Approved Code No. 84 — Appendix No. 4 Registry No. 1149—18 NATIONAL RECOVERY ADMINISTRATION CODE APPENDIX FOR THE MINE TOOL MANUFACTURING INDUSTRY (A Subdivision of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry) AS APPROVED ON JANUARY 4, 1935 WE DO OUR PART UNIV. OF FL DOC : - . U.S. DEFC UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 1935 For sale by the Superintendent of Documents, Washington, D. C. Price 5 cents This publication is for sale by the Superintendent of Documents, Government Printing Office, Washington, D. C, and by district offices of the Bureau of Foreign and Domestic Commerce. DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE Atlanta, Ga. : 504 Post Office Building. Birmingham, Ala. : 257 Federal Building. Boston, Mass. : 1S01 Customhouse. Buffalo, N. Y. : Chamber of Commerce Building. Charleston, S. C. : Chamber of Commerce Building. Chicago, 111. : Suite 170G, 201 North Wells Street. 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Approved Code No. 84 — Appendix No. 4 CODE APPENDIX FOR THE MINE TOOL MANUFACTURING INDUSTRY As Approved on January 4, 1935 ORDER Approving Appendix for the Mine Tool Manufacturing Industry a subdivision of the fabricated metal products manufacturing and metal finishing and metal coating industry An application having been duly made pursuant to and in full compliance with the provisions of Title I of the National Industrial Recovery Act, approved June 16, 1933, and in accordance with the provisions of Section 4 of Article IV of the Code of Fair Competi- tion for the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, approved November 2, 1933, as amended June 1, 1934, for approval of an Appendix establishing trade practice provisions for the Mine Tool Manufacturing Sub- division of said Industry, and Notice of Opportunity to be Heard having been duly publicized, and no objections having been received thereon; and the annexed report on said Appendix to said Code containing findings with respect thereto, having been made and directed to the President * ' NOW, THEREFORE,' on behalf of the President of the United States, the National Industrial Recovery Board, pursuant to author- ity vested in it by Executive Orders of the President, including Executive Order No. 6859, elated September 27, 1934, and otherwise ; does hereby incorporate by reference said annexed report and does find that said Appendix to said Code complies in all respects with the pertinent provisions and will promote the policy and purposes of said Title of said Act; and does hereby order that said Appendix of said Code of Fair Competition be and it is hereby approved. National Industrial Recovery Board, By W. A. Harriman, Administrative Officer, Approval recommended : Kilbourne Johnston, Acting Division Administrator. Washington, D. C, January J+, 1935. 100409° 1465-12 35 (1) REPORT TO THE PRESIDENT The President, The White House. Sir: This is a report on an Appendix to the Code of Fair Com- petition for the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, approved on No- vember 2, 1933, and as amended on June 1, 1934. GENERAL STATEMENT The Mine Tool Manufacturing Industry, being truly representa- tive of this Subdivision of the Fabricated Metal Products Manu- facturing and Metal Finishing and Metal Coating Industry, has elected to avail itself of the option of operating under the Code for the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, with the assistance of additional fair trade practice provisions. RESUME OF THE APPENDIX Paragraph A, Definition, accurately defines the term " Mine Tool Manufacturing Subdivision ". Paragraph B, Governing Body, sets up a governing body con- sisting of members of the Subdivision and also provides for an Administration Member. This governing body is to be known as the Subdivisional Committee for the Mine Tool Manufacturing Subdivision. Paragraph C, Effective Date, prescribes the effective date of the Appendix. TRADE PRACTICES Section 1 provides for open price filing by the members of the Subdivision. Section 2 Minimum Quantity Standards, provides for a Commit- tee to make a study for the standardization and simplification of the products of the Industry. Section 3 makes it a violation of the Appendix for any member of the Industry to ship goods on consignment except under circum- stances to be defined by the Subdivisional Committee and approved by the National Industrial Recovery Board. Section 4, Substitution, makes it a violation of the Appendix for any member of the Subdivision to furnish products of the Subdivi- sion, more or less expensive, of better or inferior quality, or of larger or smaller size than specified, without making the proper adjust- ments in the quoted price and clearly indicating the nature of the substitution. (2) Section 5 makes it a violation of the Appendix for any member of the Subdivision to submit a bid or bids for two or more com- modities (one or more which is a Mine Tool Product) in which the unit price of each commodity is not clearly stated. Further, no member of the Subdivision shall accept orders or contracts for a sale at a lump sum where the contract does not specify the exact quality, quantity and unit price of the product purchased. FINDINGS The Deputy Administrator in his final report to the Board on said Appendix to said Code having found as herein set forth and on the basis of all the proceedings in this matter : It has been found that : (a) Said Appendix to said Code is well designed to promote the policies and purposes of Title I of the National Industrial Recovery Act, including removal of obstructions to the free flow of interstate and foreign commerce which tend to diminish the amount thereof and will provide for the general welfare by promoting the organiza- tion of industry for the purpose of cooperative action among the trade groups, by inducing and maintaining united action of labor and management under adequate governmental sanctions and super- vision, by eliminating unfair competitive practices, by promoting the fullest possible utilization of the present productive capacity of in- dustries, by avoiding undue restriction of production (except as may be temporarily required), by increasing the consumption of indus- trial and agricultural products through increasing purchasing power, by reducing and relieving unemployment, by improving standards of labor, and by otherwise rehabilitating industry. (b) Said industry normally employs not more than 50,000 em- ployees; and is not classified by the National Industrial Recovery Board as a major industry. (c) The Appendix to said Code as approved complies in all re- spects with the pertinent provisions of said Title of said Act, includ- ing without limitation Subsection (a) of Section 3, Subsection (a) of Section 7, and Subsection (b) of Section 10 thereof; and that the applicant association is an association truly representative of the aforesaid Industry; and that said association imposes no inequitable restrictions on admission to membership therein. (d) The Appendix to said Code is not designed to and will not permit monopolies or monopolistic practices. (e) The Appendix to said Code is not designed to and will not eliminate or oppress small enterprises and will not operate to dis- criminate against them. (f) Those engaged in other steps of the economic process have not been deprived of the right to be heard prior to approval of said Appendix to said Code. For these reasons, therefore, this Appendix of said Code has been approved. For the National Industrial Recovery Board : W. A. Harriman, Administrative Officer. January 4, 1935. CODE APPENDIX FOR THE MINE TOOL MANUFACTUR- ING INDUSTRY A SUBDIVISION OF THE FABRICATED METAL PRODUCTS MANUFACTURING AND METAL FINISHING AND METAL COATING INDUSTRY Pursuant to Section 4 of Article IV of the Code of Fair Compe- tition of the Fabricated Metal Products Manufacturing and Metal Finishing and Metal Coating Industry, as amended, (the terms of which apply to each member of the Mine Tool Subdivision) the following provisions are established as an Appendix to said Code of Fair Competition of the Fabricated Metal Products Manufac- turing and Metal Finishing and Metal Coating Industry for the Mine Tool Subdivision of that Industry. A. Definition. — The term " Mine Tool Subdivision " as used herein, means and includes the manufacture for sale of mine tool products, including coal drilling machines for use by hand power and repair parts for such machines; breast augers for hand drilling or boring in coal or in clay and repair parts for same; coal mining picks; coal wedges; coal mine bars for lifting, prying and breaking coal; blasting tools either all steel or with copper tampers and/or scrapers; copper needles; power augers for electric power drilling machines; and mine track tools such as track adzes; spike pullers for mine track spikes and mine track gages not covered by another code of fair competition. B. Subdivisional Committee. — The members of the subdivision shall set up a subdivisional committee for the Mine Tool Subdivi- sion, hereafter referred to as the " subdivisional committee ", con- sisting of as many members as may be determined by and in a man- ner satisfactory to the Basic Code Authority and the National In- dustrial Recovery Board. The National Industrial Recovery Board may appoint a member of the subdivisional committee who shall be given reasonable notice of and may sit at all meetings of the sub- divisional committee, but who shall be without vote and shall serve without expense to the subdivision. C. Effective Date. — This Appendix shall become effective ten (10) days after its approval by the National Industrial Recovery Board. TRADE PRACTICES Any member of the subdivision who directly or indirectly through any officer, employee, agent, or representative violates or evades any of the following trade practice provisions shall be guilty of violation of this Code. Section 1. Open Price Filing. — (a) Each member of the subdi- vision shall file with a confidential and disinterested agent of the (4) subdivisional committee or, if none, then with such an agent desig- nated by the National Industrial Recovery Board, identified lists of all of his prices, discounts, rebates, allowances, and all other terms or conditions of sale, hereinafter in this article referred to as " price terms ", which lists shall completely and accurately conform to and represent the individual pricing practices of said member. Such lists shall contain the price terms for all such standard products of the subdivision as are sold or offered for sale by said member and for such non-standard products of said member as shall be designated by the subdivisional committee. Said price terms shall in the first instance be filed within twenty (20) days after the date of approval of this provision. Price terms and revised price terms shall become effective immediately upon receipt thereof by said agent. Immedi- ately upon receipt thereof, said agent shall by telegraph or other equally prompt means notify said member of the time of such receipt. Such lists and revisions, together with the effective time thereof shall upon receipt be immediately and simultaneously distributed to all members of the subdivision and to all of their customers who have applied therefor and have offered to defray the cost actually incurred by the subdivisional committee in the preparation and distribution thereof and be available for inspection by any of their customers at the office of such agent. Said lists or revisions or any part thereof shall not be made available to any persons until released to all mem- bers of the subdivision and their customers, as aforesaid; provided, that prices filed in the first instance shall not be released until the expiration of the aforesaid twenty (20) day period after the approval of this Appendix. The subdivisional committee shall maintain a permanent file of all price terms filed as herein provided, and shall not destroy any part of such records except upon written consent of the National Industrial Recovery Board. Upon request the sub- divisional committee shall furnish to the National Industrial Recov- ery Board or any duly designated agent of the National Industrial Recovery Board copies of any such lists or revisions of price terms, (b) When any member of the subdivision has filed any revision, such member shall not file a higher price within forty-eight (48) hours. (c) No member of the subdivision shall sell or offer to sell any products of the subdivision for which price terms have been filed pursuant to the foregoing provisions, except in accordance with such price terms. (d) No member of the subdivision shall enter into any agreement, understanding, combination or conspiracy to fix or maintain price terms, nor cause or attempt to cause any member of the subdivision to change his price terms by the use of intimidation, coercion, or any other influence inconsistent with the maintenance of the free and open market which it is the purpose of this provision to create. Section 2. Minimum Quality Standards. — The subdivisional com- mittee shall appoint within sixty (60) days after the effective date, a committee, consisting of three (3) members who shall make a study for the standardization and simplification of products in this subdivision, the elimination of unnecessary or infrequently demanded sizes or types of this subdivision's products in cooperation with the Bureau of Standards and Bureau of Mines of the United States UNIVERSITY OF FLORIDA g 3 1262 08856 1054 Department of Commerce with the view to making recommenda- tions for their adoption by the subdivision. This committee shall render a report to the subdivisional com- mittee -within six (6) months of its appointment and shall attempt to complete its study of the foregoing suggestions within a period prior to the expiration of the National Industrial Recovery Act. Such recommendations of the subdivisional committee, when ap- proved by two-thirds vote of the members of the subdivision and approved by the National Industrial Recovery Board, shall become the standards for such products of the subdivision, and shall become effective sixty (60) days after such approval. Thereafter, all mem- bers of the subdivision shall follow, in the manufacture of such prod- ucts, such standards of manufacture and failure to follow such standards set up by the subdivisional committee and so approved by the members of the subdivision and the National Industrial Recovery Board shall be deemed an unfair method of competition and a viola- tion of this Appendix. The National Industrial Recovery Board may at the time of approval of said standards, or thereafter, permit the manufacture and sale of non-standard products of the subdi- vision, if any, subject to such labeling requirements as the National Industrial Recovery Board may prescribe. Section 3. Selling on Consignment. — No member of the subdi- vision shall, from and after the effective date of this Appendix sell or offer to sell any products of the subdivision on consignment, except under circumstances to be defined by the subdivisional committee and approved by the National Industrial Recovery Board where pe- culiar circumstances of the subdivision require the practice. Section 4. Substitution. — No member of the subdivision shall fur- nish products of the subdivision more or less expensive, of better or inferior quality, or of larger or smaller size than specified without making the proper adjustments in the quoted price and clearly indi- cating the nature of the substitution. Section 5. Lump Sum Bids and Contracts. — No member of the subdivision shall submit a bid or bids for two or more commodities (one or more of which is a Mine Tool product) in which the unit price of each commodity is not clearly stated. No member of the subdivision shall accept orders or contracts for sale at a lump sum where the contract does not specify the exact quality, quantity and unit price of the product purchased. Approved Code No. 84 — Appendix No. 4. Registry No. 1149-18. O