New Britain herald., 1917-04-10
MAY CUT PROFITS
 ON WAR PRODUCTS
American Manufacturers May Be
 Forced to Reduce Prices

New York, April 1O.--An end to the Imitation of war profits appears to be In sight. Prices on future purchases .os the Allies in this market niay be required to conform to those paid by the United States government for its war supplies. Leading international bankers and the heads of industrial companies say that since the United States is to provide the funds to finance such purchases they regard it as inevitable that the administration should take action to prevent the charging of excessive prices.
 The head of a large copper produc- Ing agency said that while he had not yet been officially informed that the government would adopt this policy so far as the copper companies were concerned, he did not regard it as un- likely, despite the opposition that would naturally arise from the trade. Steel men also expressed the belief that the entrance of the United States Into the war probably would result in a governmental supervision of the Allies purchases and consequently in lower prices. It is considered im- probable, however, that existing con- tracts will be affected by the new or der of things.
 Producers Likely to Object.
 ' As the result of efforts of the Coun- ril of National Defence the govern ment recently placed an order for 45.000,O00 pounds of copper at 1867 cents . pound, or about half the cur rent quotation for spot metal. Last week arrangements were made for the purchase of steel ship plates for about s4O ton below the market price.
 Export Profits Will Be Cut.
 While bankers take the view that & drastic reduction in the prices of war materials that may be bought here for the Allies is a natural reflex of this country's determination to help win the fight against German auto cracy. there is no such unanimity of view ;n the metal circles. Not all or the big copper companies take kind ly to the suggestion that the Allies be supplied with the metal at less than the current market price. except such l amounts as might be required by manufacturers here to fill existing ana potential munition orders. If the gov e1nment puts into effect a prfce-cu,- ! Clng policy based on reductions aiready 1 made it will naturally reduce, the rev crues of some of the companies which 1 have profited so largely from their ] export trade. .t=.
 This country is now selling copper l for export at the rate of about 2 i billion pounds a year. A reduction in l the export price to 16 cents pound :, would cut off something like $1OO,- l O0O.O0O from the earnings of the pro- 1 dlicers. Steel would suffer even more. 1
 A prominent banker said that it l would be practicable and desirable ] for the government to see that the 1 money advanced to the Allies he spent as economically as possible. This rlan. whose firm has been closely as- scciated with Allied financing in tho United States. expects early action along these lines.
 Wall streee heard yesterday that President Wilson would soon an nounce an addition 70 his cabinet in the creation of a new office. the title to be secretary of munitions. F.. R. Stettinius. of J. P. Morgan & Co.,. has been mentioned as a possible ap- pointee, but it Is reported that an- other man. an official of an import ant industrial concern. will be chosen.