The American Chamber of Commerce Journal Vol. XXXI, No.7 (July 1955)

Media

Part of The American Chamber of Commerce Journal

Title: The American Chamber of Commerce Journal Vol. XXXI, No.7 (July 1955)
Issue Date: Vol. XXXI, No.7 (July 1955)
Rights
extracted text: Published monthly by the American Chamber of Commerce of the Philippine* Elks Club Building, Manila, Philippines — Telephone No. 3-23-24 Member, Philippine National Committee, International Chamber of Commerce Member, Chamber of Commerce of the United States A. V. H. Hartendorp Editor and Manager Entered as second class matter at the Manila Post Office on May 25, 1921, and on December 10, 1945 Subscription rate: P5.00 the year; $5.00 in the United States and foreign countries Officers and Members of the Board of Directors of the American Chamber of Commerce of the Philippines Paul R. Parrette, President; W. C. Palmer, III, Vice-President; A. H. Henderson, Treasurer; F. C. Bennett, C. A. Larsen, M. S. Robie, E. E. Selph, F. H. Spengler, and Paul H. Wood. Stanley N. Fisher, Executive Vice-President; I. T. Salmo, Secretary Vol. XXXI July, 1955 No. 7 Contents Editorials— The Fourth of July.................................................................................•........................................................................................................ Greetings from the President of the Chamber............................................................................................................. Judge Guevara on “the Days of the Empire’’....................................................................................................................................... From President Magsaysay’s Fourth of July Address......................................................................................................................... Portrait and Message of President Ramon Magsaysay....................................................................................................... Portrait and Message of Ambassador Homer Ferguson...................................................................................................... Portraits of the Presidents of the American Chamber of Commerce of the Philippines, 1920-1955...................... Officers of the American Chamber of Commerce of the Philippines, 192C-1955 .................................................................................. The Chamber Premises—and the Staff (Photographs by Chas. W. Miller)......................................................................................... Role of the American Chamber of Commerce of the Philippines....................................... Ambassador Homer Fi Photograph of the Members of the 1955 Board of Directors of the American Chamber of Commerce of the Philippines. (Photograph by Chas W. Miller)..................................................................... ............................ Historical Data on the American Chamber of Commerce of the Philippines, Inc......... The Chamber during the First Year after Liberation............................................................................... Sketch of the Post-War History of the Chamber....................................................................................... Abbreviated History of the Philippine American Chamber of Commerce, Inc., New York......... The Manila Merchants Association................................................................................................................ The Future of the Philippines....................................................................................................... Accounting for International Trade and Investment................................................................................. ,264, 50 CENTAVOS THE COPY THIRTY-FIFTH ANNIVERSARY ISSUE Greatest Power learn EWER PUT IN GflSOUNEl New Mobilgas- teams mb Top Octane with Mobil Power Compoundputs all your car’s horsepower to work! THE reifiarkable Power Team in New Mobilgas awakens “sleeping horsepower’’ in older cars —brings out top performance of newer cars and protects their power as no other gasoline has ever don^. New Mobilgas combines Mobil Power Compound the most powerful combination of chemical additives ever put into gasoline to correct and prevent engine troubles—PLUS Top Octane for greater, knock-free power. Ask for New Mobilgas—the mightiest power team you can put in your car. Why accept less? More for your money at Mobil Stations ! Editorials . . . to promote the general welfare” The American Chamber of Commerce of the Philip pines extends its felicitations to the people and Govern ment of the Republic of the Philippines The Fourth on the occasion of the ninth anniversary of July of the establishment of Philippine inde pendence,—on which same day Amer icans celebrated the 179th anniversary of the independ ence of the United States of America. Greetings to all members of the American Chamber of Commerce of the Philippines and to all the readers of this issue of the American Chamber Greetings from of Commerce Journal published in the President connection with the 35th anniversary of the Chamber of the establishment of the organ ization. Briefly stated, the efforts of the American Chamber of Commerce of the Philippines, in accordance with the Articles of Incorporation and the By-laws, are dedicated to two principal purposes: First, to the promotion, development, and protec tion of American trade, commerce, and industry in the Philippines, and Second, to assist in the general development of the commercial, industrial, and agricultural resources of the Philippines. The Chamber recognizes that the success and the prosperity of American business enterprise in the Philip pines are directly associated with the economic stability of the country and with the well-being of the whole nation. With these facts in mind, the officers and directors of the Chamber approach every problem with a view to what seems best, over-all, for both the Philippines and for Amer ican business interests. Usually the interests of the Phil ippines and of American business go hand in hand. It is only when occasional governmental measures of a discri minatory nature affect some phase of the relationship be tween them, that differences develop. Whenever this occurs, the Chamber acquits itself of its responsibilities to its members by clearly stating the American business view; in most instances, the Chamber is invited by the Philippine Government itself thus to present its side. Almost daily we receive requests from committees of the Congress, when in session, from other government entities, and from various Philippine trade groups to join in the discussion of ways and means of advancing the country's economic development, and the advice of the Chamber, when so sought, is always readily given. Through the years, the relationship between the peo ple and the Government of the Philippines and the Amer ican Chamber of Commerce has been brought to a high level of mutual respect, understanding, and cooperation. We shall continue our best efforts toward the preser vation of this fine relationship. Paul R. Parrette, President American Chamber of Commerce of the Philippines One of the most remarkable tributes ever paid by a Filipino to what was the Government of the Philippines during the period which some Judge Guevara persons look upon as a time on “the Day’s of the to which the hated word Empire” “colonialism” may aptly be applied and to which some others like to refer as the “days of the empire”, was that written a few weeks ago by Judge Guillermo B. Guevara in his regular column, “In My Opinion”, in the Manila Daily Bulletin (issue of June 27). Judge Guevara, who has conducted this column in the Bulletin for some three years and who previously conducted a similar column in the Manila Times for four years, wrote: "It may sound ironical, but it is the sad and plain truth that the Philippines has never enjoyed the true essence of democracy except during the transitional period between the military occupation of 1902 and the autonomous regime of 1916. “ It was only in the [that] glorious period that the people knew or understood, by actual practice and example, the real meaning of the merit system in the public service, equal opportunity for all, freedom of thought, and freedom of religion. “Before the reign of the politicians [began] in 1916, public positions, from the last messenger to the highest administrative officer in a gov ernment bureau or dependency, were filled by sheer merit and through impartial and competitive examinations. The only key to success, promotion, or appointment then was the brain and .ability of the in cumbent. 259 “Political pull or backing was positively outlawed. At that time, the civil service examination was the sine qua non condition for hold ing office and could not be dispensed with by such deceitful camou flages as ‘confidential’ and ‘temporary’ appointments. “But with the advent of the autonomous era in 1916, a new con cept or philosophy of government was introduced. Merit or civil ser vice systems must give way to the ‘tayo-tayo’or spoils system. Public offices or positions were, as they still are, among the coveted spoils which rightly belonged to the victors. So were public funds. The more laxity in auditing funds, the better for the new regime ..." The rest of the Judge’s column article went into greater detail with respect to the changes suffered in the Bureau of Civil Service and the Bureau of Audits and he also made some references to recent religious interference with schools of the ballet and the showing of moving pic tures. On the whole, however, Judge Guevara seemed to identify democracy with good government in so far as this can be assured by the merit system in the civil ser vice and by the strict auditing of government expendi tures. This, of course, is not correct as under various autocracies, such as in pre-Hitler Germany, the civil service and government accounting was often brought to a high level of efficiency and honesty. However, the point is that Judge Guevara was im pressed with the idea that the administrations of such men as Taft and Forbes partook of the “true essence of democracy” in spite of the fact that the government at that time was not democratic in outward form. He la ments the fact that this true essence has been lost under our later and the present forms of government which are generally considered more “democratic”, at least in a for mal sense, than was the government in those earlier days of “colonialism” and the “empire”. Unlike some of our younger columnists of today, Judge Guevara knows whereof he speaks at first-hand. The Judge was bom in Manila in 1887 and started in the government service as a clerk in the Court of Land Registration in 1904. In 1906 he was transferred to the office of W. Morgan Shuster, then Secretary of Public Instruc tion, serving for a time as his private secretary. In this capacity, the then young Guevara had full opportunity to watch one of the leading men among those early Amer ican “imperialists” in action. He must have gotten a very good idea not only of the nature of his day-to-day decisions but of the motives which impelled him to make those decisions. As every American must feel, these motives were “of the essence” of democracy, of a feeling for what the people needed and wanted, even if there was little machinery in those days to canvass their will. Judge Guevara’s column articles have long been recognized as among the sanest to appear regularly in the Manila press. The reason for this is, of course, that he is an eminently sane and able man of broad experience —not one of several present-day newspaper “columnist” concerning whom people ask, “Who is that fellow?” After leaving the office of Mr. Shuster, Guevara was a court stenographer for a number of years during which he studied law by himself, and he passed the bar exam ination in 1912. The law at that time made this possible. After passing the bar examination, he was transferred to the office of the City Attorney, Manila, as a law clerk, and in 1915 he went to the United States to enroll in Georgetown University, Washington, D.C., where he took post-graduate work and obtained the LL.M, de gree in 1916. Upon his return to the Philippines he was appointed fifth assistant city fiscal and he rose steadily until he became first assistant city fiscal. In 1921 he was appointed Judge of the Courts of First Instance of Pampanga and Bulacan,—there are now three court of first instance judges in each of these provinces, but Judge Guevara kept his docket clear single-handed until 1923 when he was appointed Chief Prosecutor for the City of Manila. He served in this capacity until 1929, a position in which he won considerable fame. He resigned in 1929 and organized the law firm of Guevara, Francisco, 8s Recto. Upon dissolution of this firm, he went into business and founded the Mabuhay Rubber Company, which operated the first rubber factory in the Philippines. More recently he founded and still heads the Maria Cris tina Chemical Industries, Inc., which operates the first carbide and ferro-alloy plant to be established in the country. The quotations from Judge Guevara’s column brought forward in this editorial might lead one who never read the Judge before to think that he must be an anti-nationalist, but that would not be correct. Judge Guevara, as much of his writing shows, is a staunch nationalist, but his nationalism is tempered by the reason ing of a broad and liberal mind. Although now 68 years old and still a man of affairs, Judge Guevara finds the time and energy to write a column for the Bulletin three times a week. We are all fortunate to have such a man in Manila to give us the benefit of his informed and sober and frank opinions. tc TN the matter of preserving our national security • • • JL from outside threats, we recognized, in the light of the plans and objectives of the aggressive imperial ism which then threatened and still threatens us, that there was no safety in standing alone and holding aloof. We recognized the impossibility, in this world of modem arms, of organizing and providing for our own defense with the limited resources at our command. We have, therefore, sought and secured the safety of alliance with more powerful nations. “Specifically, we have entered into close alliance with the most powerful nation on the face of the earth—the United States. We have become part of the Southeast Asia Pact, better known as the Manila Treaty. We have done these things for the sake of no other country except our own country and for the sake of no other people ex cept the Filipino people... “We have entered into these alliances to strengthen our own defense, secure our own independence, preserve our own freedoms... “We have done this—to repeat—by always serving foremost the interests of our country and people, by al ways thinking of the Philippines first. We have also gained added prestige and honor for our independence in this way... “Our people want a Philippines strong and stable in ternally and able to preserve its hard-won independence against external threats, in firm alliance with our great and good friend, the United States of America.” —From PRESIDENT RAMON MAGSAYSAY’s Fourth of July Address 260 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 261 MARFAK protects your car during rainy weather by providing a water-resistant lubricating film that seals out moisture and road splash, protecting chassis bearings from wear due to exposure to damaging elements. During hot weather, MARFAK protects spring shackles, steering mechanism, wheel bearings and other chassis parts from dust and abrasive dirt by providing a tough adhesive and cohesive lubricant that won't squeeze or jar out. MARFAK gives lasting protection, greater riding comfort and longer car life! MARFAK keeps that cushiony feeling long^' MARFAK Lubrication available ONLY at Caltex Service Stations * Includes Rustproof Compound Spray to prevent rusting of alFexposed under-car metal surfaces. RAMON MAGSAYSAY President of the Philippines Message THE present Administration lays great stress on the expansion of our country’s foreign trade in its determination to strengthen the national economy. In line with this objective, local businessmen have explored the United States market to such an extent that Philippine export products already have a market in that country and are gaining wider acceptability by American consumers. In our efforts to bring about a rapid and balanced commercial and industrial development of the Philippines, we have been asking foreign capital to come and help us realize our objectives. We have been strengthening commercial relations between the United States and the Philippines for our mutual benefit. On this occasion of the Thirty-fifth Anni versary celebration of the American Chamber of Commerce of the Philippines, which rightly marks a distinct milestone in its history, I wish to congratulate the men who guide its destiny. May the Chamber continue many more fruitful years of service to the business community in particular and to the country in general. RAMON MAGSAYSAY 262 HOMER FERGUSON United States Ambassador Message 1AM happy to send you greetings on the occasion of the Chamber’s Thirty-fifth Anniversary. Organized in 1920, the American Chamber of Commerce of the Philippines has established a reputation as one of the outstanding American Chambers abroad. It has played a significant part in development of close and amicable rela tions between American businessmen and the Government and people of the Philippines. Your enviable reputation has been built on a solid basis of service, not only for your members but for this community and country as a whole. Your progressive enterprise has done much to build up the economic strength of the Philippines before the war and after. In looking ahead, we must take into account the changes which will inevitably occur in regard to Philippine-American economic and commercial relations. It is my earnest hope and conviction that, as problems arise from time to time, they may and will be solved amicably and in a spirit of mutual esteem and cooperation. I take a very personal interest in the work of the Chamber and of American enterprise generally in the Philippines. I hope that American enterprise may play an important role in Philip pine economic advancement. HOMER FERGUSON 263 Presidents of the American Chamber of |H. L. Heath 1920-1921 1924-1927 |C. M. Cotterman 1922-1923 E. E. Elser (Acting) 1924 fG. H. Fairchild 1928 Mr. Fairchild succeeded R. E. Murphy on the lat ter’s death. No picture could be obtained of Mr. Murphy. jP. A. Meyer 1929-1932 1935-1938 fH. M. Cavender 1933-1934 fS. F. Gaches 1939-1945 A. G. Bellis (Acting) 1946 t Deceased 264 Commerce of the Philippines, 1920-1955 F. H. Stevens 1947-1949 Paul H. Wood 1950 J. A. Parrish 1951 W. H. Rennolds 1946 W. C. Palmer, III (Acting) 1953 Paul R. Parrette 1954-1955 J. H. Carpenter 1953 J. L. Manning 1952 265 Officers of the American Chamber of Commerce of the Philippines, 1920-1955 Year 1920 1921 1922 1923 1924 1925 1926 1927 1928 1929 1930 1931 1932 1933 1934 1935 1936 1937 1938 1939 1940 1941 1945 1946 1947 1948 1949 1950 1951 1952 1953 1954 1955 President H. L. Heath Vice-Presiden t C. M. Cotterman Treasurer ( P. G. Eastwick ( H. J. Belden Secretary H. I. Mozingo S. Williams C. M. Cotterman E. E. Elser ( S. Feldstein ( S. Williams ( H. L. Heath ( E. E. Elser (Acting) J. W. Haussermann S. F. Gaches B. A. Green ( ( W. J. Robb H. L. Heath ( C. M. Cotterman ( J. W. Haussermann ( C. M. Cotterman ( J. W. Haussermann • ( ( J. R. Wilson ( F. A. Leas ( J. W. Haussermann ( R. E. Murphy ( G. H. Fairchild ( P. A. Meyer ( H. L. Heath ( J. W. Haussermann ( C. M. Cotterman P. A. Meyer ( H. M. Cavender ( J. W. Haussermann ( ( J. L. Headington ’’ H. M. Cavender H. M. Cavender C. S. Salmon K. B. Day P. A. Meyer C. S. Salmon ( ( C.G. Clifford ( H. M. Cavender ( S. F. Gaches S. F. Gaches ( E. M. Grimm ( V.E. Miller ( (R. E. Cecil ( ( J. S. Dolan E. D. Gundelfinger ( ( C.G. Clifford (The War in ( ( J. C. Rockwell ( A. G. Bellis the Pacific) J. L. Headington ( R. S. Hendry (acting) ( C.G. Clifford ( J. L. Manning (acting) ( L. Rosenthal) (acting) ( A. G. Bellis (acting) ( W. H. Rennolds F. H. Stevens J. L. Manning E. B. Ford F. C. Bailey * Executive Vice-President L. Rosenthal E. G. Baumgardner C. R. Leaber ( ( Marie M. Willimont ( J. T. Hicks ( R. J. Newton F. C. Bailey P_ H. Wood ( ( J. A. Parrish C. R. Leaber J. A. Parrish C. R. Leaber F. J. Moore J. L. Manning J. H. Carpenter D. O. Gunn Virginia Gonder ( J. H. Carpenter ( W. C. Palmer, III (acting) W. C. Palmer, III R. J. Baker P. R. Parrette ( W. M. Simmons ( E. E. Selph A. H. Henderson ( ( S. N. Fisher W. C. Palmer, III •> »> 266 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 267 The Bonds That Form The Links Between North, South, East And West The shortest distance between two points is a straight line. National highways are the shortest distance from economic immobility to economic progress, for the greater bulk of marketing is done on highways. The ease of transporting goods to all directions, from North to South, from East to West, is man’s best incentive to produce more crops for easier disposal at better prices. directions by investing Divert your own capital toward safe jin P.W.&E.D. BONDS and strengthen the bonds of progress of your nation, as you tie the nation's progress to security for yourself. Your money will earn 4% interest for you, while you earn the inherent right to take part in your nation's progress. inquire at The Securities Market Department CENTRAL BANK OF THE PHILIPPINES PUBLIC WORKS AND ECONOMIC DEVELOPMENT BONDS D1= II—) The Chamber Premises — and the Staff THE picture to the left shows the entrance to the Chamber offices in the rear of the west wing of the Elks Club Building, on Dewey Boulevard, just off the historic Luneta. The flag in the back ground flies from the roof of the Army and Navy Club. Below is a view of the main office. Shown in the picture, left fore ground, is Miss Annie Andes, secretary to Mr. Fisher; behind her, in the rear of the room, Mr. Francisco Llaguno, assistant to Mr. Hartendorp; in the center rear, Mr. Maximino C. Gonzales, Jr., accountant; to his left, in the rear, Mrs. Carmen W. Ramirez, librarian and research clerk; in front of her, Mr. I. T. Salmo, Chamber Secretary and cashier; in front of him, Mr. Antonio Alido, Chamber Bulletin clerk; to the right is Miss Virginia Webb, receptionist and telephone operator. Not shown in the picture are Mr. Serafin Salonga, legislative clerk, and Messrs. Delfin Castillo, Ismael Mendoza, and Solomon Onia, clerk-typists, all out on business. The picture at the bottom of the page, left, shows Mr. Stanley N. Fisher, Chamber Executive Vice-President, at his desk. The picture at the tight is of the Journal editor at his desk, chatting with Mr. Lla guno. Photographs bp Chas. W. Miller 268 B.F.Goodrich CARRIES A COMPLETE LINE OF RECAPPING! Factory-method recapping by B. F. Goodrich gives “new tire’’ quality to worn tires. Enjoy many miles of dependable, smooth riding on thick-treaded tires recapped by B. F. Goodrich. B. F. Goodrich recapping “know-how’’ assures you of treading jobs of superior quality. BE Goodrich UM KB HU =1 ;1 -w NEW LIFE FOR > OLD TIRES! ppz-Ap PI AMTC KIZ,AL A» E. EA 1 ., GKACL 1’AKK, CAL.-1M.. KtiAr rLANia: 1KICA, camarines sur__________________________ GOODRICH INTERNATIONAL RUBBER CO. 13th & ATLANTA STS., PORT AREA, MANILA TEL. 3-37-21 “BETTER ROADS MEAN BETTER LIVING” Role of the American Chamber of Commerce of the Philippines* By Homer Ferguson United States Ambassador ON this Thirty-Fifth Anniversary of the founding of your Chamber of Commerce I wish to take the oc casion to congratulate you on its long and honor able record of representing American business interest in the Philippines in the best tradition of responsible and public-spirited citizenship. I also would like to talk to you briefly about the role, as I see it, of an organization such as yours in an independent, foreign country with a long record of historic friendly association with the United States. The basic purpose of any chamber of commerce, as you all know, is to find a common ground of interests and goals for its members. You now have, I believe, some 250 member firms, all with varying and diverse business in terests and activities, many of them competing with each other at the level of normal business competition. But you all realize that above and beyond this level of com petition you possess aims and interests in common which you can only achieve by cooperating together for com mon ends; and in your Chamber you successfully resolve your differences of viewpoint in order to achieve that common ground that will make possible benefits for all of you. This kind of cooperation is, of course, the normal and principal purpose of chambers of commerce every where. But in a country like the Philippines it is not enough for an American Chamber of Commerce simply to resolve the differences of its own members and represent their common interests. Your business, your investment, and your future are bound up with that of this country; and in this country there are other business groups, both Fili pino and foreign, with whom, in the same way as do your members among themselves, you both compete on the business level and possess interests in common above that level. A second role, therefore, of your Chamber is the finding of common ground with business groups of all kinds and nationalities in the Philippines, many of them well-organized in their own associations or cham bers of commerce. For the prosperity of business in a free economy is in the long run indivisible, and I take it that businessmen, whatever their nationality, have a common interest in prosperity. A considerable portion (Continued on the bottom of page 272) ’Text of a speech before the American Chamber of Commerce of the Phil ippines at the 35th anniversary dinner held at the Riviera, July 1, 1955. Photograph by Charles W. Miller Officers and Members of the Board of Directors, American Chamber of Commerce of the Philippines, Inc., for 1955. Meeting of the Board on May 21, at the Manila Club. From left to right: Mr. M. S. Robie, Mr. A. H. Henderson, Treasurer, Mr. Stanley N. Fisher, Executive VicePresident, Mr. Paul R. Parrette, President, Mr. E. E. Selph, Mr. F. H. Spengler, Mr. W. C. Palmer, III, Vice-President, and Mr. F. C. Bennett. Absent: Mr. C. A. Larsen and Mr. Paul H. Wood. 270 EARTHMOVING POWER THAT PAYS! R-164 Series, International Dump Truck. Gross Vehicle Weight, 17,000 pounds; Body dimensions in inches: 108x78x15. Proved steel flex frame. Wide variety of trucks and dump bodies available. rubber tired with Model International Crawler with Drott Skid-Shovels. Lifting capacity from 3,000 to 9,000 pounds. Model wheel, tractor ___ _____ 2S-75 Scraper. Ca pacity 18 cu. yd. Hydraulic steer ing. Faster loading and dumping. (Other models available also.) WOW/ Get all your earthmoving equipment from IHI Backed by nation-wide service facilities NOW, International Harvester offers you a complete line of high quality, fast working earthmoving ma chines and equipment. Now, more than ever, your International Harvester dealer is your “Earthmoving Headquarters”, a dependable source of supply for all your needs. You’ll get the right machine to handle any job profitably, plus the advantage of unsurpassed service facilities and genuine IH service parts available throughout the Philippines. It’s International po wer that pays. Call or write your nearest dealer or International Harvester Company of Philippines, 154 Marques de Comillas, Manila. INTERNATIONAL INDUSTRIAL POWER ERANCHES AND DEALERS THROUGHOUT THE PHILIPPINES Model 2T-75, 2-wheel, Rubber Tired Tractor and 2W-75 Bottom Dump Wagon. Heaped Capacity 20 cu. yd. International Crawlers Hydraulic or Cable-controlled Bullgraders. Hough Payloader % to 3 cu. yd. bucket capacity. Digs, loads, lcve’s, backfills, spreads, lifts, lowers, pulls and dusLm. Historical Data on the American Chamber of Commerce of the Philippines, Inc. By Walter Robb THE American Chamber of Commerce of the Philippine Islands came into being in July, 1920, a phoenix risen from the ashes of its predecessor in interest, the Manila Merchants Association. The Association had been an international group. Orthodox in its orientation, for many years it had pursued a course as tranquil as the China Sea under the sooth ing spirit of the northeast tradewinds. But in June, 1920, with the onset of the monsoon, fortune’s winds shifted to a more ominous quadrant. There came out from Washington a proposal to extend the United States coastwise-shipping laws to the Philippines. The Association’s directors — they were five, I believe—seldom held formal meetings. Proposals requiring their action were sent to them at their offices. The Secretary did so with this one. The di rectors turned it down, of course. Nothing was farther from their thought than to be privy to the chang ing of Manila, an expanding international harbor, into an American coastwise port. As I recall, the American directors concurred in this view, it seems to have been unanimous; but when it got to the Association’s general membership, the fat was in the fire. Americans were a decisive majority of the Association’s members. They seemed to feel the directors had exer cised snap judgment about this matter and that, in some way, a point of national prestige, or even one of national honor, was involved. They resigned from the Association en masse, and their resignations were the Association’s epitaph. Then, under the aggressive leadership of Captain Herbert Lee Heath, they set about the founding of a group of their own, to be called a cham ber of commerce. Never before, and never since, were they so much of one mind. Captain Heath kept the fires of indignation refueled, but also kept his head and had Walter Brune, a most able young man then in his employ in the abaca-export business, assist in counseling with other men like-minded with himself, on the vital detail of registering such a body’s articles of incorporation and drafting its by-laws. These aroused community leaders were not fooling. All that they did was spot news in the press. They meant to create this chamber of commerce, and to endow it with a permanent capital. Also, they meant so to write its by-laws that its administration would perpetuate itself. The by-laws provided for 125 Active Memberships, meant for corporations, at a membership fee of Pl,000 and dues of P10 a month; for any number of Associate Memberships, at an initia tion fee of P25 and dues of P5 a month for each such member living in the Manila area; and for Americans in the provinces, Affiliate Memberships at P2 a year,—the quid pro quo being registration of these men’s names and addresses with the chamber. In the heyday of this enthusiasm, once the organiza tion got underway, memberships reached 1200. But practically speaking, voting in meeting was by Active Members only. Only these members counted in deter mining a quorum for a meeting, and even among these, none could exercise more than one proxy. The minimum (Continued on page 274) Role of the American Chamber . . . (Continued from page 270) of the activity of an organization such as yours is there fore devoted to seeking common ground, at this higher level, with all those groups which have the same broad interest in the prosperity of this country. Finally, however, there is still a third level at which your Chamber seeks common ground with others, and that is what might be called the level of general welfare. Although yours is a business group, and your interests are specifically business interests, business is not and can not be done in a vacuum. What happens to the farmer, to the worker, to the miner, to the lumberman, to the agricultural-laborer, to the public servant, of this country matters a great deal to you, for they are your customers. Your investment is only as good as their economic con dition, and anything that improves their economic con dition and raises their standard of living improves your business. You have, therefore, a very real interest in seek ing a common ground of agreement with them, and with the Philippine Government and people, on programs and proposals that will expand the economy of this country, contribute to the security of this Republic, and contri bute to the general welfare of the Filipino people. In the course of seeking this common ground some disagreements are bound to arise, as they arise even in the process of resolving the views of your own members; but it must be kept clearly in mind at all times that the larger interest is the security of their people and their institutions, in the growth of the Philippine economy and in the improve ment of economic conditions that will benefit the whole Philippine people. This interest is one you can and do share with the Philippine people themselves. President Eisenhower said at San Francisco on June 20 this year: “We shall always maintain a government at home that recog nizes and constantly seeks to sustain for the individual those rich economic, intellectual, and spiritual opportunities to which his human rights entitle him. In our relations with all other nations, our attitude will reflect full recognition of theiF sovereign and equal status. We shall deal with common problems in a spirit of partnership,** I know that the record of your Chamber shows con clusively that you understand fully the nature of these roles which not only you but your business must play. I am confident that in the future you will continue to show the same broad vision, the same business statesmanship, which has enabled you to contribute so effectively to the growth of this country in the past. We have mutual defense treaties which we shall al ways honor. You who are in business here have certain business ethics which you must always honor. 272 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 273 Historical Data on the . . . (Continued from page 272) number for a quorum was fixed low, at 20 members only. The official name was set out at length, that there might be no confusing the organization with other bodies: The American Chamber of Commerce of the Philippine Islands* The number of directors was fixed at nine, the term at three years, with but three directors, barring vacancies, to be chosen at each succeeding annual meet ing, the date for which was fixed as the last Saturday in January. To anyone who knows Major Wm. H. Anderson, the proprietor of the importing company that bears his name, and then principal owner of another great house, Erlanger & Galinger, it is not hard to envision his read ing these by-laws, and between the lines, and, perhaps despite himself, paying tribute to the mind that con ceived them. (In Oregon, at McMinnville, before going to Manila as Captain of Company A, 2nd Oregon U.S.A. Volunteers, Heath, a born ethnocrat, had been the publisher-editor of a cocky community newspaper; and he had made it successful.) Everyone hustled for company members, to give the Chamber a capital of P125,000 in an initial sum (when the revenue of the insular government itself hardly reached P50,000,000 a year), but none hustled more than Major Anderson and a business associate of his, Theo bald H. Diehl. However, Major Anderson easily assum ed a pose of pessimism. Once the members were secured, and their checks, his zeal subsided. An importer after all, doubtless he had second thoughts. But all hands worked, Major Anderson being merely an outstanding example, and the Chamber was in business in a remark ably short time. Civil government in the Philippines was then nine teen years old. But the country’s commercial future had been underwritten by the Philippine Assembly in its inau gural session, that convened October 16, 1907, with t;he passage of the Gabaldon School Law, offered by Assem blyman Isauro Gabaldon, from Nueva Ecija, providing Pl,000,000, a sum continued annually thereafter, for construction of permanent barrio school buildings. This entailed employment for craftsmen, and of growing num bers of teachers—better teachers every year, at better pay—and roused that enthusiasm among Filipinos for education that has grown with time, and has made Ma nila one of Asia’s educational centers; and yet, even now, it is evident that the city is only at the threshold of its advancement in this direction. A child sent to school needs shoes, clothing, pencils, paper and books. This makes commerce grow. A tea cher. regularly employed soon sets about building her family a better home, with new conveniences. She sub scribes to a newspaper, through whose pages merchants exhibit their wares for sale. She sets a general example of advancement from penury to her community, and en trusts to banks regular pittances from her savings: the Postal Savings Bank, the savings divisions of the char tered banks. All this money, either spent or saved by the teachers, keeps running through commerce in active circulation .and sums many millions of pesos a year. Thus it is true that even as early as 1920 there were millionaire merchants and industrialists in Manila. The Chamber found itself in ample funds. It kept this state ment standing in its Journal, always a monthly ma gazine : “The American Chamber of Commerce of the Philippine Islands is a member of the United States Chamber of Commerce, and is the largest and most adequately financed American Chamber of Com merce outside the continental boundaries of the United States. The organization has Twelve Hundred members, all Americans, scatter•The name was changed to The American Chamber of Commerce of the Philippines in August, 1939. ed over the Philippine Archipelago from Tawi Tawi to Batanes. The organization of branches in all the American communities of the Asiatic Coast is being stimulated.’’ The statement also said the Chamber was ready “to furnish detailed information” to American manufactu rers, importers, exporters, or other Americans interested in Philippine matters, and that inquiries should be sent the Secretary at the Chamber’s address, No. 2, calle Pinpin. This address was the entresuelo of the oldtime Casino Espanol. Luncheon was a special feature of the Chamber’s activities, so a cuisine staffed with Cantonese cooks and waiters was provided. This was supplemented with a bar, on which Captain Heath frowned, where the profit went some way in making up the restaurant de ficit. On Wednesdays, for a number of years, luncheon patrons were addressed by speakers, either Malacanang officials or Philippines visitors, some of them very not able. All this, colorful as some of it was, was quite subordinate to the serious purpose of the Chamber, that, in those formative years, was to strive for a future for the Philippines at some point short of their complete inde pendence from the United States; and at first, of course, to sanction the extension of the coastwise laws to em brace the Archipelago. But membership opinion sharply divided on this issue, and it is not my recollection that a Directors’ resolution in approval of it ever got into the records. (Even if had, scores of Active Members would have neutralized its effect with immediate adverse cables to their American business correspondents. It was a chi mera.) Names of the nine Directors elected at the first an nual meeting, January, 1921, follow: C. W. Rosenstock, Stanley Williams, Walter E. Olsen, H. L. Heath, C. M. Cotterman, E. E. Elser, Henry J. Belden, B. A. Green, R. M. McCrory. Since three would have to serve but one year, so that the by-laws might be obeyed, and three for two years, lots were drawn to see how this would turn out. The three-year men were Rosenstock, Williams, and Olsen (but both Williams and Olsen resigned in 1922). The two-year men were Heath, Cotterman, and Elser, Heath resigning in 1922. The one-year men were Belden, Green, and McCrory. Belden and McCrory were suc ceeded in 1922 by S. F. Gaches and Simon Feldstein. Heath, the organization-months President, was elected President for 1921. (When Williams resigned in 1922, and then Olsen, both for reasons remote from any disagreement with the policy, Horace B. Pond and A. Walter Beam took their places. The coastwise project was more and more out of the running. Because of the staggering of the election of Direc tors and the low number at which the legal quorum for a business meeting of the Chamber was set, quite aside from the prestige of the Directors, changes there were comparatively few. Still, such a man as Williams, managing the National City Bank (he is now almost my neighbor again, living at Palo Alto), might be called away to another branch of the Bank; and death comes now and then, inevitably, sometimes preceded by retire ment homeside, as in the instance of Heath and Walter Beam, or business reverses might sour a man about stay ing on in a position to which he was chosen at a happier time. To the names of the Directors already noted, I ap pend those of all others up to the Pacific war, December, 1941, and I include all alternate Directors, four of whom, by a Heath-proposed by-law change in 1923, were chosen each year: M. M. Saleeby, A. L. Ammen, Carl Hess, Leo K. Cotterman, H. M. Cavender, George H. Fairchild, Ro bert E. Murphy, Fred A. Leas, W. L. Marshall, John L. Headington, John T. Pickett (a charter Active Member, the only British subject, I believe, among them all), W. 274 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 275 HOME OF QUALITY PRODUCTS SINCE 1890 the 65-year history of San Miguel Brewery, the management has consistently maintained the policy of manufac turing products of the highest quality at the lowest possible cost to the consumer. In order to carry out this policy, the facilities of the company have been continuously expanded and improved so that today, as in other years, San Miguel products and facilities know no peer. San Miguel Pale Pilsen Magnolia Ice Cream Pressed Glassware San Miguel Cerveza Negra San Miguel Super Bock Coca-Cola Royal Tru Orange Royal London Dry Ginger Magnolia Cream A Milk Magnolia Cones Ice Plastics Aluminum Collapsible Ale Royal Soda Cock'n Bull Ginger Ale & Ginger Beer Cold Storage Facilities CO' (Liquid & Solid) Corrugated Board Boxes Glass Containers Tubes Metal Closures Metal Lithography Fleischmann's Active Dry Yeast B-Meg Feed Products Writing Fluid lltigucl *6rtivery.3nc. L. Applegate, Walter Z. Smith, A. B. Cresap, R. S. Ro gers, E. D. Gundelfinger, J. C. Rockwell, N. H. Duck worth, Frank W. Butler, H. Dean Hellis, C. M. Hoskins, G. M. Ivory, E. Byron Ford, A. P. Ames, E. M. Grimm, R. L. Reynolds, L. D. Lockwood, R. E. Cecil, Carl G. Clifford, Kenneth B. Day, E. Schradieck, Verne E. Miller, Wm. H. Rennolds, Charles S. Salmon, Sam Fraser, E. M. Gross, Omar M. Shuman, S. R. Hawthorne, Frank H. Hale, E. J. McSorley, J. P. Heilbronn, D. L. Cochran, E. M. Bachrach, Paul A. Meyer, and Julius S. Reese. The period covered is twenty years. Heath’s resig nation in 1922 was doubtless in preparation for an ex tended sojourn homeside, largely spent in awakening American business interest to the importance of the Phil ippines in the country’s overseas trade. Mr. Cotterman was the President that year, but he assigned himself to work at Washington, which he did for years. Vice-Pres ident Elser took over as Acting President, and ran the job off clear through 1924, it would seem, and my per sonal memory records that it was for a long period, with his usual tact and conceded ability. The Chamber has had but few Presidents, again thanks to the by-laws so obviously favoring longevity in the office; and of course, to a degree, to the popularity of some of the incumbents’. When Heath got back to Manila from the United States, and was again elected to the Board, he was President during 1925-1926-1927. Bob Murphy was elected President in 1928. Dying in office, he was succeeded by Vice-President Cavender. (In his memory, for Bob, like Ed Elser and Mr. Cotter man, was gracious toward the Journal, I turned the slug that bore his name in the list of Directors and Officers of the Chamber, and kept it turned until the next annual meeting—that is, the Directors’ meeting following it— chose his successor.) Vice-President Paul A. Meyer, who had been one of the first four Alternates, elected in 1923, was elected Pres ident the first time in 1929 and kept the office ten years, through 1938. Sam Gaches followed him in 1939, and, re-elected twice, was ending his third year as President when, December 8, 1941, the Philippines were engulfed in the Pacific war. He also had many years as Treasurer, after the early years of Ben Green in that post; and of course, had been a Vice-President, continuity in office dictating that course up the ladder. Perhaps we have now reached down to the Secre taryship. Aside from Walter Brune during the forma tive months, the Chamber’s secretaries were H. I. Mo zingo, 1921, to April, 1923; Walter Robb, May, 1923, to April, 1926; John R. Wilson, April, 1926, to his death, July 5, 1935; Carl G. Clifford, July, 1935, to his resigna tion, February, 1939; James S. Dolan, March, 1939, to his resignation, August, 1940; and again Carl G. Clifford, September, 1940, to the Pacific war.* As long as its capital was intact, the Chamber could make loans of substantial amounts at the going high in terest rates. Some of these accommodations helped de velop Manila’s suburbs. Mrs. Quiogue made use of a loan of P80,000. This paid, a loan of ?70,000 was taken by Henry Elser in behalf of his San Juan Heights realty de velopment. In this field, the foresight of the Chamber’s founders paid off handsomely. The earlier leases on pre mises for the Chamber were also in its financial interest. •In 1947, the executive functions of the Chamber were transferred from the Secretary to an Executive Vice-President. The post-war Secretaries and Executive Vice-Presidents have been, or are: Robert S. Hendry, Acting Secretary, February to March, 1945; C. G. Clifford, Secretary, during a few weeks in March, 1945. John L. Manning, Acting Secretary, April to August, 1945; Leon M. Rosenthal, Acting Secretary, September to December, 1945; Se cretary, January to December, 1946; Executive Vice-President, January, 1947, to the day of his death, March 19, 1948; I. T. Salmo, Secretary, March, 1947, to the present; Marie M. Willimont, Executive Vice-President, March, 1948, to December, 1951; ^^Virginia Gonder, Executive Vice-President, December, 1951, to August, Stanley N. Fisher, Executive Vice-President, September, 1954, to the preA fter two or three years at No. 2, calle T. Pinpin (the **■ name is for the first Tagalog printer under Spain), when leases upstairs could be got past, the Chamber moved up there, with Dr. McVean and perhaps one or two other tenants down at the Escolta end. Here was an excellent large square hall for the dining room, the kit chens at the rear, and the bar just around the partition; and the entresuelo was at once leased to a very loyal Active member, the E. J. Nell Co., Ltd. This place was so attractive that I felt a series of Sunday afternoon lec tures at a peso a ticket would net something for the aid fund. Manuel Pellicer, senior partner in the Manila Shirt Factory, Manila’s leading drygoods store and tailor ing establishment, bought the first two season tickets for himself and a teen-age daughter, and attended regularly. The I lecturers, none paid, not even transportation, were highly qualified: Dr. H. Otley Beyer, Father Fran cis X. Byrne, rector of the Ateneo,—who had headed the American Jesuits from their Philadelphia House to Ma nila after the World War; and so on, among a dozen. But the project failed. Few Chamber members had the yen for such things, including the finest books, that Thomas J. (“Tommy”) Wolff had, and also Mrs. Wolff, and I was never tempted down that road again; although it was all a Sunday affair, on my own time. Better sources of aid funds, administered until Wilson’s advent as Secretary by A. Schipull, Assistant Secretary, under a Committee, were the plays sometimes staged by Julien Wolfson. Expenses took all box-office receipts, of course, but the plays were well staged, popu larly attended, and the program “ads” left a net balance. This was good public-relations work. The Chamber also once gave a benefit for the Frawley troupe; or it may have been somewhat the other way around. In that pe riod, Frawley—was his baptismal name Daniel?—led a first-rate clutch of troupers to the Far East almost every year; and the Manila take was not consistently liberal. This time there was a remarkable baritone along, and he didn’t leave. He found an oldtime schoolmate in Manila. Romance revived. Double tragedy followed, mutual suicide at the Luneta Hotel. Meantime, a Wed nesday meeting at the Chamber had enjoyed the trou pers as guests, their after-luncheon floor show, and this star’s emotional rendition of Danny Deever. But enough of flashbacks to such non-essentials. The aid fund at that time was always ample, and Colonel Gor don Johnston, an aide of Governor Leonard Wood’s, and an Associate Member and charter member of the Round Table, seized the opportunity to found the American Guardian Association to assist children of American fathers who stood in need of help. t have mentioned the Round Table. It was another of -*■ Captain Heath’s ideas, that he was able to carry out with the move upstairs on calle T. Pinpin. The table was some 12 feet in diameter, had 18 members, and their seats were 20 degrees apart, a space determined by a com pass mounted on a silver stand at the precise center of the table. Miniature silver halberds pointed to each seat, and pendent from each was a silver blade bearing the seat’s owner’s name. This was a Heacock job. But the more prominent visitors to the Chamber were always guests at The Mc Gregor table (for wherever Captain Heath sat was the head of the table, and he was as Scotch as heather); and these strangers, not always able, at their distance from it, to see the knights’ escutcheon clearly, sometimes mis took it for a cruet. It required frequent polishing, and the table boys were relieved when they were at last allowed to stow it in the pantry. But the table was a strong lode stone, and always remained the President’s dais. after General Wood became Governor General in **■ 1921, with much to be done that called for men of 276 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 277 leadership and experience, one of the best decisions the Chamber ever made was to tender him the services of its members. In a sense this was a bandwagon, but discre tion would manage it. One appointment alone more than offset all risks. This was Charles M. Cotterman’s appointment to the directorate of the Philippine Na tional Bank. Cotterman was, in my judgment, without bias against any others whatever, in sheer qualities of character and tried ability, the most eminent American ever long resident in the Philippines. Wood fully recog nized this, Cotterman, very fortunately, could freely see him at any time; and Filipinos had equal trust in him, even the Party leaders, Quezon and Osmena, always fully aware of his opposition, on principle, to their drive for independence. No Filipino will forget, as no American should for get, how Charlie Cotterman, with Pecson, at the Bank, backing him to the hilt, but otherwise single-handed, saved all the “Bank” sugar centrals, then indebted , to the Bank in a sum of nearly P50,000,000, to the people who owned them, who had pledged their plantations to pay for them,—Filipinos themselves. Cotterman would have given his life to avert from General Wood’s head, and from his public record, the shame entailed in the scheme that had been hatched up to “sell” these rich properties to an American syndicate that was to pay for them just as the planters, the Filipi nos, paid for them, out of their continued operation. In the end, all hands concerned in the Cotterman-Pecson plan turned a well-earned profit,—the Bank most of all. And the money stayed in circulation in the Philip pines. Benefits from this will outlast generations. At the same period, Captain Heath helped for a time at the National Development Company. Ed Andre (he was the Belgian consul in Manila at the time of the American occupation), had got into debt to the NDC ior the cost of a rope factory he had built. Heath’s prin cipals in San Francisco, the Tubbs Cordage Company, made an offer for this mill—and it was no inside offer— and bought it, to found the Manila Cordage Company and relieve NDC of a white elephant. Before going farther I ought to note the legal ser vices Attorney Ewald E. Selph rendered the Chamber from the very beginning, as its legal counsel (and the si milar services of Attorney E. A. Perkins, on occasion, and those of Justice Fred C. Fisher, on at least one oc casion,—clarification of an involved report from Wash ington, affecting commerce). For I shall now speak of legal opinion of a less reliable type. It may be noted in passing, though, that the Philippines budget for 1924 was P67,045,249 (and there was warning from the Cham ber that it was extremely high, that to meet it either more industry would be required or more taxes), and the favorable balance in overseas trade, P66,506,456. yvTHiLE the coastwise project got nowhere, in 1923 a resolution appealed to Congress to erect the Phil ippines into an organized territory. This, too, got no where. But advocates persisted, at last coming up with the argument that Congress has no power to alienate ter ritory voluntarily, and to do so requires a mandate from the States. A resolution along these lines was addressed to Congress after a meeting presided over by President Heath July 19, 1927, through the Pan Pacific Conference then sitting at Honolulu, or possibly about to sit. The mandate Congress was to seek from the 48 States was to determine “whether or not sovereignty should be with drawn from the Philippines in accordance with the al leged promise in the Preamble to the Jones Bill.” This was about the end of the one-sided struggle. It is noteworthy that General Counsel Selph seems to have taken no part in the legalistic tours de force that ENGINEERING EQUIPMENT & SUPPLY COMPANY, Inc. MACHINERY • MECHANICAL SUPPLIES • ENGINEERS • CONTRACTORS AIR CONDITIONING For Offices, Theatres, Hospitals, Stores, Restaurants, Hotels, Clubs and Homes ★ ★ ★ Suppliers of MACHINERY, EQUIPMENT and INDUSTRIAL SUPPLIES For Sugar Centrals, Mines, Sawmills, Power Plants, Machine Shops and All Industrial Plants ★ ★ ★ ENGINEERING — DESIGN — APPLICATION — ESTIMATES INSTALLATION — MAINTENANCE — SERVICE — REPAIRS General & Sales Office 174 M. de Comillas Manila Tel. 3-29-21 ★ ★ ★ Operating: MACHINE SHOPS • STEEL PLATE SHOPS STRUCTURAL STEEL SHOPS • WELDING SHOPS • BLACKSMITH SHOPS • SHEET METAL SHOPS • MARINE RAILWAY Engineering Shops No. 1 Calle L. Segura & Pasig River Mandaluyong, Rizal Tel. 6-65-68 led up to this resolution, nor either of his senior partners: neither Judge James Ross nor, in the San Francisco office, Hamilton “Ham” Lawrence. But such debates, how ever bootless, made the Round Table a diverting place to lunch. It was coming to be the end of an era. Bob Murphy came to the Presidency the next year, with the inclination to go along with American political policy toward the Philippines, and the natural aspirations of the Philippines people, and to see what might come of that. But quite early after the Chamber was founded, in 1924, the Mission to the United States of the American Chamber of Commerce of the Philippine Islands, headed by Captain Heath, President, and including Vice-Pres idents Charles M. Cotterman and John W. Hausser mann, opened a modest headquarters in downtown New York City and staffed it with Norbert Lyons, a writer charged with getting out a periodical of 4 pages, Progres sive Philippines, for free distribution to American edi tors, members of Congress, and others who might appre ciate receiving it. Lyons, an emotional man of some eccentricity, but sincere in his views, a seasoned correspondent and a fast typer of journalese, was fully capable of making such a sheet lively and interesting. But in calm retrospect, the whole activity seems to have had no appreciable effect upon the course of empire,—that course having conti nued to be toward letting empire slip down the drain if it involved abating the just aspirations of the Philip pines; and so we have come to the mutual respect and confidence between ourselves and the Filipinos that in this hour of real problems stands us in such good stead. (I hope that the Chamber’s tranquil course under the long reigns of Messrs. Meyer and Gaches is well enough recalled by most Chamber members now, not to demand much space here,—a commodity of which I see I’m running short.) It was Lyons’s leaving Manila for New York that put me into the editorship of the Journal, June, 1924. In April, 1918, as editor for Carlos Young of the Cablenews American, he hired me as a reporter, and I quit teach ing (my last year had been in the Cavite Provincial High School) to go into newspaper work. But when, after the newspaper strike, that the Chamber had a conspicuous part in settling, under terms reached in Captain Heath’s office, Young presently disposed of this property to a syn dicate that put Bob Murphy in charge of it. Lyons, ex cept for his work as Manila correspondent for the New York Times, was, as actors modestly say, at liberty. Heath, who liked him, and with good reason, latched onto him to edit the Journal. It is my view that he did a first-class job, but I no longer have all his work to judge from. Vols. I and II, bound under one cover, were borrowed twenty years ago by Al Valencia, then on the Bulletin, who had some his torical stuff to turn out. That was the last I ever saw of them. Al told me, when I telephoned him about them, that he had already sent them back to me as he had pro mised to do. And I believe him, and that they were lost in transit. But I have Vol. Ill, and in it Lyons’s fine story on old Manila churches, besides a lot of other stuff on a par with it. When I took over the Journal from him, I was still the Chamber’s secretary. But when Captain Heath had me give this up in favor of John R. Wilson, I got a new contract as editor and manager, under the Publicity Com mittee, of course, that lasted me out to the end, though I was told often enough that really it was not worth the paper on which it was written; but these were gentle jibes, intended, perhaps, as encouragement. The contract gave me 90% of the net profit, per month, the remaining 10% going to the Chamber. The Journal, then, since the profit from the bar rarely covered the loss on the restau rant, returned the Chamber thousands of pesos, in the fifteen years I ran it under this arrangement (a bas le mot cont rati), and was the sole profitable activity the Chamber had, the lending of its capital excepted. 'the Chamber remained two or three years upstairs A on calle T. Pinpin, when William J. (“Bill”) Odom, an Active Member, his Gibbs buildings completed on calle Dasmarinas at the calle David crossing, leased one whole to the Chamber (his agreement with Judge Allison D. Gibbs being that he would put up the buildings for five years’ rent) and occupied its third floor, sub-renting the second floor to Dr. W. H. Waterous, Dr. L. Z. Flet cher, and one room to A. T. Gillespie’s S & W agency, until Fletcher wanted it, together with the Journal room, whereupon I was moved upstairs too. The ground floor was sub-leased to business tenants. The rentals gave the Chamber its quarters free. They were hot, but spacious. Neat, not gaudy. For years, of course, there had been no Wednesday speakers. The Chamber was attending to its mutton. And it still husbanded its capital. The Nell Company leased the twin of this build ing, immediately east of .it, and a passage cut through gave the Nell people access to the Chamber without tax ing the elevator, an automatic one. yvriLsoN E. Wells, an Internal Revenue man sent to w Manila, who cottoned to the Chamber, joined it, also the Round Table, and came to be chairman of its House Committee, possibly had some influence in break ing this arrangement up, in 1939. The Heacock Build ing had crumbled from a recent earthquake (and I think that was in 1937), a finer one had risen in its place, hous ing on the Escolta floor and mezzanine what was claimed to be the most modern retail store in the Far East at that time, the Chamber leasing the top floor and equipping and decorating it somewhat lavishly. The Journal was housed on the fourth floor, and saddled with rent for the first time. I am ignorant what the subsequent state of the capital account was. But no more rents were accru ing to it, and the general assumption was that the move cost a good deal of money. The Journal rent, of course, went to the Company. J. S. Dolan was Secretary when the move was made, November, 1939. He was soon out, and Clifford back in. Among random assets the Chamber inherited from the Manila Merchants Association were bound volumes of its own journal. These the Chamber kept in the Secre tary’s office. Competently used, they were valuable. Secretary Wilson, given, like Secretary Clifford after him, to magnifying the past, belittling the present, and doubt ing the future, was wont to riffle through them on oc casions, for data to support conclusions at which he had already arrived; and the output of these desultory lucu brations are immortalized in the files of the Journal. If the Chamber still has these volumes they are even more valuable now than they were then, but I assume they were casualties of the war at Manila. As all know, the postwar move of the Chamber has been to the Elks Club Building. I cannot say I believe in the isolation along national lines of one group in a business community from another, or from all others. But I’m not there, and this view is beside the point. Many of my friends are there, though, and I certainly esteem numbers of them as among the better men I have ever known; and I wish one and all, friends or not, and the Chamber itself, the most reward ing future possible. 278 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 279 The Chamber during the First Year after Liberation By Robert S. Hendry Dear Mr. Hartendorp: AN article is out of the question. My connection with the Journal (in terms of productive activity) was so brief that it couldn’t make an article. However, I’ll note a few of the things that remain in my memory for whatever use this may be. As I remember, Walter [Robb] left the Philippines the latter part of Sep tember, 1941. The October issue of the Journal was already made up. I think I was responsible for only two issues before the war: the November and December issues. Putting the finishing touches on the December issue was a bit hectic. The bombs were falling before it was distri buted. I think the distribution took place on December 10 or one or two days earlier. On the cover of that issue was the official “Keep ’em Flying’’ emblem. Later, in Santo Tomas, I was ques tioned at considerable length about that. The Japanese claimed to have the idea that it was the emblem of a very insidious, super-secret organization. But they did me no harm and only questioned me that once. I really don’t remember when the first issue of the Journal was published after Liberation. I know I was anxious to get the Journal started again and was en couraged morally by Bill [Wm.H.] Rennolds and others. However, it had to be on the old basis, with the Cham ber not assuming any financial responsibility. Hal [H.A.] Linn [Business Manager, Manila Daily Bulletin] helped me to work out the advertising rates and Carmelo & Bauermann, Inc. agreed to print,—at a price, of course. My editorial board, if I re member correctly, consisted of Rennolds, [C.M.] Hoskins, and Leon Rosenthal. I believe it must have been January or February, 1946 (you have the exact date, I am sure). I was making my living by working for the OWI [Office of War In formation] and then the USIS [United States Information Service], so I was able to get the Journal out every now and then. Finally, I resigned from the USIS to devote my time to the Journal and my book business. Then Mr. [R. McCulloch] Dick made me an offer to join the Philippines Free Press which, under the circumstances, I could not afford to turn down. I hoped to be able to continue getting out the Journal, but two jobs, events proved, were impos sible for me at that time. I couldn’t do full jus tice to both. And then, fortunately for everybody, you became available, took over, and have acquitted yourself with great credit. So there it is. As for the post-liberation “Information Service”: I think I can claim credit for the first suggestion for that, though all the Chamber directors who discussed it were very much in favor of starting it as a community service. [E.D.] Gundelfinger, Aubrey [P] Ames, Kenneth [B] Day, EVERETT TRAVEL SERVICE— * PLANES — SHIPS — TRAINS — BUSES - HOTELS ¥ PAPER WORK - CLEARANCES — VISAS — PROCESSED FREE OF CHARGE * ORIGINATORS AND PROMOTERS OF THE FAMOUS 17-DAY HONGKONG — JAPAN CRUISES - ON FRENCH LUXURY LINERS * EXCLUSIVE PHILIPPINE AGENT _ THOS. COOK & SON ¥ OFFICES THROUGHOUT THE ORIENT=AGENTS THROUGHOUT THE WORLD EVERETT TRAVEL SERVICE 155 Juan Luna P. O. Box 1846 301 Dewey Blvd. Tel. 2-79-31 Manila Tel. 5-31-88 Sketch of the Post-War By A. V. H. History of the Chamber Hartendorp THE first post-liberation meeting of the officers and members of the Board of Directors of the Chamber was held in the Santo Tomas Internment Camp on February 17, 1945, just two weeks after the relief of the Camp by the first units of the United States Army to enter Manila. Fierce fighting was still being waged in various parts of the city. The meeting was presided over by S. F. Gaches, the pre-war President, and was attended by E. D. Gundelfinger, J. C. Rockwell, N. H. Duckworth, and E. B. Ford. Mr. Gaches and Mr. Gundelfinger were authorized to sign promissory notes on behalf of the Chamber up to P5,000 in amount to meet immediate expenses. Mr. R. S. Hendry, acting Secretary, was au thorized to establish the “Information Service” which he mentions in his letter; Later that month the Chamber opened its first post liberation office near Santo Tomas at No. 348 Espana, paying, as Mr. Hendry wrote, Pl,000 a month rent. Sub sequent meetings of the Board during March were at tended by other pre-war members of the Board,—R. E. Cecil, the pre-war Treasurer, C. H. Clifford, the pre-war Secretary, who took over the secretaryship from Mr. Hendry for a week or two before he left for the United States, J. L. Manning, who after him became act ing Secretary, J. L. Headington, A. G. Bellis, P. A. Me yer, and C. M. Hoskins. Later meetings held during that year were attended also by J. A. Cotton. For a time, the Espana office of the Chamber be came a distributing center for messages received over the Press Wireless, Inc. system, which provided the only means of telegraphic communication during those months. The office also became an unofficial post office. In the earlier days of its existence,—it is to be re membered that the Chamber was organized in July, 1920, approximately a year before the change-over from the Wilson to the Harding Administration in the United States and from the Harrison to the Wood Administra tion in the Philippines—the Chamber often took a po sition on political issues, as it had a right to do when the Philippines was American territory and Americans here had the right to vote and the right to hold elective office, although these particular rights were exercised by only a few. But there was a change in Chamber policy in this respect, especially after the establishment of the Com monwealth, under the Constitution, ratified in 1935, which (legally or illegally) limited the suffrage to “male citizens of the Philippines” (the right being extended to women citizens later). The Americans in the country did not challenge this disenfranchisement, as, at that time, I believe they could have successfully done. The right to vote did not appear important to the Americans who constituted so small a minority here, and had they main tained the right, they could have exercised it only for a relatively short time,—up to the establishment of Phil ippine independence scheduled after ten years. At any rate, the more purely political activities of the Chamber ceased upon the establishment of the Commonwealth. The first thing Samuel F. Gaches said upon becoming Pres ident of the Chamber in 1939, was: “Our job is econo mics, not politics.” It is interesting, in this connection, to quote from the minutes of a meeting of the Board of Directors on March 31, 1945, as follows: “Mr. Gaches presented for the approval of the Board a state ment to the effect that the American Chamber of Commerce is not a political body and not concerned with political affairs, but is interest ed only in the commercial and industrial rehabilitation of the Philip pines. This in connection with the request by the newspapers for a statement from the President of the American Chamber of Com merce on Mr. McNutt’s suggestion to delay in granting full independ ence to the Philippines. “The Chamber is interested in the following, specifically: “(a) Prompt opening of the banks and other financial institu tions: “(b) Immediate establishment of civil and commercial transpor tation facilities, permitting the economic law of supply and demand to work toward reduction of prices. “(c) Distribution of supplies through normal channels of trade instead of government agencies. “The Board of Directors unanimously approved President Gaches’ statement and offered the services of the Chamber to assist in such a program.” In May, the Chamber moved to the Peoples Bank Building, at 605 Dasmarinas (now Heacock’s), sharing the ground floor, one large room, with five or six other business entities while the streets were still being cleared of the debris of war and the building itself was just begin ning to be repaired. The first post-war issue of the Journal, edited by Mr. Hendry, was that for December, 1945. It contained a heart-warming message from Commonwealth President Sergio Osmena: “I welcome this opportunity to speak directly to the American business and professional men who have lived and worked with us in the Philippines. Many of those who were here with us in 1941 are no longer here, and can never join us again. Without hesitation, they threw themselves, untrained in war though they were, into the con flict against the Japanese. Some gave their lives on Bataan and Corregidor and in many fields of guerrilla warfare. Others died in prison camps. We can address no words to them, but we shall always re member them as heroes. I remember as all being very helpful,—no doubt others also whose names slip my memory. When Sam [Samuel F. ] Gaches came into the Santo Tomas Camp (from the Philippine General Hospital, I think), he threw his weight behind it. • Money was raised by him and Gundelfinger and I was instructed to rent adequate space. So I got that house across from the Camp; P1000 a month was the rent. Prior to that move, I had been operating, after February 8 or 9, at a little table on the sidewalk outside of Miranda’s store. Also a bicycle was bought for some ungodly amount and my young brother-in-law, George, was put to work delivering letters and notes from people in the Camp to friends outside who could also leave mes sages at the “Chamber” for delivery inside. While deli vering a letter to General [L.A.] Diller at MacArthur’s Headquarters in the Trade and Commerce Building, George lost the bicycle; it was stolen from the lobby of the building with several MPs looking on. However, another one was bought, for the .messenger service was too useful to drop. Francisco Llaguno was the first person to join me. In those days the securing of even the simplest office supplies was a serious problem and Llaguno was of great help in this and other matters. [Pascual] Poblete also joined us and we began to get out notices of houses for rent, etc. Then Rosie [Rosalie Schnabel, now Isbell] joined us. Is she still with you?* I continued with that work until the latter part of March, when I joined OWL. Cordially yours, Robert S. Hendry ‘Rosie, after ten years of service to the Chamber, and her husband left for the United States last month to make their home at Vallejo, California. Mr. Llaguno is still assistant to the editor of the Journal. 280 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 281 "But I am glad to be able to speak to those who have survived the hardships of these terrible years. And my message is one of warm friendship and hope for the future. It is true that the past can never return. Conditions of life and business are not what they were before the war. Today you face the uncertainty that confronts us all. Your properties have been destroyed. Your homes have been looted and burned. Your enterprises, to which you have devoted your lives, have been disrupted. Political changes of great importance lie ahead. And you no doubt wonder what your future will be. "At this time, therefore, I should like to tell you that your forty years of woik and development in the Philippines have won our sincere friendship and respect. Your record in business and pro fessional life here in the Philippines is an enviable one. Your pro gressive enterprise was an important element in the building up of the Philippines. Your relationship with the government and people have been honest and upright. Your promptness in paying your taxes to the government is well-known. You have been liberal with your employees, in pay and treatment. You have been generous in your support of philanthropic enterprises and have often taken the ini tiative in their development. Without you, the Philippines would not have been the same. Most of our commercial and industrial lea ders have been trained by you. In the past we have always welcomed your presence, and we hope that you will remain with us in the fu ture. The task of rebuilding the industry and commerce of the Phil ippines will be a gigantic one. We want you to stay and help us carry out this task.” Editorials in that first issue of the Journal welcom ed the appointment of Paul V. McNutt as U. S. High Commissioner, and dealt with the need for imports,— “Give Us Imports’’ was the title, and with the serious “black market” problems which plagued the country. A month later, on January 6, 1946, Chamber Pres ident Gaches died of a heart attack, and the first annual meeting of the members of the Chamber held on Jan uary 25, 1946, was presided over by Acting President Amos G. Bellis, who said in his opening speech: “This is the first Annual Meeting of this Chamber since January, 1941, and it is with deep regret that I open this meeting with the sad announcement of the death on Sunday, January 6 of this year, of our late President, Samuel F. Gaches, whose unusual energy will be greatly missed. There is no doubt that his labors for this Chamber during the past nine months and his labors on behalf of the various companies with which he was associated contributed to his death. He came out from the Internment Camp a sick man', and should have returned to the United States for recuperation, but he decided that he owed it to his business associates to remain on the job...” A resolution in honor of his memory and of condo lence with Mrs. Gaches was adopted which referred to his “courageous outlook at all times, especially during times of distress and upheaval”, to his “inspiring leader ship”, and to his great service to the Chamber “and all it represents.” Only 22 active members were represented in person or by proxy at this first post-war annual meeting. The men elected to the Board were Amos G. Bellis, A. D. Cal houn, J. F, Cotton, S. Garmezy, E. M. Grimm, E. B. Ford, J. A. Parrish, J. S. Reese, and W. H. Rennolds. Later Rennolds was elected President, Bellis Vice-Pres ident, and Ford Treasurer. Leon Rosenthal had mean while, in September, been appointed acting Secretary, relieving Mr. Manning. The work of construction on the Peoples Bank Building forced the Chamber to move to the Gibbs Build ing next door, and from there, in May, 1946, the Cham ber moved to the eight floor of the Trade and Commerce Building on Juan Luna Street, shortly after that build ing had been vacated by the U. S. Army. Only six issues of the Journal were published dur ing 1946. The February issue dealt mainly with the an nual meeting of the Chamber and with the Bell Trade Act, the April issue with the Tydings Rehabilitation Act, the July issue with the establishment of the Philippine Republic, the August issue with the Philippine War Dam age Commission, the September-October issue with the Treaty of General Relations between the United States and the Philippines and the turn-over of United States “surplus property” to the Philippines, and the Decem ber issue with the recently reopened Manila Stock Ex MGISTRADA DISTRIBUTORS J. P. HEILBRONN CO. (Established 1909) 575 Atlanta, Port Area, Manila Tel. 3-54-06 Private exch. conn, all Depts. RVC.ISTRADA change, land settlement problems, and the lumber in dustry. In 1947, only two issues, one the February and the other the April issue, were published under the editor ship of Mr. Hendry. His resignation was accepted with regret early in April. The first issue to come out under the present editorship was that of July, 1947. The month of July, 1947, also marked the next move of the Chamber,—to a larger room on the fifth floor of the Insular Life Building on Plaza Cervantes. While in the Insular Life Building, the Chamber on March 19, 1948, suffered the sudden death, of a heart attack, of its Executive Vice-President, Leon Rosenthal. Mr. Rosen thal had come to the Philippines in 1899 with the Army and had his own stock-brokerage business at the out break of the war. Like practically all the other members of the Chamber, he spent three years under enemy in ternment and had suffered in health. His knowledge of the country, his broad business experience, and his dig nified but amiable personality especially fitted him for the important position he assumed in the Chamber. He was seventy-five years of age but was youthful and vigor ous in mind and spirit. He died in the office of his phys ician, to whom he had gone for relief for an asthmatic attack, after a full day at his desk during which he had given no sign that he felt especially unwell. Mrs. Marie M. Willimont, the wife of a Manila bu sinessman who had had considerable office-management ex perience of her own, was appointed Executive Vice-Pres ident in Mr. Rosenthal’s place, and the Chamber remained in the Insular Life building room until April, 1948, when a move was made to two large communicat ing rooms on the fourth floor of the El Hogar Filipino Building, just opposite the Ayala Building and along-side the Pasig River. The office of Mr. Frederic H. Stevens, Chamber President during the three years, 1947-1949, was right next door, very convenient for all concerned. The editor wrote of the view from his window (in the “Hair-Down” column for April, 1949): “Between .the two buildings (the Hogar and Ayala buildings] runs the ramp of the temporary Juan Luna Bridge. A hundred yards upstream, the Puyat Company is cleaning up the wreckage of the Jones Bridge, blown up and destroyed by the Japanese, preparatory to building a new one in the same place. Power-drills are making a terrific racket and several times a day all the buildings in the area are shaken by the dynamite explosions. “Across the river lies what is left standing of the old Walled City of Manila (Intramuros), and, right opposite, stands the reconstruct ed building of the Philippine Chamber of Commerce. Most conspi cuous from our windows overlooking the river are the Manila Post office Building to the left, which looks all right from the outside now, and to the right the Intendencia Building, soon to be the home of the new Central Bank, also being reconstructed. The large City Hall, with its tower, rises in the center distance. The Metropolitan Thea ter is still largely unreconstructed. The largest ruins in sight are those of the old Santo Tomas Convent and the Santo Domingo Church, and still standing is the greater part of the famous San Augustin Church and Convent, the oldest buildings in Manila. Farther off on the horizon are the Army and Navy Club and the Elks and the Uni versity Club buildings, the Manila Hotel, of which only the upper parts can be seen, and, still farther, the American Embassy. We can not see much of the Bay, but we can see the broken arch at the en trance of old Pier Seven, now Pier 13, and the superstructures of a number of large ocean-going ships. “Though, from this view, Manila is still largely a city of ruins, the sight is no longer dreary. There is too much ‘movement and too much noise for that. Automobiles and trucks and buses rush across the field of vision in unending streams. In the acoustical scale far be low the occasional dynamite explosions and the intermittent racket of the drills, but all-pervading, is the deeper rumble of the traffic in the streets and over the temporary bridge with its sharp horn-blow ing, and in counterpoint one hears the chugging and put-putting of the tugs and launches on the river. From nearer by, in arpeg gios, comes the sound of stone-chisels, saws, and hammers, and everywhere one hears the voices of men at work. “It is all in great contrast with the days of the enemy occupa tion, especially during the months toward the end, when the whole great city was as silent as a country town, when the grass grew in the dirty streets, and only an occasional push-cart was to be seen and the ragged, famished-looking people slinked along and never raised their voices.” The reader may raise an eyebrow over pegging even a mere sketch of the post-war history of the Chamber on its physical moves from one place to another, but this in itself effectively conveys some idea of the difficult cir cumstances under which the organization operated dur ing the early years following the war. The moving about characterized almost every government as well as business office in Manila, not to mention families and individuals. In the beginning it was literally true that hundreds of thousands of people in Manila had “not where to lay their heads”. While still in the El Hogar Building, Mr. Paul H. Wood, of the International Harvester Company of Phil ippines, was elected President to succeed Mr. Stevens. He, in turn, was succeeded by Mr. J. A. Parrish, of the Standard-Vacuum Oil Company, who, after many years in the Philippines, was due to retire in 1952 and looked upon his election as head of the Chamber as crowning, in a sense, his business career. Among the last acts of the Board of Directors of the year 1951 was the approval of still another move, from El Hogar to the entire ground-floor of a new three-story building at No. 424 San Luis Street, right off the Luneta, the move being made in February, 1952. These were the Chamber’s first really adequate and comfortable post-war quarters. Late in 1951, Mrs. Willimont had resigned as Executive Secre tary to accompany her children to the United States where they were to continue their college studies. Mrs. Virginia Gonder, who had come to the Philippines with her husband after the war and who also had good business experience, some of it with the United States Army head quarters in the Philippines, was appointed to take Mrs. Willimont’s place. Mr. J. L. Manning, of the Manila Trading and Sup ply Company, was elected President in 1952. He was succeeded in 1953 by Mr. J. H. Carpenter, of ColgatePalmolive Philippines, Inc. and Mr. Carpenter being transferred by his Company to Havana, Cuba, in Octo ber, Mr. W. C. Palmer, III, of Getz Bros. & Company, Philippines, the Chamber Vice-President, served as Pres ident the remainder of the year. Mr. Paul R. Parrette, of the Philippine Manufac turing Company, was elected President in 1954 and was reelected to the presidency this year. Mrs. Gonder re signed as Executive Vice-President, effective the end of August, 1954, and Mr. Stanley N. Fisher was appointed in her place. During that same month of August, on the 20th, the Chamber offices were again moved,—and we hope for the last time, to the ground-floor, west wing, of the Elks Club Building, only a few blocks away from the former San Luis Street quarters. The following comment on this move was contained in the Journal’s “HairDown” column of September, 1954: "While we of the Chamber and Journal staffs have all been quite comfortable in the fine building owned by Judge Jose C. Zulueta, to whom we are beholden for many courtesies during the past several years, the new location brings a number of advantages, in cluding an increase in floor space from some 200 square meters to nearly 300. The place is conveniently reached by car and there is plenty of parking space, too. The general area is one of the most beautiful in Manila. Mr. Stanley N. Fisher, the new Executive VicePresident of the Chamber, has a private office of his own, and the Journal editor’s office is larger than the one he occupied in the for mer quarters. All the others of us are comfortably placed, and every one during the first few days mentioned the fine, fresh air from the Bay and the Luneta. Everyone is pleased with the Chamber Board for having put the matter through.” The men who have served as officers of the Chamber or members of the Board of Directors since the war are: F. H. Ale, F. C. Bailey, R. J. Baker, A. H. Barrett, E. G. Baumgardner, A. G. Bellis, F. C. Bennett, M. Blouse, A. D. Calhoun, J. H. Carpenter, Earl Carroll, R. E. Cecil, J. F. Cotton, R. G. Davis, N. H. Duckworth, E. B. Ford, S. F. Gaches, S. Garmezy, E. M. Grimm, E. D. Gundel282 Abbreviated History of the Philippine American Chamber of Commerce, Inc., New York* IN January, 1920, a meeting was called to order in New York City by Dr. H. Parker Willis for the purpose of organizing the Philippine American Chamber of Com merce and appointing a board of directors. The first two members of the Board appointed were Dr. H. Parker Willis, himself, as Chairman, and James J. Rafferty, as Vice-Chairman. Both were old-timers in Philippine affairs.1 The final organization of the Chamber was perfect ed later in the month at a meeting held at India House, New York, where an interested group was entertained at luncheon by Mr. Charles J. Welch, of Welch, Fairchild & Co. More than 100 applications for admission to the organization were favorably voted upon. Among those present at the luncheon, in addition to the members of the board of directors, were Messrs. Carl W. Hamilton, of the Visayan Refining Co.; H. T. S. Green, President, and L. I. Sharp, Vice-President, of the International Banking Corporation; and M. F. Loewenstein, President of the Pacific Commercial Company. The officers arid board of directors of the Chamber, as then constituted, were the following: The early records show that the objects for which the Philippine American Chamber of Commerce, Inc., was originally incorporated on March 18, 1920, were: “To promote, foster, and advance trade and commerce, partic ularly between the United States and the Philippine Islands and the interests of those having a common trade, business, and professional interest; to reform abuses relative thereto; to secure freedom from unjust or unlawful exactions; to diffuse accurate and reliable in formation as to the standing of merchants and upon other matters; to procure uniformity and certainty in the customs and usages of trade and commerce, and of those having a common trade, business, financial, and professional interest; to settle differences between its members, and to promote a more intelligent and friendly intercourse between business men.” Much more recently, in December, 1945, the Certi ficate of Incorporation was amended so that the purpose of the corporation was stated to be: “To foster and promote trade, commerce, mutual welfare and other business relations between the United States and the Philip pines, and their respective peoples, and to serve those persons and organizations having financial, trade, business, and professional in terests in either or both countries.” Under the original by-laws of the Chamber there Henry Parker Willis, James J. Rafferty Chas. F. Evans Arsenio N. Luz Officers President Vice-President Treasurer Secretary were two classes of membership: Class I —For individuals................................................. —§25 a year Class II —For commercial or industrial organ izations, etc................................................... — 10 a year Jaime C. DeVeyra Charles F. Evans Herbert Hellis Harry S. Loewenthal Abraham Meyer Charles D. Orth John H. Pardee James J. Rafferty Directors H. T. Seymour Robert J. Trodden Vicente Villamin Charles J. Welch Harold A. Whitlock H. Parker Willis Charles F. Wreaks Teodoro R. Yangco It is noted in the records that on January 9, 1920, an account was opened in the Lincoln Trust Co., in the name of the Philippine American Chamber of Commerce, with an initial deposit of $50, representing membership fees received from Hon. Teodoro R. Yangco and the Phil ippine National Bank. •Editor’s Note: This brief history of the Philippine American Chamber of Commerce, Inc., of New York, was sent to the Journal, at the editor’s request, by Col. John F. Daye, Secretary of the New York body. It will be noted that'although both the New York Chamber and the Amer ican Chamber of Commerce of the Philippines, Inc., of Manila, were organized in the same year, 1920, the New York body was formed some six months earlier. The organization of these two Chambers in the same year was largely coinciden tal, although the trends of the time must have influenced the organizers of both >Dr. H. Parker Willis was the organizer and first President of the Philippine National Bank, established in 1916. James J. Rafferty was Collector of Customs at Cebu from 1902 to 1911 and at Zamboanga from 1911 to 1914, when he was appointed Collector of Internal Revenue. In 1918 he was appointed Director of the Bureau of Commerce and Industry, which he organized, and in 1920 he was appointed Commercial Agent in the United States of that same Bureau. He retired under the Osmena Act in 1922. Later, the dues were reduced to $10 and $5 a year, re spectively, but in January, 1945, the following classes of membership and rates were established: Active...................................................................... §200 a year Associate Class 1................................................ 50 a year Associate Class II.............................................. 25 a year Since December, 1945, the Chamber has had two classes of membership— Active...................................................................... §200 a year Associate................................................................ 100 a year. The following is quoted from the minutes of the meeting of July 6, 1921, of the board of directors: “Upon invitation of the Chairman (Mr. H. P. Willis), Mr. W. H. Anderson of Manila briefly addressed the meeting and explained the workings of the American Chamber of Commerce in the Philip pines and suggested a closer cooperation between the Amer ican Chamber of Commerce and the Philippine American Chamber of Commerce. Discussion ensued and it was agreed that as soon as circumstances would permit, a meeting would be held for the pur pose of further considering the ideas suggested by Mr. Anderson.” The records make no reference as to what was done as a result of Mr. Anderson’s remarks but, as is wellknown, there has been close cooperation between the Philippine American Chamber of Commerce, New York, and the American Chamber of Commerce, Manila. To the present date, both Chambers have continued to maintain close contact,—exchanging views, coordinating efforts, and keeping each other posted on matters of mu tual interest. finger, D. O. Gunn, C. Hayden, J. L. Headington, H. D. Hellis, A. H. Henderson, J. T. Hicks, C. H. Hirst, C. M. Hoskins, T. M. Knight, C. A. Larsen, C. R. Leaber, S. W. G. Lehman, J. L. Manning, P. A. Meyer, G. C. Miller, P. T. Millikin, F. J. Moore, N. Most, R. J. Newton, J. Oppen heimer, W. C. Palmer, III, P. R. Parrette, J. A. Parrish, E. A. Perkins, J. S. Reese, W. H. Rennolds, M. S. Robie, J. C. Rockwell, E. W. Schedler, E. E. Selph, W. M. Sim mons, F. H. Spengler, F. H. Stevens, H. C. Stevenson, L. G. Wagner, P. H. Wood, and F. L. Worcester. This comes close to being a “Who’s Who” of Amer ican business in the Philippines. The list, covering only the ten post-liberation years, is longer than Mr. Robb’s list covering the twenty-five pre-war years, which indi cates that there has, since the war, been a considerably more general participation in the direction of Chamber activities. But, alas, some great names in the pre-war list are names of men no longer alive, but whose work is forever incorporated not only in the history of the Cham ber, but in the progressing economy of the Philippines. 283 After being located in various places in the City of New York, the Chamber opened its present offices in March, 1945, at 50 Broad Street and at the same time initiated the employment of a full-time, salaried Secre tary so as to relieve the burden of work which its officers had theretofore been performing. At the present time the Chamber has three full-time salaried employees. To keep abreast of changing conditions and devel opments, the various Directors of the Chamber meet occasionally with United States and Philippine officials. During its existence the Chamber Office has handled many inquiries and suggestions from its members con cerning trade and financial problems, as well as matters of commercial policy between the Philippines and the United States. The Chamber is performing a valuable service to its members by assembling and providing to them current and timely information pertaining to trade, commerce, and related matters. Membership in the Chamber is national in scope and represents a cross-section of business,—covering banking, shipping, export and import, commission houses, commodity agents, brokers and dealers, distri butors and manufacturing firms, etc. The Chamber is self-supporting and is in no way subsidized, deriving its operating revenue solely from dues from its two classes of members, Active and Asso ciate. President Vice-President Vice-Presiden t Vice-President Treasurer Secretary The present Officers and Directors of the Chamber are: Officers W. E. Murray..................................... H. A. Magnuson................................. T. H. Mitchell..................................... H.H. Herts......................................... F. M. Satterfield................................ Col. John F. Daye............................. Directors A. A. Alexander, Vice-President, American President Lines, Ltd. A. K. Aurell, Vice-President, Singer Sewing Machine Co. K. J. Brown, Vice-President, American International Under writers Corp. J. H. Foley, Executive Vice-President, Ansor Corp. H. H. Herts, President, Dayton, Price &• Co., Inc. Wm. Knight, Hanson & Orth H. A. Magnuson, Executive Vice-President, Connell Brothers Co., Ltd. J. J. McCabe, President, Ledward, Bibby & Co., Inc. T. H. Mitchell, President, RCA Communications, Inc. W. E. Murray, Manager, Central Asiatic Area, California Texas Oil Co., Inc. M. J. Ossorio, Victorias Milling Co., Inc. J. A. Parrish, Standard-Vacuum Oil Co. Chas. W. Rehor, General Manager, Franklin Baker Division, General Foods Corp. F. M. Satterfield, Assistant Vice-President, First National City Bank of New York L. D. Seymour, President, L. D. Seymour & Co., Inc. H. W. Taylor, Vice-President, Centennial Flour Mills Co. M. D. Thompson, Chairman, Executive Committee, Insular Lumber Co. L. W. Wirth, Vice-President, Neuss, Heslein &• Co., Inc. The Manila Merchants Association By Martin Egan Managing Director, Manila Times THE Merchants Association was born of a determina tion to obtain a Square Deal for Manila and the Philippines and a year has made it the leading chamEditor’s Note: Mr. Walter Robb, in his article on the pre-war years of the American Chamber of Commerce of the Philippines, pub lished elsewhere in this issue of the Journal, refers at some length to the old Manila Merchants Association which came to an end after the establishment of the American Chamber of Commerce in 1920. In connection with Mr. Robb’s article, this article by Mr. Martin Egan, one-time Managing Director of the Manila Times, on the establishment of the Manila Merchants Association in 1907, is of no little interest. It was taken from the October, 1908, issue of the Phil ippine Magazine, edited by Howard F. Hedden,—a different pub lication from the monthly of the same name later edited and published by the present editor of this Journal. Mr. Egan’s article was called to the attention of the editor by Mr. Frederic H. Stevens who found the very rare and interesting publication in which it appeared among the papers of the late Newton C. Comfort, formerly of the Buieau of Quarantine Service. The present American Chamber of Commerce of the Philippines is not the first American Chamber organized in Manila: there was an earlier Chamber of that name which is mentioned in "The Philip pine Islands’* (1928), the two-volume work of former GovernorGeneral W. Cameron Forbes, as follows: "It would have been a great advantage to Philippine development if the Insular Government had maintained a publicity bureau in the United States to disseminate in America a knowledge of Philippine affairs and resources, encourage enterprise, and help to create in the markets of the United States a demand for Philippine products. There were several obstacles in the way of proper publicity. The first was lack of cohesion among the businessmen in the Islands. It was many years before the Americans were able to get together and work up an ef fective organi7ation %f their own. They began with an American Chamber of Commerce composed of a few Americans. But they did not succeed in get ting the support of men oi other nationalities doing business in the Islands, so that there were also a Chinese Chamber of Commerce, a Spanish Chamber of Com merce, a so-called Manila Chamber of Commerce composed of British interests, and a Filipino Chamber of Commerce. All efforts to unite these separate organ izations failed, end it was not until 1907 that enough cooperative spirit was aroused to bring about the organization of the Manila Merchants Association, in which representatives of all groups were included..." The establishment, in 1920, of the American Chamber of Com merce of the Philippines, nevertheless, came rather belatedly when it is considered that the Spanish Chamber of Commerce [and the Ma nila Chamber of Commerce, the latter mainly British, were both es tablished in 1899; the Chamber of Commerce of the Philippines, mainly Filipino, in 1903; and the Philippine Chinese General Cham ber of Commerce in 1904. pion of popular rights and measures in civic life in the Islands. There had been previous efforts to unify the business men of the island capital, but for various reasons failure had come to all of them. There was a general recognition of the necessity for such an organization, a pres sing necessity for a public-spirited body to care for those interests and concerns which fall between the outpost of governmental function and accomplishment and the limits of individual effort and achievement. There are in all communities a variety of important public trusts which must suffer if public-spirited citizens are not prepared to grapple with them. This was strikingly true of Manila and there existed a peculiar necessity for unity—men need ed the strength of it. The historic circumstances attend ant upon the change of sovereignty in the Philippines— sudden, striking, and material in their effect upon all con ditions—had made for division and uncertainty, and no where were these conditions more manifest or more keenly felt than among the business men, here, as elsewhere, the most important citizens to the life and advancement of the community. These divisions and differences seemed insurmount able, but time and better mutual understanding showed the way over them. The business men came to appreciate that over, above, or beside political, national, or racial questions, were certain fair interests in common to all who sought the material prosperity of the Philippine Islands and that there was common ground on which they could meet and join hands for the good of the community. And it was upon this high ground that the Merchants Associa tion was born and continues in vigorous life to unitedly labor. To Chauncey McGovern, now publisher of the Colonial Monthly, is due the largest share of credit for starting the organization. He gave form to a common idea and those whom he could not bring to a meeting with logic and moral suasion, he dragged there at the wheels of his chariot, for the time being a calesa. 284 The first meeting was held at the Grand Opera House and there the society was formally organized with the following officers: M. A. Clarke, president,—C. Schwinges, first vicepresident,—J. A. H. Hamilton, second vice-president,— Daniel Earnshaw, third vice-president,—Simon Erlanger, treasurer,—Chauncey McGovern, secretary. Among the directors chosen were Walter E. Olsen, A. G. Cohn, John Gibson, E. E. Elser, I. Beck, William Gitt, A. K. La Motte, M. E. Springer, Frank L. Strong, and Carl Hess. About the first important public cause taken up by the organization was the matter of govern ment competition, and the way in which it was handled won general notice and commendation. It helped the young organization in the estimation of many prominent business men who were holding aloof because of a belief that the Merchants Association was simply another mush room that would turn toadstool or die. It showed virility and high purpose and quickly won the cooperation of the conservative and the doubters. In the early days of the Association, meetings were held in a small room kindly furnished by President Clarke and here were made the plans that led to the present strong organization. Manila had long suffered from ill report. Its neigh bors either in ignorance or in wantonness were continually misrepresenting it. Untrue impressions as to the entire archipelago became world-wide. In the United States, interest, once keen and kind, flagged. Here was a world wide cause that affected our very hearthstones, that was worthy of the steel of the courageous, confident young society, and it assaulted it. A Publicity Committee under the leadership of Walter E. Olsen, money-getter for every public movement in Manila, was formed, and it at once began gathering ammunition for a long campaign. The public-spirited gave P60.000 to start the ball rolling and the collection of this fund was so arranged that the Asso ciation would have a monthly income of about Pl,500. The project was placed before the Philippine Government in the autumn of 1907 and the Civil Commission voted an additional P25,000 for general publicity. Attractive lit erature was prepared, the cooperation of various publica tions was obtained, and assistance was sought from com mercial bodies in the United States. The first report of the Committee shows that 235,000 agricultural bulletins, 25,000 guide books, 50,000 folders, 25,000 ReciprocalTrade brochures, 5,000 copies of the annual number of the Daily Bulletin were distributed and thousands of letters written in the first year of the Committee’s existence. The United States, China, and Japan were the chief fields of activity, but only a few isolated countries in the world were entirely omitted. There is ample testimony of the efficacy of this campaign and it is being enthusiastically continued. The very nature of the publicity work has served to bring it most prominently before the public—indeed that is a sign of its success, but the activities of the Association are by no means bounded by printers’ ink and white paper. It has answered a hundred other public calls. It has spoken to the Government in behalf of the public on many occasions, its petitions for right have gone to the central governing power at Washington, and it has done its part on all public occasions. For the great Manila Carnival it practically merged its perfected organization with that of the carnival corporation and contributed largely to success. In preparing for the reception of the American battleship fleet it took the initiative, loaned its organization and equipment once more, and was the framework for the general public committee. At the end of the very successful tenure of President M. A. Clarke and his brother officers, the following were chosen to carry on the work: John Gibson, president,—Daniel Earnshaw, first vicepresident,—Frank L. Strong, second vice-president,— Eugene Steiger, third vice-president,—Simon Erlanger, treasurer,—Arthur G. Cohn, secretary,—Daniel O’Con nell, financial secretary. Directors,—M. A. Clarke, W. E. Olsen, Charles Derham, M. F. Loewenstein, Charles F. Pruesser, R. V. Dell, Leopold Kahn, Harold M. Pitt, E. E. Elser, M. E. Springer, A. J. Francis, Carl Hess, Antonio Roxas, and J. F. Macleod. The present standing committees are as follows: PUBLICITY COMMITTEE Chairman, Walter E. Olsen Secretary, Daniel O’Connell Robert V. Dell Harold M. Pitt Simon Erlanger Arthur G. Cohn Martin Egan Charles E. Preusser Edward E. Elser Milton E. Springer Humphrey B. Sullivan FINANCE COMMITTEE Chairman: Charles F. Preusser Frank L. Strong Charles Derham LEGISLATIVE COMMITTEE Chairman: Simon Erlanger Frank L. Strong Milton E. Springer Daniel Earnshaw Harold M. Pitt MEMBERSHIP COMMITTEE Chairman: Carl Hess Eugene Steiger George E. Cole M. T. Figueras Leopold Kahn ECONOMIC COMMITTEE Chairman: M. A. Clarke Charles Derham Martin Egan James Macleod H. O. Heath Wickham Quinan Mauro Prieto With a splendid active membership of 250, recognized as the official spokesman for the business interests of the capital, growing constantly in strength and influence, the organization cannot fail to have a brilliant future. It is composed of all nationals and in its purposes and work rises above the nominal differences of nationals. Its pur pose is the larger good of the community and it labors along fair and intelligent lines. It has won confidence and it requires not the gift of prophecy to say that it will retain it. (C'C’OR the plain truth is that we here in America have written the greatest success story in human history. The plain truth is that on the record of performance we here in America have in a few years made socialism obsolete, shown that Com munism is nothing but a noisome stagnant pool of reaction.. . “. . .while the Communist conspirators fulminate about the cruel capitalists, the lackeys of Wall Street, and the downtrod den masses, we have created a free society that promotes the general welfare of all far better, far more successfully than it has ever been promoted by any other system or social organization.. . “Since the turn of the century, we have successively and emphatically renounced, first, Imperialism, then, isolation, and finally, our historical neutrality. We have transformed our foreign policy as completely as our domestic policy. Twice America has decisively tipped the scales for freedom in a mighty global exertion.”—Adlai Stevenson. 285 The Future of the Philippines By A. V. H. Hartendorp I. FROM the dramatic past and the pulse-arresting present, What lies in the future for the Philippines? For ourselves and our children? That future can not be separated from the future of all the world,— Of Southeast Asia, Australia, India, China, Japan, Rus sia, America And their continuing impacts and interactions and com binations,— For undivided will be the fate of our now divided world. What will be will depend on whether subversion and aggression can be brought to heel, The fateful spread of the communist slave-empire con tained, peoples liberated, And world federation established, with democracy vic torious everywhere, Through efforts short of general war and the loosing of the atom’s universal blast Which would erase the future for all mankind. In the determination of this apocalyptic issue, we have a voice And play a part in our own and humanity’s deliverance or doom. II: poR within this world-frame, there are tremendous * local alternatives Which have their direct bearing on the larger issue,— Between national advancement and retrogression, Freedom and slavery, happiness and misery, Yea, life and death. III. qr'HE profound question for us is whether that precious A legacy Of the Revolution of 1898 and of America’s wise tutorship Will be conserved or dissipated... Whether the people will proudly maintain their democ ratic rights, Or meekly bow their backs to greater tyrannies than any of the past... Will an all-devouring “State” or the People emerge supreme? IV. Will the government be representative of the people, With parties ranged along democratic lines,—classless, And, loosely, conservative, progressive, liberal... Or will we have class-rule, with the people in hostile class and sectarian aggroupment,— Such as worker and tenant, landed-proprietor, and Church parties, Each seeking dominance? Will every man be accorded the equal protection of the law, Or will the humble and the poor and the strangers among us, and,— Under other circumstances, the land-holders, the busi nessmen, the rich, Seek justice in vain, with civil rights annulled For whole groups of people, native or alien, Under blasphemous guise of law and constitutional inter pretation? V. yv/iLL the tested checks and balances among the three ™ branches of government be zealously maintained, Or will prerogatives be weakly surrendered and one or another seize the power And thus an autocracy or an oligarchy come to rule the land? Will the restraints on government inherent in inde pendent industry, trade, and finance, the schools, the churches, the press,— Whether through ignorance or by design, be cancelled out As government encroaches upon,—and nullifies, them all? (Industry and trade stifled by monopolistic govern ment corporations; Banks the mere agents of a super-bank in absolute control of currency, credit, and exchange; Schools subverted by tampering with curricula and books; academic freedom suppressed by ministe rial edict; Churches overwhelmed by a state-church hierarchy; The press under censorship, or bought.) All as of old,—and we scoff at such return at our peril. VI. Will able, honest, and devoted men conduct public affairs In accordance with law and as the servants of all the people, Or will the “spoils” system supplant merit, and ignorance and irresponsibility and venality be played upon by calculating evil-doers To rot the administration? Will the proceeds of fair taxation be used to meet the costs of good government, Or will all that the people can earn with their labor be drained away in extortionate and inequitable levies, Channeled to crooks in the bureaus of revenue and cus toms and public works, the buying agencies, and the government corporations, And will continuing budgetary deficits and mounting public debts finally bankrupt the nation? VII. vvvill the spirit of free enterprise among the people w be prized and encouraged, With ventures everywhere, large and small, freely plan ned and managed By a nation of producers, industrialists, businessmen, professionals, All, imbued by the honest profit-motive, risking their own capital and credit, Competing fairly in the open market in supplying the wants of the people, Prices finding their level in accordance with the law of supply and demand,— Making for the gearing of the efforts of all into a dyna mically balanced, progressive economy, 286 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 287 And insuring an increasing production and consumption, capital accumulation, rising wages, and a rising stand ard of living... Or will a system of government “economic planning”, of state monopolies, of arbitrary controls be imposed In the notion that a group of bureaucrats and an army of clerks Can usurp the role of the tens of thousands who actually conduct the industry and commerce of the country, Can defy common sense and economic law and achieve any other result Than disruption and imbalance, deterioration, and final collapse? VIII. yvviLL a noble patriotism be fostered,—generous, lib™ er al, wise, From the understanding that democracy safeguards the rights of minorities, That national greatness is built on cohesion, cooperation, assimilation, The pride and loyalty of the whole people, with security and contentment and hope for all... Or will the spirit of an invidious nationalism be exacer bated by plotters of plunder, With our alien communities abused and dispossessed, And the nation ever more deeply divided and weakened? IX. yvTHAT is to determine which of these alternative cour’V ses the nation will follow? That will depend on the moral worth and the good com mon sense of the people And on the rectitude and wisdom of the leaders..; Will demagoguery supplant this leadership and ignorant thousands sell their votes. And the will of the people be thwarted In criminally manipulated elections? X. t et democracy be upheld, and freedom, in all its ■L‘ manifold phases,— Freedom of thought, freedom of speech, freedom of con science, freedom of the ballot, Freedom of enterprise, freedom of labor, freedom of movement, freedom of production, Freedom of the market, freedom of exchange... Democracy is freedom and leads ever to greater freedom,— Freedom from fear, freedom from want, from oppression, from arbitrary controls, from regimentation, from the living death of totalitarianism. Freedom is the test... Freedom, ever thee I bring! By that test, is not much that has been done of recent years wrong? Have we not turned off the highway of freedom into by paths That will lead us into great difficulties, fearful perils? XI. tf war can be avoided and if the Philippines can remain on the highway of freedom,—or return to it, And is no longer in danger of wandering off into socialism and statism, The half-way stations to fascism and communism, Then great progress promises... Under wisely encouraging, rather than restrictive, legis lation, With the attraction of the needed foreign capital, And a consequent rapid expansion of agriculture, indus try, and commerce, Possibly enormously accelerated by the coming develop ment of atomic energy, The Philippines could before long see the end of the grind ing poverty of today And enter upon an era of great advancement and pros perity. XII. No one can foretell the future... No more than it can be planned by a few, can it be foretold by one... There is no future other than as all of us here and else where in the world Shape it ourselves from day to day in whatever we do or leave undone... The future is upon us now. VICTOR Recognized ROYAL PITNEY BOWES POSTAGE METERS DICTAPHONES as Tops! .also-----------CINCINNATI TIME RECORDERS MAAR DUPLICATORS AMPRO & SVE AUDIO-VISUAL AIDS —Marsman & Co., Inc.— BUSINESS EQUIPMENT DEPT. 433 Dasmarinas, Manila • Tel. 3-20-41 • Branches: CEBU • ILOILO • DAVAO • BACOLOD Reddy invites you to visit his new home—a structure truly dedicated to service! TO SERVE YOU EVEN REHER. REDDV KILOWATT PRESENTS HIS NEW HOME - DEDICATED TO SERVICE I REDDY KILOWATT has a new home—a new headquarters from which he will now provide even better service to his more than a quarter-million customers. Reddy's new headquarters is a magnificent two-storied building of re-inforced concrete, located at 166 San Marcelino Street, right next door to his old home. One of the most modern buildings in the Philippines, this new structure has been designed, from foundation to roof with the primary idea of better customer service, as well as greater employee comfort and efficiency. One of the most up-to-date lighting systems yet devised, supplies Reddy’s new home scientifically with adequate lighting for all needs of customers and employees. Complete airconditioning insures uniform comfort and efficiency. Reddy is proud of the job he has done for his customers, particularly in the past ten years—jusfly proud of the way he has rebuilt the shambles of war into a capacity for service many times greater than ever before. And Reddy is certain that he can serve you even better in the future through these new facilities now at his command. MANILA ELECTRIC COMPANY 166 SAN MARCELINO TEL. 3-24-21 Accounting for International Trade and Investment UNITED States investors generally take it for grant ed that the companies in which they put their money will be audited by independent certified public accountants. Their willingness to make foreign investments can be increased by similar independent audits. Nationalistic restrictions on the practice of account ing may constitute a real barrier to international trade and investment. While progress has been made toward common stand ards of accounting, auditing, financial reporting and dis closure which should ultimately provide a universal lan guage of international finance, this goal has not yet been achieved. Businessmen and investors with interests abroad, as well as those who are now considering foreign invest ments, therefore wish to be free to employ accountants and auditors of their own choosing. Often they will pre fer to use accountants of their own nationality to exa mine their accounts. Freedom of professionally trained accountants to cross national boundaries without unreasonable restric tions is therefore a vital factor in the further development of international trade and a freer flow of private capital across national boundaries. International Accounting Firms. To fill the demand for accounting and auditing services which has been created by international investment, a number of leading accounting firms, particularly those with home offices in Great Britain and the United States, have estab lished branches in other countries. In addition to providing needed services, these branch offices have also stimulated development of the account ing profession in the countries where they are located. As a matter of fact, the early growth of professional ac counting in .the United States was due in considerable measure to the English and Scottish accountants who came to the country in the 19th century primarily in the interests of British investors. Accounting firms which establish branches in foreign countries generally employ and train nationals of the country in which the branch is located. It is to be expected, however, that in most cases the manager and part of the staff should come from the home office. Barriers to International Accounting. In recent years, unfortunately, a number of countries have adopted or proposed drastic restrictions on foreign accountants. It is natural that every nation should wish to build up its own accounting profession as rapidly as possible. But the restrictions are short-sighted even as a means of accomplishing this purpose. The need for accounting service in all countries is so great that the example of a well-known, established firm actually increases the op portunities for all other firms. *By the Committee on Foreign 'Affairs, American Institute of Accountants70 Madison Avenue, New York, N.Y. Moreover, foreign branches of United States account ing firms are not primarily interested in serving local busi ness interests in the countries where they have been es tablished. They are not much bothered by restrictions which specify merely that certification of financial state ments required by the laws of the country for local pur poses must be made by accountants who are nationals of the country. They do, however, find it difficult or impossible to operate under the restrictions of some countries which require that all principles and employees of the branch office be nationals of the country where the branch is lo cated, or members of the professional accountants’ or ganization in the country. Such membership is often impracticable for foreigners due to local regulations. The basic responsibility of independent accounting firms is to provide accounting and auditing services which will meet the needs of the businessmen and investors who are their clients. They can not operate under restric tions which would prevent this. In most cases, it is not possible to provide adequate auditing service merely by sending accountants to foreign countries for specific en gagements, without maintaining branch offices, because auditing services have developed so that clients now re quire services and advice from their accountants through out the year. Removing the Barriers. The U. S. Department of State has recognized the importance of a free choice of accounting services to the improvement of international relations through increased international trade and in vestment. The following language has been included in a num ber of recent treaties between the United States and other countries: “Nationals and companies of either party shall be permitted to engage within the territories of the other party, accountants and other technical experts, executive personnel, attorneys, agents, and other specialists of their choice. Moreover, such nationals and companies shall be permitted to engage accountants and other technical experts regardless of the extent to which they may have qualified for the prac tice of a profession within the territories of such other party for the particular purpose of making examinations, audits, and technical in vestigations for, and rendering reports to, such nationals and com panies in connection with the planning and operation of their enter prises, and the enterprises in which they have a financial interest with in such territories.” Businessmen should support the inclusion of similar clauses in treaties with all countries in which citizens of the United States have commercial and financial interests. In the meantime, the growth of international trade and investment will be facilitated if all countries follow the spirit of this treaty provision. Freedom of practice by accountants across national boundaries can make a real contribution to expansion of commerce among friendly nations, and to the international flow of capital. It can do much to increase the security of businessmen and investors with interests in countries other than their own! “ <AY I also voice my firm conviction that our best course in the years to come is to cultivate * * ’ J-vA amity with all nations but unashamedly and even proudly predicating our whole international relations on our continuing friendship with the United States of America. There is for this, I think, ample justification and wisdom...America, I think, has earned our faith...” —From PRESIDENT OS MENA'S Fourth of July Address. 289 The Business View A monthly review of facts, trends, forecasts, by Manila businessmen The Government From Official Sources JUNE 1 — President Ramon Magsaysay inducts into office the members of the National Board of Education and also Venancio Trinidad and Benigno Aldana as Director and Assistant Director, respectively, of Public Schools; the National Board of Edu cation is composed of Secretary of Education Gregorio Hernandez, Jr., as Chairman, and of Sen. Jose P. Laurel, Rep. Carmen Dinglasan-Consing, Under-Secretary of Education Martin Aguilar, Direc tor of Public Schools Venancio Trinidad, Director of Private Schools Daniel Salcedo, Assistant Director of Public Schools Benigno Aldana, University of the Philippines President Vidal Tan, Far Eastern Uni versity President Teodoro Evangelista, UNESCO Chairman Ma riano de los Santos, Jesus Paredes, Jr., Toribio Teodoro, Marcelo Acayan, and Salih Uttutalum. The President receives Ambassador Fclino Neri who returned earlier in the day from Tokyo. The President issues the following statement: “I am pleased with the result of the mission of Ambassador Neri and the Philippine technical panel. The way has been paved for the final negotiations in Manila. At this stage, it is not possible to reveal the details of the work of the Mission, but I can say that definite progress has been made.” The President receives Servillano Aquino, Chairman of the tech nical committee of the Gold Subsidy Board, who informs him that most of the gold mining companies would have suspended operations but for the subsidy and that the companies are still in danger “be cause of the low market price of gold and the insufficient subsidy.’’ The members of the Gold Subsidy Board are Secretary of Agriculture and Natural Resources Salvador Araneta, Chairman, and Secretary of Finance Jaime Hernandez, Secretary of Labor Eleuterio Adevoso, Central Bank Governor Miguel Cuaderno, and Aquino. The President signs H. B. No. 3720 appropriating Pl7,000,000 for readjustment of salaries of public school officials and teachers subject to the availability of funds. The President formally opens the 1955 annual fund campaign of the Community Chest of Greater Manila and himself donates Pl,000. June 2 — President Magsaysay receives Arthur Watson, Pres ident of the International Business Machines World Trade Corpora tion, and several other IBM executive including J. R. Arguelles, Manager of the local branch. June 3 — President Magsaysay receives A. Strok, American im presario, accompanied by Alfredo Lozano, who is managing the Far Eastern tour of the “Symphony of the Air”, formerly the National Broadcasting Corporation symphony orchestra of Maestro Arturo Toscanini, which arrived here to give a series of concerts under the patronage of the President. The Orchestra is making the tour with the assistance and support of the United States Government. In connection with a recent decision of the Supreme Court ruling that the President has power of control over all offices under the Exe cutive Department but only the power of general supervision over local governments, Malacanang issues a press release stating that in the case at issue, involving an action brought by a suspended muni cipal mayor in Surigao against the Provincial Board, the Office of the President had merely referred a complaint for rape and concubinage against the mayor, filed by the mother of the offended party, to the attention of the Governor and requested immediate investigation and appropriate action. “The Office of the President acted strictly according to the Constitution and the law. In requesting appropriate action, it did not in any wise arrogate unto itself or assume a power with which it is not vested.” June 5 — President Magsaysay designates Manuel P. Mana han, Chairman of the Presidential Complaints and Actions Com mittee, as Acting Commissioner of Customs, upon recommendation of Secretary of Finance Hernandez; Manahan will replace Under secretary of Finance Jose P. Trinidad, who has been concurrently discharging the duties of the office. Isaac Sayoc, former Collector of Customs, was nominated and confirmed as Commissioner of Cus toms during t;he last session of Congress, but is abroad and has ap plied for retirement. President Magsaysay sends a message to President Eisenhower in connection with the series of symphony concerts opening here, ex pressing the hope that “the future will bring increased cultural ex change between our two peoples to strengthen the bonds of under standing and friendship.” June 6 — President Magsaysay holds a breakfast conference with leaders of the Nacionalista and Democratic parties. The President, following a conference with Ambassador Neri, issues a statement reiterating his support of the stand taken by Am bassador in withholding at this stage publication of the details of his report on the reparations negotiations. June 7 — President Magsaysay, who attended the opening con cert of the “Symphony of the Air” last night, receives Don Gillis, Resident of the Symphony Foundation of America, who confers on him an honorary membership in the Orchestra. June 8 — President Magsaysay gives a despedida breakfast in honor of Maj. Gen. Robert M. Cannon, JUSMAG chief, who is leaving on the 11th to assume a post in Washington after a two-year term of duty here. The President presides over a meeting of the Council of State, attended also by former President Sergio Osmena, at which the Ad ministration’s huge public works program is approved which entails an expenditure of P100,585,600, of which P16.962.000 is for public buildings, P26,486,000 for waterworks, P22,830,000 for irrigation, P2,247,600 for artesian wells, P7,060,000 for port works, and P25,000,000 for roads and bridges, as specified in R. A. No. 1200 and as provided for by the issuing of bonds inR. A. No. 1000; not more than 20% of each bond issue is to go to non-self-liquidating projects. The Council also, as recommended by Vice-President and Secretary of Foreign Affairs Carlos P. Garcia, approves the offer of the Japanese Government to salvage the sunken vessels in Philippine waters at $92 a ton of recovered metal, the metal and other valuables found to be turned over to the Philippine Government. The President approves a number of bills, including H. B. No. 2622 (R. A. No. 1232) pioviding for the payment of compensation equivalent to 6 months’ salary to any employee in the service of the national, provincial, city, or municipal government who is killed or dies of injuries suffered or sickness contracted in line of duty. June 9 — President Magsaysay requests Economic Adminis trator Alfredo Montelibano to re-study the projected allocation of power to be generated by the Ambuklao hydro-electric plant for the purpose of extending service to the Northern Luzon provinces, fol lowing a conference with Reps. Floro S. Crisologo, Paulino Alonzo, and Erasmo Cruz, of Ilocos Sur, Cagayan, and Bulacan, respectively. The President signs a number of bills, including the bill extend ing the life of the Government Survey and Reorganization Commis sion to December 31,1956, and also a bill appropriating an additional P300.000 for the work of the Commission. June 10 — President Magsaysay releases the text of a letter from American Ambassador Homer Ferguson expressing President Eisenhower’s appreciation of Mr. Magsaysay’s greetings sent him in connection with the “Symphony of the Air” concerts given here. The President authorizes the release of a report from Ambassa dor Carlos P. Romulo to the effect that he is confident of favorable action by the U. S. Congress on the Laurel-Langley Agreement. The President holds a conference with Liberal Party leaders. Jan. 11 — The President signs a number of bills including S. B. No. 223 making a flag ceremony compulsory in all educational institutions, and S. B. No. 372, amending Sec. 2219-1/2 of the Administrative Code, abolishing the rural councils and creating instead barrio councils. June 12 — Malacanang announces that the Symphony of the Air will be awarded a special citation, the presentation to be made when the Orchestra returns home. June 13 — President Magsaysay holds a breakfast conference with leaders of Congress on the Japanese reparations question. The President signs a number of bills including the bill creating the Court of Agrarian Relations which becomes R. A. No. 1267; the law abolishes the Tenancy Division of the Court of Industrial Rela tions and appropriates P400.000 to cover the expenses of the new Court for the 1955 fiscal year. June 14 — Press Secretary J. V. Cruz issues the following state ment to correct certain erroneous press reports: “At his press conference Monday, June 13, President Magsaysay did not say that he had issued a directive for the immediate release of imported goods the dollars for which had been duly granted by the Central Bank but which were detained upon arrival for alleged violation of the Anti-Dumping Law. What the President said was that it did not seem fair and just to him that importers who had duly obtained dollars from the Central Bank for the importation of cer tain goods should suddenly find such goods detained upon arrival on the charge that their entry violated the Anti-Dumping Law. This situation seemed to in dicate, the President said, that there was a lack of coordination between the Cen tral Bank, which granted the dollars, on the one hand, and the Department of Finance, which detained the goods, -on the other. The President continued that he could see no justification for the confiscation of imports the exchange for which had been authorized by the Central Bank, and that such imports as were now under confiscation under these conditions should, in his opinion, be immediately released in justice to the affected importers. ... It is of course understood that the President’s remarks... should and will serve as a policy guide for all offices and officials concerned in the resolution of this question according to law.” June 15 — President Magsaysay and the Cabinet approve an expanded plan of cooperative development and farm credit as pre sented by Administrator Osmundo Mondonedo of the Agricultural Credit and Cooperative Financing Administration, and the President directs Budget Commissioner Dominador Aytona to release P10,000,000 to the ACCFA during the coming fiscal year as a part of the P30,000,000 appropriated by R. A. No. 990 as the Government’s subscription to the ACCFA’s revolving fund. Ambassador Neri hands to the Chief of the Japanese Mission in Manila, Toshio Urabe, his note informing the Japanese Govern ment that the formula of settlement contained in the tentative un 290 derstanding between him and his counter-part in Tokyo, Tatsanosuke Takasaki, was acceptable to the Philippine Government. June 16 — President Magsaysay orders the immediate reinstate ment of suspended Governor Serapio J. Datoc (Liberal) of Zamboanga del Sur, following his exoneration from the administrative charges which had been brought against him. Malacanang announces that Director of Private Schools Daniel Salcedo was suspended from office yesterday in view of the pending criminal and administrative charges against him for violating certain provisions of the Election Law during the last elections. June 17 — President Magsaysay approves H. B. No. 4344 (now R. A. No. 1345) creating the National Marketing Corporation (NAMARCO) to assist Filipino retailers and business men in the procure ment of merchantable goods; the act aDolishes the Price Stabilization Corporation (PRISCO); NAMARCO has an authorized capital of P30,000,000 to be subscribed entirely by the Government and to be paid out of any general fund in the National Treasury, and is author ized ‘‘(1) to procure and buy commodities for distribution at reasonable prices to Filipino retailers and businessmen in order to promote their greater participation in the distribution system of the national economy; (2) to stabilize the prices of commodities in short supply by supplying commodities to the general public at fair prices through Filipino businessmen; (3) to formulate policies and procedures with respect to the use and acceptance of eligible evidence of indebtedness in the sale of commodities on credit to Filipino retailers and businessmen in accordance with established business practices; and (4) to borrow money from any credit institution for any of the purposes authorized by law." In signing the bill, the President issues the following statement: "I have signed the NAMARCO bill after weighing all arguments for and against it in the belief that it constitutes another step in the protection of Philippine re tailers and wholesalers whose interest and welfare have been the concern of this Administration. There will be no undue competition prejudicial to Filipino and alien importers. As in the case of PRISCO which is automatically abolished with the approval of this bill, the bulk of importation of NAMARCO will consist of essen tial goods Through this measure we hope to attain stability in prices of such com modities and assure the great mass of our people of reasonably priced goods within their purchasing power. If in the implementation of this act, however, it shall be shown that imperfections and inequalities exist, especially in the tax exemption clause under Section 16 <c) of the act. this Administration is pledged to recommend the necessary remedial legislation at the earliest possible date to correct same.'' June 18 — President Magsaysay completes action on all the 212 bills submitted to him by Congress, signing 189, allowing 1 to become law without his signature, and vetoeing 22; of the 212 bills, 18 origin ated in the Senate and 194 in the House; the bill allowed to become law without his signature is H. B. No. 1278 exempting from technical exam ination applicants for certificates as third mates and fourth engineers, the graduates of the U. S. Merchant Marine Academy, King’s Point, New York; among the bills vetoed is H. B. No. 4355, the “Philippine Overseas Shipping Act of 1955”, the President explaining that he dis approved it because of Section 12 of the bill which would exempt all earnings of ocean-going vessels of Philippine registry engaged in inter national trade from currency control. Among the bills approved is the General Appropriations Act which appropriates a grand total, from all funds, of P602,007,347, of which P539,278,381 is from the general fund, P34.837.645 from the special fund, P12.446.321 from the fiduciary fund, and P15,445,000 from the bond fund. The General Fund appropriations are the following: Con gress, P8,100,510; Office of the President, P13.201.478; Office of the Vice-President, P87.720; Foreign Affairs, P6,694,780; Finance, P10,891,640; Justice, P16.018.250; Agriculture and Natural Resources, P17.411.420; Public Works, P20,996,160; Education, P176.811.255; Labor, Pl,328,430; National Defense, P168,305,303; Health, P29,746,490; Commerce and Industry, P4,288,940; Economic Coordina tion, Pl,080,040; General Auditing Office, P2,090,590; University of the Philippines, P5,919,670; Philippine Normal College, P442.420; Central Luzon Agricultural College, P315.500; Philippine College of Commerce, P245.300; Mindanao Agricultural College, P225.690; Mindanao Institute of Technology, P200.000; Commission on Elec tions, P4,129,020; Supreme Court, P762.680; Court of Appeals, P857,880; Counterpart Funds, P44,097,215; and Contingent Fund, P5.000,000. June 20 — President Magsaysay receives a recommendation from Secretary of Commerce and Industry Oscar Ledesma, ex-officio Chair man of the NAMARCO, to allow the members of the PRISCO Board to take over the functions of the NAMARCO Board in an acting capa city; under the law, PRISCO personnel wiil be transferred to NAMAR CO and the Board had 120 days within which to re-appoint the former PRISCO employees, after which those not re-appointed will automa tically be laid off but entitled to a lump gratuity aside from sick and vacation leave. June 21 — President Magsaysay, after listening to the complaint of two councillors from Bulacan, Bulacan, orders the Department of Agriculture and Natural Resources to cancel all individual permits foi the operation of large fish-ponds and salt-beds which are adversely affecting the livelihood of small fishermen. June 22 — President Magsaysay honors Brig. Gen. Ralph B. Lo vett with a breakfast at Malacanang prior to the General’s return to the United States after completing a 2-year tour of duty in record ing Filipino guerrilla activities during the Japanese occupation; be fore that, he was for 6 years head of the U.S. Veterans Administra tion in Manila. The President designates Jesus E. Pcrpinan as Acting Director of Private Schools. The President issues a proclamation declaring August 24 to 30, 1955, as “Golden Jubilee Week” of ,the Red Cross service in the Phil ippines. The Cabinet, at a meeting presided over by the President, disap proves a resolution of the Board of the National Development Com pany recommending the sale of 20% of the NDC’s holdings in the Phil ippine Airlines to the Pan American World Airways; the sale would have ended the Government’s majority voting control. The Cabinet approves a recommendation of Economic Coordinator Alfredo Montelibano for the lifting of the 1949 income-tax assessment in the amount of P140.530 levied against the National Rice and Corn Corpo ration. June 23 — President Magsaysay appoints Manuel P. Manahan permanent Commissioner of Customs, relieving him of his duties as head of the PC AC; Col. Frisco Sanjuan, National Commander of the Philippine Veterans Legion, was designated acting Chairman of the PCAC. Malacanang announces that President Magsaysay appreciates the proposal to offer him the Presidency of the Nacionalista Party but regrets that he “ can not even permit consideration of this matter” as his duties as President of the Republic call for all his time and energy; it is stated that the President is satisfied with the support Senator Eulogio B. Rodriguez, Sr. has given him in the latter’s capacity as Pres ident of the Senate and President of the Party and that he will con tinue to support Senator Rodriguez. The President flie6 to Daet, Camarines Norte, and from there proceeds to barrio Alawihao, where he officiates at the ground-break ing ceremonies of the P3,768,000 Daet river irrigation project, the first major system to be constructed for the Bicol region; it will irri gate initially some 4,000 hectares of rice land in and around Daet, Basod, Talisay, and Mercedes, and probably Vinzons; of the total cost, the U. S. Foreign Operations Administration will contribute around Pl,154,000. June 24 — President Magsaysay holds a conference with leaders of the Democratic Party. The President directs the Presidential Expropriation Committee to speed up the study of all haciendas and homesites whose expropria tion has been requested by the tenants; the Committee, which is com posed of Manuel Castaneda, Chairman, and Deputy Budget Com missioner Faustino Sy-Changco and Prof. Vicente Lontok, members, has reported that some 42 haciendas and 37 homesites are being studied, the former having a total area of 52,000 hectares, valued at around P 16,000,000, with some 8,000 families, and the latter an area of 6,200,000 square meters, valued at P19,000,000, with some 6,500 families. The President receives Central Bank Governor Miguel Cuaderno, Sr. who is leaving on a 10-day trip to the United States on a special mission to secure more loans. Announced that former President Sergio Osmena will be the prin cipal speaker at the 4th of July celebration, the 9th anniversary of the independence of the Philippines; Mr. Osmena will also be awarded the Order of Rajah Sikatuna on this occasion. June 25 — President Magsaysay reassigns Gregorio Licaros, au ditor on leave of the Central Bank and acting General Manager of the Government Service Insurance System, to the Central Bank to head the Import-Export Department, the post formerly held by Cesar Lorenzo; the President names Malacanang financial assistant Rodolfo P. Andal as acting General Manager of the GSIS. The President visits the Department of Public Works and in structs the officials thei e to speed up the construction of roads and the drilling of aitesian wells; he is informed that as to the progress of the P25,000,000 road construction program, some P14,000,000 worth of road contracts cover roads already under construction or are projects about to be advertised for bidding, and that aside from the money from the bond issue, some Pl5,000,000 from the gasoline and motor vehicles tax funds are being 'spent for road construction, much of it in Mindanao; in addition, the FOA has given some §8,000,000 worth of road-building equipment and supplies; since the beginning of 1954 some 1,857 wells have been constructed by the Bureau of Public Works, a joint effort of the Bureau, FOA-PHILCUSA, and the Liberty Wells Association. June 28 — President Magsaysay receives Gen. Laurence Sherman Kuter, incoming chief of the U. S. Far East Air Force, who calls to pay his respects following his recent arrival here in the course of a tour of United States airbases; he replaces Gen. Earle Partridge. June 29—President Magsaysay receives U. S. Supreme Court Justice William O. Douglas and his wife and Miss Josephine Black, daughter of Justice Hugo Black, who will be his house-guests during a 2-day stay here. Later the President takes his guests and a number ot others, including Ambassador and Mrs. Homer Ferguson, in a number of helicopters to San Juan, Pampanga, to inspect the 800-hectare govern ment resettlement project there; this is the site of “Operations Katubusan” at the home-town of the imprisoned Huk leader, Luis Taruc; some 473 families have been resettled with 500 hectares already under cultivation and an irrigation system nearing completion. Justice Douglas comments: "Very outstanding!” 291 June 30 — President Magsaysay orders Filemon M. Zablan, Gen eral Manager of the National Power Corporation, to rush a sufficient supply of fertilizer to fanners in Batangas who reported to him they are feeing large crop losses due to non-availability of fertilizer; the Pres ident tells Zablan to make a special plane-trip to the Maria Cristina fertilizer plant to see to it that the fertilizer is promptly sent. The President receives a large delegation from the “Moral Re Armament” mission, now on a world tour, which will present an ideo logical musical, “The Vanishing Island”, by Peter Howard. Banking and Finance By M. D. Arnold Sub-Manager The National City Bank of New York Contingent Account Forward Exchange Sale 7 6,460 ^COMPARATIVE Central Bank: statement of condition of the As of As of As of As of Dec. 31 Mar. 31 Apr. 30 May 31 1949 1955 1955 1955 ASSETS (In thousands of pesos') International Reserves... Contribution to the In 7460,689 7363,288 7358,986 7358,708 ternational Monetary Fund............................ Account to Secure Coin30,000 30,000 30,000 30,000 113,306 106,940 106,941 106,941 Loans and Advances........ Trust Account-Securities 77,047 31,420 21,789 28,343 Stabilization Fund.... Domestic Securities......... 92,197 289.900 293,782 301,929 Other Assets...................... 20,390 43,156 48,189 55,995 7793,629 7864,704 7859,687 7881,916 LIABILITIES Currency—Notes.............. 7555,576 7615,219 7606,855 7597,111 Coins.............. 74,384 85,760 86,018 86,548 Demand Deposits—Pesos Securities Stabilization 117,682 117,383 120,145 151,701 Fund................................. Due to International Mo2,000 10,258 9,517 9,689 netary Fund.................. Due to International Bank 22,498 496 496 496 for Reconstruction and Development................. 2,389 2,376 2,376 2,376 Other Liabilities............... 2,636 5,199 5,646 4,751 Deferred Credits............... — 1,779 2,259 2,727 Capital................................. 10,000 10,000 10,000 10,000 Undivided Profits............ 6,464 798 939 1,081 Surplus................................. 15,436 15,436 15,436 7793,629 7864,704 7859,687 7881,916 The International Reserves as of May 31, 1955, were as follows: Central Bank International Reserves.................. $179,354,220.06 Japan Open Account (due from)........................ 11,333,589.60 Net FX Holdings other Banks............................ 49,214,693.16 $239,902,502.82 This is a decrease of approximately $6,930,000 compared to April 30, 1955. Currency an dj coins issued totalled P683,659,440.51. Money is still tight. Manila Stock Market By Leonardo L. Recto L. Redo & Company THE Manila Stock Exchange recorded in June one of the heaviest trading months in its history. The total sale was 130,000,000 shares with a value in excess of P17,000,000, which was 70% in excess of the pre vious month and a new post-war high in volume. Almost all base-metal issues were up at the close, with Marinduque Iron Mines recording the most substantial gain,—36 ex right or the equivalent of 62 under the old capitalization, which represents a rise of 31 points from the previous close of 31, or a gain of 100% in one month’s trading. Aside from the stable market of our major base-metal exports, there is a growing feeling of optimism on the extent of aid that the mining industries in the Philippines may receive from the Government in the form of machinery and serv ices that will come from Japan as soon as the reparation question is finally resolved. According to press reports, a total of Pl,000,000,000 in machinery and services will be made available to the Philippines. It can be reasonably assumed that the mining industries in the Philippines will receive a substantial part of these reparation goods and services from the Government under liberal terms of credit. It is reported that these will be sold to private companies on a 20-year basis at a low rate of interest. Philippine Oil again continued to be actively traded and after reaching a high 3-1/2, profit-takers drove the price down to 14-1/4, down 4-3/4 points from the previous close, on a total volume of 24,500,000 shares. Palawan Quicksilver, with properties in Palawan, was recently listed on the small board of the Manila Stock Exchange. The stock sold as high as 45 (par value—.10). Profit-takers then brought the price down to 36, up one point from the opening sale of 37. Acoje Mining Company closed at 12-3/4, up 3/4 point on sale of 2,187,000 shares. Atlas established a new high of 36.5 but closed at 27 after profit takers pressed it to this price, still up 2 points from the previous close, on a total volume of 17,600,000 shares. Gold shares were quiet, although the price of gold firmed up toward the end of the month. Philippine Long Distance Telephone Company in the commercial and industrial section, was actively traded on news that the stock was listed on the American Stock Ex change. The stock closed at 18.25, a net gain of P2.55 per share. San Miguel Brewery continued to be active, sel ling ex-dividend during the period. Manila Broadcasting made a net gain of .11 on a sale of 23,100 shares, closing at 64. The Manila Stock Exchange averages closed at 145.32, up 3.08, after establishing a new post-war high of 156.17. o—- — <3 rti \£> '®'® 'S 160 6.000, 000 150 5.000 000 140 / 4.000. ooo 3.000. 000 A. . C V) o w ft. 9* 2000 000 ui S «-» IfOOOj 000 -r c 02 JL 11 292 Dividends Declared During June Name of Company Ex-Dividend Date Payable Amount Bank of the Philippine Islands........ China Bank............................................. Filipinas Cia. de Seguros................... Lepanto Consolidated.......................... Marinduque Iron Mines..................... Pampanga Sugar Development........ Philippine Guaranty............................. San Miguel, 8%..................................... San Miguel, 7%.................................... San Miguel (Common)........................ Surigao Consolidated............................ Universal Insurance.............................. 6-29-55 7- 6-55 4 00 6-24-55 7- 5-55 5.00 6-27-55 7-11-55 .20 6-14-55 6-30-55 .01 6-16-55 7-10-55 .0075 6-14-55 6-20-55 2.40 6-27-55 7-11-55 .20 6-29-55 7-25-55 2.00 ” ” 1.75 ” ” .80 6-30-55 7-15-55 .01 " 7-11-55 .15 ment during July and some who were hopeful for June believe that the improvement which was anticipated but did not result, might be noted in July. Credit men report continued efforts of customers to increase amounts of credit granted, to increase and extend terms allowed, and to make other efforts toward establishing higher credits for longer periods. Post-dated checks continue to be frequently seen. Most credit ex ecutives continue to devote more time and effort to credit and collection problems than ever before, but, even so, little change is noted in results. 1954-55 Range High Low 156.17 84.82 Manila Stock Ave....... MINING SHARES Price Range from June 1 to June 30, 1955 High Low Close Change Sales 156.17 141.09 145.32 3.08 Up — .0875 .0575 .70 .06 .60 .0011 2.60 .008 .0195 .038 .025 .355 .125 .055 .085 1.40 .12 .008 .175 .015 .09 .34 .017 Name of Stock Acoje Mining Co........ Atlas Cons.................... Atok-Big Wedge......... Baguio Gold................ Balatoc Mining........... Batong Buhay Gold.. Benguet Cons.............. Coco Grove................. Consolidated Mines... Gen. Base Metals. ... Itogon Mining Co.... Lepanto Cons.............. Marinduque Iron. . . . Mindanao Mother .15 .365 .80 .0775 .0975 .235 .75 .065 230.00 173.00 70.00 53.00 15.00 11.00 10.50 9.00 45.00 32.00 370.00 360.00 - "" 1.80 .40 3.00 ^64 4.50 .06 153.00 10.00 .06 153.00 5^00 .0076 3.00 .0024 3.00 1 3 1275 .0125 Up 27 .02 Up 80 .05 Up 0775 .0075 Up 02a — 0045 .0021 Up .05 2,187,050 17,601,690 28,140 2,122,000 Electric Power Production (Manila Electric Company System) By T. J. Collins Treasurer, Manila Electric Company .029 .08 .046 .025 .04 .037 01b 029 .001 .76 .31 .04 .008 .01 ^31 Up Up Off Up Up 43,095,565 • 381 22,692.800 160,000 341,250 458,333 1,843,077 1941 Average—16,316,000 KWH 18.25 1.00 11.50 27.50 92 50 35.50 103.00 ------107.00 102.00 100.00 100.00 14.00 ------12.00 12.75 13.00 12.00 10.50 Paracale Gumaus. . .. Philippine Iron Mines. San Mauricio.............. Suyoc Cons.................. Surigao Cons............... United Paracale.......... Hixbar Gold Mining.. Palawan Quicksilver.. Philippine Oil Dev.... Bank of the Philippine Bogo Medellin............ Central Bais................ La Cariota................... Central Pilar............... Central Tarlac............ China Bank................. Industrial Textiles.. . Manila Broadcasting. Manila Wine Mer chants ........................ Marsraan, pref.'........ .. Mayon,. class B.......... Metropolitan............... Philippine Air Lines.. Philippine Guaranty.. Philippine Long Dist. . Philippine Racing .29 .25 3.55 .12 .041 .19 .25 2.90 .12 2 .24 .019 .165 .45 .315 .04 .21 .015 .14 .34 .12 COMMERCIAL SHARES San Miguel, com......... San Miguel. 7%.......... San Miguel, 8%......... Tabacalera................... Universal Insurance.. Williams Equipment.. Cia. de Celulosa......... 53.00 37.00 2.00 .64 1.80 .53 3.85 18.25 20 25 90 12 .005 Up .01 .20 .11 .05 — 160.00b — — 8.00b — — 22.50b — 15.75 18.25 2.25 .80 .80 29.00 94.50 ------- ------104.00 104.00 104.00 100.00 100.00 100.00 12.00b 13.00b 10.50 a. ae veiuiosa......... 10.50 10.50 10.50 -Adjusted old capitalization, Ex-rights—.36) Up Up Off Up Off Up 1 00 1.50 1,713,250 17,300 342,507 10,000 105,000 1,496,222 620,000 213,000 404,000 24,482,462 Of! Off 80 131 212 7.000 123,760 21,867 11,000 91,777 845 30 80 1,000 Credit By Duncan Burn Manager, Eastern Inspection Bureau and Manager, Association of Credit Men, Inc. (P.I.) THE Association of Credit Men, Inc. (P.I.) approved during June eight applications for membership and begins the second calendar quarter of 1955 with 99 active members. This is an all-time high in member ship. It is anticipated other applications will be acted upon in th’e July meeting of the board of directors. During June there was a marked increase in the number of warning notices sent to members of the Association. This service provides important protec tion and pertinent information for members. The collection situation continues to be tight and a number of credit executives report money was as tight during June as during any previous month during the current year. In a few lines some easing was noted, but in general there has been no marked change. There has been a little easing in some lines and a tightening in others. A few credit executives are hopeful of improve 1955 1954 Kilowatt Hours January................................................................... 61,315,000 57,301,000 February................................................................. 56,626,000 52,447,000 March...................................................................... 64,029,000 57,779,000 April......................................................................... 60,839,000 54,408,000 May......................................................................... 66,035,000 57,773,000 June................................................... 65,130,000 58,525,000 July........................................................................................... 60,20 August...................................................................................... 60,38 September............................................................................... 59,68 October.................................................................................... 62,18 November............................................................................... 58,73 December................................................................................ 62,32 Total....................................................... 701,755,000 Output in June this year was 6,605,000 kwh more than June, 1954, or an increase of 11.2%. Real Estate By Antonio Varias Vice-President, C. M. Hoskins & Co., Inc., Realtors REAL ESTATE SALES registered in the Greater Manila area during the month of June, 1955, num bered 634, with a total value of P5,334,036, as com pared with 598, with a total value of P5,493,565, regis tered during the preceding month of May. Of the June deals, 177, with a total value of P2,057,966, represented deals within Manila proper, while 457, with a total value of P3,276,070, were transactions regis tered in Quezon City, Pasay City, and in the suburban towns of Caloocan, Makati, Malabon-Navotas, Mandaluyong, Paranaque, and San Juan. A number of the bigger sales registered during the month were: Binondo San Vicente St. A property with a lot of 193.8 sq. m. sold by Dee C. Chuan b Sons, Inc. to Cu Unjieng Investments for P1O7.5OO. R. Salas St. A property with a lot of 235.96 sq. m. sold by Alejandro Katigbak to Pelagia Tagle for P65.000. Nebraska St. Int. A parcel of 950.4 sq. m. sold by Vicente Ang to Silvino Lee for P46.000. San Nicolas Folgueras St. A property with a lot of 772.1 sq. m. sold by Alejandro V. Tan to Remigio Tan for P 140,000. Asuncion St. A property with a lot of 618.5 sq. m. sold by Mario Cuvar Armen to Ong Tico & Sy Liantong for P80.000. Fisher Ave. A tract of 9.209 sq. m. sold by Helen Bennet Schon to Luis P. Pellicer for the reported sum of P100.000. San Jose. A property with a lot of 7,724 sq. m. sold by Gregoria Ong to Pe Ytok for P160.000. Apelo Cruz. A prop-rty with a lot of 3,661 sq. m. sold by Pablo Cuneta to Antenor S. Virata for P80.000. Sfa. Mesa Heights.—A property with a lot of 1,714 sq. m. sold by Antonio King Kaigun to Belman Co., Inc. for Pl 10,000. New Manila —A property with a lot of 1,493 sq. m. sold by Deogracies M. Bautista to Jose S. Bigatan for P40.000. 293 294 AMERICAN CHAMBER OF JOURNAL July, 1955 ”■ ”,d bv T°d" ” of 800 sq. m^an ^^^avVd'^^asoc^for0^!^/)^?^ “ “* °' 749‘2 L0"n2° Real estate mortgages registered in the Greater Ma nila area during the month numbered 618, with a total value of P9,293,444, as compared with 505, with a total value of P12,882,005, registered during May. Of the May mortgages, 229, with a total value of P4,207,704, represented deals within Manila proper, while 389 with a total value of P5,075,740, represented deals within the cities and suburbs first mentioned above. REAL ESTATE SALES, 1955 Manila Queton City Pasay i City Suburban Towns Total January......... P 2,248,421 P2,152,738 P175.472 P2.082.216 P6,658,847 February.... 2,659,845 1,494,750 227,674 1,415,481 5,797,750 March........... 3,698,757 1,380,002 520,341 2,034,848 ‘ 7,633,948 April............... 3,017,054 1,165,215 217,211 2,026,449 6,426,429 May.............. 1,819,794 1,499,356 653,003 1,521,412 5,493,565 June............. . 2,057,966 1,245,396 367,749 1,662,925 5,334,036 REAL ESTATE MORTGAGES, 1955 January.... .P 2,639,978Pl,626,001 P358.600 P2,882,024 P7,506,603 February.... . 4,518,717 988,642 346,000 1,244,589 7,097,948 March........... . 4,371,652 2,054,042 413,700 4,627,048 11,466,442 April............ . . 4,638,698 1,397,006 326,650 3,430,191 9,792,545 May............... . 2,626,424 7,481,249 964,048 1,810,284 12,882,005 June.............. . 4,207,704 2,691,135 279,900 2,104,705 9,283,444 Building Construction By Juan J. Carlos President, United Construction Co., Inc. DURING the month of June, the Office of the City Engineer of Manila approved building permits for construction work amounting to P4,929,055. For the same period in 1954, the volume of work authorized amounted to P5,763,650 in comparison with P5,578,290 in 1953 and P3,274,050 in 1952. Some of the big projects that were started during the month under review were: A 3-story school building for Holy Ghost College on Mendiola Street, estimated at P500.000. On Tetuan Street, Sta. Cruz, a 4-story commercial building owned by Manuel Limsico, costing P175.000. A 3-story residence for Tomas Sia at 1156 Carolina, Malate, esti mated at Pl50,000. On Morayta Street, a 2-story apartment building owned by Ismael Alzate, costing P73.000. For Alhambra Cigar & Cigarette Manufacturing Co. a 1-story re inforced concrete bodega on Tayuman, corner J. Luna streets, costing P70.000. Prices of essential building items remained firm during the period under review except galvanized-iron sheets which registered decreases of from P.20 to P.30 per sheet. Corrugated sheets, gauge 26 and 8 feet long, sold from P5.40 to P5.60 per sheet. Dealers believe that the cause for the decrease in price is due to the fact that EP (in the “Essential Producers” category) licenses which used to be peddled at from 15% to 20% can now be obtained from license holders at as low as 8% and, consequently, the landed cost of the importation has decreased correspond ingly. Price of Portland cement remained at P3.45 per bag plus delivery charges. Ours is an established reputation of 143 years standing ... for complete banking facilities, unparalleled resources and world-wide service furnished by 59 fully-staffed branches and correspondents in every commercially important city. THE FIRST NATIONAL CITY BANK OF NEW YORK BRANCHES IN THE PHILIPPINES MANILA Main Branch: JUAN LUNA STREET Port Area Branch: 13TH STREET July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 295 Port of Manila By Francisco Delgado General Manager, Delgado Brothers, Inc. ONE hundred and forty ocean-going vessels docked at the Port of Manila during the month of June, 1955, laden with 133,082 tons of general cargo for dockside discharge. Compared to the heavy tonnage handled over the piers during the month of May, it is lower by approx imately 13,000 tons. Of particular interest to waterfront entities was the recent appointment of Mr. Manuel P. Manahan, formerly head of the Presidential Complaints and Actions Committee, as Commissioner of Customs. The Port of Manila also has a new Collector of Customs in the person of Atty. Isidro Angangco, who brings with him in his new position years of experience in the Bureau. In a conference held recently, waterfront entities com posed of representatives from Delgado Brothers, Inc., Ar rastre Contractor, shipping companies, brokerage and stevedoring firms, pledged their cooperation with the new Customs officials for the eradication of all types of anoma lies on the Manila waterfront. Toward this end, the con ferees agreed to the re-screening of all persons going in and out of the Customs and pier zones, and the issuance of dis tinctive passes to limit entry to only those people who work or have business to transact in the Port. Dockside Shipside and Bulk January, 1955 115,469.230 32,651.714 February ” 109,176.273 23,855.125 March ” 125,063.040 15,585.867 April 131,307.661 21,891.203 May 146,157.354 30,691.812 June ” 133,082.212 31,310.448 Ocean Shipping and Exports By E. H. Bosch Secretary-Manager Associated Steamship Lines TOTAL exports during the month of May this year showed an increase of 134,444 tons as compared with exports during May of last year; 160 vessels lifted 554,739 tons of exports during the month, as against 420,295 tons lifted by 158 vessels during the same month last year. Commodities which registered sharp increases over last year’s figure were: molasses from 18,741 to 30,949 tons; peanuts from NIL to 1,323 tons, and iron ore from 49,895 to 135,903 tons. Exports during May, ports during May, 1954, v Commodity Beer................................................ Buntal fiber................................. Cigars and cigarettes................ Coconut, desiccated.................. Coconut oil.................................. Concentrates containing cop per, gold, silver, lead, and zinc............................................ Concentrates, copper.................. Copra............................................ Copra cake and meal................ Embroideries............................... Empty cylinders....................... Fish, salted................................. Fruits, fresh mangoes.............. Furniture, rattan....................... Glycerine...................................... Gums, copal................................ Gums, elemi................................. Hemp............................................ Hemp rugs................................... 1955, as compared with exire as follows: 1955 1954 240 tons 844 tons 24 ” 62 ” 38 ” 28 ” 3,157 ” 4,654 ” 4,249 ” 6,042 ” 497 ” 905 ” 11,922 ” — 54,509 ” 55,400 ” 6,090 ” 5,745 ” 320 ” 382 ” 364 ” 245 ” 17 ” 13 ” 170 ” 574 ” 1,135 ” 765 ” 386 ” 407 ” 140 ” 184 ” 16 ” 75,602 bales 61,611 bales 118 tons 120 tons PHILIPPINE Mailing Address P. O. Box 1833. Manila CAGAYAN DE ORO Philippine Agents for: All Del Monte Brand Foods PATRONIZE “DEL MONTE BRAND FOODS SUPPORT PHILIPPINE AGRICULTURAL AND INDUSTRIAL DEVELOPMENT Growers of Packers of Manufacturer of PINEAPPLE & COFFEE • DEL MONTE BRAND PINEAPPLE • TIN CANS PINEAPPLE JUICE • VINEGAR TOMATO CATSUP PACKING CORPORATION 296 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 A Gift of Distinction to be L ong - Remembered FREE! Handcarved initials on Dao boxes, and personalized cello phane cigar wrappers! Handsome Dao box with your choice of the finest Tabacalera cigars makes an attractive remembrance from the Philippines. Tobacco growers and makers of the finest cigars since 1881 Exclusive Distributors MULLER & PHIPPS (Manila) LTD. Office: Port Area P. O. Box 950, Manila Tel. 3-34-01 Household goods and personal effects........................................ Kapok........................................... Logs............................................... Lumber......................................... Molasses....................................... Nuts, peanuts............................ Ores, chrome.............................. O.es, iron.................................... Ores, manganese....................... Plywood and plywood pro ducts ......................................... Pineapples, canned................... Rattan, round (palasan)........ Rope.............................................. Shell, shell waste...................... Shell, buttons............................. Sugar, refined............................. Sugar, cent./raw........................ Sugar, muscovado.................... Tobacco leaf............................... Vegetable oil.............................. Veneer........................................... Merchandise, general.............. 185 ” 562 ” 25 ” — 69,148,273 bft. 43,110,514 bft. 5,152,629 ” 6,331,734 ” 30,949 tons 18,741 tons 1,323 ” — 20,650 ’’ 28,641 ” 135,903 ” 49,895 ” 2,899 ” 84 ” 873 ” 22 ” 7,667 ” 3,720 ” 449 ” 411 ” 290 ” 505 ” 64 ’’ 106 ” 18 ” — 449 ” 449 ” 103,045 ” 125,151 ” 1,058 ” 98 ” 348 ” 1,471 ” 11 ” 33 ” 101 ” 35 ” 793 ” 1,803 ’’ Freight Car Loadings By Jose B. Lirunao Traffic Manager, Manila Railroad Company LOADINGS of revenue freight during the month of May, 1955, totaled 4,995 cars. This was an in crease of 1,543 cars, or nearly 45% over the loadings for May, 1954, of 3,452 cars. Revenue freight carloadings by group commodities for the month of May were as follows: May — Tonnage Group Commodities 1955 1954 Products of agriculture...................................... 43,636 20,882 Animal products................................................... 307 886 Products of mines................................................ 981 630 Products of forests.............................................. 8,855 12,540 Products of manufactures................................. 39,032 24,831 Merchandise less than by carload.................. 3,688 2,024 Total............................................................... 94,499 61,793 The above commodity groups represented 47 items, with 28 items registering an aggregate increase of 44,658 tons, and 19 items registering an aggregate decline of 9,952 tons, or a net decrease of 34,706 tons. Of the items which registered increases, the more important were: sugar cane, 25,852 tons; cement 7,674 tons; molasses, 1,933 tons; merchandise less than by carload, 1,665 tons; refined sugar, 1,370 tons; soft-drinks, 1,218 tons; other manufactures and miscellaneous, 946 tons; fuel oil, 933 tons; desiccated coconut, 655 tons; iron and steel pro ducts, 509 tons; centrifugal sugar, 494 tons; and coal and coke, 404 tons, or an aggregate increase of 43,653 tons. On the other hand, of the items which suffered decreases, the more important were: lumber, 2,790 tons; gasoline, 2,080 tons; copra, 1,596 tons; com, 583 tons; palay, 560 tons; other forest products, 409 tons; and rice, 494 tons, or an aggregate decline of 8,435 tons. There was a decided increase in sugar-cane produc tion this season over last year. Molasses moved by rail due to installation of a storage tank at Pandacan. Indi cative of the greater production, centrifugal sugar con tinued to move in increasing quantity. The same was true of refined sugar. The increased carloadings of ce ment and iron and steel products were signs of more con struction activity. The greater sales efforts of the be verage manufactures resulted in increased loading of soft drinks. Increased importation through the Port of Ma nila favored the carloadings of merchandise in less than carload lots and “other manufactures.” Unloading of imports at Manila increased during May, 1955, amounting to 252,324 tons as compared to 171,754 tons last year, or an increase of 47%. The increase in the move ment of fuel oil was due to continued industrial activities July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 297 in the country. Desiccated coconut has increased some what. On the other hand, lumber shipments declined be cause of the poor market and the increasing competition of motor-transport over short distances. Gasoline loading continued to decline due to a change in the shipping point of origin not accessible by train. Copra movement by rail has also suffered as prices never went higher than $160 during the month. Shipment of this article was also routed via Siain and Legaspi, hence, other forms of trans portation were utilized. Rice and palay have not moved much as local requirements did not permit marketing in other areas. Com shipments did not improve as corn is a substitute for rice. The month of May this year was better than last year as there were general increases in carloadings for at least 28 items while only 19 items suffered declines. There were indications that business has slightly improved. With the increased capitalization of the Philippine Na tional Bank, it is expected that greater credit facilities will be available to many business enterprises. The coming month should show increased carloading, and additional rail equipment has been placed on the run. Mining By Henry A. Brimo President Philippine Gold Producers Association, Inc. GOLD prices in the local market fluctuated within an extremely narrow range throughout the month of June. Opening sales were made at P96.25 per ounce bullion and the market closed at P96.00, which was the low for the period against a high ofP99.50 reached briefly on June 14. Average selling price for the month was P97.08 per ounce. As a result of the continued depression in local pri ces, the Gold Subsidy Board initiated serious studies to determine if it would be possible to purchase all gold pro duced in the Philippines. Numerous conferences with the members of the Philippine Gold Producers Associa tion were held but no final decision was reached pending further research in the manner of implementing use of the foreign exchange which would be derived from the sales of gold to the Central Bank, so that the maximum taxes (exchange and compensating taxes) could be gen erated thereby. It must be remembered that under the provisions of Republic Act No. 1164, otherwise known as the Gold Subsidy Law, funds with which the premium is to be paid must come exclusively from taxes paid or generated by gold producers, whether directly or indirectly. The avowed intention of the Government is to at tempt to purchase all gold produced at the highest price made possible by the maximum taxes which can be generated by the gold producers. Since it is believed, how ever, that this goal cannot be achieved without addi tional funds, it is possible that a small additional appro priation may become necessary, and much depends on the availability of the funds. Attention was then turned to determine what prices the Government would pay. Differences of opinions, as might be expected, developed on this point. To date, no final decision has been reached but it is obvious that our Government is thinking in terms of final payments of not over P105.00 per ounce for marginal producers and P 103.00 per ounce for over-marginal producers. Gold producers, pointing to the prices provided in the Gold Subsidy Law currently enforced, would like to have the subsidy prices maintained (Pill.72 and P105.40 per ounce, respectively). SURFACE STORAGE TANKS AG & P has the special skills and facilities to fabricate and erect them! No job is too small . . . nor too big. Regardless of cost you get them same consideration... and AG&P’s renowned dependability. Let us make an estimate of your plans and specifications. UNDERGROUND TAN|KS ' SUBMARINE PIPE LINE BUILDINGS—STEEL FRAMING PIERS, WHARFS MARINE SLIPWAYS AQUEDUCTS TOWERS, STACKS PILE FOUNDATIONS PILE RETAINING WALLS KILNS, ETC. ATLANTIC, GULF & PACIFIC CO. OF MANILA Executive Offices—Engineering Division—Structural & Machines Shops PUNTA, STA. ANA, MANILA TEL. 6-75-31 (connecting all depts.) 298 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 Another subject of argument and contention is the local premium market. Gold Subsidy authorities have stated that once the final decision is made, all subsequent sales of gold should be made through subsidy terms, thus ending sales to local buyers and, in effect, virtually obli terating this market. Gold producers, on the other hand, would like to keep the local market open in case subse quent price-appreciation develops. They have pointed out that the Government buying-price, if permanently fixed, would doom the industry to a sub-marginal life without hope of improvement. This is where matters stand presently. It is expected that some final decision will be reached before this article reaches its readers. Lumber By Pacifico db Ocampo Secre tary-Treasurer Philippine Lumber Producers’ Association, Inc. DURING the month under review, May, 1955, the Philippines exported 92,056,810 bd. ft. of logs and lumber, 28,444,048 bd. ft. more than the pre ceding month’s 64,612,762 bd. ft. The increase was mainly due to the increase in the shipment of logs to Japan, from 58,150,341 bd. ft. in April to 78,015,245 bd. ft. in May, or an increase of 19,864,904 bd. ft. The exports to the United States and Canada increased by 2,408,441 bd. ft., from 4,892,415 bd. ft. in April to 7,300,856 bd. ft. in May. Exports to all other countries also increased by 5,170,703 bd. ft., from 1,570,006 bd. ft. in April to 6,740,709 bd. ft. in May, 1955. The following are the figures for logs and lumber in bd. ft. inspected for export during May, 1955, as re leased by the Bureau of Forestry: Volume in Board Feet Shipper Destination Lumber Logs Aboitiz & Co........................... Japan 1,500,000 Aguinaldo, D.......................... Japan 1,793,992 Agusan Export & Import Co.;..................................... Japan 657,930 American Rubber Co........... Japan 2,237,733 Alcantara 8s Sons.................. Japan 2,200,000 Agusan Export 8s Import Co.......................................... Japan 457,930 Anakan Lumber Co.. Japan 2,450,000 Associated Lumber Mfg. Co............................... U. S. A. 273,801 Basilan Japan 350,433 1,602,460 Lum U. S. A. 1,153,289 542,720 ber Br. North Bor. 117,716 Company......... Hongkong 170,728 Bislig Bay Lumber Co., Inc.............................. Japan 6,287,847 Brigido Valencia......... Japan 1,500,000 Cantilan Lumber Co. Japan 453,673 Calapan Lumber U. S. A. 71,509 30,399 Co., Inc..................... Japan 457,539 Cipriano Luna Lumber Enterprises............................... Japan 1,407,869 Continental Match Co........ Japan 500,000 Davao Logger Co-operative, Inc......................................... Japan 2,000,000 Dee Cho Lumber Co., Inc.. Guam 3,045 Dy Pac 8s Co., Korea 820,000 Inc......................................... Japan 1,959,820 Extensive Enterprise Corp.. Japan 898,981 Findlay Millar Okinawa 520,000 Timber Co........................... Japan 2,050,000 Great Oriental Mftrs. 8s Traders........................... Japan 495,000 G. S. Manalac Korea 701,850 Enterprises........................ Japan 2,544,826 Getz Bros. Formosa 170,730 8s Co., Inc............................ Japan 450,000 Gonzalo Puyat 8s U. S. A. 158,176 Sons, Inc.............................. Japan 500,047 General Enterprises............. U. S. A. 152,897 Golden Ribbon Lumber Co., Inc............................... Japan 1,450,000 O' INSURE FIDELITY END DISCUSSION \2? DETEX PATROL ,?/ FINEST QUALITY WATCHCLOCK MONEY CAN BUY! Your invariable preference as an Executive who wants his protective system to keep pace with his expanding plant needs —DETEX PATROL! Entire recording mechanism in station — tamperproof, accurate records end discussion and assure that your watchmen keep alert to protect your plant! 111 Provides an exact-to-the-minute check on the activities of your watchmen. Handy record dial carrier. Operates with plunger action. record dial. Special 8-day movement, escapement. Sturdy lightweight aluminum Tamper-proof, direct-embossed paper Exact, 11-jewel die cast case. 91 ’’OETEX} gW The Store of Quality «00 DASMARTSAS PHONE: 3 51-71 £ MEMBER July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 299 Hernandez, Inc. Manila.... U. S. A. 2,000 Sta. Clara Lumber U. S. A. 20,000 405,218 Hercules Lumber Co., Inc.. Japan 1,500,000 Co., Inc................................ Japan 2,029,963 Iligan Lumber Co., Inc....... Japan 600,000 Sanggay Logging Co............. Japan 500,000 Insular U. S. A. 1,094,442 Surigao Timber Co............... Japan 200,688 South Africa 722,230 Sanchez Logging Co............. Japan 495,832 Hawaii 191,298 Standard Sawmill Co........... Japan 1,000,000 Lumber Holland 10,187 Taggat Sawmill Co., Inc.... U. S. A. 178,568 Belgium 86,189 Tirador Lumber Japan 833,854 Company........................ Guam 22,022 Visayan Sawmill Co., Ltd... Japan 2,450,061 Jebanaur & Co., Inc............. Japan 816,992 Valeriano C. Bueno.............. Japan 750,000 Johnston Lumber Co., Inc.. Japan 1,802,125 Vulcan Lumber 8b Const. La Villa Guam 1,500,069 Co., Inc................................ U. S. A. 1,220 de Manila............................ Japan 805,610 Valderrama Lumber Mftrs. Lanao Timber Mill, Inc... . Japan 649,985 Co........................................... South Africa 50,128 L. C. Wagner, Ltd................ U. S. A. 43,963 Vic Corporation.................... Japan 1,203,265 Luzon Mfg. Enterprise, Western Mindanao Lumber U. S. A. 40,879 Inc.......................................... Japan 500,000 Co., Inc.................................. Japan 4,800,578 Martha Enterprises, Inc.... Japan 2,570,630 West Basilan Lumber Co., Misamis Lumber Co., Inc... Japan 649,992 Inc.......................................... Japan 3,090,000 Mindoro Liberty Sawmill. . Japan 600,000 Woodworks, U. S. A. 1,015,524 Mariano Lacson.................... Japan 319,835 Incor South Africa 405,627 North Camarines U. S. A. 100,000 porated ............................ Korea 600,000 Lumber Co., Inc................ Japan 756,736 U.N.O. Import 8b Export Nasipit Lumber U. S. A. 434,782 1,080,000 Co.......................................... Japan 485,239 Co., Inc................................ North Star Lumber Co., Japan 9,550,000 Total.................................. 7,733,944 84,322,866 Inc......................................... Japan 263,000 North Zambales Lumber Resume of Exports to: Co., Inc............................... Japan 500,024 Lumber Logs Total Pacifico Ledesma................... Japan 258,860 (Bd.Ft.) (Bd.Ft.) (Bd.Ft.) Pancho Lumber Mill........... Taiwan 648,890 Japan.......................................... 350,433 77,664,812 78,015,245 Ralph W. Dempsey............. U. S. A. 494,232 United States and Canada. . 5,084,341 2,216,515 7,300,856 Real Sawmill........................... Japan 700,000 Other countries........................ 2,299,170 4,441,539 6,740,709 Red Wood U. S. A. 7,235 Company............................. Japan 1,125,898 Total.................................. 7,733,944 84,322,866 92,056,810 COMPARATIVE STATEMENT OF EXPORTS MADE TO DIFFERENT REGIONS OF THE UNITED STATES DURING THE MONTHS OF APRIL AND MAY, 1955 Lumber in Board Feet Logs in Board Feet Grand Total Period Western States Eastern States Gulf States Al! Others Total Western States Eastern Gulf All States States Others Total April. 1955............................... Mav, 1955............................... 1,621,459 3,635,114 807,570 624,805 225,999 161,750 2,590,779 598,423 5,084,341 1,000,327 1,413,262 — 1,301,309 — 30,399 — 772,852 2,301,636 2,216,515 4,892,415 7,300,854 Difference (Increase + Decrease—) 2,013.655 + 182,775— 225,999 + 426,673+ 2.493,572+1 4.412,935 + 30,399+ 1,301,309— 772,852 + 85,121— 2,408,440 + INSULAR LUMBER COMPANY FABRICA, OCC. NEGROS MEMBER — PHILIPPINE LUMBER PRODUCERS’ ASSOCIATION, INC. --------------------*--------------------SPECIALISTS IN KILN-DRIED LUMBER and MANUFACTURERS OF BOXES OF ALL DESCRIPTIONS MANILA DISTRIBUTORS: Norton & Harrison Company 814 Echague Manila Philippine Lumber Manufacturing Company 14-30 Soler St. Manila Insular Saw Mill, Inc. 340 Canonigo, Paco Manila MANILA OFFICE: 603 FILIPINAS BUILDING 300 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 Only has made 50,000 Atlantic crossings a record no other airline can match! This week Pan American World Airways completed its 50,000th Atlantic crossing! No other airline has approached this record. Pan American is first on the Pacific too—has made more Pacific crossings than any other airline. It is mighty reassuring to know you’re on the one airline that leads the world in over-ocean experience. For reservations, call your travel agent or PAA Phone 2-79-91 Offices: 270 Plaza Cervantes & Manila Hotel Lobby WORLD’S MOST EXPERIENCED AIRLINE ASK ABOUT PAN AMERICAN'S NEW Family Plan Fares to EUROPE via U.S.A. Save up to $330 on each dependent’s round-trip fare during thrift season Nov. 1 to March 31 SUMMARY OF EXPORTS DURING MAY, 1955, ARRANGED BY COUNTRIES OF DESTINATION IN THE ORDER OF VOLUME OF SHIPMENTS TO EACH COUNTRY Countries of Destination Lumber (.Bd.Ft.) Logs (Bd.Ft.) Total (Bd.Ft ) Japan............................................. 350,433 77,664,812 78,015,245 United States.............................. 5,084,341 2,216,515 7,300,856 Korea............................................ — 2,121,850 2,121,850 Guam............................................ 25,067 1,500,069 1,525,136 Southern Africa.......................... 1,177,985 — 1,177,985 Taiwan.......................................... — 648,890 648,890 Okinawa........................................ 520,000 — 520,000 Hawaii........................................... 191,298 — 191,298 Formosa........................................ — 170,730 170,730 Hongkong.................................... 170,728 — 170,728 British North Borneo............... 117,716 — 117,716 Belgium........................................ 86,189 — 86,189 Holland......................................... 10,187 10,187 Total..................................... 7,733,944 84,322,866 92,056,810 irena or exports to: This Month Month Ago Year Ago Lumber Logs Lumber Logs Lumber Logs (.Bd.Ft.f (Bd.Ft.) (Bd.Ft.) (Bd.Ft.) (Bd.Ft.) (Bd.Ft.) Japan.............. 350,433 77,664,812 — 58,ISO,341 — 32,991,085 United States and Canada. 5,084,341 2,216,515 2,590,779 2,301,636 3,653,596 2,613,248 Other coun tries............. 2,299,170 4,441,539 999,344 570,662 1,882,183 4,540,635 Total......... 7,733.944 84,322,866 3,590 123 61,022,639 5,535,779 40,144,968 arrivals of logs and lumber in Manila during the month under review, May, 1955, aggregating 8,862,525 bd. ft., increased by 399,899 bd. ft., as compared to arrivals during the previous month of 8,462,626 bd. ft. Prices in the local wholesale lumber market increas ed during the month under review, May, 1955, compared with those of the previous month—from P140-P150 to P150-P155 for white lauan; from P145-P155 to P150P155 for apitong; and from P170-P180 to P180-P185 for red lauan, per 1000 bd. ft. Copra and Coconut Oil Bv William S. Rice, Jr. Copra Buyer, Philippine Manufacturing Company IN June copra supplies were generally tight, and the market had a firm tone with prices gradually rising. Philippine sellers displayed an unusual lack of sel ling-interest most of the month, and copra arrivals at Ma nila and Cebu continued disappointing. Eventually it became evident that available supplies had been oversold and that many domestic dealers and exporters were exper iencing difficulty in covering their commitments. Traders in that situation were naturally not enthusiastic sellers. Philippine domestic markets and Europe set the price trend, and the American market followed with less activ ity. Firmness of European liquid oils also stimulated copra and coconut oil. Philippine copra production has not improved in ac cordance with expectation for this month, and it is to be hoped that larger supplies will be forthcoming in July. Prices in June Copra: High Low Close Pacific Coast, c.i.f. per short ton nearby shipment or afloat. 3162.50 3155.00 $160.00 Europe, c.i.f. per long ton, ship ment in 45-60 days.................. 186.00 179.00 185.50 Manila, fresh, resecada basis, per 100 kilos at bodegas, 30 days................................................ P29.00 P27.00 P28.50 Coconut Oil: Pacific Coast, per pound, f.o.b. tank cars in 45-60 days........ 11-5/8 11-1/4 11-1/2 Atlantic Coast, c.i.f. per pound, in bulk, afloat or nearby ship ment .............................................. 12-1/4 11-3/4 12 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 301 Copra Cake: Pacific Coast, C & F per short ton, shipment in 30-60 days.. . Europe, c.i.f. per gross long ton, shipment 60-90 days.............. $68.00 $64.00 $65.00 79.00 78.00 78.00 Copra Statistics Philippine Copra and Coconut Oil Exports Copra exports United States............. (In Long Tons) April May 27,805 23,499 15,553 25,900 12,426 5,110 26,652 23,980 9,562 January-June 1955 1954 151,678 139,919 139,683 152,723 52,671 31,991 Totals.................. 55,784 54,509 60,194 344,032 324,633 Coconut oil exports United States............ 6,390 4,249 6,716 31,772 27,388 Other countries......... — — — 300 395 Totals. 6,390 4,249 6,716 32,072 27,783 Manila and Cebu Copra Arrivals (In Metric Tons) January................... February................ March..................... April........................ May......................... Manila 1955 1954 9,856 13,038 11,451 11,674 10,718 10,356 10,337 10,30u 9,851 14,592 12,596 13,601 Cebu Manila and Cebu Per1955 1954 15,458 15,490 19,926 14,218 16,027 14,170 16,455 13,926 16,212 19,307 16,465 19,964 1955 25,314 31,377 26,745 26,792 26,063 29,061 1954 1955*54 28,528 ’ 88.7 25,892 121.2 24,526 109.0 24,226 110.6 33,899 76.9 33,565 86.6 Total............... 64,809 73,561 100,543 97,075 165,352 170,636 94,0 Copra Cake and Meal Prices.—European buying interest continued active during the first half of June and then unaccountably subsided the latter part of the month. However, buying-interest is expected to reappear soon for September and October shipments which will be needed to supply winter feeding. The American market for Philippine cake continued dull at prices substantially below Europe; however, a pos sible shortage of supplies there is foreseen for August and September, and American buying-interest for those posi tions is expected to improve. Desiccated Coconut By Howard R. Hick President and General Manager Peter Paul Philippine Corporation THIS report covers the period from May 15, 1955, to June 15, 1955, during which time copra reached its lowest quotation during the past 9 months, bring ing to an end one of the longest postwar constant price levels. Raw nuts followed this pattern and reached a low of P48 a ton. This trend turned toward the end of the period and prices climbed upward, indicating a return to the price level prevailing since last October. The industry has been continuing at a slow pace, approximately 60% of normal, and there seems to be no indication of a change for some months to come, or at least until fall-buying starts in about July and August for Sep tember deliveries. Peter Paul entered its seventh week of strike and this has hurt the industry appreciably; the strike may conti nue into July. Prospects for the fall seem better as indications point to low State-side inventories and increased confectionery sales as wpll as baking products. Should this develop, despite the poor January to June showing, we might yet hit 90% of normal for the calendar year,—a good recovery. The following statistics cover the shipments of desic cated coconut during the month of May, 1955: Shippers Pounds Franklin Baker Co......................................................................... 4,611,950 Blue Bar Coconut Co.................................................................... 669,350 Peter Paul Philippine Corp......................................................... 420,700 Red V Coconut Products Ltd.................................................... 1,889,800 Sun Ripe Coconut Products, Inc............................................... 3,300 Cooperative Coconut Products, Inc......................................... — Total......................................................................................... 7,595,100 PACIFIC MMMOIK C (I It P 0 RAT I (I X 449 Dasmariilas Manila AMERICAN RADIATOR & STANDARD SANITARY CORPORATION AMERICAN VALVE COMPANY AMES BALDWIN WYOMING COMPANY BADGER METER MANUFACTURING CO. BADGER FIRE EXTINGUISHER CO. BALL BROS. MASON JARS BOMMER SPRING HINGE COMPANY CAPEWELL MANUFACTURING CO. CARBORUNDUM COMPANY COLUMBUS COATED FABRICS CORP. COLUMBIAN VISE & MFG. CO. CORBIN LOCK COMPANY DICK BROTHERS MANUFACTURING CO. EKCO PRODUCTS CO. GREAT NECK SAW CO. JACOBS MANUFACTURING CO. KEENEY MANUFACTURING COMPANY MALLEABLE IRON FITTINGS CO. NORTH WAYNE TOOL COMPANY PABCO PRODUCTS, INC. “Pabco” Products R. E. DIETZ COMPANY RADIUS AKTIEBOLAGET SLOAN VALVE COMPANY SOLARINE COMPANY TEMPLETON KENLY JACK CO. UNION CARBIDE & CARBON CORP. National Carbon Division “Eveready” flashlights & batteries Linde Air Products Division “Union” Carbide “Oxweld” Welding Rods, Supplies and Generators “Prest-o-Weld” Welding and_Cutting Apparatus UNITED STATES STEEL EXPORT CORP. ♦ STEEL PRODUCTS HOUSE FURNISHINGS GENERAL HARDWARE PLUMBING 302 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 FOR BETTER SERVICE— Call 3-29-05 ALLIED BROKEIME I’OIII'OIIITIOl Marsman Building Port Area Individual attention and competent supervision given to your customs brokerage requirements. CUSTOMS BROKERAGE FREIGHT FORWARDING WAREHOUSING TRUCKING HEAVY HAULING Manila Hemp By Frank P. Hill Vice-President and General Manager Macleod and Company of Philippines DURING the month of June prices moved within a very narrow range and at the end of the month were about the same as at the beginning with the exception of some Davao grades which were lower. The June 1 inventory of Central American abaca amounted to 45,415 bales of 300 lbs. Central American balings during May were 5,401. The law creating the Abaca Corporation of the Phil ippines has been signed by President Magsaysay. How ever, there have been no further developments in this con nection. AMERICAN HOSPITAL 201 Aduana, Intramuros MANILA The Only Member of AMERICAN HOSPITAL ASSOCIATION in the Orient Telephone 3-34-68 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 303 Sugar By J. H. d’Authrbau Philippine Sugar Association THIS report covers the period June 1 to 30, 1955. New York Market. The market remained steady but dull throughout the greater part of the month, with prompt arrivals done at 6.00/ to refiners and July and August arrivals at 6.02/6.05/ to operators. Upon the final liquidation of the July exchange position, how ever, on June 21, it was seen that many July arrival par cels of Philippines were still in operators’ hands and seek ing final destination, and the market quickly declined, until on June 29, 2,000 tons Philippines “in port” were sold at 5.96/. The market closed easy with sellers at 6.00/ and buyers 5.95/. Reported sales of actuals totalled approximately 205,394 long tons, of which 84,545 long tons were Philip pines. Exchange operations for the period approximated 249,900 short tons. Deliveries of refined for the period May 22 to June 25 were 898,822 short tons, as compared with 615,681 for May and with 729,970 for June, 1954. Total deliveries for the year to June 25 were 3,817,000 short tons, as compared with 3,797,000 short tons on the same date in 1954. On June 25 refiners stocks were 266,322 long tons, as against 314,370 on the same date last year. Opening and closing quotations on the No. 6 Contract were as follows: Afny 5.40# 5.39 Nov. 5 58# 5.51 Sept. S.SHf 5.-19 March 5.36# 5.35 July junr 1 ............................... 5.52# june 30............................... — Average spot price for June was 5.518182/. Average spot price January 1 to June 30 was 5.420079/. U.S. Sugar Legislation. As per advices received from our correspondent, Messrs. Lowry 8b Co., the U.S. Department of Agriculture on June 8 announced the Administration’s policy on new legislation. We quote: "(1) Legislation during this session of Congress to become effective January 1, 1956, and extending until December 31, 1962, (the current Act expires December 31, 1956). “(2) Special relief for domestic producers this year to the extent of 100,000 tons (the exact apportionment yet to be worked out). There was a hint that the 100,000 -ton increase in domestic quotas might be lifted off the market by a Government purchase (presumably for relief or against some foreign aid program). “(3) Growth in United States Consumption above 8,350,000 tons to be divided: 55% to Domestics; 45% to Cuba and the Full Duty Countries.” It will immediately be seen that no provision appears to be made for the inclusion of the Philippines in sharing in the growth of the United States consumption beyond 8,350,000 tons. This seemed to be further emphasized at the public hearings in Washington on June 22-25, when Assistant Secretary of State H. F. Holland recorded the State Department’s recommendation that any revision of the Philippine quota should be deferred until such time as Philippine sugar pays duty. This view was bitterly as sailed by Atty. John A. O’Donnell on behalf of the Phil ippine interests who invoked the Philippines world-war record of resistance and damage, its front line position in today’s cold war, and its crying need of greater exports to redeem the balance of trade. In summing up the hear ings, Messrs. Lowry 8s Co. write further: “In the opinion of Capitol Hill veterans, who have attended most legislative hearings pertaining to sugar, there has never been so much apparent disagreement among the various parties at interest, includ ing members of the Committee itself. “The domestic producers are not in 100% agreement themselves; the refiners have points of difference; and there has been evidence of the lack of a united front by the Executive Departments. In addi tion to this internal division in groups that customarily hold together at least publicly, there seemed to be more than the normal differences among the groups themselves. Furthermore, issues have frequently been clouded and much time lost by obvious ‘politicking’ on the part of Committee members. The Chairman and Mr. Poage are utiInside an air-conditioned area, during hot and humid days, comfortable employees cost less ... do more work. Comfortable customers stay longer . . . give you more business. Keeping employees and customers comfortable is not only a nice gesture. It’s good business — especially when you do it with inexpensive and efficient KOPPEL air-conditioners powered by Westinghouse compo nents. AIR CONDITIONER BANKS LABORATORIES : .OFFICES Branches: BACOLOD • ILOILO . CEBU • DAVAO COTABATO • ZAMBOANGA . DADIANGAS, COTABATO • CAGAYAN DE ORO CITY San Fernando, Pamp. • Cabanatuan City Tuguegarao, Cagayan Air-Conditioned Problems See Vs, Call or Write— KOPPEL (Philippines) INC. Representatives for Pressed Steel Car Co. Division of U. S. Industries, Inc. Taft Ave. Cor. San Luis St., Manila ■ Tel. 3-37-53 For All-Season Comfort of Your Clients and Efficiency of Your Personnel Install a New, Streamlined with all WESTINGHOUSE Components SELF-CONTAINED UNITS FROM 3 TO 7-1/2 H.PAVAILABLE FROM STOCK ON EASY TERMS ALSO AVAILABLE IN LARGE CENTRAL PLANT CAPACITIES 304 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 Complete International Banking Facilities IBank of America NATIONAL Hvsinos ASSOCIATION 139 JUAN LUNA STREET MANIL/k ode rn Equipment American President Lines’ fast, dependable Cargoliners have heavy lift gear for extra heavy cargo. .. Cargocaire dehumidifying systems to protect cargoes subject to damage by moisture. . . radar. .. fire alarm systems throughout all compartments. . . deep lizing every opportunity presented by the sugar program (with its quota and support payments feature) to needle their Republican col leagues for lack of interest in the House for 90% parity on the basic agricultural crops. They have heckled some witnesses unmercifully at times, although it may have been done in a semi-friendly or some what jocular vein. Some observers think Messrs. Cooley and Poage are indirectly talking to the Senate, where many members are inte rested in sugar and where the 90% parity is yet to be voted on. “Corridor opinion is that the chances of sugar legislation at this session are perhaps not better than a bare 50-50." The hearings are continuing. Local Market, (a) Export Sugar. Export prices rose to P14.25/30 ex Negros warehouse early in the month on the basis of the steady New York market and declining freight rates, now quoted at $16 per long ton for July and August loadings. Considerable volume was done at this price, chiefly by one exporters. Later, in sympathy with the decline of the New York market, prices dropped again to the P14 mark, at which the market turned inactive. It is believed that there is little unsold sugar in planters’ hands. Total export shipments of 1954-55 crop sugar for the month were 119,652 long tons, making a total of 675,542 against the 1954-55 crop, as compared with 686,873 up to the same date in 1954. Total Philippine arrivals in New York for the period January 1 to June 25, 1955, are recorded at 478,784 long tons, as against 499,862 long tons for the same period in 1954. (b) Domestic Sugar. The market continues un changed with several holders selling as opportunity affords at P9.60 per picul ex Negros warehouse. Export switching sales in some volume have been done at P10.00 per picul ex Negros warehouse. The market seems steadier and the end of crop carryover is estimated by some at approximately 500,000 bags raw sugar. Some improvement may be looked for at the commencement of the new crop. World Market. Opening and closing quotations were as follows: Spot July Sept. Ocf. March May June 1.......... 3.38^ 3.37i 3.3lf 3 31|1 3.21i 3.28|! June 30.......... 3.20 3.17 3.22 3.20 3.24 3 23 Cuban sales in the world market (to ultimate buyers) to May 31, according to Messrs. Willett & Gray, amounted to 1,418,648 English long tons. To the same date in 1954 the total was estimated at 700,510 tons; in 1953 at 1,592,914 tons. Cuba’s world market statistical position would now appear to be: Sp. Long Tons Revised Quota (90% of basic)................................................... 1,955,430 Sold to May 31 (1,418,648 English l.t.).................................. 1,398,887 tank heating systems to maintain bulk liquid cargoes at correct temperatures...pilfcr-proof specie chambers and precious cargo lockers. Finest equipment is just one of many reasons why. . . 556,543 Held as follows: In hands of Producers or Operators........................................ 372,794 (.Shipment prior to September 1) In hands of Producers or Operators (Shipment after September 1)............................................................................... 183,749 It Pays You Well To Ship A.P.L. MARY BACHRACII BLDG. AMERICAN PRESIDENT LINES Your American Hotel AbrooJ 25th Street, Port Area Tel. 3-32-81 556,543 At the meeting of the International Sugar Council in London, beginning June 1, the Council ratified the restoration of the second 10% quota cut. The estimated World Free Market requirement was revised from 4,400,000 to 4,650,000 metric tons. Cuba’s plea for quota increases from 90% to 100% of basic was denied, but the quotas of Brazil (withdrawn from the Agree ment), Netherlands, and Russia, totalling 372,000 me tric tons, were reallocated, Cuba receiving 192,936 tons. The Philippines’ share of these reallocations was 1,588 metric tons, bringing its 1955 world quota to 24,088 metric tons. The Philippines also presented an appeal for consid eration by a study committee and for reporting and determination at the next Council meeting, to be per mitted to barter 100,000 tons sugar for- much-needed rice to be procured from Eastern countries in need of sugar. July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 305 Upon receipt of its additional quota, Cuba sold 120,000 tons refined to Russia. The latter however was shortly thereafter obliged to cancel some 40,000 tons thereof due to lack of available shipping space. This brought about a prompt decline in spot from 3.35/ to 3.27/. In a seemingly aimless market, spot declined fur ther to 3.18/ recovering slightly to 3.20/ at the close of the month, with speculation running the rounds as to the likelihood of quota reductions to adjust matters. No doubt this problem will receive attention at the next Council meeting in September or at the Executive Com mittee meeting in July. Cuban production as reported by the Cuban Insti tute to June 15 was 4,397,996 Spanish long tons of sugar and 197,247,406 gallons of blackstrap molasses. This compares with production to the same date last year of 4,730,349 Spanish long tons of sugar and 234,888,883 gallons of blackstrap. 1954-55 Milling. Eighteen of the 25 centrals have finished milling for the 1954-55 crop, with a total produc tion of 1,095,860 short tons. Total production of all cen trals to date is estimated at 1,331,751 short tons. The centrals still milling are estimated to produce an addi tional 73,895 short tons, or a total of 1,405,646 short tons for the whole crop. The average of juice purities to date is 84.00. Tobacco By Baldomero Fernandez Tabacalera and Luis A. Pujalte Wholesale Dealer & Exporter of Leaf Tobacco THE law of supply and demand is again proving itself in our tobacco industry. Toward the middle of June, the largest tobacco-buying firm in the Philip pines stopped all purchasing in the provinces of Pangasinan, La Union, and the Ilocos, and throughout the Visayas. With the supply so abundant but with the demand reced ing, prices have dropped and the result is quite disastrous. The reason behind the sudden stoppage in buying is that Spain, the biggest consumer of Philippine tobacco, is now turning for its supply to the Dominican Republic and various South American growers,—obtaining there perhaps a better quality at equal prices or a similar quality at lower prices. The danger-sign is up. Let us not disregard it. Let us take the necessary steps to retain our foreign markets lest,—when at last we are tired of legislating unwisely and of “fixing” prices and at ridiculously high levels, we find that our customers have already turned elsewhere. COLUMBIAN ROPE COMPANY OF PHILIPPINES, INC. ★ MANILA HEMP ★COPRA ★SHIPPING ★INSURANCE An Organization with over THIRTY YEARS EXPERIENCE In The Philippines READY TO SERVE YOU In Any of The Above Fields ★ Singer Building Port Area, Manila * BRANCHES: DAVAO • CEBU • TACLOBAN It Doesn't COST to AHt-AMWte.. It PAYS! DZHH 'R/wad&uZ™# EoryMmf 1 -J ~ ijzmb| l-Dzri 77te Imports By S. Schmelkes The Robot Statistics {Mercantile, Inc.) LL figures are in kilos with the exception of those xx for foodstuffs which are given in package units: Commodities May, 1955 May, 1954 Automotive (Total)................... ........................ 2,742,426 1,822,700 Automobiles...................................................... 393,898 185,590 Auto Parts................................ ........................ 198,527 266,089 Bicycles...................................... ........................ 505 2,835 Trucks........................................ ........................ 393,295 84,035 Truck chassis................................................... 334,467 473,462 Truck parts.............................. ...................... 646,220 149,791 Building Materials..................... ....................... 8,436,728 7,752,446 Board Fibre.............................. ...................... 98 Cement....................................... ...................... 147,830 3,438,446 Glass Window......................... ...................... 975,645 926,044 Gypsum..................................... ........................ 3,500,000 — Chemicals (Total)....................... ...................... 7,224,067 7,035,752 Caustic Soda............................ ...................... 1,299,196 623,427 Pte fatten'd 306 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 J3eautifal -------TO SEE ____ TO TOUCH ____ TO OPERATE Modern in design, the MARCHANT is the only Amer ican calculator with dials for checking keyboard entries. Its low-luster finish eliminates reflections causing eye fatigue. With key action twice as light as beforo, its keys and controls respond to the slightest touch. The MARCHANT is unmatched in accuracy control, sim plicity, speed, and silence. MARCHANT CALCULATOR ERLANGER & GALINGER,INC. 123 T. Pinpin off Escolta Tel. 3-21-61 A/o (Zoolinj ffiuAAemi WISCONSIN V HEAVY-DUTY z^Y^^ENGINE Wisconsin Air-Cooled Engines suffer LESS from human neglect than any other kind of an engine. They take care of their own cooling problems — in any weather from the hottest to the coldest. And they practically take care of their own lubrication chores — there isn't an oil fitting or a grease cup on any Wisconsin Engine. Oil in the crankcase takes care of everything! Yes, you can start a Wisconsin Air-Cooled Engine and forget about it . . . aside from keeping it supplied with gas and oil. Here is the most "fool-proof" engine power you can buy! Available in a full range of types and sizes — 4-cyde single cylinder, 2-cylinder and V-type 4-cylinder, from 2 to 30 hp. And remem ber — WISCONSIN ENGINES deliver the "Most H.P. Hours" of on-the-job power service. See us regarding your engine requirements. EXCLUSIVE DISTRIBUTORS: THE EARNSHAWS DOCKS & HONOLULU IRON WORKS Main Office'. COR. TACOMA & 2ND STS., PORT AREA • MANILA • TEL. 3-35-41 Branch Offices al: BACOLOD CITY • CEBU CITY • P. 0. BOX 282 Explosives (Total).............................................. Firearms (Total)................................................. Ammunition...................................................... Hardware (Total)................................................ Household (Total).............................................. Machinery (Total).............................................. Metals (Total)..................................................... Petroleum Products (Total)........................... Radios (Total)..................................................... Rubber Goods (Total)...................................... Beverages, Misc. (Alcoholic).......................... Foodstuffs, Total kilos..................................... Foodstuffs, Fresh (Total)................................ Apples................................................................. Oranges............................................................... Onions................................................................. Potatoes............................................................. Foodstuffs, Dry Packages (Total)................ Foodstuffs, Canned (Total)............................. Sardines.............................................................. Milk, Evaporated........................................... Milk, Condensed............................................. Foodstuffs, Bulk (Total).................................. Rice..................................................................... Wheat Flour..................................................... Foodstuffs, Preserved (Total)........................ Bottling, Misc. (Total)..................................... Cleansing & Laundry (Total)........................ Entertainment Equipt. (Total)..................... Livestock-bulbs-seeds (Total). ....................... Medical (Total)................................................... Musical (Total)................................................... Office Equipment (Total)................................. Office Supplies (Total)...................................... Paper (Total)....................................................... Photographic (Total)......................................... Raw Materials (Total)..................................... Sporting Goods (Total).................................... Stationery (Total).............................................. Tobacco (Total).................................................. 101,986 27,121 15,385 7,234,812 1,943,183 3,593,700 10,134,367 28,738,973 49,156 1,240,664 21,382 13,751 8,864,625 1,092,144 2,991,281 15,951,397 106,026,709 61,785 1,053,930 5,338 45,096,489 38,832 4,475 14,468 5,509 24,728,253 37,359 11,531 15,455 2,500 21,830 581,107 54,583 261,543 26,744 1,024,870 49,000 927,824 335 18,267 408,692 36,854 164,502 49,046 527,486 481,227 586 445,692 99,034 7,987 352,076 586,810 56,140 140,054 43,843 ,211,463 60,551 124,550 9,020 285,689 ,843,136 737,232 145,625 3,779 426,451 1,165,719 40,858 93,099 66,089 5,135,628 79,881 543,374 31,259 476,919 1,750,688 Chucheria (Total)............................................... 135,956 132,014 Clothing Apparel (Total)................................. 390,324 360,388 Cosmetics (Total)............................................... 48,071 22,828 Fabrics (Total).................................................... 1,137,217 540,871 Jewelry (Total).................................................... 43 26 Leather (Total).................................................... 524,901 231,186 Textiles (Total)................................................... 4,511,247 3,702,898 Twine (Total)....................................................... 82,636 95,022 Toys (Total)......................................................... 5,701 22,174 General Merchandise (Total)......................... 1,969,716 1,235,250 Non-Commercial Shipments............................ 127,172 50,723 Advertising Materials, etc. (Total)............. 28,145 40,814 Food Products By C. G. Herdman Vice-President, Marsman Company, Inc. DURING the past month there have been no changes whatsoever in the local market as regards food products. The market is definitely overstocked on wheat flour and canned milk, and stocks of canned fish and canned meats are more than ample. Imported canned goods and groceries in general are available in much larger quantities than is usual. Particularly noticeable were the very heavy importa tions during the month of June of commodities that are generally classified here as being banned. The commodi ties in question were not actually banned by legislative action (as was recently done with potatoes, onions, and garlic), but were listed as “UI—Unclassified Items” in the statistical classification of commodities implementing Cir culars Nos. 44 and 45 of the Central Bank of the Philip pines, which classification was effective January 1, 1955. These being unclassified items, no dollar exchange could be provided by local banks for their importation, and hence it is presumed that these very heavy importations were all on a “no-dollar” basis. It is generally believed that legis lation will be enacted at the special session of the Congress July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 307 this month which will prohibit the importation of “no dollar” merchandise unless covered by special permit from the Central Bank, and very probably the very heavy im portations in June of such merchandise were ordered to reach here before such legislation could become effective. Of considerable interest to local importers was the offer, as reported in local newspapers, of the United States Government to supply to the Philippine Government under Public Law 480 various commodities totalling in value over $21,000,000 to be paid for in Philippine pesos. Some $19,000,000 of this was to be in the form of Virginia tobacco but there were also included $1,000,000 each of wheat or wheat flour and milk products. It is hard to understand this offer inasmuch as P. L. 480 clearly specifies that sur plus agricultural commodities supplied under authority of that Act are not to supplant business already being done in the same commodities through regular trade channels. We are not qualified to comment on the possible importa tions of tobacco. As regards wheat flour and milk pro ducts, both commodities are decontrolled and are being and have been imported freely and in quantities in excess of the immediate demand. Any importations of such commodities by the Philippine Government or any of its entities would definitely take the place of and eliminate an equivalent quantity of that particular merchandise which would otherwise be handled through'regular trade channels. qr'HE most momentous event to all local importers during June, however, was the approval by President Magsaysay of House Bill No. 4344 now Republic Act No. 1345, which dissolved the PRISCO and created the Na tional Marketing Corporation (NAMARCO). The Bill was passed by both the House and Senate on the last day of the regular session of the Congress, May 19. Copies were not made available to the public until June 10. As soon as the text was known, most of the local trade organ izations,—namely, the Philippine Textile Importers & Indentors Association, Inc., Established Food Importers Association, -Inc., Flour Millers Representatives (Phil.) Inc., Machinery Dealers Association of the Philippines, Inc., Manila Textile Import 8c Export Association, Inc., Manila International Foodstuff Importers Association, Inc., and Philippine Chinese Hardware Association, through the Federation of Trade Associations of which they are members, addressed a protest against the Bill to President Magsaysay, asking him not to approve it or at least to suspend its operation until such time as various provisions had been amended. The provisions in question were deemed by the various associations as eminently unfair to established importers, Filipino as well as others. In spite of the protest, the Bill was signed by the President and became effective as of June 17. According to pre liminary reports, the Bill had for its principal objective assistance to Filipino retailers to enable them to secure prime commodities at a cost which would enable them to compete with alien retailers. It was announced that mer chandise to be handled by the Corporation would be prime commodities only, essential to the operations of small retailers and that the sales by the Corporation would be to Filipino retailers only. The law as enacted, however, places no limitation whatsoever on the character or clas sification of the merchandise to be imported by NAMARCO. Neither does the law limit the sales by NAMARCO of such imported merchandise to Filipino retailers. There is nothing in the wording of the law that limits in any way the customers whom NAMARCO may serve. It can sell to retailers, wholesalers, or consumers, regardless of nationality. The one essential point, however, which aroused the protest of the established importers is the fact that NA MARCO is under this law exempt from all taxes. The taxation from which it will be exempt includes the 17% CONGRATULATIONS: AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. on your 35th ANNIVERSARY VICK INTERNATIONAL, INC Where nature grows the finest there Libby packs the best! Fruits — Fruit Juices Vegetables — Veg. Juices Baby Foods — Olives Corned Beef — Meats Salmon and Frozen Foods LIBBY, McNEILL & LIBBY (Phil.) INC. Filipinas Building — Telephone 3-95-27 308 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 Enjoy KENT with the exclusive “MICRONITE” Filter! KING-SIZE — 80/ REGULARS — 00/ P. Lorillard Co., Established 1760 SERVICE with ATISFACTION CUSTOMS BROKERS WAREHOUSEMEN TRUCKING PACKING & CRATING FREIGHT FORWARDING SHIP HUSBANDING CARGO SUPERINTENDENCE AIR CARGO AGENTS TRAVEL AGENTS FIELD WAREHOUSING LU BROKERAGE COMPANY Derham Bldg. Cables: Telephone: Port Area LUBROCOIN 3-34-31 exchange tax, soon to be supplanted by the 25% import tax; the sales tax of 7% or more, depending upon the com modity imported; the municipal sales tax; the privilege tax; income taxes; and in fact all taxes of every description. The regular established importers have to pay all of these taxes which, after the new import tax becomes effective, will amount to from 35% to 40% on the c.i.f. cost of the imported merchandise. The Act in effect threatens the life of every importing entity in the country. There is no limit to the classes of merchandise NAMARCO may import nor is there any limitation in the law as to whom it may sell. When it costs a regular importer say 40% more to land a certain commodity in his warehouse than it does NAMAR CO, certainly any consumer or dealer in that merchandise will try to cover his requirements through NAMARCO as it will easily be able to supply him at a figure well below the landed cost of a regular importer even before any pro fit whatsoever is included. In answer to the protest of the various trade associa tions, President Magsaysay instructed Secretary of Com merce Oscar Ledesma to implement the provisions of the Act in such a way as not to prejudice in any way private initiative and enterprise. It is certainly to be desired that this be done if it can be done. As the law stands, it poses a very serious threat to the continued operations of estab lished importers. Textiles By A. Margollbs General Manager THE prevailing speculation about the quotas for the second semester of this year has now been cleared with the announcement that there will be no changes from the first semester figures, except that only half of the values will be permitted to be utilized during the first quarter and a decision on the second quarter will be de ferred to a later date, presumably in order to ascertain whether the country’s foreign exchange reserves will per mit the same rate of expenditure for imports. The news of the suspension of the contingency funds to the agent banks is also to be noted because a high per centage of those funds issued during the last 10 months were allocated for textiles to producers and these special extra issues influenced some quarters into advocating a cut in the regular textile quotas of importers, which would have been a most unwelcome and unfair develop ment. The New York market has remained steady although the general tone tends to be easy. The local market has also remained unchanged ex cept that there has been more activity in seasonal goods, like denims, for which prices have slightly improved and off-take has been good. During the last week of June, because of the time limit for establishing letters of credit corresponding to first semester licenses, a considerable volume of denims was ordered. It was thought that quite a substantial volume of highly essential licenses remained unutilized, but that those in the non-essential category had already been exhausted. Arrivals for June showed a marked decrease from the previous three months. From the United States there was a total of 20,250 packages of which cotton piece goods were 8,114, rayon piece goods 1,752, cotton pound goods 2,764, rayon pound goods 1,279, threads and twine 2,190 and yams 3,203. The total from other countries was 6,903 packages, of which 4,740 came from Japan, consisting principally of cotton and rayon piece goods; 1,251 from Hongkong, consisting mostly of cotton piece goods and knitting yams; and 912 from Europe, consisting mostly of sewing threads and yams. July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 309 Legislation, Executive Orders, and Court Decisions By Ewald E. Selph Ross, Selph, Carrascoso & Janda AMONG recent decisions of the Philippine Supreme Court are the following: 1. The case of Price v. Rilloraza (G.R. No. L-8253, May 25, 1965) is authority for the principle that if the landlord has failed to complete the filling of the land as agreed upon in the lease, then the lessee cannot be evicted for delay in payment of the rent 2. In the case of Maloma Sawmill v. Loyola (G.R. No. L-7789, May 27, 1955), a mechanic of the sawmill went to the mountains to repair a truck used by the mill’s supplier of logs to bring the logs to the mill. While riding on the truck toward the mill, the truck ran off the road and the mechanic was killed. The Court found that the mechanic had gone to the mountains before on a similar errand and held that he was acting with the tacit consent and at least without objection by the mill manager. The concurring opinion of one of the Justices sets out the prin ciple that in case of reasonable doubt as to whether an injury arose from the employment, the "courts may well incline toward granting workmen’s compensation”. The concurring Justice used the following language: “In the present case, the fact that the repair of the truck was done out in the mountains and way outside the premises of the sawmill, somewhat detracts from the liability of the Maloma Sawmill for the death of mechanic Teofilo Loyola, this aside from the circumstances that the accident occurred not during the time the repairs on the truck were being made, but while he was riding on said truck on its trip toward the mill after the repairs. Was Loyola lawfully riding in said heavily loaded truck? I understand that companies transport ing heavy logs, especially in mountain roads, generally have rules or regulations against persons other than the driver and his helper, rid ing in such heavily loaded trucks because of the inherent danger to said passengers in case the logs fall or slide from the truck or the truck meets with an accident because of the extraordinary weight it. is carrying. “If I concur as I do in the decision penned by Mr. Justice Bau tista, it is because during the discussion of this case, we had the un derstanding that the permission given by the sawmill manager to me chanic Loyola to repair the truck in question was equivalent and amounted to an order which Loyola could not very well ignore or dis obey, and in addition, that in case of reasonable doubt as to whether or not an injury suffered by an employee or laborer arose from his employment, the courts may well incline toward granting compen sation under the Workmen’s Compensation Act.” 3. In the case of Atok-Big Wedge Mining Co. v. Castillo, (G.R. No. L-7518, May 27, 1955), another pronouncement of policy regarding Christmas bonus contains the following: “The payment of Christmas bonus is more justifiable in the case at bar than in the Philippine Education case in which said bonus was given for three (3) consecutive years, for petitioner herein and paid it for five (5) consecutive years, and regarded the amount of the Christ mas bonus for 1951 as ‘current liability’, or ‘part of the cost of pro duction,’ which was not done by the Philippine Education Co. These circumstances become more significant when we consider that a for mer superintendent of petitioner herein, one by the name of Canon, had told its laborers, in 1950, ‘that the Christmas bonus in the next year would be increased,’ thus indicating, not only that said bonus would be paid in 1951, but, also, that it would be ‘increased.’ Although the order of the Presiding Judge, reversed by the Court in banc, ques tions the competence of Canon to promise said payment, the presump tion is that he had been duly authorized to act as he did, in the ab sence of satisfactory proof to the contrary, and such proof is lacking. What is more, instead of being disauthorized by petitioner’s board of directors, the manner in which its accounts were kept, particularly the inclusion of the amount of the bonus in ‘the cost of production,’ and the treatment thereof as ‘current liability,’ confirms said promise or amounts to a ratification and the implementation thereof. In this respect the situation is analogous to that which obtained in H. E. Heacock Co. vs. National Labor Union (50 Off. Gaz., 4233, 4234-4237), in which a promise of the President and General Manager of the Com pany was one of the factors which led to the decision favorable to the payment of bonus to the employees concerned.” 4. The case of Alexander v. Ang (G.R. No. L-6707, May 31, 1955), clarifies some of the confusion that has WAREHOUSING Modern fire-proof warehousing facilities Located on Waterfront at South Harbor Easily accessible to both land and water transportation, and excellently suited for shipside deliveries. ¥ LIJZOS STEVEDORING COMPANY, HC. Tacoma and 2nd Streets Tel. 3-37-11 Port Area Manila MAI LEOII aud COMPANY <f PHILIPPINES Hemp Exporters Steamship Agents 207 Myers Building Port Area, Manila 310 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 THE ROUTE OF THE BEARS Serving THE PHILIPPINES JAPAN HONGKONG U S. WEST COAST PORTS arisen among merchants as to what constitutes unfair competition. It was contended by the defendants (a) that the test of unfair competition lies in the possibility of deception of the intelligent and not the ignorant buyer; (b) that an action for unfair competition should be di rected against the manufacturer and not against the sel ler; and (c) that there is no unfair competition when a product is sold under a registered trademark. The Court said: “It stands to reason that when the law speaks of 'purchasers’ it generally refers to ordinary or average purchasers. '• * * in cases of unfair competition, while the requisite degree of resemblance or similarity between the names, brands, or other indicia is not capable of exact definition, it may be stated generally that the similarity must be such, but need only be such, as is likely to mislead purchasers of ordinary caution and prudence, or in other words, the ordinary buyer, into the belief that the goods or wares are those, or that the name or business is that, of another producer or tradesman. It is not necessary in either case that the resemblance be sufficient to deceive ex perts, dealers, cr other persons specially familiar with the trademark or goods in volved. Nor is it material that a critical inspection and comparison would dis close differences, or that persons seeing the trademarks or articles side by side would not be deceived.’ (52 American Jurisprudence, pp. COO 601. citing many “We have before us, and compared, the labels and containers of ‘Alexander’on the one hand, with the labels and containers of‘Aurora’ ‘Agatonica’, and ‘Mayflower’ on the other. We are all agreed that except for the names, the defendants’ labels and boxes have the general appearance of plaintiffs’ and are likely to induce ordinary purchasers to buy them as ‘Alexander’. FAST - REGULAR - DEPENDABLE UNITED STATES LINES, INC. GENERAL AGENTS 133601 33602 33603 33604 PORT AREA MANILA Safor-Qfronqor-Run Much Longer 500"WS 91% stronger due to Nylon tubeless construction—withstands 40° (F) higher road temperatures, 15 mile per hour high er sustained speeds—yet costs you less than 6-ply rayon tires. You also get more effective blowout, puncture and skid pro tection. See the"500”today! Your Safety is our Business at Firestone “So that one who has used ‘ Alexander’ and noted the label upon seeing ‘Agatonica’ in a store is apt to mistake the latter for the for mer; and when he is informed that the price is Pl.35—his previous purchase of‘Alexander’ was at Pl.95—he will surely buy ‘Agatonica’ believing he got the same goods at lower price. The plaintiff’s would thereby be deprived of a portion of their legitimate trade; and thru deceptive devices, because such buyer gets only 60 yards per ball, whereas ‘Alexander’ contained 75 yards. “Bearing this result in mind, one refuses to believe that there was no purpose of deceiving the buying public. Unfair competition there was obviously. “It is immaterial that the words Aurora, Agatonica, and May flower are different from Alexander. The features and their appear ance are so similar as to cause that confusion which the rules of un fair competition seek to avoid. And unfair competition is not confined to the adoption of the same or similar names. “But, the respondents contend, the action should be against the manufacturer, and not against them, because they merely sell differ ent brands of thread, including the plaintiffs”. There is no merit to the contention, because section 29 hereinabove partly quoted makes liable for the imitation of goods not only the manufacturer but also the vendor. It reads in part, ’Any person, who in selling his goods shell give them the general appearance of goods of another manufacturer or dealer, • • • or any subsequent vendor of such goods or any agent of any vendor engaged in selling such; goods with a like purpose.’ “The third defense is that the objected labels have been regis tered as trade-marks. We have held in several decisions that one may be declared unfair competitor even if his competing trade-mark is registered. The registration might in some way minimize damages against the seller as showing good faith prima facie. But surely it does not preclude unfair competitive actions.” Of the Senate and House bills listed as passed in this column last month, all were approved by President Magsaysay except the following bills, which were vetoed: Senate Bill No. 92, to encourage apprenticeship training, to estab lish a National Apprenticeship Council and define its powers and duties. Senate Bill No. 149, amending Rep. Act No. 875 (the “Magna Carta of Labor”) by taking away from the Department of Labor the power to refuse or cancel registration of a labor organization and giving jurisdiction in such matters to the courts. House Bill No. 3787, creating the City of Imus. House Bill No. 4355, to be known as the Philippine Overseas Ship ping Act. 'Firestone TIRE & RUBBER COMPANY OF THE PHILIPPINES BACOLOD • CEBU ♦ MANILA * DAVAO • ILOILO • NAGA Listen to the “VOICE OF FIRESTONE” every Monday 8:30-9:00 P.M. DZRH T axes By Washington Sycip Sycip, G or res, Velayo & Company SUMMARIZED below are the more important provi sions of the new tax laws which were passed during the last session of Congress and approved by the Pres ident. 1. Corporation Income Tax The present graduated rates of corporate income tax (20% on All-NYIO^ July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 311 the first P100,000 of taxable income and 28 % on the amount in excess of P100,000) have been extended so as to apply to taxable income re ceived up to December 31, 1957 (Republic Act 1291). 2. Percentage Taxes The present rates of sales taxes imposed pursuant to the provi sions of Sections 184, 185, and 186 of the National Internal Revenue Code have been extended up to June 30, 1957 (Republic Act 1280). 3. Documentary Stamp Taxes The present rates of documentary stamp taxes for the various transactions enumerated in Sections 210 to 235 of the National In ternal Revenue Code have been extended to June 30, 1957 (Republic Act 1274). 4. Specific Taxes The present rates of specific taxes on distilled spirits, fermented liquors, wine, etc., except ethyl and/or alcohol for medicinal purpo ses, have been extended to December 31, 1957 (Republic Act 1335). 5. Exchange Tax The present 17% exchange tax has been extended to June 30, 1956. Wheat flour has been excluded from the items exempt from the exchange tax. Aside from this, there has been a substantial reduction in the number of drugs and medical supplies exempt from the exchange tax (Republic Act 1375). 6. Mining Taxes For purposes of the ad valorem mining tax, and in order to clarify the law. Congress has defined the terms "minerals” and "mineral pro ducts” (Republic Act 1299). 7. Real Estate Taxes The period within which a taxpayer may repurchase real property which has been sold because of delinquency in the payment of real estate taxes payable to provinces or municipalities has been increased from one year to two years (Republic Act 1275). 8. Charges and Fees in Philippine Ports Congress has adopted a new schedule of harbor fees, wharfage, berthing, storage, and arrastre charges collectible in Philippine ports (Republic Act 1371). 9. Agents, Contractors or Dealers in Logs, Lumber, and Com mercial Piles Any agent, contractor, or dealer in logs, lumber, and commercial piles is required to register with the Bureau of Forestry (Republic Act 1239). 10. Amusement Taxes All athletic, meets, school programs and exhibitions, and other educational activities conducted by any public school to which admis sion fees are charged shall be exempt from amusement tax, provided that the net proceeds therefrom shall accrue to the athletic fund or library fund of the school at the discretion of the school authorities (Republic Act 1284). 11. Estate and Inheritance Taxes The Government has waived the collection of interest and/or pe nalties and surcharges due on estate and inheritance taxes from the estate of veterans, guerrillas, or victims of Japanese atrocities who died during the Japanese occupation, provided the basic taxes are paid on or before December 31, 1955. However, payments already made in the concept of interest and/or penalties and surcharges due on account of such estate and inheritance taxes shall not be reimburs ed but shall be applied to the payment of the basic tax (Republic Act 1253). 12. New Inventions The benefits of Republic Act 901 (regarding tax-exempt indus tries) have been extended to any person, whether natural or juridical, who discovers or invents a new process, discovery, or invention for the conversion of any native agricultural raw product into a product which will stabilize not only the national economy but also the dollar resources. For purposes of the Act, a substantial improvement of an old invention or discovery shall be considered as a new invention or discovery (Republic Act 1287). summarized below are some of the rulings issued by the Bureau of Internal Revenue in May, 1955. 1. Sales Tax (a) A person engaged in the selling of seashells, whether gathered from public shores or private lands, is subject to the producer’s fixed annual tax of P10 and to 7% sales tax on his gross quarterly sales, in accordance with Sections 182 and 186 of the Tax Code. (BIR Ruling, May 6, 1955, File No. 105.02) (b) If raw materials subject to specific tax are used in the manu facture of articles subject to sales tax, the cost of such raw materials is not deductible from the gross selling price or gross value in money of the manufactured articles for purposes of the sales tax. (BIR Rul ing, May 11, 1955) PASIG RIVER BODEGAS GENERAL BONDED WAREHOUSES ¥ SOUTHWESTERN SUGAR & MOLASSES CO. (FAR EAST), INC. MOLASSES BUYER 145 Muelle de Binondo Tel. 2-63-10 312 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 (c) For sales tax purposes, box containers of finished products are considered part and parcel of the finished products provided the fin ished products are sold together with their box containers. On the as sumption that the box containers of your finished products are purmom service co., inc. AUTOMOTIVE PARTS • ACCESSORIES GARAGE & SHOP EQUIPMENT BATTERIES • TIRES • TUBES 230 13th St., Port Area — Tel. 3-36-21 chased from box manufacturers, the cost thereof may be entered in your books of accounts as part of the cost of raw materials used in the manufacture of your finished products. If said box containers have been previously subjected to the sales tax, the cost thereof, as duly es tablished, shall be deductible from the gross selling price of your fin ished products, for sales tax purposes, in accordance with the provi sions of Section 186 of the National Internal Revenue Code. (BIR Ruling, May 12, 1955) (d) The imported shipment of laundry starch to be used in starch ing the finished embroideries to place them in condition for re-export ation after processing in the Philippines is exempt from the sales or compensating tax. (BIR Ruling, May 25, 1955) 2. Percentage Tax (a) Interests from bank deposits and other sources do not consti tute part of the gross receipts of cinematographic film distributors sub ject to the 1% tax prescribed in Section 195 of the National Internal Revenue Code. (BIR Ruling, May 21, 1955) (b) As agent of a shipping company, you are considered a com mercial broker within the purview of section 194 (t) of the National Internal Revenue Code, subject to a fixed tax of P150 per annum and to a percentage tax equivalent to 6% of your gross compensation in accordance with Sections 193 (q) and 195 of the same Code. (BIR Ruling, May 25, 1955) 3. Occupation Tax (a) I f an attorney hangs a shingle advertising himself as " Abogado or Attorney-at-Law” merely for the purpose of identification, or as a mere“descriptio personae”, but does not actually practice such profes sion designated in the said signboard, he will not be held subject to the occupation tax. However, it is not necessary for a lawyer to hold himself out to the public as such to be subject to the occupation tax. Nor is it required for the accrual of the tax that a lawyer should appear or handle cases in court. It is sufficient that he gives counsel on legal matters either exclusively for one person or entity on a salary basis or otherwise. A lawyer who is designated or assigned by the Justice of the Peace as attorney de oficio to defend an accused before his court cannot, by virtue of such appointment alone, be considered as engaged in the prac tice of his profession for purposes of the occupation tax, and there fore, cannot be held liable to the said tax. (BIR Ruling, May 12, 1955) (b) General agents of an insurance company are not subject to the insurance agent’s occupation tax prescribed in Section 201 of the Na tional Internal Revenue Code, the tax on occupation being personal and imposed only on natural persons. The persons employed by the general agents, whether on commission or salary basis, to solicit or pro cure applications for insurance are the ones subject to the insurance agent’s fixed tax in their individual capacity. (BIR Ruling, May 24, 1955) 4. Documentary Stamp Tax With reference to your letter requesting that you be allowed to affix documentary stamps on a summarized monthly statement in ac cordance with the specimen attached therewith, for insurance policies issued by you instead of affixing the same on the office copy of the po licy, this Office regrets to inform you of its inability to grant such re quest, in view of the provisions of Section 237 of the National Internal Revenue Code requiring that documentary stamps should be affixed to the document or instrument sought to be taxed, violation of which is penalized under Section 239 of the same Code. (BIR Ruling, May 12, 1955) TAX CALENDAR—AUGUST, 1955 August 1, 1955 (July 31 being Sunday) 1. Last day for payment of special tax imposed by Section 15 of R. A. No. 632 on that portion of the sugar manufactured during the crop-year ending June 30, 1955, still remaining in the mill or mill ware house on June 30, 1955 (Revenue Regulations No. V-26). August 9, 1955 1. Last day for taxpayers with fiscal years ending May’ 31, 1955, exempt under Act 35 or 901, to submit the following to the Department of Finance: PICORAELL, 0RT1GIS & CO. INVESTMENT BROKERS, DEALERS & UNDERWRITERS MEMBERS 201 AYALA BLDG. MANILA STOCK EXCHANGE MANILA July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 313 a. Balance Sheet, May 31, 1955. b. Statement of Income for the year ended May 31, 1955. c. Manufacturing Statement for the year ended May 31, 1955. d. Schedules showing values of all real and personal prop erties of the industrial plant or factory (Department Order No. 185, Revised). August 10, 1955 1. Last day for payment of amusement taxes for July, 1955 (Sec. 260 National Internal Revenue Code). 2. Last day for submission of monthly report by radio dealers (See. 296 National Internal Revenue Code). 3. Last day for employers who withheld taxes of P200 or more from salaries and wages of employees during the month of July to de posit such funds with the provincial, municipal, or city treasurer or Collector of Internal Revenue (Sec. 22 Revenue Regulations No. V8-A). August 15, 1955 1. Last day for corporations having fiscal years ending March 31,1955, to pay first installment of income tax (50%) (Sec. 51-c National Internal Revenue Code). 2. Last day for corporations and individual* on the calendar-year basis to pay second installment of income tax (50%) (Sec. 51-c Na tional Internal Revenue Code). August 29, 1955 1. Last day for corporations and partnerships having fiscal years ending June 30, 1955, to file their income tax returns (Sec. 46-c Na tional Internal Revenue Code). August 30, 1955 1. Last day for taxpayers having fiscal years ending July 31,1955, to submit their year-end inventories to the Bureau of Internal Reve nue (Sec. 13 Revenue Regulations No. V-l). August 31, 1955 1. Last day for payment of second installment of registration fees for trucks with the Motor Vehicle Office (Motor Vehicle Law (Act No. 3992, as amended)]. Advertising By George Cohen General Manager, The Robot Statistics (Mercantile, Inc.) Print Advertising: Five top brands May 1. Pepsi-Cola..................................................................................... P34.732 2. Chelsea Cigarettes........................................................................ 17,691 3. Cortal............................................................................................. 16,878 4. Purico............................................................................................. 16,482 5. Manila Rum................................................................................. 15,690 Five top classifications 1. Cigarettes...................................................................................... P87.630 2. Schools............................................................................................ 58,543 3. Soft Drinks.................................................................................. 53,892 4. Headaches and Colds Drugs................................................. 42,605 5. Alcoholic Beverages.................................................................. 41,520 Five top advertisers 1. Philippine Manufacturing Co................................................. P51.327 2. Sterling Products International............................................ 45,515 3. La Tondena, Inc........................................................................ 37,812 4. Pepsi-Cola Bottling Co............................................................ 34,732 5. Colgate Palmolive Phils., Inc................................................ 30,767 Total advertising volume....................... P415.348 Note:—Rates computed based on rate-card of publication. SHIPPERS! When booking cargo with American Steamship Agencies, Inc. please mention this ad. Thanks Cable Address: Tel. 3-34-20 212 Myers Bldg. “AMERSIIIP” 3-34-29 Port Area, Manila McCullough printing company extendi iti congratulation* and belt leilhel to c4merican Chamber o$ Commerce journal on it J 35th ednniuerJary • In liberation years, as well as in the years pre-war, we have been privileged to print The American Chamber of Commerce Journal. We are proud of this continuing trust and confidence, and wish to take this rare occasion to express our grateful thanks and appreciation. “Cra^toman^hip—that knack of getting things done the finest way! ” Chamber Business By Stanley N. Fisher Executive Vice-President American Chamber of Commerce of the Philippines TWO items of Chamber business are worthy of special note in this month’s column: (1) celebration of the Chamber’s Thirty-fifth Anniver sary at a dinner held at the Riviera on Friday evening, July 1, 1955, and (2) conclusion of the Chamber’s two-month drive for new members on June 30, 1955. Thirty-Fifth Anniversary Din ner: Elsewhere in this issue will be found the speech delivered on this occa sion by Ambassador Homer Ferguson. Suffice it to record here that the Am bassador was introduced by Chamber President Paul R. Parrette in a speech which combined a most interesting review of Chamber history together with a warm welcome to our recently arrived Ambassador. Writing some days after the event, it can be reported that this, the Chamber’s first social gathering since the cocktail party inaugurating its new offices in the Elks Club Building last September, appears to have been a considerable success. Many Cham ber members have already gone out of their way to express their satisfaction with the proceedings, with the fol lowing reactions the most common:* “The large and enthusiastic audience is a strong indica tion of the high regard in which the Chamber is held by its members.” “Especially gratified at the opportunity offered the ladies to participate in a Chamber affair.” “Worthy of annual repetition.” For the record, the din ner was attended by representatives, staff-members, their guests and their ladies, of more than 70 active member firms; by 5 associate members: and by 6 individual active members, for a total of 266 persons. Additionally, 34 guests of the Chamber attended, headed by Ambas sador and Mrs. Ferguson. Other guests in attendance were: Mr. and Mrs. Carl H. Boehringer Counselor of Embassy for Economic Affairs Mr. and Mrs. Stephen C. Brown 1st Secretary and Economic Officer, American Embassy Mr. and Mrs. Edward S. Prentice Deputy Director, FOA Mr. Manuel Rivera, President Camara Espanola de Comercio de Filipinas Mr. and Mrs. Teofilo D. Reyes, President Chamber of Commerce of the Philippines Mr. and Mrs. Yu Khe Thai, President Federation of Chinese Chambers of the Philippines Mr. and Mrs. G. H. W. Churchill, President Manila Chamber of Commerce Mr. and Mrs. Carlos Palanca, Jr., President Manila Junior Chamber of Commerce Mr. P. E. Domingo, President Philippine Chamber of Industries Mr. Sy En, President Philippine Chinese ..General—Chamber. oCCpmmeEce Thirty-fifth Anniversary'Dinner—July 1, 1955 Mr. Amelito Mutuc, President Philippine Junior Chamber of Commerce Mr. and Mrs. E. D. Ilustre, President Business Writers Association of the Philippines Mr. and Mrs. Marvin Gray, Publisher Evening News Mr. and Mrs. Robert Hendry Associate Editor, Philippines Free Press 1955 (May through June) Membership Drive: During 1954, a twelve-member Membership Committee strengthened the Chamber’s representation of American business interests in the Philippines by the addition of 40 new active members over a 6:month period. This year, by special action of the Board of Directors, a short contin uance of last year’s drive (entailing a waiving of entrance fees) was approved last April. During May and June, the five-member 1955 Membership Committee, basing its canvass on an expanded 1954 prospect list, added 31 more active members to the Chamber. Thus, in two years, the Chamber has shown the following expansion: the following new members have joined the Chamber: Jan. 1/54 Jan. 1/55 July 1/55 Increase Honorary Members......... • 0 0 2 2 or 200% Active Member Firms... 134 167 186 53 or 40% Individual Active Mem bers ................................... 14 21 33 19 or 58% Associate Members.......... 35 34 33 —1 Totals................................... 183 222 254 73 or 40% Since the close of the 1954 membership campaign, Honorary Members: Admiral Raymond A. Spruance, U.S.N., Retired, former American Ambassador to the Philippines Carl H. Boehringer, Counselor of Embassy for Economic Affairs, .American. -Embassy, .Manila* JP-JL. 314 July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 315 Active Member Firms 1. Dalmar Soft Drinks Factory 2. David, Malca & Co., Inc. 3. Diesel Injection and Magneto Service Co. 4. Electric Arc Welding Supplies, Inc. 5. Feltman Bros. Corp. 6. Island Associates, Inc. 7. Lilestone & Co., Inc. 8. Mayon Motors, Inc. 9. Mindanao Mother Lode Mines, Inc. 10. PAMDICO (Manila), Inc. 11. Pfizer Laboratories (Philippines), Inc. 12. Fernando Poe Productions, Inc. 13. Philippine Air Transport Service 14. Philippine Electronic Industries, Inc. 15. Republic Textile, Inc. 16. Rozin Optical Corp. 17. Thos. D. Stevenson & Sons, Inc. 18. Tiny Tots Embroidery Corp. 19. United Press Associations 20. World Wide Travel Service Individual Active Members 1. Frank H. Burgess c/o Marsman 8s Company 2. Thomas J. Ford President 8s General Manager Asturias Sugar Central 3. John E. Howell, President Howmart Corp. 4. Robert C. Lyttle, Jr., President Rattan Art 8s Decorations, Inc. 5. James McKeen Vice President San Pablo Oil Factory 6. Robert O. Phillips President 8s General Manager Pacific Products, Inc. 7. Robert P. Rowley c/o Encyclopedia Americana 8. William V. Saussotte c/o International Commercial Corp. 9. Lynton W. Shaner c/o Acoje Mining Co. 10. William A. P. Smith General Manager Smith Sound Systems Laboratories 11. Henry Schwaiger General Manager La Mallorca-Pambusco Transportation Co. 12. William H. Wing Los Angeles Manager Reliance Commercial Enterprises, Inc. INSURANCE FIRE- MARINE- CASUALTY FIDELITY and SURETY BONDS ATLAS ASSURANCE CO. LTD. THE EMPLOYERS* LIABILITY CONTINENTAL INSURANCE CO. ASSURANCE CORPORATION Ltd. LAW UNION & ROCK INSURANCE CO., LTD. INSURANCE COMPANY OF NORTH AMERICA FILIPINAS COMPANIA DE SECUROS E. E. ELSER, Inc. GENERAL AGENTS Tel. 3-93-58 & 3-27-72—518-520 Ayala Bldg., Manila-Cable "ELSINC" <3Fe SECURITY DELIVERY SERVICE - - - - - - - - - - - IM.- - - - - - - - - - - Greetings to the American Chamber of Commerce of the Philippines on its 35th Anniversary; Congratu lations to the “Journal”— Frank S. Tenny ...........President & General Manager Arthur H. Henderson__ Vice President Donald 0. Gunn..........Vice President Jose Razon ....................Corporate Secretary V. G. Miller..................Treasurer Steven S. Rivers..........Operations Manager Stockholders and Staff Members ★ Member of: The Philippine Safety Council The American Chamber of Commerce of the Philippines American Management and Methods — WE SELL RELIABILITY — 613 M. H. Del Pilar Telephone 5-63-90 FOR COMMERCIAL VEHICLES ANOTHER FAMOUS VEEDOL NEW ^HEAVIER VEEDOL 20-40 MOTOR OIL Gives the same fuel saving economy and high deter gency found in Veedol 10-30. Gets Higher Octane Per formance in over-thehighway trucks (gasoline or diesel), commercial truck fleets, taxicabs and older automobiles. VEEDOL 20-40 can be used where SAE 20, 30 or 40 grades are recommended or a 20-10 motor oil is specified as an alternate type crankcase oil for cars and trucks. At Your FLYING DEALER 316 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 c 4 d For full particulars contact our Machinery Department ♦Mfd.Hiy the FRIGIKAR CORPORATION, Dallas, Texas Pioneer in Automotive Air Conditioning . . . America’s Most Widely Preferred High-Capacity Refrige rated Installation . . . The Most Practical In The History Of Automotive Air Conditioning. GETZ BROS. & INSTALLED IN ANY AMERICAN Exclusive Distributors: UNIVERSAL TRADING Tels. 3-80-44 • 3-84-98 Philippine Safety Council By Frank S. Tenny Founder and Executive Director WE take a bit of space to offer our congratulations to the CHAMBER on the occasion of its 35th Anni versary as a Philippine institution. The Council and the Chamber are somewhat similar in several respects, and we can appreciate the trials and tribulations that must have been undergone in the past 35 years. We are proud to be one of the few Associate members of the Chamber, and to cooperate with the Chamber in projects having to do with safety. Also, we are greatly indebted to the Jour nal for its help in furthering the public relations side of the “national safety movement”. May the Chamber and the Journal continue to prosper and to serve! Safety activities during the past month placed em phasis on company safety programs in industrial concerns, active cooperation with several civic projects in the safety field, civil defense and disaster organization planning, co ordination with certain government agencies, and handling special assignments at the request of members. It is encouraging to note that important business firms are con sulting the Council very frequently on a large variety of subjects. The taxicab industry is undergoing a series of labor difficulties, some of which are unorthodox and illegal. The largest taxicab company in the country is (at this writing) tied up because of a dispute between rival labor factions, there being no complaint or demands against the company itself. This action alone has taken 400 taxicabs off the streets and suspended the incomes of 700 persons. For safety’s sake, all of the taxicabs are kept inoperative. The business of transporting security cargo by both land and air is growing. Many prominent firms are sub scribing to security delivery services, replacing hit-or-miss practices heretofore employed. The leading company in this field (a Chamber member) reports intensive interest in this specialized function. The Council is most interested in the first national police chief’s convention, which is scheduled for this month. Your author is on the program and is committed to assist in the public-safety aspects. If a police chief’s association can be formed, it should greatly aid in promoting increased standards of training and efficiency in police forces of all sizes throughout the country. We shall report on this in the August column. The Manila Rotary Club has appointed Mr. Eugenio Padua, President of the Philippine Engineering Corp., as the Chairman of its Industrial Safety Committee. Plans have already been laid by the Council and the Committee for coordinated action during 1955-56. Stress will be laid on civil defense matters and the fingerprinting of workers. As a part of its public safety campaign, the Council will continue the effort to prevent dangerous practices involving pistols and revolvers. A new series of accidents have been reported which were caused by firing in the air, carrying weapons stuck into the trouser belt, carrying weapons off-duty without authority, and brandishing weapons for effect when angry or intoxicated. A proposed. Traffic Code for the City of Manila is now being studied by the Manila Traffic Committee and other entities. It is interesting to note that the great majority of traffic regulations, both national and local, were framed in the early 1920’s. The Council continues to maintain its stand—Enforce existing laws before enacting new ones. July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 317 COST OF LIVING PRICE INDEX FOR WAGE EARNERS. FAMILIES IN MANILA, BY YEAR AND MONTH, 1935-1954 (1941 = 100) Bureau of the Census and Statistics Year and Month House Rent (11.96) Miscel laneous (14.84) All (100* Fuel, Light and Water (7.73) Food (63.43) 1935........ .. 89.7 89.7 96.4 89.7 85.1 90.2 1.1148 1936........ .. 87.4 88.3 96.6 88.4 77.5 87.7 1.1442 1937........ .. 88.8 88.3 96.4 88.2 85.2 89.5 1.1261 1938.... .. 92.1 92.1 96.8 92.2 88.8 92.5 1.0858 1939.... .. 93.2 94.8 97.7 94.8 84.3 92.9 1.0730 1940.... .. 97.3 98.9 98.9 99.0 89.9 96.7 1.0277 1941.... .. 100.0 100.0 100.0 100.0 100.0 100.0 1.0000 1945.... .. 691.5 834.3 236.4 1448.4 379.1 650.9 0.1446 1946.... .. 521.7 649.4 236.4 649.7 348.2 383.3 0.1917 1947........ .. 387.2 415.4 453.9 256.8 310.0 272.2 0.2583 1948........ .. 364.2 386.1 453.9 208.4 288.9 259.1 0.2746 1949......... .. 343.7 357.9 453.9 198.4 272.9 251.1 0.2910 1950........ .. 332.9 333.7 453.9 270.7 252.0 282.8 0.3004 1951........ .. 352.6 361.5 453.9 365.3 248.0 285.7 0.2836 1952........ .. 339.4 347.4 453.9 295.9 244.1 268.4 0.2946 January......... .. 342.8 350.9 453.9 330.8 247.5 269.7 0.2917 February. . . .... 341.2 349.8 453.9 311.2 243.4 268.5 0.2931 March............. .. 337.9 345.1 453.9 301.1 243.4 268.1 0.2959 April............. .. 335.9 342.7 453.9 300.7 243.4 264.6 0.2977 May................ .. 335.1 341.8 453.9 293.2 243.4 264.4 0.2984 June................ .. 338.1 346.3 453.9 290.2 243.4 265.5 0.2952 July................. .. 340.4 349.5 453.9 286.6 243.4 268.1 0.2938 August........... .. 340.7 349.4 453.9 289.1 243.4 269.9 0.2938 September. . . .. 341.1 350.0 453.9 287.7 243.4 270.7 0.2935 October.......... .. 337.6 344.6 453.9 289.3 243.4 269.4 0.2962 November.. . .. 340.5 349.3 453.9 286.2 243.4 269.8 0.2937 December.... .. 340.9 348.9 453.9 284.4 247.5 272.3 0,2933 1953........... 318.2 314.3 453.9 280.1 243.7 269.5 0.3143 ing Power January......... .. 337.3 343.2 453.9 283.7 247.4 272.4 0.2965 February.... .. 323.0 321.1 453.9 281.5 243.4 273.0 0.3096 March............. .. 318.6 314.3 453.9 281.5 243.4 272.4 0.3139 April............. .. 317.6 312.8 453.9 281.1 243.4 272.2 0.3149 May................ .. 314.3 307.8 453.9 280.9 243.4 271.1 0.3182 June................ .. 313.1 306.0 453.9 277.8 243.4 271.1 0.3194 July................. .. 316.0 311.0 453.0 277.8 243.4 269.5 0.3165 August........... .. 316.1 311.9 453.9 277.8 243.4 266.4 0.3164 September. .. . . 315.8 311.6 453.9 277.8 243.4 265.6 0.3167 October.......... .. 315.3 310.6 453.9 279.0 243.4 266.4 0.3172 November. .. . . 315.2 310.1 453.9 280.9 243.4 267.0 0.3173 December.... .. 315.5 310.7 453.9 280.9 243.4 267.0 0.3170 1954.... .. 312.9 307.3 453.9 274.1 236.2 268.7 0.3196 January......... ... 311.7 304.7 453.9 279.3 243.4 267.0 0.3208 February .... .. 301.5 290.0 453.9 278.3 232.1 267.0 0.3317 March........... .. 301.1 289.5 453.9 274.9 232.1 267.0 0.3321 April.............. .. 302.9 292.5 453.9 272.2 232.1 266.8 0.3301 May................ .. 309.7 302.8 453.9 272.2 235.7 266.5 0.3229 June................ .. 312.6 306.9 453.9 271.8 238.4 267.3 0.3199 July.................... 318.6 316.2 453.9 278.5 236.7 267.9 0.3139 August........... .. 321.6 320.7 453.9 274.7 236.7 269.3 0.3109 September... .. 321.3 320 0 453.9 271.7 236.7 271.0 0.3112 October......... .. 317.8 314.4 453.9 271.8 236.7 271.2 0.3147 November... .. 318.2 314.9 453.9 271.8 236.7 271.5 0.3143 December 318.5 315.4 453.9 272.2 236.7 271.5 0.3140 1955......... January......... .. 311.4 304.2 453 .9 272.0 236.7 271.5 0.3211 February .... .. 3053 294.9 453.9 267.6 236.7 271.2 0.3275 March............ ... 303.9 292.9 453.9 267.6 236.7 270.1 0.3291 April............... .. 303.9 293.6 453.9 267.6 236.7 266.8 0.3291 May................ .. 307.0 299.2 453.9 266.8 236.7 264.4 0.3257 June............... .. 309.1 302.4 453.9 266.0 236.7 264.4 0.3235 PHILIPPINE LONG DISTANCE TELEPHONE COMPANY DON’T DELAY CHRISTMAS GIFTS For those VALUED CLIENTS AUTOPOINT GIFTS Pen and Pencils Telephone Index Desk Calendars and many other items! ★ Imprinted with your name and address ★ Orders must be placed now So we may deliver before X’mas F. IL STEVENS & CO. _ , . ( 3-95-75 Telephones | 318 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 ySMAEi'i “LET YOUR HAIR DOWN’’ JTEEk-! Display Room: Quisumbing Bldg. Dasmarinas St., Manila, Philippines Main Office: 222 Espana Ext. Tel. 7-26-42; 43; 44 MR. Robert S. Hendry, editor of this Journal when publica tion was resumed, after the war, with the December, 1945, issue, stated in an editorial: “The Journal’s four-year hibernation is ended. On awakening from this dormant state, we find ourselves in a new and confus ing world, facing conditions of life and work that are strange in every particular. This new world requires interpretation; these conditions tequire analysis. Our immediate mission is to provide the information that is requisite to correct interpretation and ana lysis. This we shall do by picture and by word, by articles, by statistical data, by editorial comment month by month . . .” Mr. Hendry’s words about the new and confusing post-war world and about the strange conditions of life and work in Manila at that time are something of an understate ment, but certainly true. His state ment that information and its ana lysis and interpretation was needed, was also true. His promise that the Journal would be devoted to gather ing the needed information and to its analysis and interpretation, has, we believe, been faithfully carried out. And although our present situation is not so confusing as it was in 1945, the need continues and to supply this need is still the task of the Jour nal. It may surprise many readers of this publication that the staff is composed of only the editor and one assistant,—the bookkeeping, billing, etc., however, being done by Cham ber personnel, but besides these two men, the Journal has some twenty or more regular monthly contributors to “The Business View” Department, who could be numbered among the most valuable members of the staff, and there are many more men who serve on the standing committees of the Chamber who from time to time prepare reports on various subjects which are published in the Journal. Thus the actual contributing staff is quite large. It is chiefly due to this cooperation, extended to the Journal by men who are among the leading businessmen of the country, that the Journal’s outstanding qual ities are due. As to the general policy of the Journal, that, as it is the official organ of the Chamber, is rightly determined by the officers and direc tors of the organization, the President generally giving this important mat ter his personal attention. To all these men,—to the Pres ident and the members of the Board, to the regular monthly contributors and the occasional contributors, to the many readers who assist him by suggestion and advice, and to the advertisers who make the whole thing financially possible, the editor tenders his heartfelt thanks. This issue of the Journal marks the 35th anniversary of the establish ment of the American Chamber of Commerce of the Philippines, though the Journal itself, because of the suspension of publication during the war, is now only in its XXXI’st volume. The editor assumed the position around the middle of 1947, when the Journal was already in its 23rd year, and while the present format and general character of the publication was initiated by him, he was able to build on the work of three able predecessors,—Norbert Lyons, Walter Robb, and Robert S. Hendry. To them, the editor’s thanks, too. ■vvte are quite proud of our two ™ pages of portraits in this issue of the Journal of the Presidents of the Chamber from the beginning to the present time. It was not dif ficult to get the photographs of those who have served as President in the more recent years, but pictures of most of those who served in the ear lier years were very difficult to obtain and one we could not get,—that of Mr. R. E. Murphy, the editor and business manager of the old Cable news-American, precursor of the Philippines Herald, who served as President of the Chamber in 1928 and died in office. So many of the former heads of the Chamber either having left the Philippines, or left this world entirely, and the private possessions of so many members of their families who remain here having been destroyed in the war, their por traits, even if they existed, were not easy to come by, if only to borrow for the purpose of reproduction. However, the assurance that copies would be made by Mr. Charles W. Miller, himself, and that the originals would be returned in good condition, helped to persuade the owners to part with them for a few days. The portrait of the late Captain H. L. Heath was lent us by his friend, Mr. H. P. Strickler. The portrait of the late Mr. C. M. Cotterman was lent us by his daughter, Mr. Nana Cot terman Butler. The portrait of the late Sen. George H. Fairchild was lent us by his daughter, Mrs. Gordon McKay. The portrait of the late July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 319 Mr. S. F. Gaches was lent us by Mrs. Gaches. The portrait of the late Mr. H. M. Cavender was lent us by the Elks Club and that of Mr. J. H. Carpenter, who is now in Cuba, by the Manila Polo Club. The por trait of Mr. E. E. Elser was lent us by Col. H. Gilhouser, Grand Secretary General of the Supreme Council of the Scottish Rite. No original photo graph of Mr. P. A. Meyer could be obtained and in his case we had to resort to making a reproduction of a half-tone engraving of his which appeared in a pre-war issue of the Journal. In none of these cases was the original photograph sent to engraver, but a photographic copy was made and this copy was used for the engraving. This added to the cost of the reproductions, but we did not want to take any chances on possible damage to the originals. “Now that we have these photo graphs”, said the editor, “we had better hold on to them, and perhaps have them enlarged for framing and hang them up on the Chamber walls.” “A ‘feature’ like these two pages of photographs”, said the editor, “would be thought nothing of under ordinary circumstances, but repre sents a strong and time-consuming and costly effort in a city like Manila in which such a large proportion of all private as well as government records were destroyed in war. Nothing in the way of digging into the past, even the recent (pre-war) past, is simple and easy any more. That is why this July issue of the Journal, which is largely historical, should serve as a valuable reference source.” uVy7E have so much historical W stuff in this issue of the Jour nal”, the editor said, “that I think we should have something on the future, too.” “You may remember,” said we, “that I made this suggestion to you a few days ago.” “Oh, did you? Strange, I had forgotten that. I was under the im pression it was my own idea. “Well, anyway, whom can we get to write something on the future of the Philippines?” The editor frown ed. “You know, before the war I always knew just whom I could ask for an article on almost any subject for the Philippine Magazine. Many of the writers of those days are gone now, and as editor of the Journal it has not been necessary for me to find writers of the more general type of article since the Journal is confined pretty strictly to business. I just don’t know whom to ask for the kind of article I have in mind.” A few days later the editor said, “I have decided I will try to write that article on the future of the Phil ippines, myself. I may make it some kind of a poem. It could start some thing like this...” He showed us about a page-full of typewritten lines. We read them and were not greatly impressed. “This sort of thing,” said we, “to be any good has to be very good... It would have to be a sort of tour de force.” “Yes, I know,” said the editor. “I don’t know whether I can do it or not. It will take a lot of hard work, and when I am through it might still not be any good. I’m just feeling around. I don’t know Our U^ijke^ to the I AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. on its 35th Anniversary FIRE AND ALLIED LINES CASUALTY • AUTOMOBILE MARINE • REINSURANCE • A Pioneer American Insurance Organization • American International Underwriters FOR THE PHILIPPINES, INC. ARTHUR H. HENDERSON PRESIDENT Main Office: AMERICAN INTERNATIONAL BLDG. 153-155 Juan Luna Manila, Philippines Cable Address: "UNDERITERS” Telephone: 2-98-86 Branch Office: R-206, White Gold Building Juan Luna Street Cebu City, Philippines just how I want to approach the subject and what I want to put into the piece. But I have some sort of guiding idea,—the Philippines as a democracy and what must be per severed in if it is to be or remain a democracy. If I think about it long enough, perhaps something will come up. That is usually what happens. I think the thing is beginning to shape itself in my mind.” A week later he showed us the piece substantially as it will appear in this issue of the Journal. We read it and said: “I like it. It is a kind of tour de force.” The editor looked relieved. “I am glad you like it,” he said. “But REPRESENTATIVES in principal Cities throughout the Philippines and the world. 320 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 it should not look so much like a tour de force. It does represent a lot of hard work; nearly all of the stanzas were written and rewritten ten or more times, but still I am not satisfied with them. I wish I could smooth the thing out some more, get a better rhythm, give it more force. But I can’t keep working on it for ever; it just has to go to the printers if we are to get it into the July Jour nal . . .” “Don’t worry,” said we. “You certainly got a lot into it. It should make people think. It may move them. . . The difficulty, of course, is that you are dealing with ideas inter-communicating telephone system Expansion Limitations Delays on Hu up Calls Inadequate Paging bk Facilities Conference Hold-ups EXCLUSIVE DISTRIBUTOR: W. A. CHITTICK & CO., IXC. 31 Romero Salas, Ermita, Manila Telephone 5-30-33 that are not generally considered poetic or suitable to a poem. . .” “I don’t think it is that,” said the editor. “I don’t think we can draw a line between what is poetic and what is not poetic. It all lies in the ability of the poet. I should have made the thing, whatever it is, poe tic. Well, anyway, I tried. And I did get more or less what I wanted for the Journal. I still don’t know whom else I could have gotten to write something like that, but bet ter.” And he went off, not looking so happy. 'r'he Journal of East Asiatic -*• Studies, published quarterly by the University of Manila and edited by Dr. Charles O. Houston, Jr., who left the Philippines with his family late in May to reside in the United States, paid the editor of the Journal a great compliment in republishing in its double issue for July-October, 1954 (publication of which was delayed and which has just been released), a collection of 13 articles taken from Mr. Hartendorp’s pre-war publication, the Philippine Magazine. Not only that,—Dr. Houston announces in this issue of the J.E.A.S. that the republication of collections of arti cles from the Philippine Magazine will be continued in the next four issues of the quarterly. It is prob ably rare in the history of journal ism that one publication has under taken to reprint so extensively from another publication. The articles reprinted in this issue are two by Mr. Hartendorp him self, “The Tayug ‘Colorums’”, writ ten in 1931, and “Artists and Wri ters”, written in 1929; “The Tri color”, by Leandro H. Fernandez (1930), two articles by Luther Par ker, “The Gats and Lakans” and “The Lakandolas” (1931); Eulogio B. Rodriguez, “Names under which the Philippines has been Known at Different Times in History” (1928); Percy A. Hill, “Pedro Marcelo” (1932), Hammon H. Buck, “Taga log, the National Language” (1940); Federico Mangahas, “Notes on a Literary Anniversary” (1940); T. Inglis Moore, “Filipino Literature in English” (1931); two articles by Dr. R. F. Barton, “Myths and Their Magic Use in Ifugao” (1940) and “Numputol,—The Self-Beheaded” (1940); Dalmacio Maliaman, and “Igorot Ghosts and Gods” (1936). Of these various articles, Dr. Houston states: “The story of the ‘Colorums’ of Tayug is an interesting although forgotten one, and because it deals with a continuing phe nomenon in Philippine society we feel it has pertinency today. The families of the Gats, Lakans, and Lakandolas have by now al most disappeared and the study by Parker (which so far as I know was never com pleted) is thus one of the few relics of these great ones of the past to remain to the pre sent generation. The essay by Buck on the language problem in the Philippines is as fresh for the present generation as it was for the one which originally read it. The problem is still far from solution. The same may be said for the observations contained in the essays by Mangahas and Moore; indeed it is surprising to note how little times have changed in these respects. The articles by Barton may be unfamiliar to many who have read his other works, and it is for that reason we reprint them here, as well as from our desire .to make them more readily accessible”. July, 1955 AMERICAN CHAMBER OF COMMERCE JOURNAL 321 NEUSS, HESSLEIN CO., INC. 304 Nueva, Manila Phone 3-99-71 Cable Address: “NEIIESCO” ★ Foremost Suppliers of Tex tiles in the Philippines for 54 Years ★ MILLONARIO MILLONARIO SHARKSKIN GABARDINE WALDORF AGUILA PERCALES DENIMS FAUST CARABELA STRIPED DENIM CHAMBRAY COMMANDER SEINE TWINE BROADCLOTHS & YARNS ★ Suppliers of all Articles for Clothing, Shirt and Umbrella Factories • DUMP YOUR TRAVEL WORRIES OVERBOARD! for carefree travel at its best... consult In a Foreword, Dr. Houston sket ches the history of the Philippine Magazine “. . . until its death in December, 1941> with the advent of the war in the Pacific, and the coming of the Japanese troops who looted and destroyed the office of its re markable editor, the picture of whom we are honored to print on the facing side of this page, A. V. H. Hartendorp, now the editor of the American Chamber of Commerce Journal, Manila.” That still is not all. Dr. Houston writes the following: “Mr. Hartendorp has been one of the most productive individuals to have come to the Philippines in the past three and a half decades, and his many contributions to the Philippine scene will only be ade quately assessed by future generations. No individual has done as much in advanc ing the arts and letters in the Philippines as he has, and ’ few there have been who have been willing to fight the endless bat tles necessary for the preservation of free dom and liberty from the jealous fingers of totalitarianism, autocracy, corruption, and all the animal forces in man who seeks to destroy himself while calling himself divine. Mr. Hartendorp assumed active direction of the Philippine Magazine in 1929 and gradually developed it into what many (including this present writer) believe to have been the most interesting magazine in the world. We shall be pri vileged to reprint in this and succeeding issues many articles from this magazine (unfortunately, we are unable to reprint the illustrations) in order to make them available to many individuals throughout the world who do not have access to the magazine itself. Unfortunately, few com plete sets have been saved from the ravages of time (and war) and we will be able to present only a sampling of its fascinating wealth. “We dedicate this issue, and each suc ceeding one to contain reprinted articles, to a rate and gentle spirit,—A. V. H. Har tendorp.” Now to quote Journal editor Hartendorp, himself. “I was naturally pleased with Dr. Houston’s decision to reprint so many articles from the Philip pine Magazine and readily granted him permission to do so. I am grate ful, too, for everything that he has written about me, and far be it from me to question a word of it,— except that word ‘gentle’! I am pretty sure that it not an adjective that can be rightly applied to me. If I do make that impression, I must be getting old!” come years ago, Attorney Arturo L. Rodriguez was so kind as to send us, as a surprise gift, 45 pre-war issues of the Journal, covering the period from January, 1937, to De cember, 1941, with a few issues mis sing. This month we became the bene ficiaries of another such act of gen erosity, this time on the part of Dr. H. Otley Beyer, who presented us EVERETT STEAMSHIP CORPORATION Owners-Brokera-Agents Manila 155 Juan Luna St., Tel. 2-79-31 General Agencies AMERICAN 1 To and Portland Vancouver Japan Straits MAIL LINE From Seattle Tacoma Philippines Indonesia PACIFIC TRANSPORT LINES To and From California-Japan-Philippinas BARBER-FERN-VILLE LINES To U.S. Atlantic Via Straits, Suer, Mediterranean FERN-VILLE FAR EAST LINES To and From North Atlantic Porta Gulf Porte-Philippines Via Panama MESSAGERIES MARITIMES EVERETT STAR LINE UNITED STATES SALVAGE ASSOCIATION UNITAS OSLO JNG mini for all airlines AUTHORIZED AGENTS ALL AIRLINES P. O. BOX 3581 176 JUAN LUNA MAKE THE TEST......................OBTAIN THE BEST FASTEST AIRPORT CLEARANCES PROMPT PICKUP OR DELIVERY EXPERT DOCUMENTATION LOWER THAN AIRLINE RATES* FLYING CARGO (Phil.) INC. “™AY •Consolidated shipments 2-84-45 322 AMERICAN CHAMBER OF COMMERCE JOURNAL July, 1955 with 41 pre-war issues of the Journal, as follows: 1929— March 1930— January, February, May, September, October, November, December 1931— February, May, September 1932— None 1933— August, September, October, Nov ember, December 1934— January to December, complete 1935— January, April, July, August 1936— January, February, April, June, July, August, September, October, Nov ember We shall have the 1934 volume, which is complete, bound right away but are keeping the other issues un bound in the hope that some other friend may be able and willing to supply the issues which are missing. Meanwhile they are available for reference in our office. Issues still missing in the series obtained from Attorney Rodriguez are the February and May, 1937, issues; the October, 1938, issue; the June, 1939, issue; and the September, 1940, issue. The first issue of the Journal was that of June, 1921, so that we still have a lot of numbers to collect be fore we have the complete set we still hope for. want to move food without damage? ask Fairbanks-Morse To answer a question with a ques tion, "How do you pump solids?" That was the question asked by engineers faced with pumping fish, easily bruised foods, sewage or in dustrial waste. They asked the world’s largest pump manufacturer for a pump that would not clog. Fairbanks-Morse design enginbersgave them the first truly non dogging pump ... exactly the unit that the food industry, municipal authorities and industrial manage ment wanted. Whenever a pumping problem arises—be it for a vertical or hori zontal pump ... centrifugal, deep well or propeller type, with a capac ity of one to half a million gallons per minute—the engineers of the world seek the solution supplied by Fairbanks-Morse design engineers. For only from Fairbanks-Morse can you get originality of engineering and design that assures you out standing performance. Look for the pump designed for greater efficiency—it carries the famous Fairbanks-Morse Seal of Quality. Fairbanks, Morse & Co., Inc., Export Division / 80 Broad Street, New York 4, N. Y., U. S. A. Fairbanks-Morse a name worth romemberlng whan you want the bort IMaxwI*1 I House Coffee These outstanding quality pro ducts reach you through the effective, fast, island-wide GETZ DISTRIBUTION SYSTEM £ GETZ BROS. & CO. Officii ILOILO BACOLOD • DAVAO t: 135 MUELLE DE BINONDO, MANILA • TEL. 2-52-91 to 2-52-95 and Magallanes st., cebu city • tel. «2o The Philippine Manufacturing Company sponsors this campaign in the interest of improved living conditions throughout the Republic. If you have a clean water supply - SPRING, STREAM OR IRRIGATION CANAL NEAR YOUR HOME,YOU CAN GROW TILAPIA. YOU'LL SAVE MONEY IFYOU 00 THE WORK YOURSELF. Tilapia is easy to raise; IN 2 OR 3 MONTHS IT MEA SURES 6 TO 10 CENTIME TERS; IN I YEAR AS LONG AS 30 CENTIMETERS AND WEIGHS AS MUCH AS I KILO. SQUARE AND I METER DEEP AT SUNNY SITE NEAR WATER SUPPLY. FISH WHICH MIGHT KILL TILAPIA. DO THIS BY SCREENING THE END OF YOUR WATER SUPPLY PIPE. DO NOT THROW TRASH OF ANY KIND INTO POND. YOUR POND IS READY FOR TILAPIA WHEN PLANTS ARE IN "GREEN BLOOM This information on tilapia culture has been ap proved by Director Deogracias V. Villadolid, Bureau of Fisheries, and endorsed by Secretary Salvador Araneta, Department of Agriculture and Natural Resources, • ■ YOU SHOULD HARVEST TILAPIA SIX MONTHS AFTER TRANSPLANTING AND THEREAFTER WEEKLY HARVEST ING SHOULD BE DONE TO PREVENT OVER-CROWDING WHICH RESULTS IN STUNTED GROWTH. YOU'LL SAVE MONEY BY PROVIDING FISH FOR YOUR TABLE-AND MAKE MONEY BY SELLING THE TILAPIA YOU DO NOT NEED_FOR_YOURSELF._ 1/Vrite to the BUREAUOFFISHERIES, MANILA,TO FIND WHERE TO GET TILAPIA.THEY WILL ALSO TELL YOU HOW TO CARE FOR THEM . AND HOW TO USE EXCESS TILAPIA. IFYOU WANT TO HELP BUILD A COMMUNITY-SIZE FISH POND,THE BUREAU OF FISHERIES WILL SEND ' YOU FREE PLANS AND DIRECTIONS FOR CANNING OR DRYING TILAPIA TO SELL is one of a series of picture stories presented by the Philippine Manufacturing Company as a public service. The publi cation of this information in national maga zines and newspapers and its distribution to other millions in the form of free pam phlets and posters is one of many ways PMC is assisting our government achieve its objective of helping rural people to a better way of life. When you raise tilapia, by yourself or as a barrio project, you are running a home industry. Every bit of industrialization helps our country reach financial independence? PMC's contribution to Philippine in du stria li-’ zation comes from its large factories which make fine products from local materials for local consumption, and provide opportuni ties of employment for hundreds of Filipinos. And by purchasing local products for manu facture, PMC gives many small farmers an outlet for their produce, and helps them to better way of life through higher incomes. PMC FAMILY PRODUCTS-FOR BETTER LIVING Copyright PMC 1955 NOW A NEW AND BETTER WAY TO BRING THE BENEFITS OF MUSIC TO YOUR BUSINESS THE SEEBURG BACKGROUND MUSIC [SERVICE can increase office efficiency and factory production with music to combat boredom of repetitive tasks, reduce absences, and build the morale of personnel. THE SEEBURG BACKGROUND MUSIC SERVICE consists of a music library with outstanding selections of “live” recordings by masters, the world-famous Seeburg Select-O-Matic machine, and a paging service—all geared to operate in the wonders of TRUE HIGH-FIDELITY. THE SEEBURG PLAN is actually a lease-purchase, covering all equipment, on reasonably low monthly payments. Let the SEEBURG PLAN work for you— It's brilliant in performance—excellent in service. For further information write or call PHILIPPINE AMUSEMENT ENTERPRISES, INC. 731 Aurora Boulevard, Quezon City Telephone 7-23-50