Jnion Rejects Proposal Industry Made USW Claims S N othing N ewk a In Paekage Both Sides Differ Over Pay Increase PITTSBURGH (AP) - The steel industry yesterday disclo ed a new offer to end the long labor dispute with the United Steelworkers. The union rejected it as "something only a company-controlled union would accept." R. Conrad Cooper, chief industry negotiator, said the offer would mean a 30-cent hourly package over a three year period. He said it also tempered industry demands for more say over working condi- tions. USW President David J.,Mc- Donald called the proposal a re- arrangemhent of "'the same old package offered by industry Oct. 1."dHe said the new proposal would mean a gain of 24 cents an hour over the three years. Discusses Work Rules Referring to the work rules is- sue, McDonald said: "The only changes are a stay of sentence in the same old attempt to deprive Steelworkers of hard- won gainss and protections." On the basis of company es- timates, the new proposal repre- sents an increase of six-tenths of a cent an hour over the 29.4 cent hourly package the industry sub- mitted Oct. 17 in a proposed three- year contract. Cooper said the proposal was a "fair offer to do what can be done and still keep within non-infla- tionary bounds in the cost of steel production." Proposal Fair The offer was made during secret negotiations that began shortly after a 116-day nationwide strike of 500,000 steelworkers was halted Nov. 7 by an 80-day Taft-Hartley, injunction. Under terms of the injunction workers will vote by secret ballot on the last company proposal. The National Labor Relations Board will conduct the election between Jan. 5 and 20. Unless the industry improves its current proposal before Jan. 5 this could be the offer the workers will vote on. They will be free to renew the strike after Jan. 26. McDonald said the industry proposal was actually put on the table last Sunday. He said the offer .was rejected by the union's 33-member executive board the same day. b~y Steel SPAAK SPEAKS: Urges NATO- Enlargement WASHINGTON (P')-Paul Henri' Spaak, Atlantic Pact secretary general, yesterday urged the 15 NATO countries to extend their alliance into Africa and the Mid- dle East to cope with the Com- munist economic offensive. Spaak endorsed French Presi- dent Charles de Gaulle's plea that the 10-year-old defense pact be reshaped to promote more coop- eration in economic and foreign policy. "The threat of war is receding but the Communist threat to the free world is increasing," Spaak told the annual meeting of repre- sentatives of Atlantic Pact parlia- ments. Spaak roused repeated applause from the legislators by declaring Atlantic Pact nations must end dangerous economic rivalries and cooperate as never before to meet the Communist threat to under- developed lands. Cautions Against Cuts At the same time, he cautioned against any move to cut Western defense spending on grounds this would tempt Russia to get trucu- lent again. The former Belgian premier said, "I believe that the French gov- ernment is right when it states that the origin and concept of NATO must be revised and ex- panded." Spaak called the underdeveloped r regions, battling for a better liv- ing standard, the critical battle area between East and West, and said the fate of the free world might be decided by how their problem is solved. Unanimously Approve A few hours earlier, the 150 legislators unanimously approved a resolution urging immediate es- tablishment of a special economic commission to draft a concrete plan for more aid to the under- developed regions. The conference also recom- mended further strengthening of Atlantic defenses, including more radar detection posts and more standardization of weapons. Spaak, stressing he was speaking for himself, was critical that France, in developing its own atom bomb, had to proceed as if such a weapon never had been invented. He called it "a waste of intellectual effort and resources." Forced to Rentake France is being forced to remake and discover what was already dis- covered by its allies 10 years ago," Spaak said. "It has to invent in Europe what was already invented in the United States-and what is already known by its own en- emy." In proposing a broadening of the Atlantic Pact, Spaak said it is no longer possible to isolate Europe's problems from those of the Middle East and Africa. "We can and should without changing and modifying the treaty try to make a more systematic ex- tension of NATO into territories outside," he said. Spaak did not spell out any concrete ideas for expanding the pact. His emphasis on the eco- nomic challenge appeared to mean he wanted more than a military extension of areas to be defended. U.S., Russia PlanWorks WASHINGTON (P) -- Joint United States-Soviet space opera- tions are being discussed, Soviet rocket experts disclosed yesterday. The Soviet group,, headed by Prof. Leonid I. Sedov made the disclosure at a news conference while here for meetings of the American Rocket Society. Sedov said, through an inter- preter, that the discussions are being carried on between mem- bers of his group and representa- tives of the National Aeronautics and Space Administration. International cooperation on space research, he said, is of great concern to both Russia and the United States, as well as to space specialists of other nations. He said that the American and Russian scientists have worked out a common view that cooper- ation is possible and necessary. But at the same time, he said, they have concluded that such a program of cooperation can be developed only gradually on a step by step basis. England, Germany End Talks LONDON (I ) - To the tune of cheers from a British crowd, Chancellor Konrad A d e n a u e r went back to West Germany last night satisfied that he and Prime Minister Harold Macmillan had cleared away some of the fog of British-German distrust. Even Macmillan was astonished at the demcnstration for the de- p arting 83-year-old German statesman. As the crowd of around 300 sang "For He's a Jolly Good Fellow," Macmillan said some- thing to Foreign Secretary Selwyn Lloyd and then pointed open- mouthed to the singers. The fare- well was in sharp contrast to the unemotional welcome accorded Adenauer Tuesday. Germans Retreat But although Adenauer said on his arrival in Bonn that "both parties were very satisfied" with the three days of talks, the two leaders failed to agree on the place of a stopgap Berlin deal in coming summit negotiations with Russia. Adenauer signaled a West Ger- man retreat from established al- lied positions on Berlin. He told a crowded London news conference one subject of summit discussion doubtless will be how East Ger- many can get self-determination. Mentions Berlin Adenauer made clear he wants Berlin to form part of a wider German settlement. But British officials immediately reaffirmed that Macmillan considers a tem- porary Berlin solution can and should be reached with Russia at the summit based on existing Western proposals. These, made no mention of self-determination, and allowed for a Berlin solution in isolation,. German and British officials said Adenauer's visit had estab- lished these main areas of agree- ment:. The East-West summit meeting should be held before the end of April, which is the earliest pos- sible date. Full British-German agreement has been reached on "the political aspects of disarmament" in ad- vance of the summit. Budget AUGUSTA, Ga. (k)-A presiden- tial conference on spending plans wound up yesterday with prospects that this year's budget will dip into the red but that the new one will be balanced at around $81 billion. Eighty-one billions would set a new peacetime record. President Dwight D. Eisenhower and Budget Director Maurice H. Stans spent more than two hours thumbing through all the non- military items on the new budget, for the 1961 fiscal year starting next July 1. Stans told newsmen afteirward that "the odds have swung against a balanced budget" for the cur- rent, 1960 fiscal year because of the steel strike. Instead of the $95 million sur- plus the Administration foresaw not so long ago, unofficial esti- mates now put the prospective deficit in the vicinity of 500 mil- lions. Spending To Go Up Eisenhower and Stans hope to have the new budget battened down, within the next week-in any event, before Eisenhower takes off Dec. 3 on a good-will trip to 11 nations. The way things look now, spend- ing is likely to go up from $79 billion this year to somewhere around 81 billions for fiscal 1961. The military budget probably will move up from just below to somewhat more than 41 billions. Non-military items stand at about 38 billions for this year. Stans and other budget experts say that existing legislation and programs entail built-in increases of more than two billions. Tax Cut Improbable These are in such fields as .in- terest on the Government debt, housing, space projects, the Agri- cultural Conservation Reserve, and Veterans' Pensions., To Go Student Group Protests Nicaragua Army Tactic l __.__. _ .. _. _._ _. - - wrwo An increase to the point that taxes could be cut is considered improbable, but it should be suffi- cient to provide a surplus. Before flying back to Washing-, ton, Stans told a plane-side news, conference that the steel strike is cutting into -revenue estimates for the current fiscal year but that once the strike ends profits should recoup and this ought to be re- flected in a gain in revenue in the 1961 fiscal year. The budget director said that except for a few tag ends Eise hower now has reviewed and a proved all but six parts of t budget. But the six are big, maj ones - the budgets for Nation Defense, the Department Health, Education and Welfa foreign aid, atomic energy, housi and the National Aeronautics a Space Agency. "The military budget, it is fi to say, is getting a closer scruti than it has in several year Stans reported. in Re (UPS) Nicaraguan students have continued their protests against the Luis Somoza regime in the face of army intervention and the imprisonment of 10 students, the Coordinating Secretariat (COSEC) of the International Student Con- ference announced last week. The upheaval started with the July 23 riots at the University of Leon in which 4 students were killed and more than 60 wounded. COSEC requested the 66 mem- ber national unions of students of the ISC to send messages of pro- test to the Nicaraguan govern- ment and its embassies. The COSEC letter was accom- panied by a message from the stu- dent organization of the University of Nicaragua, stating that the army had occupied the University of Leon building and surrounding streets after July 23. The military forces were led by officers who were studying at the University. "On the resumption of classes after 43 days of military occupa- tion of our University," the mes- sage said, "to the great surprise of the students, the officers also returned to classes. Votes Suspension However, the university Coun- cil voted on Sept. 4 only to sus- pend the officers, precipitating strong protests from the students including a hunger strike by five undergraduates and an attempt to occupy the university by 600 stu- dents, who locked themselves in- side the university building on Oct. 15. "At 2 am.," the message stated, "more than a hundred armed na- tional guards surrounded the uni- versity building where the stu- dents were, blocked all streets and halted traffic for more than 24 hours, threatening the students and beating the students who dared to give them food. They also cut off the water and electricity supply of the Univer- sity. Go to President "In the face of this situation, the University Council, presided over by Dr. Montalvan, went to see the President of the Republic, Luis Somoza ]Debayle, the son of his predecessor, Dictator Somoza, to ask his advice in solving the problem. Accordingly, a letter appeared from the officers who were study- ing at the university, in which they asked to be withdrawn as students. Military forces were withdrawn from the university area the fol- lowing day, but ten students were imprisoned. Ford Set To Discontinue Production of Edsel Line Ehe t tan Daily Second Front Page November 20, 1959 Page 3 " DETROIT (P) -- Ford. Motor Co. yesterday took the unusual step of announcing that one of its car lines, the Edsel, will be dis- continued after only 28 months of production. Ford said sales were so poor it could no longer justify the Edsel's existence. Cars, like old soldiers, rarely of- ficially die but are allowed to fade away. This was the case of the Kaiser, Frazer, Packard, Hud- son and Nash - all of which have been discontinued since World War II without official notice. Ford, however, made a formal statement that Edsel will be dropped immediately. Eighteen Edsels were built Wednesday at Louisville, the only Edsel plant. ~~~__. I "They were special orders," a Ford spokesman said, "although now I don't know whether the buyers will want them." Prospectus Prompts Yesterday's announcement was prompted by publication of a stock prospectus on behalf of the Ford Foundation, which an- nounced plans to sell another two million shares of its Ford Motor Co. stock to the public. The prospectus by law must tell all about the business plans of the company. Yesterday's copy in- cluded a one line footnote on Ed- sel: "Introduced in September 1957, and discontinued in Novem- ber 1959." Ballyhooed The Edsel was introduced pub- licly at the end of August 1957 with lavish ballyhoo and predic- tions that at least 200,000 would be sold in the first year. It took 250 million dollars and three years' planning to bring the car to market. Total factory sales in the 28 months fell slightly short of 110,- 000 cars. Only 2,700 of the 1960 model were built. Ford yesterday advised persons who bought these it will give them a $300 non-transfer- rable certificate good for use on the purchase of any domestically produced Ford Motor Co. car. Ford said that its other cars are selling at least 40 per cent bet- ter than a year ago while the Ed- sel has slipped off to almost noth- ing. Because of the poor showing, Ford said, "continued production of the Edsel is not justified, es- pecially in view of the shortage of steel, the effects of which will ex- tend into 1960." t i NO 8-9619 -- - - --- - --- --- - --- I DIAL NOW NO 5-6290 PLAYING The story begins in Lansing, Mich., and develops into a true camera expose of the stage star lives. A dra- matic and. many times comedy-filled motion picture. HAL WALLIS'~a11j -e DEAN MARTIN ANTHONY FRANCIOSA SHIRLEY ACLAINE CAROLYN JONES{ ANEDOUI. UAMCOSVAl040 JOANMBAM- ROBERT MIDDETON oe r JOSEPH ANTHONY- s.sepnsy r JAMES LEE v" A ""mov'RMe"* ALSO Late World News - Color Cartoon # ! 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