-489-


 From t-ie figures furnished "-, tile CC..T-'..;; of their sales an sales
costs, it v'rould a-pear that t'i.? are -'rici:n their .o' without s'f
an adequ-at profit.

 Th2 test of effici.c in ror-e. s .ad. by ti oedtin On
tis not b- sdC. on fact, it is merely zoressinr his i.-'iviL..l o i:io:.

 The st: tement that thi -)rod-cts of the C::.-',--n are sold at a ,tur
'rice then the products of northern factories is nott sustain d, 'ticI l-
rly since this CoonT:.n' r ".n'.f',.ctures .a ..uniin.e li ;e of hanb- ,.., .iff-
rent from the byb's manufF.cturea Ly other fir.-s in rth. iiustr.,, "
farther they re protected by patents which they have attst.:: to.

 The Vir nia Art Goods Studios, Inc. do a ,ood volmo of "'L. 1.n1sS
amd they are rated financially as one of the oltstndi", fir'ns in t'..3
indusstry.

 It is not necessary for the Virjinia Art Goocs Studios, Inc. to
 obtain loevre' ige rates in order to comcte -uith f"ctori"s in the
 ortliern territory, and tnc fact thl.t the; ve 'v..ferod a s:r 11 loss
 urin, the year 1933 is duc to the sae reasons tha.t caused other
 factories i.. the industry to cvs:"r ,r losses, all i'u.. to tle.o f'ct
 hat they re tiinj to give too Sreat va `es at th -)rices.

 The re?-.,est to amend the Cede to allov a r v'.: rate of 7'71 ,1 for
 eemi-skilled. workers cannot b, coEid:. od since there is ro C defini-
 ,ion of a semi-skilled v.orher in "e Code.

 S The request to amend the Code to -ierit learners is denied by the
 ode Authority at the -resent time, iz util the Code shall b3 .Kd
 y aireemort with the Administrator to providC.e learners for th.. entire
 industry.

 TLe Virini'- Art C-oods Studios, Inc. h. been oer?.tinc unmer a
 tay since the effective dt of the Code, ,irch -, 1-'. This st'-
 rires Sciterber 1, 1934. The Code Artnority -rotests ,.int the
 ontinuance of their stay 1c;.-oyornd Se-ntebcr 1, 1' ", since the
 irginia Art Goods Studios, Inc.h^, the entire month of Arust C.-"l.-
 hich they caji.-,t have submitted their motion. ::.c. 3ver, they ftl
 do so until Auuast 27, 13'4 *:nd "...re now repuestX that t
 cemmtion -priod shoulC bc exteo-Lda .to such n'ate o tle anticiat 'd
 3arin,-: sj-i.ll .ve been held, %aid the --ro os. . .ts -.s'ose& of.

 Very tr2..:. "crs,

  GCO:- ;JUT::C?: 77"

 SDI -S' .. i Y.


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