ANSPORTATION
DRIVE TO REPLACE OLD U.S. SHIPS WITH N-POWERED ONES
By GRANT DILLMAN
Washington.
HE Government is launching a drive to get THE
American fleet owners to replace some of their obsolete merchant ships with nuclear- a defence measure, powered vessels, partially as it was disclosed recently. Touching off the compain will
be a special one-day symposium
here on August 21 which whip
ring officials will be given on nside look at what has been
THE CHINA MAIL,
WEDNESDAY, AUGUST 20, 1958.
British Bankers' Marriage
Of Convenience
Four of the largest banks in Britain have announced plans to enter the hire- purchase finance business. What this means for both sides, and for the borrowing public in explained by GEORGE PULAY
1
London, Aug. 19. STRIKING changes are taking place in Britain's banking system. At one fell swoop the joint stock banks have broken with tradition and at the same time have placed the stamp of "respec-
on hire-purchase finance. tability"
Following so quickly on Jast last resort, the “special deposit" month's relaxation of the credit system erented last month, they squveze, the rush to enter bire- | should be in a much better pock- purchase suggests a fundamental | tlon, if they so wish, to control change in official thinking.
UK-MOST POPULAR pecially in the Bank of England
eshire-purchase credit.
accomplished so far in making TOURIST CENTRE
nuclear power competitive with conventiolly-propelled 'ships
....
The Mariing Administrator. Morse, who on- Clarence G.
The meeting, said the 1.ounced aim would he "to explore operational problems of nuclear- powered merchant ships," obtain the views of industry leaders the autook for clear propulsion," WOULD CONVINCE
ned "dacuss
was
Ollier officials, questioned
$1 about the matter, loped that data made available to the feat owners would""""""con- vince them that they should in-
dest lude 11
one atomic- powered Vessel in their chip teplacement programines,
feel that Officials currently 19g oil tankets or ore carriers offer the most promising pros- prets for nuclear-powered ship. They said this was particularly 1 of lankers which consune
a lauge part of their cargo long voyages,
ut
RITAIN has
BR
London.
now super-i seded Fronce OS the most popular European tour- ist centre for Americans, Mr Glen J. Cradon, Trans-World Airlines salos chief, reports. He adds that flights by Ameri- can tourists to London here i5- creased in the first seven months of this year by more than 39 per cent compared with figures for the same period last
year. which was in Nself a record year for Britain's tourist โถ-
dimlry.
Mr Craden sald that T. W.A expected the urease for the whole year to be in the region of 50 per cent. Laudon was 110w more popular ihan Paris. FOUR REASONS
all-time
The American exécutive cording for T. W: A.'s hoom in trans-Atlantic travel,
listed
four main reasons
survey. Be
Tur
said.
| Britain's popularity.
An urine route
showed that American: thought Britain:
I was sad that big tanker plying the Persian Gulf from the Middle East mil fields to Europe or the United States may burn up as much as 110,000
-barrels of oil.
Officials also said the cargo of on of or or carrier could be used a shielding from the ship's nuclear reactor, thereby re- Carring the weight problem.
They conceded, however, that This would assume that cargoes would be available—i—bolli) directions.
MILITARY USE
Turning to the militars leatums of nucleur power, Leals Boted that this country. had to
produce process and
itself, for there is little doubt that the big banks would not lave taken the plunge without the "Old Lady's" blessing.
Beneficial
Some of the banks have been anxious to extend their interest into this feid for some time, especially since the Commercial Bank of Scotland blazed the frail four years ago
and Australian Imnka were seen to have taken bene- the plunge with highly feial results. Moreover, it must have been increasingly irksome to the banket And themselves their traditional vestricted Logmalions by the credit squeeze, while the hire-purchase finance companies, by various means, went on their way of ampid ex- pansion,
Since they were able to borrow less and less from the banks, the hire-purchase companies came to rely more and more deposits. To attract had to offer more
on public these they favourable
rates. Not only were the banks Their traditional kampered, in lending function, but, along with the buildi sectel:es, they were meeting Inerrasing competition The in attracting deposits frmM
Lest expensive and giving public. hriller value for money than most other European countries.
Has now an increasing re putation for providing ex- cellent food, both traditionni ind Europeon. Gives n
welcome
wormer
10 Americans than any other European country. Provides top attractions in Loon's theatreland. China Mail Special.
ueliver fuel for a fleet of some SECOND GIANT
5,000 vessels during World War!
I. They said sinne nulitary ex-)
peits bebevel elimination of this TANKER FOR
work might be a decisive factor
in any future war.
Much of the
information to
be made available at the August | 21 symposium will be based on
GREEK COMPANY
THE
the Government's experience L
Savannah
Danushima, Aug. 19. Hitachi Shipbuilding Company delivered 10
a
1
Until recently, however, the Bank of England frowned on any hire-purchase Fariation with Baarer houses. Some of the commercial inore conservative
also stood banking interests atuof: Mr Anthony Tuke, chair- for instance. Inch of Bares, nald only six onths ago-that- hire-purchase was not banking
business.
Barclays
As it happens, it was Barclays which last month stole a march on the rest by announcing that it
I was to acquire a 25 per cent stake in the United Dominions Trust, largest of all the credit france houses fund, incideritally, the the one which long before wen enjoyed not only the bitese- Sug but the active participation of the the privately-owned Bank of England when
Lurd That
Norman was Governor). Barclays should now have taken
a pair of
the
ever
built
is
the lead demonstrates
with the only, nuclear-powered Greek shipping company today, merchant ship now under one rond of struction in this country, the largest lankers
Jajati, But officials said progressi itt
The Panama-Flag Line, a the field had been so rapid that
subsidiary of the Greek-owned the Savonnan already was out-
Orion Shipping Company of clated in some respects
York, look over from though it was not expected to be Hitachi at ils dockyards Inunched until some time next the 47,200 deadweight Lou
Andres Tumped,
year.
even Now
"We're prepared to show that
here,
it is now theoretically, possible! Violunda, is already
The vessel's sister-ship, the in opern-
to produce a gas-cooled reactor U.P.I. capable of turning out
shaft horsepower, the
20,000
sume 45
the Savannah's, with only one-
third the weight," one spokes- ATOM-POWERED
man said.
He added
that atomic on-
gineers had the practical know- SUB TRANSPORTS
ledge to turn out an engine half the weight of the Savannah's reactor--U.P.1.
American Licence
For Fairey Rotodyne
perhaps
For the public, hire-purchase facilities should eventually be greatly improved, and, it is 10 be hoped, at lower cost, The bank's hecking, let nione their full co-operation an branch level, should tend to overcome the last bastions of prejudice to instalment buying.
Although it has grown apklly the in the post-war era under stimulus of full employment and the redistribution of
Today hire-purchase in Britain is still lagging far behind the "new" countries.
income.
Hire-Purchase
NEW YORK STOCKS CLOSE FIRM
New York, Aug. 19.
Stocks closed today on a firm note with prices higher but
under their best levels of the session.
Po National Cas Family Finance Corp.
| Firestone Tyru de Rubber
General Electric
Steela raled strong as a group. 1 mon stock to provide funds for Eastman Kodak Rully produces me gairu mang divenifcation. Ing to nearly 1wo points In Oll issues ruled steudy to firm Katy Preferred which responded | with Barber up more than a Ford Motor....... la agreement to amend the roll- point. A long ist of special General Dynamics Ipads preferred strek moulden- issues rose a point or belier General Foods flon plan.
with Pet Mi
and General Motorw Studebaker-Packard, most Addrostgatph-Multigraph up agen. Pub. Util.
Gen. Tyto da Rubber active issue, slippert back on aus similar amount, Chemicals were detty bi nouncement of the company's irregular. American Telephone Glidden Co.
rer up a point.
financing programmu involves duelon of bank lane through authorisation of additional com-
Issuance of preferred stock and
HONGKONG
STOCK EXCHANGE
Our Own Correspondent Business done on the Hong- kong Stock
this Exchange morning amounted 10 24
$525,000.
Noon proximately quotations and the morning's
Bales
up
Momentum
G
Goodrich (B. F.) Co. Goodyear Tyre .... |Grumman Älveraft ........
Gulf of
Heyden Newport Corp. Homestake Minitrench. Am.Ingersoll-Rand
The market started generated a bit of momentum at Inland Steel Co. mid-session and sankt back into Interchemical Corp
Int'l Business Machines lethargy again late in the day, Int'l Harvester
iraded, 542 International Nickel
Of 1,136 issues advanced, 370 declined and 224 International Paper
Int'l Tel & Tel' New highs John-Manville Co. held unchanged. were set by 45 stocks and new Kaiser Industry lows by 8,
Konso C. Power & Light
New York Stock Exchange Kennecott Copper... Liggett Meyers Toli, Co. Lockheed Air volume was 2,250,000 shares.
Now York Stock Exchange Loews Incorp.....
Lone Star Cement Co. Lowenstein & Base
Exchange McDermott J. Hay.
bond volume was $5,200,000.
American Stock volume was 700,000 shares.
McDonnell Aircraft Stock Exgo.)................
Dow-Jones closing averages Mesabi Iron Corp.
were:
30 IndustrNĀS
20 colla
18 utilities
03 socios
40 bondre price index
Comm. future
Closing Prices
10 705 AKKT Inc. ACY:
Allied Cherriton is
transactions were:
Share
Buyers Allers
BANKS
TU
130
*
200
434
Allied Ms Inc.
23
Alle Chalirsen.
3.03
G
Ino
421 425
180 6 479..
47-2
02
HK Bank Fas! Asta INSURANCES At present the nation's hire- Union purchase debt is near £500,
Lombard***** SHIPPING jess than a quarter of the funds
Wheelock (-owing-to-building-societies- arch-BOOKS,”
by outstand- similarly dwarfed
K. Wharf Dock ing bank loans. On this basis British hire-purchase indebted- nest works out at less than C10 per head of population per year, compared with £45 in the United States. £21 in Canada and £19 in Australia,
more clearly than anything else The complete change of attitude among the baniting community.
participa- So far, the banks'
lifferent forms. tion has taken Barclays are putting up £4m, of new money to buy a quarter of U.D.T.'n equity. Westminster and in Martins have joined forces
Mer- subscribing for shares in cantile Credit, the second largest |
will emerge inance house, and each holding 20 per cent of the
xqulty,
Third came the National Pro- vincial with on outright cash take-over bid for Nonth Central Wagon, third largest, involving £94m. The other big books will no doubt fellow nd the fever I has spread to the merchant banka, 4wo of which this week announced plans for a hire-pur- chase venture.
Profitable
03.18
Genoa, Aug. 19. PLAN for the construction Ek of an atom-powered trans- peri submarine in Haly Is now under consideration by the Italian Defence Ministry, groups of shipbulidez. and insurance
mpanies, and the Italian Na- These marriages should prove tical Electro-Nuclear Com-highly profitable to both sides. puny, it was letmed here to- For the hire-purchase houses, day.
powerful bank backing greater security and the immedi. nte freeing of funds, now held In reserve, for fresh financing. Improved credit standing should niso make it possible in future to attract deposits at a lower rate than hitherto and thereby in. Should the
branches-Barclays, tho Inngost, hoe 2,000-for over-the- counter hire-purchase transic- tione, the impact could be fur- midable.
London, Aug. 19. BRITAIN'S Fairey Com- Meanwhile, the research sec- pony, the designers of tion of the Ansaldo Company the vertical take-off Fairey and the nuclear soction of the Rotodyne aircraft, announced Fit Company are studying pro- construction of porals for the today the sale of a licence an atom-powered tanker. for the manufacture of the This vesacl would be of plane, to the American 20,000 tons, although this figure crease profitability. Kaman Aircraft Corporation might eventually be increased banks eventually mako ovellable
to 100,000 tons-France-Presse, their
of Bloomfield, Connecticut.
The Rotodyne is a plane that takes off vertically, bika
*
helicopter, and then converts BIG DROP IN NEW
Into forward flight, under the power of two turboprop en- gines, jetling Ita rotor turn free- ly under wind pressure, iflce co autogiro.
Rotodyne will be bulli milltary purposes,
SHIP-BUILDING
For Just three months.
There can be no doubt that, in hire- an expanding economy. purchase will grow. New outlets are continually coming into use, be it for the spreading of school fees over, say, eight instead of four years, for air travel or for investment buying. In the past five years, small Though it may be comparatively, the British hire-purchase debi has doubled. Given greater freedom and new backing thi figure may well grow to over £2,000m. over the next 10 yeaTI,
Exchange Rates
Business was done in the local unclal, exce market this morning at the fallowing rates: US dollar per $1 Sterling noten (per £15 Australian noles per CD Indonesian rupiah iper 100) Sam teal (per 100) Singapore, Straital
Provident LAND, ETC IK Hotel
10 Land Humphrey Heally RUDDER
Analg Triat A; Tawah- Bungalo UTILITIES Tram
Yatena!!
C. Light
Electric Mneau E Tel.
INDUSTRIALS
Comment
12
201 2000 1500 - 20.70
1002140
1000 20.0
Am. Brake Shoe American Airlin
ATTER_Cymamid Co
•& Forg. Forwar Am. Gas & Electe Am. Hose Prod.... Am. Mach. & F'dry
American Metal
American Being
Anaconda Copper
Arturo Sieci
500 20.04! Armour
32
Atlas Cone. Minlog Bak/win-Lim-lint.
Minnesota Mining
National Cash Re
National Lend
1103% 324
2014
421%