Bad News for Kaiser

To most U.S. citizens Henry John Kaiser symbolizes American industry at its best. Even when there was bad news about Kaiser—like the failure of his $6,000,000 Permanente magnesium plant in California—nobody heard much about it. But last week came bad news that got around: at Kaiser's Portland (Ore.) Swan Island yard the newly delivered 16,500-ton tanker Schenectady suddenly broke in half with a thunderous snap, settled in the water with its two-inch steel plates split clean asunder, the midship sections sticking out of the water like crags.

Nobody knew what caused the break. The FBI, the Maritime Commission, the Bureau...

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