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Excerpts from Form SCP-1861 follow:

1. PRICES: The price to be paid to us for fish delivered to FSCC hereunder shall be as set forth in SCB 64 and:

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(a) For export packaging and special cans the applicable price shall be increased at the

appropriate following rate:

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(b) Sales to FSCC shall be on the f.o.b. basis provided by Office of Price Administration
in Maximum Price Regulations as follows:

(1) Canned Sea Herring shall be priced as provided in MPR 396, dated May 24, 1943, and
amendments thereto. Delivery will be accepted by FSCC f.o.b. cars at seller's
usual rail shipping point or in warehouse as provided in Form SCB 64.

(2) Canned Maine Sardines shall be priced as provided in MPR 184, dated July 23, 1942,
and amendments there to. Delivery will be accepted by FSCC f.o.b. cars at seller's
rail shipping point or in warehouse as provided in Form SCB 64. In accordance with
MPR 184, dated July 23, 1942, the freight allowance shall be shown on seller's claim
for payment as a separate item and shall be the difference between the through freight
rate from seller's usual rail shipping point to the destination indicated on Notice to
Deliver and the Bill of Lading covering each shipment, and the freight rate from Port-
land, Maine, to such destination.

(3) It is understood that, should the Office of Price Administration, during the life of this
contract, change the f.o.b. basis for Canned Maine Sardines, paragraph (2) above will be
amended to provide for such change.

2. DELIVERY:

The seller shall, within ninety (90) days after packing a sufficient quantity of fish to yield at least minimum carload, and after such fish has been inspected by the Office of Distribution, tender such lot for delivery to the FSCC on Form SCP 1861-A, "Notice of Tender of Delivery." It is understood that the FSCC will issue or cause to be issued shipping instructions for delivery within ten (10) days after receipt of tender of delivery and that seller shall deliver such fish in accordance with such shipping instructions, f.o.b. cars, at the saipping point or points indicated in the tender of delivery or as otherwise provided in Form SCB 64.

3. SPECIFICATIONS:

The fish delivered hereunder shall meet the following specifications: (a) Sea Herring: Fish shall be reasonably firm, of good appearance and well cleaned. Cans shall be packed as full as practicable. In round cans, the length of the fish shall be packed parallel to the side of the can, but the can may contain not more than two pieces of the tail cut of the fish. In oval and other flat type cans, the length of the fish shall be packed parallel to the bottom of the can. The average net content of the No. 300 (300x407) can or the No. 1 oval can shall be not less than 15 ounces, with the average drained weight of the official inspection sample not less than 12 ounces and shall contain not more than nine (9) fish. If other sizes of cans are used, the net content and drained weight shall be in the same proportion as the relative size of the can. fish may be packed natural or with added oils, tomato sauce, or other sauces as may be specified by FSCC. The No. 300 (300x407) size cans shall have not less than four inches of vacuum and the No. 1 oval cans shall have not less than two inches of vacuum.

Definitions: For the purpose of the above specifications, definitions are:

The

(1) The term "Natural" means without the addition of any condiments except salt, or brine which may contain up to 2% vinegar, but may have added oil of the same species of fish. (2) The term "Net Content" means the total weight of the fish and liquid in the can. (3) The term "Drained Weight" means the weight of the fish after they have been emptied from the can following sterilization and after being allowed to drain for two minutes over a sieve of not less than eight-inch diameter, containing eight meshes to the inch (0.097 inch per perforation).

(4) The term "Well Cleaned" means that the heads and tails shall be removed, the fish shall be practically free from scales (i.e., scales shall not cover more than five (5) percent of the surface area) and shall be reasonably free from feed and objectionable material. The wall of the body cavity shall be slit, when six or less fish are packed in a #300 can or a #1 oval can.

(5) The term "Official Inspection Sample" means the cans drawn for inspection by the
designated sampler of the Office of Distribution.

(b) Sardines: Fish shall be of good quality and shall be prepared and canned under strictly
sanitary conditions in accordance with sound commercial practices. Fish shall be cleaned
and trimmed, with the heads and scales removed, shall be practically unbroken and shall
be free from feed and objectionable material. Cans shall be packed neatly and well filled
with fish. The ends of the cans shall be flat or concave.
The
size and size cans
shall contain not less than four (4) fish. There shall be added to the fish at the time
of packing such oils or sauces as may be specified by FSCC. The size cans shall contain
not less than 34 ounces net weight; the size cans shall contain not less than 9 ounces
net weight. A lot shall be considered as meeting specifications provided not more than
one-sixth of the containers in a lot may fail, in some respect, to meet requirements of
these specifications. However, the average of all of the samples within a lot must meet
the requirements of those specifications.

All fish delivered hereunder shall conform in every applicable respect to the requirements of the Federal Food, Drug, and Cosmetic Act as amended and of regulations pursuant there to in effect on the date of this contract.

4. PACKAGING AND MARKING: Fish shall be packed in inside enameled cans. In the event round or oval cans are manufactured from other than 1.25 hot dipped plate, the outside of such cans shall also be enameled. Cans shall be sound and clean, free from rust and serious dents and shall be labeled with seller's regular commercial labels or shall be lithographed. Cans containing more than 10 ounces net weight shall be shown to be Sea Herring. Cases shall be Type Al, V3c or V3s as described in "Export Packaging Specifications," Forms FSC 1742B, 1742C or 1742D. Each case shall be marked to show the name of seller, commodity, contract number, net weight of cans and number of cans per case and a legend which may be prescribed by FSCC.

CANNED ALASKA SALMON OFFERS REQUESTED BY WFA

In Announcement FSC-1873 the Office of Distribution, War Food Administration, as the designated agency to purchase all Government requirements of canned Alaska salmon, gave notice March 16 that it will now receive offers for the sale of such canned fish required to be set aside in 1944 pursuant to Food Distribution Order No. 44.

Purchases will be made by negotiated contracts executed in the name of the Commodity Credit Corporation. The contract terms and conditions are set forth in three separate documents this year: Form FDA-474, Standard Contract Conditions, contains conditions which apply to purchases of all commodities; Form SCB-64A, Canned Fish-General Contract Conditions, contains additional terms applying to purchases of all species of canned fish; and Form SCP-1873, Canned Alaska Salmon--Offer of Sale, which details the conditions, applying specifically to that type of fish. The Notice of Tender of Delivery, Form SCP-1873A, is a revision of the old Form SCP-1483A, but it will be used for the same purpose and in the same manner as the old form.

Canners who expect to operate during 1944 are requested to submit their proposals on the offer of sale form as soon as practicable. Offers may be submitted prior to August 15, 1944, but attention is called to the fact that the indemnity feature of the contract will not become applicable unless the contracts are signed prior to May 1, 1944. A separate contract shall be executed to cover each canning plant from which canned Alaska salmon will be delivered to the Commodity Credit Corporation. One contract number will be assigned each operating plant.

Excerpts from Offer of Sale Form SCP-1873 follow:

1. PRICES: The price to be paid for fish delivered to CCC hereunder shall be as set forth in SCB 64 A and:

(b) If CCC directs that delivery be made in unlabeled cans, deductions shall be made

from the applicable price at the appropriate following rate:

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(c) If CCC directs that its own labels be used, it shall supply such labels and deductions shall be made from the applicable price at the appropriate following rate:

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2. DELIVERY: The seller shall within one hundred and twenty (120) days after arrival of its fish in the continental United States and after such fish has been inspected by the Office of Distribution of the War Food Administration, tender such fish for delivery to CCC on Form SCP-1873-A "Notice of Tender of Delivery".

(1) CCC shall within thirty (30) days after receipt of each such Notice of Tender of Delivery, issue or cause to be issued a Notice to Deliver providing for delivery within ten (10)

days after receipt by the seller of such Notice to Deliver.

(2) In the event that CCC accepts delivery in unlabeled cans, the seller shall:

(a) At the time of labeling, replace throw-outs due to dents, defective seams, or any
other defects, with fish of the same species and grade at its expense and such
throw-outs shall become the property of the seller; or at its option

(b) Reimburse CCC for the value of such throw-outs due to dents, defective seams or
any other defects. Provided that seller's responsibility under this section
to replace throw-out cans found defective at the time of labeling, or to re-
imburse CCC for such cans shall terminate when the fish has been moved by CCC
from city or town designated as the shipping point at which CCC accepts de-
livery. Provided further, if unlabeled fish delivered to CCC has not been
labeled within six months after CCC accepts delivery, seller's responsibility
to replace or reimburse CCC for throw-out cans shall cease with respect to
that portion of the delivered fish which has not been labeled within six
months from the date of delivery.

3. SPECIFICATIONS: Fish delivered hereunder shall meet the requirements of "Federal Specifications for Canned Salmon," PP-S-31a (7/29/42), Sections B to F, inclusive, provided that except for Reds and Chinooks, Section E-1 of such specifications shall be revised for the purpose of this contract to delete the words "shall be reasonably free from watermarking" and insert in lieu thereof, the words "Watermarking shall be scored only when texture, color of flesh, amount of oil, odor, and flavor have been affected."

All fish delivered hereunder shall conform in every applicable respect to the requirements of the Federal Food, Drug and Cosmetic Act, as amended, and of regulations pursuant thereto.

4. PACKAGING AND MARKING:

(1) Cans: (a) If cans are manufactured from tinplate lighter than 1.25 hot dipped plate, all parts of such cans manufactured from such plate shall be inside and outside enameled. At the time of delivery, cans shall be sound and clean, free from rust and serious dents.

(b) Cans shall be embossed with the code word "Samon" or shall be so marked with indelible ink. Embossing may be on either end of can. Ink marking may be on the body or either end of the can and the ink shall meet specifications 0.Q.M.G., S.P.Q.R.D. 400.1141.

(2) Cans shall be labeled as directed by CCC

(3) Cases: Cases used shall be as directed by CCC and shall meet Specifications FSC-1742-D or Army Specifications 0.Q.M. G. No. 93 dated December 2, 1942, for V1, V2, V3, Wood, 90 or 100 point solid fiber cases.

(4) Strapping: Each case shall be strapped as directed by CCC.

(5) Marking: Each case shall be marked as directed by CCC.

5. INDEMNIFICATION:

Possible military action caused by the enemy or action by military or Government forces made on behalf of the war effort in the region of Alaskan Salmon Canning operations makes seller's risks of such nature that such operations cannot be presumed to be warranted; and without assurance that indemnification will be provided by CCC to reimburse seller for possible loss of out-of-pocket costs arising from such causes, it will not be possible for seller to utilize facilities to the fullest extent possible to obtain the salmon pack to meet essential needs.

In consideration of seller making the maximum effort consistent with the Department of the Interior Order 1925 issued March 1, 1944 (Concentration Program), to produce the greatest possible production of fish at the plant named below, CCC agrees as follows:

(1) If seller should be prevented or hindered to any extent in packing fish during the 1944
season in the plant located at
by reason of acts of
the public enemy or by acts of the United States Government (including military) made
on behalf of the war effort, CCC will reimburse seller as follows:

(a) In the event of failure to secure any pack, the measure of reimbursement shall
be 85% of seller's actual total out-of-pocket costs.

(b) In the event of a partial pack, then the measure of reimbursement shall be 85%
of that proportion of the out-of-pocket costs as the amount short bears to
the total anticipated pack.

(c) Notwithstanding the provisions of Paragraphs (a) and (b) above, if it shall
develop that seller has not secured or otherwise provided for labor, equip-
ment, and supplies of all kinds sufficient to pack the estimated number of
cases stated herein, or that the supply or nature of the run of fish during
said season is such that it would have been impossible or improbable that
it would have packed said estimated number of cases of fish at the said
plant during said season, or, should seller for any other reason than acts
of the public enemy or acts of the United States Government made on behalf
of the war effort, be prevented from packing the estimated number of cases
of fish stated in Paragraph (2) below, then the reasonably anticipated pack
shall be deemed to be the number of cases which could and would have been so
packed during the season, and the measure of reimbursement under Paragraphs
(a) and (b) above shall be based upon such reasonably anticipated pack.

(2) The seller represents that it has provided or will provide by actual purchase, contract
or otherwise for sufficient labor, equipment, and supplies of all kinds for an estimated
pack at the within described plant named above of
cases of fish

of 48/1# cans (two cases of flats to be considered as one case) during the 1944 salmon packing season.

(3) In no event shall the total reimbursement of said actual out-of-pocket costs exceed $ (This figure inserted is 85% of the estimated total out-of-pocket cost.)

(4) For the purpose of determining such out-of-pocket costs, CCC shall have the right to examine seller's books, records, papers, and correspondence and such books, records, papers, and correspondence shall be made available to CCC at (City and State)

(5) Seller's claim for indemnification shall be supported by a certificate signed by a majority
of a committee to be set up as hereinafter provided. The committee shall determine, and
its findings and determinations shall be final and conclusive upon the parties here to:
(a) Whether seller was prevented or hindered in packing fish during the year 1944

by reason of the acts of the public enemy or acts of the United States Govern-
ment (including the military) made on behalf of the war effort; and

(b) The reasonably anticipated pack had seller not been so prevented or hindered.

Such committee shall be set up at seller's request as soon as possible after the close of the plant's season and shall be composed of one member named by seller to be selected from other firms or individuals of the salmon industry that have done or are doing business with the CCC, one member to be named by the Director of Food Distribution and one member to be selected by the two named members. Such committee shall meet in such place designated by it, subject to the approval of the Director of Food Distribution. Seller shall be liable for that portion of the expense of such committee incurred by the member designated by it and that portion of such expense incurred by the member selected by the two named members if such third member is not an employee of the United States Government or any of its agencies.

This committee, for the purpose of determining what would have been seller's reasonably anticipated pack had it not been prevented or hindered in packing salmon during the 1944 season, shall take into consideration, among other things, seller's plant and facilities for this and preceding years, and statistics of the Fish and Wildlife Service of the Department of the Interior for this and preceding years and expenditures in preparation for the 1944 salmon pack.

(6) In the event seller feels it has sustained a loss as provided in this Section, it shall notify CCC not later than November 30, 1944. Failure to notify CCC within the time set shall be considered a waiver of any claim for which indemnity might be asserted under this Section.

(7) For the purpose of this agreement, the term "out-of-pocket costs" shall include those items that are expendable, such as, but not restricted to, transportation to and from the fishing area, fuel consumed, labor, operating materials, construction and repairs of traps and fishing equipment, etc., but only such portion thereof which as of the date of this contract are non-insurable and non-recoverable. Out-of-pocket costs shall not include such items as cans, cases, labels, machinery, vessels, etc., or any tangible items or operations insurable under the Merchant Marine Act of 1936, as amended, the War Damage Corporation Act, or through commercial insurance by American companies obtainable through customary insurance channels.

A letter from an accredited insurance agent or broker indicating that such coverage cannot be secured shall be considered to be good and conclusive evidence of seller's inability to secure such insurance.

WFA ISSUES GENERAL CONTRACT CONDITIONS FOR CANNED FISH PURCHASES

To expedite in the advertisement and purchase of canned fish by the FSCC, that agency has compiled General Contract Conditions applicable to its purchases. Excerpts from Form SCB-64 follow:

CANNED FISH - GENERAL CONTRACT CONDITIONS

1. QUANTITY: The seller, a canner of fish under the provisions of Food Distribution Order 44, agrees to deliver to the Federal Surplus Commodities Corpore tion, (hereinafter referred to as FSCC) the quantity established as the seller's quota of fish to be delivered to governmental agencies under the provisions of Food Distribution Order 44 effective March 1, 1944, and any amendments thereto. Irrespective of any reductions in the quota to be delivered by the seller under FDO 44, the FSCC, at the seller's option, agrees to purchase at least 30 percent of the seller's pack (or sucn lesser percentage as seller may tender), of each class of fish designated in FDO 44 as amended by Amendment No. 2, March 1, 1944, packed between March 1, 1944, and February 28, 1945.

2. PRICES: The price to be paid to seller for fish delivered to FSCC hereunder shall be as follows: (a) The ceiling price for the appropriate species, can size, pack and grade as established by the Office of Price Administration for sales to governmental agencies in effect on the date of delivery. If, at any time, during the life of the contract, there ceases to be a ceiling price for the appropriate species, the last applicable ceiling price shall be the purchase price for the seller's pack delivered thereafter in accordance with 1. above. (b) From the price determined pursuant to (a) above there shall be deducted any cash discount which may be established by the Office of Price Administration applicable to sales to governmental agencies. Such cash discounts shall be deducted by the FSCC for payment by check dated within the time specified after the date of receipt, by the designated regional fiscal office of the FSCC, of a properly executed and documented claim.

(c) Where special packing, special cans, or export packaging are required, the seller may add
to the applicable price determined pursuant to (b) above, the costs permitted by the Office
of Price Administration at the rate set forth in the seller's offer. If the special pack-
ing or export packaging costs change during the life of this contract, the FSCC agrees to
pay the increased costs as permitted by the Office of Price Administration regulations and
in the event the costs decrease, the seller agrees to accept less than the rate stated to
the extent that such costs are less than the rate stated in the offer.

(a) FSCC may designate the quantity or quantities of fish which shall be packed in export
packaging or special cans and may decrease the quantity or quantities so designated at
any time.
If FSCC decreases the quantity of fish to be packed in export packaging or
if Food Distribution Order 44, Amendment No. 2 amended in such manner as to reduce the
quota of fish which may be delivered by the seller to governmental agencies, FSCC shall
reimburse the seller for added costs for the export packaging material or special cans
acquired by the seller pursuant to such designation by FSCC and not used, because of
such reduction, for packing fish to be delivered pursuant to this contract, at the rate
set out in the offer; Provided, That in no event shall FSCC reimburse the seller for
packaging material acquired, but not used, which is in excess of a quantity of packaging
material necessary to pack in export packaging the Government quota of its pack of fish
as provided in FDO 44, Amendment No. 2 at the time of original issue.

3. DELIVERY:

The seller, within the time specified in the offer, after packing a sufficient quantity of fish to yield at least a minimum carload, as prescribed by the Office of Defense Transportation, shall, after inspection, tender such lot for delivery to FSCC on a form supplied by FSCC, "Notice of Tender of Delivery." It is understood that within the time specified in the offer after receipt of seller's "Notice of Tender of Delivery," the FSCC will issue or cause to be issued shipping instructions for prompt delivery and seller will deliver fish in accordance with shipping instructions. Seller agrees to deliver fish f.o.b. cars, at the shipping point or points indicated in its Tender

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