaxed by telegrams sent May 8 to permit rug and carpet manufacturers to use jute yarns on hand in the manufacture of rugs and carpets beyond the previous shutoff date.
The purpose of the relaxation is to make it possible for rug and carpet manufacturers to weave stocks of dyed wool carpet yarn to the extent that jute yarn is available.
10
★ VICTORY ★
May 12, 1942
Furniture makers rapidly shifting production to wide variety of war items
Airplane trainers and gliders instead of wooden office desks; ammunition boxes instead of metal letter-trays and wastebaskets; and airplane fuel lines instead of chrome-plated chair legs—this is the story of the conversion program for the furniture industry, the country’s second largest producer of consumers’ durable goods.
Over $500,000,000 in contracts
The industry in normal times produces metal and wooden furniture for the home and the office valued at about $1,000,000 annually, second in dollar value to consumers’ goods only to the automobile industry.
Today, makers of furniture all over the country are rapidly changing over their tools and facilities not only to the production of wooden airplanes and gliders, but to a wide variety of other war items. Prime contracts and sub-
contracts held by the industry exceed $500,000,000. Appreciable increases in the rate of production of war goods are expected to be evident by the end of 1942. The rate of war production by the middle of next year is expected to be equal to the recent annual production of civilian items.
War equipment soon to be produced in quantity by metal furniture companies includes ammunition boxes, tail and wing assemblies for airplanes, rear fin struts, and seating equipment for planes, tanks, and ships. The industry, of course, will continue to make types of metal furniture needed by the armed services here and abroad.
At least 3 woodworking furniture plants are now producing airplane parts out of plywood, and eventually, 12 or more companies are expected to be engaged in the production of wooden airplanes and subassemblies.
$108,600,000 in metal-working machinery shipped in March
The value of new machine tools, presses, and other metal working machinery shipped during March was $108,600,000, it was announced May 7 by William H. Harrison, WPB Director of Production.
Shipments of machine tools alone mounted to 24,300 units, with a total value of $98,400,000. During February, 20,807 units, valued at $84,355,000 were shipped.
★ ★ ★
Softwood lumber critically needed, Nelson tells industry
WPB Chairman Donald M. Nelson May 5 appealed to logging and sawmill operators and their employees immediately to bring production of softwood construction lumber to a maximum in order to meet the urgent needs of the Army, Navy, and Maritime Commission for housing and other purposes.
Mr. Nelson, in a telegram to the Lumber and Timber Products War Committee, which represents the lumber manufacturing industry, the American Federation of Labor, and the Congress of Industrial Organizations, said that “the situation is so critical that I ask your immediate cooperation and action.”
Higher production eases steel plate problems temporarily
The perplexing steel plate problem is being eased slightly by increasing production, particularly from strip mills, C. E. Adams, chief, iron and steel branch, announced May 9, but any permanent solution will depend upoh new plate mills coming into operation.
Shipments for April were 895,971 tons, as compared with 878,726 in March, the previous record. Strip mills accounted for 337,519 tons of the total, an increase from this source of 31,324 tons over March.
For the second successive month, shipments on Maritime Commission orders met the tonnage asked. The total for the month was in excess of 280,000 tons.
★ ★ ★
Toy order clarified
The WPB May 8 issued an interpretation to the toy limitation order (L-81) to clarify the meaning of the term “raw material form” in the order.
The interpretation states that critical material, the use of which is restricted in the order, is considered to be in raw material form when it has not been fabricated or processed for use in toys or games or parts, but is in such form that it can be fabricated or processed for use in any other product.
New critical machine tools under limited allocation, 75 percent for services
All new critical machine tools were placed under a limited allocation system by WPB May 2.
General Preference Order No. E-l-b provides for an apportionment of each producer’s monthly deliveries of each size of each type of tool, 75 percent to service purchasers and 25 percent to other purchasers. These allocations may be reduced to the extent in each case that purchase orders are not placed for such percentages months prior to the month of delivery.
Th®»75 percent for service purchasers Is to be divided among the supply arms and bureaus of the Army and Navy and the Maritime Commission in accordance with a percentage table for each type of tool accompanying the order.
The 25 percent for other purchasers is to be divided among foreign purchasers* and essential industries in this country and Canada, and will be scheduled for delivery in accordance with preference ratings.
A new numerical master preference list has been formulated to cover the sequence of deliveries to service purchasers, but it will have no effect upon other purchasers.
★	* ★
Halt street light extensions except for safety, WPB asks
WPB’s power branch has asked all electric utility systems to discontinue for the duration of the war all street lighting extensions except those needed for public safety.
Agreements between utilities and governmental agencies providing for street and highway lighting extensions should be suspended, the branch said in a letter to all utilities. The utilities were asked in the letter not to apply for priority assistance in obtaining material for such extensions.
The suggestions do not apply to illumination for critical areas “where traffic conditions are enormously aggravated by war industries, camps, airports, etc.” Nor do the suggestions apply to trafficcontrol signals where necessary. Applications for priority assistance where installations are “essential to public, safety” will continue to receive consideration by the WPB powef branch.
May 12, 1942
★ VICTORY ★
11
British release steel, copper scrap to U. S. munitions plants
Through the efforts of WPB officials, more than 27,000,000 pounds of steel and 500,000 pounds of copper have been freed by the British Purchasing Commission for use in American munitions plants workipg on United Nations war orders.
The steel and copper had been machined into certain field gun projectiles, largely made obsolete by the loss of Allied equipment at Dunkirk. Shipping delays further reduced the potential value of the shells. They were offered to U. S. Army Ordnance, which, could make no use of them in their present condition.
The industrial salvage section of WPB announced May 8 that the iron and steel section of the British Purchasing Commission has been authorized by London to dispose of the shells as scrap metal.
This cartoon was drawn especially for OEM by O. Soglow. This notice constitutes fuU permission to reprint the drawing. Engravings may be made direct from this reproduction, or three-column mats will be furnished on application to Distribution Section, Division of Information, Office for Emergency Management, Washington, D. C.
Fuel oil sales, deliveries not subject to ratings
Because some oil companies have been refusing to deliver fuel oil without preference ratings, the WPB May 5 issued an order cancelling all preference ratings assigned to fuel oil purchases, and providing specifically that sales and deliveries of fuel oil may be made without regard to any preference rating heretofore issued.
Zinc sulphide pigment pool is established
A monthly producers’ pool in zinc sulphide pigments, of which lithopone is the principal product, was established May 6 by the Director of Industry Operations.
Lithopone is an opaque white pigment and is, together with titanium dioxide and white lead, a principal ingredient of white and light-colored paints.
The May 6 order, M-128, provides that the Director of Industry Operations will set up by the 15th of each month a percentage of all classes of lithopone manufactured, to be set aside for the following month. Mandatory orders will be filled from this pool, after which other production may be sold without restriction.
Exports of lithopone other than lend-lease cannot be made except upon application to the War Production Board on Form. PD-464.
12
★ VICTORY ★
May 12, 1942
Clearing house set up to handle problems of over 2,900,000 service institutions
Organization of a services branch within the Division of Industry Operations to act as a clearing house for problems confronting the more than 2,900,000 service institutions in the country was announced May 3 by John R. Kimberly, assistant chief of the bureau of industry branches.
Functions of new branch
Service institutions—such as banks, insurance companies, commercial laundries, barber and beauty shops, theaters and other amusement enterprises, hotels, office buildings, retail stores, wholesale houses, and repair shops—employ approximately 8,000,000 persons.
The functions of the branch will include processing priority applications from service industries, and assistance in conversion to war work wherever possible.
The branch is headed by Nathaniel G. Burleigh, who was chief of the former service and distribution, office and service machinery branch and who is a veteran member of the WPB organization. The assistant chief-is O. G. Sawyer, of Durham, N. C., formerly supervisor of purchases for Duke University and Duke Hospital.
In addition to serving as the focal point to which all institutions classified as service institutions can bring their problems, the branch has supervision of the office machinery industry and the services machinery industry, including all types of office machinery, domestic laundry machinery, commercial laundry machinery, dry cleaning machinery, industrial vacuum cleaners, floor maintenance machinery, and institutional dish, glass, and silver washing machinery.
Mr. Burleigh announced establishment of eight sections within the branch, the first two dealing with machinery and the remaining six concerned with services to all service institutions.
The sections and the chiefs appointed for each are:
Office Machinery Section: Arthur Sanders, of Dothan, Ala., who has spent 6 years serving with the Controller of the Currency and who has been engaged in WPB liaison work between the Army and Navy and various war agencies.
Service Machinery Section: L. L. Frey, of New York City, former industrial engineer for the General Electric Co., American Pencil Co., Cincinnati Planer Co., and other firms.
Amusements Section: Christopher J. Dunphy, of New York City, former assistant to Adolph Zukor, chairman of the Board of Directors of Paramount Pictures, Inc., and former director of advertising and publicity for Paramount.
Financial and Business Services Section: James D. Vail, Jr., of Evanston, Hl., who was a partner in Crane, McMahon & Co., a banking and brokerage concern.
Retail and Wholesale Trade Section: S. J. Dunaway, of Dover, N. H., former president of Expello Corporation, sales manager of the Lye Department of Hooker Electro Chemical Co., Niagara Falls, N. Y., and advertising manager and assistant sales manager of B. T. Babbitt, Inc., New York City.
Office Buildings, Hotels, and Restaurants Section: Frank A. Duggan, of Santa Monica, Calif., former president of Greely Square Hotel Co., and executive vice president of Hotel Statler Co., in charge of all hotel operations.
Personal Services Section: Orval A. Slater, of Dallas, Tex., former president of National Institute of Dyeing and Cleaning.
Repair and General Services Session : Dewey M. Crim, of Washington, D. C., former executive of Crim’s Store & Fixture Co., Memphis, Tenn., and sales engineer for Thomas Grate Bar Co., Birmingham, Ala.
★	★ ★
WPB PLACARDS TO MARK APPROVED PROJECTS
Placards showing that approval Has been granted by WPB were being sent last week to builders of authorized projects to be displayed conspicuously on the premises during construction.
Printed in blue on a white background, the placard carries the initials WPB on which are superimposed the words:
AUTHORIZED CONSTRUCTION WAR PRODUCTION BOARD
There is space on the placard for a serial number, identifying the individual project, which will be given the project by the War Production Board. The placard may be used only for the particular project for which it is issued and should be destroyed when the project is completed.
Only WPB issues the placards.
★	★ ★
Juke box makers may dispose of materials on A-2 orders
Manufacturers of automatic phonographs and other amusement machines, who have on hand inventories of raw materials and semi-processed and finished parts, frozen by the terms of Limitation Order L-21-a, are now permitted, by an amendment to that order, to dispose of such inventories to fill orders bearing preference ratings higher than A-2.
Suppliers may replenish stocks of specific “short” items regardless of total inventory
Wholesalers and distributors covered by the Suppliers’ Inventory Limitation Order, L-63, will be permitted to accept deliveries of limited quantities of specific items, regardless of their total inventory, by Amendment No. 2 to the order, issued May 6.
Amendment No. 2 to L-63 is designed to allow suppliers who are subject to the order to replenish stocks of specific items in which they are “short” even when their total inventory exceeds the maximum permitted by the order. The amendment allows a wholesaler or distributor to accept deliveries of specific items of such supplies up to a total dollar volume equal to his sales of these specific items during the preceding month. This will prevent a shortage of such items in communities served by suppliers whose total inventory now exceeds the maximum permitted by the order.
★	★ ★
Makers of outboard motors allowed to sell to 10 agencies
An amendment to the outboard motor order (Limitation Order L-80) issued May 2 permits the sale or lease, by manufacturers, of motors of 6 horse-power or more to the Army, Navy, Maritime Commission, Panama Canal, Coast and Geodetic Survey, Coast Guard, Civil Aeronautics Authority, National Advisory Commission for Aeronautics and Office of Scientific Research and Development.
★	★ ★
Aluminum supplies removed from restrictions of L-63
Stocks of supplies made of aluminum in the hands of wholesalers ancLdistribu-tors are removed from the restrictions of the suppliers’ inventory limitation order, L-63, by Exemption No. 4, announced May 5 by the Director of Industry Operations. The exemption permits suppliers to omit their stocks of aluminum and aluminum products in calculating their total permissible inventory as prescribed by L-63. The action was taken because distribution of aluminum through warehouses is already strictly controlled under Supplementary Order M-l-f.
May 12, 1942
★ VICTORY ★
13
Use of vital, scarce materials curbed for safety equipment
In order to conserve the supply of materials urgently needed in war production, strict regulations on the use of aluminum, copper, plastics, and several other commodities in the manufacture of safety equipment were put into effect by the WPB May 5.
Safety equipment, as defined by the order, includes guards, shields, containers, harnesses, headgears, belts, shoes, protective clothing or coverings, masks, respirator inhalers, resuscitating apparatus, measuring instruments, indicating instruments, protective creams, treads, warning signs, and all other such safety articles.
The order prohibits the use of scarce materials in these items except:
1.	For A-2 or higher-rated orders, if the equipment was manufactured prior to the date of the order, or from parts ready for assembly on the date of the order;
2.	As permitted by an appendix to the order; or
3.	Within 90 days of the effective date for delivery to the Army,’ Navy, or Maritime Commission.
The critical materials affected are aluminum, asbesto^ cloth, chromium, copper, copper base alloys, nickel, corrosionresisting steel, alloy steel, tin, synthetic plastics, magnesium, rubber, synthetic rubber, and neoprene.
★	★ ★
Ratings modified on hydrocarbon solvents
Changed preference ratings for all permitted uses of chlorinated hydrocarbon solvents were announced May 2 by the Director of Industry Operations, with amendment of Order M-41.
The order extends A-10 ratings for such solvents to be used in the fumigation of stored products, including grain; for charging and recharging fire extinguishers; for laboratories, hospitals and public institutions; for processing and manufacturing food, chemicals, rubber, petroleum, and plywood; for cleaning metal parts of electrical equipment; for the manufacture of refrigerants; and for degreasing machines used in the manufacture of war materials.
B-2 ratings áre assigned for degreasing machines other than those used on Army and Navy contracte, for packaged spotting and cleaning preparations, for dry cleaning establishments, and for manual cleaning of other than metal parts of electrical equipment.
No other uses of chlorinated hydrocarbon solvents are permitted with the exception that any person may purchase up to one gallon without a preference certificate or rating. B-2 ratings are restricted to 50 percent of average monthly consumption in the base period set up in the order.
The previous order was due to expire on May 15. The May 2 amendments took effect Immediately and will continue in effect until revoked.
ELECTRIC RANGE STOCKS FROZEN
AU domestic electric ranges in the hands of manufacturers, distributors and retail dealers were frozen May 2 by WPB.
In order to make existing stocks and future production available for new war housing, Army and Navy and lend-lease orders, Supplementary Limitation Order L-23-b forbids the sale, lease or transfer of. any domestic electric range except on a preference rating of A-9 or higher, or by specific authorization by the Director of Industry Operations. Delivery was permitted on ranges actually in transit May 2.
The order provides for increased production of electric ranges during the month of May, above the quotas established for. the past 4 months. After June 1, no domestic electric ranges may be produced except to fill orders bearing a preference rating of A-l-k or higher.
★	★ ★
2%-inch brass hose couplings frozen for distributors
Issuance of Amendment No. 2 to the Limitation Order on fire protective equipment, freezing all 2%-inch brass fire-hose couplings in the hands of coupling distributors, was announced May 5 by Director of Industry Operations Knowlson.
This provision supplements Amendment No. 1 to the order (L-39), which froze such couplings in the hands of manufacturers.
★	★ ★
Ban on private imports extended
WPB on May 4 added a number of materials to the restriction on private importation into the United States imposed by General Imports Order M-63.
Added to the order are cube (timbo or barbasco) root, derris root and tuba or tube root, beryl ore and beryllium ore, metallic beryllium and beryllium oxides and salts and two additional classifications of flax.
M-63 prohibits any person, except Government agencies or their authorized representatives, from making arrangements for importing materials listed in the order into the United States, except under contracts existing at the effective date of the order.
Imports made under contract must not be sold, or transferred beyond a place of initial storage, except to a Government agency, under an existing contract, or with special authorization from the Director of Industry Operations.
Czechs, Free French, Turks, Iceland on preference list
Czechoslovakia, Free France, Iceland, and Turkey have been added to the list of countries whose government orders are defined as “defense orders” under the terms of Priorities Regulation No. 1 as amended, by Amendment No. 2 to the regulation.
This means government orders from these countries are automatically assigned a preference rating of A-10 if no higher rating has been assigned by certificate or otherwise, and that such orders must be accepted and placed in production schedules in accordance with the rating.
★	★ ★
Warehouses restricted to A-10 in delivering iron and steel
' Revision of Order M-21-b, the iron and steel warehouse order, to make it con form to Order M-21 was announced May 4 by the Director of Industry Operations.
M-21 forbids deliveries by producers on ratings lower than A-10 except in certain specified cases. The May 4 order applies the same restriction to warehouses. Warehouses are to receive deliveries on quotas established by the Director of Industry Operations.
★	★ ★
Control tightened on segregation, sale of aluminum scrap
. Amendments to Supplementary Order M-l-d designed to place firmer control over the segregation and sale of aluminum' scrap were issued May 2 by the Director of Industry Operations.
These changes are made in the order:
The maker of segregated scrap must hereafter furnish the buyer with a signed statement showing the specifications, form, weight, and name and address of the plant where the scrap is generated. The date of sale and names and addresses of the transacting parties must also be shown and any further resale must be similarly endorsed and transferred.
Because dealers have been unable to function effectively under the 1,000-pound limitation formerly in effect, the new order provides that segregated scrap of top quality alloy may be sold to a dealer or an approved smelter as well as to a producer, up to 5,000 pounds per month.
Plant scrap is redefined in the order to hold under strict control for recovery as secondary aluminum all scrap which contains 15 percent or more aluminum by weight. Scrap with less than 15 percent aluminum content may be sold to any buyer.
14
★ VICTORY ★
May 12, 1942
Questions and
Answers on
PRIORITY ACTIONS *Through May 7
Priorities
1.	Q. What is a “subcontract”?
A. It refers to a contract made by a prime contractor with another company for the production of parts necessary for the prime contract. The obvious tendency of subcontracting is to spread war contracts and to enable small companies to undertake essential work on prime contracts, which of necessity are normally held by the larger companies.
2.	Q. How does the new “stop” order (conservation order L-41) on construction differ from the old SPAB policy that has been in effect since Oct. 1941?
A. The new order goes further. The SPAB announcement made it clear that no priority assistance would be given to nonessential construction. The new order, however, provides that no construction may be started, except in a few instances, without permission. It also forbids the sale, delivery, or withdrawal from inventory of any construction material in order to begin construction not authorized by WPB.
3.	Q. What new appeals system is set up in the sweeping steel order M-126?
A. All appeals under M-126 on the related Form PD-437, must be filed with the field office of the War Production Board in the district in which the plant filing the appeal is located.
4.	Q. Can copper still be used after June 15 in the manufacture of an article not specifically prohibited in lists Al and A of the new freeze order M-9-c as amended?
A. To meet the war demand for copper, the manufacture of such articles must stop on June 15, if any copper used was obtained before Feb. 28,1942, unless the article bears an A-l-k or higher rating, or unless a specific exception is authorized by an application filed on Form PD-246.
★ ★ ★
Perkins named to paper branch
Appointment of James A. Perkins as associate price executive of the paper and paper products branch of the OPA was announced May 8 by Herbert F. Taggart, director of the general products division.
Subject	Order No.	Related form	Issued	Expiration date	Rating
Aluminum: a. Aluminum scrap: 1.	Places firmer control over, segregation and sales of aluminum scrap. Amusement machines: a. Automatic phonographs and weighing, amusement and gaming machines: 1.	Mfrs, who have on hand inventories of raw materials and semiprocessed and finished parts, frozen by L-21-a, now permitted to dispose of such inventories to fill orders' bearing preference ratings higher than A-2. Burlap: a.	Jute and jute products: 1.	Restricts processing of jute for mfr. of carpet yarns during month of April. b.	Prohibits use of in mfr. of rugs, carpets and linoleum for civilian	M-l-d amendment No. 1. L-21-a amendment No. 1. M-70 amendment No. 2. M-70 amendment No. 3.	PD-222b		5-2-42 5-2-42 5-1-42 4-30-42			
use. Canning: a. Tinplate and Terneplate: 1.	Permits utilization of tinplate sheets, usable only for food cans of restricted sizes, if sheets were on hand 2-11-42. Extends indefinitely telegraphic ex-*	ceptions. Permits use of cans produced from tinplate under terms of this amendment. Chemicals: a.	Chlorinated hydrocarbon solvents: 1.	Announces changed preference ratings for all permitted uses of chlorinated hydrocarbon solvents. b.	Napthalene: 1.	Conservation order	... (a) Distribution placed under rigid control commencing June 1. Copper: a. Prohibits use of copper and its alloys, including brass and bronze, in additional hundred-odd civilian products, curtails other uses after June 15, and orders a number of other restrictions designed to conserve supplies of the red metal.	M-81 amendment No. 2. M-41 as amended 5—2—42. M-105	 M-9-e as amended 5-7-42.	PD-434, 435.	 PD-167,426. ...	4-30-42 5-2-42 5-6-42 5-7-42	Until revoked. Until revoked.	A-10. B-2
Fire apparatus: a. Fire protective equipment: 1.	Freezes all 2W-inoh brass firehose couplings in hands of coupling distributors. Fuel oil: a. Cancels all preference ratings assigned to fuel oil purchases and «% provides specifically that sales and deliveries of fuel oil may be made without regard to any preference rating heretofore issued. Goatskins, kidskins, and cabrettas: a. Limits amount that may be put into process by any tanner during May to 70 percent of monthly average of skins put into process during 1941; removes India-tanned goatskins from restrictions. Hand trucks: a. Eliminates all but the most essential uses of rubber tires on hand	L-39 amendment No. 2. M-144	 M-114 amendment No. 1. L-lll		PD-468........	5-5-42 5-5-42 4-30-42 5-7-42	Until revoked. Until revoked.	
trucks.					
Imports order: a. Adds a number of materials to the restriction on private importation into the U. S. imposed by M-63^-	M-63 amendment No. 5.	/	5-4-42		
Indian kyanite: a. Conservation order: 1.	To conservesupply and direct distribution.	M-143		PD-466		5-6-42	Until revoked.	
Kapok: a. Prohibits use of as insulation for industrial refrigeration and as stuffing for civilian maritime equipment.	M-85 amendment No. 2.			4-30-42			A-2.
May 12, 1942
★ VICTORY ★
15
Subject	Order Number	Related form	Issued	Expiration date	Rating
Lead: a. Supplementary order: ¿	1. May lead pool set at 15 per- cent of March production. Outboard motors:	M-38-h„			—-	5-1-42	—	
a. Permits sale or lease, by mfgs., of motors of 6 Horsepower or more to the Army, Navy, and other Government agencies. Pencils (wood-eased):	L-80 amendment No. 1.		"IM-42		
a. Prohibits use of any metal, except limited amounts of iron or steel,	L-113	r.					
in mfr. of; restricts use of pigments and other materials for finishing. Pigments, zinc sulphide: a.	Establishes a monthly producers’ pool, from which orders will be filled. Production, other than that set aside may be sold without restriction. Exports prohibited except with specific authorization. Plumbing and heating: a.	Permits use of lead and zinc as a preserving finish on plumbing fixtures and trim. b.	Permits Dir. of Industry Operations to make exceptions to the Schedule in meritorious cases. Projects (defense): a. Materials entering into: 1.	Suppliers of materials used in construction of vital alu-	M-I28-	 L-4 2 Schedule V, • amendment No. 1 L-42 Schedule VII, amendment No. 1. P-19-i, interpretation No. 1.	PD 464		5-6-42 5-6-42 5-6-42 5-6-42	Until revoked.	
uminum and magnesium plants advised that deliveries should be made on schedule even though subsequent orders assigned under P-19-i carry higher preference ratings. Quinine, totaquine and cinchona bark: a. Conservation order: 1.	Distribution and use of Totaquine, except as an antimalaria agent, prohibited by WPB in order to prevent an evasion of the intent of M-131 on Quinine; requires that primary use of Cinchona Bark must be for	M-131 (As amended 4-30-42).	PD-401			4-30-42		
extraction of Quinine or Totaquine. Railroad equipment: a.	Excludes mining locomotives from provisions of L-97. b.	Supplementary order: 1.	Cancels all preference ratings of A-2 or lower on material for freight car constructions which has not already been received by or placed in transit to the producers; permits any producer to sell and deliver any material which he has on hand or in transit to any other producer of freight cars. Rubber: a.	Specifications for mfr. of feeding nipples. b.	Rubber yam and elastic thread: 1.	Amended and extended		L-97 amendment No. 1. L-97-a-l.„	„ M - 15 - b - 1 amendment No. 5;M-15-b-1 as amended. M-124 amendment No. 2.	PD-433		4-29-42 4-29-42 5-6-42 (Effective 5-15-42). 4-29-42		
Steel and iron: a. Conservation order			M-126—		PD-437		5-5-42	Until revoked.	
Suppliers order: a.	Wholesalers and distributors covered by L-63 will be permitted to accept deliveries of limited quantities of specific items, regardless of their total inventory. b.	Stocks of supplies made of aluminum in the hands of wholesalers	L-63 amend-ment No. 2. L-63 exemption No. 4.		5-5-42 5-4-42	Until revoked.	
and distributors are removed from restrictions of L-63. Tea: a. To restrict distribution: 1.	Relaxes some distribution provisions of original order and makes available more	M - 11 1, as amended 5-1-42.	—	5-1-42			
tea than permitted under original order. b. Superseding M-lll-a, establishes Tea quotas for any Packer or Wholesale Receiver for months	M-lll-b		—	5-1-42			
of May and June, 1942.					
(Continued, on page 16)
Plant leasing or toll work doesn’t excuse manufacturer from preference schedules
Manufacturers cannot escape their responsibility for scheduling deliveries in accordance with preference 'ratings by leasing their plants or making their products under a toll agreement, it was explained May 7 in an official inte»pre-tation of Priorities Regulation No. 1.
It has been a practice of some manufacturers at times to lease all or part of their plants to one of their large customers for a few days a month, while the plant continues to operate with regular personnel and is producing the manufacturers: regular products.
In other cases, manufacturers have processed materials furnished to them by their customers on a fee or toll basis.
The interpretation of Priorities Regulation No. 1, issued May 7 by the Director of Industry Operations points out that in neither of these cases is the manufacturer permitted to interrupt or delay his production schedules of orders bearing preference ratings, but must fill them in accordance with the ratings and delivery dates.
★ ★ ★
Booklet explains cost methods under United States contracts
A handbook which explains principles for determining costs under Government contracts has just been prepared by the accounting advisory branch of the War Production Board.
For some time costs under Government contracts have been based on a decision of the Treasury (“TD 5000”). The booklet just issued is not a revision or an interpretation of TD 5000 but explains in simple and complete terms the principles of costs as covered by TD 5000. Copies of the booklet can be obtained from the Superintendent of Documents, Government Printing Office, Washington, D. C., at 10 cents each.
★ ★ ★
Roaster’s green coffee inventory limited to 2 months’ supply
The WPB May 8 issued Amendment 1 to the Coffee Order, M-135, restricting a roaster’s inventory of green coffee to a 2-months’ supply. In calculating this inventory, any roaster who has more than 1 month’s supply of roasted coffee on hand or in his control must include such coffee with his green coffee. Any amount of roasted coffee less than 1 month’s supply may be disregarded.
16
★ VICTORY ★
May 12, 1942
Restrictions on distribution of new office machines relaxed to aid dealers
The WPB May 8 modified its restrictions on distribution of various types of new office machinery to enable wholesalers, distributors, retailers, and other dealers to return new equipment to manufacturers willing to accept it.
The action, embodied in Amendment No. 2 to Limitation Order L-54-b, is intended to ease financial burdens falling upon dealers as the result of restrictions in the original order, which prohibited sales, rentals, and deliveries of new office machinery except to fill orders rated A-9 or higher on Preference Rating Certificate PD-1A or PD-3A.
★ ★ ★
Shipments of brass mill, wire mill, foundry Copper products limited to A-l-k
Because of the tremendous war demand for brass mill, wire mill, and foundry copper products, the WPB May 7 limited shipments of these products to ratings of A-l-k or higher, unless specific authorization is given for a lower rated shipment. Deliveries previously were permitted down to A-10 ratings.
The action was taken in an amendment to Order M-9-a issued by the Director of Industry Operations.
★	★ ★
$5,000 per movie allowed in new materials for sets
Motion picture producers were given specific authorization by WPB May 6 to spend $5,000 per picture for new material for the construction of movie sets.
★	★ ★
Kapok banned for some uses
The use of kapòk as insulation for industrial refrigeration and as’ stuffing for civilian maritime equipment has been prohibited by the WPB in Amendment No. 2 to the kapok conservation order, M-85.
PRIORITY ACTIONS ♦Through May 7
(Cóntinued from page 15)
Subject	Order Number	Related form	Issued	ExpiratiBn date	Rating
Tools: a. Machine tools—production and delivery of: 1.	All new critical machine tools placed under limited allocation system; provides for an apportionment of each producer’s monthly deliveries’ of each size of each type of tool, 75 percent to service purchasers and 24 percent to other purchasers.	E-l-b		PD-3, 3A, 4....	4-30-42 (Effective 5-1-42)	Until revoked.	
SUSPENSION ORDERS
Company	Number	Violation	Penalty	Issued	Expiration date
Southern Scrap Material Co., Inc., New Orleans, La.	S-40	Accepted shipments during Oct., Nov., and Dec. 1941 and Jan. 1942 of copper scrap contrary to terms of Supplementary Order M-9-b.	Prohibited from accepting copper or copper base alloy scrap for three months; withdraws all priority assistance; requires inventory reports and disposition of stocks must be made as directed.	5-2-42	8-2-42.
Jose Del Rio Marovis, Puerto Rico.	S-46	Distilled beverage rum from molasses, which was prohibited by M-54 after Jan. 15. Violation occurred after prohibition date and before appeal was granted for relief from such provisions on Jan. 30.	For period of forty days is prohibited from using or dealing in molasses. From June 23 through Dec. 31, 1942, may not use for distilling rum more than 75 percent of quantity processed during similar period in 1941.	5-4-42 (effective 5-14-42)	12-31-42.
Borinquen Associates, Inc., Carretara Quintana, Hato Rey, Puerto Rico.	S-47	Used molasses in manufacture of distilled beverages after Jan. 15 contrary to M-54 before appeal for relief was granted Jan. 31.	For period of fourteen days shall not use or deal in molasses. From May 28 through Dec. 31,1942, shall not use for distilling rum more than 85 percent of quantity processed during similar period in 1941.	5-4-42 (effective 5-14-42)	12-31-42.
Compañía Ron Carioca Destilería, Inc., San Juan, P. R.	S-48	Used molasses in manufacture of distilled beverages although marking it for use in fruit extracts after Jan. 15 contrary to Order M-54 and before appeal for relief was granted Jan. 31.	For period of 40 days shall riot use or deal in molasses; shall not use molasses for distilled rum more than 80 percent of quantity processed during similar period in 1941 during period from June 23 to Dec. 31,1942; shall not sell barrels marked “for Fruit Extracts” manufactured after Jan. 15 except for fruit extracts.	5-4-42 (effective 5-14-42)	12-31-42.
Reuben and Ralph Finkelstein, Capital Iron and Metal Co., Capital Compressed Steel Co., Oklahoma City, Okla., Springfield, Mo., Tulsa, Okla., Topeka, Kans.	S-51	Charged with refusal to execute three iron and steel scrap allocation orders directing shipment of 1,000 tons of steel scrap to Sheffield Steel Corporation and delivering like scrap to other users.	Prohibited from accepting processing, delivering or dealing in iron and steel scrap for 3 months.	5-7-42	8-7-42.
General Motors Corporation, Detroit, Mich. (Temstedt Mig. Div.). /	S-53	Used chrome steel in manufacture of decorative moldings for automobiles; used primary and secondary aluminum for radiator grills and other body hardware contrary to M-l-e and M-21-d.	.	Prohibited from manufacturing or producing for 3 months any replacement darts except as defined in P-57 and P-107.	5-2-42	8-2-42.
PRIORITIES REGULATIONS
Number	•	Subject	Issued
a. Priorities Reg. No. 1 as amended:	Manufacturers cannot escape responsibility for scheduling	5-7-42.
1. Interpretation No. 1 of Section 944.2. b. Priorities Reg. No. 1, as amended:	deliveries in accordance with preference ratings by leasing their plants or making their products under a toll agreement.	-
1. Amendment No. 2			 c. Priorities Reg. No. 8:	Czechoslovakia, Free France, Iceland, and Turkey have been added to the list of countries whose government orders are defined as “defense orders.”	5-1-42.
1. Amendment No. 2	.............	To discontinue reports required in connection with construction project rating orders of the P-19 series.	5-5-42.
May 12, 1942
★ VICTORY ★
17
New industry advisory committees
The Bureau of Industry Adyisory Committees, WPB, has announced the formation of the following new industry advisory committees:
CAFFEINE AND THEOBROMINE
Government presiding officer—William M. Bristol, Jr.
Members:
A. C. Boylston, president, Mallinckrodt Chemical Works, St. Louis, Mo.; M. J. Hartung, president, Maywood Chemical Co., Maywood, N. J.; J. J. Kerrigan, vice president, Merck & Co., Inc., Rahway, N. J.; Charles Metcalfe, vice president, General Foods Corporation, New York, N. Y.; F. P. Robert, Robert & Co., New York, N. Y.; H. F. Shattuck, Washington representative, Monsanto Chemical Co., 1028 Shoreham Bldg., 15th & H Streets NW., Washington, D. C.; I. Vande-water, vice president, R. W. Greef & Co., 10 Rockefeller Plaza, New York, N. Y.; W. W. White, president, Citro Chemical Co., Maywood, N. J.
CUTLERY
Government presiding officer—Jesse L. Maury.
Members:
H. Alpern, Pal Blade Co., Holyoke, Mass.; S. L. Berger, president, Rex Cutlery Co., Irvington, N. J.; G. E. Chatillon, president, Foster Bros. Cutlery Div., John Chatillon & Sons, New York, N. Y.; C. H. Corbin, treasurer, Ontario Knife Co., Franklinville, N. Y.; Ralph E. Herman, Sta-Brite Production Corporation, New Haven, Conn.; C. E. Dorrell, vice president, Russell Harrington Cutlery Co., Southbridge, Mass.; Alfred Kastor, president, Cä-milus Cutlery Co., New York, N. Y.; C. L. F. Wieber, president, Henkel Claus Co., Fremont, Ohio; Norman Wiss, president, J. Wiss & Sons Co., Newark, N. J.
ELECTROPLATING COMMITTEE
Government presiding officer—Robert Beatty, section chief in consumers’ durable goods branch.
Members:
. Gustave Cropsey, president, Gustave Crop-sey, Inc., New York, N. Y.; Fred Pierdon, president, Art Metal Finishing Co., Washington, D. C.; Stan White, president, Cadmium & Nickel Plating Co., Los Angeles, Calif.; V. W. Todd, president, Hänson Van Winkle-Munning Co., Matawan, N. J.; Erwin Sohn, American Radiator & Standard Sanitary Co., Louisville, Ky.; H. Ochs, president, Economy Plating Co., Cleveland, Ohio; B. G. Daw, president, LaSalco Inc., St. Louis, Mo.; T. W. Kirby, president, A. T. Wagner Co., Detroit, Mich.; L. K. Lindahl, president, Udylite Corporation, Detroit, Mich.
FISH COMMITTEE
Government presiding officer—Lawrence T. Hopkinson.
Members:
James Abernethy, secretary, Sunset Packing Co., West Pembroke, Maine; Walter S. Hallet, president, American Fish Co., Fish Pier, Boston, Mass.; Harden F. Taylor, president, Atlantic Coast Fisheries Corporation, New York, N. Y.; Julian McPhillips, president, Southern Shellfish Co., Inc., Harvey, La.; Victor H. Elfendahl, vice-president, Alaska Pacific Salmon Co., Seattle, Wash.;
Harry A. Irving, president, Sea Pride Packaging Corporation, San Francisco, Calif.; Leland B. Irish, vice president. Coast Fishing Co., Wilmington, Calif.; Robert P. Fletcher, Jr., president, Booth Fisheries Corporation, Chicago, Ill.
INDUSTRIAL INSTRUMENTS COMMITTEE
Government presiding officer—Charles L. Saunders.
Members:
E. B. Evleth, vice president, Brown Instrument Co., 4482 Wayne Avenue, Philadelphia, Pa.; R. A. Schoenfeld, vice president, Wheelco Instruments Co., .847 West Harrison Street, Chicago, HL; E. M. Jones, general manager, Simplex Valve & Meter Co., 68th & Upland Streets, Philadelphia, Pa.; Barton Jones, president, Morey & Jones, Ltd., 922 South Hemlock Street, Los Angeles, Calif.; L. B. Swift, president, Taylor Instrument Co., 95 Ames Street, Rochester, N. Y.; L. G. Wilson, president. Precision Thermometer & Instrument Co., 1434 Brandywine Street, Philadelphia, Pa.; P. T. Sprague, president, Hays Corporation, P. O. Box 299, Michigan City, Ind.; H. Merrill, general manager, Manning, Maxwell & Moore, Inc., Bridgeport, Conn.; Paul A. Elfers, vice president, Fisher Governor Co., Marshalltown, Iowa; H. C. Mueller, Powers Regulator Co., 2734 Greenview Avenue, Chicago, Ill.; J. V. Geisler, president, Fulton Sylphon Co., Knoxville, Tenn.; C. S. Redding, president, Leeds & Northrup Co., 4970 Stenton Avenue, Philadelphia, Pa.; George Hendricks, vice president, Republic Flow Meters Co., 2249 Diversey Parkway, Chicago, Ill.; Rowland Hazard, vice president, Bristol Co., Waterbury, Conn.
LARGE COMPRESSOR COMMITTEE
Government presiding officer—William K. Frank.
Members:
J. F. Huvane, manager, Compressor Department, Chicago Pneumatic Tool Co., New York, N. Y.; J. B. O’Connor, vice president, Clark Bros. Co., Inc., Olean, N. Y.; T. F. Hudgins, vice president, Cooper-Bessemer Corporation, Mt. Vernon, Ohio; E. F. Schaefer, vice president, Gardner-Denver Co., Quincy, HL; M. C. Davison, vice president, Ingersoll-Rand Co., New York, N. Y.; J. M. Dolan, manager, Compressor Department, Sullivan Machinery Co., Michigan City, Ind.; Edwin J. Schv/anhausser, vice president, Worthington Pump & Machinery Corporation, Buffalo, N. Y.; Frederick Pope, Chemical Construction Corporation, 30 Rockefeller Plaza, New York, N. Y.
NAVAL STORES SUBCOMMITTEE
Government presiding officer—J. B.
Davis.
Members:
W. D. Hodges, Filtered Rosin Products, Inc., • Brunswick, Ga.; Thomas J. Taylor, Jr., Taylor, Lowenstein & Co., Mobile, Ala.; E. W. Col-ledge, Southern Pine Chemical Co., Jacksonville, Fla.; Joseph M. Wafer, Industrial Chemical Sales Division, West Virginia Pulp & Paper Co., New York, N. Y.; W. H. Jennings, Chesapeake Camp Corporation, Franklin, Va.
PATRIOTIC FLAG COMMITTEE
Government presiding officer—Frank L. Walton.
Members:
Digby W. Chahdler, Annin & Co., New York, N. Y.; Charles L. Campbell, Dettra Flag Co., Inc., Oaks, Pa.; George H. Schaller, National
Flag Co., Cincinnati, Ohio; W. C. McAllister, Collegeville Flag & Manufacturing Co., Collegeville, Pa'.; George L. Glendon, Chicago Flag and Decorating Co., Chicago, HL; W. H. Pollock, Paramount Flag Co., San Francisco, Calif.; A. Liberman, Valley Forge Flag Co., New York, N. Y.
SILVERPLATED FLATWARE
Government presiding officer—Jesse L. Maury.
Members:
Miles E. Robertson, Oneida, Ltd., Oneida, N. Y.; J. McKenzie Morrison, Ontario Manufacturing Co., Muncie, Ind.; A. K. Hobson, Hobson & Botts Co., Danbury, Conn.; E. C. Stevens, International Silver Co., Meriden, Conn.
SOFTWOOD PLYWOOD
Government presiding officer—Arthur Upson, chief, lumber and lumber products branch.
Members:
W. E. Difford, managing director, Douglas Fir Plywood Association, Tacoma, Wash.; Frost Snyder, president, Vancouver Plywood & Veneer Co., Vancouver, Wash.; E. W. Daniels, president, Harbor Plywood Corporation, Hoquiam, Wash.; J. R. Robinson, president, Robinson Manufacturing Co., Everett, Wash.; Thomas J. Malarkey, vice president, M & M Woodwqrking Corporation, Portland, Oreg.; Morris Sekstrom, manager, Olympic Plywoods, Inc., Shelton, Wash.; L. G. Opsahl, sales manager, Red River Lumber Co., Westwood, Calif.; Max D. Tucker, vice president and general manager, Evans Products Co., Plywood Div., Public Service Bldg., Portland, Oreg.
TOBACCO MANUFACTURERS’ TRAFFIC
Government presiding officer—John B. Smiley, chief, beverage and tobacco branch.
Members:
J. C. Turner, traffic manager, John H. Swisher & Co., Jacksonville, Fla.; Frank J. McMahon, traffic manager, General Cigar Co., New York City, N. Y.; John J. Ehrardt, H. Fendrich, Inc., Evansville, Ind.; J. A. Bloch, president, Bloch Bros. Tobacco Co., Wheeling, W. Va.; Charles W. Bumstead, president, George W. Helme Co., New York, N. Y.; T. T. Harkrader, Traffic Department, American Tobacco Co:, New York, N. Y.; G. E. Goodwin, traffic manager, Liggett & Myers Tobacco Co., St. Louis, Mo.; A. J. Kneesy, traffic manager, Brown & Williamson Tobacco Co., Louisville, Ky.;_L. F. Owen, traffic manager, R. J. Reynolds Tobacco Co., Winston-Salem, N. C.
X-RAY
Government presiding officer—Milton H. Luce, health supplies branch.
Members:
Arthur Albert, president, Standard X-Ray Co., Chicago, HL; A. H. Feibel, president, Kelley-Koett Manufacturing Co., Inc., Covington, Ky.; W. S. Kendrick, vice president, General Electric X-Ray Corporation, Chicago, Ill.; R. R. Machlett, president, Mach-lett Laboratories, Inc., Springdale, Conn.; JameS Picker, Chairman of Board, Picker X-Ray Corporation, New York, N. Y.; C. V. Aggers, general manager, Westinghouse Electric & Manufacturing Co., Baltimore, Md.; W. A. Brendecke, general manager, F. Mattern Manufacturing Co., Chicago, Ill.
18
★ VICTORY ★
May 12, 1942
PRICE ADMINISTRATION ...
Separate ceilings set on all sales of used mechanical household refrigerators
Substantial savings for the average householder seeking to purchase a used mechanical household refrigerator because of the current difficulty in obtaining a new refrigerator were made possible May 6 as the result of a separate price action by Price Administrator Henderson placing a ceiling of prices, reflecting February 1942 levels, on all sales of used mechanical household refrigerators.
First action of its kind
Maximum prices in specific dollars and cents figures are listed for hundreds of second-hand refrigerators of all brands, and models in the order — maximum price regulation No. 139 (Used Mechanical Household Refrigerators).
The action, giving separate price treatment to a second-hand household commodity, was the first of its kind. Previously, used typewriters and used tires were brought under price regulations.
The regulation is effective May 18, the same day on which the General Maximum Price Regulation, freezing prices of virtually all retail commodities at March levels becomes effective. Until the provisions of the order can be applied, OPA has requested that second-hand refrigerators be sold at prices no higher than prices listed in the regulation. Consumers were advised that no price control on the used boxes exists until May 18.
Ceiling includes taxes
The regulation sets specific top prices that may be charged for “as is,” “unreconditioned,” and “reconditioned” boxes. In general, the ceiling price for a reconditioned refrigerator is less than half the manufacturers’ original suggested retail price for the same machine when new. Maximum prices for most unreconditioned boxes run about $30 per unit less, (while for “as is” boxes the ceiling goes down as low as $10.50 each).
All of the maximum prices exclude Federal excise taxes or any State and municipal taxes that are generally passed on separately to the buyer.
Although sellers of used refrigerators realized adequate returns from sales based on' February prices, OPA found that, as a result of this pressure, prices in the second-hand market continued to ad
vance in March. The May 6 action was designed to return the prices of the second-hand refrigerators to the reasonable levels prevailing in the latter part of February. Under the provisions of the general maximum price regulation, the March prices would have been established.
Other provisions
While the regulation contains a maximum price for virtually every make and model of refrigerator likely to be sold at second-hand, a formula is given to enable a seller to determine his top price for any box that may have been omitted.
For sales in 11 western states the seller may add $5 to the maximum price allowed by the order. The states included are: Montana, Wyoming, Colorado, New Mexico, Arizona, Utah) Idaho, Nevada, California, Oregon, and Washington.
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Evicting tenants won’t enable landlords to collect higher rents, says Henderson
Bluntly declaring that “we cannot and will not tolerate wholesale evictions of war workers,” Price Administrator Henderson served notice May 3 that landlords who evict tenants in the hope of evading maximum rent regulations “are engaging in a futile and unpatriotic act.”
His statement followed reports that in some of the “defense-rental” areas designated earlier that week as the first step toward Federal regulation of rents, landlords were attempting to evict tenants and bring in new tenants at higher rentals.
“We will not permit the war production program to be sabotaged by a few landlords who have the mistaken notion that they can somehow wiggle outside the of the essential war-time program,” the Price Administrator said.
“The new tenants will not be required to pay, nor will the landlords be permitted to collect, rents in excess of that collected on the maximum-rent date.”
Henderson commends new consumer credit controls by Federal Reserve Board
Prompt action by the Board of Governors of the Federal Reserve System in strengthening controls over consumer credit through amendments to its regulations, announced last week, will be of great importance in supporting other measures being taken by OPA toward keeping down the cost of living. Price Administrator Leon Henderson said May 7.
The Board of Governors has announced adoption of Amendment No. 4 to its Regulation W, effective May 6, enlarging the scope of consumer credit control and increasing restraints against purchase of consumers’ goods on credit or with borrowed money.
“The importance of this step, will be quickly recognized by the American people. It will be welcomed and wholeheartedly supported as a potent means of self-defense,” said Mr. Henderson. “These amendments are designed to effectuate one point of tile President’s recently announced program, designated by him as . the national economic policy to keep the cost of living from spiraling upward. Point 7 of that program states: ‘We must discourage credit and installment buying and encourage the paying off of debts,’ to the end that excessive buying be retarded and savings be promoted to provide a form of insurance against post-war depression.
“This amendment constitutes virtually a complete revision of the program of control. While utilizing the system of restraints already developed, it increases the deterrents to credit purchases of consumers’ goods by requiring substantially heavier cash down payments and by materially shortening the periods during which the indebtedness created must be retired. At the same time, the scope of control is expanded, not only by important additions to the consumers* ‘listed’ goods on which credit restrictions ■apply, but also by extending control for the first time to open-account credits, charge accounts, and single-payment ‘personal’ loans up to $1,500, including bank loans, incurred for purchase of ‘listed’ goods. These are now added to the field of installment sales and installment loans heretofore covered.”
May 12, 1942
★ VICTORY ★
19
Cartoon by Elderman for OEM. Publishers may obtain mats of these charts weekly in either two- or three-column size. Requests to be put on the mailing list should be addressed to Distribution Section, Division of Information, Office for Emergency Management, 2743 Temporary R, Washington, D. C.
Corn sirup for canning is part of sugar ration
Packers of canned fruits and vegetables were advised May 9 by the OPA that the amount of corn syrup or dextrose used in canning" or packing must be computed* as part of the maximum amount of sugar per unit allotted any product under rationing regulations.
Aircraft part processing supplies get A-l rating
In an amendment to Preference Rating Order P-109 the WPB May 8 allowed suppliers of material used in the production of aircraft to apply an A-l-a rating for those operating supplies absolutely necessary in processing the aircraft parts which they furnish on ratings assigned by the order.
Finished piece goods may be billed at contract prices, pending determination of costs
In order that there may be no further interruption in deliveries of finished piece goods whose price ceiling are established by Maximum Price Regulation No. 127 (Finished Piece Goods), the OPA May 8 outlined conditions under which such deliveries may be made pending the determination of cost elements required by the order.
The OPA will not object to deliveries of finished piece goods under existing contracts being billed on memorarfdum or billed at contract prices subject to later adjustment if the sellers are unable to ascertain immediately all of the cost elements.
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Southern hardwood lumber • schedule modified
New definitions of “mill” and “distribution yard,” designed to adopt a more refined distinction between distribution yards and concentration yards, are set forth in Amendment No. 3 to Revised Price Schedule No. 97, Southern Hardwood Lumber, Price Administrator Henderson announced May 8.
★	★ ★
Ceilings raised on some lighter weights of relaying rail
Higher maximum prices on certain lighter weights of relaying rail were announced May 8 by Price Administrator Henderson.
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Copper scrap order modified to include “ingots”
Supplementary Order M-9-b, which controls copper scrap, was amended May 9 by the Director Of Industry Operations to include “ingots.”
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Coffee roasters proffered aid in disposing of excess imports
Douglas C. Townson, chief of the food supply, branch, WPB, said May 9 that WPB is willing to aid coffee roasters in disposing of excess coffee imports.
20
★ VICTORY ★
May 12, 1942
Sheeting used by low-income groups gets special recognition in new ceilings
Manufacturers’ ceiling prices for a special type of lightweight bed linen widely used by low-income groups were established May 4 by Price Administrator Henderson.
By Amendment No. 5 to Revised Price Schedule No. 89 (Bed Linens), effective May 4, the Price Administrator set maximum prices for the special goods— known in the trade as “back-filled”— which take into consideration their out-of-ordinary specifications.
Won’t raise retail price
Prior to the amendment the “backfilled” type was subject to maximum prices applying to substandard materials, a system of pricing which did not recognize their special characteristics.
Mr. Henderson pointed out that the ceilings established for “back-filled” types under the new amendment will readily permit retailers to price these bed linens at no higher than their March 1942 prices and that therefore the action supplements the General Maximum
Price Regulation. Maximum prices now determined for these linens are lower than manufacturers charged prior to February 2, Mr. Henderson said.
Two changes applying to all types of bed linens under the schedule are also effected by the amendment. Since sales by jobbers, wholesalers, and retailers are generally exempt from Revised Price Schedule No. 89, one of these changes extends this exemption to retail sales of bed linens by manufacturers who regularly maintain and operate their own bona fide retail outlets. Such sales will be subject to the General Maximum Price Regulation, effective May 11, 1942.
The amendment also eliminates requirements for proper labeling of sheets and pillow cases when a Government agency asks that no label be attached to the goods.
Previous tables appended to the schedule set up a method of determining maximum prices. To these are now added a new column for “back-filled” types. These tables include specifications, base prices, and maximum prices for manufacturers.
WPB studies usefulness of carpet wools for other items
The wool section of the WPB is studying the utility value of carpet wools to ascertain which of the wools are suitable for apparel and blankets and which are useful only in floor coverings.
No action will be taken in the matter until the WPB has obtained opinions from affected industries. One group of wool experts has already submitted its opinions. It is the opinion of this group that the following types of wools, representing about half of the types of wool from which rugs and carpets are made are useful only in floor coverings:
Aleppo—stuffings and pieces (not including fleeces); Persian Gulf—stuffings and pieces (not including fleeces); Egyptian—fleeces and colors (not including white pulled); Awassi-« Karadis; Indias—(other than Joria, Kandahar, Vicanere No. 1 and Vicanere super); Cyprus; Oporto; Balkan Pulled Wools; Thibet— (other than No. 1 and No. 2 white); Iceland skin wool; B. A.^5’s-6’s combing, 12-month growth only; Cordoba 4O’s-36’s combing, 12-month growth only; Devon; Scotch, Irish, and English Blackfaced; Irish Kerry; Haslock; Herdwick; Swalesdale;
AJ1 other carpet wools were considered by the group to be usable for apparel and blankets.
Petitions provided in “hardship cases” under wool ceiling
A procedure by which sellers of wool or wool tops or yarns may, in a few “hardship cases,” apply to OPA for relief has been provided through issuance of an amendment to the wool schedule.
When a seller finds that his ceiling price as determined by the individual freeze provisions of Revised Price Schedule Nq. 58 is substantially below the price prevailing for the same type and kind of wool or wool tops or yarns in the same or nearest competitive area, Amendment No. 2 permits him to file a petition for adjustment in accordance with OPA procedural regulations.
The amendment, effective May 2, applies only to those ceilings based upon the highest price at which sellers sold or contracted to sell particular types of wool during the period between October 1, 1941, and December 15, 1941, inclusive.
★	★ ★ .
Retail chlorine reports ended
Because the wording of Order M-19 relating to chlorine would have required the filing of monthly reports by thousands of retail stores throughout the country, it has been amended by the Director of Industry Operations to remove that provision.
Finished piece goods prices changed for jobber, wholesaler
An adjustment of the mark-up which wholesalers and jobbers of finished piece goods' made of cotton, rayon, or their mixtures may charge was provided May 1 by OPA through Amendment No. 1 to Maximum Price Regulation No. 127— Finished Piece Goods.
In effect, the change allows wholesalers and jobbers a maximum mark-up equivalent to 17 percent of their selling price for goods covered by this regulation. Originally, the order provided a mark-up of no more than 17 percent above the actual cost.
In addition, the May 1 amendment makes clear that freight charges which are incurred by wholesalers and jobbers may be included in determining the cost.
★	★ ★
Ceilings set on sanitary napkins
Maximum prices for sanitary napkins are established in Maximum Price Regulation No. 140, announced May 6 by the OPA.
Mark-up about the same
The order, effective May l8, is designed to reduce unwarranted price advances which have already taken place.
Although retail prices are lowered, ©lark-ups for retailers and distributors ‘remain, under the regulation, about the same as prior to July 1,1941, after which date retail prices were increased about 25 percent. The cost and profit study of the industry by OPA indicates that the 12 producing firms will realize adequate returns despite past and current cost increases.
Under the. regulation, the maximum net return to manufacturers on sales made to wholeslers will be $6.90 per case, a reduction of 62 cents from the current price of the two leading brands but 90 cents more than the same brands sold for prior to July 1,1941. On sales made directly to retailers the maximum net return of the manufacturer will be $7.31 per standard case (48 packages of 12 napkins each), a reduction of 69 cents per case from current prices and about 75 cents more per case than the return to manufacturers before July 1.
The maximum price a wholesaler now can receive per case of any brand is $1.40, which permits him a return about equal to, or slightly more than that he received before July 1. If the wholesalers’ differential between the leading brands and the other brands is the same as it was July 1, retailers’ margins will be slightly better than they were on that date.
As a result of the’ decrease in price, the largest selling item, the package containing 12 sanitary napkins, is reduced from 25 cents to 22 cents for the consumer.
May 12, 1942
★ VICTORY ★
21
OPA financial report system to cover 25,000 firms
A general financial reporting program designed to provide basic financial data necessary for studies of price control problems in many industries where adequate information is not now available was instituted May 2 by Price Administrator Henderson.
Reporting forms and an instruction book requiring balance sheet and income account data were to be sent to about 25,000 business corporations, with over $250,000 assets each, engaged in manufacturing, mining, construction, wholesale trade, retail trade and related fields.
The confidential nature of the reports will be strictly observed, the Administrator said, although the reports will be available on a confidential basis to war planning agencies, such as the War Production Board, when needed, thus providing a centralized regularly recurring source of information for such agencies.
The forms ease the burden for some companies of slf&plying over-all cost data to OPA in connection with individual requests for specific costs of each of a variety of products, since the one report will now be the only request for overall' data as to the company’s operations. Similarly, time and expense are saved companies which might request special treatment under a price schedule because with general information made available by the report, the preliminary investigational work is eliminated and the actual field work expedited and confined to matters raised by the particular request.
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New price regulations explained to retailers in meeting with OPA
Retail trade associations representing somewhat over 700,000 establishments that deal directly with the buying public. May 5 were given a detailed explanation of the General Maximum Price Regula* tion as it applies to retailers at an all-day meeting in Washington with officials of the OPA.
The regulation which becomes effective as to retail sales of commodities on May 18, 1942, places a ceiling with few exceptions over all prices.
The May 5 meeting was one of hundreds to be held in virtually every State in the Union in order to give retailers an opportunity to ask questions regarding the regulation as it affects their various situations.
Retailers urged to gather records, survey prices quickly in preparation for May 18
The Nation’s retailers — numbering close to 2,000,000—were urged May 3 by Price Administrator Henderson to observe three cardinal “do’s” and a like number of “don’ts” before seeking special guidance from OPA on immediate problems under the recently issued general maximum price regulation.
THE THREE DO’S
The three “do’s” indicate immediate steps to take in getting ready for the May 18 effective date of the regulation in all retail stores.
(1)	Assemble and preserve immedi- / ately all your records regarding all prices charged for goods in March. In àddition, begin preparing your statement of highest base period prices for each item sold, so that it will be completed by July 1, 1942.
(2)	Check prices of all goods in your store to be sure that they are no higher than the highest price charged in March 1942. This job must be completed by May 18, after which time you cannot exceed these maximum prices.
(3)	Arrange to post or mark and identify as “ceiling price” or "our ceiling,” your maximum prices on all “cost-of-living” commodities specified in Appendix A of the Regulation. This must be finished by May 18. In addition, a list of these items and their ceiling prices must be filed with the War Price and Rationing Board in your area by June 1, 1942.
THE THREE DON’TS
The three “don’ts”.are:
(1)	Don’t bring your problems to Washington personally. It would be physically impossible for OPA’s staff at this moment to give every retailer the time and individual attention that such a visit ordinarily would warrant.
(2)	Don’t telephone Washington on your problem, unless it is of the most urgent nature. It probably would be impossible to render a snap decision on your case. You will receive carefully consid- «• ered guidance from OPA, along with all others, as soon as is humanly possible.
(3)	Don’t write in before you have carefully read and reread the regulation itself, the official press release issued simultaneously, and the question and answer summary that also accompanied the order. In many cases, clearer reading will reveal that your problem has been anticipated by OPA and answered in this or other material to be released shortly.
“Troubleshooters” from OPA’s Retail Trade and Services Division currently are preparing a bulletin of explanations to go out to the retail trade. These explanations are based on questions now coming to OPA’s offices from individual merchants and trade leaders. They are expected to provide the answers to a host of questions now in the minds of many retailers. In addition, further question and answer summaries are contemplated
for general press distribution in the near future and will appear in local newspapers. '
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5 temporary ceilings to be superseded by general order
Five temporary maximum price regulations, covering such commodities as canned fruits and vegetables, used typewriters, metal beds and novelty floor coverings, will be superseded automatically by the provisions of the general maximum price regulation, Price Administrator Henderson announced May 2.
The temporary regulations—Nos. 3, 4, 5, 6 and 9—had expired or will expire before the effective dates, May 11 for the manufacturers’ and wholesale levels and May 18 for the retail levels, of the general maximum price regulation, which froze prices of nearly all cost-of-living items.
Voluntary compliance in meantime
Until the provisions of the general order apply to the commodities covered by the five temporary regulations, the OPA has requested that these commodities be sold at prices no higher than those which are permitted under the general maximum price regulation. Purchasers of these products are warned by the OPA to take into consideration the fact that there is no price control over these commodities between the dates of expiration of the temporary regulations and the effective dates of the general order.
The following table presents the expiration dates of the temporary regulations and the types of commodities covered:
Temporary maximum price regulation	Covering price level	Commodity	Expiration date of temporary regulation
No. 3		Manufacturers and distributors.	Novelty floor coverings.	April 30.
No. 4		Manufacturers.	Sisal pads		May 2.
No. 5		Manufacturers.	Bedding, metal beds, mattresses, springs, studio couches.	May 2.
No. 6		Wholesale			Canned fruits and vegetables.	April 30.
No. 9		Retail	....	Used typewriters.	May 11.
22
★ VICTORY ★
May 12, 1942
Top prices set on machines, parts not already covered by OP A schedules
A comprehensive regulation establishing maximum prices for machines and parts not covered by other price schedules was announced May 2 by Price Administrator Henderson. All outstanding “freeze” letters and “informal agreements” covering machinery are superseded by the new measure—title “Maximum Price Regulation No. 136.”
Effective May 18,1942, the new regulation specifies October 1, 1941, prices, for the machines and parts it covers, at all levels of distribution except retail. October 1 rentals for machines are also established as maximum rentals.
But giving special recognition to the requirements of the contracting-out program, the regulation specifically excludes certain subcontracted parts and subassemblies manufactured for incorporation into another machine by the buyer. This will exclude many .specially designed parts for munitions. Informal price action is expected in this field in the near future.
In addition to providing top prices for new machines, the comprehensive regulation states formulas for maximum prices for rebuilt used machines and parts, and Other second-hand units.'
Maximum prices for rebuilt and guaranteed second-hand machines are established at 85 percent of the October 1, 1941, net price of the nearest equivalent new machine.
For other second-hand machines, maximum prices are set at 55 percent of the October 1, 1941, net price for nearest equivalent new machine.
★	★ ★
Osnaburg allowed for baling if made on looms outside L-99
The WPB textile branch pointed out May 5 in connection with Limitation Order L-99 that any cotton mill which has made or is making its own baling material, whether of a construction listed in L-99 or some other construction, may continue to use this cloth for the baling of its own product only, but must manufacture it on looms other than those required to comply with the conversion as directed in Limitation Order L-99. L-99 requires that all looms that operated on osnaburg on February 28 be devoted to five constructions of osnaburg and be sold only on war orders.
POSTMEN AND POLICE
TEST RECLAIMED RUBBER
Postmen and policemen in the Nation’s Capital are acting as walking laboratories for the Government, so that the millions of pedestrians throughout the country can obtain good rubber heels for the duration.
The Consumer Division of the OPA announced May 4 that many members of the Washington Post Office and Police Department have consented to pound their beats oh reclaimed rubber heels which the Division is testing for quality and durability. The raw material for these heels is scrap rubber collected from the Nation’s junk yards and attics and then reprocessed.
★	★ ★
Paper prices to be discussed in series of industry meetings
The first of a series of more than 40 meetings with representatives of the various branches in the paper industry, including manufacturers and wholesalers, which the OPA has called for the purpose . of discussing provisions of the general maximum price regulation and other price actions, was held May 7 in New York City.
OPA price executives and attorneys discussed the background and purpose of the general maximum price regulation, and explained those provisions applicable to the wholesale paper trade.
Another group of wholesalers met in Chicago the following day. About 100 were invited to attend a meeting arranged tentatively for May 11 in Denver and 200 are expected tb be present in San Francisco on May 14.
Similar meetings for other branches of the paper trade were to be held In the following two weeks.
★	★ ★
Auerbach named price executive
Appointment of Alfred Auerbach as price executive of the consumers’ durable goods sections of OPA was announced May 2. Mr. Auerbach succeeds Merle Fainsod, who was recently appointed chief of the retail trade and services division. Named associate price executive was Harvey Mansfield, who has been serving as administrative officer in the section.
Incoming freight rate rise on iron and steel products must be absorbed
A clarification of the effect of the recent 6-percent freight rate increase on the prices of iron and steel products under the provisions of Price Schedules No. 6 and No. 49 was announced May 5 by Price Administrator Henderson.
In general, the Administrator said, the rule is that the increased freight costs must be absorbed by the steel mill or the steel reseller on incoming shipments, but may be added to outgoing shipments in cases where freight is a component and declared part of the maximum price.
For example, the increase in freight rates on incoming scrap must be absorbed by the steel mills, and does not affect the maximum price at which the mills may sell their products.
However, the increase in freight from a mill’s governing basing point to destination may be added to the mill delivered price of steel. ♦
There are certain exceptions to this general rule, the Administrator added. Eor example, under Price Schedule No. 6, some prices are “arbitrary delivered prices,” such as the delivered prices applicable to Detroit and east-