ae soo | _ Page 2. The Herald, Wednesday; June 22, 1963... i _ whe oh " ‘ he " Published every weekday at “AbD Kalur 1 sivacil _ Terrace,.8.C, .by Sterling . Publishers *Lid:) - i ' Authorized” as. vine, ma Recletration Sport “Keith, Alford _,Don Schatter: Recéption-Classified: ‘ Coroiva Gipson NOTICE OF COPYRIGHT. ; The Herald retains full. complete and sole copyright - ' Sue Nelson In any-advertisemant produced and-or any edifortal:. - or photographic content publishad In the Harald, Reproduction Is not permitted without the written” permission of the Publisher. / ; - Inflation falls. ‘Summer was ushered in with the best economic er Canadians have had in months. Tuesday — inflation { its lowest level in 11 years and recovery has been confirmed. : by strong economic growth in the firat quarter of the year: ; Statistics Canada reported that inflation in May tumbled |: to an annual rate of 5.4 per cent from 6.6 per cent In April. Po It’s the lowest rate since December, 1972, when it was $4050: ° " percent, and coritinues the decline in inflation that begaa in. June last year. The. federal agency also reported that - _groga national a product: -~ the broadest measure of economic health —...-*: increased at an inflation-adjusted annual rate of 7.2-per’ ~~ cent during the quarter, confirming recovery is under way. Further, the atest GNP figures indicate the economy is. expanding more rapidly than expected and could lead to faster-than-anticipated ‘reduction in. ‘unemployment, sald Finance Minister Marc Lalonde. The unemployment rate in “May was 12.4 per cent or 1. 5° . million people, down slightly from record levels set earlier, time.,. coe GOING IT ALONE wo a The Quebec government rejected federal terms for a joint bailout of financially troubled Quebecair and sald it will do: the job itself, starting with.an injection of a further $82 7 million into the Montréal-based regional airline..." . ‘That -will bring’ the-province’s investment in. ‘Quebeca b since July, 1981, to $62.6 million, and Quebec plans to speii another $12 million a year for ab long as it takes to place the. carrier on firm footing, aaid Michel Clair, Quebec transport minister. Quebecair Fost $21 million in 1982; . The province is also assuming ownership of the airline, at. least temporarily. It has effectively controlled:the airline since making its initial $15-million investment in July, 1901, 2. to thwart a takeover bid for Quebecalr by Nordair, an Air Canada subsidiary. + Also in Montreal, the Royal Bank of Canada. ‘said it will continue to allow the financially troubled Cast container | - line to operate while the parent company is reorganized. BUSINESS AS USUAL ; "It's business as usual for Cast, a Royal Bank spokesman ~ said. The bank will continue to support Cast operations on both sides of the Atlantic, he added. . Two partners of Touche ‘Ross and Co. have been appointed as receivers “to facilitate the continued support - and implement essential restructuring of the business operations of Eurocanadian (Shipholdings Lid.)," ‘the Bermudian parent % ‘company of Cast. Talks broke down last week between Canadian National Railways and Frank Narby, Eurecanadian’s major’ shareholder, on a bailout of the parent company. in which.” the railway also-has an-16-per-cent interest. ‘The federal cabinet had authorized the railway‘ to negotiate a deal whereby it would have become 75-per-cent -owner of Cast itself with the bank holding the other 25.per cent. The deal would have seen the railway assume Cast’s outstanding debts, reported to be in the $50-million range. - In other business news: ~~ The chairman of Massey-Ferguson Led: anid the company. had to'learn, sonie tough economic lessons in”. recent years but facing those problems before anyone else has helped it survive. Victor Rice said that in Regina the — ‘ early and mid-1970s were boom’ times in the farm equipment. manufacturing field, but since about 1976 the | market has consistently dropped with sales declining each year, It has turned out to be a blessing that the company has - had several years of dealing with a situation that’s new to , most other manufacturers, — In British Columbia, West Kootenay Power and Light °. Co. reached a tentative agreement-with the International Brotherhood of Electrical Workers, The agreement followed the conclusion of a week-long strike at Comineo' 8: lead-zine operations in Trail and Kimberley. : “Lt want you to walk two miles a day ... and take my dog with you." phe ‘ . AB ayt care aaa Circulation: at but the rate isn’t expected to decline significantly for some. aryl OTTAWA (CP) New Deneera 3 Lea a Bs ‘abet ||. = avigorous statement of principles bara, western party, members, sources indicat . pi lp no'direct mention of Broadhent’a leadeérahip. But the stability of his: position, after bight ears. at-th helm;- depends on his response ‘to the. workers’ and New. Democrat MPs s ¢ reference Is intended to aatief ‘New w Daina whe wi Eto pull ont of NATO — the party's cu ates who want to remain: in the alllancs expresses . .the . “hope. that’ “they: ud ‘independence, ~ - : . Three. Saskatchewan NPS have peda’ ‘tattuentiat, in. heey a teal EDMONTON, (CP) — At a time when the world is crying a. “aang, WG? RWC LFEONA Ce | “Prairie farmland poisoned | out for increased food: production, millions of hectares of . Prairie farmiand are being destroyed by salt poisoning, : erosion and soil fertility loss. ‘But governments have - launched no major efforts to _ tackle the massive problem... Various studies have found that lost income from wanking“ crop yields across the Prairie provinces will: “total 96.6 oo billion during the next ‘17 years. | eer During this time, the studies say, the amount of surplus grain. Canada has for export will drop, to eight million: tonnes from 3-million tonnes. sf And the big losers ‘will be Canadian farmers: and the “*. _ world's hungry countries, = - .. Soll-apecialists say the 2.18 million "hectares of Prairie « “anid now. affected by: salt poisoning will Increase by 4,000" ‘ hectares ‘this year.’ Salination occurs when tie land gets ‘too much water and. leaves ‘concentrated «salt. deposits _ ‘duringevaporation, becoming ' worse over time. : At the same time, the studies say; wind erosion will strip © 160 million tonnes of prime topsoil from farmland in the ~ three Prairie provinces, which means many farmers are working with half the topsoil their fathers used; “Nor {s the Jand a rich‘as {t‘once was. - “A combination of factors has leached the soil's fertility © and In the 65 years éince the Prairies were first broken to the plow, nearly 50 per < cent of the original organic material has heen tort. : Bald eagles to get boost. ' SYDNEY, Ny 5. (cP) — : The Nova Scotia’ government i is the bald eagle in the United States. The bird, the proud symbol of tlie U.S., is on the brink of - extinetion | in that country’ because of environmental oisecing ‘peatleulerty the use of DDT in the 1950s and 19608, « -But U Ss. ‘blologists hope. bald: eagles from: Canada can “hep rebuild thelr population. . Four young eagles from ¢ a healthy Nova Scotia population of more than 500 will fly south later this week — in a government aircraft — as part of a program that may aid 80 birds to the known Population of two in New Jersey. Paul Nickerson of the U. . Fish and Wildlife Depertment,. 7 ~ playing matchmaker in hopes of boosting the population of m diet. el “In attempts to keep ‘their land productive, Prairie farmera poured $239 million. worth of fertilizer o on to flelds in 1982. " Sarg hothing is done, Western Canadian agriculture will be - “reduced to &- backyard operation in Jess than a generation,” ~ - Don ‘Rennie, a soll sciences professor at the: University of Saskatchewan, said in an interview.” “It would have an impact ‘on hutigry nations: It: would ” have a major impact on foreign exchange, and of course the’ farmers: would suffer.” Areport on land degradation by the federal Prairie Darm “approach to soll coservation. by any level of government. | ’ ” And no major attack is ‘being planned, said Reg Adam, - the administration’s Alberta director... ; '.. “Nothing is going to happen unless the public i is awaie of. " It:and starts to press the ‘politicians,’ ‘he sald. “About $3 ‘million a year-is granted -by the federal and provinctal governments for Prairie soil conservation, while . + in the United States, about -$680- million is: spent — $40 million in ‘Montana and ‘North Dakota alone. a ration of Agriculttire, said an action: committee is "being formed to “stimulates awareness of the problem, id and” to push for government action. “ Solt degradation Is eaey to. Ignore Decals it is nipt ‘obvious, said Adam, 7 : Darming methods that focus on immediate returns, nat Tong range soil | conservation, are to blame, he sald. damage’ can iby the. peaticide haa ‘aubsided: ta: a: ‘point - ‘where the birds how can survive In areas that only recently. were deadly to them. - oe » The pesticide resulted in females laying thin-shelled eggs ~ thaicould:tiot dlirvive incubation and gradually: killed off” ; the eagles as ‘hey wy Mipartad t the Polson’ fom fish; thelr. main vi "Nickerson said the two eagles in'New ‘Jecsey t this’ yet ~ produced their first offapring in at least geven years, ; a sign. who is co-ordinating the program-with biologists from Nova" Scotia, said Tuesday the future of the program depends on - eontinued support from Canadian officials... Nova Scotia's population in roughly one-quarter the total ‘number of bald eagles found in the continental U.S., and ‘Nickerson feels that with Canadian approval, the American population can be restored to a healthy level. : \ Bald eagles are found in most Canadian provinces, where - pay. ".Wplthbut, the birds seeing humans, for about a tnonth unl: __ (they escaped much of the devastation caused by DDT, By all indications, the Csindeinne treated thelr eagles a better than we did,” Nickerson said... ; _Sinvce the US. banned DDT it 197m the environmental ae - the area can safely support additional birds. a "He isbuoyed by the success of New York State, whi 90 eagles brought, from Canada in 1978 Produced: two | young’ “te fdict thatit hasbeen successful.” Niek ‘said at least 10 states will have programe this year to reintroduce eagles Into their territotys. ~ ie captimed birds, between slx and eight weeks old, will .. be taken ‘from nests’ containing at, feast two ‘offapring.” ; Nickerton hopes to make. the captures today, | ”". Onceé flown to New Jersey, the Birds will be pairéd off and: kept: in -hack sites, artificial nests built to allow feeding © - they van fly: "Nickerson gaid it is.a hitardanias proposition whether ithe birds will stéy in’ the area, but he eee the success. ened by N New. York will be repel _ 4 Lake MP ~~") Some of those involved in the movernent, which inéludes prominent New Democrats from the party's right. atid left * British zm ‘when Broadbent won the no eaderahip atthe “ Tesponse’ ‘to the national council ‘statement, - da Ottawa » Mast of the party’ B natlonal executive - As electes on: a ° - Rehabilitation. Administration: says there. is ‘nd: cohesive ; pet David Kirk, executive secretary. of the: Canadian’ . i Pie whit satya spurred the interest in the cg gathering-natlonal ‘aupport for the western ‘declaration: iene Nystrom, the prominent Yorkton'Melvillé MP who - "resigned his post as the party's constitution’ Gritle in’1961 over differences with Broadbent's stand; Sitlon'de Jong, _wha. represents Regina ‘East; ° and Baltlefords: Meadow Doug Anguish.. wingsin the West, say the declaration wasnot intended to be aggoclated with a: vamaller element that wants anew leader, But many of those involved-in the western declaration share the view that an Ontario clique, loyal to Broadbent, “ dominatés the federal’ party even though the province od elected only six of the party's 31 MPs," .'There + will ~ be attempts — “to get’: new ~ alates” of representatives on the national council and- the: party _ Seewutive” during the NDP ‘convention scheduled for the “ -1975 Winnipeg convention, says publicly only that i it should be welcomed as a batch of "fresh ideas.” “°°. He compared it fo another statement, from the leit wing ‘ofthe. party's’ Ontario’ wing, Which was also iaaued. a8 a : But Nystrom acknowledges that western resentraént over <. - > Broadbent's eatly support of Prime Minister Trudeau's . "_.”, “proposed amendments to the constitution in 1980 were seen’ ast aga betrayal, of regional power in favor of more centralized control. Jan Deant, a Hamilton MP now acting ag the NDP House * jeader; dlamisged the.western affair a8 an attempt to get . - public attention for the convention. “Rod Murphy,” a. Manitoba. MP representing , Churehill: ‘riding, says there ind basis for the charges that Broadbent feta Supporters: dominate the party’s national headquarters. |.” Murphy noted that Bill Knight, a former aide to Blakeney ne ‘who: now is Broadbent's principal secretary, while. Jim ./ Laxer,.@ a prominent member of the party's: “Tett-wing “waffle”. element in the early. 19705, heads CAUCUS 1 : regional basis: at the: party’ 's annual conventions,” ‘Murphy ; argued, And the CAUCUS selects its whip and ‘House leader. . ra : “Recovery expected ’ WASHINGTON (Reuter) _ The Toten Monetary | “Fund has issued its most optimistic forecast in recent-years’ . but said the huge U.S. budget deficit is threatening global economic, recovery, == The fund, in its annual world economic outlook released Tuesday, said the U.S. Kudget deficit, expected to reach about $200 billion this year, is one of the most eritical issues - faced by the global economy. “The. report, which cautiously: concluded: ‘that ‘world » economic prospects are better than for some time, was prepared by the IMF staff but isn’t necessarily endorsed by “the fund’s 146 member cointries.or. its executive board, But fund offical, who asked not to be Identified, sald the . large deficits forecast by the Reagan adminiatration “are "perhaps, the most important. issue ‘facing. ‘the global economic system,” . The: IMF staff is concerned that if US. deficits aren't ~_ pared, the demand for credit bythe U.S. government will keep interest rates high, alfecting the economic. recovery | mw taking hold in: the U.S? and other. countries..." . The report said “in the absence of additional fiscal action ° * (either increasing taxes or cutting spending), the prospect * of large federal budget deficits even’ after the ecénomy.. . . emerges from the current recession, does nat augur well for | an ‘enduring expansion of economic activity." : . “Such deficits and the attendant increase In government debt would tend to pre-empt savings and keep real interest - rates high, .with adverse effects on capltal formation: and: : productivity growth.’" _ While optimistic about: global: economic Irospects, the report. cautioned that “great-care will be néeded ff the recovery. that apparently started in early: 1988 is to be -, sustained and extend = ' oe algo sald the worst of the global debt crisis avptared to os over. . Growth hampered | "JASPER, Alta. (cp) — Sluggish regulatory: Processes | “have : ‘hamperéd: the’ growth of Canada’s natural: gas‘ industry and are trying the patience of the U.S. Congress, “the. Canadian Gas. Association was told Tuesday... uae Stabback, former National Enérgy Board ciairman : id now senior vice-president of the Royal Bank's global eueray ‘and minerals gtoup, told the association's annual © meeting fluctuating gas pricing and export: ‘Policies. have: Bar the eared on a roller-coaster ride, : ‘Enormous 8 and eenses of euphoria hive ‘been _Swiftly -followed: by ateap downturtis, ‘Those bays ‘this “, Natural gab roller-coaster are apprehensive and hold their breath for.fear that the- ‘next turn ma: tak ff th track,” Stabback- said, en inet nae He said the-industry’s. growth ‘depen dts! ‘on tin ney Hiarkets for natural gas, -Principall rth ang * overseas, Pn ad Pe - And: while ‘Canadas’ eventually a pvt exports, of 11. 5. * tellon cuble feet of gas-in January, 1603," Stabback said” ‘actual exports to the U.S, this year have onl bo t half thelr authorized levels, ud een om MAJOR OBSTACLE ee A major obstacle is price, ch eee Currently, the posted expert price tory uss is u 4 an mef (thousand cubic feet), higher tha some US. buyers will Slabback sald export peices’ thing ‘be: ‘hike «tn more . “responaive'to changes in tharket conditions. He bali he is optimistic Ofiawa and Alberta will niove in that direction <- Wher they negotiate a new pricing * thle summer, a Pella \greement, Petbably ey? a