Li
For this reason and to be on the safe side, we

shipping to other channels.

have estimated that all personnel and material will be moved to and from the
Atoll via private commercial transportation.
Accuracy.

These estimates have been prepared by take-off from prelimi-

nary plans of all items entering into the work with all accuracy possible at
this time and by a careful study of the type of organization required and
labor conditions involved.

Figures presented are the result of a digest of

these detailed estimate work sheets.

this connection.

Several factors must be recognized in

First, the plans are in a preliminary and incomplete stage

so that quantities and items of work can be taken off in a preliminary way
only, subject to revision when detail plans have been completed.

Second,

most of the manufacturers, and particularly those supplying electrical equipment, are very hesitant about quoting firm prices for future delivery.

Itis

entirely probable that material prices in the future will rise and only the
possibility of a moderate increase has been taken into consideration herein.
Third, production of labor at the site and labor turnover is a feature which
cannot be forecast with great accuracy.

A figure has been added, as indicated

later, to anticipate this feature, but this must be recognized as a considered opinion at best.

Fourth, labor will be transported to the island on a

guaranteed work-week basis.

Excessive cost of delay due to such causes as

extended strikes has not been anticipated.
Labor Costs.

Direct labor includes labor directly chargeable to specif-

ic items of work and the cost of hauling material from the Parry Island warehouse to the actual job site,

U. 5S. labor cost in California is the origin

of the estimates for direct labore

To this have been added certain differen-

tials to cover additional cost for work overseas.

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