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Lethbridge Herald Newspaper Archives

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Lethbridge Herald (Newspaper) - January 23, 1971, Lethbridge, Alberta Thompson: Ottawa made wrong move RED DEER (CP) - The government deliberately caused unemployment when it took the wrong approach to the Shoe firm folds TORONTO (CP) - Anthony Carrier, secretary-treasurer of J. D. Carrier Shoe Co. Ltd., said today fierce foreign competition has forced the company to close its wholly-owned subsidiary, Evangeline Shoe Co. Ltd. in Pe-netanguishene, Ont. Mr. Carrier said a "phasing out" process, was started late in 1970 when about 120 workers, mostly female, were employed in the plant which produces women's shoes for a Canadian market. "There are only about 80 employees left and we expect that most of them will be gone within eight weeks," said Mr. Carrier in an interview. "We can not keep the plant operating because it simply is not making a profit." Mr. Carrier said shoes made in such countries as Nationalist China, Italy and Spain can be imported more cheaply than they can be produced at the plant. problem, says Robert Thomp-s o n, Progressive Conservative member of parliament from Ked Deer. Mr. Thompson said the gov eminent followed the wrong pattern to beat inflation when it made money tighter, tried to get industry to follow certain guidelines, and withdrew many of its own programs. He was addressing a meeting of the Red peer Federal Progressive Conservative Association. Liam O'Brien, the party's national director, said there are three phases a party gc through after a defeat: regrouping, the formation of plans and strategies, and an ac tion phase. "We are in the action phase now." Dr. T. J. Parkinson of Red Deer was elected president of the city association. TURNED LOOSE Touching a pig on New Year's Eve is good luck in Hungary where Budapest restaurant parties sometimes turn into a wild scramble when a live pig is turned loose at midnight. IH MM** Alberta company to reduce staff PORT SASKATCHEWAN, (CP) - Seventy-eight employees will be laid off by by Sherritt Gordon Mines Ltd. during the next three months, it was announced here. The firm operates a nickel refinery and fertilizer plant in this town 15 miles northeast of Edmonton. It also manufactures blanks for Canadian coins and coins for other countries. "The layoffs will range from technicians and scientists in the research department, production engineers, draftsmen and research graduates to clerical and administrative staff and general laborers, it said in a prepared statement. "The move has been made necessary because the work- Saturday, January 23, 1971 - THE ICTHMIDO! HHtAlD - If The tax column Salesmen stories not always funny load has been less than and cipated." The employees were notified in a circulated letter. REASONS GIVEN Company president David D. Thomas said the layoffs are necessary because of a reduction of market requirement for fertilizers over the past two years, an increasing need for economy in metal production and "extremely large expenditures" on a new mine in northern Manitoba. He said the company had considered all alternatives and is determined to provide "all reasonable assistance" to employees laid off. Sherritt Gordon employs nearly 1,100 persons at its operations here and in Edmonton, Rally sustained in week Unsolved murder case reward j offers renewed CALGARY (CP) - Reward offers were renewed today for information in the unsolved 1969 murder of Chui Wai Yee. Police say $3,900 has been offered, including $1,900 from the United Chinese Community Association and $1,000 each from the city and the Yee Phong Toy Tong Society. Mr, Yee, former resident of Chinatown, died in Calgary hospital Sept. 10, 1969, after suffering severe head injuries from a beating he received the night before. H. H. Smith Ltd. Customs Broker \ LETHBRIDGlj KIN080.ATE ?tJk> 328-8141 04-424-MMy� coins Phone 344-3821 By ART JOHNSON Canadian Press Staff Writer Canadian stock markets moved higher this week, continuing an uninterrupted rally that began in the final months of 1970. The Toronto Stock Exchange's industrial index, a prime indicator of market movement, rose 1.12 points to 178.67. At the Montreal and Canadian exchanges, the composite index rose .85 to 176.26. It was the fifth consecutive advancing week. The New York Stock Exchange posted another winning week. The Dow Jones average of key industrial issues climbed 15.61 points to 861.31. Trading was brisk throughout the week on Wall Street and the New York exchange Friday posted its busiest trading session in history, with more than 21 million snares changing hands. Observers attr ibuted the strength to further reductions in interest rates early in the week by banks in the United States. A series of reductions in the prime lending rate of U.S. banks in the last two weeks has been cited as a factor in the sharp advance of markets. Prime rate is the interest charged by a bank on loans to its best customers. I Markets have shown sustained strength since mid-December of last year. For example, the Toronto Stock Exchange's industrial index has climebd almost seven points during the period. Other sectors this week showed small losses. On index at Toronto, golds Trans-Canada profit rises TORONTO (CP) - Trans-Canada PipeLines Ltd. reports profit of $19,579,000 or $1.70 share for the year ended Dec, 31 compared with $14,866,000 or $1.12 a share the previous year. In a reference to pending application for a rate adjustment, the company said its return on shareholder investment is inadequate. The company attributes this to costs beyond its control Hearing of its rate application is to begin Feb. 9 before the na itonal enerpty board. SAVE ON TAXES WHILE YOU SAVE FOR RETIREMENT The Income Tax Act gives self-employed business and professional men specific income tax savings on funds set aside for retirement. The Act permits up to 20% of annual earnings ($2500 maximum) to be deducted from taxable income when these funds go into a Registered Retirement Savings Plan. If you are already participating in a Registered Pension Plan when you work it still may be possible to obtain tax concessions on additional retirement savings. Your Manufacturers Life representative is trained to provide a high standard of Retirement Planning Service. Call him today for full information on our Registered Retirement Savings Plan-how it is designed to guarantee your financial security after retirement-and how your contributions can be deducted from taxable income. Fill out.clip and mail this coupon to me. A. "Ed" Brunner Ret. 328-7549 Supervisor "Matt" Slavich-C.I.U. Representative Ret. 327-6513 Irlc Mayoike Repretentotive Ret. 327-2851 Please send me information about tax savings on pensions for the seir-employeu. NAME. ADDRESS. CITY....... MANUFACTURERS LIFE INSURANCE COMPANY 210 Professional Bldg. Office Phone 327.5514 Uthbridfl* dropped 4.02 to 164.68, base metals .21 to 92.78 and western oils 1.11 to 198.82. Volume was 12.22 million shares, down from 13.56 million last week. At the Montreal and Canadian exchanges, combined volume was 7.24 million shares, compared with 6.96 million last week. Gains outnumbered losses 209 to 160 with 117 issues unchanged. Gerhart new house leader CALGARY (CP) - Attorney-General Edgar Gerhart will become government house leader when the Alberta Legislature opens Feb. 11, a spokesman for Premier Harry Strom said here. Mr. Gerhart will succeed Municipal Affairs Minister Fred Colborne. The change was made, the spokesman said, because Mr, Colborne's work has increased and the minister will be devoting some time to Indian affairs, a responsibility he held for many years under former Premier E. C. Manning. Bond prices Supplied by Doherty Hoadhouse and McCualg Bros. OOVHNMIN1 Or CANADA lONDt Cm. Net, 6 % 4V4% 5%% 8 % 4%% Perp, 8 % 6%% 7%% 5V*% OOVIRNMINT O* CANADA OUARANfllD SONDS �M Asked *71 99.75 100.50 '72 98.55 99.35 '75 99.28 100.75 '78 107.50 109.00 '83 84.00 85.50 15 42.75 45.25 '86 99.25 101.25 '75 103.00 104.00 '75 106.00 107.00 '92 87.50 89.00 Apr. Sept. Oct. Jly. Sept. 3% Sept. Oct. 1, Apr. Jul. Sept. 1 1, 1, 1, 1, 1, 1, 1, By I. H. ASPER Not all stories about travelling salesmen are funny. One that was heard recently by the tax appeal board makes one wince with pain, and more important, points up an area of the tax law which requires surgery. As well, it should serve as ample warning to employers and their commission - earning employees that the way in] which they make their financial arrangements will have a major tax impact on the commissioned salesman. In the case in question, the salesman worked exclusively for a pen and office supply company. He was paid strictly on a commission basis and was given an expense allowance to cover certain expenses. The salesman had no other clients whom he represented. His tax problem arose from the fact that his actual out-of-pocket expenses in travelling and promoting business exceeded by several thousand dollars each year the amount of his expense allowance from the company. I He was obviously a salesman of the switched-on type, who aggressively pursued his career. For example, he equipped an office in his home, where he frequently worked, and set up a 30 foot trailer with photographic and other equipment. As well, he apparently had his car equipped so that it could haul the trailer over the British Columbia mountains. His territory took him throughout the Pacific and Western areas. The trailer was used as a showroom as well as an office from which he conducted his sales meetings while on the road. At one point in his test* mony regarding the business necessity of the trailer he volunteered: "I could give you hundreds of names of dealers who had appointments in my trailer while it wss parked in downtown parking tote in Vancouver, the Okanagan, Edmonton and other places." In his work as a travelling salesman he covered about 25,-000 miles per year hauling the trailer to such northern places as Dawson Creek, Yukon. Although there were discrepancies in the amount of expense he actually incurred, that wasn't the real issue before the tax court. He claimed to be a self - employed salesman and therefore entitled to deduct from his annual income all expenses he reasonably incurred in earning that income. Thus, he deducted the trailer expense, depreciation, and so on, in reporting his income. The tax department disagreed, saying that he was not self-employed, but was really a full-time employee of the pen company. Under tax law, that changes things, for some unknown reason. The law does provide that a commissioned employee can deduct his expenses only under certain very limited circumstances. He must be required, under his employment arrangement, to pay his own expenses and cannot receive any allowance from his employer for total or partial reimbursement for his out-of-pocket expenses. The first question W. 0. Davis, Q.C. of the tax appeal board had to determine was whether the salesman was an employee or was he self-employed. His job was made more difficult because the taxpayer was seriously ill and did not attend the hearing. The salesman submitted that he was self-employed and that all extra expenses were laid out to earn his income and he resented the tax office's denial "It is the most frustrating thing I have ever had to contend with, to be told by someone 3, 000 miles away that none of the things I have done were done for the purpose of increasing business," Nevertheless, Mr. Davis ruled that the taxpayer was not self-employed but rather was employed as a commissioned salesman by the compan;-. That being the case, since he had received a partial expense account, the law Copper prices sliced TORONTO (CP) - Hudson Bay Mining and Smelting Co. Ltd. and Noranda Mines Ltd. announced reductions in copper prices Friday, following a simi Iar cut Thursday by International Nickel Co. of Canada Ltd. The price for refined copper goes to 51 cents a pound from 53.75. It was the third round of price reductions since October and follows price cuts earlier this week by United States compa nies. The new Canadian price is equivalent to the new U.S. price of 50% cents. prohibited him from deducting any expenses he suffered over and above the expense allowance. There are several lessons to be learned from this situation. First, salesmen who spend more than their expense allowances in promoting business, will improve their tax positions by making certain they enter into contractual arrangements with the companies they serve, so that they can qualify as self-employed. Under those circumstances they might even be able to incorporate themselves and gain other tax benefits. But most important, the case raises doubts about the fairness of the law. It has been long argued that the expenses incurred by employed people in earning their livings should be deductible to the same extent that the self-employed are entitled to deduct their out-of-pocket expenses. The government tax reform package makes - some major gestures in this area but the improvement is not sufficiently broad to cover situations like this taxpayer's. (Mr. Asper Is a Winnipeg lawyer) EXPORTS PLANNED Formosa hopes to export nearly 26.7 million cases of bananas during the first seven months of 1971. HYDRONICS SALES REPRESENTATIVE Required for growing Wetfern Canadian Manufacturer and Distributor. Territory: Southern Alberta - based in Calgary. Technical and/or sales experience in hydronics preferred. Reply in confidence to: Box 43, The Lerhbridge Herald GrOSSWOrd - hr VWm Lntwtniak EAT, DRINK, AND BE MERRY ACROSS t Inquietude. 43 Literary 7 Egyptian works. beetle. 46 "Survivor 13 Falling out. takes all" 17 Disapprov- deal. ing sound. 48 Unusual. 20 Sizing coat 49 Like a cer- 21 Charm. tain solid. 22 Tops. 50 On to. 23 Carried. 52 Pied- 24 76-A. time. 53 76-A. time. 26 76-A. time. 55 Misdo. 28 Power 56 European source. quart. 29 Consumer. 57 Quaff*. 31 Contami- 58 Hard to hold. nates. 69 Service- 32 Hawaiian woman. goose. 60 Words of 36 - poetica. ken. 37 Has not. 61 Tours' river. 39 Sports 62 French city. competition. 64 Thwacks. 40 Opposed: 66 Midi season. colloq. 67 76-A. time. 41 Creeper. 69 Frying pans. 42 Arctic 70 Bon-bon. sights. 72 Furtherance. 73 Silvery flV 74 Belles - 76 Collation. 80 Mayday's cousin. 83 Different ones. 84 Menu. 85 Campus figures. 86 Great extent. 87 8ound of mirth. 88 Hourglass feature. 89 Marsh birds. 90 Sneezy's confrere. 92 76-A. time. 96 Greek letters. 97 Electrical unit. 98 African plants, 99 Ballet Jetei. 101 Gulf. 103 Hits hard. 104 Palm leaf. 105 Pa. port. 106 Ruth. 107- Dame. 108 Spanish article. 109 Ivan IV. 110 L.A. suburb. 113"-solt qui n 114 Memorial of a sort. 117 76-A. time, In Soho. 119 76-A. time. 126 - green. 91 Gl mail drop. 127 Congo river. 128 French atar. 129 Mutlcal direction. 130 Turf. 131 Pilot's needs. 132 More thoroughly. 133 Overstress. 1 2 9 �  20 2* DOWN MOVINCIAl Ontario 7 % OntHyd 9 % Alberta 8'/8% ManHyd9 % Sask 7Vt% Man Tel 8 % '88 99.50 101.00 '94 114.75 116.25 '90 111.75 '90 110.75 '88 98.75 '74 103.75 iNDUtraiAi Abitibi VA% Abitibi 9%% Alta Gas W,� B. C. Tel 9>/8% Bell Cdn 9 % CP. Sec 9te''� CP. Rail 8Vi% Gulf Cdn 8Vi% Hud B A 9Vfe% Imp Oil 8%% Int Nick 9lA% Indust Ac m% Labatt 9>/4% Massey F 9%% Noranda m?� North C Vk% Roynat 9V&% Simpsons 9V2% Sears A 9V4% Traders Wzr/� '87 84.75 87.25 '90 103.75 106.25 '90 108.75 109.25 '90 105.75 108.25 '89 106.75 109.25 '90 102.75 105.25 '89 102.75 106.25 '89 103.75 106.25 '89 104.75 107.25 '89 103.75 '90 107.75 110.25 '92 104.75 107.25 '90 105.75 108.25 '80 101.75 103.25 '90 106.75 109.25 '91 103.75 106.25 *78 104.75 '89 103.25 '90 104.75 107.25 '90 100.75 103.25 CONVftTIBtIS Acklands 7Vi% Alta G Tr 7Vfe% Cons Gas 5Vz% Dynasty 7 % Scur Rain 7'/4' Tr Cdn P 5 % W C Tr C 5%% '88 80.75 86.25 '90 119.75 125.35 '89 92.75 97.25 '87 64.75 75.25 '88 90.75 96.25 '89 91.75 96.25 '88 108.25 110.75 POPULATION COUNT Peru has about 12,772,000 inhabitants. 1 River of 18 In - 45 Tray. Wales. (rout- 47 Kind of 2 Teachers' Inlzed). verb: abbr. org. 19 Personal 48 Part of a 3 "So few'.' of pronoun. ream. fame. 23 -Sea. 49 Alabama 4 Santa's 25 Card. Indian. helper. 27 Cut of meat. 51 One of the 6 Do a farm 30 Peter and media. chore. Paul: abbr 53 English 6 Card. 32 Actress satirist. 7 Earnings. Wood. 54 Lugosi. 8 Seafood. 33 Conceited 57 Divans. 9 Choir one. 59 Extensive, member. 34 76-A. time. 61 Theater 10 Country: 35 Diner's sections. Lat. delight. 62 C'eit-. 11 Kind of 37 Garden 63 Advice, of lamp. nuisanee. yore. 12 Require 38 District. 64 Fishes, food. 39 Attractive. in a way. 13 Admen's 41 Chemical 65 Popular goal. ending. garnish. 14 For: Fr. 42 Absorber 67 Money: 15- Arbor. shocks. abbr. 16 Structural. 43 People. 68 Coarse . 17 Favor. 44 76-A. Affairs. fabric. 69 Diffuse*. 71 Great Barrier Reef Island. 73 Traduee. 74 Hindu caste. 75 Storehouses. 76 Carries on 77 Wagnerian role. 78 Reporter's feate. 79 Hawk-headed god. 81 Micro-, Mela-and Polynesia. 82 Legal pettifogger. 84 Crusted. 86 Small fry. 88 Tally. 86 Embarrass. 90 Patriotic org. . 92 Aircraft framework. 92 99 9* 95 IB * 81 86 60 66 93 Frankincense. 94 Inauspicious. 95 Father of Gonerll. 96 Parrot 100 Deadly tin. 102 Supra. 103 Family member. 104 Kind of catapult 107 Pries. 108 Useful. 110 Swans. 111 Melange. 112 Pinochle - term. 113 Further. 114 Inconspicuous person. 115 Where the Sevier flows- 116 This: 8p. 118 Red or Black -s 120 Inhabitant: suff. 121 Forest creature. 122 Uncle of Saul. 123 Else, unit 124 Navy man: abbr. 125 - TIM. Diagramless 21 x 21 by Janet C. Flory 44 FBI's most It ACROSS society's least. 1 Tramp. 25 20-A's 45 Clan SThay eth. eternity. leaders.' 9 Spoke, 26 Sizzle. 48 Word of perhaps? 27 Hole-in-onev mouth. 11 The Bruce. 28 Meadow. 49 Propels a 13 Cousins of 29 Haill boat. fondues: var. 30 Now. 60 Informally. 15 Shopping 33 Rainbows. 53 Egyptian district. 35 More talisman. 17 Confront. pleasant 55 Craft. 18- d'esprlt. 37 Regimen. 56 Sicken. 19 Employ. 38 Scottish 59 "The Secret 20 Bard. hillside. -" (Conrad) 22 Medium of 40 Garnishes. 60 Offbeat 20-A. 42 Princess's religion. 23 Heidi'f bane. 62 "As Main* home. 43 Dormant 84 Gaze fixedly. 65 Lake. 67 Perform (legally?) 69 Take up spear and shield. 70 "Now We Are -" (Milne). 71 Con's traditional foe. 72 Civil War Johnny. 73 Home of 42-A. 76 Bag. 78 Type of 65-A. 79Avalon, e.g. 81 Regret. 82MGM announcer. 83 More beautiful than  poem. 84 Academy for clergymen. 87 State of tranquillity. , 90 Tendons. 91 TV game. 92 Gown's traditional foe. 93 Troubled campus. DOWN 1 Mad Marcher. 2 Poem. 3 Small apron. 4 Ghost-writer? 5 Become cloudy. 6 - Saud. 7 Matched collection. 8 Bolster. 9 Scored. 10 Latin star. 11 Got up (ftorally?) 12 Hypocritical. 13 III will. 14 Out of this world. 17 Official sanction. 21 Opening closer: var. 24 Take back your rumba, leave my this alone! 31 Light brew. 32 Resistor of negation. 34 Goes well with sound 15 Goober and filbert. 15 Still to com*. 36 Cover with 16 Inspirits. frosting. 39 Easy. 40 "Je ne - quoi." 41 - Hathaway. 44 On guard. 45 Plagiarize. 46 Prince -. 47 Rhythmic clapping, in India. 48 Tentmaker. 50 Price of passage. 51 Metric measure. 52 Lily. 53 Wreck. 54 Sedsn. 66 Era. 57 Apollo's charged son. 58 Cooperative method of progression. 59 Emphasize. 61 Tribulations. 63 Protect, or weed out 64 Indian costume. 66 Outdo. 68 Sound' quality. 73 Shrimp. 74 Yours and mine. 75 Ottoman official. 77 Eastman'* Invention., 80 Give off. 83 Hue. 85 Cadmus' daughter/ 86 Thing not found under the sun. 88 Consumed. 89 Bronze Agt necessity. CRYPTOGRAMS SOLUTIONS or LAST WEEK'S PUZZLES aim aaanac uvnml timara annnnio ooooi nnarara srarararan qeee Hrararania ranm nrannn oara anion Hrann HnnftH nnnnnnnrR nramnnnta nnnnira nrcn mnnrani mnnran nnn ncjnnra mnnHR ijugeg rnrln ranraraR Hnnnc nrara ranmrara nnnnnBR ranianirjnara gmuhu awjcia aaa auisuuia (19311 u(u!!lUll�lUI uuuul3 nniTi niq^mi nana muQiuaa uuaa hdue EuiiiaEiLi] nrammnn rannraninnnn rcrrrrr nnnrana rannnrcnnnn cni?nnn nran raaci rmhrr ouei? nni? ararnnj una rarara uuddis uerc nranuara tnniarara hheec intuit uauaumiD uidwo uuuii wr.ui rarararaB hheclie isutwuii ramran raran nranran hcheehcg nnnnnnn rehii-ih eccde hoe nrannnn omnnn RPiumn Knnr nnn rararannnnnnisi? r?rc nrann nrnnnra mnnnc nnnmcm mnn nnnno nnrcnrc rrnmr/iic UUUULJU idULlliiLlEi UUtlUK liillU HUIIBB UL'lllili DQKD UUC1UU UUU I3LJE liUUli ?110 HUUL) IJUttUi; UL'li UliL mauuuta maim aiabiu mauuuts I.'DVNT" TRUST WAGS EDEREHOT CW DC ART. UHTR, NUTR, TGMRV. RAMU GA WHOTU7 . -By Archibald V. McLce* 2. XPED TZIC SPQECNOCLAZAU BLUE CAT ZA LMSZAU BPZADE LAT EPIC XQENOCE. - By Myrtle W. Cushma*' Last Week's Cryptograms 1. Careful patient quietly queued up first in line for some daily medicine. 2. Melancholy Dane: Dour mangy mutt, lona on fleas and short of scratch. ' > Field Enterprise*, luc, 1971 ;