Full text of H.16 Capital Market Developments : April 1, 1963

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Not for Publication DECONTROLLED AFTHTR SIX MONTHS

H. 14
LIBRARY

APR 3 1963
rtXiPAl

April 1, 1963.

r

/ CAPITAL MARKET DEVELOPMENTS
IN THE UNITED STATES

3Mi>a eluding Review of Capital Market Developments in March)

The volume of public security financing to obtain new capital
was very substantial last week but is expected to be more moderate this
week. During the week ending March 29, two large corporate issues
totaling $222 million and five State and local government bond issues
amounting to $100 million were offered. This week, ending April 5,
three corporate issues, including an expiring rights offering, amounting
to $172 million and two State and local issues with par value of $49
million are expected to be offered to obtain new capital. In addition
the Southwestern Electric Power Company is scheduled to offer $30 million
in bonds, most of the proceeds from which are to refund outstanding
securities.
Bond yields. Yields.on seasoned, long-term bonds either rose
slightly or were stable last week. U. S. Government bond yields edged
up a basis point to 3.95 per cent, their highest level since early last
September, while yields on Baa-rated corporate bonds also rose a basis
point to 3.88 per cent. Yields on Aaa-rated corporate bonds and on State
and local government bonds were stable.
Yields on new corporate bonds, adjusted to an Aaa basis, were 4.36
per cent last week, twenty basis points above the average for the previous
week; most of this increase, however, was probably due to the large size
of one of last week's issues.
Short- and intermediate-term interest rates. Rates on 3-month
and 6-month Treasury bills rose one and two basis points, respectively,
last week; yields on 3-5 year U . S .
Government obligations increased two
„
basis points to 3.53 per cent, their highest level since late last
September. The major financing companies increased the advertised rate
on their paper with 90-179 day maturity by one-eighth4)f a percentage
point to 3-1/4 per cent early last week; as a result, the average yield
on such paper advanced ten basis points to 3.23 per cent. The average
effective Federal funds rate rose ten basis points to 3.00 per cent.
Other rates were unchanged.
Mortgage recordings. Seasonally adjusted nonfarm mortgage
recordings of $20,000 or less edged off slightly in the NovemberJanuary period, the latest available on a three-month moving average
basis. At $2,916 million, the monthly rate was only 2 per cent under
the high reached in the June-August period however, and was 6 per cent
above a year earlier.
Government-underwritten mortgages accounted for 28 per cent
of the unadjusted total in January. This compared with 29 per cent
a year earlier and 26 per cent in January of 1961.




Based oil the evidence from the mortgage recordings series,
the average size of loan has changed very little in recent months. In
January, the average amount per.loan was $9,357. While this was 3 per
cent greater than a year earlier, it compared with a year-to-year
expansion of 8 per cent in January of 1962; by then the major impact
of the earlier liberalization of terms had already occurred.
Stock prices. Common stock prices advanced moderately in
fairly active trading last week. Prices, as measured by Standard and
Poor's composite index of 500 stocks, rose about one-half of one per
cent on balance to close at 66.57 on March 29. Trading volume
averaged 3.9 million shares a day, 0.5 million shares more than in
the previous week.
Estimated April security financing. Security financing by
corporations and State and local governments to obtain new capital is
expected to be in fairly substantial volume in April.
Corporate new capital security financing, including expiration
of rights offerings, is expected to total $850 million in April, the
same as the revised estimate for March but almost one-fourth less than
the large April 1962 volume. Public offerings of $15 million or more
currently scheduled for this month amount to $376 million; this includes
the expiration of a $107 million common stock rights offering of
Consolidated Edison Company, the largest such offering since the $965
million American Telephone and Telegraph Company rights issue of
April 1961.
Bond sales by State and local governments are estimated at
$850 million in April, one-tenth less than last month but about the
same as a year earlier. Large issues currently on the calendar for
sale in April have a par value of $381 million.
Capital markets in March. Corporate security financing to
obtain new capital was in fairly substantial volume in March, while
sales of State and local government bonds were quite large. Corporate
bond yields were fairly stable, but yields on State and local
government bonds declined.
Security financing to obtain new capital by corporations totaled
$850 million in March, one-fifth more than in February and slightly
more than a year earlier. Large issues for new capital sold publicly
amounted to $394 million, consisting of nonconvertible bond sales of
$372 million--the largest volume since last October—and a $22 million
common stock offering. An additional $50 million in bonds were
sold to refund outstanding securities.
Investors interest in new issues was selective. As a
result, unsold syndicate balances were fairly substantial at
month-end, despite termination of syndicate price restrictions
on several issues. The largest issue of the month however, the
$200 million Socony Mobil Oil Company debenture issue sold last
week, was offered to investors at a yield that was probably somewhat
above secondary market rates and as a result was largely distributed
FRASER
by month-end.

Digitized for


Bond sales by State and local governments totaled $950
million in March, over one-third more than in February and the largest
volume since February 1962. Yields on seasoned, Aaa-rated State and
local government bonds dropped nine basis points to 2.93 per cent,
their lowest level since mid-December and only five basis points
above last year's low, with all of the decline taking place around
mid-month. Underwriters bid fairly aggressively for most issues
early in the month and investor demand was quite strong; after
mid-month, however, investor interest became very selective at the
reduced interest rate level prevailing and many new issues moved
rather slowly. As a result, dealers advertised inventories of unsold
securities, which had been reduced early in the month, rose to
around $630 million at the month-end, $125 million more than a month
earlier and only $50 million under their mid-May 1962 peak.
Common stock prices recovered their late February losses
during March in moderate trading., Prices, as measured by Standard
and Poor's composite index of 500 common stocks, rose almost four
per cent on balance during the month to close at 66.57 on March 29.
This was only nominally above the February peak but put average
prices back seven-tenths of the way between last June's low and the
December 1961 peak. Trading volume averaged 3.6 million shares a
day, 0.7 million shares less than in February and the smallest
monthly average since October.
More detailed information concerning recent capital market
developments is presented in the attached exhibits.

Capital Markets Section,
Division of Research and Statistics,
Board of Governors of the Federal Reserve System.




r

EXHIBIT A, Port

LONG-TERM BONO YIELDS, HIGH-GRADE

COirOIATt AM

STATE ANP 1 0 C A I G 0 V E I N M I N T A i e

LI I II I I 1 I

I I. II I

M M I M I I

M I II II M

Exhibit A - P a r t II

Corporate
Aaa JL /

U. S. Govt.
long-term 2/

State and
local
government
Aaa 3/

Spread between
D. S. Govt, and
State and
Corporate
local Aaa

(per cent)

J

1958 - Low
1959-60 - High
1960-61 Low
1961 - High
1962 - Low
1963 - High
Low

3.55
4.61
4.21
4.46
4.23
4.22
4.19

Mar.
Mar.
Mar.
Mar.
Mar.

4.19
4.19
4.19
4.19
4.19

1
8
15
22
29 j>/

(5/2)
(3/29/60)
(3/17/61)
(9/15)
(12/28)
(1/4)
(3/29)

3.07
4.42
3.70
4.07
3.85
3.95
3.87
3.94
3.92
3.93
3.94
3.95

(4/25)
(3/8/60)
(5/13/61)
(12/29)
(12/28)
(3/29)
(1/18)

2.64
3.65
2.99
3.37
2.88
3.02
2.93

(5/1)
(9/24/59)
(9/1/60)
(7/6)
(13/8)
(3/7)
(3/28)

3.02 .

3.02
2.98
2.93
2.93

.22
.59
.19
.57 '
.30
.35
.24
.25
.27

.26
.25
.24

.34
.92
.46
.76

.80

1.02
.90
.92
.90
.95

1.01
1.02

p/ Preliminary.
1/ Weekly average of daily figures. Average teim of tenia inoluied is 22-24 years.
2J Weekly average of daily figures. The series includes bonds due or callable in 10(years or more,
3/ Thursday figures. Only general obligation bonds are includedj average term is 20 years,
"ote.—Higbs and lows are for individual series and may be on different dates fcr different
series, i'or spreads, high refers to widest, and lor to narrowest*




LONG-TERM BOND YIELDS, LOWER-GRADE

.4:9

CORPORATE Bon

LLLLLi
1959

1960

U II I I II I I I I I I
1961

Exhibit B - Part II

Date

Corporate
Baa If

State and
local govt.
Baa 3/

Spread betv»een
Aaa and 1$aa
State and
Corporate
local govt.

(per cent)
1958 - Low
1959-60 - High
1960-61 Low
1961 - High
1962 - Low
1963 - High
Low
Mar.
Mar.
Mar.
Mar.
Mar.
Note:

1
8
15
22
29 £/

4.51
5.36
4.98
5.13
4.92
4.93
4.87

(7/11)
(2/12/60)
(9/9/60)
(10/27)
(12/21)
(1/4)
(3/22)

4.88
4.88
4.88
4.87
4.88

For footnotes seeTbchibit A,




3.64
4.46
3- 93
4.16
3.52
3.57
3.55
3.57
3.57
3.57
3.55
3.55

(5/1)
(3/7/60)
(11/9/61)
(3/23)
(5/17)
(3/14)
(3/28)

.77
.84
. 66
.81
.63
.71
.68

.93
1.08
•57
.93
.56
.63
.55

.69
.69
.69
.68
.69

.55
.55
.59
.62
.62

EXHIBIT C. Port I

SHORT- A N D INTERMEDIATE- TERM INTEREST RATES, GOVERNMENT^

Exhibit C * Part II

Date

1958 - Low
1959-60 High
1960-61 Low
1961-62 High
1962 - Low
1963 - High
Low
Mar.
Mar.
Mar.
Mar.
Mar.

1
8
15
22
29 j>/

Discount
rate
1/

1.75
4.00 "
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
3.00
I 3.00

3-month
bills 2/

.58
4.59
2.11
2.97
2.65
•2.95
2.88

(5/29)
(1/8/60)
(10/28/60)
(7/13/62)
(6/8)
(2/8)
(3/15)

2.90
2,89
2.88
2.90
2.91 /

Yields
6-month
bills 2/
(per cent)
3.02
5.07
2.35
3.13
2.74
3.00
2.93
2.94
2.93
2.94
2.96
2.98

3-5 year
issues 2/

Spread between yields on 3month bills and yields on
6-mo. bills 13-5 vr. issues

(12/26) 2.14 (6/6)
(3/8/60) 5.00 (12/24/59)
(4/28/61)3.15 (5/12/61)
(7/20/62)3.88 (2/2/62)
(6/8)
3.41 (12/26) .
(2/8) 3.53 (3/29)
(3/8) 3.44 (1/18)
3.50
3.49
3.49
3.51
3.53

.26
.79
.12
.44
.02
.07
.04

.04
1.81
.38
1.51
.52
.62
.52

.04
.04
.06
.06
.07

.60
.60
.61
;61
.62

1/ Weekly rate eh own Is that in effect at end of period at the Federal Reserve Bank of New York.
2/ Market yield; wedcly averages oonputed from daily closing bid prices. Series of 3-5 year issues
consists of selected notes and bends*
note.—Highs and lows are for Individual series and may be on different dates for different series*
Tor spreads, high refers to widest, and low to narrowest.




EXHIBIT D, Pari I

SHORT- AND INTERMEDIATE- TERM INTEREST RATES,
BANKS A N D OTHER PRIVATE BORROWERS

STOCK EXCHANGE
C A l l LOANS
Going Rate

n

" F I N A N C E COMPANY P A P E R -

_
PRIME RATE

f . R . DISCOUNT RATI

llllllll /I

1

N e w York

l II I I l

IlIl1II I IIIIlIIl

l I I l I I I l l I l

Exhibit D - tart II

Date

Stock Exchange
call loan 1/

Prime
rate 1/

Finance company
paper 2/

Federal
funds 3/

Spread between
3-mo. bills and
finance co. papier

(per cent)
1958 - Low
1959-60 - High
1960-61 Low
1961-62 - High
1962 - Low
1963 - High
Low

3.50
5.50
4;50
4.50
4.50
4.50
4.50

3.50
5.00
4.50
4.50
4.50
4.50
4.50

1.13
5il3
2.50
3.25
2.88
3.25
3.13

.13 (5/29)
(6/8)
(1/22/60) 4.00 (5/13/60)
.43 (3/27/61)
(8/5/61)
(7/20/62) 3-00 (12/28/62)
1.30 (3/26)
(6/1)
3.00 (3/29)
(1/11)
2.70 (1/11)
(3/22)

Mar.
Mar.
Mar.
Mar.
Mar.

4.50
4.50
4.50
4.50
4.50

4.50
4.50
4.50
4.50
4.50

3.13
3.13
3.13
3.13
3.23

3.00
3.00
3.00
2.90
3.00

1
8
15
22
29 £/

-.35
1.02
.11
.56
•19
.36
.18

.

.23
.24
.25
.23
.32

Weekly rate shorn is that in effect at end of period. Stock Exchange c a n loan rate in going rate
on call loans secured by customers' stock exchange collate m l at New *ork City banks.. Prime rate
is that charged by large banks on short-*enn loans to business borrorers of the highest credit
Averag?of daily rates published by finance companies for directly placed paper for varying maturities
3/ Weekly averaged drily'effective rate, which is the rate for the ^heaviest Toliane of purchase and
sale transactions as reported to the Federal Reserve Bank of New York.
Note.for
Highs
and lows a re for individual series and may be on different dates for different series.
Digitized
FRASER
For spreads, high refers to widest, and lor to narrowest. .



EXHIBIT E, Fori

STOCK MARKET

STOCK * 4 * * 1 1 CREDIT
CHANGE I N SERIES

Exhibit B - Part II

Stock price
index 1/

1961-62 - High
Low
1963
High
Low

I t f i W

February
March
Mar. 15
Mar. 22
Mar. 29 g /

65.92
65.67
65.93
66.19
66.57

72.04(12/8/61)

64.10 (3/1)

Stock market customer credit
Trading
Common .
Bank
Customers 1
volume 3/
stock
Total debit bal- loans to
yields _2/ (millions
a n c e s ^ / "others" 5/
(per cent) of shares)
(In millions of dollars)
2.82
3.96
3.23
3.36

10.1
2.4
4.8
3.3

c/3.27
3.28
3.28
3.26
3.25

4.2
3.6
3.5
3.4
3.9

5,602(12/61) 4,259
4,876(7/62) 3,562
5,717(2/63)4,332
5,595(1/63)4,208
5,717

4,332

(12/61) 1,377(6/30/61)
(7/62) 1,269(9/26/62)
(2/63)1,425 (3/20)
'(1/63)1,378 (2/23)
1,385
1,405
1,425

n.a.—-Hot available. p/ Preliminary.
V
Standard and Poor's composite index of 500 cannon stocks, weekly closing prices, 1941-43"10.
Monthly data are averages of dally figures rather than of Friday's only. Highs and lows are for
Friday's data only.
2j Standard and Poor a composite stock yield baaed on Wednesday data converted to weekly closing
prices by Federal Reserve. Yields eh own are for dates on which piioe index reached its higx
or low.
3/ Averages of daily trading volume on the Hew York Stock Exchange.
A/ End of month figures for member fines of 1he Hew York Stock Exchange Wiioh carry nargln accounts;
excludes balances secured, by U. 3. Government obligations.
5/ Wednesday figures for weekly reporting member banks. Excludes loans for purchasing or carrying
U. S. Government securities. Prior to July 1, 1959, such loans are excluded only at banks in
and Chicago. Weekly reporting banks account ibr about ,70 per cent of loans to others.
Digitized Hew
for York
FRASER
For further detail see Bulletin*



lo
MORTGAGE RECORDINGS AND LOANS ^
B i l l i o n * of d o l t

Monthly

1955

Mil

1156

1*6%!

Exhibit F - Part II

1
I

.1

Date

Tot<al
Seasonally
Unadjusted
adjusted 2/

FHA

VA

Conv,

(Millionsi of dollairs)
1962 - Jan.
Feb.
Mar.
Apr.
May
July
Aug.
Sept.
Oct.
Nov.
Dec.
1963 - Jan.

2,696
2,682
2,670
2,745
2,836
2,891
2,973
2,933
2,929
2,925
2,939
2,916

2,459
2,238
2,627
2,704
2,983
3,075
3,134
3,333
2,861
3,208
2,883
2,682
2,658

480
398
418
372
403
404
433
465
431
546
492
429
504

227
175
205
182
184
207
219
247
231
285
254
236
254

mxmm

1,752
1,665
2,004
2,151
2,397
2,464
2,482
2,621
2,199
2,376
2,137
2,017
1,900

n.a.—Not availabli

&


"mree: SS.1tSSoi!M'


^

BOMd

*

, e i e m l H

""l=e AdmUl.tratim and Veteran,

EXHIBIT 6. Pari 1

YIELDS O N NEW AND SEASONED COftPORAtE BONDS

NEW ISSUES
Adjusted to Aaa B

SEASONED A l l

Exhibit 6 - Part XI
Yields on Hew Corporate Bond Issues Adjusted to an Aaa basis
Number Am't of Issues
of
Included (mil.
issues
Weekly averages:
1962 - Oct, 5
12
19
26
Nov, 2
9
16
23
30
Dec. 7
1U
21 .
28
1963 - Jan. U

1

2
: 3
2
2
2
3

—

,

75.0

U.22

275.0
85.0
37.0

U.29
lull*
U.13

19%8

72.5

87,0

U5.o
——

1

Average
yield

25.0

1.00*
1.17
h.2k
h.2$

Number Am't of issues Average
of
Included (mil.
yield
(per cent)
Issues of dollars)
Jan. 11
18
25
Feb. 1
8
15
22
M&r. 1
8
15

22

29

1
1
2

1
Z
: .k
1
2
2
3
2

70.0
35.0
75.0
25.0
6U.0
100.0
12,0
55.0
2it.lt
87.0
222.0

.

L23
U.13
li.22
U.21
it.27*
li.19
I1.1U
U.25*
Lie
4.16
4.36*

—

1.19

a iiy Mooays anTBitore oerwioe iexcept serxsjL ana confers! oxb as sues, oixerongs or nsTuraa. gas pipe time
and foreign companies, and bonds guaranteed by the federal, Government) weighted by U s e of offering. 1
Before averaging, new offerings are adjusted to a composite JUa basis by deducting from the actual
reoffering yield tie excess of the weekly average yield for seasoned binds of the appropriate Industzyquallty g«>np over the composite average for seasoned Aaa^rated tends (lfeody's). Averages considered
unrepresentative
beofcee of special characteristics of t e offerings Included are denoted by an asterisk^




1%
H.14

- Exhibit H
Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)
New capital
1963

Corporate 1/
1 1962
|

1961

1963

State and local 2/
|
1 1962 r/

1961 r/

January
February

2/584
e/700
e/850

592
859
807

580
667
562

j>/694
e/700
e/950

April
May
June

e/850

1,113
760
1,132

2,118
1,259
1,318

e/850

582
749
579

1,028
762
647

612
544
427

486
604
734

835
703
1,103

1,090
948
1,000

650
578
. 550

679
789
610

2,258
3,005
1,910
2,641

1,809
4,695
2,437
3,038

5,264
7,173
9,814

6,504
8,941
11,979

July
August
September
October
November
December
1st
2nd
3rd
4th

quarter
quarter
quarter
quarter

e/2,134

1st half
Three quarters
Year

e/2,350

876
1,133
628

711
689
764

873
912
786

722
640
1,034

2,637
2,571
1,582
1,779

2,165
2,396
1,824
2,078

5,208
6,790
8,568

4,561
6,385
8,463

Excluding finance companies 3/
1st
2nd
3rd
4th

quarter
quarter
quarter
quarter

e/2,034

Year
e/
JL/
2/
3/

2,199
2,919
1,775
2,410

1,554
4,552
2,337
2,807

9,303

11,253

Estimated by Federal Reserve.
j>/ Preliminary.
Securities and Exchange Commission estimates of net proceeds.
Investment Bankers Association of America estimates of principal amounts.
Total new capital issues excluding offerings of sales and consumer finance
companies.




!>

Exhibit I
New Corporate Security Issues, Type of Issue and Issuer
(In millions of dollars)

Quarter
month

Total

Gross proceeds f
capital and refuiidina 1/
Connnon
and
foreign
Publicly Privately
pfd.
issues
offered offered
stock
included

IWet proceeds for
lew capital 1/ 2/
Mfg.

Public Communiutility cations

Other
issuers

1960 - II
III
IV

2,537
2,520
2,832

1,074
1,336
1,462

770
754
955

692
429
416

27
38
17

511
562
625

808
652
696

149
317
381

913
896
997

1961 - I
II
III
IV

1,992
5,352
2,566
3,236

662
2,303
772
967

880
1,275
1,139
1,424

449
1,774
654
845

76
155
69
62

515
1,466
935
792

381
1,081
595
836

81
1,095
104
147

832
1,052
803
1,263

1962 - I
II
III
IV

2,378
3,250
2,184
2,957

1,155
1,389
853
1,089

716
1,222
1,024
1,568

507
639
307
300

68
257
. 56
179

655
996
601
769

430
983
375
568

456
231
275
321

717
794
659
986

July
Aug.
Sept.
Oct.
Nov.
Dec

2,231
1,342
1,779
1,075
813
678
1,155
987
1,094

713
666
924
424
225
123
336
414
217

348
355
572
392
411
336
509
348
567

1,170
320
283
259
177
218
310
225
310

71
35
49
52
7
10
25
12
25

574
447
446
428
255
252
271
215
306

254
439
389
269
215
111
306
362
168

994
85
16
16
13
75
25
80
42

297
289
467
315
279
209
487
291
485

1962 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

647
884
847
1,217
801
1,232
630
922
632
976
784
1,197

273
497
386
654
247
488
200
477
176
539
286
264

232
232
253
227
420
575
366
363
295
314
446
808

143
155
209
336
134
169
67
82
161
123
52
125

3
12
54
10
147
100
13

205
131
318
384
270
342
217
218
166
153
271
345

89
148
193
377
196
410
118
110
148
141
175
252

73
362
21
88
64
79
88
120
67
260
4
.57

225
218
275
264
229
301
159
301
199
282
253
451

681
715

350
260

238
375

94
80

.18

133
220

118
120

125
60

208
300

1963 - I
1961 - Apr.
May

1963 - Jan. j j /
Feb. e/
Mar.

43
46
34
99

j>/ Preliminary.
e/ Estimated by Federal Reserve.
1/ Gross proceeds exceed
net proceeds by the cost of flotation.
2f For total see Exhibit H; other issuers
are extractive, railroad and other transportation, real estate and finance and
commercial and other. Source.—Securities and Exchange Commission.




tXllxDXL

J

Other Security Offerings
(In millions of dollars)

Foreign government 2/
1963
I
1962
1
January
February
March
April *
May

2/232
e/175

142
10
35
10
86
50
25
8
31
151

July
August
September
October
November
December
Year
Jan, -Feb,

e/407

Gross long-term 1/
Federal agency 3/
1962
6
29
20
2
66
29
5
2

£/--

e/148

246
156
252
100
149
278
250
193

150
175

43
34

737

236

152

35

225

1,188
e/148

1,448

402

Net short-term 4/
Federal agency 3/
State and local government 5/
January
February
March
April
May
July
Angust
September
October
November
December
Year

£.7-53

18
466
-186
127
-84
-118
78
339
-406
71.
2/233
j)/~168

54
-116

&/370

520

484

355

Jan. - Feb.

160
195

2/-283
2/-118

-8

-103
-42
-155
109
518
-86
-6

£/-401

247
-156
226
-364
82
284
261
227
-157
379
55
-80

-144
-162
-174
-79
-87
207
22
193
108
98
56
-114

1,004

-76

91

-306

Preliminary,
e/ Estimated by Federal Reserve.
n.a.--Not available.
These data differ from those in Exhibit H in that refunding issues, as well as
new capital issues are included. Long-term securities are defined as those
maturing in more than one yearIncluded securities offered in the United States by foreign governments and their
1/
political subdivisions and international organizations. Source: Securities and
Exchange Commission,
Issues not guaranteed by the U. S. Government. Source: long-term, Securities
1/
and Exchange Commission; short-term, Treasury Department and Federal Reserve.
4/ These data differ from those in Exhibit H and above in that they represent new
offerings less retirements, whether from the proceeds of refunding issues or from
other liunds. Data include only issues with original maturity of one year or less.
Principally tax and bond anticipation notes, warrants or certificates and public
1/
Digitized Housing
for FRASER
Authority notes.
In some instances PHA notes included may have a somehttp://fraser.stlouisfed.org/
what longer maturity than one year. Source? Bond Buyer and Federal Reserve.

t,

Federal Reserve Bank of St. Louis

Exhibit K

H.14

/f

Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) 1/
Proceeds of Large Issues Offered
(In millions of dollars)
Corporate
Month

Total

1962 - March
April
May
July
August
September
October
November
Decmeber
1963 - January
February
March

|
i
1
:

(other than
convertibles)

366
648
200
472
165
286
191
434
178
198
234
186
394

Convertible
bonds

330
430
170
387
135
226
100
398
178
178
215
125
372

15
51

60

Stocks

State
and
local
government

--

91
36
20
35

30
55
88
30
20

259
423
373
266
321
272
153
320
217
193
344
367
570

21
167
30
85
30

19
26
22

Other
2/

194
25
75 .
43
63

Large Individual Issues Offered during March

Issuer

Type 3/

Coupon
Amount
Offering
rate or
(millions
Maturity
net inter- yield
of
est cost
dollars)

Rating

CORPORATE
Northwestern Bell Tel. Co.
Atlantic City Elec. Co.
Oklahoma Gas & Elec. Co.
**Kansai Electric Power Co.,
Inc.
Crown Cork & Seal Co., Inc.
General Tel. & Electronics
Corp.
Texas Electric Service Co.
Socony Mobil Oil Co.

Deb.
1st mtg.bds.
1st mtg.bds.
Com.stk.
S.F.deb.
Deb.
1st mtg.bds.
Deb.

40.0
15.0
15.0

2003
1993
1993

4-3/8
4-3/8
4-1/4

4.27
4.26
4.24

Aa
Aa

21.8
30.0

1988

4-3/8

4.29

A

50.0
22.0
200.0

1988
1993
1993

4-1/2
4-3/8
4-1/4

4.43
4.27
4.22

Baa
Aa
Aaa

STATE AND LOCAL GOVERNMENT
State of Minnesota
De Kalb Co. Ind. Sch. Dist.,
Ga.
Penna. General State Auth.
Louisiana Fiscal Auth.
Boston Metro. Dist., Mass.
State of Illinois




G.0.
G. 0.
Rev.-Rent.
Rev.-Q.Ut.
G.0.
G.0.

29.4

1964-83

2.72

1.60-3.00

Aa

12.0
25.0
20.0
10.9
150.0

1966-93
1966-90
1964-83
1964-93
1964-88

3.20
3.18
3.31
3.08
2.88

2.00-3.50
1.90-3.35
1.70-3.55
1.60-3.30
1.50-3.10

A
—

Baa
Aa
Aaa

H. 14
Large Individual Issues Offered during March (Cont'd)

Issuer

Type 3/

Coupon
Amount
Offering
rate or
(millions
Maturity
net inter- yield
of
est cost
dollars)

Rating

STATE AND LOCAL GOVERNMENT
(CONT 'D)
Missouri-Illinois Bi-State
Development Agency
San Francisco, Cal.
Public Housing Auth.
•Los Angeles Dept. of Wtrand Pwr., Cal.
Florida Development Agency
State of Massachusetts
Macomb Co.5 Mich,
Columbus, Ohio
Puerto Rico Water Resources
Auth.

,

1965-93
1964-83
1963-2003

2.63
3.04

4.10='
1.50-2.90
1.40-3.30

Rev.-Ut.
Rev.-Ut.
G.O.
G.O.
G.O.

21.0
15.0
41.6
10.3
18.2

1964-93
1983
1964-2002
1962-91
1964-98

2.97
3.64
2.85
3.08
2.95

1.55-3.20
3.56 *
1.50-3.25
1.60-3.40
1.60-3.25

Aa
A
Aa

Rev.-Ut.

15.0

1965-99

3.40

1.80-3.45

A

--

OTHER
None
^--Rights offering.
**—Foreign issue.
1/ Includes corporate and other security offerings of $15 million and over;
State and local government security offerings of $10 million and over. '
2/ Includes foreign government and International Bank for Reconstruction and
Development issues and non-guaranteed issues by Federal agencies.
3/ In the case of State and local government securities, G.O. denotes general
obligations; Rev.-Ut., revenue obligations secured only by income from
public utilities: Rev.-Q.Ut., revenue bonds secured only by revenue from
quasi-utilities; Rev.-S.T., revenue bonds secured by revenue from specific
taxes only; Rev.-Rent., revenue bonds secured solely by lease payments.
4/_ Bonds due 1965-78 were placed privately.




LL[

26.5
37.2
137.9

Rev.-Ut.
G.O.

--

Aa
Aaa
Aa

H.T4

Exhibit L

Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U. S. Treasury) 1/
Expected Proceeds from Forthcoming Large Issues

Date of
computation

During month following
date shown
State and
Corporate
Other 1J
local govt.
628
185
587
120
302
170
363
203
170
269
167
142
376

1962 - Mar. 30
Apr- 30
May 31
June 29
July 31
Aug. 31
Sept. 28
Oct. 31
Nov. 30
Dec. 28
1963 - Jan, 31
Feb. 28
Mar. 29

453
333
184
202
273
61
187
96
194
177
376
458
381

__

95
55

175

75
25
---

45

Subsequent to
date shown
State and
Corporate
local eovt.
693
598692
458
477
312
546
328
360
314
412
572
<421

539
452
337
377
427
215
387
243
328
311
843
755
763

Other 2/

95
55
25
175

75
25
33
45

Forthcoming Large Offerings, as of March 29

Type

; Commercial Credit Co.
Hartford Elec. Light Co.
consolidated Edison Co.
Northern Indiana Public Service Corp.
Pacific Northwest Bell Tel. Co.
^Arkansas Louisiana Gas Co.
^Tennessee Gas Trans Co.
Consolidated Natural Gas Co.
Tampa Electric Co.
Commerce Oil Refining Corp.

Notes
1st mtg. bds.
Com. stk,
1st mtg. bds.
Deb.
1st mtg. bds.
Pfd.stk.
S.F.deb.
1st mtg. bds.
Deb -, bds. & com.

Amount
(millions
of dollars)

50 .0
15,.0
107 .4
30..0
50..0
45. 0
20. o
35. 0
23. 2
45. 0

Approximate date
of offering

April 2
April 4
April 5
(rights expire)
April 10
April 17
April 17
April 23
April 24
April 25
Indefinite

STATE AND LOCAL GOVERNMENT
Cleveland, Ohio
Philadelphia, Pa.
Brevard Co. Special Tax Sch. Dist.
No. 1, Florida
City of Detroit, Mich.
State of California
Duval Co. Special Tax Sch. Dist., Fla.
*Albuquerque, N. M.
Omaha City Sch. Dist., Neb.




Rev .-Ut.
G..0.
Rev.,-S.T.
G. 0.
G. 0.
Rev. -S.T.
G. 0.
G. 0.

12.,0
37.,2
12. 0
10. 5
100. 0
10. 0
10. 7
25. 0

April 2
April 3
April
April
April
April
April
April

9
9
10
11
16
16

%
Forthcoming Large Offerings,

Type

H. 14

as of March 29 (Cont'd)
Amount
(millions
of dollars)

Approximate date
of offering

STATE AND LOCAL GOVERNMENT (CONT'D)
State of Louisiana
Washington Sub. San. Dist.
Los Angeles Co. Flood Control Dist.,
Cal.
State of Oregon
-New York City, New York
Washington Public Power Supply System
Placer County Water Agency, Cal.
Pittsburgh, Pa.
Jefferson County, Colorado
Baas County, Florida
Jacksonville Expressway Auttu , Fla.
Houston, Texas

Rev.-S.T.
G.O.

15.0
14.0

Rev. -Ut.
G.O.
G.O.
Rev.-Ut.
Rev.-Ut.
G.O.
G.O.
G.O.
Rev.-Ut.
G.O.

15.0
10.5
108.7
120.0
115.0
35.0
12.9
46.0
40.0
13.3

S•F.deb.
Bonds

15.0
30.0

April 17
April 22
April 23
April 23
April 24
May 2
Spring
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

OTHER
Copenhagen Tel. Co.
Govt, of Australia

April 9
April 11

•^--Included in table for first time.
If Includes corporate and other issues of $15 million and over; State and local
government issues of $10 million and over.
2/ Includes foreign government and International Bank for Reconstruction and
Development issues and non-guaranteed issues of Federal agencies.
Note,--Deletions for reasons other than sale of issue: none.




Exhibit M

H. 14

Foreign Government and Corporate Security Offerings
and Placements in the United States
Part I:
Sale
Date

Amount
(millions
of dollars)

Issuer and Description of Issue

A.
1/14

25.0

1/29
1/30

6.7
22.5

2/26

30.0

3/13

12.5

3/13

21.8

15.0
30.0
10.0
6.0

Sold January 1 through March 29

City of Montreal, Canada--5% bonds, due 1983 and 1988,
reoffered at 4.90%
Nippon Electric Co., Ltd--common stock
Japan Development Bank--6% bonds, due 1975, reoffered
at 6.377,
Kingdom of Denmark--5-l/4% bonds, due 1978, reoffered
at 5.37%
Republic of Finland--6% bonds, due 1973, reoffered at
6.17%
Kansai Electric Power Co., Inc.--common stock

B.
\/9
/II
4/16
4/

Public Offerings

Prospective Offerings

Copenhagen Tel. Co. --sini;inr, fund debenture
Commonweal tii of Australia--bonds
Mitsui & Co.--convertible sinking fund bonds
Sony Corp.--common stock




%
M-2
Part II:
Date
reported

1/3

9.0

1/14

35.0
20.0

2/4

Private Placements--Reported January 1 through March

Amount
(millions
of dollars)

1/29

300.0

2/4

3.0

2/12

9.0

2/18

25.0

2/19

5.0

2/25

2.5

3/4

3.0

3/7

12.0
1'^
30.0

,
'
>

25.0

3/27

50.0

'3/28

3.0

H.14

Issuer and Description of Issue

Republic of Panama--4-l/2% bonds, due 2001--no information
available on takedown
Massey-Ferguson, Ltd.--Senior notes, due 1983--no
information available on takedown
Alberta Government Telephone Commission--4-7/8%
debentures, due 1988--no information available on
takedown
Quebec Hydro-Electric Commission--5% bonds, due
1988, placed to yield 5.0?%--$100 million to be
taken down in February with the remainder to be
taken down by the end of 1964
Government of Jamaica--7% sinking fund debentures-no information available on takedown
Federation Chemicals, Ltd,--subordinated notes,
due 1977--$5.9 million to be taken down in February
with the remainder to be taken down by the end
?.
of January 1964
Province of Saskatchwan, C a n a d a — 5 % bonds, due 1983-no information available on takedown
Tabor de Acero de Mexico, S. A. --7-1/27= convertible
debentures, due 1975--no information available on
takedown
Quebec Natural Gas Corp.--5-1/2% first mortgage bonds,
due 1980--no information available on takedown
Protestant School Board of Greater Montreal--5-l/4%
bonds, due 1982--no information available on takedown
Government of Norway--bonds, due 1983--no information
available on takedown
Cicy of Aalborg, Denmark--notes, due 1978--no information
available on takedown
Bayer Foreign Investments, Ltd. --5-1/2% promissory notes,
maturing 1983--no information available on takedown
Manitoba Hydro-Electric
„bonds,
maturing 1988--no information available on takedown
Btli Telvphoni Co of Canada--4-7/8% first mortgage
bonds -•no in furmaiion available on takedown
Pacific Eastern Railway Co.--4-7/8% sinking fund
debt, nt uVi. . dut 1988- -no information available on
i akt down

Note: For retrospective data on aggregate foreign corporate and government
security offerings in the United States see Exhibits I and J. There is no simple
relationship between the data shown in this Exhibit and that shown in Exhibits I
and J because the latter includes privately placed securities in the period in
which funds are actually takendown but only in the amount of takedown, while the
placements shown in this exhibit are included when reported, frequently with
little or no information concerning timing of takedowns. Full or partial
takedowns may take place both prior and subsequent to the date a placement
for
is FRASER
reported.
^--Included in table for first time.

Digitized