AMERICAN SHIPBUILDING

Taranaki Daily News, 21 November 1929, Page 13

AMERICAN SHIPBUILDING

FILLING YARDS TO CAPACITY ALLOCATION OF MAIL CONTRACTS. STIMULATION OF CONSTRUCTION. By Telegraph—Press Assn.—Copyright. Rec. 5.5 p.m. Washington, Nov. 19. The inter-departmental committee studying ocean mail contracts in connection with President Hoover’s greater business campaign, has worked out a plan of action which the PostmasterGeneral said to-day would in all probability fill the American shipyardfl to capacity with new construction work within six months. In order to stimulate construction, the new tonnage committee will favour companies planning the immediate construction of new ships. A total of forty new ships, fast and large enough to compete with any on the ocean, is planned by companies which have indicated their intention of submitting bids for ocean mail contracts. Linere planned for the North Atlantic will cost approximately 25,000,000 dollars. No estimate has been made of the figures for other routes. Money for construction will be made available from the 250,000,000-dollar loan fund created by the Jones-White Act, and will be administered by the Shipping Board and Navy Department. CHEAPER MONEY IN AMERICA FINANCIAL POSITION EXCELLENT. Rec. 8.15 p.m. Washington, Nov. 19. President Hoover this afternoon conferred with tho Federal Reserve Advisory Board, which was of the opinion that the financial situation was excellent and predicted a lowering of money rates, which would enable business men to obtain cheaper and more plentiful funds in New York, where money had been consistently cheaper lately. It is reported that call money to-day is as low as 4 per cent. It is felt in many circles that .the discount rate in New York may be lowered to 4 and in other districts to 4| per cent. t

To-morrow’s scheduled conference has been postponed till Thursday on account of tho funeral of the late Secretary for War.