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12 fitted with this unloader are the Fon- 1ANA, a 6000-ton carrier, formerly the R. W. Encranp, which carries a 150- foot boom: the ANDASTE, a 2500-ton car- rier, with a 75-foot boom; the whale- back Bay Strate, formerly the CouLsy, a 2500-ton carrier with a 75-foot boom, and the whaleback Ciirron, formerly the Martue_r, a 3500-ton carrier, with a 100- le MARINE REVIEW foot boom, which ran into a terrific gale on Lake Huron in September and was lost. The Progress Steamship Co. owns the Fontana and Bay Strate and last winter had these vessels and the CLirron_ con- verted to unloader type at the plant of the Leathem. D. Smith Dock Co., Stur- geon Bay, Wis. The Leathem D. Smith- January, 1925 Cliffs Co. equipped the ANpasTE, the first carrier to be refitted. The vessels are operated under the management of the Cleveland-Cliffs Iron Co., Cleveland, and William G. Mather, S. Livingstone Mather and A. E. R. Schneider of that ‘company are interested with Mr. Smith in the fleet and in the unloading equip- ment and service. LN HEU AUNT Why Not Do It. Mr. O Connor? Behind the Scenes at the Shipping Board—Verbatim Extracts from Sworn Testi- mony of the Gentlemen Who Are Spending Our Money Playing at Ship Operation SUNN From the Proceedings of the House Committee Sitting in Washington, March-June, 1924 Ewin L. Davis, Congressman from Tennessee—li I understand you, your view is instead of publishing to the world that this whole business is a failure and we must get rid of it, that we must sink the ships or scrap them, and all that sort of business, the way to do is to com- mence talking the other way and saying we are going to maintain these lines and render this service for at least a definite period of time? T. V. O’Connor, Chairman of the Shipping Board— I believe in the scrapping of the ships; that we should go into the immediate scrapping of about 350 or 400 of them. Mr. Davis—That is out of 1200? Commissioner O’Connor—Yes. Mr. Davis—What is the difference in the current ex- pense, we will say, per month, of the maintenance of a laid-up ship and the maintenance of a spot ship ready for service? Mr. O’Connor—The spot ship has what we call a “skeleton crew,” and a few sailors. Her expense runs quite high, up to probably $1200 a month. The laid-up ship runs about $140 a month at the present time. Henry A. Cooper, Congressman from Wisconsin—Y ou say you have 1200 ships, and could sell 300 and still have a sufficient number remaining? Commissioner O’Connor—We have close to 1400. Mr. Cooper—You have close to 1400? Commissioner O’Connor—We could scrap 400 and have 800 good ships. Is not that the answer you wanted? Mr. Cooper—It is not the answer I wanted, partic- ularly; I simply want your judgment. William B. Bankhead, Congressman from Alabama— In connection with Mr. Cooper’s last question, the ship- ping board, under the. existing law, has the absolute power to scrap: these obsolete ships, has it not, Mr. Chairman? Commissioner O’Connor—I think we _ have. Mr. Bankhead—Why don’t you do it? Commissioner O’Connor—Fine; that is the way I like to hear you talk. Sentiment has kept us back. Mr. Bankhead—What sort of sentiment? Commissioner O’Connor—Public sentiment. Mr. Bankhead—Is your board actuated by public senti- ment or business judgment? Commissioner O’Connor—Well, by public sentiment to some extent. We have been waiting to see what would come out of this whole thing. I believe every member of the shipping board wants to scrap those ships. Mr. Bankhead—How much longer are you going to. wait on this matter of public sentiment before-you take some definite action on that program which appeals to your business judgment? Commissioner O’Connor—I was not letting public sentiment interfere; I ‘had it up today at noontime. [This was in April, 1924. The ships are not yet scrapped —Ed.] Mr. Bankhead—The maintenance of those obsolete and useless ships involves quite a large part of your overhead expense, does it not? Commissioner O’Connor—Quite a lot of expense. It runs up, I imagine, to about $140,000 a month. I am of the opinion there are 400 of them that could be done away with without even missing them. Mr. Bankhead—Do you think you will determine that question of the ultimate disposition of that type of vessel at an early date? Commissioner O’Connor—Yes; I do. Mr. Bankhead—What are you going to recommend? Commissioner O’Connor—That there be 175 ‘taken right out. Mr. Bankhead—What do you propose to do with them? Commissioner O’Connor—Scrap them. Mr. Bankhead—What price do you think you can get per ton for those 175 ships as scrap, now? Commissioner O’Connor—For scrapping, I think that we could get $3 a ton. Mr. Bankhead—Do you think it would be good busi- ‘ness to sell them for $3 a ton? Commissioner O’Connor—I do not see anything else to do with them. Mr. Bankhead—I do not either; that is the reason I am asking you. It seems to me it is rather poor busi- ness, after the board has definitely reached a decision that they are of no value and never will be of any value to us or to our commerce, to keep them perpetually, at the expense of running up your overhead charges. sil ‘ccc AMUN Eallillil np og ht cae