Evening star., 1916-09-17
Chairman Hurley of Federal
Trade Commission Presents
Plan to Manufacturers.
HE POINTS OUT OBLIGATION
TO PROTECT SMALL PRESS
Proposes Sunday Labor and Change
From Other Work as Means
to Create Needed Surplus.

Creation of 2 reserve supply of news
print paper for sale to the daiiies
which do not have contracts, working
If the mills on alternate Sundays, and
changing paper-ma king machines from
other grades to news print was strong
~ urged by Chairman Hurley OF the
federal trade commission IN state
n1ent which he made before the execu-
tive committee Of the News-frlne
Manufacturers Association at meet
ing in New York Thursday
The meeting was called for the pur-
pose Of considering proposals made by
the commission in August to devise
some means to protect the smaller
newspaper publishers of the country
who do not have contracts and are de-
rendent upon the open market fer sup
plies. The commission expects state
1neut from the association within few
days on the question.
Mr. Hurley told the committee that
he could not impress upon the members
TOO strongly the critical situation no"
confronting these smaller dalies ana
weeklies which have built up circula-
tIou of a few hundred or a few thou-
sand subscribers on the basis of an out
Law for paper from to 8 cents pound,
and who are now obliged to pay in
,nany cases more than cents
Obligation to Maintain Press.
1T is to your interest as well as to the
interest Of the public that the newspapers
OF the country be prevented from sus-
PENDING publication on account of paper
shortage or prohibitive price" Mr.. Hur-
lev said The commission feels that
YOUR association. through cooperative
action. can do much to bring this about
by putting paper supply into the opan
market 1t has no power or desire TO
compel such action. but feels that it has
n duty imposed upon it by Congress to
use its good offices in behalf of the pub
fishers who do not have contracts and are,
therefore. dependent upon the market
THE reason why such high prices can
lie charged is simply that the unpro-
tected publisher has but one source OF
supply and that is sometimes uncertain
No one but the mill or dealer whom he
has been patronizing will sell him
pound of paper.
This being the case. it occurs to me
that TO remedy the situation. it is neces-
sary for a number of the larger COM
panies in your association to create re-
serve stocks of paper which will be Of
fered in the open market to publishers
needing help at a reasonable price.
1T would not require a large stock
to control the situation. The mere
public announcement that such action
has been taken would tend to dissipate
the fears of publishers and materially
help to keep prices within reasonable
limits.
Suggestions for Reserve.
The important question is how can
the companies who wish to cooperate
with the commission in this work pro-
cure q sufficient reserve stock of paper
to make the plan effective. The COM
mission has already made two sugges-
tions to this end: Working number
of mills each alternate Sunday or for
an extra shift each Sunday, il this
can be done, and changing machines
temporarily from other grades to news
print. which involves the question of
relative profits OF different grades of
paper
"A third suggestion has been made
By member Of your committee in a
letter to the commission, namely, that
such manufacturers, with the consent
of the publishers supplied by them
under contract, make a pro rata dis
tribution of their output SO as to OBJ
tain surplus quantity to use as a
reserve.
II hope that some plan will be adopt
ed which will effectively meet the sit
nation