-33-
 N IGHT LETTER

 February 8, 1934



Miss Frances H. Robinson
c/o General Hugh S. Johnson
Department of Commerce Building
Washington, D.C.

AS FOPJIER LIEUTETAITT COLONEL AGD UIDER MCCAIN AID HARRIS
I RESPECTFULLY PRQUEST THE FOLLO'!I.TG I.ESSAGE JE DELIVERED
WITHOUT DFLUY TO GETRAL JO-TSOIT QUOTE ,.ETAILTRS CAN NOT
KEEP PRICES DO..I ON LADIES "-A1DBAGS AS YOU B7SEI-CHED
THEM AT OUR COIVEITTION IF YOU Ui.1.ITTIITGLY CONDOIFE A
NEEDLESS HIDDEII PRICE IIICREASE 3Y APPROVING A CODE WHICH
IS II.TE1DED TO EXACT A PROFIT OF TWO MILLION DOLLARS FROM
CONSU'[ERS IN A FORTY MILLION VOLIE IITDUSTRY TiROUGH A
REDUCTION IN THE PREVAILING CASH DISCOUNT OF EIGHT
PERCEITT TO THREE PIERCE { T SINCE THE CODE PROPO1EiTS HAVE
NOT AGREED TO A COVEPE1ISATING REDUCTION IN WHOLESALE PRICES
OF THEIR PRODUCT STOP IF CODE I'UST BE APPROVED TECO1i1END
A STAY OF DISCOUNT PROVISION UNTIL COMMITTEE OF PROIITE'iTT
RETAILERS CONSISTING OF MESSRS ROTHSCHILD STRAUS REYBURP.
I1'ITTEU PRIDDAY AND OTHERS CAN PRESENT TO YOU OR YOUR
APPOINTEE FACTS THAT ',1E BELIEVE WILL FULLY JUSTIFY OUR
OPPOSITION TO PPRSEITT LOW DISCOUNT PROVISION STOP
WHITESIDES RECENT IITERJiiEDIATE REPORT TO YOU ON CAUSES
OF NEDLESS RETAIL PRICE INCREASES IT.TIONS REDUCTION OF
PREVAILING CASH DISCOUIVTS AS 01E OF THE IMPORTANT FACTORS
UNQUOTE

 P. J. Reilly
 I.ember, Retailerst Protective Committee
 National Retail Dry Goods Association
 !

 February 12, 1934


 Mr., Irving C. Fox
 National Retail Dry Goods Association
 225 West.34th Street
 New York, ,.Y.

 Dear Mr. Fox:

 This letter is in reply to yours of February 7, to General
 Hugh S. Johnson.

 The Code for the Ladies Handbag Industry has already
 been recommended by me to the Administrator for aunroval.

 As you already know, at the time of the He-ring, provis-
 ions standardizing the discount at 3/10 E01.1 received very
 thorough consideration.


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