Evening star., 1933-11-09

Agreement between the administra-
| ton and the steel producers is expected
to have an important effect on indus
| try. Reduced price for rails, 1t is pre-
dicted, will result in important railroad
development, while the incidental labor
provisions are expected to create new
efficiency in production. The results are
described as unprecedented.
Tremendous significance" is seen by
the Portland Oregon Journal which
finds that "the common man at his toll
is given a fair deal and the powerful
steel baron is accorded justice" In re-
viewing the achievement, the Journal
halls the fact that "the miners are to
have a voice in the check of their
work" and that the rail price is "the
first reduction in years from $40 ton" f"
The Altoona Mirror holds that the
settlement Ought to have an important
bearing upon the general industrial well
fare" pointing out that they agreed to
bring down the price of rails to a fig
ure which will justify the Government
in lending money to the railroads for
such purchases" and stating further:
"On the captive mine issue the steel
men undoubtedly made far more sub
stantial concessions than they would
have had to make last July. The agree
ment affects approximately $4,000 min
ers, and It's significance lies in the fact
that the company heads concede the
check-off Their refusal to concede 1t
at the outset has been generally re-
garded as the initial cause Of the trou-
BILE. 1t is also significant in the fact
that it is virtual recognition of the
United Mine Workers"
"It will cause a resumption of work
in the closed mines and also speed up
the steel industry in no small measure"
declares the Springfield (Mass) Union.
with the comment on the proceedings:
THE steel companies had submitted a
figure Of $37.75 cents ton for the rails,
against which Railroad Co-ordinator
Eastman. with the Presidents approval,
had protested, demanding a fiat price
of $35 ton. In the conference a com
promise price of S36.37 ton was agreed
on. This was an even splitting of the
difference between the steel mems basic
figure and the figure insisted on by Co.
ordlnator Eastman. 1t may not be un-
fair to assume the the steel men NAV
have had some such compromise in
mind when they submitted their orig
1nal price. and 1t is equally possible
that Co-ordinator Eastman had a SIM
iiar Idea In fixing the price at s35. Be
That as 1t may, the compromise enabled
the steel men to share in what victory
tnere was and, perhaps, made them
more amenable to the demand for con-
cessions to their coal mine employees" /"
Referring to a retrograde movement
In recent weeks in the steel industry, !
the Philadelphia Evening Bulletin offers
its estimate of the force involved in the
matter: TN this slipping may be found |
the reason for the rail makers Welding !
to Government pressure for a price cut. |
The industry needs the great volume Of |
new business, booking Of which was 1
made contingent on substantial reduc-
tion OF quotations On rails. Co-ordf-
nator Eastman has dangled before its |
eyes orders for approximately a million
tons OF rails and fastenings. II half Of
this business should materialize with
the aid OF the Government loans to the
carriers, the none too encouraging con-
clusions to be drawn from steel's quar-
terly accounting might be radically
changed"
I'm practically every case" according
TO the Youngstown Vindicator, "thr
steel companies did better In the Sum-
mer OF this year than they had in the
two years before But many companies
still report a heavy deficit, and even
those which report a profit had nothing
to compare with the $33,241 SIC which
General Motors made in the three
ending September 80 In other
words, steel, which is always either
prince or pauper, is, after four years Of
depression. still a pauper and the out
look for the fourth quarter is not as
rosy as 1t was for the third The steel
industry depends for its success upon
capital expenditures"
General interest Is more In the fact
that the negotiations have been con-
cluded than in the terms" thinks the
Oakland Tribune reporting "in the