The sun., 1919-01-15
NOT ONE FORD BOAT
YET PUT IN SERVICE
Blunders and Failures of Mo-
tor Plant Told by Rear
Admiral Taylor.
"EAGLES" FROZEN TIGHT
Head Of Great Concern Offers
to Return Profits on
Naval Work.
eagles" FROZEN TIGHT
Special Dcspdtch TO TIE suS.

| Company into a shipbuildng plant with
numerous items OF collateral Informal
ton intending to show the extravaganza
and inability OF the plant to build sub
marine chasers on the same plan OF
standardized fabrication as that EN-
ployed in manufacturing low priced au-
tomobiles was related to the Senate
Naval Committee to-day.
During the hearing Senator Swanson
fVn), chairman OF the committee. an
nounced that Henry Ford had authorized
him TO announce that he purposed to re-
turn to the Government his share OF the
profits OF the Ford company made out OF
the Eagle boat deal. Mr.. Ford's interest
is In So per cent. of these profits.
Rear Admiral David w. Taylor, chief
naval constructor. was the first and prin-
cipal witness. The Ford contract to
build 1l2 Eagle boats for the navy
The committee listened to tale of EN-
barrassing delays, expenditures OF money
exceeding by millions OF dollars the
original estimates for the construction OF
the craft and the non-fulfiment of con-
tracts
Not an Eagle in Service.
The Naval Committee learned that the
original contract for 112 Eagle boats had
been cut to sixty. but that the decreased
number OF vessels when completed would
cost the Government sa000.o0O more
than the original contract estimates. 1t
was also informed that there would be a
loss to the Government OF approximately
$4,000. 900 Oh the incomplete work al
ready done on the ficty-two vessels upon
which there had been cancellation OF
contract when the armistice was signed,
Under the terms OF the promises made
han ~ ~..1Nt ~.
Henry Ford fully ffty OF the Eagle boats
were TO have been completed and ready
for service by the early part OF Novem-
her. At the time the armistice was
signed not one of these vessels was in
service.
Furthermore. the Government has
constructed for Mr. Ford at a point on
his own land near the confluence Of the
River Rouge with the Detroit a plant
which cost s3.50O.o00. There will be a
net loss of not less than 20 ard perhaps
so per cent. on this plant But the
River Rouge Is now almost frozen solid.
launching could not be made until next
spring, nor would 1t be possib bic to bring
the vessels from the plant to open water
even II they could be launched it was
shown.
The committee was informed by Rear
Admiral Taylor that the reduced con-
tract for sixty Eagle boats might be
completed in the summer of 1919. but al
the same time the Chief Constructor told
the committee that only twenty Of the
sixty vessels would be placed In perma-
nent commission. The other forty will
be held in reserve ''for the next war"
Rear Admiral Taylor admitted there
was a lack both OF economy and ef-
f.ciency." which he said would not he
repeated ~ the navy had the work 10
do over again" but in the same breath
he insisted that the performance OF the
Ford company had been satisfactory"
There appeared from Admiral Taylor's
evidence to be a division of blame fol
the showing which the Ford COMPANY
had made between that concern and
I, the Navy Department itself. Numerou,
changes In specification, such as had
marked the dealings of the Aircraft Pro.
duction Board with the builders OF air.
planes in that fasco, were the occasion
OF repeated holdups in the construction
programme.
!, The Ford company was a novitiate ir
the shipbuilding business, but neverthe
less the Navy Department had selected
II to do the work. giving the reason
that it was unable to find any one elss
to attempt it, it was shown The trans
action had been inaugurated In a lette
which Mr. Ford had written to the Sec
rotary Of the Navy and it was showI
that Secretary Daniels had directed tina
the deal be consummated, but upon tn
recommendations of the naval construc
tors.
Questions by Senators were directed
" to ascertain why the navy, In striving 4
!; meet the submarine menace as II woul'
j have existed this winter II the pro
gramme Of Germany had not been inter
: rupted by her defeat on land, had chosei
: site for building submarine chasers a
a point where for four months OF tn
y year the waterway is frozen.
! Defends Ford Contracts.
= It was explained by the Chief Con
S structor that the seaboard yards wer
d crowded beyond capacity, and that
/ was necessary TO turn TO new territory &
r ind thc available space. Incidentally h
= remarked that II the promises OF III
. contract had been fulfilled a substa nj Ia
/ fraction of the output OF Eagle boat
would have been In service before tn
= freezing OF the rivers and the Grea
II Lakes stopped operations.
II Admiral Taylor's defence of the con
J. tinuation OF the contracts on the basil
n OF 60 instead OF the original liz Eagl
d boats created some amusement In tn
II committee. He asserted that the siXt
It vessels would prove useful operatin
against submarines II another war brok
a out. He did not believe that submarine
l. would ever be developed to a point whic
J. would render the Eagle boats altogethe
l. useless. At the same time the CHIEF con
IT structor insisted that the Government
could not have helped losing money 1
e cancelling the Eagle boat contract.
W The loss 10 the Government. he sale
y would approx innate $500. 900 each on IN
lie fifty-two boats the contracts for whic
~ had been cancelled. Originally the For
NJ Motor Company had estimated that
n would he able 20 build the Eagle boat
} at 1915 900 each. but the estimate hs
been made before detailed estimate
e were available Therefore II Is now e.
g timated that the cost Of the Eagle boat
lie completed will be $425.00 each excll
lie sive OF armament. the cost OF whic
lie amounts to slos.O00 for each boat
,e do YOU consider 1t advisable to con
Is mission these boats"" asked Senate
Lodge (Massl.
IS THAT depends on the policy decide
ut upon by the navy replied Admire
IL Taylor! I'VE are bound to lose none
O. whatever we do
v. The status OF the Eagle boat pr,
Is gramme was summarized by Admir-,
lie Taylor. who said that under MT Ford
IN contract the company was TO use lever
is endeavor TO begin deliveries within n,
a. months" after the date 1t was signe
The first boat was to he delivered A,
Ne gust I. Ten more were to be delivered
so September. twenty in October and twel
ty-f1ve each month thereafter.
OF the seven Eagle boats that ha,
, left the works at River Rouge three al