iss NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL. LX No. 5 NOME, ALASKA, FRIDAY, JANUARY 10, 1958 Per Copy—15^
Washington Cold to Russia’s New
Strong Appeal for Summit Talks
Local TV Presents
Live Panel Shows
On Phone Issue
Last evening the first live pro
gram was shown over the local
TV station with the Nome Tele
phone Co., represented by Pete
Reader, and the Alaska Tele
phone Co., represented by Charles
West, presenting their versions
on the special election being held
Tuesday for the franchising of a
new phone company.
On Sunday night a TV panel
will discuss the pros and cons of
the telephone issue. This panel
show will be presented at 8 p.m.
and members of the panel will
consist of a representative from
the City of Nome, and other
impartial persons, and a member
of the Nome Telephone Co. This
member of tne panel will answer
any questions that may arise.
Larry Galvin announced that
this evening the winner of the
Dodge will be determined over
the station in another live show.
President Must
Fight to Save
Foreign Aid
WASHINGTON, UP)—Sen. Ful
bright (D-Ark) said today Presi
dent Eisenhower will have to use
all the power at his command to
prevent Congress from slashing
foreign economic aid “below the
danger point.” *
Fulbright and Sens. H. Alex
ander Smith (R-NJ), Humphrey
(D-Minn), and Sparkman (D-Ala)
agreed with Eisenhower that it
would be “reckless folly” to cut
such aid to provide more money
for missiles and other weapons.
But Sen. Russell (D-Ga) said it
would be “the course of reckless
folly” to develop and produce
these weapons “and expand our
economic aid program abroad at
the same time.
Eisenhower is expected to pro
pose about $3.9 billion in military
and economic aid for the fiscal
year starting next July 1.
He told Congress yesterday, in
his State of the Union message,
that the Communist world is
mounting a massive economic of
fensive against the free world,
including the uncommitted and
underdeveloped nations.
9 WASHINGTON, UP)—Russia’s
| latest and most insistent demand
for an East-West summit confer
ence on crucidl cold war issues
got intensive study—and a cold
reaction—today in official Wash
ington.
Premier Nikolai Bulganin, in a
message to President Eisenhower,
said he proposes to call an East
West summit meeting, perhaps
in Geneva, in the next two or
three months. Moscow radio said
similar letters went to 18 other
countries, members of the NATO
and Warsaw pacts.
Eisenhower and the State De
partment prepared to study the
note carefully.
But at the White House and
the State Department there was
no evidence that the U.S. intends
| to change its basic policy against
having a new top-level meeting
| under present conditions.
The policy as set forth by Dul
| les on various recent occasions is
that any such conference must be
preceded by careful diplomatic
| exploration and evidence that the j
i Soviet government is prepared to j
! make concessions in its position
on such issues as disarmament
and German reunification.
Officials here were aware, how
ever, that Bulganin’s new diplo
matic broadside may generate
hope in Europe that something
can now be accomplished toward
reducing the dangers of a devas
tating nuclear war.
Springfield, Mo., Sewer
Being Delayed by
Alaska Snow and Cold
SPRINGFIELD, Mo., UP—Lack
of good transportation in an iso
lated section of Alaska is delaying
construction of a sewer line in
Springfield, Missouri.
Springfield prepared an ease
ment (an acquired right of use
which one person has in the land
of another) for a right-of-way
across property owned by Mr. and
Mrs. R. C. Murrell of Pilot Sta
tion, Alaska.
Murrell replied by letter that
he is holding the easement until
he can find a notary public. He
said the nearest one is “40 miles
by dogsled, and it is 40 degrees
below zero.”
Pilot Station is on the Yukon,
almost 500 miles due west of An
chorage, near the beginning of
the Yukon Delta.
Present Budget Goes Into the Red;
New Budget in Precarious Balance
WASHINGTON, UP>—President
Eisenhower will send to Congress
Monday a missile age budget call
ing for $73,800,000,000 or more in
spending and an increase in the
federal debt ceiling, government j
informants said today.
The new budget will be pre
cariously balanced, as Eisenhow- j
er hinted yesterday.
But the President will, notify
Congress that the supposedly bal
anced budget for the present gov- l
ernment year is now expected to
show a small deficit instead of a
planned $1V£ billion surplus, offi- j
cials disclosed today.
Eisenhower reportedly will at
tribute the return to deficit fi
nancing to two factors: •
1. A $1.3 billion increase in
scheduled defense outlays; and
2. A drop of about a billion dol
lars in estimated revenues, caused
by declining business profits and
personal incotne.
The deficit will be well under
a half-billion dollars, informants
said, but the return to red ink
is a major disappointment to the
administration. Only three months
ago the administration announced
it would have its third balanced
budget in a row.
EISENHOWER GIVES CONGRESS
STATE OF UNION’ MESSAGE
By MARVIN L. ARROWSMITH
WASHINGTON, (tf*—President
Eisenhower gave Congress yester
day an eight-point “Safety Thru
j Strength” program for dealing
with the Russian space age threat.
In an eagerly awaited State of
the Union message, Eisenhower
said America’s military strength
at present is great and is a pow
erful deterrent to war.
But he said the dangers the
United States faces are real. He
said that unless we act wisely and
promptly “we could lose that cap
acity to defend ourselves” and
deter any Soviet attack.
The President, in an address
carried nationwide on TV and
radio, said too that the country
could make no more tragic mis
take “than to concentrate merely
on military strength.” That, he
said, could lead to an age of terror.
Red Economic Offensive
Of even greater danger - than
the military threat posed by Rus
sia’s space era advances, Eisen
hower said, is a massive economic
offensive already launched by the
Soviet Union against the United
States and the rest of the free
world.
'The Senate and House assem
bled in joint session in the House
chamber to hear the President
deliver his message personally.
There was almost a wartime
solemnity in the general mood of
Congress—shaken by the nation
al concern over Russia’s space
and rocket feats.
And, in the same note of the
critical world situation, Eisen
hower made his eighth point a
direct appeal to the people of the
Soviet union—over the heads of
their Kremlin leaders—to join in
a drive for enduring world peace
and take part in a first step to
disarmament.
The seven other points of his
program will require legislative
action by Congress. The points:
1. Defense Reorganization—
“Let us proudly remember,” he
he said, “that the members of
the armed forces give their basic
allegiance solely to the United
States. Of that fact all of us are
certain. But pride of service and
mistaken zeal in promoting par
ticular doctrine has more than
once occasioned the kind of diffi
culty of which I have just
spoken.”
He did not point a finger at any
individual or service. He said:
“I am not attempting today to
pass judgment on the charge of
harmful service rivalries. But one
thing is sure. Whatever they are,
America wants them stopped.”
2. Accelerated Defense Effort—
Eisenhower called for a speed
up all along the line, including
protection and further dispersal
of U.S. striking forces and more
adequate warning facilities in
case of attack.
“We must maintain all neces
sary types of mobile forces to
deal with local conflicts, should
Fourth Test of Atlas Missile Made
Successfully Over Limited Range
Daily Worker
Out of Business
NEW YORK, MV—The Daily
Worker, the Communist* newspa
per, says it will suspend publica
tion next Monday, 34 years after
it began.
Suspension of the daily was
announced in an editorial in yes
terday’s issue. The paper’s demise
was blamed on “lower party
membership, diminished resourc
es and unresolved political dif
ferences.”
The Worker, a weekly—hither
to the daily’s weekend edition—
will continue.
Circulation of the Daily Worker
dropped from its peak of 30,000
to 35,000 about 10 years ago down
to 7,200. The weekly edition’s
circulation, once about 84,000,
now is about 13,000.
* * *
NEW YORK, MV—John Gates,
editor of the American Commu
j nist Party’s daily newspaper and
i a leader in the party many years,
| announced today he is quitting
j the party immediately,
j At a news conference he as
serted “the Communist Party
ceases to be an effective force for
democracy, peace and socialism
in the United States.”
» CAPE CANAVERAL, Fla., MV
The U.S. Air Force successfully
launched its fourth Atlas inter
continental ballistic missile today.
The giant missile rose'from its
launching pad in a puff of white
smoke and a trem.endous flash of
flame, at 10:48 a.m. EST.
Withip 15 minutes the Penta
gon announced the launching had
been a success—a fact highly evi
dent to the handful of reporters
who watched from beaches some
miles away.
The department said “the test,
which was not full range, was
successful.” The Atlas was de
signed to fly more than 5,000
miles.
The missile rose slowly thru
hazy clouds. Its bright trail of fire
was visible for almost three min
utes. The thunder of its mighty
engines—a primary motor and
two boosters—could be heard
even after the missile itself van
ished in high cloucks.
On the first two tries, the big
missile started to get out of con
trol shortly after launching and
had to be destroyed. The third
launching last Dec. 17 was suc
cessful over a 600-mile range.
No attempt to fire the Atlas
over its full 5,000-mile range is
expected until late this year. It is
designed to carry a hydrogen
warhead that distance in 25 min
utes.
there be need,” he said. '‘This
means further improvements in
equipment, mobility, tactics and
fire power.
“Thru increases in pay and in
centive, we must maintain in the
armed forces the skilled man
power modern military forces re
quire.”
3. Continuation and Strength
ening of Foreign Aid—Eisenhow
er said that if the foundations of
the free world structure “were
progressively allowed to crumble
under the pressure of Communist
imperialism the entire house of
freedom would be in danger of
collapse.” And he added:
“The real fact is that no invest
ment we make in our own secur
ity and peace can pay us greater
dividends than necessary amounts
of foreign aid to friendly nations.
“This is no ‘give-away.’
“Let’s stick to facts!
“We cannot afford to have one
of our most essential security
programs shot down with a slo
gan!”
4. Foreign Trade—Eisenhower
urged Congress to extend the Re
ciprocal Trade Act for five years.
He said world trade “strengthens
our friends and increases their
desire to be friends,” and added:
“As President McKinley said,
as long ago as 1901: ‘Isolation is
no longer possible or desirable.
The period of exclusiveness is
past’.”
5. Scientific Cooperation With
Allies—Called for legislation to
permit sharing of atomic secrets
with friendly nations.
6. Education and Research
Noted he had outlined previously
a program calling for spending
about a billion dollars annually
for four years to strengthen edu
cational and research facilities.
7. Spending and Saving—The
federal budget for the year straf
ing July 1 will include about $4
billion more than the (last one)
for defense purposes, Eisenhower
said. The extra money will go for
such things as missiles, nuclear
ships, atomic energy, and research
and development.
8. Works of Peace—“My last call
for action is not 'primarily ad
dressed to the Congress *and
people of the United States. Rath
er, it is a message from the peo
ple of the United States to all
other peoples, especially those of
the Soviet Union.
“ ‘In the last analysis, there is
only one solution to the grim
problems that lie ahead. The
world must stop the present
plunge toward more and more de
structive weapons of war, and
turn the corner that will start
our steps firmly on the path
toward lasting peace.
“ ‘Our greatest hope for suc
cess lies in a universal fact: the
people* of the world, as they al
ways have, want peace. The prob
lem, then, is to find a way of
translating this universal desire
into action.
“ ‘This will require more than
words of peace. It requires works
of peace’.”