davidaulloa/AmericanStories huggingface dataset:
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
BUDGET
Majority Supports
ST. Million Slash

can handle 80 to so students Il
she is left alone to do only
teaching.
ut is very disconcerting to
teachers to have a supervisor
consistently in their rooms, .
Miss Digs said.
Councilmen williams arid
Walker said the school board
majority, too, had been elected
on an economy platform, and
would have cut the school SUI
perintendent's budget more II
they felt it necessary.
II know they are elected, but
we are elected to set the tax
rate and I'm going to see that
what we promise voters is car
ried out" Miss Diggs declared.
Mr.. Hiser lost, by a split vote,
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14

failure In the pressure hull of
that submarine Is inconceivable
to me-" and he added:
81 doubt If there was any
structural failure on the ship.
It appears to me that most
likely it was human error and
the submarine exceeded her
maximum depth limits. It could
have been flooding, but I doubt
it."
The Roseborough interview
brought a quick reaction and
denial from Capt. Rosebor-
ough's superior, Rear Admiral
Charles j. Palmer, command
ing officer Of the Portsmouth
yard.
Statement Issued
Admiral Palmer issued q
statement in which he said:
ut has ben called to my at
tention that a press report
alleges that Capt. Roseborough
stated at a press conference
that human error was respons-
ible for Thresher exceeding her
maximum permissible depth,
the inference being that human
error was Of an operational
nature, and that this was the
most probable cause Of loss.
This is not Capt. Rosebor-
ough's opinion, nor is 1t mine.
I deeply regret the pain that
this report must have caused
the next Of kin Of the gallant
Officers and men Of Thresher."
Capt. Roseborough was not
available for comment on Ad-
miral Palmer's statement.
Comdr. Axene, a native Of
Columbus, Ohio, told the court
he had to abort the first deep
sea test dive Of Thresher in the
same area where she sank. But
he said the trouble was with
instruments. not the ship her.
self.
Got Top Rating
After the instruments had
been corrected at Portsmouth,
he said, he gave Thresher a
rating Of excellent.
Comdr. Axene said he was
relieved Of duty as skipper of
Thresher last January-against
his wishes.
Comdr. Axene testified that in
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
THRESHER
Minor Difficulty Reported by Sub
In Last Clear Message to Its Escort

1862 during training exercises
in Fort Lauderdale, Fla, Thre-
sher was rammed by a tug boat
and suffered a hole in hel
ballast tank. He said the DAM
age was considered superficial
and that the sub later went
from Florida to Portsmouth
under water.
After several tests, including
10000 miles of travel, the
officer said, he would evaluate
Thresher as the best attack
class submarine our Navy has
produced"
When asked why he thought
flooding caused the tragedy,
Comdr. Axene said he read
dispatches from Skylark, the
rescue ship at the scene, but
as Thresher was approaching
her test depth nothing more
was heard"
He said that there was no
time for anyone to say I'm in
trouble"
Floral Tribute
A floral replica Of Thresher
will be dropped at sea Monday
near the point where she was
lost.
The Navy said the floral
piece will be dropped while me-
mortal services for the men are
being held here.
The services will be at the
Squalus Memorial Hall at the
naval shipyard with Rear Ad-
miral ]. Floyd Dreigh, chief of
the Navy's Chaplains' Corps,
delivering the memorial adj
dress.
Also scheduled to be present
at the 3:45 pm. services are
Vice Admiral E. w. Grenfell,
commander Of the Atlantic sub
marine force; Assistant Secre-
tary Of Navy Kenneth E. Be-
lieu, and Vice Admiral w. r.
Smedberg, chief OF naval per-
sonnet.
Families Of the victims, close
friends, shipyard workers and
military personnel have been
invited.
The Navy said Comdr. Axene
and representatives Of three
religious faiths will fly the
floral replica to sea.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
SCENE
SCENE
NucIeor Submarines
Last Agony Explored

Continued From Page Al
Thresher's message. He said he
personally does not know
exactly what the message said,
but the fact that it had come
from near the submarines Sc
cret maximum rated depth and
was garbled when received
aboard a nearby vessel "indi-
Gated that Thresher was in ex-
tremis."
End Of Phase
For the next two and one
half days. efforts were concen-
trated on Phase I, which con-
sisted Of determining that
Thresher was indeed lost and
whether she was in Salvage
able waters"
Capt. Andrews said Phase ]
ended with the departure OF
Rear Admiral Lawson p. Ra-
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
Party Standings
In New Parliament

OTTAWA, April Is (AP).-
Here are party standings in
the new parliament as the re-
suit Of changes brought about
by turnovers based on results
of tabulations of Canadian
servicemen's votes. The second
column is the makeup Of the
outgoing parliament.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
THRESHER
Continued From Page Al

Continued From Page Al
the microphone Of the under
water telephone equipment
after a minute Of silence and
repeatedly asked Thresher:
Are you in control?" He said
the question was asked at least
four times.
At 9:16 am, he said, Sky
lark received a CARRIED mes
sage from Thresher, but only
the last two words were dis
tinct.
These were a. test DEPTH"
he said. 1t. Watson said he
believed that two or three
other words preceded those
two, but they could not be uu-
derstood.
What then did you haar?"
he was asked.
I'VE heard sounds that are
familiar to me, from having
seen ships blown up by torpe-
does in World War 1.-THE
sound of a ship breaking up
like a compartment collaps-
ing" he replied.
1t. Watson said that sound
was "a muted, dull thud."
No Further Word
1t. Watson said there was no
further word or sound from
Thresher.
Vice Admiral Bernard L.
Austin, head of the Naval War
College at Newport, r. l., and
president of the court of in
quiry, asked 1t. Watson: do
you have any theory based on
the garbled sound what any Of
those words might have been?"
I'VE feel we heard the word
exceeding before the clearer
words test depth 1t. Watson
replied. He said an earlier mes
sage from Thresher said she
was down 400 feet and making
routine tests for leaks.
Former Skipper Testifies
The former skipper of the
lost submarine testified earlier
that instantaneous flooding
probably caused the sudden
sinking.
Comdr. Dean L. Axene was
the first witness before the
court of inquiry.
There is no way for me or
anyone else to know what hap
pened out there" Comdr. Axene
told the court. But it must
have been associated with a
flooding-type casualty"
Comdr. Axene said the flood
ing would have been so rapid
there was no time for crew.
men to let someone know they
were in trouble"
Boatswain's Mate &c Roy S.
Mowen, jr.. testified the last
clear message from Thresher
was recorded in log shorthand.
He said 1t was as follows:
Experiencing minor diff
Guilty. Have positive up angle.
Attempting to blow. Will keep
you informed"
He said the person who
makes the log entries did not
hear all the words in the rec
ord because he was 6 to 8 feet
from the receiver.
He agreed that they later
heard what sounded like air
blowing into the subs ballast
tanks and that the sound lasted
about 4 seconds.
Rescue Efforts Told
The inquiry was told that
constant efforts to reach
Thresher were made. At 1888
am, Skylard dropped a gre
made charge into the sea as a
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
Spuuk to Visit Israel

BRUSSELS, Belgium, April
Is (AP). - Foreign Minister
Paul Henri Spaak win begin a
seven-day visit to Israel April
81, the government announced.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14
CANADA
Continued From Pace A.

Continued From Page Al
to the Conservatives, as per
cent to the Social Credit party,
Al per cent to the New Demo-
cratic party and 0.3 per cent
to others, which include Com
munists.
Six Social Credit victors
pledged their support to the
Liberals last night but reserved
the right to oppose them on
nuclear policy. Mr.. Pearson said
their support would mean he
could head a strong, stable gov
eminent.
But one of the signers Of the
Social Credit Pledge, Robert
Beaule Of Quebec, said he had
no idea the pledge would be
made official. He said he
thought 1t was intended for a
party caucus next week.
Il repudiate 1t publicly" he
said and added that another
signer, Pierre-Andre Boutin OF
Dorchester, feels the same way
The Social Credit party will
hold "a seats in the new Parlia-
ment, a loss Of 6.
Mr.. Diefenbaker's govern
ment collapsed in February
after the United States State
Department charged it was
dragging its heels in United
es-Canadian nuclear STRAIT
egg. Mr.. Diefenbaker refused
to give in to United States
pressure for Canadian forces at
home and abroad to accept
nuclear warheads for United
States-supplied Bomarc mis-
sileS.
Views Of Opponents
Mr.. pearson commended his
party was against bringing
nuclear weapons to Canada but
that the government had made
a commitment to accept them
and the commitment should be
honored.
Mr.. Diefenbaker campaigned
on a pro-Canada platform.
Some called it anti-American.
Mr.. Diefenbaker rose to
power in 1857. In June Of that
year he ousted Liberal Prime
Minister Louis st. Laurent in
the first Conservative victory
in a quarter Of q century. But
the victory wasn't solid enough
and Mr.. Diefenbaker called q
new election the following
March. In that balloting he
scored one Of the greatest po-
litical victories in Canadian
history.
His opponent then: interna-
tionally known diplomat and
Nobel prize winner Lester B.
Pearson.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-04-14

signal to the submarine. Two
others were dropped at 10 min
ute intervals. Some time later
Skylark spotted an oil slick,
about a half-mile wide and a
mile and a quarter in length,
which appeared suddenly.
Capt. Donald H. Kern of
Saunderstown, r. l., head of
the submarine branch Of the
Nays Bureau Of Ships, said
there could be hundreds of
ways for a submarine to be
taken beyow the test depth"
The relatives Of two brothers
lost in the Thresher appeared
as volunteer witnesses to testify
the two victims had expressed
dissatisfaction with the condi-
ton Of the Thresher.
Joseph Shafer of Bath, Ohio,
brother of Benjamin and John
Shafer of Groton, Conn.,, said
he had heard them say over
the past several months they
were not sure the crew was
doing it correctly" Th did not
elaborate.
He quoted them as saying,
jokingly. II wonder what'll be
wrong this week."
Mr.. Shafer quoted Benjamin
as telling his father-in-law,
Il don't know If you will be
seeing me later" when he left
home Sunday for what proved
to be the Thresher's fatal test
run.
His testimony was corrobor-
ated by David Main of North
Stonington. Conn.,, who said he
was married to the sister Of
John and Benjamin Shafer.
The inquiry court adjourned
early in the evening until 10
AM. Monday.
AS the inquiry was proceed
ing, the holiday White House
at Palm Beach, Fla, said every
effort is being made to expedite
processing Of benefit claims for
widows and children Of the VIC
tins.
To Receive Benefits
Press Secretary Pierre Salin-
ger said naval widows would re-
ceive STA plus IL per cent OF
the deceased's base pay.
Civilian widows will receive
As per cent Of the deceased's
salary UP to $525 monthly.
Meanwhile. Capt. William
D. Roseborough, planning Off.
Ger at the Portsmouth NavaI
Shipyard, told newsmen thu.
man error" probably caused
loss Of the Thresher.
! He said that Likelihood Of q
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
Major Steel Drop Doubted
From Labor Settlement

CLEVELAND, (AP). - Some
order adjustments will result
from a settlement in steel labor
negotiations. but.it won't cause
a market collapse, the maya
zine Steel said today.
The Woodworking weekly
said that is certain for two
reasons:
/. Users haven't gone over
board on inventory building
Since the first Of the year
they've increased their stocks
by no more than 2.5 million
tons. Their buildup prior to last
years labor settlement was
nearly twice that size.
2. They're consuming steel
at a near-record rate; about
81 million tons per month. Au-
tomotive demand is second only
to that of 1855 and re-
quirements of other industries
nave seldom been higher"
The magazine said that de-
mand for steel is we'll above
average for the season despite
a sharp drop in order entry
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
Colorado Fuel Plans
To Shut Buffalo Plant

NEW YORK (AP).-Colo-
RADIO Fuel g. Iron Corp. said
it will close its Buffalo, N. Y.
plant and concentrate all East
ern division operations at the
Roebling plants in New Jersey
and Palmer plant in Massachu-
sets.
The Buffalo plant, opened
In 1907. employs l,400 persons.
It produces principally wire
and wire products.
Leonard c. Rose, company
president. said losses attribu-
table TO the Buffalo plant were
the major cause Of the $5.226, 00O
operating loss which CF&I in
Cured during the year ended
December 81.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10

attributable to the showdown
in inventory building. -
"Since orders nave passed
their peak" Steel said, "empha-.
sis has been on mill shipments.
Customers are pushing as hard
as ever for quick delivery - a
clear indication that they have
not overbuilt their inventories"
The publication said steel
makers expect shipments this.
month to exceed those in May
by 5 per cent and figure that
carryovers from May will off,
set any deferments Of tonnage
from June and July. 'r'.
! Steel production appears to
be topping out around IS per
cent of unofficial ingot capacity,
the magazine said. 1t estimated
production last week at, 2,609,
900 net tons and said the out
put this week will be about the
same level.
The magazines price COM
posite on No. heavy melting
grade Of steelmaking scrap
tumbled 81 last week to $3.50
a gross ton. the lowest since
] the week ended December 5. q.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
Manufacturers Hit
New ETC Price Rules

Manufacturers may be forced
to stop advertising suggested
prices for their products, and
consumers will lose guidance in
retail shopping II the Federal
Trade Commission goes ahead
with its new guides or rules,
the National Association OF
Manufacturers said today.
In a memorandum filed with
the ETC, the NAM said the
practical effect Of the pro-
posed ETC rules will be to place
in jeopardy any enterprise
which seeks to inform con-
sumers Of the exact or approx
mate value Of It's products, and
will tend to foreclose price-ad-
vertising.
under the ETC proposals
a suggested price may not be
nationally or regionally adj
vertised unless it is in fact the
generally prevailing price in all
trade areas in which the ad-
vertisement is circulated" the
NAM memorandum said.
"Since 1t is impractical for
a manufacturer to keep taos
on every retailer who sells his
products, and since prices gen.
orally vary according to geo.
graphical areas, season ard
types Of stores. compliance
would be virtually an impos-
sibility," it added.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
Record in Plant Spending Seen

industry, iron and steel pro-
ducers and electrical machinery
firms reported an upward re-
vision in planned OUTLAWS for
1868 since the March survey
Railroads, other transportation
and commercial companies also
expect larger OUTLAWS than pro-
jected earlier.
Public utilities plan to in
crease their annual spending
rate from $3.50, 200, 900 in the
first quarter to around $780,
100000 in the third and fourth
quarters. Gas companies plan
some decline in capital outlays
near the end of the year. but
this is expected to be offset
by higher power company ex-
penditures.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
Levitt & Sons Show
Bio Gain in Profit

Earnings Of Levitt a. Sons,
Inc, jumped So per cent in the
fiscal year ended February 20.
President William ]. Levitt
announced today.
Net profit was $l,3S9.000 OF
As cents a share, compared
with $SE8.000 or 20 cents a
share in the previous year.
Gross revenues of $39, 038, 900
we're up IS per cent from
$3l,107,000 in the preceding
year.
The company is constructing
new homes at Levittown, N. j.,
Matawan. N. j.. and Belair,
Md. 1t is also building a $500
home community in San Juan,
Puerto Rico, and has started
six multiple-family projects in
the metropolitan area of Paris.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
National Debt Interest
Certain to Rise Further
By SYLVIA PORTER

under the Eisenhower admin
stration and is still persisting
under the Kennedy administra-
ton.
Measured in other ways,
though, the burden can be con-
sidered lighter than in 1946.
For instance. II you view it
against our total output of
goods and services Gross Ma
tional Product. the interest in
crease actually ''shrinks." The
ratio Of interest charges on
the debt to GIMP was 90 per
cent in 1946, is down to around
IL per cent now. AS a much
bigger Nation than in 1916. we
can afford to carry a larger
debt load.
Or If you measure 1t in terms
Of the extent to which the pay
ments redistribute income I'M
desirably. the interest load also
appears much less disturbing.
There Is no evidence whatso-
ever that the interest the Fed
eral Government pays to own
ers of its securities has sig
nificantly affected the distribu-
ton of income among various
groups.
But none of these reassuring
measurements can hide these
facts: More than $40 billion
of our taxes will be going Just
for interest on the nationa
debt in fiscal 1864. These pay
ments alone will swell the Fed
eral budget. In less than II
years the interest load has
doubled and there is nothing
Congress can now do to stop
the uptrend.
distributed, 1858, by the Hall Syndicate
Inc. All Rights ReservedO
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
MutuuI Funds
Sales in DC.
10 of TotuI

District investors bought $50
million worth of mutual fund
shares in the first quarter of
1868, accounting for nearly /
per cent Of total mutual fund
purchases of $6Ol million, ac-
cording to the Investment Com
pany Institute,
Investors In Virginia pur-
chased $50 million worth of
mutual fund stock during the
same period, while investors in
Maryland bought $3.5 million
worth.
A mutual fund uses the
money derived from the sale
of its own stock to invest in
the stocks and bonds Of other
companies. Income received
from these Investments is
passed on. minus a manage
ment fee. to mutual fund stock
holders.
In the first quarter this year,
California led In mutual fund
sales with $l49.5 million, al
most rs per cent of the total.
New York followed with $75.3
million in sales and Pennsyl-
vania with SAL million was
third.
Others among the top ten
States we're: Illinois, SPA mil
lion; Florida, $23.5 million;
Massachusetts, $22.6 million;
Missouri. SPOT million; Ohio,
$l7.2 million; Michigan, $3.50
million and Minnesota, $15.8
million.
The Investment Company In
stitute's total figures include
sales throughout the world.
First quarter sales outside the
United States, its territories
and possessions totaled sos
million in the first quarter.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10


that an upturn in the second
quarter followed a moderate
decline in the first three
months Of the year. The rise is
expected to continue in the
third and fourth quarters.
Capital OUTLAWS for the Sec
ond quarter OF this year we're
estimated at a seasonally ad-
justed annual rate Of $33.5
billion and rates for the third
and fourth quarters are ex-
pected to reach $40 billion and
SAB billion, respectively. The
final quarters anticipated rate
would exceed a year earlier by
8.5 per cent.
Business Investment in the
first 1868 quarter was at an
annual rate of $37 billion
compared with $50 billion in
the final 1862 quarter.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10

There are many items of
spending in the record 1854
Federal budget that Congress
can reduce. If it so desires.
There is one spending item,
though, which it cannot touch,
and which is certain to rise
relentlessly in the fiscal year
ahead.
That item is interest on the
national debt.
Interest the Treasury must
pay on the national debt will
swallow more than $40 billion
in taxes in the coming year.
Interest will be second only to
national defense OUTLAWS in the
budget. OF every 81 to be spent
in fiscal 1864, interest will take
10 cents There is nothing Con-
gress can do to prevent this
for two reasons.
First, the national debt is
rising to new peaks. The pre-
else size of the budget deficit
in fiscal 1864 will be deter
mined by the strength of the
economy and what Congress
does about taxes. but that
there will be a deficit is GER
tain. The national debt is al
ready pushing through $305
billion and will rise by many
more billions in the months
ahead. Obviously, a bigger debt
means more interest.
Borrowing More Costly
Second. 1t will cost the Treas
ury more to borrow new money
and to replace maturing IOUs
because interest rates are ris-
ing. Right now, the Treasury
Is paying 3 per cent to borrow
money for only 80 days. more
than 4 per cent to borrow funds
for long-term periods.
A vital point here is that
the Treasury and Federal Re-
serve System today are DELHI
erately trying TO prop interest
rates to levels high enough
to encourage foreign holders Of
dollar claims against us to keer
their funds invested in short
term United States securities
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10

In the current survey, manu-
featuring firms estimated 1863
plant and equipment purchases
at $15.5 billion, a gain of 6
per cent over 1862, with. dur
able goods accounting for most
Of the increase
Railroads expect equipment
purchases to be substantially
higher during 1868 with total
spending scheduled to reach
81, $50. 100000 up 81 per cent
over the previous year.
Public utilities listed $50 bill
lion. up 2 per cent. while min
ing firms anticipated $l,020,-
900 900, a drop of 8 per cent.
Transportation other than
railroads listed $l.9 billion. a
decrease Of 8 per cent. while
commercial and other types
Of business anticipated $l4,-
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10

Corp; John T. Conner, presi-
dent Of Merck g. Co.; Donald
L. Brown, vice president and
patent counsel Of Polaroid
Corp; Dr.. Roy Blough, profess
sor of international business at
the Graduate School Of Bust
ness, Columbia University, ard
Robert E. Harris. chief patent
counsel of Chrysler Corp.
Robert c. Watson, former
commissioner of patents, has
been elected council chairman
Earl P. Stevenson, former
board chairman of Arthur D.
Little, Inc, is vice chairman.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-06-10
YOUR MONEYS WORTH

and to discourage them from
turning their dollar laims into
gold or transferring the funds
to other money centers where
interest rates might be more
attractive. The level of interest
rates has become a key weap-
on in the fight to prevent a
run on our gold reserve and to
preserve the value Of the dol
lar.
Who will put up the $40 bill
lion-plus that the Treasury
must pay as interest on the
national debt in the next IL
months? All taxpayers will help
carry the debt load.
Who will get the $40 billion
plus of interest? Those who
buy and hold Government Sc
curities - ranging from the
giant institutions owning hun
dreds of millions of dollars
worth Of Government IOUs to
the little investor owning
United States savings bonds.
How big a burden is this
$10-billion-plus of interest or
us? The answer here depends
on how you measure it.
Burden Balloons
If you view it simply as q
statistic all by itself, the in
terest burden has ballooned to
huge proportions. In 1916. this
annual interest cost on the ma.
tional debt was $50 billion. II
less than 10 years. the Interest
burden has just about doubled
The rise has been due not Sc
much to the increase in the
total debt as 1t has been due
to the upswing in interest rates
which began under the Tru.
man administration. continued