Full text of Commercial and Financial Chronicle : August 25, 1960, Vol. 192, No. 5980

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The COMMERCIAL and FINANCIAL

ESTABLISHED 1839

Volume

Reg. U. S. Pat. Office

New York

Number 5980

192

SEE IT

Editorial

7, N. Y., Thursday, August 25, 1960

Price 50

Insurance Stocks

Cents

Copy

Investments

The

general level of business appears to be steady on a
relative high plane, but the year has not come up to
many expectations and is not now what a good many
optimists had forecast. The President sees no indication
of real trouble ahead, but on the contrary believes the
outlook is definitely good. At the same time some others,
notably certain labor leaders, are equally sure that
trouble of proportions threatens. This, of course, is a
political year, and the outgivings of public figures and
others interested in promoting the welfare of certain
politicians or parties must be read with that fact care¬
fully in mind. But there is no gainsaying the fact that
there are disappointments here and there in the busi¬
ness world, and some sincere uncertainty of mind about

and Income
Why insurance stocks

number

lowed

Drey who does not hesitate, however, to reveal disquiet¬

requirements

reductions

income

who

certain

the Reserve banks. There is

some

number

carriers

stock

for

rier insurance.

investment

their

Stability and Operation

underwriting growth, he says, and avoid

have

lived

rather

off rising

Mr. Drey illus¬

merchandising.

how to cull

the better

the

decade

companies by

just past and during the turbulent

preceding, few stocks have shown as relatively
high degree of stability as those of the insurance
group. Throughout the years, in peace and in war,
in
boom
and
in .depression,
eras

under

Democrats

and

must be maintained and the investments of the

rier

have,
group,

under

insurance stocks
better than any other
weathered the undula¬

disposition in Federal

that the steps now taken are precisely of the nature
required by current ideas about the role of the Federal
Reserve System under the so-called full employment
ever,

don to

the

will

May Get Credit

The

securities

afforded

are

rather

Housing,

State and

note written in

good faith, a pledge that
will, for a consideration called the pre¬
mium, reimburse the holder or his heirs, should hei
suffer such loss as stipulated in the policy. The
purchaser must first of all be convinced, by a rec¬
ord of past performance
(Continued on page 24)

Underwriters and distributors of

Section, starting

28.

page

BANK LIMITED

STATE AND MUNICIPAL

Head Office:

Lester, Ryons
So.

623

TRUST

California

Branches

London

54 PARLIAMENT

STREET, S.W.I.

ST. JAMES'S

SQUARE, S.W.I.

Bankers

the Government in:

Branches

INDIA, PAKISTAN,
BOND DEPARTMENT

KENYA,

30 Broad Street

UGANDA,

BONDS

Exchange

Offices

ADEN,

in:

THE FIRST NATIONAL CITY BANK

ADEN,

NORTHERN

SOUTHERN

OF NEW YORK

distributor

Inquiries Invited

Dept. Teletype: NY 1-708

T.L.Watson &Co.
-

1832

ESTABLISHED

Members
New York Stock

FIRST

goatfuvedt

A '
m

offer

Direct

COMPANY

STREET

BROAD

NEW

YORK

4, N. Y.

BRIDGEPORT

•

PERTH

AMBOY

Cooperatives

Federal National Mortgage

DIRECT

WIRES TO MONTREAL

AND TORONTO

Goodbody & Co.
2 BROADWAY
NEW YORK

1 NORTH LA SALLE ST.
CHICAGO

Association

United States Government Insured Merchant
Marine Bonds

and
International Bank for Reconstruction
and

Development (World Bank)
,

THE

Chase Manhattan
BANK

Pershing ft Co.

HAnover 2-6000

buy

expire

the

above

rights

September

Private

Wires

16,

Toronto*
Montreal, Winnipeg, Calgary,
Vancouver, Victoria and

Exchanges

Teletype NY 1-2270

v/'/v-'/'j

Federal Home Loan Banks

1960 at the current market.

Commission Orders Executed On All

Stock Exchange

\',;vv

Rights
We

securities

MEMBERS NEW YORK STOCK EXCHANGE

Southern

—

Halifax

MUNICIPAL.
FOR

CANADIAN DEPARTMENT

NOTES

The Bank of Nova Scotia

Block Inquiries Invited

Exchange

New York Correspondent

which

Canadian

American

Brokers

canadian
i

dealer

t-m

AGENCY

Federal Intermediate Credit Banks

California Securities

Bond

Net Active Markets Maintained

;SSi

AND

Santa Monica, Whittier

SOMALI REPUBLIC,
AND

To Dealers, Banks and

UNDERWRITER

in Claremont, Corona del
Mar,
Encino, Glendale, Hollywood, Long Beach,
Oceanside, Pasadena, Pomona, Redlands,
Riverside, San Diego, Santa Aaaf
-

CEYLON, BURMA,

TANGANYIKA, ZANZIBAR,

RHODESIA

BONDS

Banks for

Members New York Stock
Exchange
Associate Member American Stock
Exchange
Members Pacific Coast

KENYA, UGANDA, ZANZIBAR

COMPANY

New York 15

HOUSING

Federal Land Banks

Co.

Hope Street, Los Angelea 17,

26, BISHOPSGATE, LONDON, E.C.3.

HAnover 2-3700

NEW YORK

PUBLIC

of Securities of

NATIONAL AND GRINDLAYS

Municipal

CHEMICAL BANK

STATE, MUNICIPAL AND

complete picture of issues now registered with the SEC and poten¬

Dealers in and Distributors

Securities
telephone:

contract

the carrier

U. S. Government/
Public

legally

coast, the stock carrier produces and
expands its business. The product which it has to
sell is neither a security nor a commodity but

of this article is -however, to ex-

undertakings in our "Securities in Registration"

tial

may

maintained.

SECURITIES NOW IN REGISTRATION—Underwriters, dealers and investors in corporate

from coast to

great stock compa¬

purpose

which

operation of stock insurance enterprise con-«
cerns three important
activities, the acquisition of
business, the underwriting of risks, and the invest¬
ment of capital, including surplus and reserves.
Through a vast agency system, extending usually

America, is one of few
fatalities and
Thomas R. Drey, Jr.
many
achieve¬
ments. This remarkable success
may be attributed to the steadily increasing com¬
plexities of commercial life, which in turn demand
new and more expansive coverages.

presently increase its pace, the Sys¬
tem will doubtless be given credit for having intervened
at an early date and helped prevent a recession. Should
a
recession presently come upon
(Continued on page 12)

The

nies of

Should business

state

stability and the states, through statute and
regulation, have made certain that such stability

Barbon's "Fire Office" in Lon¬

act of 1946.

every

mands

significant that the insurance
business, which by its very na¬
ture concerns the instability of
economic enterprise, should it¬
self register such an outstand¬
ing performance. The history
of the business, from Nicholas

to label all of this, or at least most of
it, as merely routine and not to be taken as an effort to
reduce interest rates all around. The fact remains, how¬

business. Thus the very nature of the business de¬

tion in the business cycle. It is

Reserve quarters

car¬

regulated as to insure security of the prin¬
cipal. Furthermore the carriers must issue annual
statements showing their assets, liabilities, income
and expenditures. An insurance carrier is also sub¬
ject to examination by the insurance department

Republicans,

the business of providing against
contingencies, which confront our economic enter¬
prise. Against these contingencies the stock carrier
offers its reserves, surplus, and capital as a pledge
of security, as a guarantee that it can and will meet
all its obligations. The laws of the various states
impose somewhat stringent regulations relative to
the operation of the business. Adequate reserves

investment income and rate in¬

sound

than

Insurance

analyzing several of his own preferences.

Then fol¬

instances.

Pick

trates his lessons

Federal Reserve has taken

discount rate

well

laggard companies even with long dividend paying records

of member banks and reduced

the

cycle better than most shares are argued by

selections.

ment

current

reserve

business

Mr.

of steps

reserves

investment trust, weather

the

creases

it increased the

ing factors that should not be overlooked in making invest¬

which were clearly dictated by the
popular notion about how central banks should
operate and what they should do to keep the wheels of
business turning at a high rate of speed. Some weeks ago
it took steps to increase free reserves and to keep them
at a level higher than they had been. Soon thereafter
a

and consistent earnings of the past will yield future
repetition, to determine if the historic growth of
this vast enterprise will project itself into the fu¬
ture. This can best be accomplished by an analysis
of the nature, structure and operation of stock car¬

afford excellent long term pros¬

can

pects, contain advantages over

the future.
In these circumstances, the

amine the future prospects of insurance as a long
term investment, to ascertain whether the stability

By Thomas R. Drey, Jr., Dorchester, Mass.

Dominion Securities
Gkporation
Associate Member American Stock

Exchange

Exchange Place, New York 5, N. Y.

Tel. WHitehall 4-8161

Tele. NY 1-702-3

CIVIC

BONDS

CALIFORNIA'S

IMPROVEMENT

MUNICIPAL BOND DEPARTMENT

BANK OF AMERICA
N.T. & S.A.

SAN FRANCISCO

LOS ANGELES

\
2

The Security I Like Best..

Dealers only

For Banks, Brokers,

Financial Chronicle

Commercial and

The

(754)

A continuous forum in which, each week, a different group

./V'

in the investment and

Selections

Their

Louisiana Securities

participate and give their reasons for favoring a particular security.
Datai

BEN

in the Over-

the-Counter field, our large

highly experienced trading
organization and extensive
wire system offers you
nationwide facilities.

Remember, when its
Over-the-Counter,
Call "HANSEATIC"

off

Sprayregen, Haft &

Members: New York Stock
Stock

American

Exchange

Exchange (AssocJ

running in the vein of $75,000

Ben

;,•<

p Steiner, Rouse & Co

major

source

to the value of

stocked goods.

expanding
facets

concern

was

However, manage¬

ment seems confident that the po¬

definite

tentials

extent

negate

this

policy to a large
the
hazards
in¬

volved.

the

electronic

age

Members New York Stock Exchange
Members American Stock Exchange
19 Rector St., New York 6, N. Y.

and

electronics

state

encompasses

three

Bought—Sold—Quoted

lie!', Spencer Trask & Co., New
indications are that
York City (Page 14)
this
rate
may
Data-Controls System
be increased to
some $125,000 in the coming year.
DCS is a proprietary electronicOf necessity, this short delivery
hardware concern boasting both
policy involves considerable in¬
exceptional engineering and man¬
ventory risk, and indeed the rapid quantity of another kind than can
agement
skills.
Its
sphere
of
changeover from
tube to solid be conveniently transmitted.

month,

telemetering

Associate Member

(Page 2)

York City

with a widely
circulated catalog. Mail orders are

which in itself

1920

—

Research Partner,
Haft & Co., New

Sprayregen,

sales force

the

addition

Jr.,

Gaynes,

shelf

System

Controls

has been augmented

Chicago Board of Trade

predicated

Corporation

of its sales are either
or
short lead time

80%

the

items.

Co., New York City

existence

New York Hanseatic

Some

GAYNES, Jr.

Research Partner,

and

Established

Alabama &

Participants and

advisory field from all sections of the country

't.V:;

Experience Pays...
Our 40 years

of experts

Thursday, August 25, 1960

Week's

This
Forum

"Over-the-Counter"

. . ,

the

porate

Direct wires to

our

branch offices

required in a sys¬
measurement on non¬

elements

are

for

tem

^ Mobile, Ala.
-

essential

three

same

NY 1-1557

Birmingham. Ala

incor¬

system

telemetering

HAnover 2-0700

New Orleans, La. -

JAPANESE

quantities by electrical

electrical

(1) a transmitting unit or
transducer; (2) a receiving unit;
means:

STOCKS

•

American Stock Exchange

120 Broadway, New

York 5

BOSTON

•

PHILADELPHIA

•

namely

nents

miniaturiza-

most

SAN FRANCISCO

t i

Wire System

Nationwide Private

and

mic

r o w ave

utilization.

profit

Opportunities Unlimited
IN JAPAN
for

Monthly Stock
Digest, and our other reports
that give you a pretty clear
picture of the Japanese
economy as a whole.
our

The Nomura Securities Co., Ltd.
61 Broadway, New York 6, N. Y.
Telephone: BOwling Green 9-0187
This

not

offer

orders for any

solicitation

for

particular securities

LAMB0RN & CO.. Inc.
WALL

STREET

NEW YORK 5, N. Y.

man¬

Refined

-—

over

that

here

this

additional

funds

The

are

create

the

per

the

(Single Copy

—

bound

give

you

all

wejll
Over

as
-

will

listed

securities

those "hard to find"
the

Counter

Quota¬

tions.

WILLIAM

DANA

definite

following:

what

its

REctor

2-9570

adminis¬

nor

sales
of

volume

program

re¬

strong stockholder list in it-

pelf

effecting

denotes

future

ability

Brokers & Investment Bankers

til

Broadway,N.Y.6C0rtlandt 7-5680

For the

MUNICIPAL BONDS
of

WEST VIRGINIA

VIRGINIA
NORTH

CAROLIN

SOUTH

CAROLINA

FW.

&co

RICHMOND,

VIRGINIA

the

coming year
$6,500,000 seems quite as¬

over

sured and indeed may prove to be
conservative. However, past years'

figures cannot be the basis for
conclusions
the

any

to either the future

present

of the

speculative

and its

company

now

worth

common

the third

stage of its cor¬
porate-development.
The
plus

for

itself.

lies in

Stockholders and Credit
A

.0v)R

The

two

company's

directions

—

future

internal

and

acquisition. Manage¬
ment
seems, quite
confident of to
being able to sustain an internal
growth or some 50% over the

reenter

position

measurement

its

field.

attached.

Substan¬

tial research and development has

company

point

offer

shortly it will be able to
equipment
for
all
three

major

mobile

telemetry

has

concern

the

revolving line of

company

$1,-

some

000,000.

Telemetering

Telemetering is

systems.

method of in¬

dicating

Company
vital

products

provide

communication

link

for

the
in¬

formation

systems, and it is quite

probable

that

the

first

merger

steps will be lateral in nature and
a
geographical distribu¬
tion of company units.
consider

or recording at a distance
reading or indication of a
The process of
instrument.
A
tele¬
evaluating the
can, or will be duplicated by other measuring
value of the common issue of bud¬
firms within the predicted future. meter is an instrument that meas¬
ures
ding
scientific
corporations
of this
quantity such as pressure,
Recognizing that miniaturization
radiation
was
of
intensity, temperature, nature involves of necessity the
potential major impor¬
that
their
products
tance, DCS concentrated much of speed, angle, etc. The instrument assumption
are of types which
will be in de¬
its efforts in that direction. One then transmits the measurements
seem

likely

the

result

research

creation

here
a

has

been

combination

used

distant

station, having

the measurand

which

can

con¬

signal

transmitted.

The

mand

some four to five
years from
the date of the evaluation.
It also

involves

calculated

decision

ing means, which includes provi¬

and talents to which it
has access.
In DCS we have

sion

effect

the

(This is under
a

technique,
to

Sears.

circumstances

solicitation of

offer

for

the

measurand

be construed

buy,

any

conversion

into
as

offer

security referred

the

representative
to sell, or

herein.)

(without giving

conversion

dilution)

some

$6,500,000 while
-

Continued

the

OVER-THE-COUNTER
INDUSTRIAL STOCK INDEX
20-Year Performance

35 Industrial Stocks
.

FOLDER

REQUEST

325,000 share common is^ue cur¬
rently selling at a market worth
of

N. Q. B.

to the executive
capabilities of the
management
and
the
resources

size

As regards marketing
data can be compared

verted

barely
twodistinctive feature of telemeter¬
formerly
oscillator alone.
ing is the nature of the translat¬
the

Marketing Policy

tax benefit of $23,307)

Co., Ltd.
Tokyo, Japan

sult of 1959. The first year ended
with a loss of some $154,560. A

growth

special¬

use

Affiliate

the monev markets when
next
four years
bringing sales
as
the need arises. Substantial
investors volume: colse to the $24 million
Quality at present include four
mark
in
1964.
Plans are under
major in¬
standards are severe, and today
vestment banking houses holding study to duplicate a
substantial
DCS
is
the
only firm offering down five of the nine
corporate portion of this volume via acqui¬
equipment
with
a
reliability directorships.
Immediate credit sition
during the same period.

25 Park Place

New York 7, N. Y.

share earnings

trative capabilities.

sophisticated

are

marketing

thirds
CO.

and

Company

York, Inc.

Yamaichi Securities

PDM (pulse

ing

scientific

of New

division '.multiplex),

(frequency

write

Yamaichi

system. There are three basic
systems:
FM/FM

the

information

Securities

Robert
Jeffries, well versed in factors mentioned in prior para¬
corporate finance, has formulated graphs greatly enhance its pros¬
a plan of future
acquisitions on a pects of becoming a major factor
basis that should
dilute neither in the areas which it has chosen

this effort is

oscillator-amplifier

call:

integral part of

current

Call

transmission

equity. DCS is

designing talents and highly
refined engineering techniaues in

the

Write

and most critical

At present, it does not

monthly prices

becomes

link

The unusual feature of this scien¬

ized

where

publication

the

For

aircraft,
missiles,
and meteor¬
ology must of necessity be mobile
of nature. Thus, since no perma¬
nent circuit is possible 1 a radio

tific group is that it is extremely
profit conscious. Its president, Dr.

that this broad spectrum approach

This

instruments

economic make¬

terms

systems. Plans

brought the

$4)

interconnecting circuit or

permanent

concentrates

"Cadillac"

year)

wealth

have been culled from lead^

men

per

DCS

the

(Only $45

other

new

retain

and

management

Record

and

administrative talent to be found

Policy of Product Development

Bank & Quotation

Samos

Personnel

second

is the most critical. It

that

founded

the

well

either

will be successful in

production for the

Prospects for do¬
the Minuteman II

of its particular industry. The
belief that Data-Control Systems

YOU WILL FIND THEM

custom¬

projects
on
predicated.

space programs.

upon

QUOTATIONS?

now

are

privately at DCS is quite
frankly startling
public offering. The for a concern of this size.
Key

niche within

Need Hard to Find

DCS

its

the

upon

contracts

the

Beckmans, ing technological firms through¬
Littons, and Varians either come out the
country. It is estimated
of age or for all practical pur¬
that close to 60% of the top tele¬
poses fall by the wayside.
Sur¬ metry men in the nation are to
vival is now based upon an ability
be found within this organization.
to

DIgby 4-2727

achievements
and

which

$2,500,000 to $3,-

within

acquired

through

Exports—Imports—Futures

and

al¬
quality

depends

upon

ers

for

500,000.

third stage

Liquid

entirely

compo¬

any

manufacturer

Minuteman and Polaris

Gaynes, Jr.

formulated

plans

somewhere

—

success

(3)

channel

duration modulation)
and PCM (microwave). At pres¬
an equal balance of internal growth
ing work on
ent
systems in use breakdown
and
acquisition.
Successful
ac¬ and Titan II seem promising. The
FM/FM 80%, PDM 19% and PCM
complishment
of
stated
goals company also has a considerable
1%.
The
future, however, will see
would within the next five years stake in the prospective reactiva¬
PCM emerging as the major fac¬
result in a
10-fold
explosion of tion of the supersonic B-70 proj¬
tor.
As
stated
before DCS is the
both sales and profits at which ect. It should be noted that in the
of
time earnings could exceed $5 per field
testing equipment, the only company presently engaged
in all three fields. Competition in
share on the present capitalization. important factor is the instigation
of a program and not its ultimate FM/FM areas is extensive; Gen¬
Scientific companies go through scope. The volume and profits of eral Devices is strong in PDM and
three
major stages of develop¬ these
type companies are directly Texas Instruments seems to .be
ment, each in turn drastically re¬
proportional to the difficulty in making a major effort in PCM.
ducing
the
survival
rate.
The
DCS sales for the fiscal year
making a new vehicle operational.
initial stage embodies the origin
DCS
customer
list
includes
all ending Sept. 30 should approxi¬
of an idea and the procurement
major weapons systems assem¬ mate $4,500,000 comparing with
of a minor research and engineer¬
blers, many of who in addition $2,573,638 in 1959 and $845,994 in
ing contract. Volume at this point to
purchasing components have 1958, the company's first year of
ranges
between
$400,000
and also utilized the
company's data operation. Net income this year
$1,000,000. The second stage is
despite a poor start should not vary
handling equipment,
simply that of building volume to
greatly from the $137,955 (includ¬

stage

SUGAR

Ben

has

agement

expansion

usually

Raw

Its

con¬

scious

Write

The

data

gathering,

CHICAGO

Teletype NY 1-40

WOrth 4-2300

Customers

com-

National Quotation Bureau
•,

;

Incorporated

44 Front Street

New York

4,*.T.

page 14
i

Volume

Number

192

5980

The Commercial and Financial Chronicle

(755)

contents

The Never-Ending-Battle
In Behalf of Sound Money

LlCHTEIISTflll

b.s.

COM'PANY

AND

Articles and News

By Julian B. Baird,* Under Secretary of the Treasury

amount of long-term issues sold, particularly in

recession

period;

and minimum interference with corporate and

municipal financing;
and

Insurance Stocks

cheaply.

Cites
rate

and guidelines

of objectives

orderly

growth,

creased-

useful

Diamond in the Black—Ira U.

the ability of
to sustain

Management

this im¬

portant truth,
unfortunately,
is

commercial

the

—Alan

expansion

the

Main Links
are

chain

one

authorities

Reserve

three main

of Federal

fi¬

one

that is tailored

hand to the needs of

omy

independent

*Prospectus

SEC

Survey Reports Good Year Expected

Earnings

request

J.F.ReilIy&Co.,Inc.
39

Broadway, New York 5

Regular Features
As We See It

(Editorial)

Farrington

Cover

Bank and Insurance Stocks

___

...

Coming Events in the Investment Field

B.B.M.

Photocopy

and

term

respon¬

over-all financial strength,

Dealer-Broker Investment Recommendations

hand

includes

Einzig: "Unwanted Gold Movements"

and

must

So.

Century Geophysical

Singer, Bean

Mutual

HA 2-9000

Funds

Observations—A.

Wilfred

mackie,

Direct Wires to

Utility

Securities.

Securities Now in Registration

Cleveland

Chicago

Los
Public

INC.

40 Exchange Place, N. Y.

Teletype NY 1-1825 & 14844

May

Our Reporter on Governments

Angeles

Dallas

Philadelphia

San Francisco

St. Louis

de¬
Prospective Security

pos¬

Gulf Utilities

Indications of Current Business Activity

News About Banks and Bankers

the economy
our

Bargeron____

NSTA Notes

Offerings

balanced

against
broader considerations of the pub¬

I would like

the link of debt

8
7

From Washington Ahead of the News—Carlisle

debt.

as a whole.
Consequently,
seriously undermine our sire to borrow as cheaply

Today, therefore,

reasonable

while inappropriate debt managein the other two areas.

nancial markets

sible

Struthers-Wells

the

our econ¬

Third, within the limits pre¬
Without
strength in
there is scribed by these two overriding
little that debt management alone objectives the Treasury, like any
can do.
Combined with effective other borrower, would like to bor¬
fiscal and monetary policies, how¬ row as cheaply as possible. But,
ever,
appropriate debt manage¬ unlike other borrowers, we still
ment can contribute substantially must consider the impact on fi¬

to focus

BOWLING

DIgby 4-4970

policy.
these areas

success

AMERICAN INTL.

sizable volume of shortinstruments,
and
on
the

for

term

other

can

:!;

Chemical Industry's Rising Sales With "Hot and Cold"
...

monetary

ment

A related aim should be

responsibility. Debt man¬
amount of longer term securities.
agement is only one, but an im¬
There must be some offset to the
portant one, of these links. The
erosion of maturity caused by the
two strongest links in the chain of
lapse of time, which otherwise
financial
responsibility
are,
of
brings about an excessively large
course,
a sound fiscal policy—in
volume
of
highly liquid shortterms of taxes and expenditures—

___

Business Outlook

support

economy.

nancial

our

Whitney

Julian B. Baird

Basically, there

The National Stock Exchange Registration Approved by

ture is

sible

PANTEX MFG.

Three

BAIRD-ATOMIC
17

Deficit Position

Our

responsible citizen anced maturity structure of the
debt. A balanced maturity struc¬
afford to be a bystander.

and

Jedlicka

long-term

Federal

BROADCASTING

Continued Export Gains Over Imports Reduces Size of

granted by public authorities—
take necessary monetary actions,
have particular obligations to help
and so as to interfere as little as
educate the public on these mat¬
ters. The battle to maintain sound possible with corporate and mu-.
nicipal financing.
money as the basis for a healthy,
Second, we in the Treasury are
growing, and free
economy
is
never-ending—and it is a battle concerned with achieving a bal¬

links

to minimize, as far as possible, the
Bankers, because of
integral role in the function¬ frequency of our trips to the mar¬
ket so as to interfere as little as
ing of our monetary system—and
because of their special franchise possible with the freedom of the

can

METROPOLITAN

New Economic Environment

•

their

which

BRACE & CO.*

Some Recent Impressions of Western Europe

understood.

Bartlett

securities
issued,
particularly in a recession period,
in order not to pre-empt an undue
amount of the new savings needed

well

not

•—Cyril J.

should be exercised in the amount

ance

responsibility.
Yet

HARCOURT,

the Dynamic Aluminum Industry

Opportunities for Credit Sales in the '60s and '70s

from
temporary
underwriting. Restraint

bank

financial

banks—apart

mainten

outside

sible

all dethe

Charles T. Taylor

func¬

for

Monetary Policy in
Problems of Treasury's Debt

the entire free

world,

Dept.

STREET, NEW YORK

Telephone: WHitehall 4-6551

Cobleigh

Candidates—Roger W.Babson—________________

•—George

First, the Treasury should man¬
age the debt in a manner that will
contribute to, or at least not inhibit, an orderly growth /of the
economy. To do this it should try,
except in periods of recession, to
place as much as the debt as pos--;

strength for

p e n

WALL

rowers.

to generate in¬
employment,
to

expansion,

source

Outlook

much different from all other bor¬

suffi¬

Presidential

by an ail-powerful central government.

cient real cap¬
ital to finance

requiring

Concludes currency debasement and other unsound
network of con¬

last analysis

tion

Obsolete Securities
3

would result in shackling of freedom and

American economy

and

of Sound Money

—Julian B. Baird

ceiling. Hails "success and usefulness of the Savings

trols

provide

Never-Ending Battle in Behalf

The

achievement of balanced maturity structure;

multiplicity

Bonds program.
measures

the

THAN
Cover

SHAKESPEARE

Treasury's consideration. Urges Congressional repeal of the 4^%

In the

Investments for Capital Growth and

Income—Thomas R. Drey, Jr

ranging the broad public interest against the desire to borrow

interest

placing maximum of the debt outside of the commercial

banks; restraint
a

page

MORE QUOTES

High Treasury official endorses following aims of Treasury debt man¬
agement:

Security

Salesman's Corner

Arco Electronics*

lic interest.

The Market

man¬

and

You—By Wallace Streete

These several objectives are not

agement as an integral part of our
vitally needed Federal financial easily reconcilable at all times, I
assure
you.
There are those, of
responsibility.
In
implementing
sound debt management there are course, who would always assign
a
priority
to
one
or another of
a
number of basic objectives or
these objectives under all circum¬
guidelines that the Treasury must
stances.
Some
argue
that
the
always keep in mind. Because of
the nature of these objectives and Treasury's debt management pol¬
be geared solely to
the fact that the public interest is icy should
an

overriding

consideration,

the cyclical

must approach each of words,
its financing operations on a basis

Treasury

considerations—in

that

the

The State of Trade and Industry

Tax-Exempt Bond Market—George L. Hamilton

Genge Industries
Hudson Vitamin

Washington and You

Products*

*Column not available this week.

other

Insul-Cup Corp.

should

Treasury

Continued

The Security I Like Best

page

22 \

Astrotherm
Published

For many years we

have

specialized in

Twice

Weekly

The COMMERCIAL and

PREFERRED STOCKS

FINANCIAL

Company

DANA

Founded

1868

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Every Thursday (general news and ad¬
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plete statistical issue — market quotation
records, corporation news, bank clearings,
state and city news, etc.)
Office:

the

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Thursday, August 25, 1960

Other

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DANA

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second-class matter Febru¬

COMPANY, Publishers

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ary

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CHRONICLE

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(All Issues)

St.,

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■'

39 BROADWAY, NEW YORK

Bank

$45.00
•

and
per

Note—On

the

account of

the

— Monthly,
Postage extra).

fluctuations

of
exchange,
remittances
for
subscriptions and advertisements
made

New

Record

(Foreign

rate

-foreign
must

Quotation

year.

York funds.

WHitehall 3-6633

Teletype NY 1-4040 & 1-3540

Chronicle

The Commercial and Financial

(756)

Thursday, August 25, 1960

Steel Production

Net earnings rose from $2.32 per

Diamond in the Black ^

reach

Noting the excellent results of product research, plant expansion and

ceptive

profit-slanted long-range

planning.
end

the

II,
monolothic

World

Diamond Alkali was a

War

their

impact

enterprise with about 90% of its
register.
sales coming from its principal

Painsville, Ohio.
The
indicated by the
corporate name, were alkalis; and,
in case you're a little rusty on
your chemistry, alkalis are caustic
soda, soda ash and bicarbonate of
at

plant

chief products, as

soda.

this

with

and

most

exciting

Since the

end

particularly
has

there

of the War,

the

in
been

past

and

decade,

broad

trans¬

formation of

net

It
an

"Dacthal" and

called

aching need in suburbia.
herbicide

grass.

and

Stock

tional

New

Exchange and

fills

crab

and

the

following

summary

na¬

ther plant expansion for the years
1960 and 1961 (together). In fact
Diamond Alkali has increased
fixed

assets

recent

its

faStei^rate, in

than probably any
other major chemical enterprise.
In

years

what

area

all

this

new

Many competent analysts

hands
to

Interest rates declined further.
Industrial

manufacturing and dis¬
licenses "covering the

our

knowhow for

ferent

processes
in 12 countries."

companies

Alkali has

mentalize

recent

en¬
re¬

Diamond

years

done much
and

this

Industrial

production

consumer goods was
lower in July, while

Output

somewhat

depart¬

decentralize

still

high of 64%' rand
to recommend it
this

level

was

of almost 3%

for

sound

sells

below

has much

more,

consuming

industries

above

levels.

1957

was

;

Auto assemblies were curtailed
than when,
about 12% in July, reflecting in
reached.
A return

is quite

satisfactory

chemical

Manhattan

by 400,000 in July to four

and the seasonally
of unemployment

Bank

burgeoning manufacturing $137.9 million last year and should marketing director—chemical in¬
capacity is the collateral result cross $145 million in 1960.
dustry,
it
was
announced
by
George Champion, president.
This

part strikes at plants of a major
producer.
Production
schedules
for August indicate a less than sea¬
decline

sonal

the

from

reduced

July level.

Output of home goods
lower
in
July,
apparel
production
was

somewhat

was

while

reached

Output

about

maintained

was

other

industrial

and

equipment

year

ago.

machinery
activity in

industries

in¬

creased further.

job

value

new

construction

seasonally adjusted an¬
nual rate of $55.5 billion, accord¬
ing to the recently revised Census
Bureau

estimates.

Reflect¬

durable

some

Distribution

Seasonally adjusted retail sales
declined 1% in July, according to
preliminary figures, and were
little changed from the advanced
rate

Sales at depart¬
other outlets

ago.

year

ment stores and

some

further, while sales at auto

rose

stores declined 7%.

liveries

were

and

tensive

sales

With

New auto de¬

limited

partly by
by the ending of in¬
promotions in June.

strikes

changeovers to 1961 models

under way, a reduction in dealers'
auto stocks is indicated in August.
Stocks at department stores in¬
creased further in June.

Agriculture
Favorable

growing conditions in
July raised crop prospects 1% to
an
aggregate volume 1% above
last year's record crop.
A foodgrain harvest one-fifth above last
season

tobacco

were

indicated

was

gains
cotton

further

crops

the

same

Commodity Prices
Wholesale

commodity price in¬

dexes generally continued to show
little change in July and the first
half of August.
Prices of some

prices

print cloths and

declined, while metal
were

noted

firmer.

marked

prices for
sumer

some

discounting

such

fabricated

plywood and copper

wire.

de¬

construction, was offset
by a continued increase in private

Bank Credit and Reserves

Total

commercial

increased

credit

bank

billion further in
expenditures, mainly for nonresi¬ July, reflecting additions to bank
dential construction.
holdings of U. S. Government se¬
$2

curities at the time of the Treas¬

Employment

ury's midmonth financing opera¬
tions.
Business loans declined.

Employment in non-agricultural
establishments, seasonally ad¬ The

seasonally

adjusted

money

Mr. Dolmetsch began his career
in 1925 as an
analytical chemist

with

Tubize

Rayon

which merged into

$>
1870

1957 he

was

with Olin Mathieson

Corporation,

where he
adminis¬
tration, research and development
division.
Most
recently he has
been assistant to the president and
became

Correspondents inprincipal cities

Corporation,

Celanese Cor¬

poration in 1946. He became gen¬
eral manager of the viscose di¬
vision at Celanese. From 1953 to
Chemical

vice

president,

of business development
of American Enka Corporation.
manager

throughout the United States and Canada

UNDERWRITERS AND DISTRIBUTORS
OF INVESTMENT SECURITIES

KANSAS

CITY,

Mo.—Elliott

Bache &
He

Dominick

14 WALL STREET

With
k

Exchanges

NEW YORK

Call

•

Co., 1000 Baltimore Ave¬
was
formerly with Geo.

K. Baum & Co.

Dominick

Hechtman has joined the staff of
nue.

Members New York\ American & Toronto Stock

large
block?

Joins Bache Staff
(Special to The Financial Chronicle)

Marketing Department

Townsend, Dabney

Merrill

Lynch, Pierce, Fenner

(Special to The Financial Chronicle)

PORTLAND, Maine

—

Frederick

G. Towle II has been added to the
staff of Townsend,

Dabney & Ty¬

son, 184 Middle Street.

business and con¬

goods and

materials

scrap

Trade reports

EST.

last year's output.

cline in public construction
chiefly
in outlays for conservation and

military

small

oil

prospect on Aug. 1. A
of 14.5 million bales

forecast—about

was

and

corp

rubber

put in place during July changed
little at

cuts

was

goods industries, however, insured
unemployment
rose
more
than

materials such

Construction
The

5.5 in June.

versus

maintained at the advanced levels
first

ad¬

raie

justed

5.4%

including
graduates, de¬

capac¬

now

Dolmetsch With
Chase Manhattan
Chase

operations, at 50%

ity, were 30%
below the 1957
level, while actvity in most steel

its

equity and
capacity
operating?
First,
the
functions.
Within
the there is in pospect a continuance
home plant at Painsville has been agement
past decade the operating struc¬ of the 3% dividend in stock de¬
enlarged and updated so that in
ture has been separated into seven livered last year.
its specialized field of alkali man¬
divisions,
each under
a
major
Looking at it another way, the
ufacture, it is now the largest in
executive in charge of, and re¬
the world. Because Diamond con¬
opportunity to purchase a sound,
sponsible for, complete divisional dynamic research-minded chemi¬
trolled
large
salt
reserves
it
This is a system not cal equity at above 14 times earn¬
started some years ago, the pro¬ operations.
efficient and effective
in ings is an uncommon market
duction of chlorine. This has led only
phe¬
Unless you
to large-scale expansion of chlo¬ practice, but is constantly encour¬ nomenon.
feel that
the
aging
and
bringing forward exec¬
whole market is on an arti¬
rine products including large ca¬
utive talent within the organiza¬
ficially
high
plateau
at
this
pacity for producing polyvinyl
tion.
juncture, it is quite possible to
chloride resins, and related vinyl
Putting
all
these
elements
to¬
conclude
that
Diamond
chloride
Alkali
monomers.
These
are
useful in plastics, fibers, films and gether the results have been im¬ common has adequate defensive
pressive. In the past decade, Dia¬ qualities coupled with a better
surface
coatings.
Associated
to
mond
Alkali
sales
have
almost than average potential for
the expansion in PVC (polyvinyl
gain
tripled, and while net results in over time.
chloride) is the company's pro¬
some years have been a little un¬
gram
to produce, from natural
even
due to high startup costs,
gas, the basic acetylene essential
to PVC manufacture. Other plant heavy amortization and deprecia¬
tion charges, and the 1957-58 re¬
enlargements have been in ce¬
ment, agricultural chemicals and cession, the overall curve you can
project here displays a significant
in coal tar derivatives.
and solid uptrend. Net sales were
Carl R. Dolmetsch has
joined
$55.7 million for 1950; they were
Expanded Research
The
man¬

mill

equipment

business

activity

rect, then we should expect some
rather enthusiastic interest in DIA
It

clined

million,

ing

activity.

unemployment,

un¬

was

prevailing since early spring.

level

viewpoint
respecting
Company is cor¬

offset

seasonally in July.

Production

changed in July and, at 109% of
the 1957 average, was around the

Alkali

common.

In
addition to the major
largement in facilities and of

dif¬

Diamond

Total

York

feel

period, a
factory

been

students and recent

production, construc¬
tion activity, employment condi¬
tions, and retail sales generally
continued to change little in July
and early August. Credit extended
by commercial banks increased.

seem

has

letin.

knees.

arranged
sale

that

increases in other lines of

tributing

roots

Over

published in the August issue of
the Federal Reserve Board's Bul¬

million has been dedicated to fur¬

grass

April.

employment

that Diamond
Alkali
is
Applied by Swift &
lines rose to record rates. Produc¬
Co. as a basic ingredient in "Rid" now ready to enter a new order
tion of materials, which had de¬
for crab grass control, "Dacthal" of magnitude
in earning power;
clined 3% from January to June,
seems
to
have the answer that that the input of capital, research
was maintained in July as inven¬
millions of patient and discour¬ and product diversification made
tory liquidation of metals abated
aged
lawn
growers
have been over the past several years, now and output of fuels and other non¬
waiting for. The company, more¬ place the company in a less spe¬ durable materials rose further.
position,
and
make
it Iron and steel
over, looks forward to substantial cialized
production showed
licensing
revenue
from
patent better able to earn money under somewhat more than the usual
all
phases of the business cycle.
royalty revenues and has already
sharp curtailment in July. Steel
and

of crab

the

since

conditions

operations and a fan¬
tastic growth at Diamond Alkali.
Dependence on alkalis for earn¬
ing power has been substantially
reduced; a broad diversification of
products has been a huge plant
expansion. Today, Diamond oper¬
ates 15 plants in the United States
and six in Mexico; and in the past
ten years the company has spent
$121 million in new manufactur¬
ing capacity, and the moderniza¬
tion
of older
plants.
Over $30

tion

was maintained in July at
level
which
has
prevailed

justed,

decline of about 100,000 in

Industrial

now

Commodity Price Index

general busi¬

financial

and

ness

selling
The regular cash dividend
is $1.80 plus 3% in stock paid last
year.
Dividends have been paid
without interruption since 1932.

It is

kills

the

trade

contained

at 62.

the aching extrac¬

analysis of the
industry is

authoritative

course

been consistently strong
working capital, at the

listed

Business Failures

TRADE and INDUSTRY

1959

re¬

application is already
quite a name for itself.

making

Expansion

also

year-end, about $26 million.
The $15 million required for this
search advances has been in a new
branch of the chemical family, year's expansion will be supplied
from
internal
sources.
Capital
chlorinated xylenes.
These pro¬
structure
is uncomplicated with
ject substantial new additions to
only
$27,722,222
in
long-term
debt,
earning power as they become ap¬
followed
by
2,906,302
common
plied to consumer products. One
the

One

successful

Transformation

end

sales Alkali has

the

Food Price Index
Auto Production

all time high of perhaps

$4.40 per share.

Company.

Retail Trade

The State of

Working toward
quite complete
cost control arid plant efficiency
of a dedicated research program. program
embarked
upon
some
In 1952 Diamond Alkali spent $1 years ago. Back in 1950 the com4
million on research, and this was pany earned
about 9% net on
In
the intervening years
mostly on processing and product sales.
that
profit margin was not again
improvement. This year the com¬
This year it should be.
pany will spend over $4 million, attained.
or about 3%
of sales, on research
Financial Position and Corporate
in
depth
including
substantial
Structure
outlay on new products which
Financial position at Diamond
may be months, or years, ahead

diversification at Diamond Alkali

generally; but it's going to wind
up the best in history for Diamond
Alkali. And this will be the result
not of luck or chance, but of per¬

Carloadings

due to expanded sales, and
improved profit margins in most
divisions, profits are expected to
year,

By Dr. Ira U. Cobleigh, Enterprise Economist

This year has not been a wonder¬
ful one for chemical companies

Electric Output

share in 1958 to $3.90 in 1959. This

Smith

INCORPORATED

70 PINE STREET

131

NEW YORK 5, N.

offices here and abroad

Volume

Number 5980

192

The Commercial and Financial Chronicle

(757)

supply increased $300 million following a $600 million rise in June,
Seasonally adjusted turnover of
demand deposits declined. " *

in the - market, and a resulting
change in policy-level thinking,
there will be no increase in steel
prices, the magazine comments.'

R the market changes, there
could be a rise in prices : next
spring. But more probably, the
national metalworking weekly
four weeks ending Aug. 10.
Re- says> there will not be a general
serves
were
supplied principally change in the steel price structure
by Federal Reserve purchases of
later in 1961. .
.
Member

bank

Federal

U. S.

securities.

The magazine lists these factors

Re-

absorbed by a reduction in Federal Reserve float and

were

Aug.

suited

$600

the

regulations

re-

additional

bank

by Sept' 1

Yields

all

issues

August,
levels

reaching

since

the

The

not

weight

levels, much less raise
knowledge that any

lowest
of

Sep-

against

can

mid-

their

for

(3) "
all the steel industry
do to hold the line at present

declined

autumn

support

outlook

throwing
their
price increases.

Security Markets
Government
securities
further from mid-July

price

ence

on
charting enhances the
participant's role as a player in

A DANCER
A

review

latest
is

book

K»

"The

captioned

Galbraith's

Liberal

Man

;

wreck the entire

1958.

In early August the
Treasury sold
$9 billion of securities, dated Aug.
15, to retire maturing issues of

prices. Only

could

move

price structure is

.<?ne"s*10Y deals now.

(4) The threat of imports and
other materials is particularly
$10.4 billion, including an agency strong This is evidenced in major
issue.
Maturities not covered by inroads
of aluminum into canthe new offerings are
being paid making and automotive applicaoff by reducing the Treasury cash tions this year.
balance. On Aug. 11 and 12, five
°n general market conditions,

plicable
third

the

Banks

announced

best-seller,

and

local

"How

Clearings

bonds

™cted

de-

lished

fact

thor's

amassing

Ended

Aug.

1959
•o

stock

(still,
presumably
representing
partownership of a property) is inter-

Made

the

mately

dancing

that many users have
nat depleted their inventories. In

Over

unwelcome

some

spring-up."

sur-

un-

wary readers.
ni

From

A.
the

Disserve

the

well,

communal

our

with

ess

Tx •

How.-To

merely

Public

understanding, this procits resulting "signal" is
a less glamorous mani-

festation of the stage of behavior

clearing

promoting inflation, through getting another seg¬
of

the

this

community,

week

this public

over-

specialists' books by Stop Orders
ensuing from their endorsement in
Darvas' best-seller, as well as the

Exchange's recent literature,

its

^SjMr. Darvas' major reliance on
the "Stop Order," seems wholly
illogical to us. Whereas the pro-

ponents endorse it as part of a
gambling principle that when a

any

small area of 5% or

point

when that

shall have become

bad action

signal

defimtivized; and (b) frqrn the

viewpoint of any degree of investment value

point,

Picturing "That" Trend

price-

or common sense

the

lower

your

view¬

property

^ con"garatfion of
HiJfH cant Price Actuations which aldlstri" legedly
disclose the trend have
been
used
■

vnh

w?nn hrnTriiv
bioadly

possible,

unwittingly

significant.

distortion

the

befter buy will it be. Similarly,
Mr. Darvas' use of the ON-STOP
to
buy is illogical in assuming
many
years.
range
from "the higher the cheaper."
the currently popular, "Point and
by

market

some have, been borrowing
level, via i(s .AW11; PESfif&t;, of
from September tonnage in their
buying an issue after it has come
Jul
and
A
t
|
Thl

crowding of the market's exits is
now being demonstrated in a
flooding of the Stock Exchange

followed over the years by fol- stock "acts badly, get out,'( (a) it
l°wers of the tape, with or with- is impractical to state within a

viewpoint

this

speculator's new
"Bible"'important in both reflect-

^ac^»

...

Speculator's "Out"

(at

prises to the multitude of his

ment

suspicions

the

effect

au-

millions

of the taSX,
ipv"

Week

Bank

The

become
stuck
assumes that it will

found it was the same with stocks.
With this gadget too, is Mr.
They usually did not suddenly Darvas "in business" with the
Jleast gross) through extra-cur- shoot up from 50 to 70. In other market analysts. For one of their
ricular market
choreography, this words, I considered that a stock five cardinal uses is, as stated, "To
"stock market classic for
many in an upward trend that reacted
determine the proper point at
years to come" (the publisher's de* to 41 after reaching 50, was like which to place 'stop' orders to
piction) is likely to result ulti- a dancer crouching, ready for the protect paper profits."

-g— X,ffiSd.\.8gh?(§ "L

12.2% Up for

are

^"ess tha"

state

and

government

Week

•-

corporate

little net eh„ge.
Bank

the fluctuations

3y0% to 3%

on'

chalr'le.ss>
but
be he.

not

current

must

s°™e°ne

accumu-

thl knoT"

out pool operations.
September is now shaping up at
disappointing 5% improvement ing and increasing the stock mar- event, the concept of
over August. Orders in the past ket's speculative elements.
Also,' bnccihio
breakthrough on this

reduc-

tions in their discount rates from

Yields

boundary reflects
lation by people "in
upper

Hour"

Can

nation's

„

Reserve

the game of Musical
Chairs, where
each of the players knows that

GIVES THE ANSWER (?)

—

making available about

million

reserves

tember and October, when a major $2,000,000 in the Stock Market,"
with
upturn had been expected, is now by Nicolas Darvas!lt
the pretea
with quite fantastic imcrucial proviso that the reader's agery:
comparatively pessimistic.
"Before
a
dancer
leaps
{D Large consumers, such as "fun" may well be short-lived, into the air he goes into a crouch
automotive f, and ; canmakers, * are Despite, or because of, the estab- to set himself for the; springs i

amendment

Reserve

will

market

increase.

somewhat.

against

unloading purposes.
In a
practical vein, the converg¬

your

A.WILFRED MAY

changes:
Ripping Fun, But Wrong."
The Stock Exchange & Stage for
This
(1) The current demand for
pungent characterization,
; r
Ballerinas
steel is far" off expectations 'and we are convinced, is likewise apTo our terpsichorean authority,

gold outflow. Required reserves increased sharply
in mid-July but subsequently de-

Federal

com bining

a£

accelerated

clined

also be

Reserve

Government

serves

and, similarly, in selling, there will
an
obliging, or less knowl¬
edgeable, buyer around to suit

OBSERVATIONS.,.

borrowing from
averaged
about $350 million and excess reserves
$500 million during the

the

the
They

analysts

for

Figure" charts to the "Trendlines
The OMs Against You in the
to, "act well" (i.e., already ad- and Channels" (manifesting Dow
Market,, Roulette and Dice a /
means
the
September
and
October
yeai
Line
upturn will be less than expected, ryance(f), ,with, even .the employ-Theory interpretation),
volume's
distributors,* in
compiled by the Chronicle, based
ment of the on-stop order
%_
■
f
(i.e., Formations to
Support
and their ascription of the advantages
upon telegraphic advices from the
r^TrToaJ
which idled an order to buy if and,after 'Resistance" areas, to the "Selling to stop Order
use,
claim
an
chief cities of the country, indi- mu(rJ1 bf
? £?rpLs-Cia~ the issue has risen to the higher Climax,
Head
and

.will

HinBe
r6 ™mparfe.d„wlthLa
ago.
Pieliminary f igures

„

ended

Paci^y contributed to this think-

stated

Saturady,

Aug. 20, clearings for
all cities of the United States for
which
it
is
possible
to
obtain

in££ For example, a major auto-

once

weekly

Problems, despite the fact that full
Production on new models is due
thls wee *

cate

that

above

the

clearings

those

week

last

totals

week

will

the

12.2%

corresponding

This means that the company is
$27,859,986,712 loaded with inventory and it in-

$24,836,593,702

week in 1959.

there is

anticipated .no

Our preliminary

year.

stand

against
same

for

dicates automakers

New

strike

centers for Aug. 20 week
(000 omitted):

;
Yoik__

i960
1959
$14,845,488 $11,799,111

the

brought

threat

immediate

pnninfinip^

1,394,1533.6

cv"ipanies ana. districts.

Philadelphia

1,121,000

1,125,000

761,916

——

0.4

n/fo iAn1

cIaaI

8.o

Mai01

Steel ^Orders

Compete

Early Rise in Steel Prices Viewed
chances

prices late this
slimmer

and

rise

year

slimmer,

Age reports.

the

dustries

Iron

gadgets

readers

Lag, Mills

whose

drastic change

new

page

Inner

"Tela

a?"'™...
u

•

«r>

vxIo-vpt1

rf?

a^y

been

aad Measuring systems,

ordy

apt1*

full

riskinS

$100.

bis

500

the

Moreover

(the odds given by the player) in

Darvas at one with

active

market

trading

the

and

market system players, his
unwittingly disclosed non - transferable proclivity to "play it by

chart-readers in their major recognized gambling activities. In
premise of the discoverability of roulette, in the U. S. where the
a trend; but also specifically in wheels have two zeros plus an
reliance on volume changes which extra "house number", the odds
are an integral element of most against the player amount to five

ear."

charting.

most

author's

the

holder of

dredths percent.

misconceptions, via both

buy it, is

relied-on

shall

percent; and

"Greater Fool" process, namely
implied assumption that; the

delineate

the

buying signal, along with

heavily

volume's

five-nineteenths

and

its single-zero
wheels, the house ge s a cut o
only 2.7%. In house crap shooting
the odds against the player are
down ^at one and forty-one hun-

first

shall

stop-loss

note

some

One effect of the increasing in- in

terest in chart reading is to enhance

the

dependence

the

stock from whom you

-Europe

with

(At New York

Continued on page 38

foolish than you;

inclusion and omission.

Signal From the "Box"

In his

for

use

so-called "Box"

On occasion of the 17th

Olympic Games in Rome the

buying signal Mr. Darvas
essentially uses only one more
a

variation of the many

pleased

are

long-exist¬
ing methods practiced by the mar¬
practitioners to detect trend, or
lack of one, from an issue's previ¬
ous market price pattern.
As re¬
cently
redefined
by
Harry
D.
Comer, Director of Research of

to announce that

and

"All

the

which
us

our

Denver

Department, where Mr. Shirley will
co-manager

works

Municipal

tape.
serve as

Members Mew york Stock Exchange and Other Principal

524 Seventeenth Street

•

Denver

Telephone: AComa 2-5501

•

(■
•

fi i-

Co.

Exchanges

Offices, Coast

organization in Italy and abroad by presenting—on

request—a specially printed book

the Olympic events.

appear on the stock ticker
Stock prices and volume of

charts

and

tables

for

technical

helpful
at

can

Founded

1894

—

Head

Office:

Milan

1
1

CAPITAL: 20 BILLION LIRE—PAID IN: 11.2 BILLION LIRE

the
be

in selecting what to buy
what time, but
also in

IT ALIANA I

BANCA COMMERCIALE

are

analysis and conclusions
theory of market action

they
and

r/-;:...
.

upon

RESERVES: 5.6 BILLION LIRE

248

Offices, Branches and Agenc'es in Italy

keeping out of " 'dead' issues until

Teletype: DN 280

to Coast

pleased to make available to its clients the services of

technician

ments,

and

2, Colorado

market

the only data used.
into various re-arrange¬
and finally wind up in

ready to show new life
vigor."
Likewise, stemming

■

Branches

in Istanbul and Izmir

are

from
;

its

These go

"
•

materials

raw

the;

trading

with J. H. {Jack) Goode

Cruttenden, Podesta

•

IT ALIANA

Paine, Webber, Jackson & Curtis,

William F. Scott
associated with

BANC A COMMERCIALE

ket

H. Jackson Shirley

are now

compensation for

winning bet

suggested advantage over gambling games runs into the matter
of the comparative "house takes"

tech-

sanctum

have

(from which term the nasty
word "loss" has been eliminated.)

substantial

Continued

market

inner

results

order

Orders

place

represent
been

have

by the tape-

years

other

and

Cylinder Theory,

£ t i o n* Measures "Ascending

hcihws'ot-wcoh

largely confined. Larding the author's methods is, as is usual with

his

for

which

the

over

orders is holding steel production
down longer than most observers

Unless there is

toms,

basic
used

..Failure of the automotive, appliance, and farm equipment in- Then

steel

growing

are

.
n

Vigorously

Small

As Unlikely
The

panic

started to line up sources in other

-f 25.8

i;443.8G8

823,222

the

purchasing agents immediately

chiefcao
Boston

among some companies and many

contrast,

the

The two specific
Mr. Darvas "discloses"

successful

quirements.

J:r analogy to limiting a roulette loss
Topss and Bottoms" with "Round- to a *maximum 0f
$2 on a $100
mg Patterns
of Tops and Bot- bet Actually however, the wheel

the volume
public in-

does

involve

terest.

may have been
buying all along in advance of re- nicians,

the

At this center

gain for the week ending Friday of 25.8%.
Our comparative summary for the leading
money
follows

price);

Frankfurt

—

Representative Offices in

a/M, London, Paris and New York

the

traditional, Mr. Darvas
as a buyer uses a
varyingly sized
"Box," a "break-out" from whose
*178

Council.

pp.,

$4.95,

American

Affiliate and Associate Banks in Argentina,

Brazil, Chile, Colombia, Egypt,

France, Morocco; Peru, Switzerland, Uruguay

and Venezuela

Research
m

•»

TAX-EXEMPT BOND MARKET
BY GEORGE L. HAMILTON*

tax-exempt bond market has
gains during the

The

shown moderate

than

the
yields available from
closely associated offerings. This
was graphically pointed out when

aggressive new
again dominat¬ the State of California sold $15
ing the market. The Commercial million harbor improvement serial
with

week

past

issue bidding once

and Financial Chronicle's munici¬

"week.

last

bonds

Bonds

were

available in the secondary market
ten basis points cheaper than the

bond average yield stands at
as we go to press. A week
the average was 3.20%. The new offering but the Bank of
change represents a gain of slightly America group had excellent suc¬
cess with their offering. Less than
more
than one-half point.
$3 million of bonds are currently
The
dollar
quoted state
and
pal

3.161%

ago

municipal

revenue

are

s s u e s

available.
It

fractionally from last week,
losses limited to one point.

down

could

that, had one

Thursday, August 25, 1960

Larger Issues Scheduled For Sale
the following tabulations we list the bond issues of
$1,000,000 or more for which specific sale dates have been set.
In

Information, where available, includes name of borrower,
of issue, maturity scale, and hour at which bids
will be opened.
amount

Aug. 25 (Thursday)
Babylon Union Free School

District

No. 4 N. Y
Authority revenue
bonds
for
September
29;
$21,455,000
City Englewocd Cliffs School Dist., N. J.
and County of San Francisco bonds Monroe County, Gates-Og'den-Chili
for September 12 and $5,350,000
Sewer District, New York
Bucks County, Pennsylvania gen¬ Washington (State of)
—,
eral obligation bonds for Septem¬

7,500,000

1961-1990

11:30

a.m.

1,050,000

1961-1979

8:00

p.m.

7,600,000
34,000,000

1981-1988
1961-1980

ber

calendar

issues

scheduled

totals

now

about

Atlanta, Georgia

Hospital Dist., Calif.—

Camino

a.m.

1961-1998

11:00

1960-1986

Noon

1,350,000
1,000,000
2,400,000
1,000,000
1,196,000

1962-1981
1962-1976

Noon
Noon

1962-1978

8:00
3:00
8:00

p.m.

1962-1989
1961-1970

1962-1974
19(32-1989

1:00
8:00

p.m.

1961-1977
1961-1980

2:00
2:00

p.m.

1962-1971

8:00

p.m.

1,000,000
3,700,000
2,000,000
1,625,000
9,157,000

1962-1981
1961-1990
1961-1987
1961-1989
1961-1973

4:00
3:00
10:30
2:00
2:00

p.m.

1,100,000
2,250,000

1982-1971
_.—____

2:00
1:00

p.m.

1,000,000

1961-1990

11:30

a.m.

11:00

a.m.

9:00

a.m.

1961-1980 '11:00

a.m.

Cleveland Heights,
El

a.m.

1,200,000

City School District, Ohio__
Ohio

Berea

p.m.

12,725,000

School District, Texas

Aldine Ind.

new

$400,-

2:30

10:00

Aug. 30 (Tuesday)

...

14.

The

well

Stuart & Co. group.
The bonds
maturing 1961-1980. are scaled to
yield from 1.60% to 3.15%.
Important new state and munici¬
pal issues added to the competi¬
tive
schedule
during
the
past
week include: $12,335,000 Buffalo,
New York various purpose bonds
for September 22; $15,000,000 Ala¬
bama Highway Authority
(19611980) bonds for September 7; $7,000,000
California
Toll
Bridge

000,000. With the market relatively
of the competing
groups bought
hign, it seems probable that more
Trading has been active and the this issue, their selling perform¬ borrowers, will come to market in
principal reason for the slight de¬ ance would have been a lot less the near future. The
high borrow¬
than
the
Bank
of
cline has been some profit taking.; spectacular
ing costs obtaining through last
With the new issue calendar ex¬ America.
Spring and early Summer dis¬
panding for the coming months
couraged public borrowing and
East Bay's Highly Regarded
many dealers who were carrying
resulted
in
numerous
postpone¬
This
week's
most
interesting
revenue and turnpike bonds since
ments. The details leading to the
early in the summer have been new issue was awarded yesterday
financing of new issues are
selling part of their positions and (Aug. 24) following the delibera¬
lengthy and involved but given a
tion of several competing groups.
lightening up their inventories.
good market, it is amazing how
The $30,000,000 East Bay Munici¬
The Blue List float of available
quickly public officials can get to
pal
Utility
District,
California
municipals has risen to $247,879,market with their offerings. The
(1961-1995) bonds were awarded
482 as of Aug.
24. Last week's
high market seems likely to at¬
to the high bidding group headed
total (Aug. 17) was $204,000,000.
tract considerable borrowing dur¬
This volume of bonds is still rela¬ by Halsey, Stuart & Co., Morgan ing -October and November which
Guaranty Trust Co., and including
tively light for this tirpe of year
are
normally busy underwriting
as
majors L e h m a n Brothers,
and is no deterrent to aggressive
months.
Phelps, Fenn & Co., C. J. Devine
new issue bidding.
There are at present no nego¬
& Co. and others. This good grade
tiated
offerings on the horizon.
issue, secured by the full faith
Money Market Developments
The proposed $55 million Florida
and credit of the residents of the
Announcements affecting the
Turnpike Extension seems to be
244 square mile area on the east
off the calendar until sometime
money market have continued to side
of San Francisco has been
next year. The Florida Free High¬
trickle in during the past week. At
very popular with investors.
the present writing ten Federal
ways Association
has announced
Priced to yield from 1.50% to
it will oppose the extension and
Reserve
district
banks
have
3.50% for the 1994 maturity (the
will offer legal challenges to try
lowered their discount rate from
1995 maturity was not reoffered)
and block this road.
312% to 3%. Only the Dallas and
with

Chronicle

The Commercial and Financial

(758)

Hollywood, Fla.__—
North Brunswick Twp., S. D., N.

3,593,000
Portage Township Sch. Dist., Mich
2,950,000
Tempe, Ariz.
__—-—1,630,000
West Allis, Wis
1—
4,625,000
Omaha, Neb

p.m.
p.m.

Aug. 31 (Wednesday)

;

Francisco Districts

San

remain

be heard from.

The Manufacturers Trust Co. of
New

investor

spread.

Due

there is

cut its prime lending
Monday from 5% to 4%%.
Leading banks in New York City

and

the

across

country followed
suit the nexti day. The reduction
in the primed rate had been ex¬

pected since the Federal Reserve
Board, a fortnight ago, announced
reduction

those

last

require¬

country banks,

Thursday,

New

and for
and Chicago

York

effective Sept. 1. It was considered
inevitable when later in the week
Federal

reduction

these

While

approved a
discount rate in

the

all

from

3%%

these

been

other

3%.
have

tax

plus

left

untold

secondary

millions

sues

and

the

fall

should

pick and choose
not

buy with

yield from

New

new

yields
15 basis points

are

from

five

Bank

district.

15,060,000
'

Jersey Highway Auth., Gtd.__

New York (State)
Pennsylvania (State)_____________
Vermont
(State)
New Housing Auth. (N. Y., N. Y.)
Los Angeles, Calif—

____

Florida

——

With Cruttenden

cost

The

;
...

p.m.

v./

;

ji.'

3,800,000

1962-1985

4,000,000

1961-198010:30 a.m.

1,000,000

11:00

■__

—

1963-1985

a.m.

•

2:00 p.m.

Mich.

1,100,000

1961-1978

8:00 p.m.

1,650,000

1962-1981

1:00 p.m.

1,500,000

1963-1981

2:00 p.m.

21,455,000

1961-1975

_______

Crutten-

Wing

Sch.

Indep.

Dist.,

School

District,

Minnesota
San

Francisco, California

.__

Sept. 13 (Tuesday)
Allegheny County, Pa.

5,400,000 " 1961-1990
1,600,009
1965-1989
31,000,000

Brigham City, Utah
Ohio (State of)__

11:00 a.m.
8:00 p.m

Pennsylvania

State
Highway &
Bridge Authority, Pa
Tulsa County Independent School
*•

District

No.

Okla.___

Bucks

Halsey,

South
H.

Jackson

Shirley

William

F. Scott

Local

Mr.

Shirley will

Co-manager

with

Mr.

serve

Goode,

Shirley started this securi¬

career

with

the

old

Republic Co., in Chicago, serving

3.50%

3.35%

first

3.15%

3.00%

1978-1980

3.15%

3.00%,

in the sales department. He joined
the municipal department of Boettcher & Co., in Denver, in 1954,

1978-1979

3.00%

2.80%,

3%%

1974-1975

3.00%

2.80%

and

3Vs%

1978-1979

3.05%

2.90%

past two

3%%

1977-1980

3.25%

3.15%,

1978-1980

3.55%

3.40%,

3.35%

3.20%,

31/2%

1980

3.25%

3.10%

31/4%

1979

3.45%

3.30%,

3!4%

1977

3.55%

3.40%

3%.

1980

3.75%

3.70%,

2,000,000

1961-1979

10:00 a.m.

1,250,000

1961-1985

Noon

was

Mr.

stock

trader

and

later

its sales manager for the

Hawk

County, Iowa______,
Prince William County,
OccoquanWoodbridge Sanitary Dist.,. Va.

Sept. 20 (Tuesday)

Scott had

10,750,000

—-

Sept. 22 (Thursday)
Buffalo, New York

12,335,000

—

Sept. 27 (Tuesday)
Northeast Sacramento County

Sanitary District, Calif-

4,000,000

—

salesman

denpr+nrjent

National Bank.

Sept. 29 (Thursday)

been with Boett-

the

municipal
department. Previously, he worked
for three years in the commercial
credit

Milwaukee, Wisconsin

years.

cher since July of 1957, first as a
registered representative and later
as

48,900,000

Sept. 15 (Thursday)
Black

Central

1978-1980

1980

11:00 a.m.

1.600,000

Housing Authorities, U. S.__

1980-1982

33/4%

1961-1990

District,

__I

said.

Mr.

31/4%

10:00 ami.

5,350,000

Metro. Sewer

Carolina

den,

announcement

ISSUES
Asked

1962-1975

4,800,000

County, Pa.

Greenwood

were

general

10,000,000

Sept. 14 (Wednesday)

3.0547%"

City School District, Ohio

office

3%%
33/4%

1960 Index=3.161%

5 ;:
p.m.

Parma

Denver

(Aug. 24) the

Bid

2:00
* 1:00

Red

the

not
issue is

$2,655,000

Maturity

1961-1989 ,"
1962-1986.

•

a.m.

ment.

SERIAL

11:00

Pleasant

was

bonds

1962-1980

50,000,000
.

'. /«•

Mount

has

bonds

•

ley and William F. Scott have
joined the municipal department

City of Weymouth, Massachusetts
awarded

Sept. 12 (Monday)

DENVER, Colo.—H. Jackson Shir¬

bonds

3.40%

Development Commission,

•; Florida

Angeles, California__________
New{ York -State
Thruway
Au/ thority, N. Y.
St. Anthony Indep. School District
V No. 282, Minnesota.______•

Co., First
Chicago group

go to press

obligation

California

August 24,

Los

ties

N. Y

in
>

Podesta & Co., 524 Seven¬
Street, according
to
an
from J. H. (Jack)
Goode, Manager of that depart¬

Rate

Baltimore, Md.,____
Cincinnati, Ohio__
New Orleans, La.

dealers

buy bonds."

teenth
we

REPRESENTATIVE

(State)
Connecticut (State)________

deter

was

Chicago, 111..
New York City,

1961-1980

3,000,000

District,

Trust

net interest

the

*Pinch-hitting for Don Mackey.

New

high

from 1.50% in 1961 to
3.20% in 1980. At this writing, the
issue is better than half sold.

(.05%-0.15%) less

MARKET

not

were

reoffered

"Richer"

issues have recently come to

market,

1.60%

1985

American

National

for

abandon.

Issues

The

Bank

is¬

interesting to note that

should

Tuesday's final important issue
$4,090,000 Fresno City Uni¬
fied
School
District,
California
bonds bought by a Weils Fargo

Calif.

Sept. 7 (Wednesday)

East

was

have to rush in and

reckless

and

group,
were
reoffered the

maturity
publicly reoffered. This
reported 80% sold.

their

associates

and

Tuesday the San Mateo,
junior college district

York

1984.

daily

buyers in

able

bidders

market,
bonds

Co.

New

new issues, and a scarcity of bonds
has developed. However, the new
issue calendar is expanding

and

Sept. 6 (Tuesday)

two

1985. The Crocker-Anglo National
Bank, First National City Bank of

exempt

$200 million of bonds

the

Blair

to
market with
$5,900,000
general obligation bonds due 1981-

since late last January,
amounting
to over four points.
During that

have

1,050,000

Santa Monica Unified S. D.,

school bonds

tax

dar

The

p.m.

Sept. 2 (Friday)
Pasadena, Texas

receive bids for $34 million excise

their enthusiasm to

Bank, Halsey, Stuart
Inc., C. J. Devine & Co.,
Philadelphia National Bank,

Co.,

came

bond

discounted

over

include

awards

California

bond dealers. The municipal mar¬
ket has had a
phenomenal rise

period'

Dist., Maryland

Alabama Highway Authority, Ala.
the State of Washington will Alameda—Contra Costa Transit

Manhattan

2.80%. The reported balance yes¬
terday morning was $8,577,000.

prices, much
monetary news has already

of the

trict, Ind._
Waco Indep. School Dist., Texas
Washington Suburban Sanitary

Calif.. 16,500,000
maturing-' 1961Hampton Union Free School
;
h - \
gations always attract highly com¬ 1980. On Aug. 30 Atlanta, Georgia ■* District, New York____________
1,600,000
petitive bidding, borrowed $13,- will come to market with $12,725,-* Elyria, Qhio_____"________________
1,840,000
662,000 by means of serial bonds 000 various purpose (1960-1986)'
(li962-1980) on Tuesday. Chase bonds. This relatively light calen¬ --V \
"
Sept. 8 (Thursday)'
infrequent

Also
moves

helped municipal bond prices,
well

"Vermont, a very
borrower whose obli¬

a.m.

p.m.

Dis¬

Redevelopment

issues of importance. Today (Aug.

Sales

State

Bend

p.m.

Week

25)
The

South

Coming in Current

the high bidders. The bonds were
priced to yield from
1.30%
to

Reserve

districts

Current

Myers,

Hosp. Dist., Texas
Florida

Kileen, Texas
Rochester, New York

Imminent

Other

Corpus Christi Ind. S. D., Texas—
El Paso County
Fort

reserve

ments for so-called

effective

the

Not Much

report on sales at this

writing.

Sept. 1 (Thursday)

wide¬

differences

time

York

rate

its

should

interest

1,200,000

Bridgewater Township, N. J

the

Denver

California Toll Bridge
Auth., Cal.
7,000,000
Fairbanks, Alaska
1,500,000
Plaquemines Parish, La.2,500,000
____

_____

Oct.

________

1961-1980

11:00 a.m.
2:00 p.m.
11:00 a.m.

(Wednesday)

Los Angeles Department of Water
and

Power, Calif.

____

12,000,000

—

Volume

192

Number 5980

The Commercial and Financial Chronicle

(759)

ther. A deliberate

Unwanted Gold Movements

the

By Paul Einzig
Einzig

unwelcome
the

pndicts

out-flow

particularly

gold,

affordable

and

ties could halt and

here

Switzerland

receiving companies, will continue at least through

time. Maintains proper

but

among

LONDON, England—The outflow
of

Switzerland and the United States

gold

from

would

expect

come

end

United

the

States

signs of abating, and it
be
unduly
optimistic to
it
to

official

American

monetary

au¬

have

resorted to

easier

tary policy.

though

United

the

States

more
,

t h e
movement; is

;

not
only
from an Americani point of view,
but also from the point of view
of at least two of the receiving

elaborate

discourage

responsible for

case

have

because

foreign
partly
anticipation of a

the

revaluation

enable

of Germany

been

check

attracted

the

tions

Switzerland

Interest
is

As far

for

are

arbitrage,
the
remedy clearly lies: in the hands
of the monetary authorities both
in Switzerland

States.

and in the United

adopting

policy

lowering

deliberately
mium

All

center.

forward

would

unprofitable

the

pre¬

forward Swiss francs the

could be

movement

brought to a

transferred

are

the

that

the

effect

forward

such

NOTICE

NAMES

by carrying the
rate policy a stage fur¬

OF PERSONS

whole.

foreign trade in

$3 billion in
quarter of this year.

foreign

countries

other

than

transac¬

trade

that

had

apparently offset the increase
receipts on the -trade ac¬

net

our

nothing

would

re¬

towards

but

international

quarter

changes

the

stock

the

Britain

out

in
is

accounts
are

and

gold

monetary
S.

for

based

prelimin¬

tors

other

than

merchan¬

the

rise

imports
Over

the

balance

•

;

Held

net

same

payments
annual

Union

to about

merchan¬

dise gain.
A

detailed analysis of the

balance of payments in the second

quarter

will

available

3, N.

(MEMBER FEDERAL DEPOSIT INSURANCE
The

the

persons

records

Current

Business,

publication

Commerce,
are

the

monthly
of

when

complete

in the

property

of twenty-five

amounts
'

AMOUNTS

dollars

DUE

The Survey of Current Business

is. available from Field

Offices

2(»8

new

With Thomson, McKinnon

the

increase

net

CINCINNATI, Ohio—Paul J. Bast
has

contribution to the
Inter-American Development

been

Geo.

added

Eustis

the

Co.,

nati & Midwest

any

Stock

Hylton, Alice Z. in Ir. for

191

Ilylton,

Ward

Al-ce Z.

Iriino

of these securities.

Lang,

in tr. for

1.420
55

F.
Christian

Josephine

112

Schwartz

Townsend.

Washing
D.A.R.
A

Charles

Price 100% and accrued interest

113

St.,

17 St., N.

Sec.

payable."-

301

cease

The First Boston

Fund"

305

will be paid
be

Corporation

Dean Witter & Co.

\V.

Drexel & Co.

St., N. Y.

Eastman Dillon, Union Securities & Co.

Glore, Forgan & Co.

unclaimed

of .the

the succeeding November,
to

Unknown

Such, abandoned property will be paid on or before
establishing to its satisfaction their right to receive.the

property

St., N. Y.

Unknown

property has been made to the Stats Comptroller pursuant
Abandoned Property Law.
A list of the names contained in such
notice is on file and open
to public inspection at the. principal office of the bank,
located at 20 Union Square in the city of New York, where such abandoned property
to

Copies of the Prospectus may .be obtained from any of the several underwriters,
including the. undersigned.only in States in which such underwriters are qualified
to act as dealers in securities and in which the
Prospectus may legally be distributed.

St., N. Y.

119

■

Headquarters Association,

"Reserve

report

Bklyn,

Sc., N.

OF'.h

Due September 1, 1985

Nelsen

Schwartz, Abraham in Ir. for
Samuel

St.,

Bklyn,

Clay Ave., Bronx, N. Y.

333

Rasmus

Annie

Place,

U^kno^n

Harold

Nelsen,

113

Due 1985

St., Jersey City, N. J.

James

Ryder

101

Julius
Ethel

Kovar,

1750

Refunding Mortgage Bonds

1, 1960

Unknown

Ward

Kaplan,

CORPORATION)*

liable

and

to Arthur Levitt

therefore.

before

31st

Lehman Brothers

Kidder, Peabody & Co.

Merrill

Ladenburg, Thalmann & Co.

Lynch, Pierce, Fenner & Smith

persons

White,Weld & Co.

Incorporated

same.

the tenth day

the sta.te

v".-/.v.V';" 'FJ;

October

Goldman, Sachs & Co.

Comptroller

thereof, such unclaimed
and it shall thereupon

Equitable Securities Corporation

Exchanges.

August 24, 1960

Series M,

Building, members of the Cincin¬

offer to sell nor a solicitation of offers to buy
offering is made only by the Prospectus.

4%% First and

staff

Tri-S t

$60,000,000

Y..

DEPOSITS

St.

ments, U. S. Government Printing
Office, Washington 25, D. C., at an
annual subscription price of $4.00,
including
weekly
supplements;
single copy 30 cents.

more.

95 Newkirk

Appleton, Sadie G. in tr. for Syril Appleton
Currie, Isadora.
Grassman, Walter J.
Barbara

data

available.

;

Dated September

the

of the Department

whose names ancl last known addresses are set forth below appear from
the above named banking organization to be
entitled to unclaimed

September issue of the Survey of

Square, New York

$4.8

over

rate

$3 billion in the second quarter of
1960, an overall improvement of
$1.9 billion, as the rise in the nonmerchanidse
categories
offset a

million capital

CERTAIN

SQUARE SAVINGS BANK

;

slightly1

were

the

This

exports,

UNCLAIMED PROPERTY
UNION

re¬

(Special to The Financial Chronicle)

payments on capital accounts was
the nonrecurring item of the $80

The
.

annual rate.

from

smaller.

trade

Bank.

NEW ISSUE

non-

(including
services.
Government assistance,, and pri¬ SHELBY, N. C.—Robert L. Steele
vate capital movements) are not? has joined the staff of Thomson &
yet available, but the aggregate McKinnon Masonic
Building.
increase in net payments on such
transactions
apparently matched
Geo. Eustis Adds
the rise in receipts from merchan¬
(Special to The Financial Chronicle)
dise.
One of the important fac¬

out-

but

second

the

reports

dise

the kind

understandable

the

Department of Commerce or
aggregate net payments from the Superintendent of Docu¬

second

ary

Their policy of non¬

conservatism

$3.8 billion at

from

compared to

count.

This advertisement is neither

offset

OWNERS OF

first

the

APPEARING AS

the

and

fashioned attitude.

transfers

keeping with the
progressive spirit of the United
States.
Yet, while the Bank of
England has been engaging in
forward exchange operations off
and on for 20 years, the American
authorities persist in their oldquite

are not attracted by the pos¬
sibility of making a profit on the
yield of short-term investments.

But

attitude

tradition-ridden

funds

transactions

of-date

Switzer¬

been evident in previous quarters
continued in the second quarter,

evi¬

intervention

ter

tions

extent

with

last year—when
merchandise
trade

—

official

their

which
decline

$4.2

tions

particular?

land

could

1959

foreign exchange opera¬
general and official
forward exchange operations
in

Admittedly, * part
that

year

the

The rise in U. S. net payments

the Fed¬

authorities

Reserve

consider

exchange rate covered. And since
the spot Swiss franc is at a pre¬
mium, uncovered arbitrage would
entail risk.

from

by U. S. banks on
changes in foreign dollar hold¬
ings.
Estimates
in
detail
for

eral

transfer funds to Zurich with the

year,

billion at an annual
a substantial reduc¬

tion

Data

Is it not high time for

that

Commerce

seasonally adjusted annual rate
of $3.7 billion in the second quar¬

thereby to
premium.
This

make

are

Compared
quarter

For the first resulted
the deficit of although

Japanese
the

quarter

payments to military

Aug. 8.

the

records

it.

payment

of payments—a

nonmilitary merchandise contin¬
ued to improve, with the excess
substantial part of the
of exports over imports rising to

Called For

and

the

eliminate

the

latter

second

in net

The balance

by a for¬
that
would

about

balance

billion from comparable first half of 1959.

Exports Continue to Improve

Federal Reserve Action

Swiss

sell

The

worried

in the

Offsetting this, how-

international

billion at

by the United States
or

billion

other

—

t rt-yf

interna¬

either

the

rate

pressure

part

policy

and

period,
payments on all'
as
billion figure transactions
measured
by
recorded in the first half of 1959, movements of
gold and recorded
and the $3.8 billion total for the liquid
dollar liabilities
shifted

operations,
yet
even
the remedy is in their
hands they are unwilling to resort

interest

covered

large

of $3

Department
of

nearly

though

pos-:

authorities

Swiss

such transfers

banking

francs

owing to the premium on forward
francs it is profitable to transfer
Zurich,

SWiss* of " these

the

would be needed would be for the

question of changing the parities
of the Swiss franc. Nevertheless,

funds to

prevailing
dollar

half

estimated

are

authorities.

gravely interfere with

tional

neither

there

low .and

are

the

increase

rate

dently

greatly reduce the inflow

Zurich's functions

policy aimed against infla¬

these two factors operate.

Swiss

the
or

which

because of the high in¬
terest rates resulting from a dear

rates

forward

resulted

announced

dollar. Japanese banks,
instance, have been paying

authorities

to resort to cumbersome measures

and

Mark

improve¬
the

out

tions could be prevented

of unwanted funds without having

partly

money

basis
the

tend

ward

confidence.

rule

deficit

outflow

foreign countries and international sulted in a small deficit and the
institutions of nearly $3 billion, at total balance of
payments deficit
an annual
rate, approximately the rose to its maximum—the 1960
same as in the previous
quarter, second quarter improvement in
the Office of Business Economics, the trade balance was more
than

at $200
of it has
been switched into yen by selling
spot dollars against the purchase
of forward dollars. Such opera¬

Germany's Status
In the

million.

sibility of official forward
ex¬
change operations. A revision of
these statutes to adapt them to
modern requirements would have

nevertheless.

funds

statutes

Bank

National

continue

seems

The

ment.

gold influx. But the

1960

high deposit rates lately to
acquire such deposits, and their

any

for

States

very

level, and in spite of this the
room

leave

capital

Foreign transactions of the United

in the present instance,

done

commanded

are

interest

increase their cost. This could be

there, is

ever,

of $4.2

the spot

for

policy
deserves the highest

than

■■v

rates have been kept steady
low

Yet

measures

hand

domestic

lower

the

monetary

inflation

franc has

movement

rates

•

both these countries have adopted
the influx of funds

rates, according to the Commerce Department.

authorities

take

other
country's monetary policy. Interest

Germany and
Switzerland. The Governments of

the unwanted

praise. It has come nearer to solv¬
ing
the problem
of expansion

West

—-

i-\iyff V
States

could

which

without

Exports now exceed imports by a differential of $3.7 billion com¬
pared to $3 billion in this year's first quarter, at annual adjusted

uncovered

because the adoption of a
forward rate policy would provide
the
answer
in
many
awkward
situations
such
as
the
present

since the war

unwelcome;

profitable to use "Euro-dollar"
deposits—that is, dollars held by
continental holders but deposited
in London—for swap transactions

Switzerland's

Paul Einzig "

influx

United

holdings

g O 1 d

countries

pressure

Expansion Without Inflation

lose

decidely

National

situation.

can

arbi¬

ing out orders of their clients—
including the United States Treas¬
ury
and
foreign Treasuries or
Central
Banks.
This is a great

well afford to

Swiss

pity,

mone- .<

Even

the

in the spot market,
the Federal Reserve Banks keep
strictly aloof from
foreign ex¬
change operations beyond carry¬

the election,
especially as

thorities

While

tions.

Bank operates

before

the

But

firmly opposed to engaging in
foiward exchange opera¬

are

interest

impunity. It would be¬
come profitable to transfer funds
to New York with the exchange
risk covered. Such a policy would
be too costly and in the long run
futile in face of a sweeping specu¬
lative pressure, similar to the one
experienced in Britain in 1957.
But there is no sign of any such

both

halt

shows

the

able

foreign exchange operations.
reversed.

New

rates with

conservatism, Dr. Einzig calls on the Reserve authorities to recon¬

even

the opposite sense. By supporting
the forward dollar they would be

post-war monetary policy in encouraging growth without inflation.

and

offset

The

Terming the Federal Reserve's non-intervention policy "out-of-date"
sider their attitude toward

covered

themselves

the movement. Lauds Switzerland's

reverse

for

funds.

election

our

Continued Export Gains Over Imports
Reduces Size of Our Deficit Position

discount

Zurich

from

trage,^ and this movement would

cooperation between U. S. and Swiss authori¬

even

funds

York

Germany

West

would make it profitable to trans¬
fer

Dr.

depreciation of

franc

forward

Kayden, Stone & Co.

•

memoranda

DEALER-BROKER

West¬

123

ABC

Para¬

Norfolk

on;

Woolworth

ern,

and

mount.

INVESTMENT LITERATURE

Analysis

AND RECOMMENDATIONS

Limited

Industries

—

Doherty Roadhouse &

—

Canada.

Corporation

Clary

Philadelphia

South Broad St.,

Analysis

—

data

Machinery

Food

Club,

Diners

Chemical,

113th consecutive

—

Over-the-Counter Index

—

aiso

avaiiaoie

data

are

Co.

Seeman Brothers, Inc.—Report— Memo¬
Oliphant & Co., Thomson & McKinnon, 2 Broad¬
Broadway, New York 6, N. Y. way, New York 5, N. Y.

Lehn & Fink Products Corp.
Review—Schweickart & Co.,

Belli

—

6, N. Y.

Broadway, New York

Magnavox

Review

—

Corporation—Bulle¬

RothNew

York

New

Ave.,

available

data

are

Y. Also
International

and Endicott

Co.

Shoe

Fifth

17, N.

Johnson.

Southland Royalty—Memorandum

Folder

Smith

29 tin—Weingarten & Co., 551

Goodbody

Co., 2 Broadway, New York 4,
Commercial Solvents Corp. — Re¬ N. Y. Also available are data on
quarterly comparison of leading showing an up-to-date compari¬
view—Van Alstyne, Noel & Co., General Instrument and memo¬
son
between
the
listed
industrial
banks and trust companies of the
used
in
the
Dow-Jones 40 Wall Street, New York 5, N. Y. randa
on
Wometco
Enterprises
United States — New York Han- stocks
Also available are data on Ha¬
and Blaw Knox Co.
seatic Corp., 120 Broadway, New Averages and the 35
over-theCo. and Olin
counter industrial stocks used in waiian Telephone
York 5, N. Y.
Mead Johnson — Memorandum —
Mathieson Chemical Corp.
the
National
Quotation
Bureau
Canadian Statistical Summary —
Bruns,
Nordeman
& Co.,
115
Averages,
both
as
to
yield
and
Consumers Power Co.—Memoran¬
Bank of Canada, Research Depart¬
Broadway, New York 6, N. Y.
market performance over
a 20dum—Cruttenden, Podesta & Co., Also available are memoranda on
ment, Ottawa, Ont., Canada—25
year period — National Quotation
209 South La Salle Street, Chi¬
cents per copy, $3 per year.
Koppers
Co.,
American Motors
Bureau, Inc., 46
Front
Street, cago 4, 111.
and United Artists.
Cashing in on Illusion — Market New
York 4, N. Y.
Decca Records, Inc. — Analysis —
letter—Stearns & Co., 72 Wall St.
Mesabi Iron—Review—Ira Haupt
Short Term
Money Rates 1945- Halle & Stieglitz, 52 Wall Street,
New York 5, N. Y.
& Co. Ill Broadway, New York
August 15,
1960—Booklet—Salo¬ New York 5, N. Y.
Electric Utility Stocks — Analysis
6, N, Y.
mon Bros. & Hutzler, 60 Wall St.,
Deere
—Hemphill,
Noyes
&
Co.,
15
^Memorandum — AuchinNew York 5, N. Y.
Iron — Analysis — Irving
Broad Street, New York 5, N. Y.
closs, Parker & Redpath, 2 Broad¬ Mesabi
Stocks

Bucyrus Erie

randum—Jas. H.

Howell and E. J. Korvette.

Bank

in.

Magna-Bond—Data—L. H.
child
& Co., 52 Wall St.,
& York
5, N. Y.

Hartford
are

v'.

Pa.

Cooley & Company, 100 Pearl St.,
4, Conn. Also available

INTERESTED PARTIES THE FOLLOWING LITERATURE:

SEND

WILL BE PLEASED

THAT THE FIRMS MENTIONED

UNDERSTOOD

Thursday, August 25, 1960

. .

International Telephone

Canadian

Co., 335 Bay Street, Toronto, Ont.,

Financial Chronicle

The Commercial and

(760)

—

—Paine, Webber, Jackson & Cur¬

tis,

St.,

Broad

New

York

Industries,

Spartans
chure

—

Inc.,

tions,
York

Inc. — Bro¬
Public Rela¬

Corporate

Fifth Ave., New

500

36, N. Y.

State Loan & Finance Corp.—Re¬

port—Charles A.
1516 Locust St.,
Pa.

Taggart & Co.,
Philadelphia 2,

•"

Studebaker-Packard

— Analysis—
Co., 1835 K St., N. W.,
Washington 6, D. C.

Batten

Tractor

Co,

Supply

Report

—

Kidder & Co., Inc.,

—

1 Wall

Weis & Co., 40 Exchange Place,
data on Avco Small Business Investment Com¬ way, New York 4, N. Y.
St., New York 5, N. Y. Also avail¬
able is a report on Borman Food
Dynamics Corp., panies—Analysis—Hooker & Fay, Detroit Edison Company—Analy¬ New York 5, N. Y.
Majestic Specialties, National Inc., 221 Montgomery Street, San sis—Dean Witter & Co., 45 Mont¬
Stores, Inc.
Mortgages Incorporated—Study—
Video, Newport News Shipbuild¬ Francisco 4, Calif.
gomery Street, San Francisco
6, Copley & Co., 409 North Nevada, United Components, Inc.—Review
ing & Drydock Co., Southern Nat¬
Calif. Also available is a memo¬ Colorado
Springs,
Colo.
Also —Darius Incorporated, 80 Pine St.,
Steel
Industry—Bulletin—Courts
ural
Gas,
and- United
Aircraft
randum on Texas Gas Transmis¬ available
is a
study of United New York 5, N. Y.
& Co., 11 Marietta Street, N. W.,
Corp. and an analysis of Federal
sion Corp.
American
Life.
'
Atlanta 1, Ga.
^
Reserve Monetary Policy.
United
Industries
Co. — Memo¬

available

Also

are

General

Con».,

Dilbert's

Electronics

Bulletin

—

Ralph E.

Samuel

Co., 2 Broadway, New
York 4, N. Y.

Gold Stocks

Bulletin

Suggested Portfolios—In the cur¬
rent

Leasing

Development

Motorola Inc.

—Memorandum—Keene and Com¬

"Hogle Review"—J. A. Hogle

Co., 132 South Main Street, Salt
Lake City 1, Utah.
Draper

Inc.,

pany,

Wall

Street,

Rothschild

New

York 5, N. Y.

Comment

—

New York

—

L. F.

Co., 120 Broadway,

5, N. Y. Also available

review of Missouri Pacific.

Du Bois Chemicals, Inc.—Analysis
N ia gar a Mohawk Power—Memo¬
25 Ade¬ Treasury Bond Market—Bulletin —Hallowell,
Sulzberger, • Jenks, randum— Francis I. du Pont &
laide Street, West, Toronto, Ont., —New York Hanseatic Corpora¬ Kirkland & Co., Philadelphia Na¬
Co., 1 Wall St., New York 5, N. Y.
Canada.
'
tion, 120 Broadway, New York 5, tional Bank Building, Philadel¬
1960 Olympic Events — Special
Impact on Gas Exports on Ten N. Y.
phia 7, Pa.
printed book available on request
—

—

Dobie and Company Ltd.,

Selected Canadian Companies — World Bank
Review
Bank of Fischer & Porter — Memorandum
Review—Annett Partners Limited,
Nova Scotia, Toronto, Ont., Cana- —John C. Legg & Co., 22 Light
220
Bay Street, Toronto, Ont, ada.
Street, Baltimore 3, Md.
—

—

Canada.

vjA *

Market

Japanese

—

Review

—

In¬

American

Biltrite

<;•: •' ,.">V

Rubber

V, Florida Power

Co.—

New

York, Inc., Ill Broadway,

York

N. Y.

Japanese Stock Market

Broadway,
Also
the

available
new

ment

York

New
is

Survey

discussion

administrative
the

Y.
of

amend¬

investment
law of Japan and analyses of Sony,
foreign

Mitsui Bussan, Fuji Electric Man¬

ufacturing,

Nippon

Isuzu Motor, Toyo

Steel

—Ten

Rayon, Toyota

Stocks for Every One

issues which

est—Bache &

appear

Busch—Review—Hay&

New York 4,
are

bulletins

Publishing

Co.,

N. Y.
on

25 Broad St.,
Also available

the Toy

Industry,

High

& Light—Report—
"Fortnightly Review"—Carl M.

York

Company,

Corporation,

Northrop

Steels and Oils.

Bank

Anheuser Busch Inc.

dum—A.

North

—

G. Edwards &

Memoran¬

Sons, 409

Eighth Street, St. Louis

Mo.

—

Mid-year earnings comparison of
leading banks—Laird, Bissell &
Meeds, 120 Broadway, New York

Gas.

Company

and

Garden Land Co. Ltd.—Memoran¬

dum—Hill,
Wall

Darlington

Co., 40

St., New York 5, N. Y.

Also available

Tenn.

Goodrich

Fahenstock
New

Co.

analy¬

Gas Corp.

Review

—

Co., 65

Broadway,
York 6, N. Y. Also available

review of Wilson &

Pacific

—

ganization,
New York 5,
Pan

Robinson

Gamble

Bulletin

Italiana,

Inc., 120
N. Y.
World

American

Co.

Cleveland 14, Ohio.

Lakes

Great

322 Walnut

and

Company,
St., Cincinnati 2, Ohio.

Hamilton Paper

—

McDonald

Company, Inc.,

24 Federal

St.,

St., New York 5, N. Y. Also avail¬
able

bulletin

Container

Eppler,

Guerin & Turner, Inc.,
Union Tower, Dallas 1,

Fidelity

Corp.

Manufacturing

Bulletin—Frank

Inc.,

Broad

—

Ginberg & Co.,
St., New York 4,

Pioneer

Metals,

Inc.—Analysis-

Hancock Securities

—

review of Strategic Ma¬

Lyon

writers.

stock

$1.00

Reynolds

Corp.—Review-—
Co., 120 Broadway,

New York

5, N. Y. Also available

bulletins

Canadian Gas and

Convertible

Bonds.

Puerto Rico

Aqueduct and Sewer

The

or¬

was

company

ganized in March, 1959, as a serv¬
ice organization for corporations
and individuals in connection with

commercial

the

of
N.P.D.C.
as
corporate
other clients through which

and

terials Corp.

are

150,000

offered

common

Globus,. Inc. and Ross,
& Co., Inc. as co-under¬

acts

Development

Aug.

able

exploitation

and processes.
a
channel for

dormant

and

patents,

unused

products can
licensed, sold or acquired. At
the
present
time, 23
American
companies have signed contracts
and

processes

new

with

York

list

which

;

Ryder
&

Co.,

Also

—

available

Speculative

interesting

appear

memorandum

view—Schmidt, Roberts & Parke,

Corp.

patents

—

Houdry Process Corporation—Re¬

Trading Markets in.

Co.

—

Patent

National

Corp., 79 Pine
St., New York 5, N. Y. Also avail¬

Texas.

Firm

Memorandum

through

Pantex

—

Report

—

Manufacturing

Wayne

Corp. of America.

—

Aluminum

Piper, Jaffray
& Hopwood, 115 South Seventh
St., Minneapolis 2, Minn.
—

Stock Is Offered

Boston

Ilarvey

Memorandum

—

Airways-

10, Authority—Descriptive booklet—
:
•
Union
Commerce
Bldg.,
Cleve¬ Mass.
Government
Development Bank
5. N. Y.
land 14, Ohio.
Harris Intertype
Corp.—Bulletin for Puerto Rico, 45 Wall Street,
Oils
Review
Hornblower & Burroughs—Memorandum—Laid- —Vilas & Hickey, 26 Broadway, New York 5, N. Y.
Weeks, 40 Wall Street, New York law & Co., 25 Broad St., New New York 4, N. Y. Also available Ryan Aeronautical
Review
5, N. Y.
York 4, N. Y. Also available are is an analysis of Toledo Edison Co. Walston &
Co., 74 Wall St., New
—

Industries

Scientific

Washington

Houston

N.P.D.C. Common

Analysis—H. Hentz & Co., 72 Wall

Company—Anal¬

Brush Beryllium Company—Anal¬ ysis—Chace, Whiteside & Winslow,

ysis

Broadway,

Co.

Bowling—Memoran¬

dum—Westheimer

Building,

2, Texas.

—

Or¬

Conklin

Witt

Pioneer Plastics

inter¬ Bloch Brothers Tobacco Company

Stocks

Paper

Canadian

sis of Tex-Star Oil &

Co., 36 Wall Street, —Analysis—Fulton, Reid & Co.,
Inc., Union Commerce Building,

City

mermill

Discount Bonds, and data on Bur¬ General Shale Products
Corp. —
roughs Corporation, Dayton Power Analysis —• Equitable Securities
& Light Co., New York Air Brake
Corp., 322 Union St., Nashville 3,

New York 5, N. Y.
New

Grade

Tube,

Motor, Mitsui Chemical Industry,
and Kirin Breweries^
;
Low Priced

Stone

den,
—

Securities Co., Ltd., 61

—Nomura

Anheuser

Club

Houston

Stern, Frank,
New York Representative Office, Meyer & Fox, Union Bank Bldg.,
14 Wall St., New York 5, N. Y.
Los Angeles 14, Calif.
Commerciale

Banca

—

cluding reports on Hitachi Ltd. Report—William R. Staats & Co., Loeb, Rhoades & Co., 42 Wall St.,
and Dainippon Celluloid Co. Ltd. 640 South Spring Street, Los An¬ New York
5, N. Y. Also in the
—Yamaichi
Securities
Company geles 14, Calif.
same issue
are reviews
of Hamof New

randum—Dempsey-Tegeler & Co.,

Macco

Stocks

and

Corp.

The

proceeds

will be used to

list, to evaluate the commercial
possibilities of patents, and to pro¬
arid licensing of the
new
processes and products reprented by N.P.D.C.
(

mote the sale

Chairman

Gen.

Jess

other

Feldman,

Broadway,

New

York

Patent

National

Development Corporation is Brig.

System—Review—Purcell

i;.

of the offering
expand the client

and

Officers

Larson.

directors

are

President;

Jerome

Martin

Pollak, Vice-President and Treas¬
urer;

Specialists in Canadian Securities

(a) Operating Utilities

Principal for

Brokers, dealers and Financial Institutions

Lord Malcolm Douglas Ham¬

ilton,

Secretary;

William
B.

Stix

John

Wasserman,

Handy,
Arnold

and

Christen, Warren E. Hill

Eugene M. Zuckert.

(b) Natural Gas Companies
Transmission, Production
&

Distribution

Grace Canadian
Members: New York

Securities, Inc.

Broadway, New York 4, N. Y.

TELEX 015-220

•

HAnover 2-0433-45

•

Members ISew York

through and confirmed by

OFFICE MANAGER

NY 1-4722

Order* Executed at regular commission rates

TROSTER, SINGER & CO.

NEW YORK

Security Dealers Association

AVAILABLE
Over 30 years experience in
of the Over - The - Counter
Ycrk

terested

office

Security Dealers Association

Trinity Place, New York 6, N. Y.

HAnover 2-2400

Teletype NY 1-376; 377; 378

for

opening

The

Principal Stock Exchanges of Canada

National

Association

Security

Box

Dealers

Broadway, New York 4, N. Y.

Dl,

New York

treated with the

confidence.

Commercial and 'Financial
Place, New YorK

Chronicle, 25 Park
7, N. Y.

City

out-cf-town member,
firm.

inquiries will

strictest
Members:

all phases
and New
is> jn"

Exchange business

ncn-member
All

Stock

Volume

Number 5980

192

The Commercial and Financial Chronicle

(761)

Our Reporter on

Presidential Candidates

GOVERNMENTS

By Roger W. Babson

BY JOHN

Erstwhile Presidential candidate
siders

CHIPPENDALE, JR.

all

four

Presidential

men." Mr. Babson

vote

buying of Government obli¬

gations,

according

to advices, is
expand especially
of selected issues
such
as
the
$28,000,000,000
of
World War II 2%s. These securi¬
ties are gaining favor because the
beliefs are strong that the Treas¬
ury will come along, very shortly
with, an "advance refunding" of¬
continuing to
the purchases

youth

as no

bar.

nominees

whether

World

hasten it

con¬

least

mortgages choosing the Democratic ticket to depreciate the dollar.

Otherwise,

Considers

toward

tended the rates for bank loans to

and abroad.

stay where they were when the
policy of "active restraint" was From my knowledge of the major
the ruling one.
candidates for President and Vice-

competition hero

the earnest solicitation of Govern¬

coalition

margin
requirements
by
the
monetary authorities, if they in¬

political

would

see
that our country is
reaching a dangerous economic
precipice. The result may be the
appointment of a dictator, or at

Doubts religious question

important the "gimme"

III

parties

"good

Asserts owners of homes and savings accounts will
Republican; with installment debtors and those with long-term
most

War

delay it. It may con¬
tinue during the next two or three
presidential campaigns, until all

Party ticket

Vice-Presidential

certainly cannot last indefinitely;
although I would not now predict

real factor.

The

sees

the Prohibition

and

government.

we could be headed
form of Communism.

some

My grandchildren feel that Rus¬
sia may gradually move further to
the right with each
generation
while

the

United

States

may

or
Rockefeller, the Republican further to the left with each
the rate which is President, I believe all four are platform was made much more generation, until the United Na¬
I doubt if this will lose
the banks best and good men. I sincerely hope my liberal.
tions becomes a forceful organiza¬
largest customers remained at the opinion may be correct; but I may Mr. Nixon any of the old "hard tion
to
remove
the
economic
be
shell"
wrong. I had many surprises
Republicans, and it should causes of war.
5% level there would be no loos¬
fer to the owners of these bonds.
when I ran for President in 1940 secure for him many independent
ening of the other loaning rates
It is evident that the Government, which are
votes. However, we may now for¬
charged to the other on the Prohibition Party ticket.
if it is going to do anything in the banks customers.
get platforms.
Accordingly, the
Is Any Candidate Too Young?
way
of a "forward refunding" cut in the rate came as no sur¬
The real difference between the
proposition, will have to do it very prise to the financial community.
Mr. Kennedy is 43; Mr. Nixon two candidates will be shown
by

long
charged to

Research Dir.

soon

wait until later this fall.

The next regular

financing looked

The only question is why didn't it is 47.
Nixon
happen sooner.

for from the Treasury will be in
October when some $3.5 billions
of

new

Broad

Treasury

is expected to be

money

raised.

Terms of this undertaking

should

announced

during the

Investor

Interest

Bonds

years.

last week of September.

cially the longest maturities, are
Therefore, unless the Treasury being made without too much ef¬
uses the next few weeks to extend fort, but not as readily, however,
the maturity of the Government as previously because there is an
debt through the
offer of long enlarging investor interest in se¬
It is evident that
term bonds with higher rates to lected bonds.
the holders of selected issues, they the floating supply of many of
will have to wait until some time

the close of the year.

near

these

issues

cause

there

limited

very

desire

Favor

Markets

Bond

The

Since

the

that

powers

moved to make

money and
the short-term

long-term sectors of the Gov¬

ernment

and

securi¬

non-Federal

The

have

credit available to
and

ties markets, it is expected that in
this will have a more im¬

still

medium-term

issues

are

being bought by certain in¬

stitutional

investors

because

the

yield available in these Treasury
securities

meet their
needs and there is also some ap¬
appears

men

did

is 50 years.

life, I
my

Looking back on
at my prime and
most
important work
was

when when I

was at an age which
with the above aver¬
ages.
I not only had good ideas,
but I had the energy and ambi¬
tion to carry them out.
I think

compares

that

every

reader of this column

age will agree with my
perience.

rather

speeches

they

make

during
It now

coming two months.

and the average of Mr. looks as if each will try to outdo
and Mr. Johnson is 55 the other in the "giveaway" goal.
The average age of the four It seems to me this may be known

the

part with them at current lev¬

els.

the

age

who has reached

steady purchase
of the long-term bonds by state
of not a few specialists in these pension funds, in the main has
fields will be based on the actual given some semblance of stability
to selected obligations.
flow of funds into these markets.
The future action of the money
and capital markets in the opinion

the

average

be¬

part of holders of these securities

Factors

Mr.

Mr. Kennedy is about

years,

Lodge

The movement of quotations on
most Treasury obligations, espe¬

The
and

over

70 years of
own

ex¬

I suppose this age objection will
be rehearsed in literature put out

during the campaign. The answer
to this age criticism as issued by
Mr. Kennedy was certainly con¬
vincing from a historical point of
view. Age statistics regarding the
previous leaders of our own coun¬
try are, in themselves, convinc¬
ing; but, unwilling to stop with
this, Kennedy went back to show
that if there had been an age limit
468 years ago, Columbus would

the
great
"giveaway" cam¬
paign, where both the liberals and
as

conservatives

offer

sugar-coated

promises to win the
pendent voters who
mine

the

doubt
will be
vote

election

the

Nov.

religious

will

depend upon what the
candidates promise to

the

Savings

Cuban
versus

portant

concerned

were

off

hand

ing down the cost of
credit.

And,

bring¬

and
interest rate

the

least

manner

money

level is

reduced; it is usually the
that the supply of money and

case

credit is

increased.

These efforts

by the Federal Re¬
serve System in taking measures
to make more plentiful the flow
of money and credit has already
had

favorable

effect

the

This announcement is neither

Foreign
Policy Fd. Drive

investments—

however small they may be—will
vote the Republican ticket to pro¬
tect the value of the dollar.
On

the other hand, those who do not

home and have no
especially those who

own

any

ings

—

considerable

amounts

since

the

for its 1960-1961 fund

securities

some

cases,

all

most

been, and in
still is on the decline.

The funds which have been

mov¬

ing into fixed income bearing ob¬
ligations have come from individ¬
uals

there

well

are

institutions

indications

and

yet that

this trend will be reversed in the
near

future.

With

the

advent

the

feeling that the inflation psy¬
chology and fears have been put
into the background for a period
of time at least, it is evident that
the
demand
for
Governments,
corporates and tax-exempts is not
likely ot decrease.
Prime

Bank

However, it
the

Rate

Reduced

appears

commercial

banks

though

have

had

enough credit pushed their way to
make loanable funds more than
readily

available

because

the

though there would be reductions
in the discount rate, lower reserye

requirements

and

decreases

CONETTA MFG.

instal¬

has
at

raising

cam¬

The 41

with

World

United

its

To Open New

branch

new

Building,

office

Fourth

Tenth

Street.

cated

the

Carl

Affairs
States.

affiliate,

Center
The

1960-61

any

of these securities.

CO., INC.

Cam¬
on request

August 23, 1960

Foreign Policy Association-

World Affairs Center is

private,

Jkaram, Huryljtt & (Ho.. 3nr.

nonpartisan,

educational organi¬
zation with headquarters in New
York City, and five small regional
offices in New York City; Atlanta,
Ga.; Ann Arbor, Mich.; Boulder,
Colo.; and San Francisco, Cal.,
seeking to increase citizen under¬
standing of world affairs.

Jfnvebtment fflectebMiei
MAIN

50 Broad Street, New

York 4, N. Y.

STAMFORD HOUSE

Wart Park Place,

me a

copy

of the Prospectus relating to Conetta Mfg. Co., Inc.

NAME.

(Special to The Financial Chronicle)

CLEVELAND, Ohio
C.

Schmelzer

—

now

Lawrence

with Paine,

Webber, Jackson & Curtis, Union
Commerce Building.
•

ADDRESS-

CITY

Stamford, Conn.

DAvis 5-3541

BOwling Green 9-5190
Please send

Paine, Webber Adds

OFFICE

205

Ritter

Lehman,

tives in this office.

the

Prospectus Available

BraxtcK

Avenue

are offered as a speculation.

per

and

lo¬

Charleston

Office,
will
manage
the
new
branch.
C.
Harry
Grimes,
Jr.,
presently located in the Ironton,
Ohio office, together
with Sam
Andrews, who has recently joined
the firm, will be the representa¬

the

for

paign, under Mr. Siegbert's di¬
rection, will be in charge of fund
raising for all activities of the
combined organization.
The

Offering Price—$4

has

former

firm's

(Par Value, 1 Of! per Share)

old Foreign Policy
recently merged

year

man¬

HUNTINGTON, W. Va. — Westheimer and Company will open a

fairs Center.

Association

Santa

Westheimer & Co.

Class A Common Stock

was announced by John
Nason, President of the For¬
eign Policy Association-World Af¬

opened

9731

agement of Aaron M. Binder.

Committee

paign, it

prime bank rate was reduced from
5%
to 41/2%.
Even though the
loan ratio may still be considered
high as far as many of these banks
are concerned, it did not seem as

Center

branch

Monica Boulevard under the

sav¬

owe

Co.

office

125,000 Shares

Plan Mission to Great
Britain, has
accepted the general chairmanship
of the Foreign Policy Association-

these

has

These Securities

NEW ISSUE

HILLS, Calif.—Holton,

Henderson

offer to sell, nor a solicitation of an offer to buy
offer is made only by the Prospectus.

Henry Siegbert, formerly a part¬
of Adolph Lewisohn and Sons
and deputy chief of the Marshall

yields of all income bearing issues
return

ner

Affairs

Dreyling has opened

office at 25 Livingston Avenue.

The

Heads

World

BRUNSWICK, N. J.—Louis

branch

homes- and have
or

director

was

Dreyling Branch
NEW

who

savings accounts

formerly with
Paine, Webber, Jackson & Curtis.

BEVERLY

their

Holton Henderson Branch

Comforts

and

thorities
in

joined the firm

situation.

ments for automobiles, furniture,
preciation prospects.
Again, re¬
telling influence on ports indicate that the interest in never have discovered America! etc., or even those who have large
long-term home mortgages—will
the quotations of these various ob¬ the 2%'s of 1965 continues to ex¬
What About the Party Platforms? vote the Democratic ticket to de¬
pand, with the indications now
ligations." ■
that more of the deposit banks are
It is an old saying, "the plat¬ preciate the value of .the dollar.
It should be borne in mind that
The most important question to
the Federal Reserve Board was making commitments in this se¬ form of a political party is like
the platform of a 'street car,' of me is how long this "gimme" po¬
not at all slow in reducing the curity. The near-term liquid obli¬
litical competition can continue.
Central Bank rate, because this gations appear to be getting less use only to get in on." Originally,
of the funds which have come out the Republican platform was con¬
Certainly this trend to the left I
rate was cut from 4% to 3% in
of the stock market.
The more siderably more conservative than found in all countries while tra¬
two operations in the space of only
distant maturities
appear
to be the Democratic platform, but at veling about Europe. However, it
about two months, a very short
period of time. This would seem gaining favor with those who were
interested in equities.
to mean that the monetary au¬
time

der has

of research.

As I talk with many people, the
consensus seems to be that those
own

Company, 42 Broad¬
City, members of
Stock
Exchange,

has announced that Elliot Schnei¬

question

real factor. The Florida

with

D. H. Blair &

way, New York
the New York

deter¬

may

respective
do

great inde¬

For D. H. Blair

_TEL.

_5TATE_

jective abroad has still
of

ard

Mr.

Bartlett

asserts

over

the

the major metals, attaining the basic metal
broadened markets following research and over-all man-

status. Notes

weakness in Russian position, particu¬
domestic front, asserts slacking
demand will be replaced by increased Space requirements.
Notes great progress achieved by Reynolds Metals Co., which is
now
country's second largest producer. As to the future of the
aluminum industry, concludes we
haven't "seen anything yet."
agement ingenuity.,Cites basic

>
■

had been m

minum
U.

great days lay
Before
that

war

four

the

and

seeds of

great ideolog¬
ical revolution
had been

"1929"

—

the

enormous

re¬

tending

ones.

Basic

•'

Weakness

however,

is,

] * *

basic

the Russian

present time, U. S.

post-war

build

and
George L. Bartlett

an explosively
charged na¬

tionalism, another war of an ex¬
tent
and
intensity
previously

unimaginable, and ideological con¬
flict, then occupied the scene and
literally tore the world in two.
But, it should be noted, all this

sums

partial

economy

for

capital (or labor, which
equivalent). In an

such

Russia runs and
the capital is present,

which

run

day our luck will have
out. But United States indus¬

much less on
military; when
the hour strikes it is quite ready
and it has been a world marvel
depended

has

try

than has the

luck

has the choice of

has

much

in Offing

Outlets

New

what, what with increased demand
for missiles, rockets and preoccu¬

itself has attained

the status of

select

velops, as looks likely, all need to
worry about nearby demand for
aluminum will soon vanish.
So;
it

is,

aluminum

wtih

too,

cans.
have been

Costs of aluminum cans

chivvied down to a point where
competition is becoming real and

another

Result:

earnest.

mass

the

available

best

and

been

growing at the rate of about
concentrate."
v
basic metal.
10% yearly and in Western Europe
Time
and
circumstance
and,
the
expansion
has
been
at
about
Reynolds' Status Today
perhaps, a little compassion and
Reynolds Metals, for example, the same rate in recent years. reluctance to recognize the worst
was organized in 1928,
chiefly to Consumption in Western Europe,
unreadiness
always affect
take over the manufacturing ac¬
however, is about eight pounds wars, witness the deplorable un¬
tivities
of
U.
S.
Foil
Company
per capita, whereas consumption readiness of the United States in
which was established in 1919. To¬
—

day, it is the country's second
largest producer of metallic alu¬

here approximates

28 pounds

per

—

1941.

Here

the

United

capita. This clearly shows the ob¬ however, unreadiness

was

New

Possibilities

Growth

It is necessary to point to these
hitherto things in arriving at some appre¬
of

struggle

without

utensils, the competition

worked

somewhat

the

part, too.
such

and

ING

THE

26th

AND

ANNIVERSARY WILL BE

PUBLISHED

FEATUR¬
BY

THE

short

spawned
of

histories

■

defense

and

needs

then,

industry.

stated,

every

that since the

there

has

and

now

turn

been

the

dou¬

bling of output every decade. The

largest U. S. company, Aluminum
Company of America, has done

"CHRONICLE"
TISING

OCTOBER

6th.

PLEASE

RUSH

YOUR

SPACE RESERVATION FOR A PREFERRED

ADVER¬

POSITION.

: '

$845.0

V.-

405.21

864.4

446.58

1958

445.55

1959

489.26

It will be observed

869.4

753.1

858.5

that, where¬

Alpminum Co.of America has

just about held steady in this five
year
period, sales of Reynolds
Metals have risen about

$105,000,-

000, or about 30%. This clearly in¬
dicates that search for contribu¬

tory factors is in order. Expansion
by acquisition is generally most
potent to these factors. To all
intents and purposes, the excep¬
tionally high costs of entering
upon
manufacturing virgin alu¬
minum was a strongs
for
many years. The numerous anti¬
trust suits filed

touch

not

against Alcoa did

manufacture

the

metal; the target
^fyricqi^n
and none of the litigation spring¬
ing from this situation proved
happy in any way, economically
or with respect
to inducing com¬
petition. Yet, Alcoa had virtuallybeen before the courts in restrain¬

ing suits for 20 years. This situa¬
came

less to

end

with World War II.

Competition Making for Health
Effective

been

competition has now
and, as it usually
relatively healthy state of

created
a

exists.

How

beneficial

of course, remains to
when a period of business

prove,

seen

contraction
In

petition

occurs.

recent years,

has

taken

this com¬
form of

the

abroad. In the

adventures

case

little

better than that

Reynolds

Metals,

however,

has

the

since

Metals, the first major
struggle occurred in the acquisi¬
tion

jointly

and

Tube

Aluminium

Metals

nolds

than sixfold.
was

Except

under

future

growth

together, with the simplification of
relationships
with
controlling
that

companies

completion,

will

now

nearing

helpful

clearing the boards for the ulti¬
form

mate

that

company's fi¬

the

nancial structure will take. At
end

$2.37Va
$4.50

was

Cam

preferred

conv.

st'k

723,500 shs.
cum

($100

par;

into

com

(no

par)

$50)

Common
'

follows:

$382,185,944

($50 par)
2d

pref

st'k

—

532,610 shs.
16,471,227 shs.

Earnings often provide a

test

the

past and

ahead than anything
ord

the

1959, the company's finan¬

cial structure

sales

Rey¬

control

nating factor. In this respect Rey¬
nolds Metals has done well and,

1949.

impulses,

likely

Financing of deals of such size
consequence is also a domi¬

Long-term debt

Prior to that,!

unusual

at last reports.

somewhat less urgent.

pro¬

alumi¬

and

preceding decade expanded

growth

The British
companies
in
which
Reynolds
Metals now has joint control ap¬
proximate more than 40% of the
United Kingdom's aluminum fab¬
ricating capacity.

45%

convertible

in the

leading

products, in 1958-1959.

num

stock

its

Ltd.,

worldwide fabricator of

runner-up,

increased

Metals

Reynolds

Investments

ducer of aluminum in Britain and

nearly fourfold in that period, and

CLOSING DATE FOR COPY IS SEPTEMBER 1st.

Amer,

(in millions)

1956

ap¬

grown since
War II as has

World

aluminum

century,

YEAR-BOOK

aluminum

invention, have
end

casually

CONVENTION NUMBER

industries, except those in
with

the

CIATION

qualities

its hold dn hiarkets
thoroughly entrenched.

pears

the

ASSO¬

playing

There is, however, no
a cheap metal

possesses;

Few

TRADERS

relatively

are

substitute for

lines

SECURITY

Plastics

and

goodly

the market at

those

NATIONAL

established

tenaciously holding

with

OFFICIAL

have

ware.

real

ONLY

•.

Alum Co.

$384.89

1957

Metals

..'

;

1955

,■

British holding company, of 94.2%
of
controlling
stock
of British

its toes and has

large share of this market.

THE

since

Reynolds

„

is very much

goes

high prices.

PACTUM

'?•' v; •

•'

Reynolds

are

MEUM

seemed.

saying.
There will be much competition,
—"stainless" steel, in some direc¬
tions, and especially in building,

iron

DICTUM

- •

1955

the

detriment of aluminum; stainless
steel and vitreous enameled cast

INC

gains

inclusive:

1959

will

States,

kitchen

ASSOCIATION,

sales

actual

affairs

has

TRADERS

would increase its sales
only $20 million, which might or
not
be "more- rapid." To quote

does,

SECURITY

has

progress
as

basis of $200 million the smaller

ination.

NATIONAL

so,

great

company

tion

possibilities
for
growth that aluminum still holds.
That it is, and will continue to be,

In the OVER-THE-COUNTER-MARKET

say

derogation; be¬
Reynolds Metals has grown
rapidly, but it should be

impossible, because alu¬
minum, in its combinations, is the
most
plentiful
mineral
in
the
world's crust.
If realized, such a
development would carry us be¬
yond the bounds of present imag¬
appear

ciation

SYMBOL OF INTEGRITY

been

cause

ample, if the present interest in
aluminum automobile motors de¬

not

This is not said in

Although military demand for
aluminum ' has
shrunken some¬

and

figures

raw

come

struggle djd not halt ha*r£ gregtly, broadened markets. ours, the great temptation is to may come, when the reduction and
scatter efforts "all over the lot" fabrication
the technological progress of the The
of
aluminum
may
research
laboratories
have
—the second or third try might
yield to cheaper processes than at
world; in fact,-the; "col^" war we also suggested so rn^ny new uses,
are fighting stimulated it. Of the
it may safely be said that a heavy yield ineffably better results than present and this highly versatile
the first success. This, of course, metal
will become available to
major metals in general use, alu¬ and persistent increase in demand
is only another way to say: "If consumers on a tonnage rather
minum—the youngest one— has is assured.
you have lots of time and money, than a poundage
had the steadiest and proportion¬
basis, likd steel."
Production of aluminum in the
try everything; if you are limited, While this is a far
ately best sustained benefits, and United States
cry, it does not
and
Canada
has
strife

on a percent¬

kept in mind that a 10% per an¬
from so num gain in sales volume, for ex¬
ample, on a base of $500 million
little visible preparation for it.
.
of sales is $50 million, whereas on
that

relatively market.
Aluminum
and
glass
building
structures,
of
newcomers
to
the
business. limited supply over a broad range commercial
of materials or a large supply of now
springing up everywhere, its
Aluminum has taken up consider¬
a
limited
of items. It is applicability to "downtown reno¬
range
able
of the slack
that used to
obvious that
a
choice must be vation" and slum clearance also
develop between periods of urgent
made and for shorter or longer have
great volume potentialities
buying and lagging demand. But
periods that choice, once made, and architects" boards are almost
ingenuity, new applications, the
cannot be
changed in a hurry. literally
groaning
under
the
specific properties of aluminum,
a
speculation is in¬ weight of plans in hand.
such as its light weight and re¬ Obviously,
volved. In an economy such as
All
this
is
sistance to most forms of corrosion,
passing.
The time
one

and

considerably

slowed

fear leading competitor, but although

they

and

realists

are

position

copious electrical power and large

ca¬

facilities here and in Canada,

ef¬

one

ma¬

objectives.

Monopoly is no

pacity for the production of virgin
aluminum is probably in excess of
the demand. This is the result of

sown.

great eco¬
nomic upset—

generally

Russia's
There

weakness

and

upward

"'J

output. As is natural, com¬

smaller

ferred

•'

vital

of her

use

stantially above supply; with re¬
longer a charge that can be leveled spect, to their own military de¬
against Alcoa. Presumably, as the mand supplies art unlimited, ex¬
years
pass,
there will be other cept by facilities for producing it.
Production of aluminum requires
entrants in the field, too.

empires were
shattered

28%

permit wide

will

availability,

terials for political

products,

about

for

If it should suit Russia's

Thursday, August 25, 1960

pation with conquest of space and
now
includes not only the oldest as an exporter of aluminum for the consequent let-up in construc¬
and largest producer, Aluminum any length of time. From what tion
of
aircraft, there is little
Co. of America, but Kaiser Alu¬ is
known, Russian demand for question that new outlets will not
minum & Chemical and a number aluminum for civilian use is sub¬ be long in developing. As an ex¬

ahead.

ended,

petition

that

clear

accounts

and

fairly general use for a few pur¬
poses when World War I, crashed
about our ears.
It soon became

aluminum

and

ours.

latitude
'

Aluminum, the metal,

also

that

book,
the
absence
of
controls
through costs and the amenability
of her population to considerations

of military

that, although age basis but, measured in pounds
serious losses occur at first, the produced and sold, it undoubtedly
will still be extraordinary.
tide of defeat soon subsides and
the long and wearying lost battles
The Newcomer
give place to small but broadening
As a relative
newcomer, Rey¬
successes, ending in victory and
nolds
Metals naturally has dis¬
peace. It has always been so for
the United States, but Americans played greater vitality than the

vague,

trol

larly bearing on her exports. On our

fort, with the result

over,

although the figures are
Russia has been and prob¬
ably will continue to be a moder¬
ate exporter and her exports are
not limited by the forces that con¬

the most progress among

*:'-V

into

has enjoyed

recent past aluminum

led

explains American entry
foreign fields, also. More¬

ards.

Bartlett,

attain¬

powerful
lifting European stand¬

have

ments

American

North

emulate

drive

the

and

abroad

living

by herculean

erased

vast dis¬ quickly

equally clear desire of Europe to

Partner and Director, Thomson &
McKinnon, New York City, Members New York Stock Exchange
George

rising stand¬

The

reach.

tance

Outlook for the Dynamic0&
Aluminum Industry
By

Financial Chronicle

The Commercial and

(762)

the

past

better
lies

of what

else. The rec¬

five

years,

ad-

Volume 192

Number 5980

justed for the 16,471,227
shares

1959, shows them starkly:

Earnings

per share

$44,760,000

$2.41

1958

39,360,000

2.24

'1957

37,810,000

2.14

1956

41,240,000

2.57

34,310,000

view

1955,

the

and minor payments in

have

been

1959

stock, the

substantial.

STOCKS

BURRINGTON

This Week

—

Among Union Bank's promotion slogans for attracting cus¬
is that of "A most unusual bank." Certainly from the
growth achieved during the past several years, accompanied by a
300-400% rise in the market price of its stock since 1955, the
stock
of Union Bank also has developed
into more than an
ordinary investment.

Bank Stocks

Rapid

growth

Union

characterizes

Bank.

Located

the

southern

California

operations
population growth

where

area

to be at the rate of

some

which permits statewide branch banking.

ness

of the company and its conSequent need to develop business

Transition to "branch"
banking has been carefully engineered in facing the problem of
a public reputation in its area as "the institution with all banking

wherever it

under

existed, that its man¬
has been considerably

the trigger than has that

of the largest company in the field.
In any event, in production, in

seeking out its supplies of alumina
(ore of aluminum) and applica¬

tions and discovery

creation of

outlets, the advantage has
been with Reynolds Metals. The
company is credited with being

new

the

which

one

aluminum

first

larger

General Motors
It

the

led

and

sold

molten

in packaging, in
home construction, in slum reno¬
vation, in auto engines and intro¬
duction

other

uses.

and

cans

numerous

The company has pre¬

dicted increased sales in 1960
1959

over

and is

over

aboundingly cheerful
its long range future.

Such

factors—once

established

and

put into use, mean much more
than long strings of figures. Crys¬
tal ball gazing does not rate highly
in business
quarters. Successful
men in industry see much of the
past, but less of the future. The
younger men have little time to
gaze on other than the future.
There is

banking,
under

doubt that the future

of aluminum is ahead of it. More¬

the paths to it are reason¬
ably well-marked and do not need
overmuch mapping. It is and of¬
fers a lifetime of sound, construc¬
tive work to young men. Even
they, it can be said, haven't "seen
anything yet" in aluminum.
over,

Joins McCarley & Co.
CHARLOTTE, N. C.—Kenneth P.
Dettmar has joined the Sales De¬
partment of McCarley & Com¬
pany,
Inc.,
in
their
Charlotte
office, Liberty Life Building.
He
was
formerly with Eastern Man¬
agement Corporation.

Boston Named V. P.

By Inv. Diversified
MINNEAPOLIS, Minn. — Election
of Henry R. Boston as vice presi¬

Rather than describing its expansion as

roof."

Suburban

population

Occidental

The

merged into Union Bank in September,

1957.

permanent building,

new

Plans

in1 the fall of 1959.

now

26.5%

the

26.3

13.2

2.6

3.2

289.3

47.7

228.6

45.2

40.4

(24.3)

(19.5)

(55.6)

(22.6)

(65.3)
12.2

Capital funds

$41.8
543.1

(Time

A second regional

regional

head

office

100.0%

$505.6

6.9%

$25.1

Deposits)

(90.1)

(93.9)

(16.6)

interest

a daily basis was
1960. This policy has brought a sub¬
deposits according to management.

savings accounts on

savings

development
automation
equipment for centralization of the bank's bookkeeping should be
emphasis is being placed
simplification programs.

Particular

work

and

manpower

Installation

100% complete by 1963.

Bank's growth record has
been an outstanding one. Since 1955, deposits have nearly doubled
and Union's growth, relative to the nation's other r commercial
banks, has been even more dramatic. Ranked 89th in size at the
end of 1955 it has emerged as the 39th largest bank, measured by
deposits at midyear 1960. Since 1955 assets and loans have doubled
and capital funds have increased over 170% to provide a strong
base for further growth. Investment interest has been allowed
to widen with over 2 million of its authorized 4 million shares
During the past several years, Union

outstanding.

now

five-for-one stock

split was executed in 1955.

Rights sub¬

scriptions to stockholders were made in 1955 and 1956, followed
by two rights offerings in 1959; the second one for some 260,000
shares after a two-for-one stock split in September. Stock divi¬
dends of 5.88%, 5.56%, 6.67% and 4% were paid in 1954, 1955,
1958 and 1959 respectively.
Earning power of Union

is based heavily on loans; in 1959

provided 71% of gross income. Net operatiing earnings in¬
creased 36% during the first half of 1960 over the first six months

loans

1959.

On the average

number of shares outstanding for each

(13.3)

9.0

1.8

1.5

1.9

9.8

1.9

1.5

100.0%

Liabilities

100.0%

$607.1

Net Oper.
Earnings

Indto.

Book

Divid.

Value

$505.6

Approx.
Shares

Bid

On Book

Price Range

Value

57-46

$2.15

$1.28
0.79

$20.21

1959

19.86

12.4%

57-29

1958

1.78

0.77

14.93

12.3

31-18

1957

1.56

0.72

13.93

11.3

19-17

1956

1.53

0.68

13.68

11.6

19-16

1955

1.44

0.63

12.62

11.9

19-17

1954

1.23

0.60

11.52

10.3

14-11

"Adjusted for stock

dividend.

tSix

months,

interim financing of construction.

increase

(20.3)

1.8

1960t

organized in 1914 as a commercial and savings in¬
stitution, adopted its present abbreviated name in 1958.
A trust
department was established in 1918 and the wholly owned Union
Realty Co. was formed in 1958 to hold title to the bank's real
estate.
Union Bank has inaugurated many unique personal serv¬
ices to its customers.
It also is among the largest lenders for

91.7

11.3

liabilities

Year

The bank,

stantial

5.3%

5.0%
91.3

461.7

89.4

10.9

in San Diego.

started at the beginning of

100.0%

Selected Per Share Statistics*

County, adjacent to Los Angeles County. Also a new
building will be operated and occupied at a strategic location on
Los Angeles' Wilshire Boulevard. Long range expansion calls for
the opening of several regional headquarters in southern Cali¬
fornia. This summer application was made to open its first office

puting

100.0%

Other

Total

deposit growth, the new method of com¬

2.5

Reserves

Orange

In order to stimulate

2.8

14.3

2.0

$607.1

Deposits

eight-story structure, was opened
underway to extend its present
on

25.2

132.9

2.1

Estate)

are

start

28.7%

21.7

% Earned

will

soon

Pacific N.W. Group
Of IBA to Meet
Oreg.

PORTLAND,

than

—

June

30,

Outstanding

2,128,508
2,104,629
807,294
742,770
684,000
570,000
90,000

1960.

Sheldon Jones, June S. Jones

Co.,
William Rosenfeld,
Dean
Co. Hospitality; N. Wil¬
son Lewis, Blyth & Co., Inc. Res¬
ervations; Frank Calise, Publicity;
Fred G. Bradshaw, Registration;
Golf;

Witter &

150 members of the Pacific North¬

James

west group of Investment Banker's
Association of America will as¬

Phipps, June S. Jones Co., Enter¬

semble

the

Picket

and

Preston

vestors

Building,

(Investors), In¬
announced

by W. Grady Clark, president of
the corporation.

Cartwright

With Sweney

was

(Special to The Financial

tainment.

Hotel,
Sept. 8, 9 and 10 for their annual
Vested Income Plans
convention,
according
to
Whit
Vested Income Plans, Inc. is con¬
Pierson,
convention
General
Chairman.
They will come from ducting a securities business from
Oregon, Washington and British offices at 42 East 52nd Street,
Columbia and are all members of New York City.
investment securities and banking
firms.

Officers

are

Richard A.

President and Treasurer,

Plans for the meeting and ap¬ seph A. Englert,
pointment of chairman to handle and Secretary.
the
at

activities

various

were

being made to bring several vis¬
iting speakers and national offi¬
cials to the convention.

Co-chairmen to handle the vari¬
ous

activities

are:

William J. Col¬

lins, William J. Collins & Co. and

Smith

Co., Hunt¬
Building, members

Sweney Cartwright &

Robert Ferman Branch
Robert L. Ferman & Company

has
branch office at 125
Maiden Lane, New York City.
opened

Bank

ington
of the

offer to sell

nor a

Vice-President

A. G. Edward Adds
(Special to The Financial Chronicle)

ST.

LOUIS, Mo. —James

McAnulty is
Eighth

Street,

members

changes.

solicitation of

offer to buy

any

ISSUE

60,000 Shares

Opens Investment Office
(Special to The Financial Chronicle)

New

Wegard Branch

TRENTON, N. J.—L. C. Wegard
& Company is opening a branch

Jackson

and

Calif.—Grace

FRANCISCO,

SAN

ducting

offices at

Perego

are

COMMONWEALTH DEVELOPMENT AND

con¬

securities business from

CONSTRUCTION COMPANY

58 Sutter Street.

office in the Trenton Trust Build¬

ing

of Sept. 1.

With Bateman, Eichler

COMMON STOCK

(Special to The Financial Chronicle)

LOS

bank

ANGELES, Calif. —Paul H.

Desbrow

with

and

(Par Value $.05

has

become

Bateman, Eichler & Co., 453
Spring Street, members of

Price;

been with Demp-

He has recently

from such other dealers

Two With
Laird, Bissell & Meeds
New

York

American

Telephone:
V. \

Stock

Exchange

Stock

Exchange

BROADWAY, NEW YORK

Bell

BArclay 7-3500

Teletype NY 1-1248-49

Specialists in Bank Stocks

Copies of the Offering Circular may be obtained from the

sey-Tegeler & Co.

stocks

Members

$5.00 per Share

the Pacific Coast Stock Exchange.

insurance

Members

Share)

associated

South

120

per

N. Y.

may

undersigned and

lawfully offer these securities in this state.

Christopher

(Special to The Financial Chronicle)

KANSAS
Hall
been

and

CITY,

added

the

Agron have

staff

Christopher & Co., Board of Trade

members of
Stock Exchange.

the

Building,
York

Vickers, Christy & Co., Inc.

Mo.—Carolyn S.

Norman

New
\

New York,

William Street
WHitekall 4-2470

the

New York and Midwest Stock Ex¬

of these securities. The offering is made only by the Offering Circular.

NEW

connected with
A. G. Edwards & Sons, 409 North
now

Stock Exchange.

Midwest

Morris,
and Jo¬

made

meeting of the Portland mem¬
bers this week. Arrangements are
a

This announcement is neither

Chronicle)

Ohio — Marshall A.
now
connected
with

COLUMBUS,

Sheraton

dent-finance of Investors Diversi¬

fied Services, Inc.

31,'

23.1%

12.7

Assets

five office network.

Construction

Dec.

31,,1958

$116.6

132.0

securities

Assets

Dec.

31, 1959

LIABILITIES—

office was opened at Beverly Hills in December of the same year;
the

Governments

Total

Savings & Commercial Bank, with three
located in the San Fernando Valley, was

strategically

Dec.

$160.9

...

(Real
Other

branch

growth necessitated

Loans

differentiation from competing banks is pointed up
the establishment of "regional offices with all banking

one

offices

Other

change.

Motor.

way

roof."

one

through

consumers—

Ford

1957, Union remained the only holdout among major
Angeles banks for unit banking, unusual indeed in a state

Metals, allowing for the youthful-

ASSETS—

Cash

Until
Los

better

Statement of Condition

(In millions of dollars)

1,000 persons daily,
Union Bank has been undergoing changes which have attracted
the investment community nationally.
appears

the management of Reynolds

agement

$1.25 compared with $1.11 for the

were

year ago period. • Dividend payout has been sharply increased
from $0.79 (adjusted) in 1959 to the current indicated annual rate
of $1.28 a share.
At the recent price of 48, a yield of 2.7% is

obtained.

UNION BANK, LOS ANGELES

than probable

BY LEO

period, per share earnings

tomers

currently

Quality of Management

It is

BANK AND INSURANCE

split in

Management is, in all growth
situations, a matter of primary
concern.

(763)

2.23

5-for-l

3-for-2 distribution

additions

The Commercial and Financial Chronicle

Net

Net after taxes

1959

;

common

outstanding at the end of

1955

;

New York

(764)

AS WE SEE IT

Continued from

country

page

this

a charge of neglect
System as politicians are
very fond of doing. For our part, we have discerned no
indication of sharply worsening conditions in the early
future, and certainly do not believe that any failure of
business to come up to expectations this year is to be
attributed even in ,part to any hard money policy which
the Reserve authorities had been following. Nor is there
danger of an early recession that may now exist to be
charged against the System. '
v
or

prevent a recession

business to

greater activity, we are
verdict of future events. What disturbs
tion,

other situations of the

the

Theory

theory still does not appeal to us. Take the situa¬
by which we are now faced, as an example. The steps
taken by the Reserve System must be
designed to

In any case, we no

end of World War. II.

again

much

office. If

look

It was, moreover, more than half

when President Eisenhower took

was

little

closely, we find that con¬
sumer
credit, so-called, stood at $52 billion at the close of
1959, several billion higher than it has ever been in our
history—and it is still rising. We find, moreover, that the
mortgage debt of small home owners (that is on one to
four family houses) had reached the
staggering total of
$133 billion by March, 1960 or more than six times what
was

at the end

of World War II and

was

at the end

of 1952.

All this
one

reads

goods and
down

all.

comes

•'

125%

payments,

for

sale

instances

some

credit

the

we must

extent

offer

sell

nor a

Unless
in

small

offer

there

sudden

makers to turn out 1.3 million

shift

than 5%.

•

buy these

ously

for

than

must

small

normal

concessions

are

The
be

problem in Detroit
of

one

want

production

47,490 cars compared with 84,139
last week, and 31,848 in the same
week last year.

Ford

said

Ward's

Motor

Co.

captured 46%

of the week's pro¬
while Chrysler Corp. ac¬

duction

for. 35.2%

counted

General

and

Motors, 18.8%.
The statistical agency said only
a
few plants worked five days
during the week. But Falcons and
Comets

were produced on a sixbasis. And 1960 volume re¬
sumed
Thursday
at
Mercury's
Wayne assembly site after a five-

day

strike.

week

Ward's

pointed out tjiat Cheyrq1960 model run
Aug. 19. Thus, Ford Motor Co.

let wound up its
left

building 1960

cars.

latest

the

16,385

were

Reason

week.

units

Total

12,449 last ■week.
upturn was that

vs.
the

for

steel

downtime.

Loadings for Augv13

Freight Car
Week

the

Were

10.2%

1959

Loading of

production

operated at 55.8%

vacation

the

Aug.

totaled 599,908 cars, the

twe tion of American
week's- nounced. This was

than

freight for
13, 1960,

revenue

ended

week

Above

Week

Associa¬

Railroads

many

but

be obtained in any State only from such of the several Undersecurities in such State.

needs

Most

tend

Goldman, Sachs & Co.

be met

can

the

models

an¬

companies in¬

by Oct.

their

initial production

until their dealers unload

Incorporated

half

the

1961

15, but they will

one

million

runs

at least

1960

;

The

inventory

formidable,

problem,
not much

increasing,

Steel

of Aug.

5,579 cars or nine-tenths
per cent above the preced¬

were
one

ing week.

There were 10,877 cars reported
granting more export
issuing fewer rejec¬ loaded with one or more revenue
total trade, export li¬ highway trailers
(piggyback) in
week
ended
approved in the first half the
Aug.
6,
I960

54.5% of Jan. 1,
The

American

Institute

erating

1960
Iron

announced

rate

panies

(which

will

Capacity
and

that

the

steel

average

Steel

the

op¬

This

total).

was

increase of 3,155 cars or 40.9%
above the corresponding week of
an

and

1959

5,212

92.0%

cars

above the 1958 week.

piggyback loadings
31
weeks
of I960

Cumulative

com¬

*96.6%

over-all

that

included

were

week's
on

for

the

first

steel capacity for the
week, begin¬
ning Aug. 22, equivalent to 1,552,-

totaled

000 tons of

corresponding oeriod of 1959,

(based
tion

ingot and steel castings

average weekly produc¬

85,551

There

week

traffic

begining Aug. 15.
Actual output for last week be¬

ginning Aug.
to

54.7%

15, 1960 was equal
of the utilization of the

326,940 for an increase of
or
35.4% above the

cars

175,701

1947-49). These figures
compared with the actual levels of
*97.0% and 1,558,000 tons in the

cars

corresponding
55

were

road systems

the

Class I

and

above the
in
1958.

rail¬

U. S.

originating this type
current week com¬

the

pared with

116.2%
period

one

year

ago

and
of

corresponding week

1958.

Jan.

1, 1960 annual capacity of
148,570,970
net
tons.
Estimated

percentage
cast

based

54.5%.

while

(based

for
on

this

week's

that

fore¬

capacity

Intercity Truck Tonnage for
Ended Aug.

Intercity
on

operating rate
1947-49 weekly produc¬

tion) was, *94.6%

and

production

13 was 3.8%

1959

A month ago the

worse

1958.

and

exceeded those in all 1959.

cars

jamming their showrooms.

August 24, 1960.

The Commerce Depart¬

This Week's Steel Output Based

they

short notice.

week

censes

they

introduce

go easy on

Smith,Barneyc^Co.

car

cents to $32.33 a gross

nations

tions.

to
planning,

cars

the

Loadings in the week

licenses

Automakers know ap¬

build,

rose

ment

seems

cannot
decide what percentage of their
output should be compacts. Until
they do, they are in a poor posi¬
tion to specify the types and sizes
of steel they will need.
They are
in
no
hurry to make up their
minds because
they know steel

Lehman Brothers

were

capacity,

bloc

rail and absorb
freight rates.

proximately how

LazardFreresC^Co.

million

highest since mid-June.

reported.

semi¬

are

ship

Steel said.

Kidder,Peabody^r1Co.

Louisville, Cincinnati, Memphis,
and Nashville, Tenn.—expect the
mills

Dillon, Union Securities & Co.

Metalworking trade with Soviet 13,

the difference in

Eastman

industry's

changeover shutdowns. U. S. auto
makers
produced
an
estimated

ton.

freight. Customers
normally served
by barge—St. Louis, Kansas City,

lawfully offer the

Ward's

1 heavy melting
grade to the but a decrease of 26,406 cars or
highest point since late in May. 4.2%
below
the
corresponding

vigor¬
from a

carrying larger

inventories

in cities that

$5 Per Share

as may

week.

last

sharp decline in produc¬

said the

No.

compete

tonages

finished and finished material.
What is more, they are making

Common Stock

may

two

first, 1,8 million the
one

points from

promise faster delivery.

can

So steelmakers

TranS'Coast Investment Co.

writers, including the undersigned,

cars

(vs.

quarter

week's

the

Furnaces

living hand to mouth.
are
going to the mills

than

Copies of the Prospectus

and

Last
was

host of other users—most of whom

375,000 Shares

per

fourth

second,
third).

Orders

$15

1961

an increase of
previous
revised rate. Output: About
cause
1,589,- 55,399 cars or 10.2% above the
they have big inventories
of finished goods and more than- 000 ingot tons.
corresponding
week
in
1959,
enough raw steel.
Exports
of
scrap
last
week which was affected by the nation¬
To
build
their
order
books, pushed Steel'sprice composite on wide strike in the steel industry,

are

Price

the

million in the

As automakers delay steel order
releases, other consumers—appli¬
ance manufacturers, farm machin¬
ery builders, and canmakers —i
are staying out of the market be¬

offer is made only by the Prospectus.

Par Value

begin

than it was a year ago. Stocks are International Harvester and Willys
International
Harvester and
only 5% higher dhan they were in
August, 1959. Look for the auto¬ Willys resumed operations after

the

down payments
to be the common

will

Corp.

under

43.5%

purchasing plans of auto¬
makers, the September upturn in
bookings and shipments may not

solicitation of

expected, Steel'/ the metalworking
weekly, said/'
7''

steelmakers
an

econ¬

system in fine disregard of what

Continued from page 5

than

confess to very considerable uneasiness about
which virtually all the consumers of the

securities. The

cars

Ward's said.

tion is the result of the

This announcement is neither

semi-closed

STATE OF TRADE AND INDUSTRY

point of fact, it has come
practice to quote not the price of an article but the amount
of the down
payment in sales campaigns. What this is
already doing to our economy, we do not profess to know,
but

1961

out,

output week of Aug. 22.
Meanwhile, car output in the
week
ended
Aug.
20
plunged

longer live in

•

al¬

producing the
medium-priced

service said that
U, S. truck volume soared 31.6%

consumer

with

turned

models

new

The reporting

forcibly to mind when day after day

services

do.

Buick

hears announcements of all sorts of

even

others may

the

though

Packard

come.

credit

our

Re-

American Motors and Studebaker-

our

and loose with

the

Automotive

Next week even

balance of payments difficulties in recent
years eloquently testifies. Resumption of the Outflow of
gold since investment yields declined a month or two
ago should put us all on notice that we can not play fast
omy,

Gear
of

builder

will

are

which investment must

Car

High

-12%'

Special,
a
new
compact, in Flint.

are

increase in the debt of individuals and busi¬

aver¬

Aug. 19.
Chrysler Corp. was the primary

Otherwise, they could have no meaning. Yet the net
debt of the governments, the business and the individuals
of the country was
already up to $846 billion by the end
of last year, which is more than twice what it was at the

Ward's

ports said

arbitrary manner really
sound? It certainly does nothing to encourage saving from

ness.

28,000

models,

situation created in this rather

1947-49.

235,000 cars assembled in the first
three weeks of August were 1961

technical aspects of a situation
important, too. Procedures of this
sort in current circumstances tend very strongly to raise
bond prices and to give the bond market the ability to
absorb more and larger offerings of new issues. This—
since nearly all outstanding issues are now callable—af¬
fords corporations the opportunity to reduce interest costs
by refunding outstanding obligations. It also makes it
easier for corporations to fund bank indebtedness. But is
of this sort which

for

1961

Moving

Some

Technical Aspects

stimulate

of business.

course

Of course, there

The

now

Output
Models

although the psychological effect
things as this is more likely to be felt in the busi¬
ness community than directly by consumers. In any event,
it would appear that if such a policy does not encourage
borrowing, it can hardly have very much influence upon

same

production is based

production

weekly

charged consumers on in¬

of such

business activity may be. What we can not
help wondering about is what policies of this sort (in con¬
junction with other public policies) may do to the funda¬
mentals of our economic system. It is, of course,
only quite
recently that the notion has been all but universally held
that by manipulation of credit conditions and the
like, the
course of business could be
controlled, and that it is pos¬
sible to play fast and loose with
banking and credit with¬
out doing heavy and
permanent damage to industry and

tion

♦Index of

truth in this view,

some

actions upon

False

rate

age

greatly affect the readiness of the
consumer to borrow. It is usually all too simple to change
the number of payments or, in some other way, make an
increase in the rate of interest charged difficult to discern.
Presumably, the mere fact that the Reserve authorities
take such steps as these tends to instill confidence in the
rank and file, and thus to make them more ready to bor¬
row or to enter into commitments. There is without doubt

about the situa-

trade.

very
of interest

stallment debt does not

sort in the past have
us, is not what the short-term effect of these

disturbed

that the

said

action will tencl to
heavy indebtedness. It is often

enlarge this already

steps of the Re¬
help stimulate
content to await the

authorities will

332,000 tpns, or *20.7%. At
time the industry was vir¬
tually closed down due to a strike
of the steel union.

that

re¬

expected from recent Federal Reserve

inaction at the

As to the likelihood that the recent
serve

1,520,000 tons. A year ago the ac¬
tual weekly production was placed
at

are

duction

time, it would be difficult to level

indecision

Thursday, August 25, 1960

:'X

not prepared to say to what extent such
in interest rate as have occurred or are to

. . .

and even years

committed financially months

are

ahead.

regardless of the action of the Reserve authorities at

Financial Chronicle

Commercial and

The

week
below

the

Week

truck

ended

in the

tonnage

Aug.

13,

was

3.8%

the

corres-

men

lUn

AyhiPT 1—

volume
i_

Week

Below

Volume

can

Trucking

announced.

192

Number 5980

Associations,

tan

survey

Although

light,
on

the

metropoli¬
by the ATA

400 truck terminals
carriers

mon

throughout

general

the

were

marketings

country

com¬

and the

freight

light

were

soybean meal market

country.

Output
1959

week

earlier.

amount

-■

:.v;'

electric

Cotton
;

■

energy

According

distributed

by the electric light
power industry for the week
ended
Saturday
Aug.
20,
was

Census

and

sumption

estimated

pared

according

the

to
of

United

with

States

domestic

Bureau,
all

cottons

to about 562,000

came

14,453,000,000 kwh.,
the Edison Electric

con¬

bales,

Output

Lumber

Were

7.6%

Ended

Aug.

Lumber shipments

fell to 279 in the week ended

ures

Aug. 18 from 308 in the preceding

week

of 452 mills

but

the

total

the 263

reporting to the National Lumber

similar

Trade

1939.

low

Barometer

7.6%

were

be¬

production during the week

ended

1960. In the

Aug. 13,

week,

orders of

new

the

Failures

same

$5,000

these mills

from

8.4% below production. Un¬
filled
orders
of reporting mills
were

30% of gross stocks.
reporting softwood mills, un¬
filled orders were equivalent to
16 days' production at the current
rate,
and
gross
stocks
were
equivalent to 51 days' production.
For the

3.4%

below

orders

5.5%

were

below

ended

week

duction

the

with

Aug. 6,
reporting

low.

with

Compared

the

and

pre-war

Nevada

lives

within

the

service

229

this

size

casualties,

and

failing

1959.

$100,000

for
during
with 43

concerns

compared

preceding week.

residential
a

The

;

Cattle and sheep
tribute

of the

omy

ranching

substantially to the
area.

farms

perous

con¬

are

ex¬

other

and

materials

products

company

Mountain
There

Empire.

local

ore.

also

earth from the Lovelock
The

Battle

near

shipments of iron
processed diatomaceous

and

ore

building
A barium

processes

are

Reno
an

and

area.

Sparks

area

has

increase in the numbers

industrial

due

corres¬

ponding week in 1959, production
of reporting mills was 0.8% be¬
low; shipments were 6.5% below;

with
floor

higher

sales

furniture,

coverings, and linens, helped

tionally above

trade

retail

over-all

boost

frac¬

electric
Gas

from

Recreation

important

are

Tahoe

Lake

factors

the

and

Donner

and

have enjoyed a favorable

areas

business

1.2% from the week earlier $5.98,
1960

the

the $5.95
„

Only

high,
of

the

week.

0.7%

below'

down

was

this
were

beef,
hams,
bellies,
cottonseed
oil,
cocoa,
coffee,
potatoes, rice, raisins, steers and*
oats,

rye,

hogs.
1.

The

Dun

resents the

Bradstreet,

sum

Inc.

total of the price

pound

raw

foodstuffs

and

meats

general

not

It is
index.
Its

cost-of-living
of

food

prices

the

level.

Mountain

There

was

this week in

New Low for 1968
a

moderate

decline

the Daily Wholesale

Commodity Price Index, compiled
Dun & Bradstreet, Inc., and
Wednesday, Aug.
17, it hit

by
on

(1930-32 = 100), the lowest
far this year. It was also the

267.27
so

lowest since the 266.50 of June 28,
1950. On
dex
was
on

Monday, Aug. 22, the in¬
at 267.37. The decline

stood
due

primarily to lower prices

flour, lard, hogs, steers, lambs,

cotton, rubber, and tin, which off¬
set increases in most grains, hides,
and steel scrap.

in wheat moved up
moderately from a week earlier
and
offerings
in some markets
were
light
helping prices
rise
somewhat.
Rye
prices
finished
Trading

sale
a

serve

and

that town at whole¬

deliver

electricity to
and
serve Ana¬
Copper. Electricity accounts

large

mining

customer,

south to Yerington to
conda

for

some

81%

gross

revenues,

+5; New Eng¬ water 8% and gas 11%. Eightyland 0 to +4; West North Central two per cent of electric revenues
—1 to
+3; Pacific Coast —2 to
+ 2;

South Central —4 to 0.

effect
can

until
be

desired.

November,

1964,
if
conversations

extended

However,

been

contract

initiated

payout of 64% is on

the low side.

with

Pacific

the

provide

may

for

stall

18,000 kw. diesel units to
supplement its five small hydro
plants with their maximum capa¬
bility of 9,600 kw. Gas is produced
locally in the company's propaneair mixing plant.
The

rate

Sierra

Gas

litigation

Pacific

Power

between
Pacific

and

Electric, which had been

before

the

Federal

Power

brought to

conclusion last

Pacific Gas refunded certain
overpayments
made
on
power

year.

purchased by Sierra Pacific dur¬
ing 1954-'56. The gross amount of
the

refund

was

Admit Partners
CINCINNATI, Ohio—Westheimer
Company, 322 Walnut Street,

and

members

Millions

stock-.™-

57.6%

4.0

10.0

13.0

32.4

Appoint Douglass
Donn

year

the

100.0%

$40.1

served

have

since
same

of Brush, Slo¬

cumb

465

Co.,

Inc.,

sell

Sales Down

Banner Investment Co.

been

gains

1951—the
as

ties business from offices at 2 Mal-

Road under the firm name of

1950.

latter

compounded rate of growth in
share
earnings for the decade
ending 1960 works out at about
10%, assuming calendar year 1960
earnings to be about the same

Planning

Mo. —Harold

LOUIS,

Kuehnel is

now

buy

any

Department store sales on a
country-wide basis as taken from
Federal Reserve Board's in¬
dex for the week ended Aug. 13,

Gardner, 400 Locust Street, mem¬
bers

west

Stock

the

New

York

decrease of 1%
period last year. In
the preceding week for Aug. 6,
a
decrease of 2% was reported.
For the four weeks ended Aug. 13,
a

change was reported. The Jan.

1, to Aug. 13 period showed a

Sellgren Miller Branch
FRANCISCO, Calif. — Sell¬
Miller & Co. has opened a
office at 333 Pine Street,
under the management of Wen¬
gren,

branch

dell Joost.
*

■

Now

LOS

ANGELES, Calif.—The firm
of Binder & Co., Inc., 541
South
Spring Street, has been
changed
to
Jacoby,
Daigle &
Werner, Inc. The firm maintains
a branch office in Beverly Hills.
name

as an offer
of these securities.

is available only
lawfully sold.
Aug. 23, 1960

TRANSNATI0N REALTY CORPORATION
$700,000 8% Subordinated Installment Debentures,
Maturing Aug. 1, 1970

70,000 Shares, Common Stock, $.10 Par Value

35,000 Common Stock Purchase Warrants

the Federal Re¬
serve
System
department store
sales in New York City for the
week ended
Aug.
13 were 9%
above the like period last year.
According

In the

Subscription price $143

per

unit

preceding week ended Aug.

6, sales were 1% above the same
period last year. For the four
weeks

ending Aug.
was

crease

in¬

reported over the 1959

Offered only
tures;

in Units consisting of (i) $100 principal amount of Deben¬
(ii) 10 shares of Common Stock; and (iii) 5 immediately detach¬
Stock Purchase Warrants exercisable at $4.30 per share

able Common
until

May 15,1965.

period, and from Jan. 1 to Aug. 13
there
the

was

level

period.

gain

achieved

of
in

6%
the

above
1959

ROSS, LYON & CO., INC.

Jacoby, Daigle

NEW ISSUE

increase.

Mid¬

SAN

from the like

and

Exchanges.

the

show

with Reinholdt &

circumstances to be considered

solicitation of an offer to

Co.

(Special to The Financial Chronicle)

ST.

was

annual

The

Investment

With Reinholdt & Gardner

each

N.
Y.—Arthur I.
engaging in a securi¬

Lenowitz is

by the company

The offer is made only by the Prospectus which
in such States where these securities may be

1% From 1959 Week

California

Street, members of the New York
& Pacific Coast Stock Exchanges.

Banner

is growing rapidly and the influx
of population into the Lake Tahoe

There

Sept.
Douglass will become

SAN FRANCISCO, Cal.—On
assistant secretary

ton

eq'ty

Total
area

Percent

$23.1

(795,416 shares)—

The

and

PLAIN VIEW,

Long-term debt
Common stock

York

Brush, Slocumb to

$1,107,000.

follows:

Preferred

New

Stock

Exchanges, on
Sept. 1 will admit Harry J. Hudepohl and Thomas J. Blank to
partnership.
Mr.
Hudepohl
is
manager of the firm's trading de¬
partment.

Capitalization is approximately
as

the

Cincinnati

Com¬

mission and the courts since 1954,
was

Westheimer To

years

modifications

which

This announcement is under

Nationwide Department Store

selling

The dividend

about

and

irrigation district,
the remainder. The

East North Central —3 to
South
Atlantic and West

1960,
Wholesale Commodity Price Index
Down to

estimates

lach to

(on

around

use.

chief function is to show the gen¬

trend

varied from
levels by the
following > percentages:
Middle
Atlantic, East South Central, and

+ 1;

per

eral

lected

Food Price Index rep¬

Wholesale

wholesale

to spot estimates col¬
by Dun & Bradstreet, Inc.

according
Regional

side

ago.

the comparable 1959

commodity, tea,
wholesale price

one

higher

and

a year ago.

year

in 1950.
is currently

Electric

These and r e s i d e n t i a.l
development and Reno areas is expected to
gains offset sluggish activity in
and new orders were 4.4% below.
Squaw Valley was tire site of the continue at a rapid pace. Improve¬
men's apparel, major appliances,
recent
Winter
Olympic
Games. ment in electric loads for recrea¬
and
draperies. Scattered reports
Wholesale Food Price Index Dips
Popular winter sports in the Reno tion, farming and mining cus¬
indicate
that
sales
of
new passen¬
Moderately From Prior Week
and Sierra regions help to offset tomers is expected.
ger cars were close to a year ago, loss of other recreational travel
The company has enjoyed a re¬
There was a moderate decline
but
volume
in
used
cars
was
during the winter season.
markable
record
of
in the Wholesale Food Price In-'
increasing
down
substantially.
The
electric
system is inter¬ share earnings, which were $2.51
dex, compiled by Dun & BradThe total dollar volume of re¬ connected
throughout and extends for the latest 12 months ended
street; Inc.;; from a week earlier
and it was fractionally below the tail trade in the week ended this beyond the principal district June 30 (despite an earlier stock
compared with
$1.94 in
corresponding period a year ago. Wednesday was from 1% below northeastward to Battle Moun¬ issue)
to
3% higher than a year ago, tain, to the north 65 miles to Ger- calendar 1958 and 97 cents in 1951.
On Aug. 16 it stood at $5.91, down
a

invested

contract with Pacific Gas remains

travel

tourist

and

7.4%

buys about 88%
requirements from

generating

•

was

For the
growth

47,
at
$1.60 dividend
yields 3.4%. Based on earnings of
$2.51 for the 12 months June 30
the
price-earnings ratio is 18.7.

its

stock

by the, company, or other means
of
taking care of future load
growth. The company plans to in¬

livestock, but irrigation pumping
is also coming into increasing use.
In
the
mining areas Anaconda,

beard

basis)

The

The most pros¬
in the river

cellent for growing feed crops for

wall

either

installation of generating capacity

valleys where conditions

econ¬

are

1959

are

company

of its
Pacific

regarding

■

18%

revenues

portion of industrial business.

have

important.

and commercial,
over-the-counter
comparatively small pro¬ .which price the

also

are

tal

Electric

with

farm country. Mining, lum¬
bering and recreational activities

shown

Company

84%

and

perous

the

The sharp gain in share earn¬
ings has been due in part to an
increasing rate of return on in¬
vested
capital. According to
Standard & Poor's calculation, the
company earned 6.6% on net capi¬

OWEN ELY

California.

fertile and pros¬

figure.

capital, compared with 5.5%

is the center of

warehouses recently
geographical location
and
the
state's "free-port"
17 was From 1% Below to 3%
law,
which
provides tax-free ware¬
Higher Than a Year Ago
housing on goods while in transit
Attracted
by
increased
sales
through the state to an outside
promotions, shoppers stepped up
market, with no time limit to dis¬
their
buying
of women's
Fall rupt inventory or reprocessing.
apparel this week, which, along

produc¬

1.8% be-

from

Retail Trade for Week Ended Aug.

previous
1960, pro¬

were

the

exceeded

week

the

Gas

provided in
Total popula¬

5-year period
over
12%.

was

is derived in Nevada and

territory, Reno, the largest city,

0.1% below; shipments were 3.5%

below; hew orders

are

Sparks.

involving liabilities of with its copper pit and mill near
declined to 248 Yerington, is an important cus¬
in the previous week tomer.
U.
S.
Gypsum produces

earlier

of the

the

new

mills

268

week

tion.

Compared

week

and

Liabilities

were

production;

and the 253

those with liabilities under $5,000,
there was a drop to 31 from 40

year-to-date, shipments

reporting identical mills

was

ago

last year. Among small

amounted to

year

exceeded

but

For

California.

tion of the area is about 122,000;
1959. nearly one-half the population of

Commercial and industrial fail¬

Shipments

services

com¬

650,000 in July,

was

Below Production During Week

district
water

July Reno

For the complete past season con¬
169,000,000 sumption totaled about 9,024,000
kwh. below that of the previous bales, compared with
8,671,000 in
week's total of 14,622,000,000 kwh. the previous season.
but showed a gain of 450,000,000
kwh., or 3.2% above that of the Decline in Business Failures in
Week Ended Aug. 18
comparable 1959 week.

Institute.

Sierra Pacific Power, with annual
revenues of $13 million,
supplies

prices on the New York
electricity to Reno, Sparks, Car¬
Exchange declined frac¬ son
City, and surrounding areas
tionally from the preceding week. in Nevada also to the Lake Tahoe

Above

Week
;

The

3.2%

Sierra Pacific Power

was

sluggish, prices remained close to
Cotton

Electric

SECURITIES

June

latest

slight gain occurred in oats prices,
despite
sluggish
volume.
While

Research Department. The report
reflects tonnage handled at more
than

they

the

PUBLIC UTILITY

offerings were
ample for the

corn

(765)

limited trading and prices slipped
somewhat from the prior week. A

conducted

areas

The Commercial and Financial Chronicle

higher, reflecting
slight increase in transactions.

year.

These finding are based

weekly

Inc., fractionally

Truck

tonnage was
1.3% behind the previous week of

this

GLOBUS, INC,

acteristically capitalize earnings at
a relative higher rate than do the

THE SECURITY I LIKE BEST...

conventional

for

copper; (International Nickel
is also a large producer of copper

Continued from page 2
pany

and

metal

stocks.

only has sales of $4,500,000
net in the vicinity of $140-

Since

acquisition will be affect¬
through exchange of common

new

conversion

full

since

and

Thursday, August 25, 1960

SECURITY SALESMAN'S
CORNER

BY JOHN DUTTON

Know Your Customers

record level near 500 million

around 30 times earnings), I can
this year, up from 420 envision a market price potential
million pounds in 1959. The fea¬ in the 80 to 90 range, should future
sult in the creation of an addi¬
ture of this year is a strong Euro¬ earnings growth
($4.50-$5.00 per
tional 50,000 shares outstanding,
demand for nickel which share)
materialize
as
it
now
we can assume that by 1964 there pean
the United States, to about 240 appears.
•
will be in actual existence some
million
The
pounds, or
25%
above
present dividend rate is
700,000 shares of common stock.
1959.
$1.50 per share, with some moder¬
The effect of bringing down 4%
It is estimated the productive ate extra possible this year.
to net earnings at this point would

At the

high market price attained
in each of the past five years, the
which is contained in the nickel stock
averaged to sell at 20 times
ores).
earnings. Tempering this to about
17
times
Consumption of nickel in the
earnings (although alu¬
Free World is expected to reach a minum stocks, for example, sell

$150,000.
ed

Chronicle

The Commercial and Financial

(766)

pounds

of the subordinated notes will re¬

One of the main reasons

there are

misundertsandings .be¬
tween people in this world is that
what is often "cheese" to one: is
so

many

write

"chalk" to another, You can
the
to

simplest sentence and send it
a
hundred
poeple
and the

I regard International Nickel as chances are that you will come
capacity of the Free World is now
about 615 million pounds. The In¬ an attractive longer range commit¬ up with different interpretations
from many of them. What is clear
be logical to assume that growth ternational Nickel Company's new ment for investment accounts.
to you is often unclear to your
rate will be substantially lower Manitoba properties will initially \
;j.f^7. ''1 v;"»:
,V■*. \ .*/ * -V j
•'V ■
,J
customer. We communicate with
from this time on. If one applies add about 75 million pounds to the
a capitalization rate of 25 toward
words, and words paint mental
over-all, for a total of around 690
1964
pictures to us that are completely
projected
net a potential million pounds productive capac¬

result

the common;
3% would result in $2.00. It would
$2.50

for

.•

Transnation

Sees. Offered

period (0.7082) to
compensate for the employment
of funds during the period, one
can arrive at a present day eval¬

ity. (This figure includes 105 mil¬
pounds
of
Cuban
nickel
capacity and other marginal sup¬ Pursuant to an Aug. 23 prospec¬
ply sources.) The Cuban nickel tus, Ross LyOn & Co., Inc. and
projects represent a question mark Globus, Inc., New York City, un¬
due to the enigma of Castro eco¬
derwriters, publicly offered 7,000

uation

nomic

of 50-65 is arrived at. Ap¬

range

plying
the

year

$35

DCS

for

involved

risks

the

discount figure for

four

lion

common,

both

this

policies but at some point units of the securities of Transa part of this metal should nation
Realty Corp. at $143 per

at least

and
this
type become available.
unit.
capitalizing and pro¬
Each unit consisted of $100 of
With Free World consumption
jecting the future are too appar¬ around 500 million pounds in 1960, 8% subordinated instalment de¬
ent to be commented upon. It is total
nickel capacity is about 510 bentures maturing Aug. 1, 1970,
this
writer's
calculated
opinion million pounds, not including the 10 shares of 10c par value common
that Data
Control
Systems has Cuban potential and the new In¬ stock, and 5 common stock pur¬
type

company

method

management, technical skill and ternational Nickel mines in Mani¬
backing;
put
to
the toba. Thus, these latter sources
proper use these assets will tend
apparently represent the differ¬
to minimize the speculative na¬
ence
between a barely adequate
ture of any commitment.

AUGUST
V--

City

Members New York Stock

•

Exchange

International Nickel Co. of

Canada LSA greater

faster

metals.

would
this

stock

counts

for

the

growth
capital

appreciation.
Earnings
year

re¬

covered

sharp¬
ly to $2.92 per

the

share,^ from
the
depressed
$1.36 shown in
the

first

as a

material

recessionary

new

nickel

1958

year.

The

for

Banks

Southern

Branch

Inv.

Reflecting the investment opened a branch office at 343
earnings recovery last year re¬
"quality" of the shares, and the Cullen Drive under the direction
flected a rapid snap-back in nickel
company's dominant position in a of Col. R. E. Currie.
demand and higher average prices key metal field, the shares char¬

Stewart, Pickard Branch
ALBUQUERQUE, N. M.—Stewart,
Pichard, Hamilton and Company
has opened a branch office at 7304
Gladden Avenue, N. E. under the
direction

NEW ISSUE

main

categories of specultors: most peo¬

of Robert

ar¬

common stock or a war¬
Show him reasons for buy¬

will add up to more
than minuses and he is

that

ing

interested.

The Professional Trader
This man is interested in trends.
He will buy or

sell securities that

to offer opportunities for
trading profit. He usually does

appear
a

not initiate moves but waits until

has started then he jumps on

one

the bank wagon.

uses

the tape,

charts, information, rumors and a
feel of the market to guide him.
cuts

quickly

losses

thinks he has made a wrong guess.
He

expects

wrong

many

times, but when he is in a situa¬
tion
that
goes
against him he
closes it out and takes a small
he latches

loss.

that moves and his

on to a stock
profit increases

with it. He very seldom
his* bad ones. He buys
There are
times when he may be out of the

he stays

averages

of the good ones.

completely

market

and
others
active. He

will be very

when

does not become

emotional about

doesn't marry them
or weep over them. They are just
one
of these three major group¬
so many pieces of paper to him in
ings.
■
; -a;
.
which his capital is at risk and his
The Busy Man Who Buys Securi¬ purpose is to make a profit.' If a
ties
for
Capital Gains and stock does well he keeps it—if it
Who

Has

his stocks; he

Defined falters out it goes.

Well

lawyers,

other

and

profes¬

sional people fall into this group.

be dated

proper¬

•

your

three

ple who speculate would fit into

tors,

share.

having been sold, this announcement
appears as a matter of record only.

judge

Many business executives, doc¬

Banks for Coops.
Debens. Offered

Potential earning power is esti¬ MONTGOMERY, Ala. — Southern
mated around $4.50 to $5.00 per Investment Services, Inc. has

AU these Shares

the

re¬

plusses

Often

they

their

business

preoccupied with
and
profession.

are

They want to leave it to someone
else to do their investment think¬

ing and their speculative hunch¬
ing for them. They often act upon
tips and the advice of non-quali¬
fied but well meaning friends for
advice.

market
The

Professional

Whose
Term

This

Speculator

Objective

Long-

Capital Gains.
is

has the

doing. He

ability

an¬

alyze trends, management, indus¬
tries, and financial reports.
He
will buy any type of security, low
or high in price, providing he can
see an

opportunity where the cal¬

culated risk warrants his making
commitment. He buys today

the

intending to sell at
for

profit

whether

the

traded

market,

future date

and he cares not
security is listed or

the

over

the

whether it

service such ac¬
must first learn to
recognize them. This is not diffi¬
cult.
Sometimes salesmen talk
too much.
The best way to serv¬
Before you can

counts

ice

counter

con¬

you

account

encourage

customer to talk to you
about his
objectives and ideas.
Sometimes you can learn
some

your

from
customers besides
psychology—they even know
a little about speculating and in¬
vesting. I've met some that knew
things

sales

lot more than I did about some

things.
But seriously,
categorize the people you
meet and with whom you do busi¬
ness.
There is a lot more to clien¬
these

experienced
speculator and knows what he is
man

Conclusion

ties.
August Huber

are

rears,
rant.

Investment Plan.

Manitoba

You

sophisticate.

learn

Here

client.

Sept. 1, 1960 and ma¬
International
Nickel
earnings turing Feb. 1, 1961. Proceeds from
are
estimated
around
$3.10 per the financing will be used to re¬
share, for 1960, against $2.92 last fund $137,500,000 of 5Y4% deben¬
year.
Producing about 60%
or
tures maturing Sept. 1, 1960. The
more of
the Free World's nickel
offering was made through John
supply, the company should bene¬ T. Knox, Fiscal Agent for the
fit from the underlying growth
Banks, and a nationwide group of
trend in the use of nickel along securities dealers.
with a good profit potential from

range

last

Avenue

must

company

metals.

ac¬

basis of longer
and

Park

Cooperatives of¬
of strategic importance for the age fered
publicly on Aug. 23 a new
of super-sonic speeds, missiles, nu¬ issue
of
$135,000,000
of
five
clear power, and high temperature months collateral trust debentures

suggest

investment

are

usage

nickel should benefit

growing

also definite catego¬

are

un¬

■

should move upward.
is
pursuing
a
Currently selling around 55, the
vigorous campaign of sales pro¬
shares of this company represent
motion backed by
extensive re¬
one of the better quality equities
search and
a
resourceful
man¬
in the metal group. Nickel is one
agement. Over the longer-rterm
of the world's
The

There
ries

...

HUBER

communication, it is necessary
the security salesman to un¬
derstand exactly what his cus¬
tomer wants from his investments.
for

are

Transnation was organized as a
supply—or an ample supply.
In any event, the International Delaware corporation last January
Nickel Company will increase its under the name of "Goelet Corp."
own
available nickel mining ca¬ It deals chiefly in improved prop¬
pacity by about 75 million pounds erties, although its charter em¬
next year, and with nickel in bet¬ powers
it to deal with unim¬
ter
supply,
the
trend
toward proved properties as well.

Partner, Spencer Trask & Co,
New York

detachable

exercisable at $4.30 per
til May 15, 1965.

cause

and

chase warrants. The warrants

immediately

unintelligible.
Be¬
of this ever present problem
be

may

vey

speculators and investors.
All of them buy and sell securi¬
ties but the approach of a hap¬
hazard stock buyer and that of a
calculating investor is as different
as
that of an Aborigine and a

financial

understandable, yet to others the
are attempting to con¬

ideas we

vertible, an income bond, a
ceivership, a preferred with

learn to

tele

building
than

business

analyze

stand floor

in the investment
knowing how to

balance sheet, under¬
procedure on the stock

exchange, or know the SEC rules.
There are five principal cate¬

gories of investors that every se¬

salesman

curity
able

and

name

should

them

also be

I will describe

identify.

this

column

next week.

C. Floyd.

August 23,1960

New Ziegler Branch

;

100,000 Shares

ler

Dechcrt

This

FOND du

LAC, Wis.—B. C. Zieg¬
Company has opened a

and

announcement
sell

under

solicitation

The offer is

circumstances

offer

considered

offer

securities.
only
be lawfully sold.

buy-any

these

made only by the Prospectus which is available

in such States where

these securities may

branch office at 261 East Bank St,

Dynamics

^Corporation
COMMON STOCK

under
the
management of Alphonse R. Buerger. Mr. Buerger
was formerly an officer of Institu¬
tional Investment Company.

Allen, McFarland Opens

(Par Value 1Oi Per Share)

WASHINGTON, D. C.
McFarland & Co., Inc.
formed

Price $3 Per Share

NEW ISSUE

150,000 SHARES

NATIONAL PATENT DEVELOPMENT CORPORATION

Allen,
has been

—

with offices at 201

COMMON

Penn¬

STOCK

(Par Value $.01 Per Share)

sylvania

Avenue,
Southwest to
in a securities business.
Joseph W. McFarland is a
principal.
engage

Copies of the Offering Circular may be obtained
such States where the securities may be legally

only in
offered.

Arthur

CORPORATION

partner in
of H. Hentz
has been elected a director
of First National Realty &• Con¬
struction Corporation, diversified
builder and operator of recurring
and non-recurring income proper¬
the

PLYMOUTH SECURITIES

PRICE

$1.00 PER SHARE

Named Director
Neumark,

brokerage

& Co.,

ties..'"'

-•

•

firm

GLOBUS, INC.

ROSS, LYON & CO., INC.

August 19, 1960

'-"A

Volume

192

Number 5980

New

:.;.r:v

'.V

fian/e of Atlanta

foster

design

all

the

businessman,

consumer,

policy-making functions.

Shows why

inflationary pressures have persisted, taking in new roots during
World

tion

II. Also

War

notes

important effect of the prevalent "Infla¬

Psychosis," which has assumed a never-ending price rise, over¬
supply conditions. Notes current subsiding of such pressures.

Concludes that he who would

Federal Reserve

determines

Who

predict Reserve policy must forecast

reflecting how Americans manage their affairs.

economic changes,

monetary and credit policy? Part
the

Reserve

be found in
Act, which

the

officers of the
Re¬

Banks.

serve

Since all these
are
policy making bodies

serve

Charles T.

Taylor

members

them

Federal Reserve pol¬

make

icy. That is, they have the formal
responsibility
for
determining
policy—a responsibility they can¬
not escape.

Still, those

men do not wholly
Federal Reserve pol¬

"determine

for in the American eco¬
nomic system all of us have some
part
in making monetary and
credit policy. This is so because

icy,"

the

are

who

ones

decisions

economic

make

buy

the

sell, to spend or to lend, to work
to play, and a host of others

that create

economic environ¬

our

Since Federal Reserve pol¬

ment.

icy must be adapted to this eco¬
environment, the past and
present
decisions
of
American
consumers, businessmen, and leg¬
islators all have a part in deter¬
nomic

mining Federal Reserve policy.

must

Policy

adapted

changes in the economic environ¬
because the function of the

System

Reserve

"to

possible a flow of credit
and money that will foster orderly
economic
growth and a stable

make

that

may

credit

and

appropriate

time, of course, may not be

one

environment,

economic

the

Changes

another.

appropriate
in

flow

The

dollar."
money

therefore, clearly call for changes
in Federal Reserve policy.
This

can

from

seen

review

economic

policy

changes

the

World

War II.

since

and
end of

During most of this time, a per¬
sistent problem has been to devise

policies that would help preserve
the purchasing power of the dol¬
lar. Although there
were
three
times during this period, in 1948-

1953-54, and in 1957-58,
when policies were designed spe¬
cifically
to
offset
recessionary
49,

tendencies
time

once

the

economy,

gain

recovery was

each
un¬

derway, policy-makers were faced
with
an
inflationary
economic
environment.
Desire

Spend
To

The

and

Ability

Pay

inflationary pressures had
in World War II. Ex¬

had shown that any
country engaged in a major war
is likely to have such pressures,
which was one reason why price

perience

rationing were
as
the United
States
got into the war. These
helped keep spending down, but
because incomes continued to in¬
started

crease,

In 1944,

and

II.

was

would

effects

environment

the

forces,

that

heritages

help

was

World

their

soon

savings built

rapidly.

for example, current sav¬

nesses

other

and

busi¬

and state and local govern¬

ments

also had postponed spend¬
ing during the war. Consequently,
corporations were in an extremely
liquid position;
their cash and
government securities had built
up to 70% of their current liabili¬
ties. Continued prosperity, more¬
over, enabled them to use internal
funds to

for

pay

large part of

the

plant expansions that became
necessary in the expanding econ¬
omy. State and local governments
used up

surpluses built

the

and borrowed

war

fill

the

up during
heavily to

increased

for

demands

public services. On top of all these
domestic demands, other countries

clamoring for goods
only the United States could
ply. Exports boomed.

that

were

had

sooner

sup¬

reserves.

Consequently,

invrw

al¬

supply. Thus, in the post¬
war
period
demand
pressures
pushed toward a more active use

demands been satisfied during

the

initial

the

Korean

period

than
sharp
increase in defense spending, rais¬
ing it from an average of 5% of
postwar
War

forced

the Gross National Product in the
1947-50

period

over

13%

1952-53.

of the money supply.
of lenders

In addition,
helped in¬
crease
spending.
Consequently,
the use of the money supply rose
steadily as is indicated by the
turnover of demand deposits.

increased

demand

nwwn'»l"K«cnii!Ha.»w WJilWV r'OTniti-n'wwiw^uiw

and

neglect

considerations that would be

some

important

under

other

circum¬

stances.

by buying real estate without
current

turned

returns.

the

stock

re¬

Others
market

more interested in possible
capital gains than in current
yields. Such seeking of protection
against future price rises influ¬

were

enced decisions on inventory and
capital expenditures. Labor, seek¬
ing protection by way of escalator
clauses tying wages to consumer
price indexes, found the resist¬

ance

because
could

businessmen

some

the

latter

pass

weak

believed

increased

deposits high and loans
relatively low in the,earlier post¬
years, commercial banks were
both able and willing to increase
their loans. They
could convert
their large government security
holdings into higher yielding
loans without loss so long as the
wartime policy of supporting
a
fixed pattern of interest rates was
continued by the Federal Reserve
System. Mutual savings banks, in¬

war

mand

this

and

sort

supply

conditions.

economic environ¬

types

rates

were

policies

Increases

limited

ability

increase

environment, less emphasis
need to be given to policies
to limit inflationary

designed

pressures. The

easing of credit

A Changed Environment

reserve

positions

member

banks, reflects changes in the eco¬
Meanwhile, the economy was nomic environment.
steadily changing and some of the
Has the economic environment
inflationary forces were losing
strength. As spending gradually changed so much that the money
became geared mainly to satisfy¬ supply is no longer excessive as it
ing

current

income

and

now

rose
an

year

all-time

year

high,

its

potential expansion
undoubtedly greatly de¬
creased.
Corporate liquidity has
been reduced to what is con¬

now

in
most
of
the
postwar
period? He who would give a firm
answer
to this question at this
point would be foolhardy indeed.
was

But if the

tary

answer

policies

will

Yes,

the past. Thus, he who
predict Federal Reserve
policy must predict economic

would

changes, changes that in large
part reflect how Americans man¬
age

policy

August

Monthly

by Mr. Taylor in the
Review of the Federal

Product.

Reserve

Bank

Atlanta.

was

limited.

Although this situation was re¬
by the Treasury-Federal
Reserve Accord of 1951, when in¬
terest rates

were

allowed to

per¬

form their normal function,

other
inflationary pressures
persisted.
One of these pressures was the
growing; belief that a continued
rise in prices was inevitable.
Psychosis

After losing a considerable part
of the purchasing power of their

continued

rises

prices, more and more persons
during the later part of the post¬
war period began to try to protect
themselves
against future price
increases. Thus, they reasoned, if

This

announcement

At the

normal level. Al¬

time, the economy's
capacity to produce the goods
needed to
satisfy^ demands has
grown steadily; one measure of
how much it has
grown is the
greater increase in output than in
the number of production workers
since 1953. Plant and equipment
expansion has increased capacity
to produce major materials not
only in the United States but
throughout the world.
developments reflect these
changes. Average wholesale prices
have changed little since 1958; the
total index this year reflects nearstability in the prices of industrial
commodities.
Although prices

is not

♦

their economic affairs.

From

article

same

Price

offer

sell

or a

solicitation of

To Be Harris

Logan & Co.
DETROIT, Mich.

—

neth
and

Blue,

Herbert E. Socall,

Youngs will become

partners

Harris

Building,
York

firm

members

Stock
name

will

Harris, Logan & Co. All
ners

in Carr, Logan &

offer to buy

any

common stock

sources

without

the

nation's

this

increasing

Share)

Price: $4.00 per

re¬

the

supply of goods.
In

per

Copies of the Prospectus

economic

environment,
Federal Reserve policy sought to
hold demands within the capacity
of the economy to supply them by
moderating the growth in the
money supply.
The world's ex¬
perience had shown that continu¬
ing inflation had never resulted
in orderly economic growth. Thus,
limiting, so far as possible, infla¬
tionary pressures would not only

such other dealers

Myron
39

Broadway

may

be obtained from the undersigned and from

lawfully offer these securities in this

Lomasney

BOwling Green 9-8120

New

and

changed

PACOTRONICS, INC.
(Par Value $1.00

Book

the

Exchange,

150,000 Shares

satisfy
peacetime de¬
expansion programs
were undertaken, therefore, to in¬
crease
capacity, but until these
new plants were ready for actual
production, this program added to

Co.,

August 24, 1960

production.

Leo

NEW ISSUE

of course,
economy's

Sept.

Peter S. Logan, Wade Sloan, Ken¬

of these securities. The offering is made only by the Prospectus

Vast

for

these

ment

not

demands

mone¬

reflect

changes as they have reflected
changes in the economic environ¬

though still high, national defense
spending has deceased in relative
importance to Gross National

manufacturing capac¬
ity created to fill wartime ne'eds

did

year, reflected in lower
short-term money rates and easier

Much of the

mands.

and

monetary

credit policy changes. In this eco¬

far this

dollar.

Supply and

supply,
by the

nomic

Production

were

the

sidered

lieved

savings

excess

respond freely to the
supply of and demand for funds,
the effectiveness of any Federal
Reserve

investment

sensitive

the

thus

other

the

may

interest

out

lending tied more closely to
availability of reserves, and

ment, however, Federal Reserve
policy had to give continued em¬
phasis to preserving the value of

and

deal

squeezed

closely to the inflow of funds from
savings, the economy has become

was

has

Until

great

economy, with interest rates free
to fluctuate, with the expansion of

with
in

generating

and

loans.

With

liquidity

that the conditions
price increases could
be traced to a special set of de¬

period

at par on a market supported by
the
Federal
Reserve
to
make

mortgages

faith in the doctrine that inflation
Is inevitable.

financial institutions geared more

overlooked

was

amounts of gov¬
ernment securities could sell them

allowed

Price competition is re¬
turning as more and more sellers
try to attract buyers by means of
offering attractive prices. One re¬
sult is that an increasing part of
the public apparently has lost its

this

What

Consumer debt

large

tions, not to general inflationary

the

acquired

other

and

move

pressures.

bank

institutional lenders who also had

and

and down in response to cur¬
demand and supply situa¬

they

demands, consumer
consumption trends
became more parallel, and con¬
sumer saving,
the difference be¬
tween the two, assumed a more
normal
relationship
to
income.

companies,

continued

rent

costs

through higher prices.

services

for

pay

have

higher, prices of goods they buy
have been stable, on an average,
since early 1958. Prices now move
up

Some persons sought protection

gard

consumers

rents

tremen¬

dously. Since the supply of goods
and services to satisfy the demand
failed to rise correspondingly, it
is also not surprising that prices
surged upward.
Limits

inflation

against

With

Looking at the entire postwar
period, therefore, when people's
wants, needs, and financial ability
to
pay
for goods and services
were so high, it is not surprising
that

to rise indefinitely it

were

seemed prudent to seek protection

money

Inflationary

of the pent-

some

prices

who

though the Federal Reserve Sys¬
tem could adopt policies designed
to influence
the
growth in the
money supply r— demand deposits
and
currency—it could not di¬
rectly influence the use of that

surance

Corporations

the

their roots

controls

ended,

situation, rising prices did
to
discourage
consumer
spending.
Consumption
spurted
upward, until in 1947 it nearly
equaled current income.

ment

Federal

re¬

were

war

finance

this

tent, the men
who

the

could

little

ex¬

some

after

spending by using their accumu¬
lated savings, by spending their
current high incomes, and by go¬
ing into debt. Because they had
not been able to buy all the goods
they wanted during the war, their
accumulated demands were great
and
they
called
on
all
these
sources
of purchasing power. In

and

Federal

controls

when

consumers

Boards

debts.

moved

Governors and
Directors

whereas before the war
they had averaged about 4%.
Meanwhile,
consumers
reduced
come,

Thus,

sponsibilities
and powers of
Board

then

that
the

Reserve

activities

mally the re¬

the

of disposable in¬

25%

were

their

for¬

out

sets

may

answer

Federal

the

ings

task

inflationary
the

bank

looking the post-war increases' result from a special set of demand
and

some

economic

Federal

Except for use of selective con¬
trols and voluntary restraint, the
aims of any policy adopted 'by
the Federal Reserve System can
be achieved only as it influences
the availability and cost of bank
credit
by
controlling
member

Policy"? Mr. Taylor declares that since it must be adapted to the
environment, the decisions of the

stable, dollar but
•

policies

offset

one

Addressing himself to the question "Who Determines Federal Reserve

legislator

The

policy-makers'

War'

and

also

economic

would

powerful

By Charles T. Taylor,* Assistant Vice-President, Federal Reserve

economic

t*'

(767)

help achieve
growth.

Economic Environment
\

r.& »,

The Commercial and Financial Chronicle

Monetary Policy in
t

•h.ui

state.

Co.

New York 6, N. Y.

are

Co.

the
to

part¬

Financial Chronicle

The Commercial and

(768)

THE MARKET

uncertainties,

AND YOU

...

sensational

their

STREETE

BY WALLACE

action

the, market

The National

drab after

shares has been

of the

performance

Thursday, August 25, 1960

Stock Exchange

Registration Approved by SEC

split earlier this year.
side are a consid-

to the stock

On AMO's plus
:
.

......

Stocks continued to m3ke orderly

other utilities in Ohio 3sk for 3nd

topside progress this week and the
omens were cheerful for a change,

get late incieases, Cincinnati Gas
two of them this year alone, and
finally filed for its own boost. Toledo Edison has never increased
its rates, unlike other utilities m
general and those in its own state
in particular.
There is little doubt that Toledo will be turned down. Where
other utilities in the state show a
return of 7% or more on invested
capital, Toledo's profit is below
6% and its planned boosts, which
would raise the return to 7%,
would work out approximately to
33 cents a share in net.

the

building

strength

gradu-

ally, and volume reaching a twomonth
an

peak.

welcome to
that hasn t
absorb in

was

of the economy

area

had much good news to

long

time.

average,

was

through

convincingly

somewhat

the

aspect to the techthat
it
broke
out

encouraging
nicians

industrial

the

For

top side of a resistance level

the

between 630 and 635 after.only a

one-day struggle with the area,
The resistance, in short, seems to
have been overrated.
t™™

XT-

The

list

did

the

prime

cut

interest
.

the help

have

rate which,

the

increases

rate

the

Without

nuorw

impact of xower

? i^?se

who

stockholders
cut

indicated

With

sheltered.

well

advances

declines

for

sessions in
not

markets

The

average.

of ®L93 alld for the 12 months

held

the lead

past

od this

which is
in- any

row,

vear

over

dozen

feat
other

s2.19;

™dingdune 30

the

mot irs, rails and

steels, which had
ributed* virtually nothing* to

con

the

rally

to 1 md

here,

able

were

hand when the industrial

stance.

whittled down. And rail earnings,

steel operations,
far from glowing.

dependent

were

Coppers were able to do well for
a more specific reason. The unrest
in Africa threatens to disrupt production of the red metal
and

ease

the

those

if the controlling in-

in
teres!
terest

reaches 80% of
of an
an issue.
reaches
issue.

also popped

specific

iiPd

nnr

ifaJftn
have far to

™

tnIS!
to accomplish the

case

its

for
any

shares,

Central exchange
■

annual

the

own

meetings

last

and again this year' P- & L-

year

TtfiGn

the

are

gotten the prime
recent years, leav--

attention

fng the cosmetic companies, with
the possible exception of one or
two, on the neglected side of the
ledger. But Lehn & Fink Products, for one, has no reason to
take any back seat when it comes
half

steadily.

For

dozen years it has boosted

its divi-

dend at times as well. Yet it is
still available at an above-average
3.7% yield. In the last year alone
it was
able, on an increase of
..

Hill Darlington
•

-»

Grimm to Merge

E: was authorized each time to
acquire
up to 100,000 shares of its
own
stock'
°ut of the 1959 au"
thprization,

23,145

were

in.
This
year's
aupeak. Nevertheless the feat thorization produced 58,850 shares,
stood out prominently m a section
it leaves a good way to go for
It

hew

bought

Headquarters of the enlarged firm
will be maintained at 2 Broadway,
New York city' and 15 branches

wiU be located in New York City>
uPsfafe New York, Massachusetts,

£"d ^f^nngnri'v JitireTvXm
"'-V?C':

Both

tke

le. Du
highs are the rule,
uu Re—-,
.rum,
rOni,
instance, is still some five
dozen
UUACI1 yum
points
it high.
b under
uiiucx Hiugu.muuteyear s

the

80%

mnrp
moie
more

control

goal,

indicating

in future
fntiirp years
vparc
in
luiuxe
authorization in
onthnrirnfinn
auxnonzaiiori

for

carved
for

"out

veaf

entire yea

t.hp

range

that

was

the

busy

obviously, provides good

spread is only a shade

defensive

scoring

section

highs

new

Governors

the

first

stock

new

becomes

Exchange's new listings will be
securities presently being traded
Over-the-Counter Market.

the

National

The

its

provision of a public auction mar¬
of ket for thousands of substantial
the Securities and Exchange Com¬ and growing companies desirous
mission
Act
of
1934,
the third of obtaining the corporate and
stock
exchange in The City of stockholder advantages that may

The

exchange, located at
Street, New York 13,
Y., was organized on April 27,
1960, under the membership cor¬

new

Harrison

poration laws of The State of New
York.

•

Officers

of The

National Stock

Exchange are Lawrence H. Tay¬
lor, Sirota & Co., Chairman; Hendrick C. Ahlers, Carl Ahlers, Inc.,
Vice-Chairman; John W. Clagett,
President; Aaron A. Freundlich,
Bache &
Co., Secretary; and C.
Charles
Denisco,
Zenith-Godley
Company
Inc.,
Treasurer.
The
Board

Messrs.

Taylor,

includes

Governors

Ahlers, Denisco,
Llewellyn Watts,

and

Over-the-

Plans for the
under

way

new

over

exchange got

two

years

A1I

clearing securities.
'

Ullg

•

J 0111S
^

National

The

Stock
Exchange
will
shortly to start processing
applications of corporate issues
already on file, with the Exchange

meet

Company,

than 14 Points despite the Penn Center Plaza,

and to receive

new

corporate list¬

right to apply for member¬
in The National Stock Ex¬
change is limited to members of
The
New York
Mercantile Ex¬
The

change, sponsor of The National
Stock Exchange.
Members of the
New York
Mercantile Exchange
wish

who

Prospective members

chase

membership

York

Mercantile

then exercise their
bers
The

in The New
Exchange and
right as mem¬

apply for membership
Stock Exchange.

National

There

stock exchange must pur¬

are

400 memberships

in
-

out¬

standing in The New York Mer¬
cantile Exchange out of a total of

the by-laws.

Wainwright &
Ramsey Appointed
Wainwright
York

Board

apply for member¬

in The National Stock Ex¬
change must be in good standing
and meet certain specific require¬
ments. There are no seats for sale
in The National Stock Exchange
ship

companies
the

relatively bigh price tag afdund analyst, W. Linton Nelson, presi^ar"
dent, has announced. The firm is
The X-Factor m Motors
investment adviser and national

is
growth of

ship

ing applications.

Names of listed
will be announced as
applications are approved by
security
the Listings Committee and the

Inc.,

creation of
Exchange

public ownership of securities and
the vast increase in the numbqr
of firms currently making
their
stock available to the public.

500 authorized by

•

the

Stock

the rapid

with

line

Listings Committee of The

National
IT

DelaWafe Mgmt.
Management

The

that

pointed out

se.

t"\

Exchange

exchange to

new

Stock

primary intention the

be franchised since the passage

the

-r

anticipated

has

Exchange

and

tional

Stock

New

York.

per

listed

registered

however, that the majority of the

ago

newly

Exchange, Inc., as a national se¬
curities
exchange
was
ordered
effective Aug. 16, by The Securi¬
ties and Exchange Commission, in
Washington, D. C. Thus The Na¬

according to Chairman Law¬
Counter securities and have been
rence H. Taylor trading will start
active in corporate underwriting.
within a few months.
The inter¬
In auuit4U11
addition to
lu
its IllcimjcX6Xllw
llB
membership 114
in
the New York Stock Exchange, vening period will be utilized to
make
the
required
physical
Hill, Darlington & Co. also holds changes in the trading area, to
a membership in the Pacific Coast install necessary communications
Stock Exchange and an associate
facilities and to complete work on
membership in the American Stock the systems for handling and
Exchange.

business

the

Seated, Aaron A.

Exchange:

Jr.

Hill, Darlington & Co. and
a brokerage

lS^D^nts market suPP°rt for the stock as Is PHILADELPHIA, Pa.—Frederick
points The
inustrated by its relative stability. H. L. Fung has joined Delaware
ig60

Resurgent Utilities
Utilities

buying,

Board

the

Stock

Registration of The National Stock

Grimm & Co. conduct

Freundlich (Bache
& Co.); Lawrence H. Taylor
(Sirota & Co.), Chairman of the
Board; and Llewellyn Watts, Jr. (Watts & Sons).
Standing are
John W. Clagett, President; C. Charles Denisco (Zenith-Godley
Company, Inc.); and Ilendrik C. Ahlers (Carl Ahlers, Inc.)
National

Freundlich

tern.

trims

drastic

where

Members

of the two New York and the fourteenth reg¬ be achieved by the "listing" of a
istered national exchange in the
security on a registered national
United States.
stock
exchange.
Mr. Taylor

In
In

the method of
boosting
Central's proportionate
share appears to be via tenders by
this

world

New-found strength

companies

to the proposed merger

^ StatapS'tl sa/

glut of rather than
metal that has kept prices shaky.
p]an<
areas

drug

that have

rail firms, it was jointly announced
section, which also stands out as Aug. 23 by Thomas W. Hill, a
a
profitable one even with the general partner of Hill, Darlingindustry in the doldrums, is Pitts- ton and John Grimm, a general
burgh & Lake Erie which also has partner of Grimm & Co.
a few other aspects that make
it
The merger, subject to New
attractive. Its return is above 6% York Stock Exchange approval, is
at recent prices despite the fact expected to become
effective
that earnings for the first half of around Oct. 1 of this year, and
this year more than covered the the successor firm will be known
full-year's dividend. Its profit pat- as Hill,
Darlington & Grimm,

the overhead
They did so without
anything in the news to prompt it.
As for steel operations, some of
the forecasts were predicting that
the lag would extend into October, tern throughout its existence has
Automakers have been scheduling been quite superior.
production of the new models at a
rnntrollW p
& t
f
k Now
comparatively leisurely pace un- York Central which holds more
til the backlog of 1960 models is than sqnf the shares
In anv
cleaned

average

res>

The
ones

The high-yield item in the

that

was

Drugs Still Getting Attention

Good Leadership

heartening

•

|arger auto makers will cut

American's results

.n^Q

excess
coverage is w af
.
makes an increase likely, plus the Hill, Darlington & Co. and Grimm
^ac* that the payihfents nave been & Co., both members of the New
boosted in five of the last eight York Stock Exchange, have enyears.
'
.vV;;\
tered into an agreement relating
Intriguing Rail Issute

Also

of the

Oklahoma Natural Gas is an[The views expressed in this article
other in the utility field that is (jQ not necessarily at any time coinconsidered a candidate for liberal- CIje with those of the "Chronicle."
ization of the dividend. In this They are presented as those of the
case no rate
increases are in- author only.]
vcdved- Against the^^ivideiia re¬

some

well

accomplished

ner

which

3.9%

neaidy

•

turn

and how

general

stepped-up competition

around 6% in sales, to post a
profit 11% greater. It is one of
the
low - capitalization
items
is around, only about a third of a
million shares,

broad-

whJn thSfwas buyfng,

ened out
and

incerases

new

„ood or so-so

70-cent divi- sales and earnings and

the current
rate

which

9uirement°* $1-24 per share, the
company last year reported profit

market

better with

nerfortnin"

nSsis^nce

dend

technical

the

wdi be

makes

those levied
to carry se-

other

were

that

whether, the

curities
There

vear

history. Still

now

un-

holds the promise of a scale-down
in all other interest charges in-

signs

modei

are

]edo Edison is around §1.15

margined;

eluding, eventually,
on
margin accounts

sre

the prime rate, however,

strike

Tij^iioYvgrgri

estimated net for this year for To- to improving its lot

burden for
are

g^ggj

granted, the paylike
earlier
measures
taken
to ment
automatically
becomes
a
spur The economy
is the one that candidate f0r
liberalization.
At
can directly affect investors. Lowpresent price, dividend boost,
ered reserve requirements and a
to say
«.]_ would be a yield of
trim in the discount rate do nothAt the present rate the re1

erably expanded production capacity, and the expenses from the

Governors

The

Na¬

& Ramsey Inc., New

City, municipal finance con¬
sulting firm, has been appointed
by the Washington Public Power
System to assist in setting up a

revenue
bond
program
for the
secu- development of Nez Perce Hydro¬
The unknown item in the motor distributor
for both Delaware ties of The National Stock Ex¬ electric Project. The announce¬
in good demand and their average section is how American Motors Fond and Delaware Income Fund,
change will be substantial com¬ ment was made Aug. 23 by Owen
again was pushing to the best can fare in tke new model year
Mr. Fung comes to his new post panies, according to Mr.
Taylor, W. Hurd, managing director of the
levels seen in 30 years. When the with increased competition.
The from Fidelity-Philadelphia Trust with 500 or more
Washington - based
stockholders, Kennewick,
going is rough in other sections of company showed a startling sue- Company.
7
150,000 shares outstanding and a Power Supply System.
the list, utilities are among the cess in the last couple of years
net worth in excess of $1,000,000.
Expected to cost in excess of
traditional shelters for jittery in- but then two items showed up to
Form Antin, Inc.
The
Nationtal
Stock
Exchange $350 million, the project will com¬
Ve»Tu?rS'
*♦
chill sentiment. For one, Rambler Antin, Inc.
has been formed with
There
were
some
Hems
that sales started to show a slowdown office'
t g? william street New may, under certain conditions, list prise a dam on the Snake River
were held in tugh regard not so
in the month-to-month increases; York City, to engage in a secun-. securities, vliste.d on other
stock and hydroelectric generating
even

drives

during
of

some

earlier

this

the

soiling

year,

because

defensive

mediums

but

and

since

tax

credits

have

been

higher taxes are trima
major change. Such a one is ming the good year-to-year earnToledo ' Edison
which
watched ings comparisons.
Reflecting the
they

are

Stock

Exchange.
Corporations listing their

were

much

tional

the brink of

used

up,

A,®

ties business. Officers are William
Freiman,

President

and

Harold

Antin, Secretary and Treasurer.

exchanges
the
on

here and abroad

exception

securities

with
listed

exchanges located in The City

equipment, including the
of

the

cilities.

necessary

erection

transmission fa¬

Volume 192

Number 5980

The Commercial and Financial Chronicle

(769)

all these plans but will take time
to

develop their full potentials.
Credit

Sales in the '60s and '70s

Sales

Prospects

that the oppor¬
tunities for credit sales in the '60s
in

By Cyril J. Jedlicka,* Senior Vice-President, City National Bank
& Trust Company of Kansas City, Mo.

seems

banking

and

such

tion.

The wider

stagger

industry are
the imagina¬
of the instal¬

use

ment

Authority in bank

credit expresses satisfaction

consumer

credit way of life by more
people to finance more services
and products will without ques¬

revised

over

1960 expectation as a year

of "moderate expansion" in lieu of pre¬
viously prophesized runaway boom. Pointing to constructive improve¬
ment in auto

and

better

trends

tion raise the totals of instalment

credit

situation, reflected in sales gains, inventory reduction,

credit

delinquency status, Mr. Jedlicka maintains these

credit

con¬

outstanding will increase to $60 billion by 1970, and

approximately $100 billion by 1980, with the banks obtaining their
full share of the business.

of most consumers,

come

a few short months ago, the
general prediction for the year of

1960
a

for

was

year

superboom year—

expansion.

great

decade imme-

diately

might
cars

policy

terms.

large

most

Soaring

'60s.

A record

longer

for

automobil

for
of

well

most

lines

business.
But the hard

facts are, after
months

seven

1960,

ditions

strikes
Cyril J. Jedlicka

that

business

are

not

booming

ex¬

Bad weather, strikes and
unemployment and other factors
curtailed

sales

some¬

what normal pace and it now ap¬

that 1960 might reasonably

pears

expected

good

very

year, possibly a little better than
the year of 1959, but not the boom
that many expected. In my opin¬

terms.

and

largely seasonal.

being

"held

down"

curtailed

instalment lending as compared to
other bank loans, bank manage¬

operations.

However, the year 1960 should
-in

records

economic- sectors.

some

our

believe

Many

ment in most

continue
evident

"less

and

possibly

the

Consumer

during the
year and may

slightly.

increased

d em

continues

surveys by the
Michigan on con¬
buying intentions show an

credit

money

for

loans

all

types.

are

new

All

being

was

with

grow

their rising

in all Sections of the country show
instalment

credit

in¬

has

creased in volume during the first

quarter of 1960.
The

active.
weather

Automobile - and

were
especially
late winter and bad

loans

•personal

conditions

affected

distribution and sale of

some

craft

are

ered

many

our

been

engage

Officers

Cavanaugh,

President;

Kuriger

and

formerly

were

asso¬

Cavanaugh, Tanner &

which

Mr.

Cavanaugh

vice-president.

Proprietor
R.

now

Cummings

be made with W.

Deegan, Jr., of New
elected to the board of

directors of Briggs Manufacturing

Company,

was

Nuveen

by
vanderZee,

ff)

Chairman, fola board

H lowing

G. Inman, John

chairman

Co.,

announced

the

meeting. Mr.
Deegan

Arrangements Committee by Sep¬

President

tember

Thomas

1st.

Deegan

the

Johnson, Barcus, Kindred & Co.
Vice

Chairman:

William

dred

Co., Richard A. Erley,
Shearson, Hammill & Co.; Vincent

World's

level

equipment
mendous

types

last

poration. He is
also

T. J. Deegan, Jr.

trial

Bank

the

director
Indus¬

Commerce, The
Econometric
Institute,
Dorothy
Draper Company, Inc., The Fifth
Avenue Association, Regional Plan

months

recent

the

there
auto

are

field

some

due

the Board of the New York Han-

New York, has been elected to the
board
of
directors
of Peruano-

Frantz, William Blair & Co.

Suiza

Prize:

and

demand

sole proprietor

Co.,

Hospital

store

exists

for

c°.

consumer

credit

needs

Co.

De Fomento

A.,

nounced.

Peru,
The

Inversiones

has

been an¬
American

South

corporation is engaged principally
in instalment paper financing and
the financing of exports-imports
from

and

Peru.

Formed

1959

pices
and

of
two

the

under the

insurance

and

companies,
Pacifico,

Clayton F. Brown, Northern Trust

John

Company;

Walsh,

Jr.,

Cruttenden, Podesta & Co.
Soft Ball:

seatic Corporation, American Swiss
Credit

Corporation in New York,

the Oetker group in Germany

Raymond B. McCabe,

the

Commercial

Bank

Switzerland.

Harris

Trust
E.

Robert

Savings

Form Ruskin & Co.

Simond,

Jr.,

Bank; JAMAICA, N. Y.—Ruskin & Com¬

Halsey,

Co.

Stuart &

pany,

offices

William

matter

Inc. has been formed with
at

160-08 Jamaica

Anderson, to engage in

appears

of record only.

100,000 Shares

Continental Boat

and

Corporation

COMMON STOCK
(Par Value $.10 per Share)

department
credit offering

serve

Offering Price $3.00

demands

per

the

high

current

inventory

our

consumer

J. B. Com

Associates, Inc.

Broadway

Avenue

securities business.

better

and

Zurich,

Andrew D. Buchan, Bacon,

NEW ISSUE

both

aus¬

Continental

Banco

Peruano-Suiza

of these shares having been sold, this announcement

secured and unsecured.

order

Thomas

Transportation: Arthur G. Field, with
original capital of 10,000,000
Lee Higginson Corporation, chair¬
Sol
(Peruvian), the corporation,
man;
Charles E. Lundfelt, Mc- which is also known as "PeruinCormick
&
Co.; Thomas S. P.
vest," has increased its capital to
Uhlarik, C. F.PChilds & Co. r ■
20,000,000 Sol with the participa¬
Golf: Eugene V. Goss, Harriman tion of an international banking
Ripley
&
Co.,
Inc.,
chairman; group including New York Han-

all

conditioning, swim-

all types of instalment loans

Main, Ballman & Main, Chairman; Kenneth
S. Ogden, Dean Witter & Co.; C.
A. Schoeneberger, Dean Witter &

Tennis:

All

air

Charles

seatic Corporation, 120 Broadway,

bowling,

and

Special Feature: John X. Ken¬

nedy, White, Weld & Co., Chair¬
man;
Hiram F. Bright, Harris
Trust & Savings Bank; Gene A.

boating,
services.
A tre¬
year

public, many banks
situation in new cars—better than
(and some loan companies) offer
such
new
plans
as
Revolving
.1,000,000 units in dealers' hands—
coupled with the high monthly Check Credit, Bank Charge ac¬
count
financing, educational plans
..production rate which has
amounted to almost 600,000 units as well as in-plant banking plans
for
both
loans and deposits. Vol¬
-per month. This above-normal in; ventpry .could
result! in pressure ume potentials are very large in
very

Fair

1964-1965 Cor¬

the

the New York

John Nuveen & Co. Chair¬

George L. Barrowclough,
of
Michigan Corporation;
Donald J. Cincotta, Barcus, Kin¬

Executive

Committee

Murray, Jr., Eillinois Company.
Arrangements: Wilbur G. In¬
man,

Com¬

pany, Inc., and
is Chairman of

General Chairman: Frederick F.

Way of Life. More
$2 !/2 billion were spent at the

retail

centers have become

However,

clouds

was

day proper will be held
September 9th at the Elmhurst
Country Club. Reservations should

American

than

du¬

financing volume is more plenti¬
ful.

York,

Whipple & Co.; Robert C. Hawley,

Robert

—

Trust Building.

being consid¬
necessity in

the

noted.
sales

Deegan Director
Thomas

sporting, hunting and
fishing equipment. Such lines as

Improvement has been noted in
auto

The field

Halsey, Stuart & Co., Inc., chair¬

goods. Appliance and home ming pools and vacation travel
are all booming.
Home improve¬
improvement loan volume did not
develop as had been expected but ments present a $5 to $10 billion
loan market.
Banks in the larger
currently some improvement is
being

are

L.cDowd, Vice-Presidents.

Cummings is

of in¬

stalment credit and because of the

pleasure

has

rable

•

Kevin, Glore, Foran & Co., chair¬
man; Robert J. Taaffee, McDougal

Geek, Secretary-Treas¬

Now Sole

car

Reports to the ABA from banks

at the Chicago
September 8th fol¬
lowed by a cocktail party and
dinner at the Union League Club.

man;

incomes.

use

Con¬

Cavanaugh,

—

business.

ciated with

offered on the instalment
Consumer optimism con¬
to

Instalment

Corp.

Avenue

officers

Beck,

Because of this wider

in automotive history.

that

Ariz.

PROVIDENCE,

disap¬

increase

Conference, Palmer House.

Lawrence

urer;

Sidney

deliveries greater individual gross income
since
the
first
of
the
year,
it and consequent larger disposable
should be pointed out that I960 income, consumers are now de¬
figures are above those for com¬ manding more and varied services
parative figures of 1959 and the from us as lenders. We are cur¬
expectation for the year still is a rently
experiencing
a
leisure
10% gain over 1959. Sales of 6 to products boom. Boat financing is
6V2 million cars are possible and becoming a big and profitable
would be the third largest year field for lenders to a point where
pointed

will

Yacht Club

Entertainment:

Gerald L.

a year ago.

makers

auto

Annual

Securities

Robert

con¬

strong

very

46th

securities

becoming

The "Leisure Products" Boom

While

9th.

III.

Central

are

spending units are us¬
ing this form of credit. More new
products and services are now

tinues

Auto Gains Encouraging

able

plan.

upward trend over

formed with offices at 2727 North

lending

acceptance of consumer
is growing.
More people

University
sumer

the

Credit

Geek

Public

strong and recent
of

before

sumer

PHOENIX,

and

indications

to experience

should

maintained

instalment

Some

tight" but most banks

tinue

demand

remainder

and

Cavanaugh, Geek

will curtail the

cases

the

that

$500 billion-plus rate
by the gross national
product during the first quarters

the

achieved

1970

will

substantially. Because of the Chicago,
higher average gross profit from

boom.

that

out¬

The "Money" Problem
v/olume, outstandings and their
"Tight money" continues to be profits in this field of consumer
credit.
a
problem with many banks but
it appears that only in a few iso¬
*A paper presented
by Mr. Jedlicka
lated eases is instalment credit

low rate less desirable loans

new

credit

consumer

which have capable personnel with
a
sincere
desire
to serve their

unemployment which

ion, this is good as I would much
prefer a year of moderate ex¬
pansion rather than a runaway

set

pre¬

will

public

pected.
have

credit

approxi¬
mately $100 billion by 1980. I feel
sure that banking
will obtain its

con¬

are

instalment

that

billion

& Co.

Delinquency r a t ios, reposses¬ share of this business.
Newman, Channer Newman Se¬
For
the
balance of
the year
sions and charge-offs are all re¬
curities Co.; Melrose B. O'Rourke,
ported in line with past experi¬ 1960, I believe that all of these John Nuveen & Co.; Philip Po- Association and the New York
factors
Convention & Visitors Bureau.
are
ence
which has been universally
working in our favor, dulka, Kidder,
Peabody & Co.;
that banking and most industries
good.
Some few
banks
report
Warren S. Yates, Merrill Lynch,
will have a good
year, at least as
Grunebaum Director
slightly higher delinquency but
Pierce, Fenner & Smith, Incorpo¬
these reports are generally from good as 1959 and probably a lit¬ rated.
; :
Erich O. Grunebaum, Chairman of
tle better and that those banks
local
conditions of weather,

year was pre-

sales

standing

centers

the

extended

dict

ma¬

with little pressure at present for

dicted

factors

day, Thursday,
Friday, Sep¬
Registration
and

&
Renshaw, chairman;
Harry J. Wilson, Harry J. Wilson

8th and

probably increase man;
hold-the-line from $40 billion presently to $60
First

prevails

tember
luncheon

:, programs,

Students of the economic

creases.

field

annual

September

enjoyment almost insure such in¬

Cur¬

appear

sold

cars

health

and

opportunities for travel and

indicate

necessary.

on new

the

months'

stabilized, with

jority

re¬

ferred

and

caution

to be

1 y

models

new

some

period before the

24th

Rodman

year

for

particularly during the hospital

coming clean

rently terms

•

ahead

wasco
m o n

The

terms

which is

Horseshoes: James P.Gallagher,

The Municipal
Bond Club of Chicago will hold its
—

Members of the Field Day Com¬
by year opportu¬
better schooling, better mittees are:

increasing
nities

Only

heights.
Such
population
increase,

increasing formation of
families and spending units, new
and
improved products, higher
prices of practically everything
we buy, increased
disposable in¬

along with consumers' optimism correlated with their rising

imagination throughout the 1960's. Endorses predictions that

greater

rapidly

incomes indicate opportunities for credit sales that will stagger the
sumer

factors

Wallace, Geruldsen & Co., chair¬
man;
Francis
R,
Schanck, Jr.,
Bacon, Whipple & Co.

Chicago Municipal
Club Field Day
CHICAGO, 111.

New York 6, N. Y.

(770)

The Commercial and

of such poor quality that the

was

Some Recent Impressions
Of Western Europe

cannot

what

remains

be
in

Greece.

Roman

brick work, where not mixed with
other materials, is well preserved,

unfortunately they sometimes
mixed bricks with stone, plaster,
rubble, etc., and the hodge-podge
not only looks bad but has kept
poorly. The inside of the Colos¬

retrospective look at the roots of Western Culture starts

warm

Greece

with

bygone

with the

and

with

ends

point of

Britain.

reference

Mr.

Whitney focuses

and his

paper

the

the past

weaves

back

knowledgeably.

seum

in point.

a. case

Many of

the Roman public structures were
devoted to the glory of conquest

present and reflects the pleasure that comes from looking
'

and the perpetration of cruel con¬

tests. Not

Greece. The Olym¬
Europe to Naples and working northward,
-the roots of Western Civilization, one also follows a chronological pic games were of far different
and
method
than
the
here.
and who does not include Greece, course
Pompeii, the most purpose
misses the most fundamental one perfectly preserved
ancient city gladiatorial contests in Rome.
Greece
built
temples
and
stadia
in the world, was founded about
of all. There¬

who

Anyone

;

goes

travel north-

ward, not only
following the

;

movement

eled

light

geographi c a 11 y
and
chronological-

'•
.

ly, but also
following
the

Alan D.

Whitney

saw

tary monuments.

arenas

burial,

was

and

out-door attraction is the Acropo¬

its

The

ruins.

famous

"Parthenon, Erechtheum and other
lesser
temples ;and buildings

perched on the top of this rocky
hill

solid

built of

all

are

and

marble

their

breath-taking

are

Near the heart of the

grandeur.

-city and visible from many places,

-they are also illuminated at night.
One
can
only wonder how > the
huge blocks were hauled up there
land then carved and erected with
such

stability to withstand the rav¬
of 2,500 years and much van¬
dalism. Fortunately, some of that
practice has only
carried the
smaller pieces of artistry to mu¬
ages

for

seums

and

exhibition

better

However, unfortu¬
nately, most of said museums are

preservation.

not in Greece.

There

other ruins about the

are

the

coming to

was

intact, but

of the Aegean

five-day cruise

ship,
to

from

see

its

Sea, such

Rhodes, Kos, Delos and
others. This can be done on

Athens.

with

sidewalks

Delphi with
of the oracle,

are

temple

there is under the

and

some

Italians

were

the ash and

can

aware

ter

it, but the

ones

they could be.

badly

destroyed

there

today,

little

other

than

the

last

the

well

the

snow-capped

north

and

end¬

less olive groves to the south.

met

was

handsome

replacements.
The

There is

Parthenon
old

roads

lead

know

about

what

looked

saying that "all

Rome."

that,
like

but
"all

ence.

They

are

Some

their

intensely proud of
antiquities and anxious to

show

them.

The

country seems
poor, but the people are certainly
uncomplaining. The land is rocky
and the arable portion is small,
the
scenery
is, therefore, mag¬
nificent
not

its

rugged

state.

Switzerland, as there is
only a touch of snow on the higher
peaks, and the hillsides are mainly
green,
trees

but

seldom

abound

tillable.

the

narrow

Olive
val¬

leys, and they are communally
owned, we were told.

are

Moving Experience in Pompeii
The

Culture tour

stop
is

Italy.

Western

Starting at

";x

;

head

the

(

The course offers practical

and

Guest

most'

miles

rides

We met

average

School of Business, City
College; Lewis D. Gilbert, cham¬
pion of stockholder rights, lec¬
turer and author; Edward T. McBaruch

Cormick,
President,
American
Exchange; and Norris Dar-

Stock

Whenever the ground

took from Paris to Rome

clear

day, is a never-to-be-forgot¬
ten experience.

and

Cromwell.

senior

tenements,

Pa¬

Murphy

upset. We got

and

some

con¬

Greece

best (and worst)

our

The French

program

theatre.

about

one

ther

support other than the
circular wall beneath it. Nei¬
any

earthquake,

war, nor vandal¬

ism has knocked it down.
Stripped
all its ancient
decoration, the

inside
Gown

laid

the

Parthenon

to the bare

hold the

now

brick, intricately
statues and

dec¬

orating designs of bronze and mar¬
ble long since removed.
A large

ever

former

was

open

enough, light. As
pagan temple, the roof
to the Gods, and the

rain that fell in

marble

drained from

was

floor

by
there and
working.
Where

stone

of the Roman

was

outlets

used

still

Michel the most unique place im¬

aginable.

The valley of the Loire
is famous for its very many medi¬
eval chateaux.

In the main square
small town in Normandy, we

saw,

while passing through in the

bus,

some

public structures, it

monument to General PatI

Parisian

pressing
nearby
where

dreams

ever

appreciation

Omaha

cemetery
there

Beach

St.

10,000

are

"Our

impressed,

was

any

American.

as
ex¬

tual

estate I planning,
year-end tax forum.

capital and for general corporate

the

design,
and

11 it

Director,

company

was

incorporated in September, 1959
acquire and operate the Con¬

etta

Tool

cessor

Die

Co.,
and

company,

owned

subsidiaries,

MEMPHIS,
Securities

famous

the

Allies

seaside

resort

turned into

which

complete
harbor overnight, two weeks after
D-Day, by sinking a long pier
which had been built in England
and

then floated

nel in sections.

The

its prede¬
its wholly-

Key

They

across

ice.

are a

are

of the

cur¬

financing, outstanding capi¬

talization

the

patiently for

They have

Everyone queues
any

kind of

serv¬

few ruins left
in London from the frightful war
are

very

;

Diversified

—

conducting a

Officers

Street.

Second

James H. Wiggins, Jr.,

Presi¬

dent; and Ronald L. Kirkpatrick,
Vice
President, Secretary aiid
-

Treasurer.

•

Hooper, Bowers Formed
111.—Hooper, Bowers
Company has been
offices at 765 East
Boulevard to engage in

CHICAGO,
and

Hilliard

with

Oakwood
a

company

will

Officers are

business.

securities

Hooper, President; William
H.
Hilliard, Secretary; and Na¬
thaniel H. Bowers, Treasurer. Mr.
Hooper

formerly

was

with Mc-

Ghee and Company.

Jay Morton Co. Opens

&
Company, Inc.-'has been formed

SARASOTA, Fla.—Jay Morton
off ices

Drive

and

•

3400'Tanglewood

engage

Officers

business.

securities

a
are

Jerome

President;
Secretary and

Schechtman,

Sol

formerly

Fink,
Schechtman was

Mr.

with

Associates.

edness;

145,755

stock and
B

common

Hardy

Hardy,

;

of class

Named Director

150,000 shares
stock.

Paul

Eisenberg Opens

Eisenberg

He was formerly with
& Co. and Eisele &

Libaire, Stout & Co.

has

announced

Corpora¬
elec¬

the

tion of Gordon Crouter to the cor¬

Mr.
Phila¬
delphia investment securities firm
Ross,
of DeHaven & Townsend, Crouter
King,

is engaging in

securities business from offices at
20 West 47th Street, New York

City.
Lyon

Computer

Navigations
tion

wonderful peo¬

consist cf $9,000 of sundry indebt¬

of class

mannerly, substan¬

corps.

There

Upon completion

common

It is still there.

tial and courageous.

esprit de

the chan¬

and

rent

Tenn.
Corp.

South

are

Manu¬

Spirited British

The British

ple.

securities business from offices at

Treasurer.

there, move one deeply. Arromanches, a few miles east, is

Form Diversified Sees.

Earl

present

are

securities

closed end fund.

etta,

The

the firm is
but a

error as

dealer

offices

from

This

Street.

informed is in
not

formed

1646.

business

Broad

ing and machining. The company
is an outgrowth of a tool and die
business begun by Louis D. Con¬
and

reported that Samuel C.
was engaging in

was

securities

repair of small

precision tools, dies, jigs and fix¬
tures, and in parts prefabrication
by zinc die casting, metal stamp¬

President

66 West Twelfth St.

Greenfield & Co.

676.

rows

boys who

discussion

open

CORRECTION

the

our

In the Financial Chronicle of Aug.

Morton

graves

a
.

engineering,

facturing Co., Inc. and Knoxville
and the
Tool and Die, Inc., as well as The
Laurent Stamford
Carbide Co., Inc.

perfect

com¬

and

problems.

New School,

three months ended Mar. 31,
1960,
consolidated net sales were $250,-

an¬
mu¬

members' questions and

course

investment

the

use

certain

repay

loans;
to purcnase additional
machinery
and equipment, and
as
working

identical

will

There
of

fell

the

out

investment

and

funds

panies,

with

over

laid

Among the topics to be treated
are: Forecasting and market tim¬

For the year 1959, the
company
its subsidiaries had consoli¬
dated net sales of $601,485, In the

crosses

seen.

Britany is beautiful and Mont-St.

hole in the center of the roof lets
in the only, and
a

lush

I have

ton which referred to him

out

manufacture

Deliverer."

thick, and the

proceeds

both

also invented the arch. Some brick

many feet

company's present plan to

are
petty about nearly
purposes, including expansion of
everything, from charging one to its
business.
sit on a park bench to quadrupling
Conetta Mfg. Co., Inc., of Stam¬
taxi fares after midnight and de¬
manding a tip after selling the ford, Conn., is -primarily engaged

only stone and marble, Rome
mainly used brick, and the Romans
are

news¬

and stock brokers' offices.

many

particularly

about it. in American

news

papers

ancient

seemed

one

Normandy

the foundations of modern

While

Sullivan

Prospective students may con¬
tact the Registrar's office at The

are

and

partner in

rel,

altitude, and the plane ing, fundamentals of security
smoothly and almost alysis, portfolio management,

silently.

experts include: Jerome
Cohen, Assistant Dean and Pro¬
fessor of Economics, Bernard M.
B.

very

two kinds of Frenchmen. Parisians

country-side

of them stand today.
occupied in their arches

structions.

the

Later

Years

out Germany, as we did.

see

most

are

•

not

lot

are

inserted

walls

the most

The

the ocean can be
seen, at inter¬
vals, the sight is awe-inspiring. A
jet flight over the Alps, such as

The next stop on a Western Cul¬
tour is France, if one leaves

magnificent piece of brick¬
pleas¬
ant people we encountered. They work in the world, I believe is the
A rotunda about 150
are not
(yet?) spoiled by tourism Parthenon.
and they appreciate not only the feet in diameter and 50 feet high,
its
traveler's money, but also his pres¬
huge, arched brick roof is with¬
The Greeks

here.

did

aqueducts"

used

seen

war,

evidence

view

Corinth

Naples

pre¬

restrained about the mat¬

trips. Delphi, hanging
on the side of Mt.
Parnassus, about
half way up, affords a magnificent

west,

Counselors,

series."

lot

motor coach

the

We could learn

Bernstein-Macaulay, Inc.,

Investment

Offers Conetta

Argolis, the same
south, both reached by overnight

mountains

moved

slowly

unle,ss you
buying something from him.
Grain, bread, cakes and even eggs Intermixed with many Bohemians
•
!
wer$ found and can be seen. The who may be far from
French, he
city must have been destroyed in seems lazy, indifferent, and if I
Pearson, Murphy & Co., Inc. of¬
minutes.
■
/
may say so, dirty.
Paris is filthy, fered on Aug. 23
125,000 shares of
Naples is a great seaport and our including many of its hotels and Conetta Mfg.
Co., Inc. class A
Navy's ,6thv fleet as based there. public buildings(although nofeas common stock at a price of
$4 per
Navy pbrsdnnel occupy many of bad as I found;4t 30.years ago). share. The shares are offered as a
the city's modern apartment build¬ All the magnificent buildings date
speculation.
'A
":,
ings. It made me squirm a bit to back to the time of the Lcuis' and
Net proceeds from the financing
see this
example of our extrava¬ modern private structures re-use will
initially become a part of the
gance, of probably many such in old facades. We were there dur¬
company's general funds. It is the
the world. The natives are quite ing the Summit and its collapse,

that

Gulf

France—30

are

ing their faces with their hands.

leading there. Rome built

the

and

guide we" had ;rdo not know.

in
Naples - museums,
in plaster and Provincials. The
castings. Most people died cover¬ risian-is unpleasant

and

capital
distance

beer

sun.

the stoves

about 60 miles north of the

Western Culture which sprang up

Exchange and Vice-President and

Director,

are.

to date. Many bodies ture

and^. animals

mep.

served by

sightseeing

port of
worthwhile places

in Greece

famous

and

the

new

num,

the

Piraeus,

Other

civilized,

are

the epitome of the

many

taken

been

have

Streets

startlingly

but

are

Cooking utensils look modern, ex¬
cept that they are not of alumi¬

culture, it is wise to visit the is¬

rsome

little

were

•Crete,

New School

Offers Course

exciting and bizarre
way to: cross the Atlantic Ocean
told us she had begun her special
.is; by., jet plane.
Only six hours
training at 11, and went to school from Idlewild to Orly, France, one
for several months each, in Eng¬
sees the sun set and rise within
land, France and Germany. She three
hours, if one leaves at dusk.
was a wonderful linguist and knew
A night is lost en route and one
her history well. As to merchan¬
is obliged to live a 36-hour day,
dise available there, Italian leather
initially, on his visit abroad. Com¬
goods, linens and silks are much ing back, one gains five hours in
finer than anything we produce,
seven
of travel.
The sun hardly
and cheaper.
Borsalino hats are moves.
There is no weather at

moving experi¬

are

latter

museums.

city, some from the era of Roman
occupation, but if one wants to
see even earlier examples of Greek
lands

they

and mili¬ .in
Greece
'
northward;

city, but are so
a latitude between 36 and 38 de¬
grees, is like that of June in our narrow, they must have been one¬
Italian small autos
way for traffic. Artifacts brought famous, ■ and
country.
;
Athens is a beautiful and mod¬ to light include medical and den¬ are rapidly becoming so. Wine is
excellent and about as cheap as
ern
city, whose most important tal instruments that prove how
with

British

The

motor tour was, at 18,las pro¬
ficient as one could ask rfor. She

in place
walls of
still standing. Murals

are

statues

criss-cross

lis.

humor

and

drama

on a

ence.
Many roofs are still
in the city, and almost all

buildings

advancing season by beginning
in the Spring
of the year. The
weather in Greece in April, with

what

modern

One, young-woman

after nearly 1,900 years

was

The

house being lev¬

one

stood and watched.

that

realize

Cul¬

Western

A.D.,

ash.

ture
•

while Rome built

population now estimated
at 25,000. Excavation has been go¬
ing on there for 200 years, but

begin
sightseeing

buried

was

sense

good from- them, especially about the objective investment guidance for
innkeepers. Help is plentiful and •-'art of self-government; It was not the layman who wants to maxi¬
cheap, but it "is also weil train'ed. without much ability and at least mize his income and protect his
most has been done in the last Employes go through long, years some, good cause that they ruled capital, as well as for the invest¬
half century.
Even today it still of
apprenticeship
beginning /at ...half.the world for nearly a cen- ment authority who wishes to re¬
goes on with modern power shov¬ about age 14, which seems to be -:tury, but two World Wars finally view and clarify his basic invest¬
els and trucks to carry away the the case iu other lines of endeavor; .displaced them, for good or ill, I ment approach.
•
•
}
.
it had

there and then

the ashes from Vesuvius in 79

also wis-

;est

When

B.C.

800

fore, if this ba¬
sic country is
to be viewed,

Thursday, August 25, 1960

In Money Mgmt.

but

By Alan D. Whitney, Investment Advisor, Winnetka, III.

especially
lightliterature,
which is sharp and subtle and
never gross.
Most of their news¬
papers are high class and BBC is
so
far
superior to our fare of
broadcasting that they cannot be The New School announces a se¬
mentioned together.
British mer¬ ries of fourteen sessions on "Man¬
chandise, such as woolens, other aging Your Money: Investing in
fabrics
and porcelain are much Today's Markets," beginning
finer than anything we produce in Thursday, Sept. 29, 5:30-7:00 p.m.
those
lines.
Their modern art, A. Wilfred May, economist and
regularly displayed in the Royal executive editor of the Commer¬
cial and Financial Chronicle, and
Academy, puts ours to shame. (I
also had the same impression of Peter L. Bernstein, economic con¬
it on a previous visit 30 years ago.) sultant to the New York Stock
derful

with

compared

The British have a won¬

damage.

state of preservation of such build¬

ings

Financial Chronicle

poration's board of directors.
Crouter is

partner in the

Bodine, Philadelphia.

Volume

Number 5980

192

The Commercial and Financial Chronicle

(771)

Early

Business Outlook

Survey ;

Reports Good Year Expected
Orders

expected to increase

are

somewhat unsatisfac¬
tory beginning, lo60 is still widely
expected to be a "good year," the
its

Conference

National Industrial
Board
a

releasing
of 210 manufacturers on

survey

reports

now

the sec¬

business outlook for

the

ond half.

ecutives
second
on

continent

are

tne

that

The

remain¬

ents fell

short

of the respond¬
their expected

and

customers'

economic
trimming of

poor

the

inventories.

the

favorable

generally

conditions
year

crease

The

business

for

the

remainder

and

the

resulting

in¬

reasons

for

cited by

failure

re¬

meet

construction

and

capital

ex¬

Best

Loewi

track

University

coach

Incorporated, 225 East Mason
Street, Members of the New York
Stock Exchange, have announced
that
Joseph E. Koehler and J.

Ehlers-Koehler

Leasing,

leasing firm. For 13
he

Thompson

President

was

Buick

Inc.,

years pre¬

which

discon-

SYRACUSE,

N. Y.—Syracuse
Associates is conduct¬

Recreation

ing

securities

offices

Partners
William

the

Ewing

and

toward

tend

Others

H. C.

Wainwright Adds

BOSTON, Mass.
Donough

has

John

—

joined

H. C. Wain wright &

the

and

Boston

Stock

causes

Reasons

Other

the

those

NICB

cited

who

ex¬

cooperators

optimism about second-half

press

1960

Optimism ;

for

reasons

are:

;%%%V

• •

Some

t he

;/
volume

order

looked for but not received during
the

believed to have

first half is

merely been delayed.

r4:Completion of inventory adjust¬
ments

have

that

particularly af¬

fected primary metal producers is

thought likely to increase demand,
will

then

customers

need

make

purchases to meet operating
requirements.
New
are
a

models

and

products

new

expected to stimulate sales in

substantial number of companies
industries

ranging

air¬

from

craft, instruments, chemicals, and
office equipment to furniture and

apparel.
Orders Expected to Increase
The

expected

improvement

business during the second half of
I960 is reflected in the outlook for
new

orders.

the

firms

Sixty-three per cent
cooperating in the
survey predict

Conference Board

that last-half bookings will show
an

increase

believe

those of the

over

period in 1959.

volume

order

months

that

new

should

trend

pants' replies

mates that for

the last six

1959, while

orders

low the last-half
The

same

Nineteen per cent

about equal to that of

18%

feel

will decline be*
1959 level.
survey

partici¬

The

billings approxi¬

new

orders.

Com¬

unique application of the X-Ray Quantrol*, now
at Anaconda, Montana, can sample and assay
values in approximately two minutes. By

pared with the last half of .1959,

copper

billings for the

trast, previous methods took anywhere from 2 hours

six months
of this year are expected to be
higher in 70 % of the companies,
with the expected increase aver¬
aging approximately 12% among
the firms indicating the amount.
Another 14% of the cooperators
expect billings to equal those of
the year-earlier period, and the
remaining 16% forecast a drop.
Inventory

same

smaller

than

production. This

con¬

advances in the
All

System developed by Ana¬

one

along the line, through extensive mineral ex¬

through laboratory research, Anaconda keeps pace
industry's ever-changing requirements. As new

applications for nonferrous metals multiply, so does
the need for a constant and dependable supply.
Through Anaconda, these demands are met not

edge about nonferrous metals. For another example,

only in quantitative terms, but qualitative

look

with

The

American

Brass

Company,

100%
owned subsidiary of Anaconda. The Brass Company
has recently broken ground for a $1,500,000 research
center

anticipated
change
is
very slight. Twenty-five per cent
of the cooperating companies re¬

to new, significant

with

ore.

of many ways by which the Company
constantly improves quality and expands basic knowl¬

average

way

from the

The Process Control

present by the year's end, but the

the

of product development.

ploration and geological investigations, as well as

now

conda, is

opens

area

days. As a result of this important speed-up,
possible to obtain far more reliable data,
contributing to improved extraction of metal values
it is

Reduction Seen

metallurgical, corrosion and chemical labo¬
equipment for experimental

ratories in addition to

to 2

Fifty-two per cent of the par¬
ticipating firms expect dollar in¬
ventories

include

use

Waterbury,

Connecticut. Facilities will

continuing supply of

copper,

well,

brass and bronze

precisely suited to specific product requirements, in¬
cluding those in the minds of
the board and in

men as

well

those

production.

•Quantrol is

Applied Research Laboratories trademark.
60184 B

port inventory levels are likely to
hold, while 23% forecee an in¬
crease.

A substantial share of the

changes will be owing to seasonal
factors, especially in some of the
nonmetal products firms.
Sixty-one per cent of the NICB
expect over-all be-

respondents

■

SUBSIDIARIES OF ANACONDA MANUFACTURE: COPPER AND
WIRES AND
AND

CABLES; ALUMINUM

EXTRUDED

FORCINGS

AND

ALUMINUM ELECTRICAL

FOIL, SHEET, ROD AND BARS, STRUCTURALS, TUEING

SHAPES; COPPER, BRASS AND gRONZE SHEET,

EXTRUSIONS; FLEXIBLE

staff

Exchanges.

operations, and further cur¬
is planned unless orders
promptly.
:•

Among

Mc-

Street, members of the New York

tailment
recover

Co., 60 State

leading to improvement. Some of
these companies have already cur¬
tailed

Sidney

(Special to The Financial Chronicle)

pessimism.

to find

unable

are

Dickler,

Grossman.

expectations, how¬

A few firms'

from

Building.

Babette

are

business
Loew

healthy, and on a faith in the ca¬
pacity of their firms to compete.
ever,

Syracuse Recreation Assoc.

attitude

economy

for

prior to his resignation.

Registered Reps.

MILWAUKEE, Wis.—Loewi & Co.

car

head

was

Wisconsin

years

year-end forecasts were weather, viously,
the

in sales.

major

spondents

Mr.
of

aoout

this

basing

half,

belief

Board.

lags,

forecasts,

Riley Best, members of their or¬
order
volume.
Twenty-one per ganization, have completed their
fore-tax earnings in 1960 to be
cent of the reporting companies training and have been appointed
better than those for 1959; 16%
equalled, and the same number Registered Representatives by the
expect to equal 1959 figures, and
Mr.
exceeded, the order volume they New York Stock Exchange.
the remaining 23% expect earn¬
in
had forecast. Disappointment with Best
Loewi
&
Co.
Incorpo¬
ings to drop this year. Most firms new orders was
slightly more rated^ Madison office and Mr.
base their confident
1960 profit widespread than with
shipments, Koehler in the Milwaukee office.
Mr. Koehler, was President of
forecast on what they believe will the NICB finds. be

expectations now
take into account results achieved
during the early months of the
year, when shipments and orders
were
below forecasted levels in
more than half the companies re¬
porting. Nevertheless, many ex¬
Cooperators'

Conference

A total of 58%

to become smaller.

Despite

panies surveyed, according to The

inventories

and

penditure

ing firms were almost evenly di¬
vided between those equaling and
those exceeding expectations,

Optimism about the direction of this year's economy is revealed
in National Industrial Conferance Board's mid-year survey of 210
manufacturors.

Results

1960

During the first half of 1960,
shipments fell short of forecasted
levels in just over half the com¬

PLATE, TUBE, PIPE, ROD,

METAL'HOSE AND TUBING.

MUTUAL FUNDS

(Special to The Financial Chronicle)

CLEVELAND, Ohio

—

MTDC

Thursday, August 25, 1960

Redemption of Mutual

to Fund Shares Down in July

proceeds

$2,-

approximately

were

& Hop wood,

Piper, Jaffray
Minneapolis.
Net

and

With Wm. J. Mericka

Redemptions
of
mutual
in July declined to

500,000.

Walter L.
ROBERT E.

has become associated

Schliecker

Financial Chronicle

The Commercial and

(772)

RICH

The

fund
$66,-

capital will be used in

new

investment firm's 626,000 from a total of $85,436,000
at the end of June, the National
investing in young
Association of Investment Com¬
bers of the Midwest Stock Ex¬
companies operating in advanced
change. Mr. Schliecker was for¬
technological areas, Mr. Ryden panies reported.
The Cost of Capital Management
The July total represents the
stated.
merly with J. N. Russell & Co.,
lowest
redemption
level
since
Inc. and Baster & Company.
One of this country's hard-work¬ the one-time bite of the sales¬
Directors of Carriers & General February of this year when re¬
ing financial editors, who keeps man's commission in figuring the
Corporation, closed - end invest¬ demptions totaled $66,201,000 and
close tabs on mutual funds, calcu¬ cost of fund management is open
is lower than the $73,704,000 total
ment company managed by Cal¬
Mericka & Co. Inc.,

Wm. J.

with

continuing the

Union Commerce Building, mem¬

MUTUAL FUND

lates that investors pay about

INFORMATION

million

entrusted to the managers of

the

course

that Ameri¬
paying nearly

Investors
A mutual fund

list of

EST. 1925

investing in a

for

securities selected

have entrusted
to mutual funds. Says the indus¬
trious editor: "This is fairly cost¬

billion

ly capital management."
No

doubt,

tained for them

Incorporated
Income Rind
A mutual fund
0 list

fof

ment.
were

CORPORATION

people who
funds,

those

for

purchaser of

stocks

who has been the victim of

churn¬

half billion.

than

less, efficient operation is a

will

suffering disasters by
going it alone, they must appear
to be <a. genuine bargain.
Surely,

were less
More, rather

assets

than

• pany

expectation. Many a com¬
that does not measure up
pass from the scene.
The
Our

better-run funds will thrive.

only after

Mass.

normal

to mutual

converted

total

its

tries

have

around for more

been

century—and not a few of
these are still striving to cut costs.

than

of July were

Equity Fund reports
its five largest holdings, in terms
of market value, are Internation¬
al
Business
Machines, Polaroid,

Wellington

Fetzer. .'

Scott

Loomis

2,300,000 shareholders, individual
and institutional, who have 4,600,000 shareholder accounts.
Investors

reports net asset value on June 30
was $25.27 a share, against $25.66
Dec.

Co.

has

been

Accumulation plans for the pur¬

transfer

appointed

States

rities, Inc.

Fund,

Income

investment

income

contractual

June, 30,163 such plans --were
opened and in July of last year
In

Inc.

cents

plans,
voluntary
and
opened during July.

mulation

dividend from ordinary

declared

fund

mutual

periodic payment basis, monthly
quarterly, continued to attract
investors with 28,983 new accu¬

■■T;;,;TT

Institutional

chase

Secu¬

Government

purchased $167,677,000
fund shares in July,
the $178,013,000 re¬

ported for the previous month and
the $220,776,000 for July 1959.

Trust

New York

agent T and j dividend
disbursing
agent for the common stock of
Irving Fund for Investment in
United

from

down
T' v\

Bank

mutual

31, 1959,

Chemical

fund

Canada

Fund

Sayles

year ago. The 158 mutual
members of the NAIC have

July

$15,871,981,000, com¬

pared with $16,096,613,000 in June
of this year and $15,532,827,000 in

and

Xerox

Haloid

Papercraft,

NAIC, founded in 1941, re¬

The

ported that total net assets of its
mutual fund members at the end

railroads and many of our indus¬

shareholders.

corporationin 1929.

Looking back

business.

years,

invest¬

original

this is rather

The fact is that
new

own,

their

growth

A prospectus on each fund is available
from your investment dealer.

$00 Berkeley Street, Boston,

by the managers
will endorse that

their

particu¬

costs,

larly if one subscribes to the oftexpressed theory that "it costs
little more to run a big fund than
a
medium-size fund."

will deem
the cost reasonable enough when
measured
against
the
sizable

results

current income.

THE PARKER

funds,

By its very na¬

proportionate

cur

ob¬

judgment. But it is equally cer¬
tain that other folks, who never
were
able to attain satisfactory

investing in

of securities selected

their

results

with

Colossus.

preted by the NAIC as an indi¬
cation of the long-term nature of
the investments of mutual fund

12.
Same amount was
paid in the previous quarter.
It
is the 120th consecutive quarterly
dividend to be declared since in¬
Sept.

the business should not in¬

ture,

investors, far

many

satisfied

stock, pay¬
able Oct. 1 to shareholders of rec¬

(Mr. Mu¬

gener¬

ally do not increase in a declin¬
ing market. This trend is inter¬

share on the common

ord

redemptions

fund

mutual

debentures, have declared a
quarterly dividend of 15 cents per

expects that over the
next 20 years the $16 billion mu¬
tual fund field will become a $100

of the capital they

ing

tual Funds)

from

$18,797,840

assets of

soar.

Arthur Wiesenberger

2% annually for the management

possible long-term growth
capital and income.

are

"costs'* to

cause

then it would appear

investors

somewhat

with current of July, 1959.
The NAIC said the decline in
of Aug. 15,
before
deducting
the
principal redemptions followed the pattern
amount ($1,872,000) of outstand¬ of past experience which is that
Ltd.,

Bullock,

vin

happier with a burgeoning econ¬
omy and a public scramble to buy
in, even if these commissions did

million

$300

the

figure (lumping in the one-time
commission is at least debatable)
can

doubtless

would

reasonable expecta¬

heavily invested in mutual funds

incidentals.
If

the

man¬

charges

funds

trading and

it's

panic,

tion that fund sales would dry up.

this
the

numerous

brokerage

agement fees,
incurred

salesmen,

fund

business

This, of course, would bring down
the cost, as figured by the editor,
but it would hardly be the inves¬
tor's idea of a bargain. The fellow

rish treasure. Costs go to pay

salaries

question.
Assuming a severe
depression and a market

$300

for "the care and
of the $16 billion

year

nourishment"

Incorporated

program

30,549.

compari¬ Primarily, a housekeeping opera¬ share, payable Oct. 3 to stock of
record
Sept. 1.
A distribution Centennial Fund
mutual funds are cheap. And tion, the mutual funds have luck¬
realized
securities
profits
man
who has succumbed to ily developed in an era of auto¬ from
Set Up In Denver

ing would agree that, by
son,
the

should

boiler-room

blanishments

be ecstatic.

Also, the fellow who

office

should

contribute

trip to the cleaners in 1929
and/or 1937
could reasonably

made

argue

that they're cheap. And, in
recent times, the people who

from

investment income,

President

way,

tion-to

age

the

to make
subject

contribu¬
capital-

what they charge

veteran
a

to man¬

individual portfolio.
A
counselor, who heads up

half century-old service, offers

this

scale

fees

and

says

it is

fairly typical of the fraternity: .
An
annual
charge of 1%. to

EATON & HOWARD

cheap. But

generally

worth

vm.

ex¬

actly what it costs.

iTo*

nS.

\nc'ore®;

TVlP
T^llRfls
iilC 1
UllUb TvPTWPt
l
Electric

Bond

Co.

re¬

'vho"^

an a

Investment Dealer or
*

EATON & HOWARD,

holdings,
Incorporated

24 Federal St., Boston 10, Mass.

□ BALANCED FUND
Name

□ STOCK FUN0

were

per

1959.
*

would

not

stake

invested

___

the
-

other

The

individually,

Stevens

To Form

Shapiro Bros.

And Shiffman

large blocks of stock have ex¬
changed their securities for shares
of a mutual fund in order to ob¬
tain
diversification without es^
tablishing

capital gain for Fed¬
tax

income

purposes.

Centennial

Fund

has

approxi¬

mately 200 shareholders, scattered
from Maine to Oregon, Florida to

California,
and
they
have an
investment of some $125,000. The fund, a Delaware cor¬

average

poration, accepted these securities
at a meeting of the Board of Di¬
rectors in New York City on Aug.
and

the

exchange

was

stock

and

with

offices at

.1200

Ave.

the firm which will be

of the New York Stock

Exchange,

will be Paul H.

hold

the

Harvey

member

Shapiro, who will
membership,

exchange
Z. Shapiro

Shiffman.

and
,

Saul N.
a/TAT-A

custodian for the fund.

Centennial

Research

board

Corp.,

directors

Centennial

Fund

is, like its shareholder group
made up of men from across the
continent. They are:
William M. B. Berger of Den¬
ver

is president of the

fund and is

American
Business Shares
The

isting shareholders on the basis of
one
new
share at $4,75 for each

anced

held.

original

75%

the

were

subscribed

new

son,

between

for

Prospectus

offered
exist¬

upon

request

by the

number of firms headed by Shear4

invests in a portfolio
bal¬
bonds and preferred stocks
stability, and common stocks
selected for growth possibilities.

Company

selected

More than

ing shareholders, Mr, Ryden said.
was underwritten by a

Street.

A Balanced Investment Fund

earlier

offered

was

Hammill & Co., New York,

made

that day at the Colorado National
Bank of Denver, the escrow agent

Management T abd
with' offices in
the Americas, New York City, Denver and New York, is invest¬
of September 1st. Partners of ment advisor to the fund.
The

formed
of

The

contemplates no further sale
of shares to the public for cash.

Fund

Shapiro Bros. & Shiffman will be

this month for subscription to ex¬

The issue

of, Wall

lumping in

;

2,054,689 shares of the
represents the first
individual holders of

Ryden, President, has announced.

likely to include a
Minnesota
Mining
&

And the^device'of

holdings

new

This
that

time

-Coca-Cqla; Colgate-

& Brass.

for

fund.

wunderkind

following

added:

basis

Clark Fund
reports net assets at Aug. 15 to¬
taled $77,922,662, or $18.73 a share,
compared With $81,940,591 and
$20.20 a share a year ag-o; -

Manufacturing,
International
Business Machines, Polaroid and

Address

During the quarter ended June
the

company,

created in Denver on Aug. 15,

was

eral

net assets at June

Scudder,

Incidentally, we have not included
the approximately 1,300,000 accu¬
mulation plans, where the median
holding is a mere $1,890. Such

Prospectuses available from

America

30 were Palmolive, Great Atlantic & Paci¬
fic Tea Co., Johns-Manville, North
$148,520,600, equal to 4 $28.29 a
American
Aviation,
Sunbeam,
share. A year earlier the compar¬
Wilson and Woolworth. The fund
ative
figures
were
$182,806,300
meantime eliminated holdings of
and $34.82. Net income for the six
months to June 30 was $3,396,584, American Viscose, Haloid Xerox,
against $3,984,100 in the first half Liggett & Myers and Revere Cop¬
ports

■

your

Co.

Inc.,

investment

$25,683,612.50 worth of securi¬
ties were exchanged on a tax-free

then outstanding.

J <0r

total net assets at June
30
were
$174,668,414,
equal to
$10.27 on each of the 17,004,667*
shares outstanding. This compares
with $162,270,678, equal to $10.69
on
each of the 15,185,091 shares

portfolio worth less
than $66,000,
but the minimum
charge is $500. Larger portfolios
pay a fee of three-quarters' of-1%<>
AT V '.
* T"
;
Thus, a $25,000 portfolio would
incur a
yearly charge of $500. Scudder, Stevens & Clark Stock
That's 2% and a shade higher than Fund
puts net assets at Aug. 15 at
the estimated price the holders of
$36,070,859, equal to $9.47 a share.
mutual
funds
are
calculated to This
compares
with $31,319,642
be paying. Nor would such a port¬
and $10.08 a share a year ago.
folio, or for tft&t matter one many
•.
'••• * r
*
*
T TAT.;
times as large, provide the di¬
Midwest Technical Development
versity that a stake in one of the
Corporation, Minneapolis invest¬
representative funds assures.
ment company specializing in in¬
More to the point: the median
vestments in technically-oriented
holding of the 3,300,000 mutual
companies, has doubled its com¬
fund accounts totes up to a modest
mon stock outstanding with a new
$4,171.
So the investment coun¬
issue of 561,500 shares of $1 par
selor's fee rules out the people
value
common
stock, Arnold J.
who have turned to mutual funds.

manage

reports

discov¬
is dear," not to men¬
the fact that something for

nothing

Investment

The

than neophyte or profes¬

valuable

some

management costs. We have gone
to the people who make a pro¬
fession of investment counsel and

...

tion

attempted, in our own

We have

asked

CONSIDER

as
.■v' ./.-.

•.

small

ered: "Cheap

MORGAN

of mutual funds is not

sional for that matter, has

turn

i.hares.

quarters that on a purely
statistical basis, investing by way

some

ers

data.

gro

is¬

in the

be argued in

can

open-end

will

Fund,

Centennial

paid unless
holders elect to receive additional

also

cents

way

surely

net

payable

September 30,1960 to stock
of record September 7,1960.
WALTER L

quarterly dividend
a

little

that had

Meanwhile, it

(accumulated during the first nine
of the fiscal year) of 8

months

heightened efficiency.

of assets than bunsen burn¬
might decide they're cheap.
survey
of folks who have
been in the market, both on their
own
and through funds, would

consecutive

lie

"glamour

ballyhooed

bought
sues"

equipment, which
importantly to

mated

Lord, Abbhtt it Co.
New York

Chicago

Atlanta

—-

Los

Angeles

Volume

192

Number 5980

also vice-president and treasurer
of

Centennial

Management

Research Corp. He

and

formerly

was

Denver is vice-president of Cen¬
tennial Fund and also president of

Centennial Management and Re¬
search Corp. He was
formerly a
trust officer of the Colorado Na¬
tional Bank of Denver.

Donald W. Hoagland of

The Commercial and Financial Chronicle

Mr.

Bouret

also

pointed

out

and

NEWS ABOUT

Income of the Commonwealth's

tourist
from

industry

$20.4

has

million

million in 1959-60 and
rise still further in 1960-61.

.'/■

.;vvv;-.^.y;. 4/.■;\V*'-:s-•' ••V.v-'-'-v*

Consolidations

other important resort

•

New

Offices, etc.

the State Director of Financial In¬

'v">

stitutions, the additional stock will

Revised Capitalizations

•

area.

Mr.

Richard

dent,

Arthur J.

Maloney, Presi¬ Loaning Officer of Central
the election of tional Bank on Jan. 1, 1952.
*

Quinn to succeed John

Maher

announced

Na¬

one

new

the

$20

par

the

each

for

value

stock which will be held after the

split.

stockholders

offered to

basis

It is contemplated that the

annual

dividend

rate

the

new

Secretary and Mort¬ The Federal Deposit Insurance $20 par Value stock will be fixed
gage
Officer of the New York Corp. and Maryland's Bank Com¬ at $3.00 per share, equivalent to
Savings
have
authorized
the $15.00 per share on the present
Bank, New York.
Mr. missioner
Maher's resignation will be effec¬ merger of the Farmers & Mer¬ stock. It is planned that the of¬

chants
Bank,
Upper
Marlboro, fering to the stockholders will be
Md., with the Suburban Trust Co., underwritten by a group of in¬
Washington,
D.
C.
vestment banking firms headed by
By a stock dividend, The Meadow
Brook National Bank
The
total
of
Nassau
resources
of
the Blyth & Co., Inc.
tive

Oct.

County

Therefore, he said, the Depart¬
ment

Branches

sold.

five

During this fiscal year, Mr.
secretary of the fund, is a partner Bouret said, six new projects will
in Lewis, Grant &
Davis, attor¬ open in Puerto Rico, adding a
neys.
He is also secretary and total of 440 resort hotel rooms.
director of Centennial Manage¬ Largest
will
be
the
205
room
ment and Research Corp.
Miramar Charterhouse overlook¬
A. Hamilton Bolton of
ing
the
Cohdado
Lagoon in San
Montreal,
is president and director of Bol¬ Juan.
But
these
additions, he
ton, Tremblay & Co., investment added,
will
do
no
more
than
consultants, and was president, "scratch the surface" of the need
1959-1960, of the National Fed¬ for facilities.
eration of Financial Analysts So¬

New

•

proposed

125,000

Subject to the approval of these
proposals by the stockholders and

BANKS AND BANKERS

will

Earnings of tourist hotels in
Puerto Rico are
extremely impres¬
sive by comparison with those of
any

tional

and

also

that an addi¬
of the new
$20 par value stock be authorized

increased
1954-55

$53

Denver,

cieties.

(773)

that:

vice-president of the Colorado
National Bank of Denver.
Ranald H.
Macdonald
III
of

York

of Tourism

will make spe¬
tell potenial in¬

West

has

capital

New merged

Hempstead,

increased

its

common

from

stock

company will be
more
than $157,000,000, plus the two of¬
fices of the Farmers & Merchants

These

proposals will be sub¬
the approval of stock¬

mitted for

$10,203,640 to
John K. Langum of Chicago is cial efforts
holders at a special meeting to be
to
J
$10,407,710,
effective
Aug.
11. Bank.
an economic consultant and was
held on Sept. 15.
vestors
about
opportunities for
Farmers & Merchants Bank will
(Number
of
shares
outstanding,
formerly a vice-president of the tourism development that
*
*
*
already 2,801,542 shares, par value $5.)
exchange 3 shares for 2 of Sub¬
Federal Reserve Bank of Chicago. exist and
about future possibili¬
The
Central
National
Bank
of
urban Trust shares.
Ranald H. Macdonald of New ties. He said that the
Department Mr. Kennedy, President of the
*
Rockford,
Rockford,
Illinois,
is
*
»
York is

limited partner of Do-

minick & Dominick and

a govern¬
of the National Association of

Investment Companies.

will also

inform investors about
the incentive which the
Common¬
wealth offers to tourist
industry

"Many investors know
the incentive we offer to

ical Bank New York Trust Co. as
well
as
a
trustee of Columbia

strap,"

director of other

corporations.
Lowell Stanley of Beverly Hills,
Calif., is a director of Monterey
Oil

Co.,

Beckman Instruments,
Inc.,
Great
Western
Financial
Corp. and other companies.
Walter A. Steele and Ira E.

Tanner, Jr. of Denver, who

are

attorneys.
Other officers of the fund are:
William T. S. Boericke, vice-

alyst

Shields

for

senior

Co.,

an¬

New

York, a member of the research
division of Merrill Lynch, Pierce,
Fenner & Smith and a teaching
fellow at Harvard.
John

ney

Amato, treasurer, for¬
practicing Denver attor¬
and a certified public ac¬

merly

facturers

countant.

Irving Hale, assistant secretary.

under

Mr. Bouret said.

Among
Bouret

these

said,

are

Boot¬
so

beside voting to

move

the main office of the Bank

from

Haverstraw

New

the Bank

Rockland

County.

the

City,

Peoples Bank of
:

The Haverstraw office will be¬
come

branch,

while

main office serves

the

new

area

The Peoples Bank will also file

emption from Commonwealth cor¬
porate income and property taxes,

Trust

their
the

The

Company,

Ohio

Citizens

Ohio

Toledo,

regular meeting authorized
addition

$750,000

changing its title to

Central Na¬

tional Bank and Trust Company of

Rockford, effective Aug. 11.
'

the
The

Comptroller of the Currency
bank's surplus account.
The
addition
increases ; ■ the has given approval to the applica¬
Bank's surplus to $3,910,000, and, tion of The Bank of Mid-America
and
Trust
Company,
with its capital account of $2,340,- Savings
000, representing 117,000. shares Oklahoma City, Okla. and The
with a par value of $20 per share, Liberty National Bank and Trust
raises capital and surplus accounts Company of Oklahoma City, Okla¬
homa City,

total of $6,250,000.-

new

Okla., to merge under

the title and charter of The

The

application of the First Na¬

Oklahoma

City, effective

loans

assistance

and

and the Nanuet National Bank for

with

diana,

to 'Consolidate

under

the

Fowler

has

been

in Puerto Rico.
As

Director

Bouret

by
of

succeeds

Mr. Mr. John F. Blomquist, currently

Tourism,
Rafael

Mr. Bouret has been serving
key planning and development
posts in the Economic Develop¬

year.

Cur¬ toga

and

California
*

Cupertino,
has

Cupertino,

increased

President

Central

the

career

1926

Chicago in 1931 and became Sen¬

ior

each,

Vice

President

Senior

and

the

par
value of $20 been elected a Director of The
total of 625,000 shares, Bank of Nova Scotia, Canada.

engineering degree at Vanderbilt

development ex¬
pert, has been appointed as Puerto
Director

Tourism.

assuming his
new post that the
Department of
Tourism will give special empha¬
sis over the next year to the ex¬
pansion of hotel and other tourist
I
facilities.
.' "To

continue

growth,"

out,

"we

and

1965

must

guest
or

present rate
Bouret pointed

our

Mr.

triple

hotel

our

accommodations

will have to turn peo¬

Continental Boat
Common All Sold
Continental Boat Corp., of North
Miami, Fla., publicly offered and
sold

100,000 shares of its

10 cent;

par

value

July 25 offering circular. The
was priced at $3
per share,

common

stock pursuant

the

and

offering

was

underwrit-i
Associates,
;

ten

tors of the. Commonwealth's

Inc., of 55 Broadway, New York
6, N; Y.
; ;

tinuing tourism boom:

con¬

I The number of visitors has increased frbm 134,0(10 in 1954-55 to

344,000 in 1959-60.
While
rooms

the

San

Juan

Coburn

The; corporation makes fibre-;
glass boats. Tt employs 115 people, A
recently gone on a double

and has

number

the

•

stock

ple away." He cited these indica¬

hotel shift

area

has

increased from 1,283 in 1954-55 to

2,291 in 1959-60, a survey recent¬
ly released by Horwath & Horwath, leading U. S. hotel consult¬
ants, shows that occupancy rates

work

The net

schedule.
proceeds, amounting to

47% longer life

$255,000, are to be used chiefly for
materials, automation of plant
facilities, working
capital,
and

Just since 1940, life expectancy in Puerto Rico

Annual gross revenues of the Aqueduct and

sales and advertising expenses.

has risen from 46 to 68 years—or over 47%!

Sewer Authority have more than quadrupled

means

raw

The death rate has

of Puerto Rico"s resort hotels last

dropped from 18.4 to 6.8

since 1945,

rising from less than $2 millions to

With Goodbody Co.

per

peak winter; season, 87.29% in
spring months, 87.76% in summer

(Special to The Financial Chronicle)

amazingly rapid advances in human welfare

interest and

BOSTON, Mass.—Andrew A. Man-

reflect the successful efforts of the Puerto Rico

times.

and

tineo

reached

year

72.97%

94.6%

the

during

fall

the

Even higher rates have been reg¬
istered this year, according to De¬

is now with
Goodbody &
Co., 125 High Street. He was pre¬
viously with Dean Witter & Co.

partment of Tourism calculations,
so that Puerto Rico is
reaching a
year- round ; occupancy
rate
of

Joins, Scherck, Richter

season.

90%, probably the highest
of any major resort area in the
world.
(U. S. average for resort
hotels

around

55%,

according

to-"Trends in the Hotel Business

—1959,"; the authoritative annual
review published by Harris, Kerr,
Forst^r & Co.)

1,000 people. To

considerable extent, these

Aqueduct and Sewer Authority to supply
water

and

modern

sanitation

nearly $9 millions. Revenues

ST.
has

LOUIS, Mo.—Alan G. Johnson

residential customers for both water and

Richter
Company, 320
Street, members of
the Midwest Stock Exchange. He
was
formerly
with y Lehman
Brothers in Chicago;'"
A"v

average

charge to

investments, at current prices, provide

attractive return to individuals and institu¬

tions. A booklet

sewer

service is around $2.50 a month!

with

Aqueduct and

from Federal and State income taxation. These
sound

constant, abundant supply of safe drink¬

ing water at low cost. The

associated

principal,

Sewer Authority are well secured and fully exempt

(Special to The Financial Chronicle)

become

cover

requirements almost 2^

The bonds of the Puerto Rico

throughout the

Commonwealth.

has

reserve

pure

Every town and city in Puerto Rico today

about

describing this Authority is

available upon request,

Scherck,

North

com¬

Chase

Bouret, civil engineer University...

new

its

mon

;
*
*
*
bank¬ stock be split five for one by
Na¬ changing each of the outstanding Sir Brian Mountain, Vice Chair¬
tional
Bank,
New
York.
He 125,000 shares of capital stock of man of The Bank of Nova Scotia
joined the First National Bank of the par value of $100 into five Trust Co.
(Bahamas)
Ltd.
has

parent
Department
of
since 1956.
He is a
of
the
University
of

Tourism,

of the

Mr. Blomquist began his

ing

Administration,

graduate

Comptroller

capital stock from $304,680 to
National Bank, Chicago, Illinois, At its meeting Aug. 16 the Board $457,020 by a, stock dividend, ef¬
will
Directors
of
The
Northern fective Aug. 9; (Number of shares
join
Pittsburgh
National of
Bank, Pittsburgh, Pa., as a Vice Trust Company, Chicago, Illinois outstanding,
30,468
shares,
par
President on Oct- 3.
proposed that the Bank's capital value $15.)
Senior Vice

Benitez

Carle who joined Woolnor Cor¬
poration, Caribbean area resort
development enterprise, early this

the

rency.

economic

announced

ap¬

pointed Vice President at the head

financing.
As
with branches in New City. Mr.; Ken¬ charter of the First National Bank office of. the Bank of America,
manufacturing enterprises, Fed¬ nedy will contend that the Peoples of Bloomington and "title of Citi¬ San Francisco, California.
*
*
*
eral income taxes do hot apply to Bank can handle adequately the
'A,:
zens < First
National V< Bank
of
hotels and other tourism facilities needs of the people of New City.
Bloomington, has been approved The First National Bank of Sara¬

Puerto Rico and received his civil

;■■■ \

mortgage

Appoints Bouret
Rico's

and

agency

Liberty

National Bank and Trust Company

objection with the New York tional a Bank
of
Bloomington,
Aug. 12.
engineering assist¬ State Superintendent of Banks in Bloomington, Indiana,
and
the
New
York
City to the applications Citizens Bank and Trust Company
ance,
employee
recruiting and
Malcolm
of
The
Rockland
National
Bank
training services, and in certain
of Bloomington, Bloomington, In¬

technical

ment

Robert

1887, said

larger
incentives, Mr. than Haverstraw and Spring Val¬ to
a
10-year ex¬ ley combined.

Puerto Rico

and

also voted to change the name of

manu¬

"Not

opened

that stockholders

about

Operation

which

York

well known is the fact that we
offer equally attractive incentives
for tourism development."

cases

president, formerly

Peoples Bank of Haverstraw, New Directors

investors.

Adrian M. Massie of New York
is chairman of the trust commit¬
tee and a director of the Chem¬

University, and

GOVERNMENT

Fourth

DEVELOPMENT

BANK

FOR

PUERTO

RICO

FISCAL AGENT FOR THE PUERTO RICO AQUEDUCT

AND SEWER AUTHORITY

P. O.

Box|459t, San Juan, Puerto Rico

45 Wall Street, New York 5..N. Y,

The Commercial and

(774)

nomic

The ^Never-Ending Battle
the

Continued from page 3

long-term securities on the

burden

Re¬

much

greater monetary
ease,
compli¬
is expanding, cating the subsequent problem of
should put out curbing an expansion.

market to absorb investment funds

the

when

economy

and, conversely,
only short-term securities
tive to the banks

liquidity in

period of recession.
economic ef¬

All

attrac¬

to increase

this

then

way

saying that the Treasury attempts
follow

middle

course

in rec¬

Others argue that the

onciling the various objectives.
fects of the debt structure should We do attempt to minimize reli¬
be
ignored,
that
interest
cost ance on short-term financing dur¬
should be the sole consideration, ing periods of expansion. We do

therefore, that the Treasury attempt to

and,

should

maturities

extend

when interest rates

is in
the

are

only in

recession—to the end that

cost

reduced to

the

carrying

minimum.

At the Treasury we reject
views

extreme

the

debt

managed in the public interest by
rigid adherence to
mula
take

various

single for¬
Rather, we

any

guideline.

all of the

consideration

into

objectives and guidelines

reaching each decision.

The

for Varied Objectives

Need

Why don't we accept any single
objective?
The answer is, I believe, de¬
monstrable

take

closer

Those

look at the extreme views.
who

putting

for

argue

only

out

long-term bonds in periods of ex¬

pansion and short-term securities
in recessions ignore the practical
It would be both im¬

difficulties.

possible and undesirable to adhere
strictly to this view. After all,
the Treasury has to
meet

have funds to
government's fiscal re¬

the

quirements,
that

means

cash

may

and
this at times
pressing need for

Treasury

the

force

contribute

our

financing

economic

We do borrow
possible, consistent
other objectives.
We
covery.
as

achieve

balanced

structure

the

debt.

appreciate,

can

you

problem

that

—

for

■'

issuance

aggressive

long-term securities in recessions
would

absorb

; funds

needed

covery.

too

much

elsewhere

sents

unbalanced

little

less

than

budget

December

sharp increases in prices of goods
and services.
But in peacetime,

term

the

this

generation
of surpluses
in
times must be a cardinal

good

for

re¬

principle
if

of fiscal

are

chart

The

that

size.

about

The

recently, with $11 bil¬
publicly held .-securities
coming due on Nov. 15, 1961—-the
very

ner

lion

tom

Treasury

shown

I to 5 Years

by,

and

tumble
one

the

center

these

down

year

over

vy.

■"ivM

70'4

'53
December-

Viuuy

Other

($184 Billion)

200

Specialissues

^,5 Years

to Trust Funds

andover

lto5
Years

100

MM*
Within t Year

vlvlwlv

Treas¬

Ottt* of If* SotrtUry of th*

Partially fox-exempt bonds to earliest cat! date.

tiiwy

Chart in

PUBLICLY HELD NOTE AND BOND MATURITIES, 1961-69

bars

As of June 30, I960 :
♦Bit
—Yeor Totalaf-

12.7*

than

15.2*

16.1

13.7

8.2

1.4

1.8

2.6*

7.7

'68

*69

As time goes

securities

will

less

than

into

the

biJJion

1960.

the

Advance

Refunding,

2*4's of1961

five

year

and

This

at
is

the
the

end

area,

demands and rela¬
long-term
interest
rates.
Until recently, the 41/4%
interest rate ceiling, which Con¬

tively

946

'60
*

'53
December

'59

'60
'

credit
high

has been unwilling to re¬
move,
has effectively locked us
out of the long-term market and

gress

June

*Including savings notes.

into
tl n*

**■»EandH

Time to Maturity*

category.

$401/2

strong

24£

"rP

*'Partially tax-exempt bonds to earliest calldate.
tiSa <# t'«

Nonmarketable

Marketable

Total
SBil.

which we were unable to
enter during the recent period of

June

JUNE 30,1960.

course,

'59

much shorter in maturity.

debt has been shrinking rap¬

June

61k

946
1

and

ii
N

grown

has

idly, .dropping from S97V2 billion
in 1946 to $47V2
billion in 1953

yUv

the

chart, you will .see
happened — they have

the

unless meaningful debt
is achieved, more and

If if

%v
y\ss

increased

had

Meanwhile,

>>xy

(Chart III). These maturities rose
from $24V2 billion in 1946 to $33
billion in 1953 and by June 30,

extension

maturity

IV down to the bot¬

of chart

what

the striped
right-hand cor¬

will follow

you

.STRUCTURE OF THE PUBLIC DEBT

Moreover,

greatly con¬
cerned, however, about the rapid
growth that has occurred in the
debt maturing in one to five years,
as

'SNy

60!*>

bars at the upper

until

largest / single

opportunities

issues.

the

illustrates

bills that roll over in regular
significantly les¬
sens the market impact.

twice the 1953 total.

also

problem which the Treasury faced

$26 billion of

debt

short-term

1960

jjssy

Maturity

Large

and
only

heavily for these

subscribed

and

Crucially

investment

limited

completed.

weekly auctions

enjoy healthy eco-

$Bil.

the companies, savings banks
just many other investors /had

ury

responsibility

1946,1953,1959 and I960

3%% bond

1946.

debt of this

fact

the

■

8-year maturities as part of
August refunding operation

$0.3

Chart H

or a

result primarily of

MATURITY DISTRIBUTION OF THE MARKETABLE DEBTl

Treasury's books. We were eon-? Some of them were refunded into
the difficulties which, the Investment Series B bonds in
composition of our Federal debt. ury bonds and Treasury notes are
continually falling back into the would be likely to arise if the 1951 (part of these in term have
First, the size.
market for refunding such a large been
shorter term categories.
exchanged for shorter-term
Over the history of the United
Out of a total marketable debt issue were not favorable in No¬ notes). The total amount of war¬
States as an independent nation, of
As a
result, the time 2 V2S has also declined some¬
$184 billion (Chart I) on June vember 1961.
our national government has spent
30, 1960, $70V2 billion was in very Treasury in June offered holders what because of their use at par
approximately $1.4 trillion—about short term (within one year), $73 of the 2%% bonds of November to pay estate taxes. >
v
90% of it during the past 20 years. billion in the one to five year ar.ea, 1961 the opportunity to exchange
Here is a perfect illustration of
During the same period, govern¬ and $40Vfc billion in the five year
their old securities—with tax con¬ a group of securities that were
ment revenues
from all sources and over
"range.
Chart II shows
sold to long-term investors in the
have amounted
to $1.1 trillion. how these structural Relationships sequences postponed—for either a
The remainder, of course, repre¬ have been changing since the end
Chart I

the

Within I Yearf

.1968.

cerned about

It would unduly increase

the 3%% note of 1964

attempt

The

—

sequent

facing

Thursday, August 25, 1960

Problems in

re¬

trillion on a
Simplv stated, the Treasury's
cumulative basis, or a public debt major debt management problem
which there is usually a substan¬
on June 30, 1960 of $286 Vfe billion.
is
that, merely because
of/the
tial
demand
even
when
the
The decline in the debt since the
passage
of time, the short-term
economy is expanding rapidly.
all-time month-end peak of $291 debt is continually growing and
On the other hand, the constant
billion reached late last year has the long-term debt is shrinking.
softening in the maturity of the
been largely seasonal. Still, a lit¬
Thus, the under-one-year debt
public
debt
means
that
the
tle more than $1 billion of the de¬
was
$60y2 billion-at'the end of
Treasury must take advantage of
crease reflects the Federal surplus
1946.
By the end of 1953 it had
every reasonable
opportunity to
of $1.1 billion for the fiscal year
risen
to $80 billion, where it also
issue long-term securities.
From
just
ended.
stood
on
Dec. 31, 1959.
By June
a purely housekeeping standpoint
The importance of accumulating 30, 1960 the under-one-year debt
the Treasury needs to do some
sufficient surplus in the expan¬ had fallen
to $70 Mj billion due
funding whenever market condi¬
phase
of the
business largely to seasonal factors but re¬
tions permit. This does not mean, sionary
however, that the Treasury can cycle to make possible some re¬ flecting also some reduction made
duction in the total of outstanding possible by the 1960 surplus of a
ignore the ecoonmic effects of the
debt needs reemphasis, especially little over $1 billion. I may sur¬
debt structure and extend maturi¬
in the light of our recent experi¬ prise you by saying that we are
ties only when interest rates are
ence.
Large deficits and a rapidly not particularly concerned about
low—that is, in a recession—so as
an under-one-year debt in the $70
to reduce the cost of carrying the growing public debt may be justi¬
fied
in wartime,
when we are to $80 billion range. This is be¬
debt to a minimum. On the con¬
cause
the liquidity needs of our
trary, acceptance of interest cost willing to pay the cost in terms of
direct
controls
and,
ultimately, economy call for a very shortas the sole consideration and con¬
short-term issues

market

as
we
improve

structure.

debt

to one year maturity), consisting
imple¬ of Treasury bills, sold at a dis¬
menting these debt management count, and Treasury certificates,
sold on an interest-bearing basis;
objectives that I would like to
discuss
with you
today is this second. Treasury notes, maturing
in one to five years; and finally,
problem of achieving proper bal¬
Treasury bonds, maturing in five
ance in the structure of our huge
public debt. The nature and im¬ years and over. ; Marketable notes
and
bonds, like certificates, are;
portance of the problem can be
issued at present only in interesteasily demonstrated by briefly re¬
viewing with you where we now bearing form. Because of the pass-,
stand in terms
of the size and age of time, of course, both Treasr

major

shall

ahead

maintain

the

Aim of Proper Balance

The

years

the Marketable Area five-year maturities. With the de¬ were the socalled "tap" bonds sold
and
major problems encountered cline in interest rates in recent beginning in October 1941
in promoting a more balanced ma¬ months, we have been able to ex¬ carrying on through the Victory
as cheaply
bonds
after
the
close
of
World
tend
some
debt—but only in a
with our turity structure occur in the mar¬
This breaks down small way. We issued almost $500 War II. At the time these bonds
do try to ketable area.
million
of
25-year
bonds in April, were issued they provided a very
maturity into three classes, so far as orig¬
inal
maturities
are
concerned: $300 million of 8-year bonds in good balance in maturity struc¬
first, the very short-term debt (up June, and $1 billion more of the ture, largely because insurance

manner

successfully

cannot

these

conclude that

and

handle

recession

low—that will

lems

investor response tor
our present significant
4-year
note
offering,
the
As you will note, the
Treasury was able to reduce the
and hence the size of the debt—is we have maturities in sizable vol¬
size of
the November 1961 ma¬
determined strictly by the volume ume every three months through
turity from $11 billion to $7 bil¬
of
tax
and
other
receipts
as May 1965 which, before June of
lion, thus making it much more
against the outflow of expendi¬ 1960, was as far as we could go
manageable, even though it still
tures.
The major control of this under the 41/4% interest rate ceil¬
is the largest single
bond issue
matter is, of course, in the hands ing.
As
previously
indicated,
the outstanding in the hands of the
of the Congress. The Secretary of
I shall come back to this
the Treasury does, however, have Treasury had over $70 V2 billion in public.
considerable
discretion with re¬ marketable securities maturing in technique, which we call "advance
refunding," at several later points.
spect to changes in the structure one year, $73 billion maturing be¬
Chart iV gives a striking ex¬
of the public debt. But even here, tween one and five years and only
ample of the problem arising from
important actions bearing on the $40 V2 billion of securities running
the passage of time, particularly
maturity structure can be carried more than five years to maturity.
as
it is typified by the wartime
out
only over a long period of I think all would agree this is a
bonds
maturing between
debt structure which
is far too 2V2%
years.
,:'vv'/"•
These
heavily
concentrated in under- 1967 and December, 1972.
As

Federal

the

necessitate

and

serve

maintain

and

amount of the surplus or deficit—

In Behalf of Sound Money
press

growth
dollar.

stable

Financial Chronicle

B-I3J6-C-I

the

This

short-term

chart

I
.

1961

'63

'64

-65

'66

1
'67

Calendar Years

*Not shown but included inyear totals are the
*

sector.

spells out the prob¬

'62

(Kloof IXSonto, O tm

On basis of advance refunding

Ytmty

/£ X exchange notes (1961-65) and Panama's of 1961
of 2'4% bond due Nov. 15,1961.

Volume

192

Number 5980

The Commercial and Financial Chronicle

(775)
first

place, but which

are rapidly
intermediate-term se¬

becoming
curities.

ing

vestor—to the millions of Ameri¬
cans who
regularly buy Series E

As such they are becom¬

increasingly

commercial

attractive

-banks

short-term

and

investors

tractive to their

other

less

and

at¬

bonds

checks.

The 214s of 1962

Chart V carries the
little further.

bonds of June and De¬
■:

origin¬

were

ally sold during World War II
they were in the 15- to 20-year
area and were purchased largely
-by intermediate and longer-term

•

investors.

;

•

insurance companies and mutual
savings

banks.

mainder

were

together
loan

Most. of

with

re¬

savings

some

Only 3 %

■Federal

the

held by individuals

associations,

etc.

At the end of 1946, al¬
of them were held by

half

most

arid

pension

funds,
held by the

were

Reserve

and

government

.investment accounts and 4% were
rheld
by the commercial banks.
•

•

rof
•

will

you

strikingly
the

banks

2y4s

savings

viduals

picture

now

1962

and

today.
48%

own

institutions

holdings
indi¬

and

down very sharply.

are

Much

the

see,

different

Commercal

the

sort

same

shift

-ownership has been taking place
•with
•

72,

respect to the 2V2s of

shown

of the
'

chart, but

1967-

$42%

would

bonds sold in the
1

terms, with
.'impact and

steadily from $30
outstanding
in
1946
to

billion at the present time.
only have E and H bonds

increasing

quent and usually have been lim¬
to $1 billion or less.

that
savings bonds not only helps the

when

national

years

bring

interest
new

bank.

but

also

helps

customers into every

There

the

same

and also offer
holders of securities in that area

effect

opportunity to exchange into
long-term bonds. I would again
exchange for maturing securi¬ emphasize that the
primary merit

ties.

The

latter

almost

are

en¬

tirely held by typically short-term

;i;; v

The

much

long-term bond is offered

investors

seg¬

August financing,

ited

Alternatives

Ahead

term

who

bonds.

advance

refunding lies in of¬

fering

a typical long-term holder
long- whose bond is
approaching shortConsequently, there term status
opportunity to extend

not

want

—

funds

uals

is to convert

course,

pro¬

both

these

do, of

some

of the

minimum of market

minimum of inter¬

not

normally pur¬
savings bonds. We are, in
effect, competing with ourselves.
chase

into longer

war

who

the

end

1946,

such

institu¬

yet the shift tional investors and those individ¬

has not gone so far.
What

bonds

Forward-looking
recognized for many
active promotion of

This country must generate in¬ is a churning in the market at the
public debt, but they
before his bond shortens to a
point
stay outstanding an average of creased saving among our people time of offering as the holders of
where he elects to sell it.
Sim¬
seven
years, which is longer than in the years ahead. In the decade the maturing securities sell them
ilarly,
advance refunding will per¬
the
average
of the marketable of the 60's, we must provide jobs to investors who want the
long mit a typical holder of short in¬
debt.
v
and
homes for over
13
million bond. Thus, the market impact of
termediates (two to five years)
In contrast, savings institutions people expected to be added to the exchange is
very similar to the
opportunity to exchange for a
the
labor force.
We
will need that of a-cash
insurance
offering.
companies,
savings
longer intermediate maturity (five
banks, savings and loan associa¬ over $400 billion of new capital.
to ten years) before his bond be¬
Holdings by Institutional Investor
tions, and pension funds—reduced Either this will come from savings
comes so short that he is
tempted
their holdings of government se¬ of the American people or it will
Treasury
ownership
statistics to sell it.
■,:/
show
come
that
the
curities by $10 billion
through
an
inflationary
remaining $28 bil¬
during the
In other words, we are
lion
seeking
of
war
process
of
money creation, with
postwar period.
period 2y2% issues
Even
though
to keep typical long-term invest¬
maturing from 1967 to 1972 are
80% of this liquidation took place all of its dire conseqeunces,.
ors
in long
bonds, typical inter¬
before
quite
1953 there has still been
generally
held
by
institu¬
The savings bond program, par¬
mediate holders in
intermediates,
only a levelling off since that ticularly through the payroll sav¬ tional long-term 1 investors, pen¬ and
typical
short-term
holders in
time, rather than an increase. We ings plan, creates millions of new sion funds, etc., who acquired
relatively
short
maturities.
them during the war at
also failed to make progress in
par.
Be¬
savers,
a
large
proportion
of
cause
interest rates in the 7 to
Although we in the Treasury
selling government securities to whom would not of their own
individuals—other than through volition systematically build up 12-year maturity range are above believe that advance refunding of¬
2V2%, many holders of these bonds fers some real possibilities for
the E and H bond
program —al¬ savings deposits.
Many acquire
are "locked in," in the sense that
substantial debt extension, I would
though the trend has been re¬ the savings habit and later be¬
they would incur a principal loss not want to leave the impression
versed during the past year as a come your customers.
Many thus if
that it is a panacea for all the
they
sold
the
securities.
If
the
result of the appeal of high in¬ accumulate
the
funds
for
the
terest rates on three to five year down-payment on the home or Treasury can offer them in ex¬ problems of debt management. It
change a somewhat higher interest is chiefly applicable when large
the
car
that
Treasury notes.
you
finance.
The
coupon in consideration for taking outstanding issues are selling at
United States could ill do without
a 20, 30, or
The Treasury's Competition
40-year bond, these in¬ substantial discounts and in a mar¬
the savings bond program, both
vestors can better their current ket in which there is some will¬
In the last
analysis, of course, from the standpoint of sound debt
the Treasury is faced with very management and as a contribution yield and still carry the new bond ingness on the part of investors
on their books at par.
By offering to lengthen debt.
heavy competition in attracting to a healthy, growing economy.
the

left-hand side

the

pay

bonds.

■

When these bonds

and

periodic

savings

bankers have

ment of the

.right-hand side of this chart with
the 21/4%

their

represented

point

same

Let's start at the

cember, 1962.

The

billion

original holders.

gram has grown

Not

out

Federal

se¬

curities

outstanding
with
an
original maturity of more than 10

I should

now

like to return for

moment to the debt management

technique which I described
lier

"advance

The

21/2%

advance

bonds

provided

ear¬

refunding."

refunding

November,

the

1961,

testing ground for the

issues

Treasury
billion
at

exchange

some

one

debt

market

would be the

billion

Debt

case

were

casions

portions.

than

number of

our

a
satisfactory structure of
debt, if over a period of, say,
three years, from $20 to $30 bil¬
il¬

the

for cash.

whole idea of advance refunding.
At first glance it may seem
savings years amounted to $117 billion. The advantage of this
technique logical to offer new securities ma¬ lion could be moved from the
This total has shrunk to only $60
through the economy. We would
under favorable circumstances is turing in the intermediate area of 5-year area into over-5-year
like to induce people who already billion.
During this same period
that it can produce the maximum five to ten.
years as we did in the
Continued on

ference

'have

the

flow

time

product to extend their

our

and

the

FHA

total

amount

mortgages

outstanding
increased from $6 billion to $62
same
product, instead of losing
not
to
mention
other
our
customers as the passage 01 billion,

holdings into another form of the

!time erodes the long-term charac¬
teristic of these holdings.
r
,,

The
(

Let

here

C'V.* Y./'v-'S

Advance

!V:;-

'■

emphasize

':i

Refunding Benefit

where

advance

fied

wait

and

try

rsomething else.

him

sell

Up to now, I have been focus-ing attention on our marketable

(Obligations, since that is the

area

where there is greatest scope for

'furthering

our general debt manobjectives and, in particular, for improving the struc¬

agement

ture

the

debt.

However, I do
sayings bond
■program, which is one of our most
;
important
fields
of
endeavor.
.'want to discuss

■

;

our

Chart VI shows why this is so.

only

you

see

major

longer-term
years

has

the

chart,
in

success

securities

been

the

our

selling
recent

in¬

small

and

tortion.

its

some

advance

1972

when

State

and

local

OF TREASURY BONDS AS THEY APPROACH MATURITY

maturities

issued

2)fe's,June

Ownership

the

2%% Investment B bonds back in

investors, regulated by State au¬
thorities, rather than taxable in¬
stitutions.
Our study had indi¬

Chart IV

TREASURY NOTE AND BOND MATURITIES!

1967 to Dec. 1972

Total Issued

..$43.6 Billion.

..$8.8 Billion

Dec.
1946

Now

100

June

1946

1952

I5'£

Now

hp
75

Exchanged
for Shorter
Terms*

InsurCo'S
and Mut

Sav. Banks

Com! Banks

Gov? Invest.
Accfs. and
Fed. Reserve

23 £

10
—

Years to

Maturity

Maturity (Average)

*Including redemption for estate faxes.
Offat * M SMidry of II*

0^-

8-1576-$

Chart VI

FEDERAL SECURITIES HELD BY NONBANK INVESTORS"

cated that such authorises would

willing to permit such ex¬
changes
with
postponement
of
recognition of capital gain or loss,
provided that a change in the In¬

$Bil.

Outstanding Dec. 1946
(Excludes $47 Billion Bills and Certificates)

2^%

Dec.

AH Other**"*

Other
Bonds

2/4's June and Dec. 1962

1951.

Thus, some precedent al¬
existed on ^his score. On
governments which are, as you
the other hand, (jn the interim pe¬
know, exempt from Federal tax¬
ation. The expansion of State and riod advance refunding had not
local issues outstanding from $16 been possible because most of the
institutional investors engaging in
billion in 1946 to about $67 billion
such operations would have had to
at the present time has provided
incur a loss on their books to par¬
the
tax-exempt market with a
in
such
an
exchange.
constant flow of new, attractive ticipate
Many of them were understand¬
issues.
ably reluctant to reduce their sur¬
The success of the savings bonds
plus in this manner.
programs in contributing not only
This
situation
was
remedied
to a better structure of the public
debt but also in contributing to however, by new legislation passed
about a year ago, which permits
better thrift habits among millions
advance refunding to be engaged
of Americans is due in large part
in without recognition of capita
to
the
splendid cooperation
of
gain or loss, thereby making Sud¬
thousands of
volunteer
workers
an
exchange more attractive tr
throughout the
country.
Com¬
many
investors.
Paradoxically
mercial
banks
provide a large
this legislation was designed pri¬
share
of these volunteer activ¬
marily to induce exchanges by
ities and sell a large volume of nontaxable
or
partially taxable
securities

24.

;X;

Chart V

PERCENTAGE DISTRIBUTION OF OWNERSHIP

under¬

vv;:. ;

dis¬

ready

lie is dissatis¬

until

then

disturbance

fund

the

can

-than to

market

ernment.

standably tough competition from

again that
refunding

perform a real service.
It is
r easier to, keep, a satisfied customer
r

substantially by the Federal Gov¬
face

se-

debt extension with the minimum

First, I might mention that the
Treasury, as noted earlier, did re¬

also

1 to

page

forms of Federal agency and pub¬
lic housing debt which are aided
We

oc¬

problem of debt
manageable pro¬
I believe that we would
is

have

if $V2 billion to

offered

that

structure

no more

impact

Structure Manageable

I have said

extension

time, with perhaps

immediate

holders

tap 2V2's, the
achieve several

might

dollars

the

Bonds; Maturing

ternal

June 1967to Dec. 1972

Code

Revenue

established

precedent.

Although the change

the Code

enacted last Septem¬

ber

believed

have

this' obstruction

Ji/ne60-+\49

A7\,

47%

(Excludes $61 Billion Bills and Certificates)

With

the

recent

decline

removed

advance

re¬

funding, the Treasury has not been
able to piake full use of the tech¬
nique because of the limitation
growing out of the 4%% interest
rate ceiling, which
in this case
must be applied to the cost of the
debt
extension
to
the
Treasury.

Outstanding June I960

Shorter-term

Savings

Institutions

Individuals:

oil/

Marketab/es,

27/2

Other Sav.

Bonds, etc.

inter¬

est

rates, however, the time may
approaching when a significant
of advance refunding can
be undertaken and some meaning¬
be

&0\,

amount

■

■ in

15
Years to

Maturity-

■

H
30

li B
35

ful debt extension
When

long-term
tures

Tax-exempt bonds to first call date other issues to date actually called or to maturity.
Marketable issues originally over 12 fa months

Office of tfte Secretary ot the

*easury

tomaturity andinvestment bonds.

can

be achieved.

the

Treasury
offers
a
bond for. cash, it cap¬

funds

that

available

for

t.£andH

42W Bonds

would

other

1947
1

'51

'55

'57

Calendar Years

'59
'

otherwise

types

Excluding Government Investment Accounts.

long-term securities. For that rea¬
son,

cash issues have been infre¬

Otta * li* SwriUr, of iht Wauy

BH553-8-#

Continued from page 23

Pli

required because

frog process-shifting a

frea

anH

™

tor. promoting

*
of the

Discussion

our

problems

riprivpc

ceding

concerned with these two phases

Treasury^ bonds, and I shoulf like S the business. Underwriting is
^^^^s'aiSte^S6 has "to 'do" wit h* the SSnrf
&

hold

The

actual

distort

down

effect

the

rates

furth?r

structure

anT^y ^hat
terest

interest
was

the

debt

Thio

Wr.

public debt.
i<=

lem

nnt

nmh

situation

isa

bound

oressure

reasonable

liatemj

^classified

writing

credit

for

this

the

among

selection and the volume of

losses
investor

however

should

ShinS

exnan

President

reason,

ereatlv

varv

S5 cteM r^TpendSI
The

wh en evert h ere

retn i r

For

assumption

the

upon
+ran«ictorV

strong

sion.

amount of
on each of a
verv large number of widely dis-

Sted

rates

Thic

dtetribution

riskSuchis accomplished

distortion push inand H g i d 1
higher
than
they risks. Profits derived from under-

tecr^tercL?ao7 interest
the

andProfitable

safe

not

demonstrate^et

$^encl

to the Congress last week

Sfrew

«Aid

the

Surely the field of public debt
management is one in which partisan considerations have
it

and

the

Treasury
fit

that

this

may

see

limitation

of action within

the

future.

near

There

you

the

further

one

cial

the

for

observa-

like to

final

need

ment of

nnrtinn

carriers'

the

portion Of the carriers
rarely distributed

are

to stockholders but

earnings,

dividends

almost al-

are

used for the maintenance,
development, and future expan-

ways

sion of the business.
ment

the

leave

commentary

sound

manage-

Government's finan-

affairs.

The

sound

financial

mean,

maintenance

policies does not
would lead us to

some

justly be proud.

The

The reinvest-

underwriting

business is

one

profits

in
potent

the

assuring stability and is
responsible for the favorable per-^
formance of insurance stocks

over

the many years. In short a sound
underwriting policy is of utmost
importance to the financial structure of the carrier, though not a

of immediate
investor.
source

The outlook for the business is,

J 4e!n| of
ef
S Hprlri
only end dei

+ion

tl0n ™ ^erwruing e p
Muses

amon^

Disquieting Factors

Over

have been selected from
the many because of their
long stability, aggressive manageand an expanding volume
below,

underwriting expense.

There ^ howeyer several

c^^ Semite S^dS

and

to the

income

ret

Comn

^ ® need for insuiance. Legal re- dustnal shares which these com- dating its founding to Hartford,
of stabilizing the business in the justment

industrial shares has

fective Jan. 1, 1956 the Automo-

Jlready

interest of the investor The nataken place during the bile Insurance Company of Hart*ure
*be business itself is con- first half of 1960 but any further ford was merged lnto A^na
servative and functions as a shock

downward

adjustment

indus- Casualty

Surety.

and

Together

absorber for distortions in the trial shares this year could result with its wholly-owned fire and
economic world. In short the m- in a net decline in assets for I960. marine affiliate, the Standard
yestor in insurance is purchasing Another much more disconcerting Fire insurance Company, Aetna

isethe aages
business
which through- try
is dominated
by staid which
ultrahas weathered
enncervntive
management

01,t

•

ma;jor war

everv

weaxnerea every
panic and depression.
.

fiy.a

orw,

Earnings for stock fire and
casualty companies are now in a

conservative

management wmcn
turn has infiltrated the indus-

ln
+rv

low-cost

with

uncreative

instanrcs

manv

and

inefficient

too ina;ny mstances inefficient
?^ronS uptrend. As a result of rate P nnrsnnnni hns
ncnctrated
^creases granted by state juris- bre personnel has! now^penetrated
dl^1?nsJ underw+rlimf exPerienc.e»
+wA
nnw

1 ftSTnJftfif m these co pa l s.
??
AJX again turned profitAs a result the younger more
a? ?qcQ
f
first quarter aggressive specialty writers have,
9-f :
—^Ug mode.^ <ymerShandJsl"g'
grf^
h v.aif
S rl?1(J underwnting and a strong

fndus^ creisingly0i^toer°^^Irclntage

^[cates 'strong^y that
^ Sg d

lotion

the
profhab

'outetandinf business

automobile

"mnensation

Experience

the

proiitable ^e out^a^^

workmen's

and
lines

Their

where

thev

only have gained the highest

^sal1 types of in-

premium

oftts
7*
alty ilnes.

volume istocasuVU1UII1C
operates about 70

agencies

general

and

lines

showed

steady

improve-

dividend

through

and

payments

branch

of-

a§encief ana orancn oi

^lces from coast to coast and is
represented by over 20,000 agents
bo^b
^be United States and in
Canada. Aetna Life Insurance
Company, the parent company of

the

Life

Aetna

Companies,
outstanding

Affiliated

and

61.6% of the
of the Aetna

owns

stock

Casualty and exercises both control and management of this fire-

casualty affiliateDuring 1959 admitted assets of
the Aetna Casualty and Surety
increased

to
$690,156,000 from
$616,850,000 in
1958, premiums

wr«ten$306,771,000
increased toin $33^033,000
1958 and

The combined loss and expense percentage of business but have, from
ratio for 1959 averages out to ap-

y.w

merchandising

strktions designed to protect the panies hold in their portfolios are Connecticut in 1883. In 1907 the
Policy-holder have the dual effect distinctly overvalued Some ad- company was reorganized and ef-

Improved Underwriting

upon sound un-

Aetna Casualty Surety Company,
Hartford, Connecticut
in? necessitated and the public is higher investment income during
Aetna Casualty and Surety Co.
becoming increasingly aware of 1960, many of the blue-chip in- is an old time-tested company

feThat aflT; hnne?eandadrJmCa caSlr ^frfnrima^v imnortance Proximately 97% down from over
for
thp ^nprpni^
to^the investorZ thSr 100% in 1958* Fire and allied
r

vidend yield, are to be avoided in

favor of large aggressive carriers
with highly competitive merchandising programs
^
Companies which demonstrate
the machine-writing of policies, that they can grow underwntmgdirect bilUng and automatic ex- wise, both in volume and profit,
perience . rating 0f large risks afford the best long-term investghouid result in a further reduc- ment. The companies, enumerated

in the future as in the past, bright, a rise in the average yield on bond
New coverages are constantly be- portfolios will result in sharply

Trust

Governments exist to serve

SmpanL?d!spite°theh'highUdi-

Hghly organlzed

modern

QUr

unon

hikes rather than a sound

large tex-losses which can be car- rate

dis. me®t
?redit economy and dea.ls'
quieting factors in this otherwise of business based
»^£°ney 38 3n extremely "right outlook for the stockfre derwriting and

«Advantage Over an Investment
vaiiiA*
values.

can

insurance carrier affords the basis.
fQr

earnings

factors

tion which I should
with
on

place,

hope of the

Congress

remove

freedom

our

earnest

tries can claim such a long unrecord of dividends, a
record of which the insurance en-

nredicated

volume

LleTand most^stabte ""enter? w°stock fl!e ind^suaUy Indus'1

ofthe'intereTrate^mn^Tws
^rt comP?,tito[3'
the interest rate ceiling m his profits,
while they Underwriting
represent a
of

messase

perennially grow in a somewhat
evolutionary manner. Few indus-

terprise

improving

interest;6 rite

4% %

uuiiucx w

industries to undergo a period of of underwriting expenses to prerapid growth, reach a decade or miums written has undergone a
two of conservative maturity and j
term decline lrom a high 0f
then decline, insurance companies 45% in ,932 to a low of 36% in
have demonstrated an ability to i l959 Such recent innovations as

broken

Mrripr

inciirJmoA

rpho

the structure its earnings from underwriting
public debt inevitably comes and
investments.
The• »vestoi

volved
of

stability

financial

and sound management.

The Rate Ceiling
f-,•

painies aunng u«s

substan-

^ wJJrXSS continued from page 1
t '*3 and an assurance of present statear ifpfri tfeTitte bility, that the carrier can live up
tL s m in
A etnsM
to its obligations. Public confietahle tart ef twf fnh
w dence is therefore utmost in the
ht rten^hv aHvanei retmdine if maintenance and expansion of in;«nmt^ryara
ffSttaWa
8
surance enterprise, a further facconditions are favorable.

•

Thursday, August 25, 1960

unTerwru! gSSS
" v

(in addition to what fur-

ther extension

...

companies dur- have been content to live off a

fire and casualty

InSUTanCG StOCkS fOr Capital
Abis\hbiaIceompl™hed ™a"leapA DDrGClSltiOn 811(1 IllCOHIG

curities

Chronicle

The Commercial and Financial

(776)

premiums

increased

earned

plans, also obtained the $322,567,000 from $294,351,000 in
most desirable classifications of 1958. In 1959 statutory underwntbusiness.
The
engineering
de- ing profit was $2,472,000, net inpartments of the specialty writers vestment income $15,276,000 and
are
fully staffed with
college policyholders'
surplus $227,trained personnel whereas the 372,000. Combined loss and exengineering departments of many pense ratio in 1959 was 97.4%
stock fire and"casualty companies down from 98.0% in 1958.
are dominated .by inspectors with
Premium volume is divided
little or no training in engineer- 30.3% in fire and property lines,
ing. Such personnel, by dearth of 69.5% in casualty lines and 0.2%
training, is ill equipped to effec- multiple line. Automobile covermerit

iapi ^pcfr^p+^cnp+hp ment during 1959. Automobile
d^Legal rertrictions on
lines, which account for 40% of
the^n^g u^of s^vingsC^?dnthe are harsh and resuU inThe estab- the fire-casualty premiums writencouragement of boomf and bn^
lishment of
diversified uorSolio ten' were malnly responsible for
Ja Smii^
^Wmpnt the heavy losses durinS 1956-58.
and^the ron^mmnrpc
trust
Laws reL^tfn^ the fn^t
AlthouSh automobile claims give
debasemenf threaten
thp
ment of^tial caDitaf
usually little
indication of diminishing,
of the
mTnPv'advnra^; Su^h mo^stSSt toatTosI statewide rate-hikes effected since
probablv Will be The shackh?ng of regulatSg thl^^investment o£ su^ 195Z
to a great e?tent ab~
f teedomy ^th
networkoflon- ffiS'rTs
Tin^Tl'nW
3g6S 3CC0Un,t f<»- 44.7% of total
pfthpr
0
tnese claims ana nave per- hazards
involved
in
complex premium volume, being divided m
central government.
aovernment
P
U cipai
Swl is
is exactea.
eScted y
P
mi"?d th® •indu?.t,ry,to rfgain a manufacturing processes so com- 11.1% lor Automobile Physical
proflt poslt,on. Workmen's comto
nHniS

tvf frus
can

that

are

wer

easv

trnid

pnfnrppH

Dii

«ppnritv

pa«p

thp

nHn

large workmen's compen-

mon

'^srsr^ssi

-•sjjI- *r

Strength of thp United

,«SS?
^tatil°^p

eannotasa

Site fn c^etesT^financial nir

flcefwhkfr^canlonl?tt
ing

that

economic

bEEKEFH

and

Kn hi-+mitial C-apital bui a?S0 the pected- Since ^ takes almost two which it has lost to specialty
be"e.flt ¥ earm,ngs on.,the invest" years for rate hikes to be fully writers, then it will have to issue
Tl °i su,rplus and reserves, reflected in operations, there is participating policies at reduced
carrier supports itself through its

dustry, first noticeable in the sec-

tkfufar Which l hone will' be kpnf 33Jhe trust must subsist on a expand during the remainder of
rnn/fniiflTlv
oY
g2.rtl<?n of lts investment earnings. 1960.
tn noXtJnnf
IpLpu^^ T^ The.msu^nce investor therefore
Premium volume for 1959 admJnH

vour

organization? Knr
?«

rnm

♦An address

by Mr. Baird at the Unlof Wisconsin School of Banking,
.Madison, Wis., Aug. is, 1960.
versity

Emery has become associated with

the

reserves

unearn^d
asked in

which constitute the

premium

and

projected

for

1960.

Increased

not premium

any way to finance the
operational expense of the busi-

enhancement in value.

H.L.Emerson & Co. Incorporated,

bers

the

Midwest

mem-

Stock

Ex-

change. Mr. Emery, who #has

been

the

investment

,mSyp'year/?i
with First

business

I'ecently

Cleveland

the

for

bre personnel.
Recent decisions
upholding the rate deviations of
the North America Companies
and the resignation of the Travel-

reserves provide addifunds for investment and
result in subseauent higher port-

tional

derwriters may be a few of the
factors which will serve to jolt
industry from its long term
complacency

the

'
Need for Careful Choice
From

total

^premium

Casu,fty is one.of

a£?

servicmg

retrosPectlve
fiQW

nrA

investor's

standpoint

man snares

;

While insurance stocks follow
to

some

degree the general trend

the instability of cyclical

move-

Although it is the pattern of most

also underwriting-wise. It is important that a company can effecnet
investment
income
during tively compete in its insurance
1960.
operation by the acquisition of a
In addition to improved under- profitable and expanding volume

per both from an underwriting
and investment standpoint in the
years to come..
.
; - i
In February of this year the
stock
of Aetna
Casualty
and

strong

position

high

grade

bonds are all factors which should
effect

still

further

ment

income

there

^owri men ts better than most shares, other factors which

tinvestment business in Cleveland.

preferreds and only
this
position to sustain a period of business readjustment. With the comPony8

26.3% in common stocks,
company is in an excellent

Nation of a sound, efficient
underwriting program and a
strong investment portfolio, Aetna

a
44

vvearners kusiiiess Cycle Better

nuscellaneous. Since over 61.2%
tatal assets are m high grade

important to place funds in
those companies which have demonstrated an ability to grow not
only in investment income but

it is

advance

been in security prices, they withstand writing results and rising invest- of business. There

Corporation,

past he conducted his

attract into the industry high cali-

ness.

Building,

^UmentoprofcaS"atoedlo I01","16'

,Union Commerce

risk
Llection Althouah Wo?k!
men'scSensaUonaccountsfor

receives income from his initial vanced on an average of 8% fol/t l rphp1v«hW and lSndS
capital, the surplus which the car- lowing a 5.5% gain in 1958. A still ers from full membership in the ^ asb> receivables and bonds,
rier has built up over the years, further gain in premium volume National Bureau of Casualty Un- 30;7% m stocks, real estate and

folio earnings. Net investment inr. H.
Lmery Joins
From the foregoing it is evident come for 1959 registered a gain of
H I
PmArcAn Cn
insurance stocks afford an 7% which compares with a 6%
V^o.
excellent long term investment, increase in 1958. A rising pre(Special to The financial Chronicle)
offering unusual security, a sub- mium volume, an increase in
CLEVELAND, Ohio — Fred H. stantial return, and over the years corporate dividend payments and
„

itself and indicated above average

f hope
Sm lfS
instances,
your nation.

T¥

for Automo-

met*».«»,.* ss

erod~-C~STS' modernize *****

strength

33.6%

ts?sssssjrjrt?x ssfwsar JSTSSSS

system"'"! isThis thoughT to oaf PUrly l"sur.ance operation where ond half of 1959, will continue to
i«

Damage and

increase

earnings

are

several

may further
of the .stock

Casualty should continue to pros-

are many laggard stock fire and casualty com-

Surety was split two-for-one and

panies, with long dividend paying

There

records,

which

over

the

years

25%

stock

dividend

declared.

are now -3,500,000 shares
outstanding. Dividends have been

Volume

192

Number 5980

The Commercial and Financial Chronicle

(777)
in

paid

every

Present

$1.20 payable

since

year

dividend

annual

1908.

rate

cents quarterly.

Stock sells for $89 a share on the

over-the-counter market.

and in 1958 all the out¬ Hartford Fire Insurance Company,
Hartford, Connecticut
standing shares of the Yorkshire
\
Company
were
ac¬
The
Hartford
Fire
Insurance
quired. In July 1959 the FidelityCompany, founded in 1810, is the
Phenix Fire Insurance Company,
oldest of the Connecticut insur¬
group

Insurance

which

Continental

Casualty

Company,

Chicago, Illinois

Continental

The

originally

was

1897 in Indiana
Assurance

Co.

the Continental

Company
in

and

America

Casualty

1948

North
rein¬

was

corporated in Chicago, Illinois as
Continental Casualty

the

To¬

Co.

gether
with
its
affiliates
the
Transportation
Insurance
Com¬

control

the

companies. There are seven
subsidiaries, the Hartford Acci¬
dent & Indemnity Co., Hartford
tinental Insurance Company en¬ Live Stock Insurance
Co., Citizens
abling the Continental to issue Insurance Co. of New Jersey, New
America Fore

ental,

incorporated

shared

consolidated statement for 1959.

Represented

by
some
52,000
agents all lines of insurance, ex¬
cept life, are written throughout
United

the

States

Canada.

and

Foreign operations are conducted
through the American Foreign In¬

Association.
Fire
and
(100% owned), the National surance
company
(70.2% automobile lines dominate and
owned)
and the Transcontinen¬ approximately 50% of all con¬
tal
Insurance
Company
(70.2% solidated
direct
premiums
are
owned) all lines of property and written / in • the
states
of
New
casualty insurance, including re¬ York,
California,
Illinois,
New
insurance and surplus risks, are Jersey, Texas and Pennsylvania.
written. The Continental Casualty
During 1959 admitted assets of
Company
is
the
largest
stock the Continental Insurance Com¬
pany

Insurance

Fire

of accident and

writer

surance

health in¬

United

the

reached

pany

new

States.

high of $1,-

623,463,000 up from $1,546,818,000
en¬
in
1958; premiums Written in¬
highly creased to
$537,689,000 from $517,profitable line. Supported by a 508,000
in
1958
and
premiums
field force of over 30,000 agents earned
increased to $505,101,000
the Continental Casualty extends
from $480,193,000 in 1958. In 1959
its
operations
throughout
the statutory underwriting loss was
United States, Canada, the Nether¬
$31,302,000, a net investment in¬
lands and several other foreign
come
$40,800,000
and
policy¬
territories.
In
addition
to
its holders'
surplus $829,767,000.
direct
subsidiaries, previously Combined loss and
expense ratio
mentioned, the Continental Casu¬ in 1959 was 103.7% down from
alty has a 648,590 share interest 108.2% in 1958.
During the first
(31%)
in the Continental As¬ quarter of 1960 the company ex¬
surance Company, a life accident
perienced a statutory underwrit¬
and health carrier. At prevailing
ing loss of $10,243,871 as against
market prices this investment is a
loss of $16,293,685 in the first
worth in excess of $90,000,000 but
three months of 1959. Combined
45%

Over

tire

writings

the

company's

are

ance

Group with Contin¬
into the Con¬

merged

was

this

York Underwriters Insurance
Twin

City

London

and

the

Fire

Co.,
Co.,
Co.,

Insurance

Canada

Insurance

Columbian

National Life

Insurance Company.

Early in
1959 the Hartford Fire, through a
seven
for ten share exchange of

the

stock

tional Life
life

the

Columbian

gained entrance in the

insurance

field.

The

bian National Life will

Company.

34,000

Through

over

agents all

including

ance,

Colum¬

shortly be

the Hartford Life Insur¬

renamed
ance

Na¬

the

United

Islands

and

types of insur¬
life, are written
States, the Virgin

Puerto

Rico.

20,000 agents, foreign busi¬

some

is sizable and expanding. The
company now has five world-wide

ness

regional Head

Europe,
Latin

During 1959 admitted assets of
Hartford Fire
increased to
$1,119,749
from
$908,606,000
in
1958; premiums written increased
to $478,286,000 from $426,190,000
in 1958 and premiums earned in¬
creased to $457,392,000 from $406,929,000 in 1958. In 1959 statutory

underwriting

profit was $2,282,000, net investment income $25,216,000 and policyholders' surplus

located

Africa,

America

the

and

Far

East.

of the most aggressive of all

tal stock

insurance

Trans-Coast Inv.
Stock Is Offered

Australia,

Despite its age, the Insurance
Company of North America is one
capi¬

Lehman

offered

(Los

Angeles,

stocks

companies.

Brothers

During
recorded

high of $1,101,762

new

838,000 from $340,537,000 in 1958
and
premiums earned increased

associates

Cal.), owner of
savings and loan

three

1959 admitted assets of
America Companies nia, at $15

up from $1,042,704 in
1958; pre¬
miums written increased to
$357,-

and

Aug. 24 375,000 shares
Trans-Coast
Investment
Co.

associations

the North

the

southern

Califor¬

share.

per

offered, 54,054
financing by
company which will initially
deposit the proceeds frqm the sale
shares represent

new

the
of

the

one

$338,287,000 from $316,913,000 its savings and loan subsidiaries
at their current rate of interest.
in 1958. In ,1959
statutory under¬
writing profit was $1,163,000, net The remaining shares are already
investment income $29,209,000 and outstanding and are being sold by
to

policyholders' surplus $551,461,C00:
Combined' loss and expense
ratio

1959

97.5%

was

down

from 97.8% in 1958.

Premium
35.6%

the

Off ices

South

volume

fire

divided

several

stockholders.

The savings and loan association
subsidiaries of the company oper¬
ate four offices in the Los

Angeles

area,

Maria.

Oxnard

Each

and

Santa

the

associations
property lines,
also operates an escrow business
40.3%
in
casualty lines, 13.6%
and
the
parent company operates
multiple line and 10.5% treaty re¬
and

insurance agency for fire and
insurance coverage
normally
for
the
mium volume without too much required
protection
of
lenders in real estate transactions.
concentration
in
any
one
line.
Total
assets
of
the
associations
Operating through deviated rates
and filings the company is in a were $126,879,073
on
March 31,
insurance.

fairly

North

America

distribution

even

has

life

pre¬

strong competitive position. With 1960.
network

.J.

'v:/'/-.,,

7.;

■

Consolidated^ income of Transoffices,
North America will
certainly Coast Investment and subsidiaries
1959
$411,161,000. Combined loss and share in business arising from the in
totaled $7,734,476
com¬
expense ratio in
1959 was 97.8%
expanding foreign operations of pared with $6,235,168 in 1958, and
down from 98.6% in 1958. At the« American
net earnings before
industry.
appropriations
close
of
1959
the
assets
to general reserves were
of the
Assets
are
$2,175,divided
43.7%
in
Hartford Fire surpassed the $1
680 and
$1,779,035, respectively.
cash, receivables and bonds, 56.3%
billion mark for the first time.
in stocks, real estate and
Upon issuance of the additional
mis¬
During the first year of Hartford cellaneous.
With 46.4% of total shares offered, Trans-Coast Invest¬
management the addition of new assets invested in
is
carried
on
the
Continental
ment
will
have
common ssocks,
loss and expense ratio for the first
1,561,102 shares
life insurance by the Columbian
Casualty books for approximately quarter of 1960 was 104.1% down
this company has a
;
'
strong stake outstanding.
National
affiliate
totaled
$166.7
in
future
$17,000,000.
stock
market trends.
from 109.1 % for the first quarter
a

overseas

During 1959 admitted assets of
Continental
Casualty
in¬

the

creased to

$578,568,000 from $520,in- 1958; premiums writ¬
increased to $358,565,000 from

591,000
ten

$299,400,000 in 1958 and premiums
earned
increased to $340,729,000
from

$299,357,000 in 1958. In 1959
statutory underwriting profit was

$9,900,000, net investment income
$14,413,000 and policyholders' sur¬
plus $236,040,000. Combined loss
and
expense
ratio in 1959 was
95.3% down from 97.4% in 1958.

million.

1959.
to

rose

Net

three

first

investment

$10,787^400
months

income

during
of

the

1960

Premium volume is divided 40%
fire and property lines, 53.4%

in casualty lines and 6.6% multi¬
against $9,874,87(F for the same
ple line. Dominant coverages and
period in 1959. The rapid rise in
their
percentages of total pre¬
unearned premium reserve, which
mium
volume
are
fire
17.1%,
increased $32,587,$87 in 1959 and
automobile physical damage
$13,031,662 in the first quarter of
10.0%, automobile liability 27.3%,
I960, has exerted„a penalizing in¬ other
liability 9.6% and workmen's
fluence on statutory underwriting
compensation 10.8%. The Hartford
results. In addition the Continen¬
Fire has over the years consist¬
tal utilizes the full term method
ently achieved an outstanding un¬
for reserving installment business.
derwriting record.
This

penalizes

further

statutory

Assets

divided

61.1%
in
the Continental underwriting results. However a
cash, receivables and bonds, 38.9%
Casualty has compiled an out¬ favourable
underwriting
trend,
in stocks, real estate and miscel¬
first in evidence'.during 1959, has
standing underwriting record.
laneous. Investment policy is con¬
Premium
volume
is
divided extended into 1960.
servative
with
emphasis
being
21.6% in fire and property lines,
Premium
volume
is
divided
placed upon tax-exempt bonds.
75.6% in casualty lines and 2.8% 48.9% in fire and property lines,
The Hartford Fire has paid con¬
multiple line. Accident and health 47.3% in casualty lines and 3.8%
servative dividends without in¬
coverages
account for 46.5% of multiple line. Of total premium
terruption since 1874.
A 33V3%
total premium volume. Assets are volume fire coverages account for
stock dividend was paid in 1949.
divided 63.9% in cash, receivables 23.2%,
extended - coverage 8.4%, Stock dividends of
25% each were
and bonds, 36.1% in stocks, real automobile physical damage 9.8%
paid in 1954 and 1955. Early in
estate and miscellaneous.
and
automobile
Over

the

years

liability

1959

declared.

was

851,572
cause

There

5,-

now

are

outstanding.
Be¬
45% of premium vol¬

over

is concentrated in the highly

ume

accident
and
health
55.4% of assets

profitable
line

and

because

invested

are

stock dividend

100%

and

in high

preferreds,

should

continue

extend

the

been

since

1898.

dend

rate

grade bonds
company

prosper
and
growth of its
1933 dividends
in every year

for

paid

Present

annual

$1.00

divi¬

per

24.7%.

company's premium volume

heavily centered in the highly

volatile fire and automobile lines.
Assets

are

divided 42.0%

1960 shares

were split 2 for 1 and
100% stock dividend paid. There

are

now

standing.

in cash,

10,694,236 shares out¬
The present annual cash

Since

ous.

53.2%

are

invested

this

company

has

total

stocks,

common

assets

strong stake

in future stock market trends.

In
of

1959

into Continen¬
Continental

each

shareholder received

you

policyholders but for shareholders
on

well. Stock sells for $52 a share
the over-the-counter market.

Insurance

Company
of
North
Philadelphia, Pa.

America,

stock divi¬

will

do well with the
Hartford" holds true not only for
as

connection with Jhe merger

Fi'delity-Phenix

tal

out

Founded

1792

and

incorpo¬

dend of

10%. There

998.290

sells

underwriting results plus pany of North America is the old¬
rising investment income should est and one of the largest capital
result in sharply higher earnings stock fire and marine insurance
carriers in the United States.
It
in the
years
ahead. In addition
the merger with Fidelity-Phenix is also one of the largest domestic
Casualty insurance is
will
enable
the
Continental
to reinsurers.
file a consolidated tax return and written through its wholly-owned
integrate business operations; this Indemnity Insurance Company of
North America.
Another whollyin turn will result in a combina¬
owned subsidiary, Life Insurance
tion of tax savings and a reduc¬
tion
in
overhead
expense.
The Company of North America was
organized in 1956 and began op¬
Continental has paid dividends in

The

for

$75

counter

Continental
New

The

the

over

market.

Co.,

York, New York

Continental

Insurance

Company of New York and its
ten
subsidiaries, known
collec¬
tively
as
the
America
Fore
Loyalty Group, form the largest
stock fire and casualty group in
the nation. Incorporated in 1853
the Continental Insurance, parent

every year

annual

of the group, now owns
outstanding shares of the

Niagara Fire Insurance Company
the

Gompany
the

of New

and

i+<*

cub^'^ries

important, addition

Casualty terly.

York... In

Firemen's Insurance
^.4

Fidelity

Im¬

rated in 1794, the Insurance Com¬

erations

company

and

11,-

now

proved

all

the

are

outstanding.

Insurance

1957

of Newbecame

the

aggressive

management has poration,

guided this company.►through the
years.

since 1853. The present

dividend rate of $2.00 per
is

payable

cents

Stock sells for $53

the New.York Stock

this is
from

mated

book
to

rector

the shares of the Insur¬

American

pany

In 1951

Transamerica Cori
been elected a di¬

has

Surety Com¬
York, it was an¬
William E. McKell,

New

nounced

ance

Company of North America chairman and president. American
split two for one. In 1949, Surety is a subsidiary of Trans¬
1956 stock dividends of america
Corporation.
20% were paid. On June 15, 1960
Mr.
Beckett,
an
investment
a
100% stock dividend was paid.
banker, was elected president of
There are now 10,809,734 shares
Transamerica Corporation on July
outstanding. Dividends
were

1953

and

have been

paid in each

since 1874.

year

The

this

Horace

year

and

will

Brower

succeed

that

post,
effective Sept. 15. Mr. Brower will
share, payable 45 cents continue as board
chairman and
quarterly.
Stock sells for $66 a chief executive
officer of Trans¬
present

annual

$1.80

cash

dividend

the American Stock Ex¬

america.

change.

Campbell Machine
to

formerly

vice

president and director of Blyth &
Co. Inc., in San Francisco. Follow¬
ing his graduation from Stamford
was associ¬
ated with Pacific Gas and Electric

Aug. 11 offering
Hogle & Co., of
Salt Lake City, Utah, offered
102,500 shares of $1 par common stock
at $7 per share.

circular,

was

University in 1939, he

Stock Is Offered
Pursuant

Mr. Beckett

Company, Duff & Phelps, The Se¬
and
Exchange Commis¬
and Seattle Gas Company.
He joined Blyth & Co.
Inc., in
curities

sion,

1944.

and

payable 25 cents quarterly. Stock
the

Sound

dividend is $1.10 a share payable
bonds, 58.0% in 27 V2 cents quarterly. The com¬
All proceeds of the sale are for
stocks, real estate and miscellane¬ pany's maxim "year in and year
the account of selling stockholders.

receivables

greath

past. 'Except
have

this

This

are

Named Director
Improved underwriting results
apd, a ^isihg , investment income John R.
Beckett, president-elect
indicate higher earnings for 1960.
and director of

value

1962.

nies

over

which

be $81.46

quar¬

Exchange;

discount of

per

goal

surance

in 1957.
Management's
for $1 billion of life in¬
in

force

the

The North America
conduct

business

full

throughout

end

Compa¬

multiple-line
.

tfie

world.

30%

Although premium volume is
centrated

share.

the

partnership

formed

some

25 years

con¬

United

States, where North America has

Yamaichi

prior to its
York, Inc.
incorporation. Its principal office
of a

is located at Foot of

Eighth Street,

San Diego 12, Calif.

-1

May 26,

1960, the directors

and

stockholders voted to amend

the

Articles

Incorporation

reduce the par value of the com¬
mon stock to $1 per share and to

split

the

basis

common

100

new

stock

for

each

note

the

original amount
of $579,000 is part of the total con¬
sideration
of
$780,000 given in
Aug., 1954, when the company ac¬
quired the business of Campbell
Machine
Co.,
a
co-partnership,
from four persons who were the
owners
cessor.

the

Co.

New

tive Aug. 17, at 1123 Bethel Street.
A subsidiary of Yamaichi Se¬
curities Co., Ltd., Tokyo, the New
firm's local office will be

York

headed by Yoshihiro Asami, resi¬
dent manager.

Foreign
of

department

Yamaichi

assumed

proportions in 1951

old share.
A

Securities

announces the opening
Honolulu branch office effec¬

the

activities
full-scale

when foreign

investment in Japanese stocks was
made

since

possible
World

for

War

the

first

time

II.

Forms Income Builders
HOUSTON, Tex.
Kaufman

—

engaging

Martin M.
in a secu¬

company's prede¬

rities business from offices at 2020

The note is payable in an¬

Richmond Avenue under the firm

nual installments of

esti¬

here

Yamaichi in Honolulu

Underscoring the growing import¬
The company was incorporated,
ance of the role Hawaii
plays in
in California on Aug. 3, 1954.
Its the business and
financial world,
predecessor
was
a

$57,900. Pay¬
chattel mort¬
gage on property and equipment.
None of the sellers of the, partner¬

name

of The Income Builders.

ment is secured by a

ship

business

rectors

company.

are

officers,

stockholders

Recreation Sees. Formed
Recreation

Securities,

Inc.,

di¬

been

the

Fifth Avenue, New York

formed

engage

in a

with

offices

has
350

City, to
securities business.

The Commercial and Financial Chronicle

(778)

Indications of Current

The following statistical tabulations cover
latest week

Business
AMERICAN IRON AND

Activity

STEEL

week

INSTITUTE:

Indicated Steel

operations (per cent capacity)-.
Equivalent to—

Aug. 27

month ended

Latest

Month

Week

Ago

§54.5

*54.7

month available.
on

Aug. 27

§1,552,000

*1,558,000

oil

condensate

and

runs

Gasoline

output—daily

53.3

11.7

1,520,000

6,831,910

6,766,425

Domestic

Aug. 12
Aug. 12
Aug. 12

118,335,000

*8,254,000

8,257,000

7,950,000

Domestic

30,015,000

29,040,000

30,031.000

29,077,000

2,823,000

2,492,000

2,469,000

1,939,000

(bbls.)

Aug. 12

13,314.000

12,873,000

12,972,000

12,024,000

(bbls.)—

Aug. 12

6,090,000

5,805,000

5,800,000

5,973,000

'
—

193,647,000

197,241,000

31,224,000

30,7,02,000

29,157,000

29,473.000

140,647,000

134,049,000

121,427,000

Aug. 12

43,969,000

43,014,000

43,013,000

147,907,000
55,525,000

freight loaded (number of cars)
Aug. 13
Revenue freight received from connections (no. of cars)—Aug. 13

599,908

594,329

607,081

544,569

486,378

487,558

438,265

482.339

Residual

fuel

ASSOCIATION

oil

(bbls.)

AMERICAN

(bbls.) at

oil

Dollar

ENGINEERING

CONSTRUCTION

—

and

municipal

Federal
COAL

OUTPUT

(U.

BUREAU

DEPARTMENT

$455,100,000

$435,500,000

$519,800,000

$377,900,000

Aug. 18

238,900,000

273,200,000

310,500.000

210,300,000

Aug. 18

216,200,000

162,300,000

209,300,000

167,600,000

Aug. 18

158,500,000
57,700,000

131,700,000

191,400,000

83,300,000

STORE

SALES

Aug. 13
Aug. 13

INDEX—FEDERAL

Total

Electric

(COMMERCIAL

BRADSTREET,
IRON

Aug. 13

AGE

Pig iron

(per gross

METAL

PRICES

(E.

ton)

30,600,000

17,900,000

84,300,000

8,035,000

*7,790,000

7,345,000

7,197,000

330,000

343,000

340,000

360,000

131

128

119

132

14,453,000

14,622,000

14,425,000

279

308

259

6.196C

6.196c

All

other

private

construction

Nonresidential building

$66.41

$31.83

$31.50

$39.83

1—•

.Aug. 17

32.600c

29.775c

Aug. 17

29.525c

30.450c

31.075c

28.850c

Other nonresidential

and

12.000c

11.800c

Military facilities
Highways

13.500c

11.500c

Sewer and

Aug. 17

13.000c

11.500c

Sewer

Aug. 17

26.000c

24.700c

Water

Aug. 17

102.125c

103.750c

103.000c

102.500c

Aug. 23

89.30

88.86

87.52

83.20

Aug. 23

87.72

87.45

85.98

92.64

92.20

90.34

89.92

Aug). 23

90.06

89.78

88.27

87.86

Aug. 23
Aug. 23
Aug. 23

87.18

86.78

85.46

85.59

81.78

81.42

80.20

80.93

85.07

84.55

83.91

84.68

—Aug. 23

89.23

88.81

86.38

85.33

Aug. 23

89.23

88.95

87.59

87.86

Aug. 23

3.60

3.65

3.75

4.17

(primary pig. 99.5% ) at

Straits tin (New York) at
BOND

Average

DAILY

PRICES

Government

3a a

Railroad

Group
Utilities Group

Public

Industrials

MOODY'S
U.

Group

BOND

YIELD

DAILY

corporate

Aug. 23

4.58

4.60

4.71

Aaa

Aug. 23

4.23

4.26

4.39

4.42

Aug. 23
Aug. 23

4.41

4.43

4.54

4.57

4.62

4.65

4.75

4.74

-Aug. 23

5.04

5.07

5.17

5.11

Baa

Railroad

Group
Utilities Group
Industrials Group
Public

Aug. 23

4.78

4.82

4.87

4.81

Aug. 23

4.47

4.50

4.68

4.76

Aug. 23

4.47

4.49

4.59

4.57

Aug. 23

363.4

364.3

373.4

385.4

;

MOODY'S COMMODITY INDEX
NATIONAL PAPERBOARD

Aug. 13

314,180

320,464

248,079

325,729

Percentage

Aug. 13

OIL,

activity—

orders

(tons)

PAINT AND

1949

DRUG

end

of period

REPORTER

AVERAGE==100

SOUND-LOT

PRICE

FOR

303,937

340,650

272,867

ACCOUNT

Aug. 13

461,915

477,251

474,165

551,214

—Aug. 24

109.62

109.72

109.47

109.40

sales

Short sales

Total

;

sales

Total

purchases

Total

sales_

Total round-lot transactions for account of members—
Total purchases
Short sales-

Other

Total

2,370,480

DEALERS

EXCHANGE

—

AND

SPECIALISTS

SECURITIES

EXCHANGE

366,650

312,890

489,860

410,020

July 29
July 29

2,080.600

1,650,590

1,878,060

2,044,190

2,447,250

1,963,480

2,367,920

2,454,210

July 29

266,790

254,420

319,830

360,650

July 29
July 29

65,540

17,700

38,100

40,400

258,500

234,620

302,200

364,760

July 29

324,040

252,320

340,300

405,160

value

short

sales

Customers'

other

sales

PRICES, NEW SERIES

—

DEPT.

All

commodities

Processed

—

farm and foods

Solid

uvA '#<y

electricity

fuels

256

171

137

123

464

463

;

383

373

379

1,522

1,502

1,616
,

420

80
414

265

250

247

39
52

101

127

616

586

665

135

130

137

$55,000

$52,000

12,800

12,900

12,400

25,300

25,800

24,600

$93,100

$93,700

$89,000

126.5

1953=100)

—

fuel

and

Household

oil

operation

and

boys'

Women's and girls'

Footwear

Other

apparel

Transportation
Private

Public

care

Personal

;

care

PRODUCTION

DEPT.

Crop as of Aug.

588,955

581,050

695,319

873,007

July 29
July 29

3,177,200

2,763,760

529,940

415,890

3,324,439
603,815

July 29

2,830,305

2,380,960

2,799,724

July 29

3,360,245

2,796,850

3,403,539

3,451,130
564,290
3,168,087
3,732,377

Corn,

Durum

;
;

(bushels)

Barley (bushels)
(bushels)

Rye

$81,247,404

$72,910,673

$83,373,587

1,834,992
$98,212,654

July 29
July 29
July 29

1,293,471

1,316,374

1,596,200

1,546,095

18,365

8,432

5,507

4,798

1,275,106

1,307,942

1,590,693

1,541,297

July 29

$62,881,602

$63,256,848

$72,995,622

$80,042,388

July 29

335,580

355,920

484,340

378,030

335~,530

3~5~5~,920

484*340

3~78~030

670,450

527,010

540,730

672,830

1,634,549

1,485,488

1,706,392

(bushels)

(100-lb.

——

bag)

Sorghum grain (bushels)
Cotton

(bale)

all

723,430

517.110

704,660

13,590,720

12,520.170

14,689,990

621,930
15,203,330

July 29

14,314,150

13,037,280

15,394,650

15,825,260

Aug. 16

119.3

119.4

119.6

119.3

Aug. 16

87.2

87.1

89.0

87.9

Aug. 16

107.7

107.8

108.0

106.8

Aug. 16

96.4

96.6

97.4

96.9

128.3

Aug. 16

128.3

-fiM

111.6

115.0

112.3

136.1

132.9

134.5

104.5

104.9

102.3

118.8

118.6

115.6

131.3

131.2

141.6

141.4

139.5

124.7

119.3

132.3

132.9

133.9

104.3

128.9

104.3

104.1

137.3

137.2

133.9

108.9

107.3

109.8

109.7

108.1

99.1

99.4

99.8

140.1

139.8

134.5

93.1

93.2

91.8

145.8

145.6

145.9

134.1

133.9

134.9

199.7

199.4

192.7

156.1

155.9

150.6

133.2

134.1

121.1

121.4

118.1

131.9

129.2

4,111,954

4,079,151

4,861,170

1,361,968

1,347,468

1,128,151

1,116,610

1,090,017

923,449

245,358

257,451

204,702

32,716

34,291

—

Hay, clover and timothy (ton)

223,160

184,020

1,166,617

1,140.497

1,073,982

410,967

426,508

31,084

29,621

28,419

32,209

52,964

53,099

;
(cleaned) (100-lb. bag.)—
(cleaned) (100-lb. bag.)
Soybeans for beans (bushels)
(pounds)
Potatoes (hundredweight):

420,191

21,495
22,709

53,122
579,178

14,558
112,764

115,689

10,518

10,528

66,262

66,589

64,739

22,218

22,260

22,128

8,911

3,848

4,020

4,377

17,392

17,296

18,212

2,752

3,304

dry field

Peanuts

115,280

(ton)

Beans, dry edible

20,682

212,642

4,375

547,933

537,895

1,626,070

1,592,295

3,114

Winter

July 29
—July 29

109.7

14,471

—

(ton)

wild (ton)—
Hay,, alfalfa (ton)

Peas,

134.2

110.3

538,885

Hay,

Hay, lespedeza

116.6

135.6

AGRICULTURE—

(bushels)

Flaxseed

118.9

136.1

(in thousands):

(bushels)

Other spring

124.5

119.7
117.0

REPORTING

(bushels)

spring

Oats

(bushels)

all

Winter
All

CROP

(bushels)

all

Wheat,

—

126.3

120.3

117.7

132.0

Reading and recreation
Other goods and services

3,114

4,005

Early spring
Late spring

3,287

3,144

28,212

23,558

Early summer

15,003

14,956

14,277

Late

summer

—
—

Fall

—

Total

(pounds)
Sugarcane for sugar and seed (ton)
Sugar beets (ton)—
Broomcorn

Hops

(bushels)

Grapes

—

(bushels)

(ton)

Apricots

(ton)

14,297

14,749

18,703

1,842,999

1,797,087

7,744

7,318

16,845

16,705

17,015
30,600

46,471

46,205

53,600

109,400

106,870
73,239

121,787

28,281

30,191
3,139

27,181
3,120

—

196

—
•

(pounds)

—

33,519
164,778
243,281

1,867,271

73,614

(ton)

Cherries

31,792
———————

23,200

(pounds)

Pears

31,794
174,856
256,266

—

(ton)

Apples, commercial crop
Peaches (bushel3)

Pecans

pound.

tin

261

110

."
and

Gas

BOARD

fllncludes 1,074,000 barrels of foreign crude runs.
§Based on new annual capacity of 148,570,970 tons
as of Jan. 1, 1960 as against Jan. 1, 1959 basis of 147,633,670 tons.
tNumber of orders not reported since introduction of
Monthly Investment Plan.
JPrime Western Zinc sold on delivered basis at centers where freight from East St. Louis exceeds

(Jan.

Rent

759,137

t(
•Revised figure.

from home

away

Tobacco

All commodities other than

one-half cent a

211

275

19'

home

Sweetpotatoes (cwt.)

foods

179

126

Housing

113,870

products

Meats

660,150

Commodity Group—
Farm

food

75,855

(1947-49=100):

—

Other

619,464

(SHARES):

Other sales

LABOR

Fruits

poultry and fish
products
and
vegetables—

634,129

519,220

Total round-lot sales—

WHOLESALE

Meats,

85,300

July 29
July 29

Round-lot purchases by dealers—Number of shares

Short

169

products

bakery

495,750

TOTAL ROUND-LOT STOCK SALES ON THE N. Y. STOCK
EXCHANGE AND ROUND-LOT STOCK TRANSACTIONS

Total

and

97,750

"July

sales

MEMBERS

Cereal

Dairy

Hay,

Short sales—

348

177

110

home

491,205

July 29
—July 29

Round-lot sales by dealers—
Number of shares—Total sales

FOR ACCOUNT

382

354
177

June:

600,600

value

Other

Food

Rice

——

Customers'

177

items

July 29
July 29

STOCK

Odd-lot purchases by dealers (customers' sales)—
Number of orders—Customers' total sales

Dollar

224

INDEX—1947-1949=100—

PRICE

July 29
July 29

COMMISSION

Odd-lot sales by dealers (customers' purchases)—t
Number of sharesDollar

815

231

Food

2,430,330

July 29

sales

1,990,120

STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDLOT

Month
All

CROP

;

sales

2,309,810

the floor—

Short sales
Other

Total
CONSUMER

Medical

sales

Other transactions initiated

833

Apparel

the floor—

purchases

Other

860

DEPT.

Men's

July 29

Other transactions initiated off
Total

NEW

—

Retail

MEM-

purchases

Other

462

Housefurnishings

Short sales
Total

476

OF COM¬
SERIES —Month of June

Wholesale

298,923

BEES, EXCEPT ODD-LOT DEALERS AND SPECIALISTS
Transactions of specialists in stocks in which registered—
Total

1,842

459

(Millions of dollars):

INDEX—

—

TRANSACTIONS

1,523

and development

Manufacturing

Food

Aug. 13

Unfilled

MERCE

1,612

public

INVENTORIES

BUSINESS

ASSOCIATION:

Orders received (tons)
Production (tons)

-—

—

other

2,372

AVERAGES:

Government Bonds

Average

All

3,792

2,076

_—

water systems

Conservation

corporate

buildings—

Public service enterprises

AVERAGES:

Bonds

,3,535

436

Industrial

11.800c

—

Residential building

$32.50

5,037

3,660

472

utilities

5,408

5,182
2,151

150

;

6.196c

Aug. 16

telegraph

and

Other public

263

Aug. 16

buildings

Public utilities

14,003,000

12.000c

—

warehouses

construction

13.500c

MOODY'S

institutional
Administrative and general—

;

Miscellaneous

11.800c

Aluminum

DEPT.

Educational

Louis)

recreational

Aug. 17

(East St.

253,216,000

$957,097,000

institutional

and

Hospital

320,514.000

Educational

Aug. 17

York)

373,469,000

$1,560,968,000 $1,381,999,000

between

Religious
Hospital

Aug. 17

Zinc

buildings and

(St. Louis) at

(New

84,940,000

building

(delivered)

Lead

93,875,000

(nonfarm)

nonresidential

Other

QUOTATIONS):

Export refinery at
Lead

12,610,000
13,700.000

166,200,000

(in millions):

units—„

dwelling

Office

copper—

Domestic refinery at

IZinc

74,390,000

Stores, restaurants and garages

Public

Aug. 16

ton)

58,641,000

Commercial

PRICES:

gross

333,894,000

16,842,000

Industrial

lb.)

(per

Electrolytic

DUN

July

building

Telephone
—

Aug. 18

COMPOSITE
steel

Scrap steel

Aug. 20
INDUSTRIAL)

INC

Finished

$258,737,000

500,910,000

;

Nonresidential

Farm

AND

$375,468,000

17,240,000

construction

New

RESERVE

000 kwh.)

output (in

Ago

construction

new

Residential

EDISON ELECTRIC INSTITUTE:

FAILURES

shipped

CONSTRUCTION—U.

LABOR—Month

Social

SYSTEM—1947-49 AVERAGE=10O—

and

stored

countries

BUILDING

MINES):

Bituminous coal and lignite (tons)
Pennsylvania anthracite (tons)

Year

Month

Nonhousekeeping

Aug. 18

Additions and alterations

Aug. 18

construction

State

goods

ENGINEERING

construction

Public

Latest

Month

545,356,000
credits

warehouse

Private

construction

Private

of that date:

$400,062,000
shipments

foreign

NEWS-RECORD:
Total

are as

BANK

exchange

Based

RAILROADS:

Revenue

CIVIL

RESERVE

183,104,000

191,838,000

Aug. 12

fuel

FEDERAL

—

either for the

OUT¬

Total

Aug. 12
Aug. 12

(bbls.)

Distillate

ACCEPTANCES

Exports
6,836,710

unfinished gasoline

Kerosene

of quotations,

cases

are

OF NEW YORK—As of July 31:

332,000

Stocks at refineries, bulk terminals, in transit, in pipe lines—

Finh'hed and

or,

DOLLAR

6,834,210

(bbls.)

fuel oil output

BANKERS'

Aug. 12

Kerosene output (bbls.)
Distillate fuel oil output

Residual

that date,

Ago

(bbls. of

average

stills—daily average (bbls.)

output

production and other figures for the

Imports

gallons each)

Crude

Thursday, August 25, 1960

Year

AMERICAN
Crude

Dates shown in first column

STANDING

Steel ingots and castings (net tons)
PETROLEUM INSTITUTE:

238

181,600

3,142
199

74,339

215

223

230

_——

143,500

Volume

192

Number 5980

The Commercial and Financial Chronicle

♦Don

Miller

•Peter

♦Paul

E.
I.

•James

NSTA

NOTES

Morford

•John

George W. Romney, Chairman of the Board, President and General
Manager of American Motors Corporation, will address the Na¬
tional Security Traders Association Convention at a brunch on
Sunday morning, Sept. 11, 1960, at Sun Valley, rather than on

Carl

York)

the

Ohlandt, Jr.
Oliver, Jr.

Sanders

•John

O'Rourke

•Richard E.

Owen

•William T.

Patten

remind all the

Security

conventioneers

Association wishes to
optional at the final

Traders

that dress

dinner.

v> ■:

THE

ANNUAL

SUN

CONVENTION

TRADERS

George

Patton

Pedrick,

Co.

Weil,

ASSOCIATION

THE

NATIONAL

HELD

Pitt

Blyth

New

Hess,

Co.,

Grant

Seattle,

New

Saloman

•S.

Russell

Sachnoff

Salomon

Sanders

♦Walter

York

Russell

«&

Co.,

Inc.

New

Marshall

Seattle,

Skaggs & Co.
Tegtmeyer & Co.
Wm. P. Harper & Sons &

Wm.

R. Schlicting

San

Chas.

Piper, Jaffray & Hopwood
Zilka, Smither & Co., Inc.

•Jack

Babcock

Bader

•Dan V.

Bailey

•George M.

Baker

J. Ries Bambenek

•John S. Barker
•Homer J.
John

Baker,

Walsh

Dallas

Union

•Herman C.

•Charles

Betz

■

•

Bodie,

•Edward J.

Breen

•Leo

•Walter
•Ted

Philadelphia,

Co. r

Co.,

Los

-A

Inc.

•Russell

Josephthal & Co.
Simmons, Rubin & Co., Inc.
Pacific Northwest Company
Stryker & Brown

•Andrew

•Derele

Pa.

Steen

First

Steven, Jr.

York,

Los

Angeles, Calif.

Dept.

& Boyce

Baltimore,

& Co.

•Edwin

Tapp

Tatro

•

Corp.

Tatro

•Robert M. Topol

John W. Turner

Atherton

Co.

Stone

First

Youngberg

Boston

Burns

Louis,

Walter J.

Mo.

New

York,

San

Francisco, Calif.
York, N. Y.

New

Corp.

Stifel, Nicolaus & Co., Inc.

•

Louis, Mo.
Baltimore, Md.

♦W.

Vallely

John Nuveen &

Vicino

Christian

Los

Coughenour, Jr.

Hutton

Peters,

Writer

•Allen

Coupenz

Crawford,

The

•James

Prank X.

French

Weiss
A.

♦Jack

Wielar

Burton

Vincent '<&

Dempsey

Young

Dempsey
Edward

Dallas

DeShong
Diehl

•Joseph R.
Robert
J.

Dixon

United

Dorsey

Bache

Straus,

Elwell

Loewi

Exley

Charles

Fitzgerald

■

McDowell

Parcells

Dain

A: Hogle

•Gerald-M," Greenberg

Russell

•Thomas Greenberg

Co., Inc.

•

Los

Angeles, Calif.

Los

Angeles,

Co.

A.'V.
•Rubin
S;

Hardy

Richard

•Harry J. Hudepohl
•Wellington Hunter
•Joe

•

Paul

•Samuel

Kelly
Kennedy

•Reginald J. Knapp
•J.

Edward

Knob

•Otto J. Koch,
•Pote

Nathan

Jr.

Krasowich

>•;

'
.

•

Krumholz

Co.

John

Latshaw
N.

•Gilbert

Lawson

Securities

Drexel

The

&.
&

Co.

Hutton

McCue

McCullen

Rader

•James

•John

McCulley
McFarland

McGinty

♦George M.

McVey

•John J. Meyers, Jr.

First

McDonald
Lehman

Gordon

New

York,

New

York,

City, Mo.

Detroit,

Mich.

Boston,

Mass.

ITork,

New

York,

Inc.

Chicago, 111.
Portland, Ore.

Dominick

New

Co.

Co.,

Boston,
.

Company

Inc.

Company
& Co.

Y.
I.

Mass.

Philadelphia, Pa.
Dallas,

Texas

Philadelphia, Pa.
Cleveland,
New

Bros.

Graves

York,

Providence,

Inc.
Remington,

Southwest

Stroud

Pa.

Wis.

Ore.

New

Incorporated
♦C.

Digest

Gannon,

Grant

N.
N.

Co.

Walker

May
Hess,

Co.,

York,
York,

York,

Ohio
N.

Koppers Company, Inc., with

income up 45% as a result of more
business
in its engineering and
division.

The

Com¬

Solvents

Corporation re¬
earnings increase,

ported a 90%
partly because of the discontinu¬

ance

write-offs

Philadelphia, Pa.

vestment

Chicago, 111.

Chemicals,

against its in¬

Northwest

Ltd.,

Nitro-

Canadian af¬
filiate. The Wyandotte Chemicals
Corporation also gained in sales
during the first half of 1960, and

Chicago, 111.

Phoenix, Ariz.

Angeles, Calif.

surplus capacity,

says

the

comparative

A New York, N. Y.

impending disappointments
by

"Chemical

sales

and

Engineering

earnings showing

and

City Securities, Inc., both of
New
York
City
offered 60,000
shares of Commonwealth Develop¬
ment & Construction Co.

common

stock

companies analyzed, with impact of possible late-summer

sales

industry

rose

industry weighed.

(5 cents par) on July 25 at
price of $5 per share.
The

are

gineering News.

•

Impact of Possible

first

current issue of Chemical and En¬

ill.

Chicago,

Birmingham, Ala.

Co.

Dealer's
Fuller &

Dominick

Kansas

Leach

William A.

♦George R.

York,

and

Current

asserted

half of 1960, but "earn¬
blowing hot and cold as
the industry wades through this
post-recovery year," reports the

ings

Louis, Mo.

Co.

Investment

May

Wm.

New

Co.

Agee

•Earle C. May

•John

Milwaukee,

Armstrong, Jones, Lawson

Wertheim

•Gerard A.

•

Portland,

Gregory & Sons
Ogden, Wechsler &

Markham

McAleer

Colo.

Philadelphia,
Company

Los

and

start,

Steel Industry

Upturn
A
steel

late-summer

would
over

upturn

the

industry, it is pointed out,
mean

substantial

gain

1959 for the Allied Chemical

Corporation, which already has set

In about half the companies re¬

New. York,

New

Inc.

Co.,

Chemical

Chicago, 111.
York, N. Y.

Co.

Marshall

Black

•Edwin

York,

New

Biddle

-a

first

Companies which have enjoyed
sharp increases in net income, ac¬
cording to Chemical and Engi¬
neering News, include the Dia¬

construction

&. jpaftZes,

Co.

the

higher costs of labor

and

mercial

Calif.

experienced
for

proceeds of the

sale, esti¬
at $225,000 after payment
underwriting expenses will be
used for the purchase of 73 acres
of additional
land for develop¬
ment,
road
improvements, ma¬
terials and supplies, and the bal¬
ance of the proceeds for
working
capital.
The company is presently en¬
gaged in the construction of a
mated

Angeles, Calif.
Francisco, Calif.

New

Haas

upturn in steel

the

Philadelphia, Pa.

Sterne,

Marcusson

Yarnall,

Lee

Carl M.- Loeb, Rhoades & Co.

•Alonzo H.

♦Jerry P. Marquardt

York,

Jersey City, N. J.
Nashville, Tenn.

Corp.

White

Lothrop

New

Cincinnati, Ohio

Krumholz

♦Seward

Philadelphia, Pa.A
Atlanta, Ga.

" ~Asiel & Co.

Kosterman

•Joseph D.

•

"shaky"

shareholders,

Wis.
N.

San

decade's

individual

Straus, Blosser & McDowell

Jacoby - •"/

•Edward J.

Mo.

incomes

research,
development,
marketing and engineering ex¬

Mrs.

Mich.

York,

St.

News."

Mich.

Denver,
-

Boston Corp.'
Co....

Equitable

Seattle, Wash.

vWellington Hunter Associates

Isaacs

Westheimer

Co.

t-Chicago,,zm V

Courts

•

Hutton

•Milton
*D.

Vhe .First

■-

Harris A

York,

Jones

Co.

York,

Company

net

still has
Mr.

industry's

New

Towbin Co.

Zimmerman

New

Angeles, Calif.

Los

Investment

iUnterberg,

First Securities

Minneapolis, Minn.

Co.

New

Chemical

Company with a 23%
gain in the 1960 six-month period
over the same period in
1959, and

Francisco, Calif.

New

Monsanto

mond Alkali

Chicago, 111.
•

Harry J. Wilson & Co.
Refsnes, Ely, Beck & Co.
Bingham, Walter & Hurry,

111.

Cleveland, Ohio

Co.

; v Gregory & Sons
Hagensieker ...A A- Reinholdt <6 Gardner
Hammell

York,

Cincinnati, Ohio

•Wm.'H. Gregory :IH '
•E'lmer W.

Calif.

Seattle, Wash.

Gorey Co.
Blanchett, Hinton &
-rIncorporated

: •: -

Angeles,

Detroit,

Walter C.

♦Prank Granat-, Jr.

Mo.

Milwaukee,

Co.

George, O'Neill & Co., Inc.

Goodfellow

Gorey

Williams

regarded as in
lower business

Chemical Industry's Rising Sales
Stock Offered
Vickers, Christy & Co., Inc.
With "Hot and Cold" Earnings First

is
the

Building Firm's

Mich.

Calif.

Louis,

Detroit,

Marshall

Mericka

Los

Walter .Wogdy
Wm.

' '

Garcia

New

Incorporated

Co.,

Rapids,

Chicago,

Co.

York,

Greensboro, N.

Inc.

Heimerdinger

♦George E. George
•Walter C.

Co.,

Pitfield & Co., Inc.

Foster

-r •

John N. Fuerbacher

•Richard P.

Can.

Angeles, Calif.

Troster, Singer & Co.

•Albert 0-. -Foster

•Gary A. Galdun

<fr

Filkins

•Raymond B.

C.,
Y.

York, N. Y.

Louis.

and

report.

Dallas, Texas ,»;■>A

Company
&

•

New

Blosser

•Charles

•Walter L.

111.

San

Incorporated

New

St.

Taylor

Barth

•William C.

Ga.

Modesto,

Co.

Wash.

Atlanta,

Los

Securities

•Wm.

♦Earl

Los

O'Connor

•Gaorge J. Elder

Grand

Jackson

Dunn

Elliott

Jones

Webber,

Doyle,

Dunn

Co.

Co., Inc.

& Co.
& Company

Curtis

Doyle

Co.

Rupe & Son, Inc.

Paine,
♦Robert D.

Gundy

•Ralph C. Deppe

•John

York,

Seattle,

MacCormack

Wood,

•Harold E.

New

•Harry J. Wilson
Philip M. Young

111.

•Neil De Young

•Gambol

Chicago,

Hayden, Stone

Robert

Bear, Stearns; & Co.
Evans

•J.

York,

Cummings

Daines

Sons

New

•W.

Inc.

Weeden

111.

Brearley

Gregory

Janney, Dulles
Incorporated

Chicago,

Wernecke

•Robert

Cruttenden, Podesta & Co.

Denver, Colo.

Crawford,

•Francis

Terrence

Company

Inc.

•Ralph M. Dahl
•Robert

New York,

St.

business

and materials.

Chicago, 111.

Company
Singer, Beaht '& Mackte,'lnc.

•Norman T. W]ilde

Ohio

Cruttenden

New

high

seasonably lower phar¬

the

penses,

Mo.

Weller

Philadelphia, Pa.

Cleveland,

Hughbanks inc.

Jr.

Angeles, Calif.

Christensen
•Louis G.

Inc.

Co.,

Co.

Goodbody &

Colwell

Russell

Suplee, Yeatman, Mosley
Co., Inc.

James P. Cleaver
Samuel

City,

York,

then

creased
••

Chicago, 111.

Peabody & Co.
A. C.
Allyn & Co.
Newhard, Cook & Co.
Bateman, Eichler & Co.

Weller

♦Richard

Co.

Kidder

Webster

•Morton

Woolrych, Currier & Carlsen,

Cayne

•John

Dallas, Texas

New

Chicago,

Incorporated

T. M. Wakeley
♦Richard H. Walsh
♦John

St.

Baumgartner, Downing & Co.

Carlsen

•Edgar A.

the

•Edward V.

Boston, Mass.
St.

Incorporated
*M.

Kansas

**New

Co.

Greene & Company
Eppler, Guerin & Turner,

Md.

Portland, Ore.
Vancouver, B.

Company

Glore, Forgan &

Philadelphia, Pa.

Edwin

Lester J. Thorsen

Beverly Hills, Calif.

A New York,

Allyn & Co.
•
A '
George Patten Investment
Company
Doherty, Roadhouse & Co.

Swails

•George M.

Angeles, Calif.
York, N. Y.

Boston

York,
York,

New

the

1960, as compared to the
same period in 1959.
They attrib¬
ute the decrease, says the
report,
to
lower
selling prices and to
higher business costs, such as in¬

Chicago, 111.
New

lower
half

Seattle, Wash.

Newburger «& Co. "
Barret, Fitch, North & Co.

Sparks

William H.

'New

Scherck Richter Company
Asiel & Co.

Bunn

York,

Serlen

•Harry Simmons
•Larry W. Sisson
•Elbridge H. Smith
♦Joseph E. Smith

Albuquerque, N. M.
Inc.

Bank-Bond

Bros.

•Louis

Seattle, Wash.
Houston, Texas

•New

Staats

Saxton

Schirmer,

Brown

New

Company

Co.,

Wash.

Francisco, Calif.

•Ralph E. Brown
George Brunjes •John

Ore.
Ore.

first quarter

from

general

chemical

Seattle, Wash.

Blyth & Co., Inc.

Financial

Daniel Reeves

Bronemeier

Stein

Carol Breen (daughter)

•Joseph

Co.

Portland,
Portland,

Chicago,' 111.
Dallas, Texas

Company

' California

Jr.

Bourdeau

Prank S.

Chronicle
Wm.

Bertsch

A.. Riecke

Carolyn M. (daughter)
•James L. Beebe
♦Arthur W.

Securities

♦James H. Scott

re¬

Company and the Hooker Electro¬

New Haven, Conn.

Minneapolis, Minn,

Co.

Northwest

A Commercial

Co.

Marshall

Mosle

Quinn

Beattie

Beck &

Higginson Corporation

Rotan,

Beal

•Herbert E.

•Edwin L.

Pacific

Bayne

Scranton

Foster

Lee

Bateman

Verne

highest

average sales of anti¬
The
concern's
second-

Both

Chicago, HI.

Company
•George H. Angelos
•Carroll

York,

the

maceutical sales.

Cleveland, Ohio
Chicago, 111.

Hutzler

level and

Wash.

Salomon

Bros.

the

quarter drop
keeping with

Chicago, 111.

Davis,

•Charles G. Scheuer

Ore.

York,

for

resulted

biotics.

Cook Investment Co.

Foster &

Schag

Hanseatic Corp.
& Hutzler

Bros.

are

history, the

higher than

Ore.

Philadelphia, Pa.

John R. Lewis, Inc.
Roob

sales

1960

Pittsburgh, Pa.

•Frank Ronan

Arthur

ord

Remington,

•Edward

level

Inc.

1960

the same period in 1959.
Cyanamid explains that the rec¬

Orleans, La.

Portland,
Portland,

lion for
Calif.

Denver, Colo.

half

port says, even though the second
quarter earnings were $11.9 mil¬
lion as compared with $14.1 mil¬

Ore.

Francisco,

Charlotte, N.

Co.

Simpson, Emery & Co.

Remington

Rohde

♦Hugh

VALLEY, SEPTEMBER 11-14, 1960:

in the company's

Labouisse,

Incorporated
•Jack

New

San

Co., Inc.

June S. Jones Co.

Phipps

Baltimore, Md.

Peters, Writer & Christensen

Peters, Jr.

Reed

♦Clifford

The American Cyanamid Com¬
pany's sales and earnings for the
first

Portland,

Friedrichs

Investment

Dickson

Howard

Jr.

Calif.

York,

York, N. Y.
Dallas, Texas
Chicago, 111.
Los Angeles, Calif.
Seattle, Wash.

Walter C. Gorey Co,

Payne

Gerald P.

Corp.

Company
&

the
magazine
continues.
The textile industry, it is pointed
out, accounts for about 30% of
Du Pont's sales volume.

Calif.

Angeles,

New

half, owing in part to lower prices
synthetic fibers, particularly
nylon,

Wash.

Francisco,

Los

Sons

for

Antonio, Texas
Seattle, Wash,
i

Co.
&

O'Rourke

San

Inc.

Co., Inc.

Hanseatic

Cincinnati, Ohio
Atlanta, Ga.

Co.

San

Co.,

Kidder, Peabody &
Blyth & Co., Inc.

Pearson, Jr.

•Morey

SECURITY

York

Company

•James

THE FOLLOWING IS A LIST OF REGISTRATIONS TO DATE
FOR

New

George F. Patton, Jr.

•Parks

Inc.
&

Garrett

•Paul

Kelly (Carl M. Loeb, Rhoades & Co., New

National

Co.,

Marks &

Robert

•Robert W.

York,

Seattle,
Co.

Space

Lester, Ryons &

•John

Plato

New

Detroit, Mich.

Lar\e,

Nelson

•Allen

•Preston

NSTA CONVENTIONEERS
Edward

Hutton

Walston

Nevins

•Richard

Detroit, Mich.

Incorporated

Sept. 12 at originally scheduled.

President

Martin

Barney Nieman
Harry J. Niemeyer

NATIONAL SECURITY TRADERS ASSOCIATION CONVENTION

Company

Co.

Dempsey-Tegeler & Co.

Nelson

Co.

Johnson,

Muetzel

Miller

Weld

Hughbanks, Inc.
W.

Moriarty

Muir

•Martin

White,

Moreland

Morris

•Francis
•E.

Don

Molloy

Moreland

•James F.
♦Jack

(779)

sales and

earnings records in the
porting on the six-month period, second quarter of this year, at
profit
margins
are
lower
this $216.9 million and $0.83 a share, housing project to consist of 100
homes
in
the
year
than in 1959, according to respectively. Allied has reported a single family
the
American
Chemical
Valley,
Montgomery
Society strong demand for nitrogen fer¬ Perkiomen
weekly.* * "The * new* decade is off tilizers and gains in sales of ura¬ County, Pa. Its offices are located
at
11th
and
Main
to a shaky start,\and the results nium
Sts., Pennshexafluoride, caprolactam,
will disappoint many stockhold¬ nylon fibers, pigments, and fluoro- burg, Pa.
Of
the
authorized
ers.
500,000 com¬
Several managements explain carbons
over
the
1959
second
that the lower, profits are due to quarter, although the building ma¬ mon shares, 137,000 shares will be
outstanding
at
the
completion of
the higher cost of doing business terials
season
"continues
to
be
this offering.
'
today. Others point to downturns disappointing."
in the metals, building, and other
For the Union Carbide Corpo¬
Forms Jones & Co.
industries," the magazine asserts, ration, however, second quarter
continuing:
sales of $376.3 million were lower
FT. SMITH, Ark.—Jones & Com¬
"There should be some consola¬ than both the $395 million figure
pany, Inc. has been formed with
tion in the fact that most chemical for the first quarter of 1960 and
offices at 500 South 19th Street to
firms are turning in record sales the $396.5 million for the second
engage
in a securities business.
for the first six months, which au¬ quarter a year ago.
The latter Richard A. Jones, Jr., is president.
figure
was
an
all-time
gurs record annual sales, Also, the
quarterly Mr. Jones was formerly with Rafprofits for the first half are being record for Carbide, which explains
fensperger, Hughes & Co., Inc. of
compared to high levels estab¬ that it reflected abnormally high Indianapolis.
steel operations in anticipation of
lished during a recovery year."
The chemical industry can draw the steel strike.
The decrease in
.

encouragement, too/ffom the fact

sales

that economic barometers such

quarter

With F. I. duPont

and

earnings for the second
1960, it is explained, John Makes has become associated
gross
national product, personal resulted mostly from lower sales as a registered representative with
income, and consumer spending of alloys and electrodes to the Francis I. du Pont & Co. office at
steel industry,
t
//' .144 East 86th Street, New York,
are headed for record levels and
Earnings of E. I. Du Pont de one of ten metropolitan offices
point to 1960 as a satisfactory year
Nemours & Co. for the first six maintained by the nation-wide se¬
for business in general, the maga¬ months of
this year were down curity and commodity brokerage
zine ^observes.

■

9.5%

compared to last year's, first

firm.

•••

•

(780)

The Commercial and Financial Chronicle

Thursday, August 25, 1960

ADDITIONS

* INDICATES

Securities

Now

Registration

the

August 26

with

Rotating

(S.

The dates shown
in the index and in the accompanying detailed
items reflect the expectations of the underwriter
but are not, in general, to be considered as firm
offering dates.
a

high degree of

accuracy.

and

sale

Edwards

Bruce National

(The

Diversified

it Ajax Magnethermic Corp.
Aug. 17, 1960 filed 150,000 shares of common stock (no
par), of which 50,000 shares are to be offered for the
account of the company, and 100,000 shares for the pres¬
ent holders thereof. Price—To be supplied by amend¬
ment. Business—The production of a complete line of
induction heating equipment. Proceeds — For working
capital and general corporate purposes. Office — 3990

(Rodman

Bros,

(J. A.

Co.,

Wakefield

subordi¬

Whitmoyer

August 30
First

common

Co.,

the

and

Co.)

Needham

Cerf

Packing

Allied

Republic

Steel

•

Electro-Tec

purposes.

Office

—

American

Foods

tures

Florida

and

common

stock.

the company's ven¬

American Frontier Life Insurance Co.
Nov. 30 filed 200,000 shares of
capital stock being offered
for subscription by holders of common
stock of record
June 1, on the basis of one share for
each six shares

Aug. 30, at $7

2:00

p.m.

CST

share. Additional shares may be sub¬
scribed for at $8 per share.
Price—$8 per share. Pro¬
ceeds—To increase capital and
surplus. Office — 1455

Ave., Memphis, Tenn. Underwriter—Union
rities Investment
Co., of Memphis, Tenn.
Continued

Sachar

$437,500

(Offering

Lynch,

Pierce,

Investor's Choice in Mid America
Investors in Mid America
prefer the Chicago Tribune.
Corporate officers and executives listed in Dun and Bradstreet's "Million Dollar
Tribune is the

Chicago

Tribune than read

any

ties and services to

(Bear,

Stearns

Chicago and Mid America by advertis¬
ing in the Chicago Tribune. Your Tribune representative
will give you details.

Ameco

most

GRIATffT

N I W 4 P a »t

widely circulated market table pages

Common
74,546 shares

Common

Patterson

Schramm

Co.,

$290,000

Inc.)

Co.,

Inc.)

Corp

Properties,

Com.

$300,000

Corp

Winston &

..Common
Inc.

Co.,

Inc

Netherlands

and

Inc.)

Co.,

$1,200,000

Units

;

(Ross, Lyon & Co., Inc. and Globus, Inc.) $600,000

Lumber

Corp

(Bear,

Common

fc__.

Stearns

Astrex

September 13
Boston

Co.)

■

$1,102,400

First

Boston

(Bids

Schwabacher

Co.)

100,000

East Central

Parker

Dimond & Co.)

Inc.)

250.000 shares

$744,000

60,000

General

Steel

Harvest

underwriting)

(S.

Castings Corp...

.Common

Stover

Corp.

and

Common
Inc.)

Hdman

Co.,

Rubin

$400,000

$350,000

Products, Inc

Holman

Co.,

Inc.)

Hammill

September 19

Coffee

Co..

(Bear,

Stearns

Edwards

Engineering
(3andkuhl

Lytton

(Ross,

Lyon
C.

Debentures
$330,000

260,000

Common
Inc.) $297,500

Corp..
&

Staats

Co.

354,000

Shearson,

Reva

Utilities

Hammill

Co.,

Co.)

;

Stern

Co.,

Inc.)

Curtis)

300.000

Co.)

Capital
shares

..Units '

Globus.

and

Inc.;

Godfrey.

Reich

Hamilton,

& Co.;
Magnus

Co.) $800,000

Equip. Trust Ctfs.

1:00

$3,975,000

p.m.)

Inc

Common

and Chace,

200,000

September 20
C.

Allyn

Whiteside & Wir.slow,
shares

Inc.)
»

(Tuesday)

& Co.,

Inc.

and

Common

Bache

Co.)

301,884

Missouri Public Service Co
to

Smith

Inc.

258,558

and

Kidder,

Merrill

Peabody

(A.

Pioneer
(White,

$300,000

Co.)

Common
Allyn

Finance

Weld

Lynch,
&

Pik-Quik, Inc.
Hammill

Common

stockholders—underwritten

Fenner

...Common
Shearson,

..Common
&

Tegtmeyer

Inc.

Co.,
r

(Offering

$300,000

Missile-Tronics, Corp.

Inc.;

Co.

Units
Co.)

Common I

William

American Title Insurance Co

Corp

stockholders—underwritten by
& Co.) 65,000 shares

(Edward

Shore &

Enterprises,

Pierce,

Majestic

and

Jackson

_____—Capital

and

Co.

$300,000

Corp

Company,

Inc.)

Missouri Pacific

(A.

Financial

(William

Co.)

Co.,

(Monday)

Webber,

Harold

Capital
&

shrs.

Common

Kings Electronics Co., Inc

(Blair &

Duncan

200,000

_.l

Common

Inc.)

Common 4

and Stern Brothers)
;

(Bids

Deluxe Aluminum
A.

$5,000,000

Hallicrafters Co.

134,739 shares

Bruno-Lenchner,

.A'.

Equip. Trust Ctfs. i

received)

Co., Inc

(Shearson,

Common

Candies, Inc

(Simmons,

191,667

Co.)

..Common

296,649

'.
&

(Hairiman Ripley & Co., Inc.

(Paine,

Corp......

Securities

Weeks)

Fuller

(Bids

Russell

184,435 shares

$279,850

Electronics

$22,500,000

$700,000

Wallace Press, Inc

Debentures

(No underwriting)

Common 1
Co.)

Brand, Inc

Valdale

Debentures

(Suplee, Yeatman, Mosley & Co., Inc.)

>•

Racing & Breeders Association

(Auchincloss, Parker & Redpath) $2,000,000

Banking Corp

.Preferred

Units

Common

Redpath)

Dalto Corp.

(Thursday)

(Hornblower

Common

./*•

$10,000,000

Pittsburgh & Lake Erie RR

Central Charge Service, Inc

(R.

$25,000,000

$300,000

Central Charge Service, Inc
(Auchincloss,

Bonds

$16,000,000

p.m.)

Hammill

(No

Inc
Co.,

Smith,

Capital Corp

Common

and

Bonds

a.m.)

12:30

(Shearson,

Inc.

Corp

David

11:30

September 15

Common

and McDowell,

(William

Inc.

(Wednesday)

(Bids

Common

Dynamics,

(Standard

EDT)

a.m.

iCum. Preferred

Co.,

Boston

Mfg. Corp

Corp

Bowling

Commercial

150,000

Utah Power & Light Co
by

$400,000

(Sutro Bros. & Co.

Blyth
Co.)

(Bids

Corp.

Bristol

Corp.;

September 14

(Clayton Securities Corp. and Maltz, Greenwald & Co.)

Atlantic

(Tuesday)

Virginia Electric & Power Co

Common

and

Co.

Electronic

(Offering
WORIO'I

Kidder,

Utah Power & Light Co

(Thursday)

Milgo Electronic Corp...
TMI

Common

(Monday)

Barney

Common

(Purvis

Mid America's

$300,000

Forms, Inc

(First

September 6 (Tuesday)

midwesterners read the

other newspaper. Sell
your securi¬

Inc.)

Ripley & Co., Inc.) 135,000 shares

California

the Chicago

newspaper most useful to them.

Hundreds of thousands

Securities,

Public Service Co. of Colorado

jnc.| $12,5.000,000

stockholders—underwritten

(R.

say

Fenner

Corp.; Courts & Co. and The Robinson-Humphrey
Co., Inc.) 109,186 shares

Fritzi

Del

$299,000

stockholders—underwritten
Peabody & Co.) $5,250,000

Capital

Triangle

.Common

September 1

Secu¬

page

Inc.)

Securities

Common
Inc.)

Co.,

Electronics Manufacturing
(S.

Deluxe Aluminum Products, Inc

Directory"

(J.

Heldor

$500,000

(Kidder, Peabody & Co.) 254,000

per

Union

Co.)

(J.

270,000

Fairmount Finance Co

National

and Merrill

North

held, with rights to expire

•

Conv. Debentures
to

Ennis Business

$510,000

18th

Carolina, and the balance
for working capital.
Office—Miami, Fla. UnderwriterGodfrey, Hamilton, Magnus & Co., New York City.

then

Co.)

Debentures

Kirkland

(Palombi Securities Co.)

Corp.

Inc.

Aug. 16, 1960 filed 167,500 shares
Price—$3 per share. Proceeds—For

;

Common

Fredericks

Vendo Co.

(Wednesday)

(Harriman

•

corporate

Mills, Inc
J.

(Kidder, Peabody <fc Co.)

Common

Debentures

Corp.

Atlanta Gas Light Co

general

•

(Wednesday)

Fidelity Electronics Corp

Common

;.and Smith

porate purposes. Office—Arlington, Texas. Underwriter
—Rauscher, Pierce & Co., Inc., Dallas. Note — This
offering has been postponed.

Street, New York, N. Y. Underwriter—Palombi Secu¬
rities Co., New
York, N. Y.

September 7

September 12

$550,000

Corp

(The First Boston
,

Yardney Electric Corp

For

Inc.)

Bowling Centers, Inc.
Dec. 29 filed $750,000 of
sinking fund debentures and
800,000 shares of capital stock, to be offered in units of
$75 principal amount of debentures and 30 shares of
•tock. Price—$108 per unit. Proceeds—For
general cor¬

Ameco Electronic
Corp. (9/6-9)
May 19 (letter of notification) 100,000 shares of common
stock (par 10 cents).
Price—$3 per share. Proceeds—

Common
,

Common

$300,000

Debentures

Kirkland

Co.

Sprayregen,

(Cruttenden, Podesta & Co.) 200,000 shares

August 31

Washington, D. C.

Inc.)

Inc

Jr.

Common

Co.,

Cununings & Co.)

(Equity Securities Co.) $242,670

...Common

Hardy

$2,062,500

(Offering

Inc

Jenks,

$264,900

Co.)

Securities

...

Co.,

Jenks,

Guildford Ave., Baltimore, Md. Underwriter—Weil & Co.
of

Netherlands

Corp

(Floyd

(par 50 cents), and

of principal amount. Proceeds—To
pur¬
outstanding shares of the Cloverdale Spring
the balance for the general funds. Office—

Smyth,

(Metropolitan

(Tuesday)

Investors

(Bache

bonds at 100%
chase

Kletz

Securities

.«

Common

Wilier Color Television System, Inc

$1,000,008

Associates,

Miami Tile & Terrazzo,

1960, filed 200,000 shares of common stock and
$500,000 of 6%% first mortgage bonds, due 1963 through
per

Sulzberger,

Allegheny Pepsi Cola Bottling Co.

Price—$5

Martin

Sulzberger,

(Hallowell-,

June 9,
1972.

and

Inc.)

Whitmoyer Laboratories, Inc

Lehman .Brothers,
;

$300,000

Capital

Laboratories,

(Hallowell,

general corporate purposes.
—

Co.)

Organizations Inc..

(Michael

of the outstanding common of record Sept. 30, 1960,
on
the basis of $100 of such debentures for each 14
common
shares then held. Price — To be supplied by

Office—Chicago, 111. Underwriter

Bullard

Croft Carpet

Common

Engineering, Inc

(Robert

ers

New York City.

Byllesby & Co., Inc.)

Earl Edden

Winston & Co., Inc.

$300,000

Co.)

$500,000

Terminal Electronics, Inc

•

Proceeds—For

and

Templeton

—Common

Haft & Co. and Bregman,

Corp. of America

(Bertner

Jones

Co.) $750,000

Capital Corp. of America

(A.

Nucleonic

Wenwood

debentures, due Oct. 1, 1980, to be offered to hold¬

(Hecker

.Common

Mitchum,

Co.;

.^.....Common

and Schweickart &

(Filor,

Capital

Stonehill

(Equity

Class B

$300,000

Inc.)

Telephone & Electronics Corp

$262,750

$100,000

Co.)

Common

Securities,

Common

Corp

and

Edden

—

(Federman,

Venture

Common

Earl

Common

$300,000

Inc.)

75,000 shares

California, Inc...

$660,000

Corp.)

Common

and

Bros,

$2,010,000

Corp

Renshaw

Common
shares

100,000

Simmons)

Sunbury Milk Products Co

128,000 shares

Road, Youngstown. Ohio. Underwriter—Hayden,
Stone & Co. of New York~City (managing). Offering—
Expected in late September.

amendment.

Ellis

(Harwyn

Strolee of

Capital

Corp..

Planning,

Discount

Simon

24,

Inc.)

(The Tager Co.)

Mercantile

(Bertner

$4,000,000

Co.)

Securities

(Fund

Bonds

$300,000

Laboratory, Inc

Softol, Inc.

133,000 shares

Co.)

Co.,

Electronics

shares r

100,000

(Morris Cohon & Co.)

..Common

30,000 /

Common

Collateral

Common
Inc.)

Co.,

Sealed Air Corp...

________

50,000

Inc.)

Co.,

(General Investing Corp.)

Debentures
$400,000

Inc...

Sons)

Marshall

(Havener

Foto-Video

Aug.

Inc

Sons)

Enterprises, Inc
O'Neill

Association

Turf

Portland

Resiflex

Chemtree Corp.

convertible

$825,000

Capital Investments, Inc.______

Co., Newark, N. J.

nated

Fuller

(George,

Holman

Roto American Corp

Avionics Investing Corp..

Inc.

$6,205,000

Common

(S.

Common
$11,000,000

Walker & Co.)

Perkin-Elmer Corp,

Common

(Shearson, Hammill & Co.)

(letter of notification) 150,000 shares of
common stock (par 10 cents). Price—$2 per share. Busi¬
ness—The company is a general contractor. Proceeds—
For general corporate purposes. Office—116-55 Queens
Boulevard, Forest Hills 75, N. Y. Underwriter—Bennett

filed

Inc.)

Arnoux Corp.

pre-fabricated

July 20, 1960

1960

Co.,

Valley Industries,

(A.

company
and its subsidiary.
Office —149 Water
Street, West Newton, Pa. Underwriter — Arthurs, Lestrange & Co., Pittsburgh, Pa. (managing).

it Aldens Inc.

ISSUE

Corp

(Blyth

Co., Inc

Arkansas Valley Industries,

the

$300,000

(Monday)

(A.

Proceeds—To be added to the working capital of

Adson Industries,

REVISED

(Blunt

Price—100% of principal amount.

manufacture

O'Neill

Products

Arkansas

Business—The

Inc.)

(Stroud & Co.) $500,000

Homes/ Inc. (9/26-30)
Aug. 15, 1960, filed $400,000 of convertible subordinated

homes.

Common

Co.,

.Common

(George,

Admiral

debentures, due 1970.

Safticraft Corp.
Waterman

ITEMS

(R.

Inc

Schramm

August 29
•

Pearson

(Friday)

Components,

(G. H.

large number of issues

awaiting processing by the SEC, it is becoming
increasingly difficult to predict offering dates

•

SINCE

Narragansett Capital Corp

NEW ISSUE CALENDAR
NOTE—Because

Co.

Co.,

Inc.)

550,000

Co._____.i2'_CumuIative
and

Watling,

Lerchen

Co.)

Public Service Electric & Gas Co
(Bids

invited)

$50,000,000

Preferred
125,000

shs.'

Bonds
'

'Volume

192

Number 5980

The Commercial and Financial Chronicle

Rocky Mountain Natural Gas Co., Inc.____Common
(Merrill

Lynch,

Pierce,

Fenner

235,000 shares

Smith,

September 27

(11:00

(Merrill Lynch, Pierce, Fenner &
Smith, Inc:) $2,350,000

Brothers

September 28

Co
&

Common

;

Company, Inc.)

(Bids
(Bids

Rochester

noon)

Telephone
(11:00

Bonds

Co.

;

Southern Pacific Co
(Bids

(R.

received)

October 4

Equip. Trust Ctfs.
be

$7,500,000

Gulton

Admiral

(Monday)

Homes, Inc.—
(Arthurs,

Cavitron Corp.
underwriting)

(Bids

Co._
&

(G.

Timer

Corp

Walker & Co.

Lanes,

(Marron,

Sloss & Co.,

Inc.)

October 6

$1,050,000

Common

II.

Walker

Co.)

103,512

•

Co.)

Weld &

Power

Co.)

Certificates, each representing $900 of bonds
Price—$1,800 per unit. Proceeds
used principally to originate mortgage loans and

Arkansas

per

and

;

(

share.

increase

corporate

•

December 6

invited)

Valley

Proceeds

working

—

Mills, Inc.; the re¬
publicly offered. Price

To retire current bank loans

Office—Dardanelle, Ark.

150, shares of stock for each $1,000
purchased), and 60,000 shares of capital stock.
— The
is engaged, through subsidiaries,, in the opera¬

Astrex

—

facilities, and for general corporate
purposes. Office—1721 Eastern Ave., Sacramento, Calif.
Underwriter—York & Co. of San Francisco, Calif.

Underwriters—Clayton Securities Corp., Boston, Mass.,
and Maltz, Greenwald & Co., of New York City.

Lawrence

Atlanta

of record

prove
properties, and acquire additional real estate.
Office—60 E. 42nd St., New York City. Underwriter—
A. J. Gabriel Co., Inc., New York City.

of
are

common

stock

itures.

stock

similarly engaged companies. PriceProceeds—For general

such

centers

share, initially through subscription warrants,

The holders

of outstanding preferred stock will be en¬
titled to purchase the new preferred at the rate of one
new share for each 10 shares held. Common stockholders
will be entitled to
purchase the additional common
one

new

share for

each

July 29,

(par five cents).
production and research for equipment,
inventory, building and working capital. Office—42 S.
15th St., Philadelphia, Pa. Underwriter—Robert M. Har¬
ris & Co., Inc., Transportation Bldg., Philadelphia, Pa.

share. Proceeds — To increase inventory
working capital. Office—2424 E. Washington,
per

company.
concerns

Proceeds—For investments in small business

Office

prise.
D. C.

—

fields, with

be invested in any

1000

(par $4)

common

attraction.

to be offered

—

preferred.
develop land as

Office—Scottsdale, Ariz.

ferred Securities, Inc.

in units of one

and four shares of

unit. Proceeds

Price—
tourist

Underwriter—Pre¬

Bal-Tex Oil Co.,
June

17, 1960

class

one

a proposed
such enter¬

16th Street, N. W., Washington,

Underwriter—S. D. Fuller &

1960

preferred stock
per

(8/29-9/2)

in avionics and related

limit of $800,000 to

Arizona-New Mexico Development Corp.

$25

Investing Corp.

July 12, 1960, filed 400,000 shares of capital stock (par
$1). Price — $10 per share.
Business — The issuer is
a closed
end non
diversified management investment

.Phoenix, Ariz. Underwriter—Newton, Osborne & Rey¬
nolds, Inc., 1800 David Stott Bldg., Detroit, Mich.

•share of

135,000 shares of
Price—$2 per share.

stock

Avionics

Co., New York City.

(Minn.)

invited)

Bonda

$35,000,000

28,

Border Steel Rolling Mills, Inc.
July 25, 1960 filed $1,300,000 of 6% subordinated con¬
vertible debentures, due
1976, and 245,439 shares of

stock, of which

the

stock will be offered to
basis of 53 % new shares
—
For the debentures,
100% of principal amount; for the stock, $5 per share.

holders of record May 31, on the
for each share then held.
Price
Proceeds—For
lated

the

construction

steel

mill

and

re¬

facilities, land purchase,

interest payments, and
general funds.
Office — Mart Bldg., El Paso, Texas.
Underwriters—First Securities Co., Dallas, Texas, and
Harold S. Stewart & Co., El Paso, Texas (for debentures
only).
'
.

•

Boston Capital

•

Bristol

Corp. (9/15)
Aug. 3, 1960 filed 1,500,000 shares of common stock
(par $1) constituting its first public offering. Price—
$15 per share. Business—The issuer is a closed-end, nondiversified maangement investment company. Proceeds
—To invest for capital appreciation in small businesses.
Investment Advisor—Allied Research & Service Corp.,
75 Federal St., Boston, Mass. Underwriter — Shearson,
Hammill & Co., %w York City (managing).
Dynamics, Inc.

(9/6-9)

June

28, 1960, filed 124,000 shares of common stock, of
which 69,000 shares are to be offered for public sale for
the account of the issuing company and 55,000 shares,
being outstanding stock, by the present holders thereof.
Price—$6 per share.
Proceeds—$100,000 for expansion
and further modernization

of the company's plants and
equipment; $100,000 for research and development of
new
products; and the balance (about $123,000) for
working capital and other corporate purposes. Office—

219 Alabama

Ave., Brooklyn, N. Y. Business—Designing,
engineering, manufacturing, producing, and selling elec¬
trical and mechanical assemblies, electronic and missile
hardware components and special tools and fabrications.
Underwriter

—

William

David

Brothers Chemical Co.

Aug.

class

share.
For

1960

(letter

Co., Inc., New York.

(9/21-23)

notification) 100,000 shares of
(par 10 cents).
Price — $3 per
Business—Manufacturing chemicals. Proceeds—
common

general

stock

corporate

Office

purposes.

—

575

Forest

Street, Orange, N. J.
pany,

Underwriter—Sandkuhl & Com¬
Inc., Newark, N. J. and New York City.

•

Bruce National Enterprises, Inc. (8/29-9/2)
April 29 filed 335,000 shares of common stock (par 10
cents).; Price—$6 per share.
Proceeds—For reduction
of outstanding indebtedness; to pay off mortgages on
certain property; for working capital and other corpo¬
rate purposes.
Office—1118 N. E. 3rd Avenue, Miami,
Underwriter

—

George, O'Neill & Co., Inc., New

Inc.

300,000 shares of
($1 per share).
for development of oil proper¬
ties. Office—Suite 1150, First National Bank Bldg., Den¬
ver, Colo. Underwriter—L. A. Huey & Co., Denver, Colo.
stock.

Proceeds—For expenses

Business

Aug.

common

Finance Corp.

1960

of notification) 195,000 shares of
(par 20 cents). Price — $1.50 per share.
Office—1800 E. 26th

(letter

stock

Proceeds—For business expansion.

St., Little Rock, Ark. Underwriter—Cohn Co., Inc., 309
Ridge Road, Little Rock, Ark.

Buttrey Foods, Inc.
Aug. 15, 1960 filed 65,000 shares of common stock. Price
be supplied by amendment. Business—The com¬
pany operates a chain of 21 retail food stores in Mon¬
tana. Proceeds—For equipment and inventory, and for
—To

additional stores

as may be opened in the future. Office
6th St., S. W., Great Falls, Montana. Underwriter
—J. M. Dain & Co., Inc. of Minneapolis, Minn.

—601

Buzzards Bay Gas Co.,

Hyannis, Mass.

June 7 filed 27,000 outstanding shares of common stock,
to be offered for sale by American Business Associates.

(letter of notification)

common

1960 (letter of notification) 27,500 shares of
stock, class A (par $1). Price—$10 per share.
capital. Office—3041 Paseo, Kan¬
sas City, Mo. Underwriter—Midland Securities Co., Inc.,
Kansas City, Mo.

1960 (letter of notification)

common

(Tuesday)

York.

Proceeds—For

Arizona Consolidated Industries, Inc.
July 28, 1960 (letter of notification) 100,000 shares of
capital stock (no par) of which 58,000 shares are to be
offered by the company and the balance by Arthur Spitz.

common

Preferred
$7,500,000

common

Fla.

10 shares

(letter of notification) 12,000 shares of
stock (par $4) and 48,000 shares of convertible

from

Office—100

Autosomes, Inc.

The record date for both groups is June 23 with

28,

McDowell, Dimond & Co., Providence, R. I.

rights to expire on or about Sept. 16.
Proceeds — To
repay the equivalent portion of bank loans. Office—1900
West Slauson Ave., Los Angeles, Calif.

June

(9/6-9)

others, and the reduction of in¬
Medway Street, Providence,
Underwriters—Sutro Bros. & Co., New York and

debtedness.

for

received)

Proceeds—For working

•

general corporate purposes, which may include
equipment of additional bowling centers, or the purchase

and

City, and
Co., Inc.,

Bowling Corp.

the preferred shares at $52 per share, and common shares

Price—$3

Underwriters—(for unsub¬

used for

held.

expend¬

par). Price—To be supplied by amendment. Proceeds—
To furnish and equip additional bowling centers, includ¬
ing the repayment of any temporary indebtedness so in¬
curred, and for working capital. Any balance will be

-May 13, 1960, filed 44,278 shares of preferred stock, and
149,511 shares of common stock. The company is offering

shares at the rate of

share for each
p.m.

June 27, 1960, filed 250,000 shares of common stock (no

writers—A. C. Allyn & Co., Inc., and Bache & Co., both
of New York City (managing).

per

one new

Rights expire at 5

Atlanta, Ga.

Atlantic

To be supplied by amendment.

$15

the basis of

held.

Office—Atlanta, Ga.

both of

corporate purposes, including possible future acquisi¬
tions. Office—901 N. E. 2nd Ave., Miami, Fla. Under¬

then

scribed stock). First Boston Corp., New York
Courts & Co. and The Robinson-Humphrey

publicly

•

Arden Farms Co.

Sept. 1

EDST on
Sept. 19. Price—To be supplied by amendment. Proceeds

offered for the account of the issuing company and the
balance is to be used in connection with exchange offers

for the

—To reduce bank loans incurred for construction

(9/20)

27, 1960 filed 301,884 shares
$2), of which 150,000 shares

Gas

Light Co. (9/1)
Aug. 9, 1960, filed 109,186 shares of common stock (par
$10), to be offered to holders of the outstanding common

/Share. Proceeds—To pay off mortgages, develop and im-

.July
(par

(9/6-9)

aircraft and missile industries. Office—New York City.

Seaway Land Co.
Jan. 27 filed 538,000 shares of common stock, of which
V350,000 shares are to be publicly offered. Price—$3 per

•

Corp.

July 12, 1960, filed 100,000 shares of common stock. Price
—$4 per share. Proceeds — Fpr general corporate pur¬
poses, including debt reduction. Business—The distribu¬
tion of equipment used principally in the electronics,

tion of four bowling centers, and in the sale of bowling
accessories.
Proceeds
Retirement of
indebtedness,

Insurance Co.

Analysts, Inc.

1960, filed

ber.

To be supplied by amendment. Business

Title

For general
Office—11924

—

capital.

selling stockholders. Office — 220 W. 42nd
Street, N. Y. C. Underwriter—Amos Treat & Co., Inc.,
New York City. Offering—Expected sometime in Octo¬

purchase of

American

working

Price—

ceeds— To

debenture

•

to be

Blackman Merchandising Corp.

July

common

stock.

common

105,000 shares of oqts^pding class
A stock (par 10 cents). Price—$3.50 per share. Business
—The company is engaged in the electronic data proc¬
essing and machine accounting service business. Pro¬

American Recreation Centers, Inc.
sinking fund deben¬
tures, due September, 1972 (with attached warrants for

$12,000,000

(Wednesday)

(Bidu

$30,000,000

Feed

capital.

and

purposes

Associated Sales

Aug. 15,

•

American & St.

Bonda
invited)

Northern States Power Co.

Debentures

Angeles, Calif. Underwriter—
Shearson, Hammill & Co., New York.

-Aug. 15, 1960 filed $600,000 of 7%

modernization

Bonds
$60,000,000

Merrimack Essex Electric Co
(Bids

W. Washington Blvd., Los

recreation park on 196 acres of
Liberty, N. Y. Proceeds—For development of
the land. Office—55 South Main St., Liberty, N. Y. Un¬
derwriter—M. W. Janis Co., Inc., New York City.

company

November 16
Bonds

Underwriter—A. G. Edwards & Sons, St. Louis, Mo.

amusement and

—

(Thursday)

(Bids to be

Arkansas Valley

issued

near

Price

November 3

$2,000,000

;Underwriter—Amico, Inc.

the

$250,000,000

(Tuesday)

Georgia Power Co
Preferred

To be supplied by amendment. Proceeds

(Tuesday)

(Bids to be received)

__Bonds

Arnoux Corp.
(8/29-9/2)
May 23 filed 133,000 shares of

$25,000,000

$1,600,000

•carry them until market conditions are favorable for
-disposition. Office — 210 Center St., Little Rock, Ark.

ate

Bonds
received)

Pacific Gas & Electric

invited) $30,000,000

mainder of the registration will be

ic American Playlands Corp.
Aug. 22, 1960 filed 300,000 shares of common stock. Price
^—$4 per share. Business—The company intends to oper¬

100,000 shares

Industries, Inc. (8/29)
9, 1960, filed $400,000 of 6% convertible subordin¬
ated sinking fund debentures and 30,000 shares of com¬
mon stock,
$3 par. $200,000 of the debentures will be

vestment

June

and 783 shares of stock.

■

Walker & Co.)

Allen

(Thursday)

(Bids

April 29 filed $1,800,000 of 4% 20-year collateral trust
bonds and 1,566,000 shares of class A non-voting com¬
mon
stock.
It is proposed that these securities will be
offered for public sale in units (2,000)
known as In¬

land

(Bids to be received)

Columbia Gas System, Inc

American Mortgage Investment Corp.

—To be

Common

Continued from page 28

and

(Thursday)

November 1

Common

(White, Weld & Co.) $5,000,000

Inc

Bonds
$50,000,000

EDT)

a.m.

American Telephone & Telegraph Co._-Debentures

Conv. Debentures

Brothers

Southern Nevada

Unterberg, Towbin & Co.)

Vitramon, Inc.
(G.

$900,000

Inc.)

(Tuesday)

(White,

Common

and

75,000

Lence

October 25

Common
Co.,

Southern Nevada Power Co

$600,000

Florida Power Corp,

Common

(No

$16,000,000

(Wednesday)

October 20

Common

San Diego Gas & Electric Co

$400,000 '

Co.)

Invited)

Co._

(Bids

$120,000,000

Industries, Inc

(Lehman

(Friday)

Dowd

(Bids

Industrial

Bonds

Oil Recovery Corp

Convertible Debentures

Lestrange

Electric

Bond!

Electric Co
to

$60,000,000

received)

(Lehman Brothers and G. H.

September 26

October 19

Mohawk Insurance

Bonds

$12,000,000

Union

be received)

September 30

$20,000,000

N. Y. time) $12,000,000

a.m.

Time)

(Tuesday)

(Bids

New York Telephone Co

$300,000

Pacific Power & Light Co

Louisville Gas &

Bonds

(Wednesday)

(Bids to

(Sandkuhl

New York Telephone

(Wednesday)

Chemical

October

Indianapolis Power & Light Co

•

Rocky Mountain Natural Gas Co., Inc.__Debentures

September 21

(Tuesday)

Inc.)

(781)

Price—At

par

Price

—

To be

Coffin & Burr,

supplied by amendment. Underwriter—■
Inc., Boston, Mass. Offering—Indefinitely

postponed.
Continued

page

The Commercial and Financial Chronicle

(782)

Continued from page 29

Canaveral International Corp.

Aug. 12, 1960 filed 300,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—
Land sales and development. Proceeds—$150,000 for ac¬
counts payable, $335,000 for mortgage and interest pay¬
ments, $250,000 for advertising, $250,000 for development
costs and $290,000 for general working capital. Office—
1766 Bay Road, Miami Beach, Fla.
Underwriter — S.
Schramm & Co., Inc., New York City.
Capital Investments, Inc. (8/29)
July 15, 1960 filed 60,000 shares of common stock. Price
—$11 per share. Business—Issuer is a closed-end, nondiversified management investment company providing
equity capital and advisory services to small business
Proceeds

concerns.

For

—

general corporate purposes.

Office—743 No. Fourth St., Milwaukee,
—The Marshall Co., Milwaukee.

Wis. Underwriter

Corp. (9/26-30)
June 17, 1960, filed 40,000 shares of common stock. Price
$15 per share. Proceeds—To finance the company's anti¬
cipated growth and for other general corporate purposes.
Office—42-15 Crescent

St., Long Island City, N. Y. Un-

writer—None.

Inc. (9/6-9)
July 18, 1960, filed $2,000,000 of subordinated sinking
fund debentures, due Aug. 31, 1975, with attached war¬
rants to purchase 60,000 common shares, and an ad¬
ditional 60,000 common shares. Price—To be supplied by
amendment. Business
The issuer provides a retail
charge account service and credit facilities for merchants
by discounting customers' sales tickets. Proceeds—To
redeem $300,000 of outstanding 6% subordinated partici¬
pating debentures at 110% of principal amount, to in¬
crease working capital, and to reduce indebtedness. Of¬
fice—620 11th Street, N. W., Washington, D. C. Under¬
—

writer

Auchincloss, Parker & Redpath, Washington,

—

D. C.
•

Chematomics, Inc.

cents), of which 175,000 are to be offered for public

sale by the company and 13,300 shares, being outstand¬

ing stock, by the present holders thereof. Price—$3 per
share. Proceeds—For general corporate purposes. Office
—122 East 42nd Street, New York, N. Y. Business—In¬
tends to manufacture and market high heat resistant
ion exchange resins.
Underwriter—Pleasant Securities
Co., Newark, N. J. Offering—Expected in late September.
•

Chemical

Packaging Co., Inc.
(letter of notification) 115,000 shares of

March 16
mon

stock

ceeds

—

(par 10 cents).

For

general

Price—$2.50

corporate

per

purposes.

share.
Office

com¬

Pro¬
—

755

Utica Avenue, Brooklyn, N. Y. Underwriters—Mainland
Securities Corp., 156 N. Franklin Street, Hempstead, N.
Y. and Jeffrey-Robert Corp., 382 S. Oyster Bay Road.
Hicksville, L. I., N. Y. Note—The underwriter states that
the company has withdrawn the letter.
•

Chemtree Corp.

(8/29-9/2)
"
(letter of notification) 262,750 shares of com¬
mon stock (par 10 cents).
Price—$1 per share. Proceeds
—For general corporate purposes. Office—100 W. 10th
April 19

Street, Wilmington 99, Del. Underwriter—Havener Se¬
Corp., New York, N. Y.
r'•

curities

Circle-The-Sights,

Inc.

stock, $1

per share; debentures in units of $1,000 at their
principal amount. Proceeds—For initiating sight-seeing

service.

Office—Washington, D. C.

Underwriter—None.

ic Clark Cable Corp.
Aug. 23, 1960 filed 222,500 shares of common stock, of
.which 127,500 shares are to be offered for the account
of the issuing company and 95,000
shares, representing
outstanding stock, are to be offered for the account of

:the present holders thereof.
ceeds

—

reduce

Robert L. Ferman &

Price—$4

per

share.

Pro¬

indebtedness, with the balance for
Cleveland, O. UnderwriterCo., Miami, Fla. (managing).

working capital. Office

—

Colorado

Bowling Alleys of Israel, Inc.
Aug. 12, 1960 filed 1,000 shares of class A common stock
(to be sold to promoters only), and 48,000 shares of class
B

common stock. Price—For the class
B, $10 per share.
Proceeds—For the construction of
bowling alleys in the
major cities of Israel. Office—520 Eudora St., Denver,
Colo. Underwriter—None.
•

Commerce Oil Refining Corp.
Dec. 16, 1957 filed
$25,000,000 of first mortgage bonds due
Sept. 1, 1968, $20,000,000 of subordinated debentures due
Oct. 1, 1968 and 3,000,000 shares of common stock
to be
offered in units as follows: $1,000 of bonds and 48 shares
of stock and

$100 of debentures and nine shares of stock.
tPrice—To be supplied by amendment. Proceeds — To
construct refinery. Underwriter—Lehman Brothers. New
York.

Offering—Indefinite.

• Commercial Banking Corp. (9/6-9)
July 18, 1960 (letter of notification) $290,000 of 6% sub¬
ordinated debenture bonds due April
1, 1969 with five
.year warrants to purchase common stock. Price—$965
per $1,000 debenture. Proceeds—For working capital.
.Office—104 S. 20th St., Philadelphia, Pa. Underwriter—
Suplee, Yeatman, Mosley & Co., Inc., Philadelphia, Pa.
,

Commonwealth Electronics

Aug. 1,

1960

(letter of

Corp.'

notification) 60,000 shares of
(par 10 cents). Price — $5 per
share. Proceeds—To purchase
machinery and equipment,
research and development and for
working capital. Ad¬
dress
c/o Harold G. Suiter, Box 1061, Rio
Piedras,
Puerto Rico. Underwriters
L. L. Bost Co., Baltimore,
class A

common

stock

—

;Md.

exceed

■

per

by the holders thereof. Price—Notto
share. Proceeds—To be^applied to the

purchase of machine tools,
and

accounts payable,

payment of $95,000 of notes
corporate ^pur¬

and for general

Office—1221 E. Keating Avenue, Muskegon,
Underwriter—To be supplied by amendment.
poses.

Diversified Collateral

Corp.^(8/29-9/2)

Mich.

par common

York City.

•

Croft Carpet Mills, Inc.

Photo,

(9/7)

Diversified Realty

Drug Associates, Inc.
May 6 (letter of notification) 100 units of $100,000 of 7%
sinking fund debenture bonds and 10,000 shares of com¬
mon stock
(par $1) to be offered in units consisting of

purposes.

Aug. 16, 1960 filed 236,000 shares of common stock, of
which 175,000 shares are to be offered for public sale,

derwriter—Fidelity Securities

the balance will be sold to promoters. Price—For
public offering, $2 per share. Proceeds—To repay a
loan, for salaries, operating expenses, purchase of
land, construction of a new laboratory and working cap¬
ital. Office—Washington, D. C. Underwriter—John R.
Maher Associates, New York City. Offering—Expected
and

•

the

sometime in October.

& Investment Co.,

Inc.,

Asbury Park, N. J.
Dunbar

Development Corp.

(letter of notification) 75,000 shares of
stock (par 10 cents). Price — $4 per
general corporate purposes. Office
—237 Sylvester St., Westbury, L. I., N. Y. Business—Pur¬
chase of land and building of homes. UnderwritersNetherlands Securities Co., Inc., and J. A. Winston &
Co., Inc., New York, N. Y. Offering—Imminent.
June

bank

1960

22,

class A

common

share. Proceeds—For

;

Cubic Corp.
June

8, 1960, filed 50,000 shares of capital stock, of
25,000 shares are being offered for the account of
and 25,000 shares for the account of sell¬
ing stockholders. Price—At-the-market at time of offer¬
ing. Proceeds—For additional working capital. Office—
5575 Kearney Villa Road, San Diego 11, Calif. Under¬

Duncan Coffee Co.

which

(9/6-9)

Aug. 4, 1960, filed 260,000 shares of capital stock (par
$1). Price—To be supplied by amendment. Business—
Engaged primarily in importing, processing, packaging
and distributing its own blended coffees, marketed prin¬
cipally

writer—Hayden, Stone & Co., New York City. Note—
offering has been indefinitely postponed due to

under

the

trade

"Admiration." Proceeds

This

names
—

"Maryland Club" and

To pay $2,050,000 aggregate

principal amount of senior subordinated debentures ma¬
turing Dec. 31, 1960, and the balance toward the reduc¬
tion of outstanding trade acceptances of the company.
Office—1200 Carr St., Houston, Texas. Underwriter-

market conditions.

^ Daffin Corp.
Aug. 22, 1960, filed 150,000 shares of common stock (no
par). Price—To be supplied by amendment. Business—

Bear, Stearns & Co., New York City.

The

companymakes
agricultural
implements, feed
grinding and mixing equipment for the livestock indus¬

Dynamic Center Engineering Co., Inc.
20, 1960 (letter of notification) 37,450 shares of
common
stock (par $1). Price—$4 per share. Proceeds
—To promote the sale of new products, for the purchase
of additional equipment and working capital. Address—
Norcross, Ga.
Underwriter—Gaston-Buffington-Waller
Inc., Atlanta, Ga.
June

try, and conveying and seed cleaning equipment. Pro¬
ceeds—To selling stockholders.
Office—Hopkins, Minn.
Underwriters—Lehman

Brothers, New York City, and
Jaffray & Hopwood, Minneapolis, Minn, (man¬

Dakota

of common stock.
general corporate
Office—1238 Corlies Ave., Neptune, N. J. Un¬

one $1,000
debenture and 100 shares
price—$1,100 per unit. Proceeds—For

v \

Cryogenics Inc.

Piper,
aging.

stock. Price—
For additional
N. W., Wash¬
C. Underwriter—Ball, Pablo & Co., Washing¬

ington, D.
ton, D. C.

Inc.

Investment Co.

April 26 filed 250,000 shares of common
$5 per share (par 50 cents). Proceeds —
working capital. Office—919 18th Street,

Aug. 17, 1960 filed 100,000 shares of common stock.
Price—$8 per share. Business—Processing and printing
photographic film. Proceeds—Repayment of loans, ex¬
pansion of facilities, and the balance for working capital.
Office—3132 M St., N. W., Wash., D. C. Underwriter-

•

1960 filed

July 26,

(letter of notification) 74,750 shares of 10c
stock, in the Atlanta, Ga., SEC office. Price
—$4 per share. Business—The company manufactures
and distributes tufted carpets. Proceeds—For inventory,
debt
reduction, and sales and advertising expenses,
Office—205-11 Fourth St., Fort Oglethorpe, Ga. Under¬
writer—A. J. Frederick & Co., Inc., New York City.

Underwriters, Inc.
(letter of notification)

300,000 shares of
common stock. Price—At par
($1 per share). Proceeds
—To pay outstanding notes and the remainder for gen¬
eral corporate purposes. Office—214 W. Third St., Yank¬

Dynatron Electronics Corp.
April 29, 1960 (letter of notification) 100,000 shares of
common stock (par 10 cents). Price—$1 per share. Pro¬
ceeds—For general corporate purposes. Office—178 Herricks Road, Mineola, N. Y. Underwriter—General Securi¬

ton, S. C. Underwriter—Professional Insurers and Inves¬
tors Ltd., 104 E. 8th St., Denver, Colo.

ties Co., Inc., New York, N. Y.
time in September.

•

East Alabama Express, Inc.
April 1 (letter of notification) 77,000 shares of common
stock (par $1).
Price—$2.50 per share. Proceeds—To
repay notes payable, reduce equipment purchase obliga¬
tions, accounts payable and for working capital. Offioe
—109 M Street, Anniston, Ala. Underwriter—First In¬
vestment Savings Corp., Birmingham, Ala.

Aug.

1960

Dalto Corp.
29 filed

March

offered

March 30 filed 165,000 shares of common stock and $330,000 of debentures (10-year 8% redeemable). Price—For

1960

be offered for sale

the company,

June 24, 1960, filed 188,300 shares of common stock (par

Thursday; August 25,

Aug. 8, 1960

Johnston, Lemon & Co., Wash., D. C.

Central Charge Service,

(with the SEC in Atlanta) 75»00®
shares of common stock (par 10 cents). Price—$4 per
share. Business—Mortgage financing in Florida. Proceeds
—For additional working capital. Office—Miami Beach,
Fla. Underwriter—The Tager Co., 1271 6th Ave., New

^ Crown

Cavitron

•

Consolidated Realty Investment Corp.
April 27 filed 2,000,000 shares of common stock. Price—
$1 per share. Proceeds—To establish a $250,000 revolving
fund for initial and intermediate financing of the con¬
struction of custom or pre-fabricated type residential or
commercial buildings and facilities upon properties to
be acquired for sub-division and shopping center devel¬
opments; the balance of the proceeds will be added to
working capital. Office—1321 Lincoln Ave., Little Rock,
Ark. Underwriter—The Huntley Corp., Little Rock. Ark.

record

for

May

(9/6-9)

134,739 shares of common stock, to be
subscription by holders of such stock of
2

rate of one new share for each
supplied by amend¬

at the

two shares then held. Price—To be
ment.

Proceeds—For

the retirement of notes

tional working capital.
writer—None.. "
Dealers

and

Office—Norwood, N. J.
;

addi¬

Under¬

*.'r

Inc.

Corp., Inc.
Aug. 1, 1960 (letter of notification) $300,000 of 7% sub¬
ordinated convertible sinking fund debentures, due July
1, 1975. Price—At face value. Proceeds—For working
capital. Address—Darlington, S. C. Underwriters—G. H.
Crawford Co., Inc. and Frank S. Smith & Co., Inc., Co¬
lumbia, S. C. and V. M. Manning & Co., Inc., Greenville,
• Del Electronics
Corp. (9/6-9)
July 26, 1960 filed 100,000 shares of common stock (par
10 cents). Price—$4 per share. Business—The company

makes,

from its own designs, and sells high voltage
power supplies, transformers, chokes, and reactors. Pro¬
ceeds—For working capital, relocation, and expansion.
Office—521 Homestead Ave., Mount Vernon, New York.
Underwriters
Standard Securities Corp., New York
City, and Bruno-Lencbner, Inc., Pittsburgh, Pa.

Each unit will consist of

The manufacture and sale of mobile homes. Proceeds—

Approximately $1,000,000 to be invested in the capital
stock of its wholly-owned subsidiary Mobile Home Fi¬
nance Co., and the
balance to be added to the general
funds for inventory and accounts receivable. Office—
1517 Virginia St.,
St. Louis, Mo. Underwriter—Hornblower & Weeks of New York City

(managing). Offer¬

ing—Expected in early October.
Detroit Tractor, Ltd.
May 26 filed 1,375,000 shares of class A stock.

Of this
stock, 1,125,000 shares are to be offered for the com¬
pany's account and the remaining 250,000 shares are to

warrant for

date 32 horses each at

an estimated cost of $22,500 each.
$200,000 has been allocated for construc¬
tion of a building covering an indoor training track
and $74,000 for working capital. Office — Randall, N. Y.

Underwriter—None.
• Eastern
Shopping Centers, Inc.
Aug. 15, 1960, filed 1,048,167 shares of common stock to
be offered for subscription by holders of outstanding
common

stock

the basis of

one

new

share for each 3

shares held. Price—To be supplied by amendment. Busi¬
ness—The construction, development and management

100% of principal amount; for the stock, $5 per share.

-A" Detroiter Mobile Homes, Inc.
Aug. 17, 1960 filed 250,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—

one

An additional

(9/6-9)

ing, to the company to be used for expansion and as
working capital. Office—6810 S. W. 81st St., Miami. Fla.
Underwriter— R. A. Holman & Co., Inc.

share and

purchase of an additional share exercisable within
12 months. Price—$3.50 per unit. Proceeds—First step in
the management's program if this financing is successful
and after allocating $10,000 to finishing a training track
surface and $25,000 to property accruement and mainten¬
ance, is the construction of about 15 stables to accommo¬

Oct. 15 filed $330,000 of convertible debentures, and 70,000 shares of common stock. Price—For the
debentures,

Proceeds—From 10,000 shares of the common stock, to
the present holders thereof; from the rest of theoffer¬

one

the

—

Products, Inc.

Racing and Breeders Association,

(9/15)

July 5, 1960, filed 200,000 units of 200,000 shares of cap¬
ital stock and 200,000 warrants to purchase capital stock.

S. C.

Deluxe Aluminum

Central

East

Discount

Offering—Expected some¬
■•'."■"V'i"T.

shopping centers. Proceeds—To be added to the gen¬
funds for working capital and general corporate
'purposes. Office—6L Mall Walk/Cross County Center,
Yonkers, N. Y. Underwriter—None.
•
'
eral

•

• Edwards Engineering Corp.
(9/6)
April 8 filed 85,000 shares of common stock of which
70,000 shares are to be offered for the account of the
issuing company and 15,000' shares, representing out¬
standing stock, are to be offered for the account of the
present holders thereof. Price—$3.50 per share.
Pro¬
ceeds—For general corporate purposes including sal¬
aries, sales promotion, moving expenses, and research
and development work. Office—715 Camp Street,. New
Orleans, La. Underwriter—Sandkuhl & Company, Inc.,

New York

Electro

July

19,

class A

City and Newark, N. J.

Industries, Inc. (letter of notification)

1960

common

tional class A

writers.

75^000 shares

stock (no par) and 20,000 shares of addi¬
stock to be offered to the under¬

common

PriceshrrOf .class A common, .$2. per .share;

Volume

192

Number

5980

The Commercial and Financial Chronicle

additional class A common, 2V2 cents per share. Proceeds
expand the company's inventory to go into the

—To

packaging and export of electrical equipment, and for
working capital. Office—1346 Connecticut Ave., N, W.,
Washington, D. C. Underwriter
Corp., Washington, D. C.
•

—

Carleton

Securities
,

Electromagnetic Industries, Inc.

June

(letter of notification) 75,000 shares of
(par 10 cents). Price—$4 per share. Pro¬

1960

22,

stock

common

ceeds—For

general corporate purposes. Office—Greeley

Ave., Sayville, L. I., N. Y. Business—Manufactures and
sells transformers, magnetic components and electric in¬
strumentation

and

control

devices.

Underwriter—Flo-

menhaft, Seidler & Co., Inc., New York, N. Y. Offering—
Imminent, iv* J*/
'><,«>
1
r,v a
•:
><

(783)

debentures, and for capital for loans for small busi¬
Office—955 Main St., Bridgeport, Conn. Under¬

nesses.

writer—Grimm & Co. of New York City.
•

First

Investors Corp.
(8/30)
19, 1960, filed 270,000 shares of outstanding class
A common stock. Price—To be
supplied by amendment.
Proceeds—To selling stockholders. Office — New York
City. Underwriter—Bache & Co.

July

Electronic

Specialty Co.

filed

150,000

common

stock

(par 50

?cents).

Price—To be supplied by amendment. Proceeds
—To be added to the general funds in anticipation of

capital requirements,

possibly to include acquisitions.
Road, Los Angeles, Calif.
Underwriters—Reynolds & Co., Inc. of New York City
and Bateman, Eichler & Co. of Los Angeles, Calif. Offer¬

,* Office—5121

San

Fernando

ing—Indefinitely postponed.
• Electro-Tec Corp.
(8/31)
"July 1, 1960, filed 135,000 shares of common stock (par
,10 cents), of which 75,000 shares are to be offered for
public sale for the account of the issuing company and
60,000 shares, being outstanding stock, by the present
holder thereof.
Price—To be supplied by amendment.
Proceeds—To be added to the company's general funds

and be

for

used

Fleetcraft

Marine Corp.
July 5, .1960 (letter of notification) 150,000 shares of
capital stock (no par) of which 112,500 shares are being
offered by the
company
and the remainder for the
account of the selling stockholder.
Price—$2 per share.
Proceeds—To pay off debts and for working capital.
Office
c/o Robert R. Chesley, 1235 E. Florence Ave.,
Los Angeles, Calif. Underwriter—Garat &

Ennis

Ave.,

North
•

South

Business

Forms, Inc.

(9/12-16)

June 20, 1960 (letter of notification) 2,000,000 shares of
common stock (par five cents). Price — I2V2 cents per
share. Proceeds—For expenses for oil and gas develop¬
12707

Valleyway, Opportunity, Wash.

Underwriters—Standard Securities Corp. and Pennaluna

£0., .Spokane, Wash, and Herrin .Co., Seattle, Wash.
&L4Fae'Instrument Corp.
July 28,1960 (letter of notification)
common
stock (par 10 cents).
Price
Business

—

The

manufacture

60,000
—

of technical

shares
per

share.

instruments.

Hunter

St., Long Island City 1, N. Y. Underwriter—
Aagaard, Suite 6, Stock Exchange Bldg., 39
Exchange Place, Salt Lake City, Utah. ,
,1
•

Fairmount Finance Co.

(9/12-16)

May 6

(letter of notification) 58,000 shares of class A
common stock
(par $5). Price—At par ($5 per share).
Proceeds—For working
capital.
Office—5715 Sheriff

Road, Fairmount Heights, Md. Underwriter—J. T. Pat¬
terson & Co., Inc., 40 Exchange Place, New York, N. Y.
Farm & Home Loan & Discount Co.

Aug.

1960

(letter

of notification) 125,000 shares of
stock; 50,000 shares of class B common
stock, and 50,000 shares of class C common stock, to be
sold to policyholders of the company. Price—Class A, 25
cents per share; class B, 35 cents per share, and class C,
50 cents per share. Proceeds—For working capital. Of¬

class A

common

fice—2225 N. 16th St.,

Phoenix, Ariz. Underwriter—None.

Farms, Inc.
(letter of notification) $298,000 of 10-year 5%%
debentures, to be offered in denominations of $1,000,
$500 and $250 each. Price—At face value. Proceeds—
For working capital. Office—818 17th Street, Denver 2,
Colo. Underwriter—Wayne Jewell Co., Denver, Colo.
Federal Pacific Electric Co.

Newark, N. J. Underwriter—H. M. Byllesby & Co., Inc.,
Chicago, 111., (managing).
July 21,

1960

common

stock

Industries

Corp. of America

(letter of notification) 100,000 shares of
(par 10 cents) of which 80,000 shares are
to be offered on behalf of the company and 20,000 on
behalf of the underwriter. Price—$3 per share. Proceeds
—To purchase material, repayment of a loan, for adver¬
tising and promotion and for working capital. Office—
730 Northwest 59th St., Miami, Fla. Underwriter—Nelson
Securities, Inc., Hempstead, N. Y.
•

Fidelity Electronics Corp. (9/7)
July 11, 1960, (letter of notification) 150,000 shares of
common stock (par 1Q cents).
Price—$2 per share. Pro¬
ceeds—For general corporate purposes. Office—Fairview
& Hancock Streets, Riverside, Burlington County, N. J.
Underwriter
Metropolitan Securities, Inc., Philadel¬
phia, Pa.
' •• '
"v '
\V
—

First Connecticut SmaGI Business Investment Co.

Aug. 12, 1960 filed 225,000 shares of common stock (par
$1). Price—$10 per share. Proceeds—To retire $150,000

Inc.,

Hillshoro

120,000
property improvements, the repayment of indebtedness,
and the balance for working capital. Office—Ft. Lauder¬
dale, Fla. Underwriters—P. W. Brooks & Co. Inc. and
Lee Higginson Corp.
(for the common only), both of
New York

City. Offering—Expected in late September.

Foto-Video Electronics Corp. (8/29-9/2)
April 26 filed 125,000 shares of class B stock.

$4 per share.

Price—

Proceeds—$100,000 for research and de¬

velopment, $200,000 for working capital, and the balance
for

sales

promotion expenses. Office — Cedar Grove,
Underwriter—Fund Planning, Inc., New York City.

Four Star Television

27,

1960

filed 120,000 shares of capital stock.
supplied by amendment. Business—The
company and its subsidiaries will produce and market
be

Ave., North Hollywood, Calif. Underwriter—DempseyTegeler & Co., St. Louis, Mo. (managing). OfferingExpected in early September.

^Franklin Discount Co.
Aug. 23, 1960, filed $300,000 of 8% subordinated' convert¬
ible debentures, due
serially >1966-1968, and $300,000 of
subordinated

capital notes5 due: eight years, eight
eight days after date of issue. PHces—At
Business—The company is engaged in the consumer

months
par.

finance
in the

and

small olan business,

and, to a lesser extent,
boat, and appliance installment
Proceeds—For general cor¬
Office—105 North Sage Street, Toccoa,

purchasing of

car,

sales contracts from dealers.
porate purposes.
Ga.

Underwriter—None.

Fritzi of California Mfg. Corp.

common stock (par $1).
Price—To be supplied by amendment.
Proceeds—$75,000
will be used for additional
working capital, inventories

and facilities for the Portland

Discount Center;

$75,000
Center; and $50,000
capital for General Sales Acceptance

for the same purposes in the Salem
to provide working

Corp. for credit sales to member customers.
The bal¬
of the proceeds will be used to
open two new stores
in Oregon and Idaho. Office
1105 N. E. Broadway,
Portland, Ore. Underwriter — Fennekohl & Co.. Inc.,
New York. Offering—Expected in
mid-September.
—

General Steel Castings Corp. (9/15)
July 22, 1960 filed 296,649 shares of common stock (par
$1), of which 100,000 shares are to be offered for the
account of the issuing company and the
balance, repre¬
senting outstanding stock, will be offered for the ac¬
count of the present holders thereof. Price—To be related
to the market price for the shares at the time of the

offering. Proceeds—To be loaned to St. Louis Car Co., a
subsidiary. Office — 1417 State St., Granite City, 111.
Underwriter
Hornblower & Weeks, New York City
(managing). \
v.
/
' \ *
—

★ Geographic Educationals, Inc.
Aug. 11, 1960 letter of notification 30,000 shares of 8%
preferred stock and 30,000 shares of
—Of

preferred, at
($1

par

common

stock. Price

($5 per share) and common at
share). Proceeds—For production of travel

per

par

films. Office—Room

15, 711 Fremont St., Las Vegas, Nev*

Underwriter—None.
Glen

Manufacturing, Inc.
Aug. 8, 1960 filed 125,000 shares of common stock, of
which 100,000 shares are to be offered for the account
of

the issuing company and
25,000 shares, representing
outstanding stock, are to be offered for the account of

the present holders thereof. Price—$10
per share. Busi¬
ness—The company makes and sells ladies

clothes, bath¬
fixtures, and, through Mary Lester Stores, yard
goods, sewing supplies, decorating fabrics, and various
notions. Proceeds—For working
capital, including, ini¬
room

tially, the reduction of short

term bank loans which ag¬

gregated $2,650,000 on July 25. Office—320 East Buffalo
St. Milwaukee Wis. Underwriter—Loewi &

Co.,

Mil¬

waukee, Wis. (managing).
ic Glickman Corp.
Aug.
stock

19, 1960 filed 400,000 shares of class A common
(par $1). Price—$10 per share. Business—The com¬

pany, organized in
real estate business.

May, 1960, plans to
Proceeds

For

—

in the

engage

general corporate

Office—565 Fifth Ave., New York City. Under¬

purposes.

writer—?To be named by amendment.

Gold Medal Packing Corp.
June 17, I960, filed 100,000 shares of 25c convertible
pre¬
ferred stock (par $4).
Price—At par.

Proceeds—Ap¬
$150,000 will be used to discharge that
its obligation to Jones & Co. pursuant to

proximately
portion

which certain inventories

are

indebtedness

Co.

to Jones

pledged
was

collateral.

The

initially incurred

(9/1-15)
July 5, 1960, filed 100,000 shares of common stock (par
$1) of which 30,000 shares are to be offered for public

June

sale for the account of the issuing company,

house, and the balance will be used for general corporate

and 70,000
shares, being outstanding stock, by the present holders
thereof.
Price—To be supplied by amendment.
Busi¬
ness—Company is engaged in the production and sale
of popularly priced blouses and sportswear coordinates
for girls and women. Proceeds—From the stock sale, and
funds from working capital, totalling $293,092.75, will be
contributed to the capital of Fritzi Realty, a wholly
owned subsidiary, to purchase for cash from 177-First
Street Corp. the building presently used by the com¬
pany.
Office—167-199 First Street, San Francisco, Calif.

Underwriters—Bear, Stearns & Co., of New York, and
Schwabacher & Co., of San Francisco and New York.
Frouge Corp.
July 22, 1960 filed $1,500,000 of 6%% convertible sub¬
ordinated debentures, due September 1975, and 150,000
shares of common stock (par $1), of which filing 50,000
of the

common

are

to be offered for the account

selling stockholders and the balance for the account
the issuing company.
Prices — To be supplied by
amendment. Business—The company is engaged in the
construction business, both as a general contractor and
of

Aug. 2, 1960 filed 377,000 shares of common stock and
$45,000 shares of outstanding 5V2% convertible second
preferred series A stock, of which 127,000 common
shares represent part of the issuer's payment for, all of
the outstanding common of Pioneer Electric Limited.
The balance will be offered publicly. Price — To be
supplied by amendment. Proceeds—To acquire the cash
necessary to complete the Pioneer payment (see above),
with the balance to retire short-term bank loans, and
be added to working capital. Office — 50 Terrace St.,

Glass

Hogan,

Also
filed
were
120,000
shares
of
Price—For the units, $500 per unit; for
common shares, $1 per share. Proceeds — For

June 13

Fiber

stock.

common

Proceeds—For payment of current liabilities, an expan¬
sion program, and for operating capital.
Office—42-61
Elmer

Arthur

television film series and related enterprises. Proceeds
—For general corporate purposes. Office—4030 Radford

Co., New York City.

Office—E.

stock.

common

July

ment.

Polonitza, Inc.,
longer involved in the under¬

Corp.
,1,
Aug. 16, 1960 filed $1,000,000 of junior lien bonds, 7%
series, due 1975, and 150,000 shares of common stock,
to be offered in units of a $500 bond and 75 shares of

Price—To

selling stockholders. Office ■— 214 West
St., Ennis, Texas. Underwriter—Kidder, Peabody

underwriter

Hollywood, Calif.

Florida

N. J.

Evergreen Gas & Oil Co.

New

Proceeds—To

Angeles, Calif, is

writing.

July 14, 1960, filed 74,546 shares of outstanding common
stock (par $2.50). Price—To be supplied by amendment.
Knox

Los

general corporate purposes.

Office—10
Hackensack, N. J.
BusinessDesign, development, manufacture and sale of slip ring
and brush block assemblies, switching devices and re¬
lays for electronic equipment. Underwriter—Harriman
Ripley & Co., Inc., New York.
Romanelli

General Sales Corp.

April 28 filed 90,000 snares of

ance

•

—

•

-June

•

builder for its own account. Proceeds— For debt
reduction and working capital. Office—141 North Ave.,
as

Bridgeport, Conn. Underwriter—Van Alstyne, Noel &
Co., New York City (managing). Offering—Expected in
late September.
Funded Security Corp.

15, 1960 in connection with refinancing the com¬
pany's obligations to a bank. In addition, $15,000 will
be

used

for

the

construction

additional

smoke¬

Office—614 Broad Street, Utica, N. Y.

purposes.

Busi¬
processing, pack¬
ing and distribution of meats and meat products, prin¬
cipally sausage products, smoked meats, bacon, and meat
specialties. It also sells certain dairy products.
Under¬
writer—Ernst Wells, Inc., 15 William Street, New York
City.
" v. ■
ness—The company is engaged in the

Greenbelt Consumer Services, Inc.
April 28 filed 40,000 shares of series A common stock
and 160,000 shares of series B common stock.
Price—$10
per share.
Proceeds—$400,000 will be used in payment
of bank loans made in January to finance the
purchase
of equipment for two new supermarkets which are
plan¬
ned to be opened in

May and June, 1960. Approximately
$200,000 will be used for the purchase of inventory for

the

two new stores. The company contemplates
open¬
ing four additional supermarkets within the next two

and one-half years. Approximately $1,200,000 of the
pro¬
ceeds of the offering will be used to finance the
pur¬
chase of equipment and

inventory for such stores.
The
approximately $182,000 will be added to gen¬
working capital. Office—10501 Rhode Island Ave.,
Beltsville, Md. Underwriter—None.
- ~
•
v
■:/
balance of
eral

Guardian Central Trust, Inc.
June 3 filed 484,862 shares of common
stock, of which
200,000 shares are to be publicly offered, and the re¬

maining shares

are

reserved for

the

acquisition of the
Price—$6 per share.
public offering, to be invested in

July 7, 1960, filed 200,000 shares of common stock. Price
—To be supplied by amendment.
Business—The issuer
is a holding company organized under Illinois law in

stock

December, 1959. Proceeds—$600,000 will be transferred
to the general funds of Funded Security Life Insurance
Co., a newly organized legal reserve life insurance com¬
pany wholly owned by the issuer, for investment in in¬

Memphis, Tenn. Underwriter-James N. Reddoch & Co.,
Memphis, Tenn.

come
producing securities and expansion through ac¬
quisition. Office—2812 W. Peterson Ave., Chicago, 111.
Underwriters—H. M. Byllesby & Co., Chicago, and Kalman &
Co., Inc., St. Paul, Minn.

Gateway Sporting Goods Co.
July 7, 1960 filed 70,000 shares of common stock (par
$5). Price—To be supplied by amendment. Proceeds—
Together with the proceeds from an anticipated $700,000
loan from an insurance company, will be used to retire
a $425,000 bank loan and to finance the company's ex¬
pansion program. Business—The company is principally
a
retail
organization specializing in sporting goods,
photographic equipment, toys, wheel goods, luggage and
related
sas
sas

recreational lines. Office—1321 Main St., Kan¬
City, Mo. Underwriter—Stern Brothers & Co., Kan¬
City, Mo.

Guardian

Proceeds—From
Guardian

Discount

the

Discount

Co.

Office—1415

Union

Avenue,

Gulton Industries, Inc. (10/4)
Aug. 11, 1960 filed 100,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—
The research, development and manufacture
of elec¬
tronic, electro-mechanical and electro-acoustic compo¬
nents, instruments and equipment, which are sold to
military and commercial manufactures. Proceeds—To be
added to

the general

funds, for requirements including

additional working capital for inventories and accounts
receivable. Office

—

212 Durham

Underwriters—Lehman

Brothers

Ave., Metuchen, N. J.
and

Walker

Co., both of New York City (managing).
Hallicrafters Co.

(9/19-23)

July 22, 1960 filed 300,000 shares of capital stock (par
$1), of which 100,000 shares are to be offered for the
account of the issuing company and the balance, repreContinued

page

The Commercial and Financial Chronicle

(784)

Continued from page 31

Underwriters—Amos Treat & Co., Inc., New York,

Pa.
and

Lenchner, Inc., Pittsburgh,
Expected sometime in October.

senting outstanding stock, is to be offered for the account
of the present holders thereof. Price — To be supplied
by amendment.
Business — The research,
develop¬
ment, and manufacture of military electronic equip¬
ment, and the commercial manufacture and sale of short¬
wave sending and receiving
equipment. Proceeds—For
working capital, including the reduction of indebtedness
by $1,000,000. Office—4401 W. Fifth Ave., Chicago,, 111.
Underwriter—Paine, Webber, Jackson & Curtis (manag¬
ing).

Head Mills,

Indian

Pa.

Offeringv.

York

City (managing). Offering—Expected in late Sep¬
or early October.

tember

Indian

Trail

Ranch,

Inc.

June 28,

Inc. (9/15)
July 22, 1960 filed 191,667 shares of common stock (10c
par), of which 150,000 shares will be sold for the account
of the issuing company and 41,667 shares, representing
outstanding stock, will be sold for the account of the
present holders thereof. Price —.To be supplied by4
amendment. Business—The issuer is engaged primarily
in the formulation, manufacture, distribution, and sale
of feed supplements, minerals, and pre-mixes for the
livestock industry in the mid-west. Proceeds—To retire
long-term debt; for a new automated plant, and for addi¬
tional working capital. Office — Pittsburgh, Kansas.
Underwriter—S. D. Fuller & Co., New York City.
Brand,

1960, filed $585,000 of 6% convertible promis¬
notes due 1965; 171,600 warrants to purchase the

sory

said notes; and 57,200 common shares issuable upon con¬
version of the notes.
The company proposes to offer its
common

stockholders

at the rate of

rights to subscribe to the notes
$5 principal amount of notes for each share

stock held.

common

Each stockholder is entitled to

one
subscription right for each share
rights are required to subscribe for

held; and three
one

note

the

amount

$15, the minimum subscription.
Business—
The company is authorized to engage in a general farm¬
ing and ranching business.
Proceeds — To enable the
obtain the necessary funds required to meet

company to

financial

various

Hawaiian Electric Co., Ltd.
July 25, 1960 filed 116,643 shares of common stock, to
be offered to holders of the outstanding common on the
basis of one new share for each eight shares held. Price
—To be supplied by amendment. Proceeds—For capital
expenditures. Office—900 Richards St., Honolulu, Hawaii.

bank

loans,

commitments

connection

with

its

mortgage

payments and carrying charges
to some 44,000 acres.
Office — Southern
Blvd., West Palm Beach, Fla. Underwriter—None.

with respect

Industrial

Development Bank of Israel Limited
July 22, 1960 filed 10,000,000 6% preference C shares.
Price—$1 per share, payable in cash or in Israel bonds.
Proceeds
For use as working capital to be used in

Underwriter—None.

—

Hawaiian

Pacific

Industries, Inc.

granting loans to firms judged beneficial to the Israel
economy. Office—113 Allenby Road, Tel-Aviv, Israel.
Underwriter—Harry E. Brager Associates, Washington,
D. C. and New York City. Offering—Expected sometime
in September.

June 29, 1960, filed $1,350,000 of 6%% convertible sub¬
ordinated debentures, due September, 1970, and 100,000
shares of common stock. Price—Debentures, at 100% of

principal amount;
per

common

share. Proceeds

stock at

maximum of $10

For construction

—

expenses, new

• Industrial
Timer Corp.
(9/26-30)
July 28, 1960 filed 75,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—
The manufacture and sale of timing
controls, relays,
and a recently developed actuating programmer.
Pro¬
ceeds—For general corporate purposes, including con¬
struction, additional personnel, and the reduction of

equipment, reduction of indebtedness, and the acquisi¬
tion of properties. Office — Honolulu, Hawaii.
Under¬
writers—Bosworth, Sullivan & Co. and Lowell, Murphy
& Co., both of Denver, Colo.
Offering—Expected in early
September.
•

Heldor Electronics

June

Manufacturing Corp.

(9/12-16)

indebtedness.

29, 1960 (letter of notification)

100,000 shares of
common stock
(par 10 cents). Price—$3 per share. Pro¬
ceeds—For general corporate purposes.
Office — 238
Lewis Street, Paterson, N. J. Underwriter—S. Schramm
& Co., Inc., New York, N. Y.

Aug. 16, 1960 filed 110,000 shares of common stock. Price
—To be supplied by amendment. Proceeds—To
pay the
balance due

units of

one

$1,000 debenture and

and

share. Business—Makes
establish
nance

acquiring, improving,

Proceeds—To

reduce

funded

debt.

Office—401

engaged in real estate financing and lending. Proceeds
—For
general
corporate
purposes.
Office — 409
N.
Nevada, Colorado Springs, Colo. Underwriter—None.

subordinated
100%.

debentures

These

3b, 1965 inclusive.
purposes.

Office

sometime in October.

Inc.

(par $1).
Proceeds—To further the corpo¬
rate purposes and in the
preparation of the concentrati
and enfranchising of
bottlers, the local and national pro¬
motion

and

per

share.

advertising

its

beverages,

and where
necessary to make loans to such bottlers, etc. Office—
704 Equitable Bldg., Denver, Colo.
Underwriters— Pur¬
vis

Colo.
•

Co. and Amos C.

Sudler &

Co., both of Denver,

Offering—Expected in early October.

I. D.

June 29,
common

Precision Components
Corp.

1960, (letter of notification) 200,000 shares of
stock (par 10 cents).
Price—$1 per share. Pro¬

ceeds—For general corporate
purposes.
Van Wyck

—R. A.

Office

—

89-25

Expressway, Jamaica 35, N. Y. Underwriter
Holman & Co., Inc., New
York, N. Y. Offering-

Expected sometime in September.
•

Illinois Beef, L. & W. S.f Inc.

29 filed 200,000 shares of outstanding common
Proceeds—To selling stockholders.
Price—$10
per share.
Office—200 South Craig Street,
stock.

Pittsburgh,

Proceeds—For working

Pico-Rivera, Calif. Underwriter
Co., Los Angeles, Calif.

—

capital.
Office—
William R. Staats &

Kent Publishing Co., Inc.

July

20,

1960

(letter

notification)

50,000

stock (par $1). Price—$1.10 per share. Proceeds
—To retire a short term note and for general corporate
common

Office—619 Southeastern Bldg., Greensboro,
Underwriter—McCarley & Co., Inc., Asheville, N.C.

purposes.

N.C.

•
Kings Electronics Co., Inc. (9/19-23)
May 26 filed 200,000 shares of common stock (par 10
cents) and 100,000 common stock purchase warrants.
The company proposes to offer these securities for public
sale in units, each consisting of one share of common
stock and one-half common stock purchase warrant.
Price—$4 per unit. Proceeds—$165,000 will be applied
to the repayment of certain loans, $75,000 for develop¬

ment

and

design work by a subsidiary in the field of
instrumentation, $100,000 for continued re¬
search in the design, development and production of
components for microwave instruments, and the balance
for working capital. Office—40 Marbledale Road, Tuckahoe, N. Y.
Underwriters — Ross, Lyon & Co., Inc.;
Globus, Inc.; Reich & Co.; Harold C. Shore & Co. and
Godfrey, Hamilton, Magnus & Co., all of New York City.
infra-red

Kollmorgen Corp.
July 29, 1960 filed 80,330 shares of common stock (par
$2.50) of which 35,000 shares are to be offered for the
account of the

issuing company and 45,330 shares, repre¬
senting outstanding stock, are to be offered for the ac¬
count of the present holder thereof. Price—To be
sup¬
plied by amendment. Business—The company makes op¬
tical equipment, including submarine
periscopes, torque
motors, and other electro - mechanical and electronic
equipment. Proceeds—To redeem all of the outstanding
7% cumulative preferred; for bank debt
reduction; to
repay outstanding first mortgage note; for machinery
and equipment; to pay a promissory
note; and for work¬
ing capital. Office — 347 King St., Northampton, Mass.

Underwriter—Putnam & Co., Hartford, Conn,
ing.) Offering—Expected in early October.

(manag¬

Lawndale Industries, Inc.
Aug. 15, 1960 filed 100,000 shares of class A stock. Price
—$5 per share. Business—The manufacture of porcelain
enameled steel

plumbing fixtures. Proceeds — For the
equipping of a new plant, and the re¬
duction of outstanding bank loans. Office — Haven &
Russell Aves., Aurora, 111. Underwriter—Paul C.
Kimball
construction and

& Co. of

Chicago, 111.

Leadville Water Co.
June 28, 1960 (letter of notification)
$220,000 of 20-year
6% series A first mortgage coupon bonds to be offered
in denominations of $1,000. Price—At par. Proceeds—
For
of

mortgage payment, outstanding notes, construction
water supply and general corporate
purposes.

new

Office—719 Harrison Ave.,
Leadville, Colo. Underwriter
—H. M. Payson & Co., Portland, Me.
/ v

June

14, 1960

(letter of notification) 135,000 shares o2
(par 10 cents). Price—$2 per share. Pro¬
ceeds—To expand operations. Office—3628 Rhawn
St.,
Philadelphia, Pa. Underwriter — Atlantic Equities Co.,
Washington, D. C.

common

stock

•

Lence Lanes, Inc. (9/26-30)
/ ;
July 22, 1960 filed 175,000 shares of common stock (par
$1). Price—$6 per share. Business—The company oper¬
,

Copley & Co., Colorado

restaurants, bars, and luncheonettes, sells supplies,
rent lockers, shoes, and
meeting rooms. Proceeds
reduce indebtedness, complete Garfield
Lanes in
Jersey City, N. J., and for working capital. Office—4650
Broadway, New York City. Underwriter—Marron, Sloss
& Co., Inc., New York City
(managing). ;
and

—To

Liberian

May

bonds, $500

of debentures and 15 shares of
capital stock. Price—For

units, to be supplied by amendment, and not to be in
of par.

postponed.

being registered.

Proceeds—For investment

in U. S. Government securities. Office—50 Broad
Street,
New York City. Underwriter—To be
supplied by amend¬
ment.
Attorneys — Brinsmade &

Shafrann,

Pine

Street, New York 5, N. Y.
Itemco, Inc.
April 29 filed 200,000 shares of common stock. Price—
$2.50 per share. Proceds—For repayment of outstanding
debt, for instrumentation and automation of laboratory
equipment, for expansion of existing manufacturing fa¬
cilities and the acquisition or establishment of additional
facilities, and the balance for working capital. Office—
18 Beechwood Avenue, Port
Washington, N. Y. Under¬
writers—Morris Cohon & Company and Schrijver & Co.,
of

New

York.

it Kaynar Inc.
Aug. 24, 1960 filed 300,000 shares of common stock, of
which 100,000 shares are to be offered for the account

Ltd.

bentures due 1985 of Lio, an
unspecified number of
shares of Lio capital stock, to be offered in
units.
The
units will consist of $500 of collateral trust

Price

Ore

joined with The Liberian American-Swedish
Co., Monrovia, Liberia, in the filing of $15,000,000 of 6V4% first lien collateral trust bonds, series A,
due 1980, of Lio, $15,000,000 of
6%% subordinated de¬

excess

—

Iron

Minerals

—97

the

•

Lee Electronics Inc.

Irving Fund for Investment in U. S. Government
Securities, Inc.
July 22, 1960, filed 400,000 shares of common stock.

both

April

—

$25 per share. Business — A diversified invest¬
ment company, which will become an
open-end company
with redeemable shares upon the sale and issuance of

June 29 filed 600,000 shares of
common stock

Price—$2.50

issuing company and 200,000 shares, representing
outstanding stock, are to be offered for the account of
the present holders thereof. Price—To be supplied by

ates automatic bowling centers, associated ventures
such

stock

Inc., and Riviere Marsh & Co., both of Washington.

811

—

•

common

Shopping Center, Falls
Church, Va. Office—1823 Jefferson Place, N. W., Wash¬
ington, D. C. Underwriters—Investors Service Securities,

Grange Rd., Teaneck, N. J. Underwriter
Vickers,
Christy & Co., Inc., 15 William St., New York
5, N. Y.

Offering—Expected

Safflower Corp.

(letter

to offer investors a chance to
participate in
diversified real estate ventures. Proceeds—To purchase
all or part of the Falls Plaza

Pro¬

—

class

1960

intends

convertible

through June 30,1965 into capital stock at $2.50 per share
to and including June
30, 1962, at $3.33% per share from
July 1, 1962 to June 30, 1964 inclusive and at $4 per
share from July
1, 1964 to June
ceeds — For general corporate

July 14, 1960, filed 100,000 shares of common stock.
Price—$10 per share, in 100-share units. Business—The
company, which has not as yet commenced operations,

$300,000 of 7%%
July 1, 1970.
are

Aug.

Investor Service Fund, Inc.

due

debentures

product

Denver, Colo. Underwriter
Springs, Colo.

•

—

diodes*-Proceeds—To

notification) 60,000 shares of
(par $2).
Price—$5 per share.
Proceeds—To retire outstanding loans, purchase of
plant¬
ing seed, lease or purchase land, building and machinery
and for working capital. Office — 350
Equitable Bldg.,

July 15, 1960 filed 1,000,000 shares of common stock (par
50c). Price—$1 per share. Business—The company is

Price

new

International

Colum¬

Home Builders Acceptance
Corp.

convertible

staff

sells

City.

Topeka, Kan. Underwriter—None.

Honey Dew Food Stores, Inc.
June 24, 1960 (letter of
notification)

and

production and sales engineers, fi¬
development, buy equipment, and
add to working capital. Office—90 Forrest
St., Jersey
City, N. J. Underwriter—Ernst Wells, Inc., New York

one

developing, selling,
leasing of improved and unimproved real property.

bian Bldg.,

Thursday, August 25, 1960

—

owning,

shares, and

International Diode Corp.
July 29, 1960 filed 42,000 shares of 6% non-cumulative
convertible preferred stock (par $8). Price —
$8 per

class A share. Price
To be supplied by amendment.
Business—The principal business of the company, which
was organized under Kansas law in
June, 1959, will be
the

the purchase of Western Life

working capital. Office—Sacramento, Calif. Underwriter
—Schwabacher & Co., San Francisco, Calif, and New
York City. Offering—Expected in
mid-October.

Aug. 17, 1960 filed $1,650,000 of 6% subordinated deben¬
tures, due 1980, and 1,650 shares of class A common stock,
offered in

the balance will be added to the general funds to finance
the development of general life insurance
agency and for

llr Hilltop, Inc.

Office—1407 McCarter Highway,
Newark,
—
G. H. Walker & Co. and C. E.

Underwriters

Unterberg, Towbin Co., both of N. Y. City (managing).
• Intercoast
Companies Inc.

Helicopters, Inc.
May 19 (letter of notification) 60,000 shares of common
stock (par $1).
Price — $5 per share. Proceeds — For
purchase of equipment, tools, inventory and working
capital. Office—Heliport, Stapleton Airfield, Denver 2,
Colo. Underwriter—Insurance Stocks, Inc., Denver, Colo.
Offering—Expected in late August or early September,

of the

amendment.

Inc.

Aug. 10, 1960 filed 60,000 shares of outstanding common
stock (par $1), of which 50,000 shares are to be offered
for the account of present holders, and the remaining
shares being registered pursuant to an option agreement.
Price—To be supplied by amendment. Business—Pro¬
duction and distribution of fabrics, and related services
for fabric converters. Proceeds—To selling stockholders.
Office—111 W. 40th Street, New York City. Underwriters
—Blair & Co. and F. S. Smithers & Co., both of New

it Harrington Homes Corp.
Aug. 9, 1960 (letter of notification) 250,000 shares of
common
stock. Price—At par ($1 per share). Office—
940 Willow Rd., Menlo Park, Calif. Underwriter—None.
Harvest

Bruno

Queen

Proceeds—To make loans to Lamco. Office
Charlottetown, Prince Edward Island,

St.,

Canada, N. S

Underwriter—White, Weld

New York. Note

—

This

Co., Inc.,

offering has temporarily been

Lifetime Pools Equipment
Corp.

July 1, 1960, filed 100,000 shares of common stock. Price
—To be supplied by amendment.
Business—Engaged in
the

manufacture

pools.

and

selling

Proceeds—$125,000 will

chinery

of fiber glass swimming
be used to purchase ma¬

and
equipment; $200,000
to
purchase
raw
materials, parts and components; $40,000 for sales and
advertising promotion; $30,000 for
engineering and de¬
velopment; and the balance will be added to working

capital. Office—Renovo, Pa.
ington Corp., Pittsburgh, Pa.

Underwriter—First Penn¬

it Lithium Corp. of America, Inc.
nated

*?\

filed $2,300,000 of

convertible subordi¬
be supplied by

debentures, due 1970. Price—To

amendment, but the new debentures will first be offered
in exchange for
$925,000 of outstanding 5% convertible
debentures maturing in 1964.
Proceeds—For construc¬
tion, liquidation of bank debt, replacement of
500

?ncJ the purchase of mining

Fifth Ave.,-New

working
equipment. Office—

York City. Underwriters —
Bear,

Volume

Number 5980

192

The Commercial and Financial Chronicle

Co. and John H. Kaplan & Co., both of New

Stearns &

Price—To be

York City (managing). Offering—Expected in early Oc¬
tober.

Gas

Louisiana
June 10,

■.

■'

V;,' >/■,

,y-v

202

Dwight Building, Jackson, Mich.
C. Kimball & Co., Chicago, 111.

common stock

Mohawk Business

(par

$10) to be issued by Louisiana Power & Light Co. to
stockholders of Middle South Utilities, Inc., on the basis
of one share of Louisiana Gas Service Co. common stock
for each 25 shares of common stock of Middle South held

July

•

187,500 shares are to be offered for the account
of the issuing company and 166,500 shares, representing
outstanding stock, are to be offered for the account of
which

Price—To be supplied by

(9/30)
Aug. 8, 1960, filed 75,000 shares of class A common stock.
Price—$12 per share. Proceeds—For general funds. Of¬

May

fice—198

discount of

due for the

come

Office—10

ment.

Business—This

and

III.

Dorrance

Street,

non-diversified

Business Investment Act

of small business concerns.
Co., New York.

1958

I960,, filed 128,000 shares of common stock.
Price—To be supplied by amendment. Proceeds—To be
added to the capital fund to allow for the expansion of
business and to increase borrowing capacity. Part of the
proceeds may be used temporarily to reduce bank bor¬
rowings. Underwriters—Rodman & Renshaw and H. M.
Byllesby and Co. Inc., both of Chicago, 111.

•

National

June

Capital

Corp.

capital
by the

diversified

Underwriter—G. H.

l,000,u00 shares of capital stock. Price—To
be supplied by amendment. Proceeds—To complete pay¬
ments on the company's
property, for repayment of
loans, and the balance to be added to the general funds
for construction purposes and acquisitions. Office—Los
Angeles, Calif. Underwriters—William R. Staats & Co.,
of Los Angeles, Calif., and Bache & Co. and Shearson.
Hammill & Co., both of New York City. Offering—In¬
definitely postponed.

and

(9/12-16)

qualified brokers.

the

balance

for

•

Floyd D. Cerf Jr. Co., Inc.,

Milgo Electronic Corp. (9/6-9) '
July 28, 1960 filed 65,000 shares of common stock (par
$1), to be offered to the holders of the outstanding com¬
mon

held.

the

basis of

Price—To

one

new

supplied by amendment. Business—

Making and selling electronic equipment and systems for

development, $125,000. The balance will be
used as working capital. Office—7620 N. W. 36th Ave.,
Miami, Fla. Underwriter — Shearson, Hammill & Co.,
New York City.

July 8,

(letter of notification) 200,000 shares of
(par 10 cents). Price—$1.50 per shaie.
Proceeds—For general corporate purposes.
Office—245
4th Street, Passaic, N. J. Underwriter—Edward H. Stern
& Co., Inc., 32
Broadway, New York, N. Y.
Missouri Public Service Co.

common

the

basis

one

new

for

each

•

Model Finance Service, Inc.

May 26 filed 100.000 shares of second cumulative pre¬
ferred stock—65c convertible series, $5 par—and $1,000,000 of 6^% junior subordinated debentures, due 1975.

of which

stock,
will

offered

189,000
for

shares, being outstanding

the

account

the

present

thereof,

NeedStam

Packing Co.

(8/30)

of common stock.
Proceeds—Toward
the payment of a $2,000,000 bank loan. Office — Sioux
City, Iowa. Underwriter— Cruttenden, Podesta & Co.,
Chicago, 111. -

(managing).

300,000 shares

the holders
one

new

noon.

common

its outstanding

stock

common

being
stock

share for each three shares held

Information Meeting—Scheduled for Sept.

19 at 3:30 p.m.

Pearson

;

(9/6-9)
y;
March 30 filed 50,000 shares of common stock. Price—To
be supplied by amendment. Proceeds—$60,000 will bo
ness

Corp.

it North American Mortgage & Development Corp.
Aug. 19, 1960 filed 412,500 shares of common stock. Price
—$5 per share. Business—The company was organized in
December 1959 for the purpose of acquiring ownership
of acreage land to be developed for commercial,and resi¬

to repay the company's indebtedness to Busi¬
Development Co. of Rhode Island; the balance will

principally to finance inventory and for other
manufacturing costs. Office—1 Constitution St., Bristol*

poses,

R. I. Underwriter—R. A. Holman & Co.,

Inc., New York.

Perkin-Elmer Corp.

(9/6-7)
July 21, 1960 filed 100,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—
The company is Engaged iri th& design, manufacture, and
sale of scientific

instruments. Proceeds—For plant con¬

struction

($1,400,000), machinery and equipment ($500,000), and general funds. Office — Main Ave., Norwalk,
Conn. Underwriter—Blyth & Co.,
Inc., New York City

28, 1960, filed 200,000 snarer,
Price—To be supplied by amendment.

Inc., and Kidder, Peabody & Co., both of New

Inc.

June

1959-60 for construction expenses. Office—Kansas City,
Mo. Underwriters — Merrill Lynch, Pierce, Fenner &

York City

Navajo Freight Lines,

plied by amendment. Office—1205 So. Plate River Drive,
Denver 23, Colo. Underwriters—Hayden. Stone &
Co.
and Lowell, Murphy & Co. (jointly). Offering — Ex¬
pected sometime in September.

eight

Corp.

filed

the basis of

21 at 12

Pipeline Co. of America

and 61,000 shares will be offered for
the account of the issuing company. Price—To be sup¬

shares held. Price—To be supplied by amendment. Pro¬
ceeds—To reduce short-term bank loans incurred in

Smith

Natural Gas

holders

Aug. 1, I960 filed 258,558 shares of common stock (par
$1) to be offered to the holders of the outstanding

approval for the company to acquire the Peoples Gulf
Coast Natural Gas Pipeline Co.

stock,

(9/20)

utilized

mon

stock

and

bonds. Proceeds
To retire $20,000,000 of unsecured
promissory notes, to mature on or prior to July 31, 1961.
The notes will be used to partially finance the 1960-61
construction program, which is expected to total $61,000,000. Office — Portland, Ore. Underwriter — To be
determined by competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; Lehman Brothers; Blyth & Co.
and White, Weld & Co. (jointly); Eastman Dillon, Union
Securities & Co. Bids—Expected to be received on Sept.

Underwriters-

May 9, 1960, filed (with tne ICC) 250,000 shares of com¬

1960,

common

oil,

be added to working capital for general corporate pur¬

•

Missile-Tronics, Corp. (9/6-9)

secondary

• Pacific Power &
Light Co. (9/21)
July 27, 1960 filed $20,000,000 of 30-year first mortgage

July 1, 1960, filed 150,000 shares of cumulative preferred
stock (par $100).
Price—To be supplied by amendment.
Proceeds—To be applied in part to the payment of out¬
standing bank loans and the balance used for construcVtion requirements.
Office — 122 South Michigan Ave.,
Chicago, 111, Underwriter—Dillon. Read & Co. Inc., New
York. Offering—Postponed pending FPC approval for
the company to acquire the Peoples Gulf Coast Natural
Gas Pipeline Co,
'
"

missile- and space programs. Proceeds—For reduction of
short-term bank loans, $635,000; for expansion, $200,000;
for product

recovering

Dillon, Read & Co. Inc.. and Halsey, Stuart & Co. Inc.
both of New York. Offering—Postponed pending FPC

•

share for each six shares

for

for general corporate purposes. Office—405

July 29, with rights to expire on Sept. 7, at 5:00
New York Time. Price—$2 per share. Proceeds—
For general corporate purposes.
Office — 9489 Dayton
Way, Beverly Hills, Calif. Underwriter—None.

Pipeline Co. of America

Business—Public utility.

Chicago, 111.

Under¬

p.m.

applied in part to the payment of out¬
standing bank loans and the balance used for construc¬
tion requirements.
Office — 122 South Michigan Ave.,

of record

Proceeds—To be

shares of
common
stock (par $1). Price—$2 per share.
Proceeds—To retire loans, purchase new machinery, open
a new office and for
working capital. Office—1850 N. E.
144th St., North Miami, Fla. Underwriter — Plymouth
Bond & Share Corp., Miami, Fla.
class

Address—Reinbeck, Iowa.

Process"

Shale

offered

July 1, 1960, filed $25,000,000 of first mortgage pipeline
bonds, due 1980.
Price—To be supplied by amendment.

Miami Ventilated Awning Mfg. Co., Inc.
June 29, 1960 (letter of notification) 150,000

"Oreo
balance

Oil

Natural Gas

93,574 shares

—

definite.

and

notification)

stock. Price—At par ($1 per share). Proceeds—

working capital.

March

Lawnservice Corp.

warehouse

Fla.,

Co., *

Lexington Ave., New York City. Underwriter—Lehman
Brothers and Allen & Co. of New York City (manag¬
ing).

(letter of notification) 100,000 shares of com¬
mon? stock
(par one cent). Price—$3 per share. Pro¬
ceeds— For general corporate purposes.
Office —410
Livingston Avenue. North Babylon, N. Y. Underwriter
—Fund Planning Inc., New York, N. Y. Offering—In¬

—

Angeles, Boston, Washington and Chicago and
working capital. Office—196 DeGraw St., Brooklyn,

the

Terrazzo, Inc. (8/30)
March 11, filed 125,000 shares of common stock (par $1).
Price—$3.50 per share. Proceeds—Approximately $100,000 to reduce temporary bank loans, $125,000 to reduce
accounts payable, $40,000 to establish a new office and
general corporate purposes. Office—6454 N. E. 4th Ave.,

(8/29-9/2)

(letter

Los

the

Corp.
(letter of notification) 75,000 shares of common
stock (par $1).
Price — $4 per share. Proceeds — For
general corporate purposes.
Office — 3000 Hempstead
Turnpike, Levittown, L. I., N. Y. Underwriter-—General
Investing Corp., New York, N. Y.
National

the

Oil Recovery Corp. (10/4)
Aug. 4, 1960 filed $1,600,000 of convertible debentures,
due Sept. 1, 1970. Price—To be supplied by amendment.
Proceeds—Approximately $700,000 will be used for the
development of company-owned property, employing

National Fountain Fair

Jan.

writer—R. G. Dickinson & Co., Des Moines, Iowa.

May 27

Miami Tile &

offered

Proceeds—For

of refinancing existing loans, Office—
Pike, Rockville, Md. Underwriter—In¬
Securities, Inc.

1960

common

Office—South 1403 Grand Ave., Spokane, Wash. Under¬
writer — The stock will be offered through authorized

June 8 filed

participation

purpose

Service

28,

For

with initial activities scheduled for Phoenix, Ariz.

poses,

Metropolitan Development Corp.

from face value.

it Nupack Corp. Aug. 12, 1960 (letter

National Consolidated Development Corp.
July 25, 1960 filed 70,000 shares of class B common (non¬
voting) stock. Price—$100 per share. Business—To ac¬
quire business properties, and operate, lease, or sell
them for a profit. Proceeds—For general corporate pur¬

Md. Underwriter—None.

mortgage

N. Y. Underwriters—Bertner Bros, and Earl Edden
New York, N. Y.

of indebtedness, working capital, and general
corporate purposes. Office — 350 Lincoln Road, Miami
Beach, Fla. Underwriters—J. A. Winston & Co., Inc., and
Netherlands Securities Co., Inc., both of New York City.

12,000 shares of
common stock. Price—At par
($25 per share). Proceeds
—For the purchase of raw materials, tools and dies, busi¬
ness expenses, etc. Office—12 E. 21st St., Baltimore 18,

Jacksonville,

in
for

duction

it Mercury Horseshoe Co.
Aug. 8, I960,;(letter,;,of : notification)

first

of notification) 75,000 shares of
common stock (par 10 cents).
Price—$4 per share. Busi¬
ness—Developing and manufacturing nuclear detection
instruments; equipment and accessories. Proceeds—For
advertising and increased direct mail; moving to a mod¬
ern one story plant and leasehold
improvements; addi¬
tional sales personnel and establishment of sales offices

9, 1960, filed 240,000 shares of class A common
(par $1). Price—$5 per share. Proceeds—For re¬

stock

Nucleonic Corp. of America

R. I.
management

company intends to provide equity
make long-term loans as contemplated

17.18%

Rockville

July

Providence,

closed-end

$l,6u0,000

Price—The certificates will

Nuclear Engineering Co., Inc.
April 18 (letter of notification) 30,000 shares of common
stock (par 33.3 cents). Price—$10 per share. Proceeds
—To replace bank financing, reduce accounts
payable*
purchase machinery and equipment and for working
capital. Office—65 Ray St., Pleasanton, Calif. Under¬
writer—Pacific Investment Brokers, Inc., Seattle, Wash.

Walker &

29,

Miami, Fla. Underwriter
Chicago, 111.

1160

vestor

purchase of Chris-Craft stock. Office—

investment

group

primary

Narragansett Capital Corp. (9/6-9)
21, 1960, filed 1,000,000 shares of common stock
(par $1). Price—$11 per share. Proceeds—For invest¬

(6/29-9/2)

•

June

Mercantile Discount Corp., Chicago,

•

Underwriter—R. F.

Broadway, New York 6, N. Y.

filed

Brooklyn, N. Y. Underwriter—None.!,

Washington Land Co.

certificates.

Ave., Oakland, Calif. Underwriters—Shields &
Co. and Lehman Brothers, both of New York City (man¬
aging). Offering—Expected in late September.

Small

June

North

23rd

writer—Purvis & Company, Denver, Colo. f
•

—8516—17th Ave.,

Mohawk Insurance Co.

527

Under¬

stock

(par 10 cents). Price — $2.20 per share.
premium financing. Proceeds—To
liquidate a demand note; finance new business; expand
facilities; purchase of additional equipment and for ad¬
vertising and general promotion of new business. Office

ordinated debentures due 1980. Price—To be supplied by
amendment. Proceeds—To pay part of instalment to be¬

(9/6-9)

1111 Stout Street, Denver, Colo.

common

Business—Insurance

sell magnetic recorders.

*
Aug. 23, 1960 filed $7,500,000 of 20-year convertible sub¬

$350 per unit. Proceeds—To be applied in part payment
of a $250,310 bank loan and the balance to be added to
working capital and used for general corporate pur¬
—

(letter of notification) .2,500 shares of
40 cents). Price — At-the-market.

it Naf i Corp.

April 29 filed $3uu,000 oi 6% convertible 10-year de¬
bentures, $250 face value, 30,000 shares of common stock,
and options to purchase an additional 30,000 shares.
It
is proposed to offer these securities for public sale in
units (1,200), each consisting of $250 face amount of de¬
bentures, 25 shares of common stock, and options tos
to purchase an additional 25 common shares.
Price—

■;

it North American Premium Plan Corp.
Aug. 17, I960 (letter of notification) 100,000 shares of

(par

Broadway, New York City.

•
_

Mustang Lubricant, Inc.
May 9 filed 80,000 shares of class A common stock.
Price—$5 per share. Proceeds—For general corporate
purposes.
Office—Denver, Colo. Underwriter—To be
supplied by amendment.

indebtedness, and the balance will be used for working
capital and general corporate purposes. Office—Holly¬
wood, Calif. Underwriters—William R. Staats & Co., Los
Angeles, Calif., and Shearson, Hammill & Co., New York
City.

Office

writer—None.

Machines Corp.

To manufacture and

Dowd & Co. Inc., 39

amendment. Proceeds—$2,100,000 will be used to reduce

poses.

Underwriter—Paul

general corporate purposes. Office—944
Halsey St., Brooklyn, N. Y. Underwriter—None. Offering
—Expected in the Fall.
\

(9/6-9)
July 26, 1960 filed 354,000 shares of capital stock, of

Majestic Utilities Corp.

—

dential use. Proceeds—For
general corporate purposes.
Office—220 K Street, N. W.,
Washington, D. C. Under-

Proceeds—For

Lytton Financial Corp.

•

1960
stock

Business

plied by amendment. Proceeds—All to be paid to Louisi¬
ana Power & Light Co. Underwriter—None.

present holders thereof.

28,

common

(with an additional subscription privilege); rights begin
in August and expire in September. Price—To be sup¬

the

supplied by amendment. Proceeds—To be
company's general working funds. Office—

added to the

Service Co.

1960, filed 670,000 shares of

(785)

(managing).

■'

■

;•

•

Philippine Oil Development Co., Inc.
March 30 filed 103,452,615 shares of capital stock, to be
offered for subscription by stockholders at the rate of
one new share for each 5V2 shares held. Price — To be
supplied by amendment. Proceeds—To be added to the
company's working capital. Office — Soriano Bldg.,
Manila, Philippines, Underwriter—None. Offering—Ex¬
pected sometime in mid-September.

it Photogrammetry, Inc.
Aug. 10, 1960 (letter of notification) 13,000 shares of
common stock (par $1). Price—$3.50 per share. Proceeds
—For retirement of
ital.

Office

short term note and working cap¬

922

Burlington Ave., Silver Spring, Md.
Underwriter—First Investment Planning Co., Washing¬
—

ton, D. C.
•

Pik-Quik, Inc.

(9/20)

July 27, 1960 filed 550,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—
Continued

page

Continued from page 33

Florida

Thum."

under

There

the

are

names

now

"Pik-Quik"

such

markets.

and

"Tom

Proceeds—

•

Pioneer Finance Co.

Aug.

purchase

of 62,500 shares of common stock. Price—To
supplied by amendment. Business—The financing of

new

and used mobile

First

National

Bank

Building,

Detroit,

Mich.

Underwriters—White, Weld & Co. of New York City and
Watling, Lerchen & Co. of Detroit, Mich.

Plastics & Fibers, Inc.
June 14 (letter of notification) 150,000 shares of common
stock

(par 20 cents). Price—$2 per share. Proceeds—For
corporate purposes. Office—Whitehead Avenue,

donor

manufacture

and

sale

two

way

radios.

Proceeds—For general corporate purposes; research and

development

and

Laboratory,

the

and

Reva

Avenue, Clifton, N. J. Under¬
Co., Inc., New York, N. Y.
Offering—Expected sometime in September.
Holman

Portland Turf Association

July

29,

(letter

1960

(9/6-9)

$300,000 of 10%
first mortgage registered bonds, due July 1, 1970. Price
—At face amount.
Proceeds—For purchase of a track,
to retire bonds and for working capital.
Office—2890
Bellevue, West Vancouver, B. C., Canada. UnderwriterGeneral Investing Corp., New York, N. Y.

Possis

July

25,

Machine

Corp.
(letter of notification)

1960

40,000 shares of
$7.50 per share.
Proceeds—To acquire new facilities, purchase additional
equipment, reduce existing indebtednesss and for work¬
ing capital. Office — 1645 Hennepin Ave., Minneapolis,
Minn. Underwriter
Craig-Hallum,, Inc., Minneapolis,
stock

common

(par 25 cents). Price

Minn.
Risk Life Assurance Co.

Aug. 18, 1960 filed 300,000 shares of common stock. Price
•—$o per share. Proceeds — For general corporate pur¬
poses. Office — 20 East Mountain St,,_Fayetteville, Ark.
Underwriter—Preferred

Investments, Inc.,

subsidiary

of the issuer.

Progress Electronics Corp.
Aug. 3, 1960 (letter of notification) 200,000 shares of

com¬

stock (par $1). Price—$1.50 per share. Proceeds—To
develop and produce proprietary items in the electron¬

mon

ics field. Office—1240 First Security Building, Salt Lake

City, Utah. Underwriter—Jacoby, Daigle & Werner, Inc.,
Los Angeles, Calif.
•^Public Service Co. of Colorado (9/13)
Aug. 18, 1960 filed 150,000 shares of cumulative
ferred

(par $100).
Price — To be supplied by
amendment. Proceeds
For construction. Office
900
—

—

Fifteenth St., Denver, Colo. Underwriters—First Boston ~

Corp., Blyth & Co., Inc., and Smith, Barney & Co., all
City (managing).

of New York
•

Puritron

Corp.

1960

(9/1)

the

issuing

and 50,000 shares, representing
outstanding stock, are to be offered for the account of
company

Joseph Stein, President, the present holder thereof.
Price—To be supplied by amendment. Business—Makes
and sells electronic air purifiers and
range hoods.
Pro¬
ceeds
To retire

indebtedness,

—

"capital

expenditures.

derwriter
•

—

with

the

balance

for

Office—New

Haven, Conn. Un¬
Bache & Co., New York City
(managing).

Radio Shack

Corp.

Aug. 16, 196*0, filed 200,000 shares of common stock (par
$1), of which 150,000 shares will be offered for the
account of the issuer, and the
remaining 50,000 shares by
present

holders

thereof.

Price

supplied by
amendment. Business—Distributors of electronics prod¬
ucts, sound components, and small appliances. Office—
—

730

Commonwealth Avenue, Boston, Mass. Underwriter
—Granbery, Marache & Co., New York City. Offering-

Expected in late September

early October.

Rainier

Co., Inc.
Aug. 1, 1960 (letter of notification) 60,000 shares of com¬
mon stock (par 10
cents). Price—$5 per share. Business
—Manufacturers

of electronics parts and
components,
precision machine parts for military and commer¬
cial aircraft. Proceeds—For general
corporate purposes.
and

Office—86

Magnolia

Street, Westbury, L. I., N

Y. Un¬

derwriter—Richard Bruce & Co., New
York, N. Y.
•

■

Rays on Craft Boat Co.

July

11,

1960,

common

stock

—

and to acquire aircraft. Office—In¬
Fla. Underwriter—James H.

ternational Airport, Miami,

Co., Coral Gables, Fla., and New York City.
Electronics, Inc.

(letter of notification) 150,000 shares of
(par $1). Price—$2 per share. Proceeds—
To liquidate a promissory note. Address — North Holly¬
wood, Calif. Underwriter — Holton, Henderson & Co.,
Los Angeles, Calif.
1960

common

stock

Riverview

(letter of notification) 100,000 shares of
(no par). Price—$3 per share. Proceeds

Co.

(9/21) }

Corp., Patterson, La. (8/26)
\r~
April 29 filed 275,000 shares of common stock (par 10
cents).
Price—$3 per share.
Proceeds—The company
proposes to Use $50,000 to-expand its efforts in the sale
of Safticraft boats nationally; $250,000 for reduction of
short-term borrowings; and the remaining $293,500 to
be advanced to du Pont, Inc. as additional working cap¬
ital necessary in the financing of increased inventories
and receivables incident to the increased sales volume of.

Underwriter

Dupont.

—

O'Neill

George,

April 28
ber

Co.,

Inc.,

New York.

Development Corp.

(letter of notification)

undetermined num¬

not to exceed

(par $1)

of shares of common stock

$300,000. Price—To be supplied by amendment.

Proceeds

mining expenses. Office — c/o Wallace F. McQuade, Pres., 246 Beaconsfield Blvd., Beaconsfield, Que¬
bec, Canada. Underwriter—To be named.
—For

V'V'-'I;;

Snc.

Sea-E-Sig'iways,

1993.

May 9 filed 150.000 shares of common stock. Price—$2
per share. Proceeds—For working capital. Office—PanAmerican Bank Bldg.. Miami, Fla. Underwriter—John R.

Maher Associates, of New

July 21, 1960 filed $12,000,000 of series "E" first mort¬
gage bonds, which will'mature in 33 years, on Sept. 1,

Proceeds—TJie proceeds of this sale will be used
rdpay bank loans for construction and extension of
the proposed sale. Un¬
derwriter
To be determined by competitive bidding.
Probable bidders: First Boston Corp., and Halsey, Stuart
& Co. Inc.; Eastman Dillon, Union Securities & Co., and
Kidder, Peabody & Co. (jointly). Bids—Expected to be
received on Sept. 21, I960, up to 11:00 a.m. New York
facilities in service by the date of
—

Time.

Information

Meeting—Scheduled

for

Sept.

unannounced

number

common

Price—To

shares.

amendment. Proceeds—For construction
expenditures and the reduction of indebtedness. Office—
be supplied by

St., Denver, Colo. Underwriter

—

•

Merrill

(9/6-9)
July 15, 1960 (letter of notification) 100,000 shares of
common stock (par one cent). Price—$1 per share. Pro¬
ceeds—For general corporate purposes. Office — 330
Wagaraw Rd., Hawthorne, N. J. Underwriters—Bertner
Bros, and Earl Edden Co., New York, N. Y.

Roliton

Corp.
June 28, 1960, (letter of notification) 175,000 shares of
common stock (par 50 cents).
Price—$1 per share. Pro¬
ceeds—For training, advertising, salaries and fees, travel
expenses
and working capital.
Office —1600 Ogden

Underwriter—Copley & Co., Colo¬

Street, Denver, Colo.
rado

Springs, Colo.

Roller

Derby TV, Inc.

March 30 filed 277,000

shares of common stock, of which
117,000 shares are to be offered for public sale by the
issuing company, and the remaining 145,000 shares will
be sold for the account of certain selling stockholders.
Price—To

Proceeds—For
general
the production
and sales of motion picture films of the Roller Derby,
and the balance for working capital. Office—4435 Woodley Ave., Encino, Calif. Underwriter—To be supplied by
supplied by amendment.
corporate purposes relating to

amendment.

Rollins Broadcasting Inc.

July 22, 1960 filed 110,000 shares of common stock (par
$1), of which 75,000 shares will be sold for the account
of the issuing company and 35,000 shares, representing
outstanding stock, will be sold for the account of John
W. Rollins, selling stockholder, who is a director. Price
—To be supplied by amendment. Proceeds—For general
corporate purposes. Office—Wilmington, Del. Under¬
writer—F. Eberstadt & Co., New York City. OfferingExpected in early September.
•
Rotating Components, Inc. (8/26-9/2)
July 8, 1960 (letter of notification), 100,000

purchase additional equipment, for sales, purchase
inventory and working capital. Address — Gardena,
Calif.
Underwriter—California Investors, Los Angeles,
Calif.

New

York, N. Y.

Mountain Corp.

Seven

filed 3,500,000 shares of common stock.
share. Business—To construct ah all-year
resort area and a gondola-type aerial cableway, south¬
east of Provo, Utah, in the Wasatch Mountains. Proceeds
—For the purchase of property, construction and equip¬
ment, retirement of notes, and the balance for working
Aug.

12, 1960
Price—$1 per

capital. Office—240 East Center St., Provo, Utah. Under¬
writer—Whitney & Co., Salt Lake City, Utah.

Lynch, Pierce, Fenner & Smith Inc. (managing).
•

York. Offering—Imminent.

Sealed Air Corp.

19.

(9/20-21)
July 15, 1960, filed $2,350,000 of sinking fund debentures,
due 1980, and 235,000 shares of common stock (par $3)
to be offered in units consisting of a $50 debenture and

Safticraft

■

Rochester Telephone

shdres of
common stock (par 10).
Price—$3 per share. Proceeds—
For general corporate purposes.
Office—267 Green St.,
Brooklyn 2, N. Y. Underwriter—S. Schramm & Co., Inc.,

—To

•

Saucon

1960

of New York.

ASC, Inc.

(letter of notification) 100,000 shares of
common stock
(par one cent). Price—$3 per share. Pro¬
ceeds—To reduce current liabilities, construction and for
working capital. Office—2823 S. Washington Ave., Titusville, Fla. Underwriter—Mallory Securities, Inc., New
York, N. Y. Offering—Expecte^ in late September.
July 29,

1726 Champa

filed

250,000 shares of common stock, of
which 200,000 shares are to be offered for the account
of

& Winslow

(managing).

Rocky Mountain Natural Gas Co., Inc.

pre¬

stock

Aug. 3,

Aug. 19, 1960 filed $2,250,000 of 6% subordinated con¬
vertible debentures. Price—At 100% of principal amount.
Proceeds
To be used as operating capital to fulfill

Rimak

'/ '

(par 10 cents) and 30,000 common stock pur¬
wa^antS;: It is prof)6Se!d{tO offer these securities
in units, each unit is to consist of $100 principal amount
of debentures, 50 common shares, and 10 warrants ex¬
ercisable at $2 per share until 1965..Price—$200 per unit.
Proceeds—$200,000 to purchase the Second Ave. and E.
82nd
St.
properties; $51,000 to purchase the New
Rochelle;property; and the balance for working capital.
Business—The company intends principally to deal in
and
with unimproved real property, to
sell; parcels
as building sites, to subdivide and improve parcels and
sell same as building sites, and to obtain or prepare
building plans and financing arrangements in respect
thereof. Office—598 Madison Ave., New York.
Under¬
writers—Ross, Lyon & Co., Inc. and Globus, Inc., both

—

Preferred

general corporate purposes. Office—525
Worcester, Mass. Underwriters—Blair & Co.,

July 29,

chase

-^Riddle Airlines, Inc.

Price &

(9/12-16)

stock

mon

Proceeds—For

M. A. T. S. contract,

notification)

marketing of blood

Inc., New York City and Chace, Whiteside

SacJiar Properties, Inc.

•

expansion, increased

(9/19-23)

Enterprises, Inc.

Main St., Kansas City, Mo. Underwriters—HarriRipley & Co., Inc., New York City, and Stern Broth¬
Kansas City, Mo.

July 6, 1960, filed $300,000 of 8% subordinated instalment
convertible debentures due 1970, 150,000 shares of com¬

July 28, 1960 filed 200,000 shares of common stock (par
$1). Price — To be supplied by amendment. Business-—
The establishment and operation of bowling centers.

Inc., Boston, Mass.

For plant

South Robertson

radio

Office—253 Crooks

ers,

—Blunt Ellis & Simmcns,

Lincoln St.,

writer—R.

—

facilities, and working capital. Office—864
Blvd., Los Angeles, Calif. Underwriter
Chicago, 111.
.•//

production

inventory investment to produce an
transciever; research and development and
inventory investment in a new product in the two-way

ities.

assembling and

Proceeds

sets.

amateur band

field; to purchase new test equipment; for working
caiptal and to pay the cost of acquiring expanded facil¬

1206
man

standing stock, for the account of the present holders
thereof. Price—To be supplied by amendment. Business
—The manufacture and sale of disposable plastic tubular
products,

^ Polytronics aboratories, Inc.
Aug. 19, 1960, (letter of notification) 150,000 shares of
class A stock (par 10 cents). Price—$1 per share. Busi¬

Inc.

—

South

ness—The

(9/15)
of common stock (par
$1), of which up to 75,000 shares may be reserved for
certain of the issuer's officers and employees, with the
balance to be offered publicly. Pricer—To be supplied by
amendment. Proceeds
For redemption of outstanding
preferred, with the balance for working capital. Office—

Inc. (9/6-9)
July 18, 1960, filed 100,000 shares of common stock, of
which 40,000 shares are to be offered for the account
of the issuing company, and 60,000 shares, being out¬
Resiflex

general

River, N. J. Underwriter—Pearson, Murphy &
Co., Inc., New York, N. Y. Note—The underwriter states
that this offering will be delayed.

Stover Candies,

Russell

(managing).

City

Proceeds—To be used

payable,

Aug. 3, 1960 filed 200.000 shares

amendment. Proceeds—For plant expenditures. Office—
Cleveland, O. Underwriters — First Boston Corp. and
Merrill Lynch, Pierce, Fenner & Smith, Inc., both of New
York

$1) to
shares

largely for reduction
well as for new tooling, research,
repayment of an officer's loan, and general corporate
purposes.
Office—93 Worth Street, New York. Under¬
writer—Morris Cohon & Co., New York.

homes, "shell housing," and small

loans. Proceeds—For general corporate purposes. Office
—1400

(9/6-9)

Corp.

exchange for common and preferred
subsidiaries.
Price—To be supplied by

four

of accounts

Republic Steel Corp. (8/30)
1, 1960 filed $125,000,000 of sinking fund deben¬
tures, due Sept. 1, 1985. Price — To be supplied by

15,

amendment.

Aug.

1960 filed 125,000 shares of cumulative pre¬
ferred stock ($20 par), with attached warrants for the
be

Knapp

ties.

(9/20)

Thursday, August 25, 1960

issued

subsidiary. Office—111 West Monroe Street,
Chicago, 111.
Underwriter—Lee Higginson Corp., New
York is no longer the agent for the sale of these securi¬
&

May 27 filed 75,000 shares of common stock (par
be offered for cash sale to the public, and 44,283

In¬

terests, to be offered in units. Price—$10,000 per unit.
Proceeds—To purchase hotels in Chicago from a Webb

Together with other funds, the proceeds will be used
to purchase substantially all of the assets of Plymouth
Rock Provision Co., Inc. Office—Baker
Bldg., Minneap¬
olis, Minn. Underwriter—A. C. Allyn & Co., Inc., New
York City.

Roto-American

•
Republic Ambassador Associates
April 29 filed $10,000,000 of Limited Partnership

The organization and operation of self-service markets
in

Chronicle

The Commercial and Financial

(786)

Shelley Urethane Industries, Inc.

1, 1960 (letter of notification) 130,000 shares of
capital stock (par $1). Price—$2 per share. Proceeds—To
acquire and install equipment, inventory and for work¬
Aug.

St., Los Angeles, Calif.
Angeles, Calif.

ing capital. Office—4528 Brazil

Underwriter—Garat & Polonitza, Inc., Los

;• Softol, Inc.

(9/6-9)

(letter of notification) 150,000 shares of
common stock
(par 10 cents). Price—$2 per share. Pro¬
ceeds
For general corporate purposes. Office — 992
Springfield Ave., Irvington, N. J. Business—The company
June

17,

1960

—

cosmetics

manufactures

—Harwyn
36, N. Y.
■

Sonex,

June

29,

and

Securities, Inc.,

toiletry items. Underwriter

1457 Broadway,

New York

Inc.

(letter of notification)

1960

100,000 shares of

stock (par 25 cents). Price—$3 per share. Pro¬
ceeds—For machinery, cost of moving and leasehold im¬
common

provements and working capital. Office—185 W. SchoolLane, Philadelphia 44, Pa. Underwriter — Hess,

house

Grant &

Remington, Inc., Philadelphia, Pa.

Sottiie, Inc. (Formerly South Dade Farms, Inc.)
July 29 filed 2,000,000 shares ol common stock (par $1),
of which 1,543,000 shares are to be issued and sold for
the account of the company, and 457,000 shares, repre¬
senting outstanding stock, to be sold for the accounti
of certain, selling stockholders. Price—To be supplied by
amendment.
stock

Proceeds—To

retire

70%

the

common

Invest

outstanding at the date of the stock offering; to
in
the capital
stocks of six of: the company's

seven

bank subsidiaries; to repay a bank loan of $6,400,-

000:

term

—250

add

working

indebtedness:
South

East

and

First

capital:

retire

certain

to develop citrus groves.

Street.

—Bear, Stearns & Co., New

Miami.

Fla

long-

Office

Underwrite!

York. Offering—Indefinite.

Volume

Number

192

5980

The Commercial and Financial Chronicle

Southwestern Oil Producers, Inc.

Telecolor

(March 23 filed 700,000 shares of common stock.

Price—

•

$2 per share. Proceeds—For the drilling of three wells
»and the balance for working capital. Office—2720 West
Mockingbird Lane, Dallas. Underwriter — Elmer K.

■

Aagaard, 6 Salt Lake Stock Exchange Bldg., Salt Lake
City, Utah.
.
rf
;

7922 Melrose Ave., Hollywood, Calif. Under¬
writer—Raymond Moore & Co., Los Angeles, Calif.

Telephone & Electronics Corp. (9/6-9)
Aug. 18, 1960 (letter of notification) 52,980 shares of
common stock
(par 25 cents). Price—$5 per share. Pro¬

of common stock (par 10c). Price—$2.50 per share. Pro¬

ceeds—To increase inventory of "fiberglaspray" equip¬
ment, establish seven additional regional sales offices,
and add to working capital. Office — 3605 East Tenth

ceeds—For
tronic

Aug.

10, 1960

stock

common

Moyer, Fricke & French, Inc., Philadelphia, Pa.

the manufacture of the products of the company and for
the purchase
of necessary tools and equipment, and

•
Temperature Engineering Corp.
Aug. 10, 1960 filed 135,000 shares of common stock (par
25 cents). Price—$3.50 per share. Business—-The manu¬
facture and sale of equipment to create
precisely con¬

approximately $93,443 will be added to the company's
working capital. Business—The company engages in the
development, engineering and exploitation of products
and uses applying the principles incorporated in patents

trolled

conditions

temperature,

Co., Inc. and F. L. Salomon & Co., all of New York
City. Offering—Late September or early October.

(par 75 cents). Price—To be supplied.by amend¬

•
Tempest International Corp.
July 11, 1960 filed 100,000 shares of

ment. Business

— The
company makes heating elements
appliances and components for major appli¬
ances, and related items. Proceeds—To selling stockhold¬
ers. Office—429-33 East 164 St., New York City. Under¬

small

cents.

struction

Price

—

per

ing—Expected in late September

Miami

early October.

Mountain Ski Corp.

30, 1960, filed $500,000 of 8% subordinated deben¬
tures due 1975 and 100,000 shares of common stock, to
be offered for public sale in units consisting of a $50

Office

—

shares of stock.

Price—$75

per

unit.

the development of the resort.
Springs, Colo. Business— Company

Office—575 Lexing¬
Avenue, New York City. Underwriter — Myron A.
Lomasney & Co., New York City.
ton

ating

•

Strolee of California Inc.' (9/6-9)

•

Electronics

Inc.

(8/29-9/2)

June 24,

1960, filed 166,668 shares of capital stock (par
cents), of which 83,334 shares are to be offered for
public sale for the account of the issuing company and

I960,'filed 150,000 shares of outstanding com¬
mon stock. Price—$5 per share. Business—The manufac¬
ture of strollers, high chairs and other similar types of
juvenile items. Proceeds—To selling stockholders. Office
—Los Angeles, Calif* Underwriters!—Federrhan, Stonehill
& Co. of New York City; Mitchura, Jones & Templeton
of Los Angeles, Calif.,, and Schweickart & Co., of New
York City.
" •
,4

Terminal

July 19,

the balance for the account of William

Filler, President.
share/Proceeds—$190,000 is to be used to

•r

Price—$6 per
pay the remaining balance of its obligation incurred in
connection with the purchase of Terminal stock from the
Estate of Frank Miller; $100,000 to repay a bank loan;
and the balance for general corporate purposes, includ¬
ing the obtaining and equipping of an additional retail
outlet.

Sunbury Milk Products Co.' (9/6-9)

June

con¬

indebtedness and working capital.

organized for the purpose of developing and oper¬
a ski and summer resort on Storm Mountain on the
Continental
Divide,
about
2 miles
from
Steamboat

was

Springs.-Underwriter—None.

For

Tercax, Inc.
Aug. 16, 1960, filed $1,500,000 of 10-year 6% convertible
subordinated
debentures, due 1970.
Price —100%
of
principal amount. Business—The sale, stocking and fi¬
nancing of freezers. Proceeds—Repayment of short-term

pursue

Steamboat

—

writer. New underwriter is to be named.

June

and

Proceeds

stock (par

factory, and the balance for general cor¬
— Pan American Bank Building,
32, Fla. Underwriter — Equity Securities Co., 39
Broadway, New York City, has withdrawn as under¬

porate purposes. Office

debenture

share.

Business—Wholesale

and

retail

distribution

retail electronics parts -and components. Office—236-246
notification) 20,000 shares of
common stock
(par $5). Price—$15 per share. Proceeds V' 17th- Street, New York. Underwriters—J. A. Winston
—To liquidate short-term bank loans and for working
& Co., Inc. and Netherlands Securities Co., Inc., both
of New York. Note—Name is to be changed to Terminalcapital. Office—178 Lfcnker Ave., Sunbury, Pa. \ Under¬
Hudson Electronics, Inc. upon effectiveness of a merger
writer—Hecker & Co:, Philadelphia, Fa.
•
with Hudson Radio & TV Corp., which will take place
• Sunset House Distributing Corp.
.\
if and when all of the shares offered hereby are sold.
Aug. 22, 1960. filed 150,000 shares of common stock. Price.
Ttiree^L-Corp.
—To be supplied by amendment. Business—The com¬
March 24 filed 3,500,000 shares of common stock. Price
pany is in the retail mail order business selling general
—$1 per share.
Proceeds—$46,098 will be applied to
merchandise throughout the country. Proceeds — To

20,

(letter

1960

the

Leonard P. Carlson, the issuer's president, selling stock¬
holder. Office—3650 Holdredge Ave., Los Angeles, Calif.

Underwriter

—

Calif.

Crowell, Weedon

■"

•

&
'

Co.,

y/%

Syntex Corp.

Aug. 8, 1960, filed 100,000 shares of common stock. Price
—To be supplied by amendment.
Business-—The com¬
pany is chiefly engaged in the research, development,
production, and sale of steroid hormone products. Pro¬
ceeds— For working capital.Office — Arcia Building,
Justo Arosemena Avenue, Panama, Republic of Panama.
Underwriter—Allen & Co., New York City.
Offering—
Expected in late September.
>' v
Techni

Aug.

10,

common

Electronics,

Inc.

1960 (letter of notification) 112,500 shares of
stock (par 10c). Price—$2 per share. Business—

The firm makes health and massage equipment/ electric
housewares, and medical electronic equipment. Proceeds
—For expansion, working capital, and research and de¬
velopment/expenditures^ Office—'71 Crawford St., New¬

ark, N. J. Underwriter — United Planning Corp.,
Raymond Blvd., Newark, N. J.

1180

(Technical Measurement Corp.-,;'

*
July 29, 1960 filed 120,000 shares of common stock (par
20 cents). Price — $5 per share. Business — Makes, and
sells electronic
equipment, principally multi-channel
digital computers. Proceeds — For debt reduction, re¬
search and development, engineering equipment and fix¬
tures, and working capital. Office—441 Washington Ave.,
North Haven, Conn.- Underwriter—Pistell, Crow, Inc.,
New York City. Offering—Expected sometime in Sep¬

tember.

acquisition of 493

acreas

of land in Fairfield Town¬

ship, Hyde County, and $15,000 for payment of the
July instalment on acquisition of about 12,726 acres in
Hyde County; $500,000 for purchase and installation oi

Los Angeles,

machinery, equipment and saw mill and $75,000 for
working capital in connection with lumber operations;
$65,000 for January 1961 instalment payment on the
12,726 acres; and the balance to purchase livestock,
planting feed and pasture, raising livestock, and addi¬
tional working capital. Office—Fairfield, N. C. Underwriter—Participating dealers will receive 15 cents pei
share. *

^ Thunder Mountain Skiing, Inc.
Aug. 11, 1960 (letter of notification) 27,500 shares, of
common stock (par $1). Price—$10 per share. Proceeds—
For building and equipping a ski lodge/ Office—4 Put¬
nam Hill, Greenwich, Conn. Underwriter—None.

Timely Clothes,

Inc.

July 25, 1960 filed $840,000 of convertible subordinated

debentures,
the

due

outstanding

amount

be offered to the holders of

1980, to
common

debentures

for

the basis of $100 principal

each

16%

of common

held. The record date and interest rate will

be supplied

by amendment. Business — The firm makes and sells
men's clothes, and operates, through two subsidiaries,
10 retail stores.

Proceeds—To reduce

indebtedness, with

the balance for

working capital. Office — 1415 Clinton
North, Rochester, N. Y. Underwriter—Cartwright
Parmelee, New York City (managing). Offering—Ex¬
pected in September.

Ave.
&

Transis-Tronics, Inc.
July 18, 1960 (letter of notification) 95,000 shares of
common stock
(par 25 cents). Price—$3 per share. Pro¬

ceeds—For

ceeds—To retire short term loans; for research and de¬
velopment and for working capital. Office—1650-21st St.,
St., Santa Monica, Calif. Underwriter—V. K. Osborne &
Sons, Inc., Beverly Hills, Calif.

33rd

•

Tech-O/m Electronics, Inc.
June 29, 1960, (letter of notification)
common

stock

(par 10 cents).

100,000 shares of
Price—$3 per share. Pro¬

general corporate purposes.
Office—36-11
Street, Long Island City, N. Y,
Underwriter —
Edward Lewis Co., Inc., New York, N. Y. Offering—Ex¬
pected sometime in September.

warrants, two such warrants (for the purchase of an ag¬
gregate of 50 shares) to be issued with each $1,000
of debentures. Price—100% of principal amount of de¬
bentures. Business—The company makes radios, TV sets,
tape recorders, and various types of high fidelity and
stereophonic combinations. Proceeds — $922,500 will be
used

redeem

the
outstanding
$900,000
principal
12-year 6% sinking fund debentures due
1967, with the balance for general corporate purposes.
of

amount

Office—571

West

Jackson

Blvd., Chicago, 111.
Under¬
Corp., New York City, and
Straus, Blosser & McDowell, Chicago, (managing). Of¬
fering—Expected in mid-September.
writers

Lee

—

Higginson

•
Triangle Lumber Corp. (9/12-16)
July 28, 1960 filed 140,000 shares of common stock (par
$1), of which 118,000 shares are to be publicly offered
by the company and the remaining 22,000 shares are

be offered

the

company's officers and employees.

Prices—For the 118,000 shares, $8 per share; for
000 shares,, $7.20 per share. Businesss —• The

the 22,buying,
warehousing, milling, and distribution of lumber, ply¬
wood, and millwork for use in residential and industrial
construction.

additional

Proceeds

—

For

working capital,

general funds to provide

and

may

used

to retire short-term indebtedness. Office—45 North

part
Sta¬

tion

Plaza, Great Neck, L. I., N. Y. Underwriter—Bear,
Stearns & Co., New York City (managing).
• Trout Mining Co.
/.v.-;/.;;/'
Aug. 22, 1960 filed 296,579 shares of (no par) common
(with warrants), to be offered to holders of the

stock

outstanding common on the basis of four
each five shares held. Price—$1 per share.

new

shares for

Business—The
is engaged in the mining of silver, lead, zinc,
and manganese dioxide. Proceeds—For working capital,
company

to
common

.35

repay a bank

ment

loan, and for exploration and develop¬

bodies.

ore

Office—233

Broadway, New York

City. Underwriter—None.

writer—Francis I. duPont & Co., New York City. Offer¬

Proceeds :—

pressure

ities, research and equipment, and the balance for work¬
ing capital. Office—U. S. Highway 130, Riverton, N. J.
Underwriters—M. L. Lee & Co., Inc., Milton D. Blauner

•jc Still-Man Manufacturing Corp.
Aug. 22, 1960 filed 150,000 outstanding shares of class A

Storm

humidity,

and cleanliness in research, production and
quality con¬
trol. Proceeds—The erection of new manufacturing facil¬

covering the so-called "Coanda airfoil technique" of
atomizing liquids. Office—2635 Louisiana Ave., South,
Minneapolis, Minn. Underwriter—None.

(letter of notification) 100,000 shares of
(par 40 cents). Price—$3 per share. Pro¬
ceeds—For plant expansion, additional machinery, ac¬
quisition of new facilities and working capital. Office—
180 S. Main St., Ambler, Pa.
Underwriter—Woodcock,

Sprayfoil Corp.
22, 1960, filed 250,000 shares of common stock.
Price—$2 per share. Proceeds—Approximately $250,000
will be used in the development, engineering and design
of new products, approximatly $150,000 will be used in

for

Business—Elec¬

communications

it Tele-Tronics Co.

June

stock

purposes.

N. Y.

general corporate

equipment and automatic, loudspeaking telephone. Office—7 East 42nd St., New York
17, N. Y. Underwriter—Equity Securities Co., New York,

Court, Hialeah, Fla. Underwriters—J. I. Magaril Co., 37
Wall St., New York City and Sandkuhl & Company, Inc.,
of New York City and Newark, N. J. Offering—Expected
\

—

•

mid-September.

July 25, 1960 (letter of notification) 150,000 shares of
common
capital stock (par 25 cents) of which 100,000
shares are to be offered by officers. Price—$2 per share.
Proceeds—To lease equipment and for working capital.
Office

Spray-Bilt, Inc.
'•{?::* -J
July 25 filed (in the Atlanta SEC office) 100,000 shares

(787)

Trav-ler Radio Corp.

Aug. 5, 1960 filed $2,200,000 of 6%% sinking fund de¬
bentures, due 1975, with 15-year common stock purchase

Union Electric Co.
(10/19)
Aug. 12, 1960 filed $50,000,000 of 30-year first mortgage
bonds, due 1990. Proceeds — To meet construction ex¬
penses

and retire short-term loans. Office—315 No. 12th

Blvd., St. Louis, Mo. Underwriters—To be determined
by competitive bidding. Probable bidders: Halsey, Stuart
& Co., Inc.; First Boston Corp. and White, Weld & Co.
(jointly); Lehman Brothers, Blyth & Co. (handling the
books), Eastman Dillon, Union Securities & Co. and
Bear, Stearns & Co. (jointly). Bids—Expected to be re¬
ceived on Oct. 19 up to 11 a.m. (EDT). Information Meet¬
ing—Oct. 17 at 3:00 p.m, at the Bankers Trust Co.
• Union Texas Natural Gas
Corp.
July 8, 1960, filed 150,248 shares of outstanding class A
stock (par $1), and 75,124 shares of outstanding class B
stock (par $1). Price — To be supplied by amendment.

Proceeds

To selling stockholders.
Office — 811 Rusk
Ave., Houston, Texas.
Underwriters — Carl M. Loeb,
Rhoades & Co., Merrill Lynch, Pierce, Fenner & Smith
Inc., and Smith, Barney & Co., Inc., all of New York
City. Offering—Expected in mid-to-late September.
—

United Aero

Products

Corp.

June

15, 1960 filed 100,000 shares of common stock
(par 10 cents). Price—$3 per share. Business—The man¬
ufacture of precision metal products for use in the air¬
craft, missile and electronics industries. Proceeds—For
an

additional

plant, machinery and equipment, the re¬

payment of loans, and the balance for working capital.

Office—Burlington, N. J.

Underwriters—L. C. Wegard
of Levittown, N. J.; Street & Co., Inc. of New
City; Woodcock, Moyer, Fricke & French of Phila¬
delphia, Pa.; First Broad Street Corp., Russell & Saxe
and V. S. Wickett & Co., Inc. all of New York City.
&

Co.

York

Offering—Imminent.

if United Electrodynamics, Inc.
Aug. 22. 1960 filed 169,500 shares of common stock, of
which 156,000 shares are to be offered for the account
of the issuing company and 13,500 shares, representing

outstanding stock, are to be offered for the account of
holders thereof. Price — To be supplied by
amendment.
Business—The company
is engaged pri¬
marily in the development and manufacture of electronic
measurement instruments, and in nuclear detection work
relating to the earth sciences. Proceeds — To liquidate
$800,000 of bank indebtedness, with the balance for gen¬
eral funds. Office—200 Allendale Road, Pasadena, Calif.
Underwriter
William R. Staats & Co., Los Angeles,
Calif, (managing).
the present

—

if United Pacific Aluminum Corp.
Aug. 24, 1960 filed $7,750,000 of convertible subordinated
debentures, due 1975. Price—To be supplied by amend¬
ment. Proceeds—Together with other funds, the proceeds
will be used to pay for the erection of a primary alu¬
minum reduction facility. Office — Los Angeles, Calif.
Underwriter—Straus, Blosser & McDovyell, Chicago, 111.
(managing).
United
March

States
filed

Boat Corp.

350,000

of common stock

to bo

publicly offered. Price—$2 per share. Proceeds—$221,826 will be applied to the repayment of loans to United
States Pool Corp. which were used for general corporate
purposes, and the balance will be utilized for working
capital, including a later repayment of $45,000 to U. S.
Pool Corp.
Office —27 Haynes Avenue, Newark, N .T.
Underwriter
Richard Bruce & Co., Inc., New York.
Note—This offering has been postponed.
—

Photo Supply Co.,

June

23,

1960,

Inc.
(letter of notification) 120,000 shares of
common
stock (par 50 cents).
Price—$2.50 per share.
Proceeds—To pay debts and increase line of credit. Of¬
fice—6478 Sligo Mill Road, Washington 12, D. C.
writer—Balogh & Co., Washington, D. C.

Continued

Under¬
page

The Commercial and Financial Chronicle

(788)

Continued from page 35
Utah Power & Light Co.

•

(9/14)

July 29, 1960 filed $16 million of first mortgage bonds,
due 1990, and $10 million (400,000 shares) of $25 par
cumulative preferred stock, series A. Proceeds—For con¬
struction purposes and repayment of bank loans. Under¬
writer—To be determined by competitive bidding. Prob¬

& Co. Inc.; Blyth & Co. and
First Boston Corp. (jointly); White, Weld & Co.; Stone
& Webster Securities Corp. (jointly); Salomon Bros. &
'Hutzler; Kidder, Peabody & Co.; Eastman Dillon, Union
Securities & Co. and Smith, Barney & Co. (jointly);
Lehman Bros.; Bear, Stearns & Co. Bids—Expected to
be received on Sept. 14, at 11:30 a.m. for the bonds, and
12:30 p.m. for the preferred.
Information MeetingScheduled for Sept. 12 at 2 Rector St., New York City
able bidders: Halsey, Stuart

at 2:00 p.m.

Valdale

Inc.

Co.,

(9/15)

(letter of notification) 100,000 shares of
common stock (par 10 cents). Price—$3 per share. Pro¬
ceeds
To pay accounts payable, reduce a bank loan,
advertising and for working capital. Office—Red Lion,
Pa. Underwriter — Simmons, Rubin & Co., Inc., New

July 27,

1960

—

York, N. Y.
•

(9/7)

Co.

Vendo

1960

29,

filed

amendment. Proceeds—For working cap¬
ital; all or part of the proceeds may be applied to the
reduction
of
short-term
bank
borrowings,
which
amounted to $8,500,000 on June 30. Office—7400 E. 12th
St., Kansas City, Mo. Underwriter—Kidder, Peabody &
be supplied by

Co.

(managing).

Capital Corp. of America (9/6-15)
filed 275,000 shares of common stock (par
$1). Price — $7.50 per share. Proceeds — To be used to
fulfill the $300,000 minimum capital requirements of the
Small Business Investment Act. Business—A closed-end
Venture

June 29, 1960,

Of¬
Underwriters—Filor,
Bullard & Smyth, Hardy & Co., Sprayregen, Haft & Co.
and Bregman, Cummings & Co., all of New York.
non-diversified

management investment company.

fice—375

Ave., New York.

Park

•

Virginia Electric & Power Co. (9/13)
'Aug. 12, 1960, filed $25,000,000 of first and refunding
mortgage bonds, series, P, due 1-990. Proceeds—For con¬
struction. Office—700 E. Franklin Street,.Richmond, Va.
Underwriters—To be determined by competitive bid¬

Halsey, Stuart & Co. Inc.;
Weld & Co.; Eastman
Dillon, Union Securities & Co.; Stone & Webster Secu¬
rities Corp. Bids — Expected to be received on Sept. 13
at 11:00 a.m.
(EDT). Information Meeting—Scheduled
for Sept. 8 at 11 a.m. N. Y. Time, at The Chase Manhat¬
Probable

ding.

Salomon Bros.

tan
•

bidders:

& Hutzler; White,

Bank, 43 Exchange Place, New York City, Room 238.

Vitramon, Inc.

(9/26-30)

July 27, 1960 filed 103,512 shares of common stock (par
10

cents), of which 25,650 shares are to be offered for
the account of the issuing company and 77,862 shares,
representing outstanding stock, are to be offered for the
-account of the present holders thereof. Price — To be
supplied by amendment. Business — The manufacture
and sale of dielectric capacitors. Proceeds — $25,000 to
redeem outstanding preferred stock; $112,500 to prepay
the balance on mortgage notes; and the balance for
working capital. Office—Bridgeport, Conn. Underwriter
—G. H. Walker & Co., New York City.
•

Western

Factors, Inc.
filed 700,000 shares of common stock. Price
—$1.50 per share. Proceeds—To be used principally for
the purchase of additional accounts receivable and also
may be used to liquidate current and long-term liabil¬
ities.
Office —1201 Continental Bank Bldg., Salt Lake

City, Utah. Business—Factoring.
Underwriter—Elmer
K. Aagaard, Newhouse Bldg., Salt Lake City, Utah.
Western Land-Corp.
::' Yv ';-V
July 5, 1960, filed 1,500,000 shares of common stock.
Price—$2 per share. Business—Company proposes to en¬
gage in the real estate business, including the purchase
and sale of rear property and the purchase or construc¬
tion and development of industrial and other properties,

Office—2205

ment.

centers and apartment and office
Primarily for real estate invest¬
First National Bank Bldg., Minne¬

—

Underwriter
Minneapolis, Minn.
apolis, Minn.

First Western Corp., of

—

•

Inc.

share.

Including
tion, and equipment.
Office—Myerstown, Pa. Under¬
writer—Hallowell, Sulzberger, Jenks, Kirkland & Co.,
Philadelphia, Pa.

•

financing, to be applied to the $385,000 cost of acquiring
real estate adjacent to its Cleveland 14, Ohio, head¬
quarters.

for

sales

program

connection

with

the

Florida

homes; and the balance for working capital to finance
the continued development of the residential
community
In Sarasota and the construction of homes in West Palm

Beach, and the development of a shopping center in
Selden, L. I. Office—526 North Washington Blvd., Sara¬
sota,

Fla.

Underwriter—Michael G.

New York.

Kletz

Co.,

Inc.,

Gas

Brooklyn Union Gas Co.
* • *.
'
v
May 10 it was announced that the company plans no
more financing
this year, but there would be some in
1961, although the form it is to take has not as yet been
.

-^Carolina Metal Products Co.

—

manufacturer

aluminum

siding.

Proceeds—For new

—

Arnold, Wilkins & Co., 50 Broadway, New

York City.

Broadway, New York City.

ber.

Wilier Color Television

WonderBowl, I nc.

•

April 14 filed 3,401,351 shares of common stock (par $2).
Price—$2 per share. Proceeds—For purchase of certain

property, for constructing a motel on said property and
various leasehold improvements on the property. Office
—7805 Sunset Boulevard, Los Angeles, Calif.
Under¬
Securities

writer—Standard

—

Yardney Electric Corp. (8/31)
July 11, 1960 filed 254,000 shares of outstanding common
stock (par 50 cents). Price—To be supplied by amend¬
ment. Proceeds—To selling stockholders. Business—The
company is principally engaged in the development, de¬
sign, manufacture and sale of silver-zinc primary and
rechargeable batteries. Office—New York City. Under¬
writer—Kidder, Peabody & Co., New York.
Yuscaran Mining ^Cor—* May 6 filed 1,000,000 shares of common stock. Price— $1
per share. Proceeds—It is expected that some $100,000
will be used to purchase and install a mill for the proc¬
essing of ore; $60,000 for rails, ties, rail cars and related;
equipment; $10,000 for rebuilding roads; $30,000 for
transportation equipment; and $655,000 for working cap¬
ital. Office—6815 Tordera St., Coral Gables, Fla. Under¬
writer—None. Note—The SEC has challenged the accu¬
racy and adequacy of this statement. A hearing sched¬
uled for July 27 was postponed tq Aug. 29 at the request
of the company counsel.

Southern Small

Business Investment

Co.

Aug. 5, 1960 it
contemplating

reported that the company is now
public offering of its securities, possibly

was

$1V2 million of common stock. Office—Atlanta, Ga.
Colorado Interstate Gas Co.

Corp., same address.

•

Citizens &

««

•"

July 28, 1960 the company reported that debt financing
of $70,000,000 is contemplated.
Precise timing depends
on

final FPC apprdv^l.

Office—Colorado Springs, Colo.

Columbia Gas System,

Inc.

(10/6)

13, 1960, it was reported that the company plans
to sell $30,000,000 of debentures. Proceeds — For con¬
struction.
Office—120 E. 41st St., New York City. Un¬
derwriter—To be determined by competitive bidding.
Probable
bidders:
Merrill Lynch, Pierce,
Fenner 8i

June

Inc.; Shields & Co.; R. W. Pressprich & Co. and
Loeb, Rhoades & Co., all of New York City.
Bids—Expected to be received on Oct. 6.
Smith

Carl

Columbus & Southern Ohio Electric

Co.

13, 1960, it was reported that this utility plans the
sale of about 200,000 shares of common stock to raise
approximately $8-$9,000,000, with the timing set for
the last quarter of this year, sometime after the Novem¬
ber elections. Proceeds—For expansion purposes. Office

June

—215 N. Front St.,

Columbus 15, Ohio.

Consolidated Edison Co.

indicated by H. C. Forbes, Chairman, at
stockholders, that common stock¬
holders may get rights to subscribe to convertible deben¬
tures or common stock in the Fall. This type of financ¬

May 15 it

was

the annual meeting of

ATTENTION UNDERWRITERS!

Our Corporation News Department would like

ing would be contingent upon the ability of the company
to get its presently outstanding 4% debentures converted
into common stock.
Con Edison this year will spend

to know about it

about

you

have

issue you're planning to register?

that

can prepare

similar to those you'll find hereunder.
Would
write

telephone

you

at 25

Park

REctor

item

$225,000,000 on new construction compared with
$222,000,000 in 1959 and $189,000,000 in 1958.
For the
five years through 1964, Mr. Forbes estimated that the
utility would spend $1.2 billion for plant expansion. To
finance the five-year program he said the company will
have to issue some $800 million of securities of one kind

•

2-9570

Place, New York 7?

..i'v

Prospective Offerings
6

was

retail chain is

Department Stores, Inc.
that this Bronx (N.

reported

contemplating

No confirmation

was

Y.)-based

issue of common stock.

available.

American Telephone &

and

Telegraph Co.

(19/25)

$250,000,000. Proceeds — For improvement
expansion of Bell Telephone services. Office—195

Broadway, New York City. Underwriter—To be deter¬
mined by competitive bidding. Probable bidders: Morgan
Stanley & Co., and The First Boston Corp. and Halsey,
Stuart & Co. Inc. (jointly). Bids — Expected to be re¬
ceived

Oct. 25. Information Meeting—Scheduled

Oct. 20 at 2:30 p.m., 195 Broadway, New
•

Arkansas Power & Light

for

York City.

Co.

June

20, 1960, it was announced that this subsidiary of
Middle South Utilities, Inc. might issue $13,000,000 of
first mortgage bonds in the first quarter of 1961. Under¬
writer—To be determined by competitive bidding. Prob¬
able bidders: Halsey, Stuart & Co. Inc.; Eastman Dillon,
Union Securities & Co. and Equitable Securities Corp.
'■(jointly); Blyth & Co. and Dean Witter & Co. (jointly);
Lehman Brothers, Stone & Webster Securities Corp. and
White, Weld & Co, (jointly); Merrill Lynch, Pierce, Fen•ner'&• Smith Inc.*W*">V'

-•

asked the Michigan Public Service
permission to issue and sell securities
with base value of $73,101,600. The company proposes to
issue and sell first mortgage bonds in the amount of

April 29 the
Commission

Alexander's

July

another.

Consumers Power Co.
company

for

$35,000,000 maturing not earlier than 1990 for the best
price obtainable but not less favorable to the company
than a 5V4% basis. The mortgage bonds are expected in
the

amount. Pro¬
ceeds—$100,000 will be used for payment of a bank loan
incurred to help finance the
disposal plant and an esti¬
mated additional $50,000 to
complete the plant; $109,000
to retire 10% debentures issued in
payment of certain
obligations of the company for services rendered; $25,000

Co.
July 26, 1960 it was reported that some new financing
is expected later in the year. No further details are
available. Address—P. O. Box 1540, Bridgeport 1, Conn.

ceeds—To

chase warrants). Price—100% of principal

Bridgeport

bond issue of

(8/29-9/2)

Inc.

Brooks,

1960 the company stated in its annual report
that about $200,000 is expected to be raised by long term

Emerald

June 17, 1960 filed $550,000 of 7%% subordinated
sinking
fund debentures due July, 1970 (with common stock
pur¬

Bobbie

July 25,

July 20, 1960, the directors authorized a new debenture

; • Wenwood Organizations Inc.

July 6 it was reported that this company is contemplat¬
ing a common stock issue.
Office —1335 So. Figuroa
Street, Los Angeles 15, Calif.

prietary items for the purpose of expanding its commerrial business. Business—Electronics field. Office—2445
&

- •

System, Inc. (9/6-9)
(letter of notification) 80,890 shares of common
stock
(par $1).
Price—$3 per share.
Proceeds—For
general corporate purposes.
Office—151 Odell Avenue,
Yonkers, N. Y.
Underwriter—Equity Securities Co., 39

•

Jan. 29

Waterman

St., Philadelphia, Pa. Underwriter—Stroud
Co., Philadelphia and New York.

if Circle Controls Corp.
Aug. 20, 1960 it was reported that a letter of notification
is expected covering 75,000 shares of common stock.
Proceeds
For general corporate purposes, .including
expansion and the establishment of sales organizations.
Office—Vineland, N. J. Underwriter—L. C. Wegard &
Co., Levittown, N. J. Registration—Expected in Septem¬

forms, catalogs, and technical manuals. Proceeds — To
selling stockholders. Office—Chicago, 111. Underwriters—
Shearson, Hammill & Co., New York City, and Wm. H.
Tegtmeyer & Co., Chicago, 111. (managing).
Products Co., Inc. (8/26)
1960, filed 100,000 shares of common stock (par
$1). Price—$5 per share. Proceeds—To be used primari¬
ly to accelerate the development of the company's pro-

Storage Co.

machinery, with the balance to working capital. Office
2 Gateway Center, Pittsburgh, Pa.
Underwriter —

Aug. 3, 1960 filed 184,435 shares of common stock (par
$10). Price—To be supplied by amendment. Business—
Commercial printing and the production of business

•

Proceeds—For general corporate purposes,
the reduction of indebtedness, sales promo¬

per

(9/15)

June 24,

Van

Aug. 23, 1960, it was reported that registration is ex¬
pected in September of the company's first public offer¬
ing, consisting of 100,000 shares of common stock. Price
$5 per share.! Business — The company is a primary

1960

Wallace Press,

•

determined.

Inc.

—

•

Industry, Inc.

For

(8/29-9/2)
Jan. 28 filed 85,000 shares of common stock and $500,000
of 6% subordinated debentures, due 1977, with warrants
for the purchase of 10,000 additional common shares at
$5 per share.
Price — For the debentures, 100% of
principal amount; for the 85,000 common shares, $6
Whitmoyer Laboratories,

Engineering, Inc. (8/29)
(letter of notification) 100,000 shares of
common stock
(no par). Price—$3 per share. Proceeds
—To
reduce existing liabilities, purchase
machinery,
equipment and additional inventory, and for working
capital. Office—40 North Ave., 9 Broadway, Wakefield,
Mass. Underwriter
Robert A. Martin Associates, Inc.,
New York, N. Y.
26,

Thursday, August 25, 1960

Ave., New York City. >
Bekins

June 29, 1960

including shopping
buildings. Proceeds

Automation

Aug. 3, 1960 it was reported that a letter of notification
is planned for later this year.; Proceeds—For further
development of the "Skyjector."; Office—342 Madison

Wakefield

July
'

New York City (man¬

Wash. Underwriter—Blyth & Co.,

aging). Offering—Expected in late September.

•

$5,250,000 of convertible subordi¬
nated debentures, due 1980, to be offered to holders of
the outstanding common on the basis of $100 principal
amount of debentures for each 50 shares held. Price—To
July

if West Coast Telephone Co.
Aug. 22, 1960 filed 125,000 shares of common stock (par
$10). Price—To be supplied by amendment. Proceeds—
For construction. Office — 1714 California St., Everett,

and

last quarter of
be

used

improvement

service facilities in

the

year,

to finance

the

perhaps in October.
Pro¬
the continuing expansion

company's

electric

and

gas

65-county area outside of Greater
Detroit. Underwriter—To be determined by competitive
a

bidding. Probable bidders: For bonds—Halsey, Stuart &
Co. Inc.; White, Weld & Co., and Shields & Co. (jointly);

Morgan Stanley & Co.; The
Harriman, Ripley & Co., Inc.
•

First

Boston

Corp.,

and

Custom Craft Industries

July 13, 1960 it was reported that the company plans a
regulation "A" filing sometime soon. Proceeds—For gen¬
eral corporate purposes. Office—Miami, Fla. Underwriter
—Plymouth Securities Corp., New York City.

if Dynacolor Corp.
■
Aug. 22, 1960 it was reported that new financing will
take place in November or December. Office—1999 Mt.
Read Blvd., Rochester, N. Y. Underwriter—The com¬
pany's initial financing was handled by Lee Higginson
Corp., New York City.
.

Number 5980

Volume 192

The Commercial and Financial Chronicle

Electronics International Capital Ltd.

Interstate Vending Co.v
:
Aug. 16, 1960 it was reported that the company is plan¬
ning imminent registration of some common stock. Office
—Chicago, 111. Underwriter—Bear, Stearns & Co.

1960 it was reported that this company, which
expects to incorporate in Bermuda,'is planning its ini¬
tial financing to occur later in the year. Proceeds — To
acquire major equity positions in large and mediumsize electronics companies outside the United States.
Underwriter—Bear, Stearns & Go., New York City.

July 26,

Iowa

Electric Light & Power Co.
March 11 President Sutherland Dows stated that bonds
would be sold in order to supplement money to be ob¬
tained from temporary bank loans, to acquire the $10,-

Florida Power & Light Co.
1 it was announced that the company anticipates

June

000,000 required to finance
Cedar

the fall of 1960 approximating $25,000,000 of an as yet undetermined type of security, and
estimates that in 1961 it will require approximately $50,further financing in

March 10 it was
gage

it was announced that the company's sale
$15,000,000 of first mortgage bonds in April of this

will carry it through the better part of 1960.
The
company plans some bank borrowing before the end of
the year and expects to be in market again sometime in
1961, probably also for senior debt securities.

(10/20)
reported that $25,000,000 of first mort¬

bonds will be sold by this utility. Proceeds—For

year

Power Corp.

Florida

Rapids, Iowa.

Laclede Gas Co.

May 10 it

new

000

construction and repayment of bank loans. Underwriter
determined by competitive bidding. Probable bid¬

announced that in addition to the $15,000,capital provided by the July bond-equity

was

new

—To be

financing, $33,000,000 will

Halsey, Stuart & Co. Inc.; Kidder, Peabody & Co.
and Merrill Lynch, Pierce, Fenner & Smith Inc. (joint¬

rities other than

ders:

ly); First Boston Corp.; Eastman Dillon, Union Securi¬
ties & Co. and Harriman Ripley & Co. (jointly); Lehman
Brothers and Blyth & Co. (jointly). Information Meeting
—Scheduled for Oct. 17 at 11:00 a.m. at Morgan Guaranty
Bids—Expected to be received

Trust Co.

Motor Credit

Ford

March 28 it was reported that this company is develop¬

Office—Detroit, Mich.

Foto Chrome Co.

Aug. 17,1960, it was reported that a common stock filing
is in the offing. Underwriter—Shearson, Hammill & Co.
•

Georgia Power Co.

$12,000,000 of 30-year first mortgage bonds
Underwriter — To be determined by

tration
with

SEC.

the

competitive bidding. Probable bidders: Halsey, Stuart &
Co. Inc.; Morgan Stanley & Co.; Equitable Securities
Corp., and Eastman Dillon, Union Securities & Co.
(jointly); Blyth & Co., Inc., and Kidder, Peabody & Co.
(jointly); The First Boston Corp. Registration—Sched¬
uled for Sept. 26.
Bids—Expected to be received on
Nov.

Information Meeting —Scheduled

for Oct.

between 10:00 a.m. anchl2?noon, in room 1600, 250 Park

Ave., New, York City,
Hawaiian Electric Co.

Office—Honolulu, Hawaii.

Possible

issue of convertible de¬
Office—Birmingham, Ala.

1^- ns. Studies to determine the nature and timing

the

issuance

of additional securities are presently
Last August's offering of $25,000,000 of 47/s%
first mortgage bonds was headed by Lehman Brothers,

under way.

Eastman
Bros.

Dillon,

& Hutzler.

Union Securities &
Office

Texas.

—

Electric

Co.

and

Salomon

Building, Houston,

-v-'/.v''/.

•

Idaho Power Co.

etc. Underwriter—To be determined
by competitive bid¬

ding. Probable bidders: Halsey, Stuart & Co. Inc.; Blyth
&
Co., Inc., Lazard Freres & Co. and The First Boston
Corp. (jointly); Merrill Lynch, Pierce, Fenner & Smith
Inc.; Kidder, Peabody & Co. and White, Weld & Co.
(jointly); Salomon Bros. & Hutzler and Eastman Dil¬
lon, Union Securities & Co. "(jointly); Equitable Se¬
curities Corp.

Indianapolis Power & Light Co.

(9/27)
was reported, that the company will issue and
$12,000,000 of 30-year first mortgage bonds. Under¬
writer—To be determined by competitive bidding. Prob¬
able bidders:
Halsey, Stuart & Co. Inc.; Lehman Broth¬
ers; Goldman, Sachs & Co., and The First Boston Corp.
(jointly); Eastman Dillon, Union Securities & Co.;
White, Weld & Co., and Shields & Co. (jointly); Blyth
& Co.,
Inc.; Equitable Securities Corp. Bids—Expected
to be received up to 11 a.m. New York Time on Sept. 27.
Information Meeting — Scheduled for Sept. 22 between
sell

5:00 p.m. by appointment, at the Chase
Bank, 43 Exchange Place, New York City,

International Mining Corp..
It was announced June
1, 1960 in the 1959 Annual Re¬
port of International

Mining Corp. that the corporation
intends to issue $10,830,000 of 7% secured serial notes in
connection with its merger with Canton Co. of Balti¬
more, which will be the name of the surviving corpora¬
at

It is expected

par,

that the notes will be issued shortly
and will mature at the rates of $1,000,000 an¬

nually for
to

nine

one

to three years,

$500,000 annually for lour

and $4,830,000 the 10th year
merger. Office—535 Fifth Avenue, New York
years,

derwriter—None.

Underwriter—To

de¬

;

1960.

Calif.

Underwirter—To

Co.

(jointly);

Eastman Dillon,

Union

Se¬

Oct. 18.

July 19, 1960, it

Pacific

May 11 it

reported that this subsidiary of the
New England Electric System plans to sell an initial
series of $7,500,000 of preferred stock. Office — Salem,
Mass. Underwriter
To be determined by competitive
bidding. Probable bidders: Kidder, Peabody & Co. and
White, Weld & Co. (jointly); Merrill Lynch, Pierce,
Fenner & Smith and Eastman Dillon, Union Securities
Co. (jointly); First Boston Corp. Bids—Expected to be
received on Nov. 16. Information Meeting—Scheduled for
was

—

Midland

Enterprises Inc. " *
April 8 it was stated in the company's annual report
that it contemplates the issuance on or before March 31,
1961 of a bond issue in an aggregate amount not to exceed
$4,000,000. Proceeds — To finance river transportation
equipment presently on order and expected to be
ordered.
Office—Cincinnati, Ohio.

Missouri-Kansas-Texas Railroad

finance

after the
City. Un¬

sell

•

bonds without competitive bidding.
Exchange Bldg., St. Louis 1, Mo.
Pacific

Missouri

Aug. 17, 1960 it

Office—Rail¬

(9/19)

reported that the road is planning
$3,975,000 of equipment trust certificates.

sale

the

RR.

was

Underwriter—To be determined by competitive bidding.

Bidders—Halsey, Stuart & Co. Inc., and Salomon Bros.
&
up

Hutzler.

to 1:00

Bids—Expected to be received

^ National Airlines

held,
is expected. Business—National Airlines is the country's
10th largest air carrier, based on 1959 operating rev¬
enues.
Office—Miami, Fla.
<
,
seven

common

Nedick's

Stores, Inc.
reported that the company is contem¬
plating the placing in registration of 17,000 shares of
Nov.

common

was

stock.

About

66%

the

issue

will

sold

company's account and the remaining 34% bal¬
ance will be sold for the account of a selling stockholder.
Underwriter—Van Alstyne, Noel & Co., New York.
for the

Nevv York Telephone Co*

22,

(9/28 )?'•*/%•*? !

1960, the board of directors of this company

authorized the issuance of an additional series of mort¬
gage bonds in the amount of $60,000,000 and common,
stock in the amount of $120,000,()00, subject to the ap¬

proval

the

New York

Public

Service

Commission.

Proceeds—To retire short-term bank borrowings used to
finance construction. Underwriter—To be determined by

competitive bidding. Probable bidders: Halsey, Stuart &
Co. Inc.; Morgan Stanley & Co.. Bids—Expected to be
received on or about Wednesday, Sept. 28. Note — The
stock will be sold to the American Telephone & Tele¬
graph Co. on or about Oct. 1, under preemptive rights.
Northern Natural Gas Co.
It

reported on Aug. 2, 1960 that the utility is con¬
templating issuing $30,000,000 of debentures in the Fall.
Office—Omaha, Neb.
was

Northern States Power Co.

(Minn.)

(12/6)

May 11 it was reported that the company plans the is¬
suance and sale of $35,000,000 of 30-year first mortgage
bonds. Underwriter—To be determined by competitive
bidding. Probable bidders: Halsey, Stuart & Co., Inc.;
Merrill Lynch, Pierce, Fenner & Smith Inc., Kidder,
Peabody & Co. and White, Weld & Co. .(jointly); The
First Boston Corp. and Blyth & Co., Inc. (jointly); Leh¬
man

Brothers and Riter & Co.

systems,

plans

aquarium in Fairmont Park, Philadelphia,
city-owned and company-operated un¬
lease. Underwriter—Stroud &
C<?., Inc. of Phila¬
an

which would be

der

delphia, Pa. and New York,

Pittsburgh & Lake Erie RR. (9/15)
Aug. 17, 1960 it was reported that the road is planning
the sale of $5,000,000 of equipment trust certificates.
Underwriter—To be determined by competitive bidding.

Bidders—Halsey, Stuart &'Co.*Ihe.; 'and Salomon Bros.
&
Hutzler^ Bids—Expected to be received on Sept. 15.
Polymer Corp./
Aug. 2, 1960 it was reported that the coriift'arly plans to
file $3,500,000 of convertible debentures shortly. Office

—Reading, Pa. Underwriters — White, Weld & Co. of
New York City and A. G. Edwards & Sons of St. Louis,
Mo. (jointly).
Potomac

Electric Power Co.

March 21 it was stated in the

company's annual report It
anticipated that their 1960 construction program will
amount to $39 million and there will be further financing
of about $15 million of an as yet undetermined type.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co., Inc.; First Bos¬
ton Corp.; Dillon, Read & Co. and Johnston, Lemon
& Co.
(jointly); Kidder, Peabody & Co. and Merrill
Lynch, Pierce, Fenner & Smith (jointly); Lehman
Brothers and Eastman Dillon & Union Securities & Co.
and Stone & Webster Securities Corp. (jointly).
Public Service Co. of New

(jointly); Equitable Se¬
&
6.

curities Corp. and Eastman Dillion, Union Securities
Co. (jointly). Bids—Expected to be received by Dec.

4 it

Hampshire

stated in the

company's annual report
borrowings will increase progressively
during 1960 until further permanent financing is under¬
that

Aug. 23, 1960, it was reported that about $20,000,000 of
new financing, possibly in the form of one $100 convert¬
each

distribution

Philadelphia Aquarium Co.
15, 1960, it was reported that the company plans
sell about $2,000,000 of debentures and common stock

April

for

pipeline

$30,000,000 of first mortgage bonds and $20,000.-

000 of preferred stock later this year.

Sept. 19

p.m.

debenture

announced that this company, in order to

additional

Aug. 2, 1960 it was reported that the road has asked
the ICC for permission to sell $15,000,000 of collateral
trust

competitive

Lighting Corp.
was

to finance

(11/16)

Street, San Francisco 6,

determined by

Probable bidders: Blyth & Co., Inc., and First
Corp. and Halsey, Stuart & Co. Inc. (jointly).
Bids—Expected to be received on Nov. 1. V-v/.Vfr

Merrimack Essex Electric Co.

Boston

—Expected to be received
•

Office—245 Market

(11/1)

bidding.

June

and

a.m.

Manhattan
Room 238.

construction.

000 in

White, Weld & Co. (jointly); Kidder,
Peabody & Co. and Goldman, Sachs & Co. (jointly). Bids

June

April 18 it

tion.

Struthers

ible

•

March 30 it was reported that the company
plans to
issue and sell $15,000,000 of 1st mortgage bonds due 1990
sometime in the fall. Proceeds—For capital
expenditures,

9:30

(10/18)

by competitive bidding.
Probable bidders:
Halsey, Stuart & Co. Inc.; The First Boston Corp.; Leh¬
man
Brothers and Blyth & Co., Inc. (jointly); Kuhn,
Loeb
&
Co., American Securities Corp. and Wood,

way

company's annual
report that it anticipates approximately $35 million in
new
money will be required in 1960 to support the
year's construction program, and to repay outstanding
of

& Electric Co.

termined

Houston Lighting & Power Co.
March 22 it was announced in the

bank

•

reported that this company plans the
issuance and sale of $16,000,000 of first mortgage bonds.

Underwriter—Sterne, Agee & Leach, Birming¬

ham, Ala.

Aug. 24, 1960, it was announced that the California util¬
ity intends to sell $60,000,000 of first apd refunding
mortgage bonds. Proceeds—For general corporate pur¬
poses, including the payment of bank loans incurred for
expansion, which expense will approximate $152,000,-

Hayes Aircraft Corp.
Feb. 12 it was reported that
bentures is being discussed.

1960 are as yet
indefinite, and there is a distinct pos¬
sibility that it might be postponed to 1961." OfficeFergus Falls, Minn.
,/■ v-v

it Pacific Gas & Electric Co.

Nov. 4.

July 25, 1960 it was reported that in addition to the
rights offering currently awaiting SEC clearance (see
"Securities in Registration"), this utility contemplates
further financing through the issuance of 250,000 shares
of $20 par preferred stock (5,000,000), perhaps to occur
fiometime this fall.

Otter Tail Power Co.

July 27, 1960, Albert V. Hartl, executive Vice-President
of this utility told
this newspaper that an. issue of
$6,000,000 of first mortgage bonds is contemplated, al¬
though "plans for implementation of this project during

curities & Co. and

(11/3)

it was announced that the company plans regis¬

Dec. 9

1961, subject to market con¬
ditions, of $10,000,000 of its first mortgage bonds, from
depreciation and retained earnings and, to the extent of
any remaining balance, from the proceeds of additional
short-term borrowings.-

secu¬

was

Proceeds—For

from the proceeds of sale in

earn¬

Aug. 3, 1960, it was reported that about $37,000,000 will
be raised to cover capital requirements over the next
year.
Office—301 So. Harwood Street, Dallas 1, Texas.
it

1962 and the
refunding of $6,442,000 series B bonds ma¬
turing in 1961 as is not financed by the sale of the com¬
pany's 39,165 shares of its convertible cumulative pre¬
ferred stock, series E, 5% (par
$100) will be financed

from later sale of

come

April 27

Orange & Rockland Utilities, Inc.
April 18 it was stated that the company presently ex¬
pects that such part of its construction program through

stock and from retained

tAt Lone Star Gas Co.

Louisville Gas

ing plans for borrowing operations, which may include
the issuance of debt securities, and possibly occur later 1
this year.

common

ings.
:

Oct. 20.

Co.

construction. Office-

June 23, 1960,

$59,125 per share.

1960

Iowa-Illinois Gas & Electric Co.

000,000 of new money. This company on May 31 floated
a 400,000 common share offering through Merrill Lynch,
Pierce, Fenner & Smith Inc. and associates at a price of

(789)

was

short-term

taken later in the year.
The timing, type, and
of this financing has not been determined.

Public

Service

Electric

May 18 directors of this
for the sale of
gage

Gas

Co.

amount

(9/20)

took preliminary stepf
$50,000,000 in first and refunding mort¬
company

bonds, dated Sept. 1, 1960, to mature Sept. 1, 1990,
To pay all or part of company's short-term

Proceeds

—

indebtedness incurred for construction. Underwriter—To
be determined by

competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; The First Boston Corp.; Kuhn,
Loeb & Co., and Lehman Brothers (jointly). Bids—Ex¬
pected to be received on Sept. 20 up to 11 a.m., in New¬
ark, N. J. Information Meeting—Scheduled for Sept. 15
at 2:30 p.m. at the Chase Manhattan
Bank, 43 Exchange
Place, New York City, Room 238.

Public Service Electric & Gas Co.

July 26, 1960 it was reported that in addition to the
$50,000,000 to be obtained from the Sept. 20 bond offer¬
ing, $95,000,000 more will be needed to complete the
1960 construction program. Further
ed

later

the

undetermined.

Ritter

July (Lit

Co.,

financing is expect¬
as yet

year, with the type and timing
;V.
/v\v.

Inc.

reported that this company plans to con¬
some $2,500,000 of funded debt, possibly through
a
private placement, pursuant to which a bond issue
may be expected. Underwriter—Lehman Brothers, New
was

solidate

York

City.

A;:;;-///:

•

Rochester Gas & Electric Corp.

Aug. 1, 1960 it was reported that $15,000,000 of debt
financing is expected in the spring of 1961, perhaps in
March. Underwriter—To be determined by competitive
bidding. Probable bidders: Halsey, StuartCo. Inc.;
Kidder, Peabody & Co., White, Weld & Co. and Shields
& Co. (jointly); Kuhn, Loeb & Co.; Salomon Bros. &
Hutzler, Eastman Dillon^ Union Securities & Co.,. and
Equitable Securities Corp. (jointly); Blyth & Co., Inc.;
The First Boston Corp.
,.

Continued

on page

The Commercial and Financial Chronicle

<790)

170

Aug. 9, 1960, it was reported that in February, 1961, the
•

San

Diego Gas & Electric Co.

(10/4)

thereafter a one-for-twenty common stock rights
offering is planned, with the new shares priced about
6 V2 % below the then existing market price of the com¬
mon.
Office—720 Mercantile Dallas Building, Dallas 1,
year

termined by competitive bidding.

Probable bidders: Halsey, Stuart & Co. Inc.; Blyth & Co.; First Boston Corp.,
Eastman Dillon, Union Securities & Co. and Merrill
Lynch, Pierce, Fenner & Smith (jointly); Lehman Bro¬
thers and Salomon Bros. & Hutzler (jointly). Bids—Ex¬
pected to be received on Oct. 4.

(Jos.)

construction of

generating capacity. Power Financ¬

stated in the company's annual report that
expects to provide for the payment of
certain outstanding notes through the issuance of first
mortgage bonds and other debt securities.
The timing
of the issue or issues was not stated in the report. Office
—Birmingham, Ala.
was

pany

makes wood cabinets for household and industrial

use.

Office—Winona, N. J.

Underwriter—Metropolitan

Winter Park Telephone Co.
May 10 it was announced that this company, during the
first quarter of 1961, will issue and sell approximately

Co.

Salomon

and

Bros.

30,000 additional shares of its
will be offered

and

was

may

Future

bonds

This stock

stock,

common

rights basis to existing stockholders
not be underwritten by one or more
a

brokers.

$2,000,000

East New

plansr also

the

include the sale

second

quarter

1961.

England Ave., Winter Park, Fla.

Wisconsin Electric Power Co.

Aug. 2, 1960 it was reported that the company plans to
$30,000,000 of first mortgage bonds sometime later

sell

Trans World Airlines, Inc.

April 8 it

Office—132

tember.

announced that the company plans to offer

the

Office—Milwaukee,

year.

Wis. Underwriter—To
competitive bidding. Probable bidders:

be determined by

stockholders $100,000,000 of subordinated income
debentures with detachable common stock purchase war¬

may

securities

its

rants, and Hughes Tool Co. (parent) will purchase not
only its pro-rata portion ($78,000,000) but also enough of
any debentures not taken up by others to provide TWA

imminent registration of $5,000,000 of bonds and $2,000,-

Halsey, Stuart & Co. Inc.; Merrill Lynch, Pierce, Fenner
&
Smith
and
Equitable
Securities
Corp.
(jointly);
Glore, Forgan & Co., Eastman Dillon, Union Securities
& Co. and Harriman Ripley & Co., Inc. (jointly); The

with

First

€00 of

$190,000,000

Southern Nevada Power Co.

Aug 2, 1960 it

(10/4)

reported that the

was

is planning

company

preferred stock (100,000 shares). Under¬
writer
White, Weld & Co. of New York City
(managing).
$20

par

Pacific

Southern

•Aug. 17, 1960 it

Co.

least

$100,000,000. Proceeds — Together with
proposed
private
placement
which
is

(9/21)

Corp.,

Hutzler

Lehman

ture of mechanical power

Bidders—Halsey, Stuart & Co. Inc., and Salomon Bros.

Vogue Instrument Corp.
Aug. 24, 1960, it was reported that a Regulation "A"
filing is expected during the week beginning Aug. 29.
Business—The corporation makes electronic components

& Hutzler.

and

York

sale

the

$7,500,000

equipment

certificates.

trust

Underwriter—To be determined by competitive bidding.

Bids—Expected to be received

Sept. 21.

Office

potentiometers.

Minnesota Mining

OBSERVATIONS...
tracks the "house take" is up

Continued from page 5

Year's

the very least, the stock's great
long-term rise gets sabotaged by

1949—_—

at fifteen and

the frenetic traders chasing new
gains,
after
taking
short-term

i952l~IHI~I~

professionals.)

race

three-quarters percent—and hence shunned by many
In

the

of the odds

against
in the form of
brokerage commissions and taxes,
they are much greater. The commission charges alone for a roundtrip (purchase and sale) on a $25
case

the market trader,

stock

amount

"House

Take"

income

tax

2.77%

the

much

"cut"

losses. The trees
*or the forest.

The

long-term

nerability

larger
74%

year

Actually analogous is the use of
the
Stop Order to the roulette
player's or crap shooter's frequent

order in the

Tvr3*^

Carlo's Bank nevertheless remain¬

The

Mr.

highs

himself

vagueness

vul-

price

and

our

conclusions

Mining.
case

from

the stop

of this and other

(adjusted

lows

in each of the

past 12 years.

from

the

use

this

Sep

Feb

„

Feb

Jan

jun 17

May 11

Nov

for

From this record, which in each
typically shows a price below
the preceding year's high, it is

clear that this issue's rise of 1825%
^
,?v-f ^een repe;ated y .lnterrupted, if not partly or ent re y
missed, by reason of temporary
intervals of "poor market action"

issues show-

many

Darvas'

Mr.

own

record.

concentrated

was

stop
his

A-;/

CLOSE ...S8H

show

record

three

use

of the

that

his

results

largely gained by "intuition"

20
1
'

Half"—By

the

Collector

Internal

We
the

reader

important for

realize

ing

the

right

by do¬
first—follow

thing

for

around

come

cannot all

readers

Mr.
success

in intuitively aban¬

own

rules is strikingly

his telling of his ex¬

Thiokol
coup:
Three
(after his purchase)

his broker wired him that he had

Darvas'

tax

bill,

Darvas

his

move

stock

the

never

rose,
a

stock.

for

course,

moment forgot

stop-loss

the

but with Thiokol, he
greater
leeway
of

movement, so as not to risk being
such

did

short-lived reaction

occur

(p. 168).

1946 1947 1948 1949 1950 1951 1952 1953 J954 1955 1956 1957 1958 1959 I960 1961 1962 1963

skepticism concerning the
validity of his formal rules is
likewise furthered by the query
Our

why

his

achieved
from

Rep'd from Moody's Handbook of Widely Held Common Stocks

any

benefits which he personally may

have,
cern.

But

not

course

would

our

con¬

remind

the

ordinary

reader going after $2
that he must figure this
pleasant
achievement
"net"
as

million

a
profit
of
$250,000.
As
he well as "gross". If you are an un¬
'walked, 1 tormented
by tempta¬ married individual (as is Mr. Dar¬
tion, through the streets of Paris, vas) with an already-existing in¬
'every fiber in my being seemed come of $25,000, your $2 million
to be saying sell, sell — but he market bonanza
(assuming it is

stopped

(and

the moneys to

earn

constituted

profits,

75%

25%

and

short-term
those

the

astounding

success,

locations

ranging

from

Hotel

Plaza

Bar

dull

long-term capital gains (will put
you into an "effective" bracket of
73.74%, extractible from

your en¬

tire income).

can

Thus,

you

only
fantastic

•

Revenue

suggest

Million and

"by ear," two qualities which pay them, at least temporarily, by
non-transferable at $4.95 per writing a book on how we did it).

allowed

"How I Can Make

for getting-out, as of what
a
stock's
behavior
com¬
getting-in, his own mands and care about taxes later."
of his actions as well as Unfortunately,
the
"later"
does

ceptional

using the

order

held
50

rules.

"box" for

report

event, in the

any

disclosed in

80
....3/M»

same

experienced

sensational

doning his

PRICE RANGE

approached

that ability
forget about the tax bill on
issues; E. L. Bruce, market
profits
(short and long
$295,000; Universal Controls,
term) constitutes another technic
$409,000; and Thiokol, $862,000. that cannot be
transferred.
The
Thus his operations in the many
book's only reference to the Fed¬
other issues repeatedly ran into
eral tax bill on the profits is the
Stop Order trouble, with far less
following (p. 70): "I decided I
satisfactory results.
would trade in the market
total

HIGH ....60'*

LOW

hard-working

Street technicians

For

$1,566,000 of his $2 million profit

cannot

our

reasonable

months later

Kong,
Wall

profits,
along with income, is shown also

His

1959

kets

are bound to Register
whipsawing of the stop-loss trader. At

copy.

order's sabotaging

stop

continuing

are

years.

w#-

mar¬

The

the

calling for the stop order.
Among the

City.

Carbide, 500%; Reynolds
Metals,
3900%;
McGraw-Hill,
1700%; U. S. Steel, 900%, etc. -

gadget.)
and bearish

Jan

MINNESOTA MINING & MANUFACTURING COMPANY (NYSE-MMM)

complete study of results

bullish

come through with a more elabo-

Both

Jun

year

favored

109L/

(Perhaps the Stock Exchange will

achievable

Monthly highs and lows are shown, prices adjusted
for splits or major stock dividends.

the past objective market record.

; rate and

general corporate purposes. Office
Underwriter—Lee Higginson Corp. of New

—Erie, Pa.

same pattern are Sears,
long-term advance of 400%;

were

his

ear-playing ability are
not transferable, and in view of the
probable non-recurrence of some
unique attending market factors,
base

Feb

May 10

stop-loss interferdemonstrated in

will

Apr

i960 to date__ 88

Nov

May

}|
eo

Jun

MOODT'S INVESTORS S£K\OCE

stoploss
point was a very flexible
[sic] one, since it depended on
many variable factors." (Since in¬

and

"flexibility" (same thing) on this
cardinal point. ("The relationship

tuition

splits and major stock dividends)

Darvas'

Stop Order policy, if he has one, by
impossible, since he

the

pattern

interference

Vagueness

use

his readers is

between

Dec

transmission equipment, fluid
devices, and building plumbing drainage prod<-

Union

Portrayal of issue's market price history for past 15

"Flexibility"

confines

iSmZlZZZZI

representative issues is spelled out
in the following
table of their

ing unbroken).

Practical

195c

the accompanying chart of the 15market
price
history
of

Minnesota

(with Monte

2|
Dec

Date

is typically

(specified below) must be added.

amount has been lost

7".'22 2u*y

ence

of
"drawing down" on
winnings while they are continu-

Dec 14

mistaken

Stop-Order Interference

which

routine

are'

jj
1953—,

Low

Date

Salomon

and

Proceeds—For

the

ing
with

Year's

High

control

ucts.

Boulevard,

Empire

381

—

Brothers

(jointly); Blyth & Co.

Zurn Industries, Inc.
July 19, 1960, it was reported that 250,000 shares is ex¬
pected to be filed shortly for the accounts of the com¬
pany and selling stockholders. Business—The manufac¬

reported that the road is planning

was

Boston

Brothers

presently being worked on by this company's bankers,
will be used for expansion of the company's jet fleet.
Underwriters—Dillon, Read & Co., Inc., Lazard Freres
& Co., and Lehman Brothers, all of New York.

—

$400,000.

Hutzler

Securities

letter of notifica¬
tion is expected covering 75,000 shares of common stock.
Business—The company makes and distributes plastics
and resins for the missile, electronic, and boating indus¬
tries. Office—Hialeah, Fla. Underwriter—L. C. Wegard
& Co., Levittown, N. J. Registration—Expected in Sep¬

company

★ Winona Wood Products Co.
Aug. 24, 1960, it was reported that a full filing of class
A common stock is contemplated.
Business—The com¬

Thermadyne

Southern Natural Gas Co.

an¬

out its 1960 construction
long-term financing during
to provide additional funds in the approximate
carry

(jointly); Chase Manhattan Bank and Morgan Guaranty
Trust Co. of N. Y. (jointly); and Blyth & Co. and J. C,
Bradford & Co. (jointly).
Aug. 20, 1960 it was announced that

summer.

announced that the company

Securities Inc., Philadelphia, Pa. Registration—Expected
in late October.
"//-V'Z■

Union

Inc., both of New York City.

the

new

petitive bidding. Probable bidders: Halsey, Stuart & Co.
Inc., First National City Bank of New York, Equitable
Securities Corp. and Smith, Barney & Co. (jointly); First
Boston Corp., Lazard Freres & Co., Eastman Dillon,

letter of notifica¬

Pierce, Fenner & Smith Inc. and Harriman Ripley & Co.

April 4 it

announced that

was

Whippany Paper Board Co.
July 19, 1960, it was reported that this New Jersey com¬
pany plans to register an issue of common stock in Sep¬
tember. Underwriter—Van Alstyne, Noel & Co., New
York City.

ing Officer: G. O. Wessenauer. Financial Advisor: Leh¬
man Brothers. Underwriter—To be determined by com¬

reported that a secondary offering might
Underwriters — Merrill Lynch,

was

13 it

May

the year
sum

for

$50,000,000,

about

24, 1960, it

ticipates, that in order to

$50,000,000 of additional revenue bonds will be
offered in the Spring of 1961. The type of bond issued
will depend on market conditions. Proceeds—To finance

Schlitz & Co.
this

Fall.

th»e

expected

Blvd., Brook¬

program it will consummate

about

quisitions and expansion. Business — The firm makes
baby carriages, play pens, and related items. Office—
Mt. Vernon, N. Y. Underwriter — L. C. Wegard & Co.,
Levittown, N. J.

made

sometime

covering 60,000 shares of common stock.
Proceeds—For general corporate purposes, including ac¬

offering,

public

tion is imminent

March 11 it

June

Valley Authority
Jan. 20 announced that, pursuant to August, 1959, au¬
thorization from Congress to have $750,000,000 of rev¬
enue bonds outstanding at any one time, it plans its first

13, 1960, it was reported that the filing of about
$2,000,000 of common stock is being discussed, and may
occur sometime soon.
The company is currently mar¬
ket-testing a new electronic table-top stock quotation
board. Office—Los Angeles, Calif. Underwriters—Carl
M. Loeb, Rhoades & Co. and Paine, Webber, Jackson &
Curtis (jointly).

obtainable. Office—2300 Linden

was

West Ohio Gas Co.

Tennessee

June

tion

lyn, New York.

Texas.

Scantlin Electronics, Inc.

Broadway, New York City.

Waldbaum, Inc.
May 11 it was reported that public financing is being
contemplated by this supermarket chain. No confirma¬

$2,000,000 in preferred stock,

about

is expected to be sold. Proceeds—For the repayment of
bank loans and for construction. Underwriter—To be de¬

^Sckarco Manufacturing Co.
Aug. 20, 1860 it was reported that

expects to offer about $12,000,000 in bonds and
and that about one

company

10, I960 it was reported that $30,000,000 of bonds

Aug.

Thursday, August 25, 1960

Underwriter—S. S. Samet & Co., Inc.,

Brooklyn, N. Y.

Public Service Co.

^ Southwestern

Continued from page 37

keep

$525,200 of your
$2 million winnings.
If you are a
on

the way to

Darvas

will

tax

man,

paltry $100,000 of

type winnings,

face

deduction of

dancing tours extending to Hong the

$10,000 salary
a

your

"effective"

coup

overall

58.03%, meaning that

your

$100,000

book-

Volume 192

Number 5980

The Commercial and Financial Chronicle

(791)
keeping profit will be demolished
to an in-pocket $52,000.
income

Federal

the

Thus

tax

bill coupled with

the commission
trading charges
which we have cited above, puts
the
active trader
into quite a
heads-you-win-iails-i-iose game.

and miscellaneous

So—enjoy the book,

reading,

summer

with

your

glamorous

do not

—

Stock Offered
Pursuant

Aug.

offering
circular, Plymouth Securities
Corp.,
92 Liberty Street, New
York 6, N. Y., publicly offered
100,000 shares of this firm's 10c
par common stock at $3 per share.
The net proceeds, estimated at
an)

$260,000, are to be used for general corporate purposes, including
$100,000 for electronic research
and manufacturing expenditures
and $80,000 for
completing and
equipping a new building.
The company, through its sub¬
sidiary, Decherts Machine Shop,
Inc., manufactures and sells two
well

lines

known

proprietary
industrial power presses. It also
distributes
industrial power lift
and

trucks

types

other

and

transducers

electronic components.
The

company

the

under

March

organized

was

Delaware

Statutes

Joseph P.
Segal. Mr.
Dechert in 1946, as a sole propri¬
etor, commenced the business of
manufacturing and selling custom
machine parts and special custom
machinery under the trade name
of
Dechert's
Machine Shop. On
Sept. 29, 1954, he incorporated his
business in Pennsylvania, under
the name Decherts Machine Shop,
Inc. During
1958 Decherts Ma¬
chine Shop, Inc. acquired all the
assets, inventories, designs, pat¬
terns and good will of Robinson
Press
Company
(founded 1906)
and

and

1960,

30,

Dechert

Allan A.

Zeh

1904).
The
Robinson
Press Co. was acquired for $87,400 which has all been paid. Zeh
Hahnemann

$25,000

and

its

engaged in the

high

use,

fidelity

plus

purchased for

was

approximately

$50,-

POMPANO

BEACH, Fla.—Harvey
Geisler has formed Harvey N.

Geisler

York

—

will

follows:

used

Oppenheimer & Co. will open
office in Hackettstown, N. J.,
with Fred E. Gardner as resident
an

investment business

son

and Geisler of which he was

at 204

curities

Albert J.

conducting
from

business

se¬

offices

Woodside Terrace under the firm

of
(several of which

vestors.

Funds
Mr.

Securities

Stebbins

was

for¬

September 1, 1960.
D. W. JACK

poration held today,

cash distri¬

bution of $1.25 per share was de¬

30, 1960, to stockholders of

1960, to stockholders of record

record

the

1960.

A. Harvey

Secretory

business

August 19, 1960

Copper Cor¬

clared, payable on September 23,

September

August 31,

1960 to stockholders of

Septem¬

ber 2, 1960.

PAUL B. JESSUP,

Secretary

Torrance, California

are

the

de¬

velopment stage) and to purchase
equipment necessary for the
manufacture
such

and

products,

products

production
well

ready

now

INTERNATIONAL

new

HARVESTER

mar¬

123rd Consecutive

keted.

International Sees.
ANGELES,

Calif.

national

Securities

has

formed

been

1513

Harvester

Kenneth

dent;

offices

Officers

Boutelle,

Halbert,

and

to engage in

business.

Charles

Inter¬

Jack

are

($.60)

cents

per

stockholders

the

record

S. S. Jacobs
Jacobs

National

dividend
share

Broad

Street,

Board

August

quarterly

17,

the

1960,

$1,375

the

business

has

185

ONE

declared

The

transfer

September

BOWERS,

(§)
MR. CONTROLS

J. OSBORN

Exec. Vice Pres. & Sedy.

September 30, I960, to
of record

stockholders

tember

mailed from

office in Los

1960

20,

rec-

the Company'!

Angeles, Sep¬

tember 30,

the close of

September

6, 1960.

COMMON

Sep¬
will be

Checks

tember

business

HERVEY

The above dividends are pay¬

able

Stock, payable Sep¬

ord

closed.

Con¬

Pre/erred

stockholders

Company will not

p. C. HALE,

§jj

Treasurer

STOCK

Stock

September

payable

August 18,1960

1960

20,

to
stockholders of record at the close of busi¬

16,

ness

FLORIDA,..
Secretary

regular quarterly dividend of 3714c per

share has been declared on the Common

record

value 5 % per cent

Cumulative

vertible

share.

per

1960.
HAZEL

par

September

stock

payable

share has been de¬
clared on the $25.00
per

27 cents

quarterly

regular

dividend of $0.34375

DOLLAR

Cumulative

company,,

4.32% SERIES

PREFERRED STOCK

payable October 1, 1960,

1960.

regular

NO.

been

books of the
be

CUMULATIVE PREFERRED STOCK,

Richmond, Vs.

stockholders of record at the

company

the

per

stockholders

this

5Series
of

Stock

York

declared

1960,

dividend

outstanding

October

New

Directors

CONTROLS COMPANY

capital stock of this Com¬

15,

close of business

CITY INVESTING COMPANY

63 cents per share/

NOTICES

R0IIEKTSIIAW-FULTON

Dividend No.

DIVIDEND

the

The

dends:

company

pany,

DIVIDEND

following quarterly divi-

the
f y

Dividend No. 205

Co.

has

payment

ORIGINAL PREFERRED STOCK

Bank

the

EGER, Secretary

International Salt

Opens

Building.
formerly with H. Hentz &

was

authorized

„

Paul E. Hhroatws

the

DIVIDENDS

The Board of Directors

Glassford,

securities
business from offices in the Phila¬
delphia

Sept. 15,1960.

GERARD J.

presi¬

Pa.—Steven

conducting

1960.

Senior Vice President

close of business

treasurer.

PHILADELPHIA^

Boventy-flve cents per share on
the capital stock, which will be
payable September 12, i960, to
stockholders of record August 26,

com¬

stock, payable October 15,1960

mon

president;
vice

Company have declared

quarterly dividend No. 182 of sixty

California
Company

meeting on August 16. I960,
declared a quarterly dividend of
a

Corporation

with

West Temple

securities

—

Edison

The Board of Direr torn »t

The Directors of International

(Special to The Financial Chronicle)

LOS

Southern

Dividend

COMPANY

September 6, 1960.

The transfer books will not be closed.

MAGIC

VACATIONLAND

JAMES A. WITT

EVERY MONTH

Secretary

August 17, 1960.

OF THE YEAR
The Board of Directors of

CONSOLIDATION
COAL

FLORIDA

UNITED
IS

POWER

COMPANY

September

14,

September

mailed.

1960, to share¬

1960. Checks

will be

Corcoran,
Vice-President & Secretary
August 22, 1960.
John

& LIGHT

• HRcvk PORT,

P.O. Box 1-3100

MIAMI, FLORIDA

quarterly dividend of 24c

DIVIDEND

NO.

per
an

this

cents

ers

Aug. 26th, 1960.
ROBERT.H. FITE

tember

record

30, 1960, to stockholders of
of

the close of business

BERGEN

DIVIDEND NOTICE

FLORIDA...
UNEXCELLED
CLIMATE FOR

W"or''

declared

dividend of thirty-seven
and one-half cents (87Hi)

the Common
Corporation,
payable October 1, I960,
share

stockholders of record

at the close of business on

regular quarterly
dividend of 2 Si per share on
a

common

stock,

September 9, 1960,

pay¬

September 20, 1960,
shareholders of record

September % I960.
G.J.LANDSTROM
Vice

President-Secretary

INDUSTRY!

Rockford, lllimh

Auguit 22,1960.

of Directors

date

clared

BUSINESS AND

September 2, 1960.

this

B. M. Byrd

able

Sep¬

l O u i s (AMA

The Board of Directors de¬

the

share has today been declared

Corporation, payable

Stock of the

of record at the close of
on

has

per

•

ber 20th, 1960 to stockhold¬

(15<)

the outstanding common stock

CORPORATION

Septem¬

President

dividend of fifteen

SUNDSTRAND

the Common Stock of the

business
103

The Board

share has been declared

Company, payable

Corporation

Dividend Notice

DIVIDEND NOTICE

per

SOLVENTS

CORPORATION

COMPANY

COMMERCIAL

GAS

In¬

merly with DiRoma; Alexlk & Co.1

ber 3,

meeting of the Board of

Stock of 25 cents per share,
on

the Common Stock

August 19, 1960

to be

payable

Company, payable Octo¬

record at the close of business

161 East42d Street, New York.N.Y.

the

today

dividend of 48 cents

of the

KENNECOTT COPPER

NOTICI

Directors

products

new

name

declared

(b) to finance the research and

development

Funds & Sees. Investors

Board

and

previously served
as head of the East Orange, N. J,,
branch of Grunberg & Co.

Stebbins, Jr.

The

NOTICES

Chairman of the Board

capital;

Gardner

—

John¬

NOTICES

Lawrence

utilized since April, 1959 to pro¬
vide additional working

Main Street.

WESTFIELD, Mrss.

DIVIDEND

DIVIDEND NOTICE

(a) to discharge an aggregate
$90,000
in short-term
bank
loans, such funds having been

Co.'s

located

DIVIDEND

CORPORATION

operations

Oppenheimer

office will

William N. Creesy.

per

DIVIDEND

begin

COMPANY

and

partner.

manager, partner Silvio Smilovici
announced here Monday, Aug. 22,
to

Jr.

holders of record at the close of business

The

Scheduled

the

able

firm

Exchange

Stock

offices

UTILITIES

the

Northeast 27th Avenue to continue

terly dividend on the A Common

and

company

will

meeting held today, declared a quar¬
terly dividend of 35 cents per share on
the Common Stock of the Company, pay¬

HACKETTSTOWN, N

with

Mann,

added to the general funds of the

Oppenheimer Branch

Mr,

Co.

Directors of Kennecott

estimated,

components.

29,

George

are

Exchange. Principals

rated) has declared the quar¬

Segal
under the original name of LetcoStandard Corp., for the purpose of
developing,
manufacturing
and
selling pressure and temperature
transducers and other electronic
Allan

Boston Stock

Gould, 70 Wash¬
members

currently

Space Dynamics Corp., which
was organized
in New Jersey on

new

Harvey Geisler Co.

Street,

of Mann &

Forms

NOTICES

continuing the investment busi¬

ness

Harvey Aluminum (Incorpo-

Decherts Machine Shop, Inc. ac¬
quired all of the outstanding stock

1958

The Board of Directors of

the

Aug.

Highway 27 under

The net proceeds from the sale
of the stock will be
$485,000 and,

Preferred

1980

DIVIDEND

Creesy

SALEM, Mass.—Mann and Creesy

ington

ucts.

presently due on this contract
$7,249.28.
In
February,
1960,

New

company intends, upon the com¬
pletion of this offering, to manu¬
facture and sell additional
prod¬

16,

com¬

ponents and panel meters for use
in
electrical
instruments.
The

000 for accounts receivable. There

Feb.

sub¬

manu¬

Hahnemann

(founded

sumer

are

Form Mann &

the management of Paul Kosene.

steel

building shells.
The company, through its subsidiary Space Dynamics Corp., is re¬
searching and developing various

Inc.

facture and sale of electronic test
equipment for industrial and con¬

But

Dechert Dynamics

Pacotronics,

gambling.

exploits! ''

Aug. 24 Myron A. Lomasney
& Co., of 39
Broadway, New York
6, N. Y., publicly offered 150,000
shares of the $1 par common stock
of
Pacotronics, Inc. at $4 per share.
sidiaries

(even with the p u b 1 i sher's
money-back guarantee), get any
fancy
ideas
about
your
own

office
On

fantastic fortune in stock

made a

■

Morton Branch
EDISON, N. J.—The B. C. Morton
Organization has opened a branch

Common Offered

how an itinerant dancer

story of
market

Pacotronics, Inc.

August 16, i960

August 23,1960

Secretary

The Commercial and Financial Chronicle :.

(792)

WASHINGTON AND YOU

Thursday, August 25, 1960

COMING

BEHIND-THE-SCENES INTERPRETATIONS

EVENTS

FROM THE NATION'S CAPITAL

IN INVESTMENT FIELD

BROADBOTTOM
above

these

movements in interest rates. In

the

1959 when interest rates on

mar¬

incur

ketable securities

post¬

sold the securities.

rose

highs there was alarm over
the country.
On
Capitol Hill, when the
Treasury
Department had to

war

offer

interest

"If

interest"

"low

gress

blamed

rates

the

advo¬

Eisenhower

said the Repub¬

of them

Some

believe

licans

Administration.

Republican

high

House. Of course, there was no

their

substance

The

state¬

rash

ments.

when it offers

would

1960

their

Since

peak.

Yields

those

particularly

ties,
short

term

Both

securi¬

Government

the
have

category,

sharply declined.

Expected

Refund

Some Debt

result, the Treasury De¬

is looking ahead. As
the Treasury

partment

of fact,

matter

likely to be getting
ready to do a substantial amount
of refunding the national debt.
If this proves correct, and there
appears

indications

are

the

Depart¬

ment that it will be done, this

big and important story eco¬
nomically.
There have been reports in

the

capital for some time that,

if and

cides

the Treasury de¬

when

that

refunding,

would

likely involve World War II is¬
sues

which carry a 1xk% coupon

and which mature from 1967 to

few

there was
partial confirmation of the re¬
ports and speculation in govern¬
mental circles by Under Secre¬
tary of the Treasury Julian B.
Baird, who is one of the nation's
days

ago

foremost authorities

[Ed. Note: See Mr,
Baird's talk on page 3.]
Mr. Baird
.*

said these

1967-72

wartime issues total about $28,-

000,000. For the most part they
held

by institutional longinvestors, pension funds,
endowment funds, along numer¬

are

term

others

ous

par.

who

The

obtained

Under

them

Secretary

then made this pertinent obser¬
vation of interest to the finan■

? cial

circles of this country:

years

7 to 12 year

maturity range

are

mediate

"Their

radio-TV

advertising

less.

seems

reach

area

only twice since World
War II came to an end. They'
were
between
May 1953 and
June 1954 and again from No¬
vember 1957 to July 1958. Dur¬
ing both of those periods of de¬
clines,
they
accompanied
an

the inter¬
than

recession.

economic

continue
months.

for

the

several

the

for

tions

home

buyer this

fall and winter.
A

quarterly

report

the

agency's operations showed that
the

of mortgages offered

value

27% duing the April-June

lies

declined

riod. The decline

offering a typical longterm
holder, whose bond
is
nearing the short-term status, to
before

long

the

have

officials have been

preaching for sometime that the }
debt of our country is (.
"manageable," if from $20 to |
colossal

$30 billion of the debt could be

the

one

and put in

five-

period of

first

one

securities

about

seven

$4.5

any

billion

borrower

the debt it
says

rates

the

securities

is¬

and

The

municipal
reason

governments.

is that demand

for

fairly brisk.
Therefore, the rates of interest
had

been

these securities have not de¬
as

great

debt

for
rate

goes

if the demand is

and

up,

slack,

the

go down.
Reserve
Bank
of

rates

its

Review

The
St.

makes

that the
Treasury Department has been
advocating to Congress for

mortgages have not declined
much, with rates averaging

time,

some

turned
sition

securities

rates

functions
tinue

best
be

that

was

quarter

shown

the

serve

they

their

must

with

con¬

changing

said

the

there is

rationalize

Invest¬

fall

meeting.
Sept. 23, 1960
The

Bond

(Philadelphia, Pa.)

Club

Philadelphia
Day at the
Huntington Valley Country Club,
Abington, Pa.
35th

Annual

Field

Oct. 5, 1960 (New York City)
New York group of Investment
Bankers Association of America

annual

dinner

Waldorf-

the

Astoria.

Oct. 11, 1960 (Detroit, Mich.)
Michigan Group of Investment
Bankers Association meeting.

any

Oct. 12, 1960 (Cleveland, Ohio)
Northern Ohio Group of Invest¬
ment

Bankers

some

variation

people

become

Oct. 13, 1960 (Cincinnati, Ohio)
Ohio Valley Group of Imestment
Bankers Association

New
to

re¬

flect the "behind the scene" inter¬
pretation from the nation's Capital

second

and may or may not coincide with

the "Chronicle's"

own

views.]

meeting.

October 15, 1960 (New York City)

Security

column is intended

meet¬

Association

ing.

that

University Professor Available
(Economic Theory, Finance, Investments,

market

apparently is going to

Association

is suspect. Thus, whenever rates

[This

money

past is normal and

and Christmas.

the

Governors

Bankers

the Huntington-Sheraton Hotel.

what has occurred in the recent

alarmed."

Barbara, Calif.)
Board

Oct. 10-13, 1960 (Pasadena, Calif.)
National
Association
of
Bank

"Nevertheless,

change

ease

Sept. 21-23, 1960 (Santa

Women 38th annual convention at

con¬

The FNMA chief believes that

Municipal Bond Dealers Group of
Cincinnati annual outing — cock¬
tails and dinner Sept. il5 at Queen
City Club; field day Sept. 16 at
Kenwood Country Club.

maturity

conditions,"

tendency

(Cincinnati,

Ohio)

unencumbered and

move

home mortgage money between

the

"Experience indicates that for
interest

Sept. 15-16, 1960

Government

bearing

tinued increase in the supply of
now

for

date of over five years.

economic

has

to the propo¬

lifting the ceiling

about 6%, according to some of
the Federal Reserve Banks.

of the Federal
Mortgage Association,
Stanley Baughman, is con¬

Congress

ear

rates

free

The president

interest

but

deaf

Astoria.

observation

pertinent

ing at the Starlight Roof, Waldorf-

ment

primarily

come

savings.

very

vinced that there will be

pe¬

from $389

was

demand

months of

National

yields of government securi¬
as the recent one, have

ties such

More Mortgage Money Forecast

owes.

declines

declined

credit is brisk the interest

bank.

the

funds

Credit

Louis

the

The Federal Reserve Bank of

Louis

considerably,

down

ing period of 1959. Interest rates

months of 1960. The

securities:

rose the first
1960, but. at a
lower level than the correspond¬

position, of course,
shifted the position of the Gov¬
ernment from

ac¬

Association

million to $289 million.

Federal

improved

repayer of

con¬

healthy rate of

Government

Mortgage

fact that the Government oper¬
ated at an estinfated cash sur¬

plus

interest

seven

means, to the present level of
lower interest rates on Federal

Government

for

those in the
Federal Government category.

contributing factor,
major

and

much

sued by businesses and by state

clined

Important Factor

Mortgage

this has not been true for most

Government Surplus

though not

gone

money

years.

One

sur¬

•

than five years—from five

Japanese

from

Federal

out

the

Although the interest rates

it through a new secur¬

year area

for sale to the Federal National

tivity.

ity.

the

first

time while business

tinued

holder elects to sell rather than

since

the

this

Therefore,

Treasury

meet¬

he predicts

Therefore,

favorable mortgage condi¬

rendered that interest rates have

extend

Association

Bankers

annual dinner and business meet¬

occurred

time

bond

Hilton

Association of Customers' Brokers

Treasury maintains with
some logic that the
paramount
reason
for
advance
refunding

his

Statler

ing.

The

extend

Exchange
Board of

the

Sept. 14, 1960 (New York City)

done

less

Stock

meeting

ment

every¬

where!"

for long term bonds.

years,

Asso¬

Sept. 12-13, 1960 (Denver, Colo.)
Rocky Mountain Group of Invest¬

the

case,

Traders

Convention.

other

securities.

was

the Sheraton-

Hotel, Hartford, Conn.

illogical to issue

to holders of bonds

St.

"Because interest rates in the

Association
Governors

Treasury and Mr.
with emphasis

not

Security

Annual

Firms

August, and at the same time
offer in exchange new securities

the Fed¬

debt.

eral

taken

1972.

the

In¬

Sept. 12-13, 1960

eo(w

securities maturing in the
intermediate area of from five

substantial amount of

on a

advance

ciation

new

Treasury

National

maintain

Baird

Association

(Sun Valley,

Sept. 11-14, 1960
Idaho)

$V2
offered

for

the

Group

Bankers

annual meeting at

Defend Financing Practices

marked decline in rates.
on

(Portland, Oreg.)

Portland.

normally

long-term
this

Elmhurst

Northwest

vestment

Club—

League

Day

term issues to $1 billion or

the

beginning of the year there has
been

Pacific

Department,
longtime bond,

that

Union

Sept. 8-10, 1960

Treasury usually keeps its long-

dication that interest rates had
reached

case

available

Because

came

funds
be

kinds

out and the new year of
in, there was an in¬

rung

the

Treasury

attracts

Even before the old year was

would

billion to $1 billion were
for cash."

goal of the Republican White

Dinner

Sept. 9, Field
Country Club,

time, with perhaps no
immediate market impact

than

rates, and that tight money was

Securities
w

one

Interest

Sept. 8-9, 1960 (Chicago, 111.)
Municipal Bond Club of Chicago
24th annual Field Day — Sept. 8,
Luncheon at Chicago Yacht Club;

BUBBLEDOME

•

offer

can

billion dollars of debt extension

rate

high

Treasury

and

elements in Con¬

the

principal

the

AND

'locked

interest

rate

cates. ;•
The liberal

holders
in,'
they would
loss if they

many

are

that

exchange a somewhat
higher interest coupon in con¬
sideration for taking a 20, 30, or
40-year bond, these investors
can
better their curernt yield
and still carry the new bond on
their books at par. By offering
such an exchange to holders of
some issues of the tap 2y2S, the
Treasury might achieve several

years,

the

2%%,

bonds

sense
a

them

of a little less than five
there was a loud howl by

note

;

the

WASHINGTON, D. C.—Practi¬
cally everyone is affected by the

Traders

York

Dance

the

Association

annual

Fall

Dinner

Grand Ballroom

the Biltmore Hotel.

Attention Brokers and Dealers:

TRADING MARKETS
Botany Industries

Indian Head Mills

Industrial Relations)

Official Films
Man, in forties; Ph.D., large Eastern university. Nineteen
years

of post-doctoral research, writing

and teaching. Listed Who's Who in
America, Who's Who in
Commerce and

lenge,

and

Industry, etc. Enjoys

working with students.

The Commercial & Financial

25 Park

Place, New York 7, N. Y.

Parl Marks

& Co Tnc

space-age mental chal¬

Except

assignments, will consider university
only.

Southeastern Pub. Serv.

(top publications),

for consulting

college

affiliation

Chronicle, Box M 81,

FOREIGN SECURITIES
20 BROAD STREET

TEU HANOVER 2-0050

•

Our New York telephone number is

CAnal 6-3840

SPECIALISTS

NEW YORK 5, N. Y.

TELETYPE NY 1-971

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Investment Securities

10 Post Office Square, Boston 9,
Telephone -'
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Mass.

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BS 69

Full text of Commercial and Financial Chronicle : August 25, 1960, Vol. 192, No. 5980

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