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UNIVERSITY
0F
MICHIGAN
ESTABLISHED 1S39
AUG 26 1955
Tk e
■"vumiMKAT 0
&n
Chronicle
Rc«. U. S. Pat. Office
Volume
Number 5458
182
New York 7, N. Y.,
Price 40
Thursday, August 25, 1955
EDITORIAL
of
the
flow from
national
burden
relief
is
of
defensive
from
the
measures,
Economists' National Committee
Dr.
of sudden trouble
past, but
which would
a
as
state of
we
have
so
the Federal Reserve to count, as a part
is
international relations
permit us—and all the other
tremendous
from
the
shoulders
of
are
imports
be
actually collected,
civi¬
The
lized mankind.
we
or
at least
one
of them, is that
grown so
the
defense.
■
A brief
a
more
study of the record
may
of the Federal Re¬
authorities
'
'
credit
in
"Total
count
as
,
rerpain
reserve
uncollected
portion
a
-be
?
checks and drafts float¬
•
•
Continued
on
How member banks are
,/
Member
banks
supposed
are
at
reserves
Federal
the
banks
DEALERS
Dr
Walt.r E. Sp.hr
Continued
afforded
potential undertakings in
are
quantities and
strong com¬
beyond
years
many
solved
of
not
or
in
sufficiently
M
vl'f'
any
by
answer
industry will
the
ingenuity,
Marvin Chandler
—
on
I.
The
22
page
Underwriters, dealers and
even independent, if necessary, of nat¬
United States reserves.
future
ural gas from
Supply of Natural Gas
joint report of the committee on reserves of
Concinued on page
the
24
investors in cor¬
complete picture of issues now registered^ with the SEE
our "Securities in Registration" Section, starting on page 31.
a
State, Municipal
and
U. S. Government,
The
new
m
debentures of
STATE
Municipal
MUNICIPAL
AND
HAnover 2-3700
NEW
BONDS
St. Paul & Pacific R. R.
Public
Housing Agency
COPIES OF OUR
Chicago, Milwaukee,
Securities
telephone:
you
us
the
in
State and
at
of
to
life of present known re¬
available; third, the basic
for the
by
SECURITIES NOW IN REGISTRATION
and
some
available
analysis indicates an expanding gas distributing industry
to
Re¬
depositing cash with those banks, by
borrowing (in the form of rediscounts or advances)
from the Reserve banks, or by selling some of their
assets to the Reserve banks.
Nothing in the Federal
porate securities
sure
be
that
20
page
am
My approach will be based primarily on information
is also available to you in the literature.
This
supposed to
obtain their reserve.
serve
I
not
may
judgment and vigor of the men
managing it, and I see no grounds for pessimism about
the natural gas industry in the early or more distant
future in that respect. .
now
obtain
industry.
gas
sufficient
in
to thfe* problems
be
the
of
ing through the mails.
existing. First of all, let's consider
the general size and scope of government today as
compared with say 1929. We shall find upon ex¬
amination that dollar-wise the major part of this
growth is either directly an outgrowth of past
wars or
in anticipation of possible future wars.
The Department of Commerce now prepares and
general
second, if the supply of do¬
mestic natural gas dwindles or the
price, arises unduly, alternatives will
-
help to bring
intensified
serves;
Reserve
outstanding"
for
indicated
of a rise in
rates—assuming that all
/urkmanged. .J;,
The use of the Federal Reserve;
Float
enables
member (banks
to
.
gas
prices
gas
effectiveness
elements
Bank
,0?
reducing the
as a consequence,
rediscount
definite realization of the extraordinary
situation
some
banks, the'left hand of the Reserve
may be
adding to the reserves of
member banks by use of the Float
other
through
management's
to hold our
position.
This
naturally
causes
you
to
question
whether
companies
such as ours will have
the optimistic future that we, who
are
close to the subject, believe to
be the case.
I hope to allay these
fears on three broad grounds: First,
there will be a supply of natural
authori¬
the use of Fed¬
through recent
serve
possible
and
petitive
increases in rediscount rates at
and,
our
natural
future
low
versus
ties may appear to be tightening up on
eral Reserve credit by member banks
spent in the
dently, rather half convinced that somehow these
outlays constitute a protection again recession
and depression, that the importance of finding
some
way to make safe reductions in defense
preparation possible is likely to escape all too
many of us. It is certain that at any other time
in our history we should have been shocked and
outraged by the amounts now being expended for
sums
of
that
think
While the right hand of the Federal Reserve
used to these staggering
name of defense, and, *inci-
now
competition
promotion,
I would like to convey to you my enthusiasm for the
outlook
the right hand of the Federal Re¬
authorities in "tightening" up on the use of
left hand
serve
danger,
have
despite
resourcefulness.
credit.
The
gasification of coal. - Concludes markets will
or
retained
research. and
unsound basis for the expan¬
an
credit, and is not authorized under the Federal
Reserve Acts. Reviews history of the use of "the Float"
as
part of bank reserves.
luxury of only moderate
military preparations would lift a
burden
the items
sion of
coun¬
tries of the world—the
armament and
before
unwarranted and
an
of their cash
portion of the checks and drafts sent through
for collection
often in
industry executive maintains the outlook for
industry is bright. Predicts permanent satisfac¬
tory price and supply situation, is ensured by potential
the gas
Spahr contends that permission given to banks by
reserves, a
Northern Illinois Gas Company
Prominent
Monetary Policy
on
arma¬
spent in military training
Of course, it would be immensely
President,
Executive Vice-President,
,
expensive to be caught unprepared in the
event
By MARVIN CHANDLER
Professor of Economics, New York University
enormous
including
The Natural Gas Industry
By WALTER E. SPAHR
manhours
service.
more
the
situation
and
ment
and
inestimable
.blessings that would
genuine improvement in the inter¬
a
Copy
a
The Long-Time Ontlook for
SeeWe
It
As
One
Cents
BOOKLET
Bonds and Notes
"ATOMIC ENERGY
REVIEW"
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We
Banks,
Brokers and
The
for
Dealers in
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A continuous forum in which, each week, a different group of experts
in the investment and advisory field from all sections of the country
American
participate and give their
reasons
they to be regarded,
•re
william
l.
Investment
as an
1967
St.
and
RIGHTS
Croix
It
Prospectus on request
°
ON
is
not
stock
often
that
"like
we
good
would
we
is
news
out.
a
plus
Member
Exchange
120 Broadway, New York
Private
to
the
Principal Cities
Specialists in
to meet
is
modern
new
stalled
ffiPONNELL&rO.
Members
American
120
Stock Exchange
Stock
Exchange
BROADWAY, NEW YORK 5
TEL. REctor
ground
Demand has been
a
New York
well
sulphite,
newsprint
calendered newsprint
magazine sections of
Since 1917,
plant
at
to
which
unit
of
Me.,
1958,
increase
25%
full
per
be
well
1948.
Pulp
Co.
of
New Brunswick.
Camp Manufacturing
Dan River Mills
Light and Water Co.
operates the local utility company
lifetime in the financial dis¬
is
to
see
small companies
built up.
One of the consterna¬
a
trict
is
to
in a
t i
Life Insurance Co. of Ya.
There
a
STRADER,TAYLOR & CO., Inc!
Lynchburg, Ya.
TWXLY77
Co.,
Water
St.
Croix
Me.,
and
includes
270-ton
a
ground
which
is
why
pick Ameri¬
Since 1932
Specialists in
VIRGINIA—WEST VIRGINIA
house
are
Net
also owned,
income
rose
as
in
1954
1953, which shows the strong
volatile earning power of this fine
over
NORTH and SOUTH
company.
CAROLINA
In the first
MUNICIPAL BONDS
before taxes
the
■F. W.-
CRAIGIE&CO.
RICHMOND, VIRGINIA
Bell System
Teletype: RH 83 & 84
Telephone 3-9137
$14 to $15
TRADING
MARKETS
Marinduque Iron Mines
is
be
common
that
m. S. wien & co.
1919
Members
there
is
this
in
funded
no
Sales
only 440,000
outstanding.
of
mounting.
year's sales should run be¬
tween $12 and $13 million against
are
million
steadily
for
marketable securities
low
Cash
1954.
are
Inventories
level.
Total
$8,739,983
and
roughly
are
current
at
a
assets
of Dec. 31, 1954,
against total liabilities of only $1,were
Tel. HEnderson 5-9489
Teletype J CY 783
New York City
Telephone BArclay 7-0045
stock
stock,
as
after
dividend
is
Over-the-Counter
bid offered at 33.
•
ago,
on
its
raise
to
all
best ef¬
a
the
capital
bouncing
a
J. Tom Grimmet, who had
been the leading spirit of father¬
baby.
hood and who had
in
the
sums
wells
advanced
the split and
quoted in the
Market,
31V2
of Japanese potential.
Call
Securities
Home Office Tokyo—70 Branches
The
principal purpose of the indi¬
financing is
to
lay
the
groundwork for further expansion.
With
Grimmet's
This made Grimmet
company.
a
major stockholder.
With control
firmly in his hands, Grimmet then
began to build the company.
Now at $1
a share or somewhat
American States is about
over,
better
rated
market wise
in the
spring of 1954, but it
is only 25% above the original of¬
fering price of thp issue in 1953.
Back
of the
Brokers & Investment Bankers
111
Broadway,N.Y.S COrtlandt 7-5680
"know-how"
oil
and adequate market
recognition,
American
States
should grow to be a well-known
important oil and gas producer.
The stamp of authority of big fi¬
money
nancial
stock
should
houses
worth
EMPIRE
PETROLEUM CO. Inc.
the
make
(a Colorado Corporation)
another
without
$2
squirt of oil.
which
one
is
factor though
more
extremely
interesting
and is the reason for my original
interest in the company. Ameri¬
States has financed
can
in
the
Nowata
seven
a
comparative statement—
years
story of SUCCESS & GROWTH
Information by
15
Exchange Place, Jersey City 2, N. J.
'phones
BOwling
HEnderson
Its lands ad¬
uranium
the
turned
its
oil
lands
Grimmet
but
do
to
the
1955
values
are
A.E.C.
who
man
H0*>R INOf
down
the
careful
Vitro
was
of
its
con¬
now
tremely tough job because of the
relatively
small
quantities
of
U-235
the
and
between
its
atomic
!
Because
Dunning
technicians
of
extracting
very
ties
Vitro
Of
a
lion
unproved.
reserves
-American
States
owns
or
controls 30,000 acres
Texas, Oklahoma, and Kansas.
revenue
under
proration conditions
month
and
days.
60
hold
and
are
in
There
of
water
NEW YORK 5, N. Y.
.
to
month
Net ought to exceed
to
SUGAR
from
—
Refined
—
Liquid
only
are
which
Raw
mil¬
a
Exports—Imports—Futures
pours
can
DIgby 4-2727
be extracted
if there is enough water and
if the capital cost is not too great,
extraction
of
should
has
profitable.
cost of $60
uranium
reported esti¬
a
a
pound.
This
ters
sea.
from
conventional
Concentration of uranium in
is
much
than
greater
wa¬
in
There is reasonable hope
profitable
volume
extraction
to
equipment.
if
Over-the-Counter
fantastically above the cost
uranium
ores.
be
extracted
the Oklahoma oil water flood
so
a
Inc.
STREET
flooding operation
but the uranium
$95,-
scheduled
$145,000
WALL
and
the water flood is
present
now
99
quanti¬
parts of uranium in
parts
from the water
is not
scheduled for
used
materials
chosen.
was
few
mated
of oil and gas are estimated at $20
million in proved and $19 million
are
large quantities of undesired, Vi¬
tro
floods.
Total
and
LAMB0RN & CO.,
other
and
minute
desired
of
prorated "primary
are
weight
that of U-238.
six
major expansion.
difference
small
are
The water floods
the
developed
Ridge.
The diffusion plants
separate U-235 from U-238, an ex¬
146
water
av.
Oak
and
178 altogether.
are
a
~
diffusion plants at
gaseous
wells
in
9-4058-9
po¬
hired
work.
from seawater at
reach
Green
5-1300-1-2
some
because
on
or
per
..or
not far from those of Sam
pre
completion
000
broker.
Julius Maier Co.. Inc.
re¬
Considerable
has been found in
County, Okla., water
England
Gross
your
extensive
underground
uranium.
152 oil wells with 26 scheduled for
in
Co., Ltd.
Established 1897
cated
and
write
Yamaichi
refinanced.
be
or
re¬
sub¬
to the company, shut
and reorganized the
373,942.
The
should
these,
sharos
Ass'n
1 Exchange Place,
Jersey City 2, N. J,
"honey"
This
$11
deal
which it needed to be
than
real
flat
was
by the failure of
2,000%
the
$2,100,000.
Security Dealers
the present
on
stock.
will
Mindanao Mother Lode Mines
New York
share
debt, and when the split and 100%
stock dividend are effective, there
Philippine Oil Development
Lepanto Consol. Mines
Established
17% larger than
year
a
Grimmet
was
year
a
States
corporate back, had been knocked
and the outlook for 1955 is around
stock
FIRM
quarter of 1955, net
corresponding
quarter, with taxes up only 1%.
Earnings increased to $3.11 per
share per quarter against $2.70,
But
For Financial Institutions
American
stantial
was
previous
form
neat
have unusual appeal
investors with knowledge
nection with Dr. J. R. Dunning of
Columbia
University.
Dunning
Walter K. Gutman
favorite
my
offices
to investors with vision—
is
States Oil
can
forts
38%
nice
million owed the banks and
$2.5
taken
down
power¬
may
New York se¬
a
quired by major New York banks
and in not too many weeks the
Corp.
exploration
Me.
and
the
Vitro
,
right now.
Approximately
dam
tistics in
cold
I
branch
our
SECURITIES
and
stature
curity analyst crazy, Grimmet has
recently been gathering his sta¬
tentialities. of
e s
to
JAPANESE
real oil country man
impreciseness with
a
mild
whose
Climax
pulp mill, a 65-ton un¬
bleached-sulphite
pulp
mill,
a
300-ton three-machine newsprint
mill, and a dam at Grand Falls,
concrete
drawl, and
ing changes in
ani
Direct wires
Shepherd whose uranium experi¬
ments got a big play in "Life"
magazine
a
few
months
back.
amaz¬
comp
in
Texan,
the statures of
wood-
A
real
Croix
St.
Co., New Bruns¬
wick; and Sprague Falls Manu¬
facturing Co.
The main plant at Woodland,
Me.,
A
Water
Power
NY 1-1557
Orleans, La. - Birmingham, Ala.
Mobile, Ala.
Ac¬
trading ability plus his substantial
pmd
many rap¬
and
Exchange
join those of Climax Molybdenum
and each year
are
HAnover 2-0700
New
credit in the oil country.
flooding operations.
be
can
year
its
dra¬
id
Power
Taxes
on.
and unproved land in
represents
Grimmet's
proved
radioactivity
place.
c
Woodland
County, Me., to¬
gether with local real estate hold¬
also
of
covery of
Wall
down.
Stock
quisition and development of the
175 odd wells and the 30,000 acres
research
see
companies, big
and small, oc¬
casionally fall
in
is
October
light for the next year, so
earnings
on
the
5,988,666
shares should prove out to 25c a
There is
One of the fascinations of Spend¬
Street is
Woodland
There
LD SB
York Stock Exchange
leading Exchanges
ings.
Commonwealth Natural Gas
from
will be
cash
American States Oil Co.
tions
Wood
this county and in the Province of
Bassett Furniture Industries
and other
ing
set-up
follows:
as
New
Members
swing,
Washington County, Me., holds
600,000 acres of timber land in
American Furniture
Security Analyist
Goodbody & Co., New York City
annum, an
over
gutman
k.
Senior
When
is most
Wholly owned subsid¬
are
Walter
in¬
be
should
diversified
Eastern
ity and required power facilities.
great, that
will
in
100,000 tons
attractive.
Trading Interest In
is
production
iaries
in
use
newsprint.
above
The
for
materially
paper
increase
2-7815
stock
common
newspapers.
so
unit
of
new
to
through
New York Stock Exchange
American
19 Rector St., New York 6, N. Y.
arithmetic drives
plans
later
capital
previously
announced.
Further
million capital funds would
be provided by sinking fund term
notes. The company plans to pur¬
chase a
new
high speed paper
machine of 200 tons daily capac¬
Woodland,
completed by
will
production
this
wood pulp,
and
super-
the
be
of
$10
It
manufactures
field
part of the estimated $13
cost
of plant expansion
million
Wm. L. Dewart
the
additional
of
sale
over
years.
Members
a
Publishers.
million
$3
like
reads
in
company
raise
steady
list
Who"
The
diversified,
expanding and growing. It now
Rights & Scrip
a
customer
American
1904, and has
the
in¬
in the past, will
liberal dividend policy.
"Who's
company was
founded in
growth
like
Steiner,Rouse&Co.
Members
one
Its
paper
a
we
ever
With
best.
stock
Bought-—Sold—Quoted
—
K.
share in the next 12 months.
down-east
had
that
Louisiana Securities
City. (Page 2)
New York City.
130,000
because of the future pic¬
It is
Company—Wil¬
Gutman, Senior Se¬
curity Analyst, Goodbody & Co.,
(Page 2)
company
ture of the company
this
York
Walter
paying
follow
think.
Maine
New
than ever, and, as
be¬
This fine old
5
Teletype NY 1-40
Wires
Paper
L.
1954 American States Oil Company
stock
is
ginning of
good news —
1920
we
WOrtb 4-2300
Croix
Alabama &
Selections
agement, it is easy to believe this
will show greater earnings
stock
only
of Dec. 31,
as
Thursday, August 25, 1955
Week's
creasing and insatiable demand
for newsprint and magazine-cal¬
endered print over the next three
to five years, and excellent man¬
a
dividend
Corporation
Stock
latest
the
j,
four-for-one
100%
New York Hanseatic
Associate
But
value
.
Dewart,
Investment
Counsellor, John Muir & Co.,
$2.25.
a
the
after
St.
on
split
American
best"
Croix Paper— '
VALUES
REQUEST
Established
St.
nor
has a long divi¬
record.
It paid $5
in 1954, and it has paid for the
three quarters in 1955 a total of
The
dend
|
be,
$10o.l7 per share.
was
Counsellor,
to
sell the securities discussed.)
to
dewart
Paper Co.
action
RELATED
Their
particular security.
a
intended
not
are
Book
choose, glamorize and publicize
Both—Delivery When Issued
OF
offer
John Muir & Co., New York City
Members of New York Stock Exch.
3%% Convertible
TABLE
for favoring
(The articles contained in this forura
.
Participants and
liam
Telephone
& Telegraph
Debentures Due
This
Forum
.
the
the
^Quotation Services
for 42 Years
of
>
providing
large enough in
justify
the
This
National Quotation Bureau
particularly
water
is
capital
flooding happens
Continued
Incorporated
Established 1913
46 Front Street
CHICAGO
on
page
13
NewYork4,N.Y.
SAN FRANCISCO
Volume
182
Number 5458
More
A. M.
By
Sakohki follows up
Dr.
SAKOLSKI
Articles and News
"variable annuities/'
appeared in the issue of the Chronicle of Aug. 4, with an
which
his article
between
distinction
the
The Long-Time Outlook for the Natural Gas
as con¬
possibility of computing investment income
no
Holds "variable annuities" do not
—Walter
Spahr
E.
in the fiield of insurance because the insuror
Yellowknife: Golden and Radioactive—Ira U. Cobleigh__
5
issue
the
of Aug.
the
of
the
4, attention
proposed
ment
"Chronicle"
insurance,
Jersey
basis
to
law
Telephone:
'hi:
'
"
11
ap¬
Petticoat Money—Burt
could
probability
be
15
subject to
cases
Chesapeake Industries
Maule Industries
Continued Upward Business Trend Seen by Dean W. I. Myers
10
Harry A. Bullis Optimistic for the Future.
11
tion of little change from past ex¬
perience, so that a
safely be assumed.
of
guise
selling to the
public what is
erroneously
termed
But
has
annui¬
e
of this
the
or
A. M. Sakolski
principle
applied
be
can
field
an¬
ability
is hitched.
proven
nuity" is a misnomer, being neither
annuity in the proper sense of
The
the word, nor a
Richard
B.
Corrects
Evans
Group's Attitude
on
based
insurance,
It is
concept.
which
a
form of scientific
on an actuarial
mongrel—a hybrid
in
contains
destructive
the
to
forces
itself
principles
of
the
basis for safeguarding in¬
insurance
proper
and
protection
to
vestors.
B. Fisher Comments
Richard
as
means
a
of afford¬
periodical income came into
centuries before life in¬
ing
many
surance
became
tice
civilized
in
Lord
common
a
human
prac¬
society.
Coke, the renowned British
jurist of the 17th century defined
it,
"a yearly payment of a cer¬
as
tain
of money granted to an¬
sum
other in fee,
for life or for years,
charging the
only."
person
Note
that
of the grantorthis definition
contains the
certain
a
phrase "a payment of
sum
of money." There
is, therefore, an exclusion of "vari¬
able" or contingent payments. As
stated
in a
recent issue of the
/'Journal of the American Society
Underwriters,"
Life
Chartered
of
application of "variable" to the
word "annuity" is improper; "that
to
the
use
word
this
in
context
would tend to confuse and mislead
the
public,
it.
to
lias
been
be a
and
used
over
and Mutual Funds
fixed
understood
for
continue
a
amount,
in
life
or
to
for
to
some
specified period." In fact,
the term "annuity" has never been
other
applied
based
as
on
to guaranteed payments
contingent income, such
annuities
land-rents
from
It is a feature created
society, and is being
continuously
and
variously
af¬
fected by
changes in laws, in poli¬
tics, and in social, economic, and
technical concepts.
Past experi¬
ence in the investment field gives
or
what
indication
no
will
happen in the future.
Let
Based
on
16
.
J. F. REILLY & CO.
Members Salt Lake City Stock Exch.
is
It
Cover
(Editorial)
23
Bank and Insurance Stocks
Broadway, New York 4
DIgby 4-4970
Direct
40
Bookshelf
Business Man's
42
Teletype: NYl-4643
wire
Lake
Salt
the
of
system
of
produc¬
tion
made
p o s s i b 1 e" by
the
accumulation
of
surplus wealth
and
the enforcement of obliga¬
tions
ten
Principles
attempts to
All
implements.
place investments in the category
an exact science has failed. In¬
of
vestment is not
definite
laws
Dealer-Broker Investment
Recommendations—:__7
and
are
embodied in
physics,
—
8
The fundamental
economics.
garded
Ahead
Washington
From
of
13
Money"—^
10
the News—Carlisle Bargeron
Corpus Christi Refining Co.
Funds
Mutual
Dan River
abstract
an
nor
a
physical basis. Without a money
economy
and without a modern
credit system, investment would
not exist. Radical changes in the
It
is
a
NSTA Notes
Gulf Coast Leaseholds Inc.*
8
'___
Hycon Manufacturing Co.
Wilfred
Observations—A.
Pacific Uranium Mines Co.
—18
News About Banks and Bankers
Livingston
5
May
*Circular
Governments
Our Reporter on
Report
Reporter's
Our
*
______
—-
Railroad Securities
and
and
changes
which
of
as
civilization
&
31.
Securities Now in Registration
results
uniform
periods of time have little or no
influence in the field of invest¬
36
Offerings
Security
Prospective
.
.
.
and You—By
40
acceptance of the word "annuity"
where the grantor and the grantee
The
r
Direct Wires to
Philadelphia
Chicago • Los Angeles
*
16
Wallace Streete
of
Effect
Annuity
Payments
The
State of Trade and
2
Security I Like Best___
Declining Annuity Reserves
is,
in
addition,
technical
annuities."
surance,
defect
a
in
Unlike
life
in¬
on
4
—
page
49
Washington and You
the reserve of an annuity
Continued
Industry
more
"vari¬
Establised
available this week.
"Column not
23
1
Weekly
Twice
Published
E.
Drapers' Gardens, London,
Edwards & Smith.
C.
Eng¬
Members
COMMERCIAL and
The
PREFERRED STOCKS
CHRONICLE
FINANCIAL
Office
Reg. U. S. Patent
WILLIAM
B.
DANA COMPANY,
Park Place,
25
REctor
New
2-9570
Publishers
Spencer Trask & Co.
25
BROAD
Every
TELETYPE N. Y. 1-5
vertising
Boston
•
SEIBERT, President
•
Chicago
Schenectady
•
•
Glens Falls
Worcester
state
Chicago
25, 1955
news and ad¬
Monday (com¬
market quotation
news, bank clearings,
issue
corporation
and
Other
August
Thursday (general
Issue) and every
statistical
records,
•
DANA
Thursday,
ST., NEW YORK 4, N. Y.
•
Po: sessions,
Pan-American
WILLIAM
plete
Nashville
Publisher
New York Stock Exchange
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SEIBERT, Editor &
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news,
Offices:
3,
135
—
etc.).
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and
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account
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Chicago
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exchanges
Exchange Bldg.
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Y.
Hollywood,
Fla.
Geneva,
Trade
of
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other
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of
Canada,
Other
the
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111. (Telephone
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Exchange
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York
New
| Reentered as second-class matter Febru¬
25, 1942, at the post office at New
York, N. Y., under the Act of March 8, 1879.
Exchange
Exchange
Stock
American
ary
York 7, N. Y.
to
Dana
Stock
York
New
1955 by William B.
Company
Copyright
1858
H. Hentz & Co,
land, c/o
Members
inc.
Exchange PI., N. Y.
Teletype NY 1-1825 & NY 1-1826
,
9
Securities Salesman's Corner___
The Market
ment.
Mackie,
HA 2-0270
extended
over
over-the-counter securities
250
Singer, Bean
laws
change. Natural forces
lead to extended stability
Request.
on
21
i4
-—
.
Oilf
Request.
We maintain trading markets in more
than
Securities
Public Utility
on
1 Prospectus
14
l
product of civilization and
law,
Mills, Inc.
28
____.
less fixed, they
as more or
neither
30
Indications of Current Business Activity.
chemistry,
principles of investment are few,
and
although they may be re¬
have
Einzig: "England Goes Back to Dear
amenable to such
as
mathematics,
able
specialized in
in
40
rights evidenced by writ¬
or
serious
Moreover, in the strict technical
have
office
City
capitalistic
There
Acturial
For many years we
branch
to
invest¬
development
a
Spokane Stock Exchange
See
We
As
Coming Events in the Investment Field
that
remember
us
ment
On
source.
Annuities
Stocks
on
Regular Features
The
ticular
Houghton's Study
Editor)_l
or
arising from a par¬
other income
on
(Letter to
a
series of guaranteed periodic
payments,
Basic Atomics
16
human
by
long economic structure or in the "law
period of time the word 'annuity' merchant" may destroy it entirely.
because
Life Companies' Study
on
function arising from natural
a
little
Annuities
Report
Variable Annuities (Letter to Editor)._
Investment is
is clear.
reason
not
Development
Official Films
15
(Letter to Editor)
phenomena.
an
Shawano
of prob¬
applied
be
cannot
_
Harry A. DeButts Discusses Outlook for Railroad Industry
which
to
scientific principles
The
"variable
term
can
that invest¬
ment, whatever its form or pur¬
pose, involves an uninsura^e risk.
has
History
article to point
that
been
the "variable annuity"
ties." It is the
purpose
"norm"
such scientific
no
ever
investment—a
to
"vari-
b 1
use
Kleiner
coun¬
ter-balancing forces, gives indica¬
the
out
the
the
on
to which
experience
numbers of
vir¬
business under
a
9
securities
a
WHitehall 4-6551
on
i.e.
principles,
Eactly How High Is the Market?—Norman Steelman
Just How Prosperous Are We?—Roger W. Babson__
of
based
are
trans¬
tually
act
of
of
and
Here, again, the element of
"certainty" is present, since the
law of probability, involving targe
com¬
panies in that
to
/
6
plied.
permitting in¬
State
Dept.
STREET, NEW YORK
fixed
fields
other
in
as
were
actuarial
the
contract,
a
payments,
experi¬
laws
surance
into
enter
called to
was
dangerous
put before the New
legislature
enact
WALL
prohibited directly cannot be legally done by indirection.
Nuclear Power: Now and Later—Clarence E. Larson
In
r
Obsolete Securities
4
99
The
your
3
Municipal Credit—Walter A. Schmidt___
Factors Determining
risk
no
Calls attention to the legal principle that
in the transaction.
what is
assumes
Sakolskr
buy
obsoletes?
Cover
with¬
come
$64,000 QUESTION
Who will
v-
More.on "Variable Annuities"—A. M.
an
on
THE
__C6ver
Federal Reserve Discount Rates and the Float
trasted with the uncertainties and fluctuations of investments.
Sees
AW COMPAJfY
Industry
Chandler
—Marvin
He points
annuity-income and investment-
income, and stresses the actuarial basis of annuities
actuarial basis.
»llCHTfllSTEIII
Page
on
analysis of the nature and definition of annuities.
out
INDEX
"Variable Annuities"
on
3
(771)
The Commercial and Financial Chronicle
.
.
.
•
•
4,
•
Y.
N.
Pittsburgh
Coral
Beverly
Gables
Hills,
Switzerland
Amesterdam,
Holland
CaL
4
(772)
The Commercial and Financial Chronicle
determining credit
marketability.
Factors Determining
Factors
that
determine
Activities
investment bankers and
One is the
of
use
Municipal officers
facing municipal bond market.
now
municipal credit to finance facilities for
to
units and to
improve the market¬
ability of their bonds. Some of
the more significant factors in¬
Federal tax exemption on
municipal bonds. Lists recommen¬
dations for determining credit standing and marketability of
municipal obligations, and cites activities influencing market¬
ability. Proposes
reforms: (1) simplification of the
as
clude:
(2)
public securities, and (2) the elimination or minimiza¬
tion of "nuisance" law suits relating to bond issues.
in
common
banker
the
with
who
zations such
investment
It
local
finances
in
governments.
Commenting
on
sound
that
interests
"The
time of your
Association's
in
Boston
two
said
in part:
m
"As every
u. n i c i p a 1
bond
is
man
Walter A. Schmidt
the
aware,
business
of
vasive
that
be
the
on
highly fraternal
relationship
has
developed
be¬
municipal investment men
and
the legal experts
who ap¬
we
our
Bankers
Association,
in
(1)
briefly explain that
Municipal Securities
which
represents
90%
have
we
(2)
tax
are
threat
is
the
our
of
in
dealing
nicipal securities.
More
securities houses and
commercial
banks
than
on
the
toward
to
the
that
con¬
establishment
of
eral
familiar
burden
that
undue
upon
we
attempt
would need much
is
even
at
disposal
superficial sur¬
a
our
the record,
draw
the
that
I
consider
issu¬
topic.
with
them
is
needed.
however, I
a
few
and
For
pleased
am
to
no
relevant
titles
of
many
available.
are
Published by Municipal Finance
Association
of
United
States and Canada
(which fre¬
Officers
issues
special
bulletins
containing information of value to
municipal officials and others in¬
terested
in
municipal financing).
"Preparing
the
Bond
Prospec¬
(1955).
Municipal
Bonds"
(1946).
"Recommended Policies for
Finance Officers" (1950).
Published by Municipal Securi¬
ties
Committee, Investment
per¬
Association
ers
Bank¬
of America.
"Lower
Interest
Rates
for
Mu¬
nicipal Bonds—How a Municipal¬
ity May Obtain Them."
tinent:
by Mr. Schmidt before the
Section on Municipal
Law, Annual Con¬
vention, American Bar Association, Phila¬
delphia, Pa., Aug. 23, 1955.
officials
that ^ are
municipal
significant in
Marketability
Now let
us turn our attention to
of the factors which
may not
some
directly determine
municipal
but which certainly affect
marketability of municipal
obligations. These factors relate to
credit
the
Complete
our
INVESTMENT SERVICE
responsibilities
as
lawyers and
investment bankers and include:
Need
UNDERWRITERS
this
for
clean
cut
Use
of
several
billion dollars
A.
of
photo-offset
Negotiability
•
In
copies
New York Stock
'
.
»
Exchonge
Exchonge
•
Honolulu Stock Exchange
and other
r
SAN FRANCISCO
..
Private leased
•
PORTLAND
and
the
water
fed
down
and
which
•
•
NEW
• AND
YORK
•
OTHER
the
river banks, may total
reported statement by Gov¬
over
a
Health hazards threaten fresh tragedy in
Thousands of
zones.
the
by
Red
evacuees
Cross,
to
PACLf LC
BOSTON
COAST
•
CITIE.S
SEATTLE
...
sheltered,
and other
For several weeks the true extent of the
casualties, the
damages to business property and the number of maimed and
injured will not be definitely known. The restoration of water,
gas, electric and power plants, homes and schools may be a matter
months and even years.
The flood was the aftermath of the
hurricane "Connie" which burst with such
of
that
the
unfortunate
the
at
were
husbands,
the floods
of
mercy
fury and suddenness
children and loved ones
wives,
and
their
lives
snuffed
out
and investors of
President Eisenhower hastened to the
scene
from his Colorado
vacation to back up the Governors of the
eight states,
Salvation Army, State and Federal agencies with
Red Cross,
available
Federal
a
every
help.
Yesterday, President Eisenhower made
country¬
wide appeal for Red Cross funds and
may call a special session of
Congress to authorize funds to alleviate conditions adequately.
This summer's catastrophe will rank as the second worst flood
in this
of
country, only the Johnstown, Pa. flood of 1889 with
2.200
lives
but
much
less
property
damage
than
last
loss
a
week's
disaster.
Total
week.
industrial
copper
There
*
production
*
steady
at
high level this
industries, and
noticeably higher than a year ago. Although
supplies diminished slightly, most materials were plentiful,
was
a
slight rise in claims for unemployment insurance,
There
output
substantial
were
was
increases
in
a
seme
remained
but the level
remained
below
that of last
year.
Although production difficulties in some mills curtailed out¬
put, steel production rose 3% this week, and was 51% higher
than the comparable 1954 week.
Output was scheduled at 92%
of capacity. While there was a considerable increase in new orders
for steel, a silght decline in orders is
anticipated in the coming
weeks.
Automobile output
weather
and
that model
tion
as
was
7%
rose
higher than that of last
this
week; production
This rise
year.
was
was
attributed
to
51%
cooler
workers
returning from vacation. It was reported
changeovers are not interfering as much with produc¬
anticipated. There was a marked increase, in the out¬
put of tractors.
There
a
slight drop in paperboard output, but the level
higher than a year ago. New orders dropped 30%
week, and unfilled orders were slightly lower. Papermill
operations were set at 96% of capacity. There was a small rise
in lumber
production; mills are exceeding yast year's output
by 73%.
was
10%
this
Meat
level.
production
Butter
and
rose
cheese
5%, and was 9% ahead of last year's
decreased somewhat. Fish and
output
a high level of production.
weekly release "Iron Age" national metal working
authority says "The steel industry is headed for new records in
order volume, in production and in the
delicacy of customer rela¬
tions.
These will start
building after Labor Day and will
a
swamp
Customers yelling for steel "haven't
seen
anything yet."
The slight dip in auto steel shipments served but to butter
up some angry feelings of other steel customers whose deliveries
were hopelessly behind
original promises. Some, statements that
steel sunply will be in better
shape by the fourth quarter - is
wishful thinking.
The
hard
hit northeastern sections of the
country will need
large tonnages of structural and plates for bridges knocked out
by flood waters. Emergency calls for other steel will be made—
all of which will tend to further
Soon the
auto
tighten
up
the steel picture.
up its already high
industry will be stepping
Continued
on
page
27
FINANCIAL & STOCKHOLDER
end
mar¬
municipal
on
page
Executive of
ac-.
se¬
curities. Furthermore, the opinion
Continued
in
minutes.
and
high¬
reasonably prompt
clean-cut unqualified and
ketable
opinion
ers
•
been
Army
agencies.
of
approving
the
legality of the issue is of utmost
importance to all purchasing deal¬
Honolulu
CHICAGO
have
Salvation
RELATIONS
a
American Stork Exchange
Chicago Board of Trode
radiotelegraph circuit
HONOLULU
•
broke
according to
completely.
clothed
proposed
delivery of the bonds. To this
Son Francisco Stock Exchange
leading commodity exchanges
LOS ANGEIES
•
•
Midwest Slock Exchonge
and
eight
municipal financing it's im¬
est bidder and
Memberi-
these
—
portant to obtain the
prompt
ceptance of the offer of the
&Co.
North
in
in
toll
A.
Code.
Dean Witter
extent
dealth
Ribicoff of Connecticut.
Thousands of people are
jobless, 30,000 in Connecticut alone, and 50,000 homeless and
35,000 families have been routed from their homes. Industry was
hard
hit by the storm and
flood, the Bethlehem Steel Co. in
Bethlehem, Pa. which employs 12,000 workers, was forced to
ernor
legal opin¬
Importance
of
frequent
complete financial reports.
DISTRIBUTORS
los Angeles Stock
some
is
opinions.
DEALERS
-
to
the
ions.
BROKERS
..
and
writing
expected to execeed 200 persons and the property loss
homes, highways, factories, schools, bridges, dams, public utili¬
ties, automobiles and everything in the path of the millions of
individual steelmakers.
Activities Influencing
An enumeration of those activi¬
ties
on
the
part
of
At
New
Island
citrus fruit canneries maintained
In its latest
"Report of Finances"
♦An address
country, last Thursday, wreaked its
York, New Jersey, Connecticut,
states:
Rhode
winds which vieited
of
remained
"Marketing
my
of such scope. To cut down
presentation to workable pro¬
portions I propose to cover three
areas
general
attention
literature,
my
main
periodic
further ilustration
vey
standing regional
with
special
appointed from time
of
an
six
Carolina.
the diseaster
They
are
primarily the responsibility of
municipal officials. We are in gen¬
tus"
South
shut
Public
supporting situations.
time than
more
Committees,
place
in
Massachusetts,
*
part
that
the
vengeance
ar¬
These eight points have been set
note their importance as a
credit—sound
factors
words,
Obviously
Municipal Securities Commit¬
not only directly on its
responsibility but also in co¬
to
Index
J
the
out to
are
of good
acts
Committees
in
municipal
practices and policies
other
ouf
operation with
IBA
for
lies
Federal
prior to issuance and also
during the life of an obligation. In
over 1,200 branch offf'ices in all sections of the
country.
own
the
credit
700
not
Production
Business Failures
The tragic flood catastrophe of rain and
northeast section of our
of
body.
to
Industry
Price
Auto
and
the
size
and
maturities
Subsequent
quently
membership. These members have tribute
tee
destroy
conducive to sound
in addition
The
threat
second
to
part of municipal officers that
roughly 100
comprise
The
exemption
cusr
members who engage
and underwriting mu¬
of
as
the
issuer
of pertinent data
relating to
the financial status of the
issuing
use
It has been suggested that I dis-
Committee
approximately
so
(8)
deep-
bonds.
a
pos¬
ance
dual
tradition:
our
The first
proposals
I
may
as
markets.
state and Fed¬
eral Governments which
rooted
For those who
may not be com¬
Invest¬
the
unreasonable
or
would
fundamental
legality of the bonds of municipal credit to finance the
and occasionally
guide the under¬ construction of plants or facilities
writers through a sea of troubles." for the use of private
industry
Both
of
us
perform
essential through industrial revenue bonds
issued
functions of working with local
by
municipalities.
The
officials to provide services and danger of this abuse of municipal
has
been
facilities so necessary to the well- credit
recognized
in
being and happiness of all our resolutions adopted on this subject
by your Section and by the IBA.
citizens throughout the land.
ment
debt
the
pletely familiar with the
of
rangement
must always
which
alert,
the
sovereignty of
a
tween
prove
assure
governments,
investors, and
undermine
intimate and per¬
so
Planning
debt
and
the inter¬
to
in¬
local
threats for which
floating tax-exempt issues is in¬
timately tied up with law. The
connection is
detrimental
are
ex¬
detri¬ issuer at any time.
mental
to
detri¬
(5) Exercise every precaution to
mental to the industry. Over the assure a clean
record of debt pay¬
years
many
recommendations ment, both principal and inierest.
made by your Section and by our
(6) Take necessary steps to in¬
Municipal Securities Committee sure
deposits of public funds and
have
contribute*
significantly insure
against other hazards com¬
toward
improving
the
credit
mon in public administration.
standing
and
marketability
of
(7) Informative and construc¬
municipal bonds.
tive advertising at the time of is¬
Before considering factors af¬
suance—it may play an
important
fecting municipal credit, I want to
part in the primary and secondary
mention
the
existence
of
two
Buyer" at the
years ago
(4)
advo¬
It opposes and
discourage developments
to
of
est
Bond
meeting
and
Commodity Price Index
Food
gallons
municipal
within
sible.
practices
action
of
Steps intended to
adequate income, insofar
legislation.
seeks
identity of
finance
constructive
an
Control
come.
your own.
wholesome
municipal
cates
this close
as
fosters
planning—in¬
effective budget.
penditures—keeping
time, and with outside organi¬
to
Lawyers who pass on the legal¬
ity of municipal issues have much
Construction
cluding
execu¬
tion of
Trade
Retail
State of Trade
states
(1)
Output
do much
may
improve the credit standing
their respective governmental
of
use
private industry and the other lies in proposals to destroy
Production
Electric
Carloadings
Determining Credit
and Marketability
Standing
lawyers in promoting sound municipal
credit, notes two threats
of
the identity of interest of
on
Steel
The
favored by our respective organi¬
zations.
Poole, Roberts & Parke, Phila., Pa.
President, Investment Bankers Association of America
President, in commenting
(F
credit
Two recommendations currently
I
General Partner, Schmidt,
IBA
directly
not
may
Thursday, August 25, 1955
and
standing
but
which, nevertheless, influence
marketability.
Municipal Credit
By WALTER A. SCHMIDT*
standing
...
12
and
mature
experience seeks opportunity that is active
challenging in this expansive phase of Public Relations. Back¬
ground of financial and business journalism, with seasoned ex¬
perience in industry and bank Public Relations.
Engineering educa¬
tion.
Writer
of
magazine
right information
to
the
articles.
Has
right people
know-how
at
in New York financial
community. Box C
cial
i.,;;.
■
for
getting
818, Commerc;-1! & F:nan-
Chronicle, 25 Park Place, Nev York 7, N. Y.
M,I
!■
•>.
v
i;
;
..
-i>
the
the right tim<\ especially
■-
•
■
•
Volume
Number 5458
182
.
.
The Commercial and Financial Chronicle
.
(773)
low
The Yellowknife—Golden
ore).
Observations.
Well, let's get down to cases. Is,
anybody in U-production at Yel¬
lowknife?
Has any outfit here
signed
By IRA U. COBLEIGH
&
de¬
livers handsome profits on 0.18%
And Radioactive
t
mechanized mining
cost
delivery contract?
ore
an
By A. WILFRED MAY
But the prospects are
exciting, and the prospectors ex¬
THE PSYCHOLOGICAL
cited.
fabulous stretch of mineralized
terrain, romantic, remote and rich.
helicopter's
view of
eye
Rayrock
a
Marion
the
River
(or
Canadian
Pre-Cam-
indeed,
brian)
Shield
named.
It looks just like a
well
shield,
Ocean
Arctic
the
with
is,
This
it
that
Eldorado
producer of
into
grew
large.
so
radium
its
as
find
Mines,
district).
Yellowknife
the
above
a
the
drove
world
and
225
In
300
one
face.
of $81
ages
the
below
feet
sur¬
grade aver¬
ton were recorded.
a
price down from $50,000 to $25,000
Consolidated Northland Mines has
side
a
and set the stage for pro¬
drilled around 15,000 feet—enough
the
duction, in the early 1940's of the
uranium ore that fueled the Hiro¬
its left
(West)
bounded by
Great
Bear Lake,
Great
gram;
shima
bomb.
dorado Mining
Slave
in
Later,
and Refining Ltd.
the
Lake, Lake of
was
expropriated
by
the
dian
Government
and
Woods;
bottom
the
bounded
by
Lakes Supe¬
rior,
and
and
Huron,
Ontario;
winding
the
right (E a s t),
on
up
in
Ccbleigh
Ira U.
line
a
run¬
ning from the
St. Lawrence,
Northeast to where
Labrador laps the Atlantic.
This
Shield is
of the most ancient
one
geologic formations known to man
(about 1,500 million years old)
impelled
and,
man's
by
search for useful
or
restless
vital minerals,
this lake-laden swath of
1,800,000
diverse supply
side of the
moon
gold, nickel, cobalt, zinc,
lead, oil, asbestos, cerium, titani¬
um, uranium and thorium, to name
—copper,
few.
a
Looking at it another way, the
is again
Shield
Northwest
the
well
<dnoe
nameu.
Territories
0.40%.
haven't
their
was
1934,
in
numerous
staked
out on
were
Yellowknife
gold
the
River, just before it
spills out into Great Slave Lake;
five
and
of
mines
gold
Pearl
discovered
Ltd.
After
Harbor.
Yellowknife
Giant
body
oper¬
were
this region by the time
in
ating
vast
a
there
(and
war,
Mines,
gold
ore-
also im¬
pitchblende
were
of
showings
portant
the
Gold
Yellowknife
Giant
mine).
progressed rapidly, began produc¬
on May 12, 1948, and through
tion
major
shield for
(non-
world in the decade
Communist)
since.
Well, whole libraries have been
written
Pre-
and we'd be silly
Cambrian shield,
to
storied
this
about
attempt broad coverage
So we'll be content to ex¬
even
here.
plore, for the next few minutes,
a
small but seething segment of
this
"the
shield, "called
knife."
We'll
Yellowgeog¬
some
cover
geology, and some
speculation. Let's start with the
town of Yellowknife itself, 3,600
raphy,
some
now
population.
Ten years ago
a
scraggly settlement of
shacks;
now
it's
a
bustling modern
mining town on the northeastern
shore of Great Slave Lake. There
are
trains, but Yellowknife can
no
be reached by daily flights of Ca¬
traveling
Oct.
by
barge
and
In
Edmonton.
to
(June
1
to
to and from waterways;
the rest of the way by rail
15)
the
winter,
freight route is overland by trac¬
tor
train.
for the
much
So
lowknife.
the
To
of Yel¬
town
south,
on
the
southqi# shore of the Great Slave
base metal area
—copper, zinc, lead and lithium—
centering around Pine Point; and
only awaiting the extension of the
Northern Alberta Railways north
Lake, is a great
from Giirnshaw, to become a fab¬
ulous
;
new
But
200
the
basic''interest
cui
centers
town
metal Mecca.
in
the
area
today
north of this
Yellowknife, stretching
miles toward the Arctic in
of
Northwest
Territories,
where
exploration and claim staking are
going along at a feverish pace.
.
Interest
in
its start way
this whole
area
got
back in 1929 when a
famoup prospector named Gilbert
LaBine. ran across a fat deposit of
pitchblende
on
the eastern shores
(100 miles
of the Great Bear Lake
1,021
owns
now
.
River
and
Lake
Yellowknife.
the
acres,
the
op¬
ess
of
is
50
the
exploration work has
been
done
believes
that
spread,
the
but
We
ket
not
wanted
we
to
talk
Yellowknife, gold was
main mineral.
The big
program
and
uranium;
Fusion
starter.
fission,
as
the
is just a
hot
uranium
need
still
is possible
if, in due
replaces
fusion
course,
the
uranium; and
is
atomic
without
uranium supplies
vital early heat at warm-up
melting
and
—
time.
We
away
from
least
at
are
any
four years
adequate uranium
the most
frantic, eager, and perhaps even
the
most
rewarding search for
uranium right now is at Yellow¬
knife. The pitch is on for pitch¬
And
combined.
Congo
It
Unlike
the
Lake
uranium
ore
conglomerate
(where
vast
Blind
at
once
Yellowknife
ore
River
bodies
lo¬
(in Ontario,
the
lies in flat layers in
Huron)
where
sedimentary
beds
a river flowed), at
the
pitch¬
Ivertical faults,
precious
blende is found in
injected into quartz "stock works."
frequent surface outcroppings occur. Exploration by
trenching and drilling is not dif¬
In
this way
ficult
as
mineralized zones are, in
shallow, running seldom
than 400 feet below ground.
general,
more
important of all, the
areas
being exploited at Yellow¬
knife are producing
representa¬
tive samples
of extremely high
quality ore running from 0.35%
($50 a ton) to 1.17% ($169.65),
and even higher in some instances.
This ore quality is all-important.
After all, if you're 1,000 miles int(f
Canada,
far • above
efficient
freight transport, you just have to
And,
most
get some plush ore to offset higher
mining
camp
and transport costs.
ing it—three
or
four times richer
showings than Blind River (where
with
the
sell¬
offered for pub¬
were
now
lic
subscription last December at
IV2.
(Stancan has been reporting
very
favorable
Blind
findings
River.)
with their
difficulties, in arriving at their investing decisions.
For
ourselves,
although
so
we
subscribe to the
thoroughly
give
plete
expected
to
can
Hence, and holding that the truth lies in
do
that
and
are
using
a
it
tainties, nevertheless represent the lesser
THAT
"THE"
magical
quali¬
.
couple of dozen
in
the
Yellowknife,
and
Yellowknife, to name
Of
course,
less
nobody should
he's, by nature,
is
birds"
the
Account of the Stock Market of Aug. 22.
is
SEC Index of Weekly Closing
Stocks on the New York
Prices of Com¬
Stock Exchange in August issue of
SEC's Statistical Bulletin:
Number of Industry Groups
an
"uranium
for
"Times' " Caption of
From the latest
mon
But equally, to say that
your
Dip, 394 Rise—Index Up 0.07
472 Issues
New York
—From
even
gambler.
the $13
A Bit But the Industrials
(Item 2)
sportsman,
outright
a
even
or
1)
IN STOCK MARKET
Generally Go Into Lower Ground
few.
a
uranium prospectus un¬
a
speculator
a
Papoose
IS LACKING
Rails Stiffen
corporate
Yellowknife, Atlas
Yellowknife, Homer Yellowknife,
look at
MARKET—STILL A DIVERSE AFFAIR
(Item
TREND
.
of two evils.
#
si;
com¬
title—Bulldog
Lynx
that area—if with reservations. In other words, the
elements, with their own uncer¬
is that the quantitative
situation
details.'
This
thought
certain
weighing the rela¬
approaches, we firmly conclude
there is more chance for success in employing value factors;
that hence as a basis for all investment operations, it is prefe-
tive merits 6f each of the opposite
must be
name
there
as
outfits
if interested,
official
and
possess
ties
is
you.
Yellowknife
to
at
public financing shortly, in
case
an
official prospectus
which
will
ore
the psychologist no more than the
interpret data to the end of successful forecasting.
unpredictable,
being
able to reply on
Yellowknife
some
Number Declining
to
Advancing..
.
—
12
23
Composite—advanced by 0.3%.
taxpayer's stake
billion Uncle Sam has
own
already laid out, of your dough
mine, on U-based nucleonics.
and
Uranium, is
and
prosper,
here
to
stay
are
so
and
seen
Pronto. Algom,
MiVida
Denison,
make
the
knife
entry
nically
grade.
be
Consolidated
Gunnar all
and
Will
Yellow¬
a
the next?
MASSACHUSETTS
to
few dozen
You've
a
uranium mining companies.
Tech¬
speaking, a Yellowknife
a golden glint!
should Have
Like
it
most states,
But
An
the investor, it's an
to
of opportunity
area
Bates
in
engage
Nathan
a
is
a
Principal of the firm.
Insurance
Boston
Kendall
Metal
Here
at
& Jacquemot
bers
of
Jacquemot,
the New
York
Corporation
Springfield Fire & Marine Ins.
Springfield Gas & Light
United States Envelope Co.
S. D. Warren
Hydrides Inc.
Co.
& Company
maintain active markets on
think we can reach the buyer or
Merrill Lynch, we either
through 114 coast-to-coast offices
IinLed by
80,000 miles of private wire.
Want to find out? Just contact—
Trading Department
mem¬
,
Stock Ex¬
change, will be formed as of Sept.
1 with offices at 120 Broadway,
York City.
Polaroid
Co.
Co.
seller you want
&
Shawmut Bank
Plymouth Cordage
Associates
First National Bank of Boston
these securities ourselves, or
To Form MacGuire
MacQuire
National
Photon, Inc.
Manufacturing
Eastern Utilities
securities
Gennes
represented by companies like:
Corporation
Berkshire Fine Spinning
HOBOKEN, N. J.—World Wide
Corp. has been formed
with
offices at 231
Washington
to
...
of Hawthorne, Emerson, Thoreaii.
industrial giant—still growing.
Or the rich American writing
Investors
business.
things to many people,
schooners" . . .
means many
and "Bunker Hill".
Or "embattled farmers"
World Wide Inv. Opens
Street
Massachusetts
"widows' walks" and "Gloucester
means
Aerovox
New
Well, at Yellowknife they're, find¬
identical
almost
ing at 3V2,
in
above
is
deny
blende!
cated
fortnight ago), leads tnem to lean
this space a
qualitative, rather than quantitative value elements
economist
those
who, somehow, think that uraaium
is losing ground to thorium, lith¬
ium, deuterium, have a hole in
their heads. Nothing of our exist¬
self
on
in
discussed
was
St.
havior
the
we'll
emphasising such psychological factors (including Linbook "How to Live with Your Investments,"
Those
hart Stearns whose
lowknife), whose shares,
today
ing
department,
management of Stancan Uranium
our
one
subject of treatment by a university
rather than a Congressional banking
the
properly
were
eminence.
and
competence
the Fulbright
wound up our commentary on
we
committee.
Louis—appears to be of consider¬
able
this vein
psychology
Dun¬
and
And
Corp. (a major stockholder in Yel¬
while
But
about
Houston
the average
there are some, I believe, who practice the
to anticipating what average opinion expects
In
President; Hugh Ful¬
ton, Board Chairman; and direc¬
from
have
Study, by saying that its queries about the state of the stock mar¬
The management—Dr. Nelson C.
R.
going to choose. ("It is not a case of picking those
one's judgment, are really the prettiest, or
average opinion expects the average opinion to be.
reached the third degree where we devote our intelli¬
are
fourth, fifth and higher degrees.")
Steenland,
including Dr. John
to
which
opinion to be.
strategic land
favorable
geologic
structures located, augur well for
the future.
tors
Akin
guessers.
to the best of
gences
management
the
and
Machiavelli's
A. Wilfred May
Lie, the proc¬
resembles to a certain technique of beauty contest, wherein
winner is he who best anticipates which girl the other con¬
those
far
so
other
who,
around 60,000 acres—quite a hunk
of geiger ground.
Only prelimi¬
nary
again pervading the "Non-riuan+itpis the strategic effort to out-guess
area
testants
the total above indicates
so
individual
preferences,
nrpcticine «"»+• the Second Degree
the
area
claim
A
And
tive"
and
unsurveyed
by
style
its
value criteria.
which
mining claims, plus
235
additional, in
on
Marion
April),
last
Motivated
changing
issues and industry groups frequently sell far
above or below a price level justifiable by
Ex-
Stock
American
an
monton
(700 miles to the south).
Freight has a little tougher time,
(incorporated
mar¬
importantly depend on
the public's proclivities
sells around 6% with an
listed
Ed¬
Airlines from
Pacific
nadian
v
interest.
controlling importance of the psychological, we are nevertheless
raced
with the inconvertible conclusion
that, the crowd's be¬
supply, counting everything now in
this sight—Colorado, Canada and the
was
"
capitalists
mill,
indicated 30c dividend.
the
exploration.
mills 280,000 tons
of ore per year. Net earnings for
nine months ended March 31, 1955
were
$656,000. Giant Yellowknife
day
carried only gold
ones) and Canadian uranium, ex¬
ploded at Hiroshima, made the
bomb
style.
in
with
ning, Dean of Engineering at Co¬
lumbia; John A. Roosevelt and
cnange,
the defense of the civilized
far along
as
development of three shafts,
and the operation of a 780-ton-a-
the
is
atom
of
lot
a
investor-speculators'
,Also outside the area of value, the
ket's price movements
Also, there's a big newcomer,
Yellowknife Uranium Corporation
80 miles east of the Yellow¬
tory were of gold (.King ooiomoii s
guards
gotten
tions
Along
are
the
elicit
other companies at work here that
unleased
claims
body 260 feet
ore
an
And .there
radioactive, but only recently have
the most ornate shields in all his¬
palace
out
mark
deep, 250 feet long and 4.4 feet
wide of ore averaging just about
they realized how much so.
knife
most fabulous and
but
in
some
of minerals this
a
producer and
uranium
Inow bringing forth the
muskeg is
Cana¬
is, today
the
official
government
purchasing
agent.
So, years ago, informed
people knew this stretch of land
large
miles of moss, moose and
square
El¬
1944,
to
by this column. "The trouble with Wall Street is the in¬
vestor," and "Behave yourself, and your stocks will behave them¬
selves," have been
favorite
maxims.
The
marxet's participants to a great extent act
as
players
with chips
(blue,
red, yellow)
rather
than, as
participants
in
business
ownership which a share of stock actually
represents.
Quotations
rather
than
values
zone, ore
top;
*■11
sized
been ex¬
depths of
at
zones
VALUE FACTORS
market, particularly in its shorter-term
movements, by psychological forces has been continually empha¬
a
has
and
two
ploiting
vs.
The permeation of the
mine in
Area
(upper
has
Mines
Yellowknife)
The
•
•
No, not yet.
Enterprise Economist
A
5
Partners will be
Philip F. MacGuire and George A.
Jacquemot, who will hold
the
firm's Exchange membership.' '
Merrill Lynch,
70 pine
Pierce, Fenner & Beane
new
street
Offices, in 107 Cities
york 5, n. Y.
6
The Commercial and Financial Chronicle
(774)
deal
Nuclear Power: Now and Later
By CLARENCE E. LARSON*
Director
Oak
National Laboratory
Ridge
After
quoting
power,
power
on
less
introduce
this
should like to quote
graph
from
little
a
book
Million
subject
I
short para¬
a
very
entitled
Years/' by Charles Galton
solution
There
going
are
to
be
shortages of all sorts of
things in the future; for example,
metal mines
will, be exhausted,
r/iany
of the
many
will
them
future—but
expected
tutes
metals
short
run
of
some
in
it
we
some
the
will
day—
found
for
be
substi¬
for
is different;
substitute
near
reasonably
can
be
now
very
that fairly good
energy
them.
there is
and
energy,
no
of
creating it. It is no use
adopting the Micawber attitude
way
that
'something will turn up,'
an
altitude which may be admissible
over the shortages of
metals; but
for
that
because for
energy,
nothing
turn
can
be
can
key
is
done
unlock
to
that
The utmost
up.
discover
to
another
the
atomic energy;
source,
existence
been
of
Until
that
this
energy
Jong
quite recently the energy
has
man
utilized
has
been
that obtainable through the burn¬
ing
in
carbon
of
forms
different
to
yield carbon dioxide.
This burning is a chemical process
involving no nuclear energy what¬
ever but yielding the thermal heat
chemical
oxygen
and
utilized
in
to
of the
from
carbon.
this
between
The
carbon
combustion
reac¬
produce the vast majority
world's energy is
what we refer to
fuels"
because
they
many
reaction
the
for
formed
were
obtained
"fossil
as
most
part
milllions
of
Mr. Palmer C. Putnam,
years ago.
in
another very interesting book,
"Energy in the Future," combines,
correlates, and projects estimates
made
by
the
world's
leading
authorities
come
nam
am
of fossil
situation
Mr.
in
fuel
wrote
the
his
H-bomb
to
costs,
synthesis,
adjusted
is about 27 Q."
term Mr. Putnam
alent to
for
1018 Btu
"Q" is
equiv¬
equivalent to
uses
or
as
and
given
sun's
to
of power
energy as a source
meet
the
demands
of
our
modern civilization.
"Stop-Gap" Measure
What I will talk
not
method of
a
It
come.
is
cult
rather
to tide
measure
about
living off
us
today is
our in¬
"stop-gap"
a
the diffi¬
over
period
while
our
have
not
we
must go through
capital dwindles and we
yet
discovered
the
methods for
There
is
Putnam
living off
in
reserve
income.
our
nuclear
estimates,
fuels,
Mr.
additional
an
approximately
25
times
There
is
provide
enough
sumption, ten
of
fuel
rate
of
to
con¬
century,
per
time to discover
us
converting
into
Q
fuels.
for
centuries. This, I trust, will
many
give
nuclear
current
our
fossil
usable
our
means
a
income
energy
form.
:
"The production of energy from
uranium or thorium, as far as we
will
always
be done in nuclear
have
to
be
are
to
have
to
reactors, which
large units if
very
they
work
all
at
that
so
distribution
of the power to
is itself quite a problem.
users
Furthermore,
formidable
associated
from
there
miliar
really
difficulties
are
secondary
with
uranium.
making
There
energy
fa¬
is
the
political
of
Christ
to
1850
The
burn-up
about nine Q
ever,
at ' the
the
was
about
rate
in
time
of
nine
1850
Q.
was
century. How¬
present
time, our
per
burn-up rate is greater
Q per century and is in¬
creasing rapidly.
energy
than 10
The
ten
burned
up
present
rate
Q
per
of
energy
century
comes
from
that took
being
at
the
reserves
millions of years to ac¬
cumulate. It is quite obvious that
if our reserves total
suitable
for
also, there
time
making large
explosive
material
atom
bombs.
Then,
made
large quan¬
intensely radioactive fis¬
tities of
are
sion
products, the cinders of the
furnace, and even at the present
time, when developments are still
almost
of
rudimentary,
these
cinders
is
the
a
disposal
formidable
problem. On the whole, then, the
prospects of power from uranium
are
not
useful
good; it may be a
palliative in the energy
very
go
on
1'
e r e
than
my
o r e,
I
own
having
I would like to tell you now about
nuclear
power,
comparatively
in
and
now
the
future.
near
This
year.
the
entire
would
cost
of
re¬
in a single year.
Beyond that lies the increas¬
ingly clearly recognized fact that
somehow
reactor
power
is
an
exciting prospect, cnallenging us
to
exploit the unique opportu¬
Nuclear
Power
nities
it
affords.
these
of
some
Conventional
the
required
the
for
the
electric
total
fields
their
operation
of
States
indicate
demand
1975
about
billion
the
that
the
electricity
1,400
hours—an
900
from
for
be
may
in
in
billion
increase
kilowatt
hours
present levels. This will
quire
the
power
construction
of
of
1975.
one
should
he
is to build 300 mil¬
generating
in the next
20
plan that these
nuclear
use
power
years,
plants
the
or
present conventional fuels, know¬
ing that fossil fuel reserves are
being depleted
It
can
rapidly?
is quite obvious that Ameri¬
industry, being as competitive
and cost conscious
as
it is, will not
suddenly switch over the produc¬
ing and using electric power from
nuclear
doing
from
fuels
so.
just for the sake of
Electricity
nuclear
fuels
produced
has
no
par¬
ticularly unique characteristics
and, in itself, is of no particular
interest unless "the price is right."
It is equally obvious that as the
prices of fossil fuels rise because
of the
necessity for utilizing lower
grade
reserves
to
meet
ever
in¬
creasing demands, there will ulti¬
mately come a time when it is
possible to produce electric power
from nuclear fuels
can
be
produced
cheaper than it
from
the
fossil
fuels. That time is not far off.
So,
some
it
reasons
power.
appears
real
for
and
our
If fuel
our
,
like
and
these
that
very
there
are
compelling
interest in nuclear
prices
increase
as
much in the next 20 years as they
have
in
the
past 20 years, the
features,
make
to
now
specific comments
more
on our re¬
Technological Advances
To turn
of
to
now
consideration
a
technological aspects,
cost
of
power
recent
confidence
from
stems
much of
in
nuclear
certain
tech¬
produced. Nuclear re¬
by comparison have the
following
unique
features:
the
quanity of fuel required is small.
nological achievements in the
If
The
he
can
can
for
build
breeder reactor,
"manufacture" his own fuel
one
a
total cost that is determined
a
almost
entirely by the cost of the
processing necessary to
chemical
recover
fissionable
new
material
field
actor
It
years.
during
has
different
been
types
Idaho,
the
remove
of
by
reactors
The
Ex¬
perimental Breeder Reactor, de¬
signed by the Argonne National
Laboratory and constructed at the
Reactor
to
events.
power
demonstrated.
at
and
these
generation of useful
three
National
formed
past few
interest to
of
of
some
re¬
the
be
may
summarize
it
is
I
some
cent progress toward the largescale production of reactor power.
final
Arco,
fission products formed in the re¬
actor fuel during normal opera¬
followed
that
Reactor
Testing Station
the first to
was
demonstrate
tion. This suggests another unique
feature of nuclear reactors; that is,
chemical
processing of the
fuel is required. Chemical proces¬
sing introduces an element of cost
the substantial gen¬
eration of electric power. This was
by a similar demonstra¬
by the Aqueous Homogeneous
tion
the
at
designed and constructed
Oak
Ridge National Labo¬
and
ratory; and
generation
not
the
operating complexity that is
experienced in conventional
power plants. Other unique fea¬
of
the
nuclear
plant
power
the radiation that is associated
with it and the radioactivity of its
by-products and wastes.
Let
look for
us
possible
moment at the
a
exploitation
of
these
features of nuclear re¬
unique
actors.
ties
of
very
inaccessible military installa¬
tions.
fuel
It
actors
to
remote
that
appears
are
often
nuclear
re¬
promising
very
of
sources
and
that
power
will
as
cir¬
this problem.
cumvent
Fuel
Fuel
Reprocessing Is Costly
reprocessing
will be re¬
quired in connection with central
station
the
nuclear
for
these
most
power
plants
in
plants to achieve
economical
operating
conditions. But, fuel reorocessing
obviously is a complication and an
item of cost that is very important
—both in the initial capital invest¬
ment for the
plant and in the cost
operating the plant. One, in fact
exchanges the cost of buying and
transporting large quantities of
fuel in a conventional power plant
for the cost of building and oper¬
ating a chemical plant in connec¬
of
tion
with
nuclear
a
However, there
tions
that
are
the
plant.
power
many
indica¬
by¬
radioactive
products of fuel reprocessing have
value
and
that
mately
be
by-products
industry.
may
ulti¬
profitable
they
very
of
nuclear
a
power
designed
by
mental
Breeder
converts
faster
its
than
sumed.
protection
operating personnel. These
contribute
to
for
meas¬
initial
capital
plant
operating costs. But,
here again radiation in itself may
ures
costs for
and
have
to
the
nuclear
power
its
some
value.
If the encourag¬
ing progress that
has been made
to date continues, it seems quite
likely that the use of radiation as
a
catalyst for chemical reactions,
as
a
sterlizer
in
food
processing,
which
Reactor,
plutomum
U-238
to
at
a
rate
U-235 fuel
is
con¬
This is
one
type of breed¬
ing that is possible.
Another type,
conversion of non-fissionable
thorium
to
fissionable
under
now
U-233,- is
investigation
active
with very good prospects for
The
establishment
of
suc¬
the
cess.
feasibility of breeding is an im¬
portant technological advance .in
that it vastly increases our po¬
tential supply of nuclear fuels.
Chemical
processing
methods
greatly improved with
economy,
erficiency,
and simplicity of operations and
equipment.' This is an especially
have been
to
significant
advance
toward
the
production of economical electric
from nuclear fuels, because
power
if
one
the
associated
the
breed
can
reacior
with
of
cost
fuel
new
item
major
the
in
of
his
cost
fuel
new
is
chemical
processing
separate and purify it.
New
processing methods have also con¬
tributed significantly to our abil¬
ity to utilize many of the low
grade uranium ores found in this
to
country and thus have greatly im¬
proved the United States position
with
regard to
material
raw
sup¬
plies.
Recent reactor experiments
contributed
to
nuclear
reactors
and
be
and
time
inherently
which
dangerous
should
not
be
population centers
important areas. The
that
constructed
rather
than
reactors
may
be. inherently
to
inherently dan¬
makes it feasible to locate
gerous
reactor installations
near raw
terials,
manpower,
or
centers
which
clear
re¬
sen¬
near
other
safe
one
considered to be
were
located
in¬
safety of
particularly
are
important because at
actors
t^at
greatly
our
creased confidence in the
demonstration
radiation
by
Reactor,
non-fissionable
lated
to
power
Westinghouse
fissionable
installations
nuclear
Thermal
the
unique feature of radiation
power plants requires
shielding and other measures re¬
in
recently
demonstrated
Electric Corporation.
The principle of breeding has
been demonstrated in the Experi¬
sitive
The
most
was
Submarine
respect
only 27 Q shortage, but it almost certainly Nation's electric power bill .* in and perhaps in other ways, may
not
provide
a
burn-up rate is ten Q will
long-term 1975 will be several billion dol¬ contribute financial returns and
per
century and
is
increasing solution.
lars greater than it would be with other advantages that more than
rapidly, the time must soon come
"It is
well-known
that there present fuel prices. Since reactor offset the higher costs and hazards
when our supply of fossil fuels is
may be a possibility of making power costs (assuming breeding) that it introduces.
inadequate to meet energy de¬ atomic
explosives from hydrogen, are not sensitive to fuel costs, it
The last unique feature specif¬
mands. Mr. Putnam
says that time and, since this is a source of en¬
may very well be that a
major ically
mentioned
is
the
radio¬
is not far
off—probably about 50 ergy, it might some day be made role of nuclear power will be in
activity of the wastes from reactor
into a fuel to yield power. It is the
♦An address
relieving the pressure on conven¬ operation. The cost of dealing with
prepared by Mr. Larson
before
the Third
isotope,
Annual
heavy
Research Dis¬
hydrogen,, that tional fuels and in keeping their the radioactive waste is a signifi¬
cussion for Businessmen.
Ingalls Labora- would be
used, and though its cost down. If reactor power keeps cant factor in determining the cost
Southern Research
Institute, Bir¬ proportion
in
hydrogen,
or
in the average cost of electric power of electric power produced from
mingham, Ala., the Oak Ridge National
Laboratory is operated by Union Carbide water, is very small, still there are down by only half a mill per kilo¬ nuclear fuels; and the extent to
»nd
Carbon Corp. for the U.
S. Atomic
broadly speaking unlimited stocks watt hour in 1975, the saving will which this cost may be offset by
energy Commission.
of it. In practice it takes a
good be over three-quarters of a billion the recovery of valuable materials
and
exploiting
our
power
order
Now, if
ap¬
power
in
general
features of
possibilities
unique
reactors
should
of
actors
re¬
million kilowatts of electric power
by
for
cost
new
plants to provide about 300
an
the
on
discussed
some
the
the
upon
and
of
demand
power
United
Having
terms
nuclear
a
.Taking them in the order
economics,' mentioned, one can see that the
feature of the small quantity of
of
international
relations,
and
technology as related to nuclear fuel required is the primary basis
for military interest in package
energy.
reactors.
The
military
To consider first, something of power
the economics of nuclear power, would like very much to avoid the
we
find
that
projections of the problems of hauling large quanti¬
in
have
may
eifect
power
influence
fuel
the
consider
us
waste
cost.
plants are
large degree by
large quantities of fuel
very
this
Let
opportunities.
characterized to
are
"Nuclear Power" is a subject of
increasing interest and one which
is constantly increasing in scope as
new
applications and
new
ap¬
proaches are conceived. II refer
particularly to
recent
develop¬
ments
from the
preciable
power
tures
of
Economics
will
judge,
to
T h
much
us
future
their comments on the
aspects of nuclear power,
capacity
moment, I would like to
quote his comments on this situa¬
a
can
carry
you
"later"
for
amounts
from
dare
Coming back to Mr. Darwin's
book, "The Next Million Years,"
tion
I,
the
lion kilowatts of power
same
used
would
some
of
reserves
out at the
energy
into
coverable
estimates
cumulative
than
further
kilowatt
33 billion tons of coal. Mr. Putnam
the
formed
greater than the economically re¬
danger that it is
impossible to get the power with¬
that
ses,
per
amortize
search and development of nuclear
Thursday, August 25, 1955
.
from the fertile material in which
projections and hypothe¬
made by men much better in¬
at
Others have
length
the
possible
methods of living off energy in¬
come,
and they have shown our
total energy income from the sun
is quite ample to support us. What
is currently
lacking is the key
Mr. Darwin spoke of to unlock the
essen¬
These
Darwin
many
be
to
as
unlimited.
tially
studied
the
present
loss in
large
so
knowledge.
no
times
and
will
businessmen
ploitation of its energy—is one
which, if it could be realized,
would provide us with an energy
reserve
dollars
by
problem."
Darwin
1953,
fully recognize as intolerable over
extended period. What we
must ultimately learn to do is live
off our income. Mr. Putman, Mr.
re¬
unit
two
which
any
costs
real
—
much of the load.
up
burning of fossil fuels to
produce energy is, in effect, sup¬
porting ourselves from capital, a
fuels,
at
source
energy
must oe
The
the
than
greater
a
net
reserves
coverable
quoting Mr. Put¬
energy
in the
now
"the
—
world
to
reserves
with the conclusion that
up
—and I
fuel
on
of
known
some
known, and the
novelty is that the key has only
recently been found."
tion
insoluble
an
goes
quantities
ready to take
what many will regard as a newly
discovered
He
now.
significant
but at present unavailable source
of energy.
This is true even of
of
the
of
Since
book
from
years
from
"...
has
be
may
further a household expression. The possi¬
to say that by 1975, nuclear power
bility he suggests—that of burning
—which he regards as the most
interesting
heavy hydrogen under conditions
"The
Next realistic possibility for supplying
which would permit the useful ex¬
Darwin:
for
this
which he refers has become almost
To
the
of power;
source
a
problem. If, however, it could be
done, it might yield a permanent
well-being of the nation.
not
as
and
nuclear power may not only determine our national prestige
and our chances for a peaceful world, but also the economic
no
the
for that
purpose
it is necessary that it
should be made to 'burn' slowly,
problems of fuel reprocessing and of nuclear technology and
plants. Comments on inter¬
national nuclear developments. Says performance of U. S. with
But
some
with
of
use
hydrogen, but the
amount it trivial compared to the
energy it would yield after the
separation.
There
seems
little
doubt that
the
heavy hydrogen
day be made to explode
help
of
a
suitable
detonator, but this would be use¬
the "later" aspects of nuclear
reveals proposed nuclear power
and
to separate it out
energy
ordinary
will
Mr. Larson discusses the prospects and use of nuclear
at present and in the comparatively near future. Tells
comments
of
from
..
energy
in
much
ma¬
marketing
turn
makes
more
nu¬
attrac¬
tive.
it
Thus
is
that
a
good
back¬
ground of nuclear knowledge has
established
been
and
the
basic
tools have been
provided for per¬
forming the research and develop¬
activities
ment
ble
our
the
reactor
The
Atomic
has
now
year
gram
that
make
possi¬
continued advancement in
embarked
reactor
under
field.
Commission
development
Energy
on
the
five-
development
pro¬
which
$200,000,000
will
be spent in developing and
construcing several types of nu¬
clear reactors, each with the pur¬
pose of demonstrating within five
years
the production of electric
power
from nuclear fuel. By 1960,
Volume 182
the
most
Number 5458
promising
.
approach
at
to
it
which
the production of economical elec-
simply
boiled
the
power is required, the reactor produces it with no action
on the part of the operator* Conversely, when power demand is
more
water
trie power
warpage of
from nuclear fuels may
clearly indicated.
be
Reartnrs
TTndPr
.J
*
Ad.
veiopment
•
Under the Atomic
Energy Com-
fairly steadily. While some
the fuel elements was
observed, and while steam came
sible
five-year
program,
emphasis is being placed
the development and con-
major
to
-serious
cause
accidents
of
any sort until the
most severe test, when
final
the power
0f the reactor increased well over
a
minion kilowatts in
mg size and cost. These
a
second, resulting in destruction
are:
weeks, a less construction of this reactor at Fort
well-known fact was reported in Belvoir, Va., has been awarded
the Congressional Record of re- to the American Locomotive Com¬
cent. hearings before the Joint pany, which submitted the low
<
tenth of
a
producing
and steam power
the part of the operator.
and
struction of five reactors of
vary-
7
claimed in recent
out of the reactor rather force- less, the reactor produces less Committee on Atomic Energy, bid. '
fully many times, .it was not pos- power—again, with no action on General Electric, who is playing a
Because the cost of
missions
VP°n
(775)
The Commercial and Financial Chronicle
.
.
major role in the development of
electric
Since the research reactors that
are now receiving most attention
another submarine
reactor, constructed a prototype of this reactor in Schenectady. This prototype is now being provided with
for heating in, for example, arctic
bases is very high as a result of
the cost of transporting fuel to
these remote locations, the Army
power generating equipment; and
Package Power Reactor
for
use
in universities and
installations
non-AEC
other
are
of
either the homogeneous or the
Materials Testing
Reactor type,
power
is certain
General Electric is arranging for to produce cheaper power than
equipment by a steam explosion these experiments are particular- sale of electric power to public conventional plants because of the
operated by the Duquesne Power However, it should be pointed out ly
encouraging.
The swimming utility firms.
Since the reactor sharp reduction in the quantities
and Light Company of
Pittsburgh, that this deliberately planned test pool type reactor, which incorpo- was designed to produce power of fuel that must be hauled in for
Pennsylvania;'
' was far more severe than any ac- rates a modification of the MTR for a submarine, the conversion its operation.
(1)
,
the
Pressurized Water
Re-
of
the
and
core
associated
some
actor that is to be constructed and
,,
,
Sized
cident
Breeder Reactor of essentially the
occur.
(2)
..
Intermediate
an
type
same
the
first
power;
(3)
to
that
one
produce
,
electric
using
boiling
method of heat extrac-
a
tion;
(4)
larger version
a
actor
the
of
the second reactor to produce
electric power; and
151
liauid-m
a
*
t
p
1-mnlpfi
a
rp-
actor
Anions
in
the
developments
new
technology
reactor
could
conceivably
homogeneous
own
experiment
at
Oak
re-
Ridge
Laboratory,
we
performed essentially the same kind
of tests with a small homogeneous
reactor.
The
greatest
possible
aqueous homegeneous reactor that
was
that
our
National
reactor
as
In
was
.
a
water
the
as
mentioned
increase was produced in
the shortest possible time in the
core of a circulating fuel homogeneous reactor system.
In this
case the iarge negative temperature coefficient of aqueous homogeneous reactors served to reduce
the Power sufficiently rapidly so
power
that there was no boiling, and no
apparent damage of any sort to
a few moments.
The feasibility of the reactor. The power, after its
breeding has lone been a subiect initial excursion, simply leveled
of particular interest to physicists
off at some new point where the
and I am happy to be able to re- action of
the temperature coefport that significant progress has ficient just compensated for the
been made.
Of course, the "fast" increase that had been effected.v
earlier
that I would like
some
are
to comment on in more detail
for
Luring these same experiments,
I really
admirable feature of
Experimental Breeder Reactor homogeneous reactors for the probreeder has already
strated
the
in
been demon-
operation
mentioned earlier.
the
of
We at the Oak
also
tho-
National Laboratory
quite confident that a
Ridge
feel
rium-uranium 233 thermal breeder
constructed
be
can
U-233
more
to
produce
than
atoms
are
con-
sumed in the reactor fuel.
One other
a
duction of electric power
was
also
demonstrated. By rapidly changing from no steam demand to full
steam demand,
the reactor
power
production
At the very beginning of this
should be relatively simple, in- talk, I mentioned several unique
a boiling of the water in the im- volving primarily the addition of features of nuclear reactors that
mediate vicinity of the core, a turbine generator.
might be exploited in such a way
Homogeneous water boiler- reAs an illustration of what prom- as
to contribute income that
actors can suffer a steam explo- jses to be the first practice de- would offset the cost of producing
si°n if the system is completely monstration of an economically electric power. This is a field that
closed; however, if it is properly competitive power reactor, I
n0w only beginning to be exvented or provided with pressure should like to comment on the plored. I note with interest that
release of some sort, the worst Army power reactor program. To research organizations are Decatastrophe would be a simple provide a reactor of known re- gin«irlg to devote more effort to
boiling of the fuel solution.
liability, simplicity, and reason- ®uch projects as . studying raInterest in research reactors of abie cost for producing relatively dioisotope utilization and.new apthese types in particular is in- small quantities of electric power plications of gamma radiation.
creasing so rapidly that I found and heat at remote Army bases, Studies of this type are the ones
it difficult to determine what in- the Oak Ridge National Labora- we hope will- yield the. developstallations now have serious plans tory worked with Army repre- me"ts we nee(* to increase our
i°r construction of research re- sentatives in determining require- exploitation of the unique features
actors. A partial list, at least ments, specifications, and other t°/ib"te the re^uctSns^n cost that
would include the following necessary criteria for design. They tribute the reductions in cost tnar
Places: North Carolina State Col- utilized in their basic design im- Wl11 in<teed make nuclear power
*ege> Pennsylvania State College, provements that were suggested economically competitive,
Armour Research Foundation, the by experience with the submarine rjses for Fission Products Sought
University of Michigan, Umver- reactor and the Materials Testing
TTtili,a+inn
nf
fi«inn
Slty of California at Los Angeles, Reactor.
This
experience has
LLrc !
Battelle Memorial Institute, made it possible for simplifica- P^VTCre_
Massachusetts Institute of Tech- tions in design to be made and
ri;r.+I1L
a
n n p l p a r
nology, the University of Florida, for industry to submit, with con. *\
.
Tf
.
,
irri
and Vanderbilt University.
fidence, lump sum bids for the
nf tS
L of
Continuing our discussion of construction of the reactor. The p.
f.
. p
would heln to
fuel arrangement, apparently can
suffer no worse catastrophe than
opera-
tors demonstrated that tnere is
a
n
current progress in reactor devel-
final reactor design provided for
opment, I wish to comment briefly
ing picture deserves comment to
establish a truer perspective. That
1ss\vip rpnrtor' cost rhareed
iiLl' nnufp'r nmHnptim
a
strong
coupling
between on a few recent developments that
demand and power supply I consider particularly significant,
—that, in fact, a homogeneous
While the performance of the
power produced is self-regulating reactor - powered
submarine,
in regard to power demand. When Nautilus, has been
widely acvery
power
change in the breed-
to- electric
10 megawatt heat capacity that
could be utilized for producing
approximately 1,000 kw of electricity and 2,500 kw (equivalent)
of steam for space heating. A
two-million dollar contract for
,
ag }
,.
,
ffort
hicnnwi
disposal.
radioactive
waste
a
significant
percentage
Continued
on
breeding is advantage¬
ous,
and while it sounds very
spectacular to say that one pro¬
is,
while
duces
in
fuel than is con¬
new
more
sumed
reactor, our morg re¬
economic
studies
irtdicate
the cost of electric power
cent
that
a
This announcement is neither
?
an
offer to sell nor a solicitation of anqffer to
The
buy any of these Debentures.
offer is made only by the Prospectus.
produced in a reactor is not very
sensitive
to
the
value
of
the
reactor
more
producing
5%
consumes
too substantial
hold
advantage over
an
producing 5% less.
one
With regard to
has been made in
ing
the progress that
greatly increas¬
confidence
our
be constructed to be
ly
safe
two
dangerous,
mental programs
The Pacific
inherent¬
than inherently
separate experi¬
have contributed
particularly significant results. In
one set of experiments, conducted
Telephone and Telegraph Company
Thirty-Six Year 3%% Debentures
that reactors
can
rather
$67,000,000
fuel
not
does
it
than
In other words, a
gain.
breeding
Bated
Interest
August 15,1055
,
payable February 15 and August 15 in New
<
York City or in Han hrancisco
by the Argonne National Labora¬
tory at Arco, Idaho, the safety
of
heterogeneous reactors using Ma¬
terials Testing Reactor type fuel
elements
serious
most
could
by
the
that
consequences
caused
be
to
regard
with
particularly
Price 102.547% and Accrued Interest
thoroughly exnlored,
was
largest
the
possible increase in reactivity.
Explosion
A-Bomb
No
that a
reactor cannot, under any circum¬
stances, explode like an atomic
bomb. Steam explosions could be
It
'
has
long been
certain
under
caused
Copies of the Prospectus may be obtained from only such of the undersigned as may legally
these Debentures in compliance with the securities laws of the respective States.
circum¬
MORGAN STANLEY & CO.
under
other
conditions,
or
THE FIRST BOSTON
perhaps the protective coating on
the fuel
elements might simply
BLYTH & CO., INC.
rupture, releasing fission products.
In
the tests at Arco,
spring-
HAIIRIMAN RIPLEY &
loaded
control rods were literally
"shot"
out
very
of
the
reactor,
giving
the
ments,
course
it
KIDDER, PEABODY & CO.
MEIIRILL LYNCH, PIERCE, FENNER &
STONE &
sion
BEANE
WEBSTER SECURITIES CORPORATION
WHITE,WELD&CO.
the power level with the
the
down" to
SMITH, BARNEY & CO.
UNION SECURITIES
CORPORATION
LEE HIGGINSON CO
DREXEL&CO.
DEAN WITTER & CO.
Boiling, by reducing the ef¬
the moderator, de¬
result lhat
..
& FRER
CO.
LAZARD
Incorporated
fectiveness of
creased
GOLDMAN, SACHS & CO.
was
power in a very short time simply
resulted in causing the water to
boil.
CO.
CORPORATION
fast increases in power. Dur¬
of these experi¬
repeatedly demon¬
strated that greatly increasing the
ing
offer
Melting of the fuel might
stances.
occur
known
after
its initial excur-
reactor
some
would
August 2If, 1955.
"settle
lower power level
I
nrnhlpm'
thp
of
of
page
tp
If
the
20
«
(776)
The Commercial and Financial Chronicle
Foremost
Dairies, Inc.—Card
memorahdum—Scherck, Richter
Company, 320 North Fourth St., St. Louis 2, Mo.
Dealer-Broker Investment
Gulf Coast Leaseholds
Bean & Mackie,
Inc., 40 Exchange Place, New York
5, N. Y.
Recommendations & Literature
understood that the firms mentioned
It is
International Telephone
will be pleased
Irving Trust
Utah
opportunities in the Utah Area—
Co., Dept. M., P. O. Box 899, Salt
Power & Light
City 10, Utah.
Lake
120
Securities Co., Inc., 1033 Thirtieth Street, N. W., Wash¬
Reliance
Bond Yields and Money Rates 1911-1955—Study—C. F. Childs
and Company, Inc., 1 Wall
Street, New York 5, N. Y.
Office
Letter—Fortnightly review of the Canadian Securi¬
ties Market—Newling & Co., 65 West 44th
Street, New York
115
Investment Opportunities in Japan—Circular—Yamaichi Secu¬
—
Analysis
Bank
Nomura
Rates,
and
Steel
of
New Jersey
Bonds—Bulletin—Park, Ryan,
New York 5, N. Y.
&
York
Sound
Quotation
4,
N.
own
Inc.,
46
Company
Sons,
Tekoil
Street,
noise
Survey
how
and
Charge—Giving free analysis of
it
may
conditioning problem—Celotex
Salle Street,
Chicago 3, 111.
Sulphur Stocks
Summary
be helped
Corporation,
through sound
120 South La
& Co.,
—
Analysis
—
Frank C.
&
Canada, Ltd.—Review—James
Portage Avenue, East, Winnipeg,
Analysis
—
Texas Industries, Inc.
able is
a
Co., Electric
Richardson
Canada
and
Also available is
United Transit
a
—
Analysis
—
—
William R. Staats &
Co.,
on
Also avail¬
Analysis
Kirkpatrick, Inc., 315 Fourth Avenue, North, Nashville
3,
&
Visual
—
Analysis
—
Swift, Henke
Co., 135 South La Salle Street,
Chicago 3, 111.
*
*
*
Ltd.—Memorandum—First
Broadway, New York 5, N. Y.
Boston
iday
Plastics,
Inc.,
Schmieg
American Telephone &
New York Hanseatic
Inc.
and
Dry
Broadway, New
York 5, N. Y.
of the Coca Cola
Bonanza Oil &
York
NSTA
MORE
way,
Compo
Co.,
NSTA,
Pacific
Railroad—Analysis—
Corp.—Memorandum—Shearson,
Name
Corporation—Analysis—Reynolds
Ernest
Bodle, Jr.,
"Conary,
Brush,
Charles
Wilfred
A.
Stein
G.
G.
22nd
&
Co.,
14
Co.,
120
Broad¬
&
&
Co.,
Bear,
Stearns
&
Co.
Cruttenden
"Dorsey, Joseph R.
Bache
Fewel
George H.
*Erb, Robert L.
III,
in
and
The
commercial
scope
of the
production of energy
enter¬
corpora¬
from all
including atomic energy,
economically
feasible.
It
William
John
H.
P.
D.
Potter,
II,
J,
"Staib,
L.
McCay
&
Boston,
Abbott,
Proctor
Clark,
&
Arthur
M.
Krensky
Kirkpatrick
Eustis
First
and
C.
&
&
Boston
Co.
Co.
Corp.
New
N.
Y.
Mass.
York,
Nashville,
Boston,
&
Co.
Whitney, Gramner & Schulder
Geo.
and
to
companies.
Godfrey Bligh, President of R.
Smythe & Co., Inc., 79 Wall
New York City, will sail
York, N. Y.
N.
Y.
the S. S. Liberte
Sept. 3 for
ing
England, France and Italy,
returning to the United States
from Naples by plane.
Tenn.
Mass.
Chicago, 111.
Denver,
on
five week's trip to Europe, visit¬
and
Chicago, III.
Morey D.
Tietjen,
*Mr.
Paine
Inc.
Landstreet
Corp.
consultant
M.
on
&
Chemicals
&
industrial
Street,
a
Willard
Wood Co.
Herbert
Colo.
Chicago, 111.
New
Co.,
as
Godfrey Biigh
On European Trip
Cal.
York, N. Y.
Denver,
New York,
VA.
G.
Angelps,
Siegel <fc Co.
Cruttenden
Exchange Place, Jersey
City 2, N. J.
Jaquith
Co.
&
Arthur
R.
Y.
Cleveland, Ohio
&
Mr. Lilienthal also is Chairman
the
Executive
Committee
of
acts
Y.
New
Kirchner
Russell
Lee
N.
N.
Los
Gregory & Sons
Blyth
William
York,
York,
Gregory dr Sons
A.
water.
various
New
Co.
Dempsey-Tegeler
Joseph
Md.
proj¬
agriculture,
increasing food supply, and im¬
proving transport by highway and
Minerals
Francisco, Cal.
New
&
modernizing
Chicago, 111.
Co.
Co.
Erb
Carroll,
Krumholz, Nathan
Harry
&
San
of
Providence, R. I.
Co.
Green,
King, Thomas E.
Nelson,
&
Stephens, Donald B.
Inc.—Data—Julius Maier Co., Inc., 15
CONVENTION
Baltimore,
Co.
Schulder,
Co.,
Inc.
Boyce
&
"Sachnoff,
&
ANNUAL
City
Slrcumb
Bros
Walker
Nelson,
&
in
agencies
of public
pro¬
of river and land develop¬
tion's services will include counsel
of
II.
•MacKessy, T. Frank
Hammill
Machinery Corporation—Analysis—Loewi
Street, Milwaukee 2, Wis.
Co.
FOR
HOTEL, MACKINAC ISLAND, MICIL,
Firm
MacDonald, William G.
Y.
New York 5, N. Y.
Petroleum
GRAND
SEPTEMBER 11 TO 14, 1955
Krasowich,
&
225 East Mason
Empire
Ill
Co., 115 Broadway, New York 6, N. Y.
Street, New York 5, N.
Shoe
&
York 6, N. Y.
J. R. Williston &
Clevite
Co., 1 Wall Street, New
Co.—Analysis—Ira Haupt
Chicago. Milwaukee, St. Paul
Wall
REGISTRATIONS
OF
"Earnest
&
governmental
coordination
ects
Cummings, Frank X.
analysis
an
will be
only to advise and
will also include guidance in
Gregory,
Broadway, New
Chrysler
120
,The
sources,
"Haggerty,
Power
Notes
Dawson-Smith, Edward
5, N. Y.
Maine
Co.,
D. Friedman &
Co., Inc., 52
Corporation—Report—Cohu
Central
&
not
industrial
Orradio
Company.
Broadway, New York 4, N. Y.
Carlisle
Upham
Also available is
Mine—Report—L.
^
services of the corporation
prises.
Telegraph—Table of related values—
Goods—Analysis—Harris,
America.
of
the
outside
resources
States
ment, but also in selected private
"Blum,
Associated
guidance in the development
natural
the
Corporation, 120 Broadway, New York
5, New York.
cial
when
Industries,
Industries, Inc.
ganizational, technical and finan¬
grams
Corporation, 100
American Alloys
Corp.—Report—S. D. Fuller & Co., 39 Broad¬
way, New York 6, N. Y.
Also available are
reports on Hol¬
&
Co.
assist
microwave
Aluminium
Lilienthal, Mr. Clapp
and nominees of Lazard Freres
available
Communication
and
board of directors of the company
include Mr.
United
—
System—Information on closed circuit
relay — Federal Telephone'and Radio
Company, 100 Kingsland Road, Clifton, N. J.
TV
City to become President of De¬
velopment & Resources Corp. The
of
Warren-Bradshaw Exploration Co.
resigned as Dep¬
of New York
Administrator
Development & Resources Corp.
been formed to provide or¬
&
—
Garrett and Company, Fidelity
Union Life Building, Dallas
1, Texas. Also available is a
circular on Tidelands
Royalty Trust A. & B.
—
of the TV A, has
has
Clark, Landstreet
—
new com¬
Gordon R. Clapp, v/ho suc¬
ceeded Mr. Lilienthal as Chairman
pany.
Valley National Bank.
Company
Tenn.
z
Resources Corpora¬
tion, with offices at 44 Wall Street,
City. Mr. Lilienthal has
been named Chairman and Chief
New York
uty
Spring Street, Los Angeles 14, Calif.
report
Energy Commission, announced
on
Aug. 22 the formation of De¬
Executive Officer of the
of
Corporation
640 South
Gordon R. Clapp
first Chairman of the U. S. Atomic
velopment &
Street, New York 5, N. Y.
Corp.—Memorandum—Crerie
Eppler, Guerin & Turner,
Fidelity Union Life Building, Dallas 1, Texas.
New
A
Post
discussion of Canadian Growth Stocks.
Inc., 70 Pine Street,
Front
173
Y.
Conditioning
your
Bureau,
10
V
L-
David E. Lilienthal
Royal Bank Building, Toronto, Canada..
Over-the-Counter Index—Folder showing an
up-to-date com¬
parison between the listed industrial stocks used in the DowJones Averages and the 35 over-the-counter
industrial stocks
used in the National Quotation Bureau
Averages, both as to
yield and market performance over a 13-year period —
National
Co.,
Building, Houston 2, Texas.
and
analyses
&
Broadway, New York 6, N. Y.
Stancan Uranium
analysis of Business Results and
Mitsui Chemical Industry Co.,
Ltd., Sumitomo Chemical Co., Ltd., Tokyo Gas Co., Ltd.,
and Tokyo Electric Power
Co., Ltd.
Outlook,
views—Lerner
Co.—Memorandum—Goodbody
Masterson & Co., 64 Wall
—
Securities Co., Ltd., 61 Broadway, New York 6, N. Y.
Also
in the same issue "Nomura's Investors Beacon" are discus¬
of
Co.—New
Square, Boston 9, Mass.
Southern California Petroleum
Corp.
Broadway, New York 7, N. Y.
Conventions
Cement
mf
mm
&
Rockwell Manufacturing
36, N. Y.
Taxation
Electric
Riverside
Canadian
S.
Itsi
Engineering jCOj—Memorandum—Hemp¬
hill, Noyes & Co., 15 Broad Street, New York
5, N. Y.
ington 7, D. C.
Japanese-U.
it
Life Insurance
Co.—Memorandum—John
Legg & Company, 22 Light Street, Baltimore
3, Md.
C.
30, 1955—Atomic Develop¬
rities Co., Ltd., Ill
Merrill
on
WA
National Accident &
Atomic Reactor Diagram in four colors with
portfolio informa¬
tion cn Atomic Fund as of June
sions
reports
Petroleums Limited, Compo Shoe Ma¬
chinery Corporation and Eastern Industries
Incorporated.
booklet—Harris, Upham & Co.,
enthal, formerly Chairman of the
Tennessee Valley Authority and
Eissell & Meeds, 120
Corporation—Bulletin—DeWitt Conklin Or¬
ganization, 100 Broadway, New York 5, N. Y. Also available
Broadway, New York 5, N. Y.
ment
Company—Bulletin—Laird,
McRae Oil & Gas
are
Atomic Energy Review—New
banking firm, and David E. Lili-
and
Broadway, New York 5, N. Y.
Resources—Industrial
Area
Corp. Formed in N. Y.
Lazard, Freres & Co., investment
Laird,
—
Telegraph Corporation—Bulletin
—Gartley & Associates, Inc., 68 William
Street, New York
5, New York.
interested parties the following literature:
send
to
Devei. & Resources
Inc.—Analysis—Singer,
International Telephone & Telegraph Co. —
Analysis
Bissell & Meeds, 120
Broadway, New York 5, N. Y.
Thursday, August 25,1955
.
Colo.
Joseph Gonlon Joins
Cincinnati, Ohio
Homer 0'Conneli Co.
Chicago, 111.
New York,
N. Y.
Mrs.
Joseph F. Conlon, Jr., formerly
in the trading department of Mer¬
rill
Lynch,
Pierce.
Fenner
&
Beane, is
now
associated with
Homer O'Connell
Gulf Interstate Gas
DEPENDABLE MARKETS
fjoratrot j^cttrtttes
Com. & Pfd.
& Co., Inc., 120
Broadway, New York City, in that
trading department.
firm's
©o., xta.
Southeastern Public Service
Member
With Scharff & Jones
N.A.S.D.
(Special to The Financial Chronicle)
Broker and Dealer
Western Development
NEW ORLEANS,
La.—Henry L.
Mayer has become affiliated with
/
Material and Consultation
Inquiries Invited
Scharff &
on
Troster, Singer
HA
2-
2400
Members: N.
74
Y.
Trinity Place, New York 6, N. Y.
Jones, Inc., 219 Caron-
Street.
Japanese Storks and Bonds
& Co.
Security Dealers Association
delet
without obligation
NY
1-
376
61
Broadway, New York 6, N. Y.
Tel.: BOwling Green 9-0180
Head
Office
Tokyo
Joins
Wulff, Hansen
(Special to The Financial Chronicle)
»
DEMPSEY-TEGELER & CD.
SAN
Ball
&
is
JOSE,
now
Calif.—Richard A.
Wulff, Hansen
with
Co., 201 South First Street.
Volume
Number 5458
182
The Commercial and Financial Chronicle
.
.
.
tion.
Exactly How High Is the Market?
STEELMAN
By NORMAN
Many
counts
you
Mr. Steelman reviews the situation of the
Dow-Jones Average. Says the average is misleading because
I
the
How One Salesman Got His First Accounts
in
"yardstick" used for computing it has not remained con¬
Finds wide discrepancies in price behavior of individual
I
stant.
;
issues, and concludes "there is little doubt that
are too high and others too low."
„
The
Dow-Jones. Industrial
But the average is misleading be¬
against the 1929 high of 396.
the
cause
"yardstick" used
remained constant.
As
the
measured
dollar
with
1929
prices
average
has not
.
.
.
("cost of living
index")?
'
•
!
'
prices
60c compared
purchasing power of about
a
In
those
order
obtain
to
1929,
of
Index
Dow-Jones
current
>
-
dollar.
with
the
for computing
by consumer's
has
now
the
stock
' "
as
it
is
comparison of
true
a
the
to adjust
necessary
The current
figures to the 60c dollar.
figure of 460 (8/15/55) therefore would be reduced to 276, or 120
;
points lower than 1929.
Stocks
reached
prices
Dow-Jones
Industrial
their
level
lowest
at
Average
-
a
in
the
with
1942
1942 the
Since
92.9.
low of
purchasing power of the dollar has declined further, and estimates
based
the
on
cost-of-living
place
index,
its present purchasing
at about 58c, as compared with the 1942 dollar.
power
Adjusting
today's average (460) to 58c dollar, results in a figure of 266, or
173 points above the low of
1942.
A further adjustment is necessary,
true
a
picture of
rise
the
since
however, in order to arrive
1942.
the industrial
Despite
recovery
which had gotton under way late in 1939, stock prices,
for
reason,
some
moved in the opposite direction until 1942, bring¬
ing the Dow-Jones Average dov/n from 121 in 1939 to 92.9 in 1942.
with
can
of the rise since
points
(28)
than catching
more
reasonably be considered
since
sidering
the
a
accompanying
therefore,
1942,
recovery.
was
Only 145 points
rise based on industrial progress
rise since
The actual
1942.
with the
up
1942
seems
moderate
very
growth of industrial
con¬
production and
earnings.
same
said
cannot be
of individual
ahead of the market average;
found
that
have
why
reasons
issues.
others far behind it.
scarcely risen at all since
while others
are
far
Some can be
There
should exist in
wide discrepancies
these
1942.
but there is little doubt that some
stances,
Some
may
some
such
that
locating people who have the
financial capacity to become good
was
he would then
a
They. have to rely on
other method/of obtaining
clients.
able to
some
who
has
faced
was
building
with
the
job
Jiy^s.-rip
that newspaper
advertising and direct mail had
direct
its limitations, he decided to go
his
on
and find his pros-
First he obtained the home
pects.
addresses
of
that
clients
of his firm's
several
were
citi¬
substantial
and who also lived in neigh¬
zens
average
In many
that
secured
a
directory
names
within
ness
well
were
own,
a
few
cus¬
he continued
this plan and he finally built up
a
a good clientele leading from one
1
to
another.
After he acquired
u~
satisfied clients he continu-
some
asked for prospects and he
ally
got
them,
It
above
Word About Prospecting
a
the
is
up
an
extra or one that,
increased, then ask for
If
client
a
dered, ask for
has
taken
easiest
names.
If
you
thing you can
ptop.l
tXbSS
ȣ
with you. I once knew a man who
said
a
,,
„
>t
,
>t
d
.
.
.
.
.
1 mow a tew people
who have money." .He got a job
with
all
was
those
handicaps
a
block
there.
or
two
Then
feel important by asking for their
help that before long he was one
of the leading
producers.
Even
the
of
one
partners was making
I
him.
for
sales
don't
advocate
^]^js procedure as the way to suc-
security salesmanship but
in
cess
it does illustrate one
point—don't
"big shot" that you re¬
from
asking the help of
be such
a
Many people like to feel
^ ^strPumental in an_
others.
^ they
0ther
man's
success—don't
these
of
Next he located the busi¬
address of these people.
he wrote
a
Then
short letter to each of
with you.
People will rarely offer
l^sT^ou Remind ethem°that
would like to have
you
man
is
engaging
in
a
securities
business from offices at 119 West
their coopera- Oak Street.
This is under
no
circumstances to he
offering of these Securities for sale, or as an ojjer to
buy, any of such Securities. The ojjer u
only by means oj the Prospectus.
construed as
an
buy,
solicitation oj an ojjer to
New Issue
1942 Low
Adjusted to
Mkt. Adjusted
Allied
Chemical
29%
107%
22
Armstrong Cork
-
70%
45
Bewdix Aviation
16%
22
84
5%% subordinate
income debentures
110
425
25%
LTD.
360
28
325
%
48
13
-
$8,500,000 (US.) ten year
19
28%
4%
-
275
38
14
.
___.
Atlantic Refining
100
41
78
NORTHWEST NITRO-CHEMICALS
113%
62%
121/4
Allis-Chalmers
Amer. Home Prod.
Since l!)42
58c Dollar
8/15/55
.
% Rise
to the
Market
Stock Div.
DUE JULY 31,
1963
*
Bethlehem Steel
Borg Warner.
16%
-
6%
_
duPont
.
251/2
3%
Firestone
Genera]
Electric
General Motors
7%
-
_
15
.
29%
300
251/2
124%
72
185
124%
72%
175
7%
42%
24%
235
200
-
Sears-FvOebuck
of $50 Principal Amount of
Stock
represented hy $50 principal amount of Temporary Debentures
may be issued or combined in authorized,
denominations as stated in the Prospectus. Temporary certificates for shares of
Common Stock included in the Units will appear on the reverse side of the
Temporary Debentures included therein and until such 1 emporarv Debentures
Each Unit will he
and 5 shares oi Common Stock. Units
34%
72
41%
178
47
27%
1000
98%
57
420
and such temporary stock certificates are exchanged for
and Common Stock certificates, such Debentures and the^shares
603/s
35
500
be transferable
10%
6
—
Standard-N.J
...
8
90%
52
550
15
.
134%
78%
49%
27%
43
235
141/2
Co
103
593/4
7%
.
the
52
30%
64
37%
130
PLUS ACCRUED INTEREST ON
THE DEBENTURES
300
15%
capital gains tax is responsible
for the high
$50 PER UNIT (U.S.)
300
U. S. Steel—
Westinghouse
PRICE
185
74
9%
.
Oil
definitive Debentures
of stock will
only together. It is expected that definitive Debentures and
Common Stock certificates will be available on or before December 31, 1950.
420
'
12%
Standard-Ohio
in a large
Copies of the Prospectus may be obtained from any of the several underwriters,
including the undersigned, only in states in which such underwriters may legally
ojjer these Securities in compliance with the securities laws oj the respective states.
level of certain stocks. Holders are reluctant
and pay 25% in taxes.
If Congress wants to do
check the rise in stocks which, in the opinion of
to be getting out of hand, a cut in the
should prove to be an effective measure. Inves¬
tors might be willing to pay a 10% tax and the Government might
easily derive more revenue from a lower tax than is now derived
certain members appears
EASTMAN, DILLON &
capital gains tax
from the
Units Consisting
59%
21/2
-
Standard-Calif
something to
in
Debentures and 5 Shares of Common
15
-
take profits
Offered
11
Corp
Obviously,
Stock
VALUE
380
/ 26%
Socony-Mobil..
M (CANADIAN) PAR
300
721/2
1275
.
to
50%
1243/4
47%
.
Chemical
850,000 Shares common
400
1000
40
32%
Phillips Petroleum..
measure
63%
1283/4
82%
Phelps Dodge..
Texas
222
561/2
-
Kennecott
Sun
44%
2%
:
Hercules Powder
Radio
1451/2
11%
Goodyear
Gulf Oil.
Monsanto
1
higher.
.
deny
he
accompanying brief list, selected at random, will illustrate
SpIit-Ups &
but he
busy making other people
so
do if you will only remejnber tmit them this pleasure -it's profitable.
when you have made a friend and
cross
reference street a satisfied client just ask him if
M. W. Beckman Opens
and he selected about he knows of someone else who
of
LODI, Calif.—Millard W. Beckpeople who lived would like to do some business
lived
or as a
Subsequent
k
thing about ,he investment busi-
in¬
the point:
have
appreciate it, tell them they can
be
stocks are too high,
a
gone ; out
of;your way to give
personal service to some of your
clients and; they tell you they
frain
™
i
*
And
call
in the wealth of the resi-
who
dents
50
own
obtained
of his
tomers
clientele among stran¬
a
Realizing
gers.
he
After
of
in¬
Around
and ask if
names.
substantial profit and he is pleased
with the service you have ren¬
give him a bridge-over of somepersonal following of friends, they thine in common with his prosVct.hiich
are really on their own.
pect that enabled him to establish
a
more
substantial relationship
Many years ago, Mr. Moorman
tells me, he knew of a salesman than would have otherwise been
who moved to a new location and possible.
he
been
names.
this would break the ice and
cases
your
his
with
customer got his check, espe¬
cially if it's
secure
client), Mr.
possibly you know him
prospects and locating people who
can buy and, since they have no
time
and
sale
a
happy
fay/'Wht
client (or I have a
Smith,
,
made
The
he
iHth^^ti^pf
they
time
too low.
are
and
prospects, to saying, "By the way, Mr. Brown,
acquaintance
is
where
ahd loratinn
have a difficult was t
personal
clients.
The
He followed each
to meet them.
letter
made
is
dividend
investor
possible
Their
borhoods
Twenty-eight
nothing
of
Research
&
people will not wish to give
but others will. After
have
your
Corp., 120 Broadway, New York interview with a fair percentage
5, N. Y., for a sound and work- of these "suspects."
able selling idea. Often new men
when he was talking with each
come into the investment business
individual at their place of busiand they are not well connected ness he would finally get around
out
at
Securities
a
vestment, ask for
City
think
they
good business
wouldn't be interested.
customer
them and told them he would like
again to L.
once
Vice-President
Moorman,
National
recently
reached 460
Average
L.
stocks
some
indebted
am
.
New
a
ac¬
names
you
As in the year past,
because
such
you
Some
present
your
think of sending you
names
have
you
that
By JOHN BUTTON
Members, Philadelphia-Baltimore Stock Exchange
of
never
some
Securities Salesman's Corner
Co., Philadelphia, Pa.
Lilley &
9
(777)
August 24, 1955.
CO.
I
10
(778)
The Commercial and Financial Chronicle
Qontinued
Dean W.
Milk
I.
further
steps
be
may
curb
to
necessary
balance;
favorable
Myers of the College of Agriculture of Cornell
University tells bankers, however, boom may get out of hand,
and
into
ucts
Upward Business Trend Expected
feed
is
prices
inflationary
ther
the
moderate
Speaking at the New York State
loans
some
by
a
Cornell
University in Ithaca, N. Y.
"graduate bankers"
Aug.
on
Dean
at
of
College
the
I.
likely
to
slow
that
in
"There
to
be
improvement
is
fair
years.
he
dications
slow down gradually and avoid
a re
up¬
ward trend
the
in
nation's
econ¬
will
omy
be
resumed in the
fall
and
1955
that
the
overall economy of the U. S.
Improvement
has been
in
the
get out
of
in
the
In
the
built-in
economy,
unem¬
farm
Further
steps
may
be
necessary.
Speaking of the longer future,
the speaker said "we've learned a
good deal about controlling booms
and
busts,"
but
he
whether
questioned
learned enough
have
we
to avoid depression after
A good overall
war.
world
a
job has been
done since
World
During
could
'
-
booms
war
make
but
;
more
is
bad
by
Turning to agriculture, the Cor¬
from
years
by
that
1947-55
generally
were
short
a
noted
the
eight
marked
were
falling
farm prices
interrupted briefly by
inflationary
price
rise
War II in stab¬
receive
are
about
now
25%
below the post-Korean peak.
Again costs lagged, so U. S. farm
prices dropped to 16% below par¬
ity, representing a real squeeze.
City wages continued to rise and
at peak levels. The results is
that net income of farm
operators
is down one-fourth from 1947
but
is still better than double
prewar.
are
Net income per farm
operator de¬
clined
15%
because
there
are
fewer
farmers.
It
seems
cows
or
2,000 hens
or
a correct report of
happenings in this country.
Our gov¬
ernment propaganda
agency, the USIA, tries to
respond
costs and
increase
the
York
hate
unparalleled
boom."
"We
control
can
phasized, "if
and
apply
needed, but we
effective
sions.
in
If
booms," he
em¬
have the courage
the
brakes when
we
have
been
less
controlling depres¬
really severe depres¬
general
prosperity.
the
Prospects for
a
should
"I don't
develop,
how it
see
cheap,
even
the
basics
tobacco
long.
total
Marriages will begin to increase
corn,
last
can
that
again in the early 60's due to the
larger baby
crops of the 40's."
He
noted public construction
promises
to rise for several more
years
partly
offset
the
decline
in
to
pri¬
vate construction.
as
"mainly
market
correction
from
Except for
large carryover.
no
reduced
were
April
Most established
farmers
stocks look
lation
and
to
profits
future.
near
said,
the
stock
business
affects
of
especially
simism.
the
present
of
but
it
also
businessmen,
overoptimism
Here
re¬
In the main, he
market
reflects
conditions,
attitudes
high in
very
or
pes¬
again, the Federal
Reserve has shown
an
awareness
of
dangers of the speculative boom
by increasing margin requirements
and interest
Another
long-run
were
rates.
stability,
danger
to
sionally takes
a
already
more
been achieved, but much
and will be done.
can
developments, he said,
long-run
and
interests
consumers
of
Such
in the
are
work
out
Miss.
General
farm
Valley Gas
The
total debts of the U. S. since 1940.
than
ture.
war,
the
total
little
private
and
local debt has increased in
the
last five years more than twice as
fast
as
national
mortgage debt,
income.
,
Home
for example,
has
increased from $18 billion in 1945
to $72 billion in
1955, and is ris¬
ing at the rate of $10 to $12 billion
this year.
Recent
action
by the Veterans
Administration and Federal Hous¬
ing Administration in
reducing
the
maximum
if
of
Offers Debentures
is
stock
mon
world
of
rights
term
of
The debentures
into
subscribe
to
are
Dean
Myers
for
be
1954
work for
may
will
retire
to
company
be
You
bonds
the
for New
can
reduction
squeeze
mand
better
York
also
in
an
Russians
to
"conservative
(1)
look
the
for
a
price-
for choice foods from
urban
substantial
Calif.—Pierre
line."
of
the
in
had
we
and they in
Bulganin,
Russian big shot,
can't
escape
the fact that it lent
would
have become incensed
at
such
although Roosevelt might have
Russian leader. Truman would not
leader,
toward
a
though it
authors
could
Mr.
of
well
a good idea.
his ridicule.
was
And Bulganin, feeling
a
Smiling Jack, Little Orphan Annie and Joe
cognizance of "the change of the party
take
is
Eisenhower
at
a
disadvantage.
merely lift an eyebrow and "Pravda" and
York "Daily Worker" change their tune.
The
Soviet leaders
"Tass" and
the New
„
CLEVELAND,
ANGELES, Calif.—Harry
Schulte, Jr. has been added to
the
staff
of
Quincy Cass Associ¬
ates, 523 West Sixth Street, mem¬
bers
of
the
Los
Angeles
Stock
bringing
mortgage supply and demand of
dairy prod¬
Gardner
CLEVELAND,
Ohio
has
with Prescott & Co.,
National City
nected
\fith
the
Miller,
Inc.,
—
Joseph,
Union
Bank
Building,
members
of
New York and Midwest Stock Ex¬
was
formerly
Howard
become
con¬
Mellen
&
Commerce
Building, members of the Midwest
Stock Exchange.
Ross, Borton & Simon, Inc.
Curtiss, House
(Special to The Financial Chronicle)
Dudas Jr. is
now
Ohio
—
John
and
Exchanges;^
Midwest
:r;<
With Frontier Securities
Ross, Borton Adds
P.
Stock
(Special to The Financial Chronicle)
(Special to The Financial Chronicle)
associated with
Curtiss, House & Co., Union Com¬
merce
Building, members of the
York
—
Guggenheim
changes. Mr. Abbott
CLEVELAND,
New
Ohio
Joseph, Mellen
(Special to The Financial Chronicle)
Abbott, Jr. has become affiliated
with
With
Joins
Joins Prescott Staff
LOS
H.
out¬
rapidly
population;
(3)
progress
The
you
(Special to The Financial Chronicle)
were:
fresh milk,
eggs, fruits and vege¬
tables; (2) high and rising demand
growing
The
Palooka
he gave for
profitable production
and
Truman
foreign
a
little foolish, withdrew
(Special to The Financial Chronicle)
agricul¬
favorable
us.
have.
Quincy Cass Adds
1955
expect
optimism"
and
from
little patient
a
for
Eisenhower didn't let it annoy him in the slightest. He merely
Exchange.
long-run
same
the
as
reasons
the
ridicule.
Roosevelt
California Investors, 3924 Wilshire
Boulevard.
ance."
Among the
of every fortification
blueprint
a
ridiculed the proposition
J. Ott has become connected with
supply and de¬
brought more into bal¬
are
changed the tune. Several weeks ago he
inspection program by which we would give the
arms
would do
turn
Missis¬
as
overall
the
concerned
But Eisenhower has
due
"In
seen
rescue
Orphan Annie. Her "Daddy" is a fabulous
fighting the Russians for years. Apparently he
much about his daughter for she is
around sticking her nose into everybody's business.
roam
offered
With Calif. Investors
ANGELES,
he has gotten,
a famous
now
to try to
The scientist is
Little
been
said he still
LOS
on
all of this may have been helpful when Truman was
daring the Russians^to do this or that when he was hurling impre¬
cations almost daily across the sea.
itself
of
side.
our
by Army intelligence
Just
Now,
system in 34 counties
half
upon
So far he hasn't agreed and Smiling Jack
him and his wife from the diabolical Russians.
take
never
left to
31,
by the
$1,500,000 of
mortgage
March 1, 1974.
always being called
who has been
has
used
first
is
the Russians.
rescue
man
1956, at prices beginning at $22.50
gradually increasing there¬
after.
They are redeemable ini¬
tially at 1041/4%.
*
;
Proceeds
he
disguise, through the Iron Curtain
readjustment.
drought,
little
Farmers
gradual
cost
a
the
seems
signals
new
the Russians and
a
said,
it
me
a captive of
they have been holding his wife for a long time.
Every day they keep letting the scientist look at his grieving wife
through a one-way window. They tell him he can join his griev¬
ing wife if he will agree to forego the despised capitalists and
at
convertible
after Aug.
stock
common
and
get at the roots of Russian deviltry.
German scientist who is
and
York
the U. S.
to
and
commentary applies to -the author of the strip Smil¬
Smiling Jack is just about one of the best fliers in the
to
(Special to The Financial Chronicle)
New
fields
in
to $2,000,000 4V4% debentures,
par
further
a
described
were
those
worst of the present
Though debts of the Federal Gov¬
since
right
opinion,"
my
should
increased
in
are
other
same
ing Jack.
Most of them will
trends
prices
similar to
told, is the rapid increase in
have
all
debts
into
excursions
thing sped through the skies for days, over cities and
countries, until finally it got over Russia. There, the brutal
finally did, out over the
ocean.
But the American Navy rescued him.
Mississippi Valley Gas Co.
offering to holders of its com¬
price slide is avoided.
Except
ernment
heavy
''
Russians set out to shoot him down and
northern
squeeze.
;
off and the
sippi and the city of Natchez.
with
•
over
iti
war
'■■■
powered flying machine, became strapped, to it at the time it went
producers
alike.
men
severe
could find.
you
war propagandists.
Only a few weeks
he had the brutal Russians snocting down in mid-ocean that
lovable bag of wind, Humphrey Pennyworth.
Humphrey, a good
300 pounder, in trying to help an eccentric scientist with an atomic
were more
conservative. Younger
who started
farming after the
widely distributed Joe Palooka
to it. He is just about as clean
He is a prizefighter but a man
party
ago
been
and
a
have gone out for the cold
sales of eggs, milk, and fruit have
ridicule
bankers
the
the
men
decline
noc
is
strange that his drawings don't reflect the fact that
gas
postwar
as
little girl.
a
Incorporated in 1951, the Miss¬
issippi Valley Gas Co. operates a
a
nimself
American youngster should look up to. For years he
about Anne Howe and how crazy Anne was, about him
nobody's business. He finally married her and now they have
natural
expected
"New York farmers have
possible
in
are
greatest offender is the
joe
crazy
was
con¬
products.
product, he pointed out. As
result of these studies, increased
4V4%
undervaluation," the Cornell of¬ fair financial condition,
ficial pointed
out, however, that speaker noted, since the older
some
1,
1954.
.
each
income.
The demand for
meat, eggs, milk
and
other choice foods is
high.
And excellent
progress has been
made in adjusting
supply and de¬
mand for butter and cheese
since
supports
Referring to the stock
rise
farm
.
every
was
are
there is
the
up
.
.
us
there
comic
American
an
—
—
the
The
due 1975, on the basis of $100 of
wheat, cotton, corn,
debentures for each 25 shares of
dimmed by large
common stock held of record
easy credit may not induce con¬ government stocks.
Aug.
While impor¬
sumers to spend or
18, 1955. The subscription rights
businessmen tant to some farmers, they
repre¬
to expand
will expire at 3:00 p.m. New York
sent only 23% of total
operations."
farm in¬
Dean Myers foresaw
The outlook for nonbasic time, on Sept. 8, 1955. The offer¬
some
de¬ come.
cline in
housing construction in commodities is moderately favor¬ ing is being underwritten by the
the next few
years, but added: able, and these represent 77% of Equitable Securities Corp.
sion
campaign.
strip,
.
The
"divergent."
Russians,
I
materials first and
prod¬
ucts is
the
by
disposition not to keep
a
our
Well, Joe is all right by himself and I even like his devoted
friends, Knobby and Leemy. But his creator, Ham Fisher, occa¬
hardest.
Dean Myers said the outlook
for
"basic" and nonbasic farm
beguiled
be
of
part
caution note for
painstaking research is nec¬
essary to determine the most ef¬
fective techniques best suited to
readjustment from war to
peace hit farmers and other
pro¬
raw
to
the
on
a
Much
The
ducers of
Even
Carlisle Bargeron
strip artists seem to be
wholly unaware of the change, are still harpinging away at the theme of how brutish the Russians are.
the speaker stated, because of the
measures, but "we were
too slow in
curtailing the Korean
and fiscal
be
But
worse,
ilizing the economy by monetary
to
.•seems
increased attention being given to
improved marketing so as to re¬
sumption of New
kind;
in
editors, although there is
not
The Cornell Dean also cited the
duce
that
Eisenhower's speeches and
proved
15 to 20
knoWn
other
crops
equivalent in other enterprises.
tensions
tne
sian radio actually carries the text of President
farm worker must handle at least
Dean
it
make
of
power
epithets at this country. Immediately there is
softening up and instead of diatribe the Rus¬
ex¬
production practices for
and livestock products. For
example, to earn going wages, one
nell
They
the
a
softening up of the propa¬
ganda campaign by which the Soviet journal¬
ists sought to
excel each other in hurling
panding business and benefit from
rising prices, Dean Myers pointed
out.
Now,
however,
the most
promising ways of increasing net
income are by reducing costs, im¬
proving quality, and expanding
markets.
Farmers who get ahehd
bankers, the outlook for the
national economy justifies an atti¬
tude
of
conservative,
leaders.
nad
ne
wisn
there should be
farmer
any
money
often
Soviet
V!
tion to farm management and im¬
farmers
if
favorable,
potatoes.
President Eisenhower in his efforts to relieve world
must
for
factors, he told
all
after the invasion of Korea. Prices
inflationary tendencies by
increasing the rediscount rate and
influencing the supply and cost
credit.
is
outlook
the
of
Reserve System has taken action
of
apples
for
price
will be those who pay more atten¬
view
to curb
taken
The
1946.
a
will
as
the
as
old-age pensions,
ployment
insurance,
and
price supports."
which
hand, with likelihood
bust later. The Federal
a severe
absorbers
it
bad
as
of
to
depression
a
such
economy
so
rapid and widespread,
the Cornell Dean said, there is
some danger that
the boom may
of
able
SWAMPSCOTT, Mass. — Contemplations while vacationing,
trying to get away from the heat of Washington when there seems
no escaping from it
anywhere this summer:
but with fewer
year,
watchful,
rec¬
for
year
shock
If
not be
because
one
chance,"
be
however,
occur,
probably
be
ord-breaking
W. I. Myers
a
will
last
By CARLISLE BARGERON
being
optimism.
will
another
should
last
"we
depression.
severe
the
business
noted,
of
several
Agriculture,
can
New
raised, poultrymen
can
expert fair prices during the
last part of 1955 and the first half
safe
a
next
stated that in¬
that
pullets
maintained
the
Washington
Ahead of the News
1956, and the set¬
the
of
for eggs
down
can
time
some
From
corresponding
Jersey sur¬
plus problem will also help. Dis¬
astrously low prices were received
requiring
housing boom.
speed
of
and
years
Dean Myers said our economy is
the
of
25
down
payment was termed
sound step to curb the violence
15,
W.
Myers
to
tlement
Thursday,/August 25, 1955
.
more
bringing slightly better
than
be expected in
Bankers Agricultural Seminar at¬
(4)
.
prices.
months of last year, it was stated,
while feed prices are lower. Fur¬
tendencies
tended
and
.
CLEVELAND,
Schuld
&
is
now
Ohio —John
with
L.
Ross, Borton
Simon, Inc., 1010 Euclid Build-
ing.
DENVER,
Greenberg
Colo.
has
—
Gerald
become
M.
affiliated
with Frontier Securities Co., Boston Building.
r
Volume
Number 5458
182
of
Harry Bullis Optimistic for Future
which
factors
indicate
should
lust How Prosperous are We?
Mills, Inc. cites background
Chairman of the Board of General
of
continuation
In discussing just how prosperous we are,
prosperity.
addressing the Annual Meet- nounces a new enlarged program
In
ing
of
Del.
Aug. 23, Harry A. Bullis,
on
Chairman
of
the
of
Board
the
o
offered
remarks
n,
some
the
on
and
nlants
expressed
optimism
the
of
-
growth
of
take
as
Harry
A.
Bullis
follows:
economic
the
to
outlook,
every hand.
business in general during the Remainder of this
calendar
year
is excellent, and
there is ample reason to be opti-
The prospect for
involving
—
of
billion.
$383
This
sends
the"5rate oTtotel"production°weil
rppnrri
thp
-.hnvp
in
hoiohtc
rpanhpri
Babson
about
a
—
twr
increases,
oKip
aoie
so
onH
9
ai
rso
p
dpt*
a
a
That is
more
family that had for years lived
beyond
provided
it
spent; had acquired a debt
times its yearly income; and
back
p.
'29 only
in
,
40%
4% of
fami-
our
.
n0DUiation
a
year's income
have to be
will
delivery.
on
How
good
of
the
which
Prosperity?
yours were
This is the confamily cf
family?
a
we
are
There is
national
a
part.
nothing dishonest about
this; it can continue to go on for
many
years
more;
but some day
supplies
of
in
but
amounts
fantastic
the
withdraw
money,
the economic machine
spent for stockpiling, subsidies,
public works, and the like, we
turn
taxes u? a11 to th^ee*h\ .^ome can be sure our Prosperity would
125
radios than
.
that
would"you consider'youTownTi-
economists have said that ifwith
we
are
^entTnd Tcal^ nrosnlritv10y"
ment and s0 called ProsPentyThe
thing that makes
prosperous
s0
On the other hand, if we
wane.
do not want our heavy debt,
choose to continue to live on bor¬
^ T we cannot have full employT "ricfland>'f ^
then
our
than
more
paid for
receipts than
more
C.O.D-.'s
on
years
°ur ProsPerit.V there can be
smoothly,
running
radio spfs
are
owed
had only
means;
20
in
with
such
pent-up demand for
services that followed
II.
Our prosperity
War u-
enormous
-.lies hBd rnGCuBniCBl rGfri^Grstors.
-podav
the
had
four
its
times
as I wo nancial condition if
0
War
This keeps
mil¬
+.
refrigeration;
,
have .—
mechanical
does the dispos-
inrorrip
npT^oHPil
on
were
10
1?
bill. further-
food
a
million.
jn
inorPasP
PXDPrteH
Th
nation
tne
lion
in the U. S.; today there
in-
half
good,
This
the status
to
a collapse. Our prosperity is in part an artificial pros¬
could never have since ballooned perity is in part an artificial prosto
its present size had
not our perity, artificial because it is fed
government so greatly expanded by enormous government expenour
national
debt
by releasing d'itures.
Should the government
they
go
and
World
Back in 1929
W.
coming decade should be
particularly good for the lood
uct
has been almost 7%
phenomenal rate of gain.
year
fo.
far
likened
well
prosperity started from the
World
expanding.
.
d"?„^.._ e„^x?ef.lf,d
goods
thTwoX
should
Causes
tremendous
small
there
ril.„trv
Our
other in¬
how
£aads^
so
prosperity
of
national
our
be
three
about
had it
What
things
stances
Roger
"The
that
dition
.
p
the
on
great
credit, and
on
Outlook for Foods
National Product
been
a
many
nrnHll,.f„
production of all goods and servir,
ices—has increased to an annual
rate
needs
m for producing those
Sreater investment
facilities
in
never
buying
nvestment
greater
world
have
^
improved
and
new
and
mistic for the future.
'Gross
financial
the
of
care
said
could
collapse."
manufacture
people who
.
available
credit to
in7 the
and
.
money
someinstances
suf-
sound basis.
"These capital expenditures for
both
expanded
production and
greater efficiency reflect the way
America makes progress. General
Mills also has plans for growth
is optimism on
there
±
of the country on a
Bullis
"As
.
.
supply
trends,
commented
,
ficient
In
discussing
Mr.
.,
a
Continue?
Prosperity
Dodge, then the
Director of the National Budget,
bined income of all the 600 million
people in Europe and Russia! With
less than 7% of the land area of
the globe and little more than 6%
nf fhn norfVi'o nAnnloflnn nrn inow
of the earth's population, we
r How sound is our Present prosPeritY?
How long can it last?
which will'These are 's questions that many
weakening readers have recently asked. These
t'oodnvo are In
readers nrn in
tal markets. We can expect a
perity would
these
..
be
can
This
In 1953, Joseph
itself
of the financial structure or capi- ;
pros¬
continue.
eauinment
and
not be threatened by a
that
current
level
forever, and "some day there
borrowing
by
Will
a
Points out Government deficit spending cannot go
for
exnenditures
sustained
ous
re¬
our
theeUnI?edUStarestSI fore^ee^vieor-
eco¬
nomic outlook,
Mr. Babson
factors in the rise of living standards in last 25
and ascribes
Uncle."
worked out in the nature
of long-run programs, to meet fument,
corpora-
from the fu¬
ture money which he can never,
repay. He borrows; he spends; he
taxes; and then spends it over
again. It's a wild merry-go-round.
prosperity to the pent-up demand for
goods and services since World War II. This demand, he
holds, has been "ballooned" by Government release of enor¬
mous supplies of money.
Says we are all living off our "rich
years,
for expanded investment in new
facilities. The remarkable feature
of this current trend is that business
leaders
are
perceiving the
need for such expanded invest¬
stockholders of
Wilmington,
common
General Mills, Inc. at
t i
-counts the
has done all
Uncle Sam
man.
this
By ROGER W. BABSON
present
our
11
(779)
The Commercial and Financial Chronicle
.
.
.
rowed
money,
children
we can
us appear
is that we are all
to
continue for
have
which
money
our
day must pay back,
some
a
times
good
while longer
at our
chil-
t??.ay
01 °ur, p0'Pul?"°n afe h„£„
-ioh
been re"Durine the vears iust before high school graduates; in 1929 only living off our rich "Uncle," who, dren's expense.
Some day, someduced by almost $15 billion. OffexDenditures were
*3% had high school diplomas. ln °rber to keep up appearances time, somehow, someone must "go
setting this decline, there were
'
H
~ 1
" ""
~~
approximately 23* of disposable Today
thrQugh (hfi
lion lor we^ ^ spendin* $15
recreation
three times as
about $7Vz billion of tax reduc^ q{ ug J„relatives„ wv;u have t(J this day may be years ahead; but
tions and almost $2% billion of P
? ' .jt * h
'
much as 25 years ago. Today we 311 01 us
relatives- win nave io
temporary increased outlays for Len'about 21% of disoosable'oer- have 28 passenger cars for every chiP in to bail Uncle out. By his once in a while I do like to reoee
aouui xo
or a sposaD e pe
]0Q
t
compared with 19 per heav>' borrowing, Uncle made it mind my readers that this prosunemployment compensation.
sonal
income.
Therefore, it apcapita expenditures for food.
"Defense outlays have
bU- "J.iet us down, has:
.
borrowed
wringer.„
t>
.
—
"Thus, iiitumebiui Xdiiiiiics and
iiiub. incomes for families ni u
corporations
has
ress
be
going
e:rowth
boom
or
to
nress
Is there likely
inflation?
a
great progtoward ex¬
growth.
economic
that
"I
towards
to
and
made
been
panding
.remarkably
w e r e
maintained
well
bust quality
it?
about
th
reason
expand
production. Take for in-
stance,
the
which
indust y
automobile
_
demonstrated
has
for
sus¬
periods its ability to pro¬
duce cars at an
annual rate in
excess
of
10
million
cars
and
tained
Tbis
trucks.
S? 8%nn
«2{
J
automobi
year s
+•
♦
nii
/.
j
this
next,
and
year
the
establish
being
pass,
bill,
highway
new
when
then
and
rates
we
get
there will
"Thus,
most
further
instance, it
estimated
of family expendi¬
goods—not just the
all
products of the motor car indus¬
General Mills has shared in
■
•
.
DENVER,
Colo.—Paul
offer to sell or a solicitation of an offer to buy these
offering is made only by the Offering Circular.
This announcement is not an
The
note
the
securities.
con-
capita
per
increasing
cereals has been
(h
f
$19,500,000
caPita consumption of break-
fast
t th
p
1
J. G.
17
St. Louis-San Francisco
Goldsbury With
Harris, Upham & Co.
First Mortgage
Railway Company
Bonds, Series B 4%
(Special to The Financial Chronicle)
Dated
MINNEAPOLIS, Minn.—Joseph
Goldsbury has become associ¬
with
Harris, Upham
&
Due September 1, 1980
September 1, 1955
The issuance and sale of
Co.,
was
formerly
J. W. Goldsbury &
Lawrence
try.
joined
tjiis expansion of the market with
total sales rising from $487,587,000
in 1953-54 to a total of $513,651,000 in the 12 months ended May
ML
these Bonds
are
Interstate Commerce
912 Baltimore Avenue. Mr. Golds¬
bury
subject to authorization by the
Commission
officer of
an
Co.
Jones
has
also
Upham
&
Co.'s
Price 99.21% and accrued interest
staff.
Joins Makris Staff
"Our
earnings
net
rose
from
$11,189,000
to
$12,383,000.
Net
earnings per share of common
stock were $5.02 compared with
MIAMI,
pects for the country as a whole,
we
have the promise of a con¬
rise
in total
production
tinued
stimulated
tent
rise
in part by the persis¬
in
total
personal
and
expenditures and in part
by the continued rise in total ex¬
penditures by industry for new
plants and equipment. It is these
expenditures which are the most
important factors of steady eco¬
Fla.—Joseph
only such of the undersigned
Bern has
vestment Bankers,
"It
one
expansion.
is impressive to
industry
after
read how
another an-
as may
-which this announcement Is circulatedfrom
lawfully offer these securities in such State.
Ainsley Build¬
ing.
<■
HALSEY, STUART & CO. INC.
Merrill
Lynch Adds
PALM
Redfield
BEACH,
is
Fla.—Story
with
now
Pierce, Fenner
Bassett Building.
Lynch,
&
BLAIR
BEAR, STEARNS &. CO.
(Special to The Financial Chronicle)
SALOMON
BROS. &.
WEEDEN
(Special to The Financial Chronicle)
—
,
Jaquith, Inc., Denver Club Building.
'■.,»!
•
.
August 25.
1955.
,
,
BACON, WHIPPLE & CO.
F. S. SMITHERS & CO.
SWISS AMERICAN
'
'
CORPORATION
i
%
....
■
t
BACHE & CO.
COURTS & CO.
ADAMS &, PECK
POLLOCK & CO., INC.
CORPORATION
NEW YORK HANSEATIC
REDPATH
CO.
Douglas R.
Manning has. :been--added to the
staff
of
Carroll,
Kirchner &
INCORPORATED
<
AUCHINCLOSS, PARKER &
WM. E.
STROUD & COMPANY
BAXTER, WILLIAMS &. CO.
BAXTER,
&,
INCORPORATED
Beane,
With Carroll, Kirchner
Colo.
&, CO.
R. W. PRESSPRICH
CO.
SCHOELLKOPF, HUTTON &, POMEROY, INC.
HUTZLER
& CO.
SHEARSON, HAMMILL &.
DENVER,
&
INCORPORATED
C.
Merrill
family
nomic
and other dealers
become affiliated with Makris In¬
$4.50 for the previous year.
"Looking at the business pros¬
Offering Circular may be obtained in any State in
The
(Special to The Financial Chronicle)
1955.
31,
Harris,
C.
Gar-
banati is now connected with
jects; to provide military expen- Columbia Securities Company Inditures beyond the comprehension corporated, Equitable Building.
,
income of all
total
J
(Special to The Financial Chronicle)
surr)ptjon 0£ grajn
products in
generai continued to decline, the
be
is the stability
the
y 8
With Columbia bees.
families
and
is interesting to
while
that
a
remarkable fact
agricultural
stockpile
to
years;
Americans exceeds the total com-
ing in their selection of food. For
ated
for
is the fact that 25 years ago there
p
upgrade their incomes, we can exnPf,x them tn hp more disrriminatpect t^pp-, to be more discriminat¬
economy.
tures
living standards im¬
as
still
prove
C.
the
J
low
further stimulation of the national
"But
bttle or no down payment and
with installments running 30
increasing.
has
large quantities of food
income families.
consume
state and local expenditures
kinds will move to higher
all
in-
rapftly
Perhaps most significant of all
all-time high levels
forecast. Despite the
failure of the highway aid bill to
now
of
per family is
life in- surpluses which the farmer can't
ja^to^d^buTthatdhev till surance in force:$285 billion! It is terns to build vast newworks protoday the amount seI1; and other public road sys"
climbed to
to
bids fair
which
studies
by
1U1 u;Vu uu* ,1U1U«VV114 perity game cannot last forever,
100 in 29! an« tRf number of cars
dicated that not only do hiSher was some $84 billion of
Per
nnn
1
'•Total construction of all kinds
out
borne
than
not, for the very good
that industry is
able to
in-
goes
think
"I
incomes
famiiy
t
^ease in thl aeereLte a^hisher
Lrcfnta"e
percentage goes for food!'Thfs is
for food. This is
,
,
.
»
.
•
.
•
•'
12
The Commercial and Financial Chronicle
(780)
Continued,
jrom
tions,
4
page
which
outside
matters
are
plans by individuals under certain
circumstances and provisions.
accompanied
be
should
Determining
Municipal Credit
by
ects.
ade¬
Through
a
materially f'acilitafe issuance and
delivery.
opposing adoption.
or
observe I want to
can
phasize
department estab¬
lished in 1949, Tne "Bond
publishes skeletonized reports. We
curities,
occasional
strongly
tion to which the
urge
and
in
the
notice of sale
subject
that
advantage
offered
are
for
such
of
unqualified
the
attorney
of
a
usual
bidder
will
would
and
be
of the
closing
certificate to the effect that there
like
bidder
(as
the
case
discuss
to
with
for
Seventeen
mending
you.
curities
the
ago
our
factor
its
in
such
approval
municipal
in
who
se¬
times
»
of
called upon to protect
are
securities, and
are responsible for
underwriting, placement and
subsequent secondary marketing
asso¬
(2) those who
the
the
of
terms
of
Ne¬
billions
curities
Of
dollars
each
It is my
state, any obligation of that state,
second
A
re¬
the holders of such
gotiable Instruments Law of that
may
be).
be
the
meet
and
trouble
each
within
that
to
as
and enforcement of
into
legislation be
state providing
that
in
adopted
article
of
(1) the examining attorneys who
live with the issuance, marketing
it is usually serious
years
the
should
enactment
form
costly to have the negotiabil¬
drawn
that
of
such
se¬
year.
understanding that the
Executive Board of the Municipal
Finance
Officers • Association, of
the United States and Canada* re¬
local
plex. As
of
result,
a
entailed and
to
higher cost is
a
time is required
more
copies of opinions for
prepare
submission at the time of
of
delivery
bonds.
A little
in con¬
Municipal
New York, we recom¬
over
with
of
a
year ago,
It
is
comprised of 10 arti¬
sweeping in scope.
eight deals with invest¬
and
Article
is
ment securities but does not clas¬
sify
junction
Forum
Code.
cles
municipal
bonds as negoti¬
able. Article three^on commercial
the
makes specific provision for
paper,
negotiability but clearly specifies
the use and acceptance
photo-offsets of legal opinions.
not only reduces expense and the time required, but
that
absolute accuracy in con¬
trast to the traditional practice of
its present form
supplying certified typewritten
mimeographed copies.
municipal
mended
article
of
f
to
This process
three does not apply
documents of title, or
investment
The
of
photo-offsets is
accepted and has
use
generally
now
the
support of attorneys whose opin¬
ions
are
approving municipal issues
acceptable in general market
operations.
Ready
availability of adequate
finance statements is
a
third
fac¬
able
dicate
willingness
and
intent
periodically to furnish financial
statements that
are
comprehensive
and reasonably current.
As long ago as 1948 our Munici¬
pal Securities Committee adopted
resolution
a
with
respect
to
the
Instruments
but would
The
your
be
in
where
the
cle
mit t
e e
forms
of
forms
a
government
a
se¬
or
payable from
view
of
this
the
situation,
Commissioners
we
on
Uniform State Laws and their ad¬
visors to amend the code so as to
define
municipal obligations, in¬
cluding special revenue bonds, to
be negotiable instruments.
The Editorial Board of the Com¬
missioners
Laws
on
Uniform
volved,
recommended
tion in article
the
inser¬
eight of the provi¬
sion: "Securities governed
article
are
negotiable
by this
instru¬
given
record
of data
a
of
bution
as
operation.
deterrent to the
of
a
of
the
dam¬
a
In any action on
rules
report
the ad¬
subsection:
to
serve
of
the
aggravate
bonds. Sometimes
manual
as
signatures
on
four
many as
required.
are
Members
a
of your Section drafted
billl to relieve this situation and
Association
our
has
endorsed
it.
Briefly, it would permit all signa¬
save one
manual signature,
tures
to
be in facsimile
million
or
Now
issues of $10
on
security, the
relating to proof of signa¬
tures, and to burden of proof after
well
The
may
as
the
3-307).
absence
often be
successful distri¬
revenue
bond
and may also affect its
market.
tion
issue
Unfortunately, these
recommen¬
dations by the board were not in¬
cluded in the official draft of the
code.
They
secondary printed
published in the
supplement
that
might
were
of
to
as
the
second
recommendation.
current
Nuisance
producing
proj¬ governing
J-".;,
transac¬
„
•
<ni
the
would
be
(11)
established
legislation
investors
state
and
protection
of
circumvented.
We
watching
are
S. 2330,
recently introduced by Senator
"Municipal institutions consti¬ Fulbright. This bill is designed to
tute the strength of free nations. protect American investors against
"A nation may establish a sys¬ illegal sales of securities by for¬
tem of free government, but with¬ eign salesmen.
(12) We are very interested in
out muwicipal institutions it can¬
the rules the SEC adopted regard¬
not have the spirit of liberty."
ing stabilization.There is nothing more impor¬
(13)
A representative of the
tant, in my opinion, for those of IBA testified in favor of the
de
Tocqueville:
us
interested
in
than
sound
municipal
recognize
the
to
validity of that statement.
Our
municipalities are an integral and
traditional part of over-all gov¬
ernment—in
the
back¬
very
iviay
I
again
appreciation
of
banking industry for the very
helpful and constructive coopera¬
tion
the
of examining
improving the
security and enhancing the mar¬
ketability of municipal obligations.
on
attorneys
part
toward
Such progress as wb have made
and
improving credit standing
better marketability
not
have
been
possible
toward
would
without the wholehearted
effort
and
the
who
support
part
attorneys
of
group
on
of
that
pass
on
legality of municipal issues.
This
concludes
the
formal
part
of my address, but before sitting
down I would like to give you a
idea
of
the
in
be considered
We
(1)
event
hearings
that
our
legisla¬
have
had
prepared
were
been
(a)
on
of
scope
various
to
this year.
had
we
in
the
in
called
the
Dixon-Yates
the
controversy and (b) the Fulbright
hearings in March in connection
the
stock
"cturiv"
market
of
the
current
rise.
in
national Finance Corporation
finally there is
a
best
we
can
real prob¬
protect in¬
vestors,
and
sophisticated
and
.
investors,
securities without
oil
off the supply of
essential
so
the continued
for
testified before the Aviation
Board of Governors last May,
Governor Lausehe of Ohio in re¬
mittee
ferring to the recommended legis¬
de¬
velopment of the legitimate min¬
ing and oil industries? All year I
have talked
about this problem
because I know that every time
investor is misled
an
in
connection
defrauded
or
the
with
purchase
sale of such securities, there
or
is
not
only both personal and eco¬
nomic loss, but our capitalistic or
competitive enterprise system in
general, and the legitimate securi¬
profession in particular, gets
an
unwarranted black eye. I am
particularly anxious to point out
ties
distinct
the
difference
between
the vast
majority of fine firms ia
our industry, which are conscien¬
tiously trying properly to advise
the investing public ,and the rela¬
tively few fringe firms which spe¬
in
the
most
speculative
types of securities. I do not want
to see our entire industry dragged
cialize
down
by these unqualified fringe
made a politicall foot¬
firms
and
such
the
1930's
on
as
experienced
we
and
in
1940's.
early
T. W. Gleason
(3) A representative of the IBA
have engaged the attention of all
of us. At the
Spring Meeting of
cutting
capital which is
Bill
Committee
Senate
Banking and Currency.
suits
And
lem: How
of the Inter¬
support
the
Gas Act.
ball
(2) A representative of the IBA
testified
pro¬
amendment to the Natural
posed
particularly
un¬
against
express
the misrepresentation and fraud in the
sale of highly, speculative mining
the
investment
fact
bone.
Makris Inv. Bankers
Civil Aeronautics Act.
our
lation
said
in
of
houses
in
Toledo
in¬
about
substantial
ago a memorandum
law which would in a
degree
nuisances and
and
(4)
of the
one
weeks
model
a
from
the
eliminate
the
delav
uncertainties
from lawsuts filed
<
of
that
the
time,
result
"That
time
document
too
came
late for
to
to
me
me
set
at
into
We
of
the
Interstate
and
Sub¬
Com¬
Senate
Foreign
amendments to the
on
presented
statement
a
which is part of the record of the
hearings
on
the
Fulbright Bill
(S.
2054)
which
in
assets
are
regulate
to
have
securitv
more
and
than
comDanies,
$5,000,000
than
more
500
holders, whose securities
unlisted.
(5)
challenging the
issuance of bonds by governmental
bodies.
a
on
Commerce
part:
"I received
three
committee
Bricker Bill
The
which
(S. 2290)
authorize
Commer¬
would
cial Banks to underwrite and deal
in Revenue Bonds of state and lo¬
cal
is
governments
problem for IBA.
bers
on
both sides of this question
who
are
greatly concerned regard¬
come
which
to
and
harass
and
which
the
are
to
an
uncertainties
those
frequently
velopment of
of
the
from
lawsuits,
filed solely
delav
the
de¬
improvement out
bond
issue
is
to
provide the money."
The position taken
by
Executive
Board,
of
the
Municipal Finance Officers Asso¬
ciation.
-
Like
ments
so
many
of the
mem¬
have submitted state¬
ments to the Banking and Cur¬
rency Committees of the Senate
and House opposing provisions of
S.2126
(now
Public
Law
345)
which
for
We
expand
loans
to
Federal Programs
municipalities and
improve¬
supported by your Section
(7)
The
Bennett
Bill
adoption would be speeded if, in
lif
has
exemption
under
the
certain
issues
from
full
Securities
registra¬
ficer
of
Carolina
poration
voluntary pension
with
with
Ain-
Gleason
was
years, an.
Securities
of¬
Cor¬
headquarters
New York City.
in
,
j
Skyline Sees.
{Special to The Financial Chronicle)
DENVER,
Smith
has
Colo.
Eugene
—
become affiliated
L.
with
Skyline Securities, Inc., 1719 Wal¬
ton
Street.
gate amount of the issue offered
to
the
public does not exceed
of
associated
sley Building.
Mr.
formerly for many
R.
tion requirements when the aggre¬
tablishment
become
Makris Investment Bankers,
5701) would kill the Regulation A
Act of 1933. Regulation A exempts
Gleason
MIAMI, Fla.—Thomas W. Glea¬
son
Joins
(H.
W.
{Special to The Financial Chronicle)
loans for college housing.
on nuisance
suits by your Section and
by our
IBA Committee is
supported
the
We have
ing its outcome.
(6)
Thomas
difficult
a
motion the machinery of the legisture
which
might lead
to
the
,S
commercial
to
commissions
securities
state
Federal
by
its masthead these words of Alexis
""
revenue
proposals
opposed
for
'
owned
have
and
government.
easily be overlooked.
and
by our Association, these two $300,000.
.
"Bond -Buyer'- should be•
Because we recognize the com-'
proposals, the one on facsimile(8) We ihave a- statement re¬
credited with making a real con¬
prehensive
coverage
of
subject signatures
and
the
other
on
corded in the hearings supporting
tribution in disseminating finan¬
matter of the
code, such as pro¬ nuisance suits, are of a decidedly H.R. 9 and H.R. 10. These bills
cial
information
on
p u b li c 1 y
viding a new body of state laws constructive character. Their are
designed to encourage the es¬
The
We
publication of the U. S. Confer¬
ence of Mayors, which carries on
before
more.
that
insurance companies to sell "vari¬
able annuities" in various states.
because the safeguards
problem
providing manual signatures
some
(10) We are greatly concerned
proposals to authorize life
over
Credit is due, in my opinion, to
the U. S. Municipal News, official
directions
increasing number and the
size of municipal issues
by
lawmakers,
practices
Aid
advocated, I often wonder if authorize tne sale or "variable
the proponents really understand annuities" by insurance companies
and
appreciate those
principles through their salesmen without
underlying our very sound dual regulation by the Federal SEC
tive
The
various
We are watching the Fed¬
Highway Act of 1955.
(9)
are
interests
growing
the
and
reviewing
brief
that
a
in
IBA
anxieties
of
inclusion signatures are admitted or
estab¬
regarding the fun¬ lished, shall be the same as in
security underlying the actions on commercial
paper (Sec¬
of this sort
minimization
recommended
dition
re¬
citizens
our
aging effects incident to nuisance
Board also
suggested
issue
of
about
perpetrated
suits.
recommended
provided for the
bond
tion
of
and
the
addition, the Editorial
of information
damental
to
Simplification of the execution
of public securities, and Elimina¬
State
recognizing the problem in¬
recommenda¬
important
are
municipal finance:
special
a
that
ments." In
specimen condensed
The
provide that
code
are
organizations,
tions
recom¬
sponsored by
Committees of both of
laison
our
two
are
com¬
our
ports designed to reflect the oper¬
ating results of revenue bonds
projects.
the
thinking
toward
adoption of a law of that type,
which, in my opinion, would, in
a
substantial degree, remove the
year
prepared
is
mendations that
vestment
In
revenue
lation.
following
it
petitioned
project publish a summary
of the operating results in a finan¬
The
to
proposed
three, notwithstanding the fact
that
securities
publication of general circu¬
amended
the
fund.
bond
cial
that
be a negotiable instrument if it
conforms to the provisions of arti¬
Further¬
widely held that the
a
governmental agency or unit shall
the resolution recommended
instances
of
affect
Municipal Law Section of
body, by resolution, recom¬
curity issued by
with underwriters and with finan¬
are
Act
also
which
laws
mended
attorneys to incorporate a
provision requiring the filing of
such reports annually or oftener
more,
and
specifically
declare certain types of bonds, in¬
cluding municipal revenue bonds,
to be negotiable instruments.
urged
reporting agencies.
state
Its
Negotiable
dissemination of operating reports
on
revenue
bond
projects.
It
cial
from
bonds.
given state
existing
Currently there
separates negoti¬
instruments
adoption
would
merely serve to stir up
already muddy waters. The code
would not merely supersede the
tor
affecting the marketability of
municipal bonds. It is important
to have public officials clearly in¬
securities.
Obviously the proposed code in
assures
or
money,
Recommended
:
In
finance
governmental units,
affecting the
municipal obliga¬ even though payable solely from
tions concerns the preparation and a particular fund or from special
cently
supported
the
position
delivery of copies of the legal taxes, shall nevertheless constitute taken
by the section of municipal
a
opinion.
As
negotiable instrument. Progress law of
you
appreciate,
a
your association, the Mu¬
transaction is not complete with¬ has been made in this direction,
nicipal Securities Committee of
in states where it was not
out the simultaneous delivery or and
our
association and other repu¬
at least availability of the legal specifically provided by a general
table
organizations in order to
law
the
act
opinion.
authorizing
each avoid
any question of negotiability
^Municipal bond issues are grow¬ revenue bond issue so specified.
of state and municipal securities.
You are already familiar with
ing in size and legal opinions are
becoming longer and more com¬ the proposed uniform Commercial
Proposals Currently
marketing
or
would
eral
movements
form
believe
lating to public securities ulti¬
mately recommended to the states
in¬
ciation passed a resolution recom¬
pending litigation affecting
the validity of the bonds.
The cost of the opinion is to be
met by
the issuer or by the suc¬
no
cessful
take
published
ity of an. obligation
question.
opinion,
proofs, and a
copy
We
v'
As you know,
successful
furnished
investors
marketability of se¬
destroy the protec¬
investing public
and
entitled.
are
Negotiability is the last factor
affecting
marketability
that
I
the
to
opinion
The
is
cooperate
Buyer" by making reports
available and
infor¬
named.
the
dealers
"Bond
issuance and
issuers
with the
that
recommend
formation.
securities
The
legal
and
that:
mation
sale
we
bond attor¬
dealers enofficials to in¬
public
urage
cc
clude
difficulties
municipal
municipal
tnat
neys
legal
Buyer"
Enactment
Conclusion
that enactment of article
quate closing papers.
On the basis of experience with
support.
em¬
eight of the code omitting to
specify that securities governed by
that article are negotiable instru¬
ments, would seriously impair the
Thursday, August 25, 1955
.
their
favoring
You
.
addition, municipal officials gave
the securities field, our association
has not taken a position
either
Factors
.
With H. O. Kuch
>:
{Special to The Fir*
FT.
"Tal
Chronicle)'
LAUDERDALE,
i
Fla.—
Charles E. Penn ?
now
connected
with
-md
Company,
H.
25.18 Cat
G.
Kur'
Cay L?
Volume
Number 5458
182
The Commercial and Financial Chronicle
.
.
.
has
England Goes Back to Dear Money
Commenting
next
be
the rise in interest rates in Great Britain, Dr.
on
British
cludes
„
few
months.
whether
seen
money,
,,.main
reversed.
It
remains
formal
a
Three Join Staff of Hancock, Blackstock
ATLANTA,
to
Ga.—Howard C. Traywick, Arthur F.\ Rees,. III,
Godshall, all former officers of the Trust Company of
and R. Ellis
"re-
has failed;-:, But it Wr'41
such
fact' have
re-
for 1 argument
matter
.a
whether
higher level of interest rates "has
to
move
and
quest" by the Chancellor of the
Exchequer to the banking com¬
munity^ will succeed where dear
...
the influence of British monetary Z policy
throughout the world. Says, although London has lost the
leadership in international finance, Britain still has consider¬
able influence on monetary policies of other countries. Con¬
Emzig discusses
checked
monthly bank figures will be
awaited with interest during tne
•
.
been
The
By PAUL EINZIG
*
13
(781)
request could
a
produced
in
desired
the
,
stay."
^
. .results if; the ground had not been
'
/
'
prepared for it by high bank rate.
imports and a rise in British ex- Indeed, orthodox believers in the
ports. This indirect effect on the bank rate are already arguing that
finance, balance of payments called for the high interest rates could have
come
to
■
■
:
.
LONDON, Eng.—Although London has lost her position of lead-
international
ership
in
Britain
has
considerable
retained
influence
over
monetary pol-
icy
all
over
world,
the
Many
tries
coun-
still
low the
pies
fol-
exam-
by
set
British
defensive
expense
cellor's
the
prove.
higher
bank
failed
even
rising trend.
Other countries
the
mone-
failed
rate
British
to
on
adopultra-
been
less
or
taining
money,
together from any international
considerations, the domestic situation
for
nearly
Britain
now
land
41/2%, quite
Banks
likewise.
and
Denmark
first
the
follow
to
of
countries
Western
lead.
the
been
to
Europe,
and
backs
bank
rates,
icitcoj
re-
spectacular
if in nivoi
in most
veil
even
instances the increase
xx.
was
not
authorities
as
be said
not
British
United
have
to
example, there
tle doubt that,
wide trend
the
rising
within
the
be lit-
dearer
of
Reserve
Sys-
difficult to
more
arguments
money
favor
in
be-
to
Stiles
Emerson
the
New
in
centres
in
and
rates
that
for
to
the
be
erates.
obvious
To
purpose.
influence
this
The
4V2%
de-
The
sion, following which he
last five years in the
trust department.
Mr. Stiles' experience
extensive in securities
His past du .es
come
a
accommodation
centres.
would
case,
It
jt
is
than
feet
below.
of
the water
uran-
jgn^
present at
in
strata
In
this
the
coming from
flood would be
placer-mine the* surface
By not sticking up his nose
the
to
the
at
.
water
a
placer min¬
uranium
land
a
rather
recycling of
used
tying in
uranium
surface
rich.
recovering
of
prssibility
|sn t possible to make^ broad uranium from oil strata, Grimmet
possible to make broad ura
statements about the possibilities has put himself in a position to
nnrlorcfrniinrl
ovirtm
,iritun„i use bis technique profitably in
-.J!
at
nroninm
t_
ctnHv nf thA ctrab
.
states'
h^t thl
personal
Pxnerience
_
doine
of
Grimmet
as/r
cLnanv
spent the
pUahled
bas?
is
much
for
too
and
maior
T watTr
haJlpl<s
oii
Hood
a
•
dav
speculator
anvthins
has been Amencar'
may
develop
a'
j?#x
•
$1
and at
isn't
*
i_ i
the
share
a
i
The
for this nossibilitv
n
Counter Market,
ol
n
u
1.
d
Shearson, Hammill Branch
Calif -On
ANGELES
By Plac:mg
States
i
f ," ?L T.P1
1S traded in the Over-the-
gmcn yieldszduuumarreis a aay^
American
j.
some way
Amor
flood
water
own
AJNU^b Lam
on
6,19 ' Shearson Hammi
?
States may^ develop a & Co wlU
analysis. "Jy ^ncss m uranium at reia
jnciuded the m- bvefrlwco«ta
with dis.
open a branch offlce at
^ Wegtwood Boulevardt under
the
Claude
of
management
D.
Bedel.
profound
—
rate
British
ish
example.
The
main
to
check
been
inflation
over-full
there is
though
employment
in
high degree of
over
the world,
all
in
as
This
Britain.
industrial labor is not such
to
raise the bank rate.
where
the monetary policies
countries also through
on
on
inflationary
dominant
high British bank rate tended
the
due
this
of
pressure
factor
in
as
it is the main
bank rate
duced British firms to reduce their
Budgetary surpluses.
British
inventories.
clined.
This
meant
imports
that
the
effective
to
same
as may
such of the severa1 Under*
lawfully offer the securities in such State.
Lehman Brothers
in
Mr. Butler has
intervention
to suppose that
banks
to restrict
operated to any note-
G oldman,
Sachs & Co.
to
the
induce
Lasard Freres & Co.
credit is prefer-
higher and relying
on
Ladenburg, Thalmann & Co.
its all-cur-
Ripley £/ Co.
Incorporated
Union Securities Corporation
able to raising the bank rate even
worthy extent in the present in-
Harriman
realized that
now
direct
reason
Share
by
Other coun- '
position,
they therefore feel justified
attempting to check inflation
with the aid of higher bank rates,
the
of higher money rates,
no
deflate
writers, including the undersigned
in-
and
guard their balances of payments
factor
as
ex-
and they had to take steps to safe-
There is
efforts
as
not in
per
Copies of the Prospectus may be obtained in any State only from
by high
doomed to be
tries
are
$23.50
of the
de-
ports of other countries declined,
means
are
Price
pre-
In face of
important
efforts to deflate
The higher cost of financing stocks of commodities inpayments.
a
Britain,
cause
pressure.
overwhelmingly
factor,
$1.00 Per Share
to
bargaining position
inflationary
balance of
Par Value
means
in
that
Capital Stock
Al-
a
orities
other
Corporation
has
Britain
the strong
its direct effect
Shares
few countries is labor as
very
scarce'
sufficient,
in
employment.
stances
react
solicitation of an offer to buy these securities.
only by the Prospectus.
Great Western
reason
existing
circumto induce monetary authcountries
nor a
500,000
dear
did
in
overseas
offer to sell
why the high bank rate has failed
influence
been
have
not
the
of
an
The offer is made
policy to produce the de-
op-
London, and
this
This announcement is neither
countries from following the Brit-
other financial
in
itself
In
however,
this
the
of
adjacent
the
thousands
vestment of funds toi trusts,
Moreover, experience witn ais
estates and supervisory accounts, solving uranium in water has led
sired result has not deterred other
de-
borrowers sought and found
many
failure
money
some
still
bank
attract some funds to
by
,
Mr
lVxl.
education
costs.
London,
to
had
the strain caused
an
increase of the
was
degree
of
his
of
where
ore.
in
specializing in industrial securities. He was Assistant Manager
of the investment, research divi-
how-
1955,
could not fail to create
against
this,
bank
preference
currencies
fended
A
are
hope
operation with
A
Various
to
out where the
University of Michigan and
York University where he
impression in Treasuries and Central Banks, and also on the minds
of monetary experts all over the
world. In the light of the change
who were able to secure accomof policy in Britain, it ceased to
modation elsewhere.
Long-term be taken for granted that cheap
loans, too, were issued in other money must be maintained at all
vice
to be carried
W. Stiles
received
ing
ium deposits
division
uivioiuii,
Stiles
re-
flood
m
be
Executive
high bank rate in London attracted money from all over
the world, and British acceptance
credits
were
repaid by debtors
by
will
ga:nJj
money—has
days, changes in the
of the international movements of
funds.
Si-
Exchange Bank for over 14 years
action
Company of Georgia from
the
to
2
page
Research
a
to stay.
The
British
Bank
rate
affected
the fact that it was initiated by Britmonetary policies of other coun- am, the country in which Keynestries mainly through their effects
ian cheap money policy originated,
the old
by
monson, Jr.,
President. Mr.
ever, conveyed the impression that
dear money—or at any rate dearer
creases.
In
yesterday
Henry J.
nrobahlv
Britain's
with the Trust
The Secunty
I Like Best
made
majored in economics and finance.
He was with the Chemical Corn
re-
in-
of
was
^
in 1953 Britain temporarily reverted to dear money, it was regarded as a temporary incident,
and its influence on other countries was limited.
t'
the
money rates,
Federal
tem found it
can
the
Continued from
to
to
vices, or selective credit controls,
or direct controls.
Even though
can-
amidst the world-
of
opponents
sist
States
followed
since
reluctant
were
mu¬
with
Rees, III, joined the Trust Company of Georgia in
R. Ellis Godshall
announce-
ment
set-
temporary
ever
experience in the banking and
was
of
group
an
by means of dear
They preferred fiscal de-
money.
if the
but
has
inflation
sist
that of the British
as
Bank rate.
Even
apart,
Traywick
1946 until 1955.
of
according
ginning of the Second World War.
But until recently the' fashion of
cheap money reigned supreme,
vvj.ua few exceptions, tne monetary
with i-cvv tagtjjuviip, the luviictai j
Area,
cently Central Europe, have raised
their
proceeding,
C.
Arthur F.
me'nt1 furfds"
in
inflation
less world-wide.
more or
been
the
more
between
There is of course nothing new
in this.
World-wide inflation has
Various
Sterling
a
have had wide
money,
and other countries,
fundamentally the inflation
Norway,
were
dearer
Britain
number of Central
a
acted
Sweden
rate
degree
of
set
Since the Bank of Eng-
raised its rediscount
for
called
men
1949.
and
managers
Ellis Godshall
K.
investment
the
vestment bankers in
City,
sponsors
There may have been differences
20
has
the example for reverting to dear
money.
York
of
M
Rees.
Scott, Horner & Mason, in¬
Lynchburg, Virginia, until joining the Trust
Company of Georgia in 1943.
joined
of National Securities & Research
most countries, so that, apart al-
re-
has
now
Howard
investment management staff
inflationary in
by reducing
the bank rate
there
it
And
Stiles
W.
members
F.
nicipal bond fields.
have c0rp0ratj0n, 120 Broadway, New
conditions
because
more
to 2%
years.
Emerson
^
Arthur
Traywick
are
All three
limited effect
very
C.
banking firm of
Hancock, Blackstock & Company, Fulton National Bank Building,
Atlanta, Georgia, in charge of their Municipal Bond Department.
Nat'l Sees. & Research
readily,
so
respective economic sit-
uations,
of
and
Howard
Emerson W. Stiles With
followed
have
British Bank rate
their
the
cheap
Einzig
intervention.
This is of
difficult to prove or dis-
Georgia,
check the
to
example
!9?2+uBriitai!J
took the lead
Paul
course
fall in British prices; in-
cause a
deed it
in spite of the
in
produced their effect in any case,
even in the absence of the Chan-
proved her balance of payments,
In the present instance, however,
tary policy. In
tion
by countries
Britain
im-
measures
whose
at
A. G. Becker £/ Co.
Incorporated
Carl M. Loeb,
Co.
Rhoades
stance.
ing automatic effects.
Possibly
Finally, the British Bank rate this example, too, will be followed
exerted an international influence
by other countries.
Perhaps they
in the past through affecting the- will
await the outcome of the
British price level.
It tended to' British credit squeeze.
Already
cause a decline
in British prices, there are indications that the ihThis
resulted in
a
fall in
f-
111)
'! »:
British
'
-
*
;
in
crease
'
-did
British
ti
Z.
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Paine, Webber, Jackson £/ Curtis
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August 24, 1955.
advances
h'.b
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14
The Commercial and Financial Chronicle
(782)
.
.
Thursday, August 25, 1955
.
HaEsey, Stuart Group
Our
Reporter
Governments
on
Offers St. Louis-San
'
Francisco
By JOHN T. CHIPPENDALE, JR.
cautious and defensive
A
adjusting its position to the credit limiting and interest rate
hardening operations of the monetary authorities, continues to be
moved about very readily. It is very definite that the pressure on
of
the money
markets is increasing, (Federal sold Treasury bills, last
week), with indications that there will be no let-up as long as there
are evidences of maladjustments in the economy.
The demand for
is still
money
sizable and the resultant competition for invest-1
very
ible funds, along with the credit restraint of the powers that be, is
pushing interest rates up. Rumor has it that the rediscount rate
will again be upped in
ment
September, ahead of the expected
of credit "restraint."
This would
favor
of
an
mone¬
out-and-out-
first
the bonds at competitive sale yes¬
terday
(Aug.
98.30%,
an
The interest rate
24)
the
on
bonds
subject
are
replenish
will be
sale
the
railroad's
raising and credit limiting operation is still
ment and
modernization program.
on and as a result the money market continues to be
the defensive. The quest for liquidity is as strong as ever, which
means
that the demand for short-term government securities is
1947-1954,
railroad and its pledged sub¬
sidiaries expended over $153,000,-
emphasized.
000 for additions and
on
of
This is not
unusual development because in times
an
During the eight
had
years,
the
betterments.
&
Ohio
is
final
phase of
lien
virtually all of the
on
against
which
the lending policies of the banks.
on
To be
straw in the wind, but the fact that one
a
of the large New York City banks recently cailed some loans made
to brokers against securities appears to be indicative of the exist¬
ing tightness of
000,
of
the
to
market
these obligations is still very thin, profes¬
degree, and very susceptible to rumors and
"open mouth operations." In spite of the lack of the real impor¬
tant interest from
still is
for
marked
a
"A"
3%s
due
in
1970
approximately $82,594,made from treasury cash.
$80
Series
"B"
4s
due
in
1980
$120 Series "C" 4V8S due in
1995
those that have money to be put to
the
at
sinking fund begin¬
For the sinking
principal
bonds
are
option
of
also
the
had
June
redeemable
103V\%
30,
The
amount.
at
company
ranging from
On
to
Each of the separate
have the benefit of a
contingent
65%
of
100%.
$68,848,200
first
The
of
1997,
and
government market
which
been
has
at times
sufficient
to
certain amount of
a
quotations
buoyancy
rather sharply.
of these price changes have been
move
be
up
sure, a substantial part
brought about by "quoting up" rather than by the volume of the
demand for these issues.
On
other
the
influence
of
when
hand,
which
the
these declines.
volume in
tendency,
according
that
-means
bids
to
are
are
market
goes
down
under the
Herein
again, there is a very definite
to "quote prices down."
This
reports,
nominal
very
and
they
dropped
are
rather
sharply, with very little if any trading being done.
As a result,
quotations of the intermediate and longer Government securities
from time to time
out too much
are being moved up and down, seemingly with¬
significance being attached to these gyrations.
Market
Reaching Bottom Level?
opinion of certain money market special¬
ists that these backing and filling movements do have a definite
meaning as far as the Government market is concerned.
It ap¬
to
pears
the
be
of
belief
this
that
616,038 shares of 5%
preferred stock with a
of $100
a
share, and
shares of
no
par
par common
enues
636;
balance
'available
for
months ended
ating
May 31, 1955
compared with $52,380,778 for the
period
same
of
1954;
fixed
for
balance
charges was
$6,757,742, against $4,557,257; and
balance after fixed charges was
$5,022,609, compared with $2,817,138.-
Included
these
\
..
Inc.;
were
have
been
obtainable
at
prices which
considered to be favorable.
It is reported that
rather sizeable amount of money is being
put into Treasury bills by both individuals and institutions, with
the funds which are being used for these purchases
a
coming from
the sale of
common
stocks.
in
the
Reservations:
Carleton D. Beh &
Victor
Hold Annual Field
DES
Day
MOINES, Iowa—The Iowa
Investment
will
hold
Bankers
its
annual
Association
field
day
at
will
Thursday, Sept. 8.
on
be
breakfast
a
Savery
at
luncheon
9
a.m.
the
at
with
There
Hotel
buffet
apd dinner at the Club.
Registration fee for member, $20;
for
guests,
should
be
$25.
made
Reservations
with
James
R.
Rasley, Iowa Des Moines National
Bank.
mittee
Iowa
Becker, Becker & Cownie,
Transportation:
are:
Des
General
Harry
Moines
L.
Westphal,
National
Chairman;
Joe
Bank,
Becker,
Carleton D. Beh & Co., Assistant
Chairman.
Norman
Con¬
Conway Brothers, Chairman;
James Conway,
Conway Brothers;
Henry Wells.
way,
Prizes:
James
Cownie,
Becker
&
Cownie, Inc., Chairman; Harry
Graefe, First of Iowa Corporation.
Special Event: Sherman Fowler,
First of Iowa
man;
Corporation, Chair¬
John Dooley, Merrill Lynch,
Pierce,
Fenner
Ravenscroft,
&
Beane;
Ravenscroft
Glenn
&
Co.,
Cedar Rapids; Walter Vieth,
Vieth,
Duncan
Members of the Field Day Com¬
Ray Allender,
Co., Chairman;
Inc.
the Dcs Moines Golf and Country
C]ub
&
offering
Frank
Bank
&
Schoellkopf,
Inc.;
&
Trust
Davenport;
Central
Co.;
National
Owen
Mc-
Dermott, Shaw, McDermott & Co.
Golf:
William
Bill
Becker,
Morrissey;
Beyer-Reuffel &
Hutton
Weeden
&
Co.
&
Hutzler;
Baxter,
& Co.,
&
Co.; Stroud
Auchincloss, Parker & Red-
path; New York Hanseatic Corp.;
Shearson, Hammill & Co.; Adams
& Peck; Courts & Co.; Bache &
Co.*
Wm.
S.
E.
Pollock
Smithers
&
&
Co., Inc.;
Co.;
Bacon,
Whipple & Co.; Swiss American
Corp.; Freeman & Co.; Thomas &
Co.; DeHaven & Townsend, Crouter
&
Bodine; Foster & Marshall;
McMaster Hutchinson & Co.; Raffensperger, Hughes & Co., Inc.;
Stifel, Nicolaus & Co., Inc.; F. S.
Yantis &
Co., Inc.; and - Walter
Stokes & Co.
Chairman;
John
Co.,
Beyer,
Davenport.
bonds
(Special to The Financial Chkonicle)
Shirley
R. Blanchard and Hilton J. Ridlon
have joined the staff of W. E. Hut¬
ton & Co., Manufacturers National
Bank
Building.
With
Stewart, Eubanks
SAN
seph
FRANCISCO, Calif.—Jo¬
W.
Hampton has become
connected with Stewart, Eubanks,
Meyerson & Co., 216 Montgomery
Street, members of the San Fran¬
cisco
and
changes..
Los
He
Angeles Stock Ex¬
was
previously with
Hannaford & Talbot.
"A"
and
will
looked
are
months
for
with
the
that the full year's re¬
sults will top
$7.50
share.
a
With
earnings, and the improve¬
ment in the company's debt struc¬
ture, many analysts are looking
forward to the possibility of lib¬
eralization
of
dividend
policies.
the
Morgan Stanley Group
Offers Pacific Tel. &
Tfl|
various series
of
the
fift
Public
ex¬
Dohfiilllire^
UvIICIIIIIIm
offering
of
36-year
3%%
Pacific
Telephone
$67,000,000
debentures
The
of
&
Telegraph
Co. was made yesterday (Aug. 24)
by Morgan Stanley & Co. and 53:
associated
replace all
major
underwriters.
bentures, due Aug.
priced at 102.547%
interest
turity.
to
yield
de¬
are
and
accrued
3 50%
to
ma¬
The Morgan Stanley group
awarded the issue at
was
The
1991,
15,
competi¬
isting Refunding & General M:rtbonds.
These now existing
tive sale
mortgage
101.862, naming the above interest
in
the
with
bonds
are
amount
of
an
aggregate
$281,118,474.
outstanding
$268,758,050
redemption
rate.
Aug. 23
on
its bid of
on
v
■
The
communications
company
cost of
Holders of
the old bonds will have the pr;v-
sale of the debentures and
ilege of exchanging their holdings
fnvfiiooming
for
shareholders of 1,339,196 shares of
additional common stock at $100'
bonds of any series until
new
Sept. 12; with $120 million of the
bonds
new
for
reserved
specifically
that
purpose
until Sept.
2.
sale of the balance, plus
Public
will
use'the
from
proceeds
offering
to
the
from
a
fommon
per share to repay bank borrow¬
ings and to finance extensions, ad¬
ditions
and
improvements
its
to
remaining unexchanged "re¬ telephone plant. In the five-year
served" bonds, will be made
at five-month period ended May 31,
any
on
a
"best efforts" basis by 1955, expenditures for new con¬
totaled
underwriting
group.
Bonds struction
approximately
now
outstanding will be called for $907,000,000.
redemption at their earliest subse¬
American
Telephone & Tele¬
quent call date if the plan is suc¬
graph Co. owns more than 90%
par
an
cessful.
This will go a long way
of the
common
stock
and
over
cleaning up a once quite 78% of the voting preferred shares
complicated debt structure and of the
company. The parent com¬
the operation will also result in
a
significant saving in annual inter¬
est charges.
Earlier
Ohio
this
sold
Secured
Baltimore &
million of 3V2%
year
$35
Serial
Notes.
ceeds from which
tire
were
The
pro¬
used to
re¬
the
remaining $40 million
4s, 1965, and also sold
its holdings of Chicago Terminal
bonds
and
stock,
the
proceeds
from which ($34.5 million) were
used to retire Refunding & Gen¬
eral Mortgage 5s and 6s.
These
two operations resulted in a re¬
Collateral
duction
in
annual
interest
of
costs
$2,346,730 initially and this
ing will increase as serial
pay¬
the notes.
The
ments
are
interest
made
on
sav¬
anticipated from
the present operation will initially
amount to $1,264,867 and this also
intends to subscribe for
pany
199,849
new
resenting
the
The
/
n
1,shares, rep¬
rata portion of
common
its
pro
offering.
14,
.
debentures
new
deemable
.urns
at the
at
105.547%
are
re¬
through
1960, at decreasing
pre-
through Aug. 14, 1986, and
principal amount thereafter.
Of the
company's 5,418,857 tele¬
phones in service, about 34% are
in Los Angeles and vicinity and
about 23% in San Francisco and
surrounding
area.
The company's
territory includes California, Ore¬
Washington
gon,
Idaho
and,
and
through
a
northern
subsidiary,
Nevada.
For the five months ended
saving
May
31,
through operation of the sinking
1955, the company had total
operating revenues of $286 493,340
compared with $249,419,282 in the
corresponding period last year.
fund.
Total
will increase
Two With w. E. Hutton
LEWISTON, Me.—Mrs.
Series
gage
Pomeroy,
Inc.;
(Special to The Financial Chronicle)
Wood,
Warden,
group
Incorporated; R. W. Pressprich
Co.; Salomon Bros. &
subsequent
■■ toward
Bear, Stearns & Co.; Blair &
are:
Co.
F.
Iowa Inv. Bankers to
oper¬
totaled $55,075,334,
revenues
Williams
bonds
of
fixed
charges, $13,060,005; fixed charges,
$4,219,069, and balance after fixed
charges, $8,840,936. For the five
needed
amount
stock.
operating rev¬
during 1954 were $125,674,-
pulsating price
movements are the forerunners of a bottom which will
eventually
be worked out by the more distant Government
obligations.
There is evidence that public pension funds and, to a lesser
degree, private pension funds, have been buyers of the higher
yielding Government bonds. Scale orders have been used in some
cases, while in others spot purchases have been made when the
group
value
1,749,577
Consolidated total
available
It is nonetheless the
2022, $47,498,-
equipment and miscellaneous
obligations,
in
reality "feelers," or "open
mouth operations," or because of the raising of bankers accept¬
ance rates, or other money rates, there has not
b^ejn very much
rumors,
243
due
the
retire
existing prior lien
underlying mortgage bonds
and
bonds
due
new
the
income
4%
both
to
spective maturities.-
$26,663,600 second mortgage 4 V2 %
bonds
calculated
prices
thin
mortgage
series will
the- Series "B" bonds and 72.9% of the
Series "C" bonds prior to their re¬
at
1955 the company
outstanding
in
sinking fund,
earnings but fully
on
cumulative,
work in government securities.
This, along with the operations of dealers and traders, has given a
To
in
Series
annual
an
million
$280
$80
fund the bonds will be redeemable
large institutional investors, there has been and
certain amount of bargain hunting buying being done by
a
was
increases
to-year
follows:
as
(000,000 Omitted)
is¬
were
of
of
amount
expendi¬
ning May 1, 1957.
The intermediate and longer term government securities have
been backing and filling on not too much volume or activity be¬
cause
or
balance
$4.47 (before sinking and other
funds)
compared
with
$2.37 a year earlier. Further yearreserve
obliga¬
The bonds will have the benefit
Market for Bonds Very Thin
sional
$70,406,000
some
The
tures,
the deposit institutions.
among
money
tions of
sued.
com¬
mileage.
Initially
this
mortgage is to be outstanding in
the
be only
first
a
pany's
three series
may
to
such
approximately $104,-
tightening effect
1954.
Common share earnings amounted
Mortgage which is to have
spent for equipment,
this
a result, net inT
nearly 75% above
the level of the first half of
its
retirement
likelihood
sum
a
As
climbed
operation involves the creation of
a
new blanket First
Consolidated
was
equipment
modest decline in the main¬
come
em¬
justment plan of 1938 and which
has
gained
monentum
rapidly
during the past year. The present
Of this
sure,
debt
now
consolidation program which
had its inception in the first Ad¬
000,000
ing
able to pare nearly two points off
the transportation ratio and there
the
on
considerable amount of caution
a
to
was a
comprehensive
year-
in
changes in
tenance ratio.
Baltimore
wider
offfering
minor
provisions.
will be displayed by those that have funds to be put to work.
The credit restraint policy of the monetary authorities is hav¬
uncertainty, it is expected that
somewhat
a
to-year gain than did the industry
a whole.
The management was
postponed
been
some
showed
as
and
the
from
that "the
au¬
cash in order that the
Frisco may continue its improve¬
being carried
the
barked
to
Commission.
Proceeds
to
question
allow for
Issuance and sale
thorization of the Interstate Com¬
merce
announced
of
bid
a
treasury
Short-Terms
on
Baltimore & Ohio
Subsequent to the
preparation of this article, it was
interest cost of 4.11%
to the railroad.
used
Emphasis
Co., Inc. and
&
offering $19,500,000
Francisco Ry. Co.
Editor's Note:
mortgage bonds, series B,
are
Louis-San
4%, dated Sept. 1, 1955 and due
Sept. 1, 1980 at 99.21%, to yield
4.05%.
The group was awarded
indicate greater pressure on
the money markets.
Ry. Bonds
Stuart
associates
St.
of
that the policy of "mild restraint" of the
authorities has been abandoned in
tary
one
govern¬
financing in October.
It is reported
Halsey,
government market, in the process
on
Thus
as
it
completion
bonds
is
of
are
retired
estimated
the
that
present
fi¬
nancing,
aggregate fixed charges
contingent interest will be
down to $19,624,000 on an annual
basis.
This reduction in charges
will considerably modify some of
the onerous provisions imposed on
the company in its 1944 Adjust¬
income
before
interest
de¬
ductions for the respective periods
was
$40,016,876 and $30,298,339.
and
ment Plan.
Supplementing
the
favorable
implications of the financial and
debt
has
progress,
Baltimore
&
Joins Victor A. Uhl
(Special to The Financial Chronicle)
C.
Building.
Quail Adds to Staff
Ohio
(Special to The Financial Chronicle)
been
cant
year
experiencing a signifi¬
recovery
in earnings this
despite a sharp increase in
Federal income taxes.enues
Gross
rev¬
for the first half of the year
SPRINGFIELD, 111.—Arthur F.
Avery is now associated with
Victor A. Uhl & Company, Myers
DAVENPORT. Iowa—Fugene
Gerwe is with Quail &
enport
of
the
Bank
Building,
Midwest
Stock
F.
Co., Dav¬
members
Exchange.
Volume 182
Number 5458
.
.
.
The Commercial and Financial Chronicle
15
(783)
What advice should be given to
LETTER TO THE EDITOR:
Money
Additional Comment
on
put it in the bank
Such
By BURT KLEINER
Outlook
To
Investment Bankers, Beverly Hills, Calif.
For the Railroad
Noting that the real
"Southern
Railway System according to President Harry A.
DeButts.
Says.implementation of Cabinet Committee's recom-
■
j
mendations wiH aid nation's business and industry.
:
and
are
are
for
investors*
women
•
The real money masters of the
excellent
are
it
wisdom.
av
informed optimism based
statement in justified by an
a
•
;
multi-millionproof in railroad plant expansion, improvement and modernization.
This is not
only keeping pace with increased demands
for;'railroad service but is preparing for
anticipated enlarged needs for rail links with •
markets and sources of supply for industry. *
.V;
In an article appearing in the June, 1955./
issue
of "Harper's
M a g a z i n e," Peter F.,
Drucker, Professor of Management, Graduate
Business
of
New
at
York
between the
or
:do
of all
ing
-will
has
been
new
ultramodern
forwarding yards have been completed and a fourth is under
Other yards have been enlarged or modernized.
ever
the
ers
con-
a
ish
imposed
the carrying out of our
ders is well balanced
(between 45
life insurance, gov-
bonds, savings
accounts,,?/1
owned
and
of
72%
estate
on
stocks
real
mortgages and bonds, men
,
..
„
.
by
8,-
female
proof
the
of
ship by
species
is
of
women
?
,
,
the South to serve.
-
HARRY
President,
-1
A.
DE
•
:
BUTTS
fun
r
nees.
Southern
•'
•
understanding
investor
Acquired
will
never
Chronicle)
COLORADO SPRINGS,
I'm
more
not
referring
fantastic
cases
stories
now
to
of bilking
of
women
give their savings to strang¬
as
"deposits" in some get-rich-
ceived it
as
a
gift! 11% bought
on •
the say-so of the family attorney,
banker
broker; and 5% bought
or
the shares
because
they
or mem¬
bers of the family worked for the
prisoner swindle; of purchasof utterly fraudulent securi-
company
sons
in question.
Such rea-'
daily learningthe number remains
the facts of financBut
ial life.
too
shrewd investors.
When
about
Nevada Avenue.
This advertisement is neither
an
offer to sell,
The
nor a
as
about
investment
solicitation of an offer to buy, any of these Securities.
offering is mxule only by the Prospectus.
$2,000,000
Mississippi Valley Gas Company
4Vi% Convertible Subordinate Debentures due 1975
(Coavertible into Common Stock subsequent to August 31,
Doted
1956, in limited amounts prior
September 1, 1958, and freely thereafter as more fully
September 1, 1955
described in the Prospectus)
Due
September 1, 1975
Subscription Warrants evidencing rights to subscribe for these Debentures
by the Company to holders/of its outstanding Common Stock", which
expire at 3:00 P. M., New York-Time, on September 8, 1955- The undersigned
Underwriter has agreed, subject to certain conditions, to purchase such of the Debentures
as arc not subscribed for
pursuant to the Subscription offer.
Transferable
have been issued
Copies of the Prospectus may be obtained from the
is
Joins Waldron Staff
with
FRANCISCO,
Calif.—Lee
become affiliated
Waldron & Company, Russ
Building.
has
Mr,
millenium
August 19, 1955
to
qualified to act
as a
undersigned only in states in which the undersigned
dealer in securities and in which the Prospectus may
legally be distributed.
Freye-was
previ-
ously with Coombs and Company,
(Special to The Financial Chronicle)
SAN
Harold
FRANCISCO,
R.
Sullivan
is
Calif.—
now
with
Walston & Co., 265 Montgomery
Street, members of the New York
and
San
changes.
Francisco
.
•
Stock
to
Ex-
as
movie star gossip,
have arrived.
NEW ISSUE
-
know
splits and de¬
recipes, fashions and bargain sales,
Walston Adds to Staff
Freye
women
stock
bentures and the Dow-Jones aver¬
ages
hardly qualify the stockhold-
ers as
few.
much
Subscription Price to Warrant Holders: 100%
Colo.-l tain Securities of Salt Lake City
has opened a branch office in the
First National Bank Building.
(Special to The Financial Chronicle)
her¬
in various cities many women are
DENVER, Colo.—Rocky Moun-
joined the
of Emory Reece, 3750 North
Donald W. Finken has
be con¬
content
unfortunately
Branch in Denver
Joins Emory Reece
L.
may
But the intelligent woman
sulted.
How Women Have
who
dealers
curity
corporate values.
Aug. 18, 1955.
(Special to The Financial
guidthere
thousands of reputable brokinvestment advisers and
ers> investment advisers and se-
Washington, D. C.,
SAN
and
or
Warrants
Railway System.
staff
,.
6 than canasta onemati¬
a s^imu^a^lng
Lfrp
hardly constitutes. are
profound
of
.
,
,
carrier has enabled us to come so
do that for the part of
after
and
.
.
she
became highly competent to invest
her ,ate husbands estate found
She even
publicly
55%)
reports
corporate
f°me months»intensive study
ernment
.
-
For example, figures
and
although
percentage '
that
vest" in
ers
common
read b,?°^s Pn
su^""
]ec>.brokers, she followed markets
sh.e consulted businessmen
and
ac¬
quick scheme; of those who "in¬
money-making machines;
of those taken in by the old Span-
The
far. But we
labor under a handicap businesswise of being regarded by law,
and regulated, as a monopoly industry.
•
V J For many years the national transportation policy has needed
revision to meet modern competitive conditions in the furnishing
of transportation services for American business and industry.'
Legislation to come before the next session of Congress re¬
flects the carefully considered
recommendations of a Cabinet
Committee appointed by President Eisenhower to study needed
changes in the national transportation policy and existing law.
The American railroads are willing to take their chances and prove
their worth in the manner contemplated by the proposed legisla¬
tion. Other types of carriers have expressed their total opposition.*
As they are given opportunity, the railroads will present their
testimony to the interested committees of Congress. But it will be
far more important that business and industry dependent upon
strong common carrier transportation agencies * make known to
Congress their position.
Many are already on record favoring
the basic premise of the legislation now pending—that no trans¬
portation medium be prevented by law from rendering the best.
possible service at lowest cost to customers.
We are constantly improving the Southern Railway System to
as
paid
fund'
savings
stockholders
men
—newspaper
of the best investments
economical service that we have
business judgment in
Good
«
.
,
made.
duties
.
death
benefits, hold 62% of privately held stocks
of all defense compared to 38% for women. And
' Women investors do need
stockholders out¬ in many instances stock owner-- ance
course- Fortunately
Women
nance.
millions spent on this work is one
faster, improved and more
investment Knowledge
,
Stocks
self with asking, "What should I
the posses¬
sion of money doesn't imply the
In a survey of the reasons given buy?" or "Whdn shall I sell?" She
must know the reasons.
knowledge of what to do with it. by women for acquiring owner¬
The average woman is notably un¬ ship of stock 30% said they had:
Through finance forums and lecsophisticated
in
investment
fi¬ inherited the stock or had re- tures by stock exchange officials
But
freight classification and
struction.
-
only to
of
distribution between the two gen-
wealthier than the male.
who
electronic
Women Should Have First Hand
•
and
432,400 to 7,564,700.
The
-
66%
own
number
$4,000
in¬
65% of all
mutual
are
insurance
..
show
estimated
an
disposable
own
in
Women
bonds.
T
Three
-hold
of
forms
obvious
placement.
Women—working
held
life
1 e Pemcoated investor proceed.
nnn
investment
extends
ken
sr
Her
more
•
;
that is-
Women
"disappearing"
Burt Kleiner
banks.
to
tend
trUSt'Jhmrfrf
with
is.'
she
The
counts
American history and culture
contrasting cases
.
an
Women
receives
.
steady income.
But both of these
widow must
educate
herself in
female really unknowledgeable on•
the practice of investment.
She
investment matters?
I'm
afraid
.
decisions.
come.
DeButts
A.
offpHn/l^fp5
.
it.
C$80,000,000,000
txarry
on
that
is
woman
purchas¬
women,
.
an
accents
eye on
might' have been*
in my for
°Pinion there is no substitute
equal safety, the: ? ^ d ,
personal first-hand
knowledge.
losiiig $1,000 just as >
ge'* There is nothing aastruse or esoteric about the prin¬
surely as if she had been Taken?
ciples of investment.
I know of
,for a thousand dollars by a flim-; one case in which
a wealthy mail
; flam artist.
\
stipulated in his will that his
i
Now, is the average American:
and
c
on
an
'$5,000
realized
quite
with
taxes
where
of
^estimated 85%
agrarian South and the in¬
North — which has
million.
for
after
the
with
of
possible outlet for their ina
e
Women par¬
|One-third such developments each working day.
In this same approximate period, since the end of World War
"II, the Southern has spent $327 million for improvements, build¬
ing into its plant increased operating efficiency which means
better service for customers.
Included in this expenditure has
been the completion of cup imogram of dieselization.
Fort^-j;hree
percent of our freight car fleet of 53,400 cars has been placed in
service now. The more than 23,000 new cars have cost about $106
$52 V2
best
different
elderly widow should avoid spec-
millions
the
Ve^nt dollars#
When
woman
"
has
ticipate in
Drucker envisions the near end of it
"
g
with
fit many
to
com¬
investments
same
For example, someone in
top income bracket requires
women whose loss is of a subtler
' character, namely not getting the-
(statement:
going on for years: Professor
within two decades.
During the HKyear period, 1945-1954, inclusive, the number
of new plants, new and enlarged distributing warehouses and
major plant enlargements along the line of the Southern Rail¬
way System totaled 3,584, a daily average of more than one and
The
?,
iL'et i'me^sub-!
instantiate that
commercial
shaped so much of
disappear."
.
strings—
is
concern
-knpw what to'
University,
ring in the next 20 years. One very pertinent
sentence reads: "Above all, the basic differdustrial
does'nt
•
describes changes which he foresees as occur¬
ence
a
money
.
■
,
r
e
plenty
It is supported by a
Southern.
School
the
rocks
The
woman
steadily expanding list of
:for.'-the
services offered
by the
a
dollar
;
mis-
money
that
American
customers
/
Southern
the
knowledge of
on
'
for
are
hand
with
ways
and for the long-range future
Railway System and the. South
serves.!
Such
•
immediate
The
cradle controls the purse
and
not
al- .
:
Editor, Commercial and Financial Chronicle:
in the
States
tresses
open-
2.5% capital gain tax) whereas an
ties.
Such cases are spectacular but numerically insignificant. My
-
United
mutual
of
investment
appreciation (with
The following comment by
President Harry A. DeButts of
received too late for inclusion in the "Chronicle" of Aug. 18 which contained the views
of many other rail executives on the outlook for the individual
carriers and the railroad industry in general.—EDITOR.
tailored
income.
a
defect
one
investments
•
.
The
closed-end
the
acquired stocks* and points to needed guidance and education
T
in
funds
people.
n
<
the Southern Railway System was
Prospects
the
panies is that the
but women, who participate in 85% of all purchasing
decisions, West Coast investment banker deplores the fact that
the- average woman is notably unsophisticated in investment
finance. Citec results of a survey of reasons why women have
excellent prospects for
up
masters of the United States
money
not men,
Steadily expanding list of customers, along with multi-million
Idollar capital expenditures, point
put
fund?
Industry
in "E" bonds?
or
solution would be safe but
a
it would needlessly limit
Vice-President, Cantor, Fitzgerald & Co.,' Inc.
;
,
invest? To
with money to
women
EQUITABLE SECURITIES CORPORATION
will
(784)
16
The Commercial and Financial
pany's business is improving
and
THE MARKET... AND YOU
Stocks
snapped out of a
rather
protracted
spell of
lethargy this week with a
good rally sparked by the
rails and joined in by the
issue
better-class
little
in
There
issues.
the
to
news
persistent on strength but
carved out more moderate
gains than Allied which went
in for multi-point jumps in a
single
session.
*
*
was
inspire
By
.
*
No
*
is
reached
rather
tbp
cnlit
hnnefnls
nopeiuis
split
well
defen¬
situated
The
sold
has
stock
trifie
a
r'C " '
ns' ^res,<^ent
the Colonial Life Insurance
Company, and Chairman of committee of two principal trade
its
peak of
currently Unlike
over
douy
1933
m
of the other biuebloods
abead
0f
1929
associations of life
ski's first article
peaks,
around half of that
subject,
says
given by the committee
was
,,
.
.
to
,
Editor, Commercial
Chronicle:
Drug Stocks Liked
Drug
stocks,
Dr
.
have Annuities—A Dangerous
which
ment»
persistent
able
the
show
to-
downdrift -swings.
in the long
r
by the averages
string of dull sessions had left
*
the
wider
wppu5,won
,
Ameriran^Lffe
Convenhon
,
prepare
industry-spon-
an
memorandum opposing
Hable annuity legislation
.•
va-
(a posi-
Jjfi?,cU?n
representative
on
the
com-
jpittee announced that the^Pru-
highly than the lofty
As Chairman of the
Committee,
blue chips. Their most recent appointed by the Life Insurance
runup on the Salk vaccine,
Steels and oils, while sway- and
to
up
ceived. unanimous approval of all
committee members) the Pruden-
appeared
in
the
edition of thp Com-
more
*
*
.
Experi-
which
A
couple of times, still is a split them back for several years mercjai and'
Financial Chronicle,
milestones suspect and consequently was now, were also regarded a bit has been brought to
my attention!
because
.
sored
Sakolski's article, "Variable
consideration
blanket opposition to the
a
f.4
and Financial
Dr. Sakol-
on
serious
no
variable benefit principle.
optimistic
,
had nricp
naa price war trouble to nu
war irouDie tu hold
a
a
companies, in commenting
on
Woolworth is only selling for
*
important
.were
noinfpH
Conects Report on Study
Group's
Attitude on Variable Annuities
sjnce Worid War II and is
well
now
pointed ;tne
,
*
the top grade issues
the runup which seemed have about halved their
yields
largely technical in that a with some spotty stock splits
long-awaited show of strength also relegated to history.
in the rails
gave sentiment a Bethlehem, which has disapTift
Hit.
LETTER TO THE EDITOR:
holdings account for so much
stock's price that the
sively.
Thursday, August 25, 1955
...
important British
of the
STREETE
By WALLACE
its
Chronicle
variablTannult^3^!^1'^
ducine
the
New
!
Jersey Legislature"
Contrary to this statement,
never.in the deliberation of our
con?mittee has there been any
to
subsequent backing ott study the subject of Variable
Aning with the general market when the program ran into nuities and make recommendaAugust trading range. It was and offering an occasional snags, did little to lift them turns
encouraging, however, that sprinter for the list of fea- from their status as a deeVatons^f ourbuTinessU is ouite blanket opposition to the Variable
any concerted show could put tures, actually made little im- pressed group. Meanwhile
jmportant that I bring to your Benefit
principle. Our studies
on in view of the
general ex- portant : progress. There their business has been grow- attention several serious misstate- have been directed more to the
pectation that backing and weren't many buy recommen- ing quietly with improving
filling would be routine until dations centering on the fer- profit margins which is excommittee
legislation was. being considered
Labor Day is reached.
rous group in the market pected
to -put them in the T
*
Creat.ri in nprpmhpr
*
*
1(ri,
tu0
>" any State.
letters as there were in the forefront
of
issues
where
Committee is made up of officers
Furthermore, in contradiction of
American Telephone stock, better grade issues a
couple more liberal dividend treat- of life insurance companies quite
Sakolski's statement, our comthe rights and the
company's of years back when they ment is a possibility.
\
^ representative of our business in prudentials
r^w
"decision^ sooner
mad*a href
showed an H'/ vield
new Hehentnre*
*
*
size
and
geographic
location, prudentials decision to sponsor
debentures, made a big snowed an « /< yi a.
the list in the lower half of its
_
^kr/Tefe^ents'ro^^^oM whichwoutdbeneededIfenabUng8
<
Stir, at least
volume,
in
the
m
markets.
One-day
transactions in Telephone reached an
$18,000,000 turnover level
the
and
traded
value
of
shamed
the
the
turnover in
many
which
rights
dollar
of the other
,yb
the
i.
,
,
,
.
,
,
...
point
offset
by
arbitrage
was
X
weekend
the
blue
gen-
th
The
Labor
mai0ritv
eXDected
£
to
!,,,:„ ,£, If;
.
.
.
reached
,,
Products added to its drug
lines, has been somewhat
more popular than the prime
drug makers without, as yet,
refecting too much market-
,
^'
.
f
f,
,
*
.,
into the limelight the
.
,
!"
govern-
what
laggard
^-fve^y
pr*K
*s
about its
new
Chilean copper
news
push into
rousing
territory
on a
with
a
more
official restraints would
be due
which is
much improvement
company's finances.
n
i
rh
•
•
*
The
^
das had
isTbout
anC^
-i
disclosed that two additional
atomic submarines
its
yards
in
are
the
go to
have
quarter of
year.
The
not
ers
issues
atomic
^"■
of earlier
prime
this
^ C^t]^ ^^1^
chains
of
much
jnucn
a
such
ac-
more
be-
.
!.g
I read with
mutual
pretty
have
a
funds
good
Se'hSwever
the
in
actualit^ if
great deal of in-
terest Mr> Richard A- Houghton's
f^e on common stocks and mu-
done
•
pretty
they
have
comparison
done
with
fantasy,
^1^,RDTB* FISHER
Inc"
Ust'tapor? Augu" tl", igSo^'
qm,e
^suggest
y
bb
the f
pre-Labor Day
j
.
,
or
small
"arbitrarily
betlcally
SAN*
to discount the
investors
g °
Two W,th York & 9°*
that magic tonk iS-
original
!en
have pretty much subsided
with
Honghton's-Stndy
Chronicle:
original
chains,
^he moneJ rates first started,
in
firm stand.
'
A Repeated Recommendation line
r
on
Editor, Commercial and Financial
•
®n
bit
Life insurance
Company of America,
East Orange, New Jersey,
we" in comparison with actuality, if not fantasy.
may be 3
tion
a
ex-
llSt^
emp3ed
™ «"
reC°Jd year and
f dV6er t0 ^ °"e °f ^ "the^od
the food
crystallize
their
makin^anvsenationalad
but the at-
ting the chances for
aircraft mak- fore
taking
were
were
Packard
Dr.
Aug.* 4.
mr-HARD
kilhakd „ fvans
b. LVANb,
President.
Houghton's article is that Mutual Funds
imA7<: rather
npw
competition between the
sure
sakolski's article of
these
in
Richard B. Fisher, of King Merritt & Co, Inc., Pittsburgh,
6
holds only conclusion we can come to at the end of Mr.
follow in"
„L^SPntlv Zhi ah-nres-
to
ea°sily
+n
correct
appearing
for
that
Qfl SfOCl(S <llld Mlltlldl FllUdS
largely
lunuwui
easiness in the big
Studebaker
finttPrina
f Tu'
I"
for
having the allu
enerev
and
it
a
forge into the spot rather
during the enthusiasm
defense
also
since
go
back a
century for comyear's parisons. Third-quarter divi-
slated
tt
at
has
concern
to
sure
^ committee set Aug. 23, 1955.
Comments
^oth^Anwrfc^^tors
narrowed to where statis-
ticians
l0gicaHy
wish
am
LETTER TO THE EDITOR:
companies. For the independ-
yields
some
namtsPrstUrhafaWesVceore
points to
Persistent
*
s^ock
been
leuuu,lu;> mgieaiiy
spread between bond
ueneral
Dynamics similarly caused
bounded ahead when it was has
for
rebounds
high way to kindle unbridled optigain that could mism in the stock market.
new
discount
in the
hardly the
have
will
The Colonial
reliably reported, for
in
pubiica-
reoutation
reporting, I
misstatements
ampie, that in the last scheduled
^.oniy^of^Upthat
Motors
established
accurate
you
}
bills
introduced
don»s
Dr- Sakolski has stated.
marketwise.
recently,
legislation
before the
your
The committee h«* been meet-
■;
^
mine, greeted the
were
,
Vick Chefcal'
Annuity
sublet of Variable Annuities.
Merck, Parke Davis and
Pfizer have also been some-
,
•
agalJ, 'bring
Variable
New Jersey well
ing regularly in study of every
facet of the subject for at the out
set it was quite apparent to all of
us the approach to a variable
wise. It has been lolling about bcncf't Program presented many
&
nrnhipm<;
Midway in its lyear s range, problems
TemDer.
e °V ?°
e -ac
maJk?d .Up;"rnT?1"
tTalitTonalwould
chips
er_
well diversified what
is
with f°°d ^household
i fif
cautious until that turn-
.
any
Anaconda's Push
Like
.
,
mam
buying
elsewhere.
fh
f
incident t
D
debentures dominated
the bond market. A
good bit
of selling at one
'^£^3
....
highest-grade stocks. Trading
in
X*
Members of our Committee also
represent about every complexion
of attitude and
thinking on the
American Home Products,
Tipsters' Pre-Holiday Caution
and
arbltra™^
laree
aloha-
l£P^e
could nave sc
selected tne
Frederick W. Caton, William
t°rd ha,? becom,e,-ass°fiat,ed wilh
York
&
Co.,
23o
Montgomery
stocks that Mr- Houghton with Street members
hindsight
W.
GueIPh- and Lauren G. Hannaof the San Fran-
Stock
Exchange. Mr. Guelph
Among a rather large group idleness. Foremost Dairies,
J
g
was previously with Kaiser & Co.
Of the better-known market newly listed and consequently luai IunasMr. Hannaford was with HannaA New Split Candidate
students
in fact
about the
holder of a narrow price
he small investor is often a ford ^ Talbot.
With
attention
diverted only
repetition in'their some- range so far, started out well Vlct\m of his emotions or his
away from duPont where a what timid
recommendations aild
appeared on the new
),vies10,r,ls rl^n s a"
Now Cayias, Larson, Glaser
widely expected stock split seems to be Woolworth. The highs list several times but
failed to
SALT LAKE CITY- Utah—The
materialize, the split chief point is not that dv- then it, too, went into some- ^ c°" 50^^11 Waning^mo- firm
g
name
of
Havenor-Cayias,
hopes seemed to center on namic action is imminent but thinS of a rest.
1j°" w'°"ld before 1955. out of '"c-. Newhouse Building, has been
sold b'm
AIUpH
pUmiPQl
xxrhinh
Allied
+u
themica 1
long, long
more
*
restrained.
xr
^
-
measures
the
mu-
we
can
Cisco
^
.
.
wh.ch
emerged
as
something of
a
leader for the
group. American
Cvanamid was a bit more
uyanamig was a Pit more
rathe,
blue
+
that
chips
;+
it
•
is
that
loosely included
rated
rated
as
of
isn't
among
uhitxh "
high.
£
one
Thf
The
j.i
r mu
the
those
com-
•
[The
views
.
expressed
in
this
article do not necessarily
even
:
at
time c.oincide with
Chronicle. They are
those
°f the
of the author
The
onl
any
presented
only.}
j
as
conclusion
,,
'
aV
tob.S article
a
changed to Cayias, Larson, Glaser,
Emeric, Inc. The firm has opened
new branch in
Seattle, Wash, m
the Joshua Green Building, under
a
T
/
T
u
is that
armed with
knowledge" of the existence of
the direction of Wallace B. Johnson.
Number 5458
Volume 182
.
.
.
(785)
The Commercial and Financial Chronicle
17
TOl*
$wW?
mmm
liiliii
1 H ft 111
mm!'
MM
.•
' '•*
■
W..:
m
9
■
\
i
•
;fT
4-
••
''
'
*
'
1
-
-
'
>4 -'
Jt
•
A weather-proof,
the Rock Island's
rotating Farnsworth TV camera,
busy Englewood station, scans
mounted
on
•
the platform of
the main-line crossing.
2.
The visual information is
fed hy
at
Railroad's
cable to
a
TV monitor
the station.
significant test of
■ivr
VISUAL
COMMUNICATION
SYSTEM
suggests many
applications for closed-
combined with microwave relay
TV
circuit
Tib: Chicago, Rock Island and Pacific Railroadsystemshownhelp
pioneering
how IT&T's TV-microwave has can hy
this
test
solve railroad traffic
The
same
modern communications
IT&T research and
many
over
problems in high-density areas.
almost any
applicable to the solution of
development— is
other problems of traffic
technique—product of
control and industrial operations
distance and under
4.
A similar antenna receives
the
picture at the
LaSalle
Street Union Station and
practically all conditions.
it to another monitor
feeds
there.
&
m
INTERNATIONAL TELEPHONE AND
67 Broad Street, New
TELEGRAPH CORPORATION
York 4, N. Y.
information on closed-circuit TV and microwave relay for railway use,
and Radio Company, 100 Kingsland Road, Clifton, N. J.
Federal Telephone
address
Thus, six miles away, Rock
see
For further
5.
the actual loading and
baggage, and mail, as well as
Island executives
unloading of
can
passengers,
other railroad operations.
'
'
(.786)
18
The Commercial and Financial
Chronicle
West
Hudson
National
Bank
Harrison, N. J. that the
stock
mon
News About Banks
holders
offered
had
been
to
new
the
of
The
stock¬
oversubscribed.
NEW
merged
NEW
OFFICERS, ETC.
CAPITALIZATIONS
Bank
Aug. 18
Reading,
as
Bankers
and
REVISED
to the result of the
Over
Evening News"
quote the following
we
shares
176,000
of
M.
Simmons
First National
York,
the
at
of
City Bank
tne
Board
regular
ap¬
Auburn
Trust
The
operates
a
was
Vice-President
a
of
New
meeting
Byron,
12th
of
of
Directors
o
the
on
bank,
Aug.
New
banks
thus
Y.,
York
bank
munities.
83,000
The
the
stocki
bank
recently
regulatory
ferred stock
are
Manila
Company
East.
of
Co.
the
in
the
made
N.
Rangoon, Singapore,
Bombay, Hong Kong,
Trust
8•!
Aug. 23 that
investors
has
purchased
substan¬
tially all of the outstanding stock
the bank.
Trust Company of
North America
began business
March 4,
stein,
Chairman
as
Jacob
Schapiro,
director,
a
and
E.
on
Company
Board.
formerly
well
as
Ronald
in
Traders
of Buffalo, N.
nouncement
the
ation.
law
House
been
under the charter
&
of
the-
of
the
State
Bankers
witsch
Associ-
Irving
been elected
as
Karlin
tions
"Brokers
will
its
at
Bank,"
*
the
*
to
the
address,
at
Madison
in
the
bide
18 that,
approval
authorities, it will
office
the
of
open
northeast
Avenue
and
proposed
115
Avenues
Street
Union
Car¬
will
Rockefeller
and
47th
Center
shares
of
capital
of
common
stock.
the
par
of
his
with
to
advices
un¬
was
a
was
Co.,
Vice-President
City
Trusts
the
Board
which
he
of
on
a
of
had
since 1929, and a director
Philadelphia Saving Fund
Society.
the
"For 16 years,
until 1944, he
Vice-President
a
Trust
Co.,
of
the
his
where
named
late
was
Ries¬
of
all
and
preferred stock
shows common
($5 par) of $3,000,000, sur¬
plus of $6,000,000 and undivided
profits amounting to $1,628 344 39,
total
432.97.
division
of
resources
In
$141,132,-
addition, the bank has
of
the
Philadelphia
Ordnance District.
ft
which
he
member
served, he became
of
the
firm
Ohio, with
and
came
director of the United Gas
a
Morris
and
Improvement Co., the Lehigh Val¬
Railroad and the First Na¬
tional Bank of Philadelphia.
"During
found
his
time to
director of
or
long
serve
table and civic
ft
C.
a
banker, a
Pennsylvania
on
000,
and
ness.
July
1932.
Valley office of that
known
First
Revenue,
a
Bank
Trust Co.
issue,
with
was
page
of
*
The merger of the
tional
reserve
Oaklyn Na¬
the
noted in
Camden
Cornwall, Pa., and
1924, where he served until
1943
was
appointed
by Gov. Martin
as
State
Secretary
of
The
Banking.
Philadelphia
our
Aug. 4
National
President
of
cabinet
by
the
he
Lebanon
on
leaving
became
a
ft
It
it
ft
is announced
of
Philadelphia
made
on
directors of
the
also
the Harrisburg Trust Co.
served
as
President
Robesonia Iron Co."
of
He
the
Tower,
the
First
construction
The
Thorpe
National
of
bank
the
will
facilities
Soo
be
torn
in
new
vacate
the
First
Line
down.
President
"It
is
Murray
the bank's
our
said,
building
hope,"
"to
have
well
along toward completion when we
celebrate
of
the
First
program
100th
Anniversary
founding in
National's
1957."
ft
The
ft
ft
j
of
issuance
charter
a
Aug. 5 for the National
on
Bank
of
Des Moines, at Des
Moines, Iowa,
was announced
by the Comptrol¬
ler of the Currency at
Washington
on
a
Aug. 15.
The bank is to have
capital of $200,000 and surplus
$80,000. W. H. Brenton is slated
of
President.
as
••X
The
*
capital
National
ft
of
Bank
the
of
Merchants
Cedar
Rapids,
Iowa, previously $500,000 has been
raised to $1,000,000 as of June
21,
by a stock dividend of $500,000.
it
A
stock
As
of
ft
ft
dividend
*
The bank, a newly char¬
institution, fixed its opening
day as of Aug. 13, 1955.
It has a
capital of $75,000, surplus of $50,000, and undivided profits of $25,J.
while
H.
Crowder
W.
H.
Crowder
Cashier.
ft
S.
*
Powell,
Federal
is
Vice-
Bank
increased
its
$125,000.
capital was
Bank
of
the
Minne¬
of
amount,
Victoria,
to
from
Assistant
Vice-President, and Wm. C.
Bronelected Assistant Cashier.
was
1920
of
and
take
over
the general
of
the
technically
Mills
been
with
Bank
since
recently in charge
Agency operations, will
Fiscal
tivity
has
most
vacant
A.
from
Cashier
and
ac¬
position
since
advanced
was
President
advisory
Cashier's
W.
ViceFirst
to
Vice-President in 1950. Mr. Holm¬
will
gren
of
the
continue
Fiscal
he
has
worked
siderable period.
the
bank
has
served
he
has
in
an
officer
other
an
for
a
con¬
He started with
October,
in
been
as
Agency Department
1923,
and
departments;
Assistant Cashier
January, 1953. Mr. Bronner.
was
elected Assistant Cashier,
started in the bank
in
1921
of
the
and
has
banks'
as a
messenger
worked
in
most
departments.
In
to
about
*
the
by
a
to
*
National
Texas,
which
its
Bank
of
increased
July 5 from $500,-
$1,030,000 by
dend of
stock divi¬
a
$500,000, further enlarged
as of July
25 to $1,-
capital
500,000 as
result
a
Offices
Holmgren
addition
brought
Victoria
tors of two officers and the elec¬
tion of a third. E. B. Larson was
B.
Na¬
Texas,
capital from $50,000
The
*
The
$500,000 of
Cashier
Freeport,
viz. $37,500.
on
Aug. 15 the
promotion by the Board of Direc¬
advanced from Vice-President to
the position of Vice-President and
ft
stock dividend of $37,500 and the
sale of new stock for a similar
000
*
apolis, announced
M.
of
its capital as of
President
Reserve
ft
July 1 the Freeport
to
President,
and
President
O.
is
tional
new
*
*
of
of
the
sale
of
stock.
.ft
three
California
banks,
of
viz, Union National Bank
Pasadena, The Covina National
Bank, and Fishermen & Merchants
Bank, San Pedro, opened for busi¬
ness
on
Aug.
22, as offices of
Bank, of Los Angeles.
California
Merger
of
the
California
three
Bank
was
the close of business
banks
into
effective
at
Aug. 19, fol¬
lowing approval of directors and
shareholders of the respective in¬
stitutions, according to Frank L.
King,
President
of
California
Bank.
Mr.
King
the
announced
election
of the following officers
Colorado at Oakland and
Colorado at Raymond offices in
at
the
Pasadena:
S.
C.
Bradford
and
D.
V.
Miller, Vice-Presidents; William
F. Frey, Jr., Assistant Vice-Presi¬
dent; Beth W. Hilton, Dick W.
Lyttle, Ann F Roberts, Assistant
Cashiers; M. G. Cameron. Trust
Officer; R. L. Kemp, Assistant
Trust
Officer; Bessie P. Masterson,
Assistant
ft
was
be¬
Building, will be utilized
ft
that the Farmr
State Bank of Sullivan, at Sul¬
livan, Ind., became a member-of
the Federal Reserve System on
since
Co.
and
block
Building. The
building at 517 Marquette Avenue
recently purchased by the First
National and
formerly occupied
by Marquette National Bank, will
Xenia,
ers
who
Trust
new
of $150,000
as consolidated has a
capi¬ made effective as of
June 23, has
$350,000 divided into 14,000
resulted in bringing the
capital
shares of common stock,
par $25
of
the
First
National
Bank
ineach; surplus of $350,000 and un¬
Tuscumbia, Ala., to $200,000, from.
divided profits of not less than
$50,000.
r
$31,000.
member of the boards of the Prov¬
and
18
quote,
of
is
plans
the
Rand
present
which
ident
481..
Announcement
Aug.
the
County Trust Co. and
Martin
Bank
it
tal of
where
'
it
we
said:
"For 25 years, Mr. Freeman
had
the
Spring
Valley
enlarged Citizens
who
who
he
been
the
be
of
and
National
charter
bank will
Reserve
also
$2,600,000."
9
of
Larson,
"Inquirer" from which
«f Internal
the
as
Branch
Federal
Freeman
Univers¬
elected to the State Sen¬
In
the
title of the Citizens First Na¬
tional Bank of Xenia.
The Spring
the
Mr.
age.
Xenia,
and
ner
graduate of Princeton
ate in
under
Mr.
native of
was
19,
and
was
a
formerly
Citizens
of
stock of
Secretary of Bank¬
Aug. 18.
He was 74
of
ity,
the
Assistant
State- Senator
the
with common stock of
$50,000 be¬
came effective at the close of
busi¬
Cashier,
ft
Freeman,
years
a
of chari¬
campaigns."
St
William
Chairman
number
a
he
career
as
of
Bank
$250,Spring Valley Na¬
Spring Valley, Ohio
tional Bank of
be¬
ley
established
out of earnings, under
formula approved by the Bureau
later
Lans-
the
its
authori¬
ft
common
Barnes,
Biddle
a
Com¬
of
a
ft
National
the
building.
Lansdownc,
Sullivan,
Consolidation
First
000.
"Following the first World War
ing, died
stock
with
February, 1954. Earlier
deputy thief of the indus¬
was
trial
A.
All
Building
Philadelphia
Assistant Treasurer. The
plans for
the merger were noted in our
is¬
sue of May
12, page 2219.
father
Kittaning
except
not
in
regulatory
which
Marquette and Second
Avenue, Fifth and Sixth Streets,
ft
of
the
In
architectural
Soo Line
the
in
its
multi-
in
tween
undi¬
of
downe, President, will become a
Vice-President of Fidelity-Phila¬
delphia and Wilmer G. Dare an
G;-rard
Coal Co. in
total
$35,103,-
Mr.
President of the
re¬
Aug. 15, 1955 statement
effect to the complete re¬
tirement
the
Tne
is¬
value $3, common
amounting
In
outstanding
pany.
The basis of exchange is
four shares of Marine Midland
for
AiUSt.
outstanding
$612,052.70,
i
~ox
was
preferred
says:
gives
announce¬
Trust
time
"The
poration, and Eugene C. Donovan,
Auburn
which
share,
lings
at
made by Baldwin
Maull,
President of Marine Midland Cor¬
of
merger
retireable value of $6 877,-
a
150.85.
24,000
of
at
resources
was
President
his
"At the time of his death he
President of the Kittaning
in
1938
serves
and
office
stock
The
15 seated
the
$445,500, surplus and
divided profits of $765,250 and
Auburn Trust Company, of Au¬
burn, N. Y., it is announced, were
acquired on Aug. 18 by Marine
Midland Corporation of
Buffalo,
N. Y., in
exchange for shares of
ment
with
was,
Newport hospital.
In
part the "Inquirer" further said:
he
per
•>
96%
Aug.
with
stock of
Rockefeller Plaza and 50th Street.
*
on
concurrent
ferred stock of $2,289,250, of which
$2,066,250 was retireable at $10
48th
Streets.
Present
Hanover
branches nearest the new site are
the
42nd ' Street
office
at
42nd
Street and Madison Avenue and
than
death
who, just
family, on his way to Maine,
stopped to visit friends near New¬
to
William
tered
zation,
story structure, will occupy the
entire block between Park and
More
Morris
Mr.
his
to
ties.
June 9.
reorgani¬
April 11, 1938, it is said,
showed capital consisting of
pre¬
of
Occupancy is expected upon com¬
pletion of the building, now sched¬
uled for 1958.
The building, a 41-
ft
prior
of
500." A statement of condition
sued at the time of the
branch
a
corner
branch
The
ft
a final payment of
$650,000
Aug. 15, the preferred stock out¬
standing of the Camden Trust
Company of Camden, N. J., has
with
be The Hanover's ninth in the
city.
the
that
served
ft
stock of the bank
sub¬
banking
47th
new
Building.
Madison
stated
Federal
well
As to his career, the
Philadelphia "Inquirer" of Aug. 17
Oaklyn
(N.
J.)
National
Bank) it "reflects major accom¬
plishments since the bank was re¬
capitalized under its present name
*
Aug.
Trust.
with
opera¬
The Hanover Bank of New York
ject
Jr.,
of age.
in
continue
present
on
years
and
and
financial cir¬
cles in Philadelphia, died on
Aug.
16 after a brief illness.
He was 64
on
that
Broadway.
announced
Morris,
detailed
by Fidelity. The merger
sujbect to approval by State
is
bank's position
have
directors of Trust
new
a
institution
B.
in civic
and
reserves
building
block
drawings.
capital
(par $25 each);
National Bank
fully retired, it was indi¬ had been President for 41 years,
cated on Aug.
17 by Robert J? and had served as a director of a
Kiesling, President of the com¬ number of large corporations and
pany, who in commenting on the financial
institutions.
He
was
Company of North America. Long
known
Effingham
ft
been
of
and
Traders
With
member
Administration
a
the
branch, will be operated
branches of the Manufacturers
ft
He
Friedman, of the
Cole, Grimes, Fried¬
Dietz, and Francis Ario-
&
man
Association.
and title of
its
and
as
Sidney
firm
ft
taken
rector of the Meadow Brook Na¬
tional Bank, Freeport, N. Y., and
as Chairman of the
Nassau County
York
*
effective
a
Minne¬
new
building have been completed and
next step is the
drafting of
downe
State
Banking
National Bank of Buffalo with the
latter. The head office of the bank
New
of
Smith, Vice-Presi¬
B.
of
Howell,
had
ft
to
dollar
a
Preliminary studies for the
Pa. at, special
meetings on Aug. 19,
approved the acquisition of Lans-
Aug.
port when he became ill, and
Manufacturers & Traders Trust Co.
also
R.
the
of
Aug. 22 announced
the
"Inquirer" of Aug. 20 the stock¬
of the Fidelity-Philadel¬
phia Trust Co. of Philadelphia and
Flor-
on
Banking Department of the First
tary.
Mr. Goldstein is resigning
as"" Senior Vice-President and di¬
has
Charles
Commissioner
known
Trust
by
office in
approved
Insurance.
ifV"'
Y., from
made
was
was
Pa.,
holders
"Even¬
ft
announcing
the Board of Directors'
decision,
Gordon Murray, First National's
President, said, "We are now in a
position to proceed immediately.
$625,000, in 25,000 shares
According
Madison, N. J. to
branch
a
Park
by
of
At
it
ft
Newark
Governors
Bank
presently located.
consolidation, the Har¬
of
on
downtown
$1,200,000,
is
ft
decision to construct
close of
Harrisburg,
profits and
leiss than $275,000.
issue
our
of
stock
the
ft
the
Co.
establish
ham
&
and Treasurer.
Edward F.
Henderson will continue as Secre¬
Council
Trust
8
capital of the
&
noted in
Mr. Runyan
as
dent
Clearing
&
if
the
stock
apolis,
ft
National
of
of
Reserve System.
National
million
vided
application of the First Bank
Bank
ft
$6,020,000, in 602,000 shares, par
$10 per share, to $6,695,000, con¬
sisting of 1,339,000 shares, par $5
per
share. Also on Aug. 8 an¬
Gold¬
the
of
the
Kingston,
thereby
been
in¬
$150,000 to $200,000
from
increase
an
Chair¬
Board, will continue as
of the
man
Louis
was
having
Manufacturers
The only new of¬
1924.
elected
of
that
the
surplus
the
pre¬
ing News" of Aug. 8 from that pa¬
per's Trenton Bureau stated that
Approval
was
announced
on
Aug. 8 by the New York State
Banking Department of plans for
group of private
a
Bank
of
ft
capital of the Rond-
ft
of
ficer
the
page 481.
Aug. 4,
Advices in
of Aug. 8.
as
Runyan, President of
Company
of
North
America, of New York, announced
on
of
of
of common
held
now
of
by the sale of that amount
new
stock, the capital of the
creased
if
the
to
bank
ij!
Charles D.
$500,000,
all
value
bank.
Y.
of
and Manila.
the
of
sum
retire
were
ft
t
National
out
has served in
Shanghai,
the
will
Life Insurance
talization
An addition of $50,000 has been
Middle
experi¬
Simmons
overseas
Bank, Mr.
Midland
Senior Vice-President and
a
»
the Bank
for
in
Benefit
retireable
Central
Marine
a
director of the merged
William M. Simmons
During his
ence
York,
come
now
for
work
Mutual
$901,000.
The plans regarding the
recapi¬
Trust
New
doing special
assignment
its
to
stock
Board
the Federal
ft
consolidation of
a
Bank.
risburg
the
First
title of the latter
ft
Bank
date of the
stock and the pre¬
which is to be sold
stock
of
with the examination
was
of
City
Harrisburg
common
ferred
bank, when Mr. Donovan will be¬
e s.
tional
a
land
ui
F h i 1 i pi) i n
is
$4
was
the
with capital of
$500,000, under the
charter and title of the
by Recon¬
struction Finance Corporation. The
Branch in The
He
at
banking
authorities,
are
to merge the Auburn Trust
Company with The Marine Mid¬
was
First National
City's
offered
was
staff
Company
of
Reading, Pa., under
July 1
National
plans, subject to approval by the
Manager
by
With the proceeds from the sale
Auburn
Simmons until
Division
seas
taken
preemptive
share.
com¬
since 1924, Mr.
Over¬
Bank's
Company
their
1954 he
with
the National Bank of
Penbrook, at
Penbrook, Pa., capital $50,000, was
effected with the Harrisburg Na¬
rights.
currently re¬
ported in excess of $22,000,000 and
deposits are approximately $20,000,000. It was stated that present
the
to
shares
under
12
These
146
of
Assets
to
them
of the
signed
Trust
tion
the
serv¬
banking
State.
operate
the
Port
becomes
Midland
now
in
subscribed for by other than
present stockholders in addi¬
were
which
office
offices in 71 New York State
As¬
24.
N.
Marine
ing
f
Company,
branch
into
in
Thursday, August 25, 1955
.
Trust
at
■>t
As of
Bank
Pa.,
$125,000,
and
bank, effective as
business July 1.
stock
subscribed for, whereas only
87,000 shares are available for sale.
More than 92,000 shares of stock
William
and
of
the charter and
offering:
were
pointed
with
From the "Newark
BRANCHES
National
Birdsboro,
stock
common
of
CONSOLIDATIONS
'
First
Birdsboro,
com¬
.
.
nell
G.
was
O.
Secretary.
appointed
Griffin
B.
D.
Bun¬
Manager and
Assistant
Manager
of the Colorado and
Raymond
Of-
19
(787)
Number 5458
182
Volume
.
.
The Commercial and
.
the
Covina and West Covina offices
were: Sumner Deitrick and J. D.
Reed, Vice-Presidents; Roy F. Reineman, Emma M. Anderson, and
R.
L.
Deitrick, Assistant VicePresidents; Robert H. Lovins, As¬
sistant cashier. R. L. Deitrick will
be in charge of the West Covina
at
elected
Officers
fice.
Financial Chronicle
to Mr. Talbot
Edwards & Hanly to
Lehman Brothers Group
12:00 noon,
Give Fund for 4 Babies
Offers Great Western
HEMPSTEAD, N.
Y.
—
"Four
babies will each
$100 Mutual Fund Ac¬
lucky Long Island
Stock at $23.50 a Sh.
receive
a
cumulation Account on Wednesheaded by Lehman day, Sept. 7," announced Herbert
Brothers yesterday (Aug. 24) of¬
G. Edwards, partner in Edwards
fered
500,000
shares of capital & Hanly, members of the New
Office.
Pietro
DiCarlo former
stock
of
Great
Western
Corp. York Stock Exchange, with offices
President
of
the Fishermen
&
which owns the outstanding guar¬ in
Hempstead,
Huntington and
Marchants Bank, was appointed
antee stock of Great Western Sav¬
Bay Shore.
Chairman of the San Pedro Ad¬
ings and Loan Association and the
"The award will celebrate the
visory Board.
W. S. Rash was
outstanding capital stocks of 22 ooening of our new office at South
elected Vice-President of the San
escrow
companies all licensed by Franklin Avenue & Sunrise High¬
Pedro Office and with Claude M.
the State of California. The Great
way in Valley Stream," explained
Sebring, Assistant Vice-President,
Western stock is priced at $23.50 Mr.
Edwards.
"The doors will
and W. H. Oliver, Manager will
per share.
open
at
9:00 a.m., Wednesday,
be in charge of the combined op¬
Part of the proceeds from the Sept. 7 and the four babies who
eration. J. A Dunn, John Gibilaro,
sale of the shares will be used by are born closest to this time and
A. J. Lageson, E. S. Randall and
Great Western to retire a $10,473,J. C. Ryan were elected Assistant
date (9:00 a.m., Wed., Sept. 7) will
628 promissory note due July 29,
Cashiers.
win the awards.
1956.
The funds obtained by is¬
«
*
:j:
"All of our offices are partici¬
suance
of the note were applied
Elliott McAllister, President of
by the corporation to the purchase pating in the celebration. In order
The Bank of California, N. A. of
of the guarantee shares of Great
to qualify, births must be reported
San Francisco, announced on Aug.
Western Savings and Loan Asso¬
19 that the Board of Directors has
ciation, which was incorporated
elected James
C. Percy and
in 1925, and to the purchase of
George
S. Pearce as Assistant
Mr. Pearce was a mem¬
Cashiers.
Credit Department. He
ber of the
1926.
16,
bank
the
with
been
has
March
A
since
Percy has
Mr.
with the bank since
&
Edwards
Street,
Hanly Mutual
York
Plan,"
ex¬
has
become
associated with the
plained Mr. Edwards, "is an ex¬
firm as Manager of the corporate
cellent
means
of
safely putting
aside money for the future—for bond department. Mr. Linton was
Junior's college education, Susie's formerly with Charles E. Quincey
trousseau or Mom and Pop's re¬
Accumulation
Fund
& Co,
'
tirement.
have the
four babies will
"The
first
year's
paid for by' Edwards & Hanly.
the
of
end
the
At
& Company
the option of
offices
market
on
from
price,
the full
merely holding
or
have
they
what
to
at
to engage
continuing payments on their own,
selling their holdings for
Halladay Co.
DENVER, Colo.—E. J.
child's
the
year
will have
parents
Form E. J.
completely
payments
Officers
Halladay
has been formed
711
in
are
Pres id en
a
with
Seventeenth Street
securities business.
Elvin
Halladay,
J.
t; Edwin J. -Guldner,
received Vice-President; and D. L. Halla¬
day, Secretary-Treasurer.
Edwards & Hanly.
compa¬
funds.
R. Wadsworth, Assistant
of The Canadian
Bank of Commerce, is to assume
J. Page
Savings and Loan
is a member
Bank
Federal Home Loan
the
of
and
under
law and
Association
General Manager
operates
Association
California
the
Savings
Western
Great
Loan
*
it
"The
Co., 25 Broad
&
City, members of the
New York Stock Exchange, have
announced that Walter L. Linton
New
Shore
proceeds
from the sale of the shares today
will be added to general corporate
1936.
16,
Dec.
Hirsch
Bay
Hempstead, Huntington,
or Valley Stream.
of
The balance of the
nies.
serving as a Senior Super¬
visor in the Cashiers Department.
has been
the escrow
of
shares
have an
we
parents must reside in the villages
group
the
been
He
which
Mgr. of
Hirsch & Go. Sept.
W. L. Linton
One baby will
village in
office, and the
each
from
selected
be
at LOcust 1-1800 by
Sept. 7.
accounts
for
medium
investment
savings
convenient
a
of
functions
dual
the
embrace
furnishing
activities
principal
Its
System.
size through the issuance
certificates (which
accounts are insured by the Fed¬
of
any
of
investment
eral
Savings and Loan Insurance
Corporation up to a maximum of
$10,000 for any one holder), and
financing the purchase, construc¬
tion and improvement of residen¬
tial
real
property
by
loaning
money
on
the security of first
mortgages or trust deeds.
Companies"
"Escrow
The
are
largest group of this, "type in
California under one management.
the
J. P. R. Wadsworth
treal,
it4
announced on Aug.
was
Mr. Wadsworth has been with
22.
The Canadian Bank of Commerce
He has been Assistant
since 1928.
ices in
an
necessary
escrow
to real property.
FAYETTEVILLE, N. C.
—
(Special to The Financial Chronicle)
John T.
Sebald, Jr. is now with Greene &
Ladd, Third National
Building,
members
the
of
—
York Stock
New
Walston Adds to Staff
(Special to The Financial Chronicle)
PORTLAND, Oreg.—William O.
Hammerbeck, Jr. has become af¬
filiated with Walston & Co., 621
Southwest Morrison Street.
Ashton Adds to Staff
Ashton
•
Other
members
of the
you must
You take
Bear,
Stearns & Co.; A. G. Becker & Co.,
Inc.; Goldman, Sachs & Co.; Harriman Ripley & Co., Inc.; Ladenburg, Thalmann & Co.; Lazard
Carl M. Loeb,
Rhoades & Co.; Paine, Webber,
Jackson & Curtis; Union Securi¬
Freres
&
And these
you
Wertheim & Co.; Allen
A. C. Allyn & Co.,
Inc.; Bache & Co.; J. C. Bradford
& Co.; Alex. Brown & Sons; Cen¬
tral Republic Co.; F. Eberstadt &
Shown here are three:
Fiber Tile.
Top,
Mich.
Cleveland
connected with
become
&
Co.,
Hallgarten & Co.; Hayden, Stone & Co.; H. Hentz &
Co.; Hirsch & Co.; E. F. Hutton
& Co.; Lee Higginson Corp.; F. S.
Moseley & Co.; L. F. Rothschild
&
&
Co.;
—
West
15315
Hammill & Co.;
& Co.; Van Alstyne Noel
and Walston & Co.
Co.; Shearson,
Mc-
With Draper, Sears
(Special to The Financial
BOSTON,
Leason Adds to Staff
(Special to The Financial
Chronicle)
Stabile is now
&
Stanley J.
Gardyas is now with Leason &
Co., inc., 39 South La Salle St.
CHICAGO,
111.
—
With Link Gorman Peck
(Special to The Financial
CHICAGO,
111.
Chronicle)
—
Thaddeus
is now with Link, Gor¬
Peck & Co., 208 South La
Tragars
Salle Street.
Mass.
—
Chronicle)
Gabriel M.
with Draper, Sears
Co., 50 Congress Street, mem¬
New York and Boston
bers of the
Stock Exchanges.
Left, Perforated
ucts
paintable, in your choice of in¬
mineral fiber, flame resistant or
of the
same
materials
3.
as
special
nance
and modern materials on
Leadership. There is no
major sound
Acousti-Celotex experts have
tackled and solved!
be safe, to be sure you
Acousti-Celotex leadership in
invest safely—depend on
To
the field of sound
condi¬
tioning, and the world's most widely used and best known
acoustical products.
Write Dept. H-lli
today for a Sound Conditioning
Survey Chart that will bring you a free analysis of your own
D168,763
particular noise problem.
QUICKLY INSTALLED
No
Achievement
not
finish.
*U. S. Design Patent
Acousti-Celotex acoustical prod¬
widely preferred. They include
the world's most
conditioning problem that
Fiber Products are
available in Varitex—with factory-ap¬
plied, multi-color paint
are
than any other
the market!
Perforated Tile. The Cane
also
Through 30 years of service,
Conditioning Distributors—
largest variety of beautiful
the
cane
forations. Your choice
Product Leadership.
2.
fiber, or steel pan with rock
wool pad. Right, Random Pattern Tile*, beauti¬
ful, new, washable, paintable, with random per¬
regular
buy:
all—have made more installations
organization!
Tile, washable,
combustible
business with the leader.
of leadership to look for before
risk when you do
the 3 points
experts
Celotone10 Mineral
Incombustible, with deep, irregularly
shaped and spaced fissures.
no
are
Acousti-Celotex Sound
INTERESTING DESIGNS. TOO!
ties Corp.;
Co., Inc.;
all
of
Experience Leadership.
1.
Co.;
Company;
be sure your investment is safe—be sure you get
for in both immediate and long, long years
satisfaction.
under¬
include:
group
recognize the need for sound con¬
noise, cut annoying, nerve-racking clat¬
worker efficiency. But before you buy,
to arrest
that reduces
ter
Products
important. You
you pay
Nichols Road.
man,
-
only with Acousti-Celotex Acoustical
This is
Association.
Shields
(Special to The Financial Chronicle)
DETROIT,
has
A'Vc
L:-*1
&
Exchange.
Roe
r-,
in
writing
Joins Greene & Ladd
DAYTON, Ohio
The
ditioning
Com¬
120 Anderson Street.
pany,
three
companies have been suc¬
Charles E. Kistler has becmoe af¬
and
closing serv¬
directing a substantial
amount of loan business to the
Great Western Savings & Loan
cessful
(Special to The Financial Chronicle)
Powell
escrow
connection with the closing
of the title
Powell Adds to Staff
with
are
agent
which must be a corporation. In
general, the escrow agent per¬
forms the
filiated
vast
property
real
of
change
handled through
the
the last two years.
the
majority of all real estate trans¬
actions
involving
sales or ex¬
General
Manager of the bank, at
head ioffice in Toronto, for
California,
Southern
In
charge of the bank's Quebec Re¬
gion, with headquarters in Mon¬
mainte¬
required. Paint¬
able. Can be washed
repeatedly without
impairing
acoustical
ACOUSTI-CEUHIX
efficiency.
U. S.
ftcgistcdcd
PAT. Off.
trade
mark
Carrol Hoffman Adds
(Special to The Financial
Chronicle)
BOSTON, Mass. — Raymond H.
Faxon and Donald H. Linton are
now
connected with Carrol Hoff¬
man
& Co.,
89 State Street.
THE WORLD'S
THE
MOST WIDELY USED
CELOTEX
In Canada: Dominion
SOUND CONDITIONING
120 S. LA SALLE ST., CHICAGO
Sound Equipments, Ltd., Montreal, Quebec
CORPORATION,
MATERIALS
3, ILL.
i
20
The Commercial and Financial Chronicle
(788)
morale in
another war should descend-upon us, and
they are a sort of defense expenditure.
It is unfortdnately -impossible to set forth the cor¬
responding situation in other leading countries. The re¬
quired data are not at hand. But there can, of course, not
be the slightest doubt that essentially the same situation
exists in most of the major countries of the world, or that
Continued from first page
in
so
As We See It
publishes
figure each
a
Full-Time
which it labels "Number of
year
Equivalent Employes" of government, includ¬
ing both Federal and State and local. The meaning of this
clumsy designation is simply that the number of
employes, part time and full time, part year or full year,
a
case
sense
of them
most
far less afford such
can
rather
is
reduced
the
to
equivalent
full time
number of
being prepared for
tion of
ployes working all year. In 1929 this figure was a little
million; in 1954 was 9.8 million. As might be
expected, the most of the increase was in the military
arm,
where the number went up from 261 thousand in
1929 to 3.3 million in 1954. Civilian employes of the Fed¬
the
eral Government
this basis
on
rose
part of the Kremlin
knowing, but
Russians
of the degree in which
the people of this country now devote their efforts directly
to the work of government in comparison with other days
—and a clear indication of the fact that despite all the
totalitarianism of these modern days, preparation for war
takes the lion's share of the increase.
But there
not
more
and
so.
other measures equally as
shocking, if
Department of Commerce also prepares
publishes
which is
services
a figure labeled Gross National Product
supposed to measure the total output of goods and
of the country at market prices. One component
of that total is
Goods
item
an
Services.
and
government
It
called Government Purchases of
is
the
amount
lays out to
of
the
taxpayers'
and salaries
and to buy various products it requires in the course of
its operations. That figure for 1929 was
slightly less than
$8.5 billion; in 1954 it was just slightly less than $77 bil¬
lion. The part of the Federal Government in 1929 totaled
only about $1.3 billion; in 1954, what is labeled "National
money
now
pay wages
Security" alone
fission
products
that these staggering increases are the
result of increases in prices and costs.
They are, indeed,
in some measure caused
by the general inflationary trend
of the intervening years,
particularly since the end of
World War II, but
only in part. The Department of Com¬
merce has
accommodatingly reduced these figures to the
equivalent "constant 1947 dollars"—that is to dollars with
the
purchasing power of dollars in 1947. Expressed in
figures which thus remove the effect of price changes,
the 1929 total for all
government stands at $13.6 billion;
the 1954 figure at $61.7 billion.
The Federal Government
component,
dominated
so
security outlays,
$41.5 billion. '
rose
on
ished
A
Of course,
1
>
these
these
have
by national
this basis from $2.3 billion to
we
seen
not the
merely represent those payments for which something
of value is rendered
during the year in question. They
embody all the outlays which seem to be very directly
related to defense. But it is doubtful whether it is safe in
this connection to
ignore certain other outlays of
ment, particularly
what
are
are sums
the
paid out without
ducing
'
These
are
"transfer payments." These
any
return consideration during
are
as
the Federal Government
constituted chiefly of benefits from
funds, and military pensions and the like.
security benefits
were
purpose
being
$44 million. In 1954 these payments came to just short of
$7.5 billion. Military pensions and related payments in the
earlier year
;
were a
million"
45
are reported at $443
million; in 1954 they
little short of $2.9 billion. It is doubtful if any of
pro¬
kilowatts
conditions, the
remaining in fission products
after
is
reactor
a
shut
down
I
Thus,
reactors
in
1975
our
reactor.
industrial
would
at
all
power
times
have
equilibrium
a
quantity of fis¬
products that would produce
they decay something like 8 to
sion
I
admit
must
that the Oak Ridge National Lab¬
oratory
provide
slightly
is
problem
if
method
partial,
alleviation
some
nounced
a
we
processing that will
solution
We
a
chemical
the fuel
cause
essentially free
of
contamination
at
product
aging
and
be
to
this
develop
can
continuous
of
have made
in
Reactor
this
10 million kilowatts of heat.
Most
kilowatts
of heat energy as they
decay. .This represents the equiv¬
alent of something like 6 billion
able
of
for
uses
ucts is
a
assorted
products.
radioactive
Finding
these
profit¬
fission
prod¬
tremendous challenge.
The fission products present in
reactor during the operation in¬
a
troduce another problem that may
have a significant effect on a nu¬
clear
industry.
power
wishes
build
to
If
one
large re¬
in, or comparatively close to,
densely populated area he must
a
very
actor
a
encour¬
of
to
ence
to
date, it
and
as
mutually
and
a
point
where
overconfidence
accident.
In
we
reach
may
agreed
(3)
the
a
event of
tracts
the
and
the
in
amount.
the event of
rupture in the high
a
pressure-' system.
While
I
-
•
speaking of homo¬
am
reactors,/ I
geneous
•**
;
may
paid
well
very
into
blanket,
one
fuel,
re¬
rather
the
sible, to be
sible
as
under
condition,
the
foolproof
as
pos¬
nearly safe
as
pos¬
as
normal
abnormal;
or
potential
nuclear accident is
one
conceivable
every
hazard
so
a
serious that
feel compelled to go
may
of
even
further.
At
step
present, the only additional
that seems reasonable is to
provide
a
ciently
reactor
large
building suffi¬
sufficiently
and
well-sealed to contain the volume
of gas that would be generated
if
in
the
entire
the
quantity of coolant
reactor
vaporized.
were
desirable
that it contributes
increased
actor
capital
installation.
solution
an
in
significantly to
cost
We
of
the
would
the
the
form
be
fixed
in
re¬
be
to
con¬
advance
eration. Information derived from
will
be
under
made
the
contracts
available
by AEC.
practical
to the entire technical public
working on reactor development,
the maximum
to
extent
ble
with
benefit .i to
resultant
the
Of
progress
entire
Last month the AEC announced
they had
received
proposals
Demonstration
The
four
under
Reactor
proposed
would have
a
four spe-.
the
Power
Program.
plants
power
total of 455,000 kilo-,
can
have
pacity and would involve
solution
in
the
nuclear,
power program.
watts of
one
dilute
of
will
pur¬
highly enriched uranium
size,
centrated
use
in
very
more
of
electrical
generating
a
con¬
highly
would
An¬
be
concentrated
to
solu¬
tion of natural
uranium
in
or slightly enriched
heavy water to pro¬
reactor
that
and
will
produce
plutonium.
take another approach
can
One
80
burned in the core and plutonium
is produced in a highly concen¬
trated
natural
depleted
uran¬
ium solution in the blanket
(1) A
reactor
can
thorium
the
be
The
core.
same
converted
U-233
breeder
by
to
a
sub¬
stituting thorium-oxide slurry for
the
plutonium
Other
blanket
modifications
solution.
which
in¬
crease
the variety of potentially
possible homogeneous reactors in¬
clude
for
of
the
substitution
solutions
or
the
of
slurries
substitution
boiling system for circulating,
non-boiling systems. While it is
true that by these modifications
one can
design a wide variety of
homogeneous reactors to meet al¬
a
most
find
any
that
conceivable
there
is
need,
we
sizable
would be borne by the
The four proposals sub¬
ated
180,000 kilowatts
gener¬
capacity Jo be completed in
1960.
the
or¬
boiling water reactor
plant of
-This
pldnt
Nuclear
is
proposed
Power
Group
posed of four electric utility
panies and one construction
by
com¬
com¬
com¬
pany.
(2)
and
A
light water moderated
cooled
reactor
plant of 100,capacity, to be com¬
pleted late in 1957 by the Yankee
000 kilowatts
Atomic Electric
Company of Bos¬
ton, which is made up of 12 elec¬
tric utility companies.
region
surrounding
or
to 90%
by public and private
ganizations are:
to the
highly enriched uranium in
dilute^, heavy water solution is
ca¬
total
estimated
capital investment of
about $150 million, of which—and
this is particularly noteworthy —
enriched
ordinary water.
modification
a
much
a
a
using
solution
uranium
other
in
reactor
same
power
surrounding
countryside. Of course, we alwaya
have, and always will, design our
reactors to be
amounts
under
any
practically
large, single-region reactor
very
in which
in
his
and coolant,
homogeneous
a
For example,
pose.
a
design
for
reactor
for
moderator,
can
Given the
possess.
propermaterials
a
the
be
for
in¬
The
by AEC
operations
cific
both
steam
the
and operation
demonstration reactors
contractors.
versatility they
vide
rapidly released if not forcefully
ejected
of
1954,
resulting from develop¬
power
that
which
actor
31a
of
economic
and
be used for development,
fabrication, and experimental op¬
resist
cannot
sion
in
Act
con¬
ment, construction,
of
the temptation to comment on the
plutonium-power producer by de¬
signing a two-region reactor in
present
Section
Energy
technical
formation
into
enter
development
under
Atomic
tracts
explosion or rupturing or melt¬
ing of the fuel elements, the fis¬
products
research
and may
quantity
products in equilibrium
or
a
recovery
upon
The AE'C would
research
be
reactor
carelessness
causes
as
spent fuel ele¬
mitted
people into the reactor
new
such
from
development work; and
smaller
experi¬
be
The AEC would perform, in
laboratories and without
charge io the licensees, certain
the
reactors and bring
more
will
own
proposers.
construct
up
1955.
(2)
its
heavy water is burned to produce
power.
Or he can have
reasonable
we
1,
licensees
AEC,
had
have
our
seems
that
expect
we
in
period of
a
from July
the
nu¬
agreed
an
for services performed for
op¬
Although
charges
special
to
up
for
years
by
be possible to reduce the
erations.
accidents
and
source
materials
by
electric
such
under
Commission
of
seven
of fission
consider the possible consequences
of an accident in his reactor
no
an¬
ments.;
feel confident that it will
we
Commission
Program
amount
direction
progress
re¬
Power Demonstra¬
new
materials
will
of
fuel
by
a
significant
However, the high pres¬
of these fission products are very: sure,
high temperature aqueous
short-lived
and
decay
rapidly. homogeneous reactors have the
However, those having half-lives disadvantage of being consider¬
longer than 10 days would; pro¬ ably more likely to convert the
duce approximately 500 thousand entire fuel solution into steam in
as
altogether
is
additional
homogeneous
which
to
fission
the
of
Containment, obviously, is not
ether treatment of veterans, it lies in the hope of better
provide
all times.
level
were
pension payments and
Energy
ect and
some
safety without the additional cost.
reactors,
In
Atomic-
other
previously
January, the
required to pay for materials con¬
the demonstration proj¬
would
this
the
have
I
mentioned.
them
have
to
on
one
on
sumed in
simple,
ing
power
indeed
comment
results of
advances
established
physicist contribute a
effective technique that
approximately 8% of the operat¬
these payments
could as a practical matter be reduced
international tensions to be
reduced, but if there is
any justification for some of these
of
Under equilibrium
heat
delighted
ingenious
We think that the
industry
electricity would require reactors
virtually non-existent
in 1929, the total national outlay for the
a
with a total heat power
something
in excess of 100 million kilowatts.
but
they
social insurance
Social
govern¬
as
accounting period. So far
is concerned
;
the Federal Government.
technically known
reactor
operating business
only ways in which gov¬
days spends the taxpayers' money. They
are
in
proportionately.
many
Payments, Too
produced
be
can
power
more
Other
ernment
as
to
very recent and very significant
development which seems to re¬
to
profitably used
until they decay, then the prob¬
lems of disposing of radioactive
wastes obviously will have dimin¬
fission
say
like
(1) The AEC would waive the
would be
7
page
remarks
my
*
technological developments,
would
upon
from
are
which:
Nuclear Power: Now and Later
curies
one
I
However,
lion in 1954.
no
complete
recent
tion
immensely better off if they could
that
Proposed Power Plants
To
for loan
Continued
came to more than $43.2 billion. Federal
expenditures for goods and services which are not directly
related to national security still stood at about $6.3 bil¬
Let
be
our
of leaks
systems.
clear
measure
are
The
would
on
have no way of
own minds that the
course,
certain in
are
prevention
fairly typical of high temperature,
high pressure, and dynamic fluid
cent
immense.
reactor
rough
we
of
we,
Thursday, August 25, 1955
.
flect the
controlling force behind what
The reward of better international relations
from 267 thousand to
At Work for Government
Here is at least
belated realiza¬
a
the
somehow relieve themselves of their armament burden.
nearly 1.7 million, and, of course, many of these employes
are engaged in defense work of one sort or another. The
1929 total figure for the country as a whole, including
both government and private enterprise, was 35.9 million,
the government share thus figuring out at a little less
than 9%; the over-all total figure for 1954 was 53.3 mil¬
lion with the share oi government at over 18%.
I
of
costs
enormous
not
or
to be the change of attitude, if not of policy,
appears
less than 3.2
such fact is the
some
em¬
Whether
war.
..
(3)
A fast breeder reactor with
kilowatts capacity, to be
100,000
completed late in 1958 by
nine
electric utilities
northeastern states.
group
in
the
a
of
(4) A sodium graphite reactor
plant of 75,000 kilowatts capacity,
to
be completed in 1959
by the
Consumers Public Power District
of
Columbus, Neb.
In addition to these
four
proposals
onstration
specific
under the Power
Reactor
Consolidated
Dem¬
Program,
Edison
the
Company of
New York has applied to the AEC
.or
a
license to build and operate^
with
private capital a
entirely
gap
nuclear power plant
having a ca¬
that must be bridged between the
pacity of 250,000 kilowatts, which
designing and the
ditional
such
a
building.
information
problems
as
Ad¬
is needed
corrosion
on
and
the
company
estimates
will
cost
about $55 million. The reactor for
this
plant
is
to
be
light
water
Volume 182
Number 5458
"
.
.
The Commercial and Financial Chronicle
.
cooled B«d^TSt^erated «Qdywould
take
This
plant
other
five^ears^to* build*
about
four
Egypt, France, Greece, Guatemala,
Indonesia, Israel, Japan, Mexico,
combined* with - the: Pakistan, the Philippines, Portu¬
gal, Spain, Swieden, Switzerland,
proposals would total
705,000 kilowatts of installed elec¬
and Thailand.
;j
States
United
and, in fact, to its
technological and in¬
dustrial advancement, are of such
significance that one is almost
forced to the conclusion that we
continued
the
five-year
pro¬
foreign nations
in a
favorable
position for taking whatever steps
recent
is
my
emphatic
more
fashion
anything else that I could
that
indeed
recent
than
the
say
greatly to in¬
confidence in the real pos¬
sibilities
advantages
and
they wish in the direction of
ploiting reactor
It
have
advances
contributed
crease
of
nu¬
International Nuclear
mentioned
I
be
its
of
no
dis¬
reactors would
without
complete
some
men¬
international
implica¬
tions. With the exception of a few
places
like
United
the
of
of
calls
men
determined by our
and
peacetime
atomic
There
have
opments
field
been
the
in
devel¬
recent
international
that
of
are
re¬
great sig¬
nificance and promise.
that
by "selling" the plutonium
produced in these reactors they
to
their
reduce
can
net
hour.
There
this
of
that
program
are
First,
the
oxi de-cooled
do
gram
cant
tures
$50
Eisenhower before the United Na¬
Dec.
on
8, 1953, an Interna¬
tional conference
atomic
of
the
on
peaceful
is
energy
now
(Geneva,
scheduled to take place in
themselves
that these
basically less efficient
are
advanced reactors—re¬
more
and
850,000 shares of
stock.
mon
Each
principal
plus
unit
The
consists
of
amount
five shares
and
price
com¬
of
deben¬
common
an
Proceeds of this financing and
from
the sale to The Royal Bank
of a $12,000,000 issue
Canada
first
mortgage
bonds will be
4J/2%
used
that
while
will
cost
that
reactor
operated
dramatic
set
up and
during the
provide a
will
of
one
for fissionable mate¬
the United States has
use
that
already
pool
be
Geneva
This
demonstration
possible
rial
will
at
conference.
allocated
set
Nations.
The
Geneva
the
to
research
will
give
world
the
under
up
United
reactor
foreign countries
tunity to see at first
oppor¬
an
the
hand
construct
and
modern synthetic ferti¬
a
estimates
actor
for
were
Additional
Geneva
the
be
Conference
Atomic
not
And
costs
In
third,
that
in
result
the
One
other
having
tional
recent
bearing
a
one
atomic
interna¬
relations is
our
energy
the establishment of
a
ne\y School
of Nuclear Science and
Engineer¬
ing at the Argonne National Lab¬
This school will start its
oratory.
first
class
this
Spring
and
include
unclassified
design,
construction,
and
tion
reactors
will
nuclear
of
search,
principles
nuclear
power
of irradiated
peacetime
energy.
of
applications of
This
primarily
and
design
re¬
reactors, handling
nuclear
scientists
of
in
opera¬
materials, and other
related
intended
courses
for
school
for
is
foreign
engineers, and
rial
the
first class consists of 31 "students"
high
high
can
in
produced
the
power
will
advanced
is
ex¬
opera¬
both
owning
interests
stock
Commercial
Solvents
the testing and pre¬
company.
will integrate
operational start up of the new
plant, including the training of
key personnel.
Principal raw materials for the
company's synthetic fertilizer
process are natural gas, sulphur
and phosphate rock. Natural gas
requirements will be supplied by
New
a
Dominion
British
Oil
under
20-year contract.
The
being
offered
sinking fund at 100%.
Capitalization of the company,
for
coolants
coolant
gas
the
With the
year
plan
for
nuclear
hope
we
our
major path
lion
giving effect to this financing
pro¬
plants
In the five
1960,
power
kilowatts
we
mil¬
to produce 45
remaining
years
British
before
shares
the
must perform
re¬
search and development work that
will
enable American industry
embark
on
a
sensible
and
to
eco¬
nomically sound program of con¬
structing
nuclear
that will produce
economically
power
electric
standard
living
of
be
plants
power
competitive
by Commercial Solvents and New
power.
electric
of
at
rates.
made
in
to
total for
S.
about
—
all
in¬
electric * utilities.
served
are
Dominion,
of
cent par
stock
be
installed
in
future
years.
large plant is also projected on
has
an
Island, where the company
excellent deep water site
Arthur
at
Kill.
these
of
Most
plants
can
use
coal, oil or gas,
depending
on
which
fuel
is
cheaper. During the summer
months
able
natural gas is avail¬
boiler fuel at relatively
some
for
low cost.
Con Ed is
natural
serving straight
in a good part of its
converting the re¬
now
gas
is
and
area
maining customers (who
are cur¬
rently getting mixed gas). Trans¬
continental
Gas
Pipe Line :is a
major supplier, but gas from Al¬
gonquin is also available in emer¬
one
the
of
include:
Shearson,
Co.;
&
Blair
Corp.;
underwriting
Jaffray
&
Hammill
&
Piper,
Co.
Inc.;
Midland
Lee
Hig-
Securities
Corp. Ltd.; Nesbitt, Thomson and
Company,
Co.
Ltd.;
Inc.;
W.
C.
Wood,
Gundy
Pitfield
&
&
Co.,
ithe Ltd.; and Norman R. Whittall Ltd.
rebuilding of New
One old building which has
down had
given the
torn
only $45
a
year
electric service but
company
for
for
the
air-conditioned
building on
is paying $240,000 a year
electricity.
Some 72%
of Con Ed's residen¬
tial customers live
in
apartments
and
the company is slightly han¬
dicapped in this respect, since
there isn't as much scope for ap¬
pliances
as
in
private
homes.
However,, the company is doing
well
with TV, and
when color
in
comes
this
will
use
twice
as
much
electricity. The air-condi¬
tioning load has been high recent¬
ly and the load factor excellent.
Electric typewriters
are
coming
into vogue in most offices, other
electric office equipment is in¬
creasing, and brighter street lights
being
are
dent
installed.
Forbes
Vice-Presi¬
growth to
expects
continue at the rate
of about
5%
per annum.
Edison is probably about
jas de¬
pression-proof as any big com¬
pany
in
the country.
In
the
1929-32 period the company actu¬
ally managed to gain a little rev¬
enue, although the FRB index was
down
nearly
one-half, and in
1937-8 revenues also gained mod¬
estly. However, Con Edison's share
earning and dividends declined
fairly sharply during 1933-4, pre¬
sumably due to the delayed effects
gencies, and Tennessee Gas Trans¬ of reduced purchasing power of
mission will also supply some gas •residential customers, and did not
within a few months. The familiar really go into an upgrade again
old gas
the scene
retained to
store high BTU manufactured gas
for winter use, when the demand
is heavy) but eventually they will
probably disappear from the scene.
(at
Con
are
still
they
are
tanks
present
Ed
is
on
going ahead with its
campaign to increase gas heating.
51,000 homes are now neatea aim
200,000
pects.
were
are
pany
the
are considered good pros¬
6,000 gas heating customers
added last year, and 9,000
expected this
has
com¬
permission from
asked
State
The
year.
Commission
to
reduce
house-heating rates to improve
competition with oil. The com¬
pany's return on its gas invest¬
ment
remains
quite
low,
only
until after World
Consolidated
excellent
equity
for
however,
higher
parts of the gas
requested.
The
other
will
be
division
steam
gains in
tioning.
State
the
Commission
will
$164
and
The
million to capital
eventually all the
does
company
equity financing
account,
amount.
not plan any
over
the
near
fu¬
ture.
Consolidated Edison is currently
selling
5OV2
around
and
with
also
a
poor
The company
4.75%,
a
little
better than aver¬
With earnings around $3.07
age.
price-earnings ratio is 16.4 or
storms
some
above
have
money,
average.
cost
the
Recent
company
but the big air-con¬
ditioning load in July has probably
more
than
offset this.
'
is getting into the
in
area
Hudson
four
next
250,000 kw. plant
isolated
air-condi¬
field, and plans to
the
in
construct
on
a
years
350-acre
Westchester
River, to
on
cost about
million.
Construction costs
approximate $220 per kw.
with about $200 for
the new fuel-burning unit at As¬
toria; and overall operating cost
$55
will
compared
is
estimated
age
is
at
9
mills per kwh.,
slightly above the aver¬
cost for
new
fuel plants. The
plant will be of the pressurized
water, thorium-uranium type like
that used in the submarine Nau¬
tilus, which is believed to be rela¬
tively safe. A super-heater will
be used to increase efficiency.
Con Ed's business is
stable
because
residential
it
service
is
Write for free copy
P. 0. Box 899,
Dept. M, Salt Lake City 10, Utah
particularly
primarily a
al¬
UTAH POWER
company,
though it does serve some 38,000
a
$2.40 dividend the yield is about
.
is
commercial
atomic energy
the
sur¬
but should improve with
earner,
a
ratio
let them restore about half of the
slightly
house-heating,
an
tled, but the company is hopeful
that
the
rates
has
sheet, with an
of about 43%. The
plus special" still remains unset¬
overall
earnings of the gas divi¬
sion do not gain substantially with
War II.
Edison
balance
status of the item "unearned
about 3V2%, but the management
hopes to improve earnings. If the
which
Hopwood;
ginson
of
value.
Members
group
3,750,000
and
common
by
erating stations, all interconnected
of course, and a new 180,000 kw.
unit was recently installed.
The
big Astoria plant now has 364,000
kw. capacity and 300,000 kw. more
are
exploitation gram, will consist of $20,500,000
may
be clearly indicated.
After
of funded debt, 10,000 shares of
1960, we have only 15 years in
which
to
build
something like $5 preferred stock of $100 par
$8,000,000,000
worth
of nuclear value, all of which is now owned
power
U.
customers
business
debentures
and
Florida
to
as
to the constant
old
The company has nine large gen¬
the
in
completion of our five-
dioxide
the first reactors.
in
Alberta,
used
more
reactors, probably sub¬
liquid
stituting
the
It
subject to redemption at prices
ranging from 105% prior to Aug.
1, 1956 to 100% after Aug. 1, 1964.
They are also redeemable under a
build
Belgium,
Brazil,
re¬
10-year period
able to
be
to
Australia,
mate¬
The British expect that by
contributions
tina,
kilowatt
fissionable
The
19
costs.
credit for pluto¬
no
other
or
per
nations including Argen¬
from
capital
power
cost of 7 mills
power
carbon
development
on
per
States, we believe
ultimately achieve a
the end of the first
by
only
re¬
United
they
but also by industrial firms.
$1,000
as
their
the
at
Commission
Energy
high
as
ex¬
technical
provided
the cost of this
kilowatt.
actor.
will
tons.
tion
Calgary,
installed kilowatt. Initial
to
over.
132,000
substantial
per
nium
hibits
have built
of
under construction, will cost about
hour, taking
is
we
pacity
pected the plant will be in
$600
tures.
the Swiss after the conference
the
more,
by January, 1957.
enough power reactors to gain
The two principal sponsors of
construction
experience will be Northwest
Nitro-Chemicals
(in¬
significantly less than the British corporated under the laws of Al¬
estimates. However our first
berta) are Commercial Solvents
commercial power producer, the Corp. of New York and New Brit¬
Pressurized Water Reactor, now ish
Dominion
Oil
Co.
Ltd.,
of
simplicity of this type of reactor,
its versatility and low cost fea¬
Negotiations are now in
.progress for this reactor to be sold
plants
power
maximum cost after
at
representatives
from
nuclear
somewhat
$474 million
owned
-
pany's
by Northwest
Nitro-Chemicals to
operate
serial
the
growth, but
nevertheless it enjoys a fair-sized
annual gain in output, due in part
been
which
with
utilities
York.
About three-quarters of the com¬
Staten
development in this lizer plant near Medicine Hat, Al¬
country is considered to be equal¬ berta, Canada. The company esti¬
ly as far along.
mates the
amount
required for
Second, the British estimate that this project will be approximately
the capital cost of their reactor
$21,396,000. The plant will include
re¬
possible under the recently
vised
of
the
of
A
actors whose
security regulations.
In addition, the Oak Ridge Na¬
tional Laboratory is constructing
for the Atomic Energy Commis¬
sion a swimming pool type research
as
Texas
the
the
in
vie
course
establish¬
does not of
company
its site
will
8-20,
Aug.
on
with
Station
The
new
$50
per
1955. facilities will be in the range of an anhydrous ammonia unit with
The United States is planning; to
^$500 per installed kilowatt^Con- a designed annual -capacity of
participate in this conference and ventional power plants in this 33,000 tons, a nitric acid unit with
is planning also to make available
country can be constructed for a designed annual
capacity
of
through the conference as much $150 per installed kilowatt or 39,600 tons and a sulphuric acid
even
information on reactor technology
less. Our estimates indicate unit with a designed annual ca¬
Switzerland,
business,
Street
was
manufacturing
ments.
standby
de¬
unit is
interest on the
accrued
of
bentures.
of
British
e m i c a 1 s
Ltd. 10-year
subordinate income deben¬
5V2%
ogy—in fact, it is pointed out by
the
units $8,500,000 Northwest
as
Nitro-C h
of
than
President
signifi¬
a
divi¬
53,000 miles of underground cable.
advance in reactor technol¬
reactors
by
presented
not represent
have
regular
24)
additional 300,000 shares of com¬
mon stock at $1.50 per share.
proposed
reactors
predecessors
paying
vestor
through' Eastman, Dillon & Co.
n-di-
its
An underwriting group headed
by Eastman, Dillon & Co. offered
for public
sale yesterday (Aug.
b
o
been
8%
uranium,
car
and
thus
revenues
The company is offering for sale
natural
pany
small
The
company
is by far the
largest electric-gas utility in the
world, as measured by its annual
Eastman, Dillon Group
worthy of comment.
graphite-moderated,
trace
can
customers.
Ghemicals Offered by
stock.
fea¬
Edison
geneology back to 1825, when
the New York Gas Light Company
began paying dividends; the com¬
Pearl
Of Northwest Nitro-
tures
three
are
Consolidated
its
Thomas A. Edison served his first
kilo¬
per
Consolidated Edison Company
dends for 130 years. Con Ed
also
one
of the earliest in
Debentures and Stock
costs
power
approximately 7 mills
proposal
uses
the
of
•
10 years to
As an out¬
growth of the "Atoms for Peace"
tions
reactors
a
By OWEN ELY
electric
for the British power reactor pro¬
energy.
actor
of
completion of reactors
provide a gen¬
erating capacity of about 1,500 to
2,000 megawatts. They also expect
tne
for
of
broad plan
a
the
within
tures
may well be
ability to seize
uses
field.
power
construction
power
to
do¬
are
1 e d, graphite-moderated
Their current plan antici¬
watt
maintain world leadership in
the
for
of
pates
fu¬
Our
complete
to
free
of
borderline
malnutrition.
ability
minds
the
on
the
and
countries
most
are
power
ture
Norway
States,
world
interest
some
ing in the nuclear
They have developed
type.
earlier,
of
gas-c o o
Developments
cussion of nuclear
be
may
series
tion
*
ex¬
power.
consider what the British
that
clear power.
As
peaceful world.
should aid considerably in placing
It
development
reactor
gram.
fact
the operation of the school
means,
opinion that this
development drives home
power
in
in
investment
Utility Securities
must
,
total
Public
,
be successful.
The School of Nuclear Science
generating capacity costing
The challenge which faces us
and .Engineering is a major step
about $205 million.
in the implementation of Presi¬ is a formidable one, but the stakes
Remembering
that approxi¬
Eisenhower's
"Atoms
for are too high to think of failure.
mately 90% of the cost of these dent
It is not only that the economic
plants will be borne by private Peace" plan.
Coupled with the steps that well-being of the country is at
industry, we see the very encour-:
aging prospect of having "hard-, have already been taken in mak¬ stake, but also that our perform¬
headed
businessmen"
invest
of ing fissionable materials available ance in this field may well de¬
their own funds, an amount es¬ and sharing information through termine our national prestige and
our
chances
for
a
sentially equivalent to the AEC's the Geneva Conference and other ultimately
tric
21
(789)
& LIGHT CO.
The Commercial and Financial Chronicle
"Total
Continued from first paye
out¬
remained unchanged.
important of these ele¬
most
ments
Federal Reserve Discount
credit
Bank
Reserve
standing"
The
is, by
big margin, "U. S.
a
Government securities bought out¬
right."
Rates and the Float
banks
member
they
serves
the
extent that
had surplus
the
To
re¬
free of the need
were
to rediscount at the Reserve banks.
authorizes the Fed¬
eral Reserve authorities to add to
member bank reserves by permit¬
Act
Reserve
banks to count as re¬
portion of the checks and
the
Dec.
for collection
collected. The
through
drafts sent
before the items are
represents an extension of
Float
Federal
member
and
to
credit
bank
Reserve
clear¬
non-member
without
interest and
authority in the Federal
Reserve
Act.
without
banks
ing
It provides fictitious
for
banks
member
for
reserves
unwarranted and
—
an
unsound basis
an
expansion of credit.
an
were
real, not fic¬
be
to
titious.
The evils involved in
drafts
and
permitting
well
were
reserves
as
recognized by the drafters of the
Federal Reserve Act and by other
banking
students of those days of
principles and procedures.
As a
consequence, the Federal Reserve
Act was designed to make mem¬
ber bank reserves real, not fic¬
The
titious.
the
And in the
provisions for
of
collection
and
clearing
Reserve
Federal
obtain
to
credit.
banks
member
how
prescribes,
were
prescribed, and
law
that
"Federal
the
Float
hidden in
of
the May, 1953, issue
Prior to
eral
Bulletin,"
Reserve
form
tabular
in
was
item "All other Fed¬
an
credit
Bank
Reserve
out¬
standing."
Beginning with that
issue, the Float was listed sep¬
arately; and this specific identifi¬
outstanding."
example,
Bulletin"
shows
1953,
part
of
could
banks
their
If
serves
be
to
were
re¬
real, not ficti¬
that deavailability items (deferred
tious,
it
fered
necessary
was
reserves)
the liability side of
on
the balance sheets of Federal Re¬
banks
serve
collected
not
be
items
than
less
the
on
un¬
side
asset
for
(p.
that,
479)
1952, to April 29,
5,
other Federal
1953,
Bank
Reserve
those
such
outstanding"
from
ranged
sent
member
clearing
and
banks
A chart which had
been carried in the "Federal Re¬
$1,543 million.
Bulletins" beginning in May,
collection
the
to
were
re¬
banks
serve
the
obtain
to
neces¬
tdfrie legal and
some
reasonable
to
is
Float
of
1951.
tabular
data
information
there
But
in
provide
of
the size
to
as
precise
with
one
no
are
"Bulletins"
the
the
The
vidual
The
banks.
tabular
aggregates
dealing with
discounts and ad¬
of
the
they
fact,
do
the
reveal
individual banks.
For
and
advances
of
of
redis¬
are
the
in
reserves
And if surplus
reduced
were
needs
despite
surplus
aggregate.
serves
that
example, in
aggregates there
existence
the
others,
among
not
the
Bank credit outstanding" as
Dec.
19,
is
1951,
reported
as
to
re¬
rela¬
a
banks
1954-June 29, 1955.
assets
ad¬
of
and
reserves
excess
member banks for each week dur¬
ing the period Nov. 24, 1954-June
1955, are revealed in the ac¬
companying table compiled from
29,
"Federal
of
Bulletin"
Reserve
July, 1955, p. 765.
'
1'jr.t
the relatively large Float
distorts what should be the proper
of Federal
and
counts
ol
uieniucr
banks*
Float
300
Reserve
advances.
the
possible
reserves
bank
It
dis¬
tends
to
effectiveness
changes in the other
which comprise "Total
no
elements
Reserve Bank credit outstanding."
In earlier years, before the Float
became
in
such
"Total
Federal
watch
Bank
Reserve
practices to
relationship
between
the
market
operations
counts and advances
items
in
Dec.
1
498
698
588
credit
Dec.
8
465
724
718
item
credit
it was the proper
practice of analysts
common
open
important
an
Reserve
outstanding,"
681
1,046
them
"Total
and
dis¬
the major
as
Reserve
building of the Float
outstanding."
In
recent
Dec.
15
442
810
686
the Float has generally re¬
placed discounts and advances as
ferred
Dec.
22
311
822
the
620
in
most
col¬
Dec.
29
377
statement from
Regulation J, Series of 1916, of the
Jan.
5
372
885
683
Jan.
12
504
756
694
portance by
Federal
check
Jan.
19
445
881
793
yet in the
provides
Jan.
26
453
806
645
the
example of how this principle
Feb.
2
524
666
591
change
Feb.
9
555
640
728
as
a
uncollected
items
until
important
item
were
lected.
The
following
Reserve
clearing
and
Federal
of
by
that
collection
counted
be
to
reserve
items
original
in
"It
process
tions
Reserve
being
Bank
the item of
credit
first
im¬
discussions of
effectiveness
rediscount
in
opera¬
large margin—and
a
common
possible
of
16
387
668
570
Its
Feb.
23
395
804
608
rates
the
widely understood.
be
Mar.
2
490
797
9
479
789
578
carried
by
a
mem¬
483
16
Mar.
719
Why
does
the
Board
indulge
in
this unwarranted practice?
630
This author has
ber bank with its Federal Reserve
Mar.
23
630
1,032
681
Bank."
Mar.
30
745
677
490
find
6
613
656
556
Apr.
13
662
801
654
as
Apr.
20
521
1,031
642
the
development
Apr.
27
544
861
617
the
Reserve
May
May
4
544
743
458
ticle
11
374
696
744
in
18
25
317
888
June
1
612
772
June
8
533
812
June
15
558
June
22
348
June
29
456
789
been
unable
that attempts to
("Annual
Federal Reserve
Report
Board
for
of
the
1916,"
13. 170.)
The Federal Reserve authorities in
1939
began
policy
panding the Float.
But
the
a
Reserve
of
ex¬
authorities,
particularly following the middle
of
1939, embarked
upon the prac¬
shortening up the time
schedules, according to which de¬
ferred availability items were to
tice
of
become
reserves
for
member and
non-member
below
to
clearing banks, far
the average time required
collect
sent
the
through
checks
for
collection.
As
Float—the
excess
items
a
items—began to
Reserve
drafts
consequence,
of
and
the
uncollected
deferred
over
A chart in
and
clearance
an
availability
increase rapidly.
article
Float"
in
on
a
"Federal
pamphlet,
"Bank Reserves: Some Major Fac¬
tors
Affecting
Them"
Reserve Bank of New
(Federal
York, 1951),
p.c26, shows
Apr.
May
May
612
and
793
579
avoids
1,137
|700
serve
f492
it
Federal
Reserve
author¬
be observed that in only
week (March 30, 1955) of that
vances
in
rediscounts
excess
and
ad¬
of the Float
and
that in all but two weeks
and
May 11,
larger than
of
reserves
the
From
gregates,
1955)
the
(Feb. 9
the Float
estimated
was
excess
member banks.
point of view of ag¬
the
excess
reserves
of
a sharp increase in
the Float from $8 million
shortly
converted into deficits every week,
after the midle of 1939 to approx¬
except
imately $78 million at the end of
that year.
By the end of 1943,
and
member
volved
banks
two,
had
had
would
for
the
have
been
period
in¬
the Float not existed
all
Major
433
at
how
to
the
it
has
issue
on
other
elements
in
not
in
the
various
kept
by seeing to it
items
the
in
the
ag¬
do not
average
Float
factors;
expan¬
has arisen from
but
all
of
them,
in the aggregate, are given an un¬
warranted effect by an unjustifi¬
able
on
shortening of time schedules
availability items. The
deferred
the part
on
unique
pro¬
of the Federal
authorities
administered
per¬
Federal
the
Reserve Act, is not a
they have
as
that law.
Their
de¬
been
the control¬
ling factor.
The Board of Gover¬
nors have demonstrated that they
will not necessarily be deterred
by the fact that a procedure of
monetary
credit expansion is
by the Federal Re¬
even by the fact that
or
not authorized
Act
serve
the
or
Board's
proposed
action
is
specifically prohibited by that law.
For example, beginning in Decem¬
ber, 1942, the Board in cooperation
.
with Treasury officials authorized
Reserve
$660,000,000
bank
serve
banks
of
notes
as
is¬
to
Federal
Re¬
fiat Treas¬
a
in violation of law.
By this illegal transaction the Re¬
ury
currency
banks
that
vert
bank
serve
reserves
a
enabled
were
amount
to
con¬
Federal
of
Re¬
liabilities
note
into
and the Treasury received
corresponding amount of depos¬
its credit
the books of the Re¬
on
banks
serve
to
which it
not
was
entitled.
Another
example:
Every
year
since 1946, the Reserve authorities
have been proceeding in violation
of the
clearly worded stipulations
Section
of
law
of
collected items and deferred avail¬
average
and
the
serves
balance
the
on
in order to avoid the Float
creation
for
estimated
of fictitious
member
banks.
It
re¬
is
30,
June
1,
$1,118,000,000;
excess
reserves
were
That sort of picture,
existing shortly before the Board
Governors
Federal
their
of
the
and
the
Federal
by
that
Reserve
Re¬
violation
discount
to indicate
the
$1,797,065,070
which
1947-1954,
the
earnings
years
of
under
Treas¬
the
law
the Federal Reserve
belong
In the
banks.
tious
it
building of the Float, which
the intent of
is
by specific prohi¬
presumably may be re¬
the Act
but
covered
not
bitions,
garded
minor
as
a
matter of relatively
importance in the minds of
Reserve
correct
authorities
in
far
so
administration
law
of
is concerned.
standards
tion
the
of
of
"Total
Reserve
perhaps
the
reli¬
only
change in Federal Reserve dis¬
be
can
of
made
Federal
standing.
in
in
element
Bank
credit
tute Ya
securities
clined
000,000.
bought
member
of
that sometimes it
story.
outright"
de¬
decline of $999,-
Reserve
dates,
same
Bank
credit
out¬
standing" declined from $25,900,000,000 to $24,815,000,000, a de¬
cline of $1,085,000,000.
The con¬
this
latter
item
for
support
pectation that
rates
could
an
ex¬
rise in rediscount
a
might have
effective¬
some
ness.
But [ if
one
compares pertinent
of Aug. 10, 1955, after four
as
Federal
Reserve
authorized
to
banks
had
their
raise
been
discount
rates
(as of Aug. 4) with those of
Aug. 11, 1954 (averages of daily
figures for the week ended on the
dates
specified),
it
would
seem
difficult to demonstrate that there
is
noteworthy tendency to¬
tightening up on the uses
any
ward
a
Federal
Reserve
credit
of
Aug.
creased
for
10,
by
and
the
member
that,
reason
1955,
compared
as
was
determined
with any high degree of accuracy
because of the many other factors
low
large
Float,
it
seems
that
suppose
rise
a
had
though
$228,000,000
only $29,000,000 be¬
were
the
the
for
of
average
$699,000,000
30, 1954-June
June
year
1955, during which the
the
was
estimated
from
range
weekly surplus
$433,000,000 to $1,120,-
000,000.
But the point of this
analysis of
the
of
required
banks
by $466,000,000, surplus
of member banks ($670,-
reserves
involved.
development
member
increased
29,
be
not
$659,000,000,
for
reserves
of
could
to
consti¬
considera¬
$24,553,000,000, as of
$23,554,000,000 on
Between the
"Total
tiveness
relatively
very
Reserve
different
under
Nov. 24, 1954, to
June 29, 1955, a
effective, sometimes it was inef¬
fective, much of the time its effec¬
reasonable
that
of
"Total
and
from
000,000),
view
instrument of credit
the
out¬
tion, the item "U. S. Government
lower,
With
volume
credit
use
in
period
(rediscount rates from
was
total
outstanding"
long
the
of
control
credit
the considerations
the
large
For
the
Reserve
But
involved
the
an
Bank
securities bought outright," and it
is there that the biggest alteration
count rates
as
Act.
the picture
with Aug. 11, 1954, "Total Reserve
of minor im-i Bank credit
outstanding" had in¬
was
able generalization one could make
in respect to the effectiveness of
banks)
Reserve
days prior to 1939,
when the Float
point
im¬
an
expansion
outstanding" is "U. S. Government
of
the
banks.
only be¬
administra¬
of
Federal
The biggest item in
as
in
credit
the
ficti¬
but also because it is required by
bank
Even
not
eliminate
for
proper
Rediscount rates and the Float.
a
would
base
proper
member
done
be
member
eliminate
Float—the
of
reserves
cause
to
Reserve
This should
data
violates
as
Federal
to
light of these procedures,
of the
one
and
be
in
during
ury,
the
Reserve
would
some
States
seem
clearly that
traction
United
raise
would
rates,
to
methods for counteracting
overexpansion
of
credit
by
an
provide
the
various
banks
proper
authorities
to
the
authorized
Reserve
dissipated, by illegally giv¬
have
ing
7
Act;
serve
the
Float
is
that
the
Float
has
been sufficient for the period June
in rediscount rates should be much
30, 1954-June 29, 1955, to provide
less
effective
an
case
were
any
event,
than
might
be
the
the Float eliminated. In
discussion of the
a
sible effectiveness
of
discount rates misses
sideration
if
the
An
increase
banks
could
were
important
pansion
in
rise in
of the
ignored.
the
rates
general
really exerting
some
against the
Federal
Reserve
member bank credit whereas
fact
might
be
re¬
con¬
that the Reserve
pressure
of
or
pos¬
major
rediscount
lead
assume
a
a
existence
Float is overlooked
public to
in
was
banks
probably
items
1955); the Float
March
and
13,
Federal
ligation of the Board to keep
ability
23,
April
have sometimes
article does not deal with the ob¬
un¬
March
for
6,
of
of
availability items.
points out how the great
sion
it
the Re¬
why
have
minimum
a
uncollected
but
grown;
of
authorities
gregate and
It
were
Float"
Some
Affecting Them" (Federal
exceed deferred
period
Reserve
Reserves:
ar¬
Factors
tPreliminary.
one
"Federal
The
Reserve Bank of New York, 1951),
is devoted to what the Float is,
ities.
It may
Float by
646
that
by
on
of the
authorities.
481
427
^Estimated
to
statement by the Board
justify, in so far
basic principle
is concerned,
any
"Bank
April
provisions
portance,
553
Mar.
lawfully
figures
20, 1955, discounts and
$570,119,000 (below
opposite intent of the
a
rarely if ever mentioned.
significance seems not to be
Feb.
of the minimum
cannot
part
as
the
authorities:
Reserve
manifest
on
collection,
respected
was
Board,
"Total
outstanding"—open market
i»r>5
Govern¬
were
tinent
Float is
the
items)
availability
On July
advances
of the
years,
second
credit.
Bank
main, on the average and in the
aggregate, deferred reserves (de¬
,'(.1,373
1,138
to
S.
ment securities.
$585,000,000.
rise in rediscount rates, again
a
assuming
of
(In millions of dollars)
24
of
ence
point is that the exist¬
reserves
Discounts
Nov.
available
holdings of U.
serve
the
that
suppose
the expan¬
as
contraction of Federal Re¬
or
part of the Federal Reserve pro¬
credit expansion, in spite
serve
But the
and
Excess
it
banks.
of
the
find
not
to borrow from, or sell
to, their respective Reserve
nullify
discounts
and
would
individual
necessary
and
Float,
which
be
picture of member bank
picture for the period Nov. 24,
vances,
still
would
the
sires, rather than provision of law,
data
Float, and excess reserves
vances,
some
seems
gram of
Reserve
needs of indi¬
Aggregates versus
"All other Re¬
Float at that time.
The
illegal,
unsound, it
regarded by the Reserve
as
merely one of the
the Federal
of
devices,
authorities
sue
serve
other
some
sound and
cedure
reserves.
sary
or
Float—not
portant factors such
there
and advances
clear¬
or
of
being main¬
enlarged by means of the
forgetting, of course,
possible effects of other im¬
tained
sion
Float to be above $2 bilMon at the
which
expansion
various
by
tively small figure in the aggre¬
gate, it could be expected that
end
the
credit expansion was
credit
1952, with the chart carried back
to and including 1943, showed the
non-
to
for
banks
from,
counts
Under
member and
by
Reserve
Federal
ance
sheets.
11, 1955, to
and acceptable
with, lor Obtain advances
sell securities to, the Re¬
paper
those
ranged from $528 million to
principle, the checks and
a
drafts
balance
would
aggregate,
rediscount eligible
Float
.
of
the
Feb. 9 and May
cept
$3 million to $5 million while the
un¬
upon
reserves
paralleled
banks,
in
base
collected checks and drafts.
has
have been forced, every week ex¬
of member banks have limitations
A
is
Thursday, August 25, 1955
.
Federal Reserve and member bank
means
March
serve
Since the expansion of the Float
expansion of such
in
the
as
concerned.
for
for the weeks covering the neriod
credit
far
so
are
several
the
For
Reserve
computation of member bank re¬
serves
it was not contemplated
member
period, and assuming all other
unchanged, the member
other Federal Reserve Bank credit
$2,057,000,000.
that
during
Float
no
cation revealed that the Float con¬
stituted almost all of the item "All
the
Federal Reserve banks and for the
through
drafts
and
checks
been
there
singularly evasive in
fundamental issues
factors
the
"All
banks to count uncollected checks
Had
000,000.
May,
supposed
17,
"Federal
of member banks
Reserves
$600- million.
1952, it was $1,543,-
exceeded
Float
By
ting those
serve a
an
.
.
(790)
.22
that
the
ex¬
and
the
base for
aggregate
for
of
member
surplus
reserves
which
banks
would
have been eliminated every week,
but
two,
had
the
Float—an
instrument
proper
pansion— been
average
of
eliminated.
surplus
im¬
credit
of
ex¬
The
reserves
of
member banks for that period was
$699,000,000;
Float
of
was
the
weekly figures
serves
was
from
$1,120,000,000;
Float
average
$780,000,000.
was
the
from
$1,373,000,000.
on
of
the
The range
surplus
$433,000,000
range
for
$576,000,000
re¬
to
the
to
Volume
182
Number 5458
.
.
The Commercial and Financial Chronicle
.
23
(791)
'
t
Continued
from
More
page
the
danger already pointed out
seriously considered in much
detail by the Temporary National
3
and
not
builtup gradually, and the
increase, along with compound in¬
terest computations, applied to an
accumulation of a sum to be used
for
the
anticipated
principal.
payment
of
Under
annuities,- the
insurer receives a lump sum—a
single payment — which immedi¬
ately constitutes the reserve. This
reserve, in the course of the pay¬
the
to
ments
annuitant, is grad¬
ually diminished, since the pav-
ments constitute
ment
of
part
a
principal
if the
is
Accordingly,
payments to the
varied
income
of the
tant,
of repay¬
as in¬
well
as
terest accumulations.
annuitant
according to amount of
received
from
investment
annuity reserve, the annui¬
time elapses, will receive
as
smaller
and
riodically.
smaller
the
In
amounts
case
of
pe¬
f'xed
annuity payments, where the in¬
terest accumulations
are
computed
certain, the diminution of the
principal
along with the com¬
pound interest payments can be
as
leveled
This
out
be
done
interest
so-called
based
are
actuarial
an
on
cannot
on
basis.
when
the
accumulations
common
stock divi¬
a
to
be
therefore, that in¬
concluded,
surance—and annuities
insurance—and
of
form
are a
investment
are
Another
important
in
comes
here!
considera¬
If
insurance
companies, sell annuities on
a
large scale, the payments of which
is secured solely by investment
in common stocks, any serious de¬
cline in this business, may force
them to sell large blocks of these
shares
an^l this liquidation would
naturally
affect
doubtedly
should
serious consideration
a
variable
annuities
" come'
into general vogue, since it would
an undesirable affect on the
have
financial
nation's
lead to
a
structure
and
business depression..
The Legal Concept of the
;>"'r
Annuity
V5
Let
us
look
now
/
v
at
t'e
legal
tract
in
same
scientific
ples.
Like other forms o"- insur*
It
and carries the
and-legal princi¬
reverse,
as
ally
or
that
that modern insurance is not
with
investment
interest.
is not
There
surance.
interest
early
life
These
early
con¬
is!
essential
was
return
It
But
in¬
to
compound
no
calculated
insurance
in
the
insurance
assessment basis.
organiza¬
This
is the rule in the British
Societies
as
fraternal
insurance
the
well
United
after
It
for
of
the
in
compound
nor
is it
ther
an
aleatory contract;
characteristics
guarantee—i.e. it is
insurer
of
a
of
a
a guaranty by
fixed sum of
dangerous development. It
would
affect
not
only business
management,
tional
The
evils
ance
accord¬
to
indefinite period, de¬
pendent upon some condition
years, or an
named
in the contract.
may even
Annuities
by
the so"Armstrong Committee of
York Legislature."
Cn
interest
en¬
Annuities"
Now,
few
a
words
to
shares
very
regarding
"variable annuities" and securities
transactions.
Opponents of the
legalizing of "variable annuities"
The
cal sum
a
There is
tention.
which
good basis for tbis
a
Tne
the
sale
of
con¬
only and not
a
return of
principal is promised to the hold¬
the
security.
As stated
by
annuities
payments
in
benefici¬
to
aries is dependent on tne amount
of income returns from securities,
notably common" stocks, is, in
an
intermediate
sale
sence,
securities
ance
is
left
es¬
of
with
the
"pooled" and
are
ficiaries.
Thus, there is
difference
tial
insur¬
and the dividends
company,
received
propor¬
ie
bene¬
or
variable
would
not
be
greatly
be cancelled.
difference, strictly
speaking, between an annuity and
a
periodic income. While an an¬
nuity represents a definite sum
which
it
would
of net
profits,
segment of society.
any
Finally,
be
indefinite in amount. An annuity
does not vary by reason of profit
or income.
A simple gift of inter¬
est upon a
a
The converse will be
where a concern under the
guise of insurance engages in sale
securities.
therefore
may
certain principal sum;
though it is to be paid
Similar
cases
could
be cited
up
ciple.
same
prin¬
riodical
the
amount
of
income
an¬
it
let
principle, would be es¬
be
,
issue
companies in
order to
will
Policyholders' Surplus_$364,206
$23,058,000 in 1945 to $96,period' policyholders' surplus has
gone from $27,646,000 to $76,188,000; and- earnings after taxes from
$2,327,000 to $7,548,000.
926,000
in
1954.
In
the
same
TEN-YEAR STATISTICAL RECORD—PER SHARE''
Liquid.
Adj.
Invest;
Income
Value
Und.
Income
Taxes
to
rate
control.
It
would
intensify
EARNINGS
Pri«e Range
I;>ves4.
Net
I>iv.
Assets
High
Low
29%
1.78
0,32
1.83
0.37
1.85
10.07
2.29
1948—
41.10
3.18
2.46
0.88
4.76
under the terms of which the pay¬
1949—
50.11
5.22
2.94
1.86
6.30
59.62
1.46
55
40%
the annuitant
1950—
59.60
2.77
3.49
1.39
4.87
71.36
1.67
55%
41%
by
ments
an
to
a
form
tingent, wholely
con¬
are
partially, on
or
funds furnished by
the annuitant,
a contract
It is nothing more
of
insurance.
than
is not
sharing
by
partici¬
the
34.32
1.04
33%
37.09
1.04
34V4
29%
49.15
1.13
38V4
32.
,
,
24?/2
2.04
3.77
0.85
4.96
81.75
2.01
61%
53%
4.06
4.02
1.90 *
6.18
90.86
2.09
77
581/4
3.80
4.29
2.07
6.02
90.25
2.09
821/2
771%
2.49
4.77
1.85
5.21
114.54
2.50
1071/2
^Consolidated
contract providing for the
a
mutual
$1.0,4
78.16
1954
transaction
e
from
$40.75
68.87
1953-
t'
received
$2.05
77.34
—
1952—
income
$0.37
39%
102.26
1951
the
the
data.
84
fAdjusted for capital changes.
Liquidating value in the ten years was 219% higher; invest¬
income about 221%; market price 250%. The underwriting
ment
pants of an investment and mor¬
tality risk.
It thus differs very
well above that of the
participation in a
mutual fund through the purchase
0.37 to 1, compared with 0.49 to 1, reflecting the higher securities
markets at the close of 1954. The 20-year increase in the value of
of its shares.
the
little
the
from
With Baker,
DETROIT,
is
Simonds
&
Simonds
$86.09,
of
members
Mich. —Nicholas T.
with
now
Co.,
Buhl
the
Baker,
Building,
Detroit
Stock
Exchange.
(Special to The Financial Chronicle)
now
with
Columbia
approximately $231,000,000,
$8.61
or
a year.
Company,
an
outstand¬
This gain of $86.09 is 267% of the Dec. 31,
In company with other top quality insurance stocks, the
income.
Co. of North America dividend
Insurance
Se¬
returns
only
a
modest
yield, about 2.25% on the present price of approximately 111.
will be evident, this is truly a growth stock.
Bankers
to
the
Government
IRVING TRUST
Colony
Kenya
in
COMPANY
and Uganda
Bishopsgate,
Head
Office:
London, E. C. 2.
End
(London) Branch:
Incorporated,
13,
26
As
BANK
of INDIA, LIMITED
DENVER, Colo.—Walter G. Asis
was
1944, liquidating value, and 285% of the price at the same date.
The dividend pay-out in 1954 was only about 521/2% of investment
NATIONAL
With Columbia Sees.
mus
company's assets
ing record in view of the violent economic gyrations in the period.
In the ten years to Dec. 31, last, the gain to the stockholder was
(Special to The Financial Chronicle)
Kliebert
averaged over ten years was 7.3%
industry. Exposure at the end of 1954 was
(consolidated)
profit margin
St. James's Square, S.
in India, Pakistan,
Bulletin
on
Request
W. 1.
Ceylon,
Burma, Aden, Kenya, Tanganyika,
Uganda, Zanzibar, and Somali-
Branches
Marvin
Chapman
land
Authorized
Marvin A. Chapman passed away
at the age
to
his
of 73 on Aug. 18.
retirement
Mr.
Prior
Chapman
Paid-Up
Re«erve
was
a
partner
Pont & Co.
in
Francis I.
du
Protectorate.
Capital
Capital
£4,562,500
£2,851,562
Laird, Bissell & Weeds
Members New York Stock Exchange
Members
120
£3,104,687
The Bank conducts every description ol
banking
and
also
exchange business.
and Executorships
undertaken
American
Telephone:
Bell
(L.
Stock Exchange
BROADWAY, NEW YORK 5, N. X.
Fund
Trusteeships
serious changes in corpo¬
lead
$556,333
0.37
stocks by
annuities"
Contingencies 186,190
21,899
150,000
37.93
pointed out that the
"variable
for
Capital
Surplus
37.72
of
any
In Common Stocks
insurance
Res.
1947—
If
Investments
of common
3,561
2,737
6,117
Fund
Premium volume has grown from
West
It is further
Reinsurance
$556,339
,
Equitable Building.
acquisition
113,393
Preferred & Guar
44,721
Common Stocks
208,298
Stocks of Affiliates-. 125,610
1946—
curities
Company
ted Companies
Dividend Payable
Bonds
remembered
of- insurance
essence
sentially engaging in the securities
Insurance
9,162
,
Reinsur. in Non-Admit¬
risk by the
of annuity
insurance company,
the
assumption
from
business.
Other Liabilities
$1,52
ividends derived from securities,
under this
133,843
Res. for Taxes, Exps. &
$0.90
arrangement whereby
an
Exp. $42,824
Prem. Res.__
$38.44
sale of annuities, under
the pe¬
payments would be basel
A
olding the
Unearned
is
that
State
true,
9,631
Res. for Claims &
1945—
after
deducting all necessary expenses
and charges, and
require
341
Estate
Securities at Market:
a move¬
illegally engag¬
ing in the insurance business, lor
guaranteed to be paid, an income
up
the furni¬
31,185
304
Real
be
ture company was
c
made
The court held t .at
under this arrangement
Collected
Reinsur. Claims Rec'd--
any substantial need
convenience to the public or
insurer.
"Annuities and Their Uses":
a
stocks intensifies
1954
affording
an
difference
Being
475
Notes Rec'd for Prem,
fraught with danger, while
ment
annuities and mutual fund shares.
on
is
Prem.
Interest
to
common
not
DECEMBER 31,
$19,901
_
Accrued
its political and social
impact on the national economy.
Certainly, the proposal to issue
"variable annuities,"
backed by
given
SHEET,
Liabilities
Cash
cor¬
should
consideration
serious
4.2%; preferred stocks 12.8%; common,
Assets
of
With
(000's Omitted)
poration bonds and notes. Before
this movement proceeds further,
no essen¬
between
distribution
initial
The
Clyde J. Crobaugh in his treatise
"There
BALANCE
com¬
lies in the
present danger
in the
ulations similar to other insurance
fixed periodi¬
life
by
limited scale in
possibility of raising this limited
scale.
With $85 billion of assets,
and with funds continually seek¬
license, and be placed under reg¬
principal, have been regarded
a
on
It is the top ranking
in
ing
investment,
the
insurance
companies are in a position to
acquire a large part of new and
in this business, they will escape
existing corporate securities. They
the Federal and State laws relat¬
have already
replaced much of
ing
to
securities
transactions. the investment banking business
of
annuities, since
investment
panies
23.3% of assets; other bonds
stocks 49.7%.
prohibition
this
and
New York State is permitted.
individuals.
un-named
has
years
relaxed
corporation
and
Securities Transactions
of
even
corporations and ordered
a
been
end of 1954 at $240,950,000.
respects admitted assets and policyholders' surplus.
as
affiliates, Indemnity Insurance Company of North America
and Philadelphia Fire & Marine, it writes practically all lines of
business except life. The principal lines are fire, ocean marine,
inland marine, auto physical, extended coverage, workmen's com¬
pensation, general liability, auto liability.
United States government bonds account for approximately
Legislature enacted a law
prohibiting life insurance com¬
panies from acquiring shares of
business
at the
reserves
York
three
and fixed-annuity pay¬
ments.
"Variable
1925 the capital had reached $7,500,000, and subsequent
$21,798,000, with surplus and
Ey
increases brought it to the present
legal counsel, the New
was
premium
companies.
is
of
as
gradual disposal of shares al¬
ready held. Only within tne last
the
French
Government
bonds, known as "rentes," and
which do not require repayment
of
control
far back
as
its
pay¬
stipulate perpetual
Thus,
er
as
unit
be
the annuity is payable may be an
unlimited period, or a tarm of
as
was
but
what served at the time
Hughes
generally
are
ception
or,
had authorization to write fire, marine and life
there had been some unfortunate experience with
as a life underwriter, the Universal Tonline, it was decided to write no insurance on lives. The company
chose to confine its operations to marine writing; and the new¬
comer in the field was welcome because of its financial strength.
insur¬
New
without ex¬ hibited directly by law cannot be
certain payments performed indirectly. Thus, in a
equal in amount and ma''#1 at uni¬ Minnesota case, a furniture con¬
cern,
selling on the instalment
form
recurring intervals
to
a
named person or. person - during plan, provided in the sales con¬
the continuance of a specified con¬ tract that in the event of t e death
dition or status.; The stipulated of the purchaser, the unpaid por¬
relation or status during which tion of the purchase price would
nuity
benificiary
The company
demonstrated
called
the
with the merchants and barristers.
na¬
coverage,
from
stock
company
whole
structure.
arising
corporations
1905
the
but
economic
is sold
a
Independence was debated
merchants, bankers, ship owners and others
set out to raise $600,000 of capital in 60,000 shares of $10 each. Inr
short order 40,000 shares had been subscribed, and so popular was
the idea that people in modest walks of life subscribed in company
and signed. A group of
cor¬
This would
management.
Hall in which the Declaration of
ence
take
of
a
altered, even thoug/i the
ing to common usage, the annuls annuity guaranteed a minimum
fixed income to the beneficiary.
tant, to be paid according to thb
The courts of t.e country have
terms laid down in the contract.
The series of payments to an an¬ universally helj that what is pro¬
to
money
ments
means
necessarily
function—that
new
1792. It is probable that its name was derived
Philadelphia bank, the Bank of North America. The
idea of setting up the company was born in the room in Independ¬
mittee, of which the late Justice
invest¬
developed and legal
reserves
on
insurance
policies
were
set up that investment be¬
came a part of the insurance busi¬
and
aggregate,
must
Company of North America
from the first
only
was
the
t^e
in
Insurance Stocks
Philadelphia in
dominant
individu¬
a
the recommendation of this Com¬
ment of funds
ness
be
insurance
For
own
—
This company, our oldest stock insurance organization and the
head of the North America Companies fleet, was organized in
in
companies
States.
facilities
Friendly
most
as
and
was
a
to
in corporations,
porate
premiums.
tions regulated their premiums on
an
companies
on
Insurance
corporations are,
the real "managers" as
they
cerned
This Week
insurance
of
owners.
dangerous emulsion.
a
be
tionately distributed to t
it is not a contract of in
has
the
well
diluting certainty with
uncertainty. This does not mean
will
danger of
Stockholders
in essence,
be to create
It
concept of an annuity. An annuity.; securities. The only difference is
is a life insurance con¬ the selection and custody ol the
nity
the
of
By ARTHUR B. WALLACI
considerable discussion
companies, in the aggregate, con¬
trolling b u si n e s s corporations.
control
contract
ance
then
Administration.
Roosevelt
was
essentially different and cannot
safely be mixed. To do so would
adversely
the point out that their issuance will
market
for
these
shares, when lead the life insurance
companies
forceably disposed of. This is un¬ into the investment
business, and,
even
D.
There
Bank and Insurance Stocks
Con¬
of
under the late Fx ank-
up
tered into the calculation of level-
dends.
tion
gift of income (profit
be earned) rather than an an¬
nuity in the true sense."
From what has been said, it can
nually, is
set
gress,
lin
is
Commission
Economic
"Variable Annuities'7
on
A.
BArclay 7-3500
Teletype—NY
1-1248-49
Gibbs, Manager Trading Dept.)
topi-Wrrft in
Bank
Stocks
The Commercial and Financial Chronicle
(792)
24
-
The Long-Time
f
:
Iff
Outlook for
illUU&iiy
ada- W*lllefd m!^ seem at **rst
Let us look at our gas supply
than Mexico, would not be a tact01* ln nim ultimate program, de-
probiem and instead of predicting
what gases may be found in the
future> jet us assume that we
gas" and sometimes as "ultimate
is that about
tril-
300
tomers with seasonal demands lion cubic feet of gas will be
such as for house heating, can be found in addition to the approxiserved
without
increasing
gas mately 200 trillion cubic feet; of
production, as gas in the off-peak present known reserves.,
"
period is stored for supplying firm > Mr. H. H. Hinson, Vice-Presirequirements
of
its
customers dent in Charge of Exploration for
rather than disposed of at low Continental Oil Company in 1954
present prices on an interruptible basis, stated: 6
'
with
recoverable
Developing Rapidly
t0 as "future supply of natural
reserves,"
be
a. comcaseationTeM.
than the United States and Can-
Association and
American Petroleum Institute
which has been issued, for the past
few years, I am sure is familiar to
you.1 You also know, of course,
that
proven
reserves
are
only
those quantities which are known
to
.1 S»bs«t„te Oases
i
lion cubic feet, sometimes referred
Til A llalUIal flAC IflniKtrV
Natflftfll yaa
1 IlV
•
11
^
-
^
Gas
Thursday, August 25, 1955
"In lhe case of natural gas re- C. Other Natural Gas
Continued from first page
American
...
,
ttat gases from these areas, other
ogy
yelopments such as tne. barge wouid' make our own gas fr0m
.tpnsportalion. of .natural gas m coalj and tberefore use natural
hqueiied t torm may maKe large gag Qnly wben -t is avaiiabie at
Quantities of ^tnis gas available to prjces competitive with what we
us*
'
can produce.
The possibilities in
ine barge transportation ol natdirectjon
are
surprisingly
ural gas has received considerable promisjng and are the result of
"About 375 trillion cubic feet of pace in'the literalure within The the large sumg Qf money spent on
bear no relationship at all to ulcases>
gas remain
to be discovered, lastL ?***<™ ® g
g
research in the last few years. As
timate reserves which are certain wise be available for the market which, combined with the present ^regarded as posing any pioo- yQU
undoubtedly know. the exto
be
much
greater
than
the can be injected into storage fields known reseirves, gives a total fuwmch could not be solved. ^
for research in the
proven amounts 2 Several experts for future use.
ture-supply close to 600'trillion The Bat:telle Technical Review of United States in recent years have
in the field have given their views
Th
ff
,
f ...
.
.
f
cubic feet."
A
^tober ldo3 estimated tne post been at a leyel Qf Qver $3 bmiort
on the future supplies of gas that
tors materially increases the num- r>
n
J*
d
'' nnrtrninn
trhm
tnZ annually, and while only a porUltimately will become available. *ors ™^
B. Canadian Reserves
' .
fA0^at,°"
Chicago irom tne tion 0f this is directed specifically
I
believe that
their conclusions
supplied wjtli firm requirements
-Canadian reserves appear likely 30 cents
Mcf or 3 cents per to Problems of gasification, yet
have good, sound reasoning back
f
without increasing1 the ac- to be substantial and it'seems en- therm
—
'-»•■.
there are many related items that
of them and give a general inditual prSuctioii:^ As an illustra- tirely
possible,'if not probably*,
.
become useful in the over-all
cation of what we might expect
tiQn
an
exampie from our'own that Canadian gas may be used in
North and South American gasification development.
in
the future.
To see how this
com'pany would be 0f Interest, large quantities to supply United
°ni 1 resets ^Sud~
<*> Developments in Coal GasR
information
fits
^a our1^' We have a contracted supply of States markets. , ,,
V ,.
thoTwp?i^
Canarta
"cation Technology: It should be
Such figures
production methods.
In some
gas that would not other-
(b)
To Conserve
Gas:
_
If'?hePse°^two''
!hP future
fntiir?
reserves
sijbDlv ot natural
supply of natural
the
318 million cubic feet of natural
Estimated Canadian .Reand' 8as ^er day* In addition, we have serves: W. C. Mainwaring, Vicfer
gas
gas. installed some peak Shaving ca- President of the British Columbia,
separated
factors
fhat i^ th^^rov^n
pacity
that
so
without Electric
1953.
in
S .o.u
the use tne underground -storage
of
we could supply service t0 430 000
(1) Proven Reserves: Our pres- residential
customers, of
which
ent estimated reserves as of Dec
151,000, or about a third, would be
Nnivml Uas in
Natural Gel* in the U
A
A.
31, 1954, were slightly in excess of
trillion cubic feet, or about 23
211
supply based upon or pres-
years
ent
leve£Sof production.
For the
residential
heating
house
custo-
putting our summer
gas into storage instead
By
mers.
surplus
it
Ltd.,
which
^
distributes manufactured gas in
Vancouver and Victoria, B. C„ as
well as electricity, in February,
1954,7 stated his belief that WestCanada will prove 200 trillion
ern
cubic
that
feet
of
It
gas.
trillion
150
was
cubic
stated
feet
of
interruptible
cubic foot was added to reserves.)
reserves
would
eventually
be
with low proven in the Province of Alberta,
—i
grade ^ni we avnont to kc able alone. Alberta's own requirement
coal,
expect
be oKin
to serve 580,000 residential cus- over the next 30 years was extomers by about 1960, of which pected to total approximately 4.5
370,00, or nearly two thirds, could trillion cubic feet in the^aggregate,
be residential space heating .cus- so
large, quanities of such gas
tomers. This increase in firrrj load should
be available for export.
would
be
accomplished without Later events appear to be prov*
f^were'found tor eacn
fo^each
found
^ny..increase in natural gas pr0" ingth.e validity of Mr that:
Mainwar.
duction.
ing's further statement
1948-52, approximately two
years
natural
of
feet
cubic
added to known
as
gas
were
were
for each
produced,
reserves
cubic foot of natural gas
ditis means that for every two
cubic feet of gas found, one cubic
produced, and one
foot of gas was
feet
were
cubic
cuoic
produced
and the
average for the
six-^ear of two
is
slightly over the ratio
to one. However, in the year 1954,
of
foot
0f selling
Company,
an
on
competition
\
gas
Period
in
basis
(2)
Future
supply
Gas fr0m th
^
s
the
The
.
field
increase
small
small
toath!
been
Deen
exex
baled Lon
based
upon
recent
recent
more
more
performance of some of the pools.
Lre°reMi?tr«gu%efore'ave?agl
would
additions
of
last
the
the
be
seven
in
well
in-
average
of record.
years
one
0.7
or
foot
or
used,
total
the
of
0.0007
a
reserves
foot
per
will last
discoveries
reserves
our
indefinitely.
T^h a t
should
suddenly drop
discoveries
new
our
equal
only
loads
g
production, then our
23 years of proven re-
1954
our
so-called
would
serves
last
us
46 years.
factor
.
studying of this subject
years.
In Feb-
jast several
tity,
I
am
original
and
more
of
estimate
more
in
cen-
the mid-west states and eastern
Canada."
500
con-
trillion
cubic feet of gas, Dr. Gustav Egloff, the late Director of Research
pany,
"Estimates
of
of ultimate
natUral
vary
feels
Terry
cubic
gas
feet
of
that
500
ultimate
conservative
a
reserves
widely.
L.
trillion
is
reserves
figure,
this
and
attitude is shared by R. C. Alden.5
Geologists predict the future dis-
of
the
the
use
effect
in
crease
storage fields.
accelerated
in-
of underground
A recent estimate
by the American Gas Association
places such sub-surface storage
capacity at about 1.9 trillion cubic
mentary basins during exploration
for liquid petroleum since gas-
oil ratios are higher at greater
depths.
There will undoubtedly
be large gas fields in the Gulf of
Mexico
under
the
Continental
^e,Vn will ueldf'4 !^St nearthlSe Shelf'
17n be located °f
fields
the
wells,
our
oil or gas
in
formations such as
Herscher D°me Stoiage,
in
or
own
depleted
J n°uatfd
themselves
mam
main
(a)
To
These fields have two
Meet
reserves
natural
of
Demand
Customers:
The
many cases,
will be that
result
of
this,
estimated
trillion
500
of
in
ultimate
cubic
i Gas
represents a truly
it is felt that
gas
of
™!vT °/ g"u "S'f eve."tua"y
&
Gas
Mar. 21,
Journal,
1955.
ISf I9S5.
processes to
in-
would
ane
f9.
"Quids, such as gasoline, the end
result in either case bein« a h^
that the
drocarbon.
aooear
many
dictions of future natural
will
serves
also
gas
re-
be low."
.
,
,
-
,
research for the production of a
synthesis gas that could be converted either into gas or oil. These
w_rlH
Rpsprvp«
are often
oth^r
tribute to the development
transportation
of
of the
natural
Gas Age for April 27,
gas.
1955
states that the possibility of obtaining low cost natural gas from
the middle east by transporting
liquefied natural gas, is receiving
bebile esrh^w\"g
Droduction
of
u
a
10 j0" f
promise
for
pipeline
aan^
n
the
«as
at
f*n
a
relMivlw^nlmcient11
relailvely lne"lcient-
Advances in technology since
2baI flm€; are producing new and
Jmpnived methods, and results of
!bls research is becoming lncreasjngly evident in the most recent
literature.
*
#
*
(2)
n<?
place, will be able to meet the
ever increasing demand of the Pacific Coast area for natural gas.
"This
0f
should
those
natural
who
sas
relieve
the
minds
worrying about
are
reserves
ri_hf ,
quantities
mate
should
:
fbp
'
that
have the
we
h„ nntimktir that mir
nwn
pressive.
You can see that
mistic that
we
Quantities
of
gas
from Canada.
Of
course
tangible evidence of that is
ap-
for imports from the Peace River
into
6Report
OctoLe^
p.p„„t
the Pacific
pre,ented
Pirtnrp
7
Ga's
Northwest.
before
the
Ameri-
'^Wb^'s^he
Natural
C,a<j
Rp-
Ior £ a urai
uas
Ke
for
Age-Feb. 25, ,954.
we
are
opti-
gasification probably as closely as
anyone in the industry. In a paper
early this year (Gas Age, March
i-
last
tn
eas
TT
many
However,
years.
Goal
on
Corporation of Cambridge, Mass.,
bas foU°wed developments in coal
to
will have sufficient
natural
Results of Research
Gasification: Hall M. Henry, VicePresident of the NEGEA Service
im.
rprtainiv
1
*
10, 1955) he indicates fairly well
is beinS anticipated now
from research that is well along
the way:
what
prudent management dictates that
(a) Figures are given showing
are now being conpipeline- sidered as possible with modifica,
tions of one of the conventional
sbould understand the pos- results that
we
sibilities
/
reserves of natural gas can be appreciably supplemented with nat-
nrP
gas
available
y
us
it'seems
of
become
fnt,,rp
ulti-
on the
natural
.
of the United
states"
5 Chairman of the Research Planning fresen?,, riclure
^^svillef Ok," Pelr<"eUm COmPa"y'
referred to as the conSuch processes
Reserv s Other than ventional systems.
^het™eserveTa?e a^the —i predicated ».
barge
of
some
have been as intense as
thp
?
mr
that
area
.
Therefore,
the eJ"-lier Processes for obtaining
from coal were based upon
pxnloration
rnnntries
of
m
obtaining
f
.
,
£
systems
,
Cia11^ 50 f°r 0ur ComPany where
we kava ^huge reserves of CGal
nearby- Moreover, our interest in
Montana and the definitive plans
■
nave
that is "atural §as> or
§as'
£
It would
may not
"There is every reason to believe that this vast Peace River
low and it is quite likely that pre-
-
Gas Journal,
tupcp
area, as further development takes
parent in the current imports into
Parent in tne current imports into
,°U",
of oil reserves
5
&
it
The above figures
if
been
2c5s' AgeStaV Eg,off' Dec* 4' 1952 issue StateS>
3 Oil
4 Oil
for
pnntPmnlatpH
150 trillion cubic feet
available
over
countrtes
of Mr. Mainwaring states:
lower than the al-a2
Commenting further, Dr. Egloff
Age, April 7, 1955.
dicate
■
i
more cus-
ic
act
"states
United
2be Previously mentioned article
feet
volume,
enormous
?
dictions
Peak
the
of
even this is far
purposespurposes.
\he
either directly or by dis- serious
consideration
in
the
Placement. When and if Western United Kingdom. It was reported
Canada gas is delivered to To- that tentative figures indicate that
I believe it is the experience
ronto, it is contemplated that surPnniH hp hmnoht frnm
of a11 of us wben sound fundaPlus gas, after filling the needs of atu al gas coi Id be brought 1 om mentai principles have been deEastern Canada, may be piped to the middle east and delivered in termined in the laboratory, that
lbe Buffalo and New York area.
London at a cost of about one- our ingenuity in applying these
With reference to the rather baif that of their present manu- principles to practice results in
large reserves in the Peace River ffH
thprm
systems that are commercially
area °f British Columbia alone,
'
feasible.
Thus
"While
market
Pvict«
nliP<?
be rearranged either methby catalytic
produce
ultimate sup- can
proven reserves and
™a''y. 1954, he stated:
(2) Effect of Canadian Gas on
"Hence without attempting at Unded
States Reserves: It is 0f n0 particular interest in our
Jbls time to reestimate the quan- probable that the late qf devel- problem except as they may con-
coveries of natural gas will be in
the
deeper
portions
of
sedi-
the
another
n
Bank of New York' has done con" flnd lb\most, economic market in in the United States_
enter-
is
nPr
nn
nf
Terry,
ing into the interpretation of the
figures on reserves, and that is
There
method of producing oil. This has
stimulated much thinking toward
r
Mnf nf Uc
harrpi nf nil
niethods of producing oil from
u/hiVh
ic
thp L«; eiHp nf tt
q' coal. In many respects the steps
pvnprjpnr>p
Thn
vpnp7npla
pac
in- producing oil from coal are
lpnrj 'u^if
tn
har0p
traPc.
similar to those that are posnnrtatinn
tn
<?unnlv nnr markpts
Slble f°r tbe production of gas
poriauon litpratiirn inHipntne ihat' Irom coal. These processes are
to supply our marKets, Cv,—
fhV
thnimht i<? bpin?r pivpn
tn enrh
based upon the production of a
nn<;cjhnitv
Thp nhnvp fiunrpc nrp
gas consisting essentially of car¬
haspd
unnn
nrnvpn
oil
rpsprvpq
bon monoxide and hydrogen. This
.nrf i,hrinnhtpHlv thp nltimatp rp- Sas is often referred to as a "syncPrvp<?
will
hp
mnrh
mnrp 'than
thesis gas." These - molecules of
tbic
Tf
thp
<?amp
ratio
hptwppn
carbon monoxide and hydrogen
market, whereas the gas
F.
tion of crude oil would diminish,
so our Problem is closely related
with the Probl«m o£ a substitute
fia,,r?
ultimately proven reserves would
.
remembered that if natural gas
discoveries should slow up, it
would als0 mean that the Produc~
mairino
Q
Lyon
sources
siderabie
above the 1954 level plus one-half
of
world
on
in
oac
ture supp,y of natural gas from sboi!,d be reserved to supply that be greater than this since in
G
would
increased
our
fieures
nat,,rai
rpsm,pc
thilpJHrr^
cj,ficMC?ast area and thfe£ore
in the Dec. 4, 1952, issue of
Gas Age, makes the following
statement:
that
of
In
our ultimate fu"
for Universal Oil Products Com-
to
our
?h"d absen'i
Vene/nela
in
^^'^Umately
an
to
equal
frinion
r4
northern Alberta will find its
most economic market in the Pa-
indicate
increased
consumption
seems
improbable.
However, if we were to assume
amount
nnH
of experts in
an
opti-
opinion
would
opment of the reserves in W^estadded would'be about 1.7 cubic vinced that the future supply of ern Canada will depend upon the
feet per cubic foot produced, or natural gas of the United States market for Canadian gas in the
a
net addition
of 0.7 of a foot win b.e considerably in excess of United
States Plans are being
for each foot withdrawn. As long 500 trillion cubic feet." (Gas Age, considered to bring Canadian gas
as
we
are
discovering more gas Feb. 25, 1954.)
into the St. Paul and Minneapolis
than is being used, whether it be "
In commenting on Dr. Terry's ?feag as..Yf
a.s
,°
Eastern
basis
this
On
thi^ total^^aPDroximatelv 9
^1^"s
l!f 3 7e in Mexico
of
formed circles is that the gas in
pre^ious6^- Vice-President, Chase Manhattan tral and southern Alberta will
of
revision
rnates
mates
has
nas
increase
opinion
defln teW be found
and Gffshore
u
bvCo°nVlvrVa ofaCtrmeion ?u°b1c feet" mistic pieture of
The
Ibe
"Popular
Natural
of
JSdiSte^at70SSorcuScrfeet'
oCgas would
cation
1Vviien
,
iro^
gas
Sng
8
natural
Hpn1ptpH
aas
hppa„cp
coal
than natural
,
further
goes
than
the
8^uddIipq ccal
.
nrp
ma
b
Modifications
ta a
Der
ijc:a
therm
uiciiii<
wet em
coS
gas for some of the
US
before
reserves.
costs
gas
of
another
(Turrits
of about 6.5
Unconventional
chea^r based entirely
...
needS that Will Confront
the exhaustion of
(b)
conventional
<c)
,irQ
wherein
low as about 4.6 cents
Per therm.
from coal
ga
(IGT)
may be as
mav
cSS
systems
upon new concepts
8 The L.urgi syst€m is a medium pres-
sure,
medium
temperature
system
for
generating a synthesis gas, usin- a fixed
&L'S ^
Volume 182
Number 5458
.
The Commercial and Financial Chronicle
.
.
-of gasificalion"show promise of a
cost of about 4.5 cents to 5.5
gas
;
-
cents
'
therm. I
per
w"
the
that
pipeline
expected
coal
from
gas
cost of
has de¬
creased from about 10.5 cents per
therm in
1948 to less than 5 cents
therm currently, and there is
per
indication
no
leached
the
have
we
technological
de¬
further
would
Large Scale Operation of
Synthesis Gas Plants
It may be well to point out that
of the theories useful in the
many
of pipeline gas from
proceeded beyond the
production
have
coal
pilot plant stage and are in actual
phases of construction and opera¬
tion.
A complete
plant for the
conversion
signed to
is
oil
into
coal
de¬
7,600 tons of coal
process
day,
per
of
constructed in
expected that
being
South Africa, and is
full
production
late
in
will
One
1955.9
This will be done at
which
schemes
and
are
the
coal
be
can
converted
to
a
very nominal cost per
provided the principle by¬
product
char
(or
coke)
has a
ready market.
place
for
since
part
this
would
it
the
of
coals
that
high
are
dis¬
fuel
E.
has
for
gasification
Other
to
towards
it
the
we
to
caused
us
consider
to
industry as
whole, and the
a
by-product gas from oil shale
processing plants also may well be
an
important source of pipeline
feel
competitive position
our
raw
a
However, oil shale has possibili¬
ties that cannot be overlooked by
well
be
how
on
as
first, methods that use these ma¬
terials
in
our
own
back
yard.
also.
would
briefly
has
ket
as
Developments
Perhaps
oil shale
is
son
into
pipeline quality when and if atomic energy be¬
gas. Some experts have stated that comes generally used for the gen¬
the cost of the synthesis gas con¬ eration of electricity. Surprising
stitutes about 70% of the final as it may seem, the developments
cost of pipeline gas, so here is a in atomic energy may materially
plant that will soon be in opera¬ benefit the gas industry. In the
tion that puts into practice the first place,
if atomic energy is
major step in obtaining pipeline used in a large measure for the
gas
from coal.
Thus, complete generation of electricity, it will
operating experience will soon be lessen their requirements for coal.
available on the large scale pro¬ Thus, we would be in a stronger
duction of synthesis gas by what position with respect to the pur¬
upgraded
in the future.
gas
There
also other
are
mate¬
raw
rials that may prove
important in
the future gasification technology.
One
of
these
is
lignite fuels.
These fuels,
have
we
of
many
understand, may
the characterstics
of the "brown coals" of Germany
which
non-caking
are
and
have
been
successfully gasified by the
Lurgi
We are therefore
touch, in a general
with methods of making gas
process.
keeping
in
a
chase of coal for gasification. Sec¬
has been
ondly, atomic energy may be used
in
gasification processes to ad¬
from
stated that this
motor
vantage. This may take
companies situated like ourselves
will be to obtain our gas directly
has
referred
been
conventional
herein
to
It
system.
as
plant will produce
gasoline at about 13.8 cents
U. S. gallon. The plant is ex¬
to cost $92 million when
completed, but this cost includes,
as we
understand it, coal mining
per
pected
well
as
as
housing and marketing
the path
of changing the structure of coal
or
the synthesis gas by atomic
in
respect to what Standard
some
Oil
Development
planning to do in their approach
to getting more usable products
from
There
another
is
approach
to
method
this
to
developed
were
which have
tried experimentally by the
several
been
ago
years
of
Bureau
Alabama
and
Mines
Their experi¬
indicated that "hydrofrac-
Power
Company.
ments
used quite generally in
industry, may further ad¬
vance the art of underground gasi¬
fication. The Stanolirid Corpora¬
tion and Alabama Power Com¬
turing,"
the oil
their own
primarily
using
pany,
have done further experi¬
funds,
work
mental
in
the
past year in
cooperation with the U. S. Bureau
This
Mines.
of
work
recent
pro¬
duced such
promising results that
the Bureau
of Mines has now ap¬
funds for further
search along these lines.
propriated
is
re¬
that this
lead to
production
of
a
low
Btu
gas
(about 100 Btu per cubic foot) for
less than 1 cent per therm, ex¬
It
quite
probable
cluding
the 'cost
of
the
coal
ac¬
quisition rights. Some of the ad¬
vances
in
technology
indicate
means of upgrading this low Btu
to pipeline
gas
quality which, it
would seem, would result in pipe¬
line
quality
gas
at
lower
a
cost
therm than any of the schemes
previously mentioned.
per
Other methods of upgrading gas
from
may
also
would
feasible,
prove
seem
taining
coal
gasification
underground
that
mining
without
gas
well be
may
and
it
method of ob¬
a
a
the
future possi¬
oil by radiation, or it
crude
might take the form of supplying
the heat required for maintaining
the
gasification reaction. Standard
Oil Development Company (now
Esso Research & Engineering
Service, letter of May
1955, states:
20,
"Atomic
Energy Commission is
keenly interested in the idea. It
sees
in this a potential economic
the
of
Mines
would
of
Bureau
AEC
and
jointly would do
design.
BM
the project when built.
research
the
The
atom.
run
and
AEC would foot the bill."
"Taking
actor
verted
a
be
re¬
con¬
of 250BM thinks this might
synthesis
fbr
done
from the
would
stream
Btu's.
300
be
to
heat
up
the
gas
10
about
cents
per
!3
Mcf.
Carbonization of
method
of
"The
synthesis
converted
Btu
over
pipeline
a
gas
gas
be
catalyst to 1,000
at a
radioactive
"No
could
cost in the
55 cents-75 cents.
range of
contamination
of the end product gas
is expected.
Disposal of the slag, slightly ra¬
dioactive, would not be a serious
problem.
"First step for the Bureau of
Mines as a study of refractories.
Low
Coal
of Coal
Temperature
Chemical
of
issue
obtaining
frcm coal, which I am men¬
tioning here primarily to complete
the
picture, is the method of ob¬
taining the volatiles from the coal
in
.
form
the
of
gas
by
low
or
Plant
ASME,
9 Oil
Jc
Dec.
Gas
13.
Journal,
July
19,
1954.
1954
the
for
ification Research
We
from
convinced
are
studies
the
of
future
Our
With
we can
sell
Competitive Position
Electricity
I believe it may be of
our
reserves
the
in
Summer Air Conditioning:
conditioning will un¬
doubtedly develop rapidly for the
home.
New
designs
of
gas(2)
Summer air
powered units have been,
or
being, field-tested and
expect
interest to
several
a
we
manufacturers
are
in
be
to
three and five ton
units next year. These sizes will
have ample capacity for homes up
production
quick look at our
position with elec¬
tricity, although a Vice-President
take
to
it
have
to
on
to eight to ten rooms. While the
life insur¬ first cost of such units for the
ance
companies in the United present may be in the order of 20
to 25% more than a comparable
Statesr recently
was
quoted as
electric air conditioning unit, they
;f*^ows:14
will in
general have operating
"The long-term threat of the
costs about one-half of that of the
electric
competition is, at this
electric units, based upon present
stage, a minor factor in the insur¬ information.
ance
company
requirements of
The operating cost of the Cole¬
high sinking funds in gas dis¬
man gas engine unit, according t©
tributing company bonds."
the manufacturer, will be so much
Basically we are selling a fuel, below that 01 an electric unit that
and
gas
is a better fuel than a home ownei would have a lower
electricity,
total cost if he bought the Cole¬
The following cost comparisons man unit than if he were
given
of gas with electricity for cooking an electric unit.
Incidentally, we
and water heating requirements, are
testing one of these in our
assuming that a three-wire elec¬ laboratory this summer.
tric service was available, pre¬
Other designs that are in the
pared by the AGA seem to bear
laboratory stage of development
out the above point of view:
have promise of both lower first
costs and
operating costs.
The
(1) For Cooking, Water Heating
AGA is actively sponsoring reand Clothes Drying:
search work directed towards the
(a) For Cooking—(One therm
development of these new ap¬
of gas is considered equivalent to
proaches to gas-powered summer
14.65
KWH of electricity.)
The
air conditioning,
and it is my
average cost of the most popular
understanding that a full-size ex¬
model range was $231.63 installed
perimental model of one of the
(new installation) for gas, com¬ most
promising new designs will
pared to $301.40 for an electric be built within a
year.
The sum¬
range (new installation).
mer
air conditioning
load is a
(b) For Water Heating—(One highly profitable one for the gas
therm of gas is considered equiv¬
industry since it is a completely
alent to 18.2 KWH of electricity
off-peak load.
of
that at the end of 20
more there will still be
or
if
gas.
A.
natural gas,
years
see
continue
motion.
ample reserves available to us.
However, our interest in gasifi¬
cation of coal
is only partially
directed
to
the long-term view
of what to do when natural gas
of
of
one
the
largest
gallons of hot water
The installed cost for
when using 50
day.)
per
give compara¬
ble hot water service was $138.07
a
heater to
water
for
gas compared to
electricity.
$184.71 for
1954,
page
Winter
(3)
considerable
circles
that
i»
There
Heating:
in
thought
the
summer
some
air
con¬
ditioning load is creating a winter
valley for the electric industry
with the result that some compa¬
Practice,
Light
disposal.
gas
is evident
It
sons
and
steam,
and
water.
or
work
to develop
necessary
economical gasification
and I know there are
many people in the gas industry
that feel
we
must proceed
processes,
promptly to develop pilot gasifi¬
cation plants that will accomplish
the above objectives. Under such
a
plan,
longer
when natural gas can no
supply our demands, we
efficient methods for
have
producing gas from coal at prices
that will allow us to maintain our
competitive
position.
As you
know, the AGA have a competent
committee directing research by
competent engineering organiza¬
tions along these lines.
In addi¬
tion,
an
other
companies who
have
general prob¬
devoting research to this
interest
essing
page
be powdered
coal
slurry of powdered coal
day.
per
interest,
113
companies
who
this
1,000
tons
As a matter of
we
have accu¬
assigned to
large resources
have studied
the gasifica¬
of coal.
From the research
mulated
tion
in
approximately
coal
general
a
is
apparent in the future
the
with gas has in¬
ritory
supplied
stalled
capacity sufficient to in¬
several times the input to
crease
appliances, whereas in the case
of the electric operated units, an
increase of twice the input to its
patents
with
being equivalent to.one therm of
gas,
then electricity at 20 per
KWH would be equivalent to gas
at
appliances may involve consider¬
able difficulty. In other words, we
do not have and cannot foresee
an
adequate piping problem
ilar
to
the
sim¬
electric industry ade¬
quate wiring problem.
respect
high recovery capabilities of the
gas water heater has outstanding
advantages.
(c) For Clothes Drying: The gas
clothes dryer, a desirable counter¬
part of the
the
Gas
Company
more
revenue
by Hall M. Henry,
Vice-President,
NEGEA
Service Corp.,
Cambridge, Mass., and presented before
the
Operating
Division, New England
Gas Associtaion, Bostoa, Mass., Jan. 18,
1955.
See
Gas Age,
March 10, 1955,
,
14 From
a
paper
per
therm, or $3.00 per
at about 90 per
therm for heating.
The
(4)
The electric heat pump
climates
ern
where
the
has
some
summer
requirements
ing
j
Pump:
,
Heat
Electric
in south¬
promise
air condition¬
are
high
winter loads small. In parts
and
of the
South, climatic conditions are such
that perhaps 7 KWH of electricity
be
equivalent in heating
capabilities to one therm of gas.
Thus, at 20 per KWH, the fuel
requirements would be equal at
140 per therm. In addition, it is
believed that the maintenance cost
may
to the trend to¬
wards modern automatic washing
machines and dish washers, the
With
300
MCF. We sell gas
its
of
Power,
Week, Dec. 11, 1954,
would
immediately the
that
more
present trend for "speed"
continues. Every home in our ter¬
if
1,
for
Coal
142.
stream
that we have rea¬
to carry on
research
even
Oct.
of
1948.
&
in¬
problems of surplus
and
The
of
by
13.
12 Business
resulting heavy
its
with
line
Operating
Costs:
Transactions
Carbonization
Processes, July, 1954
Engineering Progress,
November,
11 Electric
13 The
and
but
Objectives of Gas¬
Present
will
automatic washer, op¬
erates at
less than 20% of the
lem are
cost of operating an electric dryer.
same
question.
As you perhaps
know, serious thought is now be¬ (Incidentally, the use of an elec¬
tric automatic washer when sup¬
ing given by IGT, the Institute of
Gas Technology, to the building of plied by hot water from a gasa
pilot plant designed for proc¬ operated water heater, gives to
Devolatization
Fluid
and
Power
gas
F.
will
10 Economics
Another
coal,
trend
than
long-term
vestment and
bility.
D.
supply, let's
Therefore, we feel that we have
basic edge over electricity and
major domestic uses. All we need
is good appliances and good pro¬
Markets
to
Electric
the
to
Maintenance nies are now promoting winter
yearly operating cost heating to offset
Company) plans to spend about
this summer
for
cooking and water heating, peak. The electric industry has
$1 million in the next five years
is in short supply.
It is actually
including maintenance, would two approaches to this problem:
to find out what radiation will do
directed also to the following two
average $58.42 for the gas oper¬
for them. They are hopeful that
(1) Resistant type heating sys¬
very immediate objectives:
ating units and $106.55 for the tems, and (2) The electric heat
such radiation will give the oil
(1) The development of a gasi¬ electrically operated units.
pump.
%
industry a cracking process that
fication
process
that would re¬
All the above data are contained
is easier to control and one that
With respect to resistant type
sult in a cost of gas low enough
in a 1955 report of the American heating, one therm of gas, (assum¬
yields a better end product with¬
so that it would tend to establish a
out some of the expensive com¬
Gas
Association entitled
"Com¬ ing only 70% efficiency for heat¬
"ceiling" for the pipeline com¬
bustion equipment
that goes in
parative Total Costs of Gas and ing) is equal to about 20 KWH
panies to meet.
Electricity for Cooking and Water of electricity. Using
today's cracking units. Their find¬
individual
(2) To
permit adding
incre¬ Heating in Residences" which I thermostatic controls
for
each
ings may be also of value in ob¬
ments of gas, as needed, when our
recommend to you.
room
and radiant type heating,
taining gas from coal.
present
pipeline
facilities
are
The advantages of gas-operated some further advantage for the
With respect to "the atom to
loaded, instead of adding at one
coal to gas" possibilities, the AGA
equipment over electric equip¬ electric might be obtained, but
time the capacity of a new pipe¬
ment for these services should be even if it was reduced to 15 KWH
Information
use
method of gasification may
the
from coal.
is
Company^
C.
gasification that has been studied
for years and which may now be
approaching commercial feasibil¬
ity, and that is underground gasi¬
fication of coal. New approaches
other
fuels
believe
radiation which would be similar
facilities.
Underground Gasification
way,
a
have competitive
gasification. The rea¬
quite simple. We serve* a
state that has high coal reserves,
and their proximity to our mar¬
used
advantages
many
wonder why I
may
material for
approach,
therefore, cannot be ignored, and
especially so since the coke pro¬
duced
proper
Now that I have satisfied you as
'
mentioned
not
grade
now
the
that
HI
you
You
This
purpose.
comment
is the conversion of coal
synthesis gas which can be
tioned above.
relatively high price
char
a
Eastern
reached
in this
be
step
this
for
assured
synthesis gas to 1,000 Btu gas
more economically than that men¬
It has been stated
the steel companies would be will¬
pay a
fell
ratory now might result in proc¬
esses
that
would
upgrade
this
by tne workers in this field that
ing to
we
pected
that
the
synthesis
gas
might be obtained for about 3V3
to 4 cents per therm. (55 cents to
75 cents
per
Mcf of 1,000 Btu
gas is 5.5 to 7.5 cents per therm.)
Certain developments in the labo¬
at
gas
the
the future,
It will be noticed that it is ex¬
the
point where about 25% of the Btu
in
anticipate in
difficulties.
Yet they technology for an efficient plant
will be developed rapidly.
enthusiastic and optimistic."
are
but in general
disadvantage that their
economical operation depends
upon
the sale of by-products.11
Such schemes may develop to the
have
can
gineering
locations,
many
we
en¬
it provides
Company.)
than
far done and that which
so
more.
or
realize
AEC
and
work
Morgantown
months
take four
"BM
being developed in pilot plant
operation may prove feasible in
process
a
carboniza¬
temperature
These
therm
this cost.
crease
B.
of
end
that
advances
that
tion.10
now
Advances in technology thus in¬
dicate
medium
25
(793)
of
the
electric
heat pump would"
greater than a
considerably
be
gas-designed heating system.
The climatic conditions favoring
the above type of heat pump, are
not present in the territories such
and supplemental heating
Such supplemental
as
ours,
is
necessary.
would have to
resistant type
heating in which one therm of gas
would be equivalent to about 20
KWH of electricity. It is probable
heating generally
take the form of
that
be
supplemental heating
required
on
all
Continued
days
would
when
on page
26
26
(794)
The Commercial and Financial Chronicle
rnnfinvpcl
Continuea
frnm
25
Part
of
come
nnnp
jrom page to
frQm
■
_
TLa
luC
Iamiv Ti«NA
Lulftll" 1 MIC
9
.
much
.
fill IIA A1/
VlftftlUUK
#A*
1(11
350,000
'P||A
m sllir 31
illllllKll
1HC
USC
I
Vila
increased
load
will
existing cust0mers, but
it
will
the
from
come
customers expected.'
new
The
promotion, and
management problem incident to
obtaining loads of the above order
is obviously of substantial magni-
■
,
this
of
.
VUllirlrif
muilaliy
research,
"
30°F.
temperatures
below
are
The
cooking,
v/ater
heating,
home
and clothes drying are
operation of the heat
therefore, in our territory
would be a combination of straight
heating,
outstanding,
resistant
inherent capabilities to the changing needs of the customer. It is
pump,
heating and the heat
pump for days colder than 30°F,
and the heat pump by itself the
balance of the time.
On this
basis,
therm of garwould be equiv-
one
KWHoftkctVkity
-bout Sto W
cDOUt a to 1U
(5)
the
Gas
K.W11
Heat
newer
or
electricity,
Pump:
Some
developments
gas-powered
summer
of
of
the
condi-
air
tioning units have fine theoretical
possibilities with respect to application for year-round air conditioning using the heat pump
principle.
Theoretically, a gasdesigned heat pump may overcome
of the
electric's
by
the waste
instead of
many
advantages
heat
of
the
dis-
unit
progressive
it
does
research
studied
my
to
opinion
fit
that
operation
(2)
oi
the
gas
its
appliances
the minds of th
in
Th
fhP Ls
tb*
Gf
market
industry
*11
of
it
will
of
get
nowhere
thainvestors
*££
for
concern
gr/dually
was
0f
Gas
interest,
long-term
dential
tion
in
seem
evaluating
our
the
for
resi-
of
use
of
It would
outlook
gas, to determine
approach to satura-
reasonable
see
a
various
appliances that
might be expected 20 years from
now, and on this basis obtain an
will
be
The
20
30
or
of the
whic^
e^tTemely re'
s
The
h
point that thev
iabte
and
ovens
imnroved
tn
the
will represent the
M-
present
industry leaders are
aggressive and progressive
jn their thinking.
:
with
common
ljti7jti*
other
haveable to
and
gas
secure
built-in units
cooking by
gas
available
are
in the future
should hp the preferred svstem
now.
alert,
We
ready
n
h
,
.
the
upon
air
outdoor
source.
.
electric
™enJs m water heaters, ' house
heating equipment, and other ap-
voung
our
motor
In
P
territory. In the
system, the
electricity, which is a
in our
heat
uses
pump
ration of gas ranges is 95%, water
heaters 72%, space heating 38%,
refrigerators
8%
Ing^yor„durtfonS0,rtChe^Lera[^; d,yT„7*;
ctnfintF
nniv
the
a<f
annears
that
and
fuel
the
has
in
enerfv
annears
to
thp
ahnnf
be
powered
waste
as
thrown
units
converted
to
of
hpat
at
away
Tn
when
the
the
is
energy
premises
raiS? proportion^Tf
gas-
fuel
mechanical
the customers'
the
form
two-thirds
the generating station
at
Jf f.eacbed
fhirri
rtno
about
the
fuel
appears as waste heat. It can, in
this case, however, be' re-used in
the system for
heating
by
purposes
of the heat pump principle. Theory indicates that the
gas heat pumn could be inherentlv
means
a"!
schemes
studied
the
in
gas
heating
have
which
all
be
made
can
purposes and
an
the
heat
useful
for
which could
efficiency for heating
high
as
80%
of
as
now
100% instead of the 70 to
being obtained by conventional gas heating
systems.
Competitive Position
With Oil
It
is
desirable
another
will
gas
■
to
bring
out
that
develop if and when natural
supplies become depleted, and
which has
an
Ship with respect to
dllced
coal mav
from
rJ,™™
than
gas
fuel
to
heat
future,
to
the
home
extent
the
^ gas from coal, it
if. J" betwefn.,011 trorn coal
appears
now
our
competitive position with
oil will be better at
that time than
it is at present.
■
^
r
C. Load
Potentiality
the
cost
ated
advantages of
equipment.
recognized
item
that
his selection of
cost
with
i
is
an
is
only
appliance
one
it is
,
nf"nn
.°Wever' be
w
of operation
can
inherent
oper-
it
the customer in
u
superior
gas
While
cost
influencing
fcirrwi*;
capabilities
of
The
gas
for
involved
methane
caXj'n^om61!,^"!0
whereas,
for
ap-
major
■
^
to
be
irasoiine,
(CH,), which
staff
a
in
man
This
Spring
in
include
such
organiza¬
the
as
Pittsburgh ConsoliCompany, the M. W.
Company, Hydrocarbon
Kellogg
Research, Inc., the major oil com¬
panies, and especially the Insti¬
tute
of
Gas
Technology
receives
(IGT),
substantial ^sup¬
":.'7
I
the
such
result
a
the
of
that
manner
y
,
The product that the
gas indus¬
try has to sell is worth talking
about.
It
,
opinion,
on
is
good enough, in my
that if each customer
so
line who is
our
chase
a
about
our
about to
pur¬
range knows the full
story
product and that of the
But it cannot be assumed that
customer knows all about our
in
appliances,
will'
we
difficulty in obtaining an ~
ultimate, saturation of over 80%.
no
our
ap¬
he cart incorporate his own in- pliances. Therefore, we must ac¬
genuity in applying these princi- cept the principle that intensive
pies to practice and carry on any
promotion
further research
is
of
his
own
that
he believes would be desirable to
customer,
company's
bility in such
a
responsi-
program
must in-
meet
this
to
the
cus-
I feel that
of and will
responsibility.
Research
rcesearcn
Directed
ijireciea
lowara
hired 10. new graduates, -ostly
is
required—and
exactly what
we
that
going to
are
do.
(1) Under AGA: The PAR (ProAdvertising and Re¬
search) program of tne AGA is
motion,
directed towards the above
objec¬
Its basic function, since its
tives.
inception with respect to promo¬
tion and advertising, has been to
undertake
for the gas
industry,
those activities which can be done
only,
Toward
-
best, at the national level*
or
About
$11/2
million
have
,Abeen
spent annually in recent years
this phase of the program.
It
on
is
the
fnr
above
with
saturation
maior
nnr
annlianccs
have
a
a
proportionate share
of 'his saturation in the intervening
years,
annual
our
con-
sumption
per residential customer
would be
as
1ftR.
/
A
follows:
826
vet
finallrtS
As a tinai part ot tnis. cost,
fomers
actual
served
number
bv
thp
197q and
be expected to
-.975
q
t
rise'from
loan
inS
i
'
,
approx
"
now to almost
850,000 at the end of 1975, even if our
growth rate is slower than that
projected for the U. S.
*•
w*
*
j
™
*
«
1^.
Years Hence: From this
*
,
+
customer
researcb
basis
m
The
and
that
the
this
energy
and
industrial
"ofa^firnf loa^^u^d^onhfe
1975
h! 1? hi S
timi th! nJcIt
?"G"
present level in
i
as
^toSSl
ticipatea
and
well
to deliver to the customer,
our
Estimating the
a
company
as,
of research is to
assure and enhance the position,
of the company.
In its broadest
terms, this means we will have
hp
firm
Ptylng automatic computing marhmes for solving flow patterns
purpose
will
thf C0.mPany based upon the
sataratl0n and use figures previ-
™
ap
caused
increased
by
loads
house
sucn
heating,
as
and
the industry collectively, are fol- many others One of our research
lowing the same general pattern, engineers initiated the studies that
that
estimated
our
others in the industry,
consumption for
commercial
mains> automatic means of testing
meters economical peak load
vear
iq^
vparc
tivity
ac-
development 01 a metnoa 01
Northern
the
that
continuing
be a
separated
fit
comnetitivp
in
J|ad 1°
development , of the
Ser?c
,? storage system,
We have recently been conducting
vfry successful tests of a method
of sealing main leaks from the mSlde» at
nrirp
appiianCes that
will
the needs of
attractive
energy
in
,
a
great cost saving.
This
times
what
it
is
now.
do
over
PAR
program provides a general
pattern under which both manu¬
facturer
and
utility
designed to
the customer, be
(2) By
Manufacturers:
The
manufacturers are constantly im¬
product
research.
capabilities of
gas.
laboratories
and
:
(1) Research Directed Toward
Improving Appliances: Research'
directed toward accomplishing
these objectives is being done by
the American Gas
Association, the
000
per
year
level, and
in many
in
Los
6,000
and
the
rate
of application for
testing is - increasing con¬
stantly.^ The estimated sales for
such
-1954
of
ances;
house
the
three
ranges,
major
water
appli*-
heaters, and
heating - equioment
total
2,000,000, 2,250,000,- and 850,000,
-
respectively.
Thus, the volume
of
business is such that there is an
incentive for the manufacturer to
promote his product.
(3)
By
Utilities:
The
utility
must recognize that the
most elaborate PAR
program is of
company
and
<
In
1954, the
Cleveland
Angeles tested almost
appliances and accessories,
AGA
to take full advantage of changes maximum benefits
capable of developing the inherent in technology that will be of benfore, it should be
appearance,
and will
can
obtain the maximum benefit from
their promotional dollar.
type of research yields good re- lijttle value unless it knows
turn for the money expended, and many ways in which it can
°ur research program is designed used,
and
how
to
derive
use
be
efit to the company.
utilities'
(3) Research on Gasification of
Coal: My previous remarks indi-
the
be
the
from it. There¬
a
part
the
of
design
promotional
to
program
its- own - activities to fit
into the over-all PAR program so
far as it is consistent with its own
cate the active research that is
being directed towards gasifica- -requirements.
-
o
one-half
a
space - sharing
encouraged manufacturers
$l1/4 milion of adver¬
tising on their own in 1953. This
to
oroblems
.iypical 01 50016 01 ine Pr°Diems proving their products, and one
own company has been indication of this is the demand
instrumental in solving are: eco- made upon the AGA laboratory
nomical
high
pressure
storage for approvals for new appliances
methods, improved methods for and
improvements
of
present
prolonging the life of existing products, and extension of new
'
indicated
through
plan
that our
„aPt^gas°fgengearSat/nr^
gas gener ahngequ:.pment
rus-
mately 500,000
f
has
»
erations of the company. It cannot b<= "turned on and off like
™lCT out of a faucet." We are
as
have° esSted lul fus-
for
Experience
^annefwith'reTpe^to^Tst
Tperetion and maintenance
and
from the
™ry}nS pressure of the usual op-
of
Illinois Gas Company for the
we
A- Vigorous Research
StaWl resea?c™t
a whole. From this data, starting
the
ftUJII nl
clurse is to get gas to uie cUSTomcourse, is 10 gei gas 10 the custom
«
are
doing about them.
estimated for the United States
va*™
agement effort should be made
iVu
n
United
,A\
which this man-;
1,501
\i
Population Growth Effect:
m0
in
presentation, I want to tell you
we and the industry envision
these problems and what we are
——-
t>
with
Probably the two most important directions
1,423
-
j>e 'done by the utility Itself since
it knows best the difficulties that
maximum potentiahties.
well conceived and administered
a
designed to realize their are encountered m meeting the
how
1,270
l"9
v
Sas. companies
management development
i™?™8
promotion.
.
1954 (Actual)
1960
I979
most
epnsiaerabie research in thil
researcn in tnis
activity guided by the top men of
field is being carried on by the the
industry. Its advertising pro¬
manufacturers of equipment and gram
to a certain extent by the AGA,
yet certain portions of this must
ods,
as
shown
by
the
following
,
Coal
manufacturer
research
V.'
■
research in
competitive
TgueTnt of aPProximateiy 20 atoms
tion of coal. "The problem is being
into
one^mli an? 9* a,toms of carbon
That
have tremendous load manufacturers of the
equipment, studied by many who are leaders
from coal systems"5
to mlyqUk^owiSdCh
a1 Posslbilities is thus apparent. In and the utilities themselves. The in the field of research.
fiot offer
The
the
economy of operaJon e'that
our residentialk load alone is AGA research on appliances is Bureau of Mines is active in
the
*ystem!ctefd j!f°— some o{ the newer estimated to be about three and being carried on at about a $200,- development of
aming: gas from coal.
gasification meth-
tions
dation
'.l-'v-d
..
.
engaged
field
have
have
we
I.T
Others
.
this
The work done by the AGA is
designed to make available to the
utility
is
one
supplies."
Zoning,
suPe.rvisofy Positions in meet the needs of the
engineering in various
The
morrow.
given for 1975 and assuming we
u"! molecu,e of half'
itTakfrVl^'
large
a
-
®.usly mentioned.
I8
TeTiy ^to'point' out^haf
is
sufficient
what we want
our
lower annual residential
Projection we have
.
this
wie
Using
as
combined
performance.
'
be
197Wo
—
1955
(1) Advantages of Gas Operating Equipment: I have
indicated
ager
_____
tomers
7
pe-
One is now a District Manjn charge of all commercial
S
engineering schools, and we
Gas Ranges and Water Heaters 80 believe that they are an outSpace Heating
75 standing group from the viewGas Clothes Dryers
25 point^of
academic
attainment,
Gas Incinerators
12 extra
curricular
activities
and
Gas Pueled Air Conditioning-- 10 leadership qualities. We in com-
In thl
that
en-
con¬
coal-to-gas r^searcfo. in~
cooperation
with
industry .with^
aim of supplementing natural
gas"
_
from^ coaii5
or
that
in
P^ces by 1975:
J
ore
customer reouires
hif
19
1945-48
and operatl-ng functions in
1975
wherfthe
Thus
"relet
mate saturation of
be consider-
produced
the
of
Under the above conditions, we general course college graduates,
woyld expect the following ulti- who will be the leaders of to-
Present
oil
Tn
re-
?,ve as g(J°j Sas appliances, trial Gas Sales Engineers. Finally, known to be of value
adv^ntageo^
WG arG att.racting a higb type
tomers in its territory.
aayanlageously as our competitors. young engineers, accountants and the utilities are aware
comoeti-
our
progress
hfred
assume
reviewed
reajonable approximation seems ?ur operating Vice-President's of- elude methods that will encourage
flce generally assisting the Vice- manufacturers to
put into producp0?flble- 1 am a5sumlng tbat WG President; and three are Indus- tion those developments that are
important relation-
five
position
with
oil
technology indicates that
riod
appreciable satura
the
" are,-in
wou/° .react in 19 m to InecTId operating
specuiea
condltl9ns as he would today, and districts;
would
would have
tjitnntinn
interesting
Cently
I
future saturation of the geographical area; three are suabove appliances will depend on perintendents, responsible for all
a number of conditions, but if it operating work in district areas;
fig„rPe
^
B. Our
clothes
f f Present tlme.
heating value of the fuel used
elertriritv
of
oKrtnf
and
their ability to
responsibiiity.
He says Bureau is
.
sidering
„
our
effectively
projects.
.
the
on
Utner developments are under
way ln
f,
laboratories tnat B. Intensive
Promotion
will result in further lmprove-
over
a
of
consolidated
port from the AGA.
ourShareofale?t
eraduPrances, as well as improved utiliY engineers
the last decade
for its heat
zatlon of gas for industrial appliThe result is estimated of what
future resid bjLuse of
exoansion have cationsHowever, the AGA's masystem that is not dependent dential load
might be. At the heen fn
^osition to offer them jor effort and outlay at this time
Tnncvth^dUthSprpW wonidwnrk
WG ^ f iguresf t0 rapid promotion as they, in turn, jf.fin the field of summer air coneCwivinr
rr
indicate that our company's satu- ev?denPed
depending
Spotlight"
gasification
of coal relating to production of
synthetic fuels and other fuels
which
*
.
be
Bureau's Research
any range now on
slipping
from
years
"Utility
will
that is
range
Increased
Fuel:
the
ap-
L°P burfrs.„<as well as the oven
in
manufactured
from
May 19, 1955:
the market. It could have burners
^ operate over a range of in-•
F
°
i«ULr! r?
PGF k°UI
'
.16,000 - Btu .-per Jiour
tbismore ub to PerhT a decade and effident
score
when the industry
•,
^
actual
an
to
findings
Thursday, August 25, 1955
.
"Secretary of Interior Douglas
pliance so that the manufacturer
McKay d e d i c a t e s'..Bureau of
can better visualize how the im-'
Mines'
Appalachian
Experiment
provements could be incorporated
Station, new fuel research labs at
in their products. As a result of
Morgantown, ;West Virginia, in
this research on ranges, the near which
on
Loads into obsecurity. I don't think that
Customer Based Upon Cost there is cause for similar concern
Advantages and Inherent Capabil- now, nor do I think that there
of
incorporated in
or
predominately
carried
is
their
temperature
per
ities
research
where
3
opr^
these
think
i
supnlv
a
for
the
^va^ta/e
adJahnat3f
gas
Estimated
point
far superior to
,
jnt?redients
J1he * g
these
he* JpSLaTt'sappliancel
uie
outstanding
customer.
IV
Management
take
industry, through its AGA and
other programs has the progres-
a
using
but
the
are
future should
tude.
outside
their
cases
..
The
gas
T.
changing attitude of
utilities
Arden,
ance
was
expressed
President,
Manufacturers
16 Gas
Age, Jan. 13,
Gas
many
by
T.
Appli¬
Association,
1935,
page
43.
■
\
Volume
Number 5458
182
Executive
and
.
.
The Commercial and Financial Chronicle
.
Vice-President,
Continued
jrom
Robertshaw-Fulton Controls Com¬
in
pany,
of
the
Jan.
1955
13,
Loading of revenue freight for the week ended Aug. 13 in¬
9,945 cars or 1.3% above the preceding week.
,
According to ."Ward's Automotive Report" for latest week
ending Aug. 19. Model changeover shutdowns enveloped seven
4
page
creased
issue
"Gas Age"—
"Utilities More
other
sign
level order volume for
The
construction,
railroads, farm implement makers, appliance manufacturers and
to concentrate on build-
requirements of the auto industry. There will be enough
incessant steel demand to support 100% operations for some time.
record
position to reach 100% operations in the
are not completed—hurricane rains
one large steel plant on its ear this week.
.
More rehabilitation is needed to put equipment in tip-top
But
■
appliances
selling of gas
closer sales coop¬
or
set
is
It
this
activity
the
at
con¬
in
are
no
Repair programs
Steel deliveries will slip further behind in September and
shape.
level that actually puts the
mills
future.
near
eration with dealers."
sumer
piled upon the
from hundreds of miscellaneous steel users will be
*
direct
to
sheets, bars, stainless and other products.
output will be even with or ahead of last
car
During the balance of this year demands from
ing their fuel distribution systems
and converting to natural gas are
back
of 1956
pace
year's fast tempo.
of those who left this field several
now
backlogs will mount.
appliances in the customer's home.
Sales campagins and promotional
ingots have been unavailable.
incentives have to be worked out
ingots is hard to find.
utility
There
Under
and that of the
manufacturers, effective sales re¬
the
by
company.
it
as
has been
in
was
the PAH program
our
sults
Warehouses
expense.
There
is
tions
conclusion
let
me
the natural gas
ing business through vigorous re¬
search
and
intensive promotion,
taking
the
now
Mr. Earl L. Tornquist, Re¬
Engineer, Northern Illi¬
nois Gas Company, in the prep¬
aration cf this paper.
by
.,
NOTE —The
1955 session,
College, Beloit, Wisconsin^
I
Form Denver Sees. Inc.
DENVER, Colo.—Denver Secu¬
has
with
Seventeenth
in
to engage
Officers
formed
been
711
at
securities business.
a
Street
Howard R. Christian¬
are
President; Howard A. Chris¬
sen,
Dibble, Secretary-Treasurer.
with the firm's
staff are LeRoy V. Dolsby, Oscar
„
;Also associated
S.
Herrick, Raymond J. Lay, Dean
C.
Bernard
Sanders and
O.
This
.
canaHty
206,000
for the
tone
90.2%
Pa. — Key¬
Company,
Inc.
Securities
the
Witherspoon Build'n<*
in
gage
ficers
formed
offices
been
in
Of¬
aie
Henry
opxegei,
Treasurer
Spiegel, Vice-President
Louis
Sec¬
and
retary.
;
W. A. Koenig Opens
JACKSON
William
A.
HEIGHTS,
N.
Y.—
has formed
Koenig Company with of¬
A.
W
Koenig
fices at 86-10 34th Avenue to
and 2,176,000 tons
an
Meade & Co.
Jack
as
the
week
like
Co.
and
securi¬
at
York
New
firm
a
offices
from
Street,
the
under
A
Sol
name
of
55
City,
Meade
the rate
was
Meisler
41st
The
pattern for both Ford and G.M. Corp. this year is to
operate full-tilt right up to model changeover time, rather than
to ease off for inventory reduction purposes as in
previous years,
Ward's stated.
statistical agency said that Plymouth and Ford plants
scheduling changeovers within the next 10 days, completing
such time tables for two of the Big Three producers.
The
are
Ward's
tions
Opens
Incorporations Dip Sharply During July
period.
during
July,
according to
Bradstreet, Inc.
It
was
26.7% above the 67,299 for the similar period last
Scores
the
Fifth
a
New All-Time High Record
Street,
New
City.
that
better
than
8,500,000
car
and truck comple¬
plants in 1955, topping the all-time
8,019,160 established in entire 1950.
distributed by the electric light
Aug. 10, 1955,
high level at
according to the
and power industry for the week ended Saturday,
was estimated at
10,812,000,000 kwh. The previous
10.925,000,000 kwh. was attained week of Aug. 6,
Edison Electric Institute.
This
week's
Business
'
week
a
output
increased
83,000,000 kwh.
above
that of
the previous week, when the actual output stood at 10,729,000,000
kwh. It increased 1,605.000,000 kwh., or 17.4% above the compar¬
1954 week and
2,380,000,000 kwh. over the like week in 1953.
Loadings Rise 13.2% Above Corresponding 1954 Week
a Decrease of 4% Below the 1953 Week
York
Loading of revenue freight for the week ended
Aug.
13,
1955,
the Association of American Railroads an¬
nounced Aug. 18.
This was an Increase of 90,125 cars or 13.2%
above the corresponding week in 1953, but a decrease of 32,225 cars
or 4%
below the corresponding week in 1953.
totaled
775,397
and
Failures Rise
industrial
Considerably
failures
rebounded
216
to
in
the
ended
Aug. 18 from the preceding week's low of 169, re¬
ported Dun & Bradstreet, Inc. Despite this upturn, failures were
below the 246 of a year ago but well above the 1953 total of 122.
Continuing below the prewar level, failures were down 15% from
the 253 in the comparable week of 1939.
Failures
involving liabilities of $5,000 or more rose to 176
last week, but remained below the 213 a year ago.
failures, those with liabilities under $5,000, increased to 40
30 in the previous week and exceeded the 33 last year.
from
the
Small
from
139
Fourteen
of
against 19
the
failures
had
All industry and trade
.
_
liabilities
of
$100,000
or
more,
as
week ago.
a
groups except wholesaling had higher
failures during the week. The toll
among manufacturers climbed
to 40 from 31, among retailers to 99 from
77, among construction
contractors to 38 from 19, while failures in commercial service
edged
to 18 from
up
There
25.
17.
Wholesaling failures dipped to 21 from
than last year in all lines except
fewer failures
were
construction which had
moderate increase
a
Wholesale Food Price Index
The
wholesale Food Price
over
the 1954 level.
Slightly Lower in Week
Index, compiled by Dun & Brad¬
street, Inc., went slightly lower this week following two successive
advances.
The index for Aug. 16 registered
$6.23, against $6.24 a
week earlier.
It compared with $7.07 at this time last year, or a
drop of 11.9%
.
Higher in wholesale cost this week
were hams, bellies, lard,
butter, eggs, potatoes, raisins, steers, and hogs. Lower in price
were
flour, wheat, corn, rye, oats, barley, coffee, cottonseed oil,
cocoa, beans, rice and lambs.
t
The Dun & Bradstreet Wholesale Food Price Index represents
the sum total of the price per pound of 31 raw foodstuffs and
in
meats
general
It
use.
is
not
a
cost-of-living index. Its chief
of food prices at the whole¬
function is to show the general trend
sale level.
Wholesale Commodity Price Index Shows
Moderate Drop in Week
The
general level of prices moved moderately lower this week
Daily Wholesale Commodity Price Index, compiled by Dun
& Bradstreet,
Inc., finished at 273.02 on Aug. 16, down from
275.18 a week earlier, and comparing with 274.18 on the corre¬
The
sponding
date last
Grain
year.
markets, continued to trend downward, reflecting
huge surpluses of grains
near-record
or
yields
as
for
the
of July 1, and the prospect of record
all crops.
Corn suffered the widest
losses
during the week as offerings increased and demand for the
yellow cereal remained limited. The government's August report
estimated
corn
production at 3,478,000,900 bushels.
This was
and
cars,
the
Trading on the Chicago
Soybean prices also declined under selling prompted by
outlook
for record
Board of Trade
futures
this
yields of both
was
week
heavier.
averaged
crops.
Purchases of all grain and
54,400,000
bushels
per
soybean
day, against
47,300,000 the previous week, and 56,600,000 a year ago.
Spring Wheat Flours declined
Prices for
steadily during the
narrowing the premium over hard winters considerably.
Dwindling balances resulted in some bookings of Spring Wheat
flours but buyers generally held aloof in the belief that pressure
of new crop marketings will result in further declines. Roaster
demand for Coffee was slow and prices continued to work lower.
Weakness reflected fears of Brazilian devaluation of the cruzeiro
week,
and the general
be
Consecutive Week
But Show
engaging# in
said
in prospect for U. S.
are
record
more
The
belief that supplies for this season and next would
than ample.
Cocoa
attributed
to
a
again easier with bearish sentiment
in selling prices in producing
lack of manufacturer demand. Warehouse stocks
market
further
was
reduction
countries and
a
of
reported at 246,484 bags, down from
cocoa
were
and comparing with 108,659, a year ago.
and developed a steadier tone in late dealings
ago,
249,900 a week
Lard was irregular
aided by a moderate
improvement in export trade. Hog values were steadily to slightly
under light to moderate receipts and an upward trend in
firmer
wholesale pork cuts as
were
is
its
slightly above the July estimate, 17% more than last year's crop
of 2,965,000,000 bushels, and the second largest of record.
Oats
year.
able
Scl Meisler
East
ago
the national credit agency:
New charters issued during the month de¬
clined to 10,893, from 12,605 in June, a drop of 13.6%. The July
figure, however, was the largest for the month since 1946, and
compared with 9,409 in July a year ago, or an increase of 15.8%.
The volume of new corporate formations for the first seven
months of 1955 climbed to 85 250, the highest on record for the
Dun &
,
securities business from offices at
4
month
1955 is
1, 1955.
sharp falling off in the rate of new business incorporations
occurred
Car
.
a
The amount of electric energy
Paul
and
engaging in
business
ties
ago.
of Jan. 1, 1954.
New Business
Electric Output
Opens
Dinoffer
A.
are
William
week
annual capacity of 125,828,310 tons as of Jan.
For
Richter
a
industry's ingot production rate for the weeks in
on
en¬
in a securities business.
gage
an average of 91.4% of
beginning Aug. 22. 1955, equivalent to 2.ingots and steel for castings as compared with
industry will be at
week
90.7% and pro
duction 2,190,000 tons.
A year ago the actual weekly production
was placed at 1,515,000 tons.
The operating rate is not comparable
because capacity was lower than capacity in 1955. The percentage
figures for 1954 are based on annual capacity of 124,330,410 tons
^rtfox-
and
under
Steel Institute announced that the op¬
****-
securities business.
a
to
and
dent
with
of
(revised)
For
PHILADELPHIA,
strong
In the
1955, automakers received 23.9% of mill shipments
with 18.9% in the corresponding period
capacity of the entire
based
has
It's
rate of steel companies having 96.1% of the steelmaking
erating
Weaver.
stone
of
industry is a big reason why steel is in
year it increased its rate of take by 26%.
The American Iron and
The
Forms Keystone Sees.
the books and current demand.
though the construction industry (including mainten¬
ance) has been running pell-mell this year, it is not taking so
great a portion of the mills' output as it did last year. It took
11.4% of mill shipments of finished steel in the first half of this
year, compared with 14.2% in all of last year.
As the summer has progressed, the construction industry has1
strengthened its demand for steel—largely structural and plates.
Demand for these products is being accentuated by two consumers
which just got back into the market—railroads and shipbuilders.
The scrap price climb that started in June and carried the
market up $9 has halted. "Steel's" price composite on steelmaking
scrap edged down to $43.83 a: gross ton from the preceding week's
$44.17. Unchanged is "Steel's" price composite on finished steel
at $127.41 a net ton.
tiansen, Vice-President; and Keith
H.
on
Even
Life Officers
Inc.
metalworking
of finished steel, compared
of last year.
delivered by Mr.
paper was
Chandler before the
offices
of
are about over, chances for seasonable
improving and good progress is being made in repair¬
auto
half
first
fore¬
Investment Seminar,
The
demand.
search
rities
magazine
merely the highest that producers can get their production up to.
of the great assistance rendered
EDITOR'S
are
is less indicative of orders
Acknowledgment is made
Beloit
weekly
.
necessary
steps to assure this end.
going
known
ingot production rate 91% of capacity.
After registering 97% at the end of June, the rate toppled to
the low 70s during the steelworkers' wage negotiations.
It takes
time to recover from such a slump — recovery was slowed by
summer vacations and extremely hot weather affected both equip¬
ment, men and equipment repairs. July's output averaged 85.4%
of capacity.
* " *
Order backlogs and new demand are bi? enough to support
a production rate as high as producers can attain.
The 91% rate
is fully aware of the need
of good
management to realize
the; full potentialities of its grow¬
NOTE:
well
the
national
try
is
week, the statistical agency said, and operated only
all-time peak 91,000-unit level reached in July
and April-May.
9%
Commercial
ing equipment that went through vigorous second-quarter usage.
Upturn in the week ended Aug. 21 was 1 point, making the
as¬
emphatically that
distributing indus¬
most
volume this
overnight."
weather
*
then,
Lincoln, also in changeover, is recording slow-
changeovers until mid-September,
Corp. plants accounted for 57% of industry passenger car
G. M.
their secondary steel.
Steelworkers' vacations
*
#
and
on
screening their customers. Daisy chain operators
latched onto large tonnages of steel which they
reports that steel production rose for the first time in four weeks.
Toe outlook is for the best operations since June.
this direction.
you
not
"Steel"
ing of the industry in general, and
that we are all moving ahead in
sure
keeping close tabs
are
are
Mercury plants.
motion'56 model output..
Not scheduled for model
But if current market condi¬
much tighter,' it is certain that premium markets will
get
flower
to indicate that such is the think¬
In
firms
of 5%—and the all-time peak of
216,629.
Joining DeSoto and Chrysler in model changeover this week
Dodge, plus the Nash and Hudson Rambler output and
were
could easily sell at premium prices.
evidence
every
Finishing mill space for purchased
Foreign steel is not a factor in this boom—
past. The opposite is the case. Europeans want
the
have
far
so
appreciable gray market tonnage because
no
steel.
Steel
possible at a minimum
Such programs geared to
the tempo of our competition must
be designed and intensively pro¬
are
moted.
this week, plunging domestic car-truck output 24%
industry's 11-time high, recorded April 25-30 this year.
Ward's Automotive Reports counted
163,804 car and truck
completions this week compared with 172,695 last week—a decline
under the
beginning of a
gas utilities to their former status
as
aggressive
merchandisers of
gas appliances.
Apparently many
years ago
makes
car
Aggressive: An¬
times is the
return by many
the
of
27
(795)
the result of cooler weather.
mostly steady, while sheep and
Cattle prices
lambs trended higher.
prices were irregular and showed little net
Early easiness was influenced by the unex¬
pectedly large official crop forecast and uncertainty over the sur¬
plus disposal program and the government's export plans for this
season.
Helping to sustain the market were reports of unfavor¬
able rains over some sections of the belt, and moderate priceSpot
Cotton
change for the week.
Continued
I
on
page
29
I
28
]
(796)
The Commercial and Financial
Chronicle
Thursday, August 25, 1953
..
Bank Use of Funds Slarted
Are YOU
Mutual Funds
Interested In
National Growth Stocks
Series
stock mutual invest¬
fund providing a supervised
investment in securities selected
GROSS SALES of Delaware Fund
shares in July amounted to
J
|
common
dealer
National
Securities
the
were
the
in
largest for
mutual
j
They
of
than
more
sales
|
represented
of
400%
fund's
$430,516
over
in
same
last year, and were 71%
greater than those of $1,344,541 in
June/1955—the fund's best previ¬
&
Mr.
for
30
of
$5,596,683
Wilkins
the
the highest
1930
Now York 5,
Broadway,
Repurchases of shares, said Mr.
Nelson, which have been running
I
Now York
I
ilar
reaching
a
compared
substantially below those
of
for the mutual fund
industry as a
whole, amounted to only $117,686,
or 5% of sales, in
July—the lowest
redemptions in any month thus
Gross
3eorye
months of
July
1955
the
also
first
They
amounted
to
Feb. 4
to
June
30, the
corporation reported.
The
increase
a reserve
—*—-
share
a
of
of
approximately 5 cents
for Federal
unrealized
on
exclusive
was
income
taxes
appreciation of in¬
vestments.
-
Keystoneruna
Shareholders
gain
was
initial
which
non-recurrent.
of the
heavy
are
"With
sub¬
largely
these
out
way," thg report continues,
A
fully managed Canadian
Company seeking
long-term CAPITAL GROWTH
cash
surplus
profits."
from
TAX BENEFITS
it
under Canadian Laws
is
expected
the
corporation's
invested
in
about
funds
60%
the remainder in fixed-income
The Keystone
50
Company
curities,
Cmigrens Street, Boston 9, Mass.
may
Please send
though
the
of
will
stocks
common
the
prospectus
describing
vary
total
assets
it
///\v.s7
in
ATOMIC SCIENCE
f/iroi/iih
or
was
Fund
re¬
in
its
Donald
interim
an
of
than three months
Fund began business its
$543,000
from
on
$117,000
in¬
April 28, 1955—the date
on
of
out
The
to
the
Q
is
a
in
•
in
he
this
example,"
Mr.
Scott
If
persons.
develops, it will
and
when
assistance
to
of¬
can
much
a
larger
.
such
as
M.C.S., it is not likely the banks
would be able to service
small,
individual
pension
situations.
Without
M.C.S., such a service
would simply be too expensive to
administer."
Mr. Scott emphasized that the
Mutual Custodian Service is basic¬
ally
method in which banks
a
increase
their
services
can
to
the
smaller account.
He said commercial banks have
need
program
know
ever
the
of the bank customers who
names
become M.C.S.
cross-section
a
United
net
companies
and
related
in
the
scientific
fields."
Funds
assets
455,744,
participants.
Canada
to
rose
of
as
a
July
Ltd.:
total
31,
Total
of $12,-
the
1955,
end of the first fiscal year, an in¬
of 80.52% over the $6,900,-
crease
Up $10 Million
Total
net
assets
of
Mutual Fund, Inc. reached
ord
000
American
a
rec¬
high of $25,756,729 at the close
of the third fiscal quarter on
July
31, 1955 compared with $15,511,107
the
on
a
share
per
during the
from
date
same
same
ago.
year
net
asset
$7.18 to $8.99.
additions
to
the
quartet
ond
C
u
11
e
r-H
sec¬
stocks of
are common
a m m e
Net
from
the initial
asset
crease
Inc., Great
Northern Railway Company, Hal¬
liburton
Oil, Well
Cementing
Company, Lincoln National Life
r,
Insurance Company, Masonite
Corporation, Owens-Illinois Glass
Company, and United Air Lines,
Inc.
of 31.83%
offering
price
number
of
over
of
$11.50.
shares
from
the
portfolio
were
the
New
Guaranty Trust Company of
York, Idaho Power Com¬
and
Motorola,
in¬
Total
outstanding
834,010, up 39% over
600,000 shares of the original
offering.
Proceeds of the
initial
offering
of shares became available for in¬
vestment
by
Dec.
in
15,
September, 1954, and
1954,
90%
over
Inc.
had
been invested. Since then
approxi¬
mately
have
95%
stock
common
of
been
put in
Canadian cor¬
porations.
Largest industry group held in
the company's portfolio continues
be
the
metals
and
mining
stocks, at 22.77%.
Other
common
shares of Colgate-Palmolive Com¬
pany,
was
an
the original
to
period
un¬
Sept. 13, 1954.
value per share
on
$15.16 at the end of July,
fund's
portfolio since the end of the
received
derwriting
amounted to
value
period increased
in
the
principal industry groups
portfolio
oil
struction,
and
gas,
pulp, building and
paper and
con¬
are
and
banks
and
trust
companies.
Manhattan Bond Fund, Inc.
<0
EATON & HOWARD
variety of
EATON & HOWARD
BALANCED FUND
STOCK FUND
Diversified Growth Stock Fund, Inc.
participating
Managed bp
resulting
EATON
Prospectuses available
these
IJIIIIC BEVELOPMENf SECURITIES CI
mutual
local
mm FACTS AND FACE
PROSPECTUS
investment
on
funds
through
ftrms, or:
STREET, N. W.
•
3,
'..Hi
New
•
Jersey
established
Prospectuses from
—
.
HOV\RD
833 Montgomery Street
BOSTON
BOSTON
•••:•,-
*
WASHINGTON 7,
S4 Federal Street
incorporated
Elizabeth
&
INCORPORATED
HUGH W. LONG AND COMPANY
your
SAN FRANCISCO
1914
Investment
Dealer
the
or
above.
D. C
r ."
■i.
"
i
•'
!
♦.» •••
•
'■
..
I
'."V'.-'f
't
...
1
1
.it
■>
i
\
i,
liAt'r
•'
•>('.'
.
A.
■
•'
fi
'
,
•
iu'v—■•;! t
th-s'...,
m
i
y>"t.
r
,ni *.!i
if.I At*'"
fn
;v'»f)(rr
"i
-
'L
.
.ti
-:ni
.
■in:."
;r-n—?,u:»r
*
whole
field in which banks
fer
benefits
American Assets
;
said,
open a
segment of the public.
"But
without a plan
the
New
leading
Diversified Investment
Fund, Inc.
FUND, Inc.
in activities
t
the
,
from Atomic Science.
,
to
Reports
The
continued,
managed investment
ton THIRTIETH
related
many
be
vastly
a
of pension and profit-
DEVELOPMENT
companies
•
related
Eliminated
designed to provide
a
include
According to Mr. Scott, the bank
may also act as trustee for cus-
pany,
ATOMIC
advantages
to
adopting
M.C.S., Mr.
said,
during the
lygj
serv¬
possible
in
Scott
registration.
assets,"
invested
40
to
a
MUTUAL FUND.
MUTUAL
broader field of
a
re¬
Fundamental Investors, Inc.
iMI
economically
F.
shareholders.
to
in
last,
came
"are
on
m
assets
months,
increased
nuclear
July 31, 1954 to $12.53 on
July 31, 1955, an increase of 29%.
up
banks
In¬
$426,000,
Nuclear
more
"These
of 49%.
Net asset value
share increased from $9.68 per
share
Mutual
do
ice to banks."
of
shareholders, said that in
31
itially
a
crease
per
of
reported
re¬
reached
high of $1,505,511.45 on July
31, 1955. This compares with $1,005,549.90 a year earlier; an in¬
State
of shares
and
net
Bishop,
since the
July
INVESTORS
net
&
the little
new
...
total
three
port to
se¬
opens
the high¬
were
funds
manage smaller accounts, their use
that
and
percentages
mutual
Mutual
-
offer
now
by the recently organized
assets
ported
i
Qty
corded
Mr.
in the light of develop¬
SOVEREIGN
Address
in
Bishop
Keystone Fund of Canada, Ltd.
Name
274%
be
ments.
mc
in
announces
customers.
Science
that
Corporation,
specialists
INCREASE
first
says,
expense
for certain desirable types of trust
custodial
accounts.
Because
any
operating
By the end of the year, it
high at
new
the accumulation
AN
"the second half of the
year may
be expected to show a substantial
Investment
certain
items
told that the
despite
including
expenses,
stantial
ofC anada7I_(tcl.
were
achieved
and
can
found in recently revised tax laws. been
particularly successful in
Fund, Inc., totaled $9,"Prominent among these," he broadening their scope of services
690,069. This compares with $8,and added that M.C.S. is geared to
continued, "are plans involving
190,709 for June, 1955, and $5,irrevocable income trust funds and facilitate similar customer services
990,265 for the same month last
for even the smallest banking or¬
reversionary trusts which can of¬
year.
ganization.
fer
substantial
tax
savings
to
First Investors Corporation re¬ modest accounts as
Mr. Scott listed two
well as large
important
ports that its Periodic Payment ones."
factors contributing to the early
Plan Explained
acceptance of his plan by a num¬
Plans, approximately half of which
ber of banks, and the
Under
the
probable
Mutual
are sold with life insurance to as¬
Custodian
adoption of it by several others in
Service,
the
cooperating
bank
sure
completion in the event of
the near future:
buys and holds for its customers,
the Planholders' death, are ex¬
shares of any mutual fund of the
(1) M.C.S. need not compete nor
periencing a rapid growth in pop¬ customers' choosing. These shares interfere with the bank's already
are
held for safekeeping by the established trust services.
ularity as the public becomes in¬
bank, which also collects and rein¬
(2) Neither Randolph Scott &
creasingly aware of the financial vests
dividends, and maintains tax Co. nor the organizations sponsor¬
problems created by inflation.
and other records for
participating ing mutual funds purchased under
Electronics
from
York,
Wellington Fund
Corporation
by $351,440 — or from
$9.15 to $9.29 a share—in the pe¬
riod
time
the
vestment
increased
and
INVESTORS
of
for
on
I
&
relieve banks of the
can
considerable
total
month in its 25-year
history. Share sales, plus commit¬
ments, under First Investors Plans
THE ASSET value of the Axe Sci¬
ence
tion, they
that
month
of
program can
include
to
area
employed
new
manage¬
service
part
no
v
*
the
"there may eventually be legisla¬
tion allowing pensions for self-
problem," Mr. Scott
"By providing built-in
normal
a
M.C.S., the
"For
un¬
obvious
an
provide
children.
services,
sharing trust services which may
develop out of future legislation.
ac¬
and
est
July 31, last, to
high of $33,196,368.
all-time
an
ftriXAM Fund Dist*ibuto*s, Inc.
smaller
these
receives
expanded
investment
to
to
and
services banks
larger
to administer.
to the
answer
similar
Fund's
record
a
1930,
its July, 1955 sales
sales, combined with
market
appreciation of portfolio
securities, boosted Delaware's to¬
assets
and
necessary to establish and main¬
tain
sound
investment programs
New
net
Custodian
FIRST
The record
Street, Boston
the
Funds since
tal
trust
available
for
receives
It
new
said.
a
compare with sales
$2,703,885 in the corresponding
period of 1954.
33odton
Mutual
ment, supervision and diversifica¬
Wellington
$7,493,181 and
FUND
the
in
the
$464,757,021.
seven
established
set
also
was
brought
of
PUTNAM
50 State
in
record.
new
$36,690,794
within
"Mutual funds offer
$38,395,210,
record
10
held
wives
sales commission on funds
purchased under the plan.
In
addition
to
the immediate
already
counts, heretofore said to be
period of the Fund's history,
net assets to
sales
make
economical
period of 1954.
far this year.
27/ie
to
facilities
with the previous high
rates
bank
under
the
for
return
fee.
Service, the new program offers
cooperating banks an opportunity
sim¬
any
In
60 days.
Called
ended July
for
through
have
expected to rise to
next
reported that
Wellington Fund
months
seven
were
banks
shares
benefits
adopted the plan, and the total is
also
of
at
Established
120
Four
in
set
tomer
funds, was an¬
by the New York invest¬
Randolph Scott & Co.
nounced
year.
sales
gross
sales month.
ous
record
ous
July last
de¬
and
ment firm of
sales for the month reached $5,853,936, compared with the previ¬
month
Corporation
Wellington
history of the Fund, A. J. Wilkins,
Vice-President, reported. Gross
gross
the
of
month of July in the 26-year
any
increase
an
SALES
Fund in July were the largest for
17-year history, W. Linton Nelson,
President, reported.
or:
Research
and
month
any
ment
for possibilities of long-term
growth of capital and income for
its shareowners. Prospectus and
other information may be obtained from your investment
GROSS
$2,-
300,122
of program,
to., broaden
trust
custodial services of banks
the use of mutual
_
Randolph Scott & Co.
type
new
signed
By ROBERT R. RICH
Investing In
a
By
A
•
>\,7L
'
1
*
'
Volume
Number 5458
182
Internal
Investment Fund
Specialize in
Foreign Equities
of
^ managed port¬
Securities cover¬
ing the free world outside the
United
States,
has
just
been
folio
foreign
This
formed.
announced
was
Code
Revenue
J.
C.
fund
the
of
formerly
Eck,
van
managing director of Royal Dutch
Petroleum
Company and Presi¬
Oil
by
and
Ltd.
Press
of
director
and
London
Eck, Jr.
John
open-end in¬
to specialize
in selected blue chip foreign se¬
an
company
the
curities,
in¬
represents that
company's
new
vestment coverage
half of
the free world's
which
lies
States.
4
partner of
Exchange, says
Stock
unique investment service,
his
of
!
Jr., formerly a
member firm of the
a
York
H.
in
Ltd.; Mr.
after
Incor-
Corporation.
Management
the
its
The
Chairman of
is Foard
troit's
of
Chairman
mittee of
motive parts
advisory
board
including the
world.
With
the
-
greater post war rate
economic growth and greater
generally
of
a
security values in the free world
outside the United States than in
the United States and with an im¬
political climate,
foreign se¬
proving. world
I
that
believe
many
curities offer attractive opportun¬
In my opinion,
ities
for
we
entering a new era of pri¬
foreign investment.
growth.
are
vate
vestors
Incor¬
Investors.
International
to
&
E. W. Axe
American
of
stocks
Common
Telephone and Telegraph Co. and
stocks
through
available
are
Quinby & Co., Inc.
created originally
stock of
The plan was
for accumulating common
Kodak
Eastman Kodak. Since 1953
their
own
stock
Reports
Top Quarter Pace
Oil
worth
Plans,
more
of
the
to
exist¬
95,000
about
includes
also
It
in
some
5,000
11,000 shares of DuPont and
.
money
$2,000,000 annually, com¬
pared with about
$600,000 in 1950
$50,000 in 1945.
These
for
.
-
companies accounted
six
of
7%
than
more
the
$2,965,936
share
gross
25%
of
1954. They pay
all cash
paid by all common
on
the New York
and
22%
all
their
dividends
stocks listed
Stock Exchange,
shares represent
of the total market
common
The firm
sales ag¬
shares
value of
listed
states.
about
there.
Com¬
a
year
ago.
income
of
IDS
subsidiaries was
per share of
$1,776,754 or
share last year.
owned
$2,619,855 or $1.80
stock, against
IDS
$1.22
per
Total
increase
in
surplus
was
$5,585,791 equal to $3.84 per share
in the first half, against $3,779,828
$2.60 in 1954.
or
tual
providing background information
who administer the
Fund.
The
brochure
eight-page
how
the
trical
cisco and
a
to the August furniture sales raised
considerably ahead of the corresponding
1954 level.
There was a noticeable increase in the consumer de¬
mand for upholstered chairs and dining room sets.
Bedding and
bedroom furniture were popular.
The interest in air conditioners
and television sets diminished somewhat, while automobile sales
this week's sales
San
and Highway District,
Hospital, the Redwood
Gate Bridge
Franklin
Empire and
the North Central
Improvement Club, all San Fran¬
in children's wear
with women's suits
and knit dresses in large call. While there was a decrease in the
demand for beach and summer sportswear, men's walking shorts
continued in large demand.
Volume in men's furnishings and
white shirts increased, although suits and overcoats moved slowly.
Pood buying, steady and high, continued to top that of a year
Apparel stores reported a substantial rise
volume. The buying of fall clothing increased
Bought
reports
stocks
Haut-
Science & Nuclear Fund
the addition of the common
Katanga
du
Miniere
Union
of
Beryllium Corp. to
and
foods, fresh
increased
Algom
fund
on
$118,000
total
as
in
cash,
the
sought to round out
*
combination
de¬
of
had
women's woolen sport coats. Orders booked
Trade Show greatly surpassed last years
lighters, and men's jewelry were the
most actively purchased items.
There was increased buying of refrigerators, automatic wash¬
ers
and home freezers in the home furnishings markets this week.
Modern designed cocktail tables were heavily purchased. Volume
in electric ranges expanded, while there was a slight decline in
the interest in air conditioners and television sets.
While there was a slight decrease in food buying this week,
volume remained moderately above last year s level
Vegetable
buying diminished with beans and cabbage showing the only in¬
siderable interest in
1955, of
Fund reports
have
permit by
Commission.
Donald F.
Bishop, President, and Robert D.
Hedberg, Vice-President, are per¬
mitted to study, data relating to
the civilian uses of atomic energy,
subject tp security regulations.
an
the
access
permit
adviser
_
crease
fruit
York Jewelry
Compacts, cigarette
volume.
The., .information, Mr, .Hedberg,.
pool their re1 said, will be used for research in
connection with the investment of
sources
to
develop
the
fund's
portfolio
and
keep
abreast
of the assets of the fund, which em¬
financial and technical develop¬ phasizes nuclear science and tech¬
nology in its investment policy.
ments in the atomic field.
management, technical adviser and
investment
large
at the New
issued
preparation for the fall selling
volume of orders was booked this week for fall
There were increased orders for ?back-to-school wear,
women's coats, and raincoats. ^Volume in wool knitted sportswear
expanded and tweed dresses were very popular. There was con¬
A
the Atomic Energy
Under
their stocks in
apparel.
$554,542.
been
expanded moderately
season.
assets of
Fund
31,
July
on
of wholesale trade
/
volume was noticeably higher than a year ago. Buyer
attendance at the major wholesale centers increased as retailers
open-end mutual'
April 28, with
assets
dollar volume
The
was
an
,
Rise at Wholesale
governments.
Started
Fresh meat sales were
this week;
91% invested
with 59% of assets in the nuclear
field and 32% in related scientific
fields. The balance were in cash
and
foods.
sluggish.
and Union Carbide.
Fund
vegetable sales;
their buying of canned
fresh
Uranium, Blaw
Knox,
Charles
Pfizer,- Gunnar.
Mines,
Houdry
Process,
Philip
Gloeilamp,
Phillips
Petroleum,
The
products, frozen
slight increase in
housewives in the hurricane areas often
consumers sought dairy
fruits, and cold cuts. There was a
most regions
In
ago.
portfolio.
In July the Fund increased its
common
stock investment in Air
its
>
response
volume
in many areas.
increased
cisco.
Union Miniere
Year's Level
+5 to -f 9.
increased
An
Fran¬
director of the Golden
of
Corporation
Science & Nuclear
Fund,; Inc., has issued an il¬
management
brochure
scribes
of 1% occurred. For the period Jan. 1,
the index recorded a rise of 1% from that
corresponding period of 1954.
increase
an
Pacific Coast
that its investment managers
Development Mu¬
lustrated
the people
been
business
To Fund Managers
New Sales Booklet
Atomic
has
and
Francisco
San
A.E.C. Grants Permit
Atomic Fund Prints
The
in
community
Products,
or
Undistributed
on
national product in
about
year,
new
and dividends now amounts
to about
and
of
flow
The
Jersey.
Motors
General
of
each
shares
and
of this
California
of
preceding week, Aug. 6, 1955, a drop of 4% was noted
previous week. For the four weeks ended Aug.
that of the
1955,
retail volume in some Eastern
business centers, this week's total retail trade gained considerably
over last year's level.
Suburban and resort centers continued to
report a high volume of sales. Retailers stepped up their promo¬
tions of fall merchandise; the response was usually favorable.
The total dollar volume of retail trade in the week ended
this was past Wednesday was 2 to 6% higher than a year ago,
according to estimates by Dun & Bradstreet, Inc. Regional esti¬
mates varied from the comparable 1954 levels by the following
percentages: New England and Northwest —1 to +3; East -j-3 to
4-7; South and Middlewest -f-1 to +5; Southwest +6 to + 10;
affairs.
He
is
chairman of the board of the Elec¬
June
Net
This wholly
largest
10
stock
Kodak
amounting
shares.
shares
own
than $11,000,000.
one
of
blocks
ence,
3,500 in¬
some
investors
includes
July
and
of May,
months
$2.04 per share, com¬
pared with $2,003,074 or $1.38 per
four
these
the
For
active accounts under
4,200
dividual
today.
Standard
(New Jersey).
In
Corporation, managers and spon¬
sors
of
the
funds,
announced
earnings of Investors Diver¬
sified
Services, Inc. in the six
months ended June 30, 1955 were
by General Motors and
:
Sales of shares of
sity
active
generally off.
Retail Trade Gained Over Last
Davies studied at the Univer¬
and
Home furnishings departments managed to
in some cases, and men's wear
promotions in several stores. But ready-to-wear
and to go ahead
Although bad weather reduced
Waterloo, Wisconsin,
A native of
Mr.
from
were
of the
& Co., Inc.
Trust
comparable week a year ago.
sluggish until Thursday, when it
1955, to Aug. 13, 1955,
late Parker S. Maddux.
National
The
added, followed in 1952
was
13,
DAVIES, West Coast
and
own
In the
of San Francisco, and its
predecessor,
the San Francisco
Bank, During most of that time he
was assistant to the President, the
DuPont IDS Earnings Up
1950
In
Plan.
Quinby
sales
pany,
stock in
through
company
benefited
was
noticeably.
up
their
hold
civic leader, was ap¬
Bank
Western
de¬ gregated $12,492,994, a gain of 8%
over
$11,612,730 for the corres¬
ponding months of 1954.
had payroll
have
employees
ductions in accumulating
picked
&
business
week's
Last
past 21 years Mr. Davies
has been an executive of the First
National Se¬
able through The Quinby Plan last curities Series' mutual funds for
the three months ended July 31,
week, when the Securities and
Exchange Commission issued an 1.955, the first quarter of the cur¬
year,
increased to a
order making the two new regis¬ rent fiscal
new all-time high for the period,
tration statements effective.
This brings to six the number E. Wain Hare, Vice-President of
Securities
& Research
of well-known companies whose National
avail¬
General Electric Co. became
Science
Saturday openings in the
sumed
For the
Sales
And AT&T
Macy's Saturday opening no longer counterbalanced the ab¬
of Wanamaker's in the 1955 figures, since Macy's had re¬
of Engineering;
Brightsen, Presi¬
Nuclear
figure for the
A 1% increase
sence
pointed Vive-President in charge
of
the
San
Francisco office of
is
Quinby Adds GE
was
from
banker and
Co.
ran about even in sales with the year-ago
posted by the 10 stores then in operation.
regarded as possible.
week
gineer.
shares.
of redeemed
the first company to
qualify under Section 853 of the
porated
Ripley
lrrge measure from
group
M.
Baring-Gould,
Clifton
Products Company en¬
Precision
thus, on Aug. 5,
be
national dis¬
will
cease
L.
bine
tributor, and to act as agent
for the fund in the purchase
ticipating in this growth."
A.
PHILLIPS S.
Harriman
corporation
Eugene
Engineering Corporation; and Sa¬
Sept. 30.
Inc.
dean
the
of
dent
announced
have
Inc.
Co.
&
Ace
are
of the like period of last year.
is authority for the statement that
last week recovered
the previous week's heat and hurricane
weather, but not enough to make substantial gains in sales volume.
Store executives estimated that the nine major stores as a
in
Force, who is the Chairman;
John R. Dunning, Columbia
Ronald
Dr.
jointly that the underwriting
agreement between them
will be ended Aug. 5, and
the
service agreement,
is designed to offer in¬
a practical means of par¬
porated
of
Trust
Shareholders
registered above that
and Brooklyn department stores
New Ycrk
Com¬
former
University
Boston and Harriman Ripley
Incor¬
Investors
"International
Dr.
Cancel Sales Pact
the
"Times"
York
The New
member of the
Atomic Energy Commission and
former Assistant Secretary of the
Zuckert,
Air
Fund and Firm
Aug.
8% was recorded. For the period Jan.
13, 1955 dropped 5% below that
and
manufacturers. Other
licly through the I.I.I. Securities
Corporation.
of
Finance
the
porated has been organized to of¬
fer investors a supervised and di¬
portfolio
taken
According to the Federal Reserve Board's index, department
in New York City for the weekly period ended Aug.
of Michigan's auto¬
one
of
chips
as
store sales
of De¬
one
dairies
independent
members
blue
country-wide basis
of 1954.
Unemployment
Compensa¬
Commission, Mr. McDonald
igan
tion
a
1,-1955 to Aug. 13, 1955, a gain of 7% was
A former Chairman of the Mich¬
fund's shares will be offered pub¬
versified
Aug. 13, 1955, an increase of
financing has been com¬
Incor¬
Investors
"International
center
million
on
13, 1955, decreased 3% from the like period of last year. In the
preceding week, Aug. 6, 1955, a rise of 5% was registered from
that of the similar period of 1954, while for the four weeks ended
Managing Direc¬
$200
sales
stores
from the Federal Reserve Board's index for the week ended
-
pleted.
the Van Eck
adviser is
of
tor
Department Store Sales Off 3% Country-Wide
Department
Center Authority
and will become
Its in¬
City.
York
New
vestment
in the corresponding week a year ago.
,
Florida's
of
State
Inter-American
porated's offices are at 7G Beaver
Street,
the
for
agent
and Mr. John C. van Eck,
the fund's President.
Investors
week, against 72,400 the previous week, and 111,300
bales for the
named admin¬
Corporation following a
Congressional investigation of the
government lending agency. Since
last January he has been fiscal
American Newspaper Alli¬
International
was
nance
ance,
Eck,
van
the Reconstruction Fi¬
Pell, director In¬
ternational Fiscal Corporation and
Jr.,
in
istrator of
N. Irwin II, partner of Pat¬
North
SEC
he
Hulton
]
,
fixing prompted by improved business for certain constructions of
cotton goods. Inquiries from foreign sources were fairly numer¬
ous but the volume of export business remained light.
Reported,
sales in the 14 spot markets increased slightly and totaled 73,500
has joined
of the Axe
Corporation.
left the
McDonald
Mr.
Clairborne
Mr.
board
advisory
1952 when
terson, Belknap & Webb and trus¬
tee Seaman's Bank for Savings;
United
:
-
Mr.
New
economy
the
outside
the
from page 27
The State of Trade and Industry
for
and
financier
and community leader,
Science & Electronics
Interna¬
Eastern
van
as
Commission
a
Detroit
years
many
of
Mr.
tional Investment Trust
Organized
Chairman
L.
Norbert
Roesler, President and director
Amsinck, Sonne & Co.; Mr. F.
Woodward, financial adviser
Corporation;
company's President, John C.
.
McDONALD, former
of the Securities and
A.
HARRY
of Shell Union
director
dent and
Continued
Personal Progress
are
29
(797)
whereby
the
vestment
r
credits.
Federal tax
as
directors
Baron
U.
since
investors
f
Exchange
The
S. investment
World War II to
first
porated,
company
offer
holders
Incor¬
Investors
'
foreign withholding taxes may be
passed on to the company's share¬
To
International
iw
The Commercial and Financial Chronicle
.
.
.
in
was
turnover.
sluggish.
erably. Poultry trading
diminished somewhat.
'
'
remained steady; the
demand for eggs
,
in textiles slowed
Sheeting and broadcloth
Trading
week
trading in other
dried apricots rose consid¬
Although apple sales rose,
The demand for
considerably at the end of the
bookings dropped off
noticeably.
sluggish, but there was considerable interest m
fleece.
Moderate-sized lots of cotton prints were ordered; there
was increased re-ordering of dark cottons and drills.
Wool trading was
'
30
(798)
The Commercial and Financial
Chronicle
)'
The following statistical tabulations
Indications of Current
latest week
Business Activity
AMERICAN
Latest
IRON
Indicated
steel
AND
AMERICAN
Crude
STEEL
operations
Equivalent to—
Bteel ingots
and
INSTITUTE:
(percent
ol
(bbls.
£■.
Aug. 12
6,635,400
6,639,500
"7,487,000
7,582,000
6,735,000
26,546,000
25,953,000
25,726,000
Aug. 12
2,067,000
2,094,000
1,955,000
11,363,000
11,063,000
11,167,000
7,990,000
7,146,000
8,156,000
10,065,000
7,597,000
154,983,000
156,476,000
158,822,000
156,328,000
output
(bbls.)
32,811,000
32,475,000
at
Aug. 12
122,214,000
(bbls|.) at
Aug. 12
45,705,000
Aug. 13
775,397
oil
(bbls.)
from
ENGINEERING CONSTRUCTION
NEWS-RECORD:
Total U. S. construction
(no.
of
cars)__Aug. 13
Aug. 18
-—
Aug. 18
.—
Aug. 18
OF MINES):
lignite (tons)—
(tons)
8ALES
574,439
Household
188,211,000
228,094,000
101,840,000
17,651,000
83,094,000
42,715,000
18,746,000
"9,190,000
9,730,000
456,000
7,865,000
463,000
97
INDUSTRIAL)
—
DUN
10,812,000
216
10,620,000
172
Electrolytic
5.176c
A
M. J.
Straits
tin
Lead
(New
Lead
(St.
(New
$59.09
$59.09
$59.09
$44.00
$40.83
$28.67
York)
35.700c
39.225c
38.125c
37.425c
29.475c
96.750c
96.625c
96.875c
15.000c
15.000c
15.000c
14.800c
14.800c
_I—IIIII--—IIII—-I
12.500c
Industrials
100.17
Shipped
115.63
4ug. 23
103.24
109.60
110.52
4ug. 23
107.80
107.98
108.70
110.52
103.64
106.39
106.56
107.09
108.16
108.52
109.24
110.88
Vug. 23
108.34
108.52
109.60
2.86
2.93
vug. 23
2.48
3.30
3.29
3.24
lug. 23
3.13
3.12
3.11
3.05
3.19
3.14
I]
3.28
3.24
3.57
3.56
3.53
lug. 23
3.37
3.jo
AVERAGE
100
403.8
398.2
405.8
420.5
Corn,
237,882
278,376
225,674
98
77
92
98
671,986
691,068
642,619
401,966
106.72
106.84
106.91
106.99
1,181,336
*1,138,539
$68,976,036
$62,963,160
"$64,376,998
1,162,832
$52,515,938
983,511
1,026.744
"984,987
1,150,209
July 30
July 30
8,875
6.740
*5,503
8.633
974,636
$51,589,752
1,020,004
$52,325,371
"979,484
$54,404,561
$48,237,271
1,141,576
268,990
276,650
261,690
348,260
July 30
268,990
276^650
261,690
348,260
July 30
460,770
455,040
402,490
367,620
TOTAL ROUND-LOT STOCK SALES ON THE N. Y. STOCK
EXCHANGE AND ROUND-LOT STOCK TRANSACTIONS
July 30
491.690
470,800
12,306,020
11.463,630
11,849,630
12,9 4.700
12,803,990
11,955,320
12,320,430
13,536,710
July 30
the
July 30
285,700
293,470
254.610
386.640
July 30
279,710
408,740
482,432
496,165
483,272
80,800
475,360
90,230
82,770
80,650
688.559
529,923
July 30
July 30
612.854
582,525
July 30
693,654
672,755
771,329
610,573
July 30
2,136,052
2,370.545
July 30
2,243,682
366,290
2,426,120
389.400
355,970
NEW
=
SERIES
—
U.
S.
DEPT.
2,454,424
2,125,103
2,589,335
2,575,849
2,560,263
OF
110.3
*110.2
110.0
87.9
87.8
87.7
101.5
100.9
and
as
fIncludes
759,000
against Jon.
orders
not
1,
barrels
of
83.4
Aug. 16
foods
116.8
foreign cruie
runs,
124,330,410 tons.
introduction of Monthly
SBased
on
Investment
i.f
95.3
106.1
81.5
84.5
177
266
3,672
4,407
OF
Flaxseed
1
3,477,711
—
179,044
-
14.293
.
184,019
173,487
1,513,498
1,499,579
391,152
._
13,269
207,262
—
384,397
370,126
116.3
114.3
.
new
annual
capacity
>^f 125,828,310
tons
28.418
41,534
47,214
13,696
109,184
10,355
10,427
53.097
53,282
49,328
25,717
25,837
27,579
,
l
) i»
\
il
.
it1
c
t» ') )
.
104.380
10,184
4,773
(bushels)--
4,682
3,052
18,776
19,221
18,899
2,933
!
2,540
3,484
420,043
...
1
342,795
1,023,070
1,551,095
398,715
seed
(tons)
356,031
2.236,408
6.929
(tons)—
34,273
2,172,517
6,801
7,481
12,124
(pound)
Sugarcane for sugar and
Sugar beets (tonsi
400,335
35,963
2,240,446
—
(bushels)
Tobacco
11,981
14,091
29,880
42
27
38,700
43,363
107,389
105,560
109,512
47.830
48,479
:
61,316
30,863.
30,599
30,434
3,186
3,178
2,569
270
264
258
(bushels)
Grapes (tons)
38,102
l
(bushels)
Pears
258
States)
States)—
(pounds)
70,840
—
206
155
;
'90,510
INDUSTRIAL PRODUCTION—BOARD OF
GOV¬
ERNORS
OF
THE
FEDERAL
RESERVE
SYSTEM—Ii.'47-49=100—Month
Seasonally adjusted
Unadjusted
of
July:
140
——
139
123
133
____
*139
116
LIFE
INSURANCE—BENEFIT PAYMENTS TO
POLICYHOLDERS
INSTITUTE OF LIFE
—
INSURANCE—Month
benefits
Matured
of
June:
1
:
—
I
$183,192,000
Surrender
Policy
$181,689,000
50,619,000
43,644,000
9.236,000
9,171,000
38,655.000
36,427,000
37.859,000
76,500,000
71,445.000
1
!
'
values
dividends
8,861,000
87,980,000
Total
METAL
$187,324,000
50,254,000
75.608,000
,
endowments
Disability payments
Annuity payments
79,900,000
79,921,000
$444,925,000
.
$439,941,000
$427,419,000
OUTPUT; (BUREAU OF MINES)—
Month
of
(in
Silver
June:
fine
the
ounces)
fine
ounces)
(in
(in
of recoverable metals in
States:
(in
Copper
Lead
short
short
160.160
tons)
180,675
*3.407,754
3,228,180
91,262
_
*154.916
3,164.059
tons)
*90,789
72,959
26,253
27,250
*28,807
TREASURY MARKET TRANSACTIONS IN DI¬
RECT
AND
GUARANTEED
SECURITIES
OF
Net
'
58,853
204,087
■
—
12,728
109,101
;
(pounds)
Potatoes
23,688
43,396
265.945
-
timothy (tons)
Peanuts
27,245
47,974
:
(bushels)
dry field (bags)
Soybeans for beans (bushels)
Net
Plan.
5,557
43.752
___=__
Peas,
(3
7 10,737
197,288
-
1,625,264
(bushels).
.
;
(tons)
(12
969,781
669,043
221,555
...
—
Hay, le.spedcza (tons)
Beans, dry edible (bags)
Cherries
2,964,639
860,331
910,958
689,403
(bales)
Sweetpotatoes
3,449,667
REPORTING
(bushels)
clover and
2,592
(in thousands):
;
Hay, all (tons)
Hay, wild (tons)—_:
Hay,
1,376
1,084
AGRICULTURE—
(bushels)
Hay, Alfalfa
773
1,304
91.2
*116.8
1954 basis of
reported .since
110.3
102.0
Aug. 16
than farm
857
150
2.886
...
...
(bushels)—J.
Gold
Aug. 16
other
391
201
'
Barley (bushels)
Rye (bushels)——
United
Aug. 16
—
of
2.219,879
Aug. 16
figure,
Oats
,
Meats
84,114
106,916
129
pounds)—
CROP
—
of Aug.
as
(bushels)—=
Mine production
products
Processed foods
1, 1955,
2,199,935
100):
Farm
commodities
2,088,134
July 30
(1947-49
87,480
142,527
518
DEPT.
435,160
July 30
PRICES,
176,279
364
...
...
Other spring
Dealth
commodities
tNumber
321,070
July 30
sales
"Revised
315,400
floor—
Commodity Group—
of Jan.
1,540,950
22,100
Total sales
as
1,524,810
25,100
Total sales
.All
1,208,540
27,600
Total round-lot transactions for account of members—
Total purchases
l
1
Short sales
All
332.410
1,276,710
29,700
sales
—
248,100
1,323,940
1,595,510
—July 30
off the
60,317
230,640
438,460
Short sales
LABOR
271,570
1,445,370
272,780
purchases
WHOLESALE
1,512,300
255,790
1,189,580
327,900
Total sales
Other
1,487,630
258.040
sales
Other transactions initiated
Other
f
1,546,480
July 30
Short sales
Total
1,395,580
floor—
purchases
Other
S.
spring
Durum
Pecans
July 30
-
on
All
Apricots
July 30
-
sales
Other transactions Initiated
Total
542,010
MEM¬
BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS:
Transactions of specialists in stocks in which
registered—
Total purchases
July 30
Other
497,970
July 30
July 30
sales
Total sales
Bhort sales
(1,000
Hops (pounds)
Apples, commercial crop
Peaches (-bushels)
(SHARES):
Total sales
etc.
(bushels)
Broomcorn
sales—
Short sales
OF
61,300
56,724
—
July 30
dealers—
ACCOUNT
all
Cotton
1,215,755
—.—July 30
July 30
FOR
U.
(bags)
Sorghum grain
July 30
TRANSACTIONS
123,884
65,916
127,838
^
——
Rice
sales
ROUND-LOT
53,761
63,698
159,526
,
Wheat, all (bushels)
Winter (bushels)
248,147
Number of shares
Other
48,230
bales)—
PRODUCTION
BOARD
274,078
sales
MEMBERS
126,729
122,139
42.355
—
____•
Crop reported
228,679
Dollar value
OF
CROP
3.Zi
July 30
ACCOUNT
198,062
129,620
145,783
47,886
:
—
—
3.06
Aug. 19
■
Short sales
30—.
;
___—
3.12
INDEX—
Round-lot sales by dealers—
Number of shares—Total sales
Produced
Shipped
3.jJ
.Aug. 13
—>
June
30
3.19
367,978
value
round-lot
266,945
.95,378
124,325
Grabbots,
3.21
259,523
Odd-lot purchases by dealers (customers' saies)—
Number of orders—Customers' total sales
Customers' short sales
Total
106,431,000
139,760,000
156
3.25
July 30
by
i,,
....
...—
3.25
purchases)—t
Round-lot purchases
_:
...
lug. 23
Number of shares
other
105,709,000
135,366,000
237,998
30
——
3.27
STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDLOT DEALERS
AND
SPECIALISTS ON N. Y.
STOCK
EXCHANGE — SECURITIES EXCHANGE COMMISSION:
Odd-lot sales by dealers (customers'
Customers'
527,813,000. *995,638,000
87,033,000
134,560,000
——
3.26
Aug. 13
=
54.013,000
94,384,000
114,426,000
433,456,000
...
.
vug. 23
Aug. 13
REPORTER PRICE
30
30
lug. 23
(tons)
OIL, PAINT AND DRUG
96.409,000
101,987,000
112,824,000
-
3.48
Aug. 13
FOR
73,552,000
,
Stocks June
3.14
,
of period
Motes,
3.03
3.29
21 3^
270,266
307,496
93,045,000
(1,000-Ib. baits)—
June 30—
Stocks
2.87
3.21
lug. 23
.
at end
*7,2f9
284,731
*421,820
67,251,000
June
June
Produced
2.89
.
—
June
Shipped
Aug. 23
PAPERBOARD ASSOCIATION:
Orders received (tons)—.
Other
30.
(tons)
Shipped
112.00
.
(tons)
18,525
243,315
Hull Fiber
"
NATIONAL
Dollar
I
30
'
(running
Stocks
109.24
vug. 23
.
Group—
Group
Unfilled orders
of
—
(tons)
Produced
104.48
lUg. 23
.lug. 23
Utilities
Linters
112.56
.
Group
COMMODITY
106.4
,120.1
197,030
(tons)
Produced
110.70
.Aug. 23
1949
(-tons l
June
(tons)
94.20
108.70
112.19
f
112.7
106.5
119.9
PROD¬
(tons)
95.17
.
_IIIIIIIIIIIIIIIIII_-
Production
SEED
(pounds)
Shipped
111.07
.
MOODY'S
113.9
119.9
...
COMMERCE—Month
mills
(tons)
107.80
103.13
91.0
Meal—
94.71
AVERAGES:
—
Public
and
110.88
.
YIELD DAILY
Aaa
Industrials
OF
(pounds >
107.62
.
Group
BOND
Railroad
.—
COTTON
(pounds)
Stocks
.
—
Group
U. S. Government Bonds
A
AND
at
Produced
11.000c
102.96
MOODY'S
125.1
106.2
services
(tons)
Aug. 23
.
:
128.9
127.5
Oil—
Stocks
13.800c
12.500c
Baa
Group
116.3
90.3
125.5
114.7
recreation.
(tonsj
Aug. 23
,
Utilities
117.4
i
Seed—
.Aug. 23
corporate
.
Public
93.5
Hulls—
U. S. Government Bonds
Railroad
Cake
14.000c
14.800c
12.500c
DAILY AVERAGES:
Aaa
A
107.0
97.3
90.1
Consumption (pounds)
92.625c
Aug. 17
MOODY'S BOND PRICES
105.7
125.8
.....
*_
and
SEED
Shipped
29.700c
.Aug. 17
i
104
127.6
and
Produced
35.700c
Aug. 17
i
117.2
103 3
117.4
_
goods
Stocks
37.050c
Aug. 17
Louis)
105.8
319.0
97.2
—
girls'—
Stocks (pounds*
June
Produced (pounds
$56.59
$43.83
.Aug, 17
Average
boys'
and
Received
QUOTATIONS):
1
107.6
120.9
103.7
119.2
„_
care
Stocks
copper—
refinery
110.9
322.5
105.6
____
Refined Oil—
(E.
128.3
June:
4.801c
Aug. 17
Export
=
care
Personal
246
Aug. 16
METAL PRICES
118.9
103.8
apparel
Medical
9,207,000
Aug. 16
■
115.2
119.4
330.3
110.7
__
operation
and
Other
):.
ton)
108.4
111.1
12 2.7
oil
luel
Footwear
97
5.174c
5.174c
117.1
113.8
103 2
Crushed
Aug. 16
and
Transportation
Crude
IRON AGE COMPOSITE PRICES:
Finished steel (per lb.)
102.9
120,2
119.7
__
-
Women's
A
169
1C4.C
107.7
home.—
___
UCTS—DEPT.
97
10,729,000
102.1
119.5
electricity—
luels
Cotton
Aug. 20
gross
and
COTTON
100
121.3:
104.1
—
Gas
Other
113.3
123 8
474,000
INDEX—FEDERAL RESERVE
AND
„__
Rent
Reacting
Aug. 18
Bcrap steel (per
Housing
157,099,000
132,614,000
89,899,000
128,596,000
110.0
103.8
—_.
at
521,304
146,247,000
314.2
111.1
124.0
vegetables
Housefurnishings
440,000
.Aug. 13
(COMMERCIAL
foods
685,272
9,320,000
Aug. 13
products
and
Other
$258,939,000
115.1
114.4
130.4
Dairy
Fruits
739,040
$360,708,000
9,409
310.3
„
Cereals
and
bakery products.
Meats, poultry and fish_i._„„
55,673,000
$334,458,000
12,605
111.3
644,251
134,124,000
116,416,000 ''
17,678,000
Aug. 13
.—
107,753,000
KDISON ELECTRIC INSTITUTE:
FAILURES
10,893
„,
1947-49=100—
home^_
at
45,482,000
S. BUREAU
Pennsylvania anthracite
'
Food
765,452
$322,205,000
188,081,000
Ago
June:
45,273,000
v634,3?2
Year
Month
IN THE
BRADSTREET,
INDEX
119,479,000
33,105,000
Previous
_
Men's
municipal
STORE
of
Food
Apparel
Aug. 18
Public construction
DEPARTMENT
(NEW)
&
July—
31,381,000
108,932,000
ENGINEERING
—
construction
and
,
bond
connections
CIVIL
(U.
of
PRICE
items
1,926,000
Aug. 12
All
23,545,000
oil
coal
INC.—Month
6,157,500
(17,647,000
Aug. 12
freight received
OUTPUT
UNITED STATES—DUN
Month
6,626,400
of that date:
are as
Month
BUSINESS INCORPORATIONS
1,515,000
(bbls.)
fuel
Bituminous
2,190,000
Aug. 12
oil
State and
63.5
CONSUMER
(bbls.)
average
ASSOCIATION OF AMERICAN RAILROADS:
Revenue freight loaded (number of
cars)
COAL
♦2,176,000
of quotations,
cases
eithei* for the
are
Latest
I
§2,206,000
in
or,
'
Ago
90.7
Dates shown in first column
that date,
i
(bbls.)
fuel
Residual
Private
Ago
*90.2
Aug. 12
Distillate
Year
of
Residual fuel oil output (bbls.)
Aug. 12
Stocks at refineries, bulk
terminals, In transit, In pipe lines—
Finished and uniinished gasoline
(bbls.) at
Aug. 12
Kerosene (bbls.) at
Re/enue
Week
§91.4
Aug. 28
output—dally average
stills—daily
output
Kerosene output
fuel
Month
on
Thursday, August 25, 1955
.
production and other figures for the
cover
INSTITUTE:
42 gallons each)
Gasoline
Distillate
Aug. 28
(net tons)
condensate
Crude runs to
Previous
Wfek
capacity)
month ended
or
•
and castings
PETROLEUM
oil
week
month available.
or
..
U.
S.
A.—Montlr of
sales
purchases
.
July:
•
$21,666,300
$74,776,300
$22,507,500
Volume
Number 5458
182
■.
The Commercial and Financial Chronicle
.
.
.
'
■
.
(799)
* INDICATES
Securities Now in
Academy Uranium
&
Oil
June
—For mining operations.
and gas
Office—65 East Fourth South
St, Salt Lake City, Utah. Underwriter—Western States
Investment Co., same city.
Admiral Finance Corp., St. Louis, Mo.
July 29 filed $1,000,000 of participating junior subordin¬
ated sinking fund debentures due Sept. 1, 1970.
Price
—At 100% of principal amount.
Proceeds — To retire
$513,182.50 of outstanding junior subordinated deben¬
tures, series B, and for expansion and working capital.
Underwriter
Paul C. Kimball & Co.,-Chicago, 111.
Offering—Expected early in September.
—
Admiral Finance Corp., St. Louis, Mo.
and
one
Underwriter
share.
common
Paul
—
—
Kimball
C.
&
Chicago, 111.
Co.,
Offering—Expected early in September.
•
common
stock.
Office—1508 Capitol Ave., Houston,
Paul C. Ferguson & Co., same ad¬
operations.
Underwriter
Tex.
—
dress.
>
-
Credit Corp.,
Allstates
Reno, Nev.
notification) 27,000 shares of 7% cumu¬
lative preferred stock (par $10) and 27,000 shares of
common stock
(par $1) to be offered in units of one
share of each class of stock. Price—$11 per unit. Pro¬
ceeds—For working capital, etc.
Office—206 No. Vir¬
ginia St., Reno, Nev. Underwriter—Senderman & Co.,
June 27 (letter of
address.
same
/
■
and
900,000 shares
offered in units of
—$11
per
related
Inc., Chicago, III. (8/31)
Aug. 10 filed $3,662,600 of convertible subordinated de¬
bentures due Sept. 1, 1970, to be offered first for sub¬
scription by common stockholders in the ratio of $100
Alders,
principal amount of debentures for each 16 shares of
stock held as of Aug. 30; rights to expire on Sept. 15.
Price—To be supplied by amendment.
Proceeds—For
working capital and expansion purposes.
Underwriter
—Lehman Brothers, New York.
and
$10)
(par
to be
share of each class of stock. Price
for
and
.
stock (par $5)
being offered for subscription by stockholders on the
basis
of
Aug.
16;
share.
rights
for
to expire
each
shares
4.7
held
as
of
Aug. 30. Price—$46 per
plant facilities and improve¬
on
new
Underwriter—Harriman Ripley
York.
For
£ Co. Inc., New
•"!1
..
*
r
<
Mica
and
Price—$1 per share. Proceeds—
equipment and other general corporate
(par 10 cents).
plant
and
Offices—743 E. Penn Street, Philadelphia, Pa.;
Underwriter-
purposes.
1131
Healey Building, Atlanta, Ga.
Securities
Franklin
Co., Atlanta, Ga.
American Republic Investors,
Inc., Dallas, Texas
July 15 filed 800,000 shares of common stock (par $1).
Price—$10 per share. Proceeds—For working capital, etc.
Underwriter—None.
Copper Mines, Inc.,
Montreal, Canada
July 22 (Regulation D) 1,000,000 shares of
common
stock.
Price—30 cents per share. Proceeds—For exploration and
it American Service Publishing Co.* Inc.
(letter of notification) 40,000 shares of class A
common stock
(par $1). Price—$5 per share. Proceeds
For equipment and working capital.
Office — 400
Walker Bldg., Washington, D. C.
Underwriter—Landrum S. Allen & Co., Inc., same city.
Aug. 8
—
development expenses, etc. Underwriter—Hudson-Bergen
Securities, Inc., Cliffside Park, N. J.
•
ISSUE
share
new
one
Proceeds—For
ments.
contingencies, stock in trade,
working capital. Underwriter—None.
Alouette Uranium &
stock
Proceeds—For
Underwriter—Maine Invest¬
50 cents per share.
—
American Enka Corp., Enka, N. C.
July 28 filed 237,798 shares of common
American
Aug.
NEW
Price
general corporate purposes.
ment Co., Ltd.
stock
stock
(par $1)
stock
common
unit. Proceeds—For construction of hotel and
activities
(par $1).
.Processing Co., Atlapta, Ga.
Aug. 11 (letter of notification) 300,000 shares of common
of preferred
one
Ltd.
Feb. 17 (Regulation "D") 600,000 shares of common
American
8 filled 900,000 shares of
Aug.
ISSUE
REVISED
American Asbestos Co.,
300,000 shares of class
share. Proceeds—For oil
Price—$1 per
PREVIOUS
ITEMS
•
Development Corp.
(letter of notification)
Aloha, Inc., Las Vegas, Nev.
in units of five preferred
Price
$50 per unit.
(par 10 cents) to be offered
A
20
*
July 29 filed 50,000 shares of 60-cent cumulative pre¬
ferred stock (par $5) and 10,000 shares of common stock
shares
Industrial
Allied
Corp.
ADDITIONS
SINCE
Registration
June 10 (letter of notification) 15,000,000 shares of com¬
mon stock. Price—At par (one cent per share). Proceeds
.
31
\
.
2
filed
vertible
CALENDAR
Telephone & Telegraph Co. (9/2)
up to $640,000,000 of 12-year 3%% con¬
dated Oct. 13, 1955, to be offered
debentures
subscription by stockholders of record Aug. 25,
on the basis of $100 of debentures for each eight
held; rights to expire on Oct. 13, 1955.
The
debentures are to be convertible into common stock be¬
for
1955,
Atlas
Sewing
—Common
Centers
Dickson &
S.
(R.
Co.)
Boren
Oil
Bank of
(Monday)
Inc.) $1,000,000
25,000 shares
Inc. and Blair & Co. Inc.)
(R. W. Brooks & Co.,
(Glore,
& Co.;
Forgan
Bonds
Bonds
California Electric Power Co
(Bids 9
to
stockholders—underwritten by
Common
$133,919,600
Bonds
Common
(Sanders 6c Newsom; Rauscher, Pierce
and Laird & Co.)
$3,700,000
Co., Inc
(J. B.)
11
(Friday)
2
Gas
System,
invited)
be
$40,000,000
Common
197,532
stockholders)
to
(Offering
(Bids
Common
October 1
25,000 shares
Common
Housatonic Public Service Corp
(Offering to stockholders—no underwriting)
$246,950
Bonds
__
(Saturday)
Mountain States Telephone & Telegraph
Common
Co.
$48,688,100
(Offering to stockholders—no underwriting)
(Tuesday)
September 6
October 4
Cromwell Uranium & Development Co.,
Common
Inc.
Anthony
(James
Securities
Eastern Lime Corp.—
and Warren
Inc.
(Stroud & Co.
Corp.)
$300,000
Debentures
W. York & Co., Inc.($800,000
Eastern Lime Corp
(Stroud & Co. Inc. and Warren W. York & Co., Inc.)
Gob
(Weill,
St.
Llauner
&
Inc.)
Co.
Splendora
J.
Inc. and McGrath
(j. H. Lederer Co.,
Securities Corp.) $G00,00O
'
(Offering
Debs. & Common
Properties, Inc
to
stockholders of Food Fair Stores, Inc.—
Dillon & Co.) $7,691,250
underwritten by Eastman,
New York
Equip. Trust Ctfs.
Central RR
(Bids
noon
EDTl
(Victers Brothers)
October
(Bids to
Southern
(Offering
to
& Towne
(Offering
to
Common
$300,000
(Friday)
Manufacturing Co
6c Co.)
vote
to
to
Association
change
company's name to
Co.,
effective on or
1956.
Automatic
Insurance
Inc.
Remote Systems,
shares of common stock (par 50
cents). Price—$3.75 per share. Proceeds—For manufac¬
ture of Teleac Sending and Receiving Units, working
capital and general corporate purposes. Office—Balti¬
Md. Underwriter—Mitchell Securities, Inc., same
city. Statement effective.
more,
it Axe-Houghton Fund A, Inc., Tarrytown,
Baldor Electric
N. Y.
(par $1).
Co., St. Louis, Mo.
on Sept
1. Price—$15 per share. Proceeds—To expand
production facilities and/or repair of building and equip¬
ment; to increase inventories; and for working capital.
Office—4327-63 Duncan Ave., St. Louis 10, Mo. Under¬
writer—None.
,
it Bank-It-Company, Denver, Colo.
12 (letter of notification) $100,000 of 6% second
series debentures dated Aug. 1, 1955 and due serially
from 1958 to 1961.
Price—At par (in denominations of
Aug.
$100 each). Proceeds—To help pay
in part the cost of a
Continued,
on
page
Debentures
—Bonds
Co
$8,500,000
(Wednesday)
Bonds
& Gas Corp
invited) $25,000,000
Common
Co.
stockholders—bids
11
November 29
San Diego Gas
a.m.
EDT)
1,004,870 shares
106,931 shares
Common
(Tuesday)
Bonds
& Electric Co
11:30
a.m.
December 6
,
stockholders—underwritten by Morgan
Stanley
be
were
$30,000,000
invited)
19
24
Aug.
Central Avenue, Newark 7, N. J.
Change in Name—Stockholders on
(Tuesday)
New York State Electric
(Bids
Yale
be
basis; rights to expire on Sept. 9. Atlantic Casualty In¬
Co., will subscribe for an additional 44,526
Price—$10 per share. Proceeds—For working
surance
shares.
$7,500,000
Tel-A-Sign, Inc.
September 9
to
it Atlantic Casualty Insurance Co.
15 (letter of notification) 5,474 shares of capital
stock to be offered for subscription by minority stock¬
holders of record Aug. 24, 1955 on a share-for-share
$3,000,000
Co
invited)
be
County Electric
(Bids
259,419 shares
(Scherck, Richter Co.)
to
share.
(Monday)
October 18
Worcester
...Common
Day-Brite Lighting, Inc
Food F'air
(Bids
per
Preferred
local dealers)
Southern Bell Tel. & Tel.
(Thursday)
September 8
195,312 shares
(Wednesday)
October 17
Common
Corp
Film
Debentures
Pacific Power & Light Co
(Expected by
cents
$35,000,000
EDT)
Corp.)
October 5
Common
Reiter Co.) $300,000
a.m.
First Boston
$297,000
Regis Uranium Corp.(M.
30,000 shs.
11
Rochester Telephone Corp
—Common
(Offering to stockholders—may be underwritten by The
Common
Common
Shops of America, Inc
(Tuesday)
Public Service Electric & Gas Co
(Bids
Proceeds — To D. E. Replogle,
St.* Paterson, N. J. Under¬
writer—McCoy & Willard, Bostonr Mass.
J
nine
July 6 (letter of notification) 19,124 shares of common
stock (par $10) being offered for subscription by stock¬
holders of record June 1 on a l-for-4 basis; rights expire
$10,000,000
EDT)
noon
approximately 500,000
Price—Approximately eight to
stock.
Aug. 17 filed 1,500,000 shares of capital stock
Price—At market. Proceeds—For investment.
shares
September 27 (Tuesday)
Pacific Power & Light Co
(Monday)
Hilo Electric Light Co., Ltd
J
(Offering to stockholders—no underwriting)
to
Debentures
Inc
Tampa Electric Co.___
American Telephone & Telegraph Co.__Debentures
(Offering to stockholders—no underwriting) $650,000,000
September 5
(Wednesday)
September 21
Columbia
$22,000,000
EDT)
a.m.
notification)
of
common
March 3 filed 540,000
Bonds
(Bids
September
$6,000,000
Ohio Power Co
(Bids
$400,000
EDT)
a.m.
Electronics, Inc.
(letter
after Jan. 1,
(Tuesday)
Preferred
11
9
Automobile
Ohio Power Co
...Common
-
$3,000,000
Co.)
&
Aug.
capital.
Office—484
Underwriter—None.
(Monday)
-Preferred
(McDonald
& Co.;
R. Staats & Co.)
(Smith, Barney & Co. and William
and Shaiman & Co.) $1,250,000
Sessions Co
(Bids
General Minerals Corp
Rea
Lamson &
$3,000,000
Co. I
&
Common
September 20
(Republic of)_
(Allen
(Thursday)
Uranium, Inc
September 19
(Thursday)
September 1
Common
(General Investing Corp.
$3,662,600/
Brothers)
Pacific Telephone & Telegraph Co.(Offering to stockholders—no underwriting)
Cuba
Colohoma
Warrants—Right3
Underwriter—None.
program.
to be mailed on or about Sept. 2.
Aug.
Higginson Corp.) $1,000,000
September 15
Debentures
Lehman
(Wednesday)
Corp.
(Lee
Aldens, Inc.
(Offering
Cameo
(Wednesday)
August 31
177,500 shares
EDT)
i
$6,000,000
PDTi
a.m.
(Bids noon
September 14
$280,000,000
are
President. Office—101 Hazel
.—Common
Co
Inc.; and
Stuart & Co.
Halsey,
Alex. Erown & Sonst
$15,000,000
EDT)
noon
tion
shares of
Bonds
Utah Power & Light Co
Utah Power & Light
Baltimore & Ohio RR
Common
Co
60,000 shares
(Estabrook & Co.)
ginning Dec. 13, 1955, at $148 per share, payable by sur¬
render of $100 of debentures and payment of $48 in
cash.
Price—At face amount.
Proceeds—For construc¬
Arcturus
Massachusetts Indemnity Insurance
(Bids
(Tuesday)
rAugust 30
$3,654,000
Inc.)
Co.,
Common
„il_.
Inc.
Common
by Blyth &
stockholders—underwritten
to
Debentures
Erooks & Co., Inc. and Blair & Co.
(Tuesday)
13
California, N. A
(Offering
Genung's, Inc.
(P. W.
Debentures
Corp
September
Champlain & Co.) $289,000
C.
August 29
Gas
....Common
Maloney (M. E.) & Co., Inc
Genung's,
&
shares
to stockholders—underwritten by Burt, Hamilton
Co., Inc. and N. R. Real & Co.) $600,000
(Offering
S300,000
&
(A.
(Monday)
September 12
(Friday)
August 26
EDT)
$13,000,000
Virginia Electric & Power Co
(Bids
to be
invited)
$12,500,000
New York
Boston
Philadelphia
(Tuesday)
Preferred
Pittsburgh
San Francisco
Private Wires to all
offices
Chicago
Cleveland
32
32
The Commercial and Financial Chronicle
(800)
I
■
.
.
'
■
etc.
new
plant. Office—2590 Walnut Street, Denver, Colo.
Underwriters—Peters, Writer & Christensen, Inc. and
Garrett-Bromfield & Co., both of Denver, Colo.
Underwriter—Mountain States Securities, Inc., Den¬
ver,
Continued from page 31
Colo.
..
.
Thursday, August 25, 1955
Copper Blossom Uranium & Mining Co.
(letter of notification) 5,000,000 shares of capi¬
June 24
Carlisle Corp.,
stock
tal
Carlisle, Pa.
(par
cent). Price—Five cents per share.
mining operations. Office—65 East 4th
Salt Lake City, Utah7 Underwriter — Empire
one
shares of capital
stock (par $1).
Price—At market (estimated at $6.12V2
per
share). Proceeds—To Furber Marshall, President.
Proceeds—For
(letter of notification) 1,200,000 shares oi non¬
assessable common stock
(par one cent).
Price — 25
Underwriter—Cohu &
Proceeds—For mining expenses
Address_P. o. Box 1363, Rapid City, S. D.
UnderwriterMorris Brickley, Harney Hotel, Rapid City, S. D.
June 8
Copper Blossom Uranium & Mining Co.
June 24 (letter of notification) 5,000,000 shares of capital
stock (par one cent). Price—Five cents
per share.
Pro¬
ceeds—For mining expenses. Office—65 East 4th
South,
Salt Lake City, Utah.
Underwriter—Empire Securities
Corp., same city.
Aug.
Uranium & Minerals Corp.
Black Hills
Aug. 11
cents
Black Panther Uranium Co.,
Stacy
Co.,
&
Tex.,
per share.
Proceeds—
Underwriter—Universal Invest¬
ment Corp., Washington, D. C.
stock
For
basis."
Uranium Mines, Inc., Denver, Colo.
(letter of notification) 15,000,000 shares of com¬
stock
mon
(par
Proceeds—For
Office—801
one
cent).. Price—2xk
incident
expenses
Custis
to
cents per share.
activities.
Underwriter—
mining
Street, Denver, Colo.
Blake
Tungsten & Uranium Corp.,
Nevada-
Los
Aug.
1
to
offered
be
ing
incident to mining activities. Office—Suite 110
Building, 300 Fremont Street, Las Vegas, Nev.
Underwriter—None; shares to be offered by the officers
Investment
—
Bojo Uranium Co., Salt Lake City, Utah
(letter of notification) 3,000,000 shares of com¬
mon
stock.
Price—At par (10 cents per share).
Pro¬
ceeds—For expenses incident to mining operations.
Of¬
fice—403 Felt Building, Salt Lake City, Utah.
Under¬
writer—J. E. Call & Co., Salt Lake City, Utah.
July 8
Bonista
Co., New Orleans, La.
(letter of notification) 2,500 shares of common
stock.
Price—At par ($100 per share).
Proceeds—For
construction
of
motel
with restaurant.
Office—1609
Aug. 10
Orleans Avenue,
Underwriter—None.
New Orleans, La.
Bonnyville Oil & Refining Corp., Montreal, Can.
April 29 filed $2,000,000 5% convertible notes due July
1, 1975 to be offered for subscription by common stock¬
holders at rate of $100 of notes for each 100 shares of
stock held.
Price—95% of principal amount to stock¬
holders and 100% to public. Proceeds—For development
costs and
general corporate purposes.
Underwriter—
Statement effective June 21.
None.
•
capital.
Building,
Friedman
in
units
of two class A
&
of
and
one
class B
Mines, Inc.
—For
mining operations. Office—223 Phillips Petroleum
Bldg., Salt Lake City, Utah. Underwriter—Empire Se¬
curities Corp., same city.
Cisco Uranium Corp., Salt Lake City, Utah
Aug. 10 (letter of notification) 7,000,000 shares of capital
stock
(par one cent).
Price—Three cents per share.
Proceeds—For
mining expenses, etc. Office—2630 South
West, Salt Lake City, Utah.
Underwriter—Denver
Securities,
Inc.,
Denver,
Colo.
a
Clad
(Victor V.)
Co., Philadelphia, Pa.
June 17 (letter of notification) 120,000 shares of common
stock (par 25 cents). Price—$2.50 per share. Proceeds—
For equipment and workrng capital. Underwriter—Bar¬
rett Herrick &
Co., Inc., New York.
Clad-Rex Steel
June 6
Co., Denver, Colo.
(letter of notification) 300,000 shares of common
Price—At
stock.
($1 per share). Proceeds—To re¬
tire outstanding debts and for working capital. Office—
40th Ave. and Ulster St., Denver, Colo. UnderwritersMountain States Securities Corp. and Carroll, Kirchner
& Jaquith, Inc., both of Denver, Colo.
par
• Colohoma
Uranium, line., Montrose, Colo. (9/15)
April 21 filed 2,960,000 shares of common stock (par one
cent), of which 2,500,000 shares are to be offered pub¬
licly. Price—50 cents per share. Proceeds—For explora¬
tion and development expenses and
Oil
Boren
&
Gas
Corp.
(9/12)
ate
July 26 filed $600,000 of 6% convertible debentures due
July 15, 1975, to be initially offered for subscription by
stockholders on the basis of $100 of debentures for each
100 shares (or fraction thereof
held^. Price—At 100%
of
principal amount.
Proceeds—To pay current debt;
development program.
Offiee
—Wichita Falls, Tex.
Underwriters—Burt, Hamilton &
Co., Inc., Dallas, Tex.; and N. R. Real & Co., Jersey City,
for drilling expenses and
N.J.
Bldg., Denver, Colo.
same city.
Fort
be determined by
competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; Blair & Co. Incorporated;
White, Weld & Co.; Blyth & Co., Inc.; Kidder, Peabody
& Co. Bids—Tentatively scheduled to be received up to
9 a.m. (PDT) on Aug. 30.
Calumet &
Hecla, Inc.
116,832 shares of common stock (par $5)
being offered in exchange for all of the issued and out¬
standing capital stock of Goodman Lumber Co., Good¬
June
filed
9
the following basis: 18 shares for each
share of Goodman common stock; eight shares for each
share of Goodman 2nd preferred stock; and eight shares
for each share of Goodman 1st preferred stock; offer to
terminate on Sept. 15, 1955 (subject to withdrawal by
Calumet if the required number of Goodman shares have
not been deposited and accepted within 30 days from the
date of the mailing of the prospectus to the Goodman
stockholders). Underwriter — None. Statement effec¬
tive July 20.
man,
Wis.,
on
Canadian'Petrofina
July
15
filed
1,434,123
Ltd.
(Montreal, Canada)
shares
non-cumulative
of
par¬
preferred stock (par $10), of which 270,943
being offered in exchange for shares of $1
capital stock of Calvan Consolidated Oil & Gas Co.
ticipating
shares
are
the
basis
of
one
share
of
Canadian
Petrofina
for
Underwriter—Birkenmayer & Co.,
Insurance
Life
Co., Commercial Standard Building, Fort
Commercial Uranium Mines, Inc.
July 12 (letter of notification) 15,000,000 shares of com¬
mon stock
(par one cent).
Price—Two cents per share.
Proceeds—For expenses incident to mining operations.
Office—170 Vista Grand Road, Grand Junction, Colo.
Grand
—
Columbia
Securities
Co.,
Denver
and
Junction, Colo.
Community Credit Co., Omaha, Neb.
6
(letter of notification) 1,000 shares
June
Cromwell Uranium &
holder who received these shares in
exchange for shares,
of Kontika Lead & Zinc Mines, Ltd. Office—205 Star
Bldg., Casper, Wyo. Underwriter—Justin Steppler, Inc.,
New York.
Cuba
(Republic of)
(9/1)
Aug. 10 filed $3,000,000 of Veterans, Courts and Public
Works
of 5Y2%
preferred stock.
Price—At par ($100 per
Proceeds—For working capital.
Office—3023
Farnam
St., Omaha, Neb. Underwriter—Wachob-Bender
Corp., same city.
Conjecture Mines, Inc., Coeur d'Alene, Idaho
May 5 (letter of notification) 200,000 shares of common
stock (par 10 cents).
Price—25 cents per share. Pro¬
ceeds—For mireng expenses. Office^-326 Wiggett Bldg.,
Coeur d'Alene, Idaho. Underwriter—M. A. Cleek, Spo¬
kane, Wash.
Fiberglass, Inc.
Aug. 4 (letter of notification) 200,000 shares of
each four shares of Calvin stock and 1,163,180 shares are
stock
for
shares
of
common
stock
of
Western Leaseholds Ltd. .or Leasehold Securities Ltd. on
the basis of three shares of Canadian Petrofina for each
10 shares of Western Leaseholds
or
Leasehold Securities
stock held. These offers will expire on
Sept. 15. Under¬
writer—None.
Canadian Uranium Mines, Ltd*, Montreal, Canada
3 (regulation "D") 2,000,000 shares of common
June
stock
cent). Price—15 cents per share. Pro¬
ceeds—For exploration and development expenses. Un¬
derwriter—Tellier & Co., Jersey City, N. J.
(par
one
Caribou Ranch Corp.,
Denver, Colo.
July 15 filed 505,000 shares of common stock (par $1.)
Price—$4 per share. Proceeds—For acquisition of prop¬
erty and equipment, construction of additional facilities,
Co.
construction
of
due
Proceeds
1983.
—
which had
work.
To
Price—To
be
Romenpower
received
them
in
supplied
Eletra
bjr
Con¬
consideration
Underwriter—Allen
York.
&
! <:*i
Co., New
junmm
Dawn Uranium & Oil
Co., Spokane, Wash.
(letter of notification) 1,500,000 shares of com¬
stock. Price
10 cents per share. Proceeds—For
June 16
mon
—
uranium and oil
exploration. Office—726 Paulsen Bldg.,
Empire State Bldg., same city.
Day-Brite Lighting, Inc., St. Louis, Mo.
(9/8)!
Aug. 12 filed 259,410 shares of common stock (par $1),.
50,000 shares
are
for the account of the
com¬
and 209,410 shares for three selling stockholders*.
be supplied by amendment.
Proceeds—For
pany
Price—To
working capital.
St. Louis, Mo.
Underwriter
—
Scherck, Richter
Co.,
(letter of notification) 2,999,000 shares of com¬
(par one cent). Price—10 cents per share.
stock
Proceeds—For
oil
and
Club Bldg., Denver,
ner & Jaquith, Inc.,
gas operations.
Office—Denver
Colo. Underwriter—Carroll, Kirch¬
Denver, Colo.
ic Dinosaur Uranium Corp., Salt Lake City, Utah
Aug. 15 (letter of notification) 15,000,000 shares of com¬
mon stock.
Price—At par (one cent per share).
Pro¬
ceeds—For expenses incident to mining activities. Office
—15 Exchange Place, Salt Lake City, Utah.
Underwriter
—Western States Investment Co., same city.
Dinosaur
Uranium Corp., Seattle, Wash.
(letter of notification) 1,750,000 shares of com¬
mon stock. Price—At par (10 cents per share). Proceeds
—For mining expenses. Office—1226-1411 Fourth Ave.
June 20,
Bldg., Seattle, Wash.
Dix Uranium
Corp., Provo, Utah
(letter of notification) 6,000,000 shares of non¬
capital stock.
Price—At par (five cents per
Proceeds—For mining expenses.
Office—290
Aug. 10
assessable
share).
North
University
Webef
Investment
Ave., Provo, Utah.
Co., Provo, Utah.
Underwriter
—
Dome Uranium
Mines, Inc., Denver, Colo.
(letter of notification) 1,300,000 shares of com¬
mon stock (par one cent).
Price 20 cents per share. Pro¬
ceeds
For expenses incident to mining operations;
Office—352 Colorado National Bldg., Denver, Colo. Un¬
derwriters—R. L. Hughes & Co.,
Denver, Colo, and G,
W. Allen & Co., Cheyenne, Wyo.
July 12
common
For advance to
exchange
% bonds
struction
—
Consolidated
offered
in
4
amendment.
cumulative
share).
Development Co., Inc. (9/6)
Crown Uranium Co., Casper, Wyo.
May 6 (letter of notification) 225,435 shares of common
stock (par five cents). Price—At market
(estimated at
about 15 cents per share). Proceeds—To
selling stock¬
mon
1, Texas.
Underwriter
•
May 25 (regulation "D") 300,000 shares of common stock
(par five cents). Price—$1 per share. Proceeds—For
exploration and development expenses, etc.
Offices—
Toronto, Canada, and New York, N. Y. Underwriter—►
James Anthony Securities
Corp., New York.
June 23
Co.,
Worth, Texas
Insurance
Worth
Coso Uranium, Inc.,
Long Beacfc, Calif.
May 31 (letter of notification) 3,000,000 shares of capi¬
tal stock.
Price—At par (10 cents per share). Proceeds
—For mining expenses.
Office—2485—American Ave.,
Long Beach 6, Calif. Underwriter—Coombs & Co., of
Los Angeles, Inc., San Francisco and Los
Angeles, Calif.
Denver-Golden Oil & Uranium Co.
Standard
July 28 (letter of notification) 10,000 shares of common
stock (par $10).
Price—$15 per share. Proceeds—For
capital and surplus. Underwriter—Commercial Stand¬
ard
Proceeds—For mining expenses. Office—404
UniversityBuilding, Denver, Colo. Underwriter—Peters, Writer <8e
Christensen, Inc., Denver, Colo.
of which
Colorado Oil & Uranuim Corp.
June 7 (letter of notification) 300,000 shares of cofitrfion
stock (par 20 cents).
Price—$1 per share. Proceeds—
For oil and mining activities.
Office — 350 Equitable
(8/30)
July 2 filed $6,000,000 of first mortgage bonds, due 1985.
Proceeds—For reduction of bank loans. Underwriter—To
par
York; and Shaiman & Co., Denver, Colo.
Commercial
California Electric Power Co.
on
for general corpor¬
Underwriters—General Investing Corp.»
purposes.
New
For
non¬
April 22 (letter of notification) 4,000,000 shares of capi¬
tal stock. Price—At par (five cents per share). Proceeds
2nd
June 8 (letter of notification) 2,995,000 shares of common
stock. Price—At par (10 cents
per share).
Proceeds—
Corfez Uranium & Mining Co., Denver, Colo.
May 27 (letter of notification) 3,000,000 shares of com¬
mon
stock (par one cent).
Price—10 cents per share.
Underwriter—Crichton
Charleston, W. Va.
Co., same address.
Chieftain Uranium
city.
same
Co.,
Proceeds—For general work¬
National Bank of Commerce
Office—505
Corp.,
mining operations. Offices — 738 Majestic Bldg.,
Denver, Colo., and 317 Main St., Grand Junction, Colo.
Underwriter—Lasseter & Co., Denver, Colo.
Farming-
Gruber
Underwriter—P. J.
Price—$5 per unit.
Aug. 15 (letter of notification) 2,520,000 shares of capi¬
tal stock.
Price —10 cents per share.
Proceeds — For
Corp., Denver, Colo.
July 29 (letter of notification) 1,000,000 shares of com¬
mon stock
(par 10 cents). Price — 30 cents per share.
Proceeds
For expenses incident to mining operations.
Office—612 Kittredge Bldg., Denver, Colo. Underwriter
—Peters, Writer & Christensen, Inc., Denver 2, Colo.
Boulevard,
Office—Allen
common
share.
Blenwood Mining & Uranium
Proceeds—
stock, class A—(par 50 cents) and 60,000
shares of voting common stock, class B (par 10 cents)
Vegas,
and directors of the company.
share.
per
Parking; Service, Inc..
(letter of notification) 120,000 shares
voting
.
expenses
Price—$1.75
$1).
(par
product research and development, machinery and
Charleston
Securities Co., Inc., same city.
Columbia
Securities
Cordillera Mining Co., Denver, Colo.
(letter of notification 100,000 shares of common
working capital.
dale, L. I., N. Y.
Inc., New York.
Blacks tone
Aug. 3
Price—$1
South,
Century Controls Corp.
Aug. 5
"best efforts
on
Uranium Co., Moab, Utah
(letter of notification) 300,000 shares of common
(par five cents).
mining expenses.
For
Oklahoma City, Okla.
Houston,
7,000
Co., New York, N. Y.
stock
July 12 filed 500,000 shares of common stock (par 10
cents).
Price—$1 per share. Proceeds—To explore and
drill leases and claims in State of Utah. Underwriter—
Porter,
notification)
Cedar Springs
share.
per
of
(letter
4
(par 10 cents).
Price—$1.50
per
share.
Proceeds—
Alumin-Aire, Inc., a subsidiary, and for
acquisition of, advances to and investment in other com¬
panies that may be organized or acquired. Office—118
West 22nd St., New York City. Underwriter—J. J. Riordan & Co., Inc., New York City.
^- Consumers' Cooperative Services, Inc.
Aug. 18 (letter of notification) 7,000 shares of
stock.
Price—At
common
($5 per unit). Proceeds—For ex¬
pansion and modernization of its grocery store. Office
—38 Park Row, New York, N. Y.
Underwriter—None.
par
Cook Industries, Inc., Dallas, Texas
Aug. 1 (letter of notification) 107,915 shares of common
stock (par $1).
Price—$1.50 per share. Proceeds—For
general corporate
curities.Co.
-
*
purposes.
•
;
Underwriter—Central
•
-
.
'
•
*
t-
.'
Se¬
Dow
Chemical
Co.,
Midland, Mich.
Aug. 5 filled 200,000 shares of
to
be
offered
to
employees of
common
stock
(par $5)
and certain of
subsidiaries and associated companies.
Subscriptions
will be accepted from
Sept. 6 through Sept. 30. Price—
To be determined near the end of
August, 1955. Proceeds
—For General corporate
purposes. Underwriter—None.
company
its
•
Eastern Lime Corp.,
Kutztown, Pa. (9/6-7)
Aug.-10 filed $800,000 of 15-year 6% convertible de»
bentures due Sept. 1, 1970, and 30,000 shares of
common,
stock (par $2). Price—To be
supplied by amendment.
Proceeds—To repay bank loans and to establish a
hew
quarry in Oley, Pa. Underwriters—Stroud & Co., Inc..
Philadelphia, Pa.;
Allentown, Pa.
and
Warren
W.
York
&
Co.,
Inc.
.'
I
Volume 182
Number 5458
.
J
.
.
★ Electric Truck Co. of America, Inc.
Aug. 19 (letter of notification) 98,000 shares of common
stock
Price—50 certts per share.
Pro¬
experimentations with present working
(par 10 cents).
ceeds
For
—
model
of electric truck; to acquire two additional mod¬
els; and for other general corporate purposes.
Office—
11 West 42nd
St., New York, N. Y.
Underwriter—None.
if Empire Southern Gas Co., Fort Worth, Tex.
Aug. 4 (letter of notification) 12,000 shares of common
stock (par $5) to be offered for subscription by stock¬
holders. Price—To stockholders, $21 per share; and to
public, at market (estimated at $25 per share). Proceeds
—For construction of pipeline. Office—2509 West Berry
Street, Fort Worth, Texas.
Underwriter—None.
if Erie County Investment Co., Sandusky, Ohio
Aug. 10 (letter of notification) 7,500 shares of cumula¬
tive preferred stock
of
each.
capital to finance general expansion.
Office—169 East
Washington Row, Sandusky, Ohio.
Underwriter — The
First Cleveland Corp., Cleveland, Ohio.
capital
stock (par 50 cents).
Price—$1 per share. Proceeds—
For mining expenses.
Office—2320 South Main Street,
Salt Lake City, Utah.
Underwriter — Eliason, Taylor,
Cafarelli Co., Las Vegas, Nev.
Price—At 100% of principal amount
(in denominations of $250 each). Proceeds—To provide
company with necessary funds to comply with require¬
ments of surplus to policyholders under New York and
other state laws. Underwriter—None.
Fidelity Insurance Co., Mullins, S. C.
March 25 (letter of notification) 86,666 shares of com¬
mon stock
(par $1). Price—$1.87y2 per share. Proceed!
—To increase capital and surplus.
Underwriters—McDaniel Lewis & Co., Greensboro, N. C.; Dietenhofer &
Calhoun & Co.,
Heartfeld, Southern Pines, N. C.; and
Spartanburg, S. C.
Five States Uranium Corp.
(letter of notification) 3,000,000 shares of com¬
Price—At par (10 cents per share). Pro¬
stock.
mon
Fremont Uranium
Office—1019 Simms Bldg.,
Underwriters — Coombs & Co. of
Ogden, Inc., Odgen, Utah; and Shelton Sanders Invest¬
ceeds—For miaing expenses.
Albuquerque, N. M.
ceeds—For mining expenses.
City, Utah. Underwriter — Moab Brokerage
Co., Western States Investment Co., Potter Investment
Co., Mid-America Securities, Inc. of Utah, and CashinEmery, Inc., all of Salt Lake City, Utah.
GAD
Flight Engineering Corp.
Aug. 12 (letter of notification) 300,000 shares of class A
common stock.
Price—At par ($1 per share).
Proceeds
^Florida
purchase of inventory, operating expenses, adver¬
tising, and promotion.
Office—269 Giralda Ave., Coral
Gables, Fla.
Underwriter—None.
•—For
Inc., Jersey City, N. J.
(9/8)
Aug. 17 filled $7,691,250 of 20-year debentures due
Sept.
1, 1975, and an aggregate of 2,342,075 shares of common
stock
(par one cent), of which the deebntures and
1,692,075 shares of stock are to be offered for subscrip¬
by common stockholders of Food Fair Stores, Inc.
Sept. 8 on the basis of $50 of debentures and
11 shares of stock for each 20 shares of Food Fair Stores
tion
of record
common
The
be
for
stock held; rights to
expire on or about Sept. 27.
to
unit; and $1 each
To purchase from
650,000 shares of common stock
remaining
are
placed privately. Price—$50 per
the 650,000 shares.
Proceeds —
Fair Stores two tracts of land and for improve¬
Food
ments
Underwriter
thereon.
—
Eastman, Dillon & Co.,
York.
New
Foremost
ceeds—For
4y2% cumulative preferred stock, sink¬
ing fund series (par $50) and 4V2% cumulative preferred
stock, sinking fund series of 1955 (par $50) at the offer¬
ing price; and $5,000,000 are being offered in exchange,
par for par, for the outstanding 50,000 shares of. Philadel¬
phia Dairy Products Co., Inc. first preferred stock.
Both offers will expire on Aug. 31.
Price — 105% of
principal amount. Proceeds—To redeem preferred stocks.
Underwriters—Allen & Co. and Salomon Bros. &
Hutzler,
both of New York.
preferred and 3,349 shares of common stock of Phila¬
delphia Dairy Products Co., Inc., on the basis of 4Vi
shares of Foremost common for each Philadelphia pre¬
ferred share and five shares of Foremost common for
Pitt
Packaging
International,
Inc.
shares of common stock (par 10C),
of which 250,000 shares of for account of company and
June 30 filed 300,000
50,000 shares of five selling stockholders. Price—$3 per
share. Proceeds—For working capital; for exploitation
of
"Totosave"
Ray"
infra-red
system;
space
and
for
heater.
marketing of
Office
—
"Tropic-
Pittsburgh,
Pa.
Underwriter—Barrett Herrick & Co., Inc., New York.
Fowler
Vernon
and
O'Connor and Associates,
Washing¬
Gallina Mountain Uranium Corp.
July 29 (letter of notification) 500,000 shares of common
stock (par one cent). Price—An aggregate of $50,000.
Proceeds—For mining expenses. Office—82 Beaver St.,
New York. Underwriter
Prudential Securities Corp.,
same
address.
Gas Hills
Mining & Oil, Inc., Kemmerer, Wyo.
(letter of notification) 1,000,000 shares of capi¬
tal stock (par five cents).
Price — 25 cents per share.
Aug. 1
Proceeds—For oil and
mining expenses. Underwriter—
Empire Securities Corp., Las Vegas, Nev.
it Gemco Corp., Baltimore, Md.
Aug. 8 (letter of notification) 14,800 shares of class A
preferred stock (par $10); 100 shares of class B common
stock (par $10); and 10,000 shares of class C common
stock (par 10 cents).
Price — At par. Proceeds — For
rental of building; purchase of equipment; and other
corporate purposes. Office—1445 Meridene Drive, Bal¬
timore 12, Md. Underwriter—None.
if General Capsule Corp., Fraser, Mich.
Aug. 9 (letter of notification) 285,000 shares of class A
common stock (par 10 cents).
Price—$1 per share. Pro¬
ceeds—For equipment and engineering; inventory, pro¬
motion and sales and working capital.
Office — 31425
Fraser
Drive, Fraser, Mich.
Underwriter—General
vesting Corp., New York, N. Y.
per
•
Co., New York.
General
-
Half Moon Uranium
Corp., Ogden, Utah
Aug. 10 (letter of notification) 8,000,000 scares of
Minerals Corp.,
Dallas,. Texas
Telephone Co.,
Pella, la.
May 6 (letter of notification) $260,000 of 4% first mort¬
gage bonds, series A, due May 1, 1975. Price—At par
(in denominations of $1,000 each). Proceeds—To retire
existing debt, acquire Northwestern Bell properties in
Leighton, la., and for conversion of both exchanges to
dial operation.
Underwriter — Wachob-Bender Corp.,
Omaha, Neb.
capital
(two cents per share).
Proceeds
mining expenses. Office—E-17 Army Way, Ogden,
Utah.
Underwriter—United Intermountain Brokerage
stock.
Price—At par
—For
Hardy-Griffin Engineering Corp., Houston, Texas
July 8 (letter of notification) 240,000 shares of common
stock (par one cent). Price—$1.25 per share. Proceeds—
For purchase of machinery and equipment and working
capital. Underwriter—Benjamin & Co., Houston, Texas.
Hawk Lake Uranium Corp.
April 12 filed 200,000 shares of common stock (par 10
cents). Price—$1.50 per share. Proceeds — For mining
Underwriter—Dobbs
agents.
etc.
expenses,
City, will act
Co., New
&
York
as
Hilo Electric Light Co., Ltd., Hilo, Hawaii
(9/5)v
Aug. 1 filed 25,000 shares of common stock to be offered
for subscription by stockholders of record Sept. 5 on the
basis of one new share for each five shares; unsubscribed
shares to be first offered to employees at rate of five
shares for each full year of employment; then to
general
public. Price — To stockholders and employees, at par
($20 per share); and to public, at prevailing market price
($25.87y2 per share on July 22, 1955). Proceeds — Fcr
expansion and improvement. Underwriter—None.
Home-Stake Production Co., Tulsa,
Okla.
May 12 filed 60,000 shares of capital stock (par $5) and
.1,000 debentures (par $100) to be offered for sale in
units of 60 shares of stock and one $100 debenture, cc
Price—$400 per unit. Proceeds—Fcr
Underwriter—None. O. Strother Simp¬
of Tulsa, Okla., is President.
multiples thereof.
working capital.
son,
(9/5)
of common
(par $15) to be offered for subscription by com¬
^ Housatonic Public Service Corp.
Aug. 15 (letter of notification) 11,225 shares
stock
mon
stockholders of record Aug. 23 on the basis of one
new
share
Sept.
for each 33
Price—$22
26.
shares held; rights to expire en
share.
Proceeds—For con¬
Office—33 Elizabeth St., Derby,
per
struction expenditure^.
Underwriter—None.
Conn.
Uranium Corp., Salt
Inca
Lake City, Utah
April 25 (letter of notification) 15,000,000 shares ct
capital stock. Price—At par (one cent per share). Pro¬
ceeds—For mining expenses. Office—1946 S. Main St.,
Salt Lake
Underwriter
City, Utah.
Industrial
(par $1).
share. Proceeds—For plant expansion, new
equipment, inventory and working capital.
Office—
Huntington Station, L. I., N. Y. Underwriter—S. D. Ful¬
ler &
-
Guss & Mednick
—
Co., Salt Lake City, and Moab, Utah.
Homes, Inc.
Dec. 15 filed 300,000 shares of common stock
Price—$5
In¬
(9/1)
July 21 filed 1,850,000 shares of common stock (par $1).
Price—To be supplied by amendment (may be around
$2 per share). Proceeds—To purchase the production
payments to which the company's oil properties are now
subject; to pay an obligation of S. Y. Guthrie, President;
and for acquisition of additional uranium properties and
exploration, development and mining of its present
properties. Underwriters — Sanders & Newsom and
Rauscher, Pierce & Co., both of Dallas, Tex.; and Laird
& Co., Wilmington, Del.
Hardware Mfg. Co.
(amendment) $1,500,000 of 5% debentures due
1975 and 300,000 shares of common stock (par 50 cents),
of which 85,000 shares are to be sold to Seymour and
Bernard Offerman at $5 per share. Price—To be sup¬
plied by amendment. Proceeds—To purchase Hugh H.
Eby Co. and Wirt Co. Underwriters—Hallowell, Sulz¬
berger & Co., Philadelphia; and Baruch Brothers & Ce.f
Inc. and Weill, Blauner & Co., Inc., both of New York.
May 12
Uranium Corp.,
Inland Oil &
Denver, Colo.
(letter of notification) 1,200,000 shares of com¬
mon stock
(par 10 cents). Price — 25 cents per share.
Proceeds—For expenses incident to oil and gas activities.
Office—3975 East 58th Ave., Denver, Colo. Underwriter
July 18
—Shaiman & Co., Denver,
Colo.
'
Interstate Amiesite Corp.
19 filed $438,200 of 5V2% convertible debentures
1965, to be offered first for subscription by stock¬
holders at the rate of $20 of debentures for each 16
July
Genung's, Inc. (8/29-9/2)
Aug. 5 filed $1,000,000 of 5%% sinking fund deben¬
tures due 1975 (with detachable seven-year warrants to
due
stock for each
$1,000 of debentures, at prices ranging from $8 to $15
per share over the period), together with 25,000 shares
Proceeds
•
50 shares of $1
purchase
common
stock.
par
Price—100%
the debentures and $7 per
common
of principal amount for
share for the stock.
Proceeds
Approximately $290,000 to pay insurance company
loan, reduce certain borrowings and increase working
capital.
Office—Mount Vernon, N. Y. Underwriters—
P. W. Brooks & Co., Inc. and Blair & Co. Incorporated,
—-
both of New York.
Colo.
(letter of notification) 2,000,000 shares of com¬
(par one cent). Price — 15 cents per share.
Proceeds—For expenses incident to mining. Office—701
stock
Moline
held.
—
Price
For
St., Aurora, Colo.
Underwriter—Robert J. Con-
nell, Inc., Denver, Colo.
j
Hyattsville, Md.
shares of common
share. Proceeds—
capital. Office—3504—56th Street, Hyatts¬
Chicago 5, 111.
Denver, Colo.
Avenue,
of America, Inc., Pawtucket, R. I.
Underwriter—Weill, Blauner &
Co., Inc., New York.
Great Eastern Mutual
Life Insurance Co.
(letter of notification) 45,583
shares of common
to be offered for subscription by stock¬
holders of record June 10 in the ratio of one new share
(par $1)
shares held; stock not
subscribed for by
Sept. 10, 1955 will be offered to public. Price—To stock¬
holders, $3 per share; and to public, $5 per share. Pro¬
ceeds—To increase capital and surplus accounts. Office—
Boston
Bldg.,
Denver,
Colo. Underwriter—None.
Great Yellowstone Uranium
June 29
mon
(letter of notification)
stock
Co.
1,200,000 shares of com¬
(par 10 cents).
Price—25 cents per share.
mining operations. : Off ice—139 N. Vir¬
Proceeds—For
Bituminous
Bldg.,.
Underwriter—Columbia Secu¬
Continental j Telephone Co., Grinnell, Iowa
(letter of notification) 12,000 shares of 5JA%
cumul. preferred stock. Price—At par ($25 per share).
Proceeds—For extension and improvement of the com¬
pany's plant and equipment.
Office—913V2 Broad St.,
11
Underwriters—White, Weld & Co., Chi¬
Davenport, Iowa. Offering—
Grinnell, Iowa.
cago,
111. and Quail & Co.,
being made.
Israel
28
—For
Underwriter—None.
eral corporate purposes.
210
—
rities Co.,
Pecan
(par one Israeli
for each three
by amendment.
lola Uranium Corp.
For working
stock
supplied
July 26 (letter of notification) 1,200,000 shares of com¬
stock (par one cent).
Price—25 cents per share.
Proceeds—For mining costs. Office—1414 So. Michigan
Feb.
June 23
be
mon
if Global Tours, Inc.,
if Gob Shops
(9/6)
To
paving materials. Office—Delaware Trust
Wilmington 99, Del. Underwriter—None.
Aug. 5 (letter of notification) 40,000
stock (oar 25 cents).
Price—$1 per
ville, Md.
—
working capital. Business
concrete
Aug.
July 18
mon
shares
if Iowa
Gibralter Uranium Corp., Aurora,
July 27 (letter of notification) 99,000 shares of common
stock (par $1). Price—$3 per share. Proceeds—For gen¬
Philadelphia common share. Underwriter—None.
Fort
Mount
Underwriter-—T. J.
working capital.
Avenue, Alexandria, Va.
factory
of
Co. and Walter Sondrup &
Now
if Foremost Dairies, Inc.
Aug. 18 filed 202,925 shares of common stock (par $2)
to be offered in exchange for 43,807 shares of second
one
purchase
Office—1710
of
Dairies, Inc.
July 21 filed $20,000,000 of 4V2% subordinated deben¬
tures due Jan. 1, 1981, of which $15,000,000 are being
offered first to holders of the outstanding $4.50 preferred
stock (par $100),
Enterprises, Inc., Alexandria, Va.
(letter of notification) 260,000 shares of com¬
stock
(par 10 cents). Price—$1 per share. Pro¬
March 15
General
Fair Properties,
Office—515 Deseret Bldg.,
Salt Lake
mon
Underwriters—Cromer Brokerage
Co., both of Salt Lake City,
ginia St., Reno, Nev.
Utah.
Corp., Ogden, Utah.
»
stock.
mon
ments, Albuquerque, N. M.
if Food
Co., Salt Lake City, Utah
(letter of notification) 15,000,000 shares of com¬
Price—At par (one cent per share). Pro¬
Aug. 1
—
Mutual Insurance Co., Albany, N. Y.
June 28 filed $1,500,000 of 5% debentures to be offered
directly to members of the American Farm Bureau
Federation and to State Farm Bureau Federations and
Farm Family
June 30
Co., Berkeley, Calif.
of common stock (par $10).
Price—$22 per share. Proceeds—For capital and surplus.
Business—All insurance coverages, except, life, title and
mortgage.
Office—2054 University Avenue, Berkeley,
Calif., c/o Ray B. Wiser, President. Underwriter—Any
underwriting agreement will be made on behalf of this
company by Uni-Insurance Service Corp.
ton, D. C.
Fairway Uranium Corp., Salt Lake City, Utah
May 23 (letter of notification) 275,000 shares of
local organization.
Insurance
June 6 filed 1,000,000 shares
(par $20) and 7,500 shares of com¬
(par $10), to be offered in units of one share
Price—$35 per unit.
Proceeds—For working
stock
mon
Freedom
33
(801)
The Commercial and Financial Chronicle
Plantations, Ltd.
shares of ordinary common
filed 24,900
pound). Price—$10 per share.
capital expenditures.
—Natanya, Israel, and
stock
Proceed!
Underwriter—None. Office!
New York, N. Y.
if Johnston Container Corp., Indianapolis, Ind.
Aug. 12 (letter of notification) 10,000 shares of common
stock
(par $1).
Price—$10 per share. Proceeds—For
purchase of machinery and equipment, obtain a manu¬
facturing plant and for working capital.
Office —145
Berkley Rd.,
Kachina
Indianapolis, Ind.
Underwriter—None.
Uranium Corp., Reno,
Nev.
May 12 (letter of notification) 600,000 shares of common
stock (par 10 cents). Price—50 cents per share.
For mining expenses. Office—206 N. Virginia St., Ren-:?,
Proceed!
Nev.
Underwriter—Whitney, Cranmer &
Denver.
Schulder, Inc.,
Colo.
Kirby Oil & Gas
Co.
of common stock (par $1),
for the account of the com¬
for the account of the Murch;-
July 8 filed 200,000 shares
of which 100,000 shares are
pany
and 100,000 shares
•
Continued
on page
34
34
(802)
The Commercial and Financial Chronicle
..
Thursday, August 25, 1955
.
l
Continued from page 33
son-Richardson
ers
financial
interests
of
Texas.
shares
stock. Price—At par
(one cent per
ceeds—For mining expenses.
Main
common
Office—2174
Salt Lake
same
City, Utah.
Underwriter
—
of
per
St.,
com-
share.
mining activities.
Office—c/o Warren E. Morgan,
President, 1705 East First
South, Salt Lake City, Utah.
Underwriter—Empire Se¬
curities Corp., Las
Vegas, Nev.
(letter of notification) 6,000,000 shares of
capital
stock. Price—At
par (five cents per share). Proceeds—
For mining
expenses.
Office
124*6 South Main St.,
Newcastle, Wyo. Underwriter
Mid-American Securi¬
ties, Inc. of Utah, Salt Lake City, Utah.
—
—
and
Accident
Insurance
Co.
of
Alabama
June 2 filed
750,000 shares of class B (non-voting)
stock
com¬
(par $1). Price—$3 per share. Proceeds—To
increase capital and
surplus. Office—Gadsden, Ala. Un¬
derwriter
None, sales to be handled by Burlus Ran¬
dolph Winstead, Secretary and Treasurer of the com¬
—
pany.
Link-Belt Co., Chicago, III.
Aug. 12 filed 134,433 shares or
offered
Syntron Co.
stock
common
(par $5)
in
exchange for the common stock of
rate of 5.4 shares of Link-Belt
stock for
share. The exchange will become effective
at
Syntron
if 95% of the 24,895 shares of
outstanding Syntron stock
are deposited for
exchange; but Link-Belt reserves the
right to declare the exchange effective if not less than
80%
10,899
shares
of
Syntron shares
are
common
a
lV2-for-l
common
basis.
to
on
Sept. 30.
on
a
l-for-l1^
stockholders of
Offer will expire
Underwriter—None.
deposited
so
in
exchange.
Lone Star
Uranium & Drilling Co., Inc.
April 7 (letter of notification) 570,000 shares of common
stock (par 10
cents). Price—50 cents per share. Pro¬
ceeds—For mining expenses. Office—1100
Fidelity Union
Life Bldg.,
Dallas, Tex. Underwriter
Christopulos—
Nichols Co., Las Vegas, Nev.
•
Lyman-Farnsworth Corp.
May 6 (letter of notification as amended) 3,000,000 shares
of capital stock
(pai- one cent). Price—10 cents per share.
Proceeds—For mining operations. Office—201 No. Main
St., Salt Lake City, Utah. Underwriter—Pioneer Invest¬
ments, Las Vegas, Nev.
Mackey Airlines, Inc., Ft. Lauderdale, Fla.
July 29 filed 333,334 shares of common stock
(par 33V3
cents), part of which are to be offered for
subscription
by common stockholders and part to Joseoh C.
Mackev,
President of company. Price—To be
supplied by amend¬
ment.
Proceeds
For purchase of equipment and for
Meteor Air Transport, Inc.
July 29 (letter of notification) 5,963 shares of Class A
stock (par $1) to be issued upon exercise of warrants at
$1.50 per share. Proceeds—For working capital. Under¬
writer—Eisele & King, Libaire, Stout & Co., New York.
No general offering is planned.
if Ministers' Service Society, Stevenville, Md.
Aug. 15 (letter of notification) $5,000 of 20-year sinking
fund 4*6% series A bonds.
Price—At par (in denomina¬
tions of $25, $50, $100, $250 and
Box
•
$500).
Address—P. O.
Underwriter—None.
42, Stevenville, Md.
Fla.
Underwriters—Atwill & Co.,
Beach, Fla., and Emerson Cook Co., Palm Beach.
July 28 filed $2,000,000 of 4*/4% convertible subordinate
debentures
due
1975, being offered for subscription
stockholders
basis
$100
of
record
Aug.
18,
by
the
held;
rights to expire on Sept. 8. Price — 100% of principal
amount.
Proceeds—To retire $1,500,000 of outstanding
4*/4% bonds due 1974 and prepay $457,000 of 4V4% notes
due
to
1956.
Office—Jackson, Mich.
Underwriter —
Equitable Securities Corp., Nashville, Tenn.
of
of
debentures
for
each
25
1955,
on
shares
Mitchell Mining Co., Inc., Mount Vernon, Wash.,
May 13 (letter of notification) 500,000 shares of common
stock (par 10 cents). Price—50 cents per share. Proceeds
—For mining expenses. Address—P. O. Box 301, Mount
Vernon, Wash. Underwriter—Standard Securities Corp.,
Spokane, Wash.
Moab King, Inc.
April 4 (letter of notification) 10,000,000 shares of com¬
mon
stock.
Price—At par (one cent per share). Pro¬
ceeds—For paining expenses. Office—210 7,ions Savings
Bank Building, Salt Lake City, Utah.
Underwriter —
Potter Investment Co., same city.
Monte Carlo
Mines, Inc.
June 6 (letter of notification) 6,000.000 shares of com¬
mon stock.
Price—At par (five cents per share). Pro¬
ceeds—For mining expenses.
Office — 706 Newhouse
Bldg., Salt Lake City, Utah.
Underwriter—Mid-Con¬
tinent Securities, Inc.. same city.
of
600,000
common
stock (par 10 cents) to be offered
first for subscription
by stockholders. Price—To stock¬
holders, 50 cents per share; unsubscribed shares to
pub¬
Proceeds—For general corpo¬
Underwriters—Gearhart & Otis, Inc. and
Hunter Securities Corp., both of New
York City; and
T. J. Feibleman &
Co., New
per
share.
rate purposes.
Orleans, La.
•
Maloney (M. E.) & Co., Inc. (8/26)
Aug. 5 (letter of notification) 289,000 shares of common
stock (par 10 cents).
Price—$1 per share. Proceeds—
For working
capital. Business
General contractors.
—
Office
511 Center
Ave., Mamaroneck, N. Y. Under¬
writer—A. C. Champlain &
Co., New York, N. Y.
• Marine
Midland Corp.,
—
Buffalo, N. Y.
Aug. 5 filed 43,000 shares of common
ing offered in exchange for all of the
stock
of
The
stock
(par $5) be¬
outstanding capital
Citizens National Bank of
Springville on
the basis of 4*A Marine Midland
share of Citizens stock held
one
common
as
of
shares for each
Aug. 19.
The offer
is subject to acceptance
by holders of not less than
(8,000 shares) of Citizens stock and will
expire
80%
Sept. 9.
if Mascot Mines, Inc.
Aug. 1 (letter of notification) 300,000 shares of common
stock
(par 35 cents).
Price
62*6
cents per
share.
—
Proceeds —For
expenses incident to mining activities.
Underwriter—Standard Securities Corp.,
Spokane, Wash.
+ Massachusetts Indemnity Insurance Co.
Aug. 19 filed 60,000 shares of capital stock
Price —To
(9/13)
(par $5).
be supplied by amendment.
Proceeds —To
selling stockholders. Underwriter—Estabrook &
Co., Boston, Mass.
certain
if Monte Cristo Uranium Corp.
Aug. 19 filled 2,000,000 shares of common stock (par one
Price—$1 per share. Proceeds—For purchase of
certain
claims designated "Lower'Claims Group.'1 Office
—Salt Lake City, Utah. Underwriter—None.
Morning Sun Uranium, Inc., Spokane, Wash.
14 (letter of notification) 700,000 shares of com¬
June
stock
mon
same
(par 10 cents).
Price
stock (par one cent).
—For working
Price—$1
share. Proceeds
Office—825 Western Savings
capital, etc.
Bldg., Philadelphia, Pa.
Bliedung, Washington, D. C.
Fund
Merritt-Chapman
June
28
$12.50)
filed
being
&
per
Underwriter
—
Carl
J.
314,718
offered in
exchange
as
(par
102,250
Raynolds &
follows;
shares to class A stockholders of Devoe
&
Co., Inc. on basis of 1% shares for each
Devoe
6,621 shares to class B common
stockholders
1%-for-l basis; 127,623 shares to common
of
share;
Devoe
on
25 cents per share.
—
415 Paulsen
Underwriter—Pennaluna & Co.,
Mortgage Associates, Inc., Philadelphia, Pa.
7 (letter of notification) 20,000 shares of 60-cent
convertible
preferred stock
of
stock
(par $5) and 20,000 shares
(par 10 cents). Price—For preferred,
$10 per share; and for common, $2.50 per share. Proceeds
—For construction loans and acquisitions. Underwriters
—Rambo, Close & Kerner Inc., Philadelphia, Pa.; and
J. S. Hope & Co., Scranton, Pa.
common
Narda Corp.
Aug. 8 (letter of notification) 50,000 shares of common
stock (par 10 cents).
Price—$1 per share.
Proceeds—
To repay bank loan; and for expansion to
develop ad¬
ditional
products
Electronic
Mineola,
and
for
test
equipment.
L. I., N. Y.
working capital.
Office—160
Business—
Herricks Road,
stockhold¬
determined
by
Co.
Inc.; Harriman Riplley & Co. Inc. and Stone & Web¬
Corp. (jointly); Kuhn, Loeb & Co.; Blyth
Co., Inc.; Union Securities Corp. and Salomon Bros.
&
& Hutzler
(jointly); The First Boston Corp. Bids—To
(EDT) on Sept. 20.
received up to 11 a.m.
★ Ohio Power Co.
be|
(9/20)
Aug. 17 filed 60,000 shares of cumulative preferred stock
(par $100). Proceeds—For construction program.
Under-[
writer—To be determined by competitive bidding. Prob-
ablel bidders: Blyth & Co., Inc.; Lehman Brothers; Kuhn,
Loeb & Co.; Harriman Ripley & Co., Inc. and Stone &
Securities
Corp.
(jointly);
The
First
Boston!
Corp.; Union Securities Corp. and Salomon Bros &
Hutz-|
ler (jointly). Bids—To be received up to 11 a.m. (EDT)
on Sept. 20.
<
^Opportunities U. S. A. Inc., Wilkesbarre, Pa.
(letter of notification) 12,000 shares cf class A
voting stock (par $2) and 240,000 shares of class B non¬
voting stock (par $1).
Price—For class A stock $5 per
share and for class B stock
$1 per share.
Proceeds—For
factory, purchase of machinery and equip¬
ment, and for research and general corporate purposes.
Office—Suite 813, Miners Nat'l Bank Bldg., Wilkesbarre,
erection of
a
Underwriter—None.
Pa.
'
i
Orange Hotel, Inc., Dallas, Texas
July 19 filed $450,000 of registered 4% sinking fund
debentures due May 1, 1985, which are to be
offered]
in exchange for $375,000 principal amount of registered
4% debentures and 3.750 shares of $20 par stock of
Orange Community Hotel Co. in the ratio of $120 of new
debentures for each $100 of debentures and 20 shares of
stock of the Community company. Underwriter—None.
ir Pacific
International
Metals
& Uranium, Inc.
12,000,000 shares of com¬
Aug. 12 (letter of notification)
mon
stock.
Price—At par (one cent per share).
Pro¬
ceeds—For expenses incident to mining activities. Office
—419
Judge Bldg., Salt Lake City, Utah.
Guss
Securities
Underwriter—
Co., Salt Lake City, Utah.
Pacific Telephone &
Telegraph Co.
,
(8/31)
July 29 filed 1,339,196 shares of common stock (par $100)
be offered for subscription by preferred and common
to
stockholders in
shares held
the ratio
of
one
new
share
for each six
of
Aug. 31; rights to expire on Sept. 30.
American Telephone & Telegraph Co., the
parent, owns
90.89% of Pacific's outstanding stock and intends to
subscribe for 1,199,849 of the new shares.
Price—At par/)
as
Proceeds—To repay
Pacific
bank loans.
Uranium
I
Underwriter—None.
& Oil
Corp.
June 6 (letter of notification) 3,000,000 shares of com¬
mon stofck
(par two cents). Price—10 cents per share. I
Proceeds
For mining expenses.
Office — 811 Boston j
Bldg., Denver, Colo. Underwriter—Amos C. Sudler &
Co., same city.
—
Palestine Economic
July
filed
1
50,000
Corp., New York
shares of
common stock
(par $25)
$2,000,000 of five-year 5% notes, series 1955. Price
—Of stock, $28 per share; and of notes, at 100% of prin¬
cipal amount.
Israel
Proceeds
For further development of
—
industry; development of urban and suburban
extension of credit; financing of exports to Israel;
areas;
and working
capital
and
general
corporate
purposes.1
Underwriter—None, sales to be handled through
pany
(
com¬
officials and employees.
Panama
Minerals, Inc., S. A.
(Republic of
Panama)
June 30 filed 400,000
shares of common stock (par $1).
Price—$1.25 per share. Proceeds—For mining expenses.
Office—Denver, Colo. Underwriter—None.
Pandora Uranium Mines, Inc.
July 14 (letter of notification) 3,000,000 shares of com¬
stock (par one cent). Price — 10 cents per share.
Proceeds—For expenses incident to mining operations.
Office—530 Main St., Groad Junction, Colo. Underwriter
mon
National Credit Corp., Phoenix, Ariz.
May 6 filed 300,000 shares of common stock (par $1).
Price—$3 per share. Proceeds—For working capital.
Underwriter—None.
Navajo Cliffs Uranium Corp., Provo, Utah
July 6 (letter of notification) 6.000,000 shares of common
stock (par one cent). Price—Five cents
per share. Pro¬
ceeds—For mining expenses. Office—156
Ave., Provo, Utah. Underwriter
Salt Lake City, Utah.
—
No.
Lindquist
University
Securities,
Brokers, Salt
City, Utah.
if New Mexico Oil & Gas Co.
July 27 (letter of notification) 2,500,000 shares of
stock
Proceeds
(par
—
Co.,
Denver
2,
Colo,
and
Salt
com¬
cent). Price—Three cents per share.
general corporate purposes. Office —
Oasis
Uranium & Oil Corp., Fort
Worth, Texas
June 8 (letter of
notification) 265,000 shares of common
stock (par 50 cents).
Price—$1 per share. Proceeds—
For uranium and oil
exploration.
Brokerage
Co.,
New
Orleans,
La.,
and
Salt
Lake City, Utah.
Penn-Utah
Aug. 4
Uranium,
Inc.,
Reno,
Nev.
(letter of notification)
2,000,000 shares of com¬
mon stock
(par three cents). Price—15 cents per share.
Proceeds—For expenses incident to mining activities.
Office—206 N. Virginia Street, Reno, Nev. Underwriter
—Philip Gordon & Co., Inc., New York, N. Y.
one
For
Securities
Pelican Uranium Corp., Salt Lake City, Utah
May 25 (letter of notification) 300,000 shares of common
stock (par five cents). Price—10 cents per share.
Pro¬
ceeds— For mining
expenses.
Office — 688 East 21st
South, Salt Lake City, Utah.
Underwriter — Trans-
Western
Neva-U-Tex Uranium, Inc.,
Goldfield, Nev.
July 15 (letter of notification) 4,000,000 shares of
cap¬
ital stock. Price—Five cents
per share.
Proceeds—For
mining expenses, etc. Office—312 East Crook St., Goldfield, Nev. Underwriter
Utah Uranium
mon
—Columbia
Lake City, Utah.
Bethesda, Md. Underwriter—Lewellen-Bybee
Co., Wash¬
ington, D. C.
Scott Corp., New York
shares of common stock
To be
ster Securities
Office
June
Lake
com¬
—
city.
—
Medical Abstracts,
Inc., Philadelphia, Pa.
15 (letter of
notification) 300,000 shares of
—
and
June
mon
construction. Underwriter
competitive bidding. Probable bidders: Halsey, Stuart &
cent).
Bldg., Spokane, Wash.
maximum
of
lic, 62V2 cents
if Ohio Power Co. (9/20)
-Aug. 17 filled $17,000,000 of first mortgage bonds due
Sept. 1, 1985. Proceeds—To repay bank loans and for
Uranium
Proceeds—For mining expenses.
Magnolia Park, Inc.
Aug. 8 (letter of notification)
shares
Price—50 cents per share.
Pro¬
incident to mining activities.
Ad¬
dress—P. O. Box 1205, Odessa, Tex.
Underwriter—None.]
expenses
Aug. 15
Mississippi Valley Gas Co.
common
10 cents).
(par
ceeds—For
new
—
general corporate purposes.
Miami
if O'Bannon Uranium Co., Odessa, Texas
Aug. 12 (letter of notification) 600,000 shares of common
stock
Webster
Leborn Oil & Uranium Co.
June 8
Life
Ten¬
Mining Corp., Fort Collins, Colo.
July 13 (letter of notification) 2,955,000 shares of com¬
mon stock
(par one cent). Price — 10 cents per share.
Proceeds—For expenses incident to mining operations.
Office—415 Peterson St., Fort Collins, Colo. Underwriter
—Bay Securities Corp., 115 Broadway, New York, N. Y.
Guss & Mednick
cents
of
iy4-for-l basis;
stockholders of Newport Steel
Mesa-Loma
share). Pro¬
S.
share-for-share
stockholders
common
basis; and 548 shares of class B
city.
inon stock
(par two cents).
Price—10
Proceeds—For expenses incident to
each
to
stockholders of Marion Power Shovel Co.
on
• Lander Valley Uranium & Oil
Corp.
Aug. 15 (letter of notification)
3,000,000 shares of
be
shares
The Osgood Co.
Knapp Uranium & Development Co.
April 21 (letter of notification)
20,000,000
to
on a
Products & Chemical Corp. on a
13,453 shares to common
Corp. on a l-for-2.1 basis;
poned.
mon
Corp.
53,324
nessee
Price—To
be supplied by amendment.
Proceeds—To retire out¬
standing bank loans and for exploration of oil and gas
leases. Underwriters—Allen &
Co., New York; and Rauscher, Pierce & Co., Dallas, Texas.
Offering — Post¬
Co.,
of New York Shipbuilding
basis;
Office—Fortune Arms
Bldg., Fort Worth, Tex. Underwriter—Standard Securi¬
ties, Inc., Salt Lake City, Utah.
Permian Basin Uranium Corp.
(letter of notification) 640,000 shares of common
stock.
Price—At par (10 cents per share).
Proceeds—
June 2
For
mining costs.
Office—613 Simms Building, Albu¬
N.
Mex.
Underwriter
Western
Securities
querque,
—
Corp., Salt Lake City, Utah.
Pioneer Mortgage & Development Corp.
April 27 filed 300,000 shares of common stock (par $1)
with warrants attached entitling the holder to purchase
one additional share at prices
ranging from $13 to $20
depending upon the exercise date. Price—$10 per share
,
olume
as
182
Number 5458
.
.
Office—Houston. Tex.
corporate purposes.
it St. Regis Uranium Corp., Denver, Colo. (9/6)
15 (letter of notification) 1,50J,000 shares of com¬
mon
stock (par one cent).
Price—20 cents per share.
Proceeds
t or expenses incident to mining activities.
Office—2285 South Jackson, Denver, Colo.
Underwriter
Aug.
Un-
Statement effective July 14.
erwriter—None.
—
Plastic Wire & Cable Corp., Jewett
City, Conn.
(letter of notification; 1,036 shares off common
ug. 11
tock
stockholders
Prospect Hill Golf & Country Club, Inc.
uly 8 (letter of notification) 11,900 shares of preferred
tock.
Price—At par ($25 per share).
Proceeds—For
wimmmg pooi, ciud turnisnmgs
and equipment, golf
ourse and organization and develoment expense.
Office
Bowie, Md. Underwriter—L. L. Hubble & Co., Inc.,
altimcre, Md.
Chicago, III.
shares of common
stock (par $1).
Price—At market (estimated at $1.62^
to
$2 per share).
Proceeds—To selling stockholder.
Office—10 So. LaSalle St., Chicago, 111.
Underwriter—
Sanitary Products Corp.,
Inc.
jrrice—32 cents per snare, iroincident to mining operations.
Corp.,
Riverton, Wyo.
Dr.
to
rendered
by
Dr.
for
J
general corporate purposes. Office—Santa Monica,
Underwriters—Smith, Barney & Co., New York;
William R. Staats & Co., Los Angeles, Calif. Offer¬
Revere
Realty,
inc.,
Cincinnati, Ohio
March 8 filed $1,000,000 of
5cumulative convertible
of common
Price—Par for debentures and $100 per
share fcr stock. Proceeds — To purchase real estate or
Interest therein. Underwriter—Stanley Cooper Co., Inc.,
debentures due Jan. 1, 1980 and 25,000 shares
itock
(no par).
Cincinnati, O.
•
Rio
die
Oro
Uranium
Mines, Inc.
stock (par one
Proceeds—For ex¬
penses incident to mining
operations.
Office—Grand
Junction, Colo. Underwriter—Tellier & Co., Jersey City,
N; J., on a best-efforts basis.
If 85% of issue is not sold,
Aug. 15 filed 3,000,000 shares of common
Price—15
cent).
monies will
a
be
cents per share.
refunded.
Offering—Expected in about
month.
-
'
Salt Lake City, Utah
July 15 (letter of notification) 6,000,000 shares of cap¬
ital stock (par one cent).
Price—Five cents per share.
Proceeds—For
mining operations.
Office—530 Judge
Rocket Mining Corp.,
Bldg., Salt Lake City, Utah.
Underwriter—Mid Ameri¬
to repay certain loans; and working
Business—Photographic equipment. Office—50
St., New York. Underwriter—None.
patents;
capital.
Church
filed 800,000 shares of capital stock (par 10
cents), of which 80,000 shares are to be initially offered
to public. Price—To be fixed on the basis of the market
value at the time of their first sale or $1 per share,
which ever is lower. Purpose — To increase facilities
April 27
quicksilver properties; and for work¬
Office—San Francisco, Calif. Underwriter
R. Whittall, Ltd., Vancouver, B. C., Canada.
and invest in other
ing
capital.
—Norman
it Southern Construction & Mortgage Co., Inc.
Aug. 11 (letter of notification) 300,000 shares of class A
common stock.
Price—At par ($1 per share).
Proceeds
To increase working capital to enable the company to
eliminate high cost financing.
Office—307 So. 21st Ave.,
Underwriier—None.
Hollywood, Fla.
/
it Southwestern Investment Co., Amarillo, Texas
Aug. 22 filed $2,500,000 of 5% sinking fund capital de¬
bentures, series A, dated Sept. 1, 1955.
Holders of pres¬
ently outstanding 5% and 5*/2% capital debentures will
be offered the opportunity to exchange their debentures
for
the new
debentures.
Price —100% of principal
amount.
Proceeds—To retire debt and increase working
Lincoln,
Underwriter—The First Trust Co. of
capital.
Neb.
it Royal Consolidated Uranium, Inc., Denver, Colo.
Aug. lz (letter of notification) 3,000,000 shares of capital
stock (par one cent).
Price—10 cents per share.
Pro¬
ceeds—For expenses incident to mining activities. Office
—407 Denver JYail Bldg., Denver, Colo.
Underwriter—
Aug.
None.
July 29 (letter of notification) 25,200,000 shares of com¬
mon stock. Price—At par (one cent per share). Proceeds
Royal Uranium Corp.
May 26 (letter of notification) 200,000 shares of common
stock (par five cents). Price—At market (total not to
exceed $150,000). Proceeds—For working capital. Office
—Walker Bank Bldg., Salt Lake City, Utah. Underwriter
—Whitney & Co., same city. No general offer planned.
^Royalties Investment Corp., Las Vegas, Nev.
1,000,000 shares of com¬
Aug. 15 (letter of notification;
mon
stock.
Price—At par (20
ceeds—For
tional
expenses
related activities.
expenses
1507-8th Street, Cody,
•
Splendora Film Corp., New
Proceeds
—
For oil and mineral and
Office—Northwood, Iowa. Underwriter
Underwriters—J. H. Lederer
and McGrath Securities Corp., both of New
York.
Stancan Uranium
Corp., Toronto, Canada
(par $5)
stock of General
basis of 2% shares of St. Regis for
being offered in exchange for common
Container Corp. on
one
General share.
is conditioned upon
both of New York.
Statement with¬
Sun
Finance &
stock
St. Regis obtaining 80% of outstand¬
benture and 30
(par
$1)
ing General stock. The Cleveland Trust Co., Cleveland,
Ohio, is depository and exchange agent.
Underwriter
Proceeds—For
—None.
burg,
'
Loan Co.
(letter of notification) $200,000 of 6% subordin¬
ated debentures due 1965 and 6,000 shares of common
Aug. 1
Offer, which will expire on Aug. 26,
.
—
1409
C.
York, N.
Y.
Underwriter—Philip Gordon & Co.,
Inc., New York, N. Y.
Eastern
Transmission
Corp.
stock (par $7)
in exchange for shares of capital stock
of Texas Eastern Production Corp. in the ratio of one
share of Transmission stock for each 2.6 shares of Pro¬
duction stock.
The offer is contingent upon the tender
on or before Sept.
12 of at least 263,402 shares of Pro¬
duction Company so that Transmission will thereafter
own 80% or more of Production capital stock.
Statement
being offered
Aug.
5.
Co., Houston, Texas
July 8 (letter of notification) 300,000 shares of common
stock (par 25 cents).
Price—$1 per share. Proceeds—
For payment of accounts payable of operating company;
expansion and working capital. Office—2514 McKinney
Texas Toy
Ave., Houston, Texas.
Inc., Houston.
Underwriter—Ray Johnson & Co.,
Texas Western Oil &
June 15
mon
Uranium Co., Denver, Colo.
(letter of notification)
stock
5,960,000 shares of com¬
(par one cent). Price—Five cents per share.
mining expenses. Office — 407 Denver
Proceeds—For
National
Bldg., Denver, Colo.
Underwriter—Floyd Kos-
Co., same address.
ter &
Texboard, Inc., Dallas, Texas
17 filed $1,500,000 of 6% series A
Jan.
debentures due
serially from Feb. 1, 1957 to Aug. 1, 1961, and $1,000,000
of 6% series B convertible debentures due serially from
Feb. 1, 1962 to Aug. 1, 1966. Price—To be supplied by
amendment. Proceds—To construct and operate a manu¬
facturing plant near Orange, Tex., for the purpose of
manufacturing
insulation building products.
Under¬
writer—None. C. F. McDougal of Dallas, Tex., is Presi¬
Thunderbird Uranium Corp.
notification) 3,000,000 shares of common
(10 cents per share). Proceeds—
For mining expenses.
Office—915 Simms Bldg., Albu¬
querque, N. M. Underwriter—Hicks, Newton & Co., Inc.,
June 9 (letter of
Price—At par
stock.
Trans-National
purposes.
Fla.
to be offered in units of a $1,000 de¬
shares of stock. Price—$1,075 per unit.
working capital and general corporate
Underwriter—Beil & Hough, Inc., St.
Uranium & Oil Corp.
July 1 filed 2,000,000 shares of common stock (par 20
cents). Price—To be supplied by amendment (expected
at $1.50
share). Proceeds—To acquire part of prop¬
subject to option in favor of company,
expenses incident to mining and oil
activies.
per
erties presently
for
—
Dallas, Tex.
Underwriter
—
Garrett Brothers,
Inc., Dallas, Tex.
Triangle Mines, Inc., Salt Lake
City, Utah
of common
Proceeds—
operations. Office — 506 Judge Bldg., Salt
Utah. Underwriter — Lewellen-Bybee Co.,
May 3 (letter of notification) 100,000 shares
stock. Price—At par (50 cents per share).
For mining
City,
Washington, D. C.
April 18 filed 200,000 shares of cumulative convertible
preferred stock, series A (par one cent). Price—To be
supplied by amendment. Proceeds—For exploration and
development expenses and for general corporate purooses.
Underwriters—Gearhart & Otis, Inc. and F H.
Regis Paper Co., New York
June°28 filed 329,327 shares Of common stock
New
Lake
•
drawn.
St.
Office
expansion.
it Texas Adams Oil Co., Inc., New York, N. Y.
(letter of notification) 66,600 shares of common
stock (par 10 cents).
Price—75 cents per share.
Pro¬
ceeds—To selling stockholders.
Office—39 Broadway,
Office
working capital.
Crerie & Co., Inc.,
—None.
agency
Magnolia Ave., Knoxville, Tenn. Underwriter—Jesse
Bowling, 16 M Street, Bedford, Ind.
and
York (9/6)
1,200,000 shares of common stock (par 10
cents). Price—50 cents per share. Proceeds—For equip¬
ment and accessories; for financing film productions;
Inc.,
Production Co.
Office—
Uranium
July 27 filed
Co.,
(letter of notification) 20,000 shares of common
stock (par $1) to be first offered to stockholders. Price
Inc., Cody, Wyo.
incident to mining activities.
Wyo. Underwriter—Utah
Brokers, Las Vegas, Nev.
—For
incurred in connection with addi¬
May 9
capital for
working
Denver, Colo.
Spirit Mountain Uranium,
for
royalties and working capital. Office—708 U. S.
Bldg., Denver, Colo. Underwriter—None.
—$6.25 per share.
derwriter—None.
and
Nat'l Bank
Saint Anne's Oil
^-Southwestern Petroleum Corp., Wilmington, Del.
15 (letter of notification) 9,799 shares of common
stock.
Price—$5 per share.
Proceeds—For drilling op¬
erations.
Office—910 West St., Wilmington, Del.
Un¬
Pro¬
cents per share).
9,200 shares of common
(par $5) to he offered for subscription by stock¬
Price—$30 per share. Proceeds—To increase
holders.
dent.
Securities, Inc., of Utah, 26 W. Broadway, Salt Lake
City, Utah.
ca
Carroll, Kirchner &
Life & Service Insurance Co.
(letter of notification)
effective
Quicksilver Mines, Inc.
Sonoma
Calif.
ing—May be placed privately*«•*
12
tional
—
July 25 filed 273,906 shares of common
Corp.
(letter of notification) 8,677 shares of capital
stock
(par $2.50) to be offered for subscription by
stockholders on basis of one new share for each 10 shares
"
held. Price—$5.50 per share. Proceeds—To obtain addi¬
July
Tennessee
Texas
;
Smith-Dieterich
other
and
& Jaquith, Inc.,
Underwriter—Carroll, Kirchner
Denver, Cold.
shares are to be offered for sale to
Rea.
Proceeds—To repay short-term
inventory and working capital and
of com¬
Proceeds—For
Colo.
St., Denver, Colo. Underwriter
Jaquith, Inc., same city.
Aug. 11
Co.
(par one cent). Price —10 cents per share).
mining operations. Office—Fort Collins,
stock
mon
(9/1)
Uranium
(letter, of notification) 3,000,000 shares
June 17
The other 4,000 class B shares are to be isand Mrs. Rea in consideration of services
indebtedness,
Aircraft &
Silvaire
and 590 common shares and 590 class B
shares are to be offered to employees other than Dr.
arid Mrs. James B. Rea at $100 and $1 per share, re¬
sued
Underwriter—Skyline Securities Inc., Den¬
Colo.
ver,
par
spectively.
—
stock
(letter of notification) 1,200,000 shares of com¬
(par one cent). Price—25 cents per share.
mining expenses. Office — 6 Kirby St.,
Moab, Utah.
12 liled 4,590 shares of common stock (par $100)
stock (no par), of
public at
Vegas, Nev.
June 20
Proceeds—For
4,590 shares of class B common
which 4,000 common
Schroeder,
stock
mon
Mining Exchange Bldg., Colorado Springs, Colo. Under¬
writer—A1 J. Johnson <& Co., same address.
and
Melvin F.
SJiumway Uranium, Inc., Moab, Utah
July 19 (letter of notification) 2,475,000 shares of com¬
mon stock.
Price—At par (10 cents per share). Proceeds
-For expenses incident to mining operations.
Office—
Aug.
—
Denver, Colo.
June 20
Co., Inc.
Underwriter
Wyo.
Riverton,
Co., Denver, Colo.
(J. B.)
Truck
& Co.
mining expenses. Office—Virginia
Carson City, Nev.
Underwriter—Coombs
it Tel-A-Sign, Inc., Chicago, III. (9/8)
Aug. 10 (letter of notification) 150,000 shares of common
stock (par 20 cents). Price—$2 per share. Proceeds—To
retire debiL and for new plant and equipment. Under¬
writer—Vickers Brothers, New York.
Uranium
April 21 (letter of notification) 2,000,000 shares of com¬
mon stock
(par one cent). Price — 15 cents per share.
Proceeds
For mining expenses. Address — Box 489,
Rampart Uranium Co., Colorado Springs, Colo.
Rea
common
Proceeds—For
—None.
Office—Bryant Bldg., Montrose, Colo. Underwriters—
Genera] Investing Corp., New York, N. Y., and Shaiman
&
assessable
Corp., Carson City, Nev.
300,000 shares of non¬
stock.
Price—At par ($1 per share).
of notification)
Tasha Oil & Uranium Co., Denver, Colo.
May 11 (letter of notification) 6,000,000 shares of com¬
mon stock (par one cent).
Price—Five cents per share.
Proceeds—Eor mining operations. Office—1890 S. Pearl
to
—
cent;,
Uranium
(letter
Bldg., Spokane, Wash.
Underwriter — Percy
Dale Lanphere, Empire State Bldg., Spokane, Wash.
Co., Denver, Colo.
(par 25 cents)
Shoni
expenses
11
of common
be offered for subscription by
stockholders on a l-for-13 basis, new dates to be an¬
nounced later).
Price—$7 per share.
Proceeds—For
exploration, development and acquisition of properties.
Office—417 McBurney Bldg., Tulsa, Okla.
Underwriter
Uranium, Inc., Montrose, Colo.
one
For
—
B.
Susan
Aug.
Paulsen
stock
July 19 (letter of notification) 625,000 shares of common
(par
ing—Postponed.
Target Uranium Co., Spokane, Wash.
Aug. 12 (letter of notification) 1,000,000 shares of non¬
assessable stock (par five cents).
Price—20 cents per
share.
Proceeds
For mining expenses.
Office — 726
•
Savoy Oil Co., Inc.* Tulsa, Okla.
July 8 (letter of notification) 20,000 shares
Underwriter—None.
ceeus
Co., Inc., New York; and
Vegas, Inc., Las Vegas, Nev. Offer¬
derwriters—Golden-Dersch &
lumbia Securities
York.
stock
Hotel, Inc., Las Vegas, Nev.
filed (as amended)
3,750,000 shares of com¬
mon stock
(par one cent). Price—$2.50 per share. Pro¬
ceeds—To construct hotel and for working capital. Un¬
16
of Las
shares of com¬
mon stock
(par one cent).-Price — 10 cents per share.
" Proceeds—For mining operations. Office—416 Indepen¬
dence Bldg., Colorado Springs, Colo.
Underwriter—Co¬
it R. & E. Manufacturing Co., Inc., Ridgway, Pa.
Aug. 8 (letter of notification) 100,000 shares of class A
common
stock (par 20 cents).
Price — $3 per share.
Proceeds—For electronic production and its components.
Hill
Fe Uranium & Oil Co.,
Santa
Sun
Bldg.,
Co., Chicago, 111.
35
May 26 (letter of notification) 2,959,500
Pyramid Electric Co.
May 3 filed 50,000 shares of common stock (par $1).
be supplied by amendment.
Proceeds — To
elling stockholders. Underwriter — S. D. Fuller & Co.,
Radium
&
Cruttenden
Price—To
New
(letter of notification) 15,000
June 27
•
Feb.
Coombs & Co. of Las
Co., New York, N. Y.
—M. J. Re.iter
through
arrams.
Proceeds—For addiional working capital and to finance current plant exansion.
Office—East Main St., Jewett City, Conn. Unerwriter—Putnam & Co., Hartford, Conn. .<
$5), to be offered to
Price—$9 per share.
(par
(803)
Chronicle
The Commercial and Financial
Proceeds—For working capital and
speculation."
a
eneraj
.
Peters¬
Tri-State Natural Gas
Co., Tucson, Ariz.
(letter of notification) 200,000 shares of common
cents). Price—$1.50 per share. Proceeds—
For expenses incident to oil and gas activities. Office—
15 Washington St., Tucson, Ariz.
Underwriter—Frank
L. Edenfield & Co., Miami, Fla.
July 6
stock (par 10
Tungsten Mountain Mining Co.,
(letter of notification) 149,800
Fallon, Nev.
shares of common
stock (par $1). Price—$1.50 per share. Proceeds—For
mining operations. Address — P. O. Box 456, Fallon,
Churchill County, Nev. Underwriter—H. P. Pratt & Co.,
June 8
Seattle, Wash.
Continued
on
page
36
26
(804)
The Commercial and Financial Chronicle
Thursday. August 25, 1955
...
'
•
,
Continued
Turner
from
page
Utah Southern Uranium
35
Uranium
Corp.
April 1 (letter of notification) 2,000,000 shares of com¬
mon stock (par 2V2 cents).
Price—10 cents per share.
Proceeds
For mining operations.
Office —130 Social
—
Hall Avenue, Salt Lake
vin G.
Flegal & Co.,
City, Utah.
city.
Underwriter—Mel-
same
Jay Uranium Co., Salt Lake City, Utah
May 16 (letter of notification) 3,000,000 shares of
stock
mon
(par three cents). Price—10 cents
mining expenses. Office—32
Place, Salt Lake City, Utah. Underwriter
States Investment Co.,
Tulsa, Okla. -
Exchange
June 2
com¬
cent). Price—Five cents per share.
mining costs. Office—406 Judge BuildSalt Lake City, Utah.
Underwriter—Empire Secu¬
rities Corp., Las Vegas, Nev.
one
Proceeds—For
fice—Lytle
May 5 (letter of notification) 260,000 shares of common
(par 10 cents). Price—$1 per share. Proceeds—
For mining expenses.
Office
Judge Bldg., Salt Lake
City, Utah. Underwriter
Northern Securities, Inc.,
Seattle, Wash.
—
Union of Texas Oil
Co., Houston, Texas
July 12 (letter of notification) 61,393 shares
stock
other
of
com¬
(no par).
reduce
Price—$1.25 per share. Proceeds—
loans, and for development costs and
bank
corporate
purposes.
Underwriter—Mickle
&
Co.,
Houston, Texas.
Vale,
Underwriter—Hansen
Ore.
stock.
300,000 shares
Price—At par ($1 per share).
of
Proceeds—To
Uranium, Inc., Salt Lake City, Utah
(par
3,000,000 shares of com¬
Price — 10 cents per share.
cent).
mining expenses. Underwriter — I. J.
Schenin & Co., New York. Name Change—The
company
was
formerly known as San Miguel Uranium, Inc.
Vas
one
For
—
Uranium
&
Drilling Co., Monticello, Utah
June 20 (letter of
notification) 2,000,000 shares of com-1
mon stock.
Price—At par (10 cents per share). Proceeds
—For mining operations.
Underwriter—Skyline Secu¬
rities Inc., Denver, Colo.
★ Viking Oil Co., Muskegon Heights, Mich.
Aug. 16 (letter of notification) 150,000 shares of common
(par 10 cents).
Price—$2 per share.
Proceeds—
For expenses incident to
drilling of oil.
Office—6 E.
stock
Broadway,
Muskegon
Heights,
United American Investment Co.,
Atlanta, Ga.
July 19 filed 3,500,000 shares of common stock no
None.
Price—$2 per share. Proceeds—For organization of two
wholly-owned insurance compaies, to be named United
Wabash Uranium
June 10 (letter of
American Life Insurance Co. and Tourists
Indemnity Co.;
balance to be used to
Price—At par (three cents per share). Pro¬
mining expenses. Underwriter—Moab Bro¬
kerage Co. and National Securities, Inc., 368 South State
St., Salt Lake City, Utah.
.
Mich.
Underwriter
—
and
related
fields.
mortgage loan business
Underwriter—None.
★ United States Thorium Corp.
July 21 (letter of notification) 250,000 shares of
capital
stock. Price—At par ($1
per share). Proceeds—For gen¬
eral corporate purposes.
Underwriter—Doxey-Merkley
Co., Salt Lake City, Utah.
Universal
Oil
&
Uranium
stock
Proceeds
(par
one
cent).
—
—
West
Columbia
Underwriter
—
None.
Postponed.
Offering
Uranium Prince
Mining Co., Wallace, Ida.
April 18 (letter of notification) 1,750,000 shares of
mon
stock.
Price
—
10
cents
per
share.
—
com¬
Proceeds—For
mining operations. Address
Box 709,
Wallace, Ida.
Underwriter—Wallace Brokerage Co., same
city.
—
Uranium
Mining, Inc.
(letter of notification) 6,000,000 shares of com¬
mon stock (par one
cent).
Price—Five cents per share.
Proceeds
For mining activities.
Office
105 V2 East
Pikes Peak, Colorado
Springs, Colo.,
Underwriter —
Hicks, Newton & Co., Inc., Denver, Colo.
—
White Horse
•
purposes.
Properties, Ltd., Virginia City, Nev.
Uranium, Inc., Salt Lake City, Utah
(letter of notification) 2,900,000 shares of capital
(par 2% cents). Price—10 cents per share. Pro¬
stock
ceeds—For
mining expenses. Office—1030 South Sixth
St., Salt Lake City, Utah. Underwriter—J. W.
Co., Inc., Denver, Colo.
Wicker-Baldwin Uranium Mining Co.
May 26 (letter of notification) 900,000 shares of common
West
Hicks &
stock.
For
Price—At
mining
S. D.
Office—414
for
equipment
penses.
S.
Proceeds—75%
Savings bonds and
and exploration
and
the
balance
development
ex¬
Underwriter—None.
Uranium Technicians
Corp., Salt Lake City, Utah
June 30 (letter of
notification)
common
stock
(no
30,000,000
Price—One cent
shares
of
par).
per share.
Proceeds
For mining activities. Office
1101 South
State St., Salt Lake
City, Utah.
Underwriter—Anderton-Hackett Investment
Co., same city.
—
—
* Utah-Arizona Uranium, Inc., Salt Lake
City, Utah
Aug. 1 (letter of notification)
600,000 shares of common
Etock
(par 16% cents). Price—50 cents
per share.
Pro¬
ceeds—For expenses incident to
mining activities. Office
—Greyhound Terminal Building, West
Temple & South
Temple Streets, Salt Lake City, Utah. Underwriter—
Trans-Western Brokerage
Co., New Orleans, La.
★ Utah Grank, Inc., Reno, Nev.
Aug. 15 (letter of notification)
270,000 shares of capital
stock.
Price—At par ($1 per share).
Proceeds—For ex¬
penses incident to mining activities.
Office—312
ton
Bldg., Reno, Nev.
tune, Las Vegas, Nev.
ByingUnderwriter—Lester L. LaFor-
Utah Power &
July 26 filed
1985.
Light Co. (9/13)
$15,000,000 of first mortgage
bonds
due
Proceeds—To repay bank loans and for
construc¬
tion program.
Underwriter—To be determined
by com¬
petitive bidding. Probable bidders:, Halsey, Stuart & Co.
Inc.; Union Securities Corp. and
Smith, Barney & Co.
(jointly); Kidder, Peabody & Co.; Salomon Bros. &
Hutzler; White, Weld & Co. and Stone & Webster Se¬
curities Corp,
(jointly); The First Boston Corp.; Lehman
Brothers arid Bear, Stearns & Co.
(jointly). Bids—To be
received up to noon
(EDT) on Sept. 13 at Two Rector
Street, New York, N. Y.
Utah Power &
Light Co.
(9/13)
Underwriter—To be determined
by competitive
bidding. Probable bidders: Lehman
Brothers; Union Se¬
curities Corp. and
Smith, Barney & Co.
(jointly);,Kidder,
Peabody & Co. and Merrill
Lynch, Pierce, Fenner &
Beane (jointly);
Blyth & Co., Inc.; The First Boston
Corp.
Bids—To be received
up
to noon^ (EDT)
on
Sept. 13 at Two Rector Street, New
York, N.-Y.
gram.
—
share).
per
Proceeds—
Office—616 Sixth
St., Rapid City,
Inc., same city.
For
incident to mining activities.
Bldg., Denver, Colo.
Under¬
Co., Denver, Colo.
expenses
Denver Natl
writer—Floyd Koster
&
-Wyoming Uranium Corp., Salt Lake City, Utah
April 22 (letter of notification) 833,333 shares of com¬
City Electric Co.
1, B.
L.
England, President, announced that the
considering the sale to the public of a
early next year. Under¬
writers—Probably Union Securities Corp. and Srpith,
directors
are
now
small amount of common
stock
★ Atlas Sewing Centers
Aug. 17 it. was reported
stock
common
Price—$3.75
Co.,
is
soon
first
consolidated
to
consist
Co.
Yellow
Circle
York.
Uranium Co.
com¬
Pro¬
ceeds—For mining expenses.
Office
223 Petroleum
Building, Salt Lake City, Utah. Underwriter—Morgan
& Co., same
city.
—
★ Yellow Wing Uranium Corp., Las
Vegas, Nev.
Aug. 12 (letter of notification) 6,000,000 shares of com¬
mon
stock
(par
Proceeds—For
Office—1112
one
cent).
expenses
Fremont
writer—None.
Price—Three cents per share.
incident
to
mining activities.
Street, Las Vegas, Nev. Under¬
w
1
★ Yellowknifa Uranium
Corp., Toronto, Canada
Aug. 19 filed 1,000,000 shares of common stock
(par one
cent), of which 700,000 shares are to be sold for account
of
company
and
Uran^nji Corp.
under
300,000 shares for account of Stancan
Price—$1.50 per share.
Proceeds—For
purchase
and
claims; for working capital and
other
hart
general
corporate
option
for
reserve
purposes.
&
agreements
Otis, Inc. and F. H. Crerie
New York City.
funds; and for
Underwriters—Gear&
Co., Inc., both of
,.7
...
a
issue of
new
&
Co.; Halsey,
Stuart
&
tures.
Proceeds—To redeem
38,280 shares of outstand¬
ing $5 cumulative preferred stock,
Bank of
Aug. 10 it
vote
California, N. A.
announced
was
approving
on
the
shares of capital stock
fered
13,
for
1955
shares
$70
subscription
the
on
(9/13)
stockholders
issuance
of
on
Sept. 13 will
additional
52,200
(par $20), which will first be of¬
by stockholders of record Sept.
basis
of
one
share
new
held;
per
plus.
rights to expire on Oct.
share. Proceeds—To increase
Underwriter—Blyth
&
7,
for
each
10
Price—
1955.
capital and sur¬
Inc., San Francisco,
Co.,
Calif.
Blackhawk
April 5 it
was
Fire
&
Casualty Insurance Co.
reported company plans to issue and sell
2uO,UOU shares of common stock.
Price—Expected at $5
share. Proceeds—To acquire Blackhawk Mutual In¬
surance
Co., Rockford,' 111.
Underwriter — Arthur M.
per
Krensky
&
Co.,
Inc.,
Chicago,
111.
★ Cameo Corp. (9/14)
Aug. 22 it was reported early registration is expected of
100,000 shares of common stock, of which 75,000 shares
are
to be sold by the company and 25,000 shares for
the account of selling stockholders.
Price — Expected
to be about $10 per share.
Underwriter—Lee Higginson Corp., New York.
Campbell Chibougamau Mines, Ltd.
Aug. 15 it was reported a secondary offering of about
150,000 shares of common stock will be registered with
the SEC.
Business—Company, recently formed, is a
copper mining undertaking on Merrill Island, Quebec,
Canada.
Underwriter—Allen & Co., New York. Offer¬
Cavendish
sale
Uranium
four weeks.
or
Mines
Corp.
it
19
of
plans
was announced company
debenture issue of several
a
Proceeds—For
issue
million
and
dollars.
concentrating mill, mining equipment
and for underground development. Underwriter—James
a
Anthony Securities Corp., New York.
Central Maine Power Co.
Dec. 31,
W. F. Wyman, President, stated that company
plans to issue and sell some additional common stock,
par $10 (probably to stockholders) in th^ latter part of
1955. Proceeds—For construction program. Underwriter
—May be determined by competitive bidding. Probable
bidders: The First Boston Corp. and Coffin & Burr, Inc.
(jointly); Harriman Ripley & Co. Inc.; Blyth & Co., Inc.
and Kidder, Peabody & Co. (jointly). Meeting—Stock¬
holders on May 11 voted to increase the authorized
stock
common
from
3,250,000
to
3,500,000
shares.
Of¬
fering—Probably in September.
Chicago, Milwaukee, St. Paul & Pacific RR.
July 13 stockholders approved the creation of an issue
of $60,000,000 5% income
debentures, series A, due Jan. 1,
2055, being offered in exchange for 600,000 shares of
outstanding 5% $100 par preferred stock, series A, on a
par for par basis; offer commenced Aug. 1 and will run
through Aug. 31.
Dealer-Manager — Merrill Lynch,
Pierce, Fenner & Beane, New York.
Columbia
July 25 it
Gas
System, Inc.
(9/21)
reported company plans to issue and sell
$40,000,000 of debentures due 1980. Proceeds—To repay
was
bank
loans
—To
be
Co.
(letter of notification) 10,000,000 shares of
capi¬
tal stock. Price—At
par (two cents per share). Proceeds
—For mining arid oil
activities.
Address—P. O. Box
348, Newcastle, Wyo. Underwriter—-Empire Securities
Corp., Salt Lake City, Utah.
"\
plans
mortgage
Bangor & Aroostook RR.
Aug. 1, the ICC granted exemption from competitive
bidding of an issue of $4,000,000 40-year income deben¬
and
on
for construction program.
Underwriter
determined
bidders—Halsey,
York Oil & Uranium Co.
June 3
&
Inc.; arid Alex Brown & Sons.
April
July 22 (letter of notification) 5,000,000 shares of
mon stock.
Price—At par (five cents per
share).
Dickson
of
ington, D. C.
Underwriter—Morgan Stanley & Co., New
of
publicly.
—
Co., of Wash¬
it Yale & Towne Manufacturing Co. (9/9)
Aug. 19 filled 106,931 shares of capital stock
(par $25)
to be offered for
subscription by stockholders of record
Sept. 9 on the basis of one new share for each six shares
held; rights to expire on Sept. 26. Price—To be
supplied
by amendment. Proceeds—To repay
$1,000,000 bank loans
and for working
capital and general corporate purposes.
S.
shares
sinking fund
$80,000,000 of 3%s, series A, due
Aug. 1, 1970; $80,000,000 of 4s, series B, due Sept.
1,
1980; and $120,000,000 of 4V8S, series C, due Oct. 1, 1995.
Proceeds
For refunding.
Existing bond holders will
have a priority for the first two weeks in
exchanging
their bonds for $60,000,000 of the series A
bonds, $40,000,000 of the series B and $20,000,000 of the series C.
bonds
ing—Not expected for three
Salt
80,000
offered
(8/30)
announced company
was
$280,000,000
of
be
to
Underwriter—R.
★ Baltimore & Ohio RR.
Aug. 19 it
issue
expected
share.
N. C.
per
Charlotte,
(8/26)
an
stock (par one
cent). Price—3V2 cents per share.
Proceeds—For mining expenses. Office—522 Felt
Bldg.,
Lake City, Utah. Underwriter—James
E. Reed &
Co., Salt Lake City, Utah; and Coombs &
mon
payments
July 26 filed 177,500 shares cf common stock
(no par).
Proceeds—To repay bank loans and for
construction pro¬
(25 cents
Underwriter—Driscoll-Hanson,
Proceeds
multiple thereof.
U.
par
expenses.
★ Wonder Mountain Uranium, Inc.,
Denver, Colo.
Aug. 12 (letter of notification) 2,380,000 shares of com¬
mon
stock (par one
cent).
Price—10 cents per share.
to be
in
Atlantic
Aug.
June 9
June 13 filed $600,000 of Grubstake
Loans to be offered
in amounts of $25 or
invested
&
—
7900
Universal Service Corp.,
Inc., Houston, Texas
July 8 filed 500,000 shares of common stock
(par two
mills).
Price—$2.50 per share. Proceeds—For equip¬
ment, mining costs, oil and gas
development, and other
corporate
Washington Plywood Co., Inc., Lowell, Wash.
June 13 filed 296 shares of common stock
(par $5,000).
Proceeds—To purchase plywood mill of Walton
Plywood '
Co., Inc., etc. Underwriter—Albert Walter Braedt.
June 29
com¬
Price—Five cents per share.
For
mining operations. Office
Colfax Avenue,
Denver, Colo. Underwriter
Securities Co., Denver, Colo.
—
stock.
ceeds—For
Wet Mountain
Corp.
July 26 (letter of notification) 5,998,000 shares of
mon
&
Corp., Moab, Utah
notification) 10,000,000 shares of capi¬
tal
Underwriter—To be determined by competi¬
bidding. Probable bidders: Lehman Brothers; Blyth
Co., Inc. and Smith, Barney & Co.
(jointly); Equitable
Securities Corp. and Union Securities
Corp. (jointly);
White, Weld & Co.
Offering—Originally planned for
tive
Underwriters—Glore, Forgan
par.
engage in
struction.
Barney & Co., both of New York.
June 16 (letter of notification)
stock
Arkansas Power & Light Co.
May 27 it was reported company plans to issue and sell
about 80,000 shares of cumulative
preferred stock (par
$100). Proceeds—To repay bank loans and for new con¬
com¬
For^i Worth, Texas.
Vanura
★
Oct. 25, has been
postponed.
notification)
manufacture, process, rebulid and market television pic¬
tures tubes, etc.
Underwriter ■— Zone Investments Co.,
—
To
Building,
Vactron Corp.
13 (letter of
Proceeds
stock
mon
one
Uranium Brokerage, Salt Lake
City, Utah.
mon
Co., Salt Lake City, Utah
com¬
cent). Price—Two cents per share.
Proceeds—Expenses incident to mining operations. Of¬
mg,
U-Kan Uranium & Oil
(par
May
Corp., Salt Lake City, Utah
(letter of notification) 5,000,000 shares of
(par
stock
Prospective Offerings
par
expenses.
Utore Uranium &
Diata, Inc., Vale, Ore.
July 8 (letter of notification) 10,000,000 shares of
mon
Uranium
stock
mon
mining
Vegas, Nev.
city.
Western
—
Ucon
com¬
share.
per
Proceeds—For
(10 cents per share). Proceeds—
Office—210 N. Third St., Las
Underwriter—Lester L. LaFortune, same
For
mon
Two
Co., Las Vegas, Nev.
notification) 3,000,000 shares of capital
June 6 (letter of
stock.
Price—At
by competitive bidding.
Probable
Stuart & Co. Inc.; Morgan Stanley &
Bids—Planned for Sept. 21. Registration—Expected
Aug. 25
-
.
Commonwealth Edison Co.
>.
:
'
.
.
Jan. 24, Willis Gale,
Chairman, announced it should ba
Fall before the company undertakes its next financing,
Proceeds—For new construction, which, it is estimated,
Volume
will
For
Number 5458
182
cost
about
.
The Commercial and Financial Chronicle
.
.
in
$125,000,0000
Underwriter*—
1955.
last
equity financing were The First Boston Corp.
end Glore, Forgan & Co.
Consolidated Edison Co. of New
June
it
14
announced
was
York, Inc.
expects
company
to
sell
from
$40,000,000 to $50,000,000 bonds some time during
the current year.
Proceeds—For construction program.
Underwriter—To be determined by competitive bidding.
Probable
bidders:
&
Stuart
Halsey,
Co.
Morgan
Inc.;
Stanley & Co.; The First Boston Corp.
Consolidated
Uranium
June
13
it
I
plans sale in near
future of $2,000,000 convertible debentures.
Stockhold¬
ers on Sept. 7 will vote on approving a proposal for ad¬
ditional
reported
company
Underwriter—Van Alstyne, Noel &
financing.
Co., New York.
"
.
Continental Can Co., Inc.
stockholders approved creation of
$25,000,000 of debentures or
maturing later than one year after
the date thereof.
The company has no present plans
for making any additional borrowings.
Underwriters—
Goldman, Sachs & Co. and Lehman Brothers, both of
April
18,
preferred
not to exceed
other
additional
an
indebtedness
New York.
Daitch
Crystal Dairies, Inc.
April 28 stockholders approved
proposal to increase
$1) from 500,000
shares to 1,000,000 shares to provide for future financing
and expansion. Underwriter—Hirsch & Co., New York.
authorized
the
Delaware
stock
common
Power
a
(par
&
Light Co.
July 26, Stuart Cooper, President, announced that the
company is presently discussing arrangements for tem¬
porary financing through banks and is planning the
subsequent issuance of bonds and equity securities. It
appears that the first step in the permanent financing
of the program will take place sometime late this fall.
The present construction program includes two plants
which will cost approximately $40,000,000. Underwriters
-—To be determined by competitive bidding.
Probable
bidders: (1) For bonds—Halsey, Stuart & Co. Inc.; Kuhn,
Loeb & Co. and Salomon Bros. & Hutzler
(jointly);
Lehman Brothers; Union Securities Corp.; The First
Boston Corp. and Blyth & Co., Inc.
(jointly); White,
Weld & Co. and Shields & Co. (jointly); Merrill Lynch,
Pierce, Fenner & Beane and Kidder, Peabody & Co.
•(jointly); W. C. Langley- & Co. (2) For common stock
(which may be first offered to stockholders)—W. C.
Langley & Co. and Union Securities Corp. (jointly);
Kidder, Peabody & Co. and Merrill Lynch, Pierce,
Fenner & Beane (jointly); Carl M. Loeb, Rhoades &
Co.; Blyth & Co., Inc. and The First Boston Corp.
(jointly); White, Weld & Co. and Shields & Co. (joint¬
ly): Lehman Brothers.
(3) On preferred stock—Blyth
& Co., Inc. and The First Boston Corp. (jointly); White,
Weld
&
Co.
and
Shields & Co.
(jointly); Lehman
Brothers;
W.
Co.
Langley &
C.
public in the near future.
Florida
Bank, Denver, Colo.
Denver National
Probable bidders: Halsey, Stuart & Co. Inc.;
Kidder, Peabody & Co. and Merrill Lynch, Pierce, Fen¬
ner & Beane
(jointly); Lehman Brothers and Blyth &
Co., Inc. (jointly); Glore. Forgan & Co.; and The First
Boston Corp. Offering—Expected late in 1955 or early
Ford
on
Motor
Co., Detroit, Mich.
reported that following a probable 10offering of approximately 4,000,000
new shares will be made to the public.
Price—Expected
to be around $60 per share.
Proceeds — To the Ford
Foundation.
Offering—Probably not until "latter part
March 15 it
of
1955, if then."
Gulf States Utilities Co.
May
16 it was reported company may issue and sell
$10,000,000 first mortgage bonds if market conditions
permit. Underwriter—To be determined by competitive
bidding. Probable bidders: Halsey, Stuart & Co. Inc.;
Lehman
Brothers; Merrill Lynch, Pierce, Fenner &
Beane and White, Weld & Co. (jointly); Salomon Bros.
& Hutzler and Union Securities Corp. (jointly); Kuhn,
Loeb & Co. and A. C. Allyn & Co., Inc. (jointly); Lee
Higginson Corp. and Carl M. Loeb, Rhoades & Co. (joint¬
ly); Stone & Webster Securities Corp.
Detroit Edison Co.
about
2
stockholders
$60,000,000 of
without
underwriting.
Detroit Steel
Corp.
Aug. 8 directors approved a plan which will include the
public sale of $30,000,000 15-year first mortgage bonds
and the sale to present common shareholders of 503,000
additional
basis
shares
of
common
stock
on
a
one-for-five
oversubscription privilege). Price—Of
stock, to be not more than 80% of the market value im¬
mediately prior to the offering.
Proceeds—To retire
first mortgage note held by RFC in amount of $38,180,
(with
an
COO, through payment of $32,180,000 in cash and issuance
of $6,000,000 in 6% cumulative preferred stock at par
<$100 per share); the remainder will be used for work¬
ing capital.
Underwriter—Halsey, Stuart & Co. Inc.,
New York and Chicago. Offering—Expected late in Sep¬
tember.
Stockholders to vote Sept. 15.
Inc.
Feb. 17 Donald S. B. Waters, President, announced stock¬
holders voted to increase authorized capital stock from
1,000,000 shares to 3,000,000 shares in anticipation of
expansion of the company's activities. Underwriter—
Previous financing handled by Greene & Co., New York.
Du
Aug.
Mont
10
it
Broadcasting Corp.
was
announced
issuance to stockholders
that
of Allen
corporation, following
B. Du Mont Labora¬
tories, Inc. of 1,000,000 shares of common stock as a
dividend, contemplates that additional shares will be
offered to its stockholders.
This offering will be un¬
Kuhn, Loeb & Co. and Van Alstyne, Noel
& Co. handled Du Mont Laboratories class A stock fi¬
derwritten.
nancing
some years
Essex County
some
ago.
Electric Co.
reported Company plans to issue and sell
additional first mortgage bonds. Underwriter—To
July 18 it
was
be determined by
competitive bidding. Probable bidders:
registration in
September
of about 200,000 shares
(part for selling stockholders).
9
of
common
stock
Developments, Inc., Cleveland, Ohio
it
announced that company plans soon Us
registration statement with the SEC covering a
proposed issue of 600,000 shares of common stock. Pro¬
file
was
a
ceeds—For
general
corporate
Underwriter-
purposes.
George A. Searight, New York, will head group.
Long Island Lighting Co.
April
23
it
issue
of
$15,000,000
announced
was
first
plans
company
mortgage
sell
an
series
H,
to
bonds,
1985.
Proceeds—For construction program.
writer—To be determined by competitive
Under¬
bidding. Prob¬
able bidders—Halsey, Stuart & Co.
Inc.; The First Boaton Corp. and Blyth & Co., Inc.
(jointly); W. C. Langley
& Co.; Smith, Barney & Co.;
Baxter, Williams & Co*
Offering—Expected late in 1955.
Lucky Stores, Inc.
April 20 stockholders approved a proposal to increase
the authorized common stock (par $1.25) from
1,000,000
shares to 2,000,000 shares (there are 804,063 shares out¬
standing). It was reported previously that the company
proposed to raise approximately $1,500,000 through tbs
sale of 150,000 shares. However, no immediate
financing
is
planned.
Underwriter—Probably Blair & Co. Incor¬
porated, New York.
Maine Central RR.
Feb.
14, E. Spencer Miller, President, said company hai
given up the idea of refunding the $17,000,000 5%%
not
mortgage
and
bidders
May 10 stockholders approved a proposal on increasing
debt authority to $20,000,000.
Underwriter—A. G.
Becker & Co.
collateral
for
trust
bonds
new
bonds
may
due
include
1978,
Halsey,,
Merrill
Heller
(Inc.), Chicago, 111.
(Walter E.)
& Co.
July 18 it was reported that the company may^be con¬
sidering some new financing. Underwriter—F. Eberstadt
& Co.
Inc., New York.
Hupp Corp.
May 13 stockholders approved a proposal increasing the
authorized capital stock from 3,000,000 to 4,200,000 shares
(200,000 of such increased shares shall be (new) serial
preferred stock, $50 par value and 1,000,000 shares shall
be common stock, $1 par value); also waiving of pre¬
emptive rights to such increased .shares.
International
Bank, Washington, D. C.
April 25 it was announced company, in addition to plac¬
ing privately an issue of $500,000 convertible deben¬
tures, will offer additional convertible debentures to
shareholders, the latter probably sometime in the Au¬
tumn
of this year.
Washington, D. C.
Office
—
726 Jackson Place, N. W.,
Business—Industrial merchant bank¬
Inc.; Kidder, Peabody & Co.; W. C. Langley
Co.; Coffin & Burr, Inc.; The First Boston Corp.;
Lynch, Pierce, Fenner & Beane; Blyth & Co,
Inc.; Glore, Forgan & Co.
&
Majestic Auto Club, Inc.
Aug. 25 it was announced company plans to offer 500^
000 shares (par five cents) to the motorist and
general
public shortly after completion of the current offering
of 100,000 shares to service station owners and
operators^
Office—Room 717, 141 Broadway, New York
6, N. Y.
★ Marquette
Cement Manufacturing Co.
directors approved a $16,000,000 plant expan¬
program.
Certain details of financing and en¬
Aug.
12
sion
gineering remain to be completed.
& Co. Inc., Chicago, 111.
International Oil & Metals Corp., Seattle, Wash.
was
reported company may do some financing
William D. Bost of Whitcomb
+ Michigan Consolidated Gas
Aug. 15 it was reported company
ceeds—To
Fund, Inc.
—
Angeles,
planned in the Fall of this year. Investment
Capital Research & Management Co., Los
Calil.
Co.
&
Morris
Aug. 2 it
stock
six
Co., Dallas, Tex.; and others.
Kaiser Aluminum &
Chemical Corp.
Dean
Witter & Co., San
Francisco, Calif.
Kayser (Julius) & Co.
17, it was announced plans an offering of stock
to its shareholders and borrowing through long-term
bank loans.
Proceeds—To finance acquisition, through
purchase, of the net current assets of Holeproof Hosiery
Co. (latter's stockholders to vote on proposal on Sept. 6 p.
Keystone Wholesale Hardware Co., Atlanta, Ga>
Jan. 27 it was stated that the company plans at a latex
date to offer additional shares for sale nationally.
Ad
offering of 16,666 shares of common stock was recently
made to residents of Georgia only at $3 per share
Office—517 Stephens St., S.W., Atlanta, Ga.
Laclede Gas Co.
was stated company plans sale of about $10,000,000 convertible first preferred stock to stockholders.
Underwriter—To be determined by competitive bidding.
Aug. 8 it
Probable
bidders:
Lehman
Brothers,
Merrill. Lynch,
Pierce, Fenner & Beane and Reinholdt & Gardner
(jointly); White, Weld & Co.; Stone & Webster Secu¬
rities Corp.; Blair & Co. Incorporated.
Bids—Probably
this
fall.
Lehman
new
construction.
Plan Co.
Brothers
of California
announced company plans to offer to its
of record
Aug. 8 the right to subscribe on
additional shares of capital
(par $10) on the basis of one
Unsubscribed
held.
offered by company
share for each
new
shares
to
after Sept. 6, 1955.
working capital.
Proceeds—For
share.
be publicly
Price—$30 per
Underwriter—
None.
Mountain
States
Telephone & Telegraph
(10/1)
July 19 directors authorized an offering to stockholders
of 486,881 additional shares of capital stock on basis of
one new share for each five shares held as of Sept. 27;
rights to expire
Oct. 28.
on
1. Price—At par
Oct.
July 11 it was reported that company is understood to
be contemplating the sale to the public of 700,000 shares
of sinking fund preferred stock this Fall and private
debt financing of about $40,000,000.
Stockholders will
vote Aug. 12 on approving an increase in the authorized
preferred stock from 700,000 to 1,500,000 shares. Pro¬
ceeds—For expansion
program
and working capital.
Underwriters—The First Boston Corp., New York; and
and
was
shares
Co.
&
for
and
before Aug. 29 for 30,600
or
Underwriter—Kidder, Peabody & Co.,
Sulphur Co. (Texas)
March 30 it was reported early registration is planned
of an undertermined number of common shares. Under¬
writers—L. D. Sherman & Co., New York, and Garrett
loans
White,
(jointly); Smith,
Barney & Co. and Blyth & Co., Inc. (jointly); Harriman
Ripley & Co. Inc. and Union Securities Corp. (jointly).
New York.
Isthmus
bank
repay
may
Underwriter—To be determined by competitive bidding.
Probable, bidders:
Halsey,. Stuart • & Co. Inc.;
stockholders
International Resources
July 20 it was announced this company will be formed
to specialize in worldwide investment in the field of
natural resources companies.
An offering of $15,000,000
Co.
issue and sell this
$27,000,000 of first mortgage bonds due 1985. Pro¬
fall
time in the future.
Co., New York, is Chairman of the Board.
Underwriter—A. .G.
Becker
Weld
ers.
Aug.
Doman Helicopters,
Plus, Inc.
was reported company
(name to be changed
Consolidated Cosmetics, Inc.) plans
from
Probable
the
Adviser
approved a proposal authorizing
convertible debentures. Previous
offer of convertible debentures was made to stockhold¬
ers
Lanolin
Aug. 15 it
Stuart & Co.
of stock is
May
—Expected late in August.
first
Hammermill Paper Co.
or
tional shares of capital stock
was
for-1 stock split, an
given the
before Sept. 7 for 50,000 addi¬
(par $10) on the basis of
one new share for each four shares held.
Price—$30 per
share. Proceeds—To increase capital and surplus.
right to subscribe
$3,000,000 of convertible preferred stock. Under¬
writer—McDonald & Co., Cleveland, Ohio. Registration
due
1956.
&
July 28, stockholders of record that date were
was
bidding.
some
•
about
June
announced company may issue and sell
between $10,000,000 and $12,000,000 of first mortgage
bonds. Underwriters—To be determined by competitive
May 23 it
Corp. (jointly); Morgan Stanley & Co.
Power Corp.
April 14 it
Union Securities
and
Lamson & Sessions Co. (9/19-23)
Aug. 15 it "Was reported company plans to issue and selt
Lithium
Aviation & Engineering Co.
was
Underwriters—Offering of
participating preference shares in October, 1954, was
underwritten by Hallowell, Sulzberger & Co.; Boenning
& Co.; and Suplee, Yeatman & Co., Inc.; all of Phila¬
Inc.
Mines,
America, Inc. stock.' Public offering of $2,000,000 bonds
expected early in 1955. Underwriter — Tellier & Co.,
Continental
^ Fischer & Porter Co., Hatboro, Pa.
Aug. 18, Kermit Fischer, President, announced that the
company expects to offer additional common shares to
delphia, Pa.
July 23, 1954, stockholders authorized issuance and sale
of not to exceed $6,000,000 convertible debenture bonds
in connection with the acquisition of Uranium Mines of
Jersey City, N. J.
Halsey, Stuart & Co. Inc.; The First Boston CoTp.j
Kidder, Peabody & Co. and White, Weld & Co. (jointly);
Blair & Co. Incorporated.
the
37
(805)
Warrants will be mailed on
($100 per share). Control—Ameri¬
Telephone & Telegraph Co. owns about 86.7% of the
presently outstanding common stock. Underwriter —
can
None.
•
National Fuel Gas Co.
Aug. 23 company filed with the SEC an application to
offer its common stock in exchange for shares of Penn¬
sylvania Gas Co.,
a
principal subsidiary,
on
a
1.45 National shares for each Pennsylvania Gas
New
Haven Clock
basis of
share.
& Watch Co.
3 it was announced that stockholders approved
plan of recapitalization and plans to raise not less than
Aug.
a
of
$300,000
new
nolds & Co., New
New
Orleans
Feb. 4 it
was
Underwriter—Probably Rey¬
capital.
York.
Public Service
Inc.
announced that company plans this yea!
due 1985. Under¬
competitive bidding. Prob¬
able bidders: Halsey, Stuart & Co. Inc.; White, Weld &
Co.; Blair & Co. Incorporated; The First Boston Corp.;
Equitable Securities Corp. and Union Securities Corp.
(jointly); Kuhn, Loeb & Co. and A. C. Allyn & Co. Inc.
(jointly); Kidder, Peabody & Co. and Stone & Webster
Securities Corp. (jointly); and Lehman Brothers.
issue
to
some
first
mortgage bonds
writer—To be determined by
New
York Central
Bids will
the
be received
RR.
up
(9/8)
to noon (EDT) on Sept. 8 for
purchase from the company of $7,500,000 equipment
certificates to mature annually to and including
trust
1970.
Probable
bidders:
Halsey,
Stuart
&
Co.,
Inc.;
Salomon Bros. & Hutzler.
Continued
on
page
38
I
38
The Commercial and Financial Chronicle
(806)
Continued
July
it'
8
Aug.
State Electric & Gas Corp.
York
New
if Portland
from page 37
Trust
Bank,
Portland,
15 the Bank ottered
to its
Aug. 11 the right to subscribe
(10/19)
10,000
announced company plans to issue and
first mortgage bonds due 1985. Pro¬
repay bank loans and for new construction.
was
additional
12 for
(par $20)
stock
at
sell $25,000,000 of
the
ceeds—To
Price—$35 per share to stockholders; $37 per share to
public. Proceeds—To increase capital and surplus. Un¬
derwriter—Blyth & Co., Inc., San Francisco, Calif.
Underwriter—To be determined by competitive bidding.
Stuart & Co. Inc.; Kidder,
Ripley & Co. Inc.; The First
Boston Corp. and Glpre, Forgan & Co. (jointly); Blyth
& Co., Inc. and Smith, Barney & Co. (jointly);
BidsExpected to be received on Oct. 19.
Halsey,
bidders:
Probable
Peabody & Co.; Harriman
Telephone Co.
Keith S. McHugh, President, announced that
the company will have to raise more than $100,000,000
of new capital money to aid in carrying out its expan¬
sion and improvement program which will cost ap¬
proximately $200,000,000. Underwriter—For and bonds,
to
be
determined by competitive bidding.
Probabls
bidders: Morgan Stanley & Co.; Halsey, Stuart & Co. Inc.
Northern
(
Illinois Gas Co.
March
29
it
for
States
that
announced
was
(Minn.)
Power Co.
capital require¬
new
will
1955
June 28, it was announced
that it is planned, following
proposed merger into company of Olympic Radio &
Television, Inc., and Victoreen Instrument Co., to issue
and sell $2,500,000 of debentures.
Underwriters—Van
Alstyne, Noel & Co. and Barrett Herrick & Co., Inc.,
both of New York.
—
Stockholders to vote
on
in August, 1955.
merger
Ohio
March
Meeting
Water
it
28
Service
was
Co.
reported company plans to issue and
sell
$1,000,000 of first mortgage bonds and $300,000 of
additional common stock (the latter to stockholders) in
future.
near
Proceeds—To retire bank
burse the company's
loans and
reim¬
treasury for construction expendi¬
be
new
share for each four shares held
on
on
or
basis of
one
about Aug. 23;
rights to expire on Sept. 13.
Price — $35 per share.
Underwriters—Elworthy & Co.; Schwabacher & Co.;
Davis
&
in
necessary
from
purposes
1955
obtain
to
outside
Skaggs & Co.; Pfluger & Baerwald; and J. Barth
Power
&
Light Co.
of several million dollars."
& Co., (jointly); Leh¬
man
Brothers, Bear, Stearns & Co. and Salomon Bros.
& Hutzler (jointly); Blyth & Co., Inc. and White, Weld
& Co.
(jointly). Bids—Tentatively planned to be re¬
ceived up to noon (EDT) on Sept. 27.
Registration—
Expected on or about Aug. 24.
Pacific Power & Light Co. (10/5)
July 5 it was reported company plans to issue and sell
30,000 shares of cumulative preferred stock (par $100).
Underwriter—Expected to be local dealers. Registration
—Expected on Aug. 24.
Pennsylvania Electric Co.
Feb. 15 it
was reported company plans to issue and sell
later this year $9,300,000 of first mortgage bonds. Pro¬
ceeds—To repay bank loans and for new construction.
Underwriter—To be determined by competitive
bidding,
probable bidders: Halsey, Stuart & Co. Inc.; The First
Boston Corp.; Kuhn, Loeb & Co.; Kidder,
Peabody &
Co.; Equitable Securities Corp.; Harriman Ripley & Co.,
the
next
five
Webster
for
least
construction
to
the
extent
The company has scheduled
Underwriters—Probably Stone
years.
Securities
Corn..
Smith, Barney & Co.
ported to head
000 of
a
The
First
Boston
Corp
&
and
Halsey, Stuart & Co. Inc., is re¬
to bid for approximately $25,000,-
group
bonds.
approved
debenture issue.
convertible
a
This
directors any
time within
the
issuance of
would
not
exceed
at the discretion of the
next
12
months.
Under¬
writer—Probably Smith, Barney & Co., New York.
Radio
reported that a public offering is soon
of about 250,000 shares of common
expected
which
was
stock, of
100,000 shares will
be
pany and 150,000 shares for
writer—Bache &
sold
for
of
account
com¬
Under¬
Co., New York.
Reading Co.
June 7 stockholders approved
authorized indebtedness of the
terests
of
the
determine the
amount
conditions
the
Stuart
of
& Co.
to
company
July 25
that
it
bonds.
one
Oct.
bonds, the board will
issue
and
Probable
stock
common
Corp.
rights
termined
to
terms
and
Halsey,
(10/4)
to
expire
S.
P.
Croix
Aug. 1 it
shares held
Oct.
on
19.
Commission
on
the basis
as
of about
Price—To
be
de¬
announced
stockholders
tional shares of
company
issue
an
common
stock
of
plans to offer to its
about
125,000
(par $12.50).
addi¬
Proceeds—
From sale of stock, and from issue of
sinking fund notes
to a bank and an insurance
company, for new
equip¬
and
ment
general
Estabrook
&
corporate
Underwriter—
purposes.
Diego Gas & Electric Co. (11/29)
Aug. 2 it was reported company plans to sell $18,000,000
of
bonds.
Proceeds—To repay
bank loans and for new
Underwriters—To be determined by com¬
petitive bidding. Probable bidders: Halsey, Stuart & Co.
Inc.; Salomon Bros. & Hutzler; Blyth & Co., Inc.; Union
construction.
Securities
Corp. and Merrill Lynch, Pierce, Fenner &
(jointly); Lehman Brothers; The First Boston
Corp.; White, Weld & Co. and Shields & Co. (jointly.
Beane
Bids—Expected to be received up to 11:30
a.m.
Nov. 29.
on
"(EDT)
if South Texas Oil & Gas Co.
Aug. 18 it was announced stockholders will vote Aug. 30
on
authorizing issuance of 110,000 shares of cumulative
convertible
preferred
exploration
stock
(par $10).
ranged privately through Drexel &
Co.
and
Boston Corp.
was
ar¬
The First
'
Peoples National Bank of
Washington, Seattle,
Wash.
June
30
it
was
announced
Bank
plans to
issue
25,000
shares of capital stock
(par $20) as a stock dividend, and
a like number of
shares will be offered for
subscription
by stockholders.
.
.
.
21.
Price—T<!
Proceeds—To
in
ol
expire
additional
repa^
ol
stock
Ladenburg, Thalman & Co., Carl M. Loefc;
and Weriheim & Co. (jointly); Blyth &
Co., Inc., Bear, Stearns & Co. and Dean Witter & Co
(jointly); Union Securities Corp. and Equitable Securi,
ties Corp. (jointly); Lehman brothers; iviorgan
scanle:
& Co.; Kidaer,
Peabody
Pierce, Fenner & Beane.
& Co., and Merrill Lynch
Bids—Tentatively schectule<
to be received up to 11 a.m. (EDT) on Get. 19.
Regis
tration—Not expected until Sept. 21.
Southland
000
of
Frozen
Foods,
Inc.
reported company
was
debentures
6%
and
plans to offer $600,<
60.000
shares
ot
commoi
Office—160
stock.
Broadway, New York City. Under/
writer—Eisele & King, Libaire. Stout & Co., New York
Offering—Expected later this year.
•
I
■.
.
s
Tampa Electric Co. (9/21)
|
Aug. 1/ it was announced company plans to offer to it:
common1 stockholders
of
record
Sept. 20 an issue o/
197,532 additional shares of common stock (par $7) or
,
the
of
basis
one
rights to expire
share
new
Oct.
on
for'each
Warrants
6.
10
are
shares
be
to
held
mailec;
Sept. 21. Price—Expected to be set by the director:
Sept. 20.
Proceeds—To repay bank loans and for
on
on
construction.
Underwriter—If determined by com-,
bidding, probable bidders may be: Goldman;
Sachs & Co.; Stone & Webster Securities Corp.; White1
Weld & Co. and R. W. Pressprich & Co.
(jointly).
new
petitive
if Southern
Bell
(10/17)
to
was
Telephone
dated
&
Telegraph
be received
15,
program.
1955. Proceeds—To be applied to
Underwriter—To be determined
Probable bidders:
on
Oct.
17.
Halsey, Stu¬
Bids—Expected to
Registration—Planned for
on
tion.
Underwriter
To be determined
by competitiv€
bidding. Probable bidders: Halsey, Stuart & Co. Inc.;!
Blyth & Co., Inc. and Union Securities Corp. (jointly);
First
Boston
Corp.; Lehman Brothers and Bear/
(jointly): White. Weld & Co. and Shield!
(jointly).
Offering—Deferred until next spring,1
Stearns & Co.
Co.
&
United
Feb.
Gas
24,
N.
corporation
C.
Corp.
McGowen,
plans
to
President, announced thai
$35,000,000 to $40,000,000/
raise
through the sale of additional
holders.
Proceeds—For
of
and
United
Pipe
California
P.
U.
Commission
for
bidding. Bids received od
from Halsey, Stuart & Co.
Inc.;
Blyth & Co., Inc.; White, Weld & Co. and Union Secu¬
rities Corp. (jointly): Lehman Brothers.
Southern
Co.
was
(10/19)
announced company plans to offer first
stockholders
•
n:
stock¬
com^l
subsidiary.1
Line
Co., a
Offering—Expected in
of
September;
~
i
United Gas
Corp.
Feb. 24, N. C. McGowen,
President, stated that com-/
pany might be
doing some debt financing, with thii
year's total financing program reaching about $50,000,000 (including about $35,000,000 to
$40,000,000 of com¬
mon
stock). Underwriter—To be determined by com¬
bidding. Probable bidders: Halsey, Stuart &
Inc.; The First boston Corp., Morgan btoiuey
Co.; White, Weld & Co. and Equitable Securities Corp.
(jointly); Harriman Ripley & Co. Inc. and Goldman,
Co.
Sachs & Co.
(jointly).
if Vendo Co., Kansas City, Mo.
Aug. 22 it
was
between
mon
of
stock,
account
of
selling
chines
of
the
of
Business
reported this company plans early regis¬
125,000 and 200,0C0 shares of com¬
which
50,000
stockholders.
—
are
Price—Around
Manufactures
other
and
shares
to
be
sold
for
and the remainder for account
company
coin
products.
$12
operated
share.
per
vending
ma¬
Underwriter—Kidder, Pea-;
body & Co., New York.
Virginia Electric & Power Co. (12/6)
Aug. 2'it was announced that company plans to issue
and sell 125,000 shares of cumulative
preferred stock
(par $100). Proceeds—For construction program.
Un¬
derwriter—To be determined by competitive
bidding.
Probable
bidders:
Stone
&
Webster
Securities
Corp.;
Merrill, Lynch, Pierce, Fenner & Beane.*
Worcester County Electric Co.
The
company
to file
(10/18)
registration statement
with the SEC early in September with
respect to sale
of $8,500,000 first mortgage bonds, series D, due 1985.
proposes
titive
payment
of
Merrill
a
bank
Underwriter—To
bidding.
be
loans
and
determined
new
by
con¬
compe¬
Probable bidders:
Halsey, Stuart & Co.
Lynch, Pierce, Fenner & Beane. Salomon
Co., Inc. (jointly); Coffin
&
Burr. Inc.: Kidder, Peabody & Co., Blyth & Co., Inc.
and White, Weld & Co.
(jointly); Blair & Co. Incor¬
porated and Baxter, Williams & Co. (jointly); The First
Boston
Corp.
Bids^—Tentatively scheduled to be received
office, 441 Stuart St., Boston 16,
Oct. 18 at company's
1,004,870
jt.
:
.
■»
additional shares
r
i
r
York
June
29
issuance
County Gas Co., York, Pa.
it
was
and
announced
sale later
ex¬
competitive
were
to
Gas Co.
with
from
stock
program
Mass.
been
last sale of bonds
common
construction
Gas
October.
or
on
was
common
was
reported company expects to sail aboul
$30,000,000 30-year first mortgage bonds late in 1955
Proceeds—To repay bank loans and for new construc¬
or
$40,000,000
to
Electric Co. of Missouri
it
Inc.;
reported company plans to Issue and sell
of first mortgage bonds.
Application hai
July 28 it
24
Bros. & Hutzler and Stroud &
Southern California
emption
Union
Jan.
struction.
Sept. '28.
filed
which is estimated at about $17,500,000
Underwriter—Dillon, Read & Co. Inc., New York.
Proceeds—For
Co.
announced the directors have authorized
sale of $30,000,000 40-year debentures
Inc.; Morgan Stanley & Co.
Feb. 28 it
construction,
and
by competitive bidding.
about
15 it was reported company plans to sell addi-,
tional first mortgage bonds later to finance cost of new
Oct.
issuance
be
March
Proceeds—For
and
drilling program, etc. Underwriter—
financing was handled by Hunter Securities
art & Co.
financing
lo
Boston Corp.,
tration
Co., Boston and New York.
San
construtcion
bond
Oct. 17.
on
share fo
new
petitive
Paper Co.
was
common
gan & Co.
Previous
Oct.
on
investment
one
rigms
195,312 additional
Proceeds—For construction program.
Underwriter—The First Boston
Corp., New York. Regis¬
the
program.
tor
and
Underwriter—None.
later.
Aug. 22 it
struction
by company
loans
pany
its stockholders
share for each four
new
4;
the
bidders:
company advised New York
plans to make an offering of
shares of
of
issue
the
of
a
Inc.; Morgan Stanley & Co.
by competitive bidding. Probable bidders:
Kuhn, Loeb & Co.; W. C. Langley & Co. and Glore, For¬
Light Co.
April 19, Charles E. Oakes,
President, announced that
company plans this year to issue and sell
$15,000,000 of
first mortgage bonds and use the
proceeds for its con¬
19;
Warrants to be mailed
named
The
proposal increasing the
company to $125,000,000.
Funded debt at Dec. 31, 1954 totaled
$84,077,350. If, in
the future, the directors should deem it in
the best in¬
determined
&
Oct.
—
selling stockholders.
Corp., New York.
Pennsylvania Power
basis of
a
subsidiary companies.
Underwriter—'lo be determine^
by competitive bidding.
Probable bioders: 'ihe Firs
•
Receptor Co., Inc.
it
28
Pennsylvania Electric Co.
Feb. 21 it was reported
company proposes issuance and
sale of $7,500,000 of preferred stock later this
year. Pro¬
ceeds—-For construction
program.
Underwriter—To be
Co. Inc.
on
about
Texas Gas Transmission Co.
the possible
$50,000,000 and would be issued
Previous
Boston
be
bank
neld
Pure Oil Co.
April 9 stockholders
Inc.
(jointly); Kidder, Peabody & Co.; The First
Corp.; Smith, Barney & Co.; Harriman Ripltey &
10.
April 18 it
expansion program, involving $79,000,000
keep abreast of estimated load growth over
to
oiaer
St.
and Kidder, Peabody
Nov.
(par 5)
shares
Rhoaaes & Co.
(10/4)
large-scale
(9/27)
July 6 it was reported company plans to issue and sell
$10,000,000 of first mortgage bonds due 1985. Under¬
writer—To be determined by competitive bidding. Prob¬
able bidders—Halsey, Stuart & Co. Inc.; Union Securi¬
ties Corp.
held.
tration—Planned for Sept. 13.
Co.; all of San Francisco, Calif.
Pacific
Co.
funds
sources—at
Rochester Telephone
35,764 shares of additional capital stock
Gas
shares
18
■
tures.
Pacific National Bank, San Francisco, Calif.
Aug. 6 directors approved offer to stockholders of about
&
four
Puget Sound Power & Light Co.
April 5, Frank McLaughlin, President, said that "it will
Feb.
Nuclear-Electronics Corp.
Electric
each
Aug. 8 it was announced that company may issue and sell
early in October 250,000 shares of cumulative preferred
stock (par $100).
Underwriters—May be Morgan Stan¬
ley & Co., Drexel & Co. and Glore, Forgan & Co.
in
approximate $31,000,000. Present
plans contemplate these funds will be obtained tem¬
porarily from short-term bank loans to be repaid from
proceeds of the sale of additional bonds late in 1955 or
early 1956. Underwriter—To be determined by competi¬
tive bidding.
Probable bidders: Halsey, Stuart & Co.
Inc.; Blyth & Co., Inc. and The First Boston Corp. (joint¬
ly); Merrill Lynch, Pierce, Fenner & Beane, Kidder,
Peabody & Co. and White, Weld & Co. (jointly); Equit¬
able Securities Corp. and Union Securities Corp. (joint¬
ly); Smith, Barney & Co.; Lehman Brothers and Riter
& Co. (jointly); Glore, Forgan & Co.
ments
Service
for
Public Service Electric & Gas Co.
a
Northern
share
new
each
Thursday, August 25, 1951;/
.
~
J
Marvin Chandler, President, announced tharthe
company plans to spend $60,000,000 on new construction
through 1958, and that about $25,000,000 would be raised
through the sale of bonds in the period. Underwriters—
The First Boston Corp., Halsey, Stuart & Co. Inc. and
Glore, Forgan & Co.
'
one
Aug. 8 company applied to New Jersey Board of Public
Utility Commissioners for authority to issue and sell
$35,000,000 of debentures.
Underwriter—To be deter¬
mined by competitive bidding. Probable bidders:
Halsey,
Stuart & Co. Inc.; Kuhn, Loeb & Co. and Lehman Broth¬
ers (jointly), Morgan Stanley & Co. and Drexel & Co.
(jointly); The First Boston Corp. Bids—Expected to be
received up to 11 a.m. (EDT) on Oct. 4.
17,
June 14,
ol
Public
New York
Jan.
rate
stock
common
of record
before Sept
or
on
capital
of
shares
Ore.
stockholders
..
of
first
mortgage
determined.
company
this year
bonds, in
an
Proceeds—To
of
a
contemplates the
new series of its
aggregate amount not yet
for new construction
pay
and
probably to refund an issue of $560,000 4%% first
mortgage bonds due 1978. Underwriter—May be deter¬
mined by competitive bidding.
Probable bidders: Hal¬
sey, Stuart & Co. Inc.; A. C. Allyn & Co. Inc.; White,
Weld
&
Co.
and
Shields
&
Co.
(jointly). ,It
possible that issue may be placed privately.
.
r.
is
also
39
(807)
Number 5458
132
olume
.
.
.
.1 to The Financial
D. B.
onbright & Co., members of the
ew
York Stock Exchange, has
pened a branch office in the
resge Building under the mangement cf Mark F. Hanrahan.
BATAVIA, N. Y.—George
Branches
New Orvis
Co., members
the New York Stock Exchange,
opened
lave.
J.
Franklin
admit Charles
partnership.
will
1
*
pany,
Chronicle)
W.
Corporation
75c
Stock
September 9, 1955, to holders of
per
payable
share
the Common
on
Jr.,
with
nected
ROGER
225th
LIBERTY
PRODUCTS
share
holders
September 15, 1955.
The Board of Directors of
Preferred
Stock, Series A—
Dividend
No.
8
(quarterly)—62'/2c per share—
payable Octcbw
10,
1955
to stockholders of
record September 9,
1955.
Street.
15c
record
cf
R.
H.
Chronicle)
Dated:
91
No.
stock—Dividend
September
share—payable
per
stockholders
(quarterly)—
25, 1955 to
1955.
September 9,
WECKERLEY, Secretary
1955.
August 22,
ord
at
a
1955.
day
declared
dend
the
of
30
par
a
quarterly
William G. Holman
Treasurer
divi¬
share
cents
per
stock
capital
on
the close of business
Edison
August 19,
the
RALPH B. PLAGER, Secretary
declared
on
the
KENNECOTT COPPER
1,
October
payable
stockholders
of
close of business on
The
1955.
15,
to
the
September
at
transfer
stock
books of the Company
will not
closed.
Secretary,
CORPORATION
1955,
record
J. Osborn
Vice Pres. & Sec'y.
Cents
($.75) per share
of this Company
or
E.
York,
New
J.
N.
Y„
August
and
60 cents per share..
Treasurer.
18,
1955.
CUMULATIVE
PREFERRED
STOCK,
Dividend No. 34
Cents ($1.25) a
Twenty-five
^
declared today by
Kennecott
Copper Corporation, pay¬
able
September 26,
on
of business
on
27 cents per share.
UTILITIES
1955, to
stockholders of record at the
close
The above dividends are pay¬
COMPANY
September 1, 1955.
B.
able
JESSUP, Secretary
September 30, 1955,
ber 5.
NOTICE
DIVIDEND
to
Check j- will be mailed
from the Company's office in
The
Board
declared
DIAMOND
per
^
PLASTICS
<f
ber
CELANESE
['
180 Madison
a
of Directors today
Dividend Number 15 on 4.40%
Cumulative Preferred Stock
share on the Common
Angeles, September 30.
Stock
p. c.
hale,
Treasurer
payable Octo¬
stockholders of
1, 1955 to
record at the close
of business
September 1, 1955.
D. W. JACK
AMERICA!
Avenue, New York 16,
Los
dividend of 58 cents
of the Company,
.
CORPORATION OF
Sec'y.
.
GOODWIN,
Dollar
One
Y.
MANLY,
K.
ORIGINAL PREFERRED STOCKDividend No. 1 85
stockholders of record Septem¬
made on
about September 7, 1955.
W.
of the
following quarterly dividends:
the
4.32% SERIES
distribution of
PAUL
of record as of
1955. Delivery of
f
Seventy-
of
on
1955
York, N.Y.
August 19, 1955
cash
A
share has been
Hervey
DIVIDEND
QUARTERLY
of Directors has
authorized the payment
Com¬
mon
Stock
has been de¬
clared
payable at the Treasurer's Office,
No.
165
Broadway, New York 6, N. Y„
on
September 19, 1955, to stockholders of
record
at
the close
of
business August
29
161 East 42d Street, New
The Board
DIVIDEND NO. 151
five
capital stock of this Company,
be
will he
shares
California
Company
dividends
SOUTHERN PACIFIC COMPANY
directors
outstanding
Southern
Septem¬
of ONE DOLLAR
dividend
share has been
5, 1955. the board
voted the issu¬
ance
of two
(2) shares of
BASIC ATOMICS, INC., common stock for each share now
-
/
$10, payable October
On August
of
'
>
of this Com¬
ber 1, 1955.
St.
New York, N.
on
The Board of Directors has this
165
NO.
BASIC ATOMICS, Inc.
West 42nd
the close of business
August 18, 1955
at
International Salt
Exec.
II
1955j
■——
September 16, 1955.
York
A
COMPANY
FRAHER.
August 15,
Boston, Mass.,
1, 1955, to stockholders of record
A
EDWARD
Secretary and Treasurer
Liberty
(37V20) per share on its com¬
mon
stock, payable September
30, 1955, to stockholders of rec¬
Company
One Wall Street, New
pany,
DIVIDEND
YORK 4, N. Y.
The
Beard
of Directors
of this comsany
on
August 17, 1955, declared the
'egular quarterly dividend of SI.375 per
ihare
on
the
outstanding 5V2 %
Series
Cumulative Preferred Stock of the comjany
payable October 1, 1955 to stocklolders
0}
record at the close of busi15,
EMERY N. LEONARD
Corporation declared
regular quarterly dividend of
dends:
STREET, NEW
September
1955, to share¬
Sept. 9, 1955.
14,
record
of
August 23, 1955
EGER, Secretary
Irving Trust
Convertible
5%
DIVIDEND NOTICES
on
Oct.
payable
Farmingdale, New York
company
less
of seventy-five cents
share on the capital stock of
this Company has been declared
CORPORATION
close of business on
record at the
Quarterly Dividend
A dividend
per
the common stock payable
1955, to stockholders of
on
15,
Dixie
of
Directors
Cup
Company,
makers of
paper
drinking cups and food containers,
has
declared
the
following
divi¬
Street.
BROAD
UNITED FRUIT
G. GREENBURGH,
International Harvest¬
GERARD J.
of
Beard
The
Chronicle)
and Robert E. Gram
are now connected with Crowell,
Weedon & Co., 650 South Spring
CITY INVESTING
business
Consecutive
HACKNEY, Treasurer
Blasingham
J5
of
Thirty-seven and one-half Cents
Calif.—Otis H.
ANGELES,
—N
stockholders
close
the
Company have declared quarterly
dividend No. 162 of fifty cents (50(0
*
Crowell, Weedon Add Two
LOS
1955, to
27,
at
(50tf)
fifty
COMPANY
a
Common
(Special tc The Financial
of
declared, payable
was
Products
has become con¬
Coombs and Com¬
602 West Sixth
pany,
record
er
1955.
record August 29,
Calif.—Joseph
ANGELES,
-LOS
share
HARVESTER
DIXIE CUP COMPANY
Simpson,
dividend
extra
per
Treasurer.
October
declared a dividend
The Board of Directors
With Coombs & Co.
(Special tc The Financial
An
JOHN
per
DIVIDEND
PHOOUCTI
busi¬
Secretary
INTERNATIONAL
The Directors of
,
stock-
to
H. WlNHAM
B.
1955
August 24.
COMPANY
m
of
1955,
1,
record at the close of
September 9, 1955.
an
ness
HAMILTON, Secretary.
SJohns-Manville
Chronicle)
October
holders of
September 15, 1955.
JOHH»HUNVUI-_
Hasselbach
i
date
and
Directors has this
dividend of thirty-seven
tember 15, 1955.
cents
897
Dividend Disbursing Agent.
JOHN
(50^)
declared, payable
was
September 27, 1955, to stockholders of
record at the close of business Sep¬
September
August 5, 1955.
Mo.—Ruth M. Dunap,
Joseph F. McFarland and
Myrtle R. Steiner have become
associated with C. E. Hasselbach
Co., 611 Olive Street.
Mr. Mc¬
Farland was formerly with Waddell & Reed, Inc.
Miss Steiner
was with A. A. Tibbe & Co.
,
share
Executive Vice President & Treasurer
Directors has declared Dividend
No. 897 of forty cents ($.40) per share of $12.50
oar
value Capital Stock, payable September 12,
1955, to stockholders of reeord September 1, 1955,
Checks will be mailed by Irving. Trust Com¬
ST. LOUIS,
.
WILLIAMS,
L.
a
one-half cents (37K>£) Per share on
the Common Stock of the Corporation,
payable
per
The Beard of
Ga.—William J.
Bull has joined the staff of Cle¬
ment A. Evans & Company, Inc.,
Liberty National Bank Building.
(Speclul tc The Financial
Electric Punched Card Ac¬
mailed.
IBM
on
be closed. Checks
company
homestake mining
dividend no.
B.
Joins C. A. Evans
With C. E.
prepared
.
July 20, 1955
quarterly dividend of fifty
of
SAVANNAH,
j
1955. Transfer books will not
June 28, 1955
'
(Special to The Financial
of this Corporation has
dividend of $1.00 per share,
a
payable September 10, 1955, to stockholders of
record at the close of business on August 19,
A.
New York City, members of
Stock Exchange on
Took, Jr. to
declared
declared
Broadway, New York 0, N. Y.
CI
Dividend Notice
The Board of
MIAMI COPPER COMPANY
counting Machines will be
.he New York
Sept.
West
215
Company,
&
this day
LOUISIANA
BHREVE PORT,
*
cents
The Board of Directors
DIVIDEND NOTICES
120 Broad¬
Koppin Bros. & Co.,
Calif.—Francis
with Samuel B.
now
Seventh Street.
Admit
Hoppin Bros, to
way,
is
Motch
E.
CORPORATION
DIVIDEND NOTICES
A
The 162nd Consecutive
GAS
UNITED
Tracy, Inc., 120
22
New York
Quarterly Dividend
direction of Ed-
under the
vin G. -tdnac.
Madison Ave.,
590
(Special to The Financial Chronicle)
Huntsville,
Square,
of
Vest Side
via.,
K.
Raymond
South La Salle Street.
CORPORATION
MACHINES
Samuel Franklin Adds
LOS ANGELES,
staff of Rogers &
INTERNATIONAL BUSINESS
IBM
branch office at
a
College Street, Flornce, Ala., under the management
f Ernest C. Hardie, and at 3^2
—
Jorgensen has been added to the
with
Thomas are now
Logan & Co.
V.
Henry
111.
CHICAGO,
LcTr ANGELES,
East
\Z\z
(Special to The Financial Chronicle)
Chronicle)
CHICAGO, 111. —Raymond H.
Calif.—Robert
K. Brown, Richard S. Clark, Lynn Dunphy has joined the staff of
C. Cobb, Jr., Henry C. Cota, Rob¬ The Marshall Company, 30 North
ert B. Elliott, Lloyd L. Fitch, SpyLa Salle Street.
ros
N. Halikas, Richard R. Holechek, Pierre E. Pambrun, Charles
DIVIDEND NOTICES
L. Potts, Douglas S. Robinson and
Orvis Brothers &
f
(Special to The Financial
Chronicle)
DIVIDEND NOTICES
Rogers & Tracy Add
With Marshall Co.
Logan Adds to Staff
Bonbright Branch
New
Financial Chronicle
The Commercial and
Regular Quarterly
Dividend on Common Stock
N. Y. j
August 5, 1955.
THE Boardthe Directors has this day
of following dividends:
declared
The Directors of
Secretary
August 19,
v
1955
Diamond
1
Company have on
Aug. 18,1955, declared a divi¬
dend of $1.10 per share for
Alkali
4*4 r/c PREFERRED STOCK,
SERIES A
regular quarterly dividend for
quarter of $1.12Yi per
share, payable October 1, 1955, to
The
the
COMMERCIAL SOLVENTS
Corporation
current
holders of record at the.close
ness
79c
The
dividend
A
(25c)
clared
stock
cn
on
of
the
this
September
holders' of
business
of
twenty-five
cents
share has today been de¬
per
on
outstanding
September 2, 1955.
ending Sept. 15,
1955, payable Sept. 15,
to
^
common
Corporation,-payable
30, 1955, to stock¬
at the close of
record
September 6, 1 955.
SECOND PREFERRED
STOCK
record
at
the
of record
Aug. 29, 1955, and a regular
quarterly dividend of 37%
cents per share, payable Sept.
6, 1955, to holders of Com¬
mon Capital Stock of record
Aug. 29, 1955.
regular quarterly dividend for
the current quarter of $1.75 per share,
payable October 1, 1955, to holders
of
1955,
holders of 4.40% Cumula¬
tive Preferred Stock
*
DIVIDEND No. 83
the quarter
of busi¬
close of business
September 2, 1955.
COMMON STOCK
DONALD S.
payable Septem¬
ber 23, 1955, to holders of record at the
close of business September 2, 1955.
]lJ/2 cents per share
CARMICHAEL,
:
Secretary
Cleveland, Ohio, Aug. 19,
19!>5
TENNESSEE
0
A TRANSMISSION
HOUSTON,
GAS
COMPANY
ri:; !
TEXAS
AMI
DIVIDEND NO. 32
dividend of 35c per share has
Stock, payable October
1955 to stockholders of record on September 9, 1955.
The
regular quarterly
been
1,
declared
on
the Common
'
>
A. R.
R. O. GILBERT
BERGEN,
Secretary
Secretary.
August 22, 1955.
August 23, 1955.
.
DIAMOND ALKALI
COMPANY
J. E. IVINS,
Secretary
40
(803)
The Commercial and Financial Chronicle
Thursday, August 25, 1955
...
BUSINESS BUZZ
!!• J
COMING
/">
Washington...,!
Behind-the-Scene Interpretations
from the Nation's
EVENTS
In
And You
Capital
Investment
Sept. 8, 1955
Iowa
the
the
but it is
corpse,
make
the
next
The
a
lot
a
several
Hoover
achieve
to
written
corpse which
of noise over
the
with
has
far
and
Commission
the
outturn of work achieved
latest
Hoover
IF
the
tration
the
the
Adminis¬
is
with
which
the
istration
the
road"
approach
Eisenhower
professes
Admin¬
follow.
to
The Commission itself
was
mild
respect
brief,
there
has
decrease
mission
recommendations
the most part,
compared
with
of
some
Commission's task force
the
recom¬
mendations.
This
.
the
tural
financing.
field
backed
of
the
Association
In fact, there
was
Commission
understandably
job
real¬
more
istic than the job turned out
by
the Hoover Commssion in 1949.
The
the
earlier
broad
aid
of
Sept. 22, 1955 (Omaha, Neb.)
Nebraska
local
annual
"I
Ad¬
And of
and
new,
ommendations
Commission
lacked
clear
statutory mandate* of
the later body, to question the
to
in
are
which
purported
to
avoid
putting
death
to
of
'
mission
ing Commission had planned to
take a more vigorous
approach
toward
big
governmentalism,
until
the
re-election
of
Harry
Truman in November 1948 indi¬
cated the practical, political ob¬
solescence of such
So the
sion
was
1949
an
approach.
Hoover Commis¬
primarily dedicated
forms and arrangements
ministration of
to
of ad¬
government, of
bureaucratic "round
putting
pegs
into
square
to
use
As
holes,
and
into square holes,"
figure of speech.
pegs
a
a
ited
round
consequence of this lim¬
the
scope,
Commission
often
came up with some weird
ideas from the point of view of
practical
As
of ;
an
islation
a
the
the
White
House
opening of which it
took quick advantage.
It said
that forbidding the Executive to
curtail
government-in-business
activities was an encroachment
Executive
upon
This
thus
House
seeming
prerogatives.
enabled
take
to
the
the
White
position
of
to
must
achieve
net
balance
about
has
not
kicked
responsibilities
new
the Welfare concept,
for
or
for
new
and
of
"insured"
it
Some
is
guar¬
Bureau
•
into
the
direction
effect
of
Hoover
Commission recommendations.
(2)
Dating
In the main, the tenor of the
Hoover Commission recommen¬
recommendations,
dations
relationship to the
specific proposals
mission
-
^
proposals.
Whenever
reorganization,
1949;'
the
from
Executive, Truman,
faintest
lic mind
given
behind the vague idea
that the Hoover Commission has
recommended
some
Hoover
on.
a
Committee
for
the
Hoover
so
That
largely
both
the
gress
to
Executive
do
Con¬
and
something
about
will
is
the
opening idea.
Hoover
needle
it
situation which
continue
to
Hoover
of
the
1949
it
was
be
from
total
a
kind
diametrically the
opposite to the actual trend of
legislation
sponsored
by
the
Eisenhower Administration,
especially since the death of
Senator Bob Taft.
What makes this
comprehend
for
difficult to
persons
not
afflicted with the full-time
job
of watching the
progress of gov¬
ernment, is that the Eisenhower
Adminstration
modus
often is to talk
one
operandi
way and act
another.
Thus,
of the
a
is
lot of
noise.
swiped
most
the
of
inventory
the
Opposition, it cannot
safely count upon simultane¬
ously swiping the Democratic
voting customers. Ordinary po¬
of
litical
prudence
would
tidbits
conservatives.
some
Specialty Steels—Illustrated guide
In
the
stances,
light of
of
these
the
to
professed
Housing
"lessen
the
purpose
Act of 1954 was
dependence
of
be
steels
—
Carpenter
pretation from the nation's Capital
and may or may not coincide with
Street, Reading, Pa. (paper).
the "Chronicle's
own
U.
views.)
S.
Co.,
Participation
—Report
W. R. Dickson Formed
ROCK
the
SPRINGS, Wyo.—W. R.
engaging in a securities
Dickson is
business from offices at 119 Bank
Court
under
W. R. Dickson
the
firm
name
of
Agency.
3078
by
West
in
the
U.
N.
President
to
Congress for the
Superintendent
U. S.
fice,
the
Bern
of
year 1954—
Documents,
Government Printing Of¬
Washington
25,
D.
(paper) 70c.
Forms Franklin Sees.
ATLANTA, Ga.—Frank Siersma
is engaging in a securities business
Moves Will
most
specialty
Steel
hope
Probably Be Phony
for
to
re¬
flect the "behind the scene" inter¬
require
of
from
circum¬
moves
to
ing
offices in the Healey Build¬
the name of Franklin-
under
Securities Co.
New
back¬
borne in
Views
on
RIVERSIDE CEMENT CO.
CALIFORNIA
"liberal"
trend
of
the
CLASS
c^C^1
White
Director
give
a
men
of
shove
some
the
can
Carl Marks
get
putting
when
with
&
Pp. Inc
SECURITIES SPECIALISTS
50 BROAD STREET
into
TEL:
HANOVER 2-0050
they
it, such as.
when they do not hit too hard
away
10
Post
Securities
Office
Square
Boston, Mass.
Phone HUbbard 2-1990
FOREIGN
Hoover Commission
recommendations
can
Hughes,
Budget."
be expected "to
for
STOCK
on request
Investment
merce, and Rowland R.
Such
(Common)
LERNER & CO.
are
the
B
Copies
House when they can get away
with it.
Notable among these
Secretary Wilson at De¬
fense, Secretary Weeks at Com¬
t-V>'
"H '<■■■'
V
,
.>
;
<
"
\
De¬
Organization of The Execu¬
tive Branch of the Government
a
which will make
it
the
—Superintendent of Documents,
U. S. Government Printing Of¬
fice,
Washington
25,
D.
C.
(paper) 55c.
is
but
corpse,
of
Defense—Subcom¬
on
set
a
(This column is intended to
(1) There ARE some officials
left in the Eisenhower Adminis¬
tration
who
will
buck
the
effect
the
these
can
of
Substantively the
as
of
mittee report of the Commission
suggested the
developments
Enterprises
partment
here
these Commission recommenda¬
some
Bookshelf
rec¬
a
Commission
Commission
possible
corpse
tions.
Man's
Business
Commission, a fat cat
organization which has and will
constantly
bore
to
the
Commission,
the
And
enormously by the activities of
Citizens
it
label.
good things.
This momentum has been aided
the
if
resemblance
of
the
or
mind:
are
ground factors
Business
with the 1949 Com¬
ommendation
Most
prospects
was
Commission report, there is con¬
siderable momentum in the pub¬
Officials Are
possible action to put into effect
some of the Hoover Commission
Opposes Trends
So it
and
Congress wanted to put some¬
thing across in the way of a
in
move
dangling
appraising
substantive
ing to
putting
Interested
In
undertakings.
the Budget
ernors.
probably will
superficial than
a
the
for
to succeed—a reduction in Fed¬
eral
or
of
of the Commission.
announce-:
persuasion happy. Even though
the present Administration has
what
if
tions of the Hoover Commission
more
Bankers
day at the Omaha
Club—to be preceded
Nov. 16-18 (New York, N. Y.)
Association of Stock Exchange
Firms meeting of Board of Gov¬
recommendations
shortly will
or
gestures designed to
keep Republicans of traditional
dodge
economy
come,
recommenda¬
concrete
coming, pieces of
from
the
motivations
Furthermore, Congress in the
anteed credit.
without
these
make
business and agriculture via the
recommend
from
cur¬
practical
economy
of
essarily committing itself to
tail a single such activity.
to
promote
aids
(3) It is imperative that the
Eisenhower Administration
its objective of somehow
trying
being able to
Federal
This of course, will
be against govern¬
mental-in-business without nec¬
administration, in
and
in
"implement"
Investment
field
Country
by a cocktail party Sept. 21.
a
man!"
and these departments, purport¬
,
indirect ways of projecting
governmental
activities
into
politics
governmental
be
Appropriations
beautiful
is
ments
first
per-
aside, this piece of leg¬
gave
with vested
groups
sorts.
that have
some
committees.
the preced¬
case
confidence
a
a
It
government-in-
business activity without
getting the clear advance
title straight, Madam, I'm
considerably.
command
the Executive establishement to
thousands
my
man—not
bear
rec¬
conflict
concrete¬
was
would get
limit the concrete achievements
ly illustrated by the final piece
of appropriations legislation
main.
any
interests
"liberal" trend
This
pressure
many
the basic reach
with the present
appropriateness of an activity to
the Federal governmental do¬
In
at
Opposes
of the Hoover Commission
you
customer's
po¬
undertakings
course
wish
explicitly
Congress Also
(Denver, Colo.)
Stock
ernors.
Eisenhower
numerous
of
Exchange
meeting of Board of Gov¬
Firms
In the agricul¬
has
Field Day, at
Sept 21-23, 1955
to
undertakings
proposed
in Congress.
latest
(Philadelphia, Pa.)
Philadelphia 30th
Hunting¬
don Valley Country
Club, Abington, Pa.
Most notable of these
ministration
were,
notably gentle
Gov-'
Sept. 16, 1955
in the opposite
many
direction.
a
gradual and not a suddenly
revolutionary change. The Com¬
for
Fall meeting of Board of
ernors.
the
Administration
Federal
have been
school
by
sponsored
in the credit field.
was
piece
subsidize and underwrite credit.
proposed
(Chicago, 111.)
Investment Bankers Association I
been
not
noteworthy
one
fare
it
Sept. 16-17
getting
to
tentially
and
League Club of Chicago).
••
recommen¬
&Ud kindly toward many a Wel¬
program,
field day at
Country Club
by - cocktails
and
Sept. 15 at the Union
dinner
Hoover
annual
Medina
Bond Club of
legislation
of
the
|
(Chicago, III.)
Club of Chi¬
Annual
In
the
I»-|
(preceded
.
lending agencies.
even
Furthermore, by conservative
standards, the Hoover Commis¬
(Mackinac
Bond
out of
con¬
like
1955
19th
cago
the
sharply illustrated
Eisenhower
"middle
the
16,
Municipal
is
most
dations
control,
the
Hoover Commission has pointed
many details of the way.
many
at
and]
Club.
government subsidy and control
under
to
in
went
by the Commission's
budget
sounds
Sept.
con¬
concrete
tion
by the
State
it
conflicting
cept, and of getting the Federal
sion
credit
with respect to
legislation written
by the Eisenhower Administra¬
most
in fact dedicated to
Welfare
of
scope
mortgage
than
more
How
getting the government out of
business, beating a small retreat
from
day
Golf
National Security Traders Asso»
elation annual convention.
direction of the profession.
Commission.
Eisenhower
were
House
housing development,
subsidy aspects
tical
with
Moines
Country
boosted the
the government out
of
business, for reducing subsidy,
and for promoting economy, are
simply enormous.
Most skep¬
impressed
White
farther into the business of
ting
favorably
the
governmental
trolling
are
field
annual
Des
Sept. 11-14, 1955
land, Mich.)
goal,
aids, projected the government
Commission
here
gov¬
professed
blessing, increased the
years.
completed a mountain of work.
Its
recommendations for get-'
observers
upon
ernment." The actual legislation
Commission's work to all prac¬
tical
political
purposes
is
a
will
housing industry
(Des Moines, Iowa)
Bankers As-I
Investment
sociation
WASHINGTON, D. C. — In a
manner of speaking, the Hoover
Field
•
NEW YORK 4, N. Y.
TELETYPE NY 1-971
Teletype BS-69
C.
@FedFRASER