HARDWOOD RECORD 



24a 



IvrM'. 



2" FAS » IIS.OU 



•i" No. 1 ('uiiiiuon "S.tMl 



•J';"3"rAS 110.(10 



S.,111.- v.. 1 .M.iiimou UU.OO 



:i ' 1 I \ - 120.00 



,- . \ I on 100.00 



.V. ..-, - I r' ,,,st of convcrtliiK muss Krt'iMi link to n 24 luoutbK dry 



btai.. in. Ill II. .). i.n'i'liitloii. Ik nppriixhniilclv ii« folUiwii : 



PcrM'. 



■r uak % 28.00 



•J'4" to 4" oiik »30.00 to 35.00 



WiiKiiEAH, UwliiK to l«fk of Inroriniitloii sniiiilli'd at the time tlio biird- 

 «.i.hI c'oiiiinlili-i- report was iiindf. It iiiIkIiI jippiMir (liat the wuKon iimnu- 

 fa.tiirers bail taken an unfair advantui,-'' "f ili.- Koverninent ; and 



WliciiE.vs. Certain artleles appenriMl tii ilii- liiiiiliiT prcsii enlaruhiK on 

 the report Issued by the said hardwoiul . i.iiiiiiltlec kIvIuk the results of 

 tbelr InvestlKatlons, makhiK the illreii aiiuHailon that the waison manu- 

 faeturers have euiinced In protlteerhiK : and 



Whciie.vs, It develops from ll^ures thai have now been presented to the 

 liMnbernien that the wagon manufacturers bavi' realized only u very nom- 

 inal protlt. and, In some cases have susialmnl an actual losa ; therefore, 

 be It 



ItKaoi.vEU, That with the better undeistamllnK of the facts and figures 

 Involved In army wagon costs, the conclusion Is reached that there has 

 been no prollteering on the part of wagon nuinufacturers ; and be It also 

 KEaoLVEii. That this meeting appreciates the services rendered the gov- 

 ernment by rol. W. S. Wood, of the yuartermaster's Department, A. B. 

 Thielens and U. V. Board, of the purchasing committee of the National 

 Implement and Vehicle Association, and recognizes that t(ielr services 

 have been performed In a thoroughly patriotic and eDlclent manner; be It 

 further 



Ke-solved, That copies of this resolution be sent to the officials of the 

 government and the War Department mentioned In said Memphis report, 

 and also to such news and trade papers as have published extracts from 

 the original pamphlet; and that the Lumber press be requested to make a 

 full explanation of the situation as cxpressetl above. 



Dated Chicago, III., May 18, 1918. 

 Before the resolution was acted upon, it was unanimously agreed 

 that a vote should first be taken upon the resolution with the clause 

 thereof expressing appreciation for the services of Col. Wood and 

 Messrs. Thielens and Board, of the pureha.sing committee of the 

 National Implement and Vehicle Association eliminated, and this 

 latter clause voted upon later. 



Tpon tho" chairman putting the first vote with said clause elim- 

 inated, it was unanimously carried liy all the lumber representa- 

 tives present. 



Upon the chairman putting the vote with reference to the ap- 

 proval of the eliminated clause, the representatives of the Northern 

 Hardwood Emergency Bureau and the American Hardwood Manu- 

 facturers' Association refrained from voting, and the representa- 

 tives of the other associations present voted in the affirmative. 



The meeting then jointly discussed the problem of assisting the 

 government in every way possible in its war program, particularly 

 in connection with the stabilizing of lumber prices and the secur- 

 ing of a proper supply. Mr. Eanney, seconded by Mr. Fish, offered 

 the following resolution, which was unanimously carried: 



WnEiiE.i.s, The costs of producing hardwood lumber have been con- 

 stantly Increasing since the beglnulnj; of the war, necessitating frequent 

 and radical changes In the selling prices thereof; and 



Wheiieas, The large amount of this material being required tor use In 

 government army wagons and parts makes it necessary that some move 

 be made to stimulate the production thereof and insure an adequate supply 

 for this purpose ; and 



WiiKREAS. The wagon manufacturers and the producers of hardwood 

 lumber, desiring to co-operate with the government to the fullest possible 

 extent, with a view of supplying without delay the material and wagons 

 required in the present emergency : now, therefore, be It 



Resolved, That the National Ilardwooil Lumber Association, the Hard- 

 wood Manufacturers' Association of the United States, the American 

 Hardwood Manufacturers' Association, and the Northern Hardwood Emer- 

 gency Bureau, representing the hardwood lumber Interests, and the Na- 

 tional Implement and Vehicle Association, representing the manufacturers 

 of wagons and wagon parts, recommend : 



First, That a comndttee of six be appointed, three from each Industry, 

 to confer with the War Industries Board, and In co-operation with such 

 board or a representative designated by It to compile a schedule of recom- 

 mended prices which shall be fair and reasonable under present conditions 

 and have the approval of the government. 



Second, That the said committee be authorized to fix the grade or 

 specifications to apply on such liariiwood material, said grade or specifica- 

 tions to be basc<l on the character of material acceptable to the govern- 

 ment In the finished wagons or parts. 



TniUD, That the recommended prices be based on Chicago delivery and 

 he subject to anv increase In freight rates and exclusive of the federal 

 tax on freight bills. 



I'liiiirii. I'liai. II ..iihlltlons warrant, the schedule of recommended 

 prices may !..• . lianm-.l hv (be kjiIiI coninilKee. suliject to the appiMval of 

 the luKcl Sd.i.v War iii,lur-(rles ll.iani, ..r Its properiy delegated repre- 

 sentative, not "11.11. 1 (ban .very ninety (bill days: such changes to be 

 based on the ihaiij;.s In lii,- cosi of luuilier production. 



Purstmnt to joint resolutions the following eomniittee wits iiiimcd; 

 as representing the Hardwood Industry: 



Hugh McLean. ItulTalo, N. V., representing the Nallouai lla(dw..oil Lum- 

 ber Association. 



Fred W. Mowbry, Cincinnati, O., reprcHcnllng (be Hardwood Manufac- 

 turers' Association of the Uidted States. 



,Iohn W. McClure, .Memidils, Teun., representing the American llard- 

 wooil Manufactuii'rs' Association. 



For the Vehicle Industry, the following committee has been appointed: 

 W. B. Swift. Cliicago. 111!. S. II. Uluesslng, Mollne. HI., H. M. Kinney, 

 Winona. Wis. 



TlIK WA.SHISQTON MEETI.NG 

 As above noted the first joint meeting of the committee was held 

 at Washington on June 25 and 26. 



This coinmlltee met at Washington on June a.") and 20, lillx. .\fter a 

 full and frank discussion of the conditions governing the relations hetween 

 the two Industries, the subject of prices was entered into. The lumber 

 representatives urged that any schedule of prices should fairly represent 

 maximum reasonable values. The subject of grades was then discussed as 

 a basis of values. It was stated that certain buyers among the vehicle 

 trade could use only standard grades; others would accept standard 

 grades with sound sap and streaks no defect: while still a considerable 

 portion of the vehicle Industry was buying the special Implement and 

 vehicle grades. The lumber representatives were asked to submit their 

 Ideas of value, based on these usable grades, and suggested the following 

 as muxlmuni prices under present conditions : 



Standard Grade. 

 Sound Sap and 

 Streaks, 

 Standard Crailc Implement Grade No Defect 



ls&2s No. 1 C ls&2s No. 2C l8&2s No. 1 C 

 1"- C" & up . . $7.-) %:<:, $05 $45 $70 $50 



l"-10"&up.. 83 03 73 53 78 58 



5/4 & 6/ .SS (W 78 58 83 63 



1%&2" as 73 83 03 88 68 



214-2% 100 SO 88 68 93 73 



2%, 3, 31/,... 105 .'<5 03 73 98 78 



31^: & 4" 110 no 98 78 103 83 



All green except 1-inch. 



11. M. A. rules or National rules. 



Price includes new freight rates, f. 0. b. Chicago. 



Box boards, gum, wide, $60. 



Box boards, gum, narrow, $55. 



In arriving at these prices, Including freight allowance to Chicago, the 

 recent advance in rates, amounting to $3 per thousand feet on green oak, 

 was included. 



No Restrictions to Buyers. 



In the discussion of these prices the lumbermen stated that while these 

 were maximum prices, there would be no restrictions to prevent the vehicle 

 buyers from purchasing their lumber requirements at lower prices. If It 

 were possible to do so ; and there would be no restrictions on the hard- 

 wood lumber manufacturers to prevent them from selling their product 

 at the best prices obtainable. The prices submitted for standard grades, 

 except sound sap and streaks, arc practically the same as those suggested 

 by a meeting of lumbermen In Chicago In January, and while due recogni- 

 tion was given to Increased costs of labor and supplies, the prices now 

 suggested would not reflect highest commercial values, but would carry 

 out the spirit of the resolution to offer reasonable prices as a basis for 

 agreement between the two Industries. 



The vehicle representatives state that the requirements for present 

 government contracts have been fully covered ; that the larger vehicle 

 manufacturers are well stocked ; that large quantities of hardwood ma- 

 terials have l)een purchased at prices based on the vehicle committee list 

 of January 31, 1918. For these reasons they stated that there Is ap- 

 parently no emergency which necessitates further purchases of hardwood 

 materials in large quantities at this time, or a revision of the vehicle list 

 of January, 1918. The vehicle committee further stated that It was their 

 desire to purchase their requirements In dimension material and use plank 

 only in case the dimension material is not available. 



In view of the statements of the vehicle representatives showing the 

 conditions existing In their industry, and in view of the fact that the 

 lumbermen apparently are having no difficulty In marketing their prod- 

 ucts at satisfactory prices, it was thought best not to disturb present 

 conditions, which are governed largely by the law of supply and demand. 

 The conference was concluded In the office of Charles Edgar, acting 

 lumber director. Council of National Defense, War Industries Board, and 

 with his approval the following resolutions were unanimously adopted : 



Whereas, It is recognized as a fundamental principle that the natural 

 law of supply and demand should govern all commercial transactions ex- 

 cept in cases of great emergency ; and 



Whereas, Apparently no emergency now exists as relating to the trans- 

 actions between the manufacturers of hardwood lumber and the manu- 

 facturers of vehicles, there being an ample supply of hardwood material 

 available to meet the requirements of the vehicle Industry, both for their 

 government contracts and for the demands of their commercial trade ; 

 therefore, be It 



