Part: 123456789         Session: 1         Page na123456789101112131415161718192021222324252627282930313233343536373839404142434445464748495051525354555657585960616263646566676869707172737475767778798081828384858687888990919293949596979899100101102103104105106107108109110111112113114115116117118119120121122123124125126127128129130131132133134135136137138139140141142143144145146147148149150151152153154155156157158159160161162163164165166167168169170171172173174175176177178179180181182183184185186187188189190191192193194195196197198199200201202203204205206207208209210211212213214215216217218219220221222223224225226227228229230231232233234235236237238239240241242243244245246247248249250251252253254255256257258259260261262263264265266267268269270271272273274275276277278279280281282283284285286287288289290291292293294295296297298299300301302303304305306307308309310311312313314315316317318319320321322323324325326327328329330331332333334335336337338339340341342343344345346347348349350351352353354355356357358359360361362363364365366367368369370371372373374375376377378379380381382383384385386387388389390391392393394395396397398399400401402403404405406407408409410411412413414415416417418419420421422423424425426427428429430431432433434435436437438439440441442443444445446447448449450451452453454455456457458459460461462463464465466467468469470471472473474475476477478479480481482483484485486487488489490491492493494495496497498499500501502503504505506507508509510511512513514515516517518519520521522523524525526527528529530531532533534535536537538539540541542543544545546547548549550551552553554555556557558559560561562563564565566567568569570571572573574575576577578 of 578

this, and he knew it from reports he'd made to Baruch on investment problems. He said, “U.S. Steel cannot operate at all unless it can operate at forty-seven per cent of its capacity. They can't afford to start the blast furnaces. They can't afford to turn the rolling mills unless they've got orders that make them operate at forty-seven per cent capacity. Whereas, Bethlehem, with its new operation, can operate on a much lower level. Bethlehem can operate at a lower per cent, because it's got the new rolling mills. Bethlehem has the rolling mills that are rolling tin sheets for tin cans for the canning industry. U.S. Steel can't do that. They haven't got these small arrangements that will roll thin, lightweight steel for a variety of domestic uses. U. S. Steel has to make rails, great structural ironwork pieces, great bridge structures, in order to operate at all.”

He went on to say, “The director of this agency would not encourage such inefficient operation.”

I said, “But the inefficient operation is where a lot of people work.”

“All right, they've got to reform. We'll throw the orders to the efficient mills where they can make what's needed.”