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Failing to make a certain volume. of sales, the merchant‘s overhcad must be earned by a higher perâ€"sale profitâ€"or it cannot be earned ai all. With volume of sales falling below the margin of safety, low prices become imposâ€" sible. When a merchant decides to increase his expenditure for advertising he does so with the purpose of reducing selling costs, not increasing them. If we admit that advertising expense is a part of selling cost, it may be reasonably asked as to how selling cost is to be reduced through adding to it ? «« # fi» A merchant has an overhead cost to meet which does not vary greatly in periods of dullness and :wl\\'ily. He has about the same operating expense to meet in a week »’hen he does business to nearly maximum of capacity as in a week when he does half as much business. His profits must come through keeping his stocks movingâ€"through frequent turnoversâ€"through the greatest possible volume of sales in a given period. Russia, as has been said before, needs a leaderâ€"a great, strong man who can grasp the tangled meshes of the national fabric and restore order without losing the confidence of the people. Russia has the population; Russia has the resources, but Russia lacks leadership. There has been nothing to indi cate that such a man may be found in the ranks of the Bolsheviki. ‘The Lenâ€" ineâ€"Trotzky plan of government can never be satisfactory inasmuch as it is really not a plan at all, but a jumble of vague theories advanced by men who are not strong enough to make even a semblance of carrying thein out. And this is not taking into account the frequentlyâ€"expressed belief that German gold and German influence have put Lenine in the position he occupics toâ€"day. Can it be that there is no Lloyd George in Russia? asks an exchange. Such a man would save the kituation, even at this late day. In the same manner, as volume of sales climbs to near maximum of capaâ€" city to handfe, perâ€"sale profits may be steadily reducedâ€"â€"and yet not a proper profit above operating costs. P An increase of advertising expenditure is always made in order to deâ€" velop a larger volume of sales. Increase of advertising expense, up to the point where turnover is at full capacity, works logically toward steadily re duced perâ€"sale profits. _ It is through this process that the customer profits through a merchant‘s increased "selling cost." In war times, when buying is done with more forethought than in normal times, it is the duty of every merchant to keep bis organization operating near maximum capacity. _ Unless his turnover is as large as he can manage his overhead expense â€"must be earned from the profits on sales madeâ€"will enforce higher prices than he would be compelled to fix if running to capaâ€" city. The merchant who can take care of a larger volume of trade can secure that larger volumeâ€"through adequate advertising. _ And unless he is striving for a maximum volume, he is not placing himself in a position to accept minimum perâ€"sale profits. ' A little advertising for a storeâ€"like a little knwoledge for a manâ€"might be a dangerous thing. The advertising must match the storeâ€"not the store running. at half speed, but the store as it must be in order to render _ full service to the community. Te year of 1917 was a year of great mortality among _newspapers. ‘The 191y edition of the American Newspaper Annual and Directory lists Â¥4,582 newspapers, a decrease of 616 (about 2‘% per cent.) from last year‘s list. _ Only twice before in its history has the Annual reported a decrease, and the two together did not amount to as much as oneâ€"third of the 1917 l(:ss. Although forty new dailies were born, an exchange points out, the total number of dailies was sixtyâ€"two less than last year, indicating that over a hundred daily papers gave up the struggle. The chief decrease, however was amons the country weeklies. They number this year 569 less than last year. a decrease of 3 1â€"3 per cent. Semiâ€"weeklies were 635 strong in 1917. ‘This year the ranks are thinned to 575, nearly 10 per cent. less. These did 1.0t all die, however. A great many of them have changed hands. This seems to indicate a centralization of newspaper activities in the country districts, which is supported by the fact that consolidations of two or _ more papers numbered somewhere around 600. The total number of publications eliminated through this and other causes was 1,659. Over a thousantl just stopped. _ The same causes which led to the suspension of so many publications militated, of course, against the starting of new ones. Dr. William T. Ellis, an American writer who has been for some time in Russia, tells us that he looks forward to a bloodâ€"letting in that land that will make the French revolution appear as pink. It may be that this will come to pass but there is the possibility that the approuch of the Germans and the realization of a common danger will have the effect of unifying the Russian people in a way nothing else could do. If this be the case, Germany‘s renewal ef war will have been Russia‘s salvation. AdAmiral Sin John Jellicoe sets "about August" as the date for the final passing of the Uâ€"boat menace. _ That date is of interest in other fields. "About August," the German ofensive in the west, if it amounts to anything will he doing its best. "About August," American soldiers will be pouring im‘o Europe like money into a movie. "About August" the new crops will be cominz in Amd "Aboutâ€" Aucust" the thoughtful German civilian will be sitting down and making caleulations on the winter just a few months away. August promises to be one of humanity‘s most interesting periods . of time. An exchange believes it will pay one to get a seat carly. In our life time, we are not likely again to see so many important matters squeezed into the walls of thirty.ona days. M If there is such a thing as popular indignation in the great land once ruled by the czar it must surely turn in the direction of Lenine and Trotzky, the two leadersâ€"if such they may be calledâ€"who have brought the country to its present straits. Dreams of a modern paradise, as painted by these skilful manipulators, had the effect of weaning the Russians away from all ideas of law and order. Ever since the downfall of Kerensky, who undertook to follow a middle course, the nation has been in a state of the greatest chaos, if we can believe reports which come from many sources. So complete was the reâ€" vulsion against anything which savored of autocracy or rule that it came to be the saying that no man‘s life was safe in Petrograd if he wore a white collar, the latter being taken to indicate the possession of more than the proâ€" portionate share of this world‘s goods. f m Weekly Newspa | 9 . . _ BAVH . %> ~ 0PE 1 > oppty ws 4 n * vmaf until the The situation in Russia has taken a decidedly different turn with the marching of AustroGerman armies in the direction of Petrograd. The Bo!â€" wheviki have issued a proclamation calling upon the people to defend their Sotnlry "to the death" and hurried preparations are being made by a disorâ€" ganized population to meet the wellâ€"regulated and wellâ€"armed hordes of the kaiser. Just what success the Russians will have in saving something out of the wreck remains to be seen. The importance of storing a large supply of natural ice will readily be recognized when it is pointed out that there is now an absointe shortage of ammonia in the United States of 60.000,000 pounds per annum for war and ¢ommercial purposes. + Hindenburg has promised the German people that he will reach Paris hy April Ist. â€" This assurance was given several weeks ago. It looks as if he will Aprilâ€"fool the Tentons on this occasion. p=p*"! _ Weekly Newspaper, published every Thursday morning K# ity,, . _ DBAVID BEAN & S0N8, LIMITED _ _~~~~~~~~~~ <> ~ IHPr Publishers, ;"*4 41 helh a* 4 0 ts ® WATERLOO, oNT. c ADVERTISERS. High class printing, English ang German, in all branches. Notice of changes must be left at this office not later than Saturday noon Russia may prove to wan The Chronicle â€" Telegraph is finally concluded CENTRALIZATION OUF NEWSPAPERS. WILL BE AN IMPORTANT MONTH. COMPLEX SITUATION IN RUSSIA. THE COST OF ADVERTISING. NOTE be nothing but AND COMMENT. expenditure is «lways made in order to deâ€" Increase of advertising expenrse, up to the i thorn in the flesh for Germany occupied. London, Feb. 21.â€"German troops, having occupied Dvinsk, are advancing toward Phsoff, about 18 miles south, southwest of Petrograd, according to a Reuter dispatch from Petrograd. BOLSHEVIKI! WILL DEFEND PETROGRAD. Petrograd, Feb. 21.â€"The Bolsheviki leaders declare that if the German advance continues they will defend Petrograd with Red Guard and harass the German advance by gueriiia warfare. No plans have been made for the evacuâ€" ation of this city. The Bolsheviki say they will present a united front against the Germans. Newspaper opinion as to German plans is divided. GERMANS CAPTURE GUNS AND MOTOR CARS. Berlin, Feb. 21.â€"The Germans, in new advance have taken 1353 guns and 1000 motor cars from the Russians. The Russian town of Rovno has been BRITISH MAKE FURTHER ADVANGE DF THREE AND HALF MILES IN THE PALESTINE AREA: GLOSE TO JERIGHO London, Feb. 21.â€"Further advance of three and oneâ€"half miles on a front of seven and threeâ€"quarter miles h\a: been made by the British forces in Palâ€" «stine, the War Office announces toâ€"day. The British are now within four miles of Jericho. The operations are being continued. The British losses are very slight. The British also advanced northwest of Jerusalem to a maximum jepth of one mile on a front of four miles. New York, Feb. 23.â€"Despatches toâ€"day say peace negotiations with the Russians will not be resumed immediately by the Germans and guerilia war fare probably will be instituted by the Bolsheviki to impede the German adâ€" vance which appears is not moving as safely as in the first days of week The Germans, however, are meeting with little resistance on the long line. ALLIES READY TO AID RUSSIA. Petrograd, Friday, Feb. 23.â€"The allied Embassies will leave Petrograd in the event that the German advance threatens the city. They are ready. however, to did Russia to fight the Germans. St. Thomas, Feb. 18.â€"Lieut. Stanley Jteele,‘ a native son of St. Thomas. lied in a Brooklyn, N.Y., hospital Satâ€" urday afternoon after a brief illness from pleuroâ€"pneumonia. His bride of one month died Sunday evening of the same disease. Mr. Stcele received his education at the St. Thomas Collegiate Institute and was captain of the Cadet Corps for some time. He has hbeen a resident of l!rdnklyn for _ about _ five years and onlisted with the United States Aviation Corps. The remains of Mr. and Mrs. Steele will arrive ir St. Thomas for burial Tuesday. Sever al sisters and brothers of the deceas ed are residents of this district. His parents are at present in California. GERMANS WILL NOT RESUNME PEAGE BRIDE AND GROOM DIED OF PNEUMONIA SsUCCESSFUL RAID CARRIED OUT BY NEW ZEALANDERS (Canadian Press Service.) Gait, Ont., Feb. 20.â€"The Grand River is already on its annual rampage and the aggregate damage in this city and vicinity is running high. At 5.45 this morning the ice at the dam here broke and in a few minutes the water of the iiver below had risen twelve feet. In spite of the retaining walls several industries had been flooded, and their cellars are full of water. Almost the entire population is engaged in barricading against further occurances of the The Main and Concession street bridges are badly damaged, water mains are leaking and considerable damage has been caused as result of cellars in vailey being flooded. The Grand River railway bridge backed up a good deal of ice on the lower streets. The overflowing of Mill creek also flooded many places on Ainslie street and that vicinity. The Queen Street Bridge alone is available for traffic across the river. SOME ALARM IN BRANTFORD. Brantford, Feb. 20.â€"Through the heavy rains and mild weather of the past few days the waters of the Grand River have risen so high as to cause some alarm. The river is clear within the city of Brantford, but while the ice has broken up at Oak Park farm, there is a jam at Newport where many bends in the river tend to hold up the ice. As a result the water is backing GEAMAN TROOPS ARE ADVANGING TOWARD PHSOFF, SOUTH DF DVINSK; ROLSHEVIKI TO DEFEND PETROGRAD London, Feb. 21.â€"(Official)â€""New Zealand troops carried out a successâ€" ful raid early this morning, east of Poligon wood, (Flanders front), and captured a few prisoners. The eneâ€" my‘s artillery was active yesterday evening against our positions at Fles quicres. Retaining Wall Overflowed and Hundreds of Cellars are Filled With Water; Almost Entire Population Enâ€" gaged in Barricading Against Further Damage. river SITUATION IN BRANTFORD CAUSES ALARM GRAND RIVER DN ANNUAL up to the city. LMAJSE DNINEMLEIMENM!T| 7p0 P2@2E7T CROWERS IGE AT DAM BROKE EARL Y THIS MORNING I â€"â€"â€"â€"â€"mGâ€"â€"â€"â€"â€"â€"â€"â€"â€"â€"â€"â€"-â€" NEGOTIATIONS WITH THE RUSSIMNS; ENEMY ADVANGE NOT MOVING SAFLY . .Sherbrooke, _ Que., Feb. 21.â€"Four men were killed, another will die and three others were seriously injured in the shaft of the copper mine at Eusth last night on returning to surface in a car, by the fall of a large piece _ oi rock. At the: timg of the accident there were about twenty men on the car. and those who escaped injury had time to jump when they heard the rock come rushing down the shaft FQUR MINER3 KILLED IN SHAFT OF COPPER MINE Paris, Feb. 21.â€"The Frenck took 526 prisoners in the raid vesterday, in Lorraine, the war office announces toâ€"day. FRENCH TOOK Paris, Feb. 23.â€"No French merâ€" shantment and no fishing vesse!s were sumk by German submarines or runes during the week ending Febâ€" ruary 16. Police Court was quiet this . mornâ€" ingd. Thore were no cases returnable today nd no court was held. NO FRENCH VESSEL3 SUNK NO POLICE COURT CASES 526 PRISONERS Transfer of Considerable Part of Line Below St. Quentin from French. Great credit is due the French for} he excellent condition in which they| left the defences in this important regâ€" on. Untold confusion perhaps disasâ€" er, might have resulted had the Geâ€" ‘ensive system been inferior, but it usI such as to draw the highest vrais> rom the British command. When the correspondent visited his sector a few days ago he . found he British firmly established in their riew home. The section is one of the most interesting on the British line. ‘t is a country of wooded hills, pleas int valleys and quaint, ancient towus. nany of which are now in rains. but till retaining some of the picturesque ‘eatures which made them _ favorite itopping place for tourists in days beâ€" ‘ore the war. 1 oTRETGH TAKEN BY THE BRITISH By R. T. SMALL. With the British Army in France Seb. 21.â€"Another striking | fllustraâ€" icn of the coâ€"ordination between the illied armies on the western front has een given in the successful transfer f a considerable stretch of the front elow St. Quentin from French to Briâ€" ish hands. From tne inception of this lelicate operation no hitch occurred Thousands of French troops and scorâ€" *s of great batteries moved quictly ind methodically out of the line day ifter day to make room for similar Yritish units. It was done as easily as hough the whole vast programme had ‘"een rehearsed. . Paris, Feb. 23.â€"(Official): Frenck troops last night raided German pos: tions north of the Ailettc river and in the Champagne. Prisoners and war material were brought back by the French. The price argument, in selling mer chandise, has not lost its force. You‘l find in the ads now, as always. St. Quentin, which formerly was lominated by both French and British irtillery, is a fascinating | spectacle, sartly because of its â€" magnificent nins and partly because of the great orce of German troops which finds marters there. Longâ€"continued _ gun ire has reduced the principal bmld: ngs to a state of ruin, but the grand ‘ir 6f the place has not departed. The tructures of the city are only shells » their former selves. The white walls f the wonderful cathedral sti‘l rea: hemselves high above the town and ‘re visible for many miles, but they e badly shattered, and the roofs rave long since been blown away. The "own Hall, the Palace of Justic» ind ther buildings are in a similar condiâ€" ion. Occasionally one sees a dark fignre ramed in some \‘dnw of one of the nay towers in St. Quentin. Otherwise here is no sign of life, although it is nown that thousands of men are hid len among the ruins. St. Quentin af ‘ords the Germans many excellent obâ€" :ervation points, but none bette= than ire possessed by the British. To Our Beet Growers â€" By increasing the minimum price to be paid from $6.00 to $9.00 per ton, (taking all the risk of lower prices) WE ARE DOING OUR PART. We are sure all the farmers, with whom our relaâ€" tions in the past have been most pleasant, will do theirs and sign contracts for increased Sugar Beet Acreage. *‘ The above appeal, however, is secondary compared with that of Food Production. It is imâ€" perative that Canada produce, at home, ail her food stuffs...Every pound of sugar or any other food product imported into Canada means just so much money leaving this country and placing the baiâ€" ance of trade against us. Last year Canada sent out of the country for the purchase of sugar alone approximately fifty million dollars, leaving this country so much the noorer. it is the duty of every patriotic farmer in the vicinity of the factory to grow Sugar Beets in order for Canada to be indeâ€" pendent of foreign countries for this valuable and necessary food product. Thus allowing Canada not only to be assured of a supply of sugar at a time of the year when it is very scarce but also making to the prosperity of the country by leaving this money at home. Had it not been for the sugar manufactured from beets in the United States and Canada durâ€" ing the months of November and December, 1917, and January, 1918, there would have been an abâ€" solute sugar famine in North America, and those farmers growing Sugar Beets last fall can take credit for the saving of the situation in this respect. PRISONERS TAKEN Under normal cortditions this price would be impossible, and‘it is only with the expectation that sugar prices myst of necessity remain high that we have decided to pay on the above basis. Having agreed to pay a minimum price of $9.00 per Aom flat rate basis, and $8.75 per ton sugar per cent. basis, for sugar beets the coming season, we wish to make a few explanations. in order to meet our Growers so generously, it is quite necessary also for us to secure a maxi} mum acreage for the full capacity of our three Refineries. Sign up Now! Dominion Sugar Co. » CALL TO DEFEND FATHERLAND. â€" I Petrograd, (Thursday), Feb. 22.â€"(By Associated Press)â€"A proclamation ordering the resistance to the German advance, calling on all Russians to deâ€" ! iend the Fatherland and deciaring Pet rograd in a state of seige was issued to: '-fight from Smoiny Institute, the Bolsheviki headquarters. The proclamation was issued at the order of People‘s Commissaries and is signed by Premier lb.eninc and Ensign Krylenko, Bolsheviki Commanderâ€"inâ€"Chief. UKRAINIAN TROOPS DESERT RUSSIA. London, Feb. 22.â€"Austrian and German troops are advancing in south, simuiltaneously with the Germans in the north and Ukrainian troops are reâ€" ported to have joinzd them against the Bolsheviki. BOLSHEVKI 155UES PROGLAMATION l CALLING DN ALL RUSSANS T0 COME > T0 DEFENGE OF THE FATHERLANDâ€" London, Feb. 22.â€"Defence to the death against Germany is ordered in a proclamation of the Russian Commissaries, Reuter‘s Petrograd correspondent telegraphs. The Commissaries appeal to the soldiers to destroy the railways and provisions and compel the Bourgeoisis to dig trenches under penalty ofq death. Berlin, Feb. 22.â€"A regiment of Russian Esthonian troops has gone over to the Germans, the war office announces. The Polish legions of the Russian army have offered an armistice in t prevailing civil war on condition of a free passage in any direction and a now trying to reach Warsaw. Petrograd, Sunday, Feb. 25.â€"Their knees are on our chest and our ;onl- tion is hopeless, declared Nickolai Lenine, Bolshevik !‘r:mier, in the course of his long speech to the Control Executive Commitics of the all Russian Douncil of Workmen and Soldiers‘ delegates in which he insistently urged the acceptance of Austroâ€"German peace conditions, however, oppressive and unfortunate they might appear. This peace must be accepted as a respite, he sontinued. Enable us to prepare a decisive resistance to the Bourgeoise and Imperialism. The Proletariat of the whole world will comz to our aid. Â¥ Thomas A. Edison, who, was 71 years of age on Monday, attributes hi# physical and mental activity to the fact that he never wears any article that presses upon his body. He insists on loose mnn.rn and easyâ€"fitting shoes. That‘s all right for an Edison, says an exchange. but it‘s a safe bet there ie any number of young people who will continue to risk everything that they may appear in stylish and cornâ€"provoking shoes. Beans furnished a most prolific crop last year. both in the United Statem ind Canada. In the former country, it totalled about 20,000,000 bushels; yet every housewife knows to her cost how the price has soared. Even that. the situation might be ameliorated if the sunply was confined t> native product, but unfortunately the everwidening maw of the war makes that impossible. In consequence, they are being supplemynted shipments from Burmah and China, and anything in the way of v ge!lt: from the latter source especially, owing to their questionable monhnz- of l‘ tilization, are sure to be viewed with suspicion by some. P POLISH LEGIONS ~DFFER A N ARMISTICE Austrian and German Troops Advancing in South Simâ€" ultaneously With the Germans in the North â€" Ukâ€" rainian and Esthonian T roops Join the Enemy. BOLSHEVIKT LEADER PLAGES DESTINY â€" UF RUSGIA N HANDS OF GENMAANY; DEGLARES FATHERLAND 15 HOPELESS year. both in the United State® i about 20,000,000 bushels; the price has soared. Even ho siunply was confined t> widening maw of the war ZLimited