The New York herald., 1921-07-10

New York Herald Bureau,
Paris, July 0.
The head of the greatest group of
industrial corporations of France,
Eugene Schneider, president of
Schneider Co.'s establishments at
Creusot and elsewhere and Frances
greatest individual employer of labor,
talked with the correspondent of The
NEW YORK HERALD upon the business
situation in France, the danger of
German competition and the chances
for the successful future of France.
M. Schneider, in the extent of his
activities, might be compared with
Hugo SHINES of Germany, as he is
Frances greatest captain of industry
and with concerns operating in so
many different fields he has his hands
on the business pulse Of France.
"There is no fear for the future"
he declared, although France has
many difficulties to face, like most
countries of the world, and despite
the fact that the economic crisis Of
the last year took her by surprise at
a time when her entire energies were
bent upon reconstruction.
France still is economically sound.
She is mastering her financial prob
lens, and her industries are solidly
founded and operated upon the most
modern lines. Workmen are inspired
by the same ideals as French Gov
ernment employees, namely, the
maintenance of equitable relations
for the benefit of France. Moreover,
we can point to years record few
other nations can show-only a few
thousand out Of work, and this not
through strikes, but because France
has been caught in the general wave
Of idleness which has been the most
serious aftermath of the great war;"
Results I'm Devastated Regions.
the continued development of France,
M Schneider brought out the results
OF investigations made by his own
agents, which showed unexpected re-
suits in the reconstruction of the dew
astated regions.
Before the war these regions counted
100000 inhabitants. When the arni-
stice was signed only 1,944,00O re-
mained. but to-day 100000 have re-
gained their homes. OF 293. 900 homes
damaged more than 2s0,000 are now
repaired, and more than half of the
cultivable soil of the devastated dis
tricts has been made productive
IF we examine the production Of
the principal industries of France"
said M. Schneider 1T is equally strilx-
ing In 1919 the coal production of
France was 22,476,00O tons. but In the
year just completed, this has risen to
more than 25,000,000 tons Iron ore
output has jumped from 9,422 900 tons
to more than 13,000, 900; pig iron from
2.412.000 to $4,000 tons. and unman-
ufactured steel from 100000 to near
ly 100000 tons. and this despite the
chaos which reigned throughout the
economic world during the latter part
Of 1920.
This progress likewise is shown in
our exterior economic relations. Last
yesr imports were almost as great as
In 1919, but exports doubled in the
same period. and during the first quar-
ter of this year the commercial balance
showed an excess of nearly 1,000,-
100000 francs on the export side.
Moreover, France was one of the
few countries which during the first
quarter of the current year exported
more than during the corresponding
period last year. Another valuable
index OF our certain prosperity is to be
found in official records regarding the
jobless At no time has the unem-
ployed list exceeded s4,s00 This was
last April, but to-day only 10000 are
out of work, compared with millions
In the United States and Great
Britain"
outlook Favorable.
SO far as the financial recuperatlon of
France is concerned NJ. Schneider IS
frankly optimistic. He considers the re-
organization OF Frances finances is
being carried on vigorously. and as sys-
tematically as possible under the circum-
stances. especially as much time has
been lost In the settlement of the all
important question of reparations.
IL must De remembered tndt Dank
checks are not used here as extensively
as In the United States added NJ
Schneider. This has had very decided
effect on our financial records.
The pre-war budget was only about
5000. 900. 900 francs with debt Of about
$4,000, 900. 900. Note circulation then
of about $500. 900. 900. was guaranteed
by the gold reserve of 1000 900. 600. But
at the end of last year--and the situa-
tion has not been greatly changed since
then--the interior floating and foreign
debt OF France reached the enormous
total OF 2s5, 900, 000, 900 francs. Note CIR
culstion reached 37.9i9. 900. 900 but has
not increased since.
Moreover. II Is certain that the large
reirnbursements for advances will be
E.noe TO the Bank OF France, which will
have the same effect as the withdrawal
ef some OF our excess circulation.
'Much has been said regarding
Frances several loans. but they were abb
solutely essential II the budget was TO be