Outlook good and expansion planned for Hemingray

BUSINESS OUTLOOK FOR

YEAR VERY ENCOURAGING

WARNER GEAR

CONTRACTS FOR

NEW BUILDINGS

Several Hundred Thousand Will

Be Spent on Improvement, It

Is Announced Wednesday.

INCREASED BUSINESS IS

GIVEN AS THE REASON

When Completed Muncie Will Be

in Same Class as Detroit in

Gear Manufacturing.

Increased contracts received from the motor car companies supplied by the local plant have made it necessary for the Warner Gear company to greatly enlarge its factory, and an­nouncement was made Wednesday by both Ray P. Johnson, Sr., general manager, and Charles S. Davis, secretary-treasurer that contracts had been let for two new buildings and that they would be completed by April 20. New machinery will be installed by the latter part of May.

Although officials of the company would not state the exact cost of the new buildings, it is understood that it will be several hundred thousand dol­lars.

Complete expansion will not be un­der way until June when the produc­tion capacity will have reached 1,000 transmissions a day or 25,000 a month. "We will not place any men until June and by that time from all present prospects there should be an increase of 300 to 400 men, perhaps more and again possibly less. We cannot yet say." both Mr. Johnson and Mr. Davis said Wednesday morning.

Cost Not Made Public.

"We have hesitated about making the announcement of our plans for the reason that many men will pour in here looking for better jobs. This upsets the other local concerns' production and causes the man to lose a lose a day or a half-day in pay. None will be hired until there is need of them and when needed we will make it known," fas [sic] was the summary of a talk with both the general-manager and the secretary-treasurer.

Exact construction costs were not made public, but it is understood they will run into several hundred thousand of dollars. It is said that new machinery to be installed will be valued at five times the building costs. The Indiana Bridge Company, a Muncie concern, and Albert J. Glaser, Muncie contractor, will do the work. Contracts were let Monday.

The buildings will be of brick, con­crete and steel of the latest factory type design, giving ventilation and light far superior to any of the fac­tory buildings now in use. One of the plants will be placed between the two present buildings on the east side of Grant Street. The other will cover the half square on Penn Street be­tween Seymour and Clerk Streets. Both will be one-story and fire-proof.

Muncie In Front Rank.

This increased production will place Detroit, Mich, and Muncie in the same class regarding the number of auto­mobile gears manufactured. Muncie supplies gears for eighteen different cars, while Detroit supplies but seven. There are only thirty-eight cars built by thirty-two concerns. Detroit manufactures 780,000 gears while Muncie now makes 700,000.

Five of the gear building plants of Detroit are maintained by individual corporations for their own make of car, while one plant makes gears for two concerns. There are five gear manufacturing plants in Muncie. In addition to transmission gears the Warner concern also builds axle gears, differential gears and service parts. The company supplies the country’s largest service parts distrib­utors with its products.

With local industrial institutions operating at full capacity practically and with a spirit of optimism pervading the industrial atmosphere al­most everywhere, manufacturers and others engaged in the business of pro­duction in Muncie are looking forward t othe [sic] to the best season they ever have experienced. Business is on the upward trend, trade conditions are regular and most all signs are healthful ones. Wholesale trade is holding up well, sales at present are ahead of sales the corresponding period a year ago or even two years ago, and industry gen­erally is improving at a rapid pace.

Locally it may be said without fear of contradiction that productions is far ahead of last year, factories operating close to capacity, and much improvement is noted in building lines, Most lines show a marked tendency for the better, there has been no falling down of values and none is expected.

Hopes For Good Year.

Muncie manufacturers began the new year with high aspirations and high hopes that 1926 would be the best year in their history and, according to statements made Wednesday by heads of the various institutions in the city, they are not going to be disappointed.

There is food for thought in a state­ment made Tuesday night by John N. Van der Vries, of Chicago, in an address at the All Muncie Council Forum that ten years ago America’s foreign trade was but four billions of dollars. Today our foreign trade is Eight and a half billions of dollars, an increase each year of two and one-half billions. That, said Mr. Van der Vries, is an indication of growing prosperity in the United States.

Agricultural Situation.

Not only are the manufacturers op­timistic and looking forward to a rec­ord-breaking year, but agriculturists are also predicting the best season in many years. Unless spring frosts are late and do damage to the trees, the fruit crop will be unusually heavy this year. Farmers say wheat has an excellent stand and they are confi­dent that other crops will be equally as productive.

Labor is perhaps more generally employed in Muncie than in some other parts of the country and indus­trial conditions here are good. Most all manufacturers are content to accept the views of Roger W. Babson as authentic. In the most recent "Babsonchart," the statement is made that Indiana, south and west of Elk­hart, is leading the nation industrially. That is true in Muncie.

Following are expressions from many of Muncie's manufacturers:

F. Arthur Ball, assistant treasurer Ball Bros. — We are looking forward to one of the largest years in the his­tory of Ball Bros. Company. Business conditions are getting better. The fruit crop is expected to be larger 'this year than in recent years.

Phillip W. McAbee, president Hemingray Glass Co. The outlook for the coming season is excellent. Produc­tion has increased and is expected to continue. Plans for extension of the company are now being made. The present season is very satisfactory.

C. W. Tesch, superintendent, Re­public Iron and Steel Co. — Business conditions for the next few months look good. Production has increased fifteen per cent since the latter part of 1925. Improvements and additions to the plant are being made con­stantly and we are looking forward to increased business and production.

George M. Spencer, president, American Lawn Mower Company — Spring business will be better this year than last. This season condi­tions are better than htey [sic] they have ever been and we expect a heavy fall trade. Generally the outlook is bet­ter than usual.

Charles A. Giebel, general manager of the Hinde-Dauche Paper Company — Business at present is good, and I may be able to say even more than that later. Indications are that our situation this spring will be better than for some years. We are oper­ating now with both day and night shifts and all employes have plenty of work to occupy them."

David. O. Thomas, general man­ager Muncie Products — We are oper­ating full time days, and some at night, although it has always been our effort to reduce the night labor to a minimum. Work is plnetiful [sic] plentiful and indications are that it will be even more so in the future. Spring pros­pects are good and even at present we have enough work for several months. We are employing approx­imately 1,100 persons.

Officers of the Glascock Manufac­turing Company, notably Ray John­son, vice-president and C. A. Frick, general manager, were out of the city Wednesday, but C. R. Amburn, speaking for them, said that the in­stitution is working overtime to sup­ply orders. "We have enough orders to occupy us until late in the sum­mer," he said, "and anticipate that our spring business will be even better."

Similar to the situation at the Glascock Company, officers of the Remy Electric Company were out of the city. However, the Remy plant compares well with the others in its present work and its prospects for the spring. Approximately 500 persons are employed at the plant, the ma­jority of them during the day. Over­time work is frequent and like the other industrial institutions, orders are plentiful.

W. A. Spurgeon, president Muncie Gear Works — Business in increasing steadily. Prospects for the year, indicated by the increased orders in the past. 30 to 60 days, are very en­couraging. There will not, necessar­ily, be any additions made to the plant, although new equipment will soon be purchased. If the present increase continues our plant will de­mand an increase of men by summer when business will be at the peak.

"Our business is as good as usual." E. F. Kitselman, secretary of the Kitselman Brothers Steel and Wire Company, said Wednesday. "We al­ways run full time, both day and night shift and will continue to do so. Our Spring prospects are excel­lent. At present approximately 800 persons are employed in our plant."

R. L. Denniss, Indiana Bridge Company — We cannot yet tell as to prospects for business, for the season does not open until late in March and then it pick up slowly. However, from present indications it looks as though it will be good.

Joseph Broderick, general manager Broderick Boiler Company — We think business will be very steady for the spring and summer.

By N. L. Wernet, general manager, Muncie Boiler and Sheet Iron — "Good. Our business depends upon local conditions for we do special order work for manufacturers. When they run we run, when they are down then we are down."