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THE PRODUCERS NEWS »fie, far the paapla Paper of the people, by the By Peoples Publishing G CONTINUING—The Outlook Promoter, The Out- look Optimist, The Dooley Sun, The Antelope In- dependent, The Sheridan County Nows, The Pio- neer Press and the Sheridan County Farmer. CHARLES E. TAYLOR. Editor anM Manager FRIDAY, JANUARY 26, 1929 HOW ABOUT A RADIO CLUB FOR PLENTYWOOD? The radio has become a fixture in many homes of Plentywood and Sheridan county, and in those homes where machines are now operating, it has almost be osme a necessity. This brings up the question of a radio club, which will act as an organized body for better radio recep tion. Practically all the larger cities of Montana have Radis Clubs at this time and their work has been very affective in combatting the influences which effect radio programs. In Plentywood, there have been many complaints of undue disturbances which effect the programs of the air. A radio club would have an or ganization which would devote its time to ferreting out the causes of disturbance and correcting them if possible. In this week's issue the Producers News is carrying an article from Great Falls which will be in teresting to all radio fans. Be sure to read it and then get together and form a Radio Club. A JOKE CAN BE CARRIED TOO FAR A few days ago some neighboring boys in the south Outlook country played a practical joke on one of the young men of that community by taking his car and hiding it while he was in Outlook with several oth ers attending a basketball game. When the young man returned he noticed that his car was gone and be lieving it stolen gave a general alarm which brought out the whole neighborhood late at night to search for the missing machine. Just as the young man was starting for Plentywood to notify the sheriff of the robbery of the car, the headlights of the machine which he was driving disclosed the auto hidden be hind a straw stack. With the prevalence of car steal ing going on, this form of practical joke is very seri ous and should not be tolerated. There are many ways of having fun without causing the worry and discom fort caused by the supposed loss of a machine which has cost a lot of money and which is the pride of the owner. Of course, the hoys only meant well, but it is carrying a joke too far, and while the young man in the Outlook country was greatly relieved to find his car, some of the neighbors who had gotten out of bed, dressed, and went out into the cold to search for the car were very angry indeed, aqd promised severe meas ures if such a happening occurred again. WRITE IN YOUR VIEWS \ During the winter months to come before spring op ens is a good time to write your views on questions and problems of the day. We have a special letter box devoted to correspondence of this nature, and we wel come letters of every opinion. We believe this department should be one of the most interesting features of a paper owned by the farmers, as in this way, different opinions may be brought be fore the public and discussed. Don't be afraid to write what you think and while, of course, the theme written about, should not he personal or of a mud-si in ging character, the article should be actually what is your mind. Surely in this fast-moving, machinery age, with its lightning changes in modes of living, dressing, eating, working, political and county issues, there is something for every constructive min'd to write about and tell your views. Do not neglect this important de partment of this paper and while giving you a chance to relieve your feelings of what is on your mind, it will also help to make the Producers News a more interest ing paper. All articles must be signed, but if you do not wish to have your signature in print we will sign only the initials, but we must have the full name on the article sent in for our own reference, and it will he personal with us. Let's have a up-to-the-minute letter box department, or open forum, and we are sure you will get a great deal of good out of it, as well as those who read it. on YES, WE HAVE NO BANANAS TODAY The Montana State Highway Commission is busy showing the members of the State Legislature how they have spent the gasoline tax money, and they are being boosted by towns and cities over Montana who have fine graveled highways leading into and out of their bailiwicks, but it is terrible for other towns and cities to protest because they have not foot of road touched by the highway commission in the way of graveled highways. We wonder if those towns would be as enthusiastic for highways if the branch line from Scobey to Bainville was graded and graveled while the main line roads say between Poplar and Glasgow remained in their almost' impassable dition of a few years ago. It is laughable, to say the least, to see such newspapers as the Wolf Point Her ald, knocking those who are asking for the same ad vantages which they have, and for which they spending their good money as well as the Wolf Point ers. Just as if the merchants of Plentywood and the farmers of Sheridan county are not as much entitled to these improvements as well as other cities and towns of the state who are catering to the trade of the people of their county. now seen a con are WHO WILL BEAR THE BURDEN? (From the Montana Free Press) The burning question before the Montana legislature is, Y/ho will bear the burden of increased taxation to meet the needs of the state government? The Ana- conda Copper Mining company's administration of the state government during the last four years finds the state in pressing need of more revenue, estimated at from $1,000,000 to $1,500,000. During the four years of Erickson's administration, in which he had the aid and comfort of "Governor" Murphy—few states have -the state re- the benefit of two governors at one tim» ceived more than $3,000,000 in excess of the revenue received by it when Dixon was governor. It spent that money, and comes up to the present legislature about $3,000,000 in debt and a million and a half behind its needs in revenue. What is to be done? be prepared to be more heavily taxed. The record made by Erickson is conclusive proof that economies of ma terial character cannot be expected from a copper ad ministratin of the state, but that all new taxes will be eaten up and demands for more be made. The gov ernor in his message told the legislature that it must further tax the people. This part of the message has been sinking into the legislators' minds and into the legislators' minds and into those of all of tile people in the days which have passed since the message was read. Apparently, the people must « The great question, Who is going to pay the taxes? The governor did not say in the message who is to pay. He suggested, however, that everybody else pay except the copper corporation. He pointed out that the classification law could be repealed, so that all kinds of real and personal property might be taxed at 100 per cent of their value instead of in the percentages named by the classification law. If that was done, it would not add anything material to the taxés of the copper corporation, since that concern pays its chief taxes on net proceeds, and sometimes it doesn't return any to the assessor. Last year it didn't, and compli ments were paid to its bookkeepers. Governor Erickson might have devoted one of his solemn paragraphs to the promulgation of the equit able doctrine that all property should share in the in creased burden of taxation proposed by him. But he did not do that. There was nothing whatever like it in his message. If his copper patron was in his mind, he did not let it be known. As asked before, Who is to pay? Are the stockmen of the state to bear the burden? Are the farmers of Montana to dig deeper into their pockets to pay for levy to the constitutional levy of two mills, and tax the merchants to pay a greater share of taxes from their incomes ? Are the home owners to squeeze a little closer in their living and pay more taxes? And is the great copper corporation to escape? These are interesting questions, and they are deeply concerning the members of this legislature.. Little com fort is to be obtained from Governor Erickson's views on the subject. In his message, he blandly offered the people the alternative—in case they desired to retain the classification law—of further taxing themselves by increasing the state tax levy limit. The legislature, he said, could submit this proposition to the people for a vote. In case the people decided to add a special levy ti the constitutional levy of two mills, and tax themselves that way, the Anaconda company would have no objection. That would not touch the company's net proceeds, and, w : lh copper at 17 cents a pound, there probably will hr some net proceeds to report to the assessor in 1929. with all due respect to the cleverness of the book keepers. The governor was sure then a nice, business like adnvnistfation could be had, in case the classifi-; «•«•» ««r the two mil', for state purposes. Of course, they could levycthe two mills if they wanted to do so. but they; wouldn t doit, not so you could notice it, in the govern-1 or s onii -on. _ - These two methods exhausted the imagination of Governor Enckson and his advisers in composing the message. But it cannot be said that they also limit thei tax f y:s oc of the legislators. The stockmen of eastern Montana arid other parts of the state, and the far-flung farmers of the state, represented by members in house and sena.e are rot quite so sure that there are no other moans of raising taxes. Without going into that matter, it should also be stated that a good many legislators are deeply impress ed by the principle that, if the state government must have move revenue, every kind of property should e in providing it. That the additional taxes that have to be levied be imposed upon all property on a just and equitable basis, and that the Anaconda Cop per Mining company, be required to pay its full part * equa.y of the same, no more, no less. There is no reason why the company should not do ! this, and that, with copper at 17 cents a pound, and production being speeded up, it is fully able to do evident. _ Furthermore, since it was due to the copper corpora tion's overwhelming political aid that Governor Erick son was elected in 1924 and reelected in 1928, and be cause it has practically ruled the state's government^ since Enckson went into office, some responsibility for the state's financial condition rests upon its shoulders, That might be urged as a further reason why it should pay its proper share of any additional taxes levied. Regardless of that, however, the sentiment that is gfrow "g stronger and stronger in the legislature is congealed îa so ja In 1924 as we recollect, about the timie the Chile mines were purchased, a statement was issued by the company shewing that its net earnings for ten years prior to t >. t : me aggregated, to the be.-t of our recollection, $164 000 000. It *has been and still is a j very prsperous industry. * ♦ in the proposition that, if taxes must be in crea d to meet the state administration's demands, all km 1 o r property in the state must share-equitably i . In demanding that that principle be given expression, the legislature will stand on solid ground, j and U it embodies the principle in the laws that it passes m c<> m otion with tax increases it will receive the comm v i.on of the people of Montana. in the h^Lutn •> B f OM», Federated Prams Packers Slice Big Profits The annual reports of three big meat packers show that the industry is again swinging back into the profi teering stride which made it notorious over the greater part of the last half century. Swft, Armour and Cudahy took 1928 profits to a combined total of more than $55,000,000, leaving $28, 706,936 for stockholders after heavy deductions for depreciation and bond interest. In the case of each company this meant a high rate of return on the money actually invested by the owners. In each case the bulk of the present capitalization rests on excess profits accumulated at the expense of farmers and consumers. Swift & Co. reports a 1928 net of $14,813,182 after deducting deprecia tion and interest. This is $2,610,689 ahead of the 1927 profit total. It gives the stockholders a return of $9.87 on each share now held. But this understates the actual rate of re turn on money invested by the owners. Although the huge concern has assets totaling $347,696,724 with capital stock of $150,000,000 par value the federal trade commission, in a report published in 1920, shows that the own ers actually put less than $86,233,000 into the business. The 1928 profit represents a return of about 17.2% on the money actually invested by the owners. Brought down to date the federal trade com mission figures show that since 1896 Swift stockholders have taken profits totaling about $324,000,000 or 375% on their investment, an average annu al return of more than 15% on the average investment during the pen a od. Profits of Armour & Co. are less striking. Net earnings for 1928 be fore the deduction of of depreciation and interest totaled $30,692,730, a gain of more than $10,000,000 over the pre vious year. After deducting $8,535, 823 for depreciation and $10,730,482 for bond interest there remained profit of $11,326,425 for Armour stockholders. This is quoted as a re turn of $1.12 a éhare on the 2.000 000 shares of class A common stock after payment of $9,080,105 in preferred dividends. The present capitalization of Ar mour chiefly capitalized surplus profits.! Here again the federal trade commis Co., however, represents Railroads Continue March to Scrap Heap The laying off of railroad workers!her continués to be a large factor i.i rrpa . , ,,, wage st>ÜEtics for October, J92S. In' spile a sim iucMate u , e nam bei on taiiroad paj rolls over the p le - Ivious month the report shows 59.112 fewei ; railroad empioves than in Oc tober, 392 7. Since detober 1923 the raiJroads haxe ieduced f^ces by 212, C64 There were 1,724,430 workers on the payrolls of class 1 railroads in Octo who eai,Vt ' $255,656,<0t during the month. ' ' » 1 *• increase in tiie wage total 1 * uC ^ ar - fi >' 1 e *■ that Oclo 1)61 one more "°iking day in 1928 ^ an in ,m - a - e her, 1928, and they earned altogether $256,359,515. in Octooer, 1927, there j raäroad workers 142 were 1 - jn wage lates it'd on'y about half e hourly earnings during the year a cent to the avt of-railroad w orkers. Octohep, 1928, profits amounted to ^ 5 06,010,460 compared with $134.040, - '3 the p"e ear, a gain of 24%. i>es to revenues fell railroad u. y larger share v 6, the num her of ma'-S ■ 0 0 r way employes and engine s- ' e men 6,0 <9 and miscellaneous transportation < • ■ cent worker 7,189. In 2 years the number of shop men has been cut by about 60.000 the number of train and The ratio of ex Horn 6; owners a coi of the railroad dollar. to 64 9' 1 giv n o* ' ' o were fewer wag Comp ed with Oc ober, 1927, there earners in every de in the number of ailment of rai WO K. a of 12 nur hs th engine ser vice men by over 20,000 and the num THE WASHINGTON SCENE ' By LAWRENCE TODD, Federated Press . he is named as attorney general by Washington.-—Opposition to confir mation of Wm. J. Donovan, in care sion uncovered an extraordinary his tory of profits made on a very small actual investment by the owners. It says: Starting fifty years ago with a capital of $160,000, the business has earned $179,270,000 to 1919, of which $29,866,000 has been paid out to part ners and stockholders, the balance be ing invested in the business and con stituting the preponderating propor tion of the $173,092,000 of stockhold ers equity. The actual contributions of the stockholders were limited to the original investment of $160,000; the Kansas City investment of $10,126,000 in 1900 which was largely property built on some unknown original cash investment; and $3,726,000 of cash re ceived from preferred stock in 1918, Thus the total stockholders' contribu « tions in cash or property did not ex ceed $14,000,000 in 60 years, and prob ably were less. Since 1919 there have been various changes in the capitalization including the splittng of each share of $100 par common stock into 2 shares of Class A and two shares of Class B stock at $25 par. But with all the changes the money inpestment behind the common stock, exclusive of rein vested profits, remains at just over $10,000,000. The 1928 profit means a return of at least 22% on this in vestment. » Cudahy profits for 1928 amounted to $6,112,038 out of which the stock holders share after depreciation and interest amounted to $2,567,328. Com mon stockholders got a return of $4.68 on each $50 share or 9.36% on the present par value of the outstand ing stock. But the federal trade com mission found that the actual money investment of the owners in pre ferred and common stock with a par value of $29,800,000 amounted to $7, 223,000. The balance was built up from reinvested surplus profits. The 1928 return on the entire investment ■ of the owners in both the common and preferred issues figures at about 35V2 per cent . i 1 ers' products. ihe gross sales of these throe com) paries for 1928 totaled over two bil iion dollars, the totals bein Swift These figures remehdous power lhese-gi wield over the sale of the farm ■ > •> ? i 89 <0.000 000, Armour $900 000,000 and j Cudahy $251,000,000 ! reflect the an of clerical workers by ää « ion hand m Ti. ia October 192S ? ' ' over 16, For wage earners paid on an hourly basis October wages averaged $142.70. The average pay per slra-ght time hour was 60.4c com pared with 60c in 1927 and 56.5c in October, 1923. In 5 years the aver age hourly earnings of railroad work ers have advanced a little than $271,005,542 in 1923 to $256,359,515 in 11928. Practically all of this reduotio has been at the expense of the shop men. In all other departments in crease in wage rates have been at more *7%. By cutting forces the railroads have reduced their October payroll from n least sufficient to compensate for iductions in force with the train and engine service payroll running about $2,000,000 ahead of October, 1923. re sistants accounted for a payroll total Executives, officials and staff as of $7,389,317 in October, 1928, com pared with $7,05U552 in 1923, an in crease of 11%. Professional, clerical and general wmrkers got $40 050,604 compared with $39,429,403, an increase of 2 6%. Maintenance of way declin ed 2.8% from $42,864,033 to $41 „725, 293: miscellaneous workers 2.8% from $26.855 991 to $26,111.289 and yard forces 5.8% from $4.703,169 in Octo her, 1923 to $4,429,965 in 1928. The train and engine service October pay roll of $71.825.123 in 1928 compared with $69,700 516 in 1923, a gain of 3%. Rut the shopmen received only $64, 377.254 in October, 1928, a drop of 20% below their payroll of $80,400,878 in October, 1923. the fact that Donovan assisted in pre Hoover, is gaining ground in the -enate. This opposition is based on venting an inquiry into the Mellon aluminum monopoly. Thus far there < has been no definite demand bx or-1 ganited labor that Donovan be oppos ed because of his record in prosecut ing strike leaders in Buffalo. . _ _ _ , of Montana, sought to have the senate order the federal trade commission to invetigate the monopoly. Donovan, In the aluminum matter, Sen. Walsh 1 as assistant attorney general, came before the senate judiciary committee and urged that the facts did not war rant governmental action. Secretary Mellon himself was at the capitol re peatedly to line up the administration senators to kill the resolution. This they finally accomplished. ! ! ! ! Ambassador Henry P. Fletcher, who is reported slated for the post of con fidential adviser to Hoover in the new administration, has been listed as the most ardent admirer and helper of Mussolini in the entire state depart ment staff. As American envoy to Rome he has lost no opportunity to show his approval of the black shirt He has at all times shown most orthodox class bitterness to ward working class radicals in all sec regime. the tions of the world. Mil The note from the soviet union gov ernment criticizing the weakness of the Kellogg pact, but announcing that the oviets would adhere to the treaty without reservations, featured the senate debate on the pact Jan, 4. Sen. Reed of Missouri, opposing ratifica tion, quoted the Moscow opinion of the multi-lateral agreement to show that the British reservations were a seri ous threat to world peace. ! What the soviet foreign office said, in its note, was that it could not agree to the British reservation of right to in non-British regions which were not even specified, This British claim was cited as an in strument of imperialism. Borah, replying, said there was no way in which the nations could be make "defensive" war made to agree on what is self defense. This treaty, he agreed, did not bring world peace nearer. To bring it near er a tribunal of some sort would have to be made available to settle dis putes. This treaty did not propose any tribunal. ^ Washington.—"We have been seeing the wrong people on cruiser policy, we should have gone to see the steel trust and the munition manufacturer." This was the discouraged comment of one of the hundreds of delegates j iiom peace societies who spent Jan. 8 at the capitol asking senators to vote againüt the 15-cruiser bill. Divide* into parties of ten or a dozen for each state, they pursued the elusive solon from hotel to office and from office to senate chamber, only to find them hostile or silent. David Reed o Pennsylvania, spokesman for the Pittsburgh aluminum and steel corpoi alions, told them that he wanted con gie.-.» to order the immediate construe tion of 30 cruiseis instead of 15. He said the United States must outbuild This naval construction race with the British. England was emphasized as the grav est danger to world peace now in prospect, by speakers at the confer ence dinner in the evening following these interviews. Dr. Niebuhr of Union Theological Seminary and Prof Parker-Thomas Moon of Columbia University emphasized the fact that the race is now begun and that unless it is checked it must lead to war. cil of Churches, publicly apologized for the credulity with which he had accepted atrocity stories during the world war. He warned the delegates that the cruiser program would be useless to the war makers unless there Bishop McConnell of the Methodist church, president of the Federal Coun went with it an effective scheme for! starting hate propaganda immediately he invoked upon any declaration of war. Against this decivilizing process the common sense of history, which teaches that all people really desire peace and good relations, if the war makers can be kept from deluding them. Only four out of the 96 senators at ♦ tended the conference and dinner, Brookhart of Iowa presided at the a't-1 ernoon session, Frazier and Nye of North Dakota and Wheeler of Mon tana were the others who applauded the speeches. There are no import ant steel, munition or ship buildin plants in Towa, North Dakota or Mon tana and these special financial groups have not controlled the elections in those states. Washington—Prospects for increas ing influence for organized labor in the United States in the year 1929 are not bright. Prospects for increas ed pow-er for organized business, es pecially the big business which dom inates the basic industrie» bright. That is the view of the tr distribution of power, which * ** lifeblood of politics and royerl* ^ taken by the bulk of the — °9*sie m _ ^ the capital to complete the final»!* duck session of the Coolidge reri^T* » » • ^ thek. house membership, Nor does this depletion of fluence of trade unions stand There is a distinct depression i farm politics field, due to that the American farmer i s ferr, ; ing less and less important, ing in general does not pay. ers and their families are moving t, town in steadily increasing numhe». to find jobs in factories, stores^ ra ges—anything that supplies a W and a regular wage. So the dream a na tion-wide militant political : er based on the organiied wage-wort! erg and the organized farmer» w been shattered. It's economic W dations are being sapped and knoA, ^ to bits . Practical politician/^ ; over the figures of labor union be rship and listen to the tone» »1 k ! bor spo keraen today as contrasted aioi*. m the dis«ov«ïy » »• b* me*. spo today as contrasted * their tones in 1920, and wonder that they were frightened in those eaiW days ^ teT the war. They „amis, the totals of farm organization membership and smile. Need for strong organization among wage workers and farmers, and ne«i for their joint action in politics ». gainst the forces of big business, it greater now than in 1920. But that need is based on the fact of today's weakness—the fast that organised capital has made giant strides to ward control of every governmental and industrial agency that affects prices. Organized capital determines what new industries shall be develop ed, what terms of employment shall rule, and what favors shall be shown by the government, through the bank ing system, to the manufacturing against the farming industry. as * * * Herbert Hoover represents, at the | outset of his domination of the execu tive branch of the governemnt, the triumph of big business in politics. ! He is the manufacturer's ideal states- I man—ore who for years will keep or ganized labor and organized farmers wondering whether he will not, after all, do something to restore them to an influential place in the nation. Meanwhile the son it of self organi 1 zation and self defense among the wealth producing classes down, will die Benjamin C. Marsh, who for years was director of the Farmers' Natios al Council, says, in a discussion of the farm problem at the close of the "Farmers as a class are old year: not co-operators but extreme individ ualists. . . . There are only about 1,* 800,000 farmers out of 6,371,000, in all the farmers' selling organizations. '. About one-fifth of the value of all farm products was sold co-opera tively last year, . . . Farmers have lost most of their political prestige and power, , With the presen ten dencies continued, less than one quart I er of the votes will bo on farms in an other decade." These facts point to a growing wage-working class prob'em, as the proportion of Americans drawing wa Trade union with this ges is steadily gaining, j ism is not keeping up growth. Labor politics i.- al a lower 1 ebb than it has been at any time in three decades. Republican and demo cratic political programs are wore nearly identical than ever before. The new year may witiv —industrial and political- -hr the apa | thetic harmony. But the politicians ! have no idea as to how it will come, or where it may lead, an d the farmers do become disrespect I °nce more, the politicians will not worr y s a break Until labo? In this situation is the real expla na ^ on °' r Congress' fai'u thing in the past two yt bituminous coal problem junction evil; it explains, loo, wh) Fall, Doheny, Sinclair and Daugherty - to do any rs with the and the in stay out of jail. COMMISSIONERS ARE SUED AS RESULi FLATHEAD ACCIDENT that Kalispell, Jan. 12.—Alleging they had negligently p ermittl bridge over Ashley ck southw ed the mile 5 .-even out ■ome of Kalispell, tar the death of George Paul, 1 Bostick has filed suit again t County Com m ng of repair and thereby cuu ,,t. 9, Grace '„r $10,000 ers MoA co ro plaint vas se 140 ihe highway 8IJ no ex* cither the ap r creek, P®' foot of water The Calbi* k points out that the b»'< • jthe east of the center 0 and that the guard iai tend to Paul's proach and un et in As,-; y ring him under it in a and crushing his chest. f/ouden. and end rpproaches M on overturned on car