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Alaska's First Big Year-Round
Industry Assured With Word
Of Contract For Pulp Mill
JUNEAU, (/P) — Alaska’s first<
big year-round industry was as
sured today with word from Re
gional Forester B. Frank Heint
zleman that a contract has been
signed in Washington, D. C., be
tween the Forest Service and the
Ketchikan Pulp and Paper Co.
Heintzleman said he was in
formed of these terms:
The Forest Service contract re
quired a financial showing of $40
million in private money avail
able.
The company under the con
tract will be given 7,500,000,000
board feet of timber, mostly on
the north end of Prince of Wales
Island, west of Ketchikan. A 50
year rotation plan for a perpetual
crop is called for.
The contract says the company
must produce 300 tons daily, and
within 10 years, 525 tons. The
company must be in production
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by Aug. 2, 1954, which means
construction of its proposed plant
at Ward’s Cove, 6Vfe miles north of
Ketchikan, must start this fall or
winter.
High grade rayon, cellophane,
and nitro-cellulose will be pro
duced, but no paper.
The venture is backed by the
parent Puget Sound Pulp and
Timber Co., of Bellingham, Wash.,
and the American Viscose Carp.,
of Philadelphia. The latter, larg
est rayon producer in the nation,
has eight rayon plants in the
East.
The firm may use railroad car
ferries’ to take the pulp to Prince
Rupert, B. C., south of here,
thence east by rail.
“The operation provides a guar
antee against pollution of salmon
streams,“ Heintzelman said.
Air Forces
Drop 18,000 Lbs.
On Taku Glacier
For Icecap Project
Elmendorf Air Force Base, Al
aska, July 26, (AMNS)—Eighteen
thousand pounds of heavy equip
ment and supplies were tossed out
the open rear of a 54th troop car
rier C-82 “flying boxcar” Tuesday
over the Taku Glacier, climaxing
a paradrop operation aiding the
*** Juneau icefield research project.
Among heavy equipment ’chuted
down were two weasels, or over
snow vehicles, becoming the sec
ond and third of their kind to be
dropped, according to Dropmaster
Captain M. K. Downes of the
925th Aviation Engineering Bat
talion.
Maynard Miller of the Depart
ment of Exploration and Field
Research, American Geographic
Society of New York, leading the
( ice-cap expedition, stated that the
weasels will be invaluable to the
scientists and their work in the
field. Miller and his party of
twelve ascended the glacier for
the first time this season on July
7. Dr. Terris Moore, president
of the University of Alaska, flew
the expedition up to the ice-cap
in his Super Piper Cub. In the
days following, Dr. Moore made a
total of twenty-two flights to the
f glaciers in his ski-equipped plane.
WASHINGTON, (jP)—President
Truman yesterday said he was
“pleased” by their endorsement
of statehood for Alaska and
Hawaii. „
The 85 boys, brought here by
the American Legion to view gov
ernment at first hand, visited
the President at the White House
Speaking to them from the rose
garden, Mr. Truman informed
them he had heard that at their
meeting here “you voted state
hood for Alaska and Hawaii, and
that pleased me immensely. Mr.
Truman has advocated bills pav
ing the way for statehood for the
two territories.
Another 5 Per Cent
Cut In Steel For
Passenger Cars
WASHINGTON, (VP)—'The gov
ernment today ordered another (
five per cent cut in steel for pas
senger car production, effective
Oct. 1.
Auto output in the October
through-December quarter will be
cut to 60 per cent of the level of
the six months preceding the Ko
rean invasion. This will mean a
production of slightly over 1,100,
000 cars.
If the auto makers need it,
they’ll be permitted to use some
foreign steel, so that they can
make the 1,100,000 quota, De
fense Production Administrator
Manly Fleischmann said.
Such consumer items as refrig
erators, washing machines and
household electrical appliances
will get about 65 per cent of
their pre-Korea tonnage, They
get 70 per cent now.
Fleischmann said there’s no rea
son for the consumer to worry.
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Engine Trouble
Delays Take-Off
British Polar Plane
FAIRBANKS, (£>)—After tink
ering all day with an ailing en
gine, crewmen of a British bomb
er last night postponed their pro
jected 4,128-mile flight over the
top of the world back to England
until today.
The polar plane, an Aries bomb
er which flew here from Keflavik,
Iceland, Tuesday in 18 hours and
54 minutes, is manned by a 10
man crew headed by Wing Com
mander R. T. Frogley of the Roy
al Air Force.
The plane was to have hopped
at 8 a.m. yesterday, but. trouble
in one of the four engines kept
mechanics busy all dgy and into
the night.
Departure today depended on
whether the engine can be re
paired satisfactorily.
U.N. Tell Reds !
Where They Want
Cease-Fire Line
U. N. ADVANCE HEADQUAR
TERS, Korea, •(£>)—'The Allies told
the communists today where they
want to draw the cease-fire line
in Korea—and why.
Vice Adm. C. Turner Joy, chief
U.N. delegate, explained the Al
lied position in detail as negotia
tors got down to the meat of
armistice talks in their 11th meet
ing at Kaesong. • ->.w
Admiral Joy talked 52 minutes.
He gave the Reds two marked
military maps to picture his po
sition.
The five communist generals
made no comment. Instead they
asked for, and got, an adjourn
ment until 10 a.m. Saturday (5
p.m. PDT, Friday).
The general understanding is
the United Nations is pressing for
a demilitarized zone roughly along
the present battle line. The com
munists want it along the 38th
parallel.
—
Reds In Korea
Mass War Supplies
Since Truce Talks
WASHINGTON, (JP) — The
, Army claimed today the Allies
had the communists in Korea
“hanging on the ropes” last month
I but held off trying to deal a
knockout punch in order to show
“good faith” in peace talks.
At the same time, the Army of
ficially accused the enemy of
carrying out a “tremendous build
up” of troops, supplies, and wea
pons at the front since the orig
inal peace proposal was made
June 23.
In contrast, the Army said, one
United Nations combat unit was
pulled out of the battle area and
sent to Japan.
The Army’s report was given in
an unusual on-the-record briefing
for newsmen at the Pentagon. Or
dinarily, briefings of this nature
are held to give reporters back
ground information only but this
time the Army spokesman read a
statement for publication.
Late in May, it said, the Allies
had just beaten off a major Chi
nese communist drive in the “most
disasterous defeat” since the Chi
nese entered the war last Novem
ber.
The Allies were in a good po
sition to follow through, the state
ment continued, but held up the
drive after agreeing to enter into
peace talks.
Baseball Scores
(By the Associated Press) •
THURSDAY RESULTS
American League
Cleveland 20—New York 4
Boston 13—Chicago 10
Detroit 6—Washington 3
St. Louis 6—Philadelphia 4
National League
Brooklyn 9—Chicago 1
Boston 6—Cincinnati 2
Philadelphia 7—St. Louis 0
Pacific Coast League
San Diego 15—Seattle 2
Portland 10—Sacramento 5
Oakland 6—Hollywood 4
v San Francisco 5—Los Angeles 3
Stilt Searching For Lost
Korean Airlif t Transport
JUNEAU, {/P) — Six Canaaian
and American military and civil
agencies were engaged in the
search today for the missing Ko
rean airlift plane which vanished
last Saturday with 38 aboard.
Wednesday 26 planes logged 196
hours of actual hunting. Yesterday
21 search planes were aloft in fair
weather.
They scouted the territory from
Cape Spencer, west of here,
whence the missing plane sent its
[ last message, north toward the
border beyond Yakutat, located in
Alaska’s “armpit.”
Marshall ‘Shocked’
S . *
At U. S. Letdown
Since Truce Talks
WASHINGTON, ^—Secretary
of Defense Marshall said today
he is “shocked” at the defensive
let-down of the American people
since the Korean truce negotia
tions.
In a plea to senators Marshall
asked that Congress approve the
full $6,300,000,000 the administra
tion asks for foreign arms aid. He
said that if it came to a choice
it would be better to cut funds
for the United States* own armed
services rather than trim the
money intended to strengthen
Western Europe forces.
The program will provide “only
the essential military require
ments” in 1951 for Gen. Dwight
D. Eisenhower’s armies, Marshall
said, and stressed that the “major
purpose” is to prevent another
war, not just to defend Europe in
case of war.
Marshall testified before the
Senate foreign relations commit
tee whose members learned with
some dismay that the $8,500,000,
000 asked now for foreign mili
tary and economic aid is only the
first part of a three-year program
to cost about $25,000,000,000.
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Teen-Ager Who Paused
For Smoke, Caused Big
Fire In San Francisco
SAN FRANCISCO, (/P)—A teen
aged who paused for a smoke said
today he accidentally started a
conflagration last Sunday that
killed eight persons.
He was charged with man
slaughter.
Chief Homicide Inspector Frank
Ahem said Kenneth Skinner, 17,r
related that he delivered news
papers in the four-story wboden
apartment at dawn on Sunday.
Standing near drapes in the lobby,
he ignited his cigaret lighter for
a smoke.
“There was a flash and the
whole thing went poof.’*
Valdez Garage Burns
VALDEZ, (JP)—A large garage
building and upstairs apartment
were destroyed Sunday by a fire
which for a time also threatened
the Valdez Cold Storage firm next
door.
The fire spread quickly through
the (Roy Dieringer Garage because
of its frame construction. Volun
teer firemen, unable to bring it
under control, turned their atten
tion to saving the cold storage
biulding.
Vote Tentative
Roll-Backs on Non
Farm Commodities
WASHINGTON, (^ — Senate
House conferees voted tentatively
early today to permit price roll
backs on non-farm commodities to
levels which prevailed just be
fore the Korean war — provided
certain cost increases are taken
into account.
The tentative decision came
near the end of an all-night ses
sion of the conference committee,
which agreed to extend economic
controls legislation through next
June.
The extension measure covers
wage, price, rent and other emer
gency curbs.
The legislation would keep in
tact the ten per cent beef price
rollbacks already in effect, but
would bar additional price cut
backs for that commodity. The
price administration planned two
more reductions, each 4Vfe per
cent.
In its tentative form, the com
promise extension bill fell far
short of the kind of controls legis
lation President Truman has re
quested. The separate bills passed
earlier by the Senate and House
were minus most of the additional
controls authority which Presi
dent Truman sought.
The conference committee is
working under the gun. Controls
legislation expires July 31 unless
extended anew as is or unless
the committee whips together a
bill which can get two-house ap
proval -before midnight Tuesday.
$225,080 For Public
Airports In Alaska
Is Inadequate
(AP Special Washington Service)
WASHINGTON, (JP) — The
$225,080 which the House ap
proved for operation of public
airports in Alaska will be “in
adequate” to do the job, Civil
Aeronautics Administrator C. F.
Horne -believes.
In a letter to Rep. Hinshaw •
(R-Calif) Home said that a mini
V, %
mum of $370,000 would be re
quired for maintenance and op
eration of the two public airports
at Anchorage and Fairbanks.
The original request was for
$450,000, but this was cut in half
by the House appropriations com
mittee.
Home said the committee ap
parently based its slash on the
premise that not all facilities at
the two new fields would be avail
able during the next 12 months.
“The Department of Defense is
insisting that civilian operations
be moved to the new airports at
the nearest possible date,” he said.
In order to put the fields into
operation, he explained, a com
plete new complement of person
nel will be needed because the
Air -Force bases are manned by
Air Force personnel.
WASHINGTON, (/P) — Station
KFAR, Fairbanks, Alaska, was
authorized by the Communica
tions Commission yesterday to
%
change from 1290 to 790 kilo
cycles, effective when KFQD, An
chorage, ohanges to 600 kilocycles*
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