Evening star., 1934-07-08
RETAILERS LAUNCH
PROGRAM TOCURB
ADVANC|NGPR|CES
Six-Point Plan Opposes Ex-
cessive Charges for Con-
suming Public.
DEALS WITH ABUSES
OUTSIDE CODES ALSO
Possibility of Monopolistic Agree
ments With Discriminatory Fea-
lures Declared Threat.

American consumers from excessive
price-raising measures in and out of
N. R. A. codes during the coming
year was announced today by the Ma
tional Retail Dry Goods Association.
trade association OF nearly 5000 de-
partment and specially stores.
The program is designed as a con-
tinuation of the activities OF the as
sociation since the start of code max
ing last year in opposing and offering
constructive criticism on provisions in
manufacturers and wholesalers codes
affecting the merchandise and oper-
alton OF retail stores Far from an
ticipating iet-up Of code problems
in the months ahead. the association
formulated its plans Oh the aSsump-
tion that the problems ahead would
be just as numerous. II not more so,
than those in the past.
In the program the N. r. D. G. A.
specifically announced its intention:
ID To combat price-raising agree
ments not authorized by codes.
t2) To prevent abuses OF the So
called emergency cost clauses now
permitted in codes.
80 To encourage negotiations for
the removal from approved codes OF
price e-raiSing price-cOntrol features.
(D To oppose burdensome and un-
fair amendments to codes approved.
80 To protest unfair and burden
some provisions in codes yet TO be
approved.
80 To guard retailers against bur-
dens imposed by unjustified code su-
thoFity activities.
Main Aims Unchanged.
Commenting on the program, Chan
ming E. SWeitZer, managing director,
will be exactly the same in the future
as it has been in the past-we are
irrevocsbly opposed to the inclusion
OF anything in N. r. A. codes which
will raise or tend to raise prices to
the consumer beyond such costs as
are necessary to promote the purposes
OF the national recovery act. We
shall continue to oppose mOnOpolistic
and economically unsound and un-
fair code prov lsions which tend 10
retard recovery by limiting purchas-
ing power Consumers and retailers.
whose interests are naturally allied,
will have TO be more watchful in
the coming months than at any time
previously. for there is no indication
that industries are slowing up IN
their efforts to place undesirable,
prise-raising features into their codes.
There is evidence that where they
have failed to achieve such aims
through code provisions. many indus
tries will attempt to gain them
through agreements not sanctioned by
their codes"
In discussing the possibility OF In
dustries banding together TO secure
agreements outside OF their codes
which retailers claim to be unfair and
monopoliStic, the association declared
this danger was by no means remote.
AT the present time" it said we
note a tendency in certain industries
when codes require the flllng OF
prices. toward a uniform clasSifca-
tion of customers by type, with the
result that a preference in prices and
terms is given as between competing
classihcations.
.... Drastic Moves Allowed.
A ruling by Gen. johnson last
month permits industries subjected to
destructive price cutting and economic
turmoil to petition for the right TO
declare q state of emergency and set
up minimum prices for the whole in
dustry to remedy the situation.
Twenty-Six codes already have clauses
authorizing such action. but any in
duStry has the right under the ad-
ministrator's ruling to ask for the
privilege of being declared in state
of emergency. The association recog-
nizes the dangers possible in this rul-
ing under the second step OF its pro-
gram. 1t has announced that where
such an emergency is declared exist
ent. 1t will urge that the minimum
prices shall be limited to stated
articles for stated time, and that
the minimums shall be no higher
than those necessary to guarantee
wage and hours costs under the code,
and that in no case shall they be per-
mitted to become price e-fXing, extra
profit figures.
The new policy of the N. R. A. an
nounced last month in forbidding the
inclusion of price fixing clauses in any
of the codes yet to be approved. and
the removal Of existing price-fixing
provisions in approved codes through
negotiations of the code authority, to
a great extent met the demands OF
retailers. consumers and the associs-
ton over a long period OF time, that
price fixing in codes be barred.
However, under the ruling the in
itiative for such action rests with the
code authorities. and the associations S
third point offers the support OF a
large part of the retailing industry
in aiding industries to remove price
fixing provisions. Nearly so approved
codes have price-fixing and price-con-
troll provisions which the association
asserts may or have been used to
bring about higher prices than neces-
SarY,