November Mr. Ge c/o Scholefield, 4M. 1940, Baxter, First Security Ogden, Utah. Wells & Baxter, Bank Bld¢g., Dear Gordons ation In line with your instructions of November 2nd of the statement of comparative selling prices of 4, January 1, 1956, to June 30, I have prepared and profits for 1940, a continue the period fo begin with, I find that the number of guns used for the year 1935 of the previous statement covered the entire year and not just up to October lst, The 5, 394 Grade 1 and 1,420 Grade 2 guns shown on the previous statement were the entire year's sales. I have, therefore, stated the statement with January 1, 1956. I do not know just what is to be accomplished by this statement, but the last four years reveal a different story than the first four years in compariso n with the January 1, 1932, prices You will note that this statement shows an ale most unanimous decrease in the wholesale price. In explanation of this condition the following should be kept in mind. In 1936 and 1937 the price of the Grade 2 without rib and the Browning Special with rib are identical. This was during the period we were cleaning out of guns without engraving and standardizing on our old Grade 2 engraving which we termed after 1937 as Grade le As I remember it, we had very few guns in 1937 without engravinge For comparative purposes i heve, therefore, considered all ribbed guns as Grade 2 and all guns with plein barrels as Grade 1 from January, 1937 to date, since the engraving on the two models was identical. After 1937 we did not even list the Grade 2 Automatic and the “Browning it is wrong be no Grade in case since 1955 that the Special" was the the question in connection Reciprocal Trade comes Sweet Since for some of the in addition to the 16 model in 1937, it was announced: up Treaty gun equipped Special model regarding the with net profits imports was reduced by 50%. accounted standard to consider this Browning 2 guns after 1936, with since Belgium barrel. If there would a Grade decrease that went with the ribbed as date into in 2 then the wholesale price it was on May 1, 1935, effect and This made our costs quite a bit lower, decrease in the wholesale duty on and therefore, price. guns shown on the enclosed statement The following is a tabulation of the 1937, 500 1938, 1,180 1939, 1,809 1940, 177 the fotal 3,666 we announced the sales on this model