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pnpnnaiKjpM ir : t--*. ' 7; ■“' - - -v;-- I ~ ' ftAGg TEN THE CLINTON CHRONICLE, CLINTON, 8. C. Manufacturing Condition^ _ THURSDAY, NOVEMhER lO, 1927 \ By ROGER W. BABSON Babson Park, Mass., Nov. 9.—In his weekly interview today, Roger W. Babson reviews the manufacturing sit uation and gives his opinions as to ,v5j:h lines are today showing the 'greatest profit. Following are his re marks on the subject: Abnormal Manufacturing Capacity “As a result of the patriotic appeals made during the war for increased the smaller companies are actually trying to operate on prices no more than equal to the cost of production. In the past week or so, however, there has been some strengthening in tW ^tors proving ground this fall, at the demand for iron and steel with a pros' pect of somewhat firmer prices. It certainly seems as though increased buying for railroad equipment ought to occur before long, which would stimulate steel demand. The steel in- production, the manufacturing capaci-: d us try in this country is notably ef- ty of all American plants was greatly ficient, but it is my opinion that still increased. Following the war, there ’ further paring of costs will be at- was an even greater increase in view tempted in the next few months. Only of the good times. Therefore, we are the most efficient can make profits, today facing a situation with a man- “The manufacturers of food stuffs ufacturing capacity in excess of our aee;>i to me to be one of the most capacity to consume. This i? very evi- pf mising lines of trade. Stocks of dent from reports which I am receiv- most food stuffs are not burdensome, ing from the leading cities of the \\ hil e the same situation of narrower country and/from all different lines margins exists as in other major in- of industry. These reports, coming din tries, the volume of this business from the chambers of commerce in ;«. constantly expanding. I refer par- these representative cities should tell ticularly to the baking and canning the true story of the manufacturing industries. Soft drink manufacturing situation. “When it comes to a question comes profits, this is another story. Hence, the development of the slogan, “prof itless prosperity.” This situation is also the cause of the keen competition | is growing rapidly, and has interesting possibilities. “The quietness in the automobile trade of late has been ascribed, "i think, to the fact that a great many people are waiting for the new Ford Buick Dealer Visits Factory J. in. Xhoraason of‘Thomason Motor Co., Buick dealers, JLayrc returned from Flint/Mich., where he spent two days as the guest of the Bu ick Motor Co. Buick is entertaining the majority of tt» factory and the* and service problems, and congratula- ted the dealers for their part in mak ing this by far the greatest of all Bu ick yekrs^ The next ddysthe> dealers landed at the proving grounds, which lies a few na, has just, miles from the neAr-by town of Mil ford. Here they were shown the test ing which Buick goes through con stantly, to safeguard its position of After a^day cram- rate of about 260 a week. Mr. Thomason made the trip in a special Pullman train, along with the other dealers in the Charlotte Buick branch territory. The dealers reached Flint early Monday morning, their train pulling on td a siding near the Buick factory. The party, numbering about 125 men, was met by Buick ex ecutives, dividing into groups of a dozen or so each, provided with guides, and started at once on the inspection tour through the plants, - Except for luncheon, which was served at the Hotel Durant, the tour occupied the entire day. The luncheon was attended by E. T. Strong, presi- Churchill,'general sales manager, and other Buick executives, who addressed the visiting dealers on various sales among manufacturers. There seem to car> From the standpoint of total vol be too many people in every line of! ume of production, it would seem logi- husiness. As a result, only the big ca i that there would be a substantial fellows and the very bright little fel- increase when the new Ford is on full lows are making money. Profits seem production schedule. The profit mar- to come from either a low cost of pro- ? i n> however, will tend to decline even duction duetto a great volume or else further. The new Ford will mean to getting a new idea ahead of the! greatly increased competition for the other fellow, on the principle of Kip- 0 ther companies, ling’s story of the owner of the ‘Mer- “The leather industry has been one ry Gloster.’ of the outstanding bright spots in the Manufacturing Volume Good industrial situation this year. Leather “One of the bright spot* in the pres- prices are .much higher, reflecting the ent business map is the textile indus- strong condition in hides and the very try, particularly cotton. Cotton con- limited supply of leather. As a result sumption is running about 10 per cent | of this condition, sole leather stocks greater than it was last year at this on hand have receded to new low lev time and about six per cent greater els and it is also true that the stocks than the high point last year, which!of leather in process of tanning are came in December. This improvement far from burdensome. Buying of in the cotton business is especially leather just at present is slightly less welcome because of the long period of j active, but the probabilities are that depression which it has experienced, quotations will hold well above the av- While there is occasion for rejoicing that this business is doing so. much better, we should also remember that the mills must now buy higher-priced raw. material. This in turn means a erage of the past few years. Although the shoe manufacturers have been obliged to purchase leather at higher prices, nevertheless, the shoe business has shown distinct improvement in its narrower margin of profit. Neverthe- position this year, There seems to be, less, it will probably be possible fora possibility of some advance in the the manufacturers to complete the price of shoes as a result of the in-; year 1927 at substantially higher pro- creased leather costs. Retail demand i duction schedules than prevailed last; for shoes continues good and there year. Rayon, wool, and silk manufac- are indications that the factories will Wiring is also showing betterment, al- finish out the present year with a sub- though conditions in these lines could l-stantially better production than in not be described as anything like ‘boom times “The downward trend of prices 1926. “The rapid growth in public utilities of i means increased demand for electrical iron and steel products has caused manufacturers much concern. Some of Next time you buy calomel ask The thoroughly purified and refined cakxnel com* bined with aasistant and corrective agents. Nau»eale*»—Safe"—Sure / Long Troubled fcr Constipation “Black-Draught has been a family medicine with ns for fifteen years,” says Mr. F. M. Huntley, of Neosho, Mo. T read about it first in the ladies Birth day Almanac and what I read there sounded so convincing I made up my mind to try Black- Draught, as I had been trou bled with constipation for a long time. T found Black-Draught to be the ideal medicine for this trou ble. It gave me quick relief Frequently I had bad headaches and pains, due to toxic poison. By taking a course of Black- Draught I gave* my system a thorough claanring, and I have had little or no trouble since fK<ny "Now, if I am becoming con stipated, I take several small doses of Blade-Draught, and am vary soon feeling fine.” Coats only l cent a doe* ^ ' equipment, and the industry is reflect ing this situation. The demand for electrical products has expanded sub stantially this fall and the aggregate production of the industry for 1927 thus far has been greater than for the same period last year. There have been at the same time many declines, which tendency is in line with other major industries. Activity on the whole in the electrical equipment bus iness, however, is very good. With ex pansion of sales of electric light and | power over future years, I expect to see corresponding expansion in the production of electrical supplies. Elec trical household equipment buying is j in large volume and should continue' to grow. “Irr the agricultural implements in dustry the present outlook is favor able. It is a well-known fact that all of the farming machinery exhibits at the various expositions this fall drew large crowds and showed renewed in-, terest on the part of the public in the improved types of mechanical equip- !• ment for the farms. There seems to.be ] every reason to expect further expan sion in the production artd sale of trao- jtors and combines during the coming season. The increased purchasing; power of the farmers, owing to the good crops at higher prices, is respon sible for the better outlook in this in dustry. Wliere Business Is Good “Geographically speaking, the re ports which I have received indicate .I greatest activity in the industrial' states of New York, Pennsylvania, j Connecticut, Ohio, and Wisconsin; and the agricultural states of Montana, j California, Texas, Alabama, and South Carolina.' Also among the more ac tive states in the agricultural section are Nebraska, South Dakota, North ! Dakota, and Kansas. “The most active cities as shown by fundamental statistics, compared with a year ago, are Cincinnati, Wilwaukee, Kalamazoo, Lansing, Rochester, Bir mingham, 0 Pittsburgh, Wilkes Barre, Danville, Waco, San Antonio, Phila delphia, San Francisco, Fort W’orth, Boston, New York, and Charleston. “San Antonio reports that there is a good opportunity for more factories in that city, as labor is cheaf) and plen tiful, transportation good, and an ex panding market available. I am also favorably impressed with the outlook. for Oklahoma City and Muskogee, Ok lahoma, and in the Northwest for Se attle, Washington. -“This coming year of 1928 wftll be characterized by-two things. Increased ; competition and continuance of nar row profit margins; •an<Lincreased ef- j ficjency and cutting of cost*. The to tal volume of business should contin ue fairly good, it now being about one per cent below normal on the Babson- chart.” med with incident, they left for borne. It^is hard to say which was more amazing ,the factory or the provitig ground, said Mr. Thomason. Each was a wonderful experience and a genu ine treat. The day at the factory brought home the marvelous effici ency of Buick manufacture and ex plained how it is that Buick can offer such startling values. They saw the conscientious care that goes into the making of every Buick car, the re lentless tests which insure that every one is right when it goes out, and they gained some conception of the enor mous resources this policy has enabled Buick to develope. Dealers were especially impressed at the way machinery has taken the dent of the Buick Motor Cq,, W. q»laoe' of man power/•whose work it does more quickly and more accurate ly than men. Movement cf parts, in their transformation from raw mate rial. into finished cars, is taken care of by w^system of conveyors-of mar velous ingenuity/ each designed per fectly for its own particular job.‘They run from operation to operation, and from plant to plant, in what seems like a hopeless maze; yet?their move ment is perfectly coordinated, and their combined effect is efficiency it self. . .. • ' * - The dealers were delighted to see the proving grounds, because they had heard so much about it. The visit set them straight on one point: the prov ing ground was not esatblished to set a stamp of approval on General Mo- V tors cars/to prove them* good, as ru-. mor sometimes has it, but to put those cars through the most rigid test, in comparison with all other cars made, so they may perform with the; best st. all times. Buick kedps a big fleet • there constantly, going through the roughest sprt of grind, so that per- . formance may be constantly bettered. These. BuidfS' average -900 iniles.a day apiece the year around, which gives some idea of the tests through which they are put. SUBSCRIBE TO THE CHRONICLE SI A* A YEAR % Good Business Proposition ^ Having made money in the automobile business, I can show you how. Write, wire, telephone, or come to see— ~E. M.-DirPre, 80? Gervais Street Columbia, S. C. 7 Read About This Partnership Offer If you use ice in your home or in your business, you are perhaps a custom er of Carolina-Georgia Service Company. If you are a customer of Caro- lina-Georgia Service Company, we feel that you have a special right to share in the earnings you help to produce. We will, therefore, from November 19th to December 1st, offer you an opportunity to become a profit-sharing partner in the Company by the purchase of its $7 Cumulative Preferred Stock. You, your community and our compafiy will all gain through your acceptance of this partnership offer. f I YOUR DOLLARS INVESTED IN THE ICE INDUSTRY ARE UNUSUALLY SAFE When you invest your dollars in the Preferred Stock of Carolina-Georgia Service Company you are putting them to work in America’s ninth 'largest industry — the ICE INDUS TRY. Here are some facts about the ice business which make your dollars, in vested in a sound ice company unus ually safe. 1. The yearly output of the ice in dustry has a value of $850,000,000. 2. The ice industry is ninth in size among the nation’s industries/and is growing steadily, year after year. Sales of ice have practically doubled - in value in the last six years. 8. The ice industry has plenty of room for expansion. Only about 40% of the homes of the country have ice boxes. New ice customers are being made daily. 4. The ice industry supplies a necessity of modem, civilized life. The ice industry is practically a pub lic utility. 5. Ice is the only form of refrigera tion which is financially possible to the great masses of people. 6. The Ice companies need not car ry large stocks of raw material or manufactured goods. Ice is ordinarily sold shortly after it is made. No large stocks of raw material need be kept on hand,* The only “raw material” uspd in the manufacture of ice is water. 7. Ice customers do business on practically a cash basis. Th£y have few losses from bad debts. 8. Ice companies sell ice to a large number of steady customers. They face no risk of material reduction in their.-incomes through the loss of a few large customers. 9. The ice industry as a whole is sound, stable, growing. Caroltna- . Georgia Service Co. does business un der even more favorable conditions than does the ave/age ice company. ’ The temperature in the territory we serve is above the average for the country as a whole. Summers are warmer —^egin sooner-i-last longer. There is no month of the year in Which the temperature does not rise to a point at which food will apotd unless refrigerated. As a result, more peo ple NEED mo/e ice over la. neater part of the year than in the North. 10. Carolina-Georgia Service Co. ~ operates—and should continue to op erate—even more successfully than the ice industry as a whole. You Gain Most You gain, through the acceptance of this partnership offer, a safe, sound place to put your money, where it will earn 7 per cent. That is, at the price of $100 share at which the Carolina-Georgia Service Company Preferred stock will be offered to you, you get $7 per year for each $100 you put to work. You get by mail four times a year, a dividend check * ■ : for the earnings on your money. Your money is put to work in an essential business which supplies a product which you and thousands of other people in the 49 South Caro- lina and Georgia communities we serve would not do without. $2.26 in property stands behind every dollar you invest in this Preferred stock. The Company is earning over 5 times as much as it needs to pay your Preferred dividends. -'V 'N Your Community Gains When you become a part owner of Carolina-Georgia Service Company, you help to provide good ice service to meet your community’s need for this service. The progress of every^city depends on the services which are available to its residents. Few services are more important to the well-being of the men and women of your community than ICE SERVICE. Our Company Gains When you become a shareholder in Carolina-Georgia Service Company you become more interested in the Copipany’s welfare. You naturally recommend the Company’s service to your friends, and perhaps make valuable suggestions for improving this service. In other words, when you own Preferred stock you become our friend as well as our customer. Your friendship and the friendship of other men and women in your community is one of the most valuable assets which we can gain. The mutual benefits of Customer Ownership have been proved^ many times over by the gas and electric com- panies of the country. Practically all of the important gas and electric companies of the country obtain Customer Ownership by offering their Preferred stocks to their customers. We are making a similar opportunity available to our i«e customers. During this cam paign which begins November 19th and ends December 1, any Employe of Carolina-Geor gia Service Company can take your order for this Preferred stock. We* suggest that you get in touch with an employe of our Company—or you can telephone or call at our local office for any information you may heed. p- v 4 of Opportunity Nov. 19 to Dec. 1 Carplina-Georgia CLINTON, S. C. This Offer Is Limited To 2,000 Shares Only 2,000 shares are available. This allotment will, in all probability, not last long, and after it has been sold, the sale ends. We, therefore, suggest that you act promptly if you M>ish to take advantage of the oppor tunity. In order that as many as possible of vour customers and friends may have an opporutnity to own this security, the number of shares which will be sold to any one purchaser will be lim ited to 10. That is, you may purchase any number of shares up to 10 but not" more than 10. " ' * n \ If -■A r ' * ' jr;. •rAl.. AW • I . a£&«3M£u <