Show r a f j f. f i jo i q Ioa Must Be Split Up lark ark Teas TeUs Congress HINGTON sept 17 IT wi ey General Tom C. C Clark Monday the Dress gress Co J of America Alcoa should Blit lit into a number of contention More in the aluminum industry is l to national security and ond ness eSS prosperity In a report I ess a on the industry's reon re- re reI I T ion on and surplus property I Ims Menu ms Clark wrote w was a burden on war action Expansion was hamby hamby ham- ham j by the fact tact that there was waa in one experienced company strategic industry on which depended air it power pendent operators the at- at aey y general said cannot stir stir- eur- eur tiny tin in a IJ competitive struggle with ith ir s aggregation of In bauxite and power supply nt t locations market and finan- finan and connections with eign producers Bauxite is iB commercial ore from which 1 wn um m Is produced OW Only One Solution ae e only solution Clark said I in t the e up split of Alcoa Into number of competing compa- compa He added competition in the aluminum try ry can come only as a are reef re- re of ot the federal ral governments government's The industry cannot be bed beted ted led d to transform itself after t r-t g o operated raed on a i basis basil for for over half a century the government is isby isy isy y by far the largest owner of ita tt and equipment in this coun- coun and ud iid in disposing of them can much Buch to aid or hinder the rescue this is II industry's future from the of monopoly e task wk is so 50 unprecedented it congress should consider how the government shall go inthe in inking king the aluminum Industry The establishment of petition requires the end of Alcoa's domination Nothing g Ie less will be enough Prompt Action Needed Asserting prompt action Is 15 Imperative imperative Im Jm Clark said war markets for tor aluminum are gone and civilian markets are arc slow to develop still tm being inhibited by the expectation of at Alcoa domination Unless necessary measures measure are taken immediately Independent business men will not have a fair opportunity In this industry so ISO full of technological promise Clark declared The attorney generals general's report made these recommendations 1 The surplus property board in Its disposal of ot aluminum properties properties proper proper- ties should be guided by the necessity necessity necessity sity of creating competition in the production of aluminum 2 A complete survey should be made of ot the nations nation's available bauxite reserves especially those held by Alcoa and other large com com- panics Clark said Alcoa has practically practically practically all of the domestic high grade bauxite available for aluminum aluminum alum alum- num production tion Engineering Studies 3 Engineering studies are necessary necessary sary Gary to determine power costs at atall atall atall all government aluminum plants and the possibilities of r relocating locating and reducing the size of several of these plants Go Goern Government Government- ern men t- t financed and Downed owned plants have higher p production ro d u c t ion costs than Alcoa's plants and the Shipshaw Shipshaw- powered plant in Canada Clark said In recommending a subdivision of Alcoa into competing companies companies companies compa compa- nies the attorney general emphasized emphasized emphasized sized that no punitive atomization atomization tion of Alcoa is contemplated The resulting companies he said would benefit from functional function function- al integration and would be substantial substantial sub sub- in size Clark said the possibilities are vast for future use of aluminum 1 f C or 0 tf I. I t r t r S I- I fe iz the fe automobile and railway In Industries tn- tn provided prices are low and the cloud of monopoly is removed re re- moved Company Comments At Pittsburgh the Aluminum Company of America co commented The liThe report of the attorney general gen general gen gen- eral i. i Is an argument for government government government govern govern- ment subsidies to operators of government owned aluminum plants Subsidies whether they take the Ute form of outright grants of ot the taxpayers' taxpayers money discriminatory discriminatory dis dis- power rates or any other form fonn of discriminatory federal federal fed fed- eral aid are Inexcusable The company statement declared the Reconstruction Finance corp has canceled canceled- the le leases on all government government government gov gov- owned aluminum smelting smelting smeltIng smelt smelt- ing plants formerly operated by Alcoa and R F C can lease leale or orsell orsell orsell sell them to anyone it chooses These plants said ald the Alcoa statement account for 57 per percent percent percent cent of the capacity of the industry industry industry indus indus- try as s contrasted with 36 per cent centor for or Alcoa and 7 per cent for Reynolds Reynolds Reynolds Reyn Reyn- olds Metals Co Destroy Values The company statement said faid further The d dissolution of or Alcoa ES as proposed by the attorney general would destroy property values running into millions of dollars dollar owned by thousands of small In Investors investors investors in- in and In an unusually large proportion by religions educational education education- al and charitable institutions as aswell aswell well wen as insurance companies companie Moreover It would be directly contrary contrary contrary con con- to the findings fInding of the courts which tried this issue Bue The company statement said the circuit court of appeals found Alcoa had no monopoly in raw materials materials materials ma ma- or In any fabricated aluminum aluminum aluminum num products |