Agents: Owners to appoint and pay agents at loading port; receivers' agents to be employed at discharging port/s. Stevedores: Owners to employ charterers' stevedores at loading port at not exceeding current rates. Receivers' stevedores to be employed at discharging port/s. Cargo to be discharged free of expense to the vessel. If two discharging ports used, charterers to pay not exceeding 50 cents per ton of 2,240 pounds, extra on entire cargo and second discharge port option one or two safe berths, also required. Loading range declarable by charterers on passing Malta westbound for any vessels coming from the Mediterranean. Otherwise loading range declarable 48 hours after passing lands' end. Loading port declarable 5 days prior to vessel's expected readiness at loading port. If two discharging ports used, vessel to be left in seaworthy trim to master's satisfaction to safely shift between discharging ports. At discharge port time counting from 1 p.m. if notice of readiness to discharge is given before noon and at 8 a.m. next working day if notice given during office hours after noon, whether in berth or not. In discharge, days before Sundays and holidays to count as three-quarters of a day. Also on Mondays and days after holidays time not to count until 8 a.m. unless used, but if used actual time used to count as laytime. If, owing to congestion, no berth is available at time of vessel's arrival at or off the port of destination, whether in free pratique or not, time to commence to count from 1,300 hours if notice of arrival is given at or before noon of the same day and from 8 a.m. of the following day if notice given after noon, but Sundays, official and local holidays and Saturday, and time until 8 a.m. on Mondays and days following a holiday, not to count unless vessel is on demurrage and time from declaration by receivers that the berth is available until vessel's arrival in the berth not to count. If two discharge ports are used, time at second port of discharge to commence next working period after arrival, whether in berth or not. At each port of discharge, vessel to proceed at her own expense and at her time to one or two berths at receivers' option, time used in shifting to count as laytime. Lighterage and/or lightening, if any at port or ports of discharge, to be for receivers' risk and expense and time used to count as laytime. Fitting, loading, and trimming for account of the vessel. Any bags and/or bagging required for safe stowage is for account of the vessel. Time used in bagging not to count as laytime. Opening of bags at port of discharge shall be for account of the vessel and time used not to count as laytime. Deep tanks: Wheat may only be loaded in deep tanks provided same clean and passed and freely accessible for grab discharge. Vessel to furnish free of risk and expense to the receivers, winches, gins, falls, and slings at all hatches, as on board, and power at any times when required. Vessel is to supply sufficient lights for nightwork on deck and in the holds if required. Any time lost through breakdown of winches not to count as lay time Initial opening and final closing of hatches at loading and discharging port is for account of the vessel. Overtime is for account of party ordering same Officers and crew overtime always for account of the vessel. At discharging ports any assessments, including dues and taxes against the cargo shall not be for account of the vessel. The dismantling of grain fetings for the safe and proper discharge of the cargo to be for account of the vessel, also rerection of the strings if required by vessel, to be for vessel's account. Any tankers employed shall guarantee to be able to discharge at not less than 1.500 metric tons at Back Sew ports and now low than 1000 metric tons at Nakhodka with own equipment. Tessel to be responsible for the maintenance and operation of vacu-vators and pipes i posetion at shore 3ber to be for receiver's account. Receivers, however, shall be required to accept delivery 2 excess of the above daily amount without their consent All customary loading and discharging tasker terms are to be considered contained herein, including contaminati PREVIOUS TURIN AL Documentation: Separate instructions to be issued by charterers regarding necessary manifests, bills of lading, etc. Necessary wireless clauses to be separately advised owners of any vessels chartered. Any extra insurance on cargo owing to vessel's age, flag, or ownership to be for account of owners and deductible from freight. The following protective clauses to apply: Gencon ice clause (port of discharge); amended "Centrocon" strike clause; Chamber of Shipping war-risk clauses Nos. 1 and 2; P. & I. banker clause; New York Produce Exchange arbitration clause; U.S.A. clause paramount; general average settlement in New York and in accordance with York-Antwerp rules, 1950. Brokerage: 14 percent to exporter's broker, if used; 14 percent to owner's broker, if used. Any conditions not specifically referred to herein are otherwise to be in accordance with the Baltimore form C charter party. All offers must be submitted in writing, either by letter, telegram, or teletype. Offers are to be made to: Charterers reserve the right to reject any offers received within the prescribed time and not made in writing as above. Before publishing that we had various conferences and several conferences with both shipowners and their representatives, also Continental Grain Co. representatives, and we took into account what thev had to say on many matters. We did not agree entirely with either Continental Grain Co. or the shipowners. I think we have had a full explanation of these terms, and conditions in our appearance before Mr. Bonner, last week. On last Thursday, 1 week from today, we received in our office on Thursday afternoon, an application from Continental Grain Co. for a waiver on 281,000 long tons. We could not, of course, make a decision that day as to whether the application was in order and whether we should post a notice. We did, however, review all the files we had, all the information we had and it appeared to us that the application was in sufficient order for us to proceed to process it. Accordingly, on last Friday we issued a notice of this waiver application following our published procedure. That is the same procedure concerning which we have just put into the records these many laudatory comments for which I was and still am very grateful. But in accordance with that procedure, we published this notice under which the Maritime Administration would, in effect, solicit for another 5 days. Incidentally, Continental Grain Co. had solicited their own requirements before applying for a waiver considerably more than the 5 days specified in our published procedures. We had some difficulties about their precise terms and conditions, but I think we were pretty well straightened away on that by January 17. I mention that date as also being the date on which Continental Grain Co. put out a revised tender complying with the terms and conditions on which we had passed some judgment. This notice went out last Friday. We posted in accordance with our procedures, and asked that we hear from shipowners by the close of business Wednesday or by 5 p.m., that was yesterday. As I stated, when Continental Grain Co. filed their application they showed they had obtained a total of 213,000 long tons covered by American shipping. They applied for a waiver for 281,000 long tons. Our situation is now this: After the close of business last evening, and after we had worked several hours again into the evening as we have been doing for some weeks, we came to the conclusion and, I be lieve, there is no difference of view with Continental Grain Co. that there is available an additional 98,900 tons of American-flag shipping making a total at this point of 311,900 long tons. That is now booked. I will now read the ships and the tonnage. At the time of the application, the following named ships were booked, or rather the following ships and companies: Niagara, 16,000 tons. American Export Lines (three parcels), that is a total of 15,500 long tons. The Chilore for 22,000 long tons. The Columbia for 21,000. The Ocean Ulla for 30,000. Sister Katingo, for 30,000. The Washington Trader, 15,500. That brings us to a total of 213,000. The fixtures made after January 31, from the Pacific Northwest to Nakkodka, none. U.S. Gulf Black Sea; U.S. Gulf to the North Atlantic to the Black Sea, these are the ones fixed within the last 5 days. The Ocean Anna, 29,000. Trans-Orleans, 15,706, Thanserie, 15,700, Smith Builder, 10,000, Maryland Trader, 18,500, This gives us a total of 98,900, and a grand total fixed, 311,900. Today, this morning, we have in issue the following ships and indicated tonnage. That is to say, the owners have offered these ships and they have not been accepted by Continental. We have the claim or the position of the owner that these ships should be accepted and the position of Continental Grain Co. that they should not. During the next several minutes, or however long it might take. I want to take up each of these offers from shipowners and I would like to hear from both Continental Grain Ca, and the shipowners as we proceed to them. If you gentlemen don't mind, we would like for this table over here to be available to the shipowners and this one over here for the representatives of the Continental Grain Ca so the recorder will not have difficulty hearing what is said. The following is the tonnage which we specifically want to deal with this morning Our purpose is to get the facts. We want to hear what each side has to se, gue the polite, and if it is stack that we can do so I am going to indicate my tentative conclusion, after we hear from each one as to whether the ship should have her serval The Marine 1370 Those are there tetiers des de Popez Carers. and the other by U.S. Suppe Cleres The next ship is Penn Carrier, a T-2 tanker, 15,700 from the Penn Trans Co. The next, National Defender, 50,000 tons, from the National Transport Co. The Trans Bay, 15,700, And the Trans Hartford, 15,700 from Hudson Water Ways. The Montpelier Victory, that is a substitute for the Mount Washington, a 47,000-ton tanker operated by Victory Carriers but offered for 36,500. That is a total of-I will have my total of that in a minute-it all comes, if you add that total to the 311,900 definitely fixed, it comes now to 475,000 plus, if I am not mistaken. Mr. MARTIN I. GOODMAN (Chief, Office of Ship Operations, Maritime Administration). Let me total that for you. Mr. GILES. All right. Last evening, Captain Goodman and his staff worked over all these figures and information and attempted to call each of the owners or companies involved with the ships to ask again if they could be here today at this meeting and I believe we also sent a confirming wire to that. I think in most instances, our present indication is that they would be here or would probably be represented here. What is the total? Mr. GOODMAN. The total of the amount for the purpose of description, I will say is in issue, not as being settled, is 155,000 tons. That makes a grand total of―add that 311,900—that makes a grand total of 466,900. Mr. GILES. That is our quick table here of those tonnages. If it is not strictly correct, we will correct it. The point I want to make is that as of this moment without proceeding any further there is in the neighborhood of 30,000 tons which is not covered in any way with no offer whatsoever. So whatever that precise figure is as of this moment, to the best of our knowledge and records and information, Continental Grain Co. will be entitled to a waiver for at least that much, that is, 30,000 tons, and I want any shipowners or their representatives here to be focusing on that point. You will have full opportunity to bring forward anything later if you have some disagreement with that. First we would like to consider the Elemir and the Marine. I believe Mr. Henry Dowd is the owner of those vessels. Is Mr. Dowd or his representative present? FROM THE FLOOR. Mr. Dowd is expected here. Could we put that -off until a little later? Mr. GILES. We will put that at the end of our agenda of our specific ships. The Penn Carrier, Mr. Oberschall was invited. Is Mr. Oberschall here? Mr. OBERSCHALL. Yes, I am here. Mr. GILES. All right, would you come forward, please? Gentleman, I hate to disturb you from your table, but if you could take chairs, we could get along. Now, gentlemen and lady, we are now considering the vessel, Penn Carrier, which is a T-2 tanker, owned by the Penn Trans Co., 15,700 tons, I believe. We are happy to have Mr. Oberschall and we would like, please, if you would simply state the facts of your offer as you understand them. After you have stated your views, we would then like to hear from Continental Grain Co. STATEMENT OF VICTOR OBERSCHALL, JR., EXECUTIVE VICE PRESIDENT, PENN SHIPPING CO., INC. Mr. OBERSCHALL. I offered a ship yesterday afternoon within the tender terms, issued by-the latest tender terms-issued by your office, with one exception to the terms and that is I offered a vessel in a safe port from the U.S. gulf on without giving options. Mr. GILES. What was the tender term on that precise point? Was in_gulf/North Atlantic? Mr. OBERSCHALL. Gulf, North Atlantic Mr. GILES. With the option of Continental? Mr. OBERSCHALL. With option. For reasons of my own, I thought I could not economically offer my ship at the rate set by the Maritime in the North Atlantic and I offered only from the U.S. gulf. Otherwise, I believe on my terms, in accordance with the desired terms-isn't that right, Mr. Glosky? Mr. GuLES. May I ask a question before they respond? Could you please tell us what your situation is that you felt you could not fully meet the tender terms, that is, gulf of North Atlantic? Mr. OBERSCHALL. I made some arrangements to put this ship in a shipyard not in the North Atlantic. My ship is presently discharging in New York and is going to sail tonight or tomorrow morning to a shipyard in Savannah or Jacksonville. I also feel it is practically impossible to economically clean a ship without having the 5 or 6 days it takes to go into the US. gulf. That is why I offered from the US. gulf on and it is my feeling that in the 1 million tons of grain being moved. Continental Grain Co. already has the option of loading a large number of ships for U.S. gulf and North Atlantic. It is certainly not a hardship on them to ship 10.700 at 5 pervent, in the US. gulf. For me, it would not be feasible to go on to the North Atlantic, therefore, I only offer the US gulf. Mr. Guss. Would you please state the date on which you offered! What precise date! Mr. OBERSONAL. Yesterday afternoon. Mr. Guas. Not the dates for loading Mr. ORENSON. 1 offered yesteriar a split date. February or March, but I was informed by Mr. Goodman that that is not the way it should be so I offered them the last half of February or the first ha't of March. That is one thing I would-if it is desired for the first half of March, it would take that long to preur de nov Mr. Gues. You could not provide the ship for the last half of February! Mr. OBERSCHall. It would&ed fuk Foteniar, to show I had done my best, I offered for dort and it water PAR Mr. Gurs. To be clear on it, che render of Overs) CR7 TE gulf or North Atlantic at the on terlewa' and rear ofer wis for gulf only and that is the oxy part yat ber slut # |