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THE DEFENCES.
; 1 COMMONWEALTH FACTORIES.
: . DEFENCE AUTHORITIES' REPLY.
An answer has been furnished by the
" Secretary for Defence. Mr. S. P: Pcthe-
. bridge, to the critici-nn which has been
- launched against the Commonwealth Har-
: ness Factory. He states that the criti-
" c5am of the harness factory production
: costs, contained in Messre. Guthridge and
Go.'s letter to "The Age" of loth Septem-
T bei% is evidently based on particulars
, which have appeared in the press. Refer-
-1 encc to the report presented to Parlia
ment will disclose that a comparative
statement is furnished giving the average
- factory cost and the average contract price
of 28 of the principal lines manufactured
at the factory, comprising cadet aceoutre-
r nicnts and military harness and saddlery,
and that in only five of these is the. har-
ness cost slightly higher than the average
contract price. These_ 28 lines embrace
most of the articles of military harness
and saddlery obtained under contract dur
ing recent years, and represent a value
; of £22312 13/4, or about 69 per cent, of
the total outturn of the factory, and if
- purchased at average contract rates would
C have cost over £600 more than what it has
: coet the factory to produce them. It is not
practicable to compare the other lines
" manufactured with outside cost for the
reason that, in a number of instances, no
recent contract prices arc available, and
in others exactly similar articles have not
been previously made under contract. It
is not correct to say that the preliminary
' outlay on the factory was £43,669 0/4. The
: expenditure on land, buildings, machinery
and plant, office requisites, fittings and
: 'furniture and factory fittings and furni-
. <tnre, up to 80th June, 1912, as shown in
: he balance sheet, was £6,903 14/5. The
; amount of £43,669 0/4 appearing in the
Treasury account is the gross total of all
Z expenditure transactions 01 the factory, m-
eluding capital and maintenance, which
'have to be shown thus in accordance with
Treasury regulations and practice, and is
Offset on the other side of the account by
, Jan amount of £27,593 16/3, representing
' "receipts for goods manufactured and de-
iiveied.
$