The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1917-07-13
% CONTROL STEEL
hNernment Will Practically
IT Operate All Mills.
slll Fix Prices and Regulate
the Distribution.
1UR MEN AT THE HELM
BEL Magnates Agree to Plan
of the President.
Private Contracts Are 10
Be Ignored.

washington. July 13.-The govern
I1slnt has taken over the entire steer !
'1Anstrv of the nation. A board OF
|dAr men will direct the Distribution
Ifthe entire product of the steel mills
BID will set the price which the man
fActurers will receive for their ma
'eeial 49,.
The men are Newton D. Baker, sec
|ethrv of war: Josephus Daniels, sec
Idtarv of the navy, William Denman,
Ihhirman of the shipping board, ana
Ishfnard NJ Baruch, chairman OF the
dNisory board of the council OF ma
|i0nal defense.
llFhe steel interests capitulated and
sAseed to this plan within few hcurs
Ifter reading President wilson's ultl-
IftaHum to big business that bloc"
bflifits'' would not be permitted
1.-THE surrender came after the steer
Interests had held out all day against
HE governments proposals. Ihey
Ivsfe represented here by committee
bfithe steel and iron institute, headed
|stii Judge Ebert H Gary, chairman
bflthe board of directors of the L. ;.
Eteel corporation.
|lli Ignore Private Contracts.
ilfhe plans is that the entire produc-
lion of the mills shall be placed at
HE disposal of the government. All
#rlKlIe contracts dlItdly maui "
b&hding will be ignored. European
kohtracts for supplying steel to ma
|itihs allied with the United States also
Mil go by the board. The United
|states government will see that the
.iafions associated in the war against
=iHfmany will be supplied with steel
,ttzjt will have entire control over
4 II distribution; the precedence of or
7ierS- for sdifferent kinds of steel, in
hoEtsthR entire industry.
RHfe price will be fixed by the gov
uament. 1t will be based on the find
.nRs lof the federal trade commission
EMch is investigating production cost.
8rbdiIction cost plus a fair profit will
/ dahe basis Of payment. Pending in
8Zfigation the steel interests Will be
bod enough by the government to
4 Up the mills going.
The text on which the government
board will fix the price will be based
ban extract from President Wilson's
II Dress to the mine operators and
cturers of the United States.
II is paragraph follows:
"a just price must, of course. be
bazfd for everything the government
bus By a lust price l mean a price
II ch will sustain the industries con-
AeNhed in a high state of efficiency,
HlMvide a living for those who conduct
NON, enable them to pay good wages
NJ make possible the expansions of
3 hMir. enterprises which will from time
oNtime become necessary as the stu
4 ,aR dpus undertaking of this great war
i afelops."
Pay Uniform Prices.
The same price paid by the United
|sWtes will be paid by the European
siNes.
After the conference Secretary
8Mker issued the following statement
TAT the conference between the
.cnEnmittee of the Iron and Steel In
astNute and the secretary of war, the
&seMretary of the navy, Chairman Den
InIni of the shipping board and Mr.
IBRrnard NJ. Baruch of the advisory
IL 2nInittee of the council of national
dMeuse, further discussion was had of
stlR prospective demand of the general
&irif ustry of the country for supplies of
|vafious steel products for carrying on
tA8 war.
MThe steel men repeated their as
f sutance that their entire product
Wal III be available for the need and
EtMy were doing everything possible
steAestimulate an increased production
~ Np speed up deliveries. The price to
4 b paid for the iron and steel prod
8nEs to be furnished was left to be
III ermined after the conference, with
|tM understanding that the price
wNhld insure reasonable profits and
DO made with, reference to the ex-
5p#nding needs of this vital and fun
vi @nentai industry.
AJlhe representatives of the govern
mint assured the committee of the
.sWeli institute that it was the inten-
|tian iof the government to distribute
sths war requirements over the entire
+ irSss1 and steel producing capacity of
ltl& country"