Redlands Daily Facts from Redlands, California • Page 9

U.S. to try to solve Japan trade deficit By ROBERT CRABBE TOKYO (UPI) President Nixon's financial wizards have been trying since 1968 to get the Japanese to agree to take missions of dollars in trade with the United States- -instead of billions. So far they have failed, but diplomats are warming up for another The United States is on the way to its most disastrous trade year with Japan. It had a $3.2 billion deficit with Japan in 1971, as inflation-pinched American consumers continued to snap up Japanese cars, transistors and television sets. That was a record, and this vear looks even worse.

William Eberle. special trade negotiator for the White House, predicts the U.S. will lose between $3.6 and $4 billion in trade with Japan this year. Eberle visited Japan in May and accused Japan of subsidizing her export industries. He threatened that the United States would raise tariffs to compensate.

Paul W. Volker, U.S. undersecretary of the Treasury, visited Japan the month before and warned publicly that the United States couldn't afford to lose any more. In the three months ending March 30, Japan's traders sold $2.145 billion worth of merchandise in the United States. Japan bought only $1.21 billion in American goods- -wheat, coal, soy and jet airliners, for the most part.

If the United States wants to get tough, it has the weapons. It could whip up a campaign to force Japan to revalue the yen again, thus raise the price of goods she sells overseas. The Congress is talking about another protection bill to restrict sales of Japanese products. Last October Japan signed an agreement, under intense pressure from Washingto: to limit the growth of her textile sales in the U.S. After resisting U.S.

demands for a revaluation of the yen, Japan had to "Noat" her currency in August. That came after Nixon slapped a 10 per cent special tariff on foreign goods and unhooked the U.S. dollar from gold. In December, the United States and other countries maneuvered Japan into a 16.88 per cent revaluation of the yen. All these moves were designed to close the trade gap.

and the Japanese negotiators who signed them wore facial expressions like the World War 1I surrender party on the USS Missouri. Yet, when the money was counted up at the end of the year, Japan had more of it than ever. Its favorable trade balance with the United States had jumped from $1.2 billion in 1970 to $3.2 billion in 1971. Part of the problem stems from U.S. inflation.

Bargainminded Americans gravitate toward low priced Japanese goods. Last year Japan sold 813.799 cars and 1.23 million TV sets in the U.S. Oddly enough. a mini-recession in Japan also helped its sales. Their traders went out and beat the sales bushes even harder.

Part of the administration's annoyance sterns from Japanese trade practices it regards as unfair. Althcugh Japan buys more American farm products than any foreign country except Canada, her intake of many items like beef and oranges is held down by quotas to protect Japanese farmers. Her refusal to give American and other foreigners free rein to invest in Japanese industries also is resented. Spassky in Iceland for chess event REYKJAVIK, Iceland World chess champion Boris Spassky, looking relaxed and fit. said he is sure American challenger Bobby Fischer will show up in time and they will begin their 26-game series Sunday.

Spassky, a Russian, told a press conference Monday that "only commander-in-chief Fischer knows" why the American didn't turn up as expected Monday. Fischer, 29, was reported in seclusion in Los Angeles but was expected to fly to Reykjavik Wednesday. Spassky, 35, said he was satisfied with arrangements for the tournament and even the 24-hour daylight didn't bother have good curtains in my hotel." Asked to predict the outcome and whether Fischer was the best chess player, of the 20th century, he will answer that one when the match is over." However, he did describe Fischer as "more of a classical chess player than I am. He is a very practical player." 20 944 17:711 8 OPEN HOUSE CONTINUES- Steelman, vice president of Redlands Federal Savings and Loan association and manager of the new Yucaipa office, welcomes Mr. and Mrs.

Hasso K. Pestalozzi of Yucaipa, as the first customers at the Grand Opening of the new office. All residents of the Yucaipa- area are invited to drop by during Open House, going on now thru July 10, to meet the staff and to see the many conveniences and services offered by this handsome new facility. A feature of the Open House celebra.ion is the drawing for valuable prizes which includes a portable color TV, digital AM-FM addition, there will be daily away daily to lucky winners. clock radios and more, completely drawing for a dozen American without obligation.

In Beauty roses to be given FTC crackdown on deceptive ads face setback in court By WILLIAM B. MEAD WASHINGTON (UPI)Initial judicial tests have indicated that some of the Federal Trade Commission's innovative crackdowns on deceptive advertising and sales techniques may not survive court challenges. A full fledged retreat is even possible in some areas, where businesses have bowed to FTC regulations, only to have subsequent rulings question the agency's legal authority. The FTC's sharpest reverse came April 4 when a U.S. District Court ruled that the agency lacked authority to issue trade regulation rules, which are designed to bind all members of an industry to FTC-mandated standards of conduct.

The case was filed by the oil industry, fighting an FTC rule to require the posting of octane ratings on all gasoline pumps. The federal court not only rejected that rule but also knocked the legal derpinnings from 21 others adopted in past years. The FTC is appealing that decision. On May 11, an FTC hearing examiner, Andrew C. Goodhope, ruled against his own agency's allegations of deception in the 1968 $500,000 sweepstakes," which D.

L. Blair Corp. of New York conducted for the McDonald's hamburger chain Gerald Thain, assistant FTC director of consumer protection, told UPI that the FTC's success in eliminating alleged deceptions in so-called sweepstakes could be reversed Goodhope's reasoning is ac- Gas fails in bank robbery SAN FRANCISCO (UPI) The first West Coast use of a gas capsule designed to immobilize bank robbers failed Monday when it didn't discharge, police reported. The robber fled on foot with a bag of loot. A teller at a Wells Fargo Bank branch said she complied with the robber's request to fill the bag with money but added the special gas capsule.

Officials said it was the first test of the capsule, which has been used in East Coast banks. Now You Know By U'nited Press International Because the master measuring stick was not available in all parts of the kingdom, King Edward I of England decreed that "three barleycorns, dry and round," could constitute one inch. Income tax 'expert' in trouble PHOENIX (UPI) -A man who wrote a book allegedly explaining how to avoid paying income taxes was arraigned Monday on charges of failing to file income tax returns for 1968, 69 and 70. Marvin L. Cooley of Mesa, was released on his own recognizance following an appearance before the U.S.

magistrate. The Internal Revenue Service identified Cooley as the author of a book called "The Big Bluff," which reportedly explains how to file tax returns without paying income tax. The IRS said Cooley failed to re report income of $18,912 in 1968; $17,214 in 1969; and $19,083 in 1970. An IRS spokesman said conviction carries a fine of $10,000 and-or one year in prison on each count in addition to paying the back taxes and the 50 per cent REDLANDS FEDERAL'S SAVINGS PLANS SELECT FROM REDLANDS FEDERAL'S COMPLETE RANGE OF SAVINGS ACCOUNTS FEATURE Passbook Account Account Certificate Certificate Period of None 90 days 1 year 2 to 5 years Maturity Annual Yield if interest is Left 5.13%. 5.39% 5.92% 6.18% in Account for One Year Minimum $250 or $1,000 $5,000 Balance more or more or more $10.00 If withdrawn prior to conclusion In the event of withdrawal, the holder Penalty for of term, shall forfeit earnings for 3 months or all Withdrawals None Saver shall earnings 1 to the date of withdrawal, Prior to receive no whichever is less, on the amount withMaturity interest on drawn.

the funds withdrawn. Deposits may be made in the amount of Additional Any amount $250 or $500 or more at any time. However, the Deposits Anytime more original term may have to be modified to meet minimum term requirements. Anytime ANYTIME WITHOUT NOTICE-However, see "penalty for Availability without withdrawals prior to maturity." Note: Withdrawal of Interest of Funds notice at any time is NOT subject to penalty provisions. The certificate is automatically renewed at maturity for minimum allowable perlNone None ods unless Association gives saver 5 Required Required days notice or unless presented for a Renewal withdrawal not later than ten days after a maturity date.

How Interest is Compounded daily (Funds deposited by the 10th of any month will earn Calculated from the 1st if held until quarter's end). How Interest is Quarterly (Can be mailed, remain in the account or transferred automatiPaid cally). PLUS "day-in to day-out earnings." FUNDS EARN FROM DATE OF DEPOSIT TO DATE OF WITHDRAWAL. FUNDS RECEIVED BY THE 10TH OF ANY MONTH EARN FROM THE 1ST IF THE FUNDS REMAIN ON DEPOSIT UNTIL THE END OF THE QUARTER. EXAMPLES OF AVAILABLE SAVINGS SERVICES TYPE OF ACCOUNT OWNERSHIP WITHDRAWALS Individual Accounts In name of saver By saver or others by contract Joint Accounts (with others) 1.

Joint Tenancy In both savers during their lifetime, to One or both, as desired the survivor on death 2. Tenants in Common Each owns an undivided one-half One or both, as desired 3. Partnership Partnership One or more, as desired 4. Community Property Owned by both as community property One or more, as desired Trust Accounts 1. (a) Individual Trustee (one) Beneficiary Trustee until 21 (b) Individual Trustee (revocable) Beneficiary Trustee 2.

Joint Trustee (two or more) Beneficiary One or more, as desired 3. Fiduciary Beneficiary Fiduciary or court order 4. Custodian (Uniform Gift to Minor Custodian Minors Act) Corporate Account Corporation One or more officers Unincorporated Association Association One or more officers The TRUSTEE or FIDUCIARY accounts can be used in conjunction with tax shelter programs such as the Reversionary (Clifford) Trust, Keogh Program or Corporation Retirement Programs. Consult your attorney or accountant on procedures and benefits. Business and institutional -the helpful service approach of Redlands Federal Savings and Loan Association will allow special accounts to be fitted to special needs on request.

HOURS: 9 AM-4 PM Daily 9 PM Friday REDLANDS FEDERAL SAVINGS LOAN ASSOCIATION Redlands Home Office Fifth St. Citrus Ave. 793-2391 Fontana Branch 8601 Wheeler Ave. 822-2256 Yucaipa Branch 35034 Yucaipa Boulevard 797-0181 Beaumont Branch 725 Beaumont Avenue 845-3151 Riverside Branch 1651 University Open late 1972 MEMBER FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION WHERE YOU SAVE DOES MAKE A DIFFERENCE 26 DAILY FACTS, Redlands, Calif. Tuesday, June 27, 1972- 9 penalty on the back IRS said Cooley ed last March of without a license sentenced to six probation.

The IRS fied Cooley as an candidate for the seat now held by Rhodes, R-Ariz. Calif. 9 tax. was convictpracticing law and was months' also identiannounced congressional Rep. John cepted by a majority of the agency's five commissioners.

Such sweepstakes traditionally had awarded only a few of the advertised prizes. because most consumers don't bother to mail in an entry. The FTC contended that all advertised prizes should be awarded, and that sweepstakes ads should disclose the odds against winning and the value of prizes. Four firms accepted this. Their agreement prompted virtual industrywide adoption of the FTC format, Tahin said.

If Goodhope's ruling prevails the old practices could return. In a third case. an FTC hearing examiner ruled the agency wrong in its contention that scientific data failed to support advertising claims for a sunburn ointment. Unburn. Although the Unburn case was unique, the ruling could indicate tough sledding for a current FTC campaign against allegedly deceptive advertising of nonpresciption drugs and remedies.

Also in question is the FTC's most controversial innovation under which firms proved guilty of deceptive advertising would have to admit the deception in future ads. This "corrective advertising" concept faces court challenges from the manufacturers of Wonder Bread, Chevron Gasoline and Hi-C beverage, among others. Among FTC staff officials, there is some doubt that the commission itself will insist on corrective advertising. Its proposals for corrective ads ere adopted by bare 3-2 majorities, and there is speculation that at least one member of the majority may switch sides when final orders are considered. All these negative indications may be reversed as key cases proceed.

In addition, Congress may come to the rescue with legislation to empower the FTC to issue trade regulation rules, and strengthen its powers in other ways as well. That bill was passed by the Senate, but is reported in trouble in the House Commerce Committee. Senate sponsors indicate they'll settle for a compromise. If the House fails to act, however, FTC legislation could be enacted this year. Comfort Lovers Come to Frigidaire for the big, fast cool AIR CONDITIONER 19,000 Frigidaire Air Conditioner Provides jet fast cooling for multi-room comiort.

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