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Show y ' ' V V n N f V V , y y y v v , A,. ' - ' - NEWS VOL 333 NO, 77. PAGES 1 1 1 SALT LAKE OTY, UTAH 15 CENTS & inventories drop sharply, but price signs read up United Prs.4s Intel aaliwul L.R. business cut its unsaid stock of goods bv a record amount ;n March, the Commerce Department said today. The sh&p reduction adds to the optimism that the worst of the recession is over. But there were other signs that higher prices were m the offing, particularly lor food and new cars The Commerce Department said bu'iress inventories backlogs of unsold goods were reduced ny $1 97 hill, or. or 3.7 percent in March. It was the sharpest reduction Jnce ihe government began keeping inventory " - " gf wvV.?. 1 - , ' N records m 1948 For the first three months nf the year business inventories fell SI 9 billion, nearlv double the previous record of $1 52 billion in the second quarter of DoS, also a recession period The figures demonstrate the sharpness of IV economic riurr.p end explain, ir. part. X'' sharp rise m unemployment Businesses reduce inventories in a slump by curtailing orders of new goods and selling unsold products off the shelf When orders t- cat, production is cut end workers are idled But at the same time, the record plunge a-- s. --v SLvH&'-A-. -- i? 1fAiUxs 4. v xs' x , r. , ri vU v yv Xs - ' t m 1 I ' Wir - vm UPI PftOtO Some young Vieinamese refugees break the boredom and turn a Camp Pendleton hillside into a play area. 2 House panels okay refugee bills The WASHINGTON (UPI) House Judiciary Committee has given President Ford authorization to spend all the money he needs to welcome and resettle refugees from Indochina. A House Appropriations subcommittee has voted to let Ford actually spend $405 million Both bills should be acted upon in the full House tt ednesday. Thursdays 304 vote m the House Judiciary Committee would authorize "such sums as may be necessary" for refugee aid. Earlier Thursday, a House Appropriations subcommittee voted $405 million to finance the resettlement programs. Thai is a reduction from Ford's request because the estimated number of refugees now is lower than when the measure was submitted. The Senate passed a "good indicates that the worst of the recession is behind the nation. It means that businesses will have to begin to replenish their inventories to meet an expected upturn in consumer demand. This will hasten produc- sn Tl. Ac,n- tJt.jr.' Department said foci ol prices will rise 6 to 8 percent by the end the year, and Ford Motois lop executives said 197:1 niodei cars will be priced 3 to 6 Derccrt higher than 1975 models. The predictions followed a resort Tnurs-cta- y by the Labor Department that wholesale prices rose m April after four consecutive iiioidiis of decline The White House said the mcieasc means "inflation is by no remans licked Wholesale prices o: iarm products t 7 percent last month, the departiump.-ment 'uui, in iC'V : a, of a Lend began lart December toward lower farm prices. In a separate report. Agriculture Department said food prices would be 6 to 8 percent burner by ihe end of thp year if die harvest , is good. During 1373 and food prices rose an average of 14 5 percent. James T. Scimiuck, vice president of Del Monte Torn . told the conference board, a business research group, that food prices wm be pushed up by higher labor.- - eiu-retransportation and packaging costs. "Theres no way we ear) have cheaper food whn most production costa are on the rise. Schmuck said. - -- 197-1- tion. Many economists believe this process already has begun, although they caution that high unemployment will continue be cause industries will seek to make do with reduced work forces to norense their profits and productivity. The substantial sell oil of inventories came a day after experts 'aid hghr pices for food and new cars were inevitable 5 U.S. sympathizers quit Lao government i '"'A METRO 9, 1975 FRIDAY, MAY a a Founded 1850 when Utah territory was known as the 'State of Deseret resolution welcoming Samaritan the Indochinese refugees. It also earmarked $17 million in remaining military aid to keep the resettlement operations going. Meanwhile, thousands more refugees today poured into camps stretching from Guam to Florida, heartened by congressional action on funds to help them start new lives in America Camp Pendleton, the "Little in California bulging with Saigon about 18,000 members of Amencas newest minority group, began shunt mg refugees to Eghn Air Force Base. Fla. Ten flights to Eglin today pushed that center over its planned capacity of 2,500. Ft. Chatfee, Ark , was operating at about half its 20.0UO capacity, with more arrivals Combined ? P, UPI Five cabinet ministers close-i- y identified vvllll U 3. policy have resigned lrom Laos coalition government undpr mounting pieaMutr iiuiia vNiuauut. giuupa and labor leaders, highly placed sources m Vientiane said today. The development, which comes within a month of the fall of Cambodia and South Vietnam to Communist-le- d fprees, virtually eliminated the rightist faction m Laos They yeem certain to mean the Communist-lin- e Paihet Lao, who hold six cabinet portfolios under the terms of the 1073 ccaae fire agreement, will pmerpp in a vastly strengthened position. The reported resignations, which include those of the ministers of defense, finance, public health, foreign affairs aiid public works, came after Laotian students protesting rising prices and foreign economic domination buried roots at the U Embassy in Vientiane and tried to haul down the American Has. Observers said the resignations coupled with an order by Prime Minister Prince Souvanna Phouma to the rightist forces not to fight Pathet Lao forces, appear to mark the beginning of the final act leading to a peaceful Pathet Lao takeover. The exodus of wealthy Lao, Chinese and Vietnamese continued and many shops m Vientiane were shuttered, but there has been no sign of the panic rush that marked the exodus from Saigon before it fell. The U.S. Embasy denied it W3s cv3U3tii!g AriiGTiCsns frorn. Laos but an embassy spokesman said the numbers of Americans in Laos had dropped and would continue to do so as part of a long range cutback program. During the demonstration at the U S. Embassy, a U.S. Marine guard snatched the flag from two students before it hit the ground and Pathet Lao and government police drove the students back trom fhe compound. No injuries were reported. Meanwhile, Saigon radio reports said long distance buses and trains are beginning services in South Vietnam, where and pungent smells left behind hv the trader' and to open its chief seaport, Remixing Rom. And Radio Hanoi said today the collapse of South Vietnam and Cambuuid has ended U.S influence throughout the world and will lead to a period of m Asia. The broadcast, monitored in Bangkok, said Socialism "has become the most important element with regard to world dewhile capitalism velopment, "has suffered heavy losses. In Saigon, the new Viet Cong government promised to provide A-- - The Federal Energy Admuustration, rushing to meet a deadline, detailed plans today for a sweeping program to force power plants and industries to burn coal mstead of oil or natural gas. mid-summ- er FEA said its initial target was ,ip to 73 electric power plants now burning oil or gas. But officials said data was being collected a quickly n nil ! n,'- frM'rrMnrr t? 4t a Vii with industries, plans to order some of those to switch to coal V fore J une 30. Demi tv FEA Administrator John Hill said the power plant conver-fsurn- g v uuid boost fuel costs for those now using gas possibly increasing vnuiner Costs for clcctiicty but should reduce both fuel costs and consumer costs as plants now burning oil. The FEA now faces a June 30 deadline because that is when its authority to oidor fuel conversions expires. Hill said, however, he felt confident Congress would extend that authority. Meanwhile, the White House said today ail energy conseivation bill nearly ready for House consideration faded to meet President Ford s major goals. Tin.- - House Ways and Means Committee gave tentative approval Thursday to the energy bill that would put a majur emphasis Oil efforts to reduce gasoline consumption by raising the federal tax on it See TEC on .U The Hubert manager of Sen Humphreys 1970 iai campaign haa bviidtni been conv ictt d on a c barge of accepting an illegal dairy industry contribution Altera four-datrial and three hours of deliberation, a federal tourt juiy of u,ne men and three women returned a guilv verdict againrt Jack a Minneapolis lav cr. Judge Edward W leld scheduled sentencing for Chestnut June 26. Tornadoes skipied across Louisiana Thursday killing two persons. And flash flooding followed heavy rains in the South today as storms eaed out of the and clung to a foothold from Texas to Georgia Two men di owned when they lost control of one a fireman their footing atop a car stranded by high w ater m San Antonio, Tex. mid'-onUne- 6 In Washington Lee Kwun Yew, the prime minister ul Slugapuit, has advised the U S, that Congress and the President must sneak in Ulilson on folelgll policy to lestoie world confidence. Lee is the latest head el a foreign state wnnm President Ford has been meeting in the The Singapore leader called the events in 5 eriod Vietnam and Cambodia an "unmitigated disaster. A ban m bsne mortgages wi'h interest rates that could fluctuate over the life of the loan probably will be approved by a Senate committee, sponsors predicted a Thursday to forbid today . Tiie House voted federally chartered savings and loan institutions from ottering mortgages in which the interest charge would change depending on market rates. The meeting of the foreign ministers of the Organization of American States opened with the focus on economic insu-'- s cad the noticoshlo absence nf two highly the Cuban embargo and the Panama sensitive topics Canal Those topics will be major ones in Secretary of Suite Henry Kssingcrs private meetings with the ministers. Informal sessions will run through the weekend with the formal sessions ending May 19. post-Vietna- Tui-io- Around the world The Intel national Institute for Strategic Studies says conflict raises the the possibility of a new Arab-Israespecter of another oil embargo. But it says there is still a need for a framework for a comprehensive settlement te and warned that a give Incentive for negotiation, li I . H V C ju vy utv U.o. - 4 ii,vvuuiu - - ut because it would come too late WASHINGTON (UPI) The next move is up to the United States in a sudden thawing of relations with Communist Cuba, Sen. George McGovern, D., said feasible but ineffective, for Western Europe and Japan to avoid today. Solh, fighting to save his government, met briefly with Lebanese President Suleiman Franueh amid predictions his resignation was imminent. However, Solh emerged irom the meeting and told reporters he did not submit his resignation and refused to answei newsmens questions. Members of OPEC may be forced to revise oil prices if the product's purchasing tower continues to decline, the shah of Iran says. Shah Mohammed Reza Pahlevi told a; news conference Thursday that the purchasing power of oil has decreased more than 30 percent and that the organization will discuss the matter until September and then take appropriate measures to saleguard our interests D-- S Premier Rashid Both the White House and Cuban Premier Fidel Castro indicated Thursday they are apparently ready to take steps toward smoother relations between the twro countries, less than 100 miles apart. Cuban visit But McGovern said today after a four-da- y and 11 houis of talks with Castro that the United States must lift its trade embargo against the island as a first step toward better relations. He (Castro) made clear that medicine and food are the things they are most interested in, said McGovern. "He made it clear that all other questions can go on the tabie for discussion after the embargo is lifted. McGovern, who returned Thursday night, said Castro told him such items as compensation to U S. companies for nationalized properties, release of nine American political prisoners in Cuban jail and return of $2 million in airline hijack ransom money can be laid on the table for discussion after the embargo is lifted. On Wall Street NEW YORK (UPI) Investors, encouraged by signs the recession is bottoming out and Congress might hold the line on spending, pushed prices sharply higher today in heavy trading on the New York Stock Exchange. White House Press Secretary Ron Nessen said Thursday Castro seems to have accepted what the White House has referred to as the mutuality of obligation in improving relations between Cuba and the United States. , xjBS k (Complete N6w York, American lists on is B-- 6 9 08 to, Poors ) Nothing but sun all weekend - fcSfe sCS- r The Dow Jones Industrial Average was ahead shortly before 1:15 p m. EDT. Standard & index was up 0.83 to 90.30. 849 58 Vrf Fair skies tonight and Saturday with nothing but sunshine ahead. Wanner Saturday with highs m the ;o. The extended outlook calls for a few high clouds moving in Tuesday. (Details, weather map on - FEA Combined UPI, AP WASHINGTON Alabama Gov. George Wallace says he was quoted out Vlirtr Xt .sal ill.; ilt-- j sj a. laugh tllC V.rizq pCCplC d the U S was right to fight World War II Wallace fipnianv, but hpiievpH thp ha-s- h peace settlement or) Germany after World War I led to the emergence of Hitler "World War II could have been avoided. Wallace said, "if we hadnt followed a policy of blundering vengeance toward Germany." Wallace is expected to announce his candidacy for president soon. 4 Che-.tnu- t, Cubans ready , McGovern says r-f- readies plans to force use of coal See ALLIES on Across the nation ty for "favorable conditions foreign correspondents in South Vietnam. The ividitaiy ,,, au.,guin v ..t Commission will undertake to ensure the safety and create favorable working conditions for foreign media people in Saigon to carry on their activities, Gen. Tran Van Tra said Thursday. Associated Press correspondent Feter OLoughhn reported from Vientiane that the demonstration by more than 3,000 students began at the baroque ietory Monument a few blocks from the U S. embassy. Students carrying placards saying "Yankee Go Home! paraded around the monument chanting CIA Go Home." On for years fix mg was the only safe way to travel. Cambodia reported that it had begun a campaign to clean up "the stink ioday in the News .) gJSSK Dl-- 6 Living AT 6 Music Wr .4& LL Our Man Jones A3 sri B10-1- 6 Sports TV SH!eSl,jv4 fy '.V ,f x- - ' V Z . & i" S? v &? - 4 Vi A Little SI information News tips Cnnrt1-- cCorn Good times roll letting trio good times Ombudsman the dwm a roll, ! McCreary twins wtde-ht- k tfee! in VVIivdwr, Ont. At around 1,300 pounds total, Benny end Billy art accorded the dubious honor of being registered in tne Guiiifieits Book of World Records as the largest twins on earth. The iaigsst traffic stoppers, too. D7 Theater DU 15 What's Doing Dll S- ?- ' Todav Action Ads Advertising Hwme Leary 5244445 jAtwsewdpts 524-44- 5244448 364 8626 5 IS &16-H- VdHiPN fvpnnrs nrsr 524-286- 1 delivery problems (Call Monday through Saturday before S p m.j 9 |
