Indianapolis Times, Indianapolis, Marion County, 10 April 1949 — Page 52

i ; Profit Percentages Thin as Sellers - Take Losses in Falling Market By HAROLD H. HARTLEY, Times Business Editor

| THE STEP-DOWN of prices is giving business a. wor- - "ried Jook. Yet what is taking place today is the exact op-

; en Business men of breadth and exback those ex- perience insist there is no short-

‘tra profits into thet Business. wr rey are resigned 10 taxing, fi

Thif isn’t easy to do. Profit per- their losses just as they took their fin re falling. The Jos extra profits in the rising mar-| centages ah ket. volume of business, which manyi 'g (, ‘column on the opposite

«do not have, does not produce, by| 4s or the page, Mr. Livingston]

far, the same amount of profil. n4jnty out the rise in the number “And stockholders, especially in or pusiness failures. These failed; the smaller businesses, are ato roll with the adjustment punch, fittle unhappy. They were knocked out of the! * How to-go through this priceipicture. 3 : Oe What Ci ts? These are reappraisal days for busii oun nessmen, They must not only keep their books in good order, and their cash positions strong, but turn thelr eyes elsewhere for values. If they wish to remain in business! they are reappraising the fundamentals.

: What really counts with a business, as with an individugl, is}

chiracter. This is simply the ~~ SRY Birfotny 24 Pop mistaken. If they ars waiting! phase of the business adjustment. for lower prices, they may get) : ithem, but the wait is sure to be| If managers try tohold to their 1o00r than they suspect. The! postpar profit levels they may be rpaq0n is that there is plenty of tempted to overpride. When this money in the banks. Since last! is done a business is well on #8 autumn savings accounts have way down the drain. Some well heen rising. This means that

will fall and they will wind up by | «The slowing factor in price de-| going bankrupt or being bought oiine ia labor, There have been, out by a competitor. {with the exception of General To do business these days, Motors automatic contract, no| there must be not only top quality wage cuts. And there are not] but also broad selection. And likely to be, Where the savings!

\new and cheaper methods of

Joven the customers, who con- ‘handling materials... . | " Businessmen are openly complaining of | Up and Down the latest government finger stuck into | the economic pie last week. RE What they see is the President holding up farm prices, cutting

consumer prices, and paying the difference out of the tax bill. The biggest tax bills go to business, so this new political-|

3 i g It:

i i g £ §

«To Soll Used Cars.

Columns upon columns of used car ads were pasted over the hood | of & Chevrolet truck to herald National Want Ad Week.

truth Is that there ® bargains on

e trade-in values,

Sompared i lear price than he could afford to buy new, | Used : ha {and there are plenty of them on| prices; sifted out bad buys and the market now. are preparing to compete with! Any used car dealer will give the new car market. This means you a better-than-even break substantial guarantees, putting these days.

Talk DOES I tam." macitions. He sis 2e sears svey

every Dassenger | if he in not contributing to the depression talk hich buying. t French Lick is that the hotel A lot of people who don't know, jy wen a“ SEL YO and don’t back up their opinionsisolid from now to November. with »lequate facts, are spilling : , ww : the poison of fear over the coun try's economy. They have created the waiting market—waiting for lower prices. And waiting alone can create them, and, incidentally, throw a lot more people out of Feb: ! :

to get a car, look at the figures. New cars are coming off the pro-

: ¥ 2 = - in the some month last year. The story Is going the rounds| © . om . y that the bath tubs taken out of

Indianapolis Sales Executives Foreign Trade 1 the old English Hotel by the Council is bringing the Jack Lacy Indianapolis Chamber of Com-| Sales Clinic to Indianapolis Apr, m trade was brisk 25-29. Bales executives who want : . 80 that X he Price a refresher course on such fundaWas moved up to $35 apiece, andi L010 as selling foundation, Stephen K. Noland, editor of The approach, demonstration, closing. 3 BONN. prin objections and selling editor of The. Star, and Harold! Indiana Independent Petroleum personality, can-brush up for the| Hartley, business editor of The - Association will have its spring five-night course at $19 a head.| imes. outing at French Lick this year, Those who have laken the course

~ on the market at $15 apiece. The

they still sold.

al Mey 12 and.13. And the word down swear it is worth it.

: Insurance Men Hear Speaker

‘Growing House’ Begins

e of what happened in the days when rising prices gave -

sellers an extra profit. adjustment without harming a © § Today's process simply business is the No, 1 problem. I

lor

stitute the “waiting market” may!

Th i ’ ping up rapidly in the. Manufacturers Bldg. at the in preparation for the Home Show, Apr. 22, through May I. Inspecting progress are Robert Dillehay, vice president of the Indianapolis Homes Builders; Walter Stace, who was chésen to build the house, Leroy Callahan and Horace Wehrling who are hurrying the work along.

State Fairgrounds

S$ On the Farm—

Hoosiers Reduc Gorn 3 Per Cent

Average in Nation At 50-Year Low

Y. HARRY MARTIN 53 > % Wier RRENRTICS

Irregular Upturn in Stock

Tori eving 1 vt soon sein teccnasos over 1 acvaty on Eogfured by Utility Grou "Reach New 1949 High in Average; Rail

List Also Up; Industrials Regain Some Lows By ELMER C. WALZER, United Press Financial Editor NEW YORK, Apr. 9--8tocks alternated during the past week selection In a slowing market is/are entering the production ple-| With a series of small advances and declines and registered an ir-| i . Ay ! lar gain for the period, { expensive. - Whea goods does not ture fs through more mechaniza-| "*8Y ! fe BE tant. i ; : andi. Trading quieted from the previous week swpace.of mass. than. #. cones SER AB LANL. ASHATA IONE... ii0ie-oost nating machinery. and, ition shares a session on average. Rails featured after & period] ! {In which market experts said they

Trading Inactive In Grain Futures

CHICAGO, Apr, 9 (UP)—Trading in grain futures was generally inactive this week with onlyithe motors lost fractions. showing were strong In several sessions on beiiéf a decline in their earnWheat, strengthened by mid-/ings in the first quarter had been week reports of widespread dam- discounted. age to Nebraska's winter crop, { led last week's prices by a 1 to

had been oversold. “Utilities made a riew 1949 high in their average and thus featured the gaining side.

{plows around the clock to prelights, were throbbing over Inlast week, pulling couped nearly all éf a loss Pare fields for planting. Farmers of more than a point made in the! part of the week. it Non-ferrous metal shares were| weaker than other issues because! ington talk of acreage controls, of slipping prices for their prod-|/Indiana farmers ts. Steels also slipped back and corn acres only slightly, Over the

g acreage were in no mood

acres will be the ‘smallest in 50 years but Indiana farmers will be only three per cent less than last year.

wheat and soybeans major price fluctuations.

Gold Mining Issues Off Gold mining issues, buoyed up| te last week by talk of a highr gold price to be set by the United States, fell back when it {was Indicated that move was no even being considered. Many price reductions were reported by a variety of industries. {Automobile prices were lowered {by Ford and Nash. Other de|clines were noted in lumber at iretall, window glass and steel Several plants curtailed 'operations to bring production into line with demand.

steep slopes in grass to save soil,

! keep it from washing into rivers, |2-cent margin at the close of trad-|,, ep ¥

8 ing here yesterday. May wheat, e selling at $2.16%, was 15% cents! a bushel above last Saturday's price.

Fertilizer on Hand The scare over a fertilizer

shortage is not bothering most | eral Motors and Ford, the price Hoosier farmers. Most of them] cuts were have. their spring supply. Others

expect early delivery.

supported by high prices for cash soybean ofl and! a hetter demand for soybean oil! { meal, went 1% cents above Sat- | However, yester(day's close for May soybeans was 1 cent lo

jurday’s price.

| -In spite of good prices in cash enrn, this grain's May future cone tract was 2 below turday’'s quote, selling at $1 yesterday.

. ; | New inbred hog types are atPlant curtafiments produced tracting Indiana farmers, A2|s0me additional \aemployment {Which was offset by return of, May oats, priced at $1.60%, many railroad workers laid off tilled by Wayne and Russell {Wiley, says the new hog types) " lare good money makeis, “We, Coal mines raised production have some spring pigs th sharply and this brought an imin car loadings which were bolstered by higher coal and coke transportation. Automobile, production rose to {130,197 cars and trucks, a new d its tmplica-| Nigh since 1941. It compared with tions uncertain and belinund 1c119,088 in the previous week and would be months before Congress 03,004 in the corresponding week would enact any of the proposals. ©f last year. The program, offering high level; Another price supports through closer re- statistic, as Wall Street saw it, strictions on key crops, has al-!was a small rise over a year ago {in retail trade. Since this was on

‘because of the coal strike. Coal Output Up

bs? 23k were & half cent over their sellGag Shot. Jus aed our indus BEY, Dlting Wwhult at \COKIIE ing price of a week ago, but May ~~ genulty to renew public interest in loaded lots. IY kand May Said, Selling at General Motors cooked up the Jdea in the accompanying picture. |}

and $11.25 respeciively, were 1 cent and 50 cents lower. The new farm price support {program recommended by SecreAreicars in top condition and good tary of Agriculture Charles Branth nan was major news during the car lots when prices are ‘Used cars appeal to the man! week, but had little effect on the 10 t who wants a bigger used car grain market.

weigh 50 pounds now." ferred to crossbred offspring of a Minnesota No. 1 male and ricultural products in the decline. U. 8. Steel and other companies in the Pittsburgh area have just reduced prices of galvanized steel products, as a result of the decline in zinc quotations. Inland Steel and Colorado Fuel & Iron have reduced quotations

Poland China sows. “Twice as Fast’ To curious neighbors around Spartanburg, Mr. Thompson says, “They'll gain just twice as fast on half the feed.” Two hundred and eighteen spring pigs are “making hogs of themselves” on Thompson's farm near the Ohio line. “Billy” Lines, Boone farmer was back im the livestock dollar basis at lower prices than market last week. Last year {while unloading hogs at the |stockyards, an old sow pushed him from the truck to the concrete, He suffered a neck and

Traders considere

ready met opposition. “However, a crop report which a . - day about layoffs. “Things are getting worse, money is tightening the government will © up,” he said. “I handle the public, and I know.” irelease Monday. is expected to I wonder if he does know. And if he is peddling pessimism to definite market reactions. Besides an inventory of all farm grain stocks as of Apr. 1, the report will show the indicated heavy apparel buying, notably for winter wheat production and extent of abandonment of winter: wheat acreages.

probably a year ago, it was seen as indiget cating a sharper rise in unit sales, | § |

Suits In Demand Approach of Easter brought in

“Farming is far from safe.”

E. C. Anderson to Speak

suits were in demand. House: wives bought less furniture and housewares as they put more! money into clothing. Their hus- secretary for the Surety Associa [bands continued heavy buyers of tion-of America, will speak in Indwar {djanapolis May 11 on rate-mak-“Ting. Place of the lecture is to be announced Tater,

It you wonder why used car lots are filling up and it is easier

Foreign Trade Essay Contest Announced duction lines faster and faster. In| 136,024 new models went \agked to participate in an essay! into circulation against 127.901 contest during Foreign Trade {Week which starts May 22,

garden tools and hardware. As retail trade rose, merchants entered the wholesale markets on| a larger scale to replenish their : Mrs. (stocks. Wholesale trade rose over | Lillian Kreps, secretary of the the previous week and over the| department of the sorresponding week of last year. Steel mills continued to cut out use of inefficient and high-cost | {equipment and operations sagged Free Estimates * FHA Terms about one per cent. output also had a small decline. | So did crude oil production. . spurted 35 per cent over the previous week. T el total of heavy building for the) year to date is now 26 per cent] an it was at this time]

FLOOR COVERINGS IB |i | KITCHEN CABINETS

erce, announced yesterday. One Contract Covers All

A war bond will be given as

NU-WA HOME SUPPLY CO.

Phone RI. 5894 236 E. NEW YORK ST.

= SSEESEE

Robert Kellum, business

Jobberettes to Entertain Local Automotive Men last year.

jare getting set for a “big ight out” next Wednesday when local independent jobbers present their automotive Jamboree in the Indianapolis Motor Armory. { The program, which includes |

| Low

hand. That partly explains the! ‘irise in business failures—935 in March as against 477 a year ago and 254 the year before that, No longer do rising prices and {increasing sales save {from inexperience, weak credit, ' incompetence. © Competition! has begun—to rear (for consum-/ ‘ers, for people who continue to: ‘hold jobs) its lovely ahead. .|ernment bonds, are not pressed A Nowadays every- for. reserves, and therefore are BY Shorn Lambs utos body is price-con- not inclined to press borrowers) CHICAGO, Apr. 9 (UP)—Shors |sclous, ———— \most-prized American possession, the borrowers are overextended. |, _.. oo. ot this week close 3 When General. True, business loans have de{Motors reduced prices a month clined for 11 consecutive weeks. | \ago, followed shortly by Kaiser-/This is partly seasonal—after the Weight higher after setting an ail. {Frazer and recently by Ford, the Christmas holiday. It's partly time record of $30.25 for theif {last big consumer item was out| because the urge to buy—to lay in class during the week. Ford has inventories—is greatly attenu-| “Slaughter steers and heifers

{explains that.

fof a sellers’ market,

MENTAL eco the day is:

Is Encouraging | TH rt LIVIN

{

ga SUNDAY, ;

{on steel rails to get in line with | which have not been able to coms { competition. pete wagewise with factories,

What seems to. differentiate may now be able to get workers,

{the present period from periods Incidentally, in the week ended NEWCOmers ike 1920-21 or 1929 is that the Mar. 26, unemployment insurance

economy is not, at least on the claims declined. surface, saturated by debt. i

} » ¥ liquid. | gg ranks, partiewsry. are oud Record High: Hit

that to repay -debt—unless they think i, \hs were the highlight of the

{ing strong to 25 cents a hundreds

even anticipated the coming of a ated. By and large, businessmen closed the week 25-to 75 cents

buyers’

by restoring are reducing inventories by buy- higher, vealers’ steady “te ¥ully ,

dealers’ discounts to 24 per cent ing less, rather than by forcing $1 higher, butcher hogs 50 cents from 22 per cent. That offsets goods on the market. Liquidation lower, sows 25 cents lower, wooled the reduction in list prices and|is what the trade" papers term lambs 50 cents lower and shorn

{gives the dealer a bit more mar-| “1 "Home automobile salesmen still OQ] OW bask in the lotus-lke ease of the! sure, quick sale. A friend of mine visited "six dealers in a large city, said he was interested In a car. Not one offered a demonstration, not one|

. asked to take his name and adWith ears cocked toward Wash-|

dress. All

tive as pa

Ford, along with other companies, has had or anticipated reductions in supply costs,

{tery prices: have been reduced, Leonard Thompson, whose 380)... of the 6-cent-a-cres in Randolph County

month.

said, in effect, “When you want to sign a contract, we'll be glad to take care of you” 1938-39 . grab-a-customer - while - 'you-can spirit there, The incident suggests that price cuts have not caused auto sales to dry up. Most companies continue to produce at capacity, counting on warm weather and spring verdure to drag Sunday drivers into dealers’ showrooms. Moreover, in the case of Gen-

not so much competiGeneral Motors benefited from the coat-of-Charlie Amos, feed and fertl-|jjving wage clause in its contract, lizer dealer of New Palestine, said ynden which wages dropped two “Some analyses may be hard 10 cents an hour, and cut prices acget this year, but we'll be able to! cordingly, take care of most of our custo-

pound cut in lead to 155 cents inside of a Zinc prices are down . from 17%; cents to 15 cents, Copat win | Per is off, too. > Clearly, the metMetdls i: have iomsd sg.

Bat-

And

per cent or 3.4 points per month.

get through this re-adjustment

without a deflation ‘which feeds! itself} If ‘so, it will be because | FOXeCal fonds Bulking $39.5025.78 debt, isn't forcing liquidation;| hoice fed animals,

economy was given by the unem{ployment statistics in March, In-| Jamestown While istead of an expected increase, | the number of jobless dropped !yames esmetly se - from 3,221,000 to 3,187,000, -

manufacturing unemployment 0C-|{ 6 8 APPLIANCES curred. But the slack was un-|! veos wats Ta doubtedly taken up in the service | RUBBER FLOORS industries. And that may be a cushion In the sconomy. Though] RAUP as AND manufacturing industries may be 145 N. PENN. MA-2408 laying off, service industries,

“orderly.” {lambs strong to 25 cents higher, RRR GRA ra ..Salable receipts of cattle nums The Prive Gece i the horad 23800 Pend Sn

, 1920 - 21 post - War pe- nogy 33,100 and sheep 9200. Sheep riod was far more precipitate receipts at 12 markets of 84,000 than the decline in this post-war were 15.000 head over the weelt

period. - So far the Bureau of earlier but 30,000 under the cors

Labor Statistics index of whole-| responding week a year ago, sale prices has dropped 7 per The wooled lamb top this week cent in ‘the seven months since was $31.75 paid late, but locally August. That's at the rate of shorn lambs reached their alle

one percentage point a month. time high and a small lot of nae But from May, 1020, to June, tive spring lambs reached $33.

1921, the same index declined 44! Two loads of 89-pound Canae . dians which sold for $29.50 were the first to arrive here from Can. ada in over 30 years. Good and

Farm prices, which have been

on the decline since January, 1948, | are off 16.per cent or 1.1 POLS sou 51 —ooled. lambs Nulied Eg a month. Last time, in 17 months, | $29 (0-30.25 they dropped 53 per cent, or about, Top wooled ewes were $15.50, 3.1 points a month. Metal pricesishorn $13; bucks $9-10. {have just begun to drop. But| (Cattle trading was moderately from ‘August, 1920, to March, active through the week and 1922-19 months—they fell 36 closed at the week's best levels, per cent, or nearly 1.9 points peri Two loads of prime 1098 and 1126 month.

{pound fed steers topped at $30 with the bulk of good and choice $23.75-26.50. Heifers topped at $25.75 for

The inference is that we may

{Good and choice vealers were

also, because government support vs, prices are braking the market|ind’ cnotos Kins, Teerely for agricultural prices—prevent-|g35 pound ‘stocker and feeding ing declines from feeding on de-| steers sold as high as $25.50. ” clines and preducing panic. | :

Jobs Some indication ot! your CABINETS built

the stability of the to suit your needs

Stes) Kitchen oabnets built and fo

gow want them. Perhaps a moderate increase in| Phone for esttmate.

{ |

ern Shows Economy

¢ Bi

53%

I i

comedians and a chorus is billed! "From Moonbeams Beams” and will feature “Chuck”! “Tapscott and his “Jobberettes.” BRANNAN TO SPEAK Charles Brannan, Secretary of Agriculture, will disduss “The Ad-| ministration Price Support Pro-! {gram” in a special broadcast to-| Hortaw at 8:45 p. m. over station

rance men heard these caravan” left, seated) Easley Blackwood, Met. | y presids it; J. R. Townsend Sr, lowa le Zaring, Indianapolis | , Hartford; E. A. Crane, | , Provident Mutual; William je bert Rust, Insurance Research

VISIT OUR NEW OFFICE AND DISPLAY ~~ FREE ESTIMATES—EASY TERMS

APRIL (1 to 16

EASTER WEEK

All Garments Received by ~~ Wednesday, 6:30 P. M., Will Be Finished by Saturday

MEN'S OR BOYS RELL

n order te accommodate our customers all branch stores will remain open all day Wednesday,

“MEN'S OR _ LADIES’ COATS

STORES TO SERVE YOU BETTER

AVIS [LEANERS

7207 WAba

sh 4521 FOR STORE Nearest Yo

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