The Wahpeton times. [volume] (Wahpeton, Richland County, Dakota [N.D.]) 1879-1919, 1917-06-21

Tue war Oeg0u.
We agreed-if the Government would
abandon its plans for Federal plant
to make armor for our Navy at any
price the Government Itself might con-
stder fair.
Our ordnance plants are at the dis
p0sal Of the nation at fair operating
cost. plus small margin, thus saving
the Government Investment and de.
probation.
One Of the special needs of the new
navy Is sixteen-inch guns-guns sixty
feet long and capable Of hurtling a
1000 pound shell with such power and
accuracy as to hit a so foot square tar.
get fifteen miles away.
We have undertaken voluntarily to
construct. at cost Of $4,5OO,OOO, a
plant fitted to build sixteen-inch guns.
Under no conceivable circumstances
can orders which we may receive for
this plant pay even a fair return on
the investment.
Considerable comment has been made
upon the fact that British manufac-
turer recently bid less than American
manufacturers for sixteen and four.
teen-inch shells for the navy.
] am unable to state the basis upon
which the English bid was made. It
should be remeuIered: however, that
this bid was for a specific shell, sam.
Piles Of which are being SAINT over for
toaf-o foot mot p,ooIo
Tive years ago we took an order for
240c fourteen-inch armor-piercing shells
at contract price Of $76S,OOO, to be
delivered within a certain time or We
had to pay large penalty.
The only specifications for making
these shells are that they shall be
OF certain size and must pierce
armor-plate at certain velocity on i'm.
pact. 1t is impossible to foretell the
exact conditions Of the tests.
We had made large quantities of shells
In the past which had been accepted.
But in placing this particular order the
Department altered the angle at which
the tested shells must pierce armor-
plate. The result. however, has been
absolute inability on our part to pro.
duce In any quantity, shells which will
meet these novel tests. In fact, we
know Of no process Of projectile-mak-
ing through which 1t is possible to pro-
duce in quantities shells which win
conform to the requirements.
The result is that up to now on that
contract Of $76s. 900. we have put into
actual operating expense $447, $751;. and
have been penalized for non-delivery
$405, IA, a total Of $943, $685., with no
receipts whatever.
Such was the experience in the light
OF which we were called upon recent
~ to bid for sixteen-inch shells.
We bid on these shells at approx.
mately the same rate per pound as
that of a fourteen-inch shell contract
of one year ago upon which the Gov.
eminent awarded contracts.
We have not the slightest idea what
profit there will be in the making Of
these shells. We do not know that
there will be any. There is no certain.
ty that 1t would be possible for us to
deliver shell to meet the test.
For officers In the Navy to assume
that any bid made under such condi.
lions Is "exorbitant" is utterly unfair.
We bid on the new battle-cruisers
sums which Navy department experts.
after examination Of our books. found
would yield profit of less than ten
per cent We agreed to assume risks
for increased costs Of materials and II.
Dor. that made 1t possible that these
eoetsacts might yisld no pnoAt what,
! svse.
TAs eosts run beyond de amount an.
pEopriated BY Congress on the basia Of
the cost estimates made q year ago.
And bscauss shipbuildsrs could not
alter the memorable cost facts and n
duce bids to early estimates OF the
Navy Department, the prices an called
"exosbitant"
/ Il would b . real ADVANTAGE to b
relisved Of this naval construction. Tn
proot from Il cannot possibly amount
10 much. and The responsibility L. enor.
nous.
We have determined to make thi,
o6ee 10 tho American Government :.
III you will build two Of the battIa
cruisers IN Government navy yards
W viii buih the other two ct the a
esrtainsd cost Of building the ships Il
The Government yards, without adj
tiooal oxpsase Of commissions Of an,
hd We Win also contract to hay,
cur shsps ready for service ahead a
the 0ovsenDsat shtna"