New-York tribune., 1919-03-27
Steel Price Cut
Stimulated Sales.
Jud &c Gary Says
Believes Country Will Enjoy
Great Prosperity if Stabil-
ization Plan of Industrial
Board Receives Support

New business of the United States
Steel Corporation since the reduced
scale Of prices became effective has
shown a decided increase, according
to Judge Ebert H. Gary, chairman Of
the finance committee. In a statement
yesterday Judge Gary said:
apparently there has been a decided
though not large increase in the volume
Of our business since the approval Of
the present scale of prices by the In
dustrial Board, as l believe in their
Friday Of last week. 1t is not yet time
to determine the full effect of the
movement inaugurate. by the Depart
ment Of Commerce under the direction
of the Industrial Board for the purpose
of stabiizing business and read justiug
conditions from war basis to peace
basis.
Secs Prosperity Ahead
However. have great confidence in
the plan adopted. If other lines Of
business without delay shall cooperate
in the same direction with the In
dustral Board as ! believe in their
own interest and the interest Of the
country generally they will do, | see
no reason to doubt there is greut pros
perity ahead Of us"
When Judge Gary was asked TO com
ineht on published stotements, said 10
hkve originated in PiitsbufK, that the
new schedule II prices determined upon
was claimed by some prospective buy
ers 70 be rather high os 10 certain
articles, he replied;
"1f thore are any who mako clAims
Of this Kind II rs proximity because they
are not familinr with the present costs
Of production. Wage rates nlone
since February !, 1916, have increased
III per cent" lie declared TINT wnges
comprised at least 85 per cent of the
total production costs Mt the present
time.
Reports were current in steel trade
circles yesterday that the government
will soon enter the market for the rail
requirements Of the railroads. Promi-
ncnt steel officials profcssed knowledge
that move of this character was con
templated, but said that all informu-
tlon on the matter should be given out
from Washington. Reports that France
would soon place n lnrge steel order
here were not confirmed.
"The Iron Trade Review" in its cur.
rent issue states that Indications point
vital question whether the government
will accept the new prices for large
needs, especially for those Of tho rail
road administration and the feet cor
poration.' This publication goes on to
say that cooperating committee, rep
resenting the different government de -
partments, working with the Industrial
Board, has recommended the adoption
of the new prices by the various pur-
chasing officers of the government.
This publication also is authority for
the statement that the lower prices
are being applied to much untitled
business on the books of the steel com
panies. This is added:
Affects Untitled Orders
"Where the buyers wanted the steel
for particular order, which had been
taken at particular price, the mills
are making no change. They are mark
ing down the prices only where the
customer wants the steel for stock or
for making products on which prices
tn. market In effect, however, the re-
suit is to apply the new prices to the
greater portion of the untitled tonnage
still on books"
"The Iron Age" in its weekly review
of conditions, notes willingness on
the part of producers and consumers
of steel to cooperate with the govern
ment to secure a stable market. Cur
rent operations a. mills, according to
this authority, have fallen off during
the last week. The Steel Corporations
Chicago district plants, which ran ex-
ceptionally we'll in February, are now
on an 80 per cent basis. Independent
steel companies are said to be avcrag-
ing 60 per cent of capacity.