Monday, Jun. 10, 1957
U.S. LOAN-RATE BOOST is being urged by President Eisenhower so that federal agencies will charge as much to lend money to public as Treasury pays to borrow it. But Administration's plan will run into congressional trouble because many beneficiaries of low rates are lobbying hard against it, e.g., National Rural Electric Cooperative Association, which fears plan would raise REA loan interest from 2% to going Treasury long-term loan rate of 3 1/2%.
NEW HOUSING BILL will be more generous than Administration expected. Administration wanted to pare minimum down payments on FHA-backed mortgages from current 5% of first $9,000 appraised value to 4% of first $10,000, but Senate and House called for 3% of first $10,000. President Eisenhower asked $1.19 billion in new funds for federal housing agencies, but final figure will be considerably bigger.
RIGHT-TO-WORK LAWS will be difficult for state courts to enforce in labor disputes involving companies engaged in interstate trade. U.S. Supreme Court ruling reversed earlier decision by Tennessee Supreme Court, which ordered Electrical Workers in Nashville to stop picketing construction firm employing non-union workers. Supreme Court said that NLRB, not state court, has sole jurisdiction because company was in interstate commerce.
CAR BREAKDOWN INSURANCE will be sold for 10-c- by garages that hold exclusive rights to aid motorists on 427-mile New York State Thruway. Good for one day, policy entitles driver to free emergency services costing up to $25 in cases of stalling, tire trouble, etc.
54 MILLION CARS are riding U.S. highways now, says Bureau of Public Roads, and number is increasing 4% a year. In 1956 Americans registered 65 million vehicles, including 10,625,536 trucks, 254,679 buses.
TRANS-OCEAN TV will go from Florida to Cuba. FCC okayed American Telephone & Telegraph Co. plan to send U.S. programs to Cuba via "scatter propagation" system, which deflects TV waves off particles high in atmosphere, transmits them over horizon without relays.
AIR FARE CUT on North Atlantic is being pushed by CAB. Board turned down request by the International Air Transport Association to boost ticket prices by 5%, urged a drop in rates, which are now 70% above U.S. domestic air fares.
TRUCK DEAL will turn over Reo Motors Inc., owned by Detroit's Bonn Aluminum & Brass Corp. (1956 sales: $51.6 million), to White Motor Co. (sales: $207.4 million), boost White's share of heavy-duty truck market from 11% to 15%.
HELICOPTER TOURS of the French chateau country will be started this summer by Belgium's Sabena World Airlines. It will offer nine-hour trip for close view of twelve Loire Valley chateaux (price: $72), plus 80-minute trip over six castles (price: $17).
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