Order Affecting Price Maintcn- Minimum Cost-Protection Prices ance Does Not Apply to Lumber Approved lor Indeftnite Period

Washington, D. C., June 30.-After conferring with the National Recovery Administration through a committee, the Lumber Code Authority this afternoon wired all its divisions and subdivisions that the Presidential order affecting price maintenance agreements does not apply to lumber code minimum prices. The telegram is as follows:

"Reference President's order June 29 allowing fifteen per cent price reduction in connection sales to Government Agencies. This order does not apply to Lumber Code. Consequently our present prices are not afiected and remain unchanged, and the executive order of March 14, so far as it applies to Lumber Code also remains unchanged. Please give suitable notice to persons under your jurisdic' tion."

The executive order of March 14, provides that all bids for government requirements shall be accompanied by a certificate stating that the bidder is complying and will continue to comply with each code of fair competition to which he is subject; also that all provisions of the codes shall apply to contracts with or sales to agencies of the United States.

It is understood that the reason why the presidential order of yesterday does not apply to lumber is that the Lumber Code specifically authorizes only minimum prices, established for cost protection, which now return less than the costs of production.

Washington, D.C., June 28.-David T. Mason, executive officer of the Lumber Code Authority, in a statement concerning NRA Administrative Order No. 9-41 which approves existing lumber prices for an indefinite period in the future, declared today that the "Order clearly indicates definite recognition that the cost-protection minimum price system is essential if the Lumber and Timber Products Industries are to secure the funds necessary to meet their payrolls at the wage rates provided in the Lumber Code and likewise maintain a maximum of 'employment consistent with the present low volume of demand for the products of our industry."

The new administrative order continues in effect indefinitely prices approved by an emergency order issued June 9th. The intent of the new order, according to NRA, was to eliminate all question as to effective operation of minimum cost-protection prices established under the Lumber Code.

"The issuance of this order of approval of minimum prices," General Johnson said today, "determined and published in accordance r,vith the provision of Article IX of the code, should eliminate any grounds for questioning the application and effectiveness of such minimum prices. They are binding upon all members of the Lumber and Timber Products Industries."

Mr. Mason's statement follows:

"By order of June 9, General Johnson, NRA Administrator, approved the cost-protection minimum prices for lumber and timber products for the period ending July 1, 1934.

Lumbetmen know good lumber, and lumbermen know tfiat good lumber comes from McComiclc

Treated or untreated poles and piling, ties and P$ts' laths and shingles, whatever your requirements, cdl the McComrick salesman. Your order will be delivercd quickly, dependably and economically-via McCormick.

"On June 27th, Administrator Johnson approved the existing prices for an indefinite period in the future. This action of the General removes all doubt as to the continuance of cost-protection minimum prices in the Lumber and Timber Products Industries. General Johnson's order clearly indicates definite recognition that the cost-protection minimum price system is essential if the Lumber and Timber Products Industries are to secure the funds necessary to meet their payrolls at the wage rates provided in the T umber Code and likewise maintain a maximum of employment consistent with the present low volume of de' mand for the products of our industry."

Copies of NRA Administrative Order No. 9-41 have been mailed to Divisions, Subdivisions, members and alternates of the Lumber Code Authority.

Council Meets in S. F.

California Lumbermen's Council met at the Palace Hotel, San Francisco, July 7. George Burnett, Burnett Lum. ber Co., Tulare, vice-president of the Council, pr'esided.

The Western Institute of Trade Secretaries held their at the Hotel Leamington, Oak-