Free trader-journal and Ottawa fair dealer. (Ottawa, Ill.) 1920-1927, 1921-07-26
WEEKS LOOKS into
F0RD'S OFFER FOR.
NITRATE INDUSTRY
MUsSEl SHOALS PLANT, SOUGHT
BY AUTO MANUFACTURER, OBJ.
JEcT OF CLOSE STUDY BY SEC.
RETARY OF WAR.

Washington, July 26,--Details OF
Henry Ford's offer to purchase the
government nitrate plant at Mussel
Shoals, Ala for $50000000 and for
lease for 100 years on completion Of
the Wilson and No. 3 dams, providing
power for the project, at an annual
aggregate payment OF $1,6S0,000 were
made public today by the War De-
partment,
No action has been taken by the
government, although 1t was an
nouneed no other bids had been re.
ceived
The dam lease proposals include
provisions to amortize in ninety-four
years the government investment in
the Wilson dam, taken at $40,0OO,OOO
Mr.. FOrd's proposal was based on
prompt completion by the government
of the Wilson 100000 horsepower
dam, for the power of which he pro.
posed to pay lease fee each year
of $1,200,000, together with $3.50
for maintenance and $30537 against
amortization of the governments in
vestment in ninety-four years.
On dam No 3, also to be completed
and develop 100000 horsepower, he
proposed to pay $4,000 in annual
lease fee, the payment in each case
being 6 per cent on the governments
investment
Based on acceptance of these two
lease proposals was the offer to pur-
chase "all of the property at nitrate
plant No. 2, nitrate plant No /, the
Waco quarry and the steam plant at
Gorgas, Ala, for s5,000,000.
IF the United States agrees to sell
and the company purchases the sew
eral properties" the letter said, "the
company will operate nitrate plant
No 2 to approximate present capac-
ity in the production of nitrogen and
other fertilizer compounds with the
following special detectives.
To determine by research whether
there may be produced better ferti-
lizer compounds at cheaper prices
than the fertilizer using farmers have
in the past been able 10 procure, and
to determine what the application of
electricity and industrial chemistry
may do for the agricultural industry
of the country.
ITO maintain nitrate plant No. 2
ready to be promptly operated in the
manufacture of materials necessary
in time Of war for production of ex-
piosives.
The company also proposes that
the maximum net profit which it shall
make in the manufacture and sale of
fertilizer products shall not exceed
s per cent.
Designated representatives of the
American FARM Bureau Federation,
the National Grange and the Farmers
Union, together with representa-
tive from the Bureau Of Markets and
two representatives of the company
are proposed as the composition OF
the board on profits and distribution.
Sec Weeks said the offer was still
being studied and indicated that con
siderable modification would be nee
essary. Mr. Ford practically is ask
ing a guarantee for the delivery of
100000 horsepower from the plant,
Weeks pointed out, and this the gov
eminent cannot undertake.
Weeks added that he had been in
formed that a proposal was coming
from corporation which he would
not name The government has spent
altogether at Muscle Shoals, he said,
approximately S7,000,0O0, and Mr..
Ford proposed additional expenditures
of about S28,000,000 and proposes
paying interest and amortization
charges on the basis of $40,000,0O0 as
a value for the present facilities. N~