Evening star., 1927-04-11
BATTLE OF GIANTS
in AUTO TRADE SEEN
All Producers Likely to Be
Drawn Into 1927 Selling
War-Competition Keen.

RY EnWARD G. STONE.

Under the title "Fhe Battle of the
Giants" an article on the automobile
situation in the current American
Bankers Association Journal declares
that many observers look for com
petitive battle among the leading COM
panies such as the industrial world
has never before Witnessed The ar
ticle says, in part:
Last year General Motors challenged
Ford for domination of the light-car
field. There was a new alignment Of
many other companies and the elimi-
nation of several. This year cam
paigns are being planned and forces
massed for n selling war on such
broad scale that every producer of pas
senger cars, trucks. parts and aCces-
sories, as we'll as dealers and finance
companies, will be drawn into it. Be-
cause Of the great Importance of the
motor industry, which directly and in
directly has an output whose aggre-
gate value surpasses any other indus
try and whose prosperity or depres
sion quickly affects other lines. every
move in this huge spectacle is being
watched with the keenest interest by
business men and bankers.
ALREADY the sounds of minor skir-
mishes are being heard. The weapons
in this industrial war are cars and
prices. At the annual shows improved
models have been presented, many of
them at prices which represent ultima
tumS to existing faVorites. I'm the last
month other price reductions have
been announced. Army headquarters
are Detroit, and the battlefields are
the Automobile Row in every town
in America.
FOTd's Percentage Says.
Five years ago Ford produced
63S per cent OF the total; General
Motors group made up 14.1 per cent,
and the remaining 221 per cent was
divided among all other manufacture
ers. In 1925 the proportion was:
Ford, 460; General Motors, POI, and
all others 1919 per cent. In 1926 it
had changed to: Ford, 36.6; General
Motors, 28.4, and all others 35.1 per
cent
THE figures regarding sales are
reflected in the earnings of the lead
ing producers, and tell the same story
of large earnings of a few companies
and reduced profits for the majority
of others Taking all the companies
that have published reports, we find
that only four had higher earnings
than the previous year, while II con
cern~ or 81 per cent, made less
money.
'There are undeniably a number Of
favorable factors. such as the strong
financial conditions of some com
panies, conservative financing terms
being adhered to, and curtailed pro-
duction schedules. Moreover, auto
mobile values ere better today than
ever before, and the danger Of over
production does not have the same
meaning as in other industries"
Fertilizer Sales Improve.
Material improvement in sales of
fertilizer for this years cotton crop
is Indicated by records of tag sales
in 12 cotton States for March. the
National Fertilizer Association stated
here today.
Georgia made the best showing dur
ing March of any strictly cotton State
it's tag sales for March being 102
per cent of those for March a year
ago.
Fertilizer prices to the farmer are
the lowest they have been in II years.
and are practically at par with pre-
war prices, according to Charles ].
Brand, executive secret airy of the
association.
Bankers Leave Washington.
The last of the visiting bankers
here for the savings conference left
the city last evening, having re-
mained Saturday and Sunday for
sightseeing.
All reported a delightful visit here
and kept up their enthusiasm over
the real benefits obtained from the
convention addresses.
Their departure ended the most i'm
portant gathering of bankers in the
capital since 1920, when the Ameri-
can Bankers Association had its con
vention here.